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Richest 1 percent earn biggest share since '20s

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dmcowen674

No Lifer
Another article with video commentary 9-13-2013

http://finance.yahoo.com/blogs/dail...e-gains-washington-responsible-151332783.html


Top 1% Getting 95% of Income Gains: Is Washington Responsible?


A recent study reveals that the top 10% of earners in the U.S. took home more than half the country’s total income in 2012. That's the highest level recorded since the government began collecting the data a century ago

The study by economists Emmanuel Saez and Thomas Piketty also found that the top 1% of earners enjoyed 95% of the income gains since the recession ended. Meanwhile, incomes for the rest of us stagnated from 2009 to 2011 and grew only about 1% in 2012.

Prins says many of the advantages that wealthy households have seen since the crisis are due to policies coming out of Washington. That includes the Federal Reserve’s zero-percent interest rate policy and government subsidies for the banking system at its weakest point.


Check out the video above to find out why Prins thinks Washington is to blame.



9-10-2013

http://finance.yahoo.com/news/richest-1-percent-earn-biggest-192935323.html

Richest 1 percent earn biggest share since '20s


The gulf between the richest 1 percent and the rest of America is the widest it's been since the Roaring '20s.

The very wealthiest Americans earned more than 19 percent of the country's household income last year — their biggest share since 1928, the year before the stock market crash.



And the top 10 percent captured a record 48.2 percent of total earnings last year.

In 2012, the incomes of the top 1 percent rose nearly 20 percent compared with a 1 percent increase for the remaining 99 percent.

The top 1 percent of American households had pretax income above $394,000 last year.
 
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nextJin said:
My household makes about half of that and I'm perfectly happy with where I am. Why do I need to give you my money?
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It's not about you, or giving your money. The point is that the overwhelming majority of Americans are being left behind. American workers do not share in the prosperity they're helping to make, and they haven't for decades. For those who consider basic "fairness" to be irrelevant, at least learn from history. The huge wealth disparity in the U.S. is not healthy, and has never ended well. The unbridled greed of the elite few will bite them in the ass, sooner or later, and it will be devastating to American society when it inevitably happens.
 
Bowfinger said:
It's not about you, or giving your money. The point is that the overwhelming majority of Americans are being left behind. American workers do not share in the prosperity they're helping to make, and they haven't for decades. For those who consider basic "fairness" to be irrelevant, at least learn from history. The huge wealth disparity in the U.S. is not healthy, and has never ended well. The unbridled greed of the elite few will bite them in the ass, sooner or later, and it will be devastating to American society when it inevitably happens.
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This. People will get it at some point....one way or another.

But since the recession officially ended in June 2009, the top 1 percent have enjoyed the benefits of rising corporate profits and stock prices: 95 percent of the income gains reported since 2009 have gone to the top 1 percent.
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This doesn't lead to a healthy economy....but we can already see that.
 
Even though I realize idiot leftists will use this as an opportunity to push for even bigger government and more taxes, the reality is that this widening chasm between the haves and that have-nots is not a good thing for the US. The real question is, how do you fix it?
 
PokerGuy said:
Even though I realize idiot leftists will use this as an opportunity to push for even bigger government and more taxes, the reality is that this widening chasm between the haves and that have-nots is not a good thing for the US. The real question is, how do you fix it?
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Either the 'job creators' can start creating better jobs (and quit moving the good ones that we have offshore) to help bring up the rest of America's income level or you'll get the 'idiot leftist' tax hikes, voted for by the masses as they find their own way to equalize income. One or the other (well, there's always revolution but right now, there's enough 'cake' (let them eat cake) to just keep that from happening).

Of course, I could come back with the 'idiots righties' will suggest another tax cut so that the job creators will have more money to pay the masses better....you know, the trickle down stuff that works so very well in this country. Can't help the bottom 47% or so though as the taxes have pretty much already been cut off the table for those folks in an effort to keep them afloat all of these years (decades) - in other words, the government, in an effort to 'help' the people, who have seen their income stagnate or decline, has cut their taxes to the point that they are actually negative (EIC). Note: This does not account for SS/Medicare and other payroll taxes in my statement.
 
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Bowfinger said:
It's not about you, or giving your money. The point is that the overwhelming majority of Americans are being left behind. American workers do not share in the prosperity they're helping to make, and they haven't for decades. For those who consider basic "fairness" to be irrelevant, at least learn from history. The huge wealth disparity in the U.S. is not healthy, and has never ended well. The unbridled greed of the elite few will bite them in the ass, sooner or later, and it will be devastating to American society when it inevitably happens.
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I'm sure it's going to be much, much later. Apathy and mental laziness reign. And how has the "huge wealth disparity" not ended well in the past? There's no history in the U.S. of the poor turning on the wealthy, at least in a violent fashion.
 
