Yes, because they tend to go straight down the tube because when you socialize gains and privatize losses people don't do more than the minimum they can get away with.
Imagine if you distributed gains according to contribution. In our system capital is disproportionately rewarded.
IMO, carried interest should be rewarded less than labor.
I mean really, if you're just sitting there drawing interest on great grandpa's labor's capital, why is that better than getting up and going to work everyday?
Flipping the argument around: if the labour capital you earn today will be worth just as much as if you earn it tomorrow, why go the extra mile now, when you may just as well postpone it?
You are aware that just makes my point even stronger, right? Thanks to inflation, the labour capital I earn today is worth even less than the same capital earned tomorrow.
Inflation is by design. Currency derives from current, meaning: to flow. Currency is not meant to be a store of value. We don't want people to horde currency.
Bitcoin just misses the point of being a currency all together.
> Imagine if you distributed gains according to contribution.
Dividing that cake is harder than you think. The whole point of working together is to get more than people can get individually, so how do you come up with a formula?
IMO, carried interest should be rewarded less than labor.
I mean really, if you're just sitting there drawing interest on great grandpa's labor's capital, why is that better than getting up and going to work everyday?