Gap Between Rich and Poor Widens

[GT Bulmer]

Hi, David:

Thanks for the insight and examples.

Empowerment. Simplified, accessible and with clear results-oriented goals. That's exactly the focus we need to encourage more support for.

GT

[davidfield375]

It will take along time in my opinion for the gap between the rich and the poor to reduce. Big high rolling bankers keep getting bonuses whilst much of the population is struggling to keep their jobs.

[GT Bulmer]

It will take along time in my opinion for the gap between the rich and the poor to reduce. Big high rolling bankers keep getting bonuses whilst much of the population is struggling to keep their jobs.

Hello, Davidfield:

I hear what you are saying, but I also think that industry and commerce needs certain (controlled!) levels of financial incentive to keep qualified leaders, entrepreneurs and trailblazers motivated and rewarded.

Average people seldom have the ability to lead a successful vision quest. They are not usually the risk-takers. Leaders with the talent to do this should be rewarded ... but the rewards should be controlled to some degree (no "Golden Parachute" for a job not-well done.)

At the other end of the spectrum, I don't think it is proper to penalize achievers just to balance off equal payments for the poor. What I recommend is training, coaching, mentoring programs that assist and reward lower-income people who show a sincere interest in rising above their state of finances and also exhibit some degree of initiative in actively pursuing that goal.

GT

[JeffL]

The problem ultimately becomes that the rich have access to more through their wealth, like the education one needs to get a good, high paying job, while the poor don't.

The poor face a number of challenges (aside from just a lack of wealth) that the rich don't. For example, due to the enormous amount of stress that is usually associated with the sorts of jobs that low-income people can secure, they tend to get sick frequently. Which means that they will either have to miss work or the performance at their job will suffer. Not to mention the hopeless feeling that comes along with working a dead end, minimum wage job.

It doesn't surprise me that the gap between the rich and poor is widening to the point that people are starting to take notice. How to fix it however, I have no idea. While I know that some people would jump at the chance to earn more and possibly get the education that they need to get a better job, I know that others would find a way to scam the system and not do anything to better their situation at all.

It's a vicious cycle.

[litekepr]

Hello, Davidfield:

I hear what you are saying, but I also think that industry and commerce needs certain (controlled!) levels of financial incentive to keep qualified leaders, entrepreneurs and trailblazers motivated and rewarded.

Average people seldom have the ability to lead a successful vision quest. They are not usually the risk-takers. Leaders with the talent to do this should be rewarded ... but the rewards should be controlled to some degree (no "Golden Parachute" for a job not-well done.)

At the other end of the spectrum, I don't think it is proper to penalize achievers just to balance off equal payments for the poor. What I recommend is training, coaching, mentoring programs that assist and reward lower-income people who show a sincere interest in rising above their state of finances and also exhibit some degree of initiative in actively pursuing that goal.

GT

I totally agree that the rewards need to have some kind of cap or control. People getting a golden parachute after driving a business into the ground is utterly insane. Obviously we describe a reward in different ways

I'm also with you on training, coaching and mentoring. Set up programs to help people learn how to do something that is marketable and teach them how to find, apply and interview for a job. I just found out the other day that my younger brother started a business because he didn't know how to put together a resume. Unbelievable reason to start a business.

I disagree that people with less money and training etc face insurmontable odds. I came from a family with very little, especially financially and the parents refused to let me accept any of the scholarships that I was offered. So, I attended a trade school - half days my junior and senior year. There was little cost involved and I left high school with marketable skills.

One week out of school I had a entry level temporary job with the state highway department and 3 months later, I found a job with a local land surveyor where I accepted a job I didn't want as a secretary and office manager - with NO office or typing skills - but I wanted a job and I hoped to do work I preferred. So, I learned on the job to type - try learning to type with deed descriptions Learning all those job skills in a very busy office was tough, but it worked out well over time.

Over the years I've worked plenty of jobs that weren't my first choice, but they paid and I needed to earn a living. I started out on the stocking crew in a department store and worked up to a management position - hard work, determination and being willing to make concessions when needed made a real difference. Two years of trade school were the only training I had and I only used that as a secondary skill for about 6 years. Another thing I did was I offered to take a couple of night classes - and split the cost with my employer to take a typing class Always keep your eyes open for ways to improve your skills and what you have to offer an employer - it will take you a long way. Learning to network is also a get way to improve your options - that was all learned on the job

Shri

[BillionOrBust]

Would this have ANYTHING to do with it?

For everyone who has will be given more, and he will have abundance. Whoever does not have, even what he has will be taken from him.

Matthew 25:29 (NIV)

[GT Bulmer]

Hello, BillionOrBust:

Thanks for contributing to this topic thread. The portion of scripture in question is referring to the Kingdom of Heaven and how the faithful here on Earth must manage their God-given blessings and resources responsibly.

I suppose "use it or lose it" might be an apt paraphrase.

However, I do think there are people who honestly and sincerely do try to manage their recources responsibly but fail to get a good return on their investment. And there are those who are poor managers, but somehow still seem to make their investments grow ... and I don't think it is a divine blessing in all cases.

