Tag Archives: Wealth

News

Are people who vote Democrat smarter than people who vote Republican?

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Video from Neil Simpson’s round-up.

The Pew Research Center, a liberal organization, actually did a study on this uninformed voter problem.

Excerpt:

So Republicans are more knowledgeable than Democrats, contrary to what many would like to believe.

According to whom?  None other than the Pew Research Center, a left-of-center organization.  Moreover, Pew’s latest survey only reaffirms previous surveys demonstrating the same result.

In fact, the results weren’t even close.

In a scientific survey of 1,168 adults conducted during September and October of last year, respondents were asked not only multiple-choice questions, but also queries using maps, photographs and symbols.  Among other subjects, participants identified international leaders, cabinet members, Supreme Court justices, nations on a world map, the current unemployment and poverty rates and war casualty totals.

In a 2010 Pew survey, Republicans outperformed Democrats on 10 of 12 questions, with one tie and Democrats outperforming Republicans on just 1 of the 12.  In the latest survey, however, Republicans outperformed Democrats on every single one of 19 questions.

[…]Those Pew results are confirmed by some surprising other sources.  According to a New York Times headline dated April 14, 2010, “Poll Finds Tea Party Backers Wealthier and More Educated.”  Shattering widespread myths, that survey revealed that Tea Party supporters were more likely to possess a college degree than their counterparts (23% to 15%), and also more likely to have completed post-graduate studies (14% to 10%).  Tea Partiers were also more likely to have completed “some college” by a 33% to 28% margin, and substantially less likely to have not completed high school than non-supporters (3% versus 12%), or to possess only a high school degree (26% versus 35%).

Previously, I posted about how Democrat voters understand very little about economics, whereas Republicans understand more.

Excerpt:

Who is better informed about the policy choices facing the country—liberals, conservatives or libertarians? According to a Zogby International survey that I write about in the May issue of Econ Journal Watch, the answer is unequivocal: The left flunks Econ 101.

Zogby researcher Zeljka Buturovic and I considered the 4,835 respondents’ (all American adults) answers to eight survey questions about basic economics.

The first question was “Restrictions on housing development make housing less affordable.” The unenlighted answer for that one is “disagree”, since restrictions on development reduce the supply of available housing. Demand stays the same and so there is a shortage, and prices rise. D’uh!

Here are the others:

The other questions were: 1) Mandatory licensing of professional services increases the prices of those services (unenlightened answer: disagree). 2) Overall, the standard of living is higher today than it was 30 years ago (unenlightened answer: disagree). 3) Rent control leads to housing shortages (unenlightened answer: disagree). 4) A company with the largest market share is a monopoly (unenlightened answer: agree). 5) Third World workers working for American companies overseas are being exploited (unenlightened answer: agree). 6) Free trade leads to unemployment (unenlightened answer: agree). 7) Minimum wage laws raise unemployment (unenlightened answer: disagree).

And the results:

How did the six ideological groups do overall? Here they are, best to worst, with an average number of incorrect responses from 0 to 8: Very conservative, 1.30; Libertarian, 1.38; Conservative, 1.67; Moderate, 3.67; Liberal, 4.69; Progressive/very liberal, 5.26.

It’s true, the majority of Democrat voters are people who don’t work at all, or they “work” for government, or they “work” in education, or they hold picket signs while on strike, or they are in prison, or they are chasing ambulances, or they are Hollywood celebrities. No economics knowledge is required for any of that. Republicans work in private industry, and many of us own small businesses. So we actually have to work to earn money, because we have competitors to watch out for and consumers to please. Many of us are married and many of us have to get along with our spouses and raise children. Republicans don’t need the government, we do fine making our own decisions, and making our own way without help from the government.

UPDATE: I think this ad says a lot about who votes Democrat:

Their great plan is to borrow money from our children in order to provide contraceptives to unmarried college students. Is that something to vote for? Remember the Life of Julia? Their vision is cradle-to-grave government dependency, with husbands and fathers made completely unnecessary.

News

What North Korea teaches Christians about the importance of politics and economics

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Christian apologist Frank Turek writes about it at Townhall.

Excerpt:

When I hear Christians saying we ought not get involved in politics but just “preach the Gospel,” I show them this satellite picture of the Korean peninsula. Here we see a homogenous population of mostly Koreans separated by a well-fortified border. South Korea is full of freedom, food and productivity—it’s one of the most Christianized countries in the world. North Korea is a concentration camp. They have no freedom, no food, and very little Christianity.

What’s the primary reason for the stark difference between these two countries? Politics. The South politically allows freedom, while the North does not.

Ironically, Christians who shun politics to supposedly advance the Gospel are actually allowing others to stop the Gospel. How so? Because politics and law affects one’s ability to preach the Gospel! If you think otherwise, visit some of the countries I have visited—Iran, Saudi Arabia and China. You cannot legally “preach the Gospel” in those countries—or practice other aspects of your religion freely—because politically they’ve ruled it out as they have in North Korea.

In fact, politics affects virtually every area of your life through the laws made by government. So if you care about your family, business, church, school, children, money, property, home, security, healthcare, safety, freedom, and your ability to “preach the Gospel,” then you should care about politics.

