Business 1 lesson 100

Writing assignment: 250 words: “Would it be moral to grade exams, so that all students get C’s? If not, is it moral for the state to redistribute incomes?”

This question poses many different answerers depending on who you ask. But the most common response from people is NO. For example, say you studied really hard for this test; you put in your time so you could get a good grade, but some or a lot of the people didn’t study for the test. Would it be okay for you to get a well-earned ‘A’ but have the people who didn’t study for it get the same grade? NO, this idea of taking from the people who earned it and giving it to people who didn’t earn it is simply stealing from the people who work hard for what they have and is just plain old immoral.

This moral question can be applied directly to the redistribution of income by the state. In the video “Myths, Lies, and Capitalism,” Arthur Brooks describes an experiment he conducted when he was an economics professor. When his students argued that it was “unfair” for the rich to have more than the poor, he offered to redistribute the class grades, taking points from the top half and giving them to the bottom half. Suddenly, the students’ demands for “fairness” vanished. This reaction only proved that people do not want redistribution of grade points/income as soon as it affects them.

Just as a student can earn their grade through long hours of studying and discipline, workers earn their income by working hard and providing for their company. So would it be moral for the “government” to redistribute hard workers’ incomes? NO again, the whole reason why a person gets a job and works is so they can earn an income. So why would it be morally okay for the government to steal your money you worked for and give it to those who have not worked as hard as you? If you look at it from this perspective, state redistribution is just as immoral and wrong as grading everybody’s paper as a C.

This redistribution of income punishes success and rewards a lack of effort, creating a ‘free rider’ that will ultimately discourage people from working hard. Lastly, this redistribution will de-incentivize people because all of their earnings are being ripped from them. So what would be the point of working if half your income is going to go to somebody else? Not only will you get poor, but it is also a great way to destroy the economy, de-incentivize the people, and make all motivation for society to progress and innovate disappear.

Ultimately it is up to you to decide what you think is fair and how you want to handle it. Arthur Brooks said it best: “Fairness is rewarding merit.”

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