UN Calls For Tax on Wealthy to Help Poor - Still Wont Work - Granite Grok

UN Calls For Tax on Wealthy to Help Poor – Still Wont Work

The UN want’s more money.  They are after the global wealth tax again, a tax favored by Obama, and the social/environmental justice movements who benefit from it.  But we know that the money will never actually get to the poor, not enough of it.  Nor will it alleviate anything but the misery of some NGO functionary or UN lackey paid to make sure pennies on every dollar end up in the hands of third world dictators.  So perhaps the UN could suggest a policy that will actually help the poor?

Instead of taxing people why not encourage things that actually reduce poverty.  Property rights and rule of law.  People who know that their labor will produce things that will not be seized or stolen by capricious warlords or uncontested acts of theft or intimidation, are more likley to work to improve their lives; because they know that the work may actually…you know…improve their lives.

Property right and rule of law also encourage outside investors as well.  (The people the UN would tax.)

If a business, venture capitalist, or global industry feel certain that it can locate and employ locals without fear of random acts of corruption, theft, destruction, or seizure, thy will gladly expand their global presence into places where citizens who also feel secure in their property rights will engage in legal commerce.

This raises the standard of living by creating jobs and wealth, reducing poverty for anyone willing to work and improve their lot in life. Those wages (brought in not by a tax but by wealthy folks paying wages in exchange for labor) circulate into the local economy, encourage entrepreneurs and small businesses to sprout up to meet local needs in competition for that currency.

Private Investors will help with infrastructure, wells, roads, transport hubs, all needing workers to build and staff them to keep the commerce humming along.  It is what the free market does when property rights and rule of law are in place.  And the fewer corrupt bureaucrats to buy off the better for the poor.

The UN handing them a pittance they may not even get to keep will not do any of these things.  Nor will funding another NGO to manage the pittance.  We’ve been trying that for ages.  Those people are still poor.

 

>