From MGMAT CAT1
"Individuals living in capitalist economies suffer a higher degree of personal risk than in other types of economies. Creating regulations that protect a society can’t help but interfere with free market forces, a basic tenet of capitalism."
MY RESPONSE
The advantages and disadvantages of Capitalism is a strongly debated topic. Some people believe that Capitalism is an evil force, relentless and ruthless without any concern towards the individuals that constitute society, but they overlook the benefits that Capitalism provides. Furthermore they overlook the disadvantages of a non-Capitalist approach (i.e socialism, communism). Others believe that Capitalism results in a meritocratic society with a net positive effect. In this essay I will argue that that whilst individuals are exposed to a higher degree of personal risk in capitalism, the opportunity it provides for people to succeed outweighs this concern.
A strong argument for capitalism is the success of modern day America. In the mid 1900's, the Cold War between the USSR and the USA was, in essence a war between Capitalism and Communism. Whilst the USSR strongly regulated its society and restricted individual choice in order to protect its society, these regulations interfered with the growth of the country and eventually led to its downfall. The suffering of its citizens during this period meant that they received neither the benefit of a capitalist society nor the security promised to them under a non-capitalist regime.
The benefit derived from capitalism can be used to protect society without interfering with market forces to the extent that it is an issue. There is little doubt that capitalism, as all things, should not be taken to an extreme and all capitalist countries have measures in place intended to protect its citizens. For instance the social security and income tax collected by capitalist governments are used to create infrastructure that the entire society benefits from. Employers that create jobs lead to greater opportunities for citizens.
I have argued that a capitalism is beneficial and the risk to individuals is negligible given the advantages it provides, the lack of success in an alternative non-capitalist model. Many of the issues with capitalism will be resolved as society continues to evolve.
"Individuals living in capitalist economies suffer a higher degree of personal risk than in other types of economies. Creating regulations that protect a society can’t help but interfere with free market forces, a basic tenet of capitalism."
MY RESPONSE
The advantages and disadvantages of Capitalism is a strongly debated topic. Some people believe that Capitalism is an evil force, relentless and ruthless without any concern towards the individuals that constitute society, but they overlook the benefits that Capitalism provides. Furthermore they overlook the disadvantages of a non-Capitalist approach (i.e socialism, communism). Others believe that Capitalism results in a meritocratic society with a net positive effect. In this essay I will argue that that whilst individuals are exposed to a higher degree of personal risk in capitalism, the opportunity it provides for people to succeed outweighs this concern.
A strong argument for capitalism is the success of modern day America. In the mid 1900's, the Cold War between the USSR and the USA was, in essence a war between Capitalism and Communism. Whilst the USSR strongly regulated its society and restricted individual choice in order to protect its society, these regulations interfered with the growth of the country and eventually led to its downfall. The suffering of its citizens during this period meant that they received neither the benefit of a capitalist society nor the security promised to them under a non-capitalist regime.
The benefit derived from capitalism can be used to protect society without interfering with market forces to the extent that it is an issue. There is little doubt that capitalism, as all things, should not be taken to an extreme and all capitalist countries have measures in place intended to protect its citizens. For instance the social security and income tax collected by capitalist governments are used to create infrastructure that the entire society benefits from. Employers that create jobs lead to greater opportunities for citizens.
I have argued that a capitalism is beneficial and the risk to individuals is negligible given the advantages it provides, the lack of success in an alternative non-capitalist model. Many of the issues with capitalism will be resolved as society continues to evolve.
