We have seen a rapid growth in various world economies over the last century. It has been especially pronounced after world war II. Although of late this growth is not equally shared across the population. This results in income inequality and a sub set of the population loses all hope for upward mobility.
This segment of population is completely discounted and does not value the democratic choice that they exercise in elections, and consequently they make their decisions based on either unachievable promises or even protectionist and racist policies.
Once the value of the vote goes down, what you see is election of Incompetent or Callous leaders into the government, which further endangers the existence of democracy or capitalism.
Now don’t get me wrong, Capitalism is the only economic system we have seen work – all others like socialism, communism, dictatorship, fascism etc. have all failed the test of time. The question really is how to temper capitalism to not become its own biggest enemy and threaten its own (and democracy’s) survival.
Our next post is a plan to tackle this….