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Sociology  /  Soc 0837  ·  Atom · ~20 seconds

Income and Wealth

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Income is money received over a period; wealth is the total value of assets held, minus debts, accumulated over time and across generations.

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A high earner with student debt may hold negative wealth; a modest earner who inherited property may hold a great deal.

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Students often mistake a high salary for wealth, or read income statistics as though they measured accumulated assets.