How does this seem "fair" to anyone?
No it does not seem fair or reasonable to me. Given the circumstances, the intention behind these decisions/rules does not appear to be about creating a fair platform. Its appears to be more about creating a controlled environment that makes the distribution of Steem more difficult. The bulk of the reward pool being funneled to those who already hold the most Steem looks like self sabotage.
At a guess it may be seen as an incentive for people to invest.
is it excessively too aligned with socialism?
Is it "socialism" to steal from the poor and give to the rich?
Oh, inverted Robin-hood-ism. To answer your question, I would ask Bernie Sanders what he thinks about this question. Better yet, Obama talked about redistributing wealth. Now, that would include stealing from the poor. When I say socialism, I am using a very generic definition or version of socialism or perhaps things somewhat indirectly relevant and related to socialism. That is how I talk. I use words very loosely in order to compare things with other things as opposed to talking like a scientist who is forced to be very literal, direct, simple, scientific, as opposed to being theoretically, metaphorical, indirect, general, etc.
I'm not suggesting redistributing to anyone.
I'm simply suggesting we stop stealing from the poor to give to the rich.
Who steals from the poor?
The "reward pool" that everyone loves to crow about "protecting" with downvotes is comprised mostly of "below minimum payout" fractional upvotes from small accounts.
All of this fractional dust is collected and then redistributed to the top-earners (posts that make more that 20 steem get some of it, and posts that make 200 steem get the largest percentage of "the reward pool".
So, downvoting = steal from the poor to give to the rich.
Socialism Pool:
I don't like the shared pool. But if there was no downvoting, then the pool would at least be first come first served.
Abuse
Of course the pool can be abused.
Little POOLSSSSSS vs one ring to rule em all
That is why it would be better if Steem were to allow for decentralized pool systems flow through the Steem system similar to how cryptocurrency exchange websites might work as opposed to one big centralized Steem Rewards Pool. Whoever thought that a centralized pool was the best way to compete with the central bankers needs to go see a brain doctor lol.
Not in my mind, but it would depend on how you define that word : )