Capitalism is an economic system based on the private ownership of the means of production and their operation for profit. Central characteristics of capitalism include capital accumulation, competitive markets, a price system, private property, and the recognition of property rights, voluntary exchange, and wage labor.

Capitalism creates classes. It may not select winners and losers, but it does create an environment where some progress and others fall behind.

The poorest (those who are homeless, under-housed, or living below the federal poverty line ) amongst us have an interesting relationship with capitalism. More than any other group, they are sold an idea of the American dream. Despite economic hardship, generational poverty, or the impossibility of succeeding without some form of assistance, they are told to picture white picket fences, two cars in the garage, and life in the suburbs. They are often sold this idea without first acknowledging the systems which keep people in poverty. Before them lies a minefield filled with unaffordable housing, inequitable education, an unfair and unbalanced criminal justice system, denial of work based on criminal history, lack of access to mental health care, racism, sexism, and much more.

Instead, without fully acknowledging the deck stacked against them, we tell them to pull themselves up by their bootstraps. We highlight the few success stories of those who made it out alive without fully understanding our need to reach behind to pull forward the next person forward in need. We do not speak of the countless programs meant to move people out of poverty. We ignore those who tried and failed; chalking it up to some internal character flaw. We mock safety nets meant to protect people and ignore them when they work.

Yet, again, no economic system in human history has done more to pull people out of poverty. Yet, the system creates winners and losers. It is possible for these things to be true at the same time. It can also be true that it does not have to be this way.

We can have an economic system that rewards risk, liberty, determination, and hard work, but at the same time acknowledges the unfair playing field. The treasures of capitalism can be used, without placing a tremendous undue burden of those who have succeeded, to fix the systems which keep people in poverty. We can have a system that rewards and saves. We can have a system that raises all boats in the harbor.

We designed capitalism to work this way and we can design it to fix what ails us. It begins with a choice.

Be good to each other,

Nathan  

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