Capitalsim

(Read the first part of this article here)  (9/21/2009) - How can we build a new economic system that could, eventually, lead us to sustainability (I say “could,” because I’m not convinced that anything resembling our modern way of life is sustainable, but I try to be optimistic about things I don’t know)?  I recommend taking elements of 20th century ideologies – specifically capitalism because it has the most to offer and is the most palatable in the current political environment – and using these as a basis for a new ideological system.  By taking proven aspects of a previous intellectual tradition, you not only take advantage of work that has already been done to others, but you can also position the new system as a continuation of an ideological system with brand power.

The first element of modern capitalism that I want to incorporate into my new economic ideology (I’m accepting name suggestions) is the use of individual incentives to drive a large scale system.  This, I believe, is one of the most compelling insights of capitalist ideology – the idea that individuals acting in their own self interest can often push forward the interests of society better than any centralized planning agency or bureaucratic structure.  Don’t get me wrong – Smith’s “invisible hand” isn’t better at central planning for everything, but for a specific and critical set of activities.  We need to recognize – and to some extent, systematize – the situations where the invisible hand works well, where it doesn’t, and what role a strong, fair, democratic government can and should have in establishing incentives.