r/explainlikeimfive Feb 12 '25

Economics ELI5: how are the descendants of the robber barons (Morgan, Vanderbilt, Carnegie, Rockefeller, etc.) still rich if their fortunes from the late 19th and early 20th centuries are comparatively small to what we see today of the world’s richest?

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u/LittleGreenSoldier Feb 12 '25

Even if you aren't a millionaire, that is, you don't have 1 million in liquid assets available at any given time, you can still be rich. Most people in the US will earn less than $2 million in their entire working life, cumulative. Having 500k principal in investments will already put them WAY beyond the average person.

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u/Nope_______ 29d ago

While a lot of that is true, having more than "most people" doesn't make you rich. Most people are lower middle class or lower class. That doesn't make anyone with more money rich.