What is capitalism?

"If wealth was the inevitable result of hard work and enterprise, every woman in Africa would be a millionaire." George Monbiot


"Capitalism is the natural system of humanity, it's all these small businesses and people coming together to compete. Everyone gets the amount of money they deserve because they've earned it, or if you're poor it's because you're lazy and if you're rich it's because you've earned it. The system works perfectly. It grows as long as the government stays out of the way; technology is just going to make the system better. And it's the only way to organise a society that's not going to be living in caves and rubbing two sticks together."

That's the catechism of those hopeless apologists who support the status quo and advocate the unreal laissez-faire philosophy of no governmental interference with business (as if they are not dependent on governmental interference!), a balanced budget, lower taxes, encourage private enterprise, etc. The libertarian/propertarian desire to eliminate merely the big capitalist is a dead-end, for the small capitalist is continually growing and expanding into the large capitalist.

The guiding principle of capitalism is competition, to make profit out of one’s fellows, and to grow richer than one’s fellows, at the expense of one’s fellows.
Only by buying the worker’s labor power can the capitalist make profits. Workers produce more than what the capitalist pays them in wages and benefits. This is the basis of exploitation of the workers. What the workers produce over and beyond the socially necessary labor for keeping themselves and their families alive and working is surplus value. Surplus value is the only source of profits and is ripped off by the capitalists.
Within the work-place rules a rigid dictatorship where the men and women are transformed into a cogs of the machine, where labour becomes wage-slavery. Outside the workplace economic chaos prevails and people are ruled by prices which they cannot control and by the wild forces of the market of which they can be only victims. It is only through the anarchic fluctuations of supply and demand, booms and bankruptcies, that society “decides” and “plans” its production .

Capitalism is tremendously wasteful and destructive of men, goods, energy, land. The ultimate destiny of all useful goods is to be consumed. Yet under capitalism goods are not produced to be consumed, but for profit, and if a greater profit can be made by destroying the goods, the destruction takes place.

As capitalism develops, larger and larger factories are built, thousands of labourers co-operate in the production of a single article, yet the article does not belong to them but to the owner of the means of production. The laborers are merely paid wages for the use of their labour power, wages which constantly grow less and less in proportion to the total product. Simultaneously the owner of the industries becomes progressively more divorced from the productive process. As small partnerships become big corporations or are driven out of business by the trusts and monopolies, the original entrepreneurs and organisers become mere dividend-takers. The corporation also develops, becomes more and more a public utility. The state begins to take a hand, and to run the industry. The former individual owner has now become a purely parasitic hanger-on.
The greater the productivity of labour, and the greater the amount of production, the greater becomes the surplus product in the hands of the owners, the greater the need for markets, the greater, therefore, the competition among the capitalists, the greater the relative lowering of the wages of the workers, the larger the army of unemployed and paupers, the more vigourous the drive for foreign markets and colonies for exploitation, and the more violent the military struggles to control the world. The greater the internationalisation of markets, the greater the need to have a military machine to defend the market interests, the greater grow the oppressive burdens of the state apparatus, the greater grows the necessity to transform the whole nation into an armed, ruthless, chauvinistic state,
Capitalism sucks the blood of workers and feeds off humanity like a leech.