Book Cover

Capitalism,  The Way to a World of Peace and Plenty
by Ray Carey

Hard/Softcover/Kindle - 5 May, 2004, Available on

Ray Carey presents the theory and practice of democratic capitalism by coupling his experience with a synthesis of the thought of Adam Smith, Karl Marx, and John Stuart Mill.  The empirical evidence is clear: democratic capitalistic companies produce superior results, and nations that support economic freedom and keep money neutral improve the lives of their people.

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Course 1:10

A  Reformed Capitalism                     

The source of capital in the American economy is democratized through ownership including retirement savings. The work culture is democratized to release the cognitive power of Information Age knowledge workers.  The rewards from capitalism, however, are not yet democratized because Wall Street has learned to exploit the wage earners’ capital. This intolerable contradiction can be corrected through tax-free dividends to low- and middle-income wage earners.

The timing is right: The people are angry over the unnecessary economic disaster, and the system is awash in cash, including the $2.3 trillion of 401(k) funds waiting to see whether new investments will be made to benefit the wage-earner capitalists or recycled  into Wall Street speculation. Also available is $1 trillion over required reserves sitting in banks waiting to be borrowed for growth investment or directed towards ESOP opportunities. Finally, another $1 trillion in surplus is waiting on corporate balance sheets to see whether it will be invested in growth, paid in special tax-free dividends to wage earners, or wasted again on the Wall Street priorities of stock buy backs and deals.
Reformed capitalism will include:

This reformed capitalism will make a fair return to wage earners and will then be ready to spread on its innate economic and social logic. The rapidity of this spread will depend on the quality of support from education and changes to supportive tax laws.

Neutralizing the following abuses will move hundreds of billions of dollars a year out of Wall Street speculation into the economy through the retirement accounts of wage earners:

Citizens need to do their homework on these matters to prevent more damage by Wall Street. Democratic capitalism can then maximize wealth through the motivation from ownership, and distribute it broadly to those whose purchases have the greatest multiplier effect.

Ray CareyRay Carey

Ray Carey learned through managing companies for 33 years how to change the work culture to provide employees with their best opportunities to develop and contribute. This experience began as a 28 year old plant manager and later president of an electric motor company, and concluded with eighteen years as president , chairman, and CEO of ADT, Inc.

See Carey's autobiography of his work career in chapter two of his first book,

Democratic Capitalism, The Way to a World of Peace and Plenty.

For more information about Ray Carey and his advocacy of democratic capitalism, visit the pages of this website.

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Owen decentralized to the work station and let the workers run their jobs. This was the key to motivate the workers to produce and innovate more. It required a management that understood the philosophy and were trained and motivated in it themselves. The Mercantile philosophy, however, was still one of maximizing profits by suppressing wages and benefits. In contrast, Owen's capitalism added worker income that was spent to the benefit of economic growth called the "multiplier effect".

Owen understood that the "intellectual" community demeaned his proposals. Early in the 19th century Owen had demonstrated the capitalism in which capital and labor were synergistic.Owen also identified the intellectual negative attitude towards capitalism that continues to the present.

This is still the challenge to the intellectual community to study the alternatives in capitalism in order to promote the one that maximizes the amount of wealth and distributes it broadly.

Owen joined the Manchester Literary and Philosophical Society. Its members were the elite of the town whose manners had been acquired in respected schools. In their company Owen never forgot his origins: 

I was yet but an ill-educated awkward youth, strongly sensitive to my defects of education, speaking ungrammatically, a kind of Welsh-English …I felt the possession of ideas superior to my power of expressing them, and this always embarrassed me with strangers, and especially when in the company of those who had been systemically...

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