Capitalism is the ideal social system

The Capitalism Tour is a visual six-minute overview of the basics of capitalism.

What is capitalism?

Capitalism is the social system that unleashes the power of the human mind by protecting the individual’s right to life, liberty, property, and the pursuit of happiness.

Capitalism is the social system of the Enlightenment, founded on a philosophy based on reason, egoism, and freedom. The term capitalism (from the Latin word capta, meaning “head”) is used here in the broader philosophical sense, and not in the narrower economic sense, i.e., a free market. Capitalism is the social system of and for the human mind.

What is a capitalist?

A capitalist is an advocate of laissez-faire capitalism, regardless of how economically rich or poor they are.

Economically, a capitalist is someone who invests capital in a business concern, whereas politically a capitalist is an advocate of laissez-faire capitalism. For example, factory-owner Frederique Engels (and co-author with Karl Marx of The Communist Manifesto) is politically anti-capitalist. Though economically Engels came from a wealthy background, politically he is recognized as a socialist/communist because of his ideas.

Is capitalism just an economic system?

Capitalism is an integrated ethical-political-legal-economic-cultural system.

Capitalism is not just an economic system that can be grafted onto any political structure, but is an integrated social system that depends on a specific ethical, political, legal, economic, and cultural foundation.

Moral Foundation of Rational Self-Interest

Ethically, the animating force behind capitalism is the moral philosophy of rational self-interest: a code of morality based on what human beings require to achieve happiness living on earth.

Politics of Individualism

Politically, capitalism regards the individual as a sovereign being with an inalienable right to take the actions necessary to support one’s life (freedom), so long as one respects the equal right of others to do the same.

Legal System of Objective Law

Legally, capitalism operates according to a rule of objective law, with a government whose purpose is to protect individual rights.

Economics of the Free Market

Economically, freedom protected by objective law, applied to the sphere of production and trade, results in a free market in material and spiritual values.

Culture of Innovation

Culturally, this freedom in the economic and personal sphere leads to innovation in the arts, technology, and sciences, leading to peace, progress, and prosperity for all.

Capitalism Tour

The Capitalism Tour is visual presentation of the nature of capitalism (estimated time 6 minutes).

It is the most popular feature of this site. I recommend you do this first.

Frequently Asked Questions About Capitalism

Before you browse the questions in this FAQ, please go through the Capitalism Tour. This FAQ assumes you are familiar with the material provided in the Tour.


Capitalism Tour

A visual presentation of the nature of capitalism (estimated time 6 minutes). It is the most popular feature of this site.


Explore the rich literature of Capitalism. The library features a selection of books on capitalism like Ayn Rand’s classic Capitalism: The Unknown Ideal.


Capitalism Frequently Asked Questions (FAQ) covers subjects ranging from antitrust and individualism to selfishness and socialism to help you “chew” the ideas introduced in the tour.


Capitalism Magazine is a daily magazine featuring articles defending individual rights.


Every week the Voice of Capitalism Newsletter delivers capitalism related news, events, and book recommendations to your email box for free.


Our blog, Capitalism Review, highlights articles of interest from around the web on Capitalism.

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