In The Free Market Capitalism in the United States by Milton Friedman, Milton explains why capitalism is not the right answer to economic growth in the United States. Milton is no fan of socialism. Instead, he believes that capitalism is the answer to America’s future.
Milton lays out a case for why capitalism works and why socialism does not work. I will outline some of his points in this review.
Free markets are a very important element in capitalism. It is how the market is able to function as efficiently as it does. The free market ensures that prices are competitive and that production and sales do not affect each other in any way. Markets operate on the premise that supply meets demand. There is no limit to the amount of supply as well as the number of buyers.
Production and sales are driven by what the producer sees as the best use of resources at a given time. If the producer sees that a product or service can produce more profits than a competitor, then they will buy up that competitor’s goods and services. If, however, the competition is considered inferior, then the producer will simply close their shop and make a profit from what they have leftover. There is no need for a central planning board to dictate what should not be produced.
Free markets give consumers more choices. It is rare that you see a consumer in the United States shopping around for the best price on a product. Instead, consumers depend on big business to find the products that they want at the best price possible. This has lead to the high cost of goods in the United States.
Free markets also ensure that workers are able to buy the products that they need. They know that they have the option of shopping around for the best price available to them as well as having the option to work with their employers to get a higher pay rate or benefits. There is no need to rely on labor unions to negotiate a good working environment for the workers.
It is also important for consumer confidence in the United States. If a person is shopping around for a better deal, they are less likely to make an impulse purchase just because they can see it all available for sale online.
Free markets also create a sense of fairness and justice. Since there is competition, prices are often fairer. than fair. In fact, it is common for one business to raise its prices just to be able to remain in business.
The only thing holding back the United States from being a fully market capitalism in the United States is our government. We have a government-run economy. However, we have a strong social safety net to help people who cannot work themselves out of financial hardship. If they need it, they can obtain it.
As we look at the market in the real world, it is clear that free-market capitalism actually helps us. as a society and as a country.
Free market capitalism in the US is actually a very attractive concept. Many Americans have a hard time living within a social structure that is based on government. A lot of people feel that it is too regimented. and bureaucratic.
However, in today’s economy, with more people working for themselves, it is not the time for a government-run society. We need to continue to evolve and improve upon the system. Our economy will become much more efficient and productive in a shorter period of time.
The United States is very lucky to have free-market capitalism. The world as a whole is not so fortunate. and is stuck in a socialist or centrally planned economy.
The only problem with market capitalism is that it is very difficult to get in and get out of. it. You have to spend your money in order to make it.