The top 1% of the US population = about 3 million people (US pop = 300 mill).

[Hannah Bell]

Bill Gates is one of them.

Supposedly (depending on how well his holdings do), he takes in around 100-200 million/year in income.

The 2006 US GDP was 13 trillion.

So, imagine the top 1% takes in an average of 1 million/year each as income.

3 million times 1 million = 3 trillion, or 23% of total GDP.

Now imagine the next 1% (3 million people) takes in an average of $500,000/yr as income.

$500,000 x 3 million = 1.5 trillion, or 35% of GDP total for the top 2%.

[lapfog_1]

1. Here is a handy chart to help you out.

There is a better one, one that breaks it down for the very very top .1 and .01 percent. That's even more disturbing.

I can't find it right now.



oh, found the other one... but to appreciate it you have to go to the website and zoom out on the graph.

http://www.lcurve.org/

[Hannah Bell]

3. That's "wealth," not income.

And personally, I think the "wealth" charts understate the reality. Since, for example, most people's biggest "wealth" is their home, & the banks own big chunks of those.

[lapfog_1]

4. Sorry, didn't see that distinction.

But I believe that the stats used in both examples are "net worth" not value of a home or other asset. Just looking at home values would indicate very little about true "wealth", as you say.

There are just a huge number of charts and graphs about income distribution at the wiki...

http://en.wikipedia.org/wiki/Household_income_in_the_United_States

[Hannah Bell]

5. Typically, those charts don't explain clearly what they're based on.

But 1 million in average income for the top 1% i think is conservative (being as big CEOs seem to get that routinely now), & my point was to show the cumulative effect is a huge chunk of GDP.

Think of it this way: every year, 1/3 of your working hours, 1/3 of every dollar you spend, is going to support this small fraction of the population.

[lapfog_1]

6. Yup. They are parasites. And their greed may be their undoing. - n/t

[Hannah Bell]

2. For reference: there are about 5.5 million people over age 85 in the US.

So it's as if more than 1/3 of the value of all the work & trade in the US went to folks over 85.

Or:

There are about 4 million African Americans living in New York. It's as if 1/3 of the value of total economic activity went to them.

Or:

Los Angeles has about 4 million people. It's as if 1/3 of GDP went to that metro area.

[Hannah Bell]

7. For reference: top 1% gets 3 trillion, 23% of GDP: TANF ("welfare") budget = 16 billion for 5.1

million people = .12% of GDP.

Food stamps budget = 33 billion for 26 million people = .25% of GDP

Medicaid budget = about 300 billion for 56 million people = 2.3% of GDP

About 1 in 6 (17%) people receive some form of public assistance. These 3 elements: welfare, food stamps & Medicaid, = about 3% of GDP.


Versus 23% for the top 1%.