Soaking the Rich Is Not Fair | Jeffrey A. Miron | Cato Institute: Commentary

Soaking the Rich Is Not Fair | Jeffrey A. Miron | Cato Institute: Commentary: 'Luck undoubtedly explains some income differences, but this is not the whole story. Many trust fund babies have squandered their wealth, and inborn skill or talent means little unless combined with hard work.

But even if all income differences reflect luck, why are government-imposed "corrections" fair?'

'This claim has an element of truth: some wealth results from illegal acts, and policies that punish such acts are appropriate.

But most inappropriate wealth accumulations results from bad government policies: those that restrict competition, enable crony capitalism, and hand large tax breaks to politically connected interest groups. These differences in wealth are a social ill, but the right response is removing the policies that promote them, not targeting everyone with high income.'