I personally have lower taxes, high quality healthcare, and live in an awesome location, and I got all of that through an education and training. That is available to almost every American if they just put in the work.

That, to me, is not just a great thing but the morally right thing. Apply yourself and make a better future for you and your family.

To the people responding to me with the most predictable lines: poverty exists in Europe; so does homelessness; as does food insecurity. Please don't tell me that Europe is some great place where poverty doesn't exist and everyone is living great lives.

It is also possible to be sympathetic toward the most needy while not supporting collectivism. You know what the poor need most? A marketable skill. A good job. Support programs that give people the skills they need in order to compete in a globalized market. It's funny how collectivists never push that though, and instead push for more collectivism.

I don't know if that's true. If I'm a child with food insecurity, my lack of nourishment, poor home life, overtaxed regional social programs, and government disincentives will cause me to be unable to focus on my education at my overtaxed school program, thereby setting me back for the rest of my life through no fault of my own.

If I'm one of many children born in a county or state with no access to clean water, I am more likely to develop a chronic illness that will prevent me from putting in the work necessary to achieve your lifestyle through no fault of my own.

If I'm one of many blue collar workers who destroyed my body in my 40s putting in work, I no longer have access to my way of work and the industries I can go into are plagued with known ageism. I am now stuck through no fault of my own save for a lack of future-sight that technology will be the thing to get into 40 years ago.

Moral correctness is all well and good, but if we are gleaning over those less fortunate with our morals, we're not being moral at all- we're just providing justifications for why we deserve what we have and more importantly why people who do not have what we have deserve their poverty.

This message tends to resonate with people with little empathy and imagination. They can only see their own experience and find it impossible to imagine another's could be different. Basically, these people are kind of dumb. They don't notice the ladder being pulled away and can't imagine a better way.

Unfortunately, these amount to a good 30% of Americans. Maybe those people were winnowed away during WW1/WW2 in europe, or maybe the way America was settled self selected for optimistic, unimaginative people with narrow vision.

I understand and accept that certain poeple do not give a damn about the poor. But in this case the poster claimed something about those less fortunate that may be untrue, which is a distortion of reality I hoped to point out. If the poster simply didn't care about the poor, I could adjust my rhetoric appropriately.

Step 1. I earn money.

Step 2. The government makes fallacious claim using whatever economist dujour is will to prostate themselves to the political party in need of economic justification (no worries both parties here in America have them).

Step 3. The government taxes me based on this reason a dollar. I am negative a dollar that I may have spent on something.

Step 4. My dollar is used to pay the administrative and bureaucratic needs of the system, god bless them if they can do it for less than thirty cents (after healthcare, salaries, fringe benefits, building costs, etc.) my dollar is down to $0.70.

Step 4. The money is given to a person in the lower quartile who then spends the $0.70.

After this process, anyone is going to say with a straight face that there is an overall increase of 12% to my dollar that was taken from me?

What if I was going to save my dollars up to start a business, which could really create wealth, instead I have to save up longer to start it.

If the economists were honest with that statistic, they would admit it is not the percent increase but the turn around time to spend the money, or a pull forward to quickly juice the economy.

Examples of the government being spectacularly wrong about telling me why they need to listen to economists:

1. Cash for Clunkers, hurt the poor with a destruction of used cars, pulled forward purchases.

2. Stimulus 2, is shown to have no impact on the economy.

3. Trade Tariffs, supposedly to help protect industries, they just happen to be the industries that are rent seeking. Hurts the poor by increasing prices.

4. Minimum wage: started for racist reasons, still has a disparate racial impact.

Changes to th velocity of money in different uses. Dollars aren't consumed when spent, they keep circulating.

> Step 4. My dollar is used to pay the administrative and bureaucratic needs of the system, god bless them if they can do it for less than thirty cents (after healthcare, salaries, fringe benefits, building costs, etc.) my dollar is down to $0.70.

No, it's still a dollar, because spending it transfers it to other people, rather than destroying it. And, with government spending, at the first hop essentially all of that $0.30 is still in the domestic economy.

