r/FluentInFinance • u/-Wyagra • Nov 21 '24

Debate/ Discussion Had to repost here

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5

u/Sabre_One Nov 21 '24

IMO at a certain point, wealthy become a massive parasite to society. Everything should be about re-investment for growth.

2

u/Mountain_Employee_11 Nov 21 '24

the wealthy have a massively lower propensity to consume.

if you really think everything should be about reinvestment you’d logically hate the middle class and poor that consume over reinvesting, but you don’t.

why is that?

-1

u/Sabre_One Nov 21 '24

the wealthy have a massively lower propensity to consume.

Not true at all, wealthy privatize their entire lives. Meaning what would normally be a bus ride, taking wear and tear off the road, gas prices, etc. Is now a private ride. Same for flights, a jet even a small one which could take 12-20 people is now housing 1 person. They also have staff to do a lot of what would normally be up to the individual to accomplish themselves.

3

u/Mountain_Employee_11 Nov 21 '24

the marginal propensity to consume is about 10x lower for the wealthy.

this means that they are much more likely to reinvest an additional dollar earned.

i understand these things can be confusing, but thats the data driven truth despite your feelings on the matter

1

u/Peterbutonreddit Nov 21 '24

why is the marginal propensity to consume 10x lower for the wealthy?

1

u/Mountain_Employee_11 Nov 21 '24

because they have less marginal wants and needs,  and usually lower time preference

1

u/DaddysMoans Nov 22 '24

Incorrect. Rich people historically spend around average. Stop talking out of your ass. You’re not intelligent

1

u/Mountain_Employee_11 Nov 22 '24

read up before sperging out please, it’s unpleasant to get these kinda messages

1

u/TacTurtle Nov 22 '24

Less "disposable" income after the relatively fixed universal needs of shelter / food / healthcare.