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Published 11 years ago by OldBoots with 3 Comments

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  • drunkenninja
    +5

    The problem with capitalism is that it builds entire empires on old technology, and when there are better solutions available that benefit the human race as a whole those organizations do not want to evolve to embrace it.

    • dissidents
      +4

      I think there's an element of that - established companies do what they can to keep their advantage. But capitalism also allows 'creative destruction' (the term of Joseph Schumpeter came up with) - a new company comes along with a new idea which is more effective/efficient/attractive, and it displaces the existing business. Think of the ipod replacing iriver (was it called that? I had one) or Creative mp3 players, or shoe-making machines destroying hand-made shoemakers. Having said that, I think it's true that established 'empires' lobby government to try to extend the life of their businesses, and also that, at times, government regulations/legislation hamper the growth of something new/better, without even really meaning to.

      • drunkenninja
        +2

        It works for certain things, and fails badly for others...

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