The new money substitute, which we’ve lived with for 45 years, is a fraud
- A dollar in 1971 is worth about 17 cents today
- In other words, it has lost roughly 80% of its buying power
- Had you been counting on it to preserve the value of your work from the previous decade,
- it robbed you of everything from 1960 to 1968.
The phony dollar has misled an entire generation into spending money it didn’t really have...
- doubling or tripling its debt-to-earnings ratio... and
- shifting more and more of its real wealth to the least productive people — the Parasitocracy
The Parasitocracy is the financial services industry
- In 1971 it was just 1.25% of GDP
- Today, it’s more than 3 times that much
- In terms of real output, finance is still tiny
- But that’s now where the money is!
- Here’s an item from Monday’s paper:
- The biggest 6 banks in America raised their CEO pay by 7.6% last year
- about 3 times faster than GDP growth.
- The “Big 6” executives now earn an average of $13.1 million a year.
- JPMorgan Chase boss Jamie Dimon is in the lead with a $27.6 million pay package.
- The richest 1% of the population, meanwhile, has increased its share of national wealth from 25% to 40%
- And the richest 1/10 of the 1% has done even better
- going from 10% of national income in 1971 to 20% today.
- Lucky? Not really
- The system was rigged with the "new money"