Friday, January 04, 2013
The moral foundation of capitalism
We better hope that the moral foundation of capitalism comes mainly from nurturing and education and not only from genetic traits if we expect to have a fair and equitable nation with widely varying ethnic groups and businesses in America.
The moral foundation behind capitalism has eroded. We now have crony capitalism where big business and their lobbies control the political process. This means that the magic of creative competition and meritocracy cannot work well.
Contrary to many libertarians, government has an important place in controlling monopolies of power and keeping healthy competition open and free. Narrow economic efficiency is not the only criterion for public policy. Destroying everything else to make the trains run on time, as fascism tends to do, is stupid.
Light federalism works best for controlling monopolies of all kinds and for protecting the rights of small states, but it needs to have teeth to do the job. Economic nationalism, protecting American manufacturing and jobs with tariffs on foreign-made products, this is part of the protection government needs to supply. Freedom, merit, and most importantly evolution can take place between varying groups and businesses by controlling monopolies. This is the moral foundation of capitalism. America has had the nature and nurture to do this perhaps better than anyone else.