Is it possible that World Wealth is up?

[hambone1983]

Originally Posted by Terrakot

"Increased world wide wealth" is simply inflation.

Not at all.

Inflation is the rate of change in price of a basket of goods - food & beverage, medical expenses, housing, energy. It is meant to mimic the expenses of a typical household

Household wealth is comprised primarily of retirement/pension savings, shares of stock, home equity & bank deposits.

[HK852GMT]

Originally Posted by jsausley

This is the best way I've ever heard someone refer to him.

Either love it or hate it. There is no inbetween.

[FLSTFI Dave]

Originally Posted by HK852GMT

I deeply distrust and dislike the ‘rich are getting richer, poor are getting poorer’ soundbite.

As a certain ‘Marmite character’ from the US has roughly described it, “If you graduate high school, don’t have kids before marriage, and have a job; you will end up wealthier than your parents.” I have broadly stuck to that (by luck on the second point), and i am working for every dollar i earn. I don’t begrudge people with more money than me.

I think the definition of what is middle class has vastly changed in my short 56 years.

In the Early 70's my Grandparents were by definition solid middle class. A very nice 1000 square foot home, 3 br and 1 bath, a 1 car garage. Grandma didn't work, grandpa did. They had one nice new Olds Delta 88, grandpa got a new one every year right of the line he worked for Olds. Then they had a 10 year old beater. One TV, 1 Phone.

When they passed, my mom inherited the house in 1985. It could not even be rented as a HUD home, not enough square feet.

My parents solid middle class, dad a commercial loan officer, mom a High School teacher. 1600 Sqft home, 4 br, 2 bath two car garage. One new car, and a 4 year old car. Also a camping trailer. 2 phones,2 tv. Not much else.

I am classified as Middle class, 2400 sqft home on an acre on the lake. Three Cars, Harley's, a boat. I'm blue collar worker, skilled trades.

My parents and grandparents were both more educated than I am.

We have so much more today, than we did just 40 years ago. Hard to find a home with out computers, tablets, cell phones, game consoles, and other high dollar toys.

If my grand parents were alive today, they would think I was extremely rich. What in their day was a very nice middle class home, now isn't good enough for those on government hand outs.

[GMT Aviator]

Originally Posted by Ian Macdermott

I know same as the RD350LC I had later and all the other old bikes I had.

Sent from my HUAWEI VNS-L31 using Tapatalk

Ahhh the old RD350LC. Wish I’d kept mine. Kept my ‘94 Gixer 750 instead, she’s a beauty.

[strafer_kid]

Originally Posted by Monte Cristo

This

Very true!

[Monty22]

Originally Posted by Tha Baron

Most people are payment slaves... people value high incomes over high assets. It’s sad, I’m betting the world economy blows up in my life time. Just look at a chart, any will do... consumer debt, government debt, unfunded liabilities, etc

+1. It is always a head scratcher to me when income is confused for wealth.

I remember when I was 30 and I grabbed a dinner check at a restaurant away from my Dad proclaiming “I make more than you”, I should pay. My dad said “I HAVE more than you”, and grabbed it back.

Never forgot that...RIP, pops


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[singe89]

Make lending/borrowing with long terms and large amounts easy to obtain and it will just drive up prices. Look at housing, college tuition, cost of cars, etc.

Starter homes are over $1m, pickup trucks are reaching $100k and a year of college is $50k+.

[77T]

I would say that loose credit + poor priorities = buying frenzies like we see in many markets today.




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[axl911]

Consumerism and debt are not bad things. They are major driver/fuel in an economic engine. I would bet that China wish they have a strong consumer driven economy as ours.

You can say that people spend beyond their means and buying houses they can’t pay will cause a wreck in the economy, but I would somewhat disagree with that. Overly laxed lending law and practices let consumer spend more than they can afford. Slick and complicated CDO products let banks and greedy investors buy products without realizing their true risk and bad underlying assumptions. All these things add up to the last big economy recession we just had.

[EDL7]

People got greedier..and stupider..the past few decades..
A toxic mix..from low to high..
But for those that keep in balance..
There are good opportunities for them..

[cts]

World debt sure is...

[RTG]

Originally Posted by Monty22

I remember when I was 30 and I grabbed a dinner check at a restaurant away from my Dad proclaiming “I make more than you”, I should pay. My dad said “I HAVE more than you”, and grabbed it back.

I love that. Hope I can remember that comeback when my kids are older.

[Tseg]

Originally Posted by enjoythemusic

Believe you mean currency devaluation. They like to use the world "inflation" as humans have become numb to that terminology. Central banks and basically flooding the market, thus those at the top-tier who receive currency first receive the most benefit (member banks such as JP Morgan, Goldman Sachs, etc).

And yes, the top-tier is receiving more currency, meanwhile the middle class is being squeezed lower due to lower currency valuation, and the lowermost tier is SOL. Thus the lowermost needs more subsidies to survive (notice how politicians are offering 'free' things more often).

Of course the smart currency people (bankers, etc) know holding onto currency (Federal Reserve Debt Notes Dollar, Euro, etc) are being highly devalued, so said currencies 'runs' towards things of intrinsic value (watches, artwork, rare cars, etc).

