Efficiency of money — Is capitalism misunderstood?

Introduction

Capitalism, basically, refers to the economic system based on capital. The capital is in the hands of free market. Free market consists of firms, the owner of the firms(bourgeois) and their employees(middle class and proletariat). The invisible hand mentioned by Adam Smith (father of capitalism) basically says that the free market where everybody does their own interest will run the economy well. In our age, free market refers to the firm. The “Capital” is an asset under the control of firms. So, the firms control the mechanism of capital economy.

Photo by Christine Roy on Unsplash

What do I propose in this article is that the free market economy is misunderstood. First proposal is free market should not be related to the firms but to the people(employees). Second proposal is the capital is not the asset “Money”, but the value created. Third proposal is the invisible hand mechanism can only work if the capital is controlled by middle class and proletariat.

Proposals

1.Free market should not be related to the firms but to the people(employees)

Imagine a day that everyone in the world disappears. Would there be any Google, Microsoft or Amazon? Companies exist just because of their people. People generate the…