1. “The Golden Monster”
widely known as the
Capitalism
Jamil Al-Khatib
Al-
Uwe Freidank

2. Because the sheep is a sheep,
the wolf is a wolf.
Old Arabic saying
Reicher Mann und armer Mann
standen da und sah’n sich an.
Und der Arme sagte bleich:
Wär’ ich nicht arm, wärst du nicht reich.
Berthold Brecht

3. Structure
Definitions
History, Evolution and Today
Concepts
Capitalism’s effects
Social effects
Economical effects
War
Creativity effects
Suggested Solution / Alternatives
Open Discussions / What do you think?

4. What is capitalism?
economic system in which private individuals and
business firms carry on the production and exchange of
goods and services through a complex network of prices
and markets. Encarta
markets.
a combination of economic practices that became
institutionalized in Europe between the 16th and 19th
16th 19th
centuries, especially involving the right of individuals and
groups of individuals acting as quot;legal personsquot; (or
corporations) to buy and sell capital goods such as land,
labor, and money, in a free (meaning, free from state
control) market, and relying on the enforcement by the
market,
state of private property rights rather than feudal
obligations. wikipedia

5. History of Capitalism
Earliest forms known as “mercantilism”
=> distribution of goods to realize a profit
Originate in Rome and the Middle East
Trade routes between 3 great empires:
Egypt, Persia, and later Byzantium
Islam spread to Northern Africa, Spain,
the Middle East and Asia = global
character

6. Evolution of Capitalism in Europe
Between 16th – 19th Europe was
16th 19th
dominated by Concept of Feudalism
Low class people looked for freedom from
this system
Solution: A system based on the
Mercantilism developed to be the
Capitalism (Adam Smith)
(Adam Smith)
Industrial Revolution in 19th
19th

7. Today
Technology Revolution
Scientific Revolution
Service Revolution
Globalisation / International
Communication
Almost everything generats money and
creates markets / New branches of
products and services

8. Concept
Total free market
Controlled by supply & demand to reach
stability
Capital, labor … should be used freely and
transferred easily
No governmental intervention
Only the best can remain in the market
Fundamentally individualistic

15. Social effect
Individuality
Different social groups
People work for wages rather than for product
Crimes / Fraud / Immorality
Environment
Consumerism / Over consumption
Living under debit
Unemployment
Health insurance

17. Economical effect
Monopoly as the best case
Inefficiency in products/services
Capital travel
Free market
Unemployment
Money cycle

18. Capital travel
Free trade & Globalization
Effects on the rich countries
The investments travel from one country to
another to reduce its costs
The capital moves between countries in a
cycle

20. Money Cycle
Why Capitalism money cycle looks like a
spiral
Loans with interests
Corporate personalities
Limited liabilities
Anonymous responsibility/Share holders

24. War and capitalism
War on Iraq: America is unwilling to listen
to the French, the Russians, and the
Chinese
French troops in the Ivory Coast
Russian army in Chechnya
Chinese ethnic cleansing of Tibet

25. Effects on Creativity
What does Patent mean?
Patent is a tool to protect the inventors
Registration process / fees
What can be registered

27. Patents and Capitalism
Patent office funds
What can be patented
The objective of current patents
Prevent others from implementing the designs
Patents suits

32. CIVILIZING SOCIETY, The Annual FEASTA Lecture,
Dublin, Ireland July 4, 2000 by by David C. Korten

33. Suggested Solutions / Alternative
Get rid of the individuality and think
beyond your personal needs.
Our basic human needs for food and
shelter are more easily obtainable than
ever before, why don’t help others?
Pioneering Altruism as a viable Social Norm
Fair Trade / Free Market

34. Conclusions
Money should be used to produce, and
NOT only produce to get money
Any money generation that does not
produce anything for humanity should not
be gained or used
Inefficiency of the capitalism system
Instability of the system

35. What is your Opinion?
Open For discussion