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The price of inequality is too high.
Jeremy Bosk
Posted: 25 October 2011 23:41:52(UTC)
#1

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

We would all benefit if the gap between rich and poor within this country was much smaller. Average life expectancy would rise for rich and poor. Infant mortality would fall for rich and poor. Mental illness would fall for rich and poor. Even Tories would benefit from progressive taxation and a more even distribution of income and wealth. Only willful ignorance stands in their way.

http://www.ted.com/talks...kly&utm_medium=email
Robert Court
Posted: 26 October 2011 13:05:57(UTC)
#2

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

Jeremy

Excellent video and well worth seeing once I got the opportunity.

Two points:

1. I have mentioned before the lack of social mobility in the USA which has now destroyed 'The American Dream'
2. Japan versus the Nordic Countries:

Japan has reduced inequality by REDUCING taxation (coming from a less unequal base)

The Nordic countries have INCREASED taxation to reduce inequality (but if they have come from a less equal base is subjective from the data provided)

I've always believed in making the poor richer rather than making the rich poorer and I'd ratrher be Japanese than Danish in this respect; HOWEVER I've also mentioned before that studying in Denmark in 1993 had a profound affect on me in that the high taxation combined with zero visible poverty made me feel that Denmark at least was a far fairer society than in the UK.

Whether many of us would rather live in a bland and more equal society or enjoy the homicidal cut and thrust of a greed is another matter; human beings are still rather nasty animals whatever clothes they wear to cover up their desire to kill and maim anything and everything that gets in their way.
LouisV-W4
Posted: 26 October 2011 14:02:10(UTC)
#3

Joined: 07/04/2011(UTC)
Posts: 41

We instinctively know that the UK is a broken society, yet, when David Cameron said what most think, all hell broke loose, with the pc brigade relatiating with denial and condemnation. DC should have stuck to his guns, armed with this type of ammunition.

This is an excellent presentation which shows just how messed up we are in the UK. The Nordic countries have been engineering their societies for many years to get where they are today. How long will it take the UK to make even a dent in the statistics? Is it even possible when the politicians are only motivated by self interest ...how can they ensure they stay in power or win power, and sod the rest of us? If you feel dis-enfranchised and helpless, you typically don't bother to vote, so why should the politicians care!

My son has lived in Dubai for the past 6 years, and he and his wife-to-be, plus their many ex-pat friends, see no reason why they would ever want to return to their own Country. The result; those we have brought up to be well educated, socially mobile, and entrepreneurial, are leaving our society. Very sad, but totally understandable!

I can foresee a time when we'll have a society dominated by the political classes, those with safe jobs in the public sector telling us what to do and how to do it, a powerless private sector hammered on every front, and a growing tier of the dis-enfranchised. Next step ...social unrest?
Robert Court
Posted: 26 October 2011 14:40:30(UTC)
#4

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

LouisV-W4

I'm glad I'm not the only person to have seen this excellent fairly short video clip that Jeremy Bosk recommended.

It certainly should make us all think and that's a good thing.

Jeff Lampert, another poster, would then rile us for inaction, but I really wonder what we, as individuals, can do?

The 'dis-enfranchised' as you call them really scare me; especially as I was part of that society and lived in a particularly rough area for many years although didn't really feel I belonged there - it took almost a miracle for me to escape the prison I'd found myself in where there was almost no hope for the future and each and every day was a mental hell of survival as opposed to living.

People should be allowed to live.

The feeling of being disenfranchised means that all your hope has been taken away from you and you believe that 'normal' people are some strange alien species. Your comfort zone and ability to do anything positive is reduced as though you are gradually being choked by a cancer of despair.

You then you either become apathetic or angry...................... and angry people eventually revolt in desperation.

That's what scares me!

Inequality doesn't scare me as there has always been and always shall be inequality of one sort or another, but a sub society of young, physically fit, uneducated, disenfranchised and ANGRY no-hopers scares the living daylights out of me.

They are our future (however unpalatable the thought) and we MUST give them hope and enthusiasm and something POSITIVE to look forward to or they'll DESTROY us all with the enormous anger and resentment that has built up inside them.

We must give them something to LIVE for rather than merely offer them survival as mere animals just kept alive in the cages of the zoo of our welfare state.
nickle
Posted: 26 October 2011 16:04:41(UTC)
#5

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

There is a very simple explanation of the rising gap.

You only get rich by working hard and by saving hard. In other words investing your excess income to produce a return.

