[On the Instability of Republics]

[Professor X]

Capitalism has existed since long before the Calvinists. Before centralized governments came into being, you always had some groups where individuals would create something to sell or barter with. If someone had great success with something (being a top-notch basketweaver, for example) there were bound to be those who tried to compete with them. Capitalism in its purest form has probably existed for as long as humans have traded with each other.

What you are describing here is not Capitalism, it is simple trading (which even too place in Neanderthal times). Capitalism (in its entirety) means a lot more than that, this is the actual meaning:

capitalism |ˈkapətlˌizəm|
noun
an economic and political system in which a country's trade and industry are controlled by private owners for profit, rather than by the state.

So for trading and capital to be attained, successful governments need to be put in place.