Man, as we know, is a relational being, and this relationship has existed for centuries, even in the economic world. The era of trade by barter is a clear example. The economic evolution that man has made is that which I can call great and astonishing. I imagine myself in the era of trade by barter, where goods are exchanged for goods. It was a wonderful era in the economic development of man.
The advent of money completely erased the barter system and ushered in other economic eras. I will be looking at capitalism from a layman's lens. Has capitalism been favorable to the economic development of man and society at large?
Capitalism to me simply means private ownership of the means of production. This simply means individuals doing business in order to make profit. Capitalism has created multibillionaires and has led to innovations and the technological advancement of the world. Most of the technological evolution in the world today is driven by capitalism. As different companies are trying to outdo each other. This competition between the big corporations has been good for the advancement of man.
Capitalism has helped in promoting entrepreneurship, as we see everyone trying to own a means of production or provide services. This has really helped the young people in the developing countries. Most young people graduate from the universities and can't find jobs in their field. They immediately turn to capitalism, and we see them creating impact and adding to the economic development of their society.
Capitalism has also led to the integration of the world. The world is now a global village in the eyes of capitalists. International trade has been facilitated by capitalism. Man has been able to relate to each other economically and socially. Goods have been moved across borders. These movements have helped in promoting tolerance and respect among humans.
Capitalism has played a big role in the economic and social development and growth of man and his environment.
Capitalism has been good to man, and we can all attest to it, but what of the ugly side of capitalism? Most scholars have argued that capitalism is dangerous to society, and we cannot completely rule out this claim.
Using Nigeria as a case study, one can see the ugly side of capitalism being manifest. We have seen the exploitation of workers by owners of means of production. The hours that these workers put into the production of goods and services are not equivalent to their wages. After working for long hours, most of them cannot meet their basic needs.
In Nigeria, we can also see that wealth is concentrated in the hands of a few people. Those controlling the wealth of the country are less than 5% of the population of the country. These concentrations lead to the continuous widening of the wealth gap between the rich and the poor. Rich people keep getting richer, while the poor are now facing a level of multidimensional poverty that has not been experienced before.
In Nigeria, the Niger-Delta region is facing environmental degradation and depletion of resources. The people living in this region, who are mostly fishermen and farmers, are losing their means of livelihood because of the activities of oil exploration companies. The health of the members of these communities has been affected negatively, and nothing has been done about this. We all know the negative effects of environmental pollution.
Capitalism, as we all know, has provided man with development and growth in all spheres of life, but we cannot deny the negative effect of capitalism.