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Sadly, Trade and Commerce Have Always Been Vilified

Blog Post | Rights & Freedoms

Sadly, Trade and Commerce Have Always Been Vilified

Socialism and capitalism are relatively new, but their basic precepts are not.

On a couple of previous occasions, I have written about the failures of socialism and about socialism’s continued appeal. In those columns, I pointed to research that suggests that at least some socialist instincts, including zero-sum thinking and egalitarian sharing, might be inherent to the design of the human brain. A number of people emailed me to express their skepticism about the “innate” nature of socialism. Isn’t socialism, they said, a relatively new phenomenon that arose, in large part, as a response to the perceived “abuses” of capitalism?

As a consolidated, if not necessarily coherent, criticism of capitalism, socialism is certainly new. But, so is capitalism, as we understand it. Prior to the Industrial Revolution, few people talked about either. However, as I will show below, flashes of socialist and anti-capitalist thinking can be discerned all the way back in antiquity, thus pointing to the deep-seated nature of intuitive responses to both economic “systems.”

As mentioned, “socialism” and “capitalism” are relatively new, but their basic precepts are not. In so far as capitalism is only the latest iteration of an economic set up based on commerce, private property and profit making, there have always been those who found those three unpalatable.

Consider the following examples. Hesiod, the Greek poet who lived in 8th century BC, believed that human history could be divided into golden, silver, bronze, heroic and iron ages. The defining characteristics of the golden age, he thought, were common property and peace. The defining characteristics of his contemporary iron age were profit-making and violence.

In Homer’s Odyssey, which was probably written in the 8th century BC, the Greek hero Odysseus is insulted for resembling a captain of a merchant ship with a “greedy eye on freight and profit.” According to 5th century BC Greek historian Herodotus, the Persian emperor Cyrus the Great dismissed his Spartan enemies by saying,

“I have never yet been afraid of any men, who have a set place in the middle of their city, where they come together to cheat each other and forswear themselves. Cyrus intended these words as a reproach against all the Greeks, because of their having market-places where they buy and sell….”

Writing in the 4th century BC, Plato envisaged an ideal society ruled by “guardians,” who had no private property, so as not to “tear the city in pieces by differing about ‘mine’ and ‘not mine.’” He observed that “all the classes engaged in retail and wholesale trade … are disparaged and subjected to contempt and insults.” In the ideal state, Plato averred, only non-citizens should engage in commerce. Conversely, a citizen who becomes a merchant should be punished with imprisonment for “shaming his family.” Even the hyper-rational Aristotle agreed that “exchange [of goods for profit] is justly condemned because it involves … profiting at others’ expense.”

In ancient Rome, wrote Professor D. C. Earl of the University of Leeds, “All trade was stigmatized as undignified … the word mercator [merchant] appears as almost a term of abuse.” In the first century BC, Cicero noted that retail trade is sordidus [vile] because retailers “would not make any profit unless they lied constantly.” The Roman masses shared this attitude. The comedies of Plautus were directed to a mass audience. In them, notes Earl, Plautus “makes frequent reference to the commercial classes, who are invariably treated with hostility and contempt.”

The hostility of Roman Catholic theologians to commerce is well known. Consider the Decretum Gratiani, which was the standard compilation of canon law from the time that Gratian published it in the mid-12th century AD until 1917. Accordingly, “Whoever buys something … so that it may be a material for making something else, he is no merchant. But the man who buys it in order to sell it unchanged … is cast out from God’s temple.”

Protestant theologians agreed. According to the economic historian R. H. Tawney, Martin Luther “hated commerce and capitalism.” In Das Kapital, Karl Marx approvingly quotes Luther as saying, “Great wrong and unchristian thievery and robbery are committed all over the world by merchants.” And John Calvin noted that the life of the merchant closely resembles that of a prostitute, for it is “full of tricks and traps and deceits.”

Idealized societies that various thinkers have imagined throughout the ages tended to share the prejudices of the ancients. Sir Thomas More, the Lord Chancellor of Henry VIII of England, coined the word “utopia” in a book of the same name. In More’s Utopia, both money and private property were abolished.

