It was then I thought to myself, "Why do I care about how fast my car is?" It is merely a vehicle which gets me from A to B. Regardless of size, shape, colour, engine capacity, every car serves the basic function of transporting people (and/or goods) from one place to another.
My thought bubble expanded to include other things in our life. Every good is made to serve a basic function but is then improved, expanded, strengthened etc etc until you remain with something that is slightly reminiscent of the basic model.
I am no economist (heck I never did anything but one semester of economics in high school and that explained demand and supply in the simplest of terms!) but I do realise that the product dynamics of today's society are largely driven by capitalism. There are those who think that greed is synonymous for capitalism. I don't think this is true.
But why does capitalism work? The latest recession may indicate that it HASN'T worked. Ok. So why doesn't communism work? Why do we all strive for more than the minimum?
Because we all want to be unique. We all want to be better. We are all inherently greedy. For some people, they strive to be better for themselves. For others, it is so other people will think that they are better. I find it a problem when others purchase brands so as only to appease others.
I believe that there are products that are worth paying more for than just "what will do the job". I believe that it is important to recognise that everyone is truly unique. However, I think that there is always a challenge to be faced. I believe that everyone should strive to be a better person within.
I KNEW IT!!! I knew there was a closet economist inside of you.
ReplyDeleteThis reminds me of Michael Douglas in the movie Wall Street. "Greed, for lack of a better word, is good."
As an avid follower of economics, I do readily concede that it is probably the most cynical social science around. We make assumptions in economic models like "people are rational", and that "people/firms are utility/profit-maximising". Ergo "rational people always seek more to less" (usually in the form of money).
The bursting of speculative bubbles doesn't really constitute a failure of capitalism. I'd consider it to be one of the unfortunate excesses of capitalism (an unwanted by-product). Then again, do food shortages in a Communist system constitute a failure or a by-product of that economic system?