The Myth of Capitalism

Capitalism is the greatest economic system in history. It has lifted people from poverty and created widespread wealth for billions of people. Unfortunately, the so-called capitalism that exists in today's United States is the antithesis of a competitive marketplace. Monopolies and oligopolies dominate the economy, with a few winners and millions of losers. The Myth of Capitalism explains how we got to this state and clearly points the way back to open markets that work for everyone. Capitalism without competition is not capitalism, but in industry after industry, competition is dying. Consider these facts: Four airlines dominate airline traffic, often enjoying local monopolies or duopolies in their regional hubs Two corporations control 90% of the beer Americans drink Five banks control over half of the country's banking assets More than 75% of households with high-speed Internet access are serviced by a single provider Many states have health insurance markets where the top two insurers have an 80-90% market share Many hospitals are local monopolies, and drug companies have monopolies through patents that are endlessly extended Without competition, everyone suffers. Giant corporations squeeze workers' wages. Companies grow fat with record profits, sending trillions to the wealthiest. Unjust inequality rises. Dominant monopolies choke startups and manipulate markets to their advantage. Voters feel that markets are rigged, and populist politicians triumph. A truly competitive system prevents unjust inequality, averts price gouging, fosters economic growth, and encourages startups. The Myth of Capitalism bridges the gap between the left and the right. The authors are unabashedly pro-competition, not pro-big business. Big business is not bad, but too often size has come through mergers that have subverted capitalism. The proposed solutions offer a path back to higher economic growth, more jobs, higher wages, and a level playing field for all.