To You Who Finds Capital Difficult

The Chinese characters for capital carry the meaning of “essential substance that has been accumulated.” Likewise, the English word capital comes from the Latin caput, meaning “head.” This reflects the idea that capital contains something fundamental and originative. In economics, capital refers to “accumulated wealth—that is, large amounts of money or productive assets such as land and factories that serve as the foundation of production.”

We all need to make an effort to become familiar with capital, which forms the foundation of our lives. Capital makes human beings freer and more prosperous. It allows time to become truly time, and space to become truly space. In the Book of Genesis, Chapter 1, light comes into being with the words, “Let there be light.” The creation of something is, in itself, the creation of both time and space. For time to function as time and space as space, human beings must play a meaningful role by creating value.

As ways of living that make us truly human accumulated, civilization advanced, and capital made human life freer and more abundant. For this reason, building systems that allow good things in human life to accumulate as capital is of paramount importance.

As good things accumulated, envy took root, and forces emerged that sought to destroy the value of civilization. They framed what people had created and accumulated as something inhuman and viewed it through the lens of conflict. As a result, humans and capital—once seen as partners in cooperation—came to be perceived as adversaries. The idea that humans and capital are in conflict stems from socialist thought and its psychological foundation in egalitarianism. At the heart of anti-capital activism lies a hostility toward capital, a sentiment born of a poor understanding of how the world works.

Human beings have always sought to accumulate better things as they confronted threats and sought to master their surroundings. Yet history is full of oppressive attempts to confine individuals’ natural movements and isolate them behind rigid barriers. The lives of Korean potters who were taken to Japan offer a telling example. Unrecognized for their talents in Joseon, these artisans achieved remarkable success in Japan. The pottery they produced became Japan’s leading export, driving the country’s modernization through trade. By accumulating capital through commerce, Japan came to enjoy prosperity.

It is our responsibility to pass on to the next generation the know-how of befriending capital and accumulating it. The way our minds work is often called habit, and the voluntary cooperation among people is called social order. Over time, not only ways of living but also material know-how accumulate. When such experiential knowledge comes together, it becomes capital.

Devices that make time shine more brilliantly, material foundations that make space more fully what it is—these are gifts bestowed upon our lives. They reduce the amount of time we must work and grant us the leisure to enjoy life. As a result, we have reached a point where a few hours of work a day can sustain a life of abundance, a development that has also fueled the growth of leisure.

Accumulating capital wisely, enriching our lives, and passing that prosperity on to the next generation is a meaningful and deeply rewarding endeavor. Becoming familiar with capital can be described, in a word, as acquiring experiential knowledge that lays golden eggs. By contrast, attacking or dismantling the process by which capital is created and accumulated destroys civilization and undermines human life itself. If we want our society to become more prosperous and enable future generations to reach further, we must befriend capital, firmly establish systems for capital accumulation, and pass them on.

If you seek economic freedom—and if you want your family and neighbors to enjoy prosperity—then become friends with capital.

Korean version: https://www.cfe.org/20241010_26946