Wouldn unregulated capitalism lead to unsafe products and services?
Many opponents of an unregulated economy fear that without government safety regulations unscrupulous businessmen will try to maximize their profits by selling cheap, unhealthy, and unsafe products to an ignorant populous. On the contrary, however, it is the profit-motive that would ensure the safety of products and services in an unregulated economy at a level higher than in an economy with safety regulations. In a free market there are no government agencies deciding what products, foods, and services qualify as “safe enough” to be sold. This means that under capitalism all companies would have to earn their reputation through a demonstration of consistent quality and safety to their consumers. Since most consumers consider quality and safety to be very important features of the products they buy, a good reputation would be essential to success of any company in a free market. The importance of reputation for quality would force any potential profit seeker to ensure that his products
