Does the functionality of the market even matter to our leading bureaucrats, or is it just another tool to lie about, and to blame for, when their programs of corruption do not reach the outcome they intended. Bernie Sanders made some interesting remarks during the democratic debate in regards to the growth of income inequality, and reasoned as to why monopolized theft (taxation) was necessary to dismantle the rapid growth of income inequality in the United States.
Well let’s take a minute and look at the reasons as to why income inequality has grown so rapidly in the past 40 years. We see a trend in the 1970s of the top wealth earners growth in regards of real wealth, rather the middle and lower class wages tend to stagnate. This occurs around the year 1976, as the top one percent start taking more and more. As for many members of society that lack an understanding in economic theory, it is very easy to fall into the Sanders slip as to why this is occurring, I.E. capitalism. Sanders makes a true assessment in regards to the cronyism that is coming out of Washington, and he definitely knows that special interest in Washington is a major key factor in the growth of income inequality. However, where does Sanders collapse? When he makes the statement that capitalism is the vessel for the rising trend of cronyism, and not statism.
In 1976 the United States officially changed its definition as to what the dollar was, I.E. no longer redeemable in gold. This meant that the central bank of the United States could now expand the dollar supply without any negative effects, besides of course the forced redemption to be paid by taxes and the robbery of the public wealth. When the central bank expands the money supply, without any specie backing, the public is now responsible for the debt that goes into the the monetary expansion, and they pay for through forms of income taxation as well as price inflation. Meaning, initially the expansion of a fiat currency depresses the standard of living for the public while increases the wealth of who that monetary expansion went to in the first place.
So, is it really any unjustifiable assumption to make when faced with why income inequality is becoming more rampant. It is not due to capitalism, rather just the opposite. It is due to governmental subsidies to the rich through monetary policies that are only possible by the theft of the majority public. So why, then, is Bernie Sanders blaming private property? His tax proposal is going to target hedge fund managers wealth, and force them to pay for public schooling for the majority of the United States. In a sense, all he is going to do is force the hedge funds to relocate their assets, increase state brainwashing facilities (public schools), increase the cost of living through heavily rampant taxation, increase outsourced business, etc etc. In a sense, Bernie Sanders will be levying socialist dependency reforms (nanny state policies) and subsidize the lower class into being duped by his policies, and dismantle the upper class while retaining the profit for the elite party leaders, i.e. Bernie Sanders.
Rather, in his quest to target the source of income inequality, the big banks he suggested that the banks were not too big to fail and that needs to stop. Indeed, no bank should be too big to fail, no bank should have absolute market power. Then why did Bernie dismantle the Audit The Fed bill? Is Bernie Sanders being authentic in his quest to dismantle mega banks, or is he just another demagogue that will destroy our rights, trample our liberties, and expand the very vessel that has been the cause of income inequality. The Federal Reserve system.