Capitalism vs.(?) Human Nature...

Capitalism, in its most basic form, can be summarized as exchanging one’s goods and services for the greatest possible gain. Sounds pretty selfish, right? Only looking to enrich ourselves at the expense of anyone and everyone else?

Capitalism, at its core, cannot be defined as merely an economic system (that is ignorant of the facts); rather, it is an observation of human nature. When I put my goods and services on the market, I want to find the person who will exchange with me that which is the greatest value to me. And this is where capitalism ceases to be an economic system. I may value the warm feeling I get from volunteering more than I value money…or I may value lollipops more than money—whatever it is, I will seek someone who will give me what is of greatest worth to me for the goods and services I provide—and that doesn’t necessarily have to be money.

Here’s an example…if I, as a professional singer, have two offers to perform a concert—one for the Children’s Hospital and one for the Fine Line, then I have a choice to make. If the Children’s Hospital has offered me $2000 to perform, but the Fine Line has offered me $5000 to perform, now I must decide which of these is of greater value to me. If I decide that $2000 plus the good feeling I get from performing for kids at Children’s Hospital who are very ill is worth more to me than the $5000 that the Fine Line offered, then I choose that which is of the greatest worth to me—the $2000 and good feelings. THAT, my friends, is a textbook description of capitalism!

As I seek to exchange the greatest value for the goods and services I can provide, there is nothing that stipulates that my compensation must be monetary. I may be wholly motivated by volunteering, good karma, or frog pelts. Either way…as long as I seek to get the greatest value (whether it is money or not) for the goods and services I can provide, I have acted as a capitalist…what is exchanged for my goods and services simply doesn’t matter.