If it's worth saying, but not worth its own post, then it goes here.
Notes for future OT posters:
1. Please add the 'open_thread' tag.
2. Check if there is an active Open Thread before posting a new one. (Immediately before; refresh the list-of-threads page before posting.)
3. Open Threads should start on Monday, and end on Sunday.
4. Unflag the two options "Notify me of new top level comments on this article" and "
There's a free market idea that the market rewards those who provide value to society. I think I've found a simple counterexample.
Imagine a loaf of bread is worth 1 dollar to consumers. If you make 100 loaves and sell them for 99 cents each, you've provided 1 dollar of value to society, but made 99 dollars for yourself. If you make 100 loaves and give them away to those who can't afford it, you've provided 100 dollars of value to society, but made zero for yourself. Since the relationship is inverted, we see that the market doesn't reward those who provide value. Instead it rewards those who provide value to those who provide value! It's recursive, like PageRank!
That's the main reason why we have so much inequality. Recursive systems will have attractors that concentrate stuff. That's also why you can't blame people for having no jobs. They are willing to provide value, but they can't survive by providing to non-providers, and only the best can provide to providers.
Contra Lumifer, this looks right to me. Notice the second-order effects, where a value-provider not only gets tokens to spend, but also them having more tokens means that everyone else is more sensitive to their desires.
This isn't as clear to me. If transactions happen entirely at random, but debts aren't allowed, then you'll end up with a Boltzmann-Gibbs distribution for income, which will be highly unequal. If you allow debts, then probably the resulting distribution is normal or something, which is still highly unequal. That is, this likely explains the particular shape of inequality, but not the existence of inequality at all. (Note, for example, a world where everyone has the same utility function but has variable capacity to produce goods and services will have significant inequality, driven by the variable capacity rather than the spiralling effects.)
Trying to reach a conclusion about blame seems like trying to cross the is-ought chasm, and note that not being able to satisfy producers doesn't imply being able to satisfy non-producers.