Why are the rich entitled to be rich?

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mickthinks
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Re: Why are the rich entitled to be rich?

Post by mickthinks »

Melchior wrote:Of course [a universal right to own private property is morally justified]. Try living under a collectivist system and see how you like it.
That argument seems to be premised on the notion that morality is a matter of nothing more than what a person likes or doesn't like. I think that would demonstrate a complete failure to grasp the concepts of ethics and morality.

I would derive the same conclusion as you do simple by observing that rights are morally justified by definition. In other words, the question of moral justification has already been begged by the label "universal right", so that those who want to deny the universal right to private property need to challenge the basis on which that right is asserted by its proponents. Of course, ever since Jeremy Bentham dubbed all discourse on natural rights as "nonsense on stilts", the burden of proof is generally seen to lie with those who wish to employ the concept of natural rights.

Which leads me to ask you whether "the universal right to own property" means that everyone in the world has that legal right; ie. everyone lives under legal systems which defines ownership and property and provides protection against attacks on them. If not, what work do you think the word "universal" is doing in that designation?
thedoc
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Re: Why are the rich entitled to be rich?

Post by thedoc »

Melchior wrote:
tbieter wrote:Is a universal right to own private property morally justified?
Of course it is. Try living under a collectivist system and see how you like it. Pol Pot, Mao, Stalin, etc....

Just because a "collectivist system" is not as good or even wrong, does not make "private property" right or justified. I'm sure that is some kind of logical fallacy, but I don't remember which one. Claiming that one choice is bad, does not indicate that another choice is good.
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henry quirk
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Post by henry quirk »

If you want it and can get it; if you have it and can keep it: it's yours.

If you can't get it or keep it (or recover it by way of your own efforts [or the efforts of your proxies]): then it ain't yours.

There is no 'right' (absolute or conditional) to any thing (including your life).
tbieter
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Re: Why are the rich entitled to be rich?

Post by tbieter »

mickthinks wrote:
Melchior wrote:Of course [a universal right to own private property is morally justified]. Try living under a collectivist system and see how you like it.
That argument seems to be premised on the notion that morality is a matter of nothing more than what a person likes or doesn't like. I think that would demonstrate a complete failure to grasp the concepts of ethics and morality.

I would derive the same conclusion as you do simple by observing that rights are morally justified by definition. In other words, the question of moral justification has already been begged by the label "universal right", so that those who want to deny the universal right to private property need to challenge the basis on which that right is asserted by its proponents. Of course, ever since Jeremy Bentham dubbed all discourse on natural rights as "nonsense on stilts", the burden of proof is generally seen to lie with those who wish to employ the concept of natural rights.

Which leads me to ask you whether "the universal right to own property" means that everyone in the world has that legal right; ie. everyone lives under legal systems which defines ownership and property and provides protection against attacks on them. If not, what work do you think the word "universal" is doing in that designation?
According to Bentham, no person has a right to private property (moral and legal) unless the government grants such a right by law. (a legal right) I suspect that this is mick's position.

"b. Rights

Bentham's views on rights are, perhaps, best known through the attacks on the concept of "natural rights" that appear throughout his work. These criticisms are especially developed in his Anarchical Fallacies (a polemical attack on the declarations of rights issued in France during the French Revolution), written between 1791 and 1795 but not published until 1816, in French. Bentham's criticisms here are rooted in his understanding of the nature of law. Rights are created by the law, and law is simply a command of the sovereign. The existence of law and rights, therefore, requires government. Rights are also usually (though not necessarily) correlative with duties determined by the law and, as in Hobbes, are either those which the law explicitly gives us or those within a legal system where the law is silent. The view that there could be rights not based on sovereign command and which pre-exist the establishment of government is rejected.

According to Bentham, then, the term "natural right" is a "perversion of language." It is "ambiguous," "sentimental" and "figurative" and it has anarchical consequences. At best, such a "right" may tell us what we ought to do; it cannot serve as a legal restriction on what we can or cannot do. The term "natural right" is ambiguous, Bentham says, because it suggests that there are general rights—that is, rights over no specific object—so that one would have a claim on whatever one chooses. The effect of exercising such a universal, natural "right" would be to extinguish the right altogether, since "what is every man's right is no man's right." No legal system could function with such a broad conception of rights. Thus, there cannot be any general rights in the sense suggested by the French declarations.

