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https://en.wikipedia.org/wiki/Wealth_inequality_in_the_United_States https://en.wikipedia.org/wiki/Wealth_inequality_in_the_Unite... "The bottom half of the in
by doggosphere 5y ago
https://en.wikipedia.org/wiki/Wealth_inequality_in_the_United_States https://en.wikipedia.org/wiki/Wealth_inequality_in_the_Unite...
"The bottom half of the income distribution had a huge share of its wealth tied up in real estate while owning essentially no shares of corporate stock. The top 1 percent, by contrast, wasn't just rich — it was specifically rich in terms of owning companies, both stock in publicly traded ones ("corporate equities") and shares of closely held ones ("private businesses")...So the value of those specific assets — assets that people in the bottom half of the distribution never had a chance to own in the first place — soared.
NPR also reported in 2017 that the bottom 50% of U.S. households (by net worth) have little stock market exposure (neither directly nor indirectly through 401k plans), writing: "That means the stock market rally can only directly benefit around half of all Americans — and substantially fewer than it would have a decade ago, when nearly two-thirds of families owned stock."
A poor person is not greatly affected by debasement of their savings in currency, because they don't have any savings.
Debasement eventually shows up in the form of inflation of consumer goods prices. And inflated housing prices makes it nearly impossible for future generations to ever own a home, depending on the city.
- dragonwriter 5y ago> Debasement eventually shows up in the form of inflation of consumer goods prices Sure. But nominal price inflation doesn’t matter to the poor as a class, but to those on fixed nominal income (e.g., many retirees, or people dependent on benefit programs with fixed rather than indexed benefit levels.) Real increases in prices of goods disproportionately in demand at lower income levels matters to the poor, but that’s a different issue than general inflation. > And inflated housing prices makes it nearly impossible for future generations to ever own a home, depending on the city. Real increase in housing prices (or, more to the point, increases in housing prices relstive to a particular poor persons income), which has nothing to do with currency debasement/devaluation or general inflation, makes homeownership less accessible.
- doggosphere 5y agoReal prices have been increasing. They approach bubble territory. Home price to income ratio: https://www.longtermtrends.net/home-price-median-annual-income-ratio/ https://www.longtermtrends.net/home-price-median-annual-inco...