An economics lesson for Warren
Elizabeth Warren’s recent fiery speech on wealth creation has received plaudits from the left and grief from the right. But what few have addressed is the underlying substance of her words: her claim that it is not entrepreneurs who create wealth. They play a role, she acknowledges, but the credit really belongs to all of us. And that becomes the rationale for why those folks deserve to pay a premium in taxes - we deserve a share of their wealth because we helped create it. It’s a beguiling idea, but Warren is wrong.