Re:The wealthiest 10% of Americans own a record 89% of all U...
by nemothekid on Tuesday October 19, 2021 @12:17AM
(#28914815)
>Counter point: It's a self correcting problem (on a long enough time horizon).
To point to someone who has done the research, 'Capital in the Twenty-First Century', states that its not a self-correcting problem. Furthermore, I'd argue that index investing make it incredibly difficult for his heirs to lose their money. Anything short of a collapse American global hegemonic power means their wealth will be relatively safe. Furthermore, investing is not means of wealth redistribution. I can invest billions in Wal-Mart, but that will not motivate them to pay their cashiers a cent more. The compounding effect of the wealthy owning most of the industry through the stock market means their share of the ownership grows, leading to headlines like we see.
To point to someone who has done the research, 'Capital in the Twenty-First Century', states that its not a self-correcting problem. Furthermore, I'd argue that index investing make it incredibly difficult for his heirs to lose their money. Anything short of a collapse American global hegemonic power means their wealth will be relatively safe. Furthermore, investing is not means of wealth redistribution. I can invest billions in Wal-Mart, but that will not motivate them to pay their cashiers a cent more. The compounding effect of the wealthy owning most of the industry through the stock market means their share of the ownership grows, leading to headlines like we see.