It's a fact that we no longer have true capitalism in America. Instead, we're ruled by crony capitalism, or cronyism.
There's an important difference between capitalism and cronyism, and it's crucial for the success of our country that we learn that difference. We can't work together toward a solution if there's a misunderstanding of the problem.
So what's the difference?
Free market capitalism is ruled by the laws of supply and demand, not government force. It's fueled by ideas and solving existing problems through entrepreneurship and business.
In crony capitalism, politicians manipulate the free market, giving specific interest groups an unfair advantage over their competition.
When people complain that huge companies prevent smaller companies from succeeding in the market, they blame capitalism. However, cronyism is responsible for helping those companies get and stay that big, having an unfair advantage over everyone else. That's right folks—it's not capitalism you hate, it's cronyism.
Capitalism encourages innovation and competition, while cronyism keeps wealth between a selected few. In a free market, consumers have all the power, and keeping customers happy is the only way to succeed.
In cronyism, politicians exchange power for favors and money.
True capitalism is why our economy has survived. By creating new opportunities, we create jobs.
Crony capitalism is responsible for corruption and political favoritism, creating huge gaps between the ultra rich and everyone else.
Don't blame capitalism for income inequality, blame the politicians and special interest groups that restrict the true capitalism that leads to prosperity.
So next time you hear someone say capitalism has ruined our country, let them know that cronyism is the one to blame and the one we need to change.