American capitalism was created by American democracy, wrote Gordon Wood, the Depression-born historian. One can go further: The unique strength of our capitalist system mirrors that of our political ideal. By offering opportunity to all, it fosters vigorous competition. By permitting merit to trump entrenched elites, it motivates individuals with the plum of fortune.
While adherence to these adages has waxed and waned (women were essentially excluded from business, as from the ballot, until the 20th century), they are present throughout, and distinguish U.S. capitalism from rival versions. In particular, the Jeffersonian origins of our economic system make it uniquely geared toward the individual. Europe has a broad safety net and high-speed rail; America has highways and startups.
