Why does capitalism most likely not eradicate racism and prejudice, at least not in the short term? Give an example from the book.

Individuals have the right to adopt irrational ideas, and capitalism allows them to act on those ideas so long as they don’t violate the individual rights of others. For example, under capitalism a restaurant owner has the right to limit his clientele to whites only (or blacks only, or Jews only, etc.).But if he’s renting his building, the conditions of his lease may prevent such limitations; if a few such examples pop up around the country, landlords are sure to modify their terms to avoid potentially embarrassing tenants. And most suppliers will steer clear of this restaurant owner for fear of taking a hit to their reputation. Under capitalism, a racist restaurant owner may not change his mind, but to survive and thrive as a business owner, he will most likely keep his views private.

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