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It is worse than the bar chart implies. If you are rich and your housing is costing $5k a month, because you want to live centrally, or in a massive house, you
by quickthrower2 4y ago
It is worse than the bar chart implies. If you are rich and your housing is costing $5k a month, because you want to live centrally, or in a massive house, you have the choice to downsize and put up with living not so centrally, or a smaller house. The poor person might already be in the cheapest accommodation it is possible to get.
In Australia for example, if someone gets a government allowance due to unemployment, it will cover renting a room, and then maybe $10 or $20 a week for food or something like that. Basically it doesn't cover the cost of living. They can't downsize. To what? There is a base level of accommodation cost.
Similarly there are a bunch of other jettisonable features of the rich person's life. Their health insurance is better, they buy convenient and funky food that is delivered fresh, they have nicer cars and so on.
- brailsafe 4y agoTrue, but many of them think they're richer than they are, and develop dependencies on things that max out all of their income and going into so much debt that they don't realize how little volatility they can actually handle.