I'm not convinced of this as a universal rule, rather than the results of specific details of our economy. A core assumption of capitalism is that capital is distributed. But our economy is highly centralized by design.
Specifically the government creates a bottomless supply of money to loan out, but only to highly-legible highly-centralized entities. As such, big business has an endless source of cheap capital to draw from to invest, whether it's devouring other businesses or building out thousands of cookie cutter stores. Small businesses can only access the money trough by going through a consumer bank with its higher fees and scrutiny of business plans. Individuals can only access the money trough by taking out collateralized loans on legible assets. For the individual market we can readily observe the resulting destructive individual-disempowering dynamic for the markets that have been financialized - chiefly housing and education.
A significant raising of interest rates would reign in this effect. Unfortunately it would take a long and protracted timeline for actual reform, as our economy has come to rely on the bottomless source of easy capital. But it's still worth keeping in mind the warped foundation our specific economy is built on, rather than characterizing the current moribund state as an inevitable end result of every market economy.
Specifically the government creates a bottomless supply of money to loan out, but only to highly-legible highly-centralized entities. As such, big business has an endless source of cheap capital to draw from to invest, whether it's devouring other businesses or building out thousands of cookie cutter stores. Small businesses can only access the money trough by going through a consumer bank with its higher fees and scrutiny of business plans. Individuals can only access the money trough by taking out collateralized loans on legible assets. For the individual market we can readily observe the resulting destructive individual-disempowering dynamic for the markets that have been financialized - chiefly housing and education.
A significant raising of interest rates would reign in this effect. Unfortunately it would take a long and protracted timeline for actual reform, as our economy has come to rely on the bottomless source of easy capital. But it's still worth keeping in mind the warped foundation our specific economy is built on, rather than characterizing the current moribund state as an inevitable end result of every market economy.