Wealth Accumulation Process Research Articles

How Investors Choose Assets Among Pfizer, Walgreens, and CVS

Investment is one of the most important economic activities, and a reasonable investment method can help investors continuously obtain stable returns and complete the process of wealth accumulation. The healthcare industry, as a technology and capital-intensive industry, has always been a favored area for investors. This study selected three companies, Pfizer, Walgreens, and CVS, and analyzed financial data from different perspectives, including risk, profitability, and market ratio; Based on these data, this study determined the investment preferences of several types of investors in three companies, and the results showed that value and return investors would invest in Pfizer and Walgreens, while stock repurchase investors would invest in CVS. The analysis in this article is crucial for helping people determine which type of stock to invest in, thereby improving their chances of outperforming the market.

Reflection on the Social Phenomenon of Billionaires

It has been more than 70 years since the last global war in human society, and such a long period of peace is relatively rare in the long history. In the long period of stability, the process of wealth accumulation and differentiation has experienced many twists and turns, becoming more and more serious. The huge wealth gap has caused great social differences, This paper reflects on the social phenomenon of billionaires.

VERTICAL SOCIAL MOBILITY IN UKRAINE IN THE CONTEXT OF THE UKRAINIAN-RUSSIAN WAR

The Ukrainian-Russian war, which has actually been going on since 2014 and escalated on February 22, 2022, has changed the established way of life of the vast majority of Ukrainians, including the algorithm and principles of social mobility, both horizontal and vertical, as 7915287 people left for Europe for temporary protection and 4867106 people officially registered within Ukraine could not but affect the mobility of Ukrainian society. The aim of the article is to determine the impact of the Ukrainian-Russian war on the change in the channels of vertical social circulation, such as the army, the church, educational and upbringing institutions, the process of wealth accumulation, family and marriage. Research methodology. The research methodology is interdisciplinary in nature and lies at the intersection of social philosophy and sociology. The principles of historicism, consistency, objectivity, and the connection between the historical and the logical were also used to solve specific research tasks. Results. According to P.Sorokin`s definition, social mobility means any transition of an individual, group or social object, or a value created or modified through activity, from one social position to another, as a result of which the social position of an individual or group changes.P. Sorokin distinguishes between two forms of social mobility: horizontal andvertical. Horizontal mobility is the transition of an individual or a social object from one social position to another, which is located at the same level. But the most important process is vertical mobility, which is a set of interactions that facilitate the transition of an individual or social object from one social stratum to another. This includes, for example, a promotion (professional vertical mobility), a significant improvement in well-being (economic vertical mobility), or a move to a higher social stratum, to a different level of government (political vertical mobility). Conclusions. The Ukrainian-Russian war has had a significant impact on the channels of vertical circulation. Considering the impact of the war on the army as one of the main channels of vertical circulation, we can state that since the beginning of the war, about 1 million mostly male population of Ukraine were forced to change their profession from civilian to military, and professional military personnel, due to losses among the command or their own talent and heroism, were able to take command positions in the Armed Forces, the National Guard, and the National Police. At the same time, the war has shaken the status of such social institutions as the church, the process of wealth accumulation, and family and marriage (especially with a representative of a different social status), making them channels of downward movement.

Top-End Wealth Accumulation: The <i>Forbes</i> Lists and Wealth Inequality

The annual Forbes magazine’s lists of the wealthiest individuals in the world are a widely used source of data about the dynamics of wealth concentration. They complement the estimates of global and national wealth concentration published annually by Credit Suisse Bank and the World Inequality Database. Both sources enable analysis of the dynamics of wealth accumulation. This paper seeks to assess the degree to which political–institutional forces as opposed to market forces shape the process of wealth accumulation. The paper finds that the growth rate of the total wealth of the top 400 individuals between 2000 and 2020 was much higher than for their countries as a whole. Moreover, wealth at the very top has become significantly more concentrated. The processes generating accumulation of wealth nationally foster higher rates of wealth accumulation for the wealthiest. The paper proposes political and institutional explanations based on opportunities for rent-extraction by the wealthiest. Rising market power on the part of some firms and sectors enables profitability to become decoupled from productivity and enables individual-level wealth to accumulate at a rate proportional to the level of wealth.

