I refer to the wealth gap numerous times throughout the blog, so I thought it would benefit readers to actually see statistical evidence that shows that there is indeed a very significant wealth gap and income inequality that has led to a plutocracy in the Philippines, the US, and many other countries throughout the world.
The rich are getting richer and the poor are getting poorer. Cliché, sure, but it's also more true than at any time since the Gilded Age. The poor are getting poorer, wages are falling behind inflation, and social mobility is at an all-time low (as of 2010).
There is very little data about the distribution of wealth in America. There is one source, the Survey of Consumer Finances, sponsored by the Federal Reserve Board, that does provide data from 1983.
These data suggest that wealth is concentrated in the hands of a small number of families. The wealthiest 1 percent of families owns roughly 34.3% of the nation's net worth, the top 10% of families owns over 71%, and the bottom 40% of the population owns way less than 1%.
Changes in the Concentration of Wealth
As with the case of income, the evidence suggests an increase in inequality over time.
The Distribution of Wealth and Income
|The distribution of wealth is much more unequal than the distribution of income, especially when focussing on the bottom 60% of all households. The bottom 60% of households possess only 4% of the nation's wealth while it earns 26.8% of all income.|
The gap between the top 1% and everyone else hasn't been this bad since the Roaring Twenties
Half of America has only 0.5% of America's stocks and bonds
The last two decades were great...if you were a CEO or owner. Not if you were anyone else.
Real average earnings have not increased in 50 years
And savings rates are sinking
Despite the myth of social mobility, poor Americans have a
SLIM CHANCE of rising to the upper middle class
Meanwhile, income tax is getting lower and lower for the rich