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>Individuals don't care about their ability to change their percentile, they care about their ability to change their total income. I think most individuals wou
by lumberjack 10y ago
>Individuals don't care about their ability to change their percentile, they care about their ability to change their total income. I think most individuals would prefer a "non-mobile" $60k increase in income versus a "mobile" $40k increase in income. You can't spend percentiles.
I highly dispute this. Take it as a completely different world view but I think if people were given a choice:
1 >a nominal income of $100k for you and a nominal income of $200k for all your neighbours
2 >a nominal income of $75k for you and a nominal income of $60k for all your neighbours
A lot of people would opt for choice 2. I myself am not sure whether I'd go for 1 or 2.
- sanoli 10y agoDepends. Can I opt for the $100k income and then move to the $60k neighborhood?
- jawbone3 10y agoYes, that is choice 2
- jazzyk 10y agoYes, the Economist has an article on this relativity every two years or so :-) There are two reasons for why people invariably choose 2> - people are competitive and want to feel superior to others (or at least above average) - the price of everything adjusts to median income, so if you live in a $60K state/country with a $75K income, everything is more affordable for you.