Investment Risk for Long-Term Investors

Investment risk is addressed from the perspective of long-term investors, with key concepts being discussed and methods outlined for evaluating risk over long horizons. The main themes include: the need to focus on shortfall versus objectives and sources of sustained loss, rather than return volatility; the potential influence of path dependence; and the benefit of directly modelling the wealth accumulation process. A framework is presented that decomposes the drivers of wealth accumulation into initial expected returns, discount rate risk, cash flow risk and reinvestment risk. Approaches are highlighted for forming distributions of accumulated wealth, while demonstrating the importance of incorporating prevailing market conditions into any risk analysis. Alternatives to the Standard Risk Measure used for Australian superannuation funds are discussed.

Models of Wealth and Inequality Using Fiscal Microdata: Distribution in Spain from 2015 to 2020

In this research, we used Spanish wealth distribution microdata for the period 2015–2020 to provide a general framework for comparing different models and explaining different empirical datasets related to wealth distribution. We present a methodology to output the current value of assets and participations held by the population in order to calculate their real and current distribution. We propose a new methodology for mixture analysis, whereby we identify and analyze subpopulations and then go on to study their influence on wealth distribution. We use concepts of symmetry to identify two internal processes that are characteristic of the wealth accumulation process for the subpopulations of entrepreneurs and non-entrepreneurs. Finally, we propose a method to adjust these results to other empirical data in other countries and periods, providing a methodology for comparing results output with differing data granularity.

Homeownership of immigrants in France: selection effects related to international migration flows

We investigate the difference in homeownership rates between natives and first-generation immigrants in France, and how this difference evolves over the 1975–1999 period, by using a large longitudinal dataset. We find that the homeownership gap is large and has remained steady. Entries into the territory have a large negative effect on the evolution of homeownership rates for immigrants. Although entrants have on average better education than people staying in the territory for the entire period (i.e. stayers), they are younger and thus at an earlier stage in the wealth accumulation process. They are also located in large cities, where the homeownership rate is lower, and the returns to their characteristics are lower than those for stayers. Leavers have a positive effect on the evolution of homeownership rates for immigrants because they have a low access to homeownership and they exit the country. But this effect is only one-fifth that of entrants. For stayers, we show that returns to characteristics change in favor of immigrants, which is consistent with assimilation theories. However, among stayers who access homeownership, immigrants end up in owned dwellings that are of lesser quality than natives.

Bolivia, élite sectorial chola y élite política: las ambivalencias de su relación

<p>One of the effects of the rise of the new political elite is the visibility of new sectoral elites. These new elites had been absent from the political, economic and social landscape due to the old power dynamics between the “white elite” and the State which resulted to the historical exclusion of the popular sectors. The new sectoral elite which emerged with the revolution of 1952, was favored by the elites´ replacement of 2006. In the current context of the ‘change process’ and of the partial disappearance of the old social stratification, the new elites have initiated their process of wealth accumulation. However, due to the sectoral interests that each elite represents, their relations are marked by continuous ambivalences<em>.</em></p><p><strong>Published online</strong>: 11 December 2017</p>

Hannah Arendt: la pérdida de la propiedad privada en los orígenes del capitalismo

According to Hannah Arendt the modern age has been shaped by the rise of capitalism and the loss of the property of the house. This rise took place with the expropriation of Church properties and of the peasant classes after the Reformation. The concern of the moderns, represented by John Locke, is the unending process of wealth accumulation, but not property. After this diagnose, the Arendtian alternative is the recovery of property in conditions of equality for all. This equal-property for all can be achieved only if the property of the house and wealth are limited by law.

Household wealth in the euro area: The importance of intergenerational transfers, homeownership and house price dynamics

Results from the Eurosystem Household Finance and Consumption Survey reveal substantial variation in household net wealth across euro area countries that await explanation. This paper focuses on three main factors: (i) homeownership, (ii) housing value appreciation and (iii) intergenerational transfers. We show that these three factors, in addition to the common household and demographic factors, are relevant for the net wealth accumulation process in all euro area countries, and that, using various decomposition techniques, differences in homeownership rates and house price dynamics are important for explaining wealth differences across euro area countries.

Dynastic accumulation of wealth

Why do some dynasties maintain the fortune of their founders while others completely squander it in few generations? To address this question, we propose a simple deterministic model combining bequests motives and labor supply. We show that the interaction of the two key parameters in the model, the “hunger for accumulation” and the “willingness to exert effort”, can produce a surprisingly rich set of long-run process of wealth accumulation within a family lineage.

Homeownership of Immigrants in France: Selection Effects Related to International Migration Flows

We investigate the difference in homeownership rates between natives and first-generation immigrants in France, and how this difference evolves over the 1975-1999 period, by using a large longitudinal dataset. We find that the homeownership gap is large and has increased. Entries into the territory have a large negative effect on the evolution of homeownership rates for immigrants. Although entrants have on average better education than people staying in the territory for the entire period (i.e. stayers), they are younger and thus at an earlier stage in the wealth accumulation process. They are also located in large cities, where the homeownership rate is lower, and the returns to their characteristics are lower than those for stayers. Leavers have a positive effect on the evolution of homeownership rates for immigrants because they have a low access to homeownership and they exit the country. But this effect is only one-third that of entrants. For stayers, we show that returns to characteristics change in favor of immigrants, which is consistent with assimilation theories. However, among stayers who access homeownership, immigrants end up in owned dwellings that are of lesser quality than natives.

Household Wealth in the Euro Area: The Importance of Intergenerational Transfers, Homeownership and House Price Dynamics

Results from the Eurosystem Household Finance and Consumption Survey reveal substantial variation in household net wealth across euro area countries that await explanation. This paper focuses on three main factors for the wealth accumulation process, i) homeownership, ii) housing value appreciation and iii) intergenerational transfers. We show that these three factors, in addition to the common household and demographic factors, are relevant for the net wealth accumulation process in all euro area countries, and moreover that, using various decomposition techniques, differences therein, in particular in homeownership rates and house price dynamics, are important for explaining wealth differences across euro area countries.

Household Wealth in the Euro Area: The Importance of Intergenerational Transfers, Homeownership and House Price Dynamics

Results from the Eurosystem Household Finance and Consumption Survey reveal substantial variation in household net wealth across euro area countries that await explanation. This paper focuses on three main factors for the wealth accumulation process, i) homeownership, ii) housing value appreciation and iii) intergenerational transfers. We show that these three factors, in addition to the common household and demographic factors, are relevant for the net wealth accumulation process in all euro area countries, and moreover that, using various decomposition techniques, differences therein, in particular in homeownership rates and house price dynamics, are important for explaining wealth differences across euro area countries. JEL Classification: D31, E21, O52, C42

Marriage, Marital History, and Black – White Wealth Differentials Among Older Women

This study investigated the impact of union history and marital transitions on wealth inequality between older Black and White women (N = 7,026). Cohort data from the Health and Retirement Study show large and increasing Black – White differences in wealth. Marital and relationship histories are associated with the wealth accumulation process among older women. Women who married and stay married accumulated levels of wealth that exceeded those of other women with disrupted family lives. The marriage – wealth nexus is sensitive to a woman's position in the wealth distribution. Quantile regression results revealed that racial differences in total wealth holdings between Black and White women exist throughout the wealth distribution, whereas the relationship between current union history and wealth differentials is significant at the lower tail and middle of the distribution. Decomposition analyses highlighted the nontrivial role of racial disparities in marital histories in accounting for the racial wealth gap. As members of the baby boom generation enter their retirement years, it will be more important than ever to monitor the wealth accumulation process among older single and racial/ethnic minority women.

