NOTE: I am not talking about equal rights to life, liberty, and the pursuit of happiness. I’m talking about the statistics thrown around today from the socialist pundits about the great divide between rich and poor.
Nearly 1.1 billion people have moved out of extreme poverty since 1990. In 2013, 767 million people lived on less than $1.90 a day, down from 1.85 billion in 1990.
Sitting down watching a great documentary by Vice on Youtube called The Third Industrial Revolution – look it up if you want to watch. As a caveat, every single economist across mainstream media base their theories and predictions on Keynes models, which have been proven faulty by von Mises, but are still used today because of the ties with larger government. Not one fucking person talks about inequality in terms of larger governments, do they?
Yet, larger governments means more control over drivers of inequality – banking, protectionism, mercantilism, etc. Today, the big businesses that are seemingly above the law leading people to blame capitalism instead of the real cause – government protecting the small group that pay the most. Look, we need government. We need people that can allocate a portion of the capital we have as profit toward security and protection. The should also be trusted to take care of the less fortunate.
The problem is that governments around the world collect and mismanage so much money that we could have solved climate problems 10 years ago or sooner. Oh, and don’t forget about the national debt. Close to $21 trillion (21,000,000,000,000) or $65,000 per person. The majority of Americans have zero to little savings. The average wage is less than $45,000 annually, $123 a day.
So, the average American who by the way is complaining about such nonsensical bullshit has 64x more money to spend daily than 10% of the world’s population. What that means in an economic sense is that other countries produce goods and services for much less than we do here. It also means that so many people are wasting money day after day because they’re consumers not investors/producers.
It is what it is. The focus shouldn’t be whether 60 rich guys have more than 3.5 billion people, it’s whether the lives of 3.5 billion have been made much better over time or not. Cream will always rise to the top. We give a lot of lip service to social networks, but then only give our attention to one company – Facebook – who’s founder is one of the richest people ever. His for profit company has arguably been the leader in the third industrial revolution – the IoT and sharing economy.
Inequality is a driving motivator for competition leading to innovation leading to higher standards. To me, inequality (especially economic) is what moves people to strive for a better life. Not everyone can get a trophy or have a million followers on Instagram. Not everyone can execute on an idea that becomes a billion dollar company. Ideas alone are not what creates progress. I think inequality does, or a sense of it at least.
Again, maybe the future of our society isn’t built on money and economic inequality won’t be that important. If I have abundant energy, enough food, and access to transportation does it matter if my income is 99.99% less than the richest? NO. That’s why inequality is not the problem.
Bottom Line: Inequality is reality. While power doesn’t have to be a pyramid, inequality will always be a widening gap in some respects. Some people will get it and play the game better, whatever the game of that day, region, world may be.