There are laws that govern why the rich get richer and the poor get poorer. And guess what, the rich know and leverage them, and the poor don’t and are leveraged by them.

In addition to compounding, leverage & momentum, there are other economic laws that govern money flow.

One is production vs.consumption. To be wealthy is to give service, to produce for other people in physical (consumable) or ethereal (information) form.

To be poor is to consume; wasting or spending all money (and time) consuming depreciables. The wealthy produce for the poor to consume, and so redistribute wealth towards them from the poor. Vast wealth comes from vast production (nationally, globally, high volume), poverty comes from a negative differential between production and consumption.

The wealthy create enterprise and economy through jobs, economy, increased flow and velocity of money, contributions to taxes, hope, service to vast numbers of people, and the poor are dependent on these to survive. Virtually all global wealth is now private, so all state benefits that poor consumers feed off are financed by producers.

Because poverty consumes more than it produces, this has to be economically balanced by large scale production, and because of the 80/20 principle, the 20% will produce for the 80% to consume. And so this will compound in the direction it is already going; the rich getting richer and the poor getting poorer.

Questions, comments & debates welcome below

Rob Moore
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