Economic systems, like computer systems, have vulnerabilities and are always open to exploitation. Systems are built on the principles of cause and effect. There are rules which should be followed or the system will fail to achieve its intended purpose. The economy is a bit more flexible because it exists as an idea; an intangible. But like a computer, if you introduce a pattern of events contrary to the design, the system will begin to serve another purpose or cease functioning until reset.
Capitalism has been getting a bad reputation recently. Many people blame all capitalism for the increasing problems in the United States. I do not share this belief. In pure logical (or philosophical) practice and explanation, Free-Market Capitalism, is the easiest and most empowering form of trade system. It governs itself and is regulated only by natural market practices without any hierarchical oversight. It works. But this is not what we have in the United States. The United States is a mixed-market practice of Corporate Capitalism, State Capitalism, Crony Capitalism, and a few others that are outside the scope of my argument.
There is a war against Free-Market Capitalism by entities that practice these more complex forms of Capitalism. This is proven by the practice of regulation. Regulation is governed by, well, government; or rather, some entity claiming authority over your trade. At that very moment that you comply to your competitions’ regulations, you no longer practice Free-Market Capitalism. Regulation can be in the form of licensing, taxes, insurance, permits, fines, patent research, and required stamps of approval by whatever alphabet list of organizations that also assume an authority over your trade. Many business ideas are literally regulated out of possibility before they’re even started. There is all that to compete with and we haven’t yet even discussed your competition! Notice that I mention patent research as a regulation. This is important to understand because the patent system has been vulnerable to corporate misuse since its onset. An entity can develop or purchase the rights to a technology and lock it out from supply even though there is demand. And if anyone else comes along with the idea and develops a product, regardless of demand; they won’t be able to supply that need in the market unless it is allowed. But if it was allowed, they risk losing the guidance of the market.
The established monopolistic capitalists aren’t stupid, but they certainly don’t care about you or your idea of proper economic practice. They don’t have ties to countries like the 99 percent do. Corporate Capitalists pledge allegiance to an entirely different animal. I’ve written of it before and it’s called Uniform Commercial Code. You can research UCC if you feel you can handle the excitement, but it is as fun to read as Sumerian Cuneiform. Back on topic, the elitist capitalist knows that to make more money, you must guide the market. You don’t have to have a better product; you just have to agree upon someone having the only readily available one. So, instead of all the major corporations fighting with each other for the top spot in any given market, they meet behind closed doors and decide which entities in the market will succeed and which will not. And then they invest based on those decisions. Now if there ever were any rule governing the practice of proper economics, here is where we would see the very first rule. It deals with conflicts of interests.
1. Any regulation should never come into existence that, in its effect, favors one entity over another; nor can the compounding effect from multiple regulations do the same.
That’s fairly straightforward and obvious why it’s important but because of the failure to adhere to this very logical rule, whole civilizations have been kept in the dark ages. This always leads to the redistribution of wealth from those that don’t have much, to those that do. This is a continued cycle of poverty and slavery by systematic regulation. It’s called guiding the market but it’s easy to see how it does more damage than mere market manipulation. Regulation starts wars.
The core conclusion of the argument is that by establishing a system (any system) with more words than thought, you have set rules that will be followed by some and ignored by others; ignored by those that have written them but enforced upon those that can’t ignore them. The rules of any system have always been written by those that think they are better than them. This is a double standard, and so I choose to ignore them entirely.
Free-Market Capitalism is the only practical solution to facilitate a rebirth of moral values in the United States, but in order for that to happen, government must relinquish its regulatory stranglehold on trade. And if that were to happen, government would barely exist because that’s all they do. Government is an authoritative hand established by corporatists to guide the economy toward Regulated Capitalism; any kind that is not Free-Market Capitalism.
-Jeremy Edward Dion