Koch’s Views on Economic Inequality

Posted in Political Solutions on Mar 03, 2016

Every aspect of a given state will run smoothly if its economy is strong and stable. However, economic inequality usually compromises fairness that is supposed to be exercised by political institutions. In addition, the wealthier people acquire the power to control others since they influence most of the decisions made by the elected officials.

Economic Inequality

In one of his Washington Post op-ed, Koch ascertained that he and Bernie Sanders share a common belief. Koch points out to mandates, laws, regulation, and subsidies that politicians issue out to the well-connected and wealthy individual. He observed that at least $1.5 trillion is spent on exemptions and to address the needs of special interest group. Each year a total of $1.9 trillion is spent by established businesses to put in place and strengthen anti-competitive rules.

Victim of circumstances

Small businesses, new investors, and the poor feel the weight of the regulatory burden. The benefit goes to established firms since they are likely to enjoy maximum sales and immense profit when the regulations are in operation. Additionally, new entrants are indirectly penalized.

Widening gap between the rich and the poor

Koch noted that tax exemptions have a tendency of benefiting large companies and wealthy individuals. On average these individual pays lower tax rate compared to the Middle-class Americans. According to Koch, this has resulted in the increased gap between the rich and the poor.

Background information on Charles Koch

Charles Koch is an established businessperson and an active humanitarian. He is the co-owner and CEO of Koch Industries. He also chairs the board of Koch Industries. Together with his brother David H. Koch, they expanded the business to an influential and respected level. Koch Industries specialize in the manufacture of forest and consumer produce, pollution control equipment, minerals, commodity, and fertilizers. Charles Koch is a talented writer; he published a book to describe his management style and philosophy in 2007.

Brief History, academic qualification, and career

Koch was born and raised in Wichita Kansas. He has four brothers, and his parents are Mary and Fred Chase Koch. He holds a degree in General engineering and two master’s degree, one in mechanical engineering and the second one in chemical engineering. He has served as the director of both Entrust Financial Corp and Koch Industries from 1982 up to now. Philanthropically, most of his projects are educational, policy, and research oriented. He has sponsored efforts to young entrepreneurs and financed research projects for economists like Friedrich Hayek and James Buchanan.

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