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Because if this people gave away this money, the effect on the very poor might be noticeable for some months but not sustainable. In no time they would be very
by narag 9y ago
Because if this people gave away this money, the effect on the very poor might be noticeable for some months but not sustainable. In no time they would be very poor again and the ones that gave the money away would be unable to give more.
Paul Graham has an essay about this error, how people thinks that there's a fixed amount of money. Once you understand that wealth is created and how, you can't talk like that with a straight face.
- lazerpants 9y agoPaul Graham's article on income inequality was of terribly poor quality (not sure if that's the one you're referencing). He fails to even begin to discuss capital, return on capital, and capital ownership as drivers in economic inequality. Basically it feels like a piece written by a smart guy who has no idea what he's talking about but feels emboldened because "economists are all idiots".
- jamie_ca 9y agoA one-time gift of cash to the poorest may actually have more impact than you think. https://www.theatlantic.com/international/archive/2015/09/welfare-reform-direct-cash-poor/407236/ https://www.theatlantic.com/international/archive/2015/09/we... > a $150 cash grant to poor women in the northern part of [Uganda] doubled their earnings within a year, while one-off $382 transfers to 16- to 35-year-olds were associated with 40-percent higher earnings four years later.