Bowfinger said:
It's not about you, or giving your money. The point is that the overwhelming majority of Americans are being left behind. American workers do not share in the prosperity they're helping to make, and they haven't for decades. For those who consider basic "fairness" to be irrelevant, at least learn from history. The huge wealth disparity in the U.S. is not healthy, and has never ended well. The unbridled greed of the elite few will bite them in the ass, sooner or later, and it will be devastating to American society when it inevitably happens.
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Heres a radical idea!

Get off your ass and invent somthing, start a buisness, become famous. So you are pissed that companies put in MASSIVE amounts of stress, lost sleep, money etc.. to start a place that will willingly share its profits with you, at a rate that you BOTH agreed to?

What the fuck is wrong with democrats......
 
Mursilis said:
I'm sure it's going to be much, much later. Apathy and mental laziness reign. And how has the "huge wealth disparity" not ended well in the past? There's no history in the U.S. of the poor turning on the wealthy, at least in a violent fashion.
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The only thing that happened in the US was unionization and 'big government' policies like the new deal. However, I would assume that if you go back in history and other countries, you'll find more details on what Bowfinger is talking about.
 
My opinion, this was the goal of the income tax all along.

Sooner or later taxation and free trade is bound to create a two class system.
 
Engineer said:
Either the 'job creators' can start creating better jobs (and quit moving the good ones that we have offshore) to help bring up the rest of America's income level or you'll get the 'idiot leftist' tax hikes, voted for by the masses as they find their own way to equalize income.
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Job creators don't create jobs to "help" anyone. They hire people to perform a service at a certain rate, which will allow them to make money. That's the way it's always been. It's not up to them to create "better" jobs.

Further, in case anyone hasn't noticed, the gap continues to grow rapidly, no matter if there's a R or D in the white house or who has power in congress, so it's very obvious anyone who thinks one party or another has the answer is delusional.

Of course, I could come back with the 'idiots righties' will suggest another tax cut so that the job creators will have more money to pay the masses better
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I don't think I've ever heard anyone suggest that the wealth gap can get closed by a tax cut. If they do, they're idiots as well. Tax cuts can certainly make our country a more attractive place for businesses etc, but that doesn't do anything to address the gap between the haves and the have-nots.
 
PokerGuy said:
Job creators don't create jobs to "help" anyone. They hire people to perform a service at a certain rate, which will allow them to make money. That's the way it's always been. It's not up to them to create "better" jobs.

Further, in case anyone hasn't noticed, the gap continues to grow rapidly, no matter if there's a R or D in the white house or who has power in congress, so it's very obvious anyone who thinks one party or another has the answer is delusional.



I don't think I've ever heard anyone suggest that the wealth gap can get closed by a tax cut. If they do, they're idiots as well. Tax cuts can certainly make our country a more attractive place for businesses etc, but that doesn't do anything to address the gap between the haves and the have-nots.
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It may not be up to the 'job creators' to create better jobs but if they don't and the gap widens, you'll end up with the masses voting themselves the treasury. History shows that will eventually happen.
 
Engineer said:
This was posted recently. I usually don't read this kind of stuff but after reading it, I'm amazed at what lengths those at the top will do to get that much more....

http://www.economonitor.com/lrwray/...pire-squid-sucks-all-life-out-of-the-economy/

I'm sure that this will get poo-pooed by some people around here...probably without reading it. Regardless, it's out there to see.....
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Interesting read, though I take issue with some of the arguments presented. Thanks for the link.
 
sandorski said:
Killing the Unions was a huge mistake.
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Unions killed themselves. As a parasite living off a host, they often go too far and kill the host (see: Auto industry). The only place they can thrive is in the public sector where there is no competition and the parasite can thrive.
 
Smoblikat said:
Heres a radical idea!

Get off your ass and invent somthing, start a buisness, become famous. So you are pissed that companies put in MASSIVE amounts of stress, lost sleep, money etc.. to start a place that will willingly share its profits with you, at a rate that you BOTH agreed to?

