Saturday, September 20, 2008

Can we look a little deeper??

It's interesting to hear John McCain talk about how the US has the second-highest business taxes in the world and how we need to lower those taxes to save our economy. But I wonder, has he ever looked at the statistics regarding pay disparity? The average CEO in America in 2004 made 431 times what his average worker made. Now keep in mind, that's the average worker, not the lowest paid worker. When you start comparing those differences, the number becomes astronomical. And this huge disparity is NOT happening all over the world. So yes, we have higher business taxes, but let's not jump on the bandwagon to say these high taxes are hurting our economy. These businesses pass on higher prices, lower wages, and fewer benefits in order to keep their high salaries, not because of high taxes.

Greed is human nature. That's something we have to accept as a society. We evolved in a competitive environment where being selfish made the difference between living and dying. You can't just expect that people who make more money will take it upon themselves to help those who are less fortunate. You can't expect ANY species to do ANYTHING simply for the good of the species. This has been studied and documented. That's why regulation (some of it in the form of higher taxes to pay for humanitarian programs) HAS to exist.

Now, don't get me wrong. I'm not saying we should completely redistribute wealth and encourage "living on the system." After all, hard work and ingenuity should always be rewarded. But what I AM saying is that 1) we cannot assume there are unlimited resources in the world, 2) we can assume that greed will more often than not prevail, and 3) regulation is one way to combat excessive greed and put an end to these outrageously enormous disparities in pay.

Of course, this will never be discussed on the news. Why? Because it's much more entertaining to talk about putting lipstick on pigs. Suuuuuuuuueeeeeeeyyyyyyyyy.

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