Capitalism and the Poor

This is a brief defense of capitalism, using a three pronged approach. The point is that poor capitalism is generally good for everyone. It is only through the corruption of capitalism by the state that the ills of capitalism come into play. 

There are three main reasons why capitalism is undeniably good for the poor.

The first, is that capitalism provides the largest amount of opportunity for the greatest number of people, based on merit, not titles or political connections.  It is no surprise that the best place for people to get ahead in the United States is Salt Lake City, where studies show that the greatest number of poor children can make it into the top 20% of income earners. Under capitalism, people born with nothing, who have a good idea and a strong work ethic, have the best chance at improving themselves and the world.

The second reason is that capitalism encourages people to help one another, in the most efficient ways possible. People that wish to make money must provide to the most people the goods they want, at the cheapest price possible. Competition makes businesses strive to do better, and the biggest winners are undeniably those at the bottom of the income ladder.

Finally, capitalism has a track record of causing exponential growth in human well-being. Since the inception of the industrial revolution and the first applications of capitalism in the late 1700s, human life spans, child mortality, and personal wealth has grown more than all the rest of human history combined. Technologies under capitalism have made living easier at all income levels, and medical advancements have progressively wiped out many of the previously deadly infectious diseases. Capitalism has been the greatest source of positive change in the world for everyone.


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