Advantage Quote by Adam Smith
“The necessaries of life occasion the great expense of the poor. They find it difficult to get food, and the greater part of their little revenue is spent in getting it. The luxuries and vanities of life occasion the principal expense of the rich, and a magnificent house embellishes and sets off to the best advantage all the other luxuries and vanities which they possess ... It is not very unreasonable that the rich should contribute to the public expense, not only in proportion to their revenue, but something more than in that proportion.”
About This Quote
Source Book: The Wealth of Nations, 1776
The poor spend most of their income on basic needs, while the rich spend on luxuries, suggesting the rich should pay a larger share of public costs.
In simple terms: Poor spend on basics, rich on luxuries, so rich should pay more taxes.
Key Takeaway
Tax the rich proportionally more.
Themes
economics
social justice
taxation
Mood
concerned
analytical
Type
policy
economic
When to use this quote
- government budgeting
- social welfare programs
- public infrastructure
- income redistribution
Key Concepts
progressive tax
public finance
wealth inequality
Questions to Reflect On
- How can tax policy balance fairness and economic growth?
- What alternatives exist to progressive taxation?
A Different Perspective
Higher taxes on the rich may discourage investment or be politically unpopular.
![“Next came the Patent laws. These began in England in 1624; and, in this country, with the adoption of our constitution. Before then [these?], any man might instantly use what another had invented; so that the inventor had no special advantage from his own invention. The patent system changed this…” quote by Abraham Lincoln](https://sms4smile.com/quotes/img-quotes/449/abraham-lincoln-88_adoption_next-came-the-patent-laws-these-began-in_1828.jpg)
