There is a massive division between the amount of wealth the top 1% has in the U.S. compared to the individual wealth of the rest of the population. Is this a result of unregulated capitalism? What is the cause of such a huge disparity, and what is the solution? Let’s find out.
How often do we see the socialist progressives cry out to the government to even out the wealth inequality in the U.S.? They hold their protest signs outside Wall Street, criticizing the fat cat banksters while begging the government for more financial regulation. Do they not realize the very financial regulation they want more of is the reason why there is such a divide between the elite wealthy, and the rest?
Could it be that the very government they worship is the reason the massive gap between the top 1% wealthy class and the other 99% even exists?
The only way for 1% of the population to have around 40% of the wealth is by way of force. The most powerful and acceptable way to initiate force in society is to have a government, because when a government initiates force, somehow it is considered good and necessary. If the mafia performs the same actions as government, it is considered criminal and immoral. If an individual performs the same actions as a government, that person is considered criminal and immoral. Somehow, voters think the State has a moral right and duty to initiate force against others.
For example; If a politician puts a gun to someone’s head and takes $5,000 from some guy, he is seen as a criminal. If that same politician along with his fellow politicians imposes a “tax” of $5,000 that applies to the same guy, it’s seen as legitimate, and even patriotic. The same act is magically considered good under the label of “government.”
Or another example, if you spy on the government without their consent, you are violating privacy and security, and are a threat to society. If the government spies on you without your consent, they are protecting you for your own good and the good of society.
That which is immoral and evil when individuals interact in society, mysteriously becomes moral and virtuous in the larger stratosphere of society when under the label of “government’.
So what kind of force is initiated in order to have a fiscally separate elite class? The politically connected heads of corporations, banks, Wall Street investors, etc. use government regulation (coercion), subsidies, lobby groups, etc. to gain leverage over any would be competitors. This unfair advantage gained by State coercion keeps a monopoly of power over any person or company not connected to State power.
In a free society, any group who tries to initiate force would be understood as criminal and unnecessary, consequently, there would be no vehicle by which greedy, power hungry sociopaths could gravitate to in order to gain leverage over others, and there could never be a massively wealthy elite class separate from the rest.
It is much easier to create wealth in a free society rather than a coercion based society (refer to some of my previous Sassmeback articles), as a result, the sum total of the population in a free society is more wealthy. Combine that with the wealth balanced out more evenly among the population, and everyone is more wealthy than they would be in a Statist society. Just think of how much more the incapable, weak, sick, elderly, and others who need financial assistance could be helped in a free society where productive people would have exponentially more disposable income and where helping others would be personally rewarding rather than forced.
Origins
Of course back in early America there was no elite 1% ruling class, as there was no Federal government that could tax the population or impose regulations on economic activity, and more importantly, there was no central bank. Whenever there is a central bank like the Federal Reserve, there will always be an elite wealthy class.
Much of what started the momentum for the separate wealthy class we have today started in early 1800’s Europe when the Rothschild family became fantastically wealthy by lending to (guess who) the divinely anointed British Crown in order to help pay for the Napoleonic wars. The bonds owed by the Crown were easily paid back to the Rothschilds over time by stealing from the citizens (taxation).
The family realized that remaining connected to the government provided much more power and wealth than could ever be dreamed of in the private banking marketplace. Today the family is estimated to be worth around $1 trillion, but it is a wild guess since they stay behind the scenes with their financial power and leverage.
The wealthy elite spawn the progressive era to sustain a divide between the wealthy class, and others
As those connected to the Rothschild family and British Crown made their way into the U.S. economy in the early 1900’s, they nurtured the progressive agenda and America’s progressive era gained momentum. With that progressivism era came central banking that binds the unborn into indentured servitude, top down economic central planning which suffocates the honest working class, Prussian style compulsory schooling to make an obedient subservient class (a recipe straight out of the Fabian Socialist handbook), and regulations that the greedy and power hungry ones could latch onto for leverage over others. Oh, and lots and lots of war to go with it. Progressivism loved war because war is the health of the State. (This was also the time when the U.S. transformed from a republic into a democracy via the 17th amendment.)
The progressive era of the early 1900’s dramatically expanded the momentum of a wealthy elite political ruling class that is the monster we are witnessing today.
The value of the U.S. Dollar has decreased by over 98% from 1913 (when the Fed Reserve was created) to 2013 from printing and digitizing money, borrowing and increasing national debt, and increasing progressive welfare programs that bring unfunded liabilities to $120 trillion and increasing.
Did anyone benefit from that 98% decrease in dollar value? Absolutely. You see, since Statist interactions are always zero sum (if one guy loses a dollar another guy gains a dollar), the dollar value that was stolen from the population has funneled to the politically connected wealthy elite ruling class. As long as voters support Statist financial regulation, the politically connected wealthy elite class will always have financial dominion over the other 99%.
The population was robbed blind. Now, modern day progressive voters are naive enough to worship the very organization that caused this dramatic gap between the wealthy elite 1% and the rest.
They bow down to the robber which has plundered their wealth, begging him to save them from the red herrings the robber has distracted them with. It almost seems a bit like they suffer from Stockholm Syndrome.
Anyone who wants a balance of wealth equality in a society should oppose any economic regulation, subsidy, tax, and anything else to do with the coercion of the government. If you support more government involvement and bow down to anointed rulers and beg them for wealth equality, you will not get it.
The only solution in achieving a natural balance of wealth in society is to have a complete separation of economy and State.
