How Much Wealth is in the World?
Exactly how much wealth is there in the world? I hear the “99%” crying over the iPhones about the top one percent control ninety-nine percent of the wealth or some such garbage. So somebody please enlighten me; just how much wealth is there in the world?
Moreover, if we took all of the wealth that is currently in the world today, divided it up equally between all of the people in the world, just how long would everyone remain “equal” and contented? Is everybody going to give up everything just to remain on an equal footing with the person next to them?
Somehow, I question all of this with more than just a bit of skepticism!
The first … and what should be the most … obvious flaw with this entire train of thought is that there is no mysterious cap that limits the amount of wealth in the world. Wealth can be measured in many different ways … or weights for that matter.
Material wealth is different than financial wealth which is different from personal, emotional contentment or peace of mind which some people claim is the only true wealth. All of these aspects of wealth are measured differently and indeed, have different meanings entirely.
Apparently, the entire argument is about financial wealth so let us take a close look at just some of the many different flaws in this argument.
First and foremost, the majority of this “cry” about the lack of a communist system of wealth redistribution … I mean about the blatant disparity between the rich and the poor is measured in a fiat currency that in reality, has absolutely no value whatsoever.
I hate to be the bearer of bad news … okay, I really do not mind it as long as it gets you thinking outside of your comfort zone a little bit … but all of that legal tender that you have in your pocket, in your bank account and under your mattress has absolutely no value whatsoever.
It is based on the “Faith and good credit” of the federal government and their “intent” to pay it back to the federal reserve bank which is in itself a very questionable organization but not the primary argument here.
To really understand this, you have to know the difference between legal tender, cash money and currency. The fact that legal tender is being used as all of the above does not make it any of them, it only means that the government (or private institution known as the Federal Reserve) that can manipulate the currency, controls the economy (even if indirectly at this stage of their progression) and by default, controls we the people and holds us constantly in debt without the ability to generate any real wealth.
Perhaps it would be more accurate to say that we can generate wealth, but we cannot actually receive anything of real (tangible) value in return for our efforts. Still, that does not mean that we cannot play along with the system in the meantime and make enough to invest in real (tangible) material wealth.
The point in building up material wealth as opposed to financial wealth is multi-faceted and complex but the basics will be covered here in order to give you an idea of where this is going.
Again, the Bad News Bandwagon comes out … the economy is going to crash. This is in fact, an inevitable occurrence at this stage. Unfortunately, there is no way that the American dollar or very many other currencies can survive the present global financial crisis.
Investing in material wealth, when done wisely, will allow an individual to survive the economic collapse without losing everything that they own and that they have worked for … at least to the extent that the federal government will allow you to do so when it happens.
It is wise to remember that the government already banned the private ownership of gold in any form before, and confiscated private holdings of the precious metal. Now in all fairness to the inefficient and bloated bureaucracy that is our federal government, they only banned the private ownership of gold for a limited time.
It was (illegally?) confiscated from we the people at a highly discounted rate and held until the price of gold went back up to reasonable levels … at which time the federal government would allow you to “reclaim” your gold at highly inflated rates.
In my humble opinion, purchasing gold or silver is almost as foolish as buying “Certificates of Ownership” for gold and silver. Many people pay outrageous sums for some agency to hold their gold while giving them nothing more than a slip of paper saying that they own it.
How much do you really think that paper is going to be worth when the economy collapses?
Think about it for a moment!
Still, like is so often the case, surviving an economic collapse is yet another article.
Back on track now.
If you are simply discussing financial wealth you must first answer the question about how wealth is created.
Supply and demand is about the simplest and most effective answer to that question. If there is a demand for something, somebody is going to create it.
If somebody created something tomorrow that absolutely everybody in the world wanted, how much financial wealth would that prevent you from getting?
How much of your financial wealth would it cost you?
How much it would cost is dependent upon supply and demand. How much financial wealth it would prevent you from getting should be pretty obvious though … and the answer is that it would not prevent you from generating just as much wealth by simply creating something equally desirable or in demand.
The last time I checked, Bill gates was one of the top two richest men in the world … but how much wealth does he prevent anyone else from getting?
How much wealth does he prevent anyone from earning?
The answer is none at all.
Now put the shoe on the other foot for a moment.
How many jobs has he created? How many families and households has he provided jobs for? How many taxes have his employee's paychecks paid to the federal government? How much in taxes have the sales of his products generated to fund those federal programs that so many “progressive” types are so fond of? How many 401Ks have his stocks helped in order to boost some people's retirement funds?
Still, despite all of the wealth that Bill Gates has generated and all of his wealth that he has redistributed in the form of salaries, taxes and other amenities, other companies have managed to build up and thrive in the very same industry … competitors of his are still making great livings and also providing valuable tools, services and re-distributing wealth to productive people by being productive.
Granted, the federal government's war on business is not making this any easier, but that is what happens when people who do not even understand what wealth is, much less how it is created, make extreme efforts at regulating it so that the federal government is sure to get its cut.
Add a few woefully ignorant and well-indoctrinated hippy wanna-be's into the mix and you have the current outrage du jour.
The next time one of them asks you why we should allow the wealthy to keep what they have earned, ask them a few questions and you may actually get them to think … or you may just see them turn a few different shades of red and hear a few choice words to add to your “vulgar vocabulary”.
How much wealth is there in the world? Country? State? County? City?
How is wealth generated?
How is wealth redistributed by those who create it?
Why are they so angry about somebody “re-distributing” their flashy new Apple products during their protests of questionable legality?
Oh wait, is that mean? Welcome to the real world.
Let us know what you think please!