Capitalism Has Problems but Will Survive

Capitalism has problems but is not going to disappear nor is there danger of a revival of socialism. The problems of capitalism can be serious but can be solved by appropriate State interventions. The free operation of the markets needs the help of the State, and the help of the State can be given only as long as the tax revenues allow it. As long as the State functions properly, capitalism as a social system is not threatened and will live on. Capitalism has been criticized, but criticism has fueled ongoing reforms that have collectively transformed the laissez-faire capitalism of the eighteenth century into today's mixed economy of advanced industrial democracies. Capitalism needs better management, not abolition. Technological changes can solve the economic problem.