We can’t control what others do and we can’t stop misfortune from striking. But we can control our own actions. Those who are financially prudent will most likely enjoy success, even if events don’t always go their way.
I find all this talk about inequality interesting. There is nothing new about inequality of course, it’s been with us since one caveman had a bigger cave. However, because of a few hundred people in the world, the gap between top and bottom has never been greater.
Most of the angst comes from the political left. I conclude that it is in their best interest to stimulate envy, division and distrust in the system – fair share, rigged, 8% tax rate and all that nonsense.
Of course taking more in taxes from Musk and Bezos will improve the lot of the average working American.
The deficit and debt in the US is high and growing, but higher taxes sought by progressives won’t address those issues because their goal is to greatly expanded social programs, programs that will be forever with higher costs each year. That is, spend any new revenue not use it to lower borrowing or debt.
If, in fact, the American people want a government along the lines of most of Europe and Scandinavia, the honest approach is to lay it all out with the price tag and then explain why higher – much higher – taxes add value to our lives.
Of course, that is political suicide and besides, many, even most Americans want it all, but paid for by someone else. Consider how Americans see taxing Social Security benefits as unfair and the Medicare IRMAA higher premiums as a ripoff when in fact both are quite logical.
The progressive strategy may well succeed, but eventually higher taxes on everyone will be required. The trap will spring and all the free stuff Americans welcomed when paid for by 1% of the population must be paid for by every taxpayer. And yes, a VAT in some form may well be part of the package.
Answer, the first two are reasons why —individuals— prosper, or not. Along with all the usual suspects: stupidity, laziness, morals, etc., in which case it may be understandable
that there is reluctance to support welfare and other income or wealth transfers. Individual responsibility, it’s the American way.
But the other reasons are systemic.
Individuals may rise or fall within income quintiles, but the size and depth of the group itself will not change without systemic changes.
Other results of the survey:
“A majority of Americans say there’s too much economic inequality in the U.S.”
(41% of Republicans and 78% of Democrats… 61% total)
“Most Democrats and Republicans who see too much inequality say government should raise taxes on the wealthy. (65% of Republicans and 91% of Democrats…84% total)
“Those at the top gained their wealth through the growth in stock values and other investments much of which was originally created by the billionaires themselves.”
And in many cases, by employees working part or full time, yet not earning enough to support a household. 31billion on EITC alone.
Sure, it’s complicated (understatement). If the billionaires, or smaller businesses didn’t hire them for inadequate wages, the alternative might be no wages at all, still, until we can figure out how private enterprise can pay a reasonable wage, we have to subsidize the lower level workers.
The billionaires? “That (wealth) does not take from anyone…” But… The money, redistribution, subsidy, whatever you call it, has to come from somewhere. Billionaires, Millionaires, me? Yes me too. I’ve worked hard, and I’ve been lucky. I’m investing my SS every month now, and would gladly vote myself* a tax increase today, if it would go to lower income Americans.
*and if I would vote it for me, you can bet I would vote it for you too.
Who cares about the rich? They can take care of themselves. (It’s only money.)
But when the poor get poorer, and I’ll say it again, through no fault of their own, it becomes a serious social and economic problem.
“At the 10th percentile, 10% of the households had income at or below $15,660 in 2021, a decline of 4.4% from 2020 ($16,386).
However, at the 90th percentile, 10% of households in 2021 had income above $211,956, not statistically different from the 2020 estimate of $211,438.”
US Census Bureau, Increase in Income Inequality Driven by Real Declines in Income at the Bottom
September 13, 2022
Inequality is not just a problem for the poor. Everybody suffers Socially and economically.
“The problem is commonly understood as an issue for those who have less, and it certainly is. But recent studies demonstrate that inequality is bad for everyone in society.
Some of the pain is economic: The studies suggest that the inequality depresses economic growth, leaving less for society to divvy up — regardless of how its members decide to do so. And some of it is social: Studies have found that inequality, particularly the high level seen in the present-day United States, gives rise to criminal behavior. “
The problem of the very low income and the poor has been here forever and is not driven by inequality. Those at the top gained their wealth through the growth in stock values and other investments much of which was originally created by the billionaires themselves. That does not take from anyone nor prevent assistance to those who need it. Criminal behavior? If you mean undo political influence, it takes two to tango.
“Criminal behavior? If you mean undo political influence, it takes two to tango.”
No, I mean this. It’s either correlation/causation or a hell of a coincidence
“That does not take from anyone nor prevent assistance to those who need it.”
Assistance to those who need it is what I’m talking about. Disabled, elderly, and the working poor are on the brink of survival. They suffer from poorer health and even shortened lifespans.* Janitors and clerks and other low level workers in the US are probably not any dumber, lazier, or more frivolous than those in France or Great Britain. Let alone Denmark or Sweden. Why the higher poverty level here?
But “smaller government”, means to (too) many, less social welfare. From my first post:
“The problem is commonly understood as an issue for those who have less, and it certainly is. But recent studies demonstrate that inequality is bad for everyone in society.”
“…assistance to those who need it.” Helps everyone, rich, poor, and middle class.
“Macroeconomic policies (including government tax and spending policies) have significant effects on income distribution and that inequality can have adverse political and social consequences, with the potential to undermine macroeconomic stability and sustainable growth.”
*Woody Allen:
“um… two elderly women are at a Catskill mountain resort, and one of ’em says, “Boy, the food at this place is really terrible.” The other one says, “Yeah, I know; and such small portions.”
There are always winners and losers and then there are some people who just sit in the stands. There are a few who through no fault of their can’t even get to the stands. However, that number is not the other 99%.
