Weber Was Right: Death, Taxes, Working Capital, and the Excessive Propensity for Accumulation

Abstract

It turns out that Max Weber was on to something when he suggested that it was not natural or automatic that wealthy individuals invest their capital rather than keep it or spend it on themselves. Patterns of economic growth and capital investment in the United States over the last century indicate that in general some inducement or pressure is necessary to convince those who control money to risk it rather than hoard it.