What the fuck is wrong with democrats......
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No, my reading-impaired friend, that's not the point at all. The point is only that workers should share in the prosperity they help create. While your rant is fully talking points complaint, you're arguing a fantasy. Not everyone can start a business, nor do most business owners rise to the elite 0.1% that get most of the benefit of America's increasing prosperity. Further, your suggestion that one's pay rate is somehow based on a negotiation between equals is pure myth. Jobs are scarce; therefore employers play with a stacked deck. Finally, our entire system has been corrupted by wealth, further stacking the deck for the elite few.

For the record, I am not a Democrat. I am also not sitting on my ass; I have built businesses and am doing just fine, thank you. I am also, however, someone who sees how badly broken America has become for the working class. My suggestion to you is you pull your head out of the asses of the greedy elite and recognize what they're doing to America.
 
Originally Posted by Bowfinger
It's not about you, or giving your money. The point is that the overwhelming majority of Americans are being left behind. American workers do not share in the prosperity they're helping to make, and they haven't for decades. For those who consider basic "fairness" to be irrelevant, at least learn from history. The huge wealth disparity in the U.S. is not healthy, and has never ended well. The unbridled greed of the elite few will bite them in the ass, sooner or later, and it will be devastating to American society when it inevitably happens.


Mursilis said:
I'm sure it's going to be much, much later. Apathy and mental laziness reign. And how has the "huge wealth disparity" not ended well in the past? There's no history in the U.S. of the poor turning on the wealthy, at least in a violent fashion.
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Growing up I never thought I would see a Revolution in the U.S. in my lifetime but now I believe it could happen.

It's all about the numbers.

When you have enough people desperate they will band together.
 
PokerGuy said:
Unions killed themselves. As a parasite living off a host, they often go too far and kill the host (see: Auto industry). The only place they can thrive is in the public sector where there is no competition and the parasite can thrive.
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Regardless of that opinion, if the pendulum swings too far the other way (like it is starting to do), the unions will start up again. While the fast food walkout a few weeks ago may seem silly to many, I'm sure that unions started in a similar fashion.
 
Bowfinger said:
No, my reading-impaired friend, that's not the point at all. The point is only that workers should share in the prosperity they help create. While your rant is fully talking points complaint, you're arguing a fantasy. Not everyone can start a business, nor do most business owners rise to the elite 0.1% that get most of the benefit of America's increasing prosperity. Further, your suggestion that one's pay rate is somehow based on a negotiation between equals is pure myth. Jobs are scarce; therefore employers play with a stacked deck. Finally, our entire system has been corrupted by wealth, further stacking the deck for the elite few.

For the record, I am not a Democrat. I am also not sitting on my ass; I have built businesses and am doing just fine, thank you. I am also, however, someone who sees how badly broken America has become for the working class. My suggestion to you is you pull your head out of the asses of the greedy elite and recognize what they're doing to America.
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Again, agree 100%.
 
Berkeley's Emmanuel Saez, said the incomes of the richest Americans surged last year in part because they cashed in stock holdings to avoid higher capital gains taxes that took effect in January.
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Just keep in mind that a noteable chunk of this is because of the tax policies that so many wanted. Don't get me wrong - I agree that capital gains taxes needed to be higher but it seems odd to get pissed off at the result

Bowfinger said:
It's not about you, or giving your money. The point is that the overwhelming majority of Americans are being left behind. American workers do not share in the prosperity they're helping to make, and they haven't for decades.
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A lot of that is by choice. The article includes dividends, CG and stocks as part of income (understandably so) which is something that a huge chunk of Middle Class Americans don't participate in. Only 60% (Of which about 50% of that is stocks [reports vary]) have retirement accounts and 15% of middle class Americans participate in the stock market outside of those accounts. During the recession middle and lower class families fled the market leading to a notable increase in the share of stocks held by the wealthy. Hell - in 2011 the participation in the stock market fell to its lowest point in 11 years and its been up 30% since then. All those people are missing out on the one part of the economy that is really growing.

Maybe if the middle class didn't have 80+% of their wealth tied up in real estate they would be doing a bit better but most still view that as the best investment even though the returns have been abysmal. This is not to say there aren't wage issues but when a segment of Americans don't participate in part of the economy that is doing well it seems a bit odd to cry foul when they miss out on the gains. Admittedly the excess cash may not be available and there would be a lot of arguments as to why, but the barrier of entry in the stock market is pretty damn low. Still most people make an effort to spend large sums of money to participate in the real estate market instead of the stock market

http://www.thinkadvisor.com/2013/01/23/the-middle-class-is-leaving-the-stock-market?page=1(I couldn't find the direct link to Prof Wolf's research. Its on nyu.edu somewhere...)
http://www.consumerfed.org/news/594
 
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