Economic theory is predicated on generalizations, and treating people like rational actors, which they are not. Therefore, I tend to distrust any mathematical formulas that overgeneralize the human condition. Non-linear dynamics is another scientific principle that can help predict the onset of chaos, including in social systems. Systems that become unstable do not behave like unstressed systems. Pareto's principle could go out the window when the system becomes so unstable that it collapses, and a new regime evolves. The solution, in my opinion, is redesigning our human environment to be much more efficient (creating abundance, allowing for everyone's basic needs to be met) and user friendly. Poverty is an engineered condition, and we can create a much better system with our current knowledge and technology. Thank you for your comment, I had not heard of Pareto's principle before.
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Look up pareto's principle and Lorenz curve. Even if you redistribute all the wealth it will still accumulate towards certain people over time