Diving into understaning the wealth of the rich.
The concept of a millionaire and a billionaire still blows my mind. We usually think about this and we have an eh! moment, not much of a difference, according to the Global Wealth Report, 43.4% of the world's wealth is controlled by millionaires.
To understand the difference between a millionaire and a billionaire we'll first put it into time. Time is a valuable thing, what better measure to understand the difference between these two.
Imagine that you want to spend $1m as fast as you can, now, you'll spend $1 per second until you run out of money, to achieve that you'll spend 12 days spending $1 per second.
If you have a billion dollars the scenario is completely different, the difference between the two is abysmal. We'll dive a little deeper into the richest person in the world later.
The difference just three zeros do. Following the same approach as before, you have $1b and you want to spend it as fast as you can. Again, $1 per second until you run out of money, it'll take you a total of 32 years. Yes, you read that right, thirty-two years.
It's honestly mind-blowing to me the difference between a millionaire and a billionaire, we don't often think about these things.
The richest man in the whole world, hell, he's going to Mars soon, how crazy is that? To better understand how rich Jeff it's easier to make it visual.
First things first, to understand the difference of money increasing from $10,000 to $1,000,000 I'll draw a chart, the representation of this chart goes from $10,000 — $100,000 — $1,000,000.
We can already see the difference between $100,000 and $1,000,000 is quite significant, I'll just go ahead and I'll add $1b to the chart.
Right, both $10,000 and $100,000 are gone, crazy. To clarify, $10,000 represents 0.00001% of $1b and $100,000 represents 0.0001%. For the sake of it, I'll drop these values from the chart along with $1m, the next chart will represent how much is $1bn and how much Jeff Bezos have.
If you're not seeing the $1b bar that's normal, $1b represents around 0.005% of Jeff's fortune.
Taking our first analogy, where to spend $1b you would need to spend $1 per second for 32 whole years, with Jeff's wealth it would take him around 6 432 years, spending $1 every single second.
We were just talking about Jeff, if we take a look at Amazon, it's worth $1.8 trillion, it would only take 57 077 years for them to spend their wealth spending $1 per second.