Steve Swanson

“But what about the deaths caused by capitalism?” When discussing economic systems, I often highlight how Marxist socialism devastated Africa and other regions of the world, leading to the deaths of millions of people. Inevitably, someone responds: “But what about the deaths caused by capitalism?” This response reveals a fundamental misunderstanding that needs addressing. It blames capitalism not just for greed, but for all of humanity’s darker instincts, as if free markets somehow invented human flaws. Let’s get something straight: greed, exploitation, and cruelty have existed throughout human history, long before anyone conceived of property rights or free enterprise. 1/ Greed Predates Capitalism Long before Adam Smith put pen to paper, humans had already committed unspeakable acts of greed, conquest, and exploitation: - Genghis Khan ran a brutal empire that expanded through violence and rape. According to genetic studies, around 8% of men in a large region of Asia carry DNA linked to him. - The Atlantic Slave Trade was powered by kings, empires, tribal chiefs, and European monarchies, most of whom operated under imperial and monarchical structures. - In pre-revolutionary France, the monarchy, nobility, and upper clergy lived in great privilege and luxury, while the vast majority of peasants (about 80% of the population) endured poverty, heavy taxation, and frequent hunger. There have always been selfish, greedy, and rapacious people, and there always will be, as long as humans exist. Every economic and political system has had greedy people in it. The difference is whether that system limits their power or lets it run wild. 2/ The Enemies Invented “Capitalism” The word “capitalism” was coined by socialist critics in the 19th century, including Louis Blanc, Pierre-Joseph Proudhon and Karl Marx. They used it to criticize the system they believed would inevitably collapse. Since they coined the term, it means whatever socialists want it to mean. That’s why the socialism vs. capitalism debate is often a Trojan horse to avoid admitting that free markets actually work. Adam Smith (who is often called the “father of capitalism”) never actually used the word. Instead, he described natural liberty, where: “Every man, as long as he does not violate the laws of justice, is left perfectly free to pursue his own interest his own way.” (The Wealth of Nations) John Locke, whose ideas heavily influenced America’s founding documents, focused on natural rights to “life, liberty, and property” in his Second Treatise of Government (1689). He argued these rights existed prior to government, which was instituted specifically to protect them. When the American Founders created the US Constitution, they didn’t use the word capitalism either. The Bill of Rights protects individual freedoms like freedom of speech, religion, assembly, property, and due process, all of which protect individuals from both tyrants and mobs. In other words, the core principles we now associate with “capitalism” were never about enriching the few. They were about protecting the many from power, whether it came from kings, mobs, or bureaucrats. 3/ Voluntary Socialism Here’s the thing: if a group of people want to live communally, they should absolutely have that freedom. Such voluntary arrangements don’t require state coercion or enforcement. For instance: - The Amish live simply and share resources, but joining is voluntary, and people are free to leave if they choose. - Kibbutzim are intentional communities in Israel, traditionally based on agriculture and collective ownership. Membership is voluntary, and individuals are free to leave at any time. - Monasteries and religious orders have lived communally for centuries and continue to operate around the world, with monks and nuns sharing resources, labor, and prayer. This is voluntary socialism, and no free-market advocate has a problem with it. Marxist socialism is something else entirely. It calls for revolution, the abolition of private property, and stateless dictatorships with no respect for individual rights. It caused 65–94 million deaths, with some estimates exceeding 100 million. It’s worth noting that capitalism even gives people the freedom to experiment with Marxist ideals. In a free market, you’re allowed to create worker-owned businesses based on Marx’s labor theory of value if you want to. Cooperatives, mutual aid societies, and communal living models can and do exist under capitalism. Every system has greedy people, but only free market capitalism, rooted in individual rights and the rule of law, limits their power through competition, transparency, and choice.