Shaun R. Connell

Wealth and Poverty

Perhaps the most fundamental misunderstanding of economics is how wealth is viewed. Wealth is seen as natural. It is thought that wealth should be given — redistributed among people. Wealth is seen as something that already exists, rather than what is really true — the exact opposite. Wealth is not natural.

Take a man and place him in the wild, and you will see that He has no fire — until he sparks the flame. He has no shelter — until he builds it. He has nothing. Nature gives him nothing — he is naturally poor. Wealth, then, is unnatural. It must be created — not just redistributed. This fact seems forgotten or utterly missed, even by populist economists who support heavily restrictive economic policies rather than capitalism.

So how do we win the war on poverty? There is but one way. Creation. As explained in the chapter “Creating Wealth”, man is poor by nature. He comes into the world without clothes, without shelter, without food, without drink. These things must be taken from nature.

There is no way to stop the absence of shelter but in the building of shelter. There is no way to the war on hunger but through the creation and consumption of food. There is no way to win the war on thirst but in the “production” (through searching for water, creating a water infrastructure, etc) of drink. In the same manner, the only way to win the war on poverty but through the creation of wealth. Man must make money to stop being poor. Creation destroys poverty.

Unfortunately, this concept is utterly missed by most politicians and the general public. They see wealth as something to be “redistributed”, as though it is natural, and as though it does not need to be created — just spread. It is this folly that keeps the economies of so many nations in a deplorable state.

The United States is targeted and ridiculed for being a greedy country. It is argued that the United States is evil because of our lust for material wealth. We are looked down upon by the rest of the world for having wealth, and reveling in it. American comfort encourages the hatred of America. There are, of course, other significant factors in the world’s attitude regarding the United States, but that this exists is undeniable.

But is it not interesting that the people who are the best off, in all the world, are Americans? It logically follows, because Americans are “greedy”, with “greedy” simply meaning they do not usually see themselves as sacrificial animals, and wish to profit themselves and their family. They wish to achieve material success and do it. (Not to mention other success are also achieved, depending on the person, of course — material success does not mean spiritual success, for example, is not also possible, of course.)

If you wish to see a society who’s poor know the luxury and have no cap on their possible achievement, then look no further than America. America is the land where poverty is low because her economic system is free. Her citizens and poor receive a standard of living much higher than most of the world, with no cap on their potential living standards.

If America is an example of greed at work, then greed is good — not evil. It is this greed that caused the creation of wealth which caused low poverty rates.

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