not true though
ordinary people spend more and drive the economy
the wealthy hoard money and grow assets keeping money out of the economy
It is totally counterproductive to make ordinary working people poorer
"Tax dodging by rich could be ‘much greater than thought’, says UK audit office"
- Thread starter JohnD
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ordinary people spend more and drive the economy
the wealthy hoard money and grow assets keeping money out of the economy
Did i say that their contribution was wrong?
The majority of the population have absolutely no idea about this stuff
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Did I say you said it was wrong?
Absolute nonsense.
My rich BIL spends huge sums in this country on all sorts of things providing income for people
That was inferred and certainly by the tone of your response
That is the root of the problem. these days people can see the injustices and unfairness, the corruption is blatant.
On average, though, the research shows that money in the hands of poorer people is much more effective at boosting the economy.
Not sure i agree with this. Social media has portrayed situations where the few benefit and a lot of people think they can do the same without the graft
And the amount of cash in hand work done these days, very blatantly is astonishing
I have been reading something similar about social media contributing to unhappiness.
Happy to be proved wrong however I seriously doubt the properties they're buying and mothballing would be within the financial reach of those who are homeless, or would have been before they became so.
D
Deleted member 323070
He invests to create more wealth for himself.
His wealth is increased from his existing wealth, and because he accumulates more wealth, the not-rich have less.
Wealth isn't created out of the ether. It's built on the labour of others.
D
Deleted member 323070
Of course they're not. But those buildings are useful for mothballing wealth. And it accumulates more wealth by simply sitting there and doing nothing.
He keeps large tracts of the countryside in reasonable order. But his claim that agriculture enterprises like the duchy of Cornwall employs farmers runs a little thin when you realise many of the farm tenants are very short term and are essentially there keep the grass down by tending beef or sheep. Fair enough it’s a business but one that is slightly more founded on maintenance of pastures and woodland than it is agriculturally productive
Economic growth more likely when wealth distributed to poor instead of rich
According to research from the Brookings Institution and the Reserve Bank of Australia, the marginal propensity to consume of high-income earners is substantially less than for low-income earners. In other words, poorer people are likely to spend the bulk of any extra income while the wealthy are more likely to save it.
the very wealthy accumulate assets
the ordinary working man spends his discretionary income no consuming not accumulating assets
So what’s the actual real world importance of estimating marginal propensities to consume? Knowing which households are the most likely to spend an extra dollar can help make fiscal policy more effective. According to Carroll and his co-authors, any fiscal stimulus targeted toward individuals in the bottom half of the wealth distribution would be 2 to 3 times more effective than just a blanket stimulus.
Given the high and rising levels of wealth inequality in the United States, this finding should give some guidance to policy makers. Ignoring the distribution of wealth can undermine their ability to get the economy back on track.
Wealth inequality and the marginal propensity to consume
If someone handed you $10 right now, what would you do with it? Would you decide to spend it right away? Or would you stash it away? Or some combination of the two? The answer to that question would in part reveal your marginal propensity to consume, or MPC for short. This statistic goes a […]
equitablegrowth.org
ah yes, the poor are poor because they are lazy.............that old chestnut
meanwhile the very wealthy work themselves to the bone accumulating assets like property by having other people working hard to pay rent
