Re:Fleeing New Yorkers resulted in an estimated $34B in lost...
by blackrock on Tuesday December 15, 2020 @05:53PM
(#25436432)
> residents who left this year earned an average income of about $140,000
Averages tend to mask the true reality.
If a corporate executive makes $10 million dollars a year. And the next 100 people makes $100,000 a year. Then the total is $20 million dollars.
When you divide this by 101, you get an average of $198,000. Which is nearly double what the normal person in this example earns.
The better metric is to use the median salary. Which in this example is $100,000. And the executive’s salary is the outlier.
Then again, most executives are paid in tax deferred stock options. And they cash out for a pot of gold after a few years. So this distorts any estimates of general income and wealth of the population.
Averages tend to mask the true reality.
If a corporate executive makes $10 million dollars a year. And the next 100 people makes $100,000 a year. Then the total is $20 million dollars.
When you divide this by 101, you get an average of $198,000. Which is nearly double what the normal person in this example earns.
The better metric is to use the median salary. Which in this example is $100,000. And the executive’s salary is the outlier.
Then again, most executives are paid in tax deferred stock options. And they cash out for a pot of gold after a few years. So this distorts any estimates of general income and wealth of the population.