Can capitalism be too free?

[dimpy.handa]

It is often claimed that capitalism has created all the good things. I'm being a bit loose with my words here, but I'm sure you all know what I'm talking about. The system of markets allows capital to be created, which allows us to move forward with technology and everything else. Unless you're an outright socialist, you must admit that there is at least some merit to this idea. The system of capitalism, imperfect as it may be, organizes us where we otherwise might be unable to form cohesive teams to work together and solve problems quickly and efficiently, and produce new things. The market helps to direct our efforts to useful and productive undertakings, and help us avoid inefficient and unproductive ventures by weeding these out. Where I think the problem lies is that capitalism is essentially to economics what democracy is to politics.

 

[shivibhanot]

I often think...what would happen if I stop consuming as much as i do now. For example, if I wouldn't have an I-pod, a Tom-Tom navigation device, Bose speaker system, X-box, high-end car such as an Audi, an Omega watch, and my Apple computer. We are talking about at least $25,000 I could've invested in helping others. However, as a consumer and business person, I always think that my consumption helps many people...these are all businesses with assistants, accountants, designers, blue-collar workers, etc...and by buying their goods I promote a cycle that hopefully will give these people money to buy what I am selling. If I stop participating in the economy I am part of...I may be contributing to losing my job one day. I am not an economist so I wish somebody would map out how my spending may help others and eventually help me.