Sunday, May 10, 2020

The New Neptune

I find this question interesting: who will make money from the crisis, and emerge into the new world stronger – and what effect will that have on wealth inequality?

Answer: I don't know. I hope we can ratchet inequality of all kinds back a little in the new world. But the weight of all that wealth – really, it has a gravitational pull on everything, similar to the Sun's grip on the Solar System – is very resistant to any other forces available. A lot of inertia there.

I took Economics 101 as an undergrad in 1968, and that was it. It's not my strong suit. But it seems like trillions of dollars have changed hands in the last month or so. Where will that wealth go? Who will benefit, when it is spent or leveraged? Will a money aneurysm begin bulging out of the side of our world in a place where it hasn't been before? Things have been disrupted, maybe as if another Neptune has come barreling into our gravity well.

Or maybe all that cash will just be absorbed into the Sun with no more effect than a couple of solar flares, and that will be that. Status quo ante bellum.

Stay tuned.

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