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Billionaires exist because any system where people are given different opportunities when starting out end in vastly different outcomes. However, if you look a
by stcredzero 8y ago
Billionaires exist because any system where people are given different opportunities when starting out end in vastly different outcomes.
However, if you look at the historical record, there are many groups who are seriously disadvantaged who succeed, while other groups are advantaged or neglected and yet stay poor. One of the key differentiators is cultural isolation. Groups can remain culturally distinct, but still enter into the mainstream of cultural and economic life. These groups generally prosper. (Call these participation communities.) Other groups remain culturally and economically isolated, often through the machinations of their own elites, and they remain poor, often developing in-group militancy. (Call these isolation communities.) German immigrant groups throughout history are interesting in this regard, as some German emigrant groups were participation communities that prospered, while others were isolation communities who fell behind economically. Chinese immigrant groups also contradict the "different opportunities" narrative by arriving on new shores poorer than the poor of the new country, yet pulling themselves up into the middle class in several generations. (So success isn't genetic. It seems to be carried by culture and it's transmissible.)
Bill Gates isn't 100 billion times smarter than the top software people he worked with at IBM. Yet, he is worth that much more than them.
That is how Pareto distributions work. Shakira isn't orders of magnitude more talented than other performers who have remained obscure. Effects akin to Network Effects accrue to lucky individuals who were in the right place at the right time who had implemented "GYST" and made the right moves.
Income inequality destroys the social fabric of a community.
No disagreement there. Crime is correlated with relative poverty. Everyone does need to feel they are full participants, and have pride as such in the community. Then again, the historical record shows that trying to scale egalitarian/communal societies past a relatively small size tends to result in decaying and destroyed social fabrics as well.
- socrates1998 8y ago>There are many groups who are seriously disadvantaged who succeed Yes. Cultural advantages exist. It's a part of the issue of income inequality. >That is how Pareto distributions work. I know. That's my point. Redistributing excessive wealth would counter this. >Then again, the historical record shows that trying to scale egalitarian/communal societies past a relatively small size tends to result in decaying and destroyed social fabrics as well. I am not talking about everyone being a hippy and living together in harmony. I am talking about capping wealth or income and redistributing it.
- stcredzero 8y agoYes. Cultural advantages exist. It's a part of the issue of income inequality. Cultural advantages not only exist, but they clearly have tremendous effects. Not only are the effects large, but they also tend to be very efficient with respect to cost. If people are really serious about addressing poverty, then this should be one of the first places they look. However, when I look at the policy positions of my chosen tribe (the Left) I see it favoring policies which erode the transmission of wealth-generating cultural knowledge. I see policies which encourage isolation communities. I see policies which have resulted in the dissolution of families. I see the glorification of subcultures which are anti-education. I am talking about capping wealth or income and redistributing it. I think some American billionaires would do well to be more like wealthy elites in Japan and Sweden. I think it would be very good to see some of that wealth go towards the building up of the physical and cultural commons. I suspect it would be far better if that were voluntary, than if we set a precedent by making it forced.
- hoaw 8y agoThe properly wealthy have done very little for equality in Sweden. Sweden also has relatively large wealth inequality. Egalitarianism in Sweden definitely hasn't been voluntary (and is more and more of a joke every day).