The capitalism versus socialism debate resumes with the intervention of Deepinder Goyal, Kunal Shah and Dhruv Rathee

A new debate over capitalism and socialism has surfaced on Indian social media, amid ongoing rows over concert deliveries, where questions around worker pay, platform accountability and the role of private companies have dominated public discourse. Prominent startup founders, investors and influencers spoke on the role of economic systems in creating wealth and reducing poverty.

The debate saw Deepinder Goyal, founder of Eternal, argue that capitalism, despite its flaws, remains the most effective engine for creating value. In a post on

Goyal was amplifying a message from Kunal Shah, founder of financial technology company CRED, who called for greater public education on economic ideologies. Shah urged popular Indian podcasters in all languages ​​to explain both the pros and cons of capitalism and socialism. While acknowledging the flaws of capitalism, Shah described it as “the only proven system that can lift us out of poverty and make a nation worth caring about”, reflecting a commonly held view within the Indian startup ecosystem.

Supporting this position, Chander Bhatia, co-founder and chief investment officer at Seers Fund Management Pvt Ltd, highlighted the interdependence between capitalism and social welfare. Bhatia argued that capitalism is essential to achieving a level of prosperity that allows socialist policies to operate effectively. “If the government does not collect enough taxes, it cannot do much on the socialism front,” he wrote, adding that private entrepreneurs play a crucial role in creating jobs and profits that ultimately finance public welfare through taxation.

However, the largely pro-capitalist chorus was countered by social media influencer and educator Dhruv Rathee, who cautioned against framing the issue as a binary choice. Rathee argued that debating labels such as capitalism and socialism in isolation is unproductive, noting that no country operates under a purely capitalist or purely socialist model. “Even the most capitalist country in the world today has elements of socialism and the most socialist country has elements of capitalism,” he wrote.

Rathee called for a more pragmatic and evidence-based approach to policymaking, urging policymakers and citizens to evaluate individual policies on their merits rather than relying on ideology. He said evaluating data, results and track records on a case-by-case basis is a more effective way to drive national progress than “blindly trusting theoretical concepts.”