There is a new movement emerging in the world.
This movement suggests that the existing form of liberal democracy, based on free will, combined with capitalism, is no longer effective, and a different understanding is replacing it.
However, to answer the question in the headline, we need to consider the views of various thinkers, historical examples, and some prominent names.
Supporters of the Liberal Capitalist Democratic System
Friedrich Hayek (1899-1992), a well-known figure of economic freedom and individual rights, argued that the less the state intervenes, the freer society becomes.
According to him, the free market, through the "invisible hand" mechanism, provides the best balance, and economic diversity, innovation, and individual rights all derive strength from this system. Hayek believed that free markets and freedoms are essential to improve societal welfare.
Before Hayek, Adam Smith (1723-1790) also supported similar ideas. He believed that individuals pursuing their own interests is the most powerful system for increasing overall societal welfare.
Those who defend the system's positive aspects think that individual freedom and free markets form the foundation of a just and sustainable economic order
Prominent figures like Thomas Jefferson and James Madison, founding fathers of the United States, also emphasised that limiting state power and protecting freedoms are necessary for the progress of democratic societies.
In short, those who defend the system's positive aspects think that individual freedom and free markets form the foundation of a just and sustainable economic order.
Critics of the System
However, there are many critics as well. For example, Noam Chomsky (1928-...) argues that the capitalist system particularly strengthens large corporations and elites.
He states that income inequalities are deepening in the current system, and decision-making mechanisms are shaped more by large capital interests than by the people's will.
Another significant name is Pierre Bourdieu (1930-2002). According to him, political and economic power forms a "symbiotic strength" in society, where economy and culture move together, making truly democratic structures difficult.
French economist and social scientist Thomas Piketty some years ago also claimed that income disparities are growing, weakening democracy and increasing societal polarisation.
Let's also look at examples from different regions: Neoliberal policies, accelerated during the Reagan and Thatcher era of the 1980s, boosted economic growth but also increased income inequality and social problems.
In Latin America, countries liberalised early but faced crises and corruption, with leaders like Chavez emerging with anti-elitist and anti-system rhetoric
In Latin America, leaders like Chavez initially followed liberal policies but eventually faced crises and social conflicts. In Europe, social welfare models still tackle unresolved issues. In my previous week's article, I discussed what happened to Carlos Menem.
Throughout history, different countries have experienced various experiments. For instance, Reagan's neoliberal policies in the US in the 1980s encouraged economic growth but deepened income gaps, culminating in the 2008 financial crisis.
In Latin America, countries liberalised early but faced crises and corruption, with leaders like Chavez emerging with anti-elitist and anti-system rhetoric. However, these systems also encountered serious economic and social problems. Today, Europe still sees a major struggle between social state policies and capitalism.
Developing Technologies and New Relations
Today, technological advances (artificial intelligence, blockchain, social media) are beginning to profoundly transform this system. People now trust not only the state and large institutions but also digital platforms, gaining power from them.
Movements organised on social media, becoming large crowds, challenge traditional systems. This could lead to new ruptures in the "capitalist democracy" structure we've known for decades.
We are living in a layered, complex, and dynamic era, and therefore, we must be prepared for the ongoing reshaping of systems, ideas, and power structures - Emre Alkin
So, is this system truly coming to an end? There are different opinions. Some believe that democracy, free markets, and freedoms, protected by this system, are weakening due to technological and social transformations.
Thinkers like Curtis Yarvin suggest that the complex structure is no longer sustainable, and new power balances and societal models will emerge.
Yarvin argues that the major ideologies of the 20th century (liberalism, communism, socialism) have expired. The new paradigm appears to fundamentally change power centres and societal structures both economically and politically.
His followers say that while society faces massive changes and crises, they are building a new "order." This new structure does not aim to overthrow the current capitalist system but instead to reshape it with new forms and boundaries.
Still, the "liberal capitalist democracy" system remains standing, but it faces serious challenges and transformation processes. Each era has its crises and ways out. The good news is that many thinkers and societies are trying to find common ground.
On one hand, advocates of freedom like Hayek and Smith shout from the historical depths that "the order will not change, and the system will stand on its own." On the other hand, figures like Chomsky, Bourdieu, and Piketty argue that "the system is degenerating in its own interests, and permanent change is necessary."
Above all, the established order itself is experiencing change and transformation. Is this a real threat or a new opportunity? Only time will tell. However, one thing is certain: we are living in a layered, complex, and dynamic era, and therefore, we must be prepared for the ongoing reshaping of systems, ideas, and power structures.
