We have State-Capitalism NOT Capitalism
Capitalism failed before WWII, we now have state capitalism. Public money is funneled into the hands of wealthy private interests. "State-capitalism" is where socialism is benefiting the rich and powerful. Billions of dollars transferred to private interests, it is what keeps the economy afloat. You should look into how our economy really works.
A huge part of it is the military-industrial complex, where socialism is implemented under the guise of security. "The word to use remains "security," not "subsidy," as Air Force Secretary Stuart Symington advised in the early days of the Cold War, when government was being mobilized as the "savior" of private power, which could not survive in a competitive economy, as the business press frankly acknowledged."
And it does not stop with the Military-Industrial Complex, that is just part of the system. Check out how much wealthy corporation's R&D is on the backs of the American taxpayers. "It's not simply the subsidies to agribusiness and the protection, that's a small part of it; the major part is that there is a dynamic state sector in the economy which is the core of economic innovation and development. Research and development takes place mainly in the state sector. Take the entire new economy, computers, telecommunications, the internet, now biotechnology and so on, the costs are largely socialized through various mechanisms such as the institution we're now talking in (MIT) which is part of the system. Costs are socialized, risks are socialized and if anything comes out decades later it's handed over to private power"
Costs are socialized, profits are privatized
The average American is fed the story that we are a Capitalist economy and that companies invest in their business and reap the returns. The reality is that huge amounts of taxpayer money is used to keep big companies in business, welfare for the rich that many Americans are unaware of. I was flipping through the channels and just happened to catch a mention of something called the "National Nanotechnology Initiative" for a few seconds on the History Channel. It said that the budget was $961 million in 2004. I thought "holy crap", yet another example that puts a lie to the "Capitalist economy" that the public is brainwashed with.
ADM's Dwayne Andreas says talk of "free markets" is just wind, "People who are not in the Midwest do not understand that this is a socialist country."
Neoliberal Economic Theory is Fraud They used state power to support and protect efficient capitalists within their own national boundaries who had the potential to become exporters. They poured subsidies into uncompetitive industries in order to substitute domestically produced goods for imports, often at almost any price.
Great info Tayssir John Gabbour pointed to on Znet:
Incidentally, if there's any doubt that elites are fully aware of socializing costs and privatizing profits:
"Let's talk about the question of why people are wealthy. There is a myth that it's a function of enormous personal attributes. There's a myth that achieving wealth is a function of personal intelligence and energy and thus that the product of that intelligence and energy being wealth is the sole and exclusive possession of the person who developed and earned it. And that myth is so egregious. It's just egregious. ...
There are some things that our government does with its tax money which directly create personal wealth and that is the enormous federal research activity. Do you know there would not be an Internet but for federal research money? There would not be new biotechnological companies but for the federal research effort. There would not be an examination of the human genome without the federal research effort. In those university laboratories is the seed of the health of our economy.
... the individual wealth which is generated in this economy is, in my judgment, and I doubt that there is much that anyone could disagree with about this, is a function of the innovative businesses But you understand that That leads me to a very simple conclusion. I think that people who have the good fortune, the skill, the luck to become wealthy in our country simply have a debt, simply have a debt to the source of their opportunity.Bill Gates Sr., 2003