AFP
3:00
The billionaire class — the country’s top 0.01 percent of earners —
have enjoyed more than 15 times as much wage growth as America’s working and
middle class since 1979, new wage data reveals.
Between
1979 and 2017, the wages of the bottom 90 percent — the country’s working and
lower middle class — have grown by only about 22 percent, Economic Policy
Institute (EPI) researchers find.
Compare that small wage increase
over nearly four decades to the booming wage growth of America’s top one
percent, who have seen their wages grow more than 155 percent during the same
period.
Breitbart TV
The top 0.01 percent — the country’s
billionaire class — saw their wages grow by more than 343 percent in the
last four decades, more than 15 times the wage growth of the bottom 90 percent
of Americans.
In 1979, America’s working class was
earning on average about $29,600 a year. Fast forward to 2017, and the same
bottom 90 percent of Americans are earning only about $6,600 more annually.
The almost four decades of wage
stagnation among the country’s working and middle class comes as the national
immigration policy has allowed for the admission of more than 1.5 million
mostly low-skilled immigrants every year.
(Public Citizen)
In
the last decade, alone, the U.S. admitted ten
million legal immigrants, forcing American workers to compete against a growing
population of low-wage workers. Meanwhile, employers are able to reduce wages
and drive up their profit margins thanks to the annual low-skilled immigration
scheme.
The
Washington, DC- imposed mass
immigration policy is a boon to corporate executives, Wall Street, big
business, and multinational conglomerates as every one percent increase in the
immigrant composition of an occupation’s labor force reduces Americans’
hourly wages by 0.4 percent. Every one percent increase in the immigrant
workforce reduces Americans’ overall wages by 0.8 percent.
Mass immigration has come at the
expense of America’s working and middle class, which has suffered from poor job
growth, stagnant wages, and increased public costs to offset the importation of
millions of low-skilled foreign nationals.
Four
million young Americans enter the workforce every year, but their job
opportunities are further diminished as the U.S. imports roughly two new
foreign workers for every four American workers who enter the workforce. Even
though researchers say 30 percent of the workforce could lose their
jobs due to automation by 2030, the U.S. has not stopped importing more than a
million foreign nationals every year.
For
blue-collar American workers, mass immigration has not only kept wages down but
in many cases decreased wages, as Breitbart News reported . Meanwhile,
the U.S. continues importing more foreign nationals with whom
working-class Americans are forced to compete. In 2016, the U.S. brought in about
1.8 million mostly low-skilled immigrants.
John Binder is a reporter for Breitbart News. Follow him on
Twitter at @JxhnBinder .
Study: Elite Zip Codes Thrived in Obama Recovery, Rural America
Left Behind
Getty Images
4:49
Wealthy cities and elite zip codes thrived under the slow-moving economic
recovery of President Obama while rural American communities were left behind,
a study reveals.
The
Economic Innovation Group research, highlighted by Axios ,
details the massive economic inequality between the country’s coastal city
elites and middle America’s working class between the Great Recession in 2007
and Obama’s economic recovery in 2016.
Between 2007 and 2016, the number of
residents living in elite zip codes grew by more than ten million, with an
overwhelming faction of that population growth being driven by mass immigration
where the U.S. imports more than 1.5 million illegal and legal immigrants
annually.
The
booming 44.5 million immigrant populations are concentrated mostly
in the country’s major cities like Los Angeles, California, Miami Florida, and
New York City, New York. The rapidly growing U.S. population — driven by
immigration — is set to hit 404 million by 2060, a
boon for real estate developers, wealthy investors, and corporations, all of
which benefit greatly from dense populations and a flooded labor market.
The economic study found that while
the population grew in wealthy cities, America’s rural population fell by
nearly 3.5 million residents.
Likewise, by 2016, elite zip codes
had a surplus of 3.6 million jobs, which is more than the combined bottom 80
percent of American zip codes. While it only took about five years for wealthy
cities to replace the jobs lost by the recession, it took “at risk” regions of
the country a decade to recover, and “distressed” U.S. communities are
“unlikely ever to recover on current trendlines,” the report predicts.
A map included in the research shows
how rich, coastal metropolises have boomed economically while entire
portions of middle America have been left behind as job and business gains
remain concentrated at the top of the income ladder.
(Economic Innovation
Group)
(Economic Innovation Group)
Economic growth among the country’s
middle-class counties and middle-class zip codes has considerably trailed
national economic growth, the study found.
For example, between 2012 and 2016,
there were 4.4 percent more business establishments in the country as a whole.
That growth was less than two percent in the median zip code and there was
close to no growth in the median county.
The same can be said of employment
growth, where U.S. employment grew by about 9.3 percent from 2012 to 2016. In
the median zip code, though, employment grew by only 5.5 percent and in the
median county, employment grew by less than four percent.
“Nearly three in every five large counties
added businesses on net over the period, compared to only one in every five
small one,” the report concluded.
