Capitalism and Governin Ideologies
Capitalism is an economic ideology. It is often mistakenly placed in the same category as governing ideologies that may contain complete economic ideologies, such as Marxist-Leninism or Fascism. It functions under almost all kinds of governments and governing ideologies, but works optimally with the following government and social characteristics:
- Strong legal and societal recognition of property rights (this is something too many environmentalists fail to understand)
- Personal freedom with the minimum level significantly less than seen in the US (e.g. Singapore or China)
- A transparent government that supports the concept of corporations and keeps crime at a low enough level
- A transparent legal system which delivers the best possible approximation of equality under the law in both criminal and civil law
- Low levels of governmental corruption (which is really a side effect of #'s 1-4. In general, the more regulation, the more corruption.
- Not overly high taxation of corporations or individuals - put another way, government spending needs not be too large a part of the economy
- A minimal regulatory environment - one that meets not overly ambitious social goals with overall system efficiency.
Posted by John Moore at January 29, 2005 04:33 PM
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