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Why They're Not the Same Thing (And Why It Matters)
When people start talking about capitalism, it’s easy to get lost in the debates about whether it’s a savior or a villain. Some folks defend it like it’s the only thing keeping society from crumbling, while others tear it apart, blaming it for all the world’s problems. But here’s the thing I’ve noticed: a lot of the people who are really passionate about defending capitalism—especially the ones who don’t actually benefit from it—seem to be confusing it with something else entirely: commerce.
And that’s a big deal. Because commerce and capitalism are not the same thing, not by a long shot. And understanding the difference can actually change the way we see the world.
So, What Is Commerce?
Commerce is as old as humanity. It’s not some big fancy system cooked up by economists—it’s just the act of people trading goods and services. It’s the local farmer swapping vegetables for tools, or two neighbors bartering skills to get stuff done. It’s people helping people get by.
At its core, commerce is about cooperation. It’s about two people trading what they have for what they need, and both sides walking away feeling like they got something useful in return. No one’s trying to screw the other over. It’s dynamic, it’s flexible, and it’s built on mutual benefit. Commerce doesn’t care if you’re rich or poor, it cares about what you’ve got to offer and what you need.
So, What Is Capitalism Then?
Capitalism, on the other hand, isn’t quite as innocent. It’s an economic system that’s focused on profit above all else. It’s about people who already have resources getting more of them, and it often works by concentrating wealth and power in the hands of a few. While commerce is about cooperation, capitalism is about control.
Under capitalism, the goal is to keep things running as efficiently as possible to make the most money, even if it means cutting corners on ethics or the environment. It’s not about fairness—it’s about control, unfair competition, and maximizing profit. And when you have that much concentration of wealth and power, it can easily lead to exploitation and inequality.
In capitalism, things like wages, working conditions, and even environmental concerns tend to take a back seat to the pursuit of more profit. This is why you can have a few billionaires sitting on vast amounts of wealth while millions of people struggle to get by.
The Big Problem: Conflating Commerce With Capitalism
Here’s the catch: a lot of people defend capitalism because they believe it’s the only way for commerce to happen. They think if we didn’t have capitalism, we wouldn’t be able to trade or start businesses, or even help each other out. But that’s not true at all. Commerce existed long before capitalism. In fact, it’s still happening right now without any of the baggage that capitalism brings along with it.
Take a look at local co-ops, mutual aid networks, or even bartering between small businesses. These are real examples of commerce happening outside the capitalist framework. People are trading, helping each other, and building community without the greed-driven systems that capitalism forces upon us.
Commerce Without Capitalism
Absolutely. It already has, and we’re starting to see it again. Think about worker-owned cooperatives, decentralized projects, or community-based businesses that don’t have shareholders to answer to or a profit margin they need to meet at all costs. These things exist because people don’t need capitalism to make commerce work—they need community, fairness, and trust.
The beauty of commerce is that it doesn’t need to operate under the rule of profit-hungry corporations. And when we get out from under capitalism’s thumb, we can create a system where people’s needs come before profits.
Why This Matters
It matters because it’s all too easy to get caught up in defending capitalism, thinking you’re defending trade, the ability to start your own business, or the freedom to exchange what you have for what you need. But in reality, capitalism isn’t about those things at all. It’s about control, exploitation, and inequality. When we confuse the two, we lose sight of what really works for everyone.
Look, I get it. Capitalism is all most of us have ever known, and it’s hard to imagine something different. But if commerce can happen without capitalism, then why not try to build a fairer system? One where the goal isn’t to make the rich richer but to help everyone thrive?
Maybe the world doesn’t have to work the way it does now. Maybe we can do better.
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