The reason the poor are getting poorer relative to others (but still richer in absolute terms), is that a lot of them are choosing not to work, at least in the UK.

Then comes the question of saving. In order to save they need to earn more than they spend. However when the government takes 50% of your earnings, and you don't earn much, you're on a hiding to nothing.

Likewise with government 'savings schemes' such as NI for pensions, they are truly awful value for money. A median worker on 26K a year, who had put their NI into the FTSE (even post crash) would have enough money for an RPI linked joint life annuity of 21K a year. Instead the government gives them 5K for their cash. It's only when you are on below 80% of minimum wage, would you be better off.

The major cause of people being poor in the UK, is the UK government.
Allen Williams
Posted: 26 October 2011 16:14:59(UTC)
#6

Joined: 10/11/2010(UTC)
Posts: 3

An interesting video, and one which confirms my own outlook on our society. Britain may be broken, but it is broken because there are vast differences in income (and wealth, which was not mentioned) between the most and least well-off. However, while this might be easy to sell to those at the bottom of the scale, I would imagine that the idea would be most unwelcome to those at the other! The option of making the poorest better off to achieve greater equality is fine in principle, but even this would require significant restraint being imposed on the rate at which the top end is able to improve their position.

In short, this is a political question, one where in our democracy there needs to be a strong Social Democrat movement to pursue this policy and implement it, but alas, in England at least, we do not even have a Social Democratic Party any longer which we can vote for. I am afraid the notion that "greed is good" is still widespread, although in the current economic circumstances one might have expected it to have been completely discredited.

I will not bore you with a manifesto, but at least this video indicates that the well-being of everybody (including the financially well-off) can arguably be improved by a move towards greater equality.
xxxxx
Posted: 26 October 2011 16:22:07(UTC)
#7

Joined: 22/04/2010(UTC)
Posts: 50




Jeremy

Well done for highlighting this excellent video.

Unfortunately as the video illustrates the Uk is a very unequal society. The richest 10 per cent in the UK now receives 31 per cent of national income and owns almost half of the country's personal assets, while the poorest 10 per cent takes home just 1 per cent of the total income. The research suggests that as a consequence we perform very badly on a range of "quality of life" measures compared to more equal societies. Surprisingly even the rich in the UK end up worse off because of the extent of unequalness!

So the Coalition Government's solution to the current financial problems is to make spending cuts which will hit the poor hardest. They are also making pensioners (again the poorest group in the Uk) suffer financially by linking increases in their pensions to CPI rather than RPI. The end result is we will be an even more unequal society in 5 years time and if the research is correct reap the consequences.

I know it is in the DNA of Tories to give the poor a good kicking but I never thought the Lib Dems would sign up so wholeheartedly.
nickle
Posted: 26 October 2011 16:22:37(UTC)
#8

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

The option of making the poorest better off to achieve greater equality is fine in principle, but even this would require significant restraint being imposed on the rate at which the top end is able to improve their position.

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

Here's a solution. Take all of Richard Branson's money. Give it to the poorer off. Now you need to sell all his assets to an overseas bidder or you take the money out the country.

There you go. Poor people are richer. What's the problem?

Well, Very quickly you find that rich people move overseas. One reason why tax revenues this month are down big time.

However, as they leave, the poor get relatively richer. Woopie. However, they now have to pay more tax, because the rich aren't their to be milked.

That's why the issue should be about absolute levels of poverty, not relative poverty.

The poorer can only get richer in the long term by not being taxed, by working, and by investing.
nickle
Posted: 26 October 2011 16:30:29(UTC)
#9

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

So the Coalition Government's solution to the current financial problems is to make spending cuts which will hit the poor hardest.
=================

So what's your solution?

First of all lets define what the problem is with some numbers.

150 bn a year overspend. ie. The difference between tax income (550 bn) and public spending (700 bn).

Public spending over the last two years has increased more than the rate of inflation.

Now for debts. How much does the government owe? When you include state pensions, civil servants, plus borrowing, you get present value of round 7,000 bn. (To put those in numbers people can get a handle on, your share of the debt is 225,000 pounds, going up at around 9,000 a year)

That's the problem. What are you going to do to solve it?
Jeremy Bosk
Posted: 26 October 2011 17:35:26(UTC)
#10

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

nicle

You mainly get rich by being brought up in a well off household with access to good schools, health facilities and all the other appurtenances of the middle class good life. It helps to have parents and grand-parents who got on the property ladder generations back and then conveniently died.

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 (in real life rather than on television).

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