March 5, 2025
While appearing on The Big Deal Podcast with Codie Sanchez, Codie and I explored various topics including economic systems and their real-world impacts.
As someone who has witnessed different economic realities across the globe during my military service, I’ve formed some observations about capitalism, socialism, and communism that I shared during our conversation.
Self-Correcting Economic Systems
During our conversation about economic systems, I shared my perspective on capitalism versus other economic models:
It’s a huge perspective shift and I think you have to consciously look at it. In my beliefs, if you look at socialism or communism, that is a structure that has to be attended constantly. Whereas capitalism tends to right-size itself.
This observation came after Codie shared a story from the book Shantaram about laborers in India who were carrying water up several flights of stairs to fill a hotel shower.
When the protagonist felt guilty and said he wouldn’t shower anymore to spare them the work, his guide immediately objected.
The guide explained that the protagonist should shower six times a day if possible, because he was providing these men with needed employment that allowed them to support their families.
I noted that this story perfectly illustrates the trickle-down effects of what happens when there is an exogenous effect and somebody decides to mess with the system.
When well-intentioned people try to “fix” a capitalist system that’s working as designed, they can inadvertently harm the very people they’re trying to help.
Different Cultural Values in Economic Systems
While discussing economic differences between societies, I highlighted how different cultural priorities can create strengths even in economically challenged regions:
I would also argue that their system was better for elderly care. I mean, you take care of your grandparents. You take care of your entire families. Whereas us in the US, we send them off.
This came after Codie’s discussion of “los abandonados” (the abandoned) — elderly people left behind when their families migrated north from Mexico.
I acknowledged that while some systemic approaches may be flawed, certain cultural values around family care can be superior in other societies.
Beyond Tourism: Understanding Cultural Differences
When discussing how people gain understanding of different cultures, I emphasized the importance of deeper cultural engagement:
I think people like to substitute those words. Oftentimes they believe their travel is an experience. And it is, in and of itself. But I still think it’s important to understand what makes other cultures tick.
This speaks to the difference between surface-level tourism and truly engaging with different economic and social systems to understand how they function and what values they prioritize.
Economics as Protection
When Codie mentioned that “money is protection and money is freedom,” I responded, so you think it’s a matter of resources that solves it before ideology?
Codie confirmed this view, explaining that economic resources provide both protection and options. I agreed, noting, it’s a result of the socioeconomic status.
This exchange highlighted how economic systems that foster individual resource accumulation can provide protection for vulnerable populations.
When people have financial resources, they have more options and greater security.
Conclusion
Throughout our conversation, I acknowledged the complex interplay between economic systems, cultural values, and human behavior.
No single system perfectly addresses all human needs, but some approaches better allow for natural balance and adjustment than others.
Capitalism, with its ability to self-correct and adapt to changing conditions, provides opportunities for people to contribute meaningfully while supporting themselves and their families.
When we try to artificially control economic systems through constant intervention, we often create unintended consequences that harm the very people we’re trying to help.
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