undefined | Better HN

0 pointsmandmandam1y ago0 comments

> the wealth is unequal, sure

Do you really understand just how unequal it is? Most Americans vastly underestimate it [0]. And that's from 2013; inequality has rapidly worsened since. Do you understand the effects of that inequality?

> look at how much better the human quality of life is compared to even 50 years ago.

I don't think this is true.

There is quality of life in owning a house, a family house. There is quality of life in having job security. There is quality of life in feeling safe letting your kids go outside in an urban environment. There is quality of life in not having record proportions of your populace behind bars. There is quality of life in being able to weather illness without filing for medical bankruptcy. There is quality of life in being able to support a family with an average wage. Etc.

0 - https://web.archive.org/web/20191016221950/http://www.people...

0 comments

abnercoimbre1y ago

I admire your restraint while responding. Saying "at least you're not a feudal lord's slave!" is the most uninspiring argument by the intellectually lazy status quo apologists.

(I'm sure the parent isn't in this category, so I'm speaking in general.)

gonzobonzo1y ago

> Do you really understand just how unequal it is?

But the above blog post and study you linked to are misleading as well. For instance, wealth gets vastly skewed by age. The average net worth for people 65-75 is almost 10 times the average net worth of someone under 35[1]. For anyone who knows anything about investing, this isn't very surprising. Steady investment will cause people's savings to grow drastically from when they start to when they retire. A vulgar look at the numbers can have people saying "person A has 10 times the wealth of person B!", without considering that person B will also reach the level of person A when they get to the same age.

That's not to say that age alone would simply explain all of the inequality in society, but it's a major factor and an example of why you need to actually dive into the data rather than running with the baseline numbers. When it gets ignored it's likely people are pushing a polemic and aren't genuinely interested in what's happening.

[1] https://www.nerdwallet.com/article/finance/average-net-worth...

mandmandamOP1y ago

> The average net worth for people 65-75 is almost 10 times the average net worth of someone under 35[1].

Is that because they're older? Or is it because when 70 yo's were young they could go through college on part time work, buy a house with an average wage, and then have that house skyrocket in value because housing was turned into an investment vehicle?

Dig into those statistics, and look at how much of the €400k net worth is tied up in their homes, homes which they owned outright at 25-27 years old. That's unimaginable today. People that age are living with their parents.

Look at those statistics and compare the median to the average - the distribution is extremely skewed - you could even call it 'unequal'. 'Record levels of inequality' even.

Age isn't as much of a factor as the 'nerdwallet' blog seems to think; and to the degree to which it is, is a natural consequence of having had more time to work and invest during a boom period, then having a certain generation and class of people 'pull up the ladder' after them.

1 more reply

scarface_741y ago

One issue with owning a home is that it makes it harder to move where the jobs are.

The US puts too much emphasis on homeownership for wealth creation.

Epa0951y ago

Yeah, but did they have microwave ovens and Netflix? /s

j / k navigate · click thread line to collapse