No. of Recommendations: 8
Booker’s plan would offer all newborns $1,000, and then add up to $2,000 annually for children in low-income households. By age 18, that could add up to serious money; Booker’s team estimates that for kids from lowest-income families, the nest egg would average some $46,000.

Since you don't work for it it's like winning the lottery. How well off are lottery winners?

Reminds me of land redistribution. Confiscate land from large holdings. Distribute it to the farmers/peons that work it. Come back in five or ten years. The land has reverted to large holdings. Small holding are simply not competitive nor are the farmers/peons capitalized well enough to become competitive. The Pareto Distribution does it's magic, back to 80/20.

Rinse, repeat, and never learn. I not being a pig headed capitalist. There is an underlying mechanism to complex systems that most people ignore. If you are an investor you'll have heard that three out of four mutual funds underperform the market. The same Pareto Distribution a work. Look at eatery sizes, a huge BigMac, several smaller competitors -- Wendy's -- and a long tail of mom and pop Joe's Greasy Spoons. Same Pareto Distribution. Everywhere you care to look you see the Pareto Distribution at work. All the altruistic experiments that have tried to even out society have failed, even Israel's kibbutzim.

February 20, 2011
Why Does the Average Mutual Fund Underperform?


It has often been stated that the average mutual fund underperforms the market but I have never seen an adequate explanation. I used to believe in a simplistic reason: Since mutual funds make up the average, if you deduct their management fees, their results will be that amount below the average. While this holds true, it is not the real reason. For an explanation we have to look at the Pareto Distribution of wealth.


https://softwaretimes.com/files/why+does+the+average+mutua.h...

The Captain
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