Thoughts on Rev. Kevin E. McKenna’s You Did It For Me, re: “social justice” [continued]
The term “wealth distribution” also carries with it the implication that government should have the authority to distribute society’s wealth, ostensibly in a more “just” manner. One of the two great lessons of the 20th Century is that re-distribution does not work (see socialism and gulags above).* Pope Leo XIII was highly critical of capitalism but
condemned socialism because of its inherent denial of property rights and resultant inefficient use of God’s gift of property.** He also made a good case for the worker’s entitlement to the fruits of his labor.
Other Attempts at Equalizing
Much of what McKenna writes fails to account for human nature, mainly what F. A. Hayak calls “rent-seeking”. There has also been discovered a strange phenomenon of a desire by individuals to hurt those better off even if it means hurting themselves in the process. Some examples:
Few would agree that the American graduated income tax is fair, even though it was initially conceived and still maintained as one in which those (i.e., the “wealthy”, who are never defined) with the ability to pay should be the ones to pay, and those who cannot should be exempt. Virtually every tax increase is sold with the notion that the resulting burden will fall on those “who have won life’s lottery” (again, the “wealthy”
), and as a result, incomes will be “more equal”. But this notion of taxing “the wealthy” ignores several important considerations. First, the wealthy are no different from anyone else; they dislike paying taxes as much as the next guy and are generally unmoved by someone else’s concept of morality, just like anyone else. Second, the truly wealthy are powerful because of their wealth and can afford the lobbying expense to have their economic activity given a favored (i.e., tax exempt) status. Any lobbyist worth his salt will provide his client greater value in deductions / exemptions than the original lobbying expense. At the same time, government does not pass a tax increase without the expectation of collecting more taxes, so where do the taxes come from? Since it’s politically unpopular to be Scrooge and get it from the “poor”, it must come from the middle class who cannot afford the lobbyists or accountants to escape.* In the days [1950s and ‘60s] of the 70% marginal tax rate, the most the truly rich paid was only 48%, the same rate the middle class was paying! So, has social justice been increased as a result in using a graduated tax over a flat tax? The Lord levied a flat 10%; do our elected believe they are wiser than the Lord? Perhaps a flat tax would let the lower income individuals realize that it takes money to run a government and that they too have the ability to give of themselves. Imagine the impact on social justice that would have.
Over the last 50 years or so, attempts at increasing social justice have been through some form of radical egalitarianism (sometimes referred to as “cultural Leninism”), and have ranged from the ridiculous, like affirmative action, to the frankly bizarre. Earlier this year (2005), a group of (favored minority) parents noticed their San Diego school’s gifted student program contained none of their (favored minority) students, and consequently demanded that the school board end the whole program, claiming that students were being treated unequally based on race. Indeed, one (favored minority) parent even flatly stated, “We believe that the school should not create differences between students who know more and students who know less.” Ignoring the charge of racism, how is society benefited by limiting the achievements of its brightest students? Or even failing to take advantage of their gifts? Is the Gospel being satisfied when a student is artificially limited in the use of his talents? How are the less bright (or their parents) benefited, other than a temporary assuaging of their
envy and feelings of inferiority by a sort of “revenge” brought about by their abuse of the franchise?
The more equal individuals become, the more unbearable and unjust seem the remaining differences. Therefore, what started as a demand for basic civil rights (voting, education, etc.) has mutated into a demand to overturn the whole society, along with its traditions and norms, its standards and laws, its history and heroes, since in all these things still not everyone is “equal.”
Man is made in the image and likeness of God. God creates, so man also likes to create. It is a fact that there are people who are more talented, more beautiful, or more intelligent than others. In a free society, their creativeness translates into more income. How to equalize those incomes? Take away freedom by limiting those with more talent, more beauty, or more intelligence because that is a lot easier to do than to increase them in those with less? With that approach, everyone loses. Remember, whenever we try to make people equal, there will always, it seems, be those who demand to be made more equal than others. Even in equality, people want inequality!
We must also be careful to avoid the basic assumption that all the goods of civilization, not only the tangible but also the intangible, such as the institution of marriage, are like rocks or stars – things that will always be there regardless of what we do – and that the only social justice problem is how to distribute them more equally. They will not be.
[To be continued]
Notes:
- Sidebar Question: What is the other lesson?
** Pope Leo XIII,
Rerum Novarum, 1891.
*** Ever wonder why those who argue for higher taxes on the wealthy are themselves wealthy, or why those who support them most are middle class?
**** For the record, almost ALL (96%) of the income taxes are paid by those above the median income level (about $26,000 in 2005).