Mondialisation et nouvelle mobilité des élites africaines

Today, the social class of “leaders” in Africa (high public official, political elite, business managers, big traders) is the main benefiter of the wealth accumulation process that has been created by the globalization, the development of exchanges and communication, as well as the global economic deregulation. Since the 2000’s, some capital holders investments and local touristic policies have significantly increased land speculation and real estate growth in several “South” cities such as Dakar, Marrakesh, Luanda or Praia. In spite of increasing social inequalities in the economic context marked by structural adjustment since the 1980s, an African elite has raised on the basis of entrepreneurship either formal or informal. Their financial capacities and their social influence allowed them to achieve this accumulation process. This new African elite class cannot be compared to the Indian middle-upper consumption class but is nevertheless aspiring for the western consumption standards.These “nouveaux riches” take part in the global nomadic world but the observation of their behaviour shows that these “new nomads” are actually combining different kinds of mobility, for different purposes such as traditional commitments, social relationships, business, leisure, and consumption. Several effects of this phenomenon can be observed. In the big cities, the new bourgeoisie migrates to living districts, contributing to the intensification of urban social division. The traditional and social commitments (due to the funerals, the celebrations, etc.) remain a major purpose of local, national or international mobility and the religious purpose (especially for pilgrimage) has been significantly increasing. Two new behaviours can be identified. The first is the leisure trip of the weekends, generally in the local area with all the family. The second one is the trip combining different purposes: social visit or tourism during a professional trip, commercial operation combined to a family visit, etc. This kind of journey is particularly frequent in the societies that have a tradition of international emigration like Senegalese and Cap Verdean societies.The contribution of African elites to the nomadic planet is thus complex, because it combines the local place with the world movements, the pleasant to the useful, and the duty in the leisure. Is it a new model of circulation in a world and an original contribution to the globalisation? We shall lean more specifically on Senegalese, Cape Verdean, Moroccan examples.

Wealth networks with local redistribution

We propose a growing network model of the distribution of wealth in a society with local redistribution. Individuals, represented by nodes in the model, provide goods and services to one of their neighbors and they simultaneously produce wealth using goods and services received from their neighbors. A proportion of the wealth produced by a node is redistributed to its neighbors as a reward for the received goods and services. Nodes have different ability to produce wealth. We analyze the interaction between the wealth accumulation process and the structure of the network, and analyze also how the interaction is affected by the redistribution of wealth. It is investigated how rich nodes attract the individuals entering the network in this model. Under a reasonable distribution of ability, simulation result shows that the distribution of degree, i.e. number of neighbors of a node, is scale-free, and that the wealth distribution for the middle class is a log-normal distribution, while for the richest it shows a power-law behavior. We also show that the local redistribution of wealth has a significant effect on the distribution of both degree and wealth.

Communism - A Survival Analysis

Human generation try to fit into a 4 dimensional survival concepts comprising the Environment, Geography, Economic and Social dimensions, over centuries and their pedigree too progressed under these guidelines. Because of the divergent level of survival targets in the economic and social strata by each human being, wealth accumulation flows unequally among the people. Industrial revolution mechanised the human work, with cost reduction and quality/volume optimization and planted Capitalism in the world, creating a wedge in the wealth accumulation process. This inducted a class war between the owners of wealth versus the workers, who are hired and fired by them. Competition made the capitalist to realise the importance of labour and diluted their concept as “Socialism”. The disproportionate wealth accumulation among people seeded the concept of communism in the world. Communism originated by Marx in Germany, spread to Russia and was promoted by Lenin. Both assumed that the large volume of people in the world belong to the low wealth possessing worker class, will revolt towards equal wealth share, and Communism shall dominate the whole world soon. But both Marx and Lenin were “Social revolutionists” and lacked “futuristic management thoughts” on how the shared wealth will be recycled to grow more, and result in prosperity among the equally shared population ? With this limited thought, the USSR (1922) and the East Germany (GDR-1961) and were created, with the entire wealth of the nation pooled on the apex “State”, representing the entire population. The state became a monopoly and all the people were simple labourers, without any self possessions. The state utilised the labour like a commodity, without any motivation to use their original ideas and any incentive to improve the productive contribution spirit. As a result, the GDR collapsed in 1989 and the USSR dwindled in 1991, bringing an end to the 69 year old Communist concept. Also both started promoting the diametrically opposite Capitalist approach and established cooperation with the (imperialist) USA. Communism could have survived and continued as a guide for wealth and prosperity for all the nations and their people in the world, if the domestic population was considered as “superior” to the “state”. The national wealth owned by the “State” should have been invested in sectorial projects and entrusted to optimum group of people to work, manage and encouraged to meet a targeted quality volume. State should have met all needs of these groups of people. A reasonable share of the net gains should have been distributed in equal proportion to all the people involved, as an incentive. Below targets and loss should have been questioned and corrective action should have been taken. In addition, the productivity and management decision should have been oriented towards ‘socio-economic Development units”. The domestic investment should be made from domestic savings and domestic technology should be manned by the domestic labour.

