This is gold from Mark Skousen, whom Dick Young knows from their years speaking together at investor conferences. I want you to read this piece in The Wall Street Journal and use it to defend democratic capitalism against anyone arguing for democratic socialism. Numbers don’t lie. Here’s the heart of it:
Socialism is in vogue again. Critics of capitalism call the market economy unfair, arguing that big corporations don’t pay low-income employees a living wage. They draw on studies showing that inequality has grown dramatically in both income and wealth. Their solution: a highly progressive income tax, or even a wealth tax, on the superrich, and a minimum wage of $20 an hour or more.
These economically destructive measures are unnecessary and would disrupt the positive changes happening in capital-labor relations. The private sector is quietly solving the inequality problem without more redistribution and wage controls.
How? Companies both large and small offer generous profit-sharing programs for employees—401(k) plans, stock options and discounted stock-purchase plans.
Fidelity recently reported that there are more 401(k) millionaires on its platform than ever before. More than half a million Americans have at least $1 million in Fidelity 401(k) plans. In 2025 retirement plans marked a milestone—thanks to the growth of 401(k)s and other defined-contribution instruments, more than half of private-sector workers are actively contributing to an employer-sponsored retirement plans.
Action Line: Mark gives a number of examples to back up his thesis here. Click here to subscribe to my free monthly Survive & Thrive letter.
