Maybe someone here can answer this for me. I’ve never been able to get a satisfactory one.
Why is income disparity a bad thing? It is commonly used as “proof” that things are getting worse for the lower- and middle-class in America – including right here. But I can’t honestly come up with a reason why it is inherently bad. I have a couple of ideas of why it might be considered bad, but none of them hold up to scrutiny.
First idea: more wealth for the wealthy means less for everyone else. This is demonstrably untrue. Economics is not a zero-sum game; if it was, economies could never grow. The super-wealthy might have a larger slice than before, but the pie is larger, too. And “wealth” is not an important measure anyway; the wealthiest person in the world from 200 years ago lived a life plagued with problems that no one faces today. What matters is what wealth can bring you, which goes to the second idea.
Second idea: it means the lives of the super-wealthy are improving when others’ are not. This can be argued any number of ways, but by any measure I think everyone’s situation has improved enormously:
- Crime is down; lifespans are up. Warfare claims fewer lives today than at any point in history. You might not think it based on recent events, but our lives are far safer than they have ever been.
- The availability and variety of food is higher than it has ever been. Whether people choose to take advantage of that is another story, but there is now year-round access to an astonishing variety of fruits and vegetables.
- Medicine and dentistry have made tremendous strides over the last few decades. Many childhood scourges have been all but wiped out thanks to vaccines, for example – except in places where the idiocy of vaccine denial has allowed outbreaks to recur. Ironically, anti-vaxers are typically wealthy.
- Cars are safer, less polluting, and more ubiquitous.
- Deregulation of the phone industry led to an explosion of technology that only Trekkies would have dreamed of 40 years ago.
- The Internet gives everyone access to a vast storehouse of knowledge and learning (several universities, for instance, put their lectures online for free), even if they, again, choose to use it to view cat pictures.
- Tolerance is way beyond what it ever was. Gay marriage is now legal in more than half the states. Different races mix together much more freely than before – not as freely as they should, to be sure, but compared to 50 years ago? No contest. (And remember that in the 1920s, the KKK had millions of members.) My wife is a different race than I am, something commonplace enough that it doesn’t even merit a second thought now.
I just can’t see how life in the past could be considered better in any way. Meanwhile, increasing wealth brings diminishing returns for your quality of life. The super-wealthy already had access to, basically, everything. Doubling or tripling or quintupling their wealth doesn’t change that.
Third idea: increasing wealth disparity means the super-wealthy have more influence over politics. This might be a problem in theory, but I don’t think it is in practice. The super-wealthy have always had that influence; being even richer can’t really give them more. Plus, the Information Age has made it a lot harder for secret deals to remain secret, and has also made the consequences of getting caught a lot higher. The super-wealthy might actually have less influence than they did in the past.
Also, this assumes that the interests of the super-wealthy are somehow at odds with those of everyone else. A look at the actions of some of the super-rich – the Gates Foundation comes to mind – shows this isn’t always true. It might be true in some cases, but again, the Information Age has made it harder for the elite to be truly self-centered and heartless. Half a century ago, Frank Sinatra had poorly-kept-secret ties to organized crime; supposedly, Kennedy did as well Can you imagine any entertainer or public figure getting away with that now?
Fourth idea: I don’t actually have a fourth. If it exists, I’d like to hear it.