" Not that all of these individuals used the term capitalism, for as [Thomas L.] DiLorenzo points out, "The word capitalism was coined by none other than Karl Marx, who hoped that it would help in his crusade to denigrate the system of private property and free enterprise and promote socialism" (p. 1).

Although this is a book about capitalism, it is not a book on economics. As an economist, DiLorenzo is naturally quite at home when he discusses concepts like consumer sovereignty, supply and demand, scarcity, the division of labor, comparative advantage, inflation, price floors, price ceilings, monopoly, the free-rider problem, eminent domain, protectionism, mercantilism, rent seeking, embargoes, predatory pricing, and equilibrium prices. But because these concepts are all explained in layman's terms, and are only introduced when necessary, no prior knowledge of economics is required. In fact, because of the pervasive misunderstanding of capitalism, it might be better if the reader didn't know anything about economics because he would have less to "unlearn."

The title of the book may initially seem to be an exercise in hyperbole, but such is not the case. How Capitalism Saved America is indeed the untold history of our country. After a brief introduction and two very crucial introductory chapters on the nature of capitalism and the perpetrators of anticapitalism, DiLorenzo takes us through nine chapters of American history – from the Pilgrims to the recent California energy "crisis" – and shows "how, from the very beginning, capitalism has been vital to America's growth, and how excessive government interference in the economy has only exacerbated economic problems and stifled growth" (p. 4). Although the book is written chronologically, any of these nine chapters can be read independently. However, only one of them is necessary to see that the book's title is not an overstatement.

Because it was Marx himself who coined the term, it is no surprise that capitalism has been falsely thought to benefit only capitalists and the rich while exploiting workers and the poor. DiLorenzo dismisses as Marxist propaganda the idea that capitalism is "a zero-sum game in which 'somebody wins, somebody loses'" (p. 13). Instead, "Capitalism succeeds precisely because free exchange is mutually advantageous" (p. 11). And not only does it succeed, it is "the source of civilizations and human progress" (p. 1). Capitalism has "brought to the masses products and services that were once considered luxuries available only to the rich" (p. 12). Capitalism is not only "the best-known source of upward economic mobility" (p. 26), it "actually reduces income inequalities within a nation" (p. 26). In short, capitalism alleviates poverty, raises living standards, expands economic opportunity, and enables scores of millions to live longer, healthier, and more peaceful lives."