Capitalism Rules, Socialism and Communism Suck Thread

[wufwugy]

Let's say the whole planet switches to laissez-faire capitalism and in 2100 there's 15 billion people, with a global GDP (GGP?) of $1M per capita. How much is the average working salary in the US?

No way to know.

Inequality would likely decline significantly.

[CoccoBill]

No way to know.

Inequality would likely decline significantly.

Why's that?

[wufwugy]

Why's that?

Because it has been happening since the adoption of capitalism. Why does the term "middle class" even exists in the first place? It is a description of increasing resource equality. Back before the "middle class" was a thing, the gap in real resources between the rich and the poor was astronomical. Today it's much smaller, and in fact the poor today have more than the rich did a few hundred years ago.

Free market capitalism is the best tool we know of for the poor to grow their capital, and there is a lot more room for capital growth on their low end rather than the wealthy high end. On the high end, people tend to use their capital near capacity. On the low end, there are billions who are flat out restricted by governments from using their capital. If we take China for example, its rapid growth doesn't derive from something new or special; instead it derives from the government lifting restrictions on the types of capital the poor rely on the most. It's happening all through SE Asia and many other countries, and it's the same process that turned the West from poor to modern.

[spoonitnow]

Because it has been happening since the adoption of capitalism. Why does the term "middle class" even exists in the first place? It is a description of increasing resource equality. Back before the "middle class" was a thing, the gap in real resources between the rich and the poor was astronomical. Today it's much smaller, and in fact the poor today have more than the rich did a few hundred years ago.

But Drumpf.

[CoccoBill]

Because it has been happening since the adoption of capitalism. Why does the term "middle class" even exists in the first place? It is a description of increasing resource equality. Back before the "middle class" was a thing, the gap in real resources between the rich and the poor was astronomical. Today it's much smaller, and in fact the poor today have more than the rich did a few hundred years ago.

Free market capitalism is the best tool we know of for the poor to grow their capital, and there is a lot more room for capital growth on their low end rather than the wealthy high end. On the high end, people tend to use their capital near capacity. On the low end, there are billions who are flat out restricted by governments from using their capital. If we take China for example, its rapid growth doesn't derive from something new or special; instead it derives from the government lifting restrictions on the types of capital the poor rely on the most. It's happening all through SE Asia and many other countries, and it's the same process that turned the West from poor to modern.

My understanding is that income inequality has been increasing in many first world countries.



When was capitalism adopted?