Elite zip codes added more business
establishments during Obama’s economic recovery, between 2012 and 2016, than
the entire bottom 80 percent of zip codes combined. For instance, while more
than 180,000 businesses have been added to rich zip codes, the country’s bottom
tier has lost more than 13,000 businesses even after the economic recovery.
(Economic Innovation
Group)
(Economic Innovation Group)
The
gutting of the American manufacturing base, through free trade, has been
a driving catalyst for
the collapse of the white working class and black Americans. Simultaneously, the
outsourcing of the economy has brought major wealth to corporations, tech
conglomerates, and Wall Street.
The
dramatic decline of U.S. manufacturing at the hands of free trade—where more
than 3.4 million American
jobs have been lost solely due to free trade with China, not including the
American jobs lost due to agreements like the North American Free Trade
Agreement (NAFTA) and the United States-Korea Free Trade Agreement (KORUS)—has
coincided with growing wage inequality for white and black Americans, a growing
number of single mother households, a drop in U.S. marriage rates, a
general stagnation of working and middle class wages, and specifically,
increased black American unemployment.
“So, the loss of manufacturing work
since 1960 represents a steady decline in relatively high-paying jobs for
less-educated workers,” recent research from economist Eric D. Gould has
noted.
Fast-forward
to the modern economy and the wage trend has been the opposite of what it was
during the peak of manufacturing in the U.S. An Economic Policy Institute study found this year
that been 2009 and 2015, the top one percent of American families
earned about 26 times as much income as the bottom 99 percent of
Americans.
John
Binder is a reporter for Breitbart News. Follow him on Twitter at @JxhnBinder .
Record high income in 2017 for top one
percent of wage earners in US
In 2017, the top one
percent of US wage earners received their highest paychecks ever, according to
a report by the Economic Policy Institute (EPI).
Based on newly released
data from the Social Security Administration, the EPI shows that the top one
percent of the population saw their paychecks increase by 3.7 percent in 2017—a
rate nearly quadruple the bottom 90 percent of the population. The growth was
driven by the top 0.1 percent, which includes many CEOs and corporate executives,
whose pay increased eight percent and averaged $2,757,000 last year.
The EPI report is only
the latest exposure of the gaping inequality between the vast majority of the
population and the modern-day aristocracy that rules over them.
The EPI shows that the
bottom 90 percent of wage earners have increased their pay by 22.2 percent
between 1979 and 2017. Today, this bottom 90 percent makes an average of just
$36,182 a year, which is eaten up by the cost of housing and the growing burden
of education, health care, and retirement.
Meanwhile, the top one
percent has increased its wages by 157 percent during this same period, a rate
seven times faster than the other group. This top segment makes an average of
$718,766 a year. Those in-between, the 90th to 99th percentile, have increased
their wages by 57.4 percent. They now make an average of $152,476 a year—more
than four times the bottom 90 percent.
Graph
from the Economic Policy Institute
Decades of decaying
capitalism have led to this accelerating divide. While the rich accumulate
wealth with no restriction, workers’ wages and benefits have been under
increasing attack. In 1979, 90 percent of the population took in 70 percent of
the nation’s income. But, by 2017, that fell to only 61 percent.
Even more, while the
bottom 90 percent of the population may take in 61 percent of the wages, large
sections of the workforce today barely pull in any income at all. For
example, Social Security Administration data found that the bottom 54
percent of wage earners in the United States, 89.5 million people, make an
average of just $15,100 a year. This 54 percent of the population earns only 17
percent of all wages paid in America.
However unequal, these
wage inequalities still do not fully present the divide between rich and poor.
The ultra-wealthy derive their wealth not primarily from wages, but from assets
and equities—principally from the stock market. While the bottom 90 percent of
the population made 61 percent of the wages in 2017, they owned even less, just
27 percent of the wealth (according to the World Inequality Report
2018 by Thomas Piketty, Emmanuel Saez, and Gabriel Zucman).
The massive increase in
the value of the stock
market, which only a small segment of the
population
participates in, means that the top 10
percent of the population controls 73
percent of all
wealth in the United States. Just three men—Jeff
Bezos, Warren
Buffet and Bill Gates—had more
wealth than the bottom half of America combined
last year.
Wages are so low in the
United States that roughly half of the population falls deeper into debt every
year. A Reuters report from July found that the pretax net income (that is,
income minus expense) of the bottom 40 percent of the population was an average
of negative $11,660. Even the middle quintile of the
population, the 40th to 60th percentile, breaks even with an average of only
$2,836 a year.
As the Social Security
Administration numbers show, 67.4 percent of the population made less than the
average wage, $48,250 a year in 2017, a sum that is inadequate to support a
family in many cities—especially, with high housing costs, health care,
education, and retirement factored in.
For the ruling class,
though, workers’ wages are already too much. The volatility of the stock market
and the deep fear that the current bull market will collapse has made
politicians and businessmen anxious of any sign of wage increases.
In August, wages in the
US rose just 0.2 percent above the inflation rate, the highest in nine years.
