American Capitalism

[VikingKing]

Does the American Capitalist system allow socialist systems of smaller/ weaker cultures to exist?

If the American economic system took an even harder hit, would socialist societies fall?

Would any socialist societies that exist today, exist if it was not for capitalism?

 

[AttackFormation]

Do you know how money is made?

 

[Mike32ct]

Not so much our capitalist system per se, but the huge defense spending of the US indirectly supports socialism in other western countries. Being under the NATO protective umbrella (largely funded by the US) allows other western countries to pay for universal healthcare and other socialist programs because they spend less on defense.

 

[taiyuu_otoko]

Generally speaking, as countries weaken, they become MORE socialist.

Pure capitalism is when everybody works and gets paid by people who invest profits back into their business. Capital is really just saved money. People produce more than they consume, and invest the difference. The invested difference is "capital." A system that thrives and grows in that invested capital (the net difference of production minus consumption) is a capitalist system.

When companies are big enough to pay the government to make laws to protect their business (making it harder to the competition to get started) then it becomes a "crony-capitalist" system.

When enough people can't find work and depend on the government for their money (for food and rent), which is taken by the government from producers, then it's socialism.

All societies tend to follow a similar path from inception to collapse:

Capitalism-->Crony Capitalism-->Socialism-->Collapse

 

[Stagger Lee]

Capitalism nowadays is seeking to eliminate social safety nets or socialism through outsourcing industry and avoiding taxation and political activism-trade policies, privatization of public sector, immigration and workers.

The west had unrestricted capitalism during the industrial revolution and up till about the early 1900s, with result of little middle class. Under a mixed capitalist system there was a large middle class. Now we're going back to unrestricted capitalist model of outsourcing, free trade and immigrant workers. I can't see how any middle class or social safety nets can survive with those policies.

You could look at the automobile industry for a model of what happening with all industry. First the West basically invented the auto, the workers were a near slave class then the private sector solution of unions and government created a strong middle class, then nearly free trade of autos importation, non-Union foreign transplant mostly in southern states , now the plants are all setting up in China and Mexico.

 

[Tenacity]

There's no true capitalist countries, the US is a mixed economy of capitalism and socialism which I believe is the best mix. Capitalism doesn't work as efficiently in my opinion, unless there's:

-> Some form of a safety net

-> Efficient regulation to make sure everyone plays fairly

-> A justice system that corrects the imbalances through civil awards or criminal procedures if fraud is involved

-> A tax system that doesn't tax TOO MUCH but taxes ENOUGH to support the military and domestic spending in areas that the government is willing to manage that other private sector companies aren't willing to participate in.

-> Also, while I don't agree with it in practice, I did agree with bailing out the banks to avoid a serious economic downturn, but I was expecting there to be some restructuring associated with it to avoid it from recurring and there's really no changes implemented.

The debate in the US is on the shift of balance in capitalism and socialism. Republicans (like myself) believe we should have more capitalist focused policies and as few socialist focused policies as possible, keeping government as limited as possible while being efficient. Democrats believe that the government should play a larger role and businesses play a smaller role in this balance, with government taxing higher to spread the wealth concentration around the income classes.

 

[Tictac]

Unrestricted capitalist mode?

Hilarious!

Big business, big government and big labor own and run you stagger lee. Government for sale to the highest bidder, big companies lining up to buy them.

Capitalism has lifted more people from poverty than anything in human history. Corporatism and government stooges are not capitalism.

The tax code is written by Congress, enacted by the President and enforced by the IRS. If there are dodges, it's because government put them there and keeps them there.