Capitalism Is a Force for Social Progress - Essay Example

 Capitalism Is a Force for Social Progress Capitalism is an economic system that has existed for many centuries and it has undergone many changes through adapting to different social or political circumstances across the world (Banaji 2007, p.47). Capitalism is largely responsible for the world as it is today and this is the reason why, even despite some of its failure, it is still the most popular economic system; with many not seeing an alternative to it. The ability of capitalism to change in such a manner as to adapt to different circumstances is one of the reasons why it has allowed for positive changes within society which have ensured that it is sustained. The capitalist system has largely been responsible for the development of technology that is used in the modern world. Technological development in the modern world is as a result of funding from capitalist entities which have ensured that there is technology for everyday needs. People in society today cannot do without technology because the latter allows their lives to become easier since they are able put in less effort in order to conduct everyday activities. The swift technological development that has been seen in recent decades would not have been possible without the investment of capital since this is the motivation behind individuals becoming innovative (Goldstein and Lee 2005, p.212). In most circumstances, it is the possible financial incentives as well as the need to improve on current technology that has spurred individuals to develop even better technology. Through the efforts of these individuals, the investment that is made in their projects and their hope of gaining a profit from their inventions encourages individuals to create technologies that are useful for the whole of society. In this way, capitalism has contributed to social progress because it has enabled the development of technology that is put into use by billions of people every day. This is a circumstance which would not be possible in any other economic system, especially communism, because the incentive to advance technology would not be there since in the latter economic system, individuals do not gain from what they invent. Only under the capitalist system do individuals have the right to private property and this gives them the freedom they need to become innovative. Capitalism has been credited with enabling individuals who come from relatively poor backgrounds to advance in society and this has encouraged people to work hard as a means of securing this advancement. A result of these circumstances has been that capitalist societies have become more advanced through the efforts of its people to ensure that they develop proper conditions through which to rise. Securing success has become a motivator in making possible social advancement and this has spurred individuals to ensure that they develop an understanding of how to manoeuvre in their societies so that they can be able to improve their lot in life. The capitalist system as it is has seen individuals take advantage of technology to help in their rise to the upper classes of society and this has been through getting involved in business enterprises that allow them to advertise their products to a wide audience (Kerin 2012, p.31). Once they are able to make large sales of their products, they are able to make enough capital to build their small businesses into larger enterprises which also ensure that they advance in life. The capitalist system is compatible with social progress because it makes possible the natural advancement of individuals into the upper classes through hard work and the use of intelligence to create wealth. In this way, only the most capable and deserving individuals are allowed to become part of the elite within society, thus making possible its further advancement through good leadership. Capitalism allows for competition because of the free market environment that it creates to such an extent that only the best functioning entities are able to do well in society. Because of competition, companies have to map out their key objectives in such a manner that they are able to develop the markets that they currently have as well as opening up new markets for their products and services (Burns 2006, p.282). In order to achieve this, these companies have to employ the most talented individuals within the society because more than any other people they are capable of ensuring that the companies they work for remain a success. Talented individuals in society are thus able to get a chance to advance their lives and this is done in such a way that they also use their talents for the benefit of the rest of society. Individuals within a capitalist system are accountable for creating an environment where there is sustainable growth in a way that the environment itself, as a result of competitiveness, is one where there is continuous growth since all entities within the systems compete with each other to create better products. Capitalism helps in ensuring that society only attains the best products and those that are of low quality do not receive a favourable reception in the market. This makes it possible for the continued progression of society since all products that are needed to ensure its advancement are of good quality, since all entities aspire to outdo one another in producing better products. Capitalism is a system that ensures that only the most competent individuals are able to join the ranks of leadership in society. This is done through the competitive nature of capitalism where only the best and most intelligent individuals are able to succeed within society. In this way, it is possible for there to be the development of an atmosphere where all aspects of society, such as political, social and economic, are in the hands of competent individuals (Barnes 2004, p.127). Through such competent leadership, the entities under their leadership are placed under an environment where there is discipline as well as the urge to learn and improve efforts to ensure that they are a success. Through learning from past experiences as well as cultivating talent in their areas of jurisdiction, leaders in capitalist systems ensure that they are able to weather any crises that might arise. This creates a situation where there is swift development within society since people are led by competent leaders who know what they are doing and whose sole aim is to ensure that they achieve success. Capitalist systems are unlike Marxist ones mainly because the most competent individuals are provided with the opportunity to lead society which makes sure that there is social progress. Marxist systems, which propagate the belief that all individuals are equal, tend to promote some individuals who are not well suited to leadership positions and this, because there is a lack of competition, means that they are unable to be effective in achieving social progress. The strength and resilience of capitalism makes it possible for societies that subscribe to it to recover effectively from any economic crises that might arise. This is because capitalism is a system that relies heavily on the forces of demand and supply in society and this situation is always consistent no matter what the economic situation might be (Fulcher 2004, p.41). Capitalism therefore can be able to survive any economic conditions that might exist because there are always individuals who are willing to supply products and services while there are others who are willing to purchase the same. In capitalist systems, customers have a choice concerning what they would like to purchase and this allows them an opportunity to choose between different products in the market. In case there are any deficiencies within a certain products, customers can always others of better quality because capitalism is all about competition (Bellamy 2003, p.60). In this way, this system allows for social progress because business entities are forced to design products which are most needed within the economy rather than creating those products which do not have demand and have been made for the sake of fulfilling a given quota, such as in the communist system. Capitalism allows individuals the freedom to choose the direction of their lives and these do not rely on the state to do so; helping in the development of a progressive society where all individuals within it are able to make their own path towards advancement. In conclusion, capitalism acts as a force for social progress through ensuring that much needed investment is put in the development of new technology that is of use to society. Furthermore, it allows for social mobility where individuals move from the lower classes of society to the middle and upper classes. In addition, through the trickledown effect, capitalism is a force for social advancement because it ensures that even the poorest individuals in society are able to gain from it through the institution of social welfare programs. The competitive nature of capitalism has ensured that only the most competent individuals in society are able to become leaders and this makes possible its further progression. Finally, capitalism allows the society to recover and continue progressing even in circumstances where the economy has to go through crises. References Banaji, J. 2007. "Islam, the Mediterranean and the rise of capitalism". Journal Historical Materialism, vol. 15, pp. 47–74. Barnes, T.J., 2004. Reading economic geography. New York: Blackwell Publishing. Bellamy, R. 2003. The Cambridge history of twentieth-century political thought. Cambridge: Cambridge University Press. Burns, J., 2006. "Godless Capitalism: Ayn Rand and the Conservative Movement". In Lichtenstein, Nelson (ed.). American Capitalism: Social Thought and Political Economy in the Twentieth Century. Philadelphia: University of Pennsylvania Press. Fulcher, J., 2004. Capitalism a very short introduction. Oxford: Oxford University Press. Goldstein, D. & Lee, Y. 2005, "The rise of right-time marketing". The Journal of Database Marketing & Customer Strategy Management, 12(3), pp. 212–225. Kerin, R.A. 2012, Marketing: The Core. New York: McGaw-Hill Ryerson. Read More