Tag: poverty

Tax and/or eat the rich

I’m essentially just bookmarking this in case I think that I’ve misremembered the astounding difference in global wealth between the top 1% and bottom 90% mentioned in this article

The report said that for every $1 of new global wealth earned by a person in the bottom 90%in the past two years, each billionaire gained roughly $1.7m. Despite small falls in 2022, the combined fortune of billionaires had increased by $2.7bn a day. Pandemic gains came after a decade when both the number and wealth of billionaires had doubled.

Source: Call for new taxes on super-rich after 1% pocket two-thirds of all new wealth | The Guardian

You don’t hate Mondays, you hate capitalism

🧠 I Feel Better Now — “Brain chemistry and childhood trauma go a long way toward explaining a person’s particular struggles with mental health, but you could be forgiven for wondering whether there is also something larger at work here—whether the material arrangement of society itself, in other words, is contributing to a malaise that various authorities nevertheless encourage us to believe is exclusively individual.”

😟 Where loneliness can lead — “Totalitarianism uses isolation to deprive people of human companionship, making action in the world impossible, while destroying the space of solitude. The iron-band of totalitarianism, as Arendt calls it, destroys man’s ability to move, to act, and to think, while turning each individual in his lonely isolation against all others, and himself. The world becomes a wilderness, where neither experience nor thinking are possible.”

🙍 The problem is poverty, however we label it — “If your only choice of an evening is between skipping dinner or going to sleep in the cold before waking up in the cold, then you are not carefully selecting between food poverty and fuel poverty, like some expense-account diner havering over the French reds on a wine list. You are simply impoverished.”

👩‍💻 Malware found on laptops given out by government — “According to the forum, the Windows laptops contained Gamarue.I, a worm identified by Microsoft in 2012… The malware in question installs spyware which can gather information about browsing habits, as well as harvest personal information such as banking details.”

🏭 Turn off that camera during virtual meetings, environmental study says — “Just one hour of videoconferencing or streaming, for example, emits 150-1,000 grams of carbon dioxide… But leaving your camera off during a web call can reduce these footprints by 96%.”


Quotation-as-title by unknown. Image via top-linked article.

The proper amount of wealth is that which neither descends to poverty nor is far distant from it

So said Seneca, in a quotation I found via the consistently-excellent New Philosopher magazine. In my experience, ‘wealth’ is a relative concept. I’ve met people who are, to my mind, fabulously well-off, but don’t feel it because their peers are wealthier. Likewise, I’ve met people who aren’t materially well-off, but don’t realise they’re poor because their friends and colleagues are too.

Let’s talk about inequality. Cory Doctorow, writing for BoingBoing, points to an Institute for Fiscal Studies report (PDF) by Robert Joyce and Xiaowei Xu that is surprisingly readable. They note cultural differences around inequality and its link to (perceived) meritocracy: 

A recent experiment found that people were much more accepting of inequality when it resulted from merit instead of luck (Almas, Cappelen and Tungodden, 2019). Given the opportunity to redistribute gains to others, people were significantly less likely to do so when differences in gains reflected differences in productivity. The experiment also revealed differences between countries in people’s views of what is fair, with more Norwegians opting for redistribution even when gains were merit-based and more Americans accepting inequality even when outcomes were due to luck.

This suggests that to understand whether inequality is a problem, we need to understand the sources of inequality, views of what is fair and the implications of inequality as well as the levels of inequality. Are present levels of inequalities due to well-deserved rewards or to unfair bargaining power, regulatory failure or political capture? Can meritocracy be unfair? What is the moral status of luck? And what if inequalities derived from a fair process in one generation are transmitted on to future generations?

Robert Joyce and Xiaowei Xu

Can meritocracy be unfair? Yes, of course it can, as I pointed out in this article from a few years back. To quote myself:

I’d like to see meritocracy consigned to the dustbin of history as an outdated approach to society. At a time in history when we seek to be inclusive, to recognise and celebrate diversity, the use of meritocratic practices seems reactionary and regressive. Meritocracy applies a one-size-fits-all, cookie-cutter approach that — no surprises here — just happens to privilege those already in positions of power.

Doug Belshaw

Doctorow also cites Chris Dillow, who outlines in a blog post eight reasons why inequality makes us poorer. Dillow explains that “what matters is not so much the level of inequality as the effect it has”. I’ve attempted to summarise his reasons below:

  1. “Inequality encourages the rich to invest not innovation but in… means of entrenching their privilege and power”
  2. “Unequal corporate hierarchies can demotivate junior employees”
  3. “Economic inequality leads to less trust”
  4. “Inequality can prevent productivity-enhancing change”
  5. “Inequality can cause the rich to be fearful of future redistribution or nationalization, which will make them loath to invest”
  6. “Inequalities of power… have allowed governments to abandon the aim of truly full employment and given firms more ability to boost profits by suppressing wages and conditions [which] has disincentivized investments in labour-saving technologies”
  7. “High-powered incentives that generate inequality within companies can backfire… [as] they encourage bosses to hit measured targets and neglect less measurable things”
  8. “High management pay can entrench… the ‘forces of conservatism’ which are antagonistic to technical progress”

Meanwhile, Eleanor Ainge Roy reports for The Guardian that the New Zealand government has unveiled a ‘wellbeing budget’ focused on “mental health services and child poverty as well as record investment in measures to tackle family violence”. Their finance minister is quoted by Roy as saying:

For me, wellbeing means people living lives of purpose, balance and meaning to them, and having the capabilities to do so.

This gap between rhetoric and reality, between haves and have-nots, between the elites and the people, has been exploited by populists around the globe.

Grant Robertson

Thankfully, we don’t have to wait for government to act on inequality. We can seize the initiative ourselves through co-operation. In The Boston Globe, Andy Rosen explains that different ways of organising are becoming more popular:

The idea has been percolating for a while in some corners of the tech world, largely as a response to the gig economy, in which workers are often considered contractors and don’t get the same protections and benefits as employees. In New York, for example, Up & Go, a kind of Uber for house cleaning, is owned by the cleaners who provide the services.

[…]

People who have followed the co-op movement say the model, and a broader shift toward increased employee and consumer control, is likely to become more prominent in coming years, especially as aging baby boomers look for socially responsible ways to cash out and retire by selling their companies to groups of employees.

ANdy Rosen

Some of the means by which we can make society a fairer and more equal place come through government intervention at the policy level. But we should never forget the power we have through self-organising and co-operating together.


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