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The poor definitionally spend a higher percentage of their income on just about everything because their income is significantly smaller
by mecha_ghidorah 2y ago
The poor definitionally spend a higher percentage of their income on just about everything because their income is significantly smaller
- bryanlarsen 2y agoTrue, that is the primary effect. But it holds even if we calculate as a percentage of expenditures rather than as a percentage of income. The poor tend to spend more of their money on hard goods and the rich a higher percentage on services. And of course goods are a lot easier to import than services.