According to Ayn Rand’s Objectivist philosophy, a true concept must be observed before it is thought. If there is not a referent (an example) in the real world, the mental concept is false and invalid. According to Ayn Rand, Capitalism is an “unknown ideal”v. A Capitalist economic system has “never yet existed, not even in America”vi. Therefore,
If concepts must be observed and Capitalism has never been observed, then Capitalism is not a concept.
If truth is real and Capitalism has never existed, then Capitalism is not true.
If truth must be experienced and Capitalism is unknown, then Capitalism is not true.
If concepts without referents are invalid and Capitalism does not have a referent in the real world, then Capitalism is an invalid concept.