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Friday, April 25, 2014

The Rich get Richer

The wealthy are getting even wealthier because they’re so wealthy to start with. That’s the findings of new research, which shows that the richest 1% of Americans derive huge profits from capital gains, stock dividends and other types of business- or investment-related gains. In other words, money makes money. Or according to another saying, money goes to money.

Analysis found that the share of “income from wealth” going to the top 1% surged to 54% in 2010 from 33.5% in 1979. It was based on data from the Congressional Budget Office.
In 1979, the bottom 90% had 36.2%, according to the Economic Policy Institute. The 9% in between (the top 2% to 10%) claimed 30.3%. By 2010, the share derived by the bottom 90% had fallen to 22.9%, while the middle group slid to 23.0%.

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