The Difference between Getting Ahead and just Getting By
The only way to address the wealth gap is for everyone to have wealth, to democratize the economy. People will say that the stock market is not the economy, but the biggest companies listed on the stock market have the greatest impact on the economy. Working hard doesn’t create wealth, owning capital does … even a little piece of Swisscom or Apple or whatever company you think is worth supporting.
In order to save capitalism, steps need to be taken to close the wealth inequality gap.
One solution is for every person to own the equities making up the economy and profiting from economic growth.
Assuming 8% returns, which according to all financial analysts is realistic, a $6750 investment in a well-diversified portfolio would exceed $1 million after 65 years.
Compounded returns over time (exponential growth) is one of the greatest wonders of the world. The sooner we start getting everyone invested, the better we can reduce the gap in wealth inequality.