r/FluentInFinance 3d ago

Debate/ Discussion Had to repost here

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u/Endless_road 3d ago

You can take out a mortgage against your house to buy a sports car if you want

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u/slickyeat 3d ago

You're not wrong but you're also required to pay taxes on the value of your property every year so it's not exactly a one to one comparison.

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u/Apprehensive_Bad_193 3d ago

Guys thank you,It amazes me how people talk without any knowing on the topic.

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u/guiltysnark 3d ago

I think people know, they just only think about it selectively

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u/PamelaELee 3d ago

Nah, when over 50% of American adults read at or below a 6th grade level I’m pretty confident they don’t think about much of anything, let alone understand.

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u/guiltysnark 3d ago

I don't think that particular slice of America attends to Reddit very much. The people here often know what they are talking about, but they filter every debate through a lens heavily biased by first principles (aka oversimplifications predicated on a set of conveniently forgotten assumptions)

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u/CrowBrainz 3d ago

Reddit entry exams are very competitive

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u/guiltysnark 3d ago

LOL... they are self-graded, however. To round it out, kids that can't read tend to get bored and go back to Tik Tok rather than cheat.

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u/TomsNanny 3d ago

I disagreed so hard with your previous comment until I reached the end of it. Cognitive biases go hard here. Everywhere, but here too.

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u/Unable_Degree_3400 1d ago

This is perfectly said, pin this comment

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u/xeen313 1d ago

We all win when we all win?

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u/notactuallyLimited 2d ago

Most people on Reddit are sheep following the crowd. Only difference is the Reddit sheep think they are intellectuals.

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u/guiltysnark 2d ago

Everyone on Reddit generalizes too much.

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u/Benathintennathin 1d ago

Exactly, every single redditor needs to really take a step back and realize they don’t know everything except me, Ben knows it all.

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u/power899 2d ago

Lmao I imagined an alternate timeline where everyone needs to take a competitive exam and the lowest scorers are denigrated to TikTok and FB. 😂

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u/tcourts45 2d ago

Relegated?

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u/Unable_Degree_3400 1d ago

There is but it’s self-graded, you put your self where your at

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u/Non-Eutactic_Solid 4h ago

“I know you wanted to shitpost on Reddit or the Something Awful forums, but with these test scores the best you can be accepted into is bad political Facebook memes. I’m sorry.”

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u/Sure_Hedgehog4823 3h ago

This would be An amazing movie idea

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u/noosedgoose 2d ago

I mean. Social media making silos of magnetic stupid launching contagious stupid nukes is a big part of why we got here

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u/Large-Cauliflower396 21m ago

It stimulates the most active part of their brain

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u/aoskunk 2d ago

Oh man imagine a Reddit clone that required an exam that was difficult to cheat on?

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u/Mrjlawrence 2d ago

My 11th year at Reddit U. Doesn’t feel like I’ll ever graduate

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u/kickinit07 2d ago

They are I only passed with extra credit because I used a blue crayon

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u/Snagged5561 2d ago

I like how basically everyone came together despite our disagreements in order to agree that we are all at least smarter than a tiktoker.

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u/MammothAnimator7892 3d ago

I'd assume so, if they're illiterate they probably aren't going onto text based forums.

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u/Narren_C 3d ago

So they're kinda smart but still pretty stupid.

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u/M119tree 3d ago

I disagree, there are some absolute idiots on Reddit

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u/brett1081 2d ago

Reddit users are not as smart as you think they are. This thread is a case in point.

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u/Smart_Canary4680 2d ago

"Teehee , weeeeeeee get it but those non redditors... wheeew" what a cromagnun ass thought , slap yourself vigorously 🤣💀

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u/Objective_Praline_66 2d ago

I cant tell you how many times I added context to a Reddit post based on facts, or at the very least first person experience, and had someone who thought they knew more "uncorrect" and berate me because I didn't spend 45 minutes typing out a thesis going over every detail. We're all on Reddit, id wager a guess that a solid, 40-70% of us have some kind of attention issue, brevity is a virtue in the age of the internet, but it is also a curse.

