Liberal Forum

The Looting Machine Called Capitalism 

Paul Craig Roberts

I have come to the conclusion that capitalism is successful primarily because it can impose the majority of the costs associated with its economic activities on outside parties and on the environment. In other words, capitalists make profits because their costs are externalized and born by others. In the US, society and the environment have to pick up the tab produced by capitalist activity. In the past when critics raised the question about external costs, that is, costs that are external to the company although produced by the company’s activities, economists answered that it was not really a problem, because those harmed by the activity could be compensated for the damages that they suffered. This statement was intended to reinforce the claim that capitalism served the general welfare.

...

Consider just a few examples. When a taller house is constructed in front of one of less height, the Gulf view of the latter is preempted. The damage to the property value of the house whose view has been blocked is immense. Would the developer build such a tall structure if the disadvantaged existing property had to be compensated for the decline in its value? When a house is built that can sleep 20 or 30 people next to a family’s vacation home or residence, the noise and congestion destroys the family’s ability to enjoy their own property. If they had to be compensated for their loss, would the hotel, disquised as a “single family dwelling” have been built? Walton County, Florida, is so unconcerned about these vital issues that it has permitted construction of structures that can accommodate 30 people, but provide only three parking spaces. Where do the rental guests park? 

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Now consider the external costs of offshoring the production of goods and services that US corporations, such as Apple and Nike, market to Americans. When production facilities in the US are closed and the jobs are moved to China, for example, the American workers lose their jobs, medical coverage, careers, pension provision, and often their self-respect when they are unable to find comparable employment or any employment. Some fall behind in their mortgage and car payments and lose their homes and cars. The cities, states, and federal governments lose the tax base as personal income and sales taxes decline and as depressed housing and commercial real estate prices in the abandoned communities depress property taxes. Social security and Medicare funding is harmed as payroll tax deposits fall. State and local infrastructure declines. Possibly crime rises. Safety net needs rise, but expenditures are cut as tax revenues decline.

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Contradicting the neoliberal claims, Apple’s and Nike’s prices do not drop despite the collapse in labor costs that the corporations experience. A country that was intelligently governed would not permit this. 

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Neoliberal economics was constructed in order to support this looting. In other words, neoliberal economists are whores just like the Western print and TV media. Yet, Americans are so insouciant that you will hear those who are being looted praise the merits of “free market capitalism.” 

So far we have barely scratched the surface of the external costs that capitalism imposes. Now consider the polution of the air, soil, waterways, and oceans that result from profit-making activities. Consider the radioactive wastes pouring out of Fukushima since March 2011 into the Pacific Ocean. Consider the dead zones in the Gulf of Mexico from agricultural chemical fertilizer run-off. Consider the destruction of the Apalachicola, Florida, oyster beds from the restricted river water that feeds the bay due to overdevelopment upstream. Examples such as these are endless. The corporations responsible for this destruction bear none of the costs.

Neoliberal economics was constructed in order to support this looting. In other words, neoliberal economists are whores just like the Western print and TV media. Yet, Americans are so insouciant that you will hear those who are being looted praise the merits of “free market capitalism.” 

LowIQTrash » 08 Feb 2026, 2:18 pm » wrote: ↑

08 Feb 2026, 2:18 pm

Posted MANY moons ago...with zer0 viable responses
https://paulcraigroberts.org/looting-ma ... apitalism/

*GHETTOBLASTER » 08 Feb 2026, 3:37 pm » wrote: ↑

08 Feb 2026, 3:37 pm

What we really need is a system that enables....

65 IQ people....
to own $1500 sail foams [cell phones]....and unlimited jibber jabber / mumbo jumbo / nig-babble usage plans
to have public paid Section Ape [Section 8] housing....
to drive 300 HP SUVs to the welfare office....[where their Aunts, Uncles and their Burf Mammas all have DEI jobs and the authority to grant you yo' benefits 'nsheet]]
to have $200 per month marijuana and fentanyl habits [while claiming to be disabled and unable to work].
to have access to "free" medical treatment...
to lead the USA in food calories ingested VS food calories expended via useful work....[obesity rate]
and of course to have a political party that constantly trains these people to believe their lives would have been so much better if the White Man had left them laying around the jungle floor of Stone Age Sub Saharan Africa.......

