6 ms·

They always have a choice, they are just weak-willed and have a ridiculously high time preference. Being poor isnt primarily an inability to make money, it is

They always have a choice, they are just weak-willed and have a ridiculously high time preference. Being poor isnt primarily an inability to make money, it is an inability to save money and delay gratification. Being poor is a mental state. They'd likely end up poor even if they won a lottery.

Noted 12y ago
You can't save money you don't make. There's a lot more to poverty than just weak-willed people.
billmalarky 12y ago
>They always have a choice, they are just weak-willed To be fair, when you're down it's hard to pull yourself back up. Especially when you see no future for yourself, why not "treat yourself" to a simple luxury here and there. These people aren't thinking about the future because they don't believe they have one. >Being poor isnt primarily an inability to make money, it is an inability to save money and delay gratification. I disagree. The primary reason these folks are poor is their inability to make money. Will they ever become wealthy (high net worth) without the ability to save money and delay gratification? No. But there are many in the middle class who are low net worth due to spending but do not live a "poor" lifestyle with all the burdens it entails like these people do. The first step to financial security is getting the skills necessary to bring in income sufficient to cover a modest life and then save. These people are simply not able to bring in that level of income. Even if they scrimped and saved a large portion of their paycheck, they would still be wiped out quickly given any major disruption.
pluma 12y ago
It's easy to talk about delaying gratification when you have a relatively realistic prospect of eventually achieving that gratification. We're talking about people who know there's no realistic way to achieve that gratification without making bad decisions. It's not about how long you need to wait to be able to afford something without cutting off your leg. It's about which leg you're willing to cut off to afford the other one.

Noted 12y ago

You can't save money you don't make. There's a lot more to poverty than just weak-willed people.

billmalarky 12y ago

>They always have a choice, they are just weak-willed To be fair, when you're down it's hard to pull yourself back up. Especially when you see no future for yourself, why not "treat yourself" to a simple luxury here and there. These people aren't thinking about the future because they don't believe they have one. >Being poor isnt primarily an inability to make money, it is an inability to save money and delay gratification. I disagree. The primary reason these folks are poor is their inability to make money. Will they ever become wealthy (high net worth) without the ability to save money and delay gratification? No. But there are many in the middle class who are low net worth due to spending but do not live a "poor" lifestyle with all the burdens it entails like these people do. The first step to financial security is getting the skills necessary to bring in income sufficient to cover a modest life and then save. These people are simply not able to bring in that level of income. Even if they scrimped and saved a large portion of their paycheck, they would still be wiped out quickly given any major disruption.

pluma 12y ago

It's easy to talk about delaying gratification when you have a relatively realistic prospect of eventually achieving that gratification. We're talking about people who know there's no realistic way to achieve that gratification without making bad decisions. It's not about how long you need to wait to be able to afford something without cutting off your leg. It's about which leg you're willing to cut off to afford the other one.