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Here, first of all, we should define the concepts. What is meant by the prosperity of capitalism? If we are talking about the fact that until the middle of the 19th century, capitalism lived according to the rules of free competition and everyone could become a millionaire by working hard, then this is one thing. Another is the regular crises that lead to bankruptcy and ruin of many entrepreneurs. Etc. etc.
Beginning in the late 19th century, capitalism entered a stage of monopolistic development – imperialism. Since then, the market has been managed by large international monopolistic associations. And the process of their enlargement and redistribution of markets continues constantly. A couple of times it was only interrupted by two world wars, which became a direct consequence of this process.
Practically nothing has changed since then, except that the internal contradictions of world imperialism cannot be removed at the expense of a new world war. At least not yet.
The point is that capitalism is not a perfect thing in itself. This is a set of phenomena, principles, paradigms, and other smart words that more or less accurately describe the modern approach to doing business.
Capitalism, in itself, is disgusting. It allows for the exploitation of workers, inequality of opportunity, destruction of ecosystems, crises, and all the rest, but at the same time it was under capitalism that many deadly diseases were defeated, hunger and access to drinking water were solved in half, destructive tribal conflicts were stopped, and the standard of living of the poorest European workers today is many orders of magnitude higher than that of Louis XIV, because
That is, capitalism is already steeper than feudalism and slavery. And the system that will come after capitalism will be even steeper than capitalism.
The prosperity of capitalism is hindered by capitalism.
In order for the market to work normally, the buyer must have money to buy goods. And under capitalism, part of the value of goods is not returned to the market (it goes to pay for loans, “settles” on accounts, is invested in securities, etc.)
The result is that part of the product is not sold, and the person who released this part-bears losses. Along the “chain”, its employees suffer, and the money becomes even less.
To avoid such a prospect, the state is forced to “pump” part of the money towards the poorest segments of the population, and banks are forced to “throw in” new money through credit… But both ways create no more problems than they solve.
All these questions arise from the fact that the word “capitalism” means something that is not clear. Marx himself attributed this to the economic systems in Europe in the 19th century. But now the economic systems in different countries of the world are completely different, and nowhere do they resemble Marx's description. Therefore, talking about capitalism is completely pointless.
The question is not entirely correct: what is meant by the prosperity of capitalism?
If this refers to the development of capitalism, then its main problem is at the heart of capitalism itself, namely, the need for constant growth, and since the globe is not rubber, the growth of capitalism is limited by the size of the globe. Now, in order to develop, you need to squeeze markets from others, you can do this in two ways:: Method number one is to develop your production and thereby reduce the cost of goods, but since you are not the only one who is so smart, this method works at the very beginning, and then to squeeze out the markets, you will need to apply the second method – in a simple view, fit the aircraft carrier to the desired market and say that now everyone is buying everything from you. This method also has a small disadvantage, namely, it may turn out that the aircraft carrier is not only you and here as in the game peepers, who will look at whom.
Well, something like that.
Read the book “Mistakes of Marxism and millions of innocent victims”. It describes in detail the causes of crises in the economy, and ways to eliminate them. Distortions in development, monopolism in the economy and politics, weak rule of law and protection of property rights hinder prosperity.
Most of all, capitalism itself hinders.
If you give him his freedom, he'll have a crisis.
If you start regulating it, you'll see that the state intervenes and does not allow you to live. And then-still a crisis. Because state regulation is a compromise and suboptimal.
And in general – a lack of brains.
Capitalism is a contract of a huge number of people and organizations whose interests contradict each other. It is theoretically impossible to make this agreement optimal (according to modern concepts).
Moreover, the parties to the agreement themselves may well disagree on the best option. Consider it a clever deception (after all, the interests of the parties contradict each other).
Let's try to list the flowers of capitalism. Socio-economic differentiation, master's servitude. Desocialization, being thrown out of society by unemployment. Criminalization of all spheres of life. Debilitation of the population. The triumph of morality “everything for sale”. Conflict brought to antagonistic contradictions. Do you want these phenomena of capitalist life to flourish? Only the war will provide it.
