The simple math of the Yard-Sale Model shows that if everybody started out with equal money in a fair economy, the outcome tends toward one person holding all of the money. The cool graphical simulations on this page demonstrate why.

you are viewing a single comment's thread
view the rest of the comments
[–] 17 points 8 months ago (1 child)

Capitalism is working exactly as intended, which is the reason why it needs to be totally dismantled.

Note: I said capitalism, and not the free market. The two are not the same thing. You could have a completely free market under socialism and even communism, as those are economic systems that ensure workers actually earn the value they produce. Neither system says anything about command economies - that’s an Authoritarian shtick.

  • source
  • hideshow 1 child comment
  • [–] 7 points 8 months ago

    The title of the post is a little misleading. The model presented here does not require many parts of a capitalist system. If you can own stuff and have a free market this model predicts extreme wealth inequality. This happens by pure chance.

    The model is not a good argument against capitalism. It can be used as an argument for taxing rich folks and against the "trickle down" idea.

  • source
  • parent