Isnt greed good in a capitalist society?

Question

i dont like when people say greed isnt good but then they say capitalism is the only way. Isnt capitalism based on greed?

Answer 1

Adam Smith argued that greed -- an individual seeking to enrich himself -- will naturally lead to the world's resources being allocated in an efficient way. His logic is mostly right. If I have a great idea that will benefit society, I will share that idea with the rest of the world only if I hope be enriched by it.

On the other hand, Smith's argument falls short when we consider the idea of equity rather than efficiency. Not everyone has the same access to education, financial markets, government, or the law.

So, we have to make a tradeoff between efficiency and equity. This is why we have agencies like the EPA, the Small Business Administration, and lots of government programs for the poor and disadvantaged.

This is capitalism's way of saying "We need a little equity, too!"

Answer 2

Capitalism is based on the fact that it is the nature of people to act in the own self interest. But if this self interest is not restrained by at least a minimum of moral values capitalism does not work. Wide spread theft, fraud, scams, blackmail, extortion, corruption, etc will kill an economy. Capitalism is a way to harness greed for the good of society , but it does not make greed good, it just acknowledges that greed exists and is not necessarily bad.

Answer 3

Capitalism is based on raw animalistic greed and is also based on the idea that people will do anything for money and prestige.

It is based on greed and pride...two of the most contemptable sins among religious people...hypocritical, isnt it? It is the funniest thing that Christians support a capitalist society when the Bible clearly says...give and it will be given unto you and the meek shall inherit the earth...strange contridiction and I don't know how religious people twist scripture to prove capitalism is a good thing.

OH I REMEMBER...religious people think the verse that Paul said, I wish that you prosper even as your souls prosper, is more valid and significant than what Jesus himself said...Give and it shall be given unto you, or take no thought for tomorrow what you shall eat or drink.

Krazy Kristians/Krazy Kapitalists...all so twisted.

Answer 4

Greed has nasty connotations. We live in a world of scarcity--we have unlimited wants, but very limited supply. In such a world, any advanced society must create a system for allocating those limited resources and goods. We chose money--you work, you earn, you trade in your cash for commodities. Wanting more things is human, not capitalistic, and if you want more, you work harder, you produce more, and the world goes round. Capitalism is just a natural conclusion.

Answer 5

What did Adam Smith say about capitalism and morality?

He seemed to say two contradictory things. In The Wealth of Nations (1776) he wrote these famous words about self-interest: "It is not from the benevolence of the butcher, the brewer, or the baker that we expect our dinner, but from their regard to their own interest. We address ourselves, not to their humanity but to their self-love, and never talk to them of our own necessities but of their advantages." This sounds like selfishness: Greed is good.

But Smith never believed that. In his earlier book, The Theory of Moral Sentiments (1759), Smith defined self-interest not as selfishness or greed but as a psychological need to win favor within one's society. Smith revised The Theory of Moral Sentiments after he wrote The Wealth of Nations. He did not change his belief that moral sentiments and self-interest are the same thing.

Let's not forget Adam Smith. When we do, capitalism loses its moral authority, and the redistributionists win.