Though the increase was tiny, it was enough to encourage the Federal Reserve to
increase the interest rate past two percent for the first time since 2008.
Raising interest rates helps to depress workers’ wages by lowering borrowing
and spending. As the Financial Times noted, stopping wage
growth was “central” to the Federal Reserve’s move.
Further analysis of the
Social Security Administration data shows that in 2017, 147,754 people reported
wages of 1 million dollars or more—roughly, the top 0.05 percent. Their
combined total income of $372 billion could pay for the US federal education
budget five times over.
These wages, however
large, still pale in comparison to the money the ultra-rich acquire from the
stock market. For example, share buybacks and dividend payments, a way of funneling
money to shareholders, will eclipse $1 trillion this year.
Whatever the immediate
source, the wealth of the rich derives from the great mass of people who do the
actual work. Across the United States and around the world, workers, young
people, and students have entered into struggle this year over pay, education,
health care, immigration, war and democratic rights. This growing movement of
the working class must set as its aim confiscating the wealth and power of this
tiny parasitic oligarchy. Society’s wealth must be democratically controlled by
those who produce it.
THE STAGGERING ECONOMIC INEQUALITY UNDER
OBAMA'S ADMINISTRATION SERVING THE BILLIONAIRE CLASS.
THE
ENTIRE REASON BEHIND AMNESTY IS TO KEEP WAGES DEPRESSED AND PASS ALONG THE REAL
COST OF "CHEAP" MEXICAN LABOR TO THE AMERICAN MIDDLE CLASS.
AND IT'S WORKING!
SEN. BERNIE SANDERS
“Calling income and wealth inequality the "great
moral issue of our time," Sanders laid out a sweeping, almost unimaginably
expensive program to transfer wealth from the richest Americans to the poor and
middle class. A $1 trillion public works program to create "13 million
good-paying jobs." A $15-an-hour federal minimum wage. "Pay
equity" for women. Paid sick leave and vacation for everyone. Higher taxes
on the wealthy. Free tuition at all public colleges and universities. A
Medicare-for-all single-payer health care system. Expanded Social Security
benefits. Universal pre-K.” WASHINGTON EXAMINER
YOU THOUGHT OBAMA INVITED
OBAMANOMICS and started the assault on the American middle-class?
NOPE!
“By the time of Bill Clinton’s election in 1992, the Democratic
Party had completely repudiated its association with the reforms of the New
Deal and Great Society periods. Clinton gutted welfare programs to provide an
ample supply of cheap labor for the rich (WHICH NOW MEANS OPEN BORDERS AND NO
E-VERIFY!), including a growing layer of black capitalists, and passed the 1994
Federal Crime Bill, with its notorious “three strikes” provision that has
helped create the largest prison population in the world.”
Clinton
Foundation Put On Watch List Of Suspicious ‘Charities’
OBAMA: SERVANT
OF THE 1%
Richest one
percent controls nearly half of global wealth
The richest one percent of the
world’s population now controls 48.2 percent of global wealth, up from 46
percent last year.
The report found that the growth of global inequality has
accelerated sharply since the 2008 financial crisis, as the values of financial
assets have soared while wages have stagnated and declined.
Millionaires projected to own 46 percent of global private wealth by 2019
By Gabriel Black
Households with more than a million
(US) dollars in private wealth are projected to own 46 percent of global
private wealth in 2019 according to a new report by the Boston
Consulting Group (BCG).
This large percentage, however,
only includes cash, savings, money market funds and listed securities held
through managed investments—collectively known as “private wealth.” It leaves
out businesses, residences and luxury goods, which comprise a substantial
portion of the rich’s net worth.
At the end of 2014, millionaire households owned about 41
percent of global private wealth, according to BCG. This means that
collectively these 17 million households owned roughly $67.24 trillion in
liquid assets, or about $4 million per household.
In total, the world added $17.5
trillion of new private wealth between 2013 and 2014. The report notes that
nearly three quarters of all these gains came from previously existing wealth.
In other words, the vast majority of money gained has been due to pre-existing
assets increasing in value—not the creation of new material things.
This trend is the result of the
massive infusions of cheap credit into the financial markets by central banks.
The policy of “quantitative easing” has led to a dramatic expansion of the
stock market even while global economic growth has slumped.
While the wealth of the rich is growing at a breakneck pace,
there is a stratification of growth within the super wealthy, skewed towards
the very top.
In
2014, those with over $100 million in private wealth saw their wealth increase
11 percent in one year alone. Collectively, these households owned $10 trillion
in 2014, 6 percent of the world’s private wealth. According to the report,
“This top segment is expected to be the fastest growing, in both the number of
households and total wealth.” They are expected to see 12 percent compound
growth on their wealth in the next five years.
Those families with wealth between
$20 and $100 million also rose substantially in 2014—seeing a 34 percent
increase in their wealth in twelve short months. They now own $9 trillion. In
five years they will surpass $14 trillion according to the report.
