Residing in the US and taking part in US society (eg by pursuing a career) is deeply problematic from an ethical point of view.
Do you follow some kind of utilitarian framework where you could quantify that problem? Roughly how much money donated to effective charities would make up the harm caused by participating in US society.
Thanks for asking, here’s an attempt at an answer. I’m going to compare the US (tax rate 40%) to Singapore (tax rate 18%). Since SG has better health care, education, and infrastructure than the US, and also doesn’t invade other countries or spy massively on its own citizens, I think it’s fair to say that 22% extra of GDP that the US taxes its citizens is simply squandered.
Let I be income, D be charitable donations, R be tax rate (0.4 vs 0.18), U be money usage in support of lifestyle, and T be taxes paid. Roughly U=I-T-D, and T=R(I-D). A bit of algrebra produces the equation D=I-U/(1-R).
Consider a good programmer-altruist making I=150K. In the first model, the programmer decides she needs U=70K to support her lifestyle; the rest she will donate. Then in the US, she will donate D=33K, and pay T=47K in taxes. In SG, she will donate D=64K and pay T=16K in taxes to achieve the same U.
In the second model, the altruist targets a donation level of D=60, and adjusts U so she can meet the target. In the US, she payes T=36K in taxes and has a lifestyle of U=54K. In SG, she pays T=16K of taxes and lives on U=74K.
So, to answer your question, the programmer living in the US would have to reduce her lifestyle by about $20K/year to achieve the same level of contribution as the programmer in SG.
Most other developed countries have tax rates comparable or higher than the US, but it’s more plausible that in other countries the money goes to things that actually help people.
The comparison is valid for the argument I’m trying to make, which is that by emigrating to SG a person can enhance his or her altruistic contribution while keeping other things like take-home income constant.
Since SG has better health care, education, and infrastructure than the US, and also doesn’t invade other countries or spy massively on its own citizens, I think it’s fair to say that 22% extra of GDP that the US taxes its citizens is simply squandered.
This is just plain wrong. Mostly because Singapore and the US are different countries in different circumstances.
Just to name one, Singapore is tiny. Things are a lot cheaper when you’re small. Small countries are sustainable because international trade means you don’t have to be self-sufficient, and because alliances with larger countries let you get away with having a weak military. The existence of large countries is pretty important for this dynamic.
Now, I’m not saying the US is doing a better job than Singapore. In fact, I think Singapore is probably using its money better, albeit for unrelated reasons. I’m just saying that your analysis is far too simple to be at all useful except perhaps by accident.
Yes, both effects exist and they apply to different extents in different situations. A good analysis would take both (and a host of other factors) into account and figure out which effect dominates. My point is that this analysis doesn’t do that.
I think given the same skill level the programmer-altruist making 150K while living in Silicon Valley might very well make 20K less living in Germany, Japan or Singapore.
I don’t know what opportunities in Europe or Asia look like, but here on the US West Coast, you can expect a salary hit of $20K or more if you’re a programmer and you move from the Silicon Valley even to a lesser tech hub like Portland. Of course, cost of living will also be a lot lower.
Do you follow some kind of utilitarian framework where you could quantify that problem? Roughly how much money donated to effective charities would make up the harm caused by participating in US society.
Thanks for asking, here’s an attempt at an answer. I’m going to compare the US (tax rate 40%) to Singapore (tax rate 18%). Since SG has better health care, education, and infrastructure than the US, and also doesn’t invade other countries or spy massively on its own citizens, I think it’s fair to say that 22% extra of GDP that the US taxes its citizens is simply squandered.
Let I be income, D be charitable donations, R be tax rate (0.4 vs 0.18), U be money usage in support of lifestyle, and T be taxes paid. Roughly U=I-T-D, and T=R(I-D). A bit of algrebra produces the equation D=I-U/(1-R).
Consider a good programmer-altruist making I=150K. In the first model, the programmer decides she needs U=70K to support her lifestyle; the rest she will donate. Then in the US, she will donate D=33K, and pay T=47K in taxes. In SG, she will donate D=64K and pay T=16K in taxes to achieve the same U.
In the second model, the altruist targets a donation level of D=60, and adjusts U so she can meet the target. In the US, she payes T=36K in taxes and has a lifestyle of U=54K. In SG, she pays T=16K of taxes and lives on U=74K.
So, to answer your question, the programmer living in the US would have to reduce her lifestyle by about $20K/year to achieve the same level of contribution as the programmer in SG.
Most other developed countries have tax rates comparable or higher than the US, but it’s more plausible that in other countries the money goes to things that actually help people.
this is the point where alarm bells should start ringing
The comparison is valid for the argument I’m trying to make, which is that by emigrating to SG a person can enhance his or her altruistic contribution while keeping other things like take-home income constant.
This is just plain wrong. Mostly because Singapore and the US are different countries in different circumstances. Just to name one, Singapore is tiny. Things are a lot cheaper when you’re small. Small countries are sustainable because international trade means you don’t have to be self-sufficient, and because alliances with larger countries let you get away with having a weak military. The existence of large countries is pretty important for this dynamic.
Now, I’m not saying the US is doing a better job than Singapore. In fact, I think Singapore is probably using its money better, albeit for unrelated reasons. I’m just saying that your analysis is far too simple to be at all useful except perhaps by accident.
Things are a lot cheaper when you’re large. It’s called “economy of scale”.
Yes, both effects exist and they apply to different extents in different situations. A good analysis would take both (and a host of other factors) into account and figure out which effect dominates. My point is that this analysis doesn’t do that.
I think given the same skill level the programmer-altruist making 150K while living in Silicon Valley might very well make 20K less living in Germany, Japan or Singapore.
I don’t know what opportunities in Europe or Asia look like, but here on the US West Coast, you can expect a salary hit of $20K or more if you’re a programmer and you move from the Silicon Valley even to a lesser tech hub like Portland. Of course, cost of living will also be a lot lower.