Wealth distribution

[Chris]

Right, those numbers don't tell the entire story.

In another thread, someone asked me whether Trump would have more money had he taken what his dad provided to him and just invested it into an S&P 500 index fund rather than run all the businesses that he has (a few failed). Yes, he would have made much more.

But he would not have added to the economy the way that he did.

This hard fact calls into question the motives of the class warfare types. Just think: Trump could have put all of his money into an index fund tracking the S&P and have made more than creating / managing / succeeding and failing at business.

Yet the former choice would have very little economic effect, while the latter would greatly effect the economy.

But people vilify those in our society that create jobs.

Great post.

I think many don't see the jobs created, just how rich they are and how unfair it is.

[Peter1469]

Great post.

I think many don't see the jobs created, just how rich they are and how unfair it is.

The anti-capitalist crowd are simply put- stupid.

[Chris]

The anti-capitalist crowd are simply put- stupid.

Well, they certainly look at capitalism differently. It used to be class exploitation, now that it's evident everyone gains, it's inequality of gains.

[Dr. Who]

I think you are confusing or misusing terms. Income distribution refers to how a nation's GDP is distributed through the population. But that has nothing to do with whether the GDP grows or shrinks. It is simply a snap-shot in time.

The billionaires that we are told to hate hire many more people than millionaires, the well off, and most certainly the poor.

I wasn't referring to GDP, but personal incomes. You can have great GDP but income stagnation and unemployment, since GDP only measures the monetary value of the goods and services produced in a nation. For example, the sale of Apple phones contributes to GDP but doesn't do much for employment. It also depends on how you measure GDP.

The primary creator of billionaires is not developing and growing businesses from the ground up, like Bill Gates or Mark Zuckerberg, it's investing and much of those investments tend to be in global markets - global equity, global infrastructure, global real estate, global bonds and emerging markets (wherever they may be). Billionaires like Warren Buffet.

[Dr. Who]

Right, those numbers don't tell the entire story.

In another thread, someone asked me whether Trump would have more money had he taken what his dad provided to him and just invested it into an S&P 500 index fund rather than run all the businesses that he has (a few failed). Yes, he would have made much more.

But he would not have added to the economy the way that he did.

This hard fact calls into question the motives of the class warfare types. Just think: Trump could have put all of his money into an index fund tracking the S&P and have made more than creating / managing / succeeding and failing at business.

Yet the former choice would have very little economic effect, while the latter would greatly effect the economy.

But people vilify those in our society that create jobs.

However, the majority of billionaires are market made, not people who grow businesses from the bottom up.

[Chris]

I wasn't referring to GDP, but personal incomes. You can have great GDP but income stagnation and unemployment, since GDP only measures the monetary value of the goods and services produced in a nation. For example, the sale of Apple phones contributes to GDP but doesn't do much for employment. It also depends on how you measure GDP.

The primary creator of billionaires is not developing and growing businesses from the ground up, like Bill Gates or Mark Zuckerberg, it's investing and much of those investments tend to be in global markets - global equity, global infrastructure, global real estate, global bonds and emerging markets (wherever they may be). Billionaires like Warren Buffet.

Investing invests in "developing and growing businesses from the ground up, like Bill Gates or Mark Zuckerberg."

[MisterVeritis]

Right, if working and middle class people get more money they are likely to spend which stimulates the local economy and the economy in general. That's what i was taught years ago. This narrative that concentrated wealth is somehow better for the economy is sort of oxy-moronic . Yet it seems to have a lot of followers.

Go out and get as much money as you want. No one, other than Democrats, will stop you.

[Captdon]

Right, if working and middle class people get more money they are likely to spend which stimulates the local economy and the economy in general. That's what i was taught years ago. This narrative that concentrated wealth is somehow better for the economy is sort of oxy-moronic . Yet it seems to have a lot of followers.

Billionaires make more when everyone makes more. That's where profits come from. All this tax haven nonsense is just that- nonsense. There is no profit in holding money.


Some money is held until better tax rates are put in force. This top 1% is just a load of hogwash. It doesn't have any actual meaning to an economy. Billionaires does. Whether the extremely wealthy own 99% or 50% has nothing to do with money invested in profit-making. It is profit- making that allows people to move up.

Liberals want you to think the pie never changes size. If the rich get money, everyone else loses money. The problem with that is that the GDP today is 19+trillion. In 1965 when I first went to work it was 712 billion. The pie got bigger.

It's why I tell you that it doesn't matter what Bill gates makes. It matters what you make. I live better than my father did at retirement and he did well for his time. There's my case.

[MisterVeritis]

However, the majority of billionaires are market made, not people who grow businesses from the bottom up.

So? Do you believe people who are "market made" have performed less of a service?

[Dr. Who]

So? Do you believe people who are "market made" have performed less of a service?

Realistically, much of their money is operating in the global market and that money is being diluted all over the planet, unlike smaller to mid-size business entrepreneurs who are directly employing fellow citizens. In fact, one could argue that they are helping to create the massive multinational companies that buy up all of their little competitors and ship the jobs into low tax, low labor rate markets.