Well, actually, yes it is capitalism. In fact, it's as close to real capitalism as the American labor market will allow: willing workers and willing employers reaching a wage agreement, with minimal interference by the government.
The illegality of the workers' residence is treated as a mere formality -- and is obviously considered an acceptable risk by both parties.
The other stuff you list is, as I mentioned, government interference in the labor transaction.
Now, before you slobber off on another tirade, let me say that I don't support illegal immigration, nor do I support uncontrolled immigration. But I do find that an honest assessment of the facts is key to understanding why illegal immigration is the problem it has become.
Which brings us to the remainder of your comment ... you might get more traction if you started trying to communicate like a rational adult.
Here's a thought. Want to reduce illegal immigration? Do away with minimum wage laws. Then employers will be free to hire all those Americans willing to do these low wage jobs.
(Please note the trace of sarcasm above!)
You make a much more rational argument than other posters here.
It's not a level playing field when illegals are involved, since it's OBVIOUSLY cheaper to employ them. NO SS, no withholding, no health insurance...from a strictly economic point of view it's a no-brainer on the part of the employer.
However, if we're going to have labor laws and immigration laws they must be enforced.
Plus, I can't say I don't worry about America ultimately becoming a land of serfs and rich landowners with nothing in between if this keeps up.
You have to admit, from a personal perspective, it is disheartening that it seems like every year, another line of work gets shipped to India or given to illegal workers. I realize that we're doing OK in America overall, and people said the same thing 50 years ago. However, I am pointing out that it's easy to get concerned about it.