Under the socialist economic system that is favored by all Communists, Progressives, and Collectivists, the individual is always supposed to work for the betterment of the community as a whole and not for his personal betterment. Marx told us that in the society that follows the period ruled by the Dictatorship of the Proletariat; all individuals will have been persuaded that the good of the community is foremost in importance. The individual will voluntarily and happily conform to the ideals of the collective in all aspects.
What we have learned that wherever this concept has been attempted the result is that the living standards of all declines. Production and innovation, very necessary for a growing and thriving economy, decline. Differences in incomes become negligible as incomes decline.
In a prospering and growing economy, the innovators and producers are rewarded for their efforts and their contributions. The market place determines the reward based on the value the marketplace places on the contribution of the individual. Innovations lead to new and exciting industries creating even more opportunity for all. These opportunities allow all individuals to increase their incomes and raise their living standards.
Opportunity and reward is what brings about the top raising not only their income levels but also the standard of living for all. Communism, Socialism, Progressivism, and Collectivism punish and ridicule individual prosperity. It is this punishment and ridicules that have the bottom pull down the top thus lowering the prosperity of all.
A capitalist economy champions competition. Competition and the competitive spirit always raise the level of all. Wealth is an infinite commodity. The free economic system stresses the creation of wealth which to a large part is driven by competition. The Communists, Socialists, Progressives, and Collectivists believe the commodity wealth is finite. They believe that the wealth one person has limits the wealth of another and the competition for that wealth is demeaning. This is the reason they believe that income inequality exists. There are differences in the income levels of individuals, but the income level of one individual is determined by their contribution to society as defined by the market place. Income differences do not equate to inequalities.