Politics affects everything, which is why leaders throughout the Bible—including Joseph, Moses, Daniel, Nehemiah, Mordecai, Esther, John the Baptist, and Paul— “went political” to influence civil governments to govern morally. Even Jesus himself got involved in politics when he publically chastised the Pharisees—the religious and political leaders of Israel—for neglecting “the more important matters of the law.”

[…]But what can Christians do? After all, we can’t legislate morality, can we? News flash: All laws legislate morality! Morality is about right and wrong and all laws declare one behavior right and the opposite behavior wrong. So the question is not whether we can legislate morality, but “Whose morality will we legislate?”

[…]When we fail to legislate morally, others impose immorality. For example, totalitarian political correctness is already imposed in states such as Massachusetts where the implications of same-sex marriage override the religious liberties of businesses, charities and even parents. As documented here and illustrated here, same sex marriage prevents you from running your business, educating your children, or practicing your religion in accord with your Conscience. And soon, as is the case in Canada, you may not be able to merely speak Biblically about homosexual behavior. That is because those who say they are fighting for “tolerance” are often the most intolerant.

Unless Christians begin to influence politics and the culture more significantly, we will continue to lose the very freedoms that enable us to live according to our beliefs and spread the Gospel all over the world. That’s why you should not vote for candidates because of their race or religion, but because they will govern morally on the more important matters of the law—life, marriage and religious freedom.

Dr. Turek says that some societies make it easier for us to carry out our responsibilities as Christians, such as evangelism. That’s true. But I want to make a different point from Dr. Turek related to the point that he made.

I get a lot of e-mails from people complaining that I spend too much time on fiscal issues, and especially on foreign policy. But I really think that Christians need to branch out and read widely about these issues, too. The more we know about everything, the better we will be able to connect what the Bible says to every area, and the smarter we will be at laying out plans for our lives and achieving the good goals we set for ourselves as part of our relationship with God.

It’s always better to know how things work. What good is it to say that you want to achieve some aim like helping the poor or making the world more peaceful unless you first study economics and foreign policy so that you will know how to achieve it? Many people try to achieve these goals by embracing policies that sound good, but they actually achieve the exact opposite ends that you set out to achieve.  If you want to drive a car to get somewhere, you must first learn how to drive a car. Why should faith be any different than anything else? Don’t take positions based on feelings or peer pressure, get informed and make a right judgment.

Podcasts

Economist Thomas Sowell explains why wealth redistribution doesn’t work

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Thomas Sowell, an economist for the people
Thomas Sowell, an economist for the people

A whole slew of people are linking to this article by famous economist Thomas Sowell.

Excerpt:

The history of the 20th century is full of examples of countries that set out to redistribute wealth and ended up redistributing poverty. The communist nations were a classic example, but by no means the only example.

In theory, confiscating the wealth of the more successful people ought to make the rest of the society more prosperous. But when the Soviet Union confiscated the wealth of successful farmers, food became scarce. As many people died of starvation under Stalin in the 1930s as died in Hitler’s Holocaust in the 1940s. [Professor Sowell is referring to the forced collectivization of the Ukraine.  If you want to inform yourself of the horrors thereof, I recommend  Robert Conquest, The Harvest of Sorrow: Soviet Collectivization and the Terror-Famine, Oxford UP, 1986.]

How can that be? It is not complicated. You can only confiscate the wealth that exists at a given moment. You cannot confiscate future wealth — and that future wealth is less likely to be produced when people see that it is going to be confiscated. Farmers in the Soviet Union cut back on how much time and effort they invested in growing their crops, when they realized that the government was going to take a big part of the harvest. They slaughtered and ate young farm animals that they would normally keep tending and feeding while raising them to maturity.

[…]Among the most valuable assets in any nation are the knowledge, skills, and productive experience that economists call “human capital.” When successful people with much human capital leave the country, either voluntarily or because of hostile governments or hostile mobs whipped up by demagogues exploiting envy, lasting damage can be done to the economy they leave behind.

Fidel Castro’s confiscatory policies drove successful Cubans to flee to Florida, often leaving much of their physical wealth behind. But poverty-stricken refugees rose to prosperity again in Florida, while the wealth they left behind in Cuba did not prevent the people there from being poverty-stricken under Castro. The lasting wealth the refugees took with them was their human capital.

Stuart Schneiderman had this to say about the piece:

If the productive members of society are no longer working for themselves and their progeny they are going to be less productive. They have less incentive to produce when more of what they produce, or more of the profit, is going to be taxed or confiscated.

Besides, when you confiscate wealth people will resist and will spend more of their time and energy trying to keep what they have earned. This time and energy could be used for more productive activities.

Since wealth exists in assets whose value is determined in a market, a regime that confiscates assets will force the wealthy to liquidate their assets, thus lowering the value of everyone’s assets and making it far more difficult to attract investment capital.

I was happy to receive the 4th edition of Thomas Sowell’s “Basic Economics” textbook from one of our readers in New York city. (Thanks Tom!) If you are a Christian who is interested in economics, I really recommend that you pick up “Intellectuals and Society“, which is a great introduction to his thought.

I once was courting a young homeschooled lady who was skeptical of university degrees. She read one Thomas Sowell book, then read 5 more – all within a 6 week period. She then went on to do a B.A. in economics. If you are a Christian looking to branch out into economics, Thomas Sowell is your man. You can’t read just one of his books. It’s absolutely impossible.