Oddly enough, capitalism is hindered by capitalism itself. There are no new sales markets and will never be. It remains to reduce costs, robotize production and eat competitors. There is nothing to take from robots, if you save on them, they will quickly arrange a complete shutdown of production. It remains to eat competitors, if anything, and reduce costs. Most often, these are security systems, workplace safety equipment, industrial waste disposal, and workers ' salaries. In the latter case, the consumer capacity of the population is reduced, which starts another round of cost reduction, at least to maintain the rate of profit. As you can see, this cannot continue indefinitely.
The end.
What prevents the illiterate from flourishing? Limited access.
Man lives on earth “illiterate”. “Literacy” in the sense that he does not know the rules of living in harmony with nature. He doesn't understand that everything on earth is one single organism. That it can't be warped, but needs to be kept intact for longer. All ISms are throwing themselves in different directions in search of ways to “progress”..
There is only one progress – to learn how to live competently! 🙂
Capitalism is hindered by internal contradictions. Because under capitalism, the weak go broke and the strong prosper. Sooner or later, only a few strong players in each industry will remain. After that, they will not be able to exchange with each other according to the market principle , because the market works only when there are a lot of players. Therefore, in order to avoid a crisis, monopolies will have to conduct exchanges on a planned basis. Thus, the market outlives itself. And if there is no market, then there is no need for capitalists, that is, owners. The same function can be performed by the state. This is how capitalism also becomes obsolete. Capitalists, realizing this, try to break up monopolies by state regulation , artificially develop small firms, etc., and then they themselves moan about how the state prevents them from achieving prosperity by its regulation. I must say that the stupidest part of the population still believes this.
The prosperity of capitalism is most hindered by socialist China, where all business is completely controlled by the Chinese Communist Party and its government.
I am no longer surrounded by a single commodity that would have been produced in a capitalist enterprise; I am surrounded only by goods produced in enterprises whose profits are distributed among all members of the labor collective.
This says only one thing – Capitalism is dead.
The greatest obstacle to the prosperity of capitalism is the inability to squeeze out of the employee as much profit as the capitalist would like. In addition, this employee wants to drink, eat, sleep, resents unfair treatment, etc. But, unfortunately, there is no other worker for the capitalist
Most of all, the prosperity of capitalism is hindered by capitalism itself, a fundamental contradiction inherent in its essence. The contradiction between the public mode of production and private appropriation of labor results. On a planetary scale, and today capitalism as a mode of production, in most countries of the world we see that out of 195 countries minus 5 socialist, 190 capitalist prosperous only 2 in America, 5 in Asia , 17 in Europe . It is clear that capitalism does not give prosperity to most countries of the world. And the most prosperous just thrive at the expense of the rest.
Most of all, the development and prosperity of the market is hindered by state intervention in the economy, as well as the expansion of state functions, which entails an increase in bureaucracy and an increase in taxes for its maintenance.
For example, in the United States, according to various estimates, the loss of companies from compliance with the regulatory regime is from 10 to 25% of GDP in constant prices, or rounded $2-4 trillion. per year.
The largest areas of regulation relate to:
business and settlement conditions (21% of total regulation);
environmental protection measures (21%);
tax reporting (10%);
working conditions (7%).
The cost of regulatory expenses is partly passed on by businesses to consumers, as well as employees and investors. In the same US, the share of payments for state regulation through taxes reaches 20% of the average annual household income, or approximately $15 thousand out of $70 thousand.
Another burden that hinders the economy is social assistance and redistribution programs, which are the main reasons for the formation of public debt and tax increases. A significant negative effect of these programs is the disruption of prices and competition in a number of industries, in particular, in healthcare, which is manifested, for example, in the high cost of medical services and medicines.
In short: the main harm from the state.