Economic Inequality is Easy to Predict

Paul Krugman threw another hissie about income equality the other day (proving if nothing else that he diligently follows orders from the Obama re-election campaign). His thrust, as always, is that government is just not doing enough to "create" equal opportunities. Let's examine some of his contentions:

1.  It matters who your parents are. Well . . . duh. If your parents had IQs of 80 you're far less likely to be a whiz at math than if they had IQs of 120. What exactly does he think government should be doing to equalize that opportunity -- appointing a Reproduction Czar? Or maybe aborting more babies that test for low inteliigence?

2. It matters what kind of basic education you get. He moans that "the affluent send their kids to good, well-financed public schools or, if they choose, to private schools, while less-advantaged children get a far worse education". Well, gee, Paul, wouldn't it make sense, then, to allow people to send their kids to where they want, rather than being restricted to schools in their neighborhood? But that would run afoul of the teachers unions to whom your masters are beholden, wouldn't it?

3. It matters if you go to college. He observes, that "those who come from disadvantaged backgrounds are far less likely to go to college — and vastly less likely to go to a top-tier school — than those luckier in their parentage." Well . . . . duh, again. Maybe you missed point #1? What is the government supposed to do? Require colleges to admit equal numbers of dullards and scholars? Okay, then what? We already have loads of evidence that while affirmative action programs affect entrance skews, they affect graduation rates in the opposite direction. I can send everyone in the country to music school, but the ones with a tin ear are still going to be lousy musicians.

4. The lack of a full government run health care system keeps people from succeeding. Gee, I didn't see that one coming. Let's see, if the government took over health care, we'd be overrun with successful people, wouldn't we?

The fact is, I can explain almost all of income variation by knowing four things about you:

1. Are you married?
2. How many people in your household are working (see #1)?
3. How old are you? If you're 25 or 65 you're not going to be earning as much.
4. Did you graduate from high school?

	Lowest Quintile	Q2	Q3	Q4	Top Quintile
Average HH Income	$               11,034	$          28,316	$        49,309	$        79,040	$            169,633
Earners per HH	0.42	0.90	1.29	1.70	1.97
Percent Married	17%	36%	49%	64%	78%
Percent age 35-64	44%	47%	55%	64%	75%
No High School Degree	27%	17%	9%	5%	2%

So, Mr. Krugman, if the government really must "do something", how 'bout stopping the subsidies of having children without marriage? Or letting parents choose the schools they want and making sure that they actually graduate? That would be addressing the causes, not treating the symptoms. But I'm still fascinated with that Reproduction Czar idea.