Modern Issues of Individualism in Capitalist Society - Essay Example

Name: xxxxxxxxxxxxx Course: xxxxxxxxxxxxx Institution: xxxxxxxxxxxxx Title: The Individual in Society Date: xxxxxxxxxxxxx The Individual in Society Introduction The foundation of modern capitalist societies is the capitalist mode of production or capitalism which refers to social systems that uphold the principle of individual political, social and economic rights. Capitalism is essentially used to refer to an economic system or a mode of production based on the principle of private ownership of property or the means of production (Bell 1976). Therefore, the predominant aspects of a modern capitalist society are economic and characterized by the main features of capitalism as a mode of production. The socio-political correlates of capitalism are democratic governance systems and liberal societies which protect and uphold individualistic values. Therefore, it can be argued that the economic, political and social aspects of a modern capitalist society are all rooted in the ideology of the supremacy of individualistic values over collectivist values (Machan 2002). This essay will discuss to what extent modern capitalist society should be organized around individualist rather than collectivist principles. In each paragraph, the essay will discuss the economic, political and social aspects of modern capitalism and demonstrate the relationship between individualism and capitalism. The essay will then point to examples where collectivism and capitalism are compatible and conclude by arguing that economic, political and social aspects of modern capitalist societies should be organized on individualistic values or individualism only so far as they provide ideological justification for the basis of this organization and that they are consistent with the interests of a particular society. Individualism and Aspects of Modern Capitalist Society The Economy Turner (1988) argues that individualism and capitalism have a very close and dynamic relationship where individualistic values are seen as both the pre-requisites of modern capitalist society as well as the consequences of the development and evolution of modern capitalist society. As argued above, the economic system of the archetypal modern capitalist society is based on a capitalist mode of production which emphasizes on the private ownership of property. Turner (1988) demonstrates with the examples of British and American capitalism that such modes of production require as a necessity capital which is privately owned and a legal system that recognizes and protects the autonomy of the private individual. Individualism therefore provides the ideological legitimization for private property which is the cornerstone of the economic system of any modern capitalist society (Allik and Realo 2004). Therefore, for the economy of a modern capitalist society to be functional, it should be organized on liberal and individualistic values such as market determined wages, deregulation of interest and exchange rates and the presence of incentives for private production such as allowing foreign direct investment and removal or minimization of subsidies to attract capital. Political System Politically, modern capitalist societies are also characterized by democratic forms of governance. Democracy is the most common political system in the contemporary world as is widely regarded as the political correlate of capitalism and an essential component of any modern capitalist society (Derbyshire and Derbyshire 1990). Democracy, like capitalism, is founded on the ideology and philosophy of individual rather than collective freedoms and liberties and representative government- a government of the people, by the people, for the people. In modern capitalist societies as exemplified by the United States of America which is often considered the world’s foremost liberal democracy, individual rights take precedence as manifested through features such as universal suffrage and the Bill of Rights which confers a set of inalienable rights and freedoms to every citizen of the United States (Turner 1988). In fact, the true measure of the democracy of any society is the extent to which these individual rights and freedoms are protected by the state. Culture and Religion Closely related to the economic and political aspects of society, cultural of modern capitalist societies are also organized according to individualist values. Common social features of modern capitalist societies such as the United States and France include religious diversity where each individual is free to subscribe to any religion and creed that they wish to without discrimination (Derbyshire and Derbyshire 1990). Although such societies were established on Western Christian traditions, the implication of the religious doctrine of such societies is the emergence of the individual as pure subjectivity within a private space (Bell 1986). In such societies, Muslims, Christians and Hindus co-exist and continuously interact with each other under the promise of freedom of religion. Contradictions between Individualism and Capitalism However, despite the widely held assumption that the establishment of modern capitalist societies per se requires