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Wealth In Haiti

Decent Essays

5. What economic factors explain why Americans enjoy much more wealth than Haitians? It’s safe to say that Haiti is poor. Especially compared to the U.S. One of the causes for Haiti being so poor just happens to be humans. They are entrenched in greed and power. The rulers there have ensured Haiti’s despair. Things like soil erosion, bad education system, illiteracy, unemployment, inadequate roads, water systems, sewerage, and medical services are also some of the causes of Haiti’s despair. The international community also has a lot to do with Haiti being so poor. But the main root of Haiti’s problems comes from their government. The rulers there have used beatings, killings, illegal arrests and detentions, forced exiles etc., all to keep …show more content…

A lot of them think it is not worth the effort apparently. But voters not wanting to know, leads to politicians not including their desires when pursuing government actions. Which leads to carelessness. The voters basically make decisions that maximize utility, which is choosing the highest level of satisfaction. It’s usually all about weighing benefits and costs. A lot of people don’t even give politics a thought throughout the day. So why do these rational ignorant people still bother to vote some of the time? Because voting is cheaper and less time consuming than catching up and studying political issues. For a lot of people it is rational to vote, without learning about the issues at stake. A good example is Obamacare. At least 44% of the public do not realize that it is still the law. Other 80% of the public say they have heard nothing at all about the insurance changes that are a huge part of the law. Another study said that only 42 percent of the public can name the three branches of government. It is very crazy that knowledge levels haven’t risen very much at all despite our educational fulfillment, information through the internet, cable news, and other technologies. (http://www.cato-unbound.org/2013/10/11/ilya-somin/democracy-political-ignorance ) & (http://www.amosweb.com/cgi-bin/awb_nav.pl?s=wpd&c=dsp&k=rational+ignorance …show more content…

There will always be someone else trying to sell your product for less money. Many monopolies are enforced by government. One example would be operating a cab in New York City. You would need a government issued medallion. The number of medallions are fixed which develops profits for initial owners. The profits are not because of talents or resources, instead these profits come by the absence of government enforcement of the medallion requirement. The government enforcement of monopolies is an attempt to solve market failure. An example would be New York City enforcing the medallion rules because they are under the assumption that if they don’t restrict cabs, there would be a lot more traffic jams in the city. When government enforcement of monopolies is appointed for the well-being of subset being granted a monopoly instead of the well-being of society, that is when greed steps in. But monopolies can also improve welfare. For instance, a drug company developing new heart medication will pay lots of money in research and development for perfecting the drug without selling anything to achieve revenue. It anticipates that it will sell under a patent over some period of time and cover the development cost. If you take away the monopoly it takes away the motivation to produce better drugs. So if markets are not competitive then greed isn’t really a problem. It is only a

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