Create an Account
username: password:
 
  MemeStreams Logo

Wealth spawns corruption

search

Moon Pie
My Blog
My Profile
My Audience
My Sources
Send Me a Message

sponsored links

Moon Pie's topics
Arts
Business
Games
Health and Wellness
Home and Garden
Miscellaneous
Current Events
Recreation
Local Information
Science
Society
Sports
Technology

support us

Get MemeStreams Stuff!


 
Wealth spawns corruption
Topic: Society 11:53 am EST, Jan 22, 2003

Interesting little piece on wealth distribution:

Specifically, the number of people with some value of wealth w is proportional to 1/wE. Pareto claimed that E is generally has a value of between 2 and 3. The bigger this value, the greater the extent to which extreme wealth is suppressed - and the more socialist the economy.

Burda's group define liberal economies as those in which E is less than 2, and social economies as those in which E is greater than 2.

.....

It looks to me like a larger E means much more difference between high and low incomes (Third world model) and a smaller E introduces a larger middle class. So a larger E does not limit high wealth, it simply limits the number who have a high wealth, while increasing the number with very little and squeezing the middle class, which is the 'regressive', not-socialist situation.
I beg for validation, even by way of refutation.

Wealth spawns corruption



 
 
Powered By Industrial Memetics
RSS2.0