See the scenario in the first post - how long would it take?

1 week
2
5%
1 month
0
No votes
3 months
3
7%
6 months
8
19%
1 year
6
14%
2 years
1
2%
3 years
3
7%
5 years
8
19%
10 years
6
14%
20 years
2
5%
50 years
3
7%
Never!
0
No votes
 
Total voters : 42

The Redistribution Of Wealth Poll

Postby Tama on Tue 24/Mar/09 12:31pm

OK, let's say that all of the wealth in the world is suddenly magically divided up equally amongst the human population. So everyone is on a completely level footing.

How long would it take for 10% of the population to be back holding 90% of the wealth? :eh:
Tama
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Re: The Redistribution Of Wealth Poll

Postby ThingOne on Tue 24/Mar/09 12:36pm

Very interesting question..
Its kinda like those lotto millionares who lose it all, plus some, a couple of years down the track.
The trick to being rich is holding onto it.

Most people would not know what to do with a 10 million dollars to ensure it kept pace with inflation , provided them with an income and not lose it.
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Re: The Redistribution Of Wealth Poll

Postby JK2 on Tue 24/Mar/09 12:42pm

Post soviet russia might give you a clue. DIdn't the govt give everyone shares in the Russian SOEs. RIch people bought them off the poor people for a bottle of vodka and a loaf of bread. That NZer who is a very rich investment banker made a killing doing it I think.
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Re: The Redistribution Of Wealth Poll

Postby michael on Tue 24/Mar/09 12:46pm

:eh: Well you've stumped me there Tama
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Re: The Redistribution Of Wealth Poll

Postby j2hyde on Tue 24/Mar/09 1:01pm

You mean during the immediatly ensuing chaos and all out global war, or in some sort of fairy land where "equal wealth" also includes equal recognition of property rights and rule of law, everywhere?

The question doesn't make much sense, because wealth isn't just a stack of cash or 0's in a bank account.
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Re: The Redistribution Of Wealth Poll

Postby Dazzle on Tue 24/Mar/09 1:05pm

JK2 wrote:Post soviet russia might give you a clue. DIdn't the govt give everyone shares in the Russian SOEs. RIch people bought them off the poor people for a bottle of vodka and a loaf of bread. That NZer who is a very rich investment banker made a killing doing it I think.


Substitute 'Russian Mafia' for 'Rich people' and 'black market goods' for 'vodka and a loaf of bread'. :thumbsup:
Your standard political corruption also put a lot of ex-KGB into positions of economic power.
... and now you have non Russian business men getting assinated while trying to do business in Russia and members of the press dropping like flys. :)
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Re: The Redistribution Of Wealth Poll

Postby Tama on Tue 24/Mar/09 1:08pm

j2hyde wrote:You mean during the immediatly ensuing chaos and all out global war, or in some sort of fairy land where "equal wealth" also includes equal recognition of property rights and rule of law, everywhere?
Whatever you believe would happen - note the number of people going for the 6 month option.

j2hyde wrote:The question doesn't make much sense, because wealth isn't just a stack of cash or 0's in a bank account.

Tama wrote:OK, let's say that all of the wealth in the world is suddenly magically divided up equally amongst the human population.

Magic can do anything - just ask Paul Daniels :)
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Re: The Redistribution Of Wealth Poll

Postby Nick_K on Tue 24/Mar/09 1:14pm

How many bikes can I buy with my wealth is the more important question.
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Re: The Redistribution Of Wealth Poll

Postby Tama on Tue 24/Mar/09 1:18pm

Nick_K wrote:How many bikes can I buy with my wealth is the more important question.

http://www.metrics2.com/blog/2006/12/05 ... _1_un.html wrote:Using currency exchange rates, global household wealth amounted to $125 trillion in the year 2000, equivalent to roughly three times the value of total global production (GDP) or to $20,500 per person.

Adjusting for differences in the cost-of-living across nations raises the value of wealth to $26,000 per capita when measured in terms of purchasing power parity dollars (PPP$).


