No Increase in Wealth Inequality for Top 1% Since 1960


For all the ranting about the top 1% by the Economic Policy Institute and others, a US Berkeley study by Emmanuel Saez and Gabriel Zucman on The Distribution of US Wealth, Capital Income and Returns since 1913 shows no increase in wealth inequality for top 1% since 1960%.

All of the increase in wealth inequality is not in the top 10% or top 1%, but rather the top .1 or top .01%. Here are some charts to consider.

Inequality1

take our poll - story continues below

Do you think Democrats will push out Representative Ilhan Omar over her anti-Semitism?

  • Do you think Democrats will push out Representative Ilhan Omar over her anti-Semitism?  

  • This field is for validation purposes and should be left unchanged.
Completing this poll grants you access to Freedom Outpost updates free of charge. You may opt out at anytime. You also agree to this site's Privacy Policy and Terms of Use.

Trending: Conservative Group Wants Bernie Sanders To ‘Feel the Bern’ - Takes Legal Action Against Him

Wealth Has Been Always Concentrated

inequality2

Top 10%

inequality3

Top 1% Led by Surge of Top 0.1%

inequality4

Little Recovery for the Merely Rich (Top 1% Minus Top 0.1%)

inequality5


The Real 1%

In regards to the above study, The Atlantic reports How You, I, and Everyone Got the Top 1 Percent All Wrong

For years, I've been making the same embarrassing mistake about U.S. economic inequality. Sorry.

I've written, over and over, that the most important divide in our wealth disparity was between the 1 percent and the 99 percent. For example, when I compared the evolution in investment income since the late 1970s, I often imagined a graph like this from the Economic Policy Institute, showing the 1 percent flying away from the rest of the country.

inequality6

It turns out that wealth inequality isn't about the 1 percent v. the 99 percent at all. It's about the 0.1 percent v. the 99.9 percent (or, really, the 0.01 percent vs. the 99.99 percent, if you like). Long-story-short is that this group, comprised mostly of bankers and CEOs, is riding the stock market to pick up extraordinary investment income. And it's this investment income, rather than ordinary earned income, that's creating this extraordinary wealth gap.

The 0.1 percent isn't the same group of people every year. There's considerable churn at the tippy-top. For example, consider the "Fortunate 400," the IRS's annual list of the 400 richest tax returns in the country. Between 1992 and 2008, 3,672 different taxpayers appeared on the Fortunate 400 list. Just one percent of the Fortunate 400—four households—appeared on the list all 17 years.

Now there's your real 1 percent.

Don't forget to Like Freedom Outpost on Facebook, Google Plus, & Twitter. You can also get Freedom Outpost delivered to your Amazon Kindle device here.

You Might Like
Previous Flash Boys of the Market: The Odds Are Never In Our Favor
Next Chinese Buying Land In US Communities All Over America

Join the conversation!

We have no tolerance for comments containing violence, racism, profanity, vulgarity, doxing, or discourteous behavior. If a comment is spam, instead of replying to it please hover over that comment, click the ∨ icon, and mark it as spam. Thank you for partnering with us to maintain fruitful conversation.