Thread regarding Dell Inc. layoffs

Is Capitalism Failing America?

Is Capitalism Failing America?

When the American Promise No Longer Feels Promised

There was a time when America made a remarkably simple promise: work hard, get an education, develop valuable skills, and you could build a good life.

A good job. A steady income. Health insurance. A home. A car. A family. Children. A retirement.

None of these things were guaranteed. But they were attainable—and, for generations, they were a reasonable expectation for someone willing to work hard and play by the rules.

Today, that promise feels increasingly broken.

A person can earn an MBA, a PhD, or multiple advanced degrees. They can spend 25 years developing expertise in a specialized profession, create enormous value for their employers, and still be laid off tomorrow. Experience, loyalty and education are no longer reliable paths to economic security.

That raises an uncomfortable question:

Is capitalism failing America?

I don't believe capitalism itself is the problem.

Capitalism is extraordinarily good at creating wealth. It rewards innovation, entrepreneurship and risk-taking. It gives people the opportunity to build something valuable and be rewarded for it. I have no resentment toward people who become wealthy. If someone builds a great company, creates jobs and generates enormous value, they should benefit from that success.

But somewhere along the way, something has been lost.

The modern corporation can eliminate thousands of employees because doing so improves profitability, and it can be entirely rational from a shareholder's perspective. Employees, meanwhile, can give decades of their lives to a company and discover that their relationship with that company is ultimately transactional.

The employee is told to invest in themselves.

Get educated.

Work hard.

Develop expertise.

Create value.

But the corporation makes no comparable promise in return.

That is a fundamental change in the American economic bargain.

And then there is the extraordinary concentration of wealth at the very top.

I don't begrudge billionaires their success. But there is something profoundly unsettling about a system that can produce individuals with fortunes so enormous that the numbers become almost incomprehensible, while millions of people who work hard every day struggle to afford housing, healthcare, education and retirement.

This isn't about envy.

It is about proportion, fairness and power.

Extreme wealth isn't simply about having a nicer house or a better car. At extraordinary levels, wealth becomes economic and political power. Ownership of enormous amounts of productive capital allows wealth to generate more wealth, often at a rate that someone dependent primarily upon wages can never hope to match.

That creates two very different economic realities.

For the person who owns billions in assets, the economy can work while they sleep.

For the person whose primary asset is their ability to work, losing a job can bring the entire economic engine to a halt.

That disparity doesn't mean wealthy people are evil, nor does it mean they haven't earned much of what they possess. Many have created extraordinary companies and changed the world.

But extreme success is never entirely the product of individual effort. It also depends upon opportunity, timing, education, infrastructure, markets, other people's labor—and, inevitably, some degree of luck.

Perhaps we should be willing to acknowledge that.

The problem isn't that someone has become extraordinarily wealthy.

The problem is that too few people have a realistic opportunity to become financially secure.

That is the distinction that matters.

I don't want to make the wealthy poor.

I don't want to eliminate the incentive to innovate, invest, build companies or take risks.

I don't want equality of outcome.

I want equality of opportunity—and an economic system in which hard work still provides a reasonable path to a secure and dignified life.

A young person who works hard and gets an education should have a realistic chance of buying a home.

A family should be able to survive an unexpected $10,000 expense without financial devastation.

Someone who has spent 25 years developing expertise should not feel that their entire economic security can disappear overnight simply because a corporation needs to improve its quarterly numbers.

And someone who works hard for decades should have a reasonable expectation of retiring with dignity.

Capitalism doesn't need to be destroyed.

It needs to be recalibrated.

The goal should not be to tear down the people who have reached the top.

The goal should be to rebuild the ladder so that everyone else has a realistic opportunity to climb it.

Because capitalism works only when people believe the game is worth playing.

When people believe that hard work, education, innovation and perseverance can lead to a better life, they participate. They build. They invest. They innovate. They believe in the future.

But when people begin to believe that the system is fundamentally stacked in favor of those who already possess the most wealth, they don't simply become frustrated with the economy.

They lose faith in the system itself.

And that may be the greatest threat facing American capitalism today.


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| 53 views | | 15 replies (last 22 days ago) | Reply
Post ID: @OP+1m1d6serh

15 replies (most recent on top)

#Chinabot

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Post ID: @k4+1m1d6serh

@hd

What are their effective tax rates?
What percentage of citizens own their homes?
Their Cars?
Or are they basically wards of the court and entirely dependent on the gub'ment?

