Wednesday 7 July 2010

Capitalism and Freedom

There is little connection, if any, to these two words acting as a title. Capitalism, does not necessitate, freedom. Both Fukuyama and Milton Friedman figured that capitalist markets are the purest expression of freedom - at least, as far as we can deduce. Friedman for his defence of a free market in promoting freedom, and Fukuyama for a market as an End State to humanity.

I am not going to attack the alleged relationship between capitalist markets and freedom by negating the suggestions by these two people or others nor by attacking the concept of freedom as incoherent, which it, pretty much, is. Quite simply, I am attacking the the state of being one has in a capitalist market, and our current understanding of freedom (assuming it is some coherent expression) within capitalism- and how that idea is internally fissured. In conclusion, i draw this together and suggest alternatives to experiencing freedom.

When we enter the capitalist framework several things become apparent, if you don't have the money for something, you cannot have it. While this is not a problem in it's most superficial aspects - no, you are not allowed to own the ferrari- it is hugely problematical when we consider that this person cannot have the best healthcare. It is a difficulty where that person cannot have clean water, or cannot have a safe home or get the best education.
Not only is the quality of, and access to, a service being arbitrated by the amount of money you have, but there is the internal problem that the service quality itself is negotiated by it's access to money.

One must exist based in relation to their capital, the ability to "do" is ultimately de-limited to what they can afford. This ranks next to: the length and quality of our life has a relationship with money.

This is our current social organisation. Where action is precipitated far quicker by money than by effort and ingenuity. (unless we replace effort with how much money you put in, and ingenuity to the subtle allocation of money.) And this is the quintessential problem when framed according to our capacity for freedom. How free are you where your actions are arbitrated by some paper, and the extent of your actions are arbitrated by paper. Simplistically, but this really does get to the heart of it: if i have a ten pounds, i am far more free than the person with none.

We often go for an account of freedom and organisation based on liberalism. This account of freedom, of morality, of organisation, sounds something like: "we are all equal" and "you can do what you want as long as it doesn't hurt others." It sounds oddly utilitarian. However this notion of liberalism is curiously tied up with capitalism and in fact, surely, it is at odds with itself. The typical liberal account of what it means to be free, or even some of it's fundamental tenets such as "equality" and "rights" are under heavy fire in a capitalist market. In this way it seems there is a severe confusion over what it means to exist freely and our relationship to the economic model of capitalism. This confusion is amplified to a state of delusion when the two ideas are connected, and there is no apparent contradiction.
The idea is further and far more obviously confused when we look at economic liberalism (an extreme strand of capitalism) in it's relationship and even it's root in liberalism. Why is there even an academic strand that goes as far as connecting philosophical liberalism to economic liberalism when the two are most certainly at odds. It seems perverse to suggest, that in an unregulated market, any sense of liberalism can hold out: we would not be equal, have equal things, or even basic rights. We would be as free as how much money we have.

It also raises the observation of having a moral model which is internally fissured in logic but externally coherent in perception, in its marriage within a capitalist existence. Not only does this highlight the lack of necessity, in accuracy, between language and things, it also goes to show how perception can define our relations. With this in mind, freedom becomes a far more important concept. Our idea of freedom becomes the measure of freedom, we have a position of philosophical liberalism and this exists alongside capitalism and this is not a problem? This is not contradictory? This doesn't make us revolt - because, for some reason, this is what it means to be free. This is a pretty convenient state of affairs for us.


In conclusion an excerpt from wikipedia really sets the groundwork, "Proponents of economic liberalism believe political freedom and social freedom are inseparable with economic freedom" this is the sounding of Fukuyama and Friedman, that freedom in it's totality can be gleamed by the existence of economic freedom. The assumption that economic freedom should take the form of capitalism is sick - indeed, the fact the the words economic liberalism and economic freedom signify capitalist markets is sick. There is little relationship between capitalism and freedom especially when they are seen as distinct states of affairs. Capitalism often undermines freedom.
If social and political freedom has an integral relationship to the economy, and we know the social and political freedoms we want (broadly speaking a form of liberalism and democracy), we can engineer an economy; simply, we should be developing an economy that does not work on scarcity or profit and removes the totality of capitalism (the fact that everything- even food and water- costs) from our lives. We should develop an economy based on social action, human action, rather than that which is motivated by profit or money to achieve social and political freedom. In this way we agree with the quote, when economic freedom ceases to mean capitalism, no matter the strand, and begins to mean economic freedom - then we'll have freedom.

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