How do you think capitalism functions?
CB, I don't think that's a serious question. It's an ideological one.
If you are asking how does the American economic system function, that's a different question. And the very shortest briefest of answers I have for that one is the mixed bag one. Much of corporate costs are socialized, which is a no no in the ideological construct of capitalism, through schools, police, roads, etc. Much of the risk is collectivized in the polity and enhanced with the financial requirements of large campaigns. And further collectivized through the actions of a host of federal govt bodies such as the Federal Reserve, the SEC, the banking system, and on and on and on. Right now much of the rewards go to a precious few at the very top which I hope does not last long. I forget the numbers but the pay differences between the various levels of corporate life are so far out of line relative to, say, the late 70s, it's just sad.
As for who benefits from "free trade", the question is exceptionally complicated not least by concerted attempts to find a language that makes the question irrelevant. I'm, again, not arguing that "free trade" is always bad. Just arguing that the criteria to judge any given instance of "badness" or "goodness" should include its contribution to the general social welfare. Now, if you wish to argue that's a very vague idea, the general social welfare, I would agree with you. But it stands right alongside that other very vague idea, "free trade." So there we go.
And I still think the only real debate here is which sector should be making which decisions. To refine that earlier post, I think, another name, Michael Walzer (I'm dropping more names than tek, ouch) got it right in his Spheres of Justice in which he argued that each sector called for its own criterion--profits and markets for the economy but not for schools, the polity, security, etc.
John |