Coming in last in the “high net
worth” population are those with between $1 million and $20 million in private
wealth. These households are expected to see their wealth grow by 7.2 percent
each year, going from $49 trillion to $70.1 trillion dollars, several
percentage points below the highest bracket’s 12 percent growth rate.
The
gains in private wealth of the ultra-rich stand in sharp contrast to the
experience of billions of people around the globe. While wealth accumulation
has sharply sped up for the ultra-wealthy, the vast majority of people have not
even begun to recover from the past recession.
An Oxfam
report from
January, for example, shows that the bottom 99 percent of the world’s
population went from having about 56 percent of the world’s wealth in 2010 to
having 52 percent of it in 2014. Meanwhile the top 1 percent saw its wealth
rise from 44 to 48 percent of the world’s wealth.
In
2014 the Russell Sage Foundation found that between 2003 and 2013, the median
household net worth of those in the United States fell from $87,992 to $56,335—a
drop of 36 percent. While the rich also saw their wealth drop during the
recession, they are more than making that money back. Between 2009 and 2012, 95
percent of all the income gains in the US went to the top 1 percent. This is
the most distorted post-recession income gain on record.
As the Organization for Economic
Co-operation and Development (OECD) has noted, in the United States “between
2007 and 2013, net wealth fell on average 2.3 percent, but it fell ten-times
more (26 percent) for those at the bottom 20 percent of the distribution.” The
2015 report concludes that “low-income households have not benefited at all
from income growth.”
Another report by Knight
Frank , looks at those with wealth exceeding $30 million. The report notes
that in 2014 these 172,850 ultra-high-net-worth individuals increased their
collective wealth by $700 billion. Their total wealth now rests at $20.8
trillion.
The report also draws attention to
the disconnection between the rich and the actual economy. It states that the
growth of this ultra-wealthy population “came despite weaker-than-anticipated
global economic growth. During 2014 the IMF was forced to downgrade its
forecast increase for world output from 3.7 percent to 3.3 percent.”
HILLARY CLINTON: CRONY CLASS’ “Hope
and Change” huckster’s successor!
“I serve Obama’s cronies first, illegals second
and together we will loot the American middle-class to double our figures. It’s
called BAILOUTS! Evita Peron Clinton
At this point, Clinton is
the choice of most multimillionaires to be the next occupant of the White
House. A recent CNBC poll of 750 millionaires found 53 percent support for
Clinton in a contest with Republican Jeb Bush, 14 points better than Obama’s showing
in the 2012 election with the same group.
Sen. Bernie Sanders – America’s answer to Wall
Street’s looting, the war on the American middle-class and jobs for legals!
“At this point, Clinton is the choice of
most multimillionaires to be the next occupant of the White House. A recent
CNBC poll of 750 millionaires found 53 percent support for Clinton in a contest
with Republican Jeb Bush, 14 points better than Obama’s showing in the 2012
election with the same group.”
THE CRONY
CLASS:
OBAMACLINTONOMICS
was created by BILLARY CLINTON!
Income inequality grows
FOUR TIMES FASTER under Obama than Bush.
“By the
time of Bill Clinton’s election in 1992, the Democratic Party had completely
repudiated its association with the reforms of the New Deal and Great Society
periods. Clinton gutted welfare programs to provide an ample supply of cheap
labor for the rich (WHICH NOW MEANS OPEN BORDERS AND NO E-VERIFY!), including a
growing layer of black capitalists, and passed the 1994 Federal Crime Bill,
with its notorious “three strikes” provision that has helped create the largest
prison population in the world.”
*
“Calling
income and wealth inequality the "great moral issue of our time,"
Sanders laid out a sweeping, almost unimaginably expensive program to transfer
wealth from the richest Americans to the poor and middle class. A $1 trillion
public works program to create "13 million good-paying jobs." A
$15-an-hour federal minimum wage. "Pay equity" for women. Paid sick
leave and vacation for everyone. Higher taxes on the wealthy. Free tuition at
all public colleges and universities. A Medicare-for-all single-payer health
care system. Expanded Social Security benefits. Universal pre-K.” WASHINGTON
EXAMINER
OBAMA’S WALL STREET and the
LOOTING of AMERICA – SECOND TERM
The
corporate cash hoard has likewise reached a new record, hitting an estimated
$1.79 trillion in the fourth quarter of last year, up from $1.77 trillion in
the previous quarter. Instead of investing the money, however, companies are
using it to buy back their own stock and pay out record dividends.
Megan McArdle Discusses How
America's Elites Are Rigging the Rules - Newsweek/The Daily Beast special
correspondent Megan McArdle joins Scott Rasmussen for a discussion on America's
new Mandarin class.
WHO
REALLY PAYS FOR THE CRIMES OF OBAMA’S CRONY DONORS???
LAST WEEK BARACK OBAMA
CELEBRATED FIVE YEARS OF THE LOOTING BY HIS WALL STREET BANKSTERS… now it’s
back to cutting social programs to pay for all that rape by the 1% he
represents. The following week it will be back to the AMNESTY HOAX to legalize
Mexico’s looting of America and make it legal that Mexicans get our jobs first…
they already do!
