Breaking it down. Making it simple - easy to understand. But the left still won't get it.
—Michael Medved
Townhall.com
The New York Times Magazine recently ran a special issue on "the income gap" and its alleged dangers for the nation. It quoted former Treasury Secretary Larry Summers declaring that since 1979, the wealthiest 1 percent increased their percentage of the nation's total income by 7 percent while the percentage earned by the bottom 80 percent declined by 7 percent.
The magazine suggested that this was the equivalent of ordinary citizens sending a "$7,000 yearly check to the richest Americans." This insipid analogy defies all rules of logic: when rich people earn more, it doesn't mean that poor people earn less. In fact, the increase in the Gross Domestic Product since 1979 has been an inflation-adjusted 516 percent!
In other words, it hardly matters that some people get a slightly smaller slice of the pie--since the pie itself is more than five times bigger than it was. The creation of more wealth--baking a bigger pie--benefits everyone in the country, rich and poor alike.
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