Home
/
RELIGION & LIBERTY ONLINE
/
Untangling the roots of wealth inequality is more complex than it appears
Untangling the roots of wealth inequality is more complex than it appears
Mar 30, 2026 5:04 PM

Inequality is one of those topics that is sure to spark quick and intense debate, wherever and whenever it is raised. In any such discussion, however, facts matter. That’s one reason why my attention was recently drawn to an article published in early December at Real Clear Markets, titled “Inequality Is Decidedly Not the Problem In the U.S.” The author, Aaron Brown, writes:

There is a simple theory of inequality in which rich people have nearly all the wealth and e, and do nearly all the spending, while poor people struggle along with the minimum of those things necessary for survival. It’s understandable that some people think this way. In many places in the world today, and for plex societies in human history, the picture is accurate. Moreover, the rich elite usually hoards most of the economic opportunity, civil freedoms, political power, legal status and other good things for itself and its children.

But in the U.S. today, things are plicated. Some people have wealth, others have e and still others do the spending. These things overlap but are not identical. Wealth, e and consumption also overlap with political influence, legal favoritism, social prestige and other non-monetary assets, but the correlation with money is far from perfect.

This matters because if inequality is the problem, redistribution is the solution. The problems of the poor are caused by the hoarding of the rich. But if there are many different types of needy people due to different problems, redistribution based on wealth, e or consumption may end up taking from the needy and giving to fortable—doing considerable damage to civil rights, economic incentives and social trust along the way—and never addressing the root problems.

The whole article repays careful reading for those genuinely interested in thinking about what is (and isn’t) inequality, when it matters (and when it doesn’t matter) economically, as well as learning some of the more salient facts about inequality in America. Yes, inequality is much plicated than we realize and many of the perceived solutions turn out to exacerbate the problems.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Tea Party Catholic: Can Catholics Save the American Experiment?
Giovanni Patriarca recently sat down with Acton Research director, Samuel Gregg, to discuss his latest book, Tea Party Catholic. Patriarca, Acton’s 2012 Novak Award winner, began by asking Gregg what the “most alarming and peculiar aspects” are of America losing its “historical memory” and running the “risk of deconstruction of its own identity.” The American Founding was certainly influenced by certain streams of Enlightenment thought, not all of which (such as social contract theory) patible with Catholic faith. Yet as...
Inflation and the Minimum Wage
In yesterday’s edition of The Transom, which I highly mend, Ben Domenech included a discussion that places the debates over raising the minimum wage within the broader context of the effects of inflation more generally. Here’s a section: There shouldn’t be any debate about the reality of the problem that the costs of basic staples, health care, and higher education are chewing up ever-increasing portions of the median family budget which is, in inflation-adjusted terms, smaller than it’s been since...
Redeeming the DIA
mentators, apart from Virginia Postrel and the like, seem to think that it would be tragic for the city of Detroit to lose the art collection at the Detroit Institute of Arts (DIA) in the city’s bankruptcy proceedings. I agree that liquidating or “monetizing” the collection and shipping the works off to parts unknown like the spare pieces on a totaled car would be tragic. But at the same time, there’s something about the relationship between the DIA collection and...
Free Book Giveaway: Part 1 of Kuyper’s ‘Common Grace’
Christian’s Library Presshas released the first in itsseries of English translationsof Abraham Kuyper’s most famous work,Common Grace, a three-volume work of practical public theology. This release,Noah-Adam, is the first of three parts in Volume 1: The Historical Section. To celebrate,CLP will be giving awaytwocopies of the book. To enter, use the interface below. There are three ways to enter, and each will increase your odds. The contest will end Friday night at 11:59 p.m. a Rafflecopter giveaway [product sku=”1422″] ...
The Secret Ingredient for Effective Healthcare Reform
In today’s Acton Commentary I explore how our hyper-regulated and increasingly statist healthcare system is chasing off good physicians. A recent article in Forbes by Bruce Japsen provides some additional support for that argument: Doctor and nurse vacancies are approaching nearly 20 percent at hospitals as these facilities prepare to be inundated by millions of patients who have the ability to pay for medical care thanks to the Affordable Care Act. A survey by health care provider staffing firm AMN...
Why Max Weber was wrong about capitalism
Sociologist Max Weber famously associated Protestantism with capitalism. Although widely accepted by many, that claim is theologically dubious, empirically disprovable, and largely incidental, says Acton Research Director Samuel Gregg: Even when we consider modern capitalism’s emergence, a direct connection between this event and Protestantism is very open to question. The economic historian Jacques Delacroix, for instance, has highlighted many facts about this period that Weber’s theory simply cannot account for. “Amsterdam’s wealth,” Delacroix writes, “was centered on Catholic families; the...
What Should a Pope Say About Capitalism?
Pope Francis’ ments about economics has raised concerns among conservatives and libertarians. But at National Review, James Pethokoukis says free marketeers shouldn’t take the critique so personally: If you are a free marketeer offended by Pope Francis’s Evangelii Gaudium (“The Joy of the Gospel”) — in which he critiqued “deified” market capitalism and attacked e inequality — ask yourself: What should the leader of the worldwide Catholic Church say about economics in 2013? Should he take a victory lap over...
Soccer, Swindling And Sex Trafficking: 10 Things To Know
The Fédération Internationale de Football Association is holding the World Cup in Brazil, June 2014.Six men have been arrested for fixing Premier League soccer matches.Earlier this month, two British men were arrested for fixing Australian soccer matches.Retired English striker Alan Shearer is calling for “zero tolerance” for fixing of soccer matches. Marcus Gayle, a former striker for Wimbledon, told BBC London regarding the fixing scandal: “I was disgusted that it is still around in the game.” The Minas Gerais state...
Hollywood Hates The Economic System That Makes It Rich
John Stossel is fed up with celebrities whining about the very economic system that made them rich. From Russell Brand demanding redistribution of wealth to George Lucas decrying “capitalist democracy,” celebrities who are rolling in dough seem to be suffering from some sort of entrepreneurial guilt. Of course, they aren’t feeling guilty enough to ditch one of their seven planes (à la Harrison Ford) so as to lower their carbon foot print, but guilty enough to tell us that capitalism...
Audio: Jordan J. Ballor on the Economics of the Heidelberg Catechism
Did you miss Acton on Tap? You really shouldn’t miss Acton on Tap. That’s a bad idea. For instance, if you missed last night’s event, you passed up an opportunity to hear Jordan J. Ballor, Executive Editor of the Journal of Markets & Morality and author of Get Your Hands Dirty: Essays on Christian Social Thought (and Action), speak at San Chez Bistro in Grand Rapids, Michigan on the topic of the economics of the Heidelberg Catechism. He focused on...
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved