Capitalism Is Good for the Poor (Often spectacularly good)

capitalismo (1)

Not only is it good, it is often spectacularly good.

It’s not just me saying this. This is an assertion which can be measured and seen. Anyone who does not understand that capitalism has made the world a better place, has filled stomachs, cured diseases, has helped people broaden their horizons, and has just generally made things in this life more tolerable either doesn’t understand what capitalism is or has simply never looked into the matter objectively.

It really does blow my mind that so many supposedly educated people do not understand what a force for good capitalism has been.

Of course one of the main reasons people perceive capitalism in a negative light is because there is so much crony capitalism around, which is a form of statism and which is a much closer relative to socialism (often they are the same) than to actual capitalism.  And this is understandable. But it is also terribly unfortunate.

The voluntary exchange of goods and services between people (capitalism or free enterprise) offers hope to those who are willing to work for their betterment. Within a system of free enterprise there is a path out of poverty. In a system of statism, opportunities for those who are not already rich are few if not nonexistent. (Often they are nonexistent. Just ask some of the people in the lower castes of India.)

(From FEE)

Critics frequently accuse markets and capitalism of making life worse for the poor. This refrain is certainly common in the halls of left-leaning academia as well as in broader intellectual circles. But like so many other criticisms of capitalism, this one ignores the very real, and very available, facts of history.

Nothing has done more to lift humanity out of poverty than the market economy. This claim is true whether we are looking at a time span of decades or of centuries. The number of people worldwide living on less than about two dollars per day today is less than half of what it was in 1990. The biggest gains in the fight against poverty have occurred in countries that have opened up their markets, such as China and India.

Click here for the article.