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Capitalism and Inequality
Keywords:
Jerry Muller, professor of history at the Catholic University of America, offers some useful insights into the nature of inequality in advanced capitalist societies and other parts of the world, and a clear eyed way to tackle the problem of inequality. Tackling the problem should be done in a way that preserves the economic protections for the middle class and the poor which are needed for capitalism to work- unemployment insurance, Medicare, Medicaid, Social Security, Earned Income Credit, and the Affordable Care Act. Much of this system is already in place in advanced capitalist societies. Incremental gains in this area will be much smaller and it is important to recognize the need for strengthening the economic engine that supports these benefits, says Muller. Economic dynamism has to be preserved and nurtured with human capital deployed in the best possible way, and competitiveness of countries increased. Each country and society has to find its own way of achieving this. The family matters, and matters a lot in taking advantage of educational opportunity, says Muller. The culture of different ethnic, immigrant groups, also matter. These differences were present in earlier periods in the nineteenth and twentieth century and are likely to remain. Strengthening the pool of human capital and deploying it is essential to progress. In an earlier book "Adam Smith In His Time and Ours- Designing a Decent Society," Muller emphasized the importance Smith placed on the civic duty of citizens to promote the welfare of the whole society, and the importance of education, family and moral character, with no substitute for the "general prevalence of wisdom and virtue."
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Jerry Muller on Capitalism and Inequality- preserving economic dynamism and maintaining protections for the middle class and the poor
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Muller points out that the family really matters and belonging to particular social, immigrant, ethnic and religious groups also makes a difference. Muller says having a clear eyed view shows protections are necessary for capitalism to work, yet also points out that in advanced capitalist societies muc of the framework for the protections such as unemployment insurance, Medicare, Medicaid, Social Security, Earned Income Credit, Affordable Care Act, are already in place. Individual societies and countries have to come up with their own solutions for economic protections. At the same time economic dynamism is critical part of vibrant democracy and capitalism. This requires human capital to be deployed in the best way possible. For individual countries this means increasing and preserving competitiveness in the global marketplace.
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"He is certainly not a good citizen who does not wish to promote, by every means in his power, the welfare of the whole society of his fellow-citizens." ADAM SMITH, Theory of Moral Sentiments "What institution of government could tend so much to promote the happiness of mankind as the general prevalence of wisdom and virtue? All government is but an imperfect remedy for the deficiency of these..." ADAM SMITH, The Theory of Moral Sentiments
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A sense that the earlier dedication to helping Roseland and places like it that need a special kind of help is missing from the President. Obama's advisers speak of inclusiveness and helping all minorities and the working class, yet while the stimulus helped the economy after the financial crisis, the lack of help to millions of homeowners facing foreclosure worsened the situation for minorities and the struggling middle class.
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Ireland Faces Battle Over Europe Stability Treaty
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Malnutrition in India, China and other parts of the developing world.
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Experts say 43% of Indian children under the age of 5 suffer from malnutrition. Because of poverty and general skinniness among the poor, experts say its hard for many Indians to see this in their neighborhoods.
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India, U.S. Reach Agreement on Food Stockpiling, Clearing Way for WTO Deal
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World Bank Report Puts Agriculture at Core of Antipoverty Effort
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