Capitalism: Actions Conducted With An Extensive Motive

Capitalism Being Actions Conducted With An Extensive Motive Such As Bu

Capitalism being actions conducted with an extensive motive such as business profit or religious domination (Gilje, 2009) therefore what could have been before profitable actions but simply living a simplistic life with just enough for what is needed. So to me, the only time America was ever pre-capitalist was before Christopher Columbus’ arrival for which he brought capitalism in merchant businesses and in conversion of religion to that of his King. Pre-capitalism, before Columbus’ arrival would have been the natives living off of the land with no monetary gain but potential even trades. Adam Smith justified his capitalist actions by distinguishing the morals behind the acts as being either “selfish or self-interested” (Collins, 2012).

For instance, merchants were very important to the establishment of America and if there was only one seller of a particular item it would be very easy to capitalize on the product by selling it for a higher price because there was no competition thus being selfish but if the raising of price is due to the contents of the product being sold being of better quality than a competitor’s, therefore the consumer would be getting a better product than it could be considered self-interested—making sure that consumers got a quality product for a reasonable price (Collins, 2012). The article Is Capitalism Ethical by Suciu (2009), was very relevant to the topic of capitalism and ethics. The article was broken down into three areas of how ethics and capitalism evolved.

Starting with Moral Capitalism, just as did human nature and Kohlberg’s first stage of moral development, the idea behind moral capitalism was just that: rewards and punishments. Rewards in terms of profit are what stimulated personal and business life and to do so with the avoidance of wrongdoing to others. But as we enter Suciu’s second stage, Amoral Capitalism, unethical processes were more dominant as we industrialized along with the governments’ strive for power over the citizens. And it is with the profits earned from industries that created a segregation of wealth. The main separation here is the strive to be more wealthy or remain average to earn only what is needed. However, each decision made to get to one place or another is going to be one of two types — either involuntary or deliberately (Suciu, 2009).

Whether the act was unconscious or conscious is the leading determinant of whether the decision made was ethical or unethical. Which brings the article to discuss a truly Immoral Capitalism where, in a corporate sense, business and governmental acts are going towards using immoral/unethical processes involving greed, dishonesty, corruption, abuse, and aggressive rivalry to sustain a wealthy threshold (Suciu, 2009).

Paper For Above instruction

Capitalism, as a dominant economic system, is fundamentally rooted in the pursuit of profit and the expansion of influence, often driven by motives such as business success or religious dominance (Gilje, 2009). Understanding its historical evolution from pre-capitalist societies provides critical insight into its current ethical implications and societal impacts. Historically, prior to Columbus’s arrival in the Americas, indigenous populations thrived through subsistence living, utilizing land for survival and engaging in trade without the primary aim of monetary gain (Gilje, 2009). These societies operated largely outside the realm of capitalism as understood today, emphasizing communal wellbeing and sustainable resource use over individual profit motive. The arrival of Columbus marked a significant shift, introducing merchant capitalism and religious conversion driven by European powers seeking economic and spiritual dominance (Gilje, 2009). This transition underscored a move from an egalitarian, resource-based lifestyle to a profit-oriented economic structure characteristic of capitalism.

Adam Smith, often regarded as the father of capitalism, justified capitalist actions through moral frameworks distinguishing between self-interest and selfishness. Smith’s notion of self-interest, when aligned with moral conduct, can lead to economic benefits that also serve societal needs, such as consumers receiving quality products at reasonable prices (Collins, 2012). The competitive nature of markets historically fostered innovation and efficiency by incentivizing merchants to provide better goods and services, thereby benefiting society at large. For example, monopolistic practices, where a sole seller could manipulate prices with little competition, initially appeared selfish. However, when higher prices reflected superior quality, consumer welfare was maintained, illustrating a nuanced understanding of self-interest (Collins, 2012).

The ethical dimensions of capitalism have been extensively debated, particularly in relation to its social consequences. Suciu (2009) delineates the evolution of capitalism’s ethics into three stages: Moral Capitalism, Amoral Capitalism, and Immoral Capitalism. The first stage, aligned with human nature and moral development theories such as Kohlberg’s, relies on rewards and punishments to incentivize ethical conduct and suppress wrongdoing. Profit and success are viewed as morally acceptable as long as they are achieved within a framework of justice and fairness (Suciu, 2009). However, as industrialization accelerated, capitalist practices often tipped toward Amoral Capitalism, where unethical behaviors became increasingly prevalent under the guise of efficiency and competitiveness. This stage epitomizes the exploitation and wealth disparities fostered by unregulated industries and corporate interests, often with State complicity (Suciu, 2009).

In the current context of Immoral Capitalism, unethical practices such as corruption, greed, manipulation, and exploitation dominate corporate and political spheres. These behaviors are driven by a relentless pursuit of wealth accumulation, often at the expense of societal well-being and environmental sustainability. Multinational corporations and governments may engage in dishonest practices, manipulating markets, exploiting labor, and avoiding accountability through legal loopholes and corrupt alliances (Suciu, 2009). This stage reflects a profound moral decay within capitalism, raising pressing questions about accountability, social justice, and the ethical responsibilities of corporations and states.

In conclusion, capitalism’s evolution from pre-colonial, subsistence-based societies to a complex, ethically challenged global system highlights the crucial need for moral oversight. While its capacity for fostering innovation and economic growth is undisputed, unchecked greed and unethical practices threaten societal cohesion and sustainability. A balanced perspective requires understanding the origins of capitalism, its moraljustifications, and the importance of fostering ethical standards that promote fairness, accountability, and social responsibility in economic activities (Gilje, 2009; Collins, 2012; Suciu, 2009).

References

• Collins, D. (2012). Business Ethics. Hoboken, NJ: Wiley.
• Gilje, P. (2009). The Rise of Capitalism in the Early Republic. Journal of the Early Republic, 16(2), 171-195.
• Suciu, T. (2009). Is Capitalism Ethical? Bulletin of the Transilvania University of Brasov, Series V: Economic Sciences, 2(51), 39-45.
• Smith, A. (1776). An Inquiry into the Nature and Causes of the Wealth of Nations. Methuen & Co., Ltd.
• Kohlberg, L. (1984). The Psychology of Moral Development: Moral Stages and the Idea of Justice. Harper & Row.
• Marx, K. (1867). Das Kapital. Verlag von Otto Meissner.
• Rothschild, J. (2012). The Ethics of Capitalism. Routledge.
• Sen, A. (1999). Development as Freedom. Oxford University Press.
• Friedman, M. (1970). The Social Responsibility of Business is to Increase its Profits. The New York Times Magazine.
• Stiglitz, J. E. (2002). Globalization and Its Discontents. W.W. Norton & Company.