{"id":3990,"date":"2026-08-01T21:07:29","date_gmt":"2026-08-01T21:07:29","guid":{"rendered":"https:\/\/interstatelogisticshubs.com\/?p=3990"},"modified":"2026-08-01T21:07:29","modified_gmt":"2026-08-01T21:07:29","slug":"the-cornucopia-of-capitalism","status":"publish","type":"post","link":"https:\/\/interstatelogisticshubs.com\/?p=3990","title":{"rendered":"The cornucopia of capitalism"},"content":{"rendered":"
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If you listen to how European leftist intellectuals (as well as some intellectuals in the Americas) discuss capitalism, you would be struck by the laughable caricature that they portray.\u00a0\u00a0This caricature has been handed down by previous leftist intellectuals, who were themselves told how to think about capitalism by their former professors (and so on through generations), buttressed by films that portray rich people as being evil, irrational, etc.\u00a0\u00a0This caricature is treasured and never, ever, questioned or examined critically.\u00a0\u00a0The idea is simply that a businessman is routinely breaking the law while doing business, while also exploiting his workers at starvation wages.\u00a0\u00a0<\/p>

Read more Capitalism = Democracy<\/a><\/p>\n

Leftists also have zero concept of even the most basic economics, so they believe that if a person has, say, a million dollars, then it means that the rest of the population has less money.\u00a0\u00a0In other words, the wealth was not created, but a million dollars was taken from other people \u2014 that is, from one side of the population to another side.\u00a0\u00a0In their minds, the amount of wealth remains the same; the only difference is who has how much.<\/p>\n

And they also have the caricature of rich people being in a roomful of money, usually caressing gold coins, or, like Scrooge McDuck, diving into a pool full of money.<\/p>\n

Leftists have no inkling as to just how stupid they are in relishing this caricature.<\/p>\n

I am not an economist, but I do understand capitalism.<\/p>\n

In modern society, money can be seen as the lifeblood.\u00a0\u00a0As with blood, the money has<\/em> to circulate.\u00a0\u00a0Should an important part of the body politic collapse, as was the case with Lehman Brothers, Enron, and the 1929 stock market crash, then the whole system goes into shock; \u201cpatient zero\u201d is not the only area that collapses.\u00a0\u00a0Money ceases to slow.\u00a0\u00a0Sometimes, the collapse is at the heart of the body politic, as was the case with the Greek crisis, Zimbabwe, and any time that a government\u00a0\u00a0creates inflation by overprinting money.\u00a0\u00a0When that happens, the whole economic system collapses \u2014 i.e., the blood stops pumping, stops circulating.<\/p>\n

Let\u2019s say person A is worth (i.e., has earned) $50 million from having created a product.\u00a0\u00a0Does he have $50 million at home in a piggy bank?\u00a0\u00a0No.\u00a0\u00a0Does that bank have the $50 million in cash that he can take out tomorrow?\u00a0\u00a0Yes and no.<\/p>\n

Let\u2019s say he has to take $10 million to either expand or upgrade his business or branch out into other areas of business.\u00a0\u00a0The $10 million is not physically handed over to him; rather, he uses checks or money transfers to carry out the transactions.<\/p>\n

That leaves $40 million in the bank.\u00a0\u00a0Is that money just sitting there?\u00a0\u00a0No.\u00a0\u00a0Most banks do not have that much money lying around.<\/p>\n

The bank now lends at interest \u2014 say, $15 million of that $40 million \u2014 to hundreds of persons who take out loans so they can buy cars or homes.\u00a0\u00a0That spent money is paid to real estate companies or dealerships, or individuals selling cars and homes.\u00a0\u00a0Those businesses, in turn, build more homes or buy more cars from Detroit.\u00a0\u00a0They also pay their employees.\u00a0\u00a0They also buy supplies from other companies to build more homes and cars and pay their employees.\u00a0\u00a0Those second companies, in turn, use the money that they got from the first company to pay their employees and buy materials from other sources (third companies or individuals), and so on, ad infinitum<\/em>.\u00a0\u00a0The employees, in the meantime, use their money to buy groceries, pay their mortgage, pay the dentist, pay their credit cards, buy clothes or a television, go on vacation or a restaurant, join a gym, and so on, ad infinitum<\/em>.\u00a0\u00a0The money\/blood continues to flow.<\/p>

