Friedman on Greed in Capitalism and Socialism \ stacker news ~econ

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Friedman on Greed in Capitalism and Socialism x.com/cboyack/status/1920877410309828643

350 sats \ 6 comments \ @kepford 13h econ

Socialism doesn't eliminate greed—it redirects it from market competition to political competition. The latter is far more destructive.

The common mistake people make when criticizing capitalism is the forget that you can't really eliminate greed with an economic system. You can at best minimize its damage and maximize its benefits.

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132 sats \ 2 replies \ @Undisciplined 12h

I love the word "redirect" here.

Adam Smith's line on this is perfect: “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 self-interest."

Markets make it so that the best outlet for our greedy impulses is providing value to other people.

25 sats \ 1 reply \ @kepford OP 12h

Indeed. Redirect is a great way to think about it.

I think the biggest mistake that is made in fighting socialism is that people do not focus on these flaws. They focus on the totalitarianism of communism. The problem is that all state systems can be totalitarian and really all of them are to a degree.

But even with a bunch of morally pure monks(I know this is impossible but stay with me) running a socialist government it would fail because socialism can't solve the knowledge problem. A price system is needed.

Then given this... we know that humans are not morally pure. Greed exists and you can't rid a society of it. Even a Christian society or whatever will have it. The best we can do is redirect it.

I firmly believe that many statists don't really believe socialism is flawed. Not really. The hold on to many of its ideas. This is why they really feared the USSR and fear China today. The reality is that both realized they needed some free enterprise or they would fail. If the statists in the west truly rejected socialism they would support full free enterprise realizing that it would lead to so much prosperity that any nation that didn't trade with them would fail.

But... its probably nothing. I'm just a nut job.

51 sats \ 0 replies \ @Undisciplined 12h

This is why they really feared the USSR and fear China today.

100%

71 sats \ 1 reply \ @SimpleStacker 11h

How to shut up anyone blaming corporate greed (or any greed) for society's problems:

"When have they not been greedy?"

0 sats \ 0 replies \ @kepford OP 10h

Indeed. Best argument against "price gouging" and price controls.

0 sats \ 0 replies \ @nitter 13h bot

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