Why has economic inequality increased in the United States?

[AlexBailey]

Communism becomes desirable for the masses when wealth accumulates to much and upward mobility seems out of reach.

Social democracy serves the intent stated in the Preamble of the US Constitution far better than pure market capitalism.

 

[SebastianHolt]

Communism becomes desirable for the masses when wealth accumulates to much and upward mobility seems out of reach.

Social democracy serves the intent stated in the Preamble of the US Constitution far better than pure market capitalism.

hence we need to ship the communist down to Venezuela

 

[AlexBailey]

We only need ONE Department of Education for this country.

So no difference between states in regards to education?

I like the idea. I’m just surprised you’re espousing it.

 

[SebastianHolt]

Communism becomes desirable for the masses when wealth accumulates to much and upward mobility seems out of reach.

Social democracy serves the intent stated in the Preamble of the US Constitution far better than pure market capitalism.

It's not out of reach, just that these people are too lazy to try. they are quitters

 

[SebastianHolt]

So no difference between states in regards to education?

I like the idea. I’m just surprised you’re espousing it.

We live in a global world, so kids need to learn the same things.

 

[wildrise]

The real reason is that a person who is willing to educate themselves and who has legally accumulated wealth can generally make 3 to 10% annually in the long term, most years, sometimes more, with relatively little risk.

So compound that over a period of years for various classes of net worth:

$0
$1,000
$10,000
$100,000
$1,000,000
$10,000,000
$100,000,000
Etc.

 

[SebastianHolt]

The real reason is that a person who is willing to educate themselves and who has legally accumulated wealth can generally make 3 to 10% annually in the long term, most years, sometimes more, with relatively little risk.

So compound that over a period of years for various classes of net worth:

$0
$1,000
$10,000
$100,000
$1,000,000
$10,000,000
$100,000,000
Etc.

people do not like saving as they want everything now

 

[AlexBailey]

hence we need to ship the communist down to Venezuela

Ah, Venezuela is a good case study!

Check out what happened there during the early days of the Venezuelan oil industry when capitalism concentrated wealth into foreign investors and those connected in government. Investment boomed and things looked great until corruption grew.

Parts of the economy benefited from exploitation of natural resources while others were left behind, breeding resentment among those who weren’t in on the gravy train.

Society is tricky that way. Things tend to seek a balance. Social democracies like Scandinavian countries understand this much better than the US seems to. That’s why they have a greater quality of life for their citizens and have relatively little poverty.

 

[eric_erosfan]

people do not like saving as they want everything now

Some people have nothing left to save after paying rent, utilities, groceries, car payment, insurance, etc.

 

[AlexBailey]

people do not like saving as they want everything now

Being able to save requires being able to meet daily needs first.

When someone is struggling and in survival mode “the future” is their next meal or where they are going to sleep.

Saving doesn’t fit with desperation.

What was your safety net while growing up? Did you have a support network such as family or friends when you were young that made it possible for you to plan and invest for your future?

Lots of successful people want to think they did it all by themselves, not recognizing the benefits they received from their personal and societal infrastructure.

 

[wildrise]

people do not like saving as they want everything now

And not just saving but having the money invested in something with a rate of return, depending on your risk preference. The ability to invest in compound interest vehicles will exponentially increase the gulf in wealth as time goes on.

 

[wildrise]

Someone have an orgasm … sheesh

 

[SebastianHolt]

And not just saving but having the money invested in something with a rate of return, depending on your risk preference. The ability to invest in compound interest vehicles will exponentially increase the gulf in wealth as time goes on.

People have life backwards, where the leased BMW is worth more than their house.

 

[SebastianHolt]

Being able to save requires being able to meet daily needs first.

When someone is struggling and in survival mode “the future” is their next meal or where they are going to sleep.

Saving doesn’t fit with desperation.

What was your safety net while growing up? Did you have a support network such as family or friends when you were young that made it possible for you to plan and invest for your future?

