Posts tagged with: Income distribution

In 1820, America’s per capita income averaged $1,980, in today’s dollars. But by 2000, it had increased to $43,000. That economic growth has benefited the rich, of course. But it has also transformed the lives of the poor — and prevented many more from becoming or staying poor.

In this superb short video, the American Enterprise Institute briefly explains the moral value of economic growth.

Yahoo! Finance’s Stock Analyst, Kevin Chupka, recently interviewed Rev. Robert Sirico about the “Cure for Income Inequality” and the work of PovertyCure. Chupka begins by stating that “close to half the planet lives on less than $2 dollars a day” and that an alarming number of Americans are living below the poverty line. He then states that despite all the good intentions, decades of charitable giving hasn’t done much to end this problem. Chupka and Sirico discuss PovertyCure’s mission to “challenge the status quo and champion the creative potential of the human person;” looking for ways to engage the poorest of the poor in trade rather than simply giving them money and hoping for the best.

Read ‘Fighting poverty: We’ve been doing it all wrong.’ at Yahoo! Finance. (more…)

Blog author: jballor
Thursday, April 24, 2014
By

cittfcSpeaking of Thomas Piketty, here’s a very helpful and revealing interview with Matthew Yglesias, “Thomas Piketty doesn’t hate capitalism: He just wants to fix it.” (HT: PEG)

A few highlights with some comment:

On the need for a historical perspective in economics:

Thomas Piketty: … It’s not only economists’ fault. Historians and sociologists are too often are leaving the study of economic issues to economists. Sometimes nobody does it.
(more…)

l_20121213-school-reform-145-600-300If you really care about income inequality, notes John Goodman, you need only focus on one thing — the inequality of educational opportunity:

The topic du jour on the left these days is inequality. But why does the left care about inequality? Do they really want to lift those at the bottom of the income ladder? Or are they just looking for one more reason to increase the power of government?

If you care about those at the bottom then you are wasting your time and everyone else’s time unless you focus on one and only one phenomenon: the inequality of educational opportunity. Poor kids are almost always enrolled in bad schools. Rich kids are almost always in good schools.

So what does the left have to say about the public school system? Almost nothing. Nothing? That’s right. Nothing. I can’t remember ever seeing an editorial by Paul Krugman on how to reform the public schools. So I Googled to see if I have missed something. The only thing I found was a negative post about vouchers. And Krugman is not alone.

You almost never see anything written by left-of-center folks on reforming the public schools. And I have noticed on TV talk shows that it’s almost impossible to get liberals to agree to the most modest of all reform ideas: getting rid of bad teachers and making sure we keep the good ones.

(Via: AEI Ideas)

dv1693021Modern rhetoric of income inequality is driven by covetous envy, says Russell Nieli. Caritas, humility, gratitude, and goodwill toward others are a healthy society’s answer to the ancient curses of envy and pride:

The problem of the chronically poor is that they are chronically poor, not that some people make a lot more money than other people and bring about “inequality.” The fact that some fail to earn enough to live at a decent level is a genuine social problem. The fact that those who are not poor are widely dispersed in terms of how much they earn is not.

Under the rhetoric of “inequality,” covetous envy—including that of the upper-middle-class for the truly affluent—has reared its ugly head. Mayor de Blasio’s proposal to fund universal pre-kindergarten education by an income tax increase solely on the income of the highest income earners making more than $500,000 a year, who already pay city income taxes at the highest graduated rate, is an iconic example of this newer tendency to combine genuine anti-poverty concerns with envy-driven, soak-the-rich taxation policies. It is perhaps no accident that New York’s upper middle class (those making between $100,000 and $200,000 annually) voted for de Blasio in greater proportion than many New Yorkers in lower income brackets.

Read more . . .

In an excerpt from the splendid PovertyCure series, Michael Fairbanks offers a helpful bit on why our attitudes about competition matter for economic development:

I can predict the future of a developing nation better than any IMF team of economists by asking one question: “Do you believe in competition?” When I go to Venezuela and I say, “do you believe in competition?,” they say “competition means the rich get richer and the poor get poorer.” They say “competition is the unnecessary duplication of effort because you have two firms doing the same thing.” They say “competition is a quaint North American concept that doesn’t apply here.”

But when I go to Silicon Valley and I say,“What do you think about the word competition?,” they say, “Well, I love competition, because even when I lose, I learn something. And my success is due to the fact that I speeded up my failures, and the only way to fail was to compete, and figure out where I wasn’t good enough.”

As Hayek put it, competition is a discovery procedure. If we neglect, distort, or downplay that process, we can expect the outcomes of discovery — the fruits of our sacrifice and service — to digress accordingly.

PovertyCure DVD Series

PovertyCure DVD Series

Join host Michael Matheson Miller on a journey around the world to explore the foundations of human flourishing, and learn how people are moving toward partnerships and pursuing entrepreneurial solutions to poverty rooted in the creative capacity of the human person made in the image of God. Meet religious and political leaders, entrepreneurs, missionaries, and renowned development experts, and discover the powerful resources Christianity brings to the pursuit of human flourishing.

Visit the official PovertyCure website for more information.

Blog author: ehilton
Wednesday, February 19, 2014
By

The much-maligned 1%. Websites are devoted to getting them to spread their wealth. They are called self-pitying, greedy…just all-around bad folk.

Really?

In today’s Wall Street Journal, James Piereson says the 1% are actually hard-working people like the rest of us. They have jobs. They earn their money. Maybe they earn more money that most of us, but they do earn it; they aren’t trust fund babies or spoiled heirs. (more…)

green_eyed_monster_by_citrisblossoms2-294x300There are, according to Christian teaching, 7 deadly sins: wrath, greed, sloth, pride, lust, envy, and gluttony. Unchecked, these dark places in the human heart will lead to the ultimate death of Hell (yes, some of us still believe in that.)

There is much discussion today about “income inequality.” President Obama has declared it the most important issue of our time. He says it is not about equal incomes, but equal opportunity, referencing the rise of Abraham Lincoln from poverty to presidency. CNN is now declaring such inequality “the great destroyer” and notes that it includes not just opportunity, but wealth and income as well.

I am left wondering: has “income inequality” become code for “envy?”

John Zmirak, in a piece from Crisis, asks us to test our envy, and I think it’s a good idea. First, let’s be clear as to what envy truly is. St. Thomas Aquinas breaks it down into four parts, and it is the fourth that really drives home the point: (more…)

income-inequalityIn his recent State of the Union address, President Obama has signaled that income inequality will be his domestic focus during the remainder of his term in office. The fact that the president considers income inequality, rather than employment or economic growth, to be the most important economic issue is peculiar, though not really surprising. For the past few years the political and cultural elites have become obsessed with the issue.

But what should Christians think, and how should we approach the issue? Should we also be concerned? And if so, what should we do about it?

Here are ten points about income inequality that every Christian should understand:
(more…)

the_abyss_of_inequality_3075151Earlier this week I claimed you rarely hear progressives argue that income inequality is a problem since for them it just is an injustice. But there’s another reason you rarely hear them make arguments about why income inequality is morally wrong: their actual arguments are terrible.

CNN columnist John D. Sutter recently asked four people — Nigel Warburton, a freelance philosopher and writer; Arthur Brooks, president of the American Enterprise Institute; Thomas Pogge, director of the Global Justice Program at Yale; and Kentaro Toyama, researcher at the University of California at Berkeley — to answer the question, “Is income inequality ‘morally wrong’?”

Sutter only summarizes their arguments, but it’s doubtful they would become more coherent or persuasive if they were in book-length form. So let’s examine each of the summaries:

(more…)