The biggest problem with the way capitalism works in America today is the scarcity of jobs. Many people who are not highly educated or do not have high IQs simply cannot participate in the economy. The system has become too complex and competitive, leaving behind those who lack resources or support. America’s low labor participation rate and growing homelessness are clear signs of this. None of the people lying on the streets want to be there. They just cannot find a place in the modern economy.
The second major issue is alienation. While caring for my elderly mother, I read online forums where people spoke of locking out their homeless parents or refusing to help them. It was shocking to see how disconnected people have become. In a society where everyone talks about adopting pets, many turn away from their own family members. Scarcity of simple, dignified work and deep social alienation are the real cracks in today’s capitalism. These are also the reasons why socialism and communism continue to gain ground in America, despite their own failures.