Wednesday, August 04, 2010

Secular Capitalism (2)

Inequality of income becomes a festering sore the weaken society. Secular societies have come up with two solutions to inequality.

  1. The most popular solution to inequality is progressive taxation. This solution is immoral. There is not moral basis for confiscating the wealth of the rich and giving it to the poor. The other problem with this solution is that progressive taxation destroys many of the incentives that have made free-market capitalism so productive.

  2. The other popular solution is revolution: shoot the rich and let the poor grab what they can. This solution is immoral and destructive. Revolution destroys the productive capacity of a society, so it generally makes everyone worse off.

Secular solutions to inequality have failed. The Bible provides two solutions.

In Old Testament times, the main form of capital was land. The Jubilee laws ensured that land remained reasonably evenly distributed across the entire population. If a family became poor and sold their land to settle debts, the purchaser of the land was required to return it to the original owner in the jubilee year. This mean that the distribution of income generated wealth was distributed evenly again at the beginning of each new generation.

1 comment:

lovemercytruth said...

yes! God has such good answers.