Question Of The Day: Is Wealth Created Or Merely Transferred?

[MarkB]

Is wealth created or merely transferred?

For every winner is there a loser to balance the equation?

Interesting topic................

 

[Businessman]

Firstly, you'd have to define "wealth" and explore whether what you're measuring is actually of any real practical worth.

 

[MarkB]

If we use a base definition of wealth - net assets including cash.

 

[Businessman]

Then your problems start with FIAT currency - which, as I hinted the other day - is the equivalent of some weans playing monopoly, exhausting the cash in the set (which should by the rules be 'game over') but choosing to delay bedtime by scribbling their own notes in crayon on some scrap paper... and we;'ve seen much of this in the past decade or so, though it's been going on for generations.

Illusory "wealth" on those terms is 'created', though its relevance to anything anyone actually needs to survive and flourish is denuded. It's also transferred between the special bairns that aren't excluded from the game.

If you had the choice between 2 Acres of land in a quiet peaceful place where nobody would ever bother you, some basic education and hand skills, and some bricks, mortar and seed but little or no money.. Or a job for life on average wages (bearing in mind that they wouldn't buy you an 'average' house these days, or an 'average car') - which would you take?

And before anyone answers that one... Consider the nature of 'wealth' and who creates it for whom, and what good it does.

 

[MarkB]

So wealth should be measured relative to?

 

[Businessman]

Personally, I'd say positive social impact (meaningful jobs created, genuine alleviation of under employment and poverty etc) and on a human level peace of mind, personal security and good mental health.

 

[Canlla]

I would say one of the most intriguing topics out there now or never. Of course, you rarely see rich kids coming from wealthy families being in a hard situation in their lives. However, you can also see rich kids that are extremely spoiled and don't create anything for themselves other than using their parents money for their pleasure and satisfaction without contributing at all to this society. I think that success should be measured by the actual social status of every individual and the maximum he could get with the resources he had in hand. This is why I find important to read about people like https://www.juststartinvesting.com/guy-fieri-net-worth/ since they're really mesmerizing due to the way they made their wealth.

 

[Gusson]

I would say one of the most intriguing topics out there now or never. Of course, you rarely see rich kids coming from wealthy families being in a hard situation in their lives. However, you can also see rich kids that are extremely spoiled and don't create anything for themselves other than using their parents money for their pleasure and satisfaction without contributing at all to this society. I think that success should be measured by the actual social status of every individual and the maximum he could get with the resources he had in hand. This is why I find important to read about people like https://www.juststartinvesting.com/guy-fieri-net-worth/ since they're really mesmerizing due to the way they made their wealth.

It's so true now. All these wealthy kids who have no respect for money never make good investment decisions.