Comparative advantage: why capitalisme is not inherently bad
Someone asked me, some time ago, why I do not see capitalism in its core as something bad but as something good ( see here ). This person argued, in brief, that capitalism is the cause of much misery in the world, such as poverty, corruption, and the subversion of democracy. Moreover, this person said, capitalism is inherently bad because it is always a matter of exploitation. If two parties trade with each other and one of the parties makes a profit, that profit has to come from somewhere. This then must mean that the other party is exploited, in other words, must make a loss.