Wednesday, May 12, 2010

Capitalism Vs. Socialism

America offers opportunity to all. We do not live in a fixed class structure. The working poor have opportunity to succeed. There are more millionaires in America today than ever before. Most of today’s millionaire started out poor.

Rush Limbaugh, Glenn Beck, Sean Hannity, Clarance Thomas and Barack Obama are five examples of poor people who became rich. There are millions others just like them. They stared off poor and they rose to fame and fortune through talent, hard work and endless determination. Capitalism offers this same opportunity to everyone.

Glenn Beck employs over 50 people directly. These are all well paying jobs. Many of Beck’s employees earn over $100,000. They all have Cadillac health care plans. Glenn Beck donates 10% of his income to private charities that he chooses. I estimate that would come to 1 million dollars per year. Many wealthy Christians donate to charity anonymously, which means that they do not take a tax deduction on their charitable giving.

When someone succeeds through capitalism, his efforts add to the wealth of other people and our nation. He creates jobs and opportunities in his business. When he spends money, he creates demand for goods and services which create more jobs and more opportunity. The economy grows with each person who achieves success.

Socialism does not produce wealth, Socialism does not create opportunity nor employment. Socialism redistributes wealth, it is a zero sum gain. It takes from one person and gives to another. Nothing is created, the economy does not grow, it stagnates and shrinks due to lost motivation. Capitalism creates wealth and motivates individuals to succeed, socialism redistributes existing wealth and saps future motivation.

I believe that America offers equal opportunity, not equal outcome.

However, socialist entitlements and welfare sap motivation and trap generations in a never ending cycle of dependence. Socialism enslaves people with government hand-outs and creates class envy.

Capitalism offers the freedom to succeed or fail by the merit of your own efforts. More people succeed under capitalism. As they reach for the stars they create new medicines and technologies that benefit the entire world. Capitalism has saved more lives through advanced farming techniques, advanced medical techniques, etc.

Even poor people do better under capitalism because capitalism creates abundance while socialism creates shortages.

Capitalism is a tide that raises all boats.

1 comment:

pcallahan said...

American corporations invested heavily in Nazi Germany, and many like General Motors and Ford had factories there, which also used slave labor and produced war materials for the Nazis. US corporate investment in Germany accelerated rapidly after Hitler came to power. Investment increased 48.5% between 1929 and 1940, while declining in the rest of continental Europe. American bombers deliberately avoided hitting these US factories, and they received compensation from the American taxpayer for any damage after the war. US oil companies sold oil to the Nazis and oil on credit to the fascists in Spain.
Many American capitalists were openly sympathetic to the Nazis. Henry Ford wrote a book called The International Jew: The World's Foremost Problem, and he is mentioned in Mein Kampf. James Mooney, the General Motors executive in charge of European operations, was awarded the Order of Merit of the Golden Eagle by Adolph Hitler. There were op-ed pieces by Nazis like Hermann Goehring in Hearst newspapers in the United States.
The Nazis broke unions, lowered wages, abolished overtime pay, decreased business taxes and increased business subsidies. Their program bears a strong resemblance to the Republican agenda in this country.