Free market Capitalism proposes a market without government restrictions. The two cardinal sins of a free market system are fraud and coercion. Many free marketeers are opposed to any income tax. The government says “pay your taxes, or go to jail”, which honestly enough, does sound like coercion. But in a…
NO. That is just more Double Speak on their part. *The two cardinal sins of a free market system are fraud and coercion. And that’s exactly what the Industrial Military Complex is up to. And has always been up to. We steal, lie and coerce Oil Sovereign Economies like we did Iran in 1953 and then accuse them of terrorism when they want to defend themselves against our intervention. It is a disgrace and I for one am sick to death of it.
Of course also is the so called free market in outsourcing which only keeps other cultures very poor, Like China, and makes it impossible for the USA workers to compete and make a living
China’s ghost cities and malls – a must see for a compassionate person – http://www.youtube.com/watch?v=rPILhiTJv…
Yes – and this Youtube will show you how the scenario works according to a person that was once part of the Corporate and Government crony machine
Selling $3 nikes for $150 is not fraud, think about it. As a buyer do you have to buy Nikes? The buyer and seller together determine what a product is worth. If a seller wants too much for a product THEN BUYERS DON’T BUY IT!!! Its called supply and demand. Yes, monopolies can take advantage of people but monopolies occur more in the public sector than the private. Whenever there is a company in the private sector making tons of money there will be many others that will want to start a business and get a piece of that market share. Economics is not your strong-suit
but then again, neither do large corporations.
in a true free market capitalistic economy, where everyone has equal access to the market, it would be almost impossible for large corporations to compete.
consider the following scenario:
we live in a capitalistic paradise where every guy with a bright idea can start a company and present products to the market.
just imagine what the car industry would look like…
not 10 or so car makers of consequence – but more like 200.
it would be very good for the consumer, and would drive technology like we’ve never seen, but how would say GM and toyota fare?
each year the big guys announce their big changes in next year’s models – you know, new fins on the back, fancy new cup holders – that sort of thing.
after GM and toyota would start to retool their massive factories for the new look.
right after they did, dozens of other car companies would announce THEIR new product lines – ones with real changes – things like 60mpg or more.
this would make the GM and toyota lines obselete before they were even produced.
how long would the big boys last in this kind of environment?
i don’t think very long.
without govt to protect monopolies, the large corporations would simply never survive.
by the way, what i described above is how ayn rand wanted the free market to actually work, not what the republicans are saying she wanted…
It sounds like you live in an ‘ideal’ world. That which we are told by the media and educational institutions comes straight from the ‘ideal’ world handbook. The ‘real’ world isn’t quite that good. If businesses were allowed total freedom of profit methods, then the biggest would destroy the smallest, to maximize profits! Big Media would discredit & destroy publicly elected representation (as they are doing today) so there were no barriers to the re-introduction of slavery for the poorest in society: which is pretty-much what is happening today. The most profitable companies (oil, media & weapons manufacturers) could control public feelings using hatred generating actions, and then generate activities to perpetually increase their profit margins. War would be really good for constantly increasing the profit margins of the three named businesses. They could keep that war going for-ever! They could even give it a name: The war-on-terror, for example. The deregulation policies of recent decades’ Right-wing governments have effectively generated a Free Market society, and that’s why we’re killing each-other in truly enormous number all the time, because they can now make profit in any way they choose!
Fraud is a legal term, and guess who makes laws…the government of course. In a truly free market, the government would have no interference, therefore, fraud would not exist in legal terms. Profits would be determined by what people are willing to pay, minus the cost of labor, transportation, and cost of materials. Both of these ideas combined mean that paying $150 for $3 shoes would be entirely possible, and not fraudulent. However, I do agree with you. The current “capitalist” economic model we are using makes us less competitive on the global stage. Our current capitalists are investing large amounts of money in our government in order to protect themselves from future capitalists, instead of spending that money in R&D to make them more competitive. They have found it to be far more profitable to invest in legislative tax loopholes than in quality products. This is why I put capitalism in quotations, as we do not actually have a true capitalist economy. Which just goes to show that those that choose to simplify economics down to two categories (socialism and capitalism) are ignorant to the fact that there are more than two economic models, and they show their ignorance when equating socialism to communism/Marxism. Socialism is an economic model, communism is a social, economic, and governmental system. They are unrelated.
These “free markets” you speak of haven’t actually existed for a while now, it’s all monopolies/ cartels
these days & once you have one of those up & running the rules for maintaining it are quite different than the economics that are classically taught.
So looking at it from & reminding people of these logical rules that would be involved if you were in situation that doesn’t exist is sort of irrelevant.
Only 7.5% of the country is self employed these days, with good reason…..
I’m not pointing to one side or the other but your analogy goes haywire when you note “a truly free market system, wealth disparity would not be able to emerge” ??? Never seen that in any text, so you possibly made that static up, which makes the rest of your argument moot.
Wow. Yet another liberal Marxist/communist rant against Capitalism trying to justify “redistribution of all wealth” in order to be “fair”. I strongly recommend you move to a true “liberal utopia” such as Cuba, Venezuela, Burma or even the former Soviet Union.
When are you libs going to finally come to the conclusion there are only two choices in this world?: Communism (aka Socialism/Marxism) and Capitalism. It’s a choice that I believe you have already made.
Hint: Life is not fair and no one is “entitled” to other peoples money.
Intentional ignorance of the truth = liberal insanity.
you talk about “fraud”… but in a free market… that’s legal… at least the types of fraud you’re talking about…
if anything, it would probably just get worse… more “fraud”… who’s going to stop them?
Your question is not valid as there has never been a free market in history. If you have a government you do not have a free market just a market system.