When these fauxbertarians or liberals hear capitalism most of them will think of child labor, robber barons, poverty, and pollution. But where did these views of the free market system come from? Did they come from the corporations who lobby the government to change the text books, so that future generations will be in disfavor of a free market system? Or has there always been a universal skepticism of free market economics?
In the book Human Action, Ludwig von Mises wrote about philosophers and different schools of thought that only saw economics compatible with only field of science. Using this logic, the schools claimed economics can never be applied to reality. And the reason why they think economics does not work in real world situations, is because they only associate economics to one field of science, instead of all fields of science, since human action (which the market is comprised of) is associated with all forms and fields of science.
Even Ayn Rand's book, Capitalism: The Unknown Ideal. Just going off the title, it is something we should strive for, but we don't know the truth about it yet.
But what is the point of this article if I don't challenge or correct the claims against capitalism. When I mentioned what the fauxbertarians thought of when they heard the word capitalism. And those common thoughts made were child labor, robber barons, poverty, and pollution. 1) Child labor. In 2005 a study, conducted by Eric Neumayer, from the London School of Economics and Indra de Soysa of the Norwegian University of Science and Technology, showed that due to the free market there was less child labor, because once the borders and the market are open investors would not want to invest in companies who used child labor, in order to avoid exploitation.
2) Robber barons. In a truly free market system the only way you could hold a monopoly is having the best quality product among your competition. For example, you have a monopoly on copy paper and your competitor offers a free ream of paper for every ten reams a consumer purchases. In order for you to stay in business you either have to offer better prices or better deals that appeal to the consumer.
3) Poverty. A study done in 2011 by the Research Institute of Industrial Economics found that after Bangladesh opened their trade borders, in 1980, there was a 12 percent drop in absolute poverty.
4) Pollution. In 2009 the Journal of Environmental Economics and Management found that areas that opened trade had cleaner air, because there was less deforestation.
I am glad you made it to the end of the article and I hope you enjoyed reading it. And remember, if you are reading this, you are the revolution.