No, it's not; that's an after-the-fact rationalization.
I mean, we were a few centuries into the feudalism-capitalism transition before anyone started even talking about property rights in those terms in general, at least another century before capitalism as a system was even described (and by it's critics, not it's supporters), and I think several decades later till this excuse was cited specifically as a justification for capitalism as such.
Capitalism was created, incrementally over time, because rich merchants decided to use their wealth to force feudal overlords to cede progrrssively more power and influence to the rich merchants. Not as a manner to harness greed for the public good. Just as a matter of greed, pure and simple.
My point was that, while that may be the aim of the system, it's not inherent to it - you are backing up my point by saying that it was not always used that way.
No that's completely false. Capitalism is the replacement (and logical continuation) of feudalism, after its collapse, as a system of social stratification. Saying that is trying to validate your thinking and ignoring the history of the matter.
My point was that, while that may be the aim of the system, it's not inherent to it - you are backing up my point by saying that it was not always used that way. (You may argue it still doesn't, although I'd say it does at least to some extent).
It's a good idea - people will act selfishly instinctively, so if you can align that to make it good, then everything works.
Of course, we know raw capitalism doesn't work (e.g: monopolies break it). So our systems have all sorts of hacks to try and fix it. The problem is that so many of the richest people just focus on breaking those fixes and finding gaps to exploit to avoid creating value for society.
Currently, a lot of the groups in power across the world are actively trying to make more of those gaps they can slip through, and remove the layers of fixes we have put in to support the people that are not helped by that simple system.
Yes, it's good for people to want to make money in a capitalist system, assuming the system is perfect and that there is no way to break it is to ignore reality.