Individualism vs Collectivism

It seems like more discussions these days are framed in terms of group identity based on race, gender, etc. For example, some colleges are banning or downplaying Shakespeare because he belonged to a disliked group: the white European male. Respect for individualism seems to be shrinking, while respect for collectivism seems to be growing. This …

Will Medicare For All save money?

Medicare For All has been a hot topic lately. Pseudo-socialists Bernie Sanders and Alexandria Ocasio-Cortez have said the US should implement it. On the other hand, you may have seen headlines saying Medicare For All will cost an eye-popping $32.6 trillion. This triggered the usual verbal volleys. One side says, “No way can we afford …

Has minimum wage kept up with inflation?

Some people worry that minimum wage in the US has not kept up with inflation. They usually say that minimum wage should be $10 to $15 per hour instead of the $7.25 it actually is. For example, the Economic Policy Institute dolefully says, “[m]inimum wage increases have been too infrequent to keep up with inflation, …

Insurers gaming Medicare?

Earlier this year, a Wall Street Journal article described how insurance companies appear to be gaming the Medicare system to get more money from the federal government. Insurers allegedly shuffle customers between Medicare plans in a way that increases the bonus payments they receive from Medicare. Background The Medicare bonus system in question was created by …

Another reason why focusing on inequality is flawed

I want to tie together two recent posts on the history of prosperity and economic inequality. The history of prosperity illustrates another reason why a focus on inequality is misguided. Historical norm was poverty For most of human history, almost everyone was poor by today’s standards. The graph below shows the percentage of world population living …