America's rags-to-riches dream an illusion

Reuters (via Yahoo) ^ | April 26, 2006 | Alister Bull

[VOA]

bump

[brytlea]

My take is that perhaps the govt ends up with more of that money than the kids/grandkids. That's not ok with me if that's what it means.
susie

[lafroste]

was reviewed again in 1995, 1996, 1997 and 1999.

Yep, anyone can tell solid statistical patterns from grandparents to grandchildren by examining a FIVE year history. Sheesh.

[Cementjungle]

Well, I think the article is bull. But I was surprised at the number of wealthy kids who end up middle class or less. Lots of them have no work ethic, have drug and alcohol problems. Of course, I'm not talking about Kennedy wealthy. Those can probably skate alot more generations.... susie

My great-grandfather came over from Ireland at the turn of the century as a grocery clerk and wound up building America's largest grocery chain before he retired. He left ALL his money to charity. Since my father didn't inherit his father's wealth, I guess he's one of those poor folks who didn't end up rich too (he did go off and earn his own living though). Not sure how cases like that figure into the "statistics".

[sarasmom]

#8
The only thing stopping me from amassing great wealth is...myself.
As the result of my own free choices, I did not start my own business, invest in risky ventures, nor do I live to work.
I work to live.
I do not begrudge those who have legally and honestly amassed great wealth their "good fortune".
They also had choices to make, and freely made them.
They worked, planned, and achieved what they desired.
I wish them every happiness, but do not envy them.
Why would I?
I personally know a number of wealthy people.
They earned every penny, and willingly took risks and worked longer,harder and smarter than I would.
They made some choices/sacrifices I would not, but nothing stops me from making similar choices,except myself.
I can change my circumstances at any time.
As a matter of fact, I appear to make a habit of doing so, but generally under my terms and conditions.
Some people equate wealth with happiness, and if they find it there, God bless them.
I will continue to freely pursue my own definition of happiness,in my own way.
I would not eschew great wealth, but since I have no burning desire to acquire it, nor will I expend the necessary effort, it seems logical to me that I will never attain it.
Absent winning the LOTTO, or having a sudden flash of brilliant inspiration for a new invention....LOL

[georgia2006]

what I care about is opportunity. I dont believe that the US has less opportunity than europe

[lafroste]

Inspirational (and I need all the help I can get)

[brytlea]

Yeah, it would be hard to say. I'm better off financially than my parents (tho not rich--wait, maybe the govt would think I am!) and my husband is worse off financially than his parents, so I guess we cancel each other out! So far, one of my sons will probably not make as much money as we do, one probably will make about the same, and the other--the jury is still out! Happily we all are doing what we want to do, and aren't starving or costing the taxpayers.
susie

[brytlea]

I don't either. I also don't think the govt should confiscate the bulk of what you make so you can't pass it on to your kids if you so choose.
susie

[Nowhere Man]

ping

[nicollo]

re. Dutch and Danes... oops. Thanks

[nicollo]

...in France, the correlation between people growing up in a rich background and staying rich is extremely high (probably at least 60%).

Precisely. As bad a tax code as we have, far more than here tax law in Europe punishes wealth-gathering and rewards wealth-keeping.

[bill1952]

:^)

Please take a glance at my homepage.

taxes don't hurt the rich
they prevent you from becoming rich

flat tax now

[Dark Skies]

Of course, it is just my opinion, but wealth defined in terms of material wealth or cash...is BS.

Been there, done that. Didn't cut it.

True wealth is an eternal thing...make a point of not losing your gatherings upon physical death.

Look at my tagline...

[spetznaz]

Actually the American dream was never about amassing great wealth. It's about earning an honest living, buying a home and raising a family while being left alone.

Bingo! That is what I always tell my friends. The American Dream is not necessarily driving a Ferrari Enzo and owning a 250 foot super-Yacht (although that is indeed part of the American Dream), but being able to earn a good living, raise a family, and own your own home. In which case America is indeed the land of opportunity (and why many people stream here).

Now, it is possible for people with the will to power and drive to really accumulate tremendous wealth here, but such people can accumulate wealth anywhere (although the amount of wealth will vary with location, but the 'right person' will get rich anywhere ....I know).

However in the United States it is possible for nigh anyone to live the American Dream (good living/own home/etc ….not necessarily 10 Ferraris), which is not the case everywhere. For that matter I have traveled a lot, and I always tell my pals that the US is one of very few places that has a solid middleclass that is truly a middleclass (and not some lose agglomeration of ‘upper poor’ and ‘lower rich’). The existence of a true and large middleclass is one of the things that mark the United States as truly unique in the world.

[Harmless Teddy Bear]

The likelihood that a child born into a poor family will make it into the top five percent is just one percent,

Dear, the top five percent is not the rich but the ultra rich. The percentage of rich is actually 27%. 45% are middle class.

What are the chances of a child of a poor family joining the top 25%? A bit larger maybe?

[TeddyCon]

[okiecon]

The study uses a percentage as the indicator of wealth. There are more rich people in the US. The study is flawed. In 2001, that would be $162,351 per year.

http://www.osjspm.org/101_income.htm#4

[A. Pole]

Dear, the top five percent is not the rich but the ultra rich. The percentage of rich is actually 27%. 45% are middle class.

Since top 5% owes 60% of wealth (wealth is different from income!) and lower 60% owes 4% of wealth, then middle class is less than 35%.

[okiecon]

Unless you make over $162,000 per year, it would not matter what your net worth is, therefore, this study counts retired and semi-retired millionaires in the "not rich" category!