Utopianstates Blog

Why is America’s 1/x wealth distribution bad & unnatural?

Why is any nation’s 1/x wealth distribution bad?  You really ought to study this.

Why does the slope of the curve suggest that wealth accumulation gets easier the more wealthy you are?

There are many reasons.  One obvious reason is that if a person doesn’t have any money to invest, he can’t make unearned income.  He can’t invest in stock or bonds.  He can’t put money in the bank.  If a person is putting children through college, or saving for their educations, he can’t invest or he has only a tiny portion  of his wealth available for investment.

OK, assume that a person has accumulated wealth, what then?  The economic cycles wipe it out.  He has to go back to square one and start again.  The wealthy, however, are diversified and wealthy enough to let the poor investment ride until it has recovered.  The very wealthy have all of their money available to invest and don’t rely on their investments for their future lifestyle.  99% of a very wealthy person aren’t even used to enhance their life style.  A wealthy person can lose a few billion and not be devastated.  Chances are, his other investments are beginning to look promising even as some lose their value.

However, it’s even worse than this.  There are deeper, darker reasons why it becomes increasingly easy to accumulate wealth as you get richer.  What do you think they are?  Leave a comment and I will answer.

Your turn.  Don’t be glib.  Politicians don’t talk about any of this stuff.  Neither do your brainwashers I mean teachers.

The graph above represents the distribution of wealth according to the mathematical formula 1/x shown below.  The area below the 1/x curve, as shown below, represents the sum of all the wealth out to the indicated percentage.  For example: The calculation is that 20 percent of the population has 78 percent of the wealth.  This fluxuates, but is almost exactly the ratio that income various wealth studies show.

The graph above is a sumation of wealth from the start of the 1/x graph shown below to the percentage shown.  This graph shows that the top ten percent own 70 percent of the wealth.  The top five percent of the population owns 60 percent of the wealth.  The  top two percent owns 50 percent of the wealth.  The top one percent owns 39 percent of the wealth.  The top one-half percent owns 30.5 percent of the wealth.  The graph is sufficiently close to actual data as to be as accurate a working model as any for the distribution of wealth in Czarist America.

The mark of a dystopian society is the same.  People at the top care  next to nothing about the people at the bottom. What they do care is that the people at the bottom don’t cause them trouble; the people at the bottom are compensated, brainwashed and imprisoned as necessary to keep them controlled and an asset to their wealth rather than a liability.

The mark of a dystopian society would be a 1/x distribution of wealth where the class system is a continuous scale from the wealthy to the poor.  The plot of this wealth distribution would look be the following curve where the top one percent would have 30 percent of the wealth, the next twenty percent would have 50 percent of the wealth and the bottom 80 percent of the population would have 20 percent of the wealth.  If that sounds like America, you are right. 

If you know that the above graph represents the wealth distribution in America today, give yourself 100 points!

Actually, the poor are even more poor than the graph indicates.  The graph of wealth versus the population is even more draconian than 1/x.

The people reading this site are intelligent and think as the Patriots did.  They know government is horrible and need to discuss solutions, not bitch.

The readers know that voting is a sham because, in every campaign, all the important issues are ignored and dysfunctional solutions are given for the few never solved issues that are discussed in perpetuity – year after year.

The readers know that voting is a sham when the bulk of a campaign is name calling, misinformation, and unsubstantiated opinion.

The readers know that the only candidate worthy of a vote should present facts, figures, graphs, charts, reports and even experts.  Yes, the candidates should present economic experts and their reports.

World governments are a disaster.   The only government worthy of a passing grade is the government of Peru whose constitution mandates that: “The protection of the individual and respect for his dignity are the supreme goal of society and the government.”  The dozens of protected individual rights are enumerated in the following chapters of their constitution.

We need the lower 80% of the population – those whose families have assets of 2 million or less – to threaten a revolution if they are to be held accountable for government debt.

Stand up and  be Patriots.  Throw the candidates in Boston harbor – or any harbor – unless there is taxation with sentient representation.

Billionaires have the ability to start a utopian civilization and they don’t even know it.  Not only do they not build the world a utopian civilization, they can’t even do it for themselves and their families.   Instead of building large utopian societies for everybody, they build little dystopian societies in the middle of a large dystopian society.  They are as disrespected as the Czars of Russia and don’t even know it.

• People don’t need grand houses to be happy.
• People don’t need a country with grand armies to be happy.
• People don’t need to have a huge bank account to be happy.
• People don’t need to achieve something that a million other people cannot in order to feel successful.
• People don’t even need success to be happy.

Billionaires need to study the story of Peter Pan.

There are several models for happiness other than the ones we’ve seen.

I’m not going to provide the blueprint for free, because I want to be involved.  It is necessary that I’m involved.  Billionaires have seen life from the top down.  I have seen life from the bottom up.  I have traversed the bottom 80 percent.  My life has been spent living in the bottom eighty percent.  I know how to  be happy with little wealth.  I also know that wealth is good and the upward trend is good.  I also know that in this dystopia, some wealth is essential.

Soldiers are happy living in barracks.  Students are happy living in dormitories.  People are happy building things.

A Utopian civilization is kind of like gunpowder.  You mix the right ingredients together and granulate the mixture just right, provide a spark, contain the energy and you will get an explosion.  Utopia will explode into something wonderful almost overnight.  A billionaire has sufficient resources for ten powerful utopian city-states with thriving populations of ten thousand each.

Be a hero, or be a dufus (doofus).  The choice is yours.

Start a competition between billionaires to see who can build the best Utopian city-state.

Plausibly only people that can produce a surplus can be taxed.  Governments can’t exist without taxation of some type.  Therefore it is reasonable to believe that governments formed because/when people became sufficiently valuable to be taxed.

Video: Why people allow themselves to be slaves.