Zamora, Frances Faye K.

2011 62843 BA SOC

POSC 180 July 26, 2013

Capitalism and Democracy Gabriel A. Almond

The main problem solving sectors of the modern human society lie within the political and economic aspects. Each of this aspect has distinctive means and has to interact with and transform each other. Almonds thesis deal with the interaction of politics and economics in the Western World. In the last two centuries, democracy and capitalism have been dominant in political theory. Almonds research deals with the relationship of the two, the positive and negative interaction between them. The author began the lecture by showing the positive link between capitalism and democracy. He cited previous researches such as Hirschmans, which showed the early positive connection through presenting an interpretation of the impact of capitalism from the enlightenment view to the 19 th and 20th century conservative and radical writers; Schumpeters, which argued that the two are mutually causal and supportive parts of a rising modern civilisation; Moores, of which thesis is that effective capitalism is the creator and sustainer of the emerging democracies in the 19 th century; Dahls, which showed that democratic institutions existed in countries with capitalist markets, and socialist markets are associated with authoritarian regimes; and Bergers, which showed four propositions: capitalism is necessary in a democracy, capitalist economies cannot be subjected to state control, socialist economies should be opened up to market forces, and if capitalism develops, democracy is likely to appear. He also showed Social Mobilization, statistical studies, that demonstrated an association between the GNP and democratic institutions. Next he showed how capitalism subverts democracy. He presented the Marxist arguments that if there is capitalism, genuine democracy will be unable to exist. He showed the agreement of the Marxists, Neo-Marxists, Schumpeter, Dahl, Lindblom, and the other liberal political theorists, that capitalism produces an ineffective or defective democracy. The third theme of Almonds is that democracy subverts capitalism. He presented the traditions of economics from Smith to present, which stresses the importance of the development of an economy that is free from the state. Almond showed that democracy is concerned more of the redistribution of wealth, whereas capitalism is more on the accumulation. Almond wasnt straightforward with the last topic, democracy fosters capitalism. He emphasized the rise of the middle class. He made a strong argument that the two has been supportive of each other in a strategic sense. He believed that capitalism flourishes more in democratic welfares than with repressive ones. Almond recognized that there are positive and negative relations. However, democratic welfare capitalism produces that reconciliation of opposing and complementary elements which makes possible the survival, even enhancement of both of these institutions. The interaction between these two is not static but rather transforms over time. He proposed a resolution for the capitalism-democracy dilemma, that countries should focus on how these two can be complementary, rather than destructive to each other.