Here is the bottom line.
- The richest 1% save 38% of their income
- Wealthy Americans save about 12% of their income.
- Most Americans save only about 0-3% of their income
More importantly, the gap between the rich and the middle class or the poor has surged over the last decade. Most of it due to the disastrous Federal Reserve policies that benefit the wealthy at the cost of everyone else. While those well off might shrug this off as irrelevant or inconsequential, it is anything but.
I have argued in the past that no economy can function over the long term if only a select few (those who have access to unlimited cheap credit) benefit. What made America so powerful in the past is it’s middle class. Now that it’s going away, everyone, including the top 1% will pay the price. Blame Greenspan, Bernanke and Yellen.
What You Ought To Know About The Death Of American Middle Class Google