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In other words, the 500 wealthiest people added a trillion dollars of value to the economy this year.

Edit: you all that are down-voting need to learn how the economy works.




The creation of wealth, in various forms, is what adds "value" to the economy; rich people ending up owning/controlling that wealth isn't the same thing as those rich people having created that wealth.

Edit: Don't passive-aggressively revel in victimhood. If you feel misunderstood, explain better - don't blame your audience.


Providing capital to those with talent IS providing value. Thats why entrepreneurs exchange a portion of their company for the capital - capital has value and helps the entrepreneur. Money doesn't appreciate in value by doing nothing. Once you have wealth you can use it to make more wealth by taking risk based on the demands of the market.


That is a much better comment than your previous one.

I would counter that right now, money is ridiculously cheap. Interest rates are breathtakingly low. There are enormous amounts of money running around begging to be borrowed. As such, if this system you posit was accurate, then the very wealthy would be seeing the smallest returns on their money for decades, as they effectively competed to be the lender/investor to the people creating wealth.

But that's not what we're seeing.

It's also not what we see with investing in the stock market; that provides nothing to a company beyond the first time a stock is sold (barring a secondary argument that there is value in demonstrating that people are trading shares in the company which makes everyone feel good about the company and there's a value in that), but the rich are seeing some fantastic returns on their money in the stock market, extracting a nice steady stream of dividends and capital value increases, without having given a penny to the company named on the stock.

As an aside and speaking purely from my own experiences, I draw more each year from the stock market than my country's median salary, and I'm generating no wealth whatsoever for that (although I expect some would argue that by not selling all my shares, I'm providing value and that's what I'm being rewarded for). I could retire and get by for the rest of my life, entirely on the backs of others. The rich do the same to a breathtaking degree.




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