As in previous budget
crises under the Obama administration, the events are being stage-managed by
the two corporate-controlled parties to give the illusion of partisan gridlock
and confrontation over principles—in this case, whether to go forward with the
implementation of the Obama health care program—while behind the scenes all
factions within the ruling elite agree that massive cuts must be carried
through in basic federal social programs.
OBAMA’S
CRONY CAPITALISM – A NATION RULED BY CRIMINAL WALL STREET BANKSTERS AND OBAMA
DONORS
GET THIS BOOK
Culture of
Corruption: Obama and His Team of Tax Cheats, Crooks, and Cronies
by Michelle Malkin
In her shocking new
book, Malkin digs deep into the records of President Obama's staff,
revealing corrupt dealings, questionable pasts, and abuses of power throughout
his administration.
PATRICK
BUCHANAN
After Obama
has completely destroyed the American economy, handed millions of jobs to
illegals and billions of dollars in welfare to illegals…. BUT WHAT COMES NEXT?
OBAMANOMICS: IS IT WORKING???
Millionaires
projected to own 46 percent of global private wealth by 2019
By
Gabriel Black Households with more than a million (US)
dollars in private wealth are projected to own 46 percent of global private
wealth in 2019 according to a new report by the Boston Consulting
Group (BCG).
This large percentage, however, only
includes cash, savings, money market funds and listed securities held through
managed investments—collectively known as “private wealth.” It leaves out
businesses, residences and luxury goods, which comprise a substantial portion
of the rich’s net worth.
At the end of 2014, millionaire households
owned about 41 percent of global private wealth, according to BCG. This means
that collectively these 17 million households owned roughly $67.24 trillion in
liquid assets, or about $4 million per household.
In total, the world added $17.5 trillion
of new private wealth between 2013 and 2014. The report notes that nearly three
quarters of all these gains came from previously existing wealth. In other
words, the vast majority of money gained has been due to pre-existing assets
increasing in value—not the creation of new material things.
This trend is the result of the massive
infusions of cheap credit into the financial markets by central banks. The
policy of “quantitative easing” has led to a dramatic expansion of the stock
market even while global economic growth has slumped.
While the wealth of the rich is growing at
a breakneck pace, there is a stratification of growth within the super wealthy,
skewed towards the very top.
In 2014, those with over $100 million in
private wealth saw their wealth increase 11 percent in one year alone.
Collectively, these households owned $10 trillion in 2014, 6 percent of the
world’s private wealth. According to the report, “This top segment is expected
to be the fastest growing, in both the number of households and total wealth.”
They are expected to see 12 percent compound growth on their wealth in the next
five years.
Those families with wealth between $20 and
$100 million also rose substantially in 2014—seeing a 34 percent increase in
their wealth in twelve short months. They now own $9 trillion. In five years
they will surpass $14 trillion according to the report.
Coming in last in the “high net worth”
population are those with between $1 million and $20 million in private wealth.
These households are expected to see their wealth grow by 7.2 percent each
year, going from $49 trillion to $70.1 trillion dollars, several percentage
points below the highest bracket’s 12 percent growth rate.
The gains in private wealth of the
ultra-rich stand in sharp contrast to the experience of billions of people
around the globe. While wealth accumulation has sharply sped up for the
ultra-wealthy, the vast majority of people have not even begun to recover from
the past recession.
An Oxfam report from January, for example, shows that the bottom 99 percent
of the world’s population went from having about 56 percent of the world’s
wealth in 2010 to having 52 percent of it in 2014. Meanwhile the top 1 percent
saw its wealth rise from 44 to 48 percent of the world’s wealth.
In 2014 the Russell Sage Foundation found
that between 2003 and 2013, the median household net worth of those in the
United States fell from $87,992 to $56,335—a drop of 36 percent. While the rich
also saw their wealth drop during the recession, they are more than making that
money back. Between 2009 and 2012, 95 percent of all the income gains in the US
went to the top 1 percent. This is the most distorted post-recession income gain
on record.
As the Organization for Economic
Co-operation and Development (OECD) has noted, in the United States “between
2007 and 2013, net wealth fell on average 2.3 percent, but it fell ten-times
more (26 percent) for those at the bottom 20 percent of the distribution.” The
2015 report concludes that “low-income households have not benefited at all
from income growth.”
Another report by Knight Frank ,
looks at those with wealth exceeding $30 million. The report notes that in 2014
these 172,850 ultra-high-net-worth individuals increased their collective
wealth by $700 billion. Their total wealth now rests at $20.8 trillion.
The report also draws attention to the
disconnection between the rich and the actual economy. It states that the
growth of this ultra-wealthy population “came despite weaker-than-anticipated
global economic growth. During 2014 the IMF was forced to downgrade its
forecast increase for world output from 3.7 percent to 3.3 percent.”
THE CRONY CLASS:
OBAMACLINTONOMICS
was created by BILLARY CLINTON!