> Step 4. The money is given to a person in the lower quartile who then spends the $0.70.

Also, again, largely in the domestic economy, and in places where it has a higher velocity in the domestic economy than it would if a richer person spent it.

And that's where the gain in total economic activity comes from.

> If the economists were honest with that statistic, they would admit it is not the percent increase but the turn around time to spend the money

That's exactly what economists say produces the return to the economy / increase in economy activity that GP discusses.

This is Econ 101 stuff.

> or a pull forward to quickly juice the economy.

It's not a pull forward. (There are ways you can do that, too, but downward redistribution isn't really one of them.)

Unless you have information on the distribution of returns, they conclusion is unwarranted. At best, you can say that if you find a friction-free way of taxing and equally redistributing the gains (including most of the redistribution to the poor), and paying it back (starting by paying back 100% to the people you took it from in the first place) you would improve things for everyone.

But of course, you can't: reversing the redistribution would reverse the gains from the redistribution.

So what it does is improve the mean. It maybe improves the median. But for everyone? No, it doesn't. At least, not in the narrow financial terms those figures address.

I'm especially interested in how those figures account for the feedback loop as the poor typically work for the wealthy, so I expect the gap in those figures is potentially larger.

Spending from a finite pot will grow the economy more if it goes to poorer Americans. That should be obvious to anyone. The wealthy will save it, the poor will spend it and it will often pass through multiple hands.

No, that's just a byproduct of being wealthy -- which is a byproduct of starting with looting a huge plot of land, not being left devastated by 2 world wars (420K Americans died in WWII, for contrast millions of people died in European countries each with 1/5 to 1/20th the population of the US), not having any serious enemies within near borders, succeeding a couple of declining (due to national uprisings) colonial powers and so on.

When the US was not as wealthy, but still as much if not more individualistic, most innovations were coming from Europe (Watt, Volta, Faraday, Maxwell, Bell, Marconi, Siemens, Lumiere, Kelvin, and so on).

And a heck of a lot of innovations today (and increasingly more in the future) come from the hardly individualistic China, which, -like the hardly individualistic- Japan in the 70s and US in the 20th century, has gone over it's "copy cat" stage -- take DJI leading in drones, to Huawei P30 Pro leading in low light mobile photography as examples).

Not too many people know about Operation Paperclip (https://en.wikipedia.org/wiki/Operation_Paperclip) and what it meant for NASA and space race (Wernher von Braun was chief architect of the Saturn V launch vehicle, the key instrument in getting man to the moon)

US business is becoming increasingly efficient at accumulating and concentrating capital while producing less innovation for society at large by utilizing a variety of tactics that break much of the picturesque model of capitalism.

I thought freedom to play and study as kids. A full belly. A supporting family. Family connections. Not fearing for tomorrow (eviction, money trouble, muggings, etc). Money for college. Not having to work to support anybody but themselves.

You know, the kinds of things it would be statistically (if not entirely) safe to presume you had as a child, or that most successful (e.g. college wise) kids have, and most unsuccessful kids lacked.

https://www.radionz.co.nz/news/the-wireless/373065/the-penci...

But yeah, lacking all that, a marketable skill and a support program will do.

And they might even be able to make it, if they work doubly as hard, and manage twice as many hardships as those who had all of above provided for them from birth.

I'm sure that's nice for you personally. From what I've observed, this simply isn't true for many in America, who face desperate struggles despite hard work.

If you believe in the gospel of meritocracy, "hard work = success", then you'd have to believe the reverse ("poor people are poor because they're lazy."). But this ignores the luck factor (that a lot of people are poor because of bad luck, and that a lot of people are so god damn rich because of good luck). https://www.youtube.com/watch?v=bTDGdKaMDhQ

I put in the "work," live in an awesome location, and I have to fight insurance damn near every time the Dr puts me through any procedures. That's not counting the awful healthcare I actually get. I guess I just need to drive 3-4 hours to get it instead of 1? Then I can't put in the "work" because I'm spending days traveling to get all this stuff done.