individualistic cultures and that to the extent possible they should be organized according to individualist values, there are several instances that have demonstrated that modern capitalist societies can still develop in circumstances where collectivist values have prevailed over individualistic values or individualism. A case in point is the Japanese brand of capitalism based on Confucian collectivist values (Bell 1976, Dore 1983). While Japan may have most of the latent features of a modern capitalist society but its capitalism is founded predominantly on collectivist or Confucian values. Confucianism emphasizes on collectivist values such as the pursuit of communal good as a priority over self interest and also discounts religion. The Japanese economy is centrally planned and it rejects the premise of allowing the market to wholly determine wages or interest and exchange rates (Turner 1988). Such economic indicators are agreed upon collectively by various economic actors such as bankers, industrialists and labour unions (Dore 1983). Other modern capitalist societies such as Singapore and South Korea are also characterized by state controlled economies which prioritize national interests over private capital formation and accumulation (Huff 1995, Turner 1988). A number of reasons have been advocated to explain these apparent contradictions between individualist values and modern capitalist society. Fukuyama (1993) notes that although the triumph of capitalism over socialism suggests that modern capitalist societies should be premised on individualism, there are several cultural and economic contradictions of capitalism. For instance, with regards to the economy, while capitalist doctrine advocates for saving as a means of creating wealth capitalist systems can only function only if the wheels of demand are well oiled. This implies stimulating spending on non-essential luxury items such as cosmetics, fragrances, new phones and computers, cars and other gadgets to satisfy individual desires (Bell 1976). The liberal market logic has also been severely undermined by the 2008 subprime mortgage crisis in the United States that triggered global recession. On the other hand, socialist economic systems would restrict or control the production of such commodities and prioritise more collectivist priorities such as food production. The advance of modern capitalist societies has also been characterized by increased collectivist discourse in the form of clamour for welfare and social equality which have necessitated the creation of bureaucracies for social control. This is what Turner (1988) refers to as a Foucault paradox which characterizes many Western democracies. As demonstrated in the aftermath of the subprime mortgage crisis in American society, the enforcement of rights on an egalitarian basis and protection of certain civil rights requires greater state intervention to regulate conditions of competition and to expand access to scarce resources. Therefore, the more individual rights expand, the more the individual becomes subject to surveillance, centralised control and regulation. Conclusion In conclusion, it can be argued that individualism and modern capitalist societies have a contingent relationship, with individualistic values providing both pre-requisites for modern capitalist society and emerging as consequences of the same. Therefore, economic, political and social aspects of modern capitalist societies should be organized on individualistic values or individualism only so far as they provide ideological justification for the basis of this organization and on balance promote the interests of that society. For example, liberal market economic principles should only be applied and apply to such societies to the extent that they promote the interests of such societies and do not have more deleterious than beneficiary effects. Modern capitalist societies such as Japan’s have proven that aspects of society such as the economy can still be successfully organized around collectivist principles. Even the complete and universal application of individualistic values in politics has underscored contradictions between individualism and capitalism as evidenced in the United States after the September 11 terror attacks where control and regulation centralised References Allik, J & Realo, A (2004), ‘Individualism-Collectivism and Social Capital’, Journal of Cross Cultural Psychology Vol. 35, No. 1, pp 29-49. Bell, D. (1976), The Cultural Contradictions of Capitalism, London, Heinemann Educational Books. Derbyshire, J. & Derbyshire, I., 1990, Political Systems of the World, Allied Publishers, New Delphi. Dore, R. (1983), British Factory, Japanese Factory, London, Allen and Unwin. Fukuyama, F (1993), The End of History and the Last Man, New York, Penguin Books Limited. Huff, W.G. (1995), ‘The Developmental State, Government and Singapore’s Economic Development since 1960’, World Development Vol. 23, No.8, pp 1421-1438. Machan, T.R (2002), Capitalism and Individualism, New York: Cybereditions Corporation Limited. Turner, B.S (1988), ‘Individualism, Capitalism and the Dominant Culture: A Note on the Debate’, Australia and New Zealand Journal of Sociology, Vol 24, No. 1, pp 47-64. Read More