By Chuck Collins | –
And in addition to the 3 billionaires Bernie mentioned, we should also be worried about the expanding fortunes of multi-generational wealth dynasties.
The wealthiest 3 billionaires in the U.S. –Jeff Bezos, Bill Gates and Warren Buffett — now have as much wealth as the bottom half of the U.S. population combined.
Those were the first words spoken at last night’s 2020 Democratic Debate, citing a wealth inequality study by the Institute for Policy Studies.
In fact, Sen. Bernie Sanders mentioned the study, Billionaire Bonanza, several times during the debate.
These extreme levels of wealth inequality are possible, in part, because the bottom fifth of U.S. households are underwater, with zero or negative net worth. And the next fifth has so few assets to fall back on that they live in fear of destitution.
“We’re developing into a plutocracy,” said former Federal Reserve Chairman Paul Volcker.
Another powerful IPS statistic: One troubling indicator that we are drifting toward a society governed by the wealthy is the expanding fortunes of multi-generational wealth dynasties.
The three wealthiest U.S. families are the Walton’s of Walmart, the Mars candy family, and the Koch brothers, heirs to the country’s second largest private company, the energy conglomerate Koch Industries. These are all enterprises built by the grandparents and parents of today’s wealthy heirs and heiresses.
These three families own a combined fortune of $348.7 billion, which is four million times the median wealth of a U.S. family.
Since 1982, these three families have seen their wealth increase nearly 6,000 percent, factoring in inflation. Meanwhile, the median household wealth went down 3 percent over the same period.
The dynastic wealth of the Walton family grew from $690 million in 1982 (or $1.81 billion in 2018 dollars) to $169.7 billion in 2018, a mind-numbing increase of 9,257 percent.
Chuck Collins is the Director the Program on Inequality and the Common Good at the Institute for Policy Studies where he co-edits Inequality.org. He is author of the popular book, Born on Third Base: A One Percenter Makes the Case for Tackling Inequality, Bringing Wealth Home, and Committing to the Common Good (Chelsea Green). His new book, Is Inequality in America Irreversible? is published by the Oxford, UK-based Polity Press.