Unhanding the Bread That Labor Has Earned; the Solution to Income Inequality Is Equality of Opportunity, Not Entitlement

Article excerpt


There has been much discussion about income inequality recently. President Obama seems to think that we can make significant progress in eliminating poverty by raising the minimum wage, as his State of the Union address highlighted.

Many hope that through a simple declaration, the poor can be elevated to a higher social status. Such people fail to realize that pay is associated with value - otherwise, we could just pay everybody $1 million a year and let everybody be rich. In a capitalistic society, those individuals who produce the wherewithal to obtain income tend to be paid quite handsomely, while individuals who don't generate significant income are paid accordingly.

As in any situation that involves human beings, there will be some abuses, but generally speaking, this kind of system works by incentivizing individuals to do the things necessary to enhance their value in the marketplace.

Many in the current administration and their sycophants in the news media are trying to persuade Americans that there is significant improvement in the general economy,

while record numbers of people are enrolling in the food-stamp program and receiving various government subsidies. Common sense would dictate that if the economy is improving, there should be an accompanying decline in the number of people depending on government supplements.

Since we are not seeing such logical associations, it is reasonable to suspect the premise that there is significant improvement in the economic health of our nation is false. Either that, or we are incredibly stupid and irresponsible by redistributing the nation's wealth to those who don't need it.

As a child, I was eyewitness to people who preferred a sedentary, nonproductive life as long as they could collect public assistance. Others, including my mother, from the exact same environment, worked incessantly to try to improve their own lives and those of their children. My mother worked as a domestic in the homes of wealthy people who were very generous to her since she was dependable, honest and hard-working.

They also learned about my brother and me, since my mother would share our stellar report cards with them once we had conquered our academic doldrums. As a result, these very successful people would send us significant monetary incentives to keep up the good work.

One of my mother's employers even loaned me his luxury convertible for a special occasion. I was never resentful of the wealthy, but rather was inspired by their achievements and wanted to achieve at the highest possible levels so I could realize my potential and also enjoy a pleasant lifestyle. …