One of the reasons why Scandinavia doesn’t have the same Income Inequality that America does. Is that they are Socialist Democracies, with massive Welfare States. With a Democratic Socialist Economic System that essentially collects most of the. Revenue in the economy and passes what they feel their people need and deserve. To pay their bills and what their government doesn’t provide at Tax Payers expense. So its hard in a country like that to be very rich or poor. When the government is taking away most of what you make. And giving you back what they feel you need and deserve. So lest say you have excellent skills and got yourself a very good education. Started your own company, worked hard and became very successful. The government will take most of that away from you. Give you back what they feel you need and deserve. And spend the rest to take care of the people. That aren’t as productive, that’s the simple explanation but still true.
In America we are basically taught and raised that we need to work hard in school. To get ourselves the skills that we need to be as productive as we possibly can be. Because our parents and government won’t always be there to take care of us. We are taught to be Independent Self Reliant and that people who aren’t are looked down on. As lazy, drop-outs not willing to work hard. Expecting others to take care of them. And for the most part American Capitalism has worked very well for us. We have the largest economy in the World and been this way for about a hundred years. Despite the fact that we’ve fought in two World Wars, as well as a Cold War. And that their are two other countries in the World with five times as many people. Up until thirty years ago had Socialist Economies. A big reason why India and China have done much better the last twenty years, is because they now have Private Sectors.
Does America have a lot more Income Inequality than Scandinavia. Of course we do, we also have more than twelve times as many people. There isn’t another country in the World that has at least 100M people. Thats as developed as America. Japan would be the closest with 130M people but their Economic System is fairly similar as ares and a big reason for their Economic Boom in the 1970s and 80s. Does America do everything perfectly, of course not. I would like to see us have an Economic System that still encourages. Hard work, quality education, Self Reliance, meaning the Federal Government doesn’t collect most of our money. But where we can empower people who have been left behind. To get on their feet.
America doesn’t have Income Inequality because we have a Capitalist Economy. Or that we are a Liberal Democracy that rewards people who are very productive. And people aren’t very productive, doesn’t get much in return. We have Income Inequality, because we don’t do enough to help the people. Who have been left behind, get on their feet and become Self Sufficient. And that gets to better Public Education and Job Training. Which is the next step we have to take to reduce our Income Inequality.