Moreover, the notion of natural rights is figurative. Properly speaking, there are no rights anterior to government. The assumption of the existence of such rights, Bentham says, seems to be derived from the theory of the social contract. Here, individuals form a society and choose a government through the alienation of certain of their rights. But such a doctrine is not only unhistorical, according to Bentham, it does not even serve as a useful fiction to explain the origin of political authority. Governments arise by habit or by force, and for contracts (and, specifically, some original contract) to bind, there must already be a government in place to enforce them.

Finally, the idea of a natural right is "anarchical." Such a right, Bentham claims, entails a freedom from all restraint and, in particular, from all legal restraint. Since a natural right would be anterior to law, it could not be limited by law, and (since human beings are motivated by self-interest) if everyone had such freedom, the result would be pure anarchy. To have a right in any meaningful sense entails that others cannot legitimately interfere with one's rights, and this implies that rights must be capable of enforcement. Such restriction, as noted earlier, is the province of the law.

Bentham concludes, therefore, that the term "natural rights" is "simple nonsense: natural and imprescriptible rights, rhetorical nonsense,—nonsense upon stilts." Rights—what Bentham calls "real" rights—are fundamentally legal rights. All rights must be legal and specific (that is, having both a specific object and subject). They ought to be made because of their conduciveness to "the general mass of felicity," and correlatively, when their abolition would be to the advantage of society, rights ought to be abolished. So far as rights exist in law, they are protected; outside of law, they are at best "reasons for wishing there were such things as rights." While Bentham's essays against natural rights are largely polemical, many of his objections continue to be influential in contemporary political philosophy.

Nevertheless, Bentham did not dismiss talk of rights altogether. There are some services that are essential to the happiness of human beings and that cannot be left to others to fulfill as they see fit, and so these individuals must be compelled, on pain of punishment, to fulfill them. They must, in other words, respect the rights of others. Thus, although Bentham was generally suspicious of the concept of rights, he does allow that the term is useful, and in such work as A General View of a Complete Code of Laws, he enumerates a large number of rights. While the meaning he assigns to these rights is largely stipulative rather than descriptive, they clearly reflect principles defended throughout his work.

There has been some debate over the extent to which the rights that Bentham defends are based on or reducible to duties or obligations, whether he can consistently maintain that such duties or obligations are based on the principle of utility, and whether the existence of what Bentham calls "permissive rights"—rights one has where the law is silent—is consistent with his general utilitarian view. This latter point has been discussed at length by H.L.A. Hart (1973) and David Lyons (1969).
http://www.iep.utm.edu/bentham/
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WanderingLands
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Re: Why are the rich entitled to be rich?

Post by WanderingLands »

thedoc wrote:
Melchior wrote:
tbieter wrote:Is a universal right to own private property morally justified?
Of course it is. Try living under a collectivist system and see how you like it. Pol Pot, Mao, Stalin, etc....

Just because a "collectivist system" is not as good or even wrong, does not make "private property" right or justified. I'm sure that is some kind of logical fallacy, but I don't remember which one. Claiming that one choice is bad, does not indicate that another choice is good.
Polarized thinking is the answer.
Melchior
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Re: Why are the rich entitled to be rich?

Post by Melchior »

Philosophy Explorer wrote:Can someone give an economic explanation to justify this?

PhilX

Why should you even ask this?
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Re: Why are the rich entitled to be rich?

Post by Philosophy Explorer »

Melchior wrote:
Philosophy Explorer wrote:Can someone give an economic explanation to justify this?

PhilX

Why should you even ask this?
Over the years I keep hearing from the news that the gap keeps growing between the rich and the poor (and that the middle class has shrunk or disappeared).

I don't buy that myself except to say that I believe that the rich keep on getting richer. So I'm looking for economic justification for people being rich that would benefit the entire country. Because the impression is that rich people are stealing from the rest, i.e. the poor people (entitlements tie into this).

PhilX
Melchior
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Re: Why are the rich entitled to be rich?

