A Comment About

In Praise of Capitalist Inequality

November 6, 2011 - 12:00 am - by Paul Hsieh
jarmo
2011-11-06 08:36:00

Your complaint of “crony capitalism” is very noble but unrealistic. If you were to eliminate all business benefits from politically motivated tax breaks, etc., you would not be able to save more than $500B per year, to be extremely, extremely generous of the savings in taxpayer money. This equates to about $1500 per year per capita. This is far from enough to pay for a $30K per year college tuition plus other freebees for all Americans demanded by the OWS. This is the same reason that taxing the rich at 100% will never even get close enough to make a significant increase in wealth redistribution. Furthermore, in every society of any type, there will always be cronyism, whether Communist, Socialist or Capitalist. Even today, in a so-called “capitalist” USA, we have both crony capitalism and crony socialism. There are certain organizations, businesses or groups of people that get favorable treatment, because our government is politically-based, on democracy, direct election of representatives. And our representatives always need money donations, from whoever. Examples of crony capitalism are General Electric, Amtrac, the oil companies, Agriculture, etc. Examples of crony socialism are public and private unions, organizations such as ACORN, homeowners with write-off mortgages, environmentalists, African-Americans and their affirmative action programs, etc. Ideally, we should eliminate all cronyism.