Small c Capitalism

I tried to find a cartoon that demonstrated the capacity of Capitalism to bring people out of poverty. Apparently, all cartoonists are Communists. Instead, I made a quick list of people who have worked for my dad since I’ve known them. My dad passed away in 2012. He died of his third cancer. He was a generous boss. He paid for tuition (not reimbursed) as long as you carried a 2.0 GPA. He gave vehicles to his employees, carried notes on homes and forgave balances owed as parting gifts upon retirement. He was the kind of boss of whom you would never leave the employ. His employees now serve the family and operate the business in his absence for we children and trustees.

Mr. Handy talks about a different kind of Capitalism than I grew up with. I never saw cronyism, stock price manipulation, or anything like that. My father’s business was small and privately held. I think the answer to the issue is more small private business and less mega-corporations. I work for a Fortune 1000 Company. We do not have organic growth. We buy out competitors and quickly exhaust any benefit they brought with them in short order. Mergers and acquisitions look great to a shareholder, but to we employees, we know it will be another failed purchase robing us of our needed pay increases.

Mr. Handy suggests better corporate democracy or behavior and more altruism and philanthropy can save Capitalism. I’m not so sure it will. Reducing the scale of corporate entities from the global to the community level will do more. While prices may temporarily trickle up, salaries and labor prices will adjust, just as a lagging factor. The new opportunities in support providers will fill any remaining gaps before too long.

I agree more with allowing market forces to work. Even U2’s Bono has had to recognize the ability of capitalism to reduce poverty and improve living conditions. China’s “state” capitalism is a good example. We need entrepreneurs who are willing to stick it out, not cash out to get there.