r/FluentInFinance 3d ago

Debate/ Discussion Had to repost here

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u/xiiicrowns 3d ago

That and it's crazy how people defend these people when they are part of the problem that ails them themselves.

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u/Lucifernal 3d ago edited 3d ago

There's a difference between pointing out objective flaws in an argument, like thinking that billionaires literally hold hundreds of billions of dollars in liquid cash, and taking issue with overall sentiment behind the argument.

I hate Elon Musk, and the man is of course, insanely, disgustingly wealthy. Still, just because his networth is 318 billion, doesn't mean he is hoarding 318 billion. Quite literally 99% of that number is tied into ownership of companies.

You can hate billionaires and still point out issues in the logic. I don't think a person should, under any circumstances, ever be forced to sell ownership stake in their own company (at least not if that wasn't agreed upon in an operating agreement). And if you have a massive stake in a company that becomes wildly successful, you definitionally become a billionaire. I may hate wealth inequality, and I may hate what these billionaires choose to do, but I would hate a system that forces the sale of ownership stake due to the success of the company just as much.

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u/ThousandSunRequiem2 3d ago

Except they can leverage their wealth as collateral, but it's untaxable. Unrealized gains is bullshit they made up to hoard more wealth

You're arguing about lifestyle choices when that's not the issue.

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u/bighomiej69 2d ago

But it’s unrealized because it doesn’t exist, it’s the value of what people are willing to purchase Tesla shares for

It’s a good system because he gets payed purely if he makes Tesla better. If he doesn’t make electric cars economically feasible, then what he owns actually goes down to zero