Real Life Economy

The vicious cycle of our new economy – Part 2. Why the rich get richer

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In my previous post we established some important principals, helping us understanding better why the rich get richer and the poor stay poor.  We establish a clear definition of who is considered rich and and who is not. This  important step was necessary, for the sake of developing a serious conversation. which will help us achieve a better understanding regarding the system we are living in and its cause. lets move forward.

There is one major point that we need to keep in mind during all this conversation, which we all know but like to ignore. Like any other minorities that are maintained by the rest of the population. The rich require the cooperation of the others to maintain their riches and create more money. It never worked oppositely. The feeling hold by some employees, dictating that it is the poor and middle class that requires the rich cooperation. Is just an unrealistic illusion created by the elite, for the sake of keeping its power. Without any doubt, the capacity of maintaining such a philosophy of doing, requires a misconception of the masses regarding the basic function of the system itself. Let’s understand why. precious 

The rich are normally occupying a high management position. They manager a group of people, that in their turn are managing a bigger group of people that are managing actual workers. The length and size of the chain vary between organisations and industries. In the reality, management is and always will be a secondary occupation of any system. To make it simple, lets take an example from a different spectrum of life. For any watch mechanism a time keeper is required to make sure the watch is accurate and show the actual hour.

Why the rich get richer and the poor stay that way

The job of the time keeper is to occasionally look at the hour and make sure it is accurate. In case it is, the time keeper will be re insured that the mechanism itself is working well (in the case of a factory, sales agency etc – the employees), and will go back to his occupation until the next check. In case the watch does no show the right hour, he will at first make a few moves that will make the mechanism go back the right hour and go back to his other occupations. If the mis-synchronization will repeat itself, he will open the watch check which one of the part of the mechanism is not functioning well, replace it and go back to his occupation. In the case of a factory, as you could easily understand the mechanism is the employees, which will be replaced.

The conclusion that should be taken from this example is not in any case, that a time keeper is not needed. His existence is important for the sake of keeping accuracy and order. The point is that without a watch to start with, the time keeper will not have a practical job to do.

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For the sake of developing the topic, understanding the current economy and understanding its vicious cycle, I will say that for the moment the following questions should be asked. If the rich requires the actual worker for the sake of maintaining themselves from the first place, how come their income in un-proportionally higher than the actual employee and more appreciated?

This question is important for the sake of developing a primary awareness to the reality we are living in. For the sake of it, organisation as banks, financial companies, investment companies and any full scale bureaucratic organisation can be considered as a management company. As you can figure out, those organisations are taking extremely high revenue and distribute high salaries. While the actual workers maintaining the system, are not evaluated as a necessity and not paid enough to finish the month. In this structure, an employee is incapable to buy a house and maintain decently a happy family. A very twisted reality, compared to the importance of the people in the system.

What is your opinion in the subject? Awareness and open conversation are the key for the creation of a better future.

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The vicious cycle of our new economy – why the poor stay poor and the rich get richer – Part 1

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