3 ms·
Generational wealth is a significant problem as winner take all dynamics tend to concentrate wealth within families until they get so powerful that they form ar
by dougmwne 5y ago
Generational wealth is a significant problem as winner take all dynamics tend to concentrate wealth within families until they get so powerful that they form aristocracies. The US is new enough that it’s aristocracy is just getting started. Several European countries lack them because war or revolution hit the reset button, but if you look at a country like the UK, you will see it alive and well.
- User23 5y agoPlenty of UK nobility has no substantial assets to speak of other than a house that’s ten times bigger than they need and a constant money pit. The traditional way out is to marry a rich commoner who wants their children to be titled.
- nitrogen 5y agoOn the other hand, generational wealth below obscene amounts is a vital stabilizing force in a society. A middle to upper middle class family passing on a boost to each subsequent generation is a good thing. Grandparents help pay for their grandkids' schooling, kids have some sense of stability and a safety net, etc. We need many layers of safety nets and stabilizing forces, because every layer is prone to different types of failure. There is a natural and desirable support structure of individial -> family -> community -> state -> humanity that allows society and individuals to survive and thrive through changing circumstances. Too much reliance on any one layer, especially the state, is a recipe for fragility or tyranny. When every individual has an emergency fund, every family has a nest egg, every community pulls together in time of need, and every state provides a safety net of last resort, we can weather any storm.