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The price of inequality is too high.
Graham Barlow
Posted: 26 October 2011 18:54:16(UTC)
#11

Joined: 09/03/2009(UTC)
Posts: 203

With the population forecast to go to 70 million in the Britain we know, prepare to say good bye to little old comfortable England . All this mind searching and handwringing will all be in vain as the World's Poor flock to this Island in search of the good Life. Sucsesive Governments will have to Tax the existing Population until the pips sqeak to try and hold the line of any resemblance to civilisation. A feral underclass with all its attendant dangers will need a ruthless Police force to contain it. We are already seeing the start of this in some of our Cities. What every immigrant dreams of is becoming a member of the British Middle class. A few might even make it but most will disappear into the urban immigrant ghettos which are fast becoming established far removed from anything British. What is the solution in this overcrowded Island ? Proper well ordered immigration control coupled with minimum standards and aspirations to qualify for entry including Europeans Mastery of the language for a start, and no dependant rights. Our schools then may stand a chance to make proper progress instead of being fettered with children who speak a different languageEncourage immigrant peoples who successfully become educated here to return to their countries of origin who are crying out for skilled technicians and teachers to take them forward. These people could do so much more for their original country rather than sacks of aid food or money which is filched in many instances..Encourage a return policy where they take back the best that Britain still has to offer.
nickle
Posted: 26 October 2011 19:48:33(UTC)
#12

Joined: 15/09/2011(UTC)
Posts: 62

Inequality is passed down the generations through social means (much more than genetics). The very poor never earn enough to save and invest. They are brought up with inferior access to education, health and capital or good examples of success

=================

So lets see.

They never earn enough. Well those that do are no longer poor. Hardly a logical argument.

They never earn enough. Or is it that the expenditures are too high? After all saving comes after essential spending has been made. Food, housing, clothing. And the biggy, paying the government. The government takes a huge cut out of poor people earnings. The major reason they can't save.

They are brought up with inferior access to education. Who provides it? The government.

They are brought up with inferior access to health. Who provides it? The government.

Not surprising that the don't have access to capital. They wouldn't be poor then would they. Another Doh!

Examples of success. Agreed. What's needed is a return to more selective education. For small schools, that's grammars and specialist schools. For large schools, its streaming. It needs cuts in spending so that taxes on the poor can be cut. It needs compulsorary savings even for the poor, so they can accumulate capital.
nickle
Posted: 26 October 2011 19:55:02(UTC)
#13

Joined: 15/09/2011(UTC)
Posts: 62

What every immigrant dreams of is becoming a member of the British Middle class.

===============

Well the problem is the wrong sort of migrant. I'm quite prepared to have highly educated migrants in the UK. So long as they pay more tax than the government spends on average, I welcome them. They are unlikely to be problems. Look at the difference between Ugandan Asians (educated - business oriented), versus poor from Bangladesh.

What the poor and illegal migrants do is compete against the poor. People will employ an illegal at under min wage, or a migrant whose got the get up and go to move. However, we have to pay the benefit bill of the poor, and that's why there is a large amount of inequality. Work and saving will get you out of poverty, not hand outs.
Robert Court
Posted: 26 October 2011 20:57:31(UTC)
#14

Joined: 22/08/2011(UTC)
Posts: 606

Equality sounds so very boring but is it so bad if the alternative is WW3?

But then again...... would equality be so 'effing boring we'd want WW3?

I still believe that a just and civilised society would have a very small percentage of very 'poor' people and a very small percentage of very 'rich' people - aka a mathematical 'normal' distribution.

A 'normal' distribution is natural - why fight nature?
nickle
Posted: 26 October 2011 21:18:52(UTC)
#15

Joined: 15/09/2011(UTC)
Posts: 62

You won't get a normal distribution for income or wealth. For a start the range of a normal distribution is minus infinity to plus infinity.

Incomes tend to conform to what is called a Pareto distribution.

http://en.wikipedia.org/wiki/Pareto_distribution

One interesting thing that comes out of this is that unlike the normal distribution, the mean (average) and the mode (most popular) are not the same. The mean is higher than the mode.

That's why mode is a better number to quote when talking about incomes. It's not affected too much by a few very rich people, unlike the average. It reflects better the incomes of the majority.

Jeremy Bosk
Posted: 26 October 2011 21:29:42(UTC)
#16

Joined: 09/06/2010(UTC)
Posts: 1,316

Robert if we lived in a state of nature we would be hunter gatherers naked, living in caves or trees and relying on our inferior teeth and claws for success against better armed rivals such as bears, wolves, lions and tigers. We did the unnatural thing and used out brains to alter our environment. We changed nature by clearing forests and jungles for agriculture.