Income inequality grows
FOUR TIMES FASTER under Obama than Bush.
“By the
time of Bill Clinton’s election in 1992, the Democratic Party had completely
repudiated its association with the reforms of the New Deal and Great Society
periods. Clinton gutted welfare programs to provide an ample supply of cheap
labor for the rich (WHICH NOW MEANS OPEN BORDERS AND NO E-VERIFY!), including a
growing layer of black capitalists, and passed the 1994 Federal Crime Bill,
with its notorious “three strikes” provision that has helped create the largest
prison population in the world.”
“Calling income and wealth inequality the "great
moral issue of our time," Sanders laid out a sweeping, almost unimaginably
expensive program to transfer wealth from the richest Americans to the poor and
middle class. A $1 trillion public works program to create "13 million
good-paying jobs." A $15-an-hour federal minimum wage. "Pay
equity" for women. Paid sick leave and vacation for everyone. Higher taxes
on the wealthy. Free tuition at all public colleges and universities. A
Medicare-for-all single-payer health care system. Expanded Social Security
benefits. Universal pre-K.” WASHINGTON EXAMINER
OBAMA’S WALL STREET and the
LOOTING of AMERICA – SECOND TERM
The
corporate cash hoard has likewise reached a new record, hitting an estimated
$1.79 trillion in the fourth quarter of last year, up from $1.77 trillion in
the previous quarter. Instead of investing the money, however, companies are
using it to buy back their own stock and pay out record dividends.
Megan McArdle Discusses How
America's Elites Are Rigging the Rules - Newsweek/The Daily Beast special
correspondent Megan McArdle joins Scott Rasmussen for a discussion on America's
new Mandarin class.
OBAMA’S CRONY CAPITALISM
A NATION RULED BY CRIMINAL WALL
STREET BANKSTERS AND OBAMA DONORS
OBAMANOMICS: IS IT WORKING???
Millionaires projected to own 46 percent of
global private wealth by 2019
By Gabriel Black
18 June 2015
Households with more than a million (US) dollars in private wealth
are projected to own 46 percent of global private wealth in 2019 according to a
new report by the Boston Consulting Group (BCG).
This large percentage, however, only includes cash, savings, money
market funds and listed securities held through managed
investments—collectively known as “private wealth.” It leaves out businesses,
residences and luxury goods, which comprise a substantial portion of the rich’s
net worth.
At the end of 2014, millionaire households owned about 41 percent
of global private wealth, according to BCG. This means that collectively these
17 million households owned roughly $67.24 trillion in liquid assets, or about
$4 million per household.
In total, the world added $17.5 trillion of new private wealth
between 2013 and 2014. The report notes that nearly three quarters of all these
gains came from previously existing wealth. In other words, the vast majority
of money gained has been due to pre-existing assets increasing in value—not the
creation of new material things.
This trend is the result of the massive infusions of cheap credit
into the financial markets by central banks. The policy of “quantitative
easing” has led to a dramatic expansion of the stock market even while global
economic growth has slumped.
While the wealth of the rich is growing at a breakneck pace, there
is a stratification of growth within the super wealthy, skewed towards the very
top.
In 2014, those with over $100 million in private wealth saw their
wealth increase 11 percent in one year alone. Collectively, these households
owned $10 trillion in 2014, 6 percent of the world’s private wealth. According
to the report, “This top segment is expected to be the fastest growing, in both
the number of households and total wealth.” They are expected to see 12 percent
compound growth on their wealth in the next five years.
Those families with wealth between $20 and $100 million also rose
substantially in 2014—seeing a 34 percent increase in their wealth in twelve
short months. They now own $9 trillion. In five years they will surpass $14
trillion according to the report.
Coming in last in the “high net worth” population are those with
between $1 million and $20 million in private wealth. These households are
expected to see their wealth grow by 7.2 percent each year, going from $49
trillion to $70.1 trillion dollars, several percentage points below the highest
bracket’s 12 percent growth rate.
The gains in private wealth of the ultra-rich stand in sharp
contrast to the experience of billions of people around the globe. While wealth
accumulation has sharply sped up for the ultra-wealthy, the vast majority of
people have not even begun to recover from the past recession.
An Oxfam report from January, for example, shows
that the bottom 99 percent of the world’s population went from having about 56
percent of the world’s wealth in 2010 to having 52 percent of it in 2014.
Meanwhile the top 1 percent saw its wealth rise from 44 to 48 percent of the
world’s wealth.
In 2014 the Russell Sage Foundation found that between 2003 and
2013, the median household net worth of those in the United States fell from
$87,992 to $56,335—a drop of 36 percent. While the rich also saw their wealth
drop during the recession, they are more than making that money back. Between
2009 and 2012, 95 percent of all the income gains in the US went to the top 1
percent. This is the most distorted post-recession income gain on record.