GT

[BillionOrBust]

THX GT Bulmer for your view.

What was on my mind are the S.S. statistics; that 95% of the population end up with only a S.S. check by the time they're/we're 65.

That's pityful in comparison to some of todays teens earning millions.

Type "teen millionaires" in a search engine.

I do believe that most of us squander 99%-99.99% of our God-given 'talents.'

God Bless all.

[litekepr]

However, I do think there are people who honestly and sincerely do try to manage their recources responsibly but fail to get a good return on their investment. And there are those who are poor managers, but somehow still seem to make their investments grow ... and I don't think it is a divine blessing in all cases.

GT

What about the large number of people who have no idea how to manage money? Or the people who bought into the idea that credit cards are the answer to everything? I would think that common sense would kick in at some point, but was a lot of people they just keep doing the same thing over and over - and expect things to get better. That is not a productive or effective way to fix the problem, but if people are taught to do any better and don't take the initiative to learn better - they have an ongoing and growing mess to deal with.

Shri

[GT Bulmer]

What about the large number of people who have no idea how to manage money? Or the people who bought into the idea that credit cards are the answer to everything? I would think that common sense would kick in at some point, but was a lot of people they just keep doing the same thing over and over - and expect things to get better. That is not a productive or effective way to fix the problem, but if people are taught to do any better and don't take the initiative to learn better - they have an ongoing and growing mess to deal with.

Shri

Hi, Shri:

Good points. I don't have a "difinitive" answer, but what I think is, as with all things in life, good money management begins with an interest or desire to do it; the interest must be supported by a willingness to learn and practice the necessary disciplines; practice must be consistent and focused and for best results, must become habitual; and the person must have the mindset to remain committed to it permanently. They can't have the "I'll give it a try and see what happens" attitude.

Regarding credit card debt, I think a lot of people have the same menatality about credit cards as they do about lotto tickets and casino gambling.

With gambling, they keep pumping money in expecting to make that big win that's going to wipe out their past losses. The more they pump in (and lose), the more they have to keep pumping in (they think) to get that big life-redeeming win. But it's never going to happen. If they ever do win large amounts, it just fans the flames making them think that ANOTHER BIGGER win is just around the corner. (Very sad. )

With credit cards, they keep expecting some great windfall - a job bonus or salary raise, a surprise inheritance, a big gambling win - is going to magically appear to wipe out their credit debt.

The other credit problem is, a lot of people just make the minimum payment thinking they are doing good. But the truth is they can keep doing that for 40 years and they'll die without ever reducing the principal amount.

The solution is, they have to first be aware (taught to do better, as you said), then they have to learn better practices and get in the habit of following them.

... but that is work and that's no fun. Much more fun to live for today and let tomorrow worry about itself.

GT

[litekepr]

The solution is, they have to first be aware (taught to do better, as you said), then they have to learn better practices and get in the habit of following them.

... but that is work and that's no fun. Much more fun to live for today and let tomorrow worry about itself.

GT

And, that is the problem - it is work to learn and it is work to manage your money. So, a good number of people won't do it. Sadly, its a lot less work to learn to manage your money and to stick with a budget than to deal with the daily, weekly and monthly stress of trying to pay the bills. I was talking to one person I know and was trying to explain that if they would adjust their perception of what they must have - they could eliminate so much stress in their life - their comment?? "I will NOT have any less." So, the stress level continues to rise, he isn't happy and there is no good way out for him.

Shri

[Jordan]

yes very true...
In under-developed countries the gap between the poor and the rich is getting wider day by day. This has created frustration in the people because survival has now become a question mark for the poor...

[mbrand2222]

This really is a tough problem to solve. Unfortunately, I think it will only get worse as time progresses. You can't make someone want more for themselves, but I do think we need to do more to encourage them. I'm just not sure what that would be. I am thankful that many of the rich people in the United States aren't all greedy because I think they are very good about sharing their fortune with charities here. That's great, in my opinion. If it weren't for that we would have an even greater problem on our hands.

[GT Bulmer]

...I am thankful that many of the rich people in the United States aren't all greedy because I think they are very good about sharing their fortune with charities here. That's great, in my opinion. If it weren't for that we would have an even greater problem on our hands.

Hi, Mary:

An excellent point that we sometimes overlook; there are many people who quietly share their prosperity with others through a variety of recognized and beneficial charities and organizations.

When you think about that, we don't have to be "rich" to help out and make a difference. For example, the population of Canada is over 33,000,000 (a drop in the bucket compared to the US of A).

If Canadians gave an average of just $1 per month to a special cause, that would be 33 million dollars a month! That's $396,000,000 a year.

I think we could all afford one dollar per month per family member.

GT

[mbrand2222]

I think you're right, GT. If all of us would just cut back on one soda or one pack of gum, or what ever your pleasure is, and give that money to charity each month, just think of the difference we could make. I think I'll make that a personal goal.....now that I'm thinking about it.