We have brains and we have hearts and consciences in a degree not shared by other animals. We exercise restraint in consuming less now to consume more later - saving the seed corn for next year's harvest. We exercise restraint and forward planning in living with each other in a civilised manner. Civilised comes from civitas, the Latin for city. We are born fighting our own nature.

A normal distribution is common but not universal even in nature. Assuming that everything is a normal distribution can have disastrous consequences. Naseem Nicholas Taleb made a lot of money writing a book, The Black Swan, about "fat tail risk". The financial crisis was partly caused by people assuming that the chance of a very high proportion of loans going south all at once was so small as to be negligible. The same assumption has been made about the Stock Market, that the number of days on which very big falls or very big rises happen MUST be so small as to be negligible. Then someone actually checked the statistics and found that sudden large moves are much more common than could be explained by the previous assumption of a normal distribution. Traders, including investment banks, working on the old and wrong assumptions have cost us all a lot of money.

Robert Court
Posted: 26 October 2011 21:35:58(UTC)
#17

Joined: 22/08/2011(UTC)
Posts: 606

nickle

Thanks for putting me right re zilch or infinite income not being appropriate to a normal distribution but i am sure you understood what I was getting at.

Ok, how about a normal distribution two devaitions from the mean?

I get your point re. the mode versus the mean where the mean can be distorted in a very skewed distribution of income or wealth.

Knowing the average wage is say £36,000 per annum is very depressing for somebody on £12,000 per annum but knowing that the modal income is £28,362 and thruppence h'apenny makes the below modal income earner feel less hard done by in an economy skewed to higher incomes.
Graham Barlow
Posted: 26 October 2011 21:56:26(UTC)
#18

Joined: 09/03/2009(UTC)
Posts: 203

A fact you all have to face ,if you shared out everything equally you can bet your life by tomorrow morning some would have nothing and others would have accumulated 19 times as much. There is nothing you can do about the accumulation of wealth . It is related to business acumen ,skill energy and resolution of aims and purpose. Some have it and some do not. Why do you think the Government insists on Pensioners having to buy Annuities with their Pension Pot, and not be allowed to have it in cash? Simply because there are more than enough idiots who would put it all on a Horse in the 3.30. race at oodwood They have to be protected from their own folly. It is just Human Nature to be unequal. Homo Sapien survived the others didn't.
Jeremy Bosk
Posted: 26 October 2011 21:57:23(UTC)
#19

Joined: 09/06/2010(UTC)
Posts: 1,316

nickle

Just caught up with your last. The median also has its uses in helping to show to what extent the extremes influence the mean. It is possible to have more than one mode i.e. two or more ranges of income into which most people fall. We need to care about the people with very low incomes for practical as well as moral reasons. Those with nothing to lose may become desperate.

Interesting research in the FT on the recent riots shows that less than ten per cent of rioters outside London were gang members against 19 per cent in London. London has its unique set of problems.

====================

High quality global journalism requires investment. Please share this article with others using the link below, do not cut & paste the article. See our Ts&Cs and Copyright Policy for more detail. Email ftsales.support@ft.com to buy additional rights. http://www.ft.com/cms/s/...bdc0.html#ixzz1bvG6e3TC

Statisticians confirmed that overall, just over a quarter of those arrested were aged 10-17 and 46 per cent were between 18 and 24. A third of 10 to 17 year-olds involved in the riots had been excluded from school the previous year, compared with an average of 6 per cent among year 11 pupils – those at GCSE level. The data also showed that two-thirds of young rioters had special educational needs, compared with an average of one-fifth of all pupils in state secondary schools.

=====================

The Guardian has been researching the riots in conjunction with the London School of Economics and the Joseph Rowntree Foundation.

http://www.guardian.co.u...eries/reading-the-riots

Robert Court
Posted: 26 October 2011 22:01:07(UTC)
#20

Joined: 22/08/2011(UTC)
Posts: 606

Jeremy

Good points but I'm just saying that a normal distribution of wealth (minus the zero and infinite wealth bits) would be a good distribution to aim for rather than one skewed towards either a large wealthy and large poor class and small middle class or a large poor class and small middle to rich class.

If you disagree with that then you are against the large inequality you feel so strongly about that you created a forum topic about!

I feel that a civilised society society should have a LARGE middle class (one standard deviation from the mean in a normal distribution measured by wealth or income) and that is the kind of socierty I'd like to live in - with a strong and vibrant and healthy majority in the middle and a small extreme of wealth and poverty either side.
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