The Rich and the Really Rich
Fed Chair Janet Yellen, we learned last month, is “greatly concerned” with America’s growing wealth gap.
That’s a little like Al Capone being concerned with bank robberies.
Is it possible that Janet Yellen has not noted the correlation and causation of Fed policies and the concentration of wealth at the top in America?
Because it’s pretty hard to miss.
It’s not just a question of the richest 1 percent getting richer. The concentration of wealth has grown even more top-heavy than that. A recent New York Times story on the phenomenon begins with the account of a private jet broker. He says that in the past the sale of big and small jets rose and fell together with the turns of the economy.
But now the market is divided. According to the Times, “Sales of the largest, most expensive private jets — including private jumbo jets — are soaring, with higher prices and long waiting lists. Smaller, cheaper jets, however, are piling up on the nation’s private-jet tarmacs with big discounts and few buyers.”
U.S. wealth inequality was driven to all-time highs in that fateful year 1929.
- More at MoneyandMarkets.com