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The key point to understand is that prosperity is an internal experience, not an external state, and it is an experience that is not tied to having a certain amount of money.

Most people believe, mistakenly, that wealth in a human society has something to do with money, but that's not true. Money is simply a medium of exchange. Prosperity in a human society is the accumulation of solutions to human problems that we create for ourselves.

Real prosperity comes from everybody in the country working together in a growth mode. Real prosperity comes as a result of people's own initiative and efforts and so forth. Prosperity, if it comes from the government, is not prosperity. It's an existence or a subsistence or whatever, but it isn't prosperity.

While prosperity is in some ways related to money, it is not caused by money.

Prosperity isn't something that squirts out of rich people.

Prosperity in human society is misunderstood. The difference between a rich and poor society is the number of problems that society solves for its citizens. That means technological innovation is the source of all prosperity, but with every tech innovation, you also get disruption - ultimately, social and civic disruption.

The philosophical point is that our happiness and wellbeing is not based on incomes rising. This is not just the wisdom of sages but of ordinary people. Prosperity is more social and psychological: it's about identification, affiliation, participation in society and a sense of purpose.

Poverty is about people lacking the tools they need to get on in life. And solving it is about tackling educational failure, antisocial behaviour, debt problems and addiction, and of course it's about work.

Wealth brings with it refinement, the spirit of conservation, while poverty inspires adventurous ideas, the desire to change things, and has little care for life.