Sunday, January 31, 2010

Capitalism and Democracy

'Capitalism' and 'Democracy' are often spoken of as if they were either synonymous, or even identical. The influential foreign policy principle, 'exporting Democracy', is an example of their univocal treatment. Such usage, and the thinking behind it, seems to ignore that Capitalism is an Economic system, and Democracy, a Political one. Furthermore, that, e. g. Fascism can be Capitalist, and Socialism can be Democratic, demonstrates that they are not equivalent. Plus, insofar as a true Democracy is an indigenous one, a policy of exporting it is foolish. However, it is not merely that they are not equivalent, for they are potentially antagonistic. For, Democracy entails Equality, whereas Capitalism not merely does not entail it, but tends to reject it. If there is any principle of Equality in Capitalism, it is either in the homogeneity of the monetary unit in circulation, or in the equilibrium between Supply and Demand achieved in a transaction. But neither of these is tantamount to an Equality of the participants. This is not to argue that Capitalism is antagonistic to Evolvementalism; to the contrary, it is usually an expression of the Material Principle ingredient to any collective Evolvement. But, as such, it must be coordinated with the Formal Principle, i. e. some homogenizing factor, as exempified by Democracy, i. e. the combination of Freedom and Equality. So, where Capitalism is inadequately fettered, e. g. where corporations are considered 'Persons', and money-spending on political campaigns is considered 'Free Speech', the political system is not Democracy. In other words, if any political system is identical with Capitalism, it is Plutocracy.

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