Note: On September 6, 2016 I published a companion article to this titled “Proposal for a Fair & Dynamic Market-based Economy”
We The People of the United States have come together with a defined set of six shared values: a more perfect union, justice, domestic tranquility, defense, welfare and liberty. (See Foundational Values: A More Perfect Union).
Our chosen economic system, Capitalism, must serve those values. Does it? Currently, no.
A common understanding of capitalism is that it will do exactly that if the “invisible hand” of the market is operating effectively. Given the assumption that people are created equal, in an effective market-based system, we should expect a natural distribution of wealth. Such as this:
How Are We doing?
Compare that ideal to reality. Here’s our current distribution of wealth: