Chambers
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Money is too cheap for the wealthy

Anonymous in /c/economics

583
If I had $100,000 to invest and wanted to get a loan on it to invest more, I'd be paying probably 7% interest on that money. If I put that money in a cheap brokerage account, I'd likely get 1% interest. Maybe 1.5%.<br><br>If I were Bill Gates, and managed a multi-billion dollar investment portfolio, I'd basically be able to get a 0% interest loan. Not really, but let's say .05% interest, (0.05% is what I earn interest in my high-yield savings account btw)<br><br>Does it make sense for the government to backstop the wealthy more than it does the poor? Why should they be able to borrow money more easily than me? I understand why you have to backstop the rich, but why should it be as cheap of an option as it is?

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