Thomas Piketty's Theory of Economic Inequality is A Natural: Wealth Grows Faster Than Incomes

Thomas Piketty, author of  Capital in the Twenty-First Century, makes a major contribution by putting forth a theory of natural economic evolution under capitalism. 

His argument is that capital or wealth grows at the rate of return to capital, a rate that normally exceeds the economic growth rate. Thus, economies will tend to have ever-increasing ratios of wealth to income, barring huge disturbances like wars and depressions. 

Since wealth is highly concentrated, it follows that inequality will tend to increase without bound until a policy change is introduced or some kind of catastrophe interferes with wealth accumulation.

http://www.theatlantic.com/business/archive/2014/05/thomas-piketty-is-right-about-the-past-and-wrong-about-the-future/370994/

Why We’re in a New Gilded Age

Thomas Piketty, professor at the Paris School of Economics, writes in Capital in the Twenty-First Century that we haven’t just gone back to 19th-century levels of income inequality, we’re also on a path back to “patrimonial capitalism,” in which the commanding heights of the economy are controlled not by talented individuals but by family dynasties.

Nobel Laureate Paul Krugman, Professor of Economics & International Affairs at Princeton, and New York Times columnist, smartly unpacks the statistical evidence here:  http://billmoyers.com/2014/04/16/paul-krugman-why-we%E2%80%99re-in-a-new-gilded-age/ 

Piketty ends Capital in the Twenty-First Century with a call to arms — a call, in particular, for wealth taxes, global if possible, to restrain the growing power of inherited wealth. It’s easy to be cynical about the prospects for anything of the kind. But surely Piketty’s masterly diagnosis of where we are and where we’re heading makes such a thing considerably more likely.

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5 hypocritical credos used to justify inequality

The hypocrisy is spread evenly among corporations, Congress, and free-market apologists, all of whom insult and imperil average Americans with their double standards. Here are some of the worst:

1. Poor People Just Need to Get a Job. But there are No Jobs.

2. Government is the Problem. Unless the Rich Need a Subsidy.

3. “The Free Market System Distributes the Fruits of Economic Progress Among All People”

4. Entitlements Must Be Cut. Except for the Entitlements Owned by the Rich.

5. The Super-Rich are the Most Productive Americans – They Earn Everything They Make

http://www.salon.com/2014/02/25/5_hypocritical_credos_gop_uses_to_justify_inequality_partner/

See What Happens When Two Capuchin Monkeys Are Paid Unequally..

Empathy, cooperation, fairness and reciprocity -- caring about the well-being of others seems like a very human trait.  But is there moral behavior in animals?

Frans de Waal, a primatologist, ethologist, and professor of Primate Behavior at Emory University, shares some surprising videos of behavioral tests, on primates and other mammals, that show how many of these moral traits all of us share.

Monkeys Paid Unequally? See What Happens Next...

From a TED talk by Frans de Waal,

Base of Pyramid Customer Research Counts...

Intuit's hands-on involvement in local market-making with farmers in India using mobile phones...

...showcased at Columbia University's #Brite13 conference.

"Losing My Religion for Equality"

US President Jimmy Carter quits Southern Baptist Church to fight for women's rights...
http://t.co/XCYhuNZj

Lost the Race but Won our Hearts!

 X-country runner Iván Fernández Anaya 

shows what sportsmanship is all about!

On 22 December 2012, Basque athlete Iván Fernández Anaya was competing in a cross-country race in Burlada, Navarre. He was running second, some distance behind race leader Abel Mutai - bronze medalist in the 3,000-meter steeplechase at the London Olympics. As they entered the finishing straight, he saw the Kenyan runner - the certain winner of the race - mistakenly pull up about 10 meters before the finish, thinking he had already crossed the line. Fernández Anaya quickly caught up with him, but instead of exploiting Mutai's mistake to speed past and claim an unlikely victory, he stayed behind and, using gestures, guided the Kenyan to the line and let him cross first.

