Transparency

transparency

When we know what's going on we can change it.

 

Knowledge

knowledge

The more we know, the better ideas we have.

 

Rationality

rationality

The more objective thinking we do the better decisions we make.

 

Compromise

compromise

We all live together and and depend on each other.

 

Capitalism has proven itself to be the most effective economic system for delivering progress and benefits to society at large as well as brave individuals. However, there are requirements to keep its forces from acting in pure self interest. Because capitalism is based on the brain's survival, greed and drive-to-win attributes, unfettered capitalism crushes itself as a system. When looking at the methods needed to get the benefits of market forces, while minimizing the negatives, think of capitalism as a sports league. Here are the boundaries needed:

  • Rules (everyone must play by the same rules - not have special allowances garnered by lobbyists and campaign contributions)
  • Referees (we need regulators that are rule enforcers - not people who can be drafted to play for one of the teams later)
  • Penalties (bad behavior should have repercussions equal to the offense - not a fine that is an income statement rounding error)
  • Fairness (monopolies and oligopolies are not permitted)
  • Player Safety (child labor, sweatshops and discrimination are not allowed)
  • Honesty (we don't want people selling snake oil as medicine)

You would never allow an NFL game to be played without the above; it wouldn't work. The same applies to the economic system. Government is responsible for organizing the playing field for capitalism, managing the boundaries and letting people play ball.

"Capitalism is about adventurers who get harmed by their mistakes, not people who harm others with their mistakes." ― Nassim Nicholas Taleb

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