Cain said:
The article said people are working longer, right? We do not disagree with that fact, right? We can therefore agree that the poor had a hand in wealth creation, right? Wages have stagnated since 1973. Even up until the 90s wages were below 1979 levels (in spite of Clinton's much touted economic expansion. We can even account for non-wage benefits, where people today have to pay more and more for healthcare). Compare this to the income and wealth of the top 1%, which has surged. Simply sky-rocketed.
We should compare the situtation with other first world countries in the industrialized world. It's not exactly a great scenario.
Can you cite references in your stats above? Everything I have seen shows wages going up across the board. Also, what most of these articles that refer to these stats in the fashion you have forget to mention is that inflation has been stagnant throughout much of that period.
Again, buying power is a much better indication of the state of personal economy.
It doesn't have to perfectly equal -- that's practically impossible. I'm only saying that working people on the lowest end of the spectrum have received the tiniest sliver.
And I am saying the working people on the lowest end of the spectrum have also contributed the tiniest sliver.
This is apples to oranges again and eludes my point.
No, it directly addresses your point. You have stated twice now that it isn’t fair that the lowest wage earners aren’t getting their “fair share”. You have side-stepped the issue of what that “fair share” is, so I have asked a direct question on what you feel is fair. Since you feel a person should get a share for their contribution to the wealth in this country, I assume you feel they should receive a share that is equal to their share of contribution.
Or do you feel they deserve a share that is more than their share of contribution?
Certainly... but I do not see the word "equal" here. You insisted on equal opportunity, right?
Ok, then place “equal” in front of all my opportunities. I still feel the same. I will be first to admit that it won’t be as
easy for some people, but you there is nothing you can do about that, nor should there be.
If you happen to read Fast Company, check out the cover story for Nov, 2003, about Russell Simmons. This is a person, while growing up, that most people would be screaming that he “didn’t have the same opportunities” that everyone else did. If you don’t know who he is, let’s just say he has done pretty good for himself.
Yes, I think deserved sounds more appropriate
I have no golden ratio in mind. This is just an effort to mitigate the social and economic inequalities of capitalism. If you really must know, I'd like to abolish the system altogether, but a good liberal-capitalist moral principle, if you insist, can be found in political philosopher John Rawls: Income should be distributed in a way that's most favorable to the least advantaged.
Most people I know reflexively agree with that in principle (as a value). How to achieve it is another matter. I am perfectly willing to accept that we have different means to accomplish the same goals. This Rawlsian principle -- one of his famous two principles of justice -- is consistent, for instance, with Reagan's tax cut on the very, very wealthy because benefits trickle down. We can disagree as an empirical matter. But if you're arguing -- and some sentences suggest this -- that whatever the market decides is right, then I reject that view entirely.
I hope this is not too confusing or badly worded because I'm in a hurry.
Don’t worry, I have yet to meet a person with your beliefs that has been able to answer that question.
Here’s the thing – while a lot of people think the system is unfair and think it should be changed, nobody has found a better system. Sure, the system isn’t perfect, but it
does work, which is something that can’t be said for most others.
Nobody can answer the question, because it is unanswerable. You obviously know that “All slices should be equal” is a bad answer, yet you don’t like the system as it is. So your only answer is “somewhere between the way it is now and equal”, which, of course, is no answer at all.
As for John Rawls, I am not familiar with him. But it must be explained
why he believes it should be distributed to the least advantaged (other than it gives people a warm fuzzy feeling to think that way) and exactly who he thinks the “least advantaged” are.
Actually, it really wouldn’t matter to me much (although I am interested in finding out those answers), because I noticed those two familiar words – income distribution. I’ve studied almost all of them and almost all of them fail. The main reason is that almost all of them go against human nature (the big reason Communism looks great on paper and the big thing Marx didn’t take into the equation.)
What do you mean "buying power"? No, that goes back to inflation.
No, not entirely. This is a pet peeve of mine that I see often. Too many people think inflation is the only factor in cost of living. It is not.
Look at the electronics market. For $200 bucks, I might have been able to buy a black and white, 13” TV 30 years ago. Now, for $200, I can buy a 27” color TV. Hell, it may even have a VCR thrown in. Inflation has nothing to do with that. My $200 has more buying power now than it did then.
Look at the price of gas. Even at the higher prices of today (around $1.60/gallon around here), gas is still cheaper today than it has been in 50 years.
Buying power is usually calculated on how many hours you need to work in order to afford [X].
I disagree that it's "useless" but I'll emphatically state that it's inconclusive. San Franciso to a mid-west town is a good comparison (because of housing prices in the Bay Area). Or we could compare Chicago to Tokoyo. But I don't think comparisons to the United States today to thirty years ago is all THAT bad.
I think you may have worded this wrong, but I think I understand your intention. But you have missed my point, the article didn’t compare incomes in the US to the US. The only mention (that I have seen) was that “the poor, in real terms, are poorer.” That is not an income comparison. The only income comparison was the direct comparison between the US and Sweden.
Again, as far as I know economists make simillar comparisons between income all the time. They're not useless.
Yes, economists will make similar comparisons, but they will do so in a context that is proper. My statement that it is useless is based on the fact that, in the context the author used this comparison, the data means nothing.
I remember looking at your chart and not seeing how you can claim this. Maybe I didn't understand it. It's only discussing poverty threshold. (A-1, right?) Well, again, you have to control for inflation. If the poverty line today 18,000 dollars for a family of X (or whatever), this doesn't mean they're rich by comparison to a similar family in the early 70s making $5,000. They're the same. Calculating rates of poverty need to be revamped regardless.
Actually, I was referring to the other charts that I mentioned previously, where I posted the topics from the table of contents, where it shows poverty is decreasing everywhere.
And sure, they can restructure the poverty level, but it will take another 10-20 years for that new standard to mean anything. And if they do, they should base it on buying power, expendable income, etc…
I'm not sure what to say on that company, or what it proves. The executives have taken pay cuts (and the workers will pay higher premiums).
According to many people that hold your same views, what happened at Compuware can never happen. But it did. If you look at who got cut, it was all the executives and the high paid workers. You notice that none of the lower paid workers took any cut at all, other than the medical premiums, which were across the board. The CEO took a 69% pay-cut himself!
What I was trying to show is that, while the huge layoffs and “screw the workers” scenarios get played out in the news all the time, things like this happen also. Compuware decided that it would rather piss off their high paid workers and have them take a pay-cut, then layoff all the lower end workers. According to many, this happening is as impossible as perpetual motion.
