The Ultra-Rich in the Face of Social Crises: Solution or Illusion?

For some time now—let’s face it—the ultra-rich have been getting bad press. With Elon Musk’s net worth surpassing one trillion dollars, the divide between rich and poor seems like a yawning chasm that cannot be bridged. Nevertheless, those who play devil’s advocate often point out that these wealthy individuals donate millions—or even billions—to certain causes. Philanthropy is, in fact, seen by some as a “solution” to these problems.

Are human beings fundamentally selfish or generous? Hobbes and Rousseau would disagree, but it seems the answer lies somewhere between their two views. For example, we know that hunter-gatherer societies would share small surpluses with others following a successful hunt. They did so in the hope that when they themselves faced scarcity, others would do the same. The ancient Egyptians, for their part, made offerings to the dead so that they might ensure good fortune for themselves. In short, giving in order to guarantee a return—that is often the dynamic.

In the Middle Ages, when Christianity reigned supreme, the wealthy were blessed by the Almighty and rewarded for giving to the poor. There were the haves and the benefactors. However, the Enlightenment transformed everything. From then on, thinkers realized that issues of wealth were not a matter of natural order but a social construct. Consequently, philanthropy was suddenly expected to address these issues.

Some cases have truly helped in this regard. The extremely wealthy Katharine Dexter McCormick realized that U.S. states were blocking the development of female contraceptives. She unilaterally funded research that led to the development of the first birth control pill in the 1950s.

However, other donations serve primarily to spread an ideology elsewhere—corruption disguised as philanthropy. For example, businessmen financed Mexico’s agribusiness sector so that it could provide more food to its people. The idea was to counter communist doctrines and feed “Third World” nations so that their populations would remain in their own countries. This Green Revolution did indeed help these countries feed themselves—but at the expense of the environment, small farmers, and others.

Unfortunately, it seems that philanthropy primarily benefits the most powerful, allowing them to maintain their dominance by deciding who deserves help and who does not. As social, environmental, housing, and other issues intensify, the question is: in which direction will the ultra-rich move? Will they help, and in what way?

Duration: 26min34

Image: Tumisu from Pixabay