Is Capitalism the Root of Our Problems?
Questioner: Do you think capitalism lies at the root of the problems we face today? For instance, income inequality continues to rise at the societal level; greed drives many business decisions at the economic level; and on an individual level, we’re caught in a constant race for monetary achievement. This extends to how we approach education, housing, travel, and healthcare—all of which have become increasingly expensive. If capitalism is indeed the core issue, what can the individual do to respond to it?
Acharya Prashant: It’s not as if human beings are alright within themselves—pure of intention, simple and innocent—and then somehow an alien system called capitalism invades them and victimizes them. But that’s how many of us would like to think, because this line of thought shifts the blame for our present condition onto something external. We then feel justified in being what we are and claiming innocence.
Where does capitalism come from? If we say capitalism is to blame for our current situation, where does this economic and social system originate? It comes from the mind of man. It emerges from our own tendencies. Capitalism is simply a way of organizing the economy. What does it say? It says that private individuals will have the right to function economically as they please, that they will have the freedom to earn profits, and that supply and demand will determine market prices—with minimal government interference.
Capitalism comes from the mind of man—it reflects our own tendencies, not something alien imposed on us.
Now, if someone is given the right to conduct economic activity as they choose, how can this, in itself, be blamed for the mess we are in? Let’s say the right of ownership and production is handed to a different entity—like the government, which many consider the alternative system. If resources are not privately held but instead controlled by a collective entity, will that really change anything? Because if the human mind is corrupted, so too will be the mind of the government.
Suppose I am given the freedom to operate and sell as I like. What will I produce? How will I market it? How will I persuade a prospective buyer? That all depends on the direction of my mind and the center I’m operating from. If that center is animalistic, I will pursue profit at any cost—even social cost. I may be selling something useless or harmful, but if I must manipulate the customer’s mind to sell it, I will do so.
Now give the government control over goods and services, and the same corrupted mind will manifest differently there. We’ve seen the kind of corruption that prevailed in the erstwhile USSR. We know what happened behind the Iron Curtain. We know why economic activity collapsed—and how that collapse contributed to the disintegration of that country.
So, if we are rotten from within, that rottenness will show up irrespective of the economic, philosophical, political, or social system we choose for ourselves. No system will have the power to redeem us, because we are the fathers of all our systems. Systems come from us; we don’t come from our systems.
We are the fathers of all our systems—systems come from us; we don’t come from them.
So the point the systems come from—the source—that has to be cleansed. But that involves something very challenging: it involves challenging the very ego of the human being. Everything we see around us is nothing but the game of the ego, the fundamental existential self. The game is designed for the sustenance, furtherance, and protection of the ego. The ego will not want the game to shape up in a way that challenges the existence of the player itself. The game exists for the pleasure of the player, and the player is the ego. But if you want to play the game in a way that the player runs the risk of annihilation, then the player refuses to play. And yet, that’s what we need today. Otherwise, all we are staring at is a massive destruction of a kind we have never historically witnessed.
So, it’s not about a debate between philosophies; it’s not capitalism versus socialism; it’s not any ism versus another ism . It’s fundamentally about self-knowledge. Do we know who we are? Once we realize who we are, our trust in the products of our thought will reduce, and we will become cautious about seeking solutions in systems of thought. You can keep coming up with newer systems, placing your faith in them, and hoping they’ll redeem you. But they won’t—for the simple reason we keep reiterating: it is all coming from the same center, the same place. A new system may offer a glimpse of redemption, it may entertain us and make us optimistic for a while, but these are all false beginnings. They promise what they cannot deliver.
The change we need is inward—and yes, it sounds clichéd. It’s been repeated countless times. But it has never truly been executed, so let’s not dismiss it. We need an education system where the child is very clearly, openly—rather ruthlessly—helped to face his or her animalistic, prakṛtik nature. When we realize that our fundamental tendencies are gross and primitive, and that we must not place deep confidence in ourselves, we will develop a certain humility and begin looking for solutions beyond what our tendencies and thoughts propose. Without that, I don’t see any real solution.
Everything we call a solution is merely an extension of what already prevails in the jungle. The only difference is that, as a privileged species, we ornament our jungle tendencies with intellect. But that doesn’t make them fundamentally different from what we see in the wild. If we truly want something subtle, nuanced, sophisticated—something sublime—then we must find another source within us. From the same source, we cannot expect a different output.