Post by Melchior »

thedoc wrote:
Melchior wrote:
tbieter wrote:Is a universal right to own private property morally justified?
Of course it is. Try living under a collectivist system and see how you like it. Pol Pot, Mao, Stalin, etc....

Just because a "collectivist system" is not as good or even wrong, does not make "private property" right or justified.
Of course it does. There are mutually exclusive, dumbass!
Melchior
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Re: Why are the rich entitled to be rich?

Post by Melchior »

Philosophy Explorer wrote:
Melchior wrote:
Philosophy Explorer wrote:Can someone give an economic explanation to justify this?

PhilX

Why should you even ask this?
Over the years I keep hearing from the news that the gap keeps growing between the rich and the poor (and that the middle class has shrunk or disappeared).

I don't buy that myself except to say that I believe that the rich keep on getting richer. So I'm looking for economic justification for people being rich that would benefit the entire country. Because the impression is that rich people are stealing from the rest, i.e. the poor people (entitlements tie into this).

PhilX

Why does there have to be any justification at all? How much money I make or have is none of your damned business.
thedoc
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Re: Why are the rich entitled to be rich?

Post by thedoc »

Melchior wrote:
thedoc wrote:
Melchior wrote: Of course it is. Try living under a collectivist system and see how you like it. Pol Pot, Mao, Stalin, etc....

Just because a "collectivist system" is not as good or even wrong, does not make "private property" right or justified.
Of course it does. There are mutually exclusive, dumbass!

And they could both be just as wrong as you are.
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Lawrence Crocker
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Re: Why are the rich entitled to be rich?

Post by Lawrence Crocker »

Two influential, but very different, theories of entitlement of the rich are set out by Robert Nozick and John Rawls. Nozick’s Anarchy, State, and Utopia is the most philosophically sophisticated exposition of “free market” libertarianism. If the history works out correctly (justice in acquisition, justice in transfer), there is no limit on just economic inequality for Nozick. Concentrated wealth can justly be passed on from generation to generation. It might be entirely just for there to be two classes, one with a vast range of choices of wonderful ways of living their lives and the other able to maintain life only through nearly constant drudgery. (Whether or not this is a probable consequence of Nozickean capitalism, it need not be an unjust one, and if it were just, any interference with it would be unjust.) If you are confident that Nozick must be wrong, you should still read his book. His arguments have force.

Rawls, in A Theory of Justice and in Justice as Fairness argues, to oversimplify, that the rich are entitled to their riches if their having them makes everyone better off. (Justice as Fairness is much easier to read on your own, and presents a matured version of Rawls’s theory.) As an incentive to produce is the chief way that the possibility of wealth trickles down to be an advantage to the least well off, the Rawls theory will not support rewards to the wealthy that do not create sufficient incentives. Rawls was also concerned that great concentrations of wealth, especially if inherited, would corrupt politics. (Nozick assumes this problem away, or at least minimizes it, in that the state will be so small that its corruption would be hardly worth the effort.)

Views to the left of Rawls, and far to the left of Nozick, take there to be some reasons sounding in justice to prefer a more equal to a less equal distribution of wealth, even at some cost to the least well off. Equality is not the only value in the justice family, but it is a member of that family.
Invocation of “private property” will not solve all problems of distributive justice. The concept has historically had many variations. A staple of the first year law school course in property is that property consists in a variable bundle of rights and obligations. Currently, right wing libertarians tend to defend as an inherent right of private property the externalization to the rest of us of such costs as pollution induced asthma and global warming. A more defensible theory of justice in property would surely call for some adjustments, and equality concerns might , I think, enter into that adjustment.
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Hobbes' Choice
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Re: Why are the rich entitled to be rich?

Post by Hobbes' Choice »

Philosophy Explorer wrote:Can someone give an economic explanation to justify this?

PhilX
The rich are rich because they have much more money than the person calling them rich.
The real question is more complicated

Obscene wealth has been enabled by the storage and abstraction of value by means we know as virtual money. 5000 years ago things were genuinely different. Values were more vested in the social, and inalienable.
Moments of high food wealth had to be met with distribution and returned with obligations.
There are instances of massive and ritual destruction of wealth. Objects of desire had social capital, exchange value which was far from linear.
Wyman
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Re: Why are the rich entitled to be rich?

