
Originally Posted by
LeBrok
This is false. If this was true, the biggest banks would exist in Africa. Poor and unemployed people are not good for economy. The biggest money businesses and banks made during economic boom. Check the statistics.
Banks lend you money, to help you grow your business. For this you agree to pay it back with interest. It is in bank interest that your business is successful. If you are not successful and go bankrupt, then banks don't make money, they actually lose money with bad business.
Banks also lend money to individuals. Why would banks wanted you to get fired from work? If you lose your job you won’t be able to pay back your loans and banks lose money on it. It doesn't make sense.
Actually cost of production is rising in China. This is a normal way when country gets developed.
Capitalism is not about to die. Capitalism is at least 300 years old. It wasn't formulated and invented by a scientist or politician way back. It happened naturally and gradually thanks to new technologies, machines, engines, faster production of goods, and grew slowly from humble beginning of first manufacturing in GB. Later it evolved through couple of hundreds of years, in what we call free market capitalism. It started benefiting nations so much that it killed feudalism with its strong backbone of hereditary rights. It showed socialism how socialism was unproductive, backward and unsustainable. In result, socialism was abandoned around the world. In comparison socialism was invented by philosophers and politicians, experimented against will of majorities, and eventually failed.
Capitalism is an evolutionary system that adapted itself to human nature. That's why it works, and the other production systems failed.
What we don't like most about capitalism is that capitalism has phases. Phase of growth known as economic boom, and phase of downturn that we call economic crises. These two phases are actually what make capitalism work. Economic crisis is the most important one for its success. Crisis weeds out bad and unproductive businesses. Businesses that survive are the once that were good and prosperous. Eventually it rewards every person in the country, businesses as well as people. One might compare capitalism to nature and natural selection, survival of the fittest. That’s why it worked 200 years ago and it works now.
So, we have another recession. Nothing new, it’s just a little different than other recessions, but they all differ somewhat. We’ll fix finances, slap few improved regulations, and life goes on…capitalism all the way.
Who will hate it, and tries their own economical model, will fail sooner or later and come back to the best economic system we have so far.
So what that it is not perfect, so are we, people. At least capitalism has ability to adapt quickly to changing environments and capricious human nature.