The Wealth Redistribution Myth

What most white people fear will happen to South Africa ...

Rich vs Poor

What we all fear...

So we are being told that the massive gap between the HAVE's and HAVE-NOT's must be closed.

Here are some useful background facts and widely used buzz words:

• The rising black middle class (supposedly responsible for record increases in property prices in the early 2000's)
• The "Black Diamonds" phenononym to describe the newly minted rich black yuppies.
• Despite the biggest economic boom in South Africa's history, the number of desperately poor people (those living on less than a dollar a day) have doubled since democracy(1996) from 2 Million to 4 Million, and the biggest preportional increase was from the white race group (Ref: The race relations research institute)

Land Reforms, Wealth Redistribution blah blah... transformation ... blah

This is the mind virus that we are constantly being fed.

What everyone is missing, is a fundamental economic truth:

Wealth can ONLY be Created or Destroyed. Never redistributed.

Whenever artificial and forceful means are attempted to redistribute, or re-allocate wealth, the wealth gets dissapated in the process. Look at the history of Argentia, Zimbabwe, Russia, Poland.... (Communism is the perfect story book example of what happens when one tries to distribute wealth evenly)

The solution to make the Poor happy is not to kill the rich fat cats.

The solution is actually to make the rich fat cats EVEN RICHER, along with everyone else.

Wealth is basically a pyramid

..............RICH
.....MIDDLE CLASS
.DIRT POOR PEOPLE

A small number of very rich people at the top, a middle class, a lot of people scraping buy, and in South Africa, tons of poor people at the bottom.

The trick is to pull the Entire pyramid up. Not to try and reshape the pyramid and in the process destroy the wealth.

Some of the main reasons why wealth cannot be redistributed

• Someone who did not create something, cannot care for it, look after it or manage it.
• Wealth is not money. Rather: Wealth is the ability to create money from specialised knowledge, business systems and saved up capital.