Saturday, November 19, 2011

Income Inequality

I saw an interesting tweet the other day, I forget by whom.  The tweet was short and to the point (not surprising).  Since I don't recall the exact words, I'll paraphrase: protesting against income INequality, or lamenting income INequality is somewhat strange since it supposes that there could ever be such a thing as income EQuality.

Could a world actually exist with pure income equality?  In other words, all income must be redistributed to others until their income is equal to yours? 

Is focusing on the concept of income equality even productive?  Would we be better off focusing on providing equal incentives for saving, investment, further income generation, equal across the entire range of income?  I think so.

17 comments:

Torie Fuller said...

The income should not be distributed between everyone equally because people whould not have any incentive to work for their income. Having a middle class is important and better than having a upper and lower class but people based on their educational level and work ethic will automatically break down into upper, middle and lower classes in the economy.

Kelsey Chandler said...

If income were to be distributed equal among everyone it would decrease poverty; but who would be motivated to pursue a difficult job that pays good money? Since work output is not equal income distribution should not be equal either. I do like your idea about creating more incentives for saving, investing, etc. These incentives could inspire people to be more financially secure.
Kelsey Chandler

Zachary Hall said...

Maybe the idea of production equality would work, but I suppose that is how we are suppposed to be evaluated now. There will never be an equality in the work-force. Redistributing income would only hurt society, and the production of our country would deminish. Incentives do truly sound like a better way to boost equality and production.

Andrew Schadegg said...

Equal Income? Isn't that what the Occupy protesters are crying about, they are too jealous of the hard workers who actually deserve their hard earned money that they want a piece of it just because it is unfair to the poorer class like them? I know they are protesting about unfair taxes, but I'm sure they would love to shared income as well. Competition has been part of the world before money ruled it. I don't ever see any kind of income equality ever working! I agree that to focus on such a concept would be very unproductive. Education can teach us to lean towards good jobs, with good incentives and room to grow economically and being financially secure for the future.

Mary Beth Renz said...

I do not think the income should be distributed equally at all. That makes absolutely no sense, should a specialized doctor who spends a decade in school make the same amount as a McDonald’s cashier? I don’t think so. I do not think that the concept of income equality is remotely productive exactly because of that example. However, I do think that we would be better off focusing on providing equal incentives for saving, investment, and so forth. This could help those making less income stay out of poverty and/or create a more financially stable lifestyle.

Eng Hong Sin said...

The concept of income equality is not productive. People would not work hard since no matter how much effort they put in, they are still gonna get paid the same. However,
providing equal incentives for saving, investment, further income generation, equal across the entire range of income is a good way to because it decrease the gap between rich and poor.

Anonymous said...

I don't think that making incomes equal is possible. I think that most people get paid according to skill levels, education and experience it would only give people an excuse not to persue higher education. Making incentives for those that save or invest their money is a good idea. It would hopefully motivate people to do so. Not to be judgmental but it seems all the people they show on tv for these protest don't even look like they have jobs to begin with. Getting out and working should be the first goal. Not everyone is going to begin at the top or maybe I am wrong.
Keith Kaczocha

Nikki said...

I don't believe in income equality, for the very reason stated by my classmates. If you could make as much as the CEO of Google, without even having to graduate high school, odds are most would settle for the path of least resistance, right? Distribution of wealth, however, I think could be done more effectively. Rather than distributing it as income, why doesn't that money go to a college fund for low-income families who can't otherwise afford to send their children. Or simply job-training. As a country, we should focus on progressing individuals through a chosen career. Those that have no ambition will most likely not partake in the redistribution because they don't want to work towards that degree. So they aren't getting any richer for lack of contribution. Providing incentives almost always works, even if it's to improve someone's own personal wealth/stability. I think those that are willing to give, should be considered for an incentive. However, it would sure be nice when a Thank You, or pat on the back would suffice for giving.

Shirley Paris said...

I do not think focusing on income equailty is a good idea. Not everyone in this world sees working and making money in the same way. Their are people who live off of unemployement, child support, or social security while others work their butts off to make a living. I think if there is a focus on trying to redistribute income to make them equal there will be alot of rich people pissed off and poor people taking advatage of the system. You are right about focusing on providing equal incentives for savings and investments, giving people the same incentives is great but singling them out because of how much income they make is wrong.

Anonymous said...

Income should not be distributed equally for various reasons. If everyone is paid the same then what is the incentive to work hard or get an education? The answer is there is none. So that makes for a non-productive worker.
-Kristin King

Bre Hart said...

Isn't that Socialism? The government could figure out a way for income equality. But that would reduce motivation to strive in your career which would lead to lack of innovation, technology, science,etc.In socialism parts something called "brain drain" happens. Everyone smart enough to make these strides arent being compensated enough to do so so they leave the country and take their intellect else where, where they'll be properly paid.

Austin McNatt said...

income equality is not productive. If income is equal the production level of everyone will lower. If everyone is paid the same There will be no reason to want to work harder than others.

Andrew S. said...

We tried a world with income equality, it's called communism. It failed because people wanted more money for themselfs.

Ryan Schick said...

So if we start distributing income then i am going to drop out of school. There would be no reason for me to get a college education, i can go get a part time job somewhere. I feel that it is a waist of time to even try to make it equal!

Ryan Schick said...

So if we start distributing income then i am going to drop out of school. There would be no reason for me to get a college education, i can go get a part time job somewhere. I feel that it is a waist of time to even try to make it equal!

Ryan Schick said...

So if we start distributing income then i am going to drop out of school. There would be no reason for me to get a college education, i can go get a part time job somewhere. I feel that it is a waist of time to even try to make it equal!

Mike B. said...

Torie, great comment.. I agree. I started my own freelance design business a few years ago as well as decided to get second degree that corresponds with my first degree. I do think that income equality would cause people to not want to work harder to get into another class level or to have a better life. You must work for what you want in life.... at least this is how I have been brought up.