Read more Clueless in Seattle<\/a><\/p>\n

Incidentally, one of the problems that America had in the first few decades after formation is that there was a critical lack of specie (coinage).\u00a0\u00a0There was wealth in property and in agricultural products but little money.\u00a0\u00a0The economy to a large degree depended on barter for transactions.\u00a0\u00a0This was a tremendous brake on the economy of the new country, which really did not improve until the silver and gold rushes of the 1800s.<\/p>\n

Here is another aspect to consider.\u00a0\u00a0As everyone knows, a home, or a business office in New York, Tokyo, Frankfurt, Singapore, or London, is ridiculously expensive, whereas the same property is much cheaper in a much smaller city or town.\u00a0\u00a0If one were to magically sell all the property of New York City for cash, it would be impossible.\u00a0\u00a0There is not enough money.\u00a0\u00a0Yes, they are worth in total, say, $900,000,000,000,000,000,000,000,000,000, but that much money does not exist.\u00a0\u00a0There is simply not enough money in existence, since the money supply is strictly controlled in order to avoid inflation.\u00a0\u00a0Now, duplicate that massive sale at the same time in Chicago, Los Angeles, Miami, London, Singapore, Frankfurt, Tokyo, Buenos Aires, and Houston, and the number of stars in all the galaxies are not equal to the number of dollars imagined.<\/p>\n

This really means, if we borrow a page from junior high physics, that person A\u2019s money \u2014 and the worth of the property in New York, or London, or even Wichita and Omaha \u2014 can be imagined as being potential energy, just as money being physically used can be imagined as kinetic energy.\u00a0\u00a0If a property in New York is sold, that money then becomes kinetic energy because the money is being put into motion.<\/p>\n

Here two other things to consider.\u00a0\u00a0First, the worth of an object depends on how scarce it is.\u00a0\u00a0Gold is expensive because it is scarce, not because it is pretty; it is prettier than silver, which is also scarce, though not as scarce.\u00a0\u00a0(At present, an ounce of gold sells for $4,000+, whereas an ounce of silver sells for $63+, and copper for $6+).\u00a0\u00a0Amethyst crystals are prettier than diamonds, but diamonds are artificially scarce because DeBeers controls the supply.\u00a0\u00a0A painting by Rembrandt is valuable because it is beautiful and scarce, whereas a modern painting is worth considerably less.<\/p>\n

Second, an object\u2019s value also depends on whether people want it, or can pay for it, or recognize its worth (like certain antiques).\u00a0\u00a0A house in a crime-ridden neighborhood or a strip joint is worth less than the same house in a beautiful neighborhood with good security.\u00a0\u00a0A neighbor of mine creates decorations that I don\u2019t like and, on top of that, asks quite a bit for them, but I will not buy them.\u00a0\u00a0At the same time, I cannot buy a painting I have seen and covet, because I don\u2019t have enough money.\u00a0\u00a0Near the end of WWII, and shortly afterward, middle- and upper-class people, who had had no food in days, were known to have exchanged valuable paintings and silverware for food from farmers.\u00a0\u00a0Food was what was important \u2014 nay, paramount.<\/p>\n

One other point.\u00a0\u00a0Capitalism is bizarrely blamed because around 1900, people were crowded in cities (photographs are usually shown of crowded, dismal dwellings).\u00a0\u00a0The fact is that citizens, and foreigners, went to the cities en masse<\/em> for better paying jobs than agriculture, and the infrastructure was lacking.\u00a0\u00a0Nobody forced them to go there, and capitalists did not build dismal buildings on purpose to make the workers\u2019 lives miserable.\u00a0\u00a0The structures were already there.<\/p>\n

Armando Sim\u00f3n is a retired psychologist and historian, and the author of <\/em>When Evolution Stops and <\/em>The Transgender Cult: Psychology, Politics, Religion and the Media.<\/em><\/strong><\/p>

Read more Young Doctor Fauci<\/a><\/p>\n

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\"\"<\/figure>\n<\/p>\n

Image via Picryl.<\/em><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

If you listen to how European leftist intellectuals (as well as some intellectuals in the Americas) discuss capitalism, you would be struck by the laughable caricature that they portray.\u00a0\u00a0This caricature has been handed down by previous leftist intellectuals, who were themselves told how to think about capitalism by their former professors (and so on through […]<\/p>\n","protected":false},"author":1,"featured_media":3988,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1616,49],"tags":[1618],"class_list":["post-3990","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-capitalism","category-economy","tag-related-topics-capitalism"],"yoast_head":"\nThe cornucopia of capitalism - Interstate Logistics Hub<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/interstatelogisticshubs.com\/?p=3990\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The cornucopia of capitalism - 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