Income inequality - is it necessarily bad? Is income equality possible? If so, how?
Even though the order of the questions should logically be:
a. Is it Possible?
b. Is it Bad?
c. What are the Consequences?
Since debates on the subject usually start with (b), that is where I will start.
B. Let's assume the answer to (b) to be true (Income inequality is necessarily bad).
That implies that income should be equal.
Alternatively, in the weaker form, there should be a limit to the inequality (who sets it then?).
A. How would all income being equal be possible? Assuming that the income we are referring to is payment for some good or service rendered at some point in its generation, any pricing condition ("market") would need to be static. All choices among good would have to be equal. Unless there were unlimited resources available for any good (so prices don't rise as resources are depleted), then some random distribution would need to be implemented. If that were so, the utility of all things would have to be equal.
C. How could that come about?
It could come about in a world where all desires would be equal, in a static world. But what is a distinguishing feature of successful life? Dynamism, the ability to change!