I think that as a practical matter, they are extremely correlated. Wealth sitting in cash loses half its value every 20 years. Physical assets require upkeep and property taxes.
In practice, if you aren't making income, you losing wealth.
>Wealth sitting in cash loses half its value every 20 years.
By wealth, people tend to mean assets, not petty cash sitting in checking accounts. If you're sitting on inherited assets you're accumulating more wealth by just sitting on your ass without doing anything.
Just see the post-2009 monetary polices: from housing to stocks, everything went up like crazy, especially during COvid. You didn't have to be financially literate, all you had to do was sit on your inherited assets and not touch them and the government's money printer did the work for you in the last 10+ years.
So forgive me but I still see no proof that 72% people loose their wealth between generations, when everything went up up up in the last decades, especially housing. Unless that wealth we're talking about was an old carpet and $600 bucks in a checking account.
>Physical assets require upkeep and property taxes.
N'ah bruh. Stocks or empty land in desirable areas requires no upkeep and wealth taxes in some EU countries range from laughable to zero, while income taxes in those same countries hover around 50%. Go ahead, tell me more how income is the same thing with wealth.
In practice, if you aren't making income, you losing wealth.