Why Inequality Persists in a Capitalist Society

Is inequality an inevitable part of human nature, or is it a construct that we have allowed to persist in our societies? This article explores the underlying reasons why inequality remains a pervasive issue, despite consistent efforts to level the playing field. We will delve into the foundational principles of capitalism and how they contribute to inequality, and why equality is sometimes not achievable.

Understanding Inequality

Inequality exists not just in society but also in nature. Our world is marked by differences in talent, ambition, and abilities, which are often more visible than similarities. While the spirit of the age is centered around promoting equality, liberty, and brotherhood, attempts to force these ideals through governmental policies have often led to dire consequences. The French and Bolshevik Revolutions are prime examples of how such extremism can negatively impact society. The current spirit of the age should reject such forced equality and instead embrace the natural disparities that make us unique individuals.

Capitalism and Market Metrics

One of the key factors contributing to inequality is the economic system of capitalism. In this system, competition for demand and supply utilizes inequality as a principle metric. Price discrimination, a common practice in capitalism, involves charging different prices to different customers for the same product or service. This practice is an inherent feature of capitalism, driven by the principle of supply and demand. Companies use this mechanism to maximize their profits, thereby contributing to the overall inequality in the market.

The Disparity in Effort and Reward

Are people who work tirelessly and dedicately treated unfairly compared to those who put in less effort? It's a common misconception that simply because two individuals perform different amounts of work, their compensation should be the same. For instance, while some individuals may work 80 hours a week, others might only work 37.5 hours. The disparity in effort does not necessarily correlate with their compensation, as different roles and responsibilities are valued differently in the market. This variance in effort and reward is a necessary component of a capitalist economy and allows people to achieve their goals and better their lives.

The Meaninglessness of Abstract 'Inequality'

In a true sense, 'inequality' is more of a mental abstraction than a meaningful concept in real life. The idea of complete equality is often impractical and lead to inefficiencies. For example, forbidding height inequality would mean everyone having to grow to the same height, which would negatively impact individuals like short people, who have advantages in certain fields like flying fighter jets or crawling through small spaces. Similarly, intelligence and other abilities also naturally vary, and it is not reasonable to expect complete uniformity in these traits.

Individual Compensations and Market Flexibility

While inequality can limit opportunities for some, it also provides incentives for others to work hard and achieve their goals. For example, if certain individuals face limitations and disadvantages, they may work excessively to compensate and achieve their aspirations. In a capitalist system, such as in a scenario where a short, fat, unattractive male with health problems decides to work 80 hour weeks to build a successful career and attract a potential mate. Without the possibility of monetary compensation and career advancement, this person would be left without means to improve their situation.

In conclusion, inequality is a multifaceted issue that arises from the inherent nature of human diversity and the principles of capitalism. While attempts to promote equality are laudable, forcing uniformity can have detrimental effects. Recognizing and embracing the natural disparities is crucial for the functioning and growth of societies. As we navigate the complexities of inequality, it is essential to maintain a balance between social justice and market-driven progress.