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Post ID: @ja+1m1d6serh

@hd US has 347 million people. compared to what 10m 6m. Less people easy to implement new policy.

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Post ID: @j1+1m1d6serh

@h9

Norway, Sweden and Denmark

Norway, Sweden and Denmark aren't examples of socialism replacing capitalism and succeeding. They're arguably examples of capitalism being combined with substantial redistribution, public services and government ownership in selected areas.

These countries have extensive socialist policies which work within a capitalist society.

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Post ID: @hd+1m1d6serh

Name one true Socialist country that has worked? Not Norway with low population and Social programs. A true Socialist society.

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Post ID: @h9+1m1d6serh

Every economics school of thoughts has it's pros and cons, and loopholes. Capitalism, socialism, and communism are just different ways of thinking. Problem is we politicalized them with labels. Fundamentally, the core value of socialism and communism are putting the people first, money second. Capitalism has no core value for humans, its a school of thoughts on how market works. Corporations politicalized by branding capitalism as democracies and everything else is against democracies. The love of money is the root of all evils, and we ultimately led a way of life as modern slavery to make money for corporations. Just like Cigarettes are cool, alcohol is fun, fast food is tasty, make-up is beautiful, luxury is upper class, Capitalism is democracy... all design to enslave us and use us to enrich the people at the top. We allowed it to happen because we can't get out of the system, our schools (influenced by religions or corporations) and parents teach us from a young age a life to stay in the system, until you figure out how to be the 1%. The first Matrix movie is more apt in describing life today than ever before, but our eyes only see the action part of the movie and ignore the real meaning the directors intended.

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Post ID: @eb+1m1d6serh

ok Stephen King.

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Post ID: @e0+1m1d6serh

It hasn't been Capitalism for more than a hundred years. When the US government and the US federal reserve interfere, both are trying to keep things propped up. They choose what to prop up instead of letting things fail.

Go look up Capitalism in its truest sense. Any interference is by definition not capitalism.

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Post ID: @cs+1m1d6serh

Reaganomics is what failed America. It all trickled up, not down. 45 years ago, many analysts and economists warned us. The boomers didn’t listen. They benefited, we the following generations paid for it.

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Post ID: @ck+1m1d6serh

@aw I agree 100% with your comments. We know that the bean counters at BAIN and the educators at schools like Wharton, Stanford, Harvard, etc , all teach that the #1 priority for a business is to increase profits for its shareholders. But those "profits" are all now short-term profits rather than long-term growth, stability, and financial health. And worse, the short-term profits are created by laying off tens of thousands to make the quarterly numbers look good to the street. It's all a daily pump and dump scheme today, influenced by whatever the daily headline in the news is and quarterly EPS numbers. Meanwhile, families are literally being ripped apart in the process.

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Post ID: @c6+1m1d6serh

Greed and people is what is failing America. The ability for our politicians to see the forrest through the trees vs. get the “burn” on social media is what is failing. Their political jockeying and greediness is what is ki-ling hard working Americans. Working at Dell is a direct reflection of the United States. Terrible terrible politics and politicians (not leaders) and hard working people getting sc--wed by them.

We have taken soulless ghouls and for some reason they are running the nation and Dell. They need to be stopped.

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Post ID: @c0+1m1d6serh

Ideology of capitalism is not the problem. The issue is the 50 years of education on shareholder maximization which is engrained into all business people as the only objectives. Nowadays, investors don't even focus on profits or PE ratio. Just buying on pump and dump trends. Gamestop pretty much proved the whole stock market is rigged.

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Post ID: @aw+1m1d6serh

No one will have any money left to buy the garbage these billionaires are selling. Eventually the dollar will collapse and their billions won't be worth the paper its printed on.

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Post ID: @af+1m1d6serh

I agree. Corporate greed needs to be reigned in. Private equity and big investors need to be governed / limited.
Do you know the differences between how Ford and Chevy were run in the early days?

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Post ID: @a3+1m1d6serh

Good read.

Ultimately I feel the country ia at a crossroads. If the Uber rich (MD & the like) continue to devastate people's lives for a few profit basis points...America will change radically.

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Post ID: @a2+1m1d6serh

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