Yale professor Douglas W. Rae closes his course Capitalism: Success, Crisis and Reform with a review of the semester's core ideas before turning to a final case study. He revisits Adam Smith's invisible hand, Marxist historicism, Malthusian economics, and Schumpeter's creative destruction, then traces the role of the modern nation state in guaranteeing property rights and contracts, citing Hernando de Soto's arguments about formal property for developing economies. Rae walks through corporate structures and joint stock ownership before ending on Bechtel's water privatization contract in Cochabamba, Bolivia, using it to test whether capitalist enterprise can deliver a basic public good like clean water. The lecture runs through chaptered segments from foundational theory to the Bolivia case, giving a concrete example of how abstract debates about markets and state power play out when a private company takes over a city's water supply.