4 ms·
I agree completely. Someone living hand to mouth subsidence farming has about $0. Someone who went to a top quality law school, or medical school. Who has a n
by Balero 8y ago
I agree completely.
Someone living hand to mouth subsidence farming has about $0.
Someone who went to a top quality law school, or medical school. Who has a nice car on lease, and a hefty mortgage, maybe a bit of credit card debt. But who is also brining in 6 figures. could have -$X00,000.
In my opinion the second person has more 'wealth' than the first person. But on paper, the education and opportunities are not counted. But the debt needed to pay for these is counted.
You get the opposite problem when you look at just income. People who have a vast wealth, but don't work, would be counted as being very poor.
Sadly finding someone's 'wealth' is quite complicated, and doesn't make an easy headline.
- derekp7 8y agoJust need to find a way to put a value on intangible assets. If that diploma, for example, can bring in an extra 150 grand a year, then I would put a value of that asset at around 3 million or so (assuming a 5% return on investment). Being born in a country with opportunity brings in at least $20k a year (minimum wage), so that asset is worth 400K total. Getting stuck in a high cost of living area where you need $50K a year just to survive may have a negative one million dollar value.