Post by Wyman »

A more defensible theory of justice in property would surely call for some adjustments, and equality concerns might , I think, enter into that adjustment.
The adjustments consist of government regulation and tort law, among other things, I suppose. Equality doesn't necessarily enter into it very much. A factory that pollutes the air is subject to the Clean Air Act, for instance. If the pollution is so bad that a neighbor can't sell his house, he can sue.

Equality seems to have more to do with redistribution of wealth than allocation of the costs of ownership and productivity. Of course, there are cases where the distinction may be blurred. I would lean more towards the pragmatic approach - more equality is called for if it benefits a whole society; but equality is not good 'in itself.'
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Lawrence Crocker
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Re: Why are the rich entitled to be rich?

Post by Lawrence Crocker »

I would lean more towards the pragmatic approach - more equality is called for if it benefits a whole society; but equality is not good 'in itself
Equality is a value in itself if it is at least a tie breaker. Suppose we are going to have a distribution in which A has 9 units of wealth and B has 1, or a distribution in which A and B both have 5. If we prefer the latter, other things equal, then equality has some independent value -- as a kind of fairness.

For Rawls, equality is more than a tie breaker; it is the baseline. Any departure from equality has to be justified. It doesn’t have to make everyone better off, but it must make the least advantaged better off. (It, of course, will also some of the more advantaged even better off because, by hypothesis, it increases inequality.) Rawls argued that anything more egalitarian than this "difference principle" is irrational, because only envy could motivate a more equal distribution that actually hurts the worst off.

Those of us to the left of Rawls on this point thought he was missing something to which more communitarian political philosophies are sensitive. As anyone knows who has been part of a close knit sports team, work team, club, or New England town, there are values that arise out of the ties of the individuals to each other in such groups.

Imagine a society of a thousand people in which everyone has 100 units of wealth. There is only one new state possible. In it one person will have 1000 units of wealth and everyone else will have 101 units. In utilitarian terms, this is clearly desirable as total wealth increases from 100,000 to 101,099. Rawls would also endorse it, as each of the worst off is 1% better off.

It seems to me conceivable, however, that the division of the society into two classes, the lucky one, and everyone else, might well not be worth it. This would not simply be because of envy or other negative emotions of the many, or because of some sense of something like guilty for the lucky one, but because of the breakdown of the “we are in the same boat” symmetrical relations among the people.

Of, course, we would need to know much more about the hypothetical society and its level of well being before we could actually decide between the two alternatives. My point here is only that there is something important about human communities and fairness within them that should tug towards the more egalitarian solution.
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Re: Why are the rich entitled to be rich?

Post by Wyman »

the division of the society into two classes, the lucky one, and everyone else, might well not be worth it. This would not simply be because of envy or other negative emotions of the many, or because of some sense of something like guilty for the lucky one, but because of the breakdown of the “we are in the same boat” symmetrical relations among the people.
But isn't all that part of the 'pragmatic' justification for equality?

As to the argument that equality must be a baseline or tie breaker. In the 'original position' where we are all contemplating how things ought to be distributed (but skill sets are unknown), most would agree that an equal distribution is called for. But that really says nothing. Since the merits of each individual (skill sets) are undetermined, the reason that equal shares makes sense is entirely selfish - one doesn't want to be caught as the 'odd man out' and risk receiving a small portion of wealth to start out with.

What really counts at the beginning is not so much how the wealth is distributed, but what rules we set up to determine future transfers of that wealth. If we set up rules which favor the most rational or efficient members (or any type of meritocracy) so that overall wealth is maximized, we immediately favor something other than equality as the factor upon which to base distribution of wealth. If we also set up 'safety nets' so that the more able do not pillage the weak, it is only out of selfishness again - since at the beginning we do not know whether we will be among those pillaged.

In the balance between efficient use of wealth versus protection of the less able, the latter is based on moral grounds - i.e. we believe that no one should be (overly?))sacrificed for the greater good. I don't think this belief comes from a need for (or love for, or the necessity of) 'equality,' but from 1) the fear of us or our loved ones becoming one of the have-nots and 2) charitable and humanitarian feelings.
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