Why are the rich getting richer and the poor getting poorer in the US?

[Parker99]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

 

[Lockback]

Our "poor" still have 58" HDTVs and iPhones. Compared to most countries, not so "poor".

 

[TNHarley]

Because of our government. Almost all of our problems are because of the govt.
And people still vote to increase their influence over our lives. Blows my ******* mind.

 

[1srelluc]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

Jesus wept.....I'd hate to think that I would wake up every morning and think of dumb shit like that.

 

[Blaster]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

Most rich people are more motivated.

 

[Winston]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

Because the field is tilted. The system is now geared to protect wealth, not produce it. We see this throughout the system. Earned income taxed higher than unearned income. The step-up, used to transfer trillions of dollars in assets taxfree to heirs.

 

[Darkwind]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

Math is your friend. You should bone up on it.

For compound interest, the formula is:


A = P(1 + r)^t


Where:

• P = principal ($1,000)
• r = annual interest rate (0.05)
• t = time in years (30)

So:


A = 1,000 × (1.05)^30


A = 1,000 × 4.3219...


A ≈ $4,322


After 30 years, your $1,000 would grow to approximately $4,322 at 5% annual compound interest.


That means you'd earn about $3,322 in interest over those 30 years - more than tripling your initial investment. This demonstrates the power of compound interest over long periods.

Now, do the same thing for 10 dollars.

Using the same compound interest formula with $10 instead:


A = P(1 + r)^t


Where:

• P = principal ($10)
• r = annual interest rate (0.05)
• t = time in years (30)

So:


A = 10 × (1.05)^30


A = 10 × 4.3219...


A ≈ $43.22


After 30 years, your $10 would grow to approximately $43.22 at 5% annual compound interest.


You'd earn about $33.22 in interest - also more than quadrupling your initial investment. The percentage growth is identical to the $1,000 example (both multiply by the same factor of ~4.32), just scaled down proportionally.

Now as an exercise, figure out how much it would be if each scenario added the the starting balance and tell Me what you come up with.

 

[Darkwind]

I've got to run so I'll do it for you.

Scenario 1: $1,000 initial + $1,000 added each year


For the initial $1,000: $4,322 (as calculated before)


For the annual $1,000 contributions, we use:FV = PMT × [(1 + r)^t - 1] / r


FV = 1,000 × [(1.05)^30 - 1] / 0.05FV = 1,000 × [4.3219 - 1] / 0.05FV = 1,000 × 66.44


For annual contributions: $66,439


Total: $4,322 + $66,439 = $70,761

---

Scenario 2: $10 initial + $10 added each year


For the initial $10: $43.22 (as calculated before)


For the annual $10 contributions:FV = 10 × 66.44 = $664.39


Total: $43.22 + $664.39 = $707.61


So with annual contributions matching your initial investment, you'd end up with approximately $70,761 (first scenario) or $708 (second scenario) after 30 years. Again, the second scenario is exactly 1/100th of the first, maintaining that proportional relationship.


This is just investing. Add on top of that a business that makes widgets for 10 dollars a piece and sells for 25 each.

It will wake you up to the fact that being a wage earner is a sure fire way to remain in the lower classes.

 

[Bitterhook]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

The rich have capital to invest and compound their wealth, while the poor find it acceptable to rely on the kindness and concern of others, and their government to support their existence, when that will never by any reasonable assumption provide them with anything more than basic survival at the cost of society and civilization.

Inequality is a product of the fact we are not all equal in a societal sense, never have been, and never will be.


Edit:
Oddly enough, some Native Americans helped Miles Standish and his crew in the Plymouth Colony figure that shit out a long time ago by telling them, "If you don't plant enough crops, and grow or gather enough food, you'll ******* starve to death." Of course, helping them not starve to death, really didn't work out that well for the Native Americans either.

 

[JGalt]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

Because the rich aren't afraid of a little hard work, while the poor won't get off their stupid lazy asses and find a job.

Glad I could clarify that for you.

 

[80zephyr]

The upper-middle class is the fastest-growing segment of the U.S. population, expanding significantly as core middle-class families move up, shifting from about 10% of families in 1979 to around 31% by 2024, with major growth seen in specific cities like North Charleston, SC, and Florida (Port St. Lucie, Hialeah) experiencing rapid household earnings increases, driven by diverse income streams and career shifts

 

[Cassandro]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

"Inequality" is an obsolete term in modern societies. It used to connote a lack of basic necessities, whereas today it is merely a political slogan with little practical consequence.

Envy is a green-eyed monster which needs to be kept in its cage.

 

[Toddsterpatriot]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

Why are the rich getting richer and the poor getting poorer in the US?

The rich make more, save more and invest more.

