How People Get Rich Now

I wasn't really picking on the point, I was just noting that Airbnb seems like an increadibly bad example.

Also, using hyperbolic language like

> But this level of wealth concentration and inequality is detrimental to the fabric of a society. We’re not better off, we’re not more innovative, we’re not healthier or more cohesive or happier when this happens.

is definitly a dog whistle and not simply "noticing some consequences".

Excepting the WWII memoirs (because I'm not sure how I want to count either Anne Frank, Elie Weisel or Winston Churchill in terms of "authors from the 1940s"), among authors whose nonfiction works are still read, there are a few names that do occur to me:

George Orwell, Friedrich Hayek, Simone de Beauvoir, John Maynard Keynes, Jean-Paul Sartre

For fiction there are obviously many more whose works have come through to frequent readership: Hemingway, Shirley Jackson, Albert Camus, C.S. Lewis, Antoine de Saint-Exupéry, Ayn Rand to name a few.

In this particular economy, absolutely - where else is your money going to go?

However, part of the way we got here is specifically due to neighborhood segregation and zoning laws. People don't like their housing going down in value, so they protest anything that might cause it to do so. Whether or not upzoning would actually harm property values is not material: the fact that people believe it to do so is enough to get them to protest increases in the housing supply. This means that every local government is blocking housing supply and working to keep prices high, which makes housing an artificially safe investment, and thus encourages infinite speculation.

This will continue until we break the idea that home ownership = retirement plan and that dense housing = cheap housing = crime. Once that happens, then it makes far less sense to speculate on real estate and we can start unwinding this long con. The reason why maximum mortgage amounts are so high is that banks can't lose - if the the debtor pays off their investment in full, then the bank wins; and if they default, then the bank repossesses a house that is likely worth more than the principal of the loan, so they win. There's no default risk - if that were to return, then banks would be more skeptical of who they lend to, and that would put start quenching demand.

It's funny how this post subtly buries the lede:

> In 1892, the New York Herald Tribune compiled a list of all the millionaires in America. They found 4047 of them. How many had inherited their wealth then? Only about 20% — less than the proportion of heirs today. And when you investigate the sources of the new fortunes, 1892 looks even more like today. Hugh Rockoff found that "many of the richest ... gained their initial edge from the new technology of mass production."

I agree with PG, 1892 is a lot like today. And just like today it was characterized by the formation of huge monopolies that consolidated control of new technologies, as well as rampant inequality and exploitation of workers[1]. The reaction among those that didn't get to benefit from the excesses of this era is also notable - Communism - and not the kind where hipsters complain on the internet but rather the kind where people were willing to violently overthrow governments.

[1] https://en.wikipedia.org/wiki/Gilded_Age

>Why all the focus on income/wealth "inequality". Shouldn't we be looking at the absolute baseline quality of life? Hasn't it been increasing dramatically despite increasing inequality? Due to technological advances, hasn't the baseline quality of healthcare, education, sanitation, nutrition, shelter, comfort, convenience, etc. significantly improved from the 60s or the 80s?

If people are feeling more volatility, and that it can all slip out from under them at any time, then all that baseline quality improvement is not worth much. Also, just like many other animals, we are playing a game rooted in the mechanics of mating involving social hierarchy and various tribal mechanics that are key to securing desired resources and reducing the aforementioned volatility. I do not imagine vast gaps in income/wealth/security help the tribe as a whole in this game.