I guess the answer is to move. Well then that means i get to start over fighting insurance to get them to cover everything, again. I'm not doing that a third time.

Trying to argue whose is better (or worse) isn't helpful.

Someone born poor will be born into an other reality of poverty. Every person they love will have no money, education or resume and will have crashed against unmoving walls while trying. Every mentor will teach them that the world takes and never gives. Every day will be tinged with hopelessness. Everyone will tell them they don't have what they ought to have and that there's no way someone like them can get it. This person could be as smart and filled with potential as the best of us and they will never escape this invisible cage of other people expectations.

Someone born rich with be born into an other reality of abundance. Every person they love will have a comfortable amount of money, educational achievement, and professional accomplishment and will have leapt over the obstacles in their life. Every mentor will teach them that if they ask, the world will give. Every day will glow with possibilities. Everyone will tell them about their success and make plans together for how to get even more. This person could be dumb as rocks and lazy but they too live in an invisible bubble of other people's expectations. The wisest of the people in this bubble of prosperity know exactly how fragile it is and work tirelessly to shape their families and communities so that their bubble never pops.

https://www.epi.org/publication/usa-lags-peer-countries-mobi...

"U.S. mobility is among the lowest of major industrialized economies."

So in other words, birth privilege is strongly correlated with future earnings in the USA, but less so in other industrialized countries. We still have more economic mobility than many countries, but we should say the "Nordic Dream" instead of "American Dream."

While those rags-to-riches cases are true data points, they are not representative of the population sample. They are the exception despite the strong correlation, likely due to another contributing factor (sheer random luck, great financial earning abilities, etc.).

So, not trying to be antagonistic but this is pretty much a perfect example of survivorship bias: "this worked for me/X so it could work for everyone."

It's also part of what the author is referencing: this idea that you can always point, post hoc, to ways in which someone could have worked harder.

It also ignores rampant structural problems. There are plenty of people with marketable skills, or who are capable of doing such work, but who are walled out of opportunities because of implicit or explicit rules that actually have nothing to do with ability to do the work at hand. So we, for example, assume that task X can only be done by someone with a score on some proxy standardized test A, or with specific degree B, or who come from a certain type of school C; or who have experience working with specific platform D.

These types of arguments always seem to devolve into extremes, which is frustrating to me. It's possible to say "the US can be a better place to be for more people by changing X, Y, or Z."

The irony is that if I could change things the way I'd like a lot of the changes would involve pretty extreme deregulation in some areas mixed with certain select areas where I would increase taxes and provide more things publicly through the government. But these kind of mixed solutions tend not to get anywhere in today's political climate.

There's many things that can happen in one's life (and where one doesn't necessarily have control over) which would swing the pendulum from "a better future for you and your family" to "fucked for life". In the US if bad luck hits you there's less chance of getting back on track.

And people are getting back at you with "predictable lines" because apparently you've been in your stubborn perspective for a looong time.

Some people "just" never had the opportunity of an education like yours. And through no fault of their own. It's easy to think they should have "just" put in some more work from where you are standing. But the deck was already stacked against them when they were born. It's very arrogant to think that you would have prevailed if you'd started out in their spot. It's incredibly unfair to justify your position on your hard work when this same path was just not available to other people. When it would have been much harder for them.

I'm using the statistical "you" for the person that lives a privileged life. That person comes from a privileged position to start with, statistically speaking. Maybe you the individual poster are an outlier, but that doesn't change the picture.

Then you need to fear for feeding your family and providing them with medicine. Did you or a loved one get really sick along the way? Tough for you.

Who are you? Where are you from? What color is your skin? Are you male? Etcetera

> America is where most of the innovation, cultural, and political power is.

American innovation has largely been a byproduct (European refugees, cold war spending, deregulation) and not a deliberate result of the rational egoism which you venerate. Where America has been successful is in the marketing of innovations, which has created a perception of America as being particularly innovative when in fact global innovation rankings consistently place countries like Norway, the UK and others ahead of America.