The people in the stands do not make the same money as the stars on the field. But I am sure everybody had a chance to play baseball or basket ball in their free public school and also had the opportunity to continue in the sport. Some just didn’t in the effort or have the skill and now sit in the stands.
Life is not fair. The United States is one of the best countries to offer equal opportunity. Some people made bad choices and end up in jail and blew their opportunity.
QUINNSCOMMENTARY 
IMHO…
Which two of these are not like the others?
https://www.pewresearch.org/social-trends/2020/01/09/most-americans-say-there-is-too-much-economic-inequality-in-the-u-s-but-fewer-than-half-call-it-a-top-priority/psdt_01-10-20_economic-inequality_0-2/
Answer, the first two are reasons why —individuals— prosper, or not. Along with all the usual suspects: stupidity, laziness, morals, etc., in which case it may be understandable
that there is reluctance to support welfare and other income or wealth transfers. Individual responsibility, it’s the American way.
But the other reasons are systemic.
Individuals may rise or fall within income quintiles, but the size and depth of the group itself will not change without systemic changes.
Other results of the survey:
“A majority of Americans say there’s too much economic inequality in the U.S.”
(41% of Republicans and 78% of Democrats… 61% total)
“Most Democrats and Republicans who see too much inequality say government should raise taxes on the wealthy. (65% of Republicans and 91% of Democrats…84% total)
PEW RESEARCH CENTERJANUARY 9, 2020
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“Those at the top gained their wealth through the growth in stock values and other investments much of which was originally created by the billionaires themselves.”
And in many cases, by employees working part or full time, yet not earning enough to support a household. 31billion on EITC alone.
Sure, it’s complicated (understatement). If the billionaires, or smaller businesses didn’t hire them for inadequate wages, the alternative might be no wages at all, still, until we can figure out how private enterprise can pay a reasonable wage, we have to subsidize the lower level workers.
The billionaires? “That (wealth) does not take from anyone…” But… The money, redistribution, subsidy, whatever you call it, has to come from somewhere. Billionaires, Millionaires, me? Yes me too. I’ve worked hard, and I’ve been lucky. I’m investing my SS every month now, and would gladly vote myself* a tax increase today, if it would go to lower income Americans.
*and if I would vote it for me, you can bet I would vote it for you too.
LikeLike
The rich get richer and the poor get poorer.
Who cares about the rich? They can take care of themselves. (It’s only money.)
But when the poor get poorer, and I’ll say it again, through no fault of their own, it becomes a serious social and economic problem.
“At the 10th percentile, 10% of the households had income at or below $15,660 in 2021, a decline of 4.4% from 2020 ($16,386).
However, at the 90th percentile, 10% of households in 2021 had income above $211,956, not statistically different from the 2020 estimate of $211,438.”
US Census Bureau, Increase in Income Inequality Driven by Real Declines in Income at the Bottom
September 13, 2022
Inequality is not just a problem for the poor. Everybody suffers Socially and economically.
“The problem is commonly understood as an issue for those who have less, and it certainly is. But recent studies demonstrate that inequality is bad for everyone in society.
Some of the pain is economic: The studies suggest that the inequality depresses economic growth, leaving less for society to divvy up — regardless of how its members decide to do so. And some of it is social: Studies have found that inequality, particularly the high level seen in the present-day United States, gives rise to criminal behavior. “
Wahington Post, opinion, February 6, 2018
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The problem of the very low income and the poor has been here forever and is not driven by inequality. Those at the top gained their wealth through the growth in stock values and other investments much of which was originally created by the billionaires themselves. That does not take from anyone nor prevent assistance to those who need it. Criminal behavior? If you mean undo political influence, it takes two to tango.
LikeLike
“Criminal behavior? If you mean undo political influence, it takes two to tango.”
No, I mean this. It’s either correlation/causation or a hell of a coincidence
“That does not take from anyone nor prevent assistance to those who need it.”
Assistance to those who need it is what I’m talking about. Disabled, elderly, and the working poor are on the brink of survival. They suffer from poorer health and even shortened lifespans.* Janitors and clerks and other low level workers in the US are probably not any dumber, lazier, or more frivolous than those in France or Great Britain. Let alone Denmark or Sweden. Why the higher poverty level here?
But “smaller government”, means to (too) many, less social welfare. From my first post:
“The problem is commonly understood as an issue for those who have less, and it certainly is. But recent studies demonstrate that inequality is bad for everyone in society.”
“…assistance to those who need it.” Helps everyone, rich, poor, and middle class.
“Macroeconomic policies (including government tax and spending policies) have significant effects on income distribution and that inequality can have adverse political and social consequences, with the potential to undermine macroeconomic stability and sustainable growth.”
Political
Social
and Economic stability problems.
https://www.imf.org/en/Topics/Inequality/introduction-to-inequality
*Woody Allen:
“um… two elderly women are at a Catskill mountain resort, and one of ’em says, “Boy, the food at this place is really terrible.” The other one says, “Yeah, I know; and such small portions.”
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There is no limit on what can be divvied up. In fact, it’s those billionaires who originally expanded the economy did they not?
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Wealth is not a zero sum gain. I don’t make any less because Bezos is rich. “Inequality” is the natural way of things.
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There are always winners and losers and then there are some people who just sit in the stands. There are a few who through no fault of their can’t even get to the stands. However, that number is not the other 99%.
The people in the stands do not make the same money as the stars on the field. But I am sure everybody had a chance to play baseball or basket ball in their free public school and also had the opportunity to continue in the sport. Some just didn’t in the effort or have the skill and now sit in the stands.
Life is not fair. The United States is one of the best countries to offer equal opportunity. Some people made bad choices and end up in jail and blew their opportunity.
LikeLike