Chimp study reveals origins of human fair play

The human tendency to share may have more ancient evolutionary routes than previously thought.

This is according to a study of the performance of chimpanzees in a test called the "ultimatum game".

Are We Born With a Sense of Fairness?

Fairness - Innate to All?

It seems we’re predisposed to prefer and expect fairness.  We begin with fairness as our default position, then we’re surprised and affronted when we first face a situation that seems unfair, so that’s what we remember.

Here are several rationale, experiments and videos demonstrating the premise.

Don't Kick Immigration Reform Down the Road | Human Rights Watch

Don't Kick Immigration Reform Down the Road | Human Rights Watch:

U.S. employers in 2007 reported wages of $90 billion for millions of workers whose paychecks did not match real names and Social Security numbers. From that, $11.2 billion went to the Social Security Trust Fund and $2.6 billion went to Medicare. Yet unauthorized immigrants are not eligible for most public benefits; even legal immigrants are not eligible in the first five years after gaining legal residency.

Conclusion: The Judgment of Fairness -

Conclusion: The Judgment of Fairness -: " the evolution of fairness concludes by asking if even today humankind has found a way to be both cooperative and competitive."

Half the Sky: Turning Oppression into Opportunity for Women Worldwide,

So glad this series is launching this fall...

Half the Sky is a four-hour PBS primetime documentary film and national broadcast event inspired by Half the Sky: Turning Oppression into Opportunity for Women Worldwide, the widely acclaimed book by Nicholas Kristof and Sheryl WuDunn.

Girl at New Light Crèche in Kolkata, India

Photo by Joshua Bennett

Filmed in 10 countries, the film follows Nicholas Kristof and celebrity activists America Ferrera, Diane Lane, Eva Mendes, Meg Ryan, Gabrielle Union and Olivia Wilde on a journey to tell the stories of inspiring, courageous individuals. Across the globe oppression is being confronted, and real meaningful solutions are being fashioned through health care, education, and economic empowerment for women and girls. 

The linked problems of sex trafficking and forced prostitution, gender-based violence, and maternal mortality — which needlessly claim one woman every 90 seconds — present to us the single most vital opportunity of our time: the opportunity to make a change. All over the world women are seizing this opportunity.

India's income inequality has doubled in 20 years - The Economic Times

India's income inequality has doubled in 20 years - The Economic Times:

'via Blog this'

President Obama's 2012 Pitch: 'Everyone Gets a Fair Shot' | The Rundown News Blog | PBS NewsHour | PBS

President Obama's 2012 Pitch: 'Everyone Gets a Fair Shot' | The Rundown News Blog | PBS NewsHour | PBS:

'via Blog this'

India's income inequality has doubled in 20 years - The Economic Times

India's income inequality has doubled in 20 years - The Economic Times:

'via Blog this'

Income Inequality Rising In Most Wealthy Countries, OECD Finds

Income Inequality Rising In Most Wealthy Countries, OECD Finds:

'via Blog this'

‘Ajax Dilemma’ Looks at Fundamental Fairness - NYTimes.com

‘Ajax Dilemma’ Looks at Fundamental Fairness - NYTimes.com:

'via Blog this'

A Question of Fairness - NYTimes.com

A Question of Fairness - NYTimes.com:

'via Blog this'

The Globalization of Protest - Joseph E. Stiglitz - Project Syndicate

The Globalization of Protest - Joseph E. Stiglitz - Project Syndicate:

'via Blog this'

Economics focus: Unrest in peace | The Economist

Inequality is a proven engine of protest, conflict & war....

"A classic 1994 paper by Alberto Alesina of Harvard University and Roberto Perotti of Bocconi University studied 71 countries between 1960 and 1985 and found that higher levels of income inequality were associated with increased social instability. Their explanation was that unrest often erupts when a wealthy middle class is weakened."

Economics focus: Unrest in peace | The Economist: