Brilliant Capitalism

There is a man in California, who probably doesn't know you, but he happily grows cows. 

He then sends his cows to a butcher somewhere in Texas, who probably doesn't know you either.

The butcher then sends the meat to a processing plant somewhere in Florida. Those people may know you, or may not know you.

After the meat is packed and processed, it is sent to your local hamburger chain right where you are, to be grilled and slapped between buns, lettuce, tomatoes, for your delicious hamburger.

Just for your enjoyment!

But if you think about it, the hamburger processor, cow grower, or meat griller probably do not process meat, grow cows, or grill meat because they want to do it for you (I guess some care greatly about customer satisfaction...but). These wonderful people do it for money and for personal gain. 

Adam Smith, an 18th century philosopher, observed that production was enhanced by assigning specific tasks to individual workers. The division of labor would maximize production by allowing workers to specialize in discrete areas of the production process. This would result in an expansion of markets and wealth. Furthermore, this work place would work best in the absence of government interference. 

Adam Smith also realized that individuals acting in own self-interest would naturally seek out economic activities that would provide the greatest financial rewards! The meat processor will work hard, make sure the meat is safe, and show up early to work if he knew that there would be a raise soon, or he could be upgraded. If we all work for our own self-interest, this should maximize the economic well-being of the society!

However, what we must also remember is that we are human and have weaknesses. Working for our own self-interest leaves a lot of holes and room for selfish behavior. Is there a better way for this system to work?

This idea is different from the Law of Consecration, where the individuals work for a group gain. However, when places like China try to apply this methodology, it does not work as well. 

As long as my family is fed, we have cars to drive, hamburgers to eat. I am happy.

What if I know that my neighbor isn't as lucky...can I still be happy?