Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

20 year study of global wealth demolishes the myth of ‘trickle-down’

businessinsider.com

Post reply on HN
Print view View original

201–210 of 444 posts

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#201

Post by Clubber »

xondono wrote: post #157
JKCalhoun wrote: post #153

Earlier quoted context omitted.

> It doesn't really matter where the money starts, the market will deal with allocation efficiently. Interesting take. I haven't ever heard trickle down proponents suggest we give the money to the working class. It's like they don't really believe that.

> I haven't ever heard trickle down proponents suggest we give the money to the working class. Because that would require taking from some people and giving to others through government, which is a very inefficient way to do it.

>Because that would require taking from some people and giving to others through government, which is a very inefficient way to do it.

I mean where do you think defense contractor profits come from? How about medical and Pharma? Medicare is the largest single payor in the US and they deal exclusively with the elderly who require more prescriptions and medical care. Many large industry's largest client is the federal, state and local governments. Where does that money come from? Our taxes; not only ours but the taxes of future generations through debt. We do it all-the-time with business to prop them up. That doesn't even get into tax incentives.

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#202

Post by bottled_poe »

romwell wrote: post #131
bottled_poe wrote: post #107

Earlier quoted context omitted.

Should I quote the parts in question? They seem obvious to me, as it’s every sentence.

I'd be so happy if everything I said was obvious , because in that case, trickle-down wouldn't have been the de-facto economic direction of the US since Reagan. But it seems like the obviousness of the stupidity of the idea of trickle-down has been lost on us; hence the study. Do quote though — maybe it'll help the obvious point trickle down to the rest of the population.

See my other response to sibling.

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#203

Post by cannabis_sam »

How the hell was this ever a myth…?

It’s trivially shown to be complete and utter garbage..

Anyone pushing this type of pseudo-ideology should be laughed out of any intelligent discussion.

(Sadly, in reality, these braindead morons are actually in charge of our economy..)

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#204

Post by jt2190 »

netcan wrote: post #52

In college, I studied Ronald Coase's famous 1920s papers. The major application ATT was infrastructure stuff. Coase's argument was that "given 0 transaction costs," it doesn't matter who owns what property or right. The market will achieve efficient solutions as firms sell each other radio spectrum or whatnot. Policy should focus on minimizing transaction costs and let the market organize itself. Circa 2005, I heard…

Typo: He was pissed [off].

(I don’t usually comment on typos but this one took more than a second for my brain to decipher.)

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#205

Post by FredPret »

pydry wrote: post #161
FredPret wrote: post #150

Earlier quoted context omitted.

So many issues with this. If the doctor et al - the investing public - don’t own the dividend-paying companies, who will? If you say “a broader base of people” I agree. If you say “the state”, I’d urge you to read some history books. Ownership is an economic concept that is fundamentally misunderstood. It’s a skill you can be good at, and a good owner has a massive positive impact on society. It’s not a golden ticket…

>It's not a golden ticket to sit on your ass and switch off your brain Buy $5 mil in S&P and that's exactly what you can do. Comfortably. The fact that you can mix work with wealth and earn a higher return is proof of little more than you can mix work with wealth. If you have wealth that is.

If an investment works well and is well known (S&P), it’ll only work for so long.

The PE ratio’s in the 500 S&P co’s have been heading ever upward (https://www.multpl.com/shiller-pe) indicating some sort of self-reinforcing effect.

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#206

Post by sharemywin »

xondono wrote: post #157
JKCalhoun wrote: post #153

Earlier quoted context omitted.

> It doesn't really matter where the money starts, the market will deal with allocation efficiently. Interesting take. I haven't ever heard trickle down proponents suggest we give the money to the working class. It's like they don't really believe that.

> I haven't ever heard trickle down proponents suggest we give the money to the working class. Because that would require taking from some people and giving to others through government, which is a very inefficient way to do it.

The problem with that argument is it happens all the time. just the other way around. The problem is we're in the worst situation. where people who trust the market don't want to create laws that help the working class and people that want government to create more laws to help the working class argue amongst themselves and the rich and powerful slowly slip in more laws that help them.

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#208

Post by ImprobableTruth »

JKCalhoun wrote: post #163
JackFr wrote: post #149

Earlier quoted context omitted.

> as the billionaire holds on to whatever financial product they bought forever as long as it appreciates faster than inflation. Another word for that is investment. Where do you think that money goes? You don’t earn returns on money that isn’t doing anything.

I assume it goes overseas.

Why would you assume that? Most stock people buy is of American companies.

And hell, even if it was true, what is wrong with investing in foreign companies (of presumably underdeveloped nations)? That money still isn't "doing nothing", but rather giving the funding to companies that need it.

Re: 20 year study of global wealth demolishes the myth of ‘trickle-down’

#209

Post by GDC7 »

JKCalhoun wrote: post #189
GDC7 wrote: post #167

Trickle down was never about monetary wealth . It’s about quality of life . It does trickle down considering that nurses are taking overseas trips to Europe every 2 months and 800$ purses can be bought for 5$ and the only thing which makes it noticeable is a small hologram which nobody will check . Of course people only look at yachts and mansions because when everything becomes equal the stuff which separates the ri…

Sorry, you're comparing $5 counterfeit purses to $40M yachts? I'm unaware that nurses were popping off to Europe twice a year (unless you meant nurses that already live in Europe). Meanwhile I see more and more homeless living along the freeways.

No. I am comparing a 5$ purse to an 800$ purse .

Trickle down made it so that the 2 are indistinguishable, except for an hologram nobody would ever check .

Of course if you are hating on trickle down because not everybody owns a 40M yacht then you’d always be disappointed in every system .

At least with trickle down a regular person can afford to be on a 40M yacht for a week in their whole lifetime if they accept some trade-offs , some sharing of the boat with other guests and maybe some debt .

Not to mention luxury buildings costing 5 billions or more . Regular people can go in those hotel buildings at least 4 times per year (think the big Vegas hotels)

Also nurses do travel overseas . Don’t know if it’s all paid for or some debt but for sure they are going

Post reply on HN