Jeff Carter defends the risk inherent to capitalism with some hard truths:
But when you look at a capitalistic society in sum, it raises all boats faster and improves entire societal standards of living more quickly than centrally directed government programs. Critics of the US welfare state like to say that we have the richest poor people in the world. They are correct. It's no fun to be poor in the US, but it is a lot better being poor here than it is in India, China, Brasil, Russia, or anywhere else on the planet. That's because of capitalism.Creative destruction and risk are two elements that scare the Luddites that decry capitalistic methods to improve society. Older businesses get ripped apart by new innovation. To start a new business involves assuming risk. Will it work? Will it get overwhelmed? Will older businesses innovate faster and crowd out the new business? There is a lot of uncertainty in capitalism. But uncertainty breeds opportunity.
A capitalistic economy is always adapting, which means that people and companies who don't adapt will be left behind. This is capitalism's inherent risk and incentive. It works.
