As I noted before, pure capitalism is extremely efficient at producing large amounts of goods and services at low costs. But it’s also efficient in other ways that people, especially its proponents, tend to overlook or minimize.
Capitalism is extremely efficient at concentrating wealth and maximizing income inequality, and, without regulation, it also maximizes the costs of production placed on everyone else, from workers to the environment. These two “efficiencies” have been known for decades and resulted in a fair amount of government regulation, and, in the case of income inequality, possibly a great deal less than optimal.
But there are other downsides to this relentless efficiency. One of these occurs in the efficiencies of food production. Factory farms are efficient at producing meat at low costs, but they’re also efficient at creating and spreading antibiotic resistant bacteria quickly, not to mention the coronavirus. Pesticides and fertilizers are efficient in producing more grain and produce, but that efficiency has also been effective in creating agricultural runoff that is quite successfully making large sections of the Gulf of Mexico uninhabitable to almost any form of marine life.
Another is our efficient air traffic system which is a highly effective way of spreading the coronavirus.
And the great efficiency of just-in-time supply chains creates highly efficient slow-downs and bottlenecks, if just a single supplier fails – and that was one of the causes for the lack of PPE, the other being the unwillingness to create stockpiles because inventory is money wasted in a just-in-time economy.
And, of course, there’s the Boeing Max groundings, the result of relentless efficiency in eliminating “redundant” sensors and not wanting to conduct greater pilot training in the new systems.
Then there’s the efficiency of the part-time and “gig-economy,” which not only reduces costs for businesses, but also leaves millions without affordable health care… and that certainly increases the effectiveness of the coronavirus and other diseases in spreading.
And because of our oh-so-efficient economy, states and businesses have to open up before it’s really safe because, otherwise, the economy will totally crash and millions will go hungry… or worse…
And, in even in short run, that’s efficient?