Lots of successful people want to think they did it all by themselves, not recognizing the benefits they received from their personal and societal infrastructure.

This goes back to people making bad decisions, like a new car (or lease) every 3.5 years. rent vs purchase. wasting 10 hours a day smoking and playing the xbox ...

 

[SebastianHolt]

And not just saving but having the money invested in something with a rate of return, depending on your risk preference. The ability to invest in compound interest vehicles will exponentially increase the gulf in wealth as time goes on.

we need to teach kids to invest in themselves. IE I spent thousands of dollars on computer books when I was in grade school through college. started up my first company at a very young age. The people that my friends hire are like baby birds where they expect you to place the answer in their mouth, as they lack the skills to figure shit out

 

[Rightguide]

Partisans often fail to make connections. Many Republicans do not understand the conflict between desiring lower taxes, less government, and desiring bigger military budgets. They continue to think Republicans stand for balanced budgets forty years after the Reagan administration tripled the national debt.

In percentage-of-GDP terms, the debt didn’t triple; it went from about 31% of GDP in 1981 to around 50% in 1989. So while the raw dollar amount tripled, the economy was also growing. So yes, saying “Reagan tripled the national debt” is technically true in nominal dollars, but it’s a bit misleading without the GDP context.

 

[JohnEngelman]

In percentage-of-GDP terms, the debt didn’t triple; it went from about 31% of GDP in 1981 to around 50% in 1989. So while the raw dollar amount tripled, the economy was also growing. So yes, saying “Reagan tripled the national debt” is technically true in nominal dollars, but it’s a bit misleading without the GDP context.

In his debate with Jimmy Carter Reagan promised to balance the budget by 1983, "if not sooner." he did not do it. Most of the economic growth of the Reagan administation went to the rich.

 

[AlexBailey]

we need to teach kids to invest in themselves. IE I spent thousands of dollars on computer books when I was in grade school through college. started up my first company at a very young age. The people that my friends hire are like baby birds where they expect you to place the answer in their mouth, as they lack the skills to figure shit out

How does the cost of living versus income compare between now and when you were at “a very young age”?

How much more expensive is education?

How much more expensive is healthcare?

How much more expensive is housing?

Think macro economics here, not individual, because trends and society change based on broad trends rather than the exceptional good or bad performance of individuals.

 

[SebastianHolt]

How does the cost of living versus income compare between now and when you were at “a very young age”?

Think macro economics here, not individual, because trends and society change based on broad trends rather than the exceptional food or bad performance of individuals.

Good question, back when I was a kid, money was tight (for almost everybody), but not as bad when banks would give you a free blender for opening up a savings account.

I'm a little busy and will ponder your question

 

[Wilson23]

Hard to see any solution but Universal Basic Income.

 

[AlexBailey]

Hard to see any solution but Universal Basic Income.

That’s a tough one.

It’s the advent of AI and robotics - particularly the up and coming android robots that will impact the labor market far more than immigration ever has. And in this case the technology will accelerate the concentration of wealth.

What are the solutions?

Seriously. Concentration camps for the poor and working class? Because the depressed labor wages that compete with tech and increased real estate will bring us into the endgame of capitalist Monopoly.

There will be lots of losers, and it’s not just going to be the “lazy”.

 

[SebastianHolt]

Hard to see any solution but Universal Basic Income.

why do you require a universal basic income? worry about that when AI takes over or we go into space

 

[SebastianHolt]

Third, computer technology increases the relationship between intelligence and income. It enables geniuses to become millionaires and billionaires. It created careers for those of above average intelligence. It destroys jobs for those of below average and even average intelligence.

can't stop progress and innovations

 

[SebastianHolt]

It is crazy how many trailer park MAGAs will vote for the people arguing for tax cuts for millionaires. The ruling class has played these people perfectly.

you are a retard

 

[Wilson23]

It's not out of reach, just that these people are too lazy to try. they are quitters

Social mobility in the United States is a LOT harder than it used to be.