The claim that America is where most of the cultural power lies is even less substantiated by facts. Taking in to account population sizes and language barriers you will find that the relative cultural influence of many European nations exceeds that of America despite their 'collectivism'. That is unless you consider culture to be the commoditisation of everything and anything.

You are correct when it comes to political power - American political hegemony has been a great tool for enforcing a liberal world order. This however goes against your overarching point - the opposite of a collectivist mindset would be something along the lines of the John Quincy Adams maxim “we do not go in search of monsters to slay”. America simply could not 'justify' its military presence in far flung regions of the world without appealing to collectivist moral principles.

> I personally have lower taxes, high quality healthcare, and live in an awesome location, and I got all of that through an education and training. That is available to almost every American if they just put in the work.

You must live in a bubble (physical and delusional) if you fail to see the trade-off involved with having government spending/GDP on par with many European countries yet operating a low tax regime with little social safety nets.

Yours is the only developed nation which regularly shuts down it's government and doesn't pay its workers. Unlike in most other western democracies, your veterans face disproportionately high suicide rates due to the comparatively poor levels of social assistance. Your homicide rates and levels of incarceration are among the highest in the developed world. You are guaranteed almost no holiday entitlement and are are one of few countries in the world that does not require employers to offer paid parental leave to new parents. Your vast levels of inequality (individual, regional, etc.) are contributing factors to phenomena like the opioid crisis, leading to whole generations of individuals whose opportunity is never realised simply due to the accident of their birth.

You have every right to support this system of governance and I don't dispute that it has benefited you and your family. Choosing to extol its virtues and claim that it is the 'morally right thing' without even an attempt to recognise the trade-offs involved is disingenuous to yourself and everyone else however.

Due to the overwhelming amount of memoirs and op-ed's and other things of the like that exist in abundance, I will refrain from giving example circumstances that prevent people from taking such “obvious” poverty relinquishing actions, such as education, and “workharder-ness.”

Not trying to be rude here but "the morally right thing...(is to) make a better future for YOU" is really laughable honestly. I am not broadly traveled but this sort of sentiment seems uniquely American. A land where even the idea of community is a bad word that stings with thoughts of dependence. Where self-sufficiency and lack of illness are the greatest things to behold, in much the same way that we measure the quality of chattel (be that farm animal, slave, or inanimate property).

I have had more than one conversation with some supposed Ayn Rand [1] touting "ideologist", that seemed to have no inkling of anything that was per-provided for their meager successes. Such as, an entrepreneur who started with no small sum of money provided by a parent, that did not believe an any sort of government regulation, other than ones that hold his employees to mythical slavery contracts he dreamed up in his spare time. Not willing to even except that food practices were made safer but some regulatory concerns, because of course there is no such thing as germs anyway(including all sickness which was simply a lie to get out of working hard). A friend of mine installs captioned phones for people who have lost their hearing, and even though he is required to explain as well as have them accept a contract that specifically states it is a government program at no cost to them, they still confide in him with their fears of socialist uprisings. In fact, I hardly meet a person with even an appreciation for the roads they rode in on. Much less the horse, that seems to brandish itself at the mere existence of their will to travel and an ability to procure a loan.

I’m not only suggesting that we should be a little more aware of the benefits that so many of us have been given from the past, but also that we not cheapen ourselves by only valuing self-reliance. We may have a system in which individuals can live in an imagined state of “I’ve done all of this by the sweat of my own brow,” but this is only imagined, and our souls are weaker for it.

[0] https://en.wikipedia.org/wiki/M%C3%BCnchhausen_trilemma

[1] Not intended to denounce Rand, only pointing out a trend.

I think it has something to do with Calvinism and how it basically provides moral coverage for the status-quo: your wealth is a reflection of your morality so that have whatever you have, you deserved it.

I've worked incredibly hard all my life in the UK (and I've been successful at work -- something I have to remind myself of regularly) and it's got me practically nowhere. I'm taxed to the eyeballs (this year I'll pay approx 70% of my turnover in taxes of one sort or another) and the cost of living is insane (the average house price in London is currently about £530,000). Unless you have wealthy parents and bought 10 years ago you can forget about ever escaping the rent trap.

