My daughter asked me this. How would you explain wealth inequality to a 12-year-old?
For context: ex-wife cheated on me and married this extremely wealthy Chinese guy. Crazy wealthy as in entire apartment building in Beijing’s CBD and a mansion out in the Shunyi district as his “main residences”. Daughter lives in China with my ex-wife, her husband and his son. Daughter lives with me during school breaks / holidays.
Then explain compound interest, and how once you earn more than you need to have a comfortable life, your money can make money for you, and that each 1M invested can consistently return 50k a year…
Then explain how if you had 25k to gamble with in 2009, and bought APPL stock, it would now be worth 1 million, or if you’d bought BTC at that same time you’d now be a billionaire.
Then explain how societies laws are made by the people with the most money, so the rich get richer and the poor get extortion.
then explain that you need to convince me to buy @#$^ stocks in 3 years, it is really important
I would also choose a few stocks that didn’t perform as well, or even went bankrupt, to show that it’s really hard to predict which stocks will significantly outperform the market.
I don’t think this is what OP needs to tell his kid right now.
Right? Lmao. The next thing is gonna be to get them to start reading Marx or something.