What the libs/socs don’t realize is that the widening wealth gap, along with rising living standards for all, is an indication that the economic environment is healthy, vibrant and geared for success, and it is an indication that the economy is working properly. The reason for why the wealth gap exists and continues to increase is because the wealthy have disposable income, which they use to invest, while the poor don’t/can’t/won’t. This isn’t rocket science, yet the libs/socs believe that the widening wealth gap is an indication that the economy is failing and blame capitalism for the failure. Not to beat a dead horse, but it isn’t capitalism that has failed us, but socialism in the form of government-sponsored forced charity, i.e., so called “social programs.”

These so called “social programs” are choking the life out of the economy by taking away investable capital that would allow potential new businesses to flourish and do so at the lowest cost possible to the entrepreneur. This then helps to create jobs, which then creates wealth for the investors who then reinvest bigger and bigger sums, while successful new businesses even industries allow the standard of living for all to rise. Obviously, this means that the rich get richer and because of the returns on their invested capital their wealth grows faster than that of the poor. However, this doesn’t have to mean that the poor are getting poorer; relatively poorer, yes, but not absolutely poorer. For more details, please see my previous post on capitalism.

Therefore, an increasing wealth gap is a good indication that the economy is healthy and working, jobs are being created, and overall standards of living are improving. However, the libs/socs want to eliminate the wealth gap or at the very least dramatically reduce it. This is beyond insane. Think about it, the wealth gap cannot narrow unless we have a massively poor economic environment. The idea that the libs/socs harp on the widening wealth gap is another indication of their idiotic, short-sighted and irrational philosophy.

How can the wealth gap decrease? One of four ways, right: 1) The rich get wealthier at a slower pace than the poor, 2) the rich lose money while the poor stay flat or gain in income, 3) the rich stay stagnant while the poor catch up, or 4) the the rich lose wealth faster than the poor. What the libs/socs want is scenario #1. That’s their ideal scenario, but this is no different than saying, “let’s move time backwards.” Grammatically, the sentence may be correct, but logically it is stupid beyond idiotic. THIS CANNOT HAPPEN; IT’S IMPOSSIBLE! The wealthy cannot gain at a slower pace than the poor.

So, we cannot create a rational situation in which the rich gain at a slower pace than the poor, because the rich have investable income, while the poor don’t. So, the decrease in the wealth gap cannot happen, but the libs/socs think that it can. And, they propose to do so by taxing the living crap out of the rich and funnel the money to the poor so that the rich don’t have as much disposal income while the poor gain in income. Aside from the fact that this is lunatic thinking, the libs/socs don’t understand that the more we tax the rich and take their disposable income away the less investments are made, which then restricts job creation, which then negatively affects the poor the most. So, taxing the rich more doesn’t reduce the wealth gap, it will actually widen it.

What we have today is exactly this. The wealth gap is increasing while the average standard of living is stagnating, because not enough jobs are created, because not enough new industries/businesses are being formed and fewer and fewer new jobs are being created from existing businesses, because the rise in living standards have stagnated. The wealthy stop investing in real businesses and entrepreneurial industries or invest very cautiously, and new industries and jobs don’t get created, or they gamble on the stock markets, while the poor suffer and continue to lose from a lackluster job market.

Basically, what this means is that the country must not strive to reduce the wealth gap. Realize that the only way to reduce the wealth gap is to turn everyone into paupers — scenario #4 from above; this is the only way, and this scenario can be achieved. Jast ask any citizen from a former socialist/communist country. Believe me when I say, that no one, rich or poor, is going to want to live in a socialist/communist country. The bottom-line is that we must not strive to reduce the wealth gap in and of itself, but to concentrate all of our efforts on innovation and creation. And, the best way to do that is to increase the pool of money available for such endeavors and encourage entrepreneurs to take a shot at the American dream. Not to increase taxes and continually expand so called “social programs.”

One of the greatest myths in our country is that if we were all billionaires, we would all live happily ever after, i.e., if true communist ideals could be achieved then we would all be happy, at least from a financial viewpoint. The reality is that if we were all billionaires, ALL of us would be poor. Not only that, to maintain the same wealth levels for every individual in society, we’d be living in a dictatorial society with limited right, the Bill of Rights would have to be blown to bits, and we’d all suffer under the yoke of forced labor. In other words, we’d be living in the old Soviet Union. If you want more details, please read my post titled: “Communism is not even a childish dream, let alone an ideal! And, a communist country cannot be anything but a dictatorship!” (https://undertheconstitutionwithlibertyandjusticeforall.com/2013/03/29/communism-is-not-even-a-childish-dream-let-alone-an-ideal-and-a-communist-country-cannot-be-anything-but-a-dictatorship/)

Again, the only way to create new jobs above and beyond normal inflation and population growth is to create new businesses/industries/products. Otherwise, existing businesses as a whole cannot grow beyond the rate of inflation and population growth, i.e., beyond normal growth. This means that the average living standards will stagnate, while the rich continue to gain — even if they plow money into government bonds, at least this has some profit. And, the failure of the last 20 years isn’t coming from capitalism, but our increasing emphasis on so called “social programs.”

The ultimate safety net for the poor is to create a robust job market, where unemployment is low, not to create more and more so called “social programs,” or grow existing ones. And, the only way we can create the most robust job market possible is to create as many new businesses/industry/products at the fastest rate possible. And, to achieve this, we must allow as much money to flow into investments as economically feasible. This means eliminating or privatizing all so called “social programs,” minimizing taxes, especially to the wealthier segments of our society, simplifying rules, regulations, laws for businesses and investing in public education that supports the development of brilliant, creative and innovative minds and investing in infrastructure. This isn’t rocket science.

For more, please read my books, “… Under the Constitution with Liberty and Justice for ALL,” available at http://www.CreateSpace.com/3978962 and also available on Kindle, and “The New Constitution for Modern America,” available at http://www.CreateSpace.com/4281897 and also available on Kindle. Please don’t forget to rate this post. Any comments or questions are welcome and can be left for me on this blog, @Ahmedinejahd on Twitter, on Facebook or via email at AlexAhmedinejahd@Yahoo.com. Thank you in advance for buying my books, and rating this post. And, thanks for visiting my blog; I hope you get an opportunity to read my other posts. Have a great day!