Contrary to the opinion of the iconic Gordon Gekko from the movie Wall Street, greed is not good; and amongst free market supporters it has never been viewed as anything more than an evil of crony capitalism. True capitalism, at its heart, is based on freedom of choice within the marketplace, and the moral code of free enterprise has absolutely nothing to do with greed.
As Arthur Brooks explains, in a free enterprise economy, entrepreneurs create value in their business by creating value for other people. In so doing, they are rewarded with (typically) capital. If an entrepreneur becomes extremely wealthy in a free enterprise economy that’s a great thing, because it means he/she has helped thousands of people by creating a desired product or service.
As the war on capitalism and free enterprise rages on across the globe, in retaliation to weak economic growth (which contrary to many misguided liberal opinions was not the fault of capitalism), I felt it necessary to share this fantastic clip from Arthur Brooks. It is important to note that Brooks is not a man who clings to either political party. In fact, he is the President of the American Enterprise Institute, a nonpartisan think tank. He’s a social scientist and musician as well. In this clip Brooks explains the true meaning of free enterprise.
Earned success requires that our skills and our passions meet. It requires that government not control our economic lives. It requires that we be free people…
– Arthur Brooks