Wealth Accumulation and Distribution in Urban China

Under socialism it was neither possible nor necessary to accumulate significant levels of personal wealth. The acceleration of economic reform in the last decade, however, has brought dramatic increases in income and investment opportunities. Reform has also reduced social protections provided by the state welfare system. In response to these changes, between 1995 and 2002, urban average real household net total wealth increased by 24 per cent per annum. There is a concern, however, that those accumulating wealth are the economic and political elites while those unable to accumulate wealth are the most vulnerable workers who are losing social protection. Using Chinese urban survey data of 1995, 1999, and 2002, this paper investigates this issue. It is found that households with above average income have accumulated more wealth than their poorer counterparts. In addition, a large proportion of this wealth accumulation may be from non-earned sources, such as buying larger and better housing at highly subsidized prices. Furthermore, party members and their children have benefited a great deal from this fast wealth accumulation process. Although at lower rates, the poor and vulnerable have also been able to accumulate wealth.

The Power of the Machine: Global Inequalities of Economy, Technology, and Environment

The Power of the Machine: Global Inequalities of Economy, Technology, and Environment ALF HORNBORG ALTAMIRA PRESS, WALNUT CREEK, CALIFORNIA, 2001 264 PP. $75.00 HARDCOVER, $29.95 PAPERBACK Hornborg's book-a seamlessly organized collection of his previously published articles-asks this question: What is the source of the world's current ecological crises? His answer is the familiar bogeyman of capitalism and its henchman money. But his explanation of that answer is quite innovative, and has the potential to help build a framework that would be a theoretical breakthrough for understanding human-environment relations. In addition to standard positivist arguments, he also incorporates many concepts and analytical techniques from poststructural theory. He applies these perspectives to the broad scope of global economics and the ubiquity of environmental degradation-and specifically individuals involved in everyday relationships of production, distribution and consumption. Because of its subject matter and innovative approaches, this book should be read by all economic and ecological anthropologists and would provide good material for teachers of upper division classes in those fields, although the book addresses questions that are pressing in virtually all of the social sciences. In response to a growing literature that wants to push the origins of the process of wealth accumulation back at least 5000 years (see Gills and Frank 1990), the book argues for discontinuities in the modes of wealth accumulation, which are plunder, merchant capitalism, financial capitalism, undercompensation of labor, and underpayment for natural resources (unsustainable extraction). Industrial capitalism is a particular arrangement of these modes that threatens sustainability in a way that others have not. By Hornborg's definition, all modes of accumulation structure the appropriative processes (via tools), transformative processes (of raw materials) and convertible processes (creation of valuables and consumables). The implication of this theory is that all modes of accumulation have, at base, one thing in common: some minimum net transfer of wealth from one sector of society to another is assured by people's evaluations that support a certain rate of exchange. The latter part sounds almost circular and seems to resemble the rationale of neoclassical economics, i.e., people believe that the trading they are doing is fair (otherwise they wouldn't do it). Combined along with the net transfer of wealth, the ramification is that accumulation, i.e., the existence of haves and have-lesses, is fundamental to complex society, that both the haves and the havelesses develop beliefs that help maintain the system, and that these beliefs often include hopefulness about the Power of the Machine to solve problems. Drawing from the second Law of Thermodynamics, Hornborg also tries to join political economy and bioecology first by labeling Marx's and H.T. Odum's analyses of alternative currencies (labor and emergy, respectively) as normative theories, second by finding that the energy that remains in a finished product is inversely proportional to the increase in its value. Thus, urban centers of accumulation contain less potential energy, but higher value, and are the result of accumulative processes that exploit human labor and unsustainably mine the biophysical environment. This argument parallels Harvey's (1985) idea of the 'spatial fix', in which capital will always seek places where the global terms of trade can find a cheaper cost of production. Hornborg would emphasize that it does not take less energy to mine the ground in one place than another, and it does not take less muscle or finesse to build a tool in one place than another. If labor and capital costs were equalized across the planet, economic growth would be limited even more than it is now. Thus, it might follow that industrial capitalism always depends upon, and co-exists with, the other modes of accumulation to maintain unequal global terms of trade. …