Over the succeeding centuries, humanity periodically acted on its revulsion toward trade, private property and profit making. Some experiments, such as those of 15th century Bohemian Taborites and 17th century Plymouth Colonists, were inspired by the Christian religion. Others, like Robert Owen’s 19th century experiments in New Harmony, Indiana, and New Lanark, Scotland, were not. In the end, all such experiments failed amid discord and poverty.

This, by necessity truncated, look at the past clearly indicates the ancient roots of human hostility toward some of the most important features of capitalism. To explore this topic further, I have organized a policy forum on “Socialism and Human Nature,” which will take place at the Cato Institute on September 14 at 11am.

The forum will feature three well-known thinkers: Jonathan Haidt, Professor of Ethical Leadership at the New York University; John Tooby, Professor of Anthropology at the University of California–Santa Barbara; and Leda Cosmides, Professor in the Department of Psychological and Brain Sciences, University of California–Santa Barbara. Our panel will further explore the evolutionary origins of these impulses and I will write about our conclusions in a future column.

This article first appeared in CapX.

Fierce Biotech | Science & Technology

FDA Clears Minimally Invasive Brain-Computer Interface Implant

“Precision Neuroscience has obtained an FDA clearance for a crucial piece of its plans for a full brain-computer interface system, starting with its minimally invasive cortical electrode array. The company described it as the first regulatory green light for a developer of wireless mind-reading tech.

The agency cleared Precision’s Layer 7 interface as a temporary implant for use up to 30 days. Built on a thin, flexible film, the device and its 1,024 electrodes can be slotted through a sub-millimeter incision and placed nearly anywhere on the surface of the brain in a reversible procedure. It is capable of recording information as well as stimulating neural activity, and multiple implants have been used in a single patient.

The company said the go-ahead from the FDA will allow it to begin offering the device for medical applications such as brain mapping during open surgery, as it continues to develop its computer-controlling platform.”

From Fierce Biotech.

Reason | Poverty Rates

Javier Milei’s Free Market Reforms Are Starting To Pay Off

“Argentina’s poverty rate fell sharply in the second half of 2024, according to official data released this week, marking a major milestone for President Javier Milei’s sweeping economic reforms.

According to the country’s official statistics agency, the National Institute of Statistics and Census (INDEC), the poverty rate fell to 38.1 percent between July 2024 and December 2024—down nearly 15 percentage points from the first half of the year. Household poverty also declined by 13.9 percentage points, hitting 28.6 percent. And extreme poverty was cut by more than half, falling from 18.1 percent to 8.2 percent.

It’s a major turnaround from the beginning of Milei’s presidency. When he took office in December 2023, he inherited a poverty rate of 41.7 percent, which quickly surged to 53 percent as his administration launched a ‘shock therapy’ program to end Argentina’s economic misery.

One of the biggest drivers behind the poverty decline is the sharp drop in inflation. Annual inflation, which reached 276.2 percent a year ago—one of the highest in the world—dropped to 66.9 percent last month. Monthly inflation has also dropped, from 25.5 percent in December to just 2.4 percent in February.”

From Reason.

Healio | Noncommunicable Disease

FDA Approves First New Antibiotic for Uncomplicated UTIs in Decades

“The FDA approved gepotidacin for the treatment of uncomplicated UTIs in women and adolescent girls aged 12 years or older, GSK announced.

It is the first new antibiotic for the treatment of uncomplicated UTIs (uUTIs) in nearly 30 years, according to GSK. 

The decision to approve gepotidacin, which will be marketed as Blujepa, was supported by positive phase 3 data from the EAGLE-2 and EAGLE-3 trials, which demonstrated the antibiotic’s noninferiority to standard-of-care treatment nitrofurantoin.

Data from the EAGLE-2 trial showed treatment success in 50.6% of participants vs. 47% in patients treated with nitrofurantoin, with an adjusted difference in success of 4.3 percentage points.”

From Healio.

Financial Post | Energy Production

World Bank May Drop Ban on Funding Nuclear Power

“The head of the World Bank said he asked the lender’s board to reverse its long-standing policy against funding nuclear power projects, saying the technology offers a green option for poor countries.

‘The good news is the board has come together and said they’re willing to discuss’ the change, World Bank President Ajay Banga said Thursday at an event in Washington, adding that he expects the move to be included in a broader energy policy proposal expected in June 2026.”

From Financial Post.