Looping the Hen

Negative Wealth

Not much new here, but I thought the term 'negative net worth' was interesting. You can be the poorest person in the poorest country in the world, and actually have more worth on a straight-line continuum than someone we would consider 'rich', due to the fact that a rich person's debt can often be more than his assets. Really, it is at this point a person's income that is the true disparity, because the rich person's potential income over a period of time should outweigh his real debt, which at some point should flip to assets. There are some other quality of life considerations as well, obviously, but not this post.