But the real money here is obviously in the consumption/investment categories. You can redistribute consumption from the top 1% and give it to average Americans working in a car factory, or a Walmart. But it’s an illusion to think you can redistribute investment from the top 1%, so that average Americans can have a higher living standard. Where do people think the car factory comes from? Or the Walmart building? BTW, this has nothing to do with trickle-down economics, a theory I reject. This is simple accounting. Money put into investment projects isn’t available to boost living standards for the lower classes, unless you don’t do those investment projects.Must-read stuff, via Aretae (who knows must-read stuff).
Thursday, July 28, 2011
The utter Fail behind Progressive income redistribution
This is must-read stuff: