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1、470Chapter15Economies,workandconsumption2Pursuitofpersonalprofit.Acapitalistsocietyencouragestheaccumulationofprivatepropertyanddefinesaprofit-mindedorientationasnaturalandsimplyamatterof‘doingbusiness’.TheclassicalScottishEnlightenmenteconomistAdamSmith(17
2、23–90)(seeChapter1)claimedthattheindividualpursuitofself-interesthelpsanentiresocietyprosper(1937:508;orig.1776).Othersarguethatitleadstotheexploitationofthemassbythefew,andconsolidatesaclasssystem.3Freecompetition,consumersovereigntyandmarkets.Apurelycapita
3、listeconomywouldoperatewithnogovernmentinterference,sometimescalledalaissez-faireapproach.AdamSmithcontendedthatafreelycompetitiveeconomyregulatesitselfbythe‘invisiblehand’ofthelawsofsupplyanddemand.Themarketandneo-liberalismAdamSmithmaintainedthatthemarkets
4、ystemisdominatedbyconsumerswhoselectgoodsandservicesthatofferthegreatestvalue.Producerscompetewithoneanotherbyprovidingthehighest-qualitygoodsandservicesatthelowestpossibleprice.Thus,whileentrepreneursaremotivatedbypersonalgain,everyonebenefitsfrommoreeffici
5、entproductionandever-increasingvalue.InSmith’stime-honouredphrase,fromnarrowself-interestcomesthe‘greatestgoodforthegreatestnumberofpeople’.Governmentcontrolofaneconomywouldinevitablyupsetthecomplexmarketsystem,reducingproducermotivation,diminishingthequanti
6、tyandqualityofgoodsproduced,andshort-changingconsumers.Pure,idealcapitalismisnon-existent.TheUnitedStatesmayhavethepurestform–privatemarketsaremoreextensivethaninEurope–yeteventheretheguidinghandofgovernmentdoesplayaroleineconomicaffairs.Throughtaxationandva
7、riousregulatoryagencies,thegovernmentinfluenceswhatcompaniesproduce,thequalityandcostsofmerchandise,theproductsbusinessesimportandexport,andtheconsumptionandconservationofnaturalresources.Thefederalgovernmentalsoownsandoperatesahostofbusinesses,includingtheU
8、SPostalService,theAmtrakrailwaysystemandtheNuclearRegulatoryCommission(whichconductsatomicresearchandproducesnuclearmaterials).TheentireUSmilitaryisalsogovernment-operated.Federalofficialsmayste