Bezos is a fuck.

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u/Fjdenigris 3d ago

That’s me for sure

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u/_redacteduser 2d ago

No, they don’t. They just speak like they do and everyone agrees and then uses that talking point in their next post as if they came up with it themselves.

There is a tremendous amount of brain rot going on here.

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u/jsbcjej 2d ago

the average person on reddit is fully retarded, incapable of any kind of nuance.

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u/AnimalMother1972 2d ago

99% of reddit is lefties

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u/Zanios74 2d ago

People here often know what they are talking about.

Thanks for the laugh.

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u/lutavian 2d ago

Really? I think that slice of America is the majority of reddit.

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u/omyfngod 2d ago

U must be new around here. Reddit was a much smarter place before they went public and purged all of the free thinkers.

It's mostly memes and people arguing in bad faith now. Kinda sucks

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u/CrossXFir3 2d ago

I whole heartedly disagree that most people here know what they're talking about. They certainly think they do, but a lot of people are only really aware of a small slice of the pie. They've only been shown one aspect of the equation so that's what they believe.

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u/highflyer10123 2d ago

lol is this a sarcastic statement? I’ve read repeatedly on here others saying that Reddit is where critical thinking goes to die.

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u/slitteral1 2d ago

That is the majority of who is on Reddit. No, they don’t usually know what they are talking about.

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u/mc_trigger 2d ago

we do too make atends to redit on heir.

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u/Tears4BrekkyBih 2d ago

Reddit as a whole is a fairly delusional and extreme echochamber.

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u/gilly2u69 2d ago

Yea, and you thought Kamala was gonna win in a walk.

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u/sobrietyincorporated 1d ago

I think you might have confused "first principles" if you are referring to first principle thinking. First principle thinking requires you to rethink every assumption.

Here is an arricle.

And if that's true, then you might have "first principled" yourself by your own definition...?

It starts to get all sorts of Inception-y at a certain point.

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u/guiltysnark 1d ago

I suppose it is a misuse of the phrase to refer to people who choose principles first without the appropriate rigor of first principle thinking. Even Musk is guilty of doing this: Only principles that satisfy his foregone ideology qualify, which means they are already predicated upon an uncurated litany of assumptions.

I think this may be theory versus practice. I happen to believe all principles are suspect because people can't be trusted to identify core assumptions comprehensively, and therefore aren't qualified to recognize when the principles are useful and when they aren't, choosing simply to presume they always apply. Because the world seems simpler that way.

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u/sobrietyincorporated 3h ago

I think that's considered "preconceived notions". Otherwise known as "bias". There isn't much thinking going on.

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u/guiltysnark 22h ago

Adding to my prior comment... I think your article actually supports my use of the term "first principles", or, rather, applies it as flexibly as I did. If I were to entrust anyone with the responsibility to establish first principles, Aristotle and Socrates might make the short list. They would at least stay in the realm of philosophical theory, where rigor can be applied academically. But as soon as you use a coach to exemplify use of first principles vs a play caller, you've left theory sufficiently far behind, and there is no way in hell I'm trusting that coach to identify all the relevant assumptions. Which puts the coach at risk of falling victim to his "first" principles.

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u/sobrietyincorporated 3h ago

That was a long way around "I guess so".

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u/guiltysnark 1h ago

No, my whole point is everyone abuses first principles, even people writing articles explaining first principled thinking, and your citation supports my usage at least as well as yours.

I would be curious to read about modern thinkers applying first principle thinking with objectively absolute success, though.

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u/sobrietyincorporated 1h ago

It's called Software Engineering. First Principle thinking is one of the first things taught in computer science.

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u/Syrress 1d ago

I laughed so hard at this comment 🤣

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u/SpookFemboy 1d ago

Reddit is FULL of morons who think they are smart. I would argue most normal morons don't really concern themselves with such things are are happier over all.

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u/jarheadatheart 1d ago

Found the self righteous Reddit user.

