| im not so convinced of this grim scenario. It is often that rich people lose their status. Index funds outperform most hedge funds. Where difference investment options shine is, as you mention, being able to skirt taxes, or have access to information, or state regulation. In the tech sector, the requirement of being an accredited investor to be able to invest in startups has the following effects: increases investment returns for investors. Reduce amount of founders and their payoff and lowers wages because they cant trade their stock freely, showing captivity. On taxes: it is dreamed that better tax policy might nake the rich pay what they owe. But that mindset is what got us here. Id say lower the taxes on the common, and that might not solve it, but would vastly reduce the exponentiality. On information: in this I part with milton and say that all income of any kind should be public. Society will take a hit on privacy, but this information is too valuable to hide. Knowing that everyone woyld not need to speculate on how the rich make money, and given freedom might even compete with them in the same assets. Game is rigged, unfortunately, by the people that think they are fixing it. |