As the Organization for Economic Co-operation and Development
(OECD) has noted, in the United States “between 2007 and 2013, net wealth fell
on average 2.3 percent, but it fell ten-times more (26 percent) for those at
the bottom 20 percent of the distribution.” The 2015 report concludes that
“low-income households have not benefited at all from income growth.”
Another report by Knight Frank , looks at those with
wealth exceeding $30 million. The report notes that in 2014 these 172,850
ultra-high-net-worth individuals increased their collective wealth by $700
billion. Their total wealth now rests at $20.8 trillion.
The report also draws attention to the disconnection between the
rich and the actual economy. It states that the growth of this ultra-wealthy
population “came despite weaker-than-anticipated global economic growth. During
2014 the IMF was forced to downgrade its forecast increase for world output
from 3.7 percent to 3.3 percent.”
OBAMA-CLINTONomics: the
never end war on the American middle-class. But we still get the tax bills for
the looting of their Wall Street cronies and their bailouts and billions for
Mexico’s welfare state in our borders.
While the wealth of the rich
is growing at a breakneck pace, there is a stratification of growth within the
super wealthy, skewed towards the very top.
In
2014, those with over $100 million in private wealth saw their wealth increase
11 percent in one year alone. Collectively, these households owned $10 trillion
in 2014, 6 percent of the world’s private wealth. According to the report,
“This top segment is expected to be the fastest growing, in both the number of
households and total wealth.” They are expected to see 12 percent compound
growth on their wealth in the next five years.
In 2014 the Russell Sage
Foundation found that between
2003 and 2013, the median
household net worth of those in
the United States fell from
$87,992 to $56,335—a drop of 36
percent. While the rich also saw
their wealth drop during the
recession, they are more than
making that money back.
Between 2009 and 2012, 95 percent
of all the income gains in
the US went to the top 1 percent.
This is the most distorted
post-recession income gain on
record.
INCOME PLUMMETS UNDER OBAMA AND
HIS WALL STREET CRONIES
collapse
of household income in the US… STILL BILLIONS IN WELFARE HANDED TO ILLEGALS…
they already get our jobs and are voting for more!
INCOME
PLUMMETS UNDER OBAMA… most jobs go to illegals.
AS HIS CRONY BANKSTERS
CONTINUE TO LOOT,
INCOMES PLUMMET FOR AMERICANS (LEGALS).
GOOD TIME FOR AMNESTY FOR
MILLIONS OF LOOTING MEXICANS?
MORE HERE:
http://mexicanoccupation.blogspot.com/2014/09/and-still-democrat-party-wants-millions.html
“The yearly income of a
typical US household dropped by a massive 12 percent, or $6,400, in the six
years between 2007 and 2013. This is just one of the findings of the 2013
Federal Reserve Survey of Consumer Finances released Thursday, which documents
a sharp decline in working class living standards and a further concentration
of wealth in the hands of the rich and the super-rich.”
"During the month,
some 432,000 people in
the US gave up looking for a job."
"The American phenomenon
of record stock values fueling an ever greater concentration of wealth at the
very top of society, while the economy is starved of productive investment, the
social infrastructure crumbles, and working class living standards are driven
down by entrenched unemployment, wage-cutting and government austerity
policies, is part of a broader global process."
HILLARY CLINTON'S
BIGGEST DONORS ARE OBAMA'S CRIMINAL CRONY BANKSTERS!
"A defining expression
of this crisis is the dominance of financial speculation and parasitism, to the
point where a narrow international financial aristocracy plunders society’s
resources in order to further enrich itself."
Federal Reserve documents stagnant state of
US economy
Federal
Reserve documents stagnant state of US economy
The
US Federal Reserve Board last week released its semiannual Monetary Policy
Report to Congress, providing an assessment of the state of the American
economy and outlining the central bank’s monetary policy going forward. The
report, along with Fed Chair Janet Yellen’s testimony before both the House of
Representatives and the Senate, as well as a speech by Yellen the previous week
in Cleveland, present a grim picture of the reality behind the official talk of
economic “recovery.”
In her prepared remarks to Congress last Wednesday and Thursday, Yellen said,
“Looking forward, prospects are favorable for further improvement in the US labor
market and the economy more broadly.”
She reiterated her assurances that while the Fed would likely begin to raise
its benchmark federal funds interest rate later this year from the 0.0 to 0.25
percent level it has maintained since shortly after the 2008 financial crash,
it would do so only slowly and gradually, keeping short-term rates well below
historically normal levels for an indefinite period.
This was
an expected, but nevertheless welcome, signal to the American financial elite,
which has enjoyed a spectacular rise in corporate profits, stock values and
personal wealth since 2009 thanks to the flood of virtually free money provided
by the Fed.
"But as Yellen’s remarks and the Fed report indicate, the explosion of
asset values and wealth accumulation at the very top of the economic ladder has
occurred alongside an intractable and continuing slump in the real
economy."
In her
prepared testimony to the House Financial Services Committee and the Senate
Banking Committee, Yellen noted the following features of the performance of
the US economy over the first six months of 2015:
* A sharp
decline in the rate of economic growth as compared to 2014, including an actual
contraction in the first quarter of the year.
