Re:Berkshire Hathaway Code of Business Conduct and Ethics [pdf]
by valuearb on Tuesday May 09, 2017 @02:39PM
(#14302742)
You can't stop some people from working harder or smarter than others, or saving money instead of spending everything they make. Those people will accumulate wealth far faster over time.
Re:Berkshire Hathaway Code of Business Conduct and Ethics [pdf]
by linschn on Tuesday May 09, 2017 @03:58PM
(#14303312)
That is where you are mistaken. The people who will accumulate wealth the fastest over time are the people who already have wealth.
Even statistical anomalies like Bill Gates or Steve Jobs got more money, once they became slightly rich, from the capital they owned than from the work they produced.
Re:Berkshire Hathaway Code of Business Conduct and Ethics [pdf]
by valuearb on Thursday May 11, 2017 @01:48PM
(#14318021)
Only because they didn't consume their capital, they kept it reinvested, and kept working. There have been thousands of business owners who could have become billionaires, but traded too much of their equity for a big house and expensive distractions.
Picketty's explanation is that capital's reward is higher than work's, but I'm not bent on defending that explanation (even if until a better one comes up, I'll stick to Picketty's).
As far as I know there is no counter example of the phenomenon itself (whatever the underlying reason is).