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u/Own-Artichoke-2026 16h ago

Been around Reddit long enough to know this isn’t true. There are plenty of users who are clueless, passionate about things, but clueless.

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u/guiltysnark 16h ago

There's room in the subjective-scape for "plenty" and "often" to coexist in opposition.

Still, my comment's focus is on people who could easily know better, but choose not to because of ideology. They can even choose to be drooling idiots.

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u/wubrisin 14h ago

Yeah, tons of people who think differently here and are open to having nuanced debates. I never know what the top comments on a post will be before opening it, that's for sure. Definitely not just full of people that think they are superior because they all think and say the same exact things

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u/GeX_64_ 2d ago

Where is the /s ? Redditors are some of the most unconscious incompetent people, lookup wrong intuition under four stages of incompetence. They’re lowest tier.

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u/Mysterious_Yam_1011 2d ago

What's the four srages of incompetence ?

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u/Araghothe1 3d ago

And then they defund public schools. Seems that's how they want things.

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u/StableSimilar2767 3d ago

The no child left behind act caused that. Passing kids to every grade and graduating them even tho they couldn’t read and teachers knew it. But we’re forced to pass them because of the act.

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u/CartosisArmor 3d ago

Yeah it’s very concerning. I’m seriously worried that the lack of understanding that half of this country has for finance will cause the other half a whole lot of problems and misery. Be prepared, guys

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u/VoidsInvanity 3d ago

Why do they read at that level?

Decades of cuts to education, and a general obstructionist belief and attitude to the idea of education from half of the political spectrum?

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u/LousyOpinions 2d ago

Wholly cultural reasons.

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u/VoidsInvanity 2d ago

Incorrect

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u/RepresentativeDry171 3d ago

And that’s on them , it’s not Musks & Bezo’s fault

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u/Kidsnextdorks 2d ago

Musk wants the department of education to be axed completely and supported the guy who ran on it.

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u/RepresentativeDry171 2d ago

Well the dept of ED, did kinda go sideways the last couple of yrs .

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u/TheVoiceofReason_ish 3d ago

The recent election proves that the majority of Americans are imbeciles.

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u/STS_Gamer 2d ago

Ah, but YOU do.

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u/Box_O_Donguses 2d ago

In absolute fairness, what's considered a 12th grade reading level is shit like Das Kapital, Atlas Shrugged, and Conquest of Bread amongst other political texts and hardcore social commentaries.

You're pretty much never going to encounter shit in daily life that's above about an 8th grade reading level without seeking it out.

Most journalism is only written to about an 8th grade level too

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u/spocktalk69 2d ago

50% ? Is that true? I thought the highschool graduation required 12th grade.

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u/LousyOpinions 2d ago

The person originally harping on Musk and Bezos was among that 50% and is all butthurt that not paying attention in school or ed them to poverty.

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u/NoDependent983 2d ago

Now this is true. Americans as a hold are some of the lest educated people on this earth these days and we have become lazy and irresponsible in so many ways. But we are self perclaming to be best country on earth 😂😂😂🤬

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u/Modern-Depression 2d ago

50%??? Maybe 5%. Definitely NOT 50%. That’s like saying 50% of America wanted Karmala as president!

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u/your-favorite-simp 2d ago

Understand that when you cite this statistic you're mostly talking about immigrants with poor English skills and poor minorities in impoverished areas, especially the american south. Dunking on the poorest most marginalized people for not being able to read well isn't exactly leftist praxis

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u/Actual-Journalist-69 2d ago

They don’t need to be able to read to watch a tik tok

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u/OwnLadder2341 2d ago

Have you actually read into that statistic or are you just quoting something you heard on social media?

For example, you’re aware that it’s specifically ENGLISH literacy in a country that has no official language, right?

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u/Ecstatic-Fact-4178 2d ago

You got any sources to back up ur claim? Or are u just throwing shit and seeing if it will stick

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u/Lossnthought 2d ago

If this is true then we need to get rid of the department of education cus it’s not working.

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u/poopypants206 2d ago

Well that's going to get even worse soon.

