Post
Topic
Board Economics
Merits 2 from 2 users
Re: This why wall street are rich and you are poor
by
barbara44
on 13/01/2022, 19:48:43 UTC
⭐ Merited by JayJuanGee (1) ,dezoel (1)
I think what the OP is trying to say here is that when you have more money to invest in an asset, then the return you are likely to gain from the asset will be more than when the capital you are investing is less. He is right, because when you invest less money in all these types of assets, the profit you are gaining wouldn’t be as much as those who invest bigger amount of money (the whales).

So, the problem for an investor can be finance; when you don’t have enough money to invest in an asset, then you will be unable to make better profit. He then pointed out that Wall St. investors would usually borrow money to invest in the stocks or assets of their choice for them to be able to multiply their profits.
The percentage rate of what you are gaining is the same, and considering if you are poor, the amount you are getting into is the amount you can afford. The problem with the difference is that whales do not have living cost worries, so they live like nothing has happened if they invest a million dollars, or 2 million, they are the same for them. Whereas we save from our daily lives and put that aside and send money accordingly. This is what gets me, I mean if we can't even pay for our regular life, how could we invest, how could we get better? Liberals will say "pull yourself up by the bootstraps" and all, but as long as there are population crisis, too many educated people, very little pay for the same job, can't even afford a house and many other stuff, then I am sorry but we are going to end up seeing these type of problems all the time. It is not going to change any time soon.