“The richest 1 percent now owns more of the country’s wealth than at any time in the past 50 years.” Writing for The Washington Post, Christopher Ingraham explains: “Today, the top 1 percent of households own more wealth than the bottom 90 percent combined. That gap, between the ultrawealthy and everyone else, has only become wider in the past several decades.” Using the analogy of equally distributing slices of pie, Ingraham explains the results of research by economist Edward N. Wolff, published in his new book: “A Century of Wealth in America.”
Extreme wealth and income inequality is bad for the economy. What can we as a nation due to reduce wealth inequality and its perverse negative effects?
“If you were designing a tax plan to reduce the extreme inequality in the United States, you’d probably try to find ways to redistribute some of the wealth from the richest households to the poorest ones. But the Senate GOP tax plan does precisely the opposite of that, according to the CBO: In the short term the richest households get the biggest tax cuts, while longer term the taxes of the poorest households actually increase.”
Source: Financial Planning for Women