I believe capitalism is basically promoting narcissism at every level of society (especially among the rich). I can see this personally, western millenials are some of the most narcissistic people I have ever seen alongside ancaps, they can’t take L’s even though it’s absolutely warranted. It’s especially bad with parenting, when you rightfully tear someone to shreds for parenting mistakes they go fucking full Tumblr warrior and go ballistic on the critics even when most of them are shitting on them with good faith in mind.
Another example of this me, me, me, shit is entrep bullshit. It’s pretty clear entrepreneurship is just narcissism disguised as a way out of poverty.
Actual narcissism is a psychological condition that not that many people have. It can have biological causes or it is thought to be triggered by traumatic events especially in early life. It can have severely negative effects on the people with narcissism and their surroundings.
I wouldn’t say capitalist society is feeling narcissism per se more than it is fueling extreme individualism, which is still different from narcissism.