Quote from: viljy on August 19, 2025, 06:58:54 AM

The fact that the poor have no money is a natural result of the concentration of wealth that capitalism inevitably leads to. In order to prevent a complete paralysis of the economy, benefits and social support measures appear, which are innocently presented as something due. Whereas any social benefit is a veiled injection of socialism. And this feeding of the economy with benefits began a long time ago, several decades ago. At best, social support is presented as a monetary measure, whereas in fact it is often also a measure pursuing political goals.

The difference between "giving benefits" and "giving jobs" is the same as between socialism and Keynesianism. This does not mean that social support is something bad. This is just another proof that capitalism is finite. Because, by and large, neither Stiglitz nor Piketty has a solution to the problem of wealth concentration.

Wealth inequality is not simply a matter of rich versus poor, but the result of a combination of economic institutions, cultural values, and global power flows. Capitalism encourages innovation and efficiency, but has inherent dynamics that widen the gap, as those with existing assets move faster than the real economy, and the digital economy creates market networking effects and a winner-takes-most system. Market concentration strengthens oligopolies, weakens labor's bargaining power, and wages tend to stagnate. Intergenerational wealth transmission is strengthened, especially when access to elite education and social networks is exclusive. Meritocratic societies often conceal structural privilege (the narrative of success = private enterprise) while ignoring initial capital, location, networks, and favorable policies.

Economic liberalism (freedom of contract, property rights, minimal state role) and free markets (open trade and capital flows) cause only sectors with global competitiveness to thrive, while those unprepared experience deindustrialization and job polarization. The domestic tax base shrinks. Short-term capital flows intensify boom-bust cycles; during crises, vulnerable groups are the first to suffer (layoffs, bad debts, food prices). Global standards are often set by powerful global actors, and developing countries simply adopt them. Socially, consumer values and individualism are strengthened, communal solidarity is reduced, and informal work is seen as temporary, even though it is a permanent structure for many households.

The solution to reducing inequality is not anti-market, but rather a restructuring of the rules of the game: digital antitrust, capital tax reform, public ownership of assets and data, industrial policies for upgrading, adaptive safety nets, and leveraging local culture (modern mutual cooperation, asset literacy). Measure progress by indicators of wealth and market structure, not just GDP growth.