Stalker0:
An even better question though is whether the Philippines would be richer under a different system?
No matter the economic system, a country's economy is based on a number of factors, one of the most important of which is resources. A country with a lot of resources is going to be richer than a country with few resources.
However, an economic system may help a country utilize those resources better than another.
Is the Philippines poorer than the US, Japan, Thailand, etc? I'm sure they are. But are they poorer than they would be under a state sponsored economy? I'm sure you would say yes, and I would say no.
You're wrong. I wouldn't say yes.
Economic system is not the only factor for making people and countries rich. The Philippines is
rich in natural resources. Pound for pound, it's at least twice as rich as the US, and many times richer than Japan. That's the entire reason people kept fighting over it for so long!
This is a well known and documented fact. In truth, many foreign companies come to the Philippines for the express purpose of getting at those natural resources.
Free market didn't help here. I'm actually rather certain that it wouldn't have made a difference either way. The factors are not in the economic system. Free Market alone doesn't help to make you richer, nor does it help to foster innovation.
In what monarchy can a peasant become king?
Pretty much any peasant who successfully leads an uprising or marries into the royals and gets lucky through the succession can become king. This is true of most royalties.
You wanted some examples of ordinary people, then sure no problem. I have two friends who both dropped out of school and now make 100,000 a year (they both work in sales). My cousin's father in law came to America as a poor immigrant (working as a janitor), got an education, and is now worth 20 million dollars.
Dropping out of school doesn't make you poor. I think you need to get that out of your system.
Your cousin's father is not ordinary. The fact that you know this and take note of it is proof of it. Can ANYONE do so? Can YOU?
I do agree that most poor people in America can't become millionaires. However, if they have the ability to climb into middle class, and then their children gain the ability to move into upper class, the social mobility is there.
The social mobility is not at question in the first place.
I will concede the point due to your experience that Companies spend a great deal of money in advertising and legality. The question still remains though, even with all of that money spent does the capitalist system still provide enough extra wealth that the extra competition cost doesn't matter?
It's certainly better than the usual totalitarianist economic policies and their attendant inefficiencies. Even so, the point is, what is it being compared to? A Capitalist system is founded on the concept of capital being of use to the private individual as power - power to hire, power to declare profit, power to extract value. Does it provide anything extra?
It does not. It cannot. You can't make a worker work more just because you're a private individual. As long as you treat him the same, it doesn't matter if you're a private individual, or you work for the government. It's the treatment and motivation and organizational dynamics that make the difference.
A free market can hinder positive aspects of these just as much as it can encourage them.
Something we can agree on, I do think that too much government intervention in the market can lead to these kinds of problems, hence the reason I like government intervention only to curb the problems with a completely free market.
But that again is only an imaginary theoretical. The truth is, supposedly "free markets" are usually under close government supervision and manipulation through a variety of means, and governments use these hidden machinations to wage the same economic wars against other nations that have gone on since mercantilism was born.
Within their nations, factions and groups use free market slogans, propaganda, market manipulation, political lobbies, and other such means to wage their own wars, workers against capitalists, rich against poor. In a way, there's not really a lot of difference.
I'd like you to clarify this. If the state is not supporting the company in any way, then how is it a state company?
I believe that the state provided the seed capital for the company start-up. Other than that, it's just another state property. The state doesn't use its powers to prop the company up in any way, shape or form.