Lot's of interesting graphs there: http://www.metrics2.com/blog/2006/12/05 ... _1_un.html

I wonder how they've changed?
Tama
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Re: The Redistribution Of Wealth Poll

Postby lubie on Tue 24/Mar/09 1:26pm

j2hyde wrote:The question doesn't make much sense, because wealth isn't just a stack of cash or 0's in a bank account.
Fucking Hippy!!

if everyone was on a level footing, wouldn't some barter system then come into force a lot sooner?
lubie
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Re: The Redistribution Of Wealth Poll

Postby Willey_Coyote on Tue 24/Mar/09 2:22pm

I think the real question is, given what we all know now, when placed on equal footing, would there be more rich people that there currently are. The poor would still spend the money on a new Tv, whereas the rich would find a product or service that the cash rich need and supply it. Maybe it would be the top 12% holding the wealth.

I'm up for the experiment - Tama, make it happen.
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Re: The Redistribution Of Wealth Poll

Postby j2hyde on Tue 24/Mar/09 3:00pm

lubie wrote:
j2hyde wrote:The question doesn't make much sense, because wealth isn't just a stack of cash or 0's in a bank account.
Fucking Hippy!!

if everyone was on a level footing, wouldn't some barter system then come into force a lot sooner?


Ha! I didn't mean in the touchy feely metaphysical sense - money is only worth what people collectively believe it to be worth. If you instantly redistribute wealth - which people assume to be money - then you change and probably destroy it's value.

Markets, governments, businessess etc would be instantly emasculated. How would companies pay any of their employees and why would anyone go to work when they had either just recieved more money than they'd ever dreamed about having (most of the developing world) or lost everthing they thought they owned? Then they'd realise all the money is worthless. It would be total and absolute anarchy.

The only things that would have value would be those of utility to people that want them. And the most useful thing to have in that situation would be weapons, so you could get the things you want from those that have them. Survival of the fittest would be order of the day.

And if you assume wealth isn't money, then the things you're magically redistributing are physical assets - houses, tools etc or some sort of service that relies upon them (but without the knowledge of how to use it) - health care, education, communications whatever. Most of it to people who got extra stuff wouldn't know what do do with it. The people that lost stuff would want it back, and having superior education and organisation skills would quickly figure out ways to get it. In any case it's a silly hypothetical, because of the complete ambiguity of underlying assumptions.
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Re: The Redistribution Of Wealth Poll

Postby happybaboon on Tue 24/Mar/09 3:14pm

j2hyde wrote:The only things that would have value would be those of utility to people that want them. And the most useful thing to have in that situation would be weapons, so you could get the things you want from those that have them. Survival of the fittest would be order of the day.

So maybe we should redistribute the weapons then? Surely he who controls the weapons ultimately controls the wealth... Give everyone an equal quantity of weapons and let them go to town on each other. Within days the whole world would be like "Escape from Las Angeles" except not as cool because there will be not enough Kurt Russells to go around.
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Re: The Redistribution Of Wealth Poll

Postby Kazmeistyr on Tue 24/Mar/09 3:32pm

I imagine it would not take too long before the redistibution returns to a "natural" state. But as Hyde says above, it would be a shitstorm of epic proportions to get there.

My prediction is that in the next decade a super-flu-virus-thingy will arise in asian countries, knocking off millions of poor folk, buggerising demand and shattering the world economy completely. Nature will have her way, mark my words.
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Re: The Redistribution Of Wealth Poll

Postby Tama on Tue 24/Mar/09 3:42pm

j2hyde wrote:In any case it's a silly hypothetical, because of the complete ambiguity of underlying assumptions.

And your point is? :eh:

OK - here's some visual AIDS aids for people like Mr Hyde who're lack imagination right now. As we've previously read if you evenly divided up the world's "wealth" amongst the global population everyone would end up with around $26,000 (yes I know this is totally arbitrary and from 2000 but it's the best number I have.)

$26,000 would get you this house in Kadoka, South Dakota: http://www.sellwithsusan.com/details_re ... ?mls=90879 - map here: http://maps.google.co.nz/maps?f=q&sourc ... iwloc=addr

While $260,000 would get you this lovely place in a gated community in San Jose, Costa Rica: http://www.therealestate.net/HTML/1909.html

So if we put everyone in the whole world in a shitty house in South Dakota how long would it take before 1 out of 10 of them were living in a mansion in Costa Rica and the other 9 were living in a refrigerator cartons?
BLACKHILLS90879.jpg
$26,000 house in South Dakota
costa_rica.JPG
$260,000 mansion in Costa Rica
homeless9.jpeg
Fridge Carton
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