a clear demonstration of a lack of understanding of capitalism. not a surprise.
capitalism works in every instance that it is implemented, failing only due to outside interference (typically government) which, by definition, makes it no longer capitalism.
..in the mean time, capitalism is working as expected, with weaker companies falling by the wayside (interplay, troika). if obsidian is not careful, it will suffer the same fate.
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Its the regular my "real world capitalism" vs. your "theoretical/ideal capitalism" definition issue again. By my definition, the above was an example of capitalism(real world) working(with a positive effect = relatively cheap games).
And every system works. Capitalism works, feudalism works, theocracy works. But the fact that a system can achieve status quo for a longer period of time does not mean it has positive effects for the people forced to live within that system.