 

[Ringo]

Enshittification was named word of the year by the American Dialect Society. Not because it sounds funny, but because goods and services are deteriorating worldwide. Capitalism exists, but happiness does not.

 

[Nobody911]

Both America and China share the same destiny. I see no significant differences between Moneyocracy (the US) and Communism (China). lol.

- United States: Most wealth is held by a small rich group. The top 10% own roughly about 70% of the country’s wealth, and the top 1% hold a very large share. Wealth is mostly financial (stocks, retirement accounts) and home values, so average wealth is much higher than what a typical household has.

- China: Wealth is also concentrated, but a bit less so than the US. The top 10% own a large share (around 60–70%). Much of people’s wealth is in housing and private businesses; urban households are much wealthier than rural ones. Data are less complete, so exact shares are less certain.

Quick contrast:

• Both are unequal, but inequality by some measures is higher in the US.
• US inequality is driven by financial assets; China’s by property and business ownership.

sources:

• The Rise of Wealth, Private Property, and Income Inequality in China
• Visualizing Global Wealth Inequality in 2025

In America, many rich people did get richer by 2025, but the poor didn't universally get poorer. Whether the rich grow richer and the poor poorer depends on several factors.

Why the rich often got richer by 2025

• Financial-asset gains: Strong stock and asset markets (especially tech and large-cap equities) boosted wealth at the top because wealthy households hold most financial assets.
• Capital income vs labor income: Returns on capital (stocks, private equity, real estate) outpaced wage growth, favoring asset owners.
• Concentration of high-income jobs: Growth in lucrative sectors (technology, finance) expanded incomes for top earners.
• Inheritance and wealth transfers: Large intergenerational transfers amplified top-end accumulation.
• Tax and policy settings: Relatively low top marginal tax rates on capital gains and favorable tax treatment of investment income in many places supported wealth accumulation.

Why the poor didn’t necessarily get poorer

• Real wages and social supports: For many lower- and middle-income households, wages rose modestly in some sectors; unemployment in 2024–25 was relatively low, and expanded social programs (where present) provided support.
• Home equity for some: Rising house prices increased net worth for homeowners (including many middle-class households).
• Poverty trends vary regionally: Some regions and demographic groups saw income and wealth improvements due to jobs growth and policy interventions.
• Measurement nuance: "Poorer" in wealth terms can differ from consumption or income—many low-income households maintained or slightly improved living standards through credit, transfers, or informal support.

Why inequality still widened in many measures

• Faster asset appreciation than wages: Asset-driven growth increases mean wealth much faster than median wealth, raising measured inequality.
• Uneven access to financial markets: Top households benefit disproportionately from investment opportunities and tax-advantaged accounts.
• Rising costs: Healthcare, housing, and higher education costs strained lower-income households, limiting wealth accumulation.
• Labor-market disruption: Automation and industry shifts hurt some low-skill workers, reducing upward mobility for affected groups.

Bottom line: By 2025 the wealthy generally pulled further ahead because asset returns and policy settings favored capital owners, but many poorer households did not become dramatically poorer in absolute terms; outcomes varied by region, occupation, and policy context. Policy choices (taxes, transfers, access to education and housing) determine whether inequality accelerates or slows.

 

[initforme]

Because the rich aren't afraid of a little hard work, while the poor won't get off their stupid lazy asses and find a job.

Glad I could clarify that for you.

Theres plenty of hard working poor folk. Midfle class people in america are closer to poor than wealthy. 100k is barely middle class anywhere in america.

 

[Hafar1014]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

False as the rich get richer the poor and middle class get wealthier.
As the government gets richer the middle class gets poor.
Didnt the Biden disaster teach you anything. A massive expansion of government causing the worst inflation in 40 years crushing the middle class and poor under massive price increases

 

[Ringo]

People are poor because modern social relations involve private property in the hands of a small group of people on the one hand, and a property-less majority living off the sale of their labor on the other. The owner profits from the labor of the workers. The workers get poverty.

 

[leftwinger]

Why are the rich getting richer and the poor getting poorer in the US?

Also why is there so much inequality in the US?

Why was the economy different in 80s and 90s where inequality was less than it is today.

They aren't. Obiden created 4X price increases due to their war on energy and theft if US Treasure.

They just feel poorer. The Rich don't sit diwn and eat $1million bills in $100s everyday for lunch.

They spend it or invest it. It grows GDP. All benefit. Your boys can get a job and work for raises you dumb OX.

 

[Toddsterpatriot]

People are poor because modern social relations involve private property in the hands of a small group of people on the one hand, and a property-less majority living off the sale of their labor on the other. The owner profits from the labor of the workers. The workers get poverty.

Exactly!

In the Soviet Union, the nomenklatura profited from the labor of the workers. The workers got poverty.