Berkeley CSUA MOTD:Entry 35011
Berkeley CSUA MOTD
 
WIKI | FAQ | Tech FAQ
http://csua.com/feed/
2024/11/23 [General] UID:1000 Activity:popular
11/23   

2004/11/22 [Reference/Tax, Finance/CC] UID:35011 Activity:high
11/22   So in a recent article I've read that relatively poor people
        who win state lotteries tend to lose all of their money and then
        some within a couple of years, especially those who opt to collect
        all of their funds up front. In other words, it's useless to give
        poor money if they haven't actually earned it since they'll just
        lose it. Something to be said about our tax system.
        \_ are you equating lower tax brackets and welfare to the lottery?
        \_ No, this says something about systems that give money without
           education or expectation.
        \_ TROLL HARDER!
        \_ Did you see what happened to the homeless guy that Howard Stern gave
           money to? He was one of those street drummers. He blew the
           money on liquor and whores. He bought a very expensive leather
           jacket that was then stolen from him. He bought himself some
           nice drums which were also stolen. The idea was that he was
           going to rent an apartment. I think Howard gave him $10K, which
           was a year of rent. He was supposed to report back in with his
           progress and never did. The station finally hunted him down. I
           agree that education is the key, but entitlement programs often
           don't include such components.
           \_ Entitlement program != HUGE CASH PRIZES!
              \_ Entitlement program == small cash prizes
                 \_ No.  A prize is a one time bonus, while a low tax bracket
                    or government service is a regular income source.  If your
                    job gave you a bonus, wouldn't you spend some of it on
                    impulse buys?
                    \_ Not if I was HOMELESS!!!
                    \_ Would you point me a research that says the entitlement
                       class tends to spend smaller regular payments more
                       responsibly than they do larger lump sum payments?
                       Or, to continue the above Howard Stern example, would
                       the recipient of the largess not just buy the drums
                       one month and the leather jacket the next?
                       \_ Would you point me to research that says the poor are
                          more wasteful of their money than, say upper-middle
                          class people with too much disposable income.  Who
                          buys the Hummers and Luis Vuitton bags?  It's not the
                          working poor.
                          \- i'm not sure it's much dumber of a homeless
                             person to blow $10k boon than for a berkeley phd
                             making $150k+ to be amassing credit card debt
                             [i know such a person]
           \_ Buying expensive leather jacket and drums is good.  This
              will help stimulate the economy.