Capitalism sucks. No, I'm not kidding. It, moderated with some socialism, is the best economic system in practice in the world today but it is by no means what we should aspire to.
In the US, like most countries, there is a huge disparity between the haves and the have-nots. As of 2001, the top 1% of the wealthy control over 33% of the wealth, the next 4% have over 25% and the bottom 40% control 0.4%. When the wealth distribution is so lopsided, you end up with a small group of people with enormous influence in our so-called democracy. Why are there still loop-holes in the tax code large so that the wealthy can shield much of their income from taxation (why else would we have a $50 billion/year tax industry)? Because the wealthy write or strongly influence those who write the tax code.
Americans don't like the word "socialism" because that wakes us up from the American Dream. Socialism means I can't come up with The-Next-Big-Thing and retire on my own little island. We need to wake up from this dream and look at how it really works. If you ever want to have a C-something-O in your job title, your best bet is having a dad who has a C-something-O in his job title. Does that sound like a system where everyone has an equal chance of the American Dream or does that sound like feudalism? How many Fortune 500 CEO's or our 374 congressmen had fathers who were paid by the hour? How many Harvard students had parents that went to a community college?
Power aggregates. Look at all of history and you see that same trend. The wealthy and powerful continue to expand on their wealth and power until the plebes finally rise up and overthrow the system. Rinse, lather, repeat.
So what's the solution? I don't know. There are a lot of theorists out there with a lot of good ideas but someone who stands up and proclaims that capitalism and pseudo-democracy is the solution to the worlds problems is either in that top 5% or has been fooled by that 5%.
References:
http://www.faculty.fairfield.edu/faculty/hodgson/Courses/so11/stratification/income&wealth.htm
http://www.hoover.org/publications/books/fulltext/flattax/chpt1.html
In the US, like most countries, there is a huge disparity between the haves and the have-nots. As of 2001, the top 1% of the wealthy control over 33% of the wealth, the next 4% have over 25% and the bottom 40% control 0.4%. When the wealth distribution is so lopsided, you end up with a small group of people with enormous influence in our so-called democracy. Why are there still loop-holes in the tax code large so that the wealthy can shield much of their income from taxation (why else would we have a $50 billion/year tax industry)? Because the wealthy write or strongly influence those who write the tax code.
Americans don't like the word "socialism" because that wakes us up from the American Dream. Socialism means I can't come up with The-Next-Big-Thing and retire on my own little island. We need to wake up from this dream and look at how it really works. If you ever want to have a C-something-O in your job title, your best bet is having a dad who has a C-something-O in his job title. Does that sound like a system where everyone has an equal chance of the American Dream or does that sound like feudalism? How many Fortune 500 CEO's or our 374 congressmen had fathers who were paid by the hour? How many Harvard students had parents that went to a community college?
Power aggregates. Look at all of history and you see that same trend. The wealthy and powerful continue to expand on their wealth and power until the plebes finally rise up and overthrow the system. Rinse, lather, repeat.
So what's the solution? I don't know. There are a lot of theorists out there with a lot of good ideas but someone who stands up and proclaims that capitalism and pseudo-democracy is the solution to the worlds problems is either in that top 5% or has been fooled by that 5%.
References:
http://www.faculty.fairfield.edu/faculty/hodgson/Courses/so11/stratification/income&wealth.htm
http://www.hoover.org/publications/books/fulltext/flattax/chpt1.html