Re:Nasdaq Sinks 5% as Investors Retreat from AI Trade After ...
by grey-area on Thursday November 05, 2026 @03:03PM
(#50383729)
Not sure it works like that:
https://pmc.ncbi.nlm.nih.gov/articles/PMC9122750/
2008 decreased inequality for a very short time, inequality increased after. The rich have the available assets to profit from instability and are able to ride out unemployment, for the poor a crash and losing their job can be existential.
Re:Nasdaq Sinks 5% as Investors Retreat from AI Trade After ...
by Kirby64 on Thursday November 05, 2026 @04:04PM
(#50384444)
> Nominal inequality gets reset.
Why would it? The wealthy people who haven’t allocated their capital to those assets that are depressed from a recession can reallocate to the depressed assets and end up even wealthier on the rebound. People with no money at all don’t have that opportunity to invest.
Re:Nasdaq Sinks 5% as Investors Retreat from AI Trade After ...
by smallmancontrov on Thursday November 05, 2026 @07:10PM
(#50386429)
The stock market is $80T, cash is $20T. The former cannot "weather the storm" in the latter in aggregate, even though I'm sure there are individuals who successfully timed the market.
> At no point in the cycle is it better to be poor than rich, but the contractionary quadrant is the one where the gap shrinks.
Don't let the term "nominal" undersell this: it's nominal inequality that locks working people out of assets and imposes upon them the need to service the (otherwise) exponentially growing profit expectations of their economic complements. At no point in the cycle is it better to be poor than rich, but the contractionary quadrant is the one where the gap shrinks.