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All are, even the traditional family is a "Ponzi Scheme" in that new investors (babies) pass money up to old investors (the elderly). Unlike most Ponzi schemes
by mynameishere 17y ago
All are, even the traditional family is a "Ponzi Scheme" in that new investors (babies) pass money up to old investors (the elderly). Unlike most Ponzi schemes, however, the old investors are seeking modest gains, and for a very limited time.
The problem is when the pyramid goes upside down (4 grandparents, 2 parents, 1 child). In that case, policy doesn't enter into the equation. You're effed no matter what.
- ojbyrne 17y agoI don't know what kind of family you live in, but in mine the flow of money has passed in the opposite direction for generations.
- mynameishere 17y agoThat's mainly true because we (now-a-days) treat anyone under 24 as an invalid, needing constant subsidization. In reality, the only people who need welfare are: actual cripples, young children, and the elderly. Cutting off the gravy train to young adults would have zero systematic effect.
- aaronblohowiak 17y agoI think you may have misinterpreted the point the parent was making -- some of us have families where the elderly leave wealth to the next generation when they pass on.
- mattm 17y agoExcept this is China. In general, the elderly do not have money. There is also a strong cultural ingrained into youth that it is their responsibility to support their parents and grandparents when they start earning money.
- jhancock 17y agonah, not a problem, if you only have 4 grandparents, 2 parents, 1 child, you simply have to put more pressure on the 1 child to get into Harvard. Problem solved ;)