Yesterday the TUIK (Turkish Statistic Institute) released the 2014 results of their Income and Living Conditions Survey. In it they have tabulated that about 22.2 million Turks live below the minimum wage while in 2013 there were 21.9 million. Clearly, things are getting worse. But that's not the big point. The big point is that the poor-rich gap is one of the biggest in the world (according to the OECD) and growing at an accelerated pace. Billionaires have increased 10 times over the last 10 years. You can read this information in any Turkish newspaper, for example in the Hurriyet Daily News searching for the article for "Turkey's poor who are not regarded as poor".
The so-called "reporter" ends the article stating that "According to the recent assumptions of IMF economists, income inequality and the multiplying of the fortunes of the rich seriously sabotage economic growth."
Now let's stop for a second and think.
Some time ago we published the article Austrian Economics In Pictures (more specifically the third Part if you care) where we forecasted this phenomenon as the direct outcome of left or socialist Politics (and their effect, the so-called "socialist" management of free markets). We also calculated the Gut Feeling Socialist Scale where Turkey's economy was qualified as "Socialism edging communism".
So, let's see. Here we have a socialist government, implementing socialist economic policies edging communism where "income inequality" is growing!!! Considering that the goal of socialism (or communism-light) is the "equality" of all people, how could this be??!!!
Additionally, we have the IMF (the masters of the economic universe and surrounding areas) stating that "income inequality and the multiplying fortunes of the rich" is sabotaging economic growth!!!
Yes, the very same IMF that demands more government intervention in markets wherever it suits them. The very same IMF that talks about "efficient pricing" which includes "optimum" taxes!!! Yes, that IMF.
Look, this is not complicated. Governments had 200+ years to play around with "managing" the economy. The IMF had 69 years to play around with other people's economies. The communists (yes, communists) also had 69 years to screw around with the economy. Socialists had about 70+ years to do the same. And do you know what? Every freaking year things get worse and worse.
We don't know you, but we are as fed-up as we can possibly be. By when exactly can we expect to reap the economic benefits of socialism? Oh, so they can't give us an exact date? Fair enough. How about a month? No? Year? Neither? Decade? Not a chance? But if this is the freaking case, why don't they just recognize that they have failed miserably and quit!
We are sooooo sick and tired to say the same time and time again. Look, it is not a matter of inequality. To demand economic equality is to sentence the entire world economy to an utter collapse, where we will all be equally dispossessed. That's the only "economic equality" possible in real life.
Equality is totally, utterly and absolutely irrelevant! Unless you are a socialist selling communist economic snake oil-light. Then it is great!
The problem is not inequality. The problem is the overall wealth level. The more economic activity you have the more wealth is created and the more people benefit. All the people. Inequality may remain the same, but overall wealth will increase. You can also see this effect graphically depicted in our article Austrian Economics In Pictures in its fifth part which explains what happens in a true free market.
How many times do we have to forecast this effect for it to be finally recognized as true? 10 times? 100 times? 1000 times? a million times?
Who cares!
Politicians' jobs are at stake!
Thus, we can provide the truth for as long as we want but they won't budge.
We told you so and we will continue to tell you so.
Because it is not a matter of believing or disbelieving us, it is a matter of checking reality. That reality that socialist politicians don't want you to see. Yes. That one.
But of course! You believe that this does not matter. You do not live in Turkey, so who cares? Right?
Well, you should. Why?
Take a look around you.
Take a look at your country?
See the similarities?
No, it's not a coincidence!
Look, you have a choice to make. You either side with the government, in which case you will continue to have more of the same, this is less…or…you side with nature, in this case free markets and you will have far more of the stuff you never had. It's up to you. Only up to you.
Note: please see the Glossary if you are unfamiliar with certain words.
