Don Boudreaux (and College Humor) on Income Inequality

From the Cafe Hayek blog comes a link to this video:

For a little more depth on the subject on income inequality, check out the 2004 article “Can You Spot the Billionaire?” in the Freeman Online, which Boudreaux links to in his post.   An excerpt:

Hefty differences in money income and wealth do exist in capitalist societies. But the consequences of this inequality on actual material standards of living are so small that they are largely invisible. For most of the features of our routine existence—our dress, personal cleanliness, and access to basic health care, such as vaccines, vision correction, pain relief, and first aid—almost everyone in capitalist society is equal. (I noticed that Mr. Bucks [a billionaire] swallowed two Bayer aspirin just as the seminar began. Bayer is the brand I use when I have a headache.) The differences in these everyday aspects of life that do distinguish people of different wealth levels are minor and largely unobservable.

Boudreaux concedes that there are obviously going to be significant differences in material wealth between those with greater and lesser incomes in a capitalist society, but concludes that in terms of daily living standards, capitalism tends to equalize rather than differentiate.   Read the rest of this short article here.

Published in

Post a comment