A Product in Need of Improvement.

AuthorHayes, Bill

Large swaths of the American public, including Black Americans, are disillusioned by capitalism. How can we make it work for them?

The benefits of capitalism are well known and have been covered at length in this edition of Directors & Boards. It is an economic system that helps to facilitate rapid economic growth, with limited government intervention, allowing producers to accumulate wealth by marketing their products to consumers who desire them. It rewards and spurs innovation, as producers realize that only a better, more satisfying product will cause consumers to choose their wares over an existing alternative. Capitalism also allows for social and financial freedom for American citizens, with everyone free to choose not only how they make their money, but also how they invest and spend it.

But let's pretend for a moment that capitalism is not a financial system that encourages the efficient creation of new products to be consumed but is itself the product. Let's pretend it is a new type of soda being released to the marketplace. Upon its release, a major segment of the buying public thinks it's pretty good. But a substantial percentage of potential customers think it stinks. That's basically the situation capitalism finds itself in now, according to a report from Pew Research Center (PRC).

The March 2023 report, Black Americans View Capitalism More Negatively Than Positively But Express Hope in Black Businesses, finds that ... well, you can probably tell from the title. Fifty-four percent of Black adults have a "very to somewhat negative" impression of capitalism, with 49% saying that the phrase "gives all people an equal opportunity to succeed" describes the financial system "not at all" or "not too well." Perhaps the most alarming part of that statistic is that the number has changed drastically since a similar report in 2019, and not in a positive way. The survey that was conducted four years ago recorded 40% of respondents as having a somewhat to very negative impression of capitalism. So, 14% more Black Americans became disillusioned with the capitalist system in the space of an Olympiad. Where will we be when the Games return to Los Angeles in 2028?

So, what sort of changes to the system are needed? Some small refurbishments? Move some furniture around and the capitalism/eng shui should be all good? Not according to Black America. Nearly half (46%) of PRC's survey respondents said that the economic system "needs major changes"...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT