These 6 Men Have as Much Wealth as Half the World's Population
By Paul Buchheit
Yes, inequality is getting worse every year. In early 2016 Oxfam reported that just 62 individuals had the same wealth as the bottom half of humanity. About a year later Oxfam reported that just eight men had the same wealth as the world's bottom half. Based on the same methodology and data sources used by Oxfam, that number is now down to six.
How to account for the dramatic increase in the most flagrant and perverse of extreme inequalities? Two well-documented reasons:
1. The poorest half (and more) of the world has continued to lose wealth; and
2. The very richest individuals—especially the top thousand or so—continue to add billions of dollars to their massive fortunes.
Inequality deniers and apologists say the Oxfam methodology is flawed, but they're missing the big picture. Whether it's six individuals or 62 or 1,000 doesn't really matter. The data from the Credit Suisse Global Wealth Databook (GWD) and the Forbes Billionaire List provide the best available tools to make it clear that inequality is extreme and pathological and getting worse every year.
How It's Gone from 62 to Six in One Year
As of Feb. 17, the world's six richest individuals (all men) had $412 billion. Tables 2-4 and 3-4 of the 2016 GWD reveal that the poorest five deciles of the world population own just .16 percent of the $256 trillion in global wealth or $410 billion. That latter figure is based on mid-2016 data, but since then the status of the bottom 50 percent has not improved and has in fact likely worsened, as both global debt and global inequality have increased.
Just a year ago, on March 1, 2016, the world's six richest men had $343 billion. They're the same men today, although slightly rearranged as they play "king of the hill": Bill Gates, Warren Buffett, Jeff Bezos, Amancio Ortega, Mark Zuckerberg, Carlos Slim Helu (with Larry Ellison jockeying for position). The wealth of these six men increased by $69 billion in just one year.
Just a year ago, according to the 2015 GWD, the poorest five deciles of the world population owned much more than today, close to $1.5 trillion. What happened? It's very clear: the world's richest 10 percent (mostly the richest 1 percent) gained nearly $4 trillion while every other segment of the global population lost wealth.
That's worth a second look. The world's total wealth is about $256 trillion and in just one year the richest 10 percent drained nearly $4 trillion away from the rest of civilization.
It's Not Just the Bottom Half: A 500-Seat Auditorium Could Hold As Much Wealth as 70 percent of the World's Population
According to the Forbes Billionaire List, the world's richest 500 individuals have $4.73 trillion in wealth. Tables 2-4 and 3-4 of the GWD reveal that the poorest seven deciles of the world population own just 1.86 percent of the $256 trillion in global wealth or $4.76 trillion. That's more than two-thirds of all the people on Earth. That means 5,000,000,000 people—five billion people—have, on average and after debt is figured in, about a thousand dollars each in home and property and savings.
In the U.S., the Forbes 400 Own as Much as 3/5 of the American People
The bottom 60 percent of Americans, according to Table 6-5 in the GWD, own three percent of the nation's $85 trillion in total wealth or $2.55 trillion. The Forbes 400 owned $2.4 trillion in October 2016 and that's been steadily increasing.
So as apologists like the National Review refer to "a growing upper-middle class" of people earning more than $100,000 a year, they're inadvertently offering an explanation for the demise of the middle class: Some are moving up, way up; many others are dropping to the lower-middle-class or below. The once sizable and stable middle of America is splitting into two.
The Deniers Are Lurking
The Boston Globe's Jeff Jacoby calls the Oxfam analysis "irrelevant." Reuters contributor Felix Salmon calls it a "silly stat."
Jacoby's column includes some stunning assertions. He said, "Just as capitalism made it possible for Gates, Zuckerberg and the others to reach the highest rung on the economic ladder, it is making it possible for billions of men and women to climb up from the lowest rung. Oxfam's billionaires are richer than they used to be. So is almost everyone else." And he quotes writer Johan Norberg: "Poverty as we know it is disappearing from our planet."
Billions moving up? Almost everyone getting richer? Poverty disappearing?
While we keep hearing about the world "climbing out of poverty," much of the alleged improvement is due to rapid economic growth in China and creative math on the part of the UN. And yes, many Americans have negative wealth because of debt. A human being doesn't have to live in a third-world slum to be impoverished.
Yet as inequality ravages the American and world economies, denial grows right along with it. Cato's Michael Tanner suggests that "even if inequality were growing as fast as critics claim, it would not necessarily be a problem." George Will, of course, agrees. But like the other deniers, they all protest too much as they try to explain away reality.
Paul Buchheit is a college teacher, an active member of U.S. Uncut Chicago. His latest book is, Disposable Americans: Extreme Capitalism and the Case for a Guaranteed Income. He is also founder and developer of social justice and educational websites (UsAgainstGreed.org, PayUpNow.org, RappingHistory.org) and the editor and main author of American Wars: Illusions and Realities (Clarity Press). He can be reached at paul [at] UsAgainstGreed [dot] org. Reposted with permission from our media associate Common Dreams.
Politician Working to Curb Pipeline Protestors Has Ties to Shadow Lobbyists
By Itai Vardi
A recent intensification in protests against Williams Partners' planned Atlantic Sunrise pipeline in Pennsylvania prompted a state senator to propose legislation aimed at limiting demonstrations.
Last month, Pennsylvania Sen. Scott Martin (R-Norman) announced his intention to introduce legislation that would pass the costs of law enforcement responding to protests onto the demonstrators. Martin also helped introduce a different bill that would criminalize protests at natural gas facilities.
FERC Releases 'Utterly Insufficient Review' for Mountain Valley Pipeline
The Federal Energy Regulatory Commission (FERC) released its Final Environmental Impact Statement Friday for the Mountain Valley Pipeline, a controversial 303-mile pipeline that would carry two billion cubic feet of fracked gas per day from West Virginia through Virginia.
'World's Fastest Folding Electric Scooter' Revolutionizes Commuting
The so-called "first and last mile" problem is one of the biggest hurdles with public transportation. How do you encourage more people to take Earth-friendlier commutes when their homes are miles away from the train or bus station?
One solution, as this Estonian electric scooter company proposes, is to simply take your commute with you—literally. Tallinn-based Stigo has developed a compact e-scooter that folds to the size of a rolling suitcase in about two seconds.
'Making the Impossible Possible': In Loving Memory of Lucia Grenna
[Editor's note: I'm still in shock after hearing the news that Lucia Grenna passed away in her sleep last week. When we first met in April of 2014 at a Copenhagen hotel, I was immediately taken by here powerful presence. We spent the next couple days participating in a Sustainia climate change event where Lucia presented her audacious plans to connect people to the climate issue. I had the chance to partner with Lucia on several other projects throughout the years and work with her incredible Connect4Climate team. I was always in awe of her ability to "make the impossible possible." Her spirit will live on forever. — Stefanie Spear]
It is with a heavy heart that Connect4Climate announces the passing of its founder and leading light, Lucia Grenna. Lucia passed peacefully in her sleep on June 15, well before her time. We remember her for her leadership and extraordinary ability to motivate people to take on some of the greatest challenges of our time, not least climate change.
Neil deGrasse Tyson Fans Deserve More Than Twisted Tale on GMOs
By Stacy Malkan
Neil deGrasse Tyson has inspired millions of people to care about science and imagine themselves as participants in the scientific process. What a hopeful sign it is to see young girls wearing t-shirts emblazoned with the words, "Forget princess, I want to be an astrophysicist."
Massive Antarctic Ice Shelf Days From Breaking Off
By Andy Rowell
Any day now we will truly witness climate change in action. Within days at worst, maybe weeks at best, scientists predict that a huge section of the Larsen C ice shelf in Antarctica will break off into the ocean, in what is called a major "carving" event.
Whatever Trump Is Selling, His People Are Buying Including a Solar Border Wall
President Trump visited Cedar Rapids, Iowa on June 21 to speak to a large crowd in the U.S. Cellular Center at a political rally organized by his campaign.
As Trevor Noah noted during The Daily Show episode last night (starts at 2:25), the real reason Trump has these rallies is to "get back in front of his loyal crowds and feed of their energy." Noah believes that "Trump supporters are so on board with their dude he can say anything and they'll come along for the ride."
World's Biggest Coal Company Closes 37 Mines as Solar Prices Plummet
The rapid growth in renewable energy continues to put a dent in the demand for coal.
Coal India, the world's biggest coal mining company and producer of 82 percent of the country's coal, announced the closure of 37 mines that are financially "unviable."
The Rise and Fall of Coal in America
By Katie O'Reilly
Two years ago—long before coal became one of the most dominant and controversial symbols of the 2016 presidential election—Bloomberg Philanthropies approached production company RadicalMedia with the idea of creating a documentary exploring the U.S. coal mining industry. Last spring, they brought on Emmy-nominated director Michael Bonfiglio, tasked with forging a compelling story out of the multitudes of facts, statistics and narratives underlying the declining industry.
