Author’s Note: The following originally appeared at ScienceBlogs.com and was subsequently a finalist in the 3 Quarks Daily Science Prize judged by Richard Dawkins.
Fairness is the basis of the social contract. As citizens we expect that when we contribute our fair share we should receive our just reward. When social benefits are handed out unequally or when prior agreements are not honored it represents a breach of trust. Based on this, Americans were justifiably outraged when, not just one, but two administrations bailed out the wealthiest institutions in the country while tens of thousands of homeowners (many of whom were victims of these same institutions) were evicted and left stranded. It smacked of favoritism, the corruption of politics by corporate money, and it was also just plain unfair. But isn’t that the way the world works? Isn’t it true, as we were so often told as children, that life is unfair?
The American financial tycoon Andrew Carnegie certainly thought so and today’s economic elite have followed his example. In 1889 he used a perverted form of Darwinism to argue for a “law of competition” that became the cornerstone of his economic vision. His was a world in which might made right and where being too big to fail wasn’t a liability, it was the key to success. In his “Gospel of Wealth”, Carnegie wrote that this natural law might be hard for the least among us but “it ensures the survival of the fittest in every department.”
Read more at Scientific American.