The wealth of the 1% just hit a record $44 trillion - eviltoast
Economists say the rising stock market is giving an added boost to consumer spending through what is known as the "wealth effect."

cross-posted from: https://lemmy.world/post/13724318

Key Points

  • The wealth of the top 1% hit a record $44.6 trillion at the end of the fourth quarter.
  • All of the gains came from stock holdings thanks to an end-of-year rally.
  • Economists say the rising stock market is giving an added boost to consumer spending through what is known as the “wealth effect.”

The wealth of the top 1% hit a record $44.6 trillion at the end of the fourth quarter, as an end-of-year stock rally lifted their portfolios, according to new data from the Federal Reserve.

The total net worth of the top 1%, defined by the Fed as those with wealth over $11 million, increased by $2 trillion in the fourth quarter. All of the gains came from their stock holdings. The value of corporate equities and mutual fund shares held by the top 1% surged to $19.7 trillion from $17.65 trillion the previous quarter.

While their real estate values went up slightly, the value of their privately held businesses declined, essentially canceling out all other gains outside of stocks.

      • Viking_Hippie@lemmy.world
        6·
        8 months ago

        And thus more inclusive. Gotta make sure that everyone who needs to use one can afford to.

        I have a dream that one day every nation will rise up and live out the true meaning of a new creed: “We hold these truths to be self-evident: that all billionaires are created evil.”

        With apologies to MLK. Though, being a pro-union socialist himself, I’m betting he’d agree with the core message 😉

        • breadsmasher@lemmy.worldEnglish
          6·
          8 months ago

          Use capitalism to destroy capitalism. Invest in my guillotine production company, own a piece of every guillotine sold!

  • FlashMobOfOne@lemmy.world
    12·
    8 months ago

    And Americans are so entrenched in their voting behavior that it’ll probably take another 40 years of headlines like these before they’re willing to acknowledge that this is what their vote supports.

  • DessertStorms@kbin.social
    10·
    8 months ago

    Economists say the rising stock market is giving an added boost to consumer spending through what is known as the “wealth effect.”

    Lmfao, rebranding the trickle down lie, are we now? 🙄