But isn't wealth to a large degree relative? Like, if I'm richer than I value my time higher, meaning it's more expensive to buy my time (human services). Same with other resources such as land, gold or bitcoin. There's only so much of it thus the value rises.
Of course the world can become more productive and thus make everyone (in average) more "wealthy", but only for certain things.
Yes it is, but a few hundred billionaires with mansions and yachts don't really matter in the context of the broader economy.
It's the upper middle class yuppies with substantial amounts of discretionary income driving up the prices on things that makes people poorer in the relative sense. There simply aren't enough billionaires to move the needle on the goods and services people living paycheck to paycheck spend on.
We didn't have a toilet paper shortage because Warren Buffet stocked up. The used car market isn't all jacked because of Bill Gate's insatiable desire for compact pickup trucks.
The gulf between the "I can afford to care about what school district a house is in" class and everyone below them is the important one.
>Yes it is, but a few hundred billionares don't really matter in the context of the broader economy.
Billionaires buying up "stores of wealth" housing in the city I live in has driven up the price of property inordinately and almost priced me out. What you are saying here is not "they don't matter" but "I don't matter".
Then they tell people who grew up in these cities to just leave if they can't afford it.
Political power is also zero sum and they're buying up that too. This is the most terrifying part. I don't particularly want my country to become like Ukraine with two sets of oligarchs battling it out with their propaganda arms. That is what is happening.
They are not buying up toilet paper but then again toilet paper shortages only happened for about a week, didnt it?
> Billionaires buying up "stores of wealth" housing in the city I live in has driven up the price of property inordinately and almost priced me out. What you are saying here is not "they don't matter" but "I don't matter".
Are you sure they are billionaires and not just millionaires? There are millions of people in USA with millions of wealth, they are what matters, and they can each buy up a large chunk of real estate in mid cost neighbourhoods.
It's a ripple effect. Billionaires end up pricing out hundred-millionaires, who price out millionaires and so on.
All of the above also buy up rental property. And wealthy foreign criminals andtax evaders get in on the act by buying up property sight unseen as a foreign bolthole.
This is how we end up with cleaners and baristas having to share a room and commute 1 hour each wayway and property prices that are, like, 17x the average wage.
It's weird how so many people are apparently in denial about this.
The USA has 630 billionaires and the world has 2,825. I think you are vastly overestimating the impact they have on any housing market. The poster above is 100% correct it is the millionaires that inflates prices of normal goods. There simply isn't enough people at the top end to matter.
I don't mind that at all. (Well OK I wish that rich people today would have more taste, and build Sistine Chapels instead of Mar-a-lagos) The problem is that when some people control more assets than entire countries, they will end up controlling government policies.
Of course the world can become more productive and thus make everyone (in average) more "wealthy", but only for certain things.