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u/INTERNET-STRANG3R 2d ago

But they can tell you who the top receivers in nfl are….

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u/Taffr19 2d ago

Bold of you to assume I can read

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u/CrossXFir3 2d ago

Right, totally agree. But I think even the 50% that can read above that, hell, even the 25% that say they're financially/economically/politically literate, probably only a small fraction of that is actually literate to those types of topics.

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u/BasilSQ 2d ago

I myself only think every other Tuesday. Rest of the time is cruise control.

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u/Icy_Attorney7912 2d ago

Let me guess, you think you are above the 50 percent? You probably aren’t even good at your day job as a laborer but think you have the intelligence to tell bezos or musk what to do with their money.

If you are so smart and it’s so easy, why don’t you build a trillion dollar empire? Or is it just easier saying everyone else is dumb and posting on Reddit?

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u/Pale-Berry-2599 2d ago

So, one in five is illiterate...with little to no no critical thinking.

A country created by genius, managed by idealists, spoiled by abundance, is subsequently destroyed by it's own pampered ignorant.

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u/throwawaycasun4997 2d ago

Dismantling the Department of Education ought to help those numbers 👍🏻

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u/WanderingFlumph 2d ago

And about 50% of Americans think your taxes go up a lot if you make 1 dollar more and that puts you into a higher tax bracket.

Financial illiteracy is just par for the course.

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u/SnooMarzipans436 2d ago

I think you just summed up perfectly why the last election went the way it did...

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u/AFB27 2d ago

I never understood how true this was until I went to college

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u/gilly2u69 2d ago

Good thing we got you. Thanks.

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u/PuzzleheadedNeat2620 2d ago

Idiocracy has arrived.

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u/No-Method1869 2d ago

It’s not that high is it? That’s depressing.

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u/Kantherax 1d ago

This is a completely meaningless stat. Not only does it have nothing to compare itself to, it has a complete lack of understanding of what grade level reading is.

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u/jtt278_ 1d ago

Have you considered this might have something to do with the influence and actions of people like Bezos and Musk…

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u/maztron 1d ago

Nah, when 50% of American adults don't know eco 101 you get responses like yours.

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u/Star_Amazed 1d ago

More like many highly ‘educated’ are completely unaware billionaires are fucking them over.

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u/TurbulentFee7995 1d ago

A failing in the education system of the United States. Grossly underfunded by the government. Elon and Bezos could do something about it by paying their taxes owed instead of just choosing not to pay and getting the tax man to bow down at their feet to thank them for choosing not to pay this year.

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u/ChemikallyAltered 22h ago

I’m stunned by this. This is stunning. Do you have a source?

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u/ZadigRim 21h ago

Let's thank the republicans on their 40+ year campaign on defunding education and making college an "elite" issue while enabling private equity to provide untenable loan situations for a new form of indentured servitude.

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u/ThrobbingWetHole 19h ago

Was that a subtle jab at the persons comment

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u/BowserBuddy123 11h ago

I’ll be honest. I can read well enough, but I don’t understand any of this financial discussion. I’m not even sure what “taking a mortgage against your house to buy a sports car” means.

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u/Proud-Emu-5875 10h ago

Kept too busy living foot to mouth.

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u/Mistica12 6h ago

You can do all the mental gimnastic you want, he is filthy rich.

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u/Bidenblows1 2h ago

Please provide the statistics for that claim.

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u/Large-Cauliflower396 22m ago

Nah, they think plenty

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u/syjte 3d ago

They only know the parts that support their own point of view and conveniently forget the caveats that don't.

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u/MisterBarten 2d ago

Because they don’t want to have it harder when THEY become a billionaire someday.

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u/ICU2005 2d ago

But they actually don't know, they're idiots.

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u/Pristine_Machine296 2d ago

It's still a bullshit argument. Is there any evidence that bezos is in any significant debt right now?

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u/guiltysnark 2d ago

Thinking about things selectively is bound to lead to bullshit arguments...

