Agent Smith is wrong, I agree. But it is not capitalism or profit incentive that is the cause. He is wrong, because we can grow and evolve to be better. Capitalism is a means to an end, the end has been the same long before capitalism or Stalin-marxism. A certain subset of people will always abuse power, money does not matter. If the average people can band together and put aside differences, we can grow beyond the old paradigm and cast aside the power corrupted people.
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