How Do You Feel About Wealth Distribution in the US?

Question

According to David Cay Johnston's new book "Free Lunch: How the Wealthiest Americans Enrich Themselves at Government Expense (and Stick You with the Bill)," the current distribution of wealth in the US is closer to that of Mexico and Brazil than any other countries in the world. The US currently has the third LOWEST tax rate of any industrialized nation. Only Korea and Mexico are below us.

Imagine if the US was made up of 100 people and $100 was all the wealth in the country.

1 person would get $34.30 each

4 people would get $6.15 each

5 people would get $2.46 each

10 people would get $1.34 each

20 people would get $0.56 each

20 people would get $0.19 each

40 people would get less than $0.01 each

http://www.faculty.fairfield.edu/faculty/hodgson/Courses/so11/stratification/income&wealth.htm

Given these facts, how do you feel about wealth distribution in the US?

Answer 1

It sucks *** but it's not going to change any time soon! =/

Answer 2

Before answering the question I have to address certain alarming problems with your premise and that of the author. First the title suggest that the Wealthy enrich themselves at the expense of the government. This tells me all I need to know about the author’s worldview hence the prism through which he filters facts to suit his theory. There is no such thing as “government expense” as the government has no income. The government has nothing that it has not first taken from the people. Therefore the title theory should be that the wealthy enrich themselves at taxpayer expense.  Second you close with “given these facts” despite the fact that you nor the author actually provided any facts. What you provided were a set of assumptions. Fair enough but they are hardly facts.

I agree that many people have acquired wealth at taxpayer expense. As a Libertarian you and I are brothers in arms on that count. But the assumption is that all wealth is so acquired. That is patently false. People who use the power of government to enrich themselves do so under the policies enacted by and protected by Democrats and far too often acquiesced in by Republicans. Farm subsidies is one example. These subsidies go to wealthy farming corporations as opposed to the small independent struggling farmers that most people envision when they think of farmers. Another is protectionist policies via regulation which make it impossible for competitors to enter certain industries/markets thereby ensuring a virtual monopoly or domination by a small cartel of corporations. Another is exorbitant tariffs which attempt to create a price parity between imported and domestic goods at expense to the consumers (taxpayers).

But there are many wealthy people who earn their wealth free of the ever increasing government racket. They are providing products, services and jobs to the taxpayers which makes them enemy number one of Socialists, particularly the bureaucratic collectivists. Their income has been legitimately earned.

The concept of income distribution is a Socialist fallacy predicated upon the idea that all income is somehow deliberately dolled out and that there is a finite pie. There is an assumption that every dollar one man earns represents a dollar that another man cannot acquire. To explain this would require far more time than I can give in this forum but suffice it to say that it is beyond preposterous.

Answer 3

how do I feel?....I get the best job I can...I get paid the most I can....I spend it. That's wealth distribution....regardless of what level I'm on....don't like it?...move! I see no chains holding you here!?!?!

Answer 4

I see it and the United States in general as a textbook example of what right wing politics do to a country. Literally, I but many politicians around the world point to the US as the ultimate nightmare of free market fundamentalism and social injustice.

In the United States, the wealthiest country in the world, 36 million Americans live in poverty - earning less than $20,650 for a family of four in 2007. Another one in six Americans struggle to make ends meet on incomes between 100% and 200% of poverty ( $20,650 to about $40,000 for a family of four). More than 12 million American children grow up in impoverished homes. When compared with 20 other wealthy nation on measures of health, safety and relative poverty, America's children fare amongst the worst.

http://spotlightonpoverty.org/why_spotli...

It's tragic

Answer 5

give me your address and I'll send you a check. Oh, wait, I already do that. How about another one? I'll work 65 hours this week to make up for it. You just rest your weary little head. Life is hard.

What you don't seem to get is that the Democrats are the protectors of government giveaways. I live in NY State and you have to have an electricians license to work in my city. To qualify, you need to be in the union, pay dues, and vote for Democrats. The union vote keeps them in power. The non union, working stiff is out. Period. They charge 3 times the rate. I know, I live in the city. It's blatant extortion, and every union electrician I know is extremely wealthy (big corporations). They act like they are the little guy, run ads like they are the little guy, but guess what? They are in that 1% and have people like you falling all over themselves with tears when you see their election advertising. Don't be so naive.

Wal Mart's approach to health care is appalling. You will never get an argument from me. Also, the government should never decide who gets paid, but I think you miss the point. There is no difference between the political parties. The only difference is the Democrats take more directly from you, and the Republicans believe by lowering taxes they end up with more through economic activity (record receipts in 2007). Something tells me you're not a Libertarian, though. Socialism is a farce. It extingishes investment and growth. China and India built wealth through Capitalism after decades of poverty under Socialism.

A friend of my father has a NY State pension that pays him 150K a year for the rest of his life. He does not have to pay state tax (7%) and has the very best health care you can buy. Do you even realize how much that pension is worth? He's 55 years old and he never had to save a dime in his life. Democrats, my friend. Giving away the store, and guess who gets crushed? 2nd highest poverty rate. You do the math. Tax jobs out, increase government jobs (most in the country), and sit back and watch the votes roll in. They could care less about that company that moved. Those were Republicans, anyway.

Answer 6

This is how capitalism works, especially when corporations have more power then most politicians. Like it or leave it.

I am sorry that the truth hurts you so much. And I am not here pandering for the right-wing attack machine like you might think I am.

I am sorry but this is how true capitalism works, brush up. Up until about 25 years ago this was a mixed economy. The more capitalist we become the more greedy we become, and people with loads of money want loads more. Look up some info on South Africa. This is why you have a deteriorating middle class and a poorer lower class. So yes, like it, leave it or do something about it. The distribution of wealth is going to move towards the wealthier people in a totally capitalistic economy because the wealthy people own all the stuff that the poor people want and can charge whatever in the h**l that want to for it. So go on thinking that this isn't how capitalism works. When you figure it out it will dawn on you that greed is what controls people, not wealth.

Answer 7

Fine.  If people want more money, they should go out and earn it.

ALL groups saw their incomes rise when the government stopped discouraging (through excessive taxation) work, investment, risk-taking and innovation.  when everyone is able to fulfill his or her full potential, some will do better than others.  But "income inequality" is the class-warfare game some engage in in an attempt to gain votes, and power.  It worked in Cuba!

PS  Do the figures include people illegally in this country?  I bet they do.

PPS  I did not mention "undocumented workers."  I was talking about ILLEGAL ALIENS.

And resistribution of wealth on the scale described would run afoul of the Fifth Amendment's takings clause, or should, in any event.

Taxation?  The top 1% already pays a huge percentage of the nation's tax burden.  Close to half of Americans pay not tax at all.  Further taxation will only encourage many of our most productive citizens to become "undocumented taxpayers" and shelter their moneys, or leave the country.