Great public transport though eh! Er no actually. Rail services carry people crammed in like sardines in conditions that it would be illegal to carry livestock in, and reliability stats are terrible; I am regularly delayed by an hour or more. And I am forced to use the trains, because I don't own a car, as I don't have a parking space attached to my tiny rented 1-bedroom flat.

Free healthcare is great though right? Well, when a total of 500 million EU citizens are all entitled to rock up demanding 'free' healthcare whenever they like despite having never paid a penny into the system all their lives, and I have to wait 3-4 weeks to see a doctor, then no, it's not great actually.

Please, my US friends, do not believe the Julia Roberts films, or your friend's holiday snaps of Rome. We, the poor European people who do all the work, do not spend our days writing poetry and blissfully sipping premium coffee, we have it pretty sh!tty actually, and be grateful for your amazing country and the opportunities it offers you.

E.g. just to take one of your points, I've found trains in germany and france far better than ours.

My point being, though, that "every system has its flaws" is a terrible excuse for accepting problems.

Life expectancy: ranges between 71.5-89.4 years across European countries [1], 73.4-81.3 across US states [2]

Unemployment rate: ranges between 1-31.4% between European countries [3], 2.1-18% across US states/territories [4]

[1] https://en.wikipedia.org/wiki/List_of_European_countries_by_...

[2] https://en.wikipedia.org/wiki/List_of_U.S._states_and_territ...

[3] https://en.wikipedia.org/wiki/List_of_sovereign_states_in_Eu...

[4] https://en.wikipedia.org/wiki/List_of_U.S._states_and_territ...

I don't think that's really a fair comparison. Every city from NYC to a small town in Midwest get the same benefits of being one of the richest countries in the world. American federal policies affect everyone in America, rich or poor, in big cities or small towns. Comparing with every European country is disingenuous because that group also consists of Ukraine, Serbia etc. I would way a fair comparison will be with European countries with similar economic indicators as the USA. If you do that, you will notice that metrics are indeed better in those countries.

It's upper class people from Europe debating with upper class people from the US where it's better for "middle class" people.

If you've read Picketty at all, it's pretty clear there is no middle class. And the only place in the world a true and sizeable middle class ever existed was the post WWII United States from like the 50s to (maybe as late as) the 90s.

Life sucks for lower class people everywhere. I suppose it's slightly less shitty for lower class people in Europe.

According to Picketty, the capital / income ratio had been substantially higher in Europe for the last 20 years than it is the US -- and at the time of writing Capital in the 21st century, it was still higher in Europe. That is to say, social mobility -- as depressingly low as it is in the modern US -- is (and has been) MUCH worse in Europe.

America's biggest flow truly is it's greatest strength. This is the most hopelessly optimistic group of people on the planet. Most Americans truly believe that one day they'll be successful.

You know why they believe that? Because for 40 years, this was really the only place in the world where that was plausible for an average Joe. It's still one of the few places where it's even slightly statically likely.

I think most people would trade hope for a slightly less shitty life.

I think that's why Americans don't really care that much why life for lower class people in Europe is slightly better than it is for people in the US.

This doesnt match the reporting I've seen. (Example: https://en.m.wikipedia.org/wiki/Social_mobility )

Of course, this may be twisted statistics - what are you basing your claim on?

https://www.urban.org/sites/default/files/publication/99455/...

https://www.econlib.org/archives/2014/06/unpersuaded.html

https://www.foreignaffairs.com/reviews/review-essay/capital-...

http://www.arnoldkling.com/blog/krugman-reviews-picketty/

(for some starters, if you somehow have not seen how it is not the Bible that some people want it to be?).

Also it is hard to compare Europe's norms which country-by-country are generally featuring a lot more ethnic-cohesion and have social spending heavily subsidized by America's military (not to mention much more density for things like trains)

I say this as someone who wishes there were more dense, EU-style cities in America.

Mobility is certainly not dead in America, and the middle class is shrinking because more people are moving up and making more money overall: http://www.aei.org/publication/yes-the-us-middle-class-is-sh...

