Skip to content
Search AI Powered

Latest Stories

New Study Reveals Just How Much The 400 Richest Americans Own Compared To The Nation's Poorest

New Study Reveals Just How Much The 400 Richest Americans Own Compared To The Nation's Poorest
Andrew Lichtenstein/Corbis via Getty Images // @Stevers0331 (Twitter)

EAT THE RICH.

You might want to once you hear just how rich they are.


According to a working paper by University of California at Berkeley, economist Gabriel Zucman, the 400 richest Americans (that's just .00025 percent of the population, by the way) own more than the 150 million adults in the bottom 60 percent.

Here's what Zucman's abstract on "Global Wealth Inequality" had to say:

Both surveys and tax data show that wealth inequality has increased dramatically since the 1980s, with a top 1% wealth share around 40% in 2016 vs. 25–30% in the 1980s. Second, I discuss the fast growing literature on wealth inequality across the world. Evidence points towards a rise in global wealth concentration: for China, Europe, and the United States combined, the top 1% wealth share has increased from 28% in 1980 to 33% today, while the bottom 75% share hovered around 10%. Recent studies, however, may under-estimate the level and rise of inequality, as financial globalization makes it increasingly hard to measure wealth at the top. I discuss how new data sources (leaks from financial institutions, tax amnesties, and macroeconomic statistics of tax havens) can be leveraged to better capture the wealth of the rich.

Even more sobering news: The share of the nation's wealth by the bottom 60 percent dropped from 5.7 percent in 1987 to 2.1 percent in 2014, according to information from the World Inequality Database that Zucman and other economists maintain.

"U.S. wealth concentration has followed a marked U-shaped evolution of the last century," Zucman writes, noting:

It was high in the 1910s and 1920s, with a particularly fast increase in the second half of the 1920s. The top 0.1% wealth share peaked at close to 25% in 1929. It then fell abruptly in the early 1930s (in the context of the Great Depression) and continued to fall gradually from the late 1930s to the late 1940s (in the context of the New Deal and the war economy). After a period of remarkable stability in the 1950s and 1960s, the top 0.1% wealth share reached its low-water mark in the 1970s, and since the early 1980s it has been gradually rising to close to 20% in recent years. U.S. wealth concentration seems to have returned to levels last seen during the Roaring Twenties.

Zucman's paper comes as support for a proposal from Senator Elizabeth Warren (D-MA) to raise taxes on the super wealthy continues to gain traction.

According to a recent poll from Morning Consult, the vast majority of Americans support a wealth tax by a 60-21 margin, a number that includes majority support from Republican voters. Americans also support raising the marginal tax rate back up to 70 percent, as Representative Alexandria Ocasio-Cortez (D-NY) has suggested.

Such news has only galvanized people who'd like to see wealth inequality actually be addressed.




Warren herself posted the results of the Morning Consult poll after former Starbucks CEO and billionaire Howard Schultz dismissed her wealth tax proposal as "ridiculous."

"Dear Howard Schultz: if you're looking for bold ideas with broad bipartisan appeal for your 'centrist' presidential campaign, may I suggest my #UltramillionaireTax?" she tweeted, noting how the tax would provide avenues for such initiatives as student debt relief and health care.

Americans "don't want to replace a self-absorbed billionaire President with another one," she said. "Americans want real change. We should listen."



Ocasio-Cortez, meanwhile, has suggested going back to a marginal tax rate of 70 percent on income over $10 million, which she says her critics have mischaracterized as a tax on all income.

"You look at our tax rates back in the sixties and when you have a progressive tax rate system, your tax rate, let's say from zero to $75,000, maybe 10 percent or 15 percent, etc," she said during an interview last month. "But once you get to the tippy-tops — on your 10 millionth dollar — sometimes you see tax rates as high as 60 or 70 percent. That doesn't mean all $10 million are taxed at an extremely high rate, but it means that as you climb up this ladder, you should be contributing more."

More from News

Screenshots from Priscilla Houliston's TikTok video
@the1870studio/Tiktok

Woman Who Bought An Old Church For Under $40k To Live In Explains How She Did It

It's becoming increasingly difficult and expensive to find a home for those who do not already have one or who are in dire need of an upgrade.

TikToker Priscilla Houliston is here to teach us another way: seeking out old churches and other obscure properties that can be re-zoned as a residential home property.

Keep ReadingShow less
Pete Hegseth
Joe Raedle/Getty Images

Pentagon Just Banned Press Photographers Over 'Unflattering' Photos Of Pete Hegseth—And The Internet Got To Work

The internet reacted exactly as you might expect after the Pentagon announced it would ban some press photographers from briefings about the Iran war due to their "unflattering" photos of Defense Secretary Pete Hegseth.

Here's a silly one, just because.

Keep ReadingShow less
Screenshots from @italiangirl1130's TikTok video
@italiangirl1130/TikTok

Italian Exchange Student's Reaction To American Host Mom Taking Him To Olive Garden Is An Instant Classic

A joy that not nearly enough people get to have during high school is hosting an international student who comes to visit for either one semester or perhaps even an entire year to experience the world and the educational system from another country.

Tiktoker Rhonda, who goes by @italiangirl1130 on the platform, currently has the pleasure of hosting Alessandro, and her family has already filmed a variety of antics on the platform, trying to give the teen the best American experience they can.

Keep ReadingShow less
Screenshots from @ali.fragster, @pluto_theservicedog, and @thatflippingagent's TikTok videos
@ali.fragster/TikTok; @pluto_theservicedog/TikTok: @thatflippingagent/TikTok

Woman's Video Shooing Kid At Disneyland Away From Her Service Dog Sparks Heated Debate

A massive debate has taken over TikTok about who needs to be protected, children or service dogs or both, and it all started with a video taken at Disneyland.

TikToker @pluto_theservicedog frequently posts videos of her travels with her service dog, Pluto, and she also creates informative videos about how the general public should interact with service dogs.

Keep ReadingShow less
Hudson Williams (left) and François Arnaud (right)
Swan Gallet/WWD via Getty Images; Gary Gershoff/Getty Images

'Heated Rivalry' Stars Call Out The Show's Toxic Fans And Their 'Hateful Love' With Blunt Statement

Heated Rivalry stars Hudson Williams and François Arnaud took to social media to call out hateful comments from some of the show’s fans.

Both Williams, who plays Shane Hollander in the series, and Arnaud, who plays Scott Hunter, have recently been the targets of a wave of hostile online commentary. Their message addressed viewers who were trying to pit the actors and other cast members against one another.

Keep ReadingShow less