More Redistribution Needed

Or that’s what this article seems to suggest.

Redistribution

And this in a country that has already been redistributing the wealth for decades and decades or longer.

When it comes to the superrich, however, there are relatively reliable estimates in the form of lists of the world’s wealthiest people, with the one compiled by the US business magazine Forbes leading the way. A similar list is compiled in Germany by manager magazin. A team of tax experts led by Stefan Bach of the German Institute for Economic Research (DIW) has examined the wealth statistics compiled by the ECB and augmented them with lists identifying the ultrarich. And the team did so for three countries: Germany, France and Spain.

The result: The 45 richest households in Germany own as much wealth as the bottom half of the population. Each group possessed a total of 214 billion euros in assets in 2014.

Bad superrich! Bad!

Why would more redistribution be necessary in a country like Germany? Maybe because it doesn’t work. It can’t work, in fact. It is not, nor has it ever been, a zero sum game, this wealth business. Here or anywhere else. But it’s a great way for redistributing politicians to get elected. Again and again and again. To no avail.

“Most economic fallacies derive from the neglect of this simple insight, from the tendency to assume that there is a fixed pie, that one party can gain only at the expense of another.”

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