* A
substantial slackening (19 percent) in average monthly job-creation, from
260,000 last year to 210,000 thus far in 2015.
* Declines
in domestic spending and industrial production.
In her
July 10 speech to the City Club of Cleveland, Yellen cited an even longer list
of negative indices, including:
* Growth
in real gross domestic product (GDP) since the official beginning of the
recovery in June, 2009 has averaged a mere 2.25 percent per year, a full one
percentage point less than the average rate over the 25 years preceding what
Yellen called the “Great Recession.”
* While
manufacturing employment nationwide has increased by about 850,000 since the
end of 2009, there are still almost 1.5 million fewer manufacturing jobs than
just before the recession.
* Real GDP
and industrial production both declined in the first quarter of this year.
Industrial production continued to fall in April and May.
*
Residential construction (despite extremely low mortgage rates by historical
standards) has remained “quote soft.”
*
Productivity growth has been “weak,” largely because “Business owners and
managers… have not substantially increased their capital expenditures,” and
“Businesses are holding large amounts of cash on their balance sheets.”
*
Reflecting the general stagnation and even slump in the real economy, core
inflation rose by only 1.2 percent over the past 12 months.
The
Monetary Policy Report issued by the Fed includes facts that are, if anything,
even more alarming, including:
* “Labor
productivity in the business sector is reported to have declined in both the
fourth quarter of 2014 and the first quarter of 2015.”
* “Exports
fell markedly in the first quarter, held back by lackluster growth abroad.”
* “Overall
construction activity remains well below its pre-recession levels.”
* “Since the
recession began, the gains in… nominal compensation [workers’ wages and
benefits] have fallen well short of their pre-recession averages, and growth of
real compensation has fallen short of productivity growth over much of this
period.”
* “Overall
business investment has turned down as investment in the energy sector has
plunged. Business investment fell at an annual rate of 2 percent in first
quarter… Business outlays for structures outside of the energy sector also
declined in the first quarter…”
The report incorporates the Fed’s projections for US economic growth, published
following the June meeting of the central bank’s policy-setting Federal Open
Market Committee. They include a downward revision of the projection for 2015
to 1.8 percent-2.0 percent from the March projection of 2.3 percent to 2.7
percent.
That the US economy continues to stagnate and even contract is indicated by two
surveys released last week while Yellen was testifying before Congress. The Fed
reported that factory production failed to increase in June for the second
straight month and output in the auto sector fell 3.7 percent. The Commerce
Department reported that retail sales unexpectedly fell in June, declining by
0.3 percent.
These statistics follow the employment report for June, which showed that the
share of the US working-age population either employed or actively looking for
work, known as the labor force participation rate, fell to 62.6 percent, its
lowest level in 38 years. During the month, some 432,000 people in the US gave up
looking for a job.
The disastrous figures on business investment are perhaps the most telling
indicators of the underlying crisis of the capitalist system. The Fed report
attributes the sharp decline so far this year primarily to the dramatic fall in
oil prices and resulting contraction in investment and construction in the
energy sector. But the plunge in oil prices is itself a symptom of a general
slowdown in the world economy.
Moreover, a dramatic decline in productive investment is common to all of the
major industrialized economies of Europe and North America. In its World
Economic Outlook of last April, the International Monetary Fund for the first
time since the 2008 financial crisis acknowledged that there was no prospect
for an early return to pre-recession levels of economic growth, linking this
bleak prognosis to a general and pronounced decline in productive investment.
The American
phenomenon of record stock values fueling an ever greater concentration of
wealth at the very top of society, while the economy is starved of productive
investment, the social infrastructure crumbles, and working class living
standards are driven down by entrenched unemployment, wage-cutting and
government austerity policies, is part of a broader global process.
The economic crisis in the US and internationally is not simply a conjunctural
downturn. It is a systemic crisis of global capitalism, centered in the
US. A
defining expression of this crisis is the dominance of financial speculation
and parasitism, to the point where a narrow international financial aristocracy
plunders society’s resources in order to further enrich itself.
While the economy is starved of productive investment, entirely parasitic and
socially destructive activities such as stock buybacks, dividend hikes and
mergers and acquisitions return to pre-crash levels and head for new heights.
US corporations have spent more on stock buybacks so far this year than on
factories and equipment.
The intractable nature of this crisis, within the framework of capitalism, is
underscored by the IMF’s updated World Economic Outlook, released earlier this
month, which projects that 2015 will be the worst year for economic growth
since the height of the recession in 2009.
DESTROYING
AMERICAN ONE INVADING ILLEGAL AT A TIME…
IS THE U.S. CHAMBER OF COMMERCE
THE GREATEST ENEMY OF THE
AMERICAN (Legal) WORKER?
What
this means is that what is good for Main Street will not be good for Wall
Street and Big Biz, at least not in the short run. What benefits the American
worker -- fair trade policy and tight immigration control -- will initially
hurt Big Biz and Wall Street.
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