The past few years this devaluation has accelerated at a more rapid pace. Back in the day it was targeted @ ~2% devaluation annually, now it is around 4%+ annually. This is simply a cause-effect / problem with Modern Monetary Theory. Expect more of this, much more as the debt owed by major States toward obligations, etc are far exceeding their ability to pay for said obligations. So the banking centers, to keep pressure off of them, need to devalue the currency / their way out of this.

This is also why governments like to change how the data is acquired / assessed, so devaluation looks better than it really is if they used previous metrics. If a government / central bank doesn't like the numbers, change the way metrics are tallied.

Here's a site that employs more stable metrics.

http://www.shadowstats.com/alternate...flation-charts

Good luck everyone, as unless you're at / near the top-tier the cards are stacked against you.

Or Option B: keep your head down, work hard and save more money and don't get divorced so by the time your middle aged you have a Rolex on your arm, a sports car in the garage, the house paid off and 7 figures in the retirement account and still growing. When I got out of high school in the early '80's there was no hope for the graduates, no jobs for those graduating from college in the late '80's (I literally started in the mail room), no way to pay off college debt, yadda, yadda, yadda. Today tradesmen (plumbers, electricians, auto mechanics, etc...) are making well over $100K in their LATE TEENS. They will be wealthier than me at retirement if they have discipline. Don't push fake news that there is no chance to thrive in today's society unless you have family money or work on Wall Street.

Attitude is everything... and a good attitude and passion for their work is pretty much a guarantee for success, just like it was 40 years ago and 40 years before that.

[enjoythemusic]

Originally Posted by Tseg

Or Option B: keep your head down, work hard and save more money and don't get divorced so by the time your middle aged you have a Rolex on your arm, a sports car in the garage, the house paid off and 7 figures in the retirement account and still growing.

And i do :)

Though add in a Ferrari i tracked the sh*t out of, a Formula 2000 track car i eanred SCCA Driver's Championship in, and couple of Bentleys along the way. Box nearly full of Pateks, etc. Yes, home paid off and zero debt ('cept what my Muse racks up on a card each month... she's sooo worth it!).

Never had kids, never got married until 52

Don't push fake news that there is no chance to thrive in today's society unless you have family money or work on Wall Street.

You are right to some extent, yet reality is the slope is steeper for more people today than it was for you and i in the past. Fewer haves, far more have-nots as the gap is widening.

Very much agree with what you wrote "keep your head down, work hard and save more money", and made me smile big. Same here with the 80's, never got married, etc stuff as you said and is the best decision i ever made! Could concentrate on keeping my head down while doing emerging tech and an extreme workload (36 hour code-fests were the norm, 4 hours of sleep, wash rinse repeat) that no marriage could have ever survived.

Here's a pic for all you men who keep your head down, work hard and save more money.

Work hard, play harder

[JR16]

Originally Posted by AK797

I do know the rich are getting richer, as ever, and because of SM they have a new global platform for displaying their wealth which then trickles down to the middle and working class aspirers, and so perpetuates this wheel of fortune that even Daenerys was so keen to break.

Hmmmm, Danny dresses pretty fancy .. I bet if there was a Rolex boutique in Kings Landing she would have bought a few to wear before torching it.


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[FLSTFI Dave]

Originally Posted by Tseg

Or Option B: keep your head down, work hard and save more money and don't get divorced so by the time your middle aged you have a Rolex on your arm, a sports car in the garage, the house paid off and 7 figures in the retirement account and still growing. When I got out of high school in the early '80's there was no hope for the graduates, no jobs for those graduating from college in the late '80's (I literally started in the mail room), no way to pay off college debt, yadda, yadda, yadda. Today tradesmen (plumbers, electricians, auto mechanics, etc...) are making well over $100K in their LATE TEENS. They will be wealthier than me at retirement if they have discipline. Don't push fake news that there is no chance to thrive in today's society unless you have family money or work on Wall Street.

Attitude is everything... and a good attitude and passion for their work is pretty much a guarantee for success, just like it was 40 years ago and 40 years before that.

I graduated High School in 1981. Served 20 in the USN, learned a skilled trade, electrician. While in the Navy, they paid for my B.S degree. They also paid for my industrial Electronics certificate. When I retired from the USN in 2001, my Sills, with electricity and electronics I was getting job offers for more than double what I could get with my Degree.

Now a days, with 30 years of high school pushing college, anybody with a good trade skill, electrician, electronics tech, mechanic, robotics and so on can start off in the 80K range and be in mid 100's once they have ten years experience.

House is not fully paid for as we built a new lake home 12 years ago. That said, we do have nice toys. We have little debt. On track to earn in full retirement what I earn today.

[Jaff03]

Originally Posted by Frank McKay

It could simply be that world wealth is as high as it’s ever been and buyers aren’t concerned about paying heavy premiums for pieces they want now, no wait. I mean think about it, there are wealthy people out there that don’t have time to go to an AD and build a relationship. They simply go online and click a button and wait for the FedEx delivery.

Seeing the outrageous premiums is evidence that there are people out there buying at these prices. Rolex marketing + Increased world wide wealth + Rolex running rampant on social media = today’s current conditions.

Obviously yes, also more of technologies so things are made easy.

[Dr.Smellody]

I'm not sure..... from what I've experienced... what is rich? I get taxed, and taxed, and taxed.... then they say that's not enough.... pay more.

If I had the $$$$ I made, I'd have a dozen vintage big crowns and Daytonas.

I guess, at least, my niece gets free dental and I get to pay through the nose for dental for my children.