Is A Democratic System Compatible With Nature?

Some natural random variables have a normal distribution, some have Pareto distribution and some power law distribution. For example, height of humans is normally distributed, income has Pareto distribution and stock market returns follow some other power law distribution. Only some random processes have uniform distribution when the outcomes are equally likely, e.g. a coin toss.

Continue reading “Is A Democratic System Compatible With Nature?”

The Top 1% Controversy and False Dilemma

There is an ongoing debate as to whether governments should increase taxes on the top 1% of the population and redistribute their wealth. On one extreme there is the argument by Harvard professor Greg Mankiw and his defense of the top 1%. On the other extreme are his opponents as summarized in a post by Paul Krugman, who appears to also join them against Mankiw’s defense. I argue in this article that both of these positions are extreme because the top 1% tax issue is from one side evaluated based on its economic contribution and from the other side based on the disparity of opportunity, among other things, leading to a false dichotomy fallacy.

Continue reading “The Top 1% Controversy and False Dilemma”