THERE IS NOT A SINGLE BILLIONAIRE OUT THERE THAT IS NOT A DONOR TO THE MEX FASCIST PARTY of LA RAZA, AND ADVOCATE FOR OPEN BORDERS, NO E-VERIFY, AND BLANKET AMNESTY.
After the financial crisis: How the ultra-wealthy have prospered
After the financial crisis: How the ultra-wealthy have prospered
By Nick Beams
31 August 2017
31 August 2017
It is said that a picture is worth a thousand
words. The same might apply to a graph. One
such case is a striking graphic, published in
the Financial Times this week, showing a
downturn in the wealth of the world’s top-ten
billionaires in the financial crisis of 2008, and
then roaring back, at an even greater rate
than in the past, to reach new heights.
words. The same might apply to a graph. One
such case is a striking graphic, published in
the Financial Times this week, showing a
downturn in the wealth of the world’s top-ten
billionaires in the financial crisis of 2008, and
then roaring back, at an even greater rate
than in the past, to reach new heights.
As the brief article
noted, the net worth of the world’s “very wealthiest people took a hit during
the financial crisis as the stock market tumbled—but that pause would be short
lived.” The crisis proved to be but a “temporary setback.”
The graphic serves to
underscore the real meaning of the word “recovery,” which is so frequently
bandied about by the heads of the world’s major economic institutions to
describe the state of the world economy.
In fact, it has
nothing to do with economic reality. On the contrary, it reveals the state of
the world’s ultra-wealthy, in contrast to the situation confronting hundreds of
millions of working people in the major economies, where real incomes remain
below their level before the 2008 crisis, and wealth has contracted.
While the world’s
working class continues to battle with the ongoing effects of the greatest
economic crisis since the Great Depression, the ultra-wealthy have powered
ahead to the extent that, as the Oxfam agency reports, eight billionaires now
hold wealth equal to that of more than half the world’s population combined.
The main reason for
the soaring wealth of the super-rich have been the policies of the Fed and the
other major central banks in pumping trillions of dollars into the global
financial system. The top ten central banks now hold an estimated $21 trillion
worth of financial assets on their balance sheets.
A graph of the rise
of the major US stock market index, the S&P 500, for example, shows that
its continuous upturn since the low point of March 2009 tracks almost exactly
the increase in financial assets held by the US Federal Reserve, which has
expanded its holdings from around $800 billion before the crisis to some $4.5
trillion today.
The ultra-wealthy
have not only benefited from the rise in asset prices. Because of the
accompanying low interest rate regime, they have been able to increase their
wealth through financial leveraging.
A simple arithmetical
example makes this process clear. If $100 is invested in a financial asset,
which then increases over the year by $6, then the rate of return for capital
invested will be 6 percent. But if money is borrowed at 3 percent and used to
finance, say, 90 percent of the purchase price ($90), then, after paying back
the loan ($90) and interest ($2.70) at the end of the process, the return on
the $10 investment will be $33. That is, a rate of return of 33 percent for
every $10 invested.
Of course, the sums
involved in such operations run into billions of dollars and such money is only
available to those already in possession of vast amounts. Truly, to him that
hath, shall be given.
One of the main ways
companies leverage their operations is by using funds to finance share
buybacks. Apple and other tech giants are some of the main beneficiaries of
this process.
The fastest area of
the growth of wealth is in tech companies. According to the rich list compiled
by Forbes, the total worth of the world’s richest tech billionaires has
exceeded $1 trillion this year, for the first time ever. It represents a rise
in wealth for this group of around 21 percent in the past 12 months.
According to the
Forbes list, Microsoft co-founder Bill Gates is at the top of the pile with
$84.5 billion, slightly ahead of Amazon chief Jeff Bezos with $81.7 billion.
Mark Zuckerberg, the co-founder of Facebook, comes in third with $69.6 billion.
His wealth has increased by almost $16 billion in the space of just a year.
Bezos was another
fast climber up the rich list. His fortune expanded by $15.5 billion as a
result of a 25 percent increase in the value of Amazon stock. At one point he
even became, for a brief period, the richest man in the world.
Balzac, the great
19th century French novelist, once noted that behind every great fortune lies a
great crime. In the 21st century, one could add to this: new forms of
exploitation. One of the major factors behind the rise and rise of Amazon,
along with the fortunes of Bezos, has been the development of new and ever more
intensive forms of exploitation based on the use of hi-tech systems.
The Amazon business
model is only one expression of the changes in the nature of employment and the
more intensive extraction of profit. The development of the so-called gig
economy, in which workers are employed on zero hours contracts, with no
benefits, able to hired and fired at will, is becoming an ever larger component
of the labour market in all the major advanced economies, providing a
significant boost to the bottom line.
This has been coupled
with the growth of part-time and casual work, to such an extent that more than
90 percent of all the new jobs created in the US under the Obama administration
are estimated to have fallen into this category.
The rich list
continues to be dominated by Americans, but others are making a move up the
scale. The third and fourth biggest gainers on the tech rich list are Chinese.
Tencent CEO Ma Huateng increased his wealth by $14.7 billion to $36.7 billion,
while Alibaba founder and executive chairman, Jack Ma, the richest man in Asia,
has lifted his fortune to $37.4 billion, an increase of $11.6 billion in the
year.
Some $1.3 billion of
this increase came in just one day, when, earlier this month, the company
announced its quarterly earnings results, showing a 58 percent increase in
revenue over the previous year. Ma ranks as the 17th richest person on the
planet.
