[credit: G. Domhoff, UCSC]
The 99% people camping out in several U.S. cites may not know it, but the pie charts above show why they feel the way they do. These are based on 2007 figures, but the distribution of wealth has gotten even more skewed since the financial panic of 2008 caused the "too big to fail" bailouts for über-rich Wall Street bankers. In the first quarter of 2011, corporations boosted a 31% profit growth and a 31% reduction in taxes because of outsourcing to low tax rate countries. About 40% of the S&P 500 profits come from overseas operations. In 2010 CEO compensation rose by 30%. Preliminary figures indicate that as of April 2010 there has been a 36.1% drop in median household wealth compared to just 11.1% for the rich 1% as a result of the Second Great Depression.The red slice shows that the rich, or top 1%, have three times the net worth of 80% of the population and six times the financial wealth. Financial wealth is defined as net worth minus owner-occupied housing since it is not easy to convert a home to cash in the near term. Most middle class wealth is in family homes (62%). The plutocrats--people in the top tenth of the top 1% or net worth of $24 million and above--do not earn their income from salaries. Either it is returns from financial investments, corporate stock compensation plans, real estate, business profit sharing, or inherited wealth. Their income is taxed at lower capital gains rates and sheltered in offshore tax havens compared to ordinary wage or salary income of the 99%. It is not unusual for these fortunate few to pay effective federal income tax rates of zero or borrow large sums of money at near zero interest. Politicians, dependent on private campaign financing, are servants to this cynical aristocracy of greed. That is why we have a leading presidential candidate who can stupidly claim "Corporations are people" and still get elected. {"Mitt Romney"} The plutocrats are truly powerful because the laws that burden the 99.9%, allow them to protect and increase their wealth through perpetual trusts and other legal means, while extending their influence over our government "of the people". When you think of power and wealth in America look at the back of the dollar bill. You will see the pyramid and the all-seeing eye perched at the top. That is not the eye of God.