But a lot of times it's invested in the economy to the worker's detriment. Look at the huge investments into real estate recently. Are the new landlords going to price units at something remotely affordable for someone on part-time minimum wage to raise a family in like it's still the 50's, or are they going to charge an unaffordable market rate? Resulting in people living with roommates into their 30's and beyond. More active participation in the market by the government would do wonders - real estate developers are in business to make money, which is what's lead to so many luxury condos. The government is able to pay market rate to blue collar workers who actually do the construction while not taking any profit, and thus are about to build units that are affordable by plebeians.

Another example of socially irresponsible investing is in any company that hires minimum wage employees for 39.5 hours a week, just under what's needed to qualify for company-sponsored health insurance. The market's slowly changing, but you're deluded if you think that's not still happening and that corporations are just happen to make small accidental practices that result in wage theft from employees, especially those at the bottom rungs.

There are bourgeoisie who pride themselves on their philanthropic work, and socially responsible investing, but greed's a more reliable driver for how people invest.

The money isn’t sitting in a vault - but it also isn’t necessarily being consumed. In order to leave the vault it must be invested or more typically loaned. As the vault earns interest, a dynamic can emerge that consumers must borrow progressively larger sums in order to avoid bankruptcy.

This occurred in the Great Depression where inequality rose and in turn debt loads. The fed has papered over this problem by simply printing more money. However historically, the US faired better following the massive federal wealth redistribution that was ww2.

The US government can’t afford ww2 style spending programs, and increasing evidence shows that money printing isn’t helping the economy.

> In order to leave the vault it must be invested or more typically loaned.

Which it is. All of it, except for the reserve requirement. The idea that wealthy people hoard money is simply not true. The money is put back to work in the economy.

Reserve requirement is 0% in the US. Money supply is actively managed, so irrelevant. Hard assets are definitely hoarded compared to the past.

Hard assets are paid for with money, which means the money isn't hoarded.