LowIQTrash » 08 Feb 2026, 2:18 pm » wrote: ↑

08 Feb 2026, 2:18 pm

Posted MANY moons ago...with zer0 viable responses
https://paulcraigroberts.org/looting-ma ... apitalism/

JuCo 5 percenter...72 “Show me the man and I’ll find you the crime” ~ LAVRENTIY BERIA "Try to get past your passionate ignorance and learn to accept what actually happened." ~ brown's unheeded words of wisdom If gender is not sex, why should a gender claim change what sex you shower with? "Libruls are often fascists on vacation..."

LowIQTrash » 08 Feb 2026, 2:18 pm » wrote: ↑

08 Feb 2026, 2:18 pm

 zer0 viable responses

 

LowIQTrash » 08 Feb 2026, 2:18 pm » wrote: ↑

08 Feb 2026, 2:18 pm

Posted MANY moons ago...with zer0 viable responses
https://paulcraigroberts.org/looting-ma ... apitalism/


 
 

LowIQTrash » 08 Feb 2026, 2:18 pm » wrote: ↑

08 Feb 2026, 2:18 pm

Posted MANY moons ago...with zer0 viable responses
https://paulcraigroberts.org/looting-ma ... apitalism/

Fuelman » 09 Feb 2026, 9:03 am » wrote: ↑

09 Feb 2026, 9:03 am

Nice opinion piece rant, devoid of any solution.

JuCo 5 percenter...72 “Show me the man and I’ll find you the crime” ~ LAVRENTIY BERIA "Try to get past your passionate ignorance and learn to accept what actually happened." ~ brown's unheeded words of wisdom If gender is not sex, why should a gender claim change what sex you shower with? "Libruls are often fascists on vacation..."

ROG62 » 09 Feb 2026, 10:37 am » wrote: ↑

09 Feb 2026, 10:37 am

noIQ's mentor?

Fuelman » 09 Feb 2026, 10:45 am » wrote: ↑

09 Feb 2026, 10:45 am

Can't say for sure but the site disclaimer is interesting:

This site offers factual information and viewpoints that might be useful in arriving at an understanding of the events of our time. We believe that the information comes from reliable sources, but cannot guarantee the information to be free of mistakes and incorrect interpretations. IPE has no official position on any issue and does not necessarily endorse the statements of any contributor.

JuCo 5 percenter...72 “Show me the man and I’ll find you the crime” ~ LAVRENTIY BERIA "Try to get past your passionate ignorance and learn to accept what actually happened." ~ brown's unheeded words of wisdom If gender is not sex, why should a gender claim change what sex you shower with? "Libruls are often fascists on vacation..."

LowIQTrash » 08 Feb 2026, 2:18 pm » wrote: ↑

08 Feb 2026, 2:18 pm

Posted MANY moons ago...with zer0 viable responses
https://paulcraigroberts.org/looting-ma ... apitalism/

Zeets2 » 09 Feb 2026, 12:28 pm » wrote: ↑

09 Feb 2026, 12:28 pm

Oh, you want a viable response?
OK, here you go!

If capitalism is SO terrible, how is it that the capitalist US has become the single strongest, wealthiest, most generous, free country the world has ever seen in just 250 years of existence while much of the rest of the world's governments have existed for THOUSANDS of years through an endless number of socialist, feudal, theocratic, communist, Marxist, tribal, and totalitarian regimes that have all failed to advance their own civilizations to the same level, and many have been stagnated for centuries??

It is only ignorant liberals who actually believe they have better solutions despite watching EVERY ONE OF THEM fail to advance their country at the pace the US has set!  And it's only the poorest, weakest, most uneducated, and lazy who DO NOT prefer the meritocracy that capitalism has bred because they want to take from those who have worked the hardest and are the most capable and intelligent WITHOUT contributing the hard work required.

Deal with THAT, socialist!