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Old 02-09-2018, 06:31 PM
 
Location: Olympus Mons, Mars
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https://www.nytimes.com/2018/02/08/b...s-economy.html

is this stat even valid? This seems ridiculously skewed to me. I thought 50% of Americans owned some stocks and the average balance was about $100k
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Old 02-09-2018, 06:45 PM
 
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You didn't even read your own linked article. Why? It answered your question.

Some people buy cell phones and expensive cars, others invest in stocks. It's not anyone's problem if people would rather buy things that will be worthless.
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Old 02-09-2018, 06:47 PM
 
Location: Aurora Denveralis
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The article is pretty clear in establishing that yes, they are talking about everyone's 401k's etc. I don't find the number particularly shocking; if some vast amount of wealth is concentrated in a very small percentage of holders, that money has to be somewhere... and stocks are a primary place.

The NYT is neither given to hysteria nor clickbait BS (playground namecalling by the orangutan-in-chief notwithstanding).
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Old 02-09-2018, 07:52 PM
 
Location: Ohio
17,986 posts, read 13,233,625 times
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Quote:
Originally Posted by k374 View Post
https://www.nytimes.com/2018/02/08/b...s-economy.html

is this stat even valid? This seems ridiculously skewed to me. I thought 50% of Americans owned some stocks and the average balance was about $100k
As of June 2017, there 453 Billion shares of stock. Some households might hold a few thousand shares, maybe even in the tens of thousands of shares, but not the Millions or tens of Millions that others might hold.

About every 3 years, the Federal Reserve conducts a Survey of Consumer Finances, and the data is derived from that.
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Old 02-10-2018, 02:30 AM
 
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the only problem with that survey is to much is assumed about what we all have from very little relative sampling . you would likely be off just doing a random sampling of my own neighborhood , what we all have can vary so much .
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Old 02-10-2018, 04:33 AM
 
Location: Sector 001
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People into crypto currencies cream themselves (forgive my pun) over "decentralization" and pride themselves in being open source but often these currencies are the same way.. a large majority of the coins are held by a relatively small number of people. Get in early and hold and let your money grow. This is how the rich get richer and pass their money onto their heirs after teaching them how to be financially responsible and not blow it all on things like $50K SUVs, trucks, and sports bars, the most common thing people around here blow their spare income on.

It takes money to make money though and it's certainly easy when you started out with a net worth of $2M or more to grow your money than if you started out with nothing. It will be much easier for me after netting several hundred K in cryptos to make that money grow in the markets and fund my early retirement than it was in 2016.

I still think they should have added a 50% income tax bracket for people who earn more than $2M per year. Some quarterback just got the highest paying NFL deal ever, amounting to something like $28M per year.. taxing sports players more would be like a sin tax to provide revenue to the government for people who blow their money on sports.
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Old 02-10-2018, 06:12 AM
 
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I heard that 20% of the people eat 80% of the peanut butter. I wonder if it's the same 80%? There's obviously some overlap.
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Old 02-10-2018, 06:59 AM
 
Location: Sonoran Desert, AZ
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Pareto's Law of the Important Few and the Trivial Many
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Old 02-10-2018, 08:23 AM
 
Location: Northern NJ
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Quote:
Originally Posted by k374 View Post
https://www.nytimes.com/2018/02/08/b...s-economy.html

is this stat even valid? This seems ridiculously skewed to me. I thought 50% of Americans owned some stocks and the average balance was about $100k

Lack of stock ownership is a personal problem to be solved by the individual. I can recommend E-trade to solve this personal problem. You log on, give them some money that you have earned and own, and then you proceed to select a stock or mutual fund. Click add to cart. Checkout.


Done. Now the personal problem of lack of stock ownership is solved and you can proceed with your day.
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Old 02-10-2018, 11:33 AM
 
6,996 posts, read 6,629,325 times
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Quote:
Originally Posted by k374 View Post
https://www.nytimes.com/2018/02/08/b...s-economy.html

is this stat even valid? This seems ridiculously skewed to me. I thought 50% of Americans owned some stocks and the average balance was about $100k
The money center banks control about 70 percent of total financial assets. They're very highly leveraged as the regulations allow (without accounting for the 2x rehypothecation of collateral in the US). That's why the meltdowns occurred when several trillion dollars in telecom debt or mortgage debt or sovereign bonds soured. It's actually even worse for European sovereign debt since the EU regulations allow the national banks to leverage the entire purchase under the assumption they're free of currency risk and held to maturity. There is no collateral behind the sovereign debt, except the requirement for the respective governments to inject capital.
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