Apple's slowing sales have made a lot of people panic. But for consumers it could actually be good news: Apple is selling less because other manufacturers are catching up. Capitalist competition is what makes producers more creative and consumers better off.
One of the big myths about capitalism is that it allows a stable, wealthy elite to line their pockets with profits. But that's not how it works: in a free market, a company that makes a groundbreaking new product will face massive competition from others who see an opportunity to imitate it. As they catch up, its profits will consistently decrease. The only way to stay on top is to keep creating and innovating.
Don't believe me? Think about some of the world's most successful corporations today: Apple, Google, Microsoft, Walmart. Where were they 30 years ago? Google didn't even exist. Now think about some of the biggest corporations then? IBM, DuPont, Bethlehem Steel – which has long since disappeared.
The big names have changed, and they'll change again. Who knows what Apple will be doing in 30 years' time? Maybe they won't exist. Maybe they'll focus on Apple Pay and become a bank. Either, way disruptive innovation will change the market - and transfer wealth from elites to consumers.
It's the industries in which the big names haven't changed that should make us suspicious: big banks, energy, American car manufacturers. Too often, the reason they survive is because they have colluded with Government to rig the rules and keep out the competition. Too often, the taxpayer bails them out – transferring wealth from ordinary people to the corporate elites. That's not capitalism; that's crony corporatism.
I hope Apple meets the competition with wonderful new innovations. But if its competitors pick up the baton and out-innovate Apple, so much the better! Market-driven innovation is what makes all of us better off.
"A revolutionary text ... right up there with the Communist manifesto" - Dominic Lawson, Sunday Times
Printed by Douglas Carswell of 61 Station Road, Clacton-on-Sea, Essex