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Two words: compound interest. To those that have much, much accrues. In the absence of redistributive taxes, societies become unequal because math.
by blueyes 11y ago
Two words: compound interest. To those that have much, much accrues. In the absence of redistributive taxes, societies become unequal because math.
- tbrownaw 11y agoExcept that this has been observed to not happen. Wealth differences between families have been observed to not compound across generations. Wealth differences between nations also don't compound across generations. So, there's clearly something that stops reality from matching that nice pretty math.
- harryh 11y agoShirt sleeves to shirt sleeves in three generations. Money is much easier to spend than to keep. And if you didn't have the discipline to earn it in the first place it's even easier.