My father used to a tell a story, I’m sure not original to him, about perspectives on wealth. “A man was sitting with his little boy on the front stoop of their grimy row house. A rich man drove by in a shiny new car. ‘See that guy?” the father said. ‘Someday we’re going to get that guy.’ The car drove by another father and son a few doors down. This father turned to his son and said, ‘See that guy? Someday we’re going to drive a nice car.’ “
I reflect on this as I hear a growing drumbeat against successful people who have (legally) acquired wealth and income. “Mr. X paid zero in taxes!” “We should take more from these millionaires and billionaires and give it to people who deserve it.” “No one needs that much money when we have poor people around us.” “They got that money because of their privilege, not because they worked hard!” “We’ll be better off as a society if people are more equal.”
A few thoughts to consider:
We can leave the judging up to God. Wealthy individuals will be judged just as you and I will be about how we use our abilities and assets, all of which God enabled us to have. Let the words of Jesus ring in your heart on this: “From everyone who has been given much, much will be demanded; and from the one who has been entrusted with much, much more will be asked.” (Luke 12:48)
Envy and greed and theft and perverse pride are inconsistent with godly relationships.
Inequality is baked into the physical universe. There are remarkably few observable situations where something is perfectly evenly distributed. Even the water level in a cup only appears to us to be level; from another perspective it’s subtly tilted because of the earth’s spin as it orbits the sun. Every political effort in the 19th and 20th centuries using government power to create “equal outcomes” was a disaster. It’s true that 400 million people are no longer in poverty in China — but it was economic liberty and trade that helped them, not Communist party dictums.
Marxists are fond of citing the parable of the workers in the vineyard who were each paid the same even though they worked different lengths of the day (see Matthew 20:1-13), and how the early disciples in Jerusalem after Pentecost shared what they had with one another (see Acts 2:42-47). They say things like “See, the Bible recommends this!” I remind them to take these passages in context. The parable is about the phenomenal generosity of God’s grace to everyone, no matter their ‘works.’ There are abundant passages about caring for the poor and the needy throughout the Bible, and giving generously is always praiseworthy. There is no evidence in the rest of the New Testament that what happened in Acts 2 was the prescribed economic or social model for everyone.
Marxists do not like the parables Jesus told about distributing talents — giving 10 to one, 5 to another, and 1 to another. Why didn’t he tell a parable about giving each the same amount? Unsettling. Marxists also want to skip over Jesus’ statement that we would always have poor people (see Matthew 26:11). We should remember that poor is a relative measure. Before 1700 more than 90% of the population was “poor.” The lowest income strata in the US today have a standard of living far above 1.5B others in the world, and access to better medical and technology capabilities than any king or emperor before 1950. “Life today is safer, healthier, happier, richer, taller, fitter, longer-lived, less war-torn, less disease-ravaged, and less hunger-filled than at any time in human history. And it’s only going to get better.” (Mark Horstman)
Where does wealth come from? Economics is fundamentally alchemy — creating value from ‘nothing.’ We use our knowledge, imagination, and inspiration to create something new that others value. I work in the agriculture industry: DNA, water, minerals, and sunlight are converted into corn. We build on the assets and systems God has supplied to create additional value.
We get more of what we celebrate. Shouldn’t we recognize the value of business models which provide livelihoods for many thousands of people? Shouldn’t we celebrate innovators like Elon Musk rather than criticizing his wealth? I can admire the passion and energy of Bernie Sanders, but 100 Elon Musks will advance us (technically and economically) far more than 100 Bernie Sanders focused on redistributing the assets of others. We have laws to punish people who illegally acquire wealth.
Let’s distinguish charity and forced distribution. In one case I reach into my wallet and give to others. In the other, a government reaches into my wallet and takes money for others. I am not opposed to taxes, and grateful to live in a country where I have a say in the politicians representing me in decisions about taxation. It’s telling that very wealthy people who say “I should be taxed more” still only pay what they are legally obligated to pay, and usually fund private foundations with their billions rather than giving to their national government or the UN. They know which will have greater leverage.
If inequality is a fact of the real world, what should we do? Every individual is precious, made in the image of God. The Declaration of Independence begins with the statement that all men are created equal. Alexis de Tocqueville wrote in his brilliant book “Democracy in America” (1835) that this idea of equality coupled with individualism — a word he invented — were the two great forces driving American growth. He pointed out that the idea of equality goes back to St. Paul: “In Christ there is neither male nor female, Jew nor Greek, slave nor free. All are equal.” You can scour ancient literature and will not find anything remotely like this.
Burn this into your mind: equality is a spiritual value.
Every non-spiritual means of addressing inequality will ultimately fail. No government policy will ever ‘solve’ poverty by overturning 80/20 reality. And no amount of legislation will ever ‘solve’ the problems of people who are greedy, self-centered, and wicked. Charity and the desire to do good must come from the heart, not out of fear or compulsion. Giving is also good for our hearts.
I’m with Friedrich Hayek: “There is all the difference in the world between treating people equally and attempting to make them equal. While the first is the condition of a free society, the second means as De Tocqueville describes it, a new form of servitude.”
Think of it this way: Charity and innovation don’t change 80/20 reality, but they push the whole curve upward.
Another insight from my dad: “There is always enough to help the bottom 10%.” During an interval of stress there is enough for the neediest 30%. There is never enough for the bottom 50%, and not even enough for the bottom third if events stretch out and become chronic. The math doesn’t work unless there is substantial outside help.
The insidious downside of trying to care for the bottom half is that the truly neediest begin to lose out to those who are simply better positioned or better at playing “the game.”
I encourage you to consider targeting your giving to help the neediest 10%.
Rather than demonizing others, or believing that you’re a victim, use your imagination and effort to build value. Guard your heart from greed and self-centeredness, in part by giving generously and helping others.
(I’m indebted to about a dozen mentors and writers who have influenced me on these topics.)
