the Culture Bomb

On the Disintegration of Capitalism

There is nothing new here

At first capitalism was progressive, opening up new markets as an efficient way of producing goods. But capitalism became regressive and less efficient, as competition among manufacturers decreased and economic power was concentrated in fewer and fewer hands. The growth of monopolies was inevitable, because competition produced winners as well as losers. Soon the monopoly system outgrew the original capitalist system of product diversity. Rich monopolists got richer by increasing profits, and poor workers got poorer because profit was taken from their wages. They became pauperized, and, as small business people were squeezed out by competition, they swelled its ranks. Under free market conditions, a glut of labourers caused a decrease in wages, intensifying poverty. Because of cheaper labour, profits increased. For a while, profits were reinvested in production, but eventually production generated more and more goods able to be bought by fewer and fewer people. This downward spiral of…

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This entry was published on September 27, 2015 at 6:16 am and is filed under Uncategorized. Bookmark the permalink. Follow any comments here with the RSS feed for this post.

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