Re:Five richest men double their money as poorest get poorer
by fingerlocks on Monday January 15, 2024 @08:27AM
(#39000696)
This is a known concept in economics. A person with only one dollar will have a very difficult time turning that into 1 + x dollars. Probably impossivle. A hundred dollars is slightly more likely to generate positive ROI, but still improbable. Zero dollars has a strong gravitational pull.
When I was undergrad 20 years ago, we had to calculate the “escape” velocity which was ~7.5 million at the time, where one dollar is more likely to become more than one for an average person’s expenditures. It was probably the point where a T-bill investment return passes median net income, something like that. It definitely wasn’t exactly rocket science like the rest of the metaphor.
When I was undergrad 20 years ago, we had to calculate the “escape” velocity which was ~7.5 million at the time, where one dollar is more likely to become more than one for an average person’s expenditures. It was probably the point where a T-bill investment return passes median net income, something like that. It definitely wasn’t exactly rocket science like the rest of the metaphor.