Heilbroner defines capitalism as an “Insatiable, dynamic, Disembedded, two edged sword”
1 – Insatiable – humans have never ending appetites.
Roots with Hobbs
John Locke – Possess ourselves
2 – Dynamic – All about change – “Dynamism”
Culture is constantly changing and “progressing”
Marx argued Bourgeoisie changed social functions and labours to be all about money
Physicians are now labourers of the work force, not physicians.
3 – Disembedded – Economy becomes disembedded from society in capitalism birthing new study of
4 – Two edged Sword – All about growth… However there is also deprivation: child labour etc.
**Where there is much growth, there is always much deprivation.**
Heilbroner – Innisseration – Wonderful growth…Outrageous misery
Aristotle – There is a limit to what people should accumulate.
Adam Smith – Mercantilism and wealth of nations
Define Mercantilism – Mercantilism is the economic doctrine that government control of foreign trade is
of paramount importance for ensuring the military security of the state. In particular, it demands a
positive balance of trade.
Adam Smith does not agree with mercantilism because it gives monopoly of business to large
corporation. It also gives them control over certain colony policies such as tariffs and taxes.
Thus, Smith advocated for a market economy to give individuals freedom and limit political power and
corporations, parallel with modern liberal ideals.