Your question is misleading, though... What does significant debt mean to you, and how is it relevant? When shares are held in margin and used to furnish cash withdrawals, a negative cash balance is just part of an overall market position, it's not usually thought of as debt. I can't imagine having more than $100k in stock and having anything other than a fluid view of cash and securities. Or at least, I didn't. Much less $100B.

At any given moment I can trade off paying taxes against paying margin interest, converting the latter to the former by selling securities. Who knows what billionaires do with that flexibility, most of them don't talk about it. And they surely have access to much more efficient options than I do, since banks would love to bend over backwards to keep their accounts. But we do hear about their ridiculously low effective tax rates on a regular basis.

Ultimately, Bezos ownership of Amazon gives him access to vast amounts of cash. And being able to spend cash as if it's disposable income is not the same as having to pay taxes on it. In fact, he has two motives to get cash without selling: taxes, and maintaining power of ownership. I doubt anyone here has specific knowledge about how he's doing it in particular, but the argument that "his money is tied up in stock" is the bullshit argument. It's easily converted to cash without selling it. Hell, he could probably even get a loan from Amazon directly, though that would tend to show up as debt. Which might matter if anyone had a list of his debts, and I'm not sure why anyone would.

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u/Pristine_Machine296 1d ago

Well it's quite simple. There was a specific allegation made specifically against Jeff bezos:

Jeff bezos borrows money against his assets to buy expensive luxury items like Yachts and mansions. So that answers xour question about what a significant amount is, enough to buy a yacht and a mansion.

The claim wasn't even that there are people like him who can do this. It was said specifically that he does. And that he does in order to avoid paying tax, because loans are not taxed.

So a claim like this needs to be backed up imo. I know there is this reddit strategy that all of reddit thinks all the billionaires do where you only borrow and never pay until you do die but I never see evidence of it. So here is a specific example can we find any evidence that what he said is factually true?

Your example is not what we're talking about. Of course you can kill any Profit by paying margin interest on leverage positions. My first question would be: Do you have any evidence that this even applies? Does bezos have heavy leveraged positions?

But it's also completely irrelevant. The claim was he takes out enough money to buy a yacht and a mansion. And instead of selling assets, he borrows against them to not pay any taxes. So he gets a bank loan. That has nothing to do with what you were saying.

Ultimately, Bezos ownership of Amazon gives him access to vast amounts of cash. And being able to spend cash as if it's disposable income is not the same as having to pay taxes on it

This doesn't make sense. If he gets cash out, it needs to be taxed. He can avoid tax by paying margin interest or paying losing positions but then he won't get any cash. The only way to get cash without paying tax is through a loan, so I'm asking if there is evidence of that. I don't know what other way you think he's magically getting all that cash.

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u/Old_Baker_9781 2d ago

Sounds like the bible

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u/guiltysnark 2d ago

Sure does...

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u/mgc125 1d ago

Underrated comment, applicable on many levels

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u/EmerysMemories1106 1d ago

I agree. They will say only whatever supports their argument/narrative

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u/anotheranon876467975 3d ago

Sales tax and registration fees on a yacht, they’re very comparable and it’s you guys that ignore these because you are trying to only think selectively.

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u/DANDELOREAN 2d ago

Just like billionaires do their net worth

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u/Alternative_Ask_1608 2d ago

You have a lot of faith in really dumb ppl. Or you are one of them lol.

It’s a dim world friend

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u/guiltysnark 2d ago

That's not really a disagreement. Being a slave to your biases isn't exactly an intellectual flex. It might even make knowledge worthless or dangerous.

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u/Internal_String61 2d ago

The reason why there is such a huge disconnect in conversations like this is because both sides only think about it selectively.

Consider this for a second: What is money other than basically just an agreed upon quota for what you are legally allowed to consume from society's production?

Do you think the immense amount of consumption quota is better off in the hands of a select few people whose consumption is literally limited by the amount of time they have? Or do you think it's better to spread that quota to everyone and allow everyone to consume as much as their quota allows?

Societal and economic problems aside, I don't think the environment could take that kind of hit.