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There are actually two halves of Matthew's law: the rich get richer & the poor get poorer. I wonder why they didn't say anything about the other half? I supp
by Natsu 13y ago
There are actually two halves of Matthew's law: the rich get richer & the poor get poorer. I wonder why they didn't say anything about the other half? I suppose you might think it was entailed in the first, but I'm not sure how valid reasoning that would be if it's not zero sum.
- oakwhiz 13y agoDue to the deflation, wouldn't the poor get richer in the exact same proportion?
- Mikeb85 13y agoDeflation makes the value of currency go up, so the rich would get richer. In an inflationary world, the rich actually get poorer, but typically have the means to invest and thus negate the inflationary loss... The reason for the typical rich-get richer scenario in the real world is that the rich have enough assets that they don need to be liquid that they can invest and increase their wealth, whereas the poor need to keep their assets liquid for potential hard times, and thus by not investing they lose value to inflation.
- bdcravens 13y agoPerhaps there's an idea in there about those stuck with mining equipment that can't get an ROI due to difficulty increases.