Rich also cry, but the poor more …

You know the story that the rich get richer and the poor become poorer. 70 years since, there has been tendency to global wealth is concentrated in the hands of a certain circle of people around the world, writes The New York Times. From 1970 to 2006, their situation only increased. In the last two years, however, this increase begins to slow. Economists say we are witnessing the end of a 30-year period in which the number of wealthy and their status only grew.
Behind every investment banker, whose incomes have recovered to levels from before the recession, some standing, who have lost their jobs and investors lost millions.
Last year the number of Americans with a net position of 30 million or more fell by 24 percent, according to CapGemini and Merrill Lynch Wealth Management. The monthly income from dividends, which is concentrated among the wealthy, has fallen by more than 20 percent since last summer. This is the biggest fall of 1959 until now.
Bill Gacy, Warren Buffett, Walton family (Wal-Mart), the founders of Google and other prominent businessmen have lost billions last year, according to Forbes.
One glaring example – the state of Makafi John, the founder of antivirus company with the same name, is currently equal to $ 4 million. And ever was 100 million dollars! Makafi recently announced the sale of his mansion, because he needs cash.
One of the clearest evidence of „loss“ of billionaires we see as we look at how much money they spend. Index Mei Moses, which measures the value of art objects, fell by 32% over the past six months. New York Yankees team failed to sell expensive tickets for matches, but in a neighborhood in Vail, Colorado, for the first half of 2009 have only sold 5 houses worth more than $ 2 million.
This time, however, the rich will not recover its losses as quickly as happened after the pop of the dot com bubble a decade ago, economists warn.
The change in the lifestyles of the rich can lead to serious consequences. Impact will have on the elite universities and other institutions that rely on donations for their existence. Do not forget that governments around the world rely on taxes for the rich.
IRS analysis showed that in 70 years to go into the ranks of the richest people in the U.S. (the first 1 / 10 000-a of the population) was necessary income of $ 2 million per household before taxes. In 2007 the amount has already jumped to 11.5 million dollars. IRS has not yet been exported data in 2008, but according to analysts last year, the richest were those with annual income between 6 – $ 8 million. Study shows that during the recession, incomes of the richest 1 / 10 000 of the population as a percentage fall more than those of the middle class.
Makafi for John, the big problem is that the global crisis, obeztseniha as shares and property values. Before the crisis, when its shares were not represented well Makafi sell properties and restore the losses. But now this is impossible – in 2007 he sold an estate in Colorado for 5.7 million dollars, and it was purchased for $ 25 million.
Another important question that nobody can answer is how quickly Wall Street will recover the losses? Since March Standard & Poor’s 500 has jumped by 49% but still 35% below the 2007 peak.
All are asking and what measures it will take Congress to regulate financial markets. Tax policy is another important issue.
There are periods in which the rich and the poor were better (as the second half of the 90-years), and there are those in which all classes have been worse (like the last two years). In the majority of the 50’s, 60’s and 70’s, and wage increases for the middle class and wealthy beyond inflation.
In 2007, the richest 1 / 10 000 residents of the United States came back to 6% of all income of the population, while in 1977 their share was 0.9 percent.