Tags: income | inequality | Buffett | American

Income Inequality Benefits Every American

By    |   Wednesday, 18 Jun 2014 07:47 AM

Bill Gates is worth billions of dollars and the life of the average American is better because he has acquired so much wealth. Without Windows, a software package that created a standard operating standard for computers, the Internet and smartphones would not have evolved so quickly.

Warren Buffett is also worth billions of dollars, and again, the lives of average Americans are better because of that. Geico's low-cost auto insurance, one of Buffett's companies, helped build his wealth, while lowering the cost of insurance for millions of Americans.

Among many other examples, the great wealth accumulated by Sam Walton also benefits the average American. Hundreds of millions of consumers benefit from everyday low prices at Wal-Mart stores. The presence of Wal-Mart in a community helps keep prices down at other stores, benefitting even those who shop elsewhere.

Income inequality exists partly because some individuals have ideas and take action based on those ideas. By acting, some individuals improve the lives of millions of people.

Inequality also arises from the fact that business owners accept risk. Gates, Buffett and Walton had no guarantee of success, and bad decisions could have stopped each of their careers before they succeeded. They accepted risk-seeking potential returns on investment and they were rewarded.

While inequality has become a popular issue, the politicians attacking inequality are often the ones proposing policies that create obstacles to investment. Their solution to inequality seems to be a nation where everyone is equally mediocre.

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MichaelCarr
Bill Gates is worth billions of dollars and the life of the average American is better because he has acquired so much wealth. Without Windows, a software package that created a standard operating standard for computers, the Internet and smartphones would not have evolved so quickly.
income, inequality, Buffett, American
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2014-47-18
Wednesday, 18 Jun 2014 07:47 AM
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