I think anyone trying to say "you don't know how shitty you have it!" is akin to saying "you vote against your own interests" which is really saying "I think I know better than you" -- which is trash.

The fact of the matter is a lot of people prefer US-style suburban living.

America certainly has its share or problems, reliable/trustable Governance being a big one (social welfare spending in the US, despite the money thrown at the problem, is just not up to the standards of northern EU although certainly preferable to what goes on in southern EU -- see cohesion argument though culture matters a lot too)

See this as an example why both the left and right suck when it comes to US healthcare: https://www.econlib.org/the-case-for-european-health-care/

In fact, I would argue much of the problem in the US arises because our politicians are simply full of bad ideas and not held accountable to them. Fortunately our institutions restrict them from running amok too much.

ex: the US subways suck because city politicians allowed construction and transit unions to run roughshod over the taxpayers for years on top of increasingly stupid regulations (lol @ US being the reliable land of laissez-faire) and that is why it costs 7x more to deploy subway in the US than most first world nations https://www.nytimes.com/2017/12/28/nyregion/new-york-subway-...

Still, I am willing to bet a chunk of cash that the US generally has the better recipe for ensuring economic dynamism and mobility. I'll take the hopeful over the complacent, given the choice.

Would google be google without youtube or doubleclick?

I don't think having a higher quality of life deincentivizes creating new valuable startups. If anything, it has a positive effect because those individuals are able to take more calculated risks towards a project and fail gracefully.

If you're working paycheck to paycheck and in debt up to your eyeballs, that American dream of success carrot may look awfully appetizing but it's far too risky. It's significantly different if you're wagering that capital you saved up to build a pool or new garage vs. the finances for next months rent/food.

Those are the types of decisions many Americans have to make.

Frankly, I don't understand how some can slave tirelessly climbing the corporate ladders for small gains. I'll do only what I need to and focus on my private life. I work to live, I don't live to work.

If I do live to work I would seriously consider starting a business because that's the only way I could dedicate that commitment of my limited time on Earth. Slaving 60-80 hours so shareholders n-degrees separated from me can get another Yacht isn't motivation. I'd much rather become your competitor. The problem is, industries are becoming more and more capital intensive to enter, so becoming the competition just isn't feasible for many cases, not without heavy outside investment or an absolutely brilliant idea that competitors can't simply clone or capture you before you get momentum to compete.

   It may be that Europeans are deincentivized
   from creating enormously overvalued startups
   because their quality of life is much better

Ireland still doesn't have Uber or Lyft.[1]

[1] Does Uber or Lyft exist in Dublin??

https://www.tripadvisor.com/ShowTopic-g186591-i88-k11258020-...

Which IMO are better, if pricier, than Uber in London. They're what I take. But that isn't to disagree with your basic point. If cabs in some European cities are better than cabs in many American cities, that certainly isn't the case everywhere.

Before hailing a ride I always check Uber and taxi apps, all of which give me a spot on estimation o price. Most times I have to choose between a Mercedes (C/E class, so large and comfortable) taxi and a Uber (lower class car), the Uber ended up being more expensive. In some countries Uber will still offer better price or price/quality ratio but this is far from a given.

Or even: https://www.nytimes.com/interactive/2017/04/02/technology/ub...

As for the other startups in SF, I like this quote:

https://www.theguardian.com/news/2018/apr/17/get-rich-quick-...

> My idea was to pitch a tech startup and get obscenely rich while writing a book about how to pitch a tech startup and get obscenely rich – the Silicon Valley way.

> To save money, I took to cooking my own meals most of the time. This was when I discovered that it was much easier to launch a tech startup if you could afford to always have food delivered and never had to deal with mundane chores such as doing laundry, washing dishes or buying groceries. As one Twitter wag observed, San Francisco’s “tech culture is focused on solving one problem: what is my mother no longer doing for me?”

This is what people forget when they compare USA and Europe, because it's not really easy for Americans to grasp this until they come live in Europe. I feel this is an understatement, and the different cultures and languages often leads to market fragmentation.