weatherman667:heyheyrich:This is actually a fascinating concept called the velocity of money. It BAS
weatherman667:heyheyrich:This is actually a fascinating concept called the velocity of money. It BASICALLY means that each additional dollar to a poor person (Like someone on minimum wage) is comparatively more valuable than each additional dollar to a wealthy person (like a millionaire or billionaire) because the poor person is more likely to go spend it on a good or service whereas the wealthy person will stick it in an offshore account. With the poor person, it will continue changing hands within the economy and get spent more often, leading to higher economic output. The wealthy person takes that dollar out of the economy by sticking it in a bank account to grow their wealth, and the dollar effectively becomes useless and stops changing hands. True, but only useful against paper tigers. Pretty much everyone is against giving money to major corporations, other than the politicians they’ve bribed.Many people have been convinced that giving them money translates directly to job creation. -- source link