After yesterday’s sad story from the New York Times, I thought it appropriate to share with you one about the wealth effect.
Dr. Nirav Shah of Physician on Fire shares his thoughts on the wealth effect:
What is the Wealth Effect? [Physician on Fire] – “Welcome to the bizarre world of the wealth effect, where people feel the need to live the high life when their actual financial status hasn’t changed all that much, solely because things around them are going up in value.
Explaining the wealth effect as a physician is hard but it is more prevalent in the medical fraternity than you’d think. So today, let’s discuss the wealth effect, how it manifests and why it’s become such a hot topic recently:”