Thursday, November 27, 2014

How does living in a capitalist society affect mental health?

How does living in a capitalist society affect mental health?
Speaking as an entrepreneur -- a small business owner -- living in a capitalist society is very important for my mental well-being. (I could be mentally healthy in an authoritarian regime, but I wouldn't be happy about it.)

Here are a few of the benefits I see:
- Having more control over my own fate
- Creating, inventing, improving, and selling products and services that people want
- Organizing endeavors, hiring people to help make it happen
- Access to capital from banks or other investors to help me do more than I could do on my own
- The opportunity to make a lot of money, and provide for my own and my family's security
- The opportunity to own my home and other property and shape them to my own needs
- Being forced by competition to stay on my toes, innovate, keep offering better things
- Feedback from the marketplace in the form of revenue and profits to tell me how good a job I'm doing
- The joy of seeing customers benefit from what I produce

Some authoritarian regimes have a limited capitalist "grey market" that allows some of these dynamics, albeit hobbled by lack of infrastructure and law and security.

"What about socialist societies," you might ask. The problem is, I don't see any socialist economies. Ones that start out to be socialist move either toward authoritarianism or capitalism. Why is this? Capitalism (with free markets) plus democracy (with open elections) are the best ways for large numbers of people to make good joint decisions. Anything else ends up as small elites making decisions for everybody else. And having others make your life decisions is not conducive to mental well-being for most people.

The fruits of capitalism are relied upon by everyone in the world. New technologies, medical care, consumer products, agricultural products -- all these are developed and provided primarily by capitalist societies. We all rely on these for our well-being, mental and physical. And when disasters occur (e.g., earthquakes, tsumanis, epidemics, famine), it's the capitalist nations that provide the relief efforts.

We've all seen abuses of capitalism, just as we've seen abuses of democracy. These occur when sub-groups grab too much power and use it to exploit others. Societies work best when the economic and political processes counterbalance each other and prevent abusive concentration of power.

mvh

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