Ordinary People Under Capitalism Essay

Capitalism is a private system of ownership that is most often open to new ideas and innovations. Capitalism often generates instability especially when it comes to matters of wealth since you find that there are wealthy people and others who are extremely poor. In a society where capitalism is dominant, there are increased cases of matters for example job insecurity, financial crisis, and the great disadvantage is experienced mostly by the people who are poor.

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Taking the example of an entrepreneur in a capitalist economy where a lot of money was spent on the production of the final products. Times are changing due to the rise of new technology. The cost of production has been seen to have reduced almost to the extent of zero percent. This for the entrepreneurs has impacted considerably especially regarding profit for them and their organizations Confino (2014). The technology revolution has helped to change the situations for the entrepreneurs the marginal costs are reducing. As much as the entrepreneurs are counting advantages on their side, the poor people who depend on average or below average salaries continue to encounter many challenges. In a capitalistic society, the rich continue to acquire more and more wealth as the other people continue to toil to at least reach an average level which is not easily attainable.

However as time continues to pass and things continue to change, capitalism will no longer be applicable. According to Hunton (2014), he says that due to the inequality in the levels of wealth, there has been a change in capitalism. Therefore, the chances for survival of capitalism are minimal. He agrees that for capitalism to be present, the inequality levels must exist. He continues to explain that where these levels are high, high taxes are imposed on the people including the wealthy people who think that they are always at the top. On the other hand, the Government still needs to keep the country at a stable economic state; therefore, the tax rates may be increased making both the rich and poor to face harsh conditions.

For this entrepreneur to survive in a state with capitalism since it still exists, they have to adopt the new methods that are a threat to capitalism - first, the creation of a collaborative commons which are transport, communication, and energy that bring in new ideas that help to or do the commonly known sources, for example, the use of internet in the media industry. Second is network neutrality which is not going to be easily stopped. Entrepreneurs will suffer since there are bigger economies who intend to take control over the internet. Therefore procedures for building networks that can help the entrepreneurs achieve great success should be brought in to assist in building connections for the successful conduct of business. Also on the advantageous part of low costs of production, they should be looked into carefully. The resources are limited therefore reducing the costs of production is a threat primarily to the resources. Since the population in the world is still growing, minimization of the costs of production as part of capitalism is destruction to the limited resources that we have. This may end up leading to exhaustion of the remedies and the entrepreneurs will end up suffering out of actions they thought were to help them but on the contrary are a source of disaster to the world.

Conclusion

In conclusion, entrepreneurs should be in support of the ideas that go against capitalism since capitalism despite the advantages, has more disadvantages than advantages when critically examined. Apart from the extremely wealthy people who always want to have and own all the resources, they should also leave a chance for others and also to consider about the well-being of the future generations especially when it comes to the resources and equal distribution for all persons and the future of entrepreneurship.

References

Confino Jo (2014) "Radical new economic system will emerge from the collapse of capitalism" Retrieved December 15, 2018 from https://www.theguardian.com/sustainable-business/2014/nov/07/radical-new-economic-system-will-emerge-from-collapse-of-capitalism

Columbia University "The Centre on Capitalism and Society" Retrieved December 15, 2018 from https://capitalism.columbia.edu/

Hutton W (2014) "Capitalism simply isn't working and here are the reasons why" Retrieved December 15, 2018 from https://www.theguardian.com/commentisfree/2014/apr/12/capitalism-isnt-working-thomas-piketty