It's a wrong and dumb anecdote because spending money doesn't make it vanish into thin air. It just ends up in someone else's pocket. And from there, one can in

It's a wrong and dumb anecdote because spending money doesn't make it vanish into thin air. It just ends up in someone else's pocket. And from there, one can indeed "keep dividing" as the poor man suggested. It seems the poor man in that story knows more about how the economy works than the rich man.