The process of wealth
accumulation is not the result of any kind of economic “recovery,” nor the
supposed “entrepreneurship” of its beneficiaries. Rather, it is the outcome of
a system characterised, as Marx put it, by the accumulation of fabulous wealth
at one pole and poverty and misery at the other.
THE WATERS ROSE AND CIVIL WAR II COMMENCED.
HOUSTON: ONLY THE POOR DROWN IN THIS COUNTRY!
THE HOUSTON FLOOD -
CRONY CAPITALIST LICK THEIR LIPS OVER REBUILDING.... FIRST, LIKE
KATRINA, CUT WAGES AND INVITE HORDES MORE ILLEGALS IN TO WORK CHEAP!
"Like
Katrina, Hurricane Harvey has lifted the lid on the ugly reality of
American society, exposing colossal levels of social
inequality, pervasive poverty and ruling class criminality."
"The reason why these warnings have been
ignored is not hard to fathom. They have been resolutely opposed by
corporate interests, including the real estate industry, Wall Street and
Big Oil. Their ability, operating through bribed politicians of both
parties, to veto and block elementary measures to protect the American
people, exemplifies the complete subordination of all social needs
under capitalism to the selfish drive of a corporate-financial oligarchy
to accumulate ever greater levels of personal wealth and profit."
THEY INVADE OVER AND UNDER OUR BORDERS… and do so by invitation of
the Democrat Party.
Lawmen are worried that
the cartel tunnel builders on the Mexican border are now using their engineered
concoctions to smuggle illegals, not merely drugs.
That's what the Daily
Caller has found, describing the new anxiety as
one was discovered over the weekend, catching about 30 illegals coming in from
Mexico and China. MONICA SHOWALTER – AMERICAN THINKER.com
THE BIG “DEAL MAKER” TWITTER TRUMP WORKS OUT A NO WALL DEAL WITH NARCOMEX
….. LA RAZA WILL NOT BE
PAYING FOR THE ALL THAT MIGHT IMPEDED THEIR SUCKING OF $100 BILLION PER YEAR
OUT OF AMERICA’S OPEN AND UNDEFENDED BORDERS!
WHILE THE SWAMP KEEPER TWITTER TRUMPER SERVES THE SUPER RICH…. The
wall remains a joke on Legals and HUNDREDS OF STORES across America’s OPEN
BORDERS are being shuttered by the hundreds!
WALL STREET TO THE AMERICAN PEOPLE: DIE YOUNG…
your company pension dies with you!
OPOID AND ALCOHOL ADDICTION KILLS OF MIDDLE
AMERICA
SOARING
POVERTY AND DRUG ADDICTION UNDER OBAMA
"These
figures present a scathing indictment of the social order that prevails in
America, the world’s wealthiest country, whose government proclaims itself to
be the globe’s leading democracy. They are just one manifestation of the human
toll taken by the vast and all-pervasive inequality and mass poverty
AMERICA UNRAVELS:
Millions of children go hungry as the super- rich gorge themselves
and ILLEGALS SUCK IN BILLIONS IN WELFARE!
"The top 10 percent of Americans now own roughly three-quarters of all household wealth."
http://mexicanoccupation.blogspot.com/2017/08/america-unravels-millions-of-children.html
"While telling workers there is “not enough money” for wage increases, or to fund social programs, both parties hailed the recent construction of the U.S.S. Gerald Ford, a massive aircraft carrier that cost $13 billion to build, stuffing the pockets of numerous contractors and war profiteers."
JAMES WALSH
THE OBAMA HISPANICAZATION of AMERICA
How the Democrat party
surrendered America to Mexico:
“The
watchdogs at Judicial Watch discovered documents that reveal how the Obama
administration's close coordination with the Mexican government entices
Mexicans to hop over the fence and on to the American dole.” Washington
Times
SOARING POVERTY AND DRUG ADDICTION UNDER
OBAMA
"These figures present a scathing
indictment of the social order that prevails in America, the world’s wealthiest
country, whose government proclaims itself to be the globe’s leading democracy.
They are just one manifestation of the human toll taken by the vast and
all-pervasive inequality and mass poverty.
MEXICO: AMERICA’S DRUG DEALER!
The same period has seen a massive growth of social inequality,
with income and wealth concentrated at the very top of American society to an
extent not seen since the 1920s.
“This study follows reports released over
the past several months documenting rising mortality rates among US workers due
to drug addiction and suicide, high rates of infant mortality, an overall
leveling off of life expectancy, and a growing gap between the life expectancy
of the bottom rung of income earners compared to those at the top.”
THE LA
RAZA PLAN: California’s final
surrender to fly the Mexican flag within 4 years.
surrender to fly the Mexican flag within 4 years.
"The
American Southwest seems to be slowly returning
to the jurisdiction of Mexico without firing a single shot." --
- EXCELSIOR --- national newspaper of Mexico
to the jurisdiction of Mexico without firing a single shot." --
- EXCELSIOR --- national newspaper of Mexico
THE
UNIDIOSus MAP OF LA RAZA-OCCUPIED AMERICA
They claim all of North
America for Mexico!
(WARNING! THE BELOW LINK
IS GRAPHIC ON MEXICAN HATRED OF LEGALS)
THE BIGGEST MISTAKE TRUMP EVER DID IN IS LIFE IS
NOT PROSECUTE HILLARY CLINTON!
THE LIFE OF HILLARY CLINTON: AMORAL PSYCHOPATH
and GLOBAL
LOOTER OF THE POOR….. But she served Obama’s
crony bank$ter$ well!
UNDERWAY:
THE OBAMA COUP FOR A THIRD TERM FOR LIFE… for 8 years he laid the groundworks
for his Muslim-style dictatorship.
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