Tag Archives: Wealth Redistribution

Capitalism and Wealth Redistribution

Today I’m going back to logic or the lack of it in our political discussions.  For over a hundred years the ‘Right’ of American body politic has lambasted the Socialist ‘Left’ for being anti-capitalism and pro Wealth Redistribution.  For anyone who is pro Capitalism, in all it’s myriad forms, to be against the redistribution of wealth is flatly illogical.  Capitalism is the foremost wealth redistribution economic system.  It is all about moving in wealth around from one place or person to another.

“WHAT????? That’s not possible.  It’s Socialists and Socialism that wants to take wealth from the rich and give it to the undeserving poor.

An your right, Socialism is interested in moving wealth from the wealthy to the poor.  But that does not mean that Capitalism doesn’t move wealth around.  In fact classical ‘Adam Smith’ Capitalism was/is all about moving wealth from the landed nobility to the much poorer tradesmen and craftsmen. Capitalism is a system of moving wealth from one person to another in such a way as to reward the hardworking and innovative person and to punish the lazy and stick in the mud person.  Unfortunately the society that enables Smithian Capitalism hasn’t existed for over a hundred years.

The kind of Capitalism that exists now, what I call Mega-Corps Capitalism is not anything like Smithian Capitalism.  The Capitalism we live with now is still interested in the moving of wealth, but unfortunately it is moving the wealth from people in the middle class to the top 1%.  This is still wealth redistribution, it’s just not trying to spread it around, it is trying to concentrate it more and more.

So next time someone says you’re supporting Wealth Redistribution, smile and say yes, I’m a Capitalist.