Study: The 1% Took an Even Bigger Slice of the Pie in 2012

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Maria Toutoudaki / Getty Images

Step aside, Roaring Twenties, you’ve been bested, inequality-wise.

The richest 1% of Americans collected a greater share of household income last year than at any time in the last century, according to a new analysis of IRS data going back to 1913.

The wealthiest Americans took a hit during the recent financial crisis, with their wealth plummeting 36% between 2007 and 2009. But since then, the net worth of the flushest among us has rebounded sharply, buoyed by rising corporate profits and stock prices. In 2012, 19.3% of all household income in the U.S. went to the top 1% of earners, their greatest share since 1928. Incomes for the top 1% rose nearly 20% last year, while incomes for the remaining 99% increased by just 1%.

One of the academics behind the study, which was conducted by economists at the University of California, Berkeley, the Paris School of Economics, and Oxford, said part of the swell in incomes may partly be a result of Americans cashing in stock holdings in advance of the capital gains tax changes that took effect in January this year.

And just who is in the top 1%, these days? According to the Associated Press, the top 1% of American households had income over $394,000 in 2012. According to the study, 95% of income gains reported since 2009 have gone to that group.

[The Associated Press]

6 comments
IMFunds
IMFunds

Higher outstanding credits increase the banking revenue to maintain the interest rates. 

But the monetary policy depends on each different country's conditions like The Fed did.

InvestorAgenda
InvestorAgenda

From indonesia:

Higher tax Higher price as the result of market mechanism. 

More taxes More high prices in all sectors cause high inflation. 

See in indonesia, the government suffers the inflation itself weakening its rupiah. 

It is because the government cannot manage their own assets because its low-quality labor. 

And the taxes will never make the fair capital distribution for whole sectors by governments only. 

Because all capital values are coming from the roots, resources & labor output activities so only public can make faster for jobs & the capital distribution not governments from the central top above that is slow, not efficient & corrupted by wrong authorities. 

For example: 

If one man can employee at least one staff then 1 million people can make 1 million employees that is bigger & faster rather than government. So on the fair capital distribution for public can be done by public itself. The government just has to maintain it to guide it not to rob them by taxes. Banking system can help government to gather capitals from the roots.

SmoothEdward1
SmoothEdward1

Uuuuuu, I'm shocked! The system is rigged. When are we going to stop pretending otherwise, and actually make it more equitable.?


DarminN
DarminN

@InvestorAgenda 

Yep, but not to all countries. 

Because every country is different with different qualities. 

It is not just 1 million but 2 millions employed with the bosses themselves.

Your words can be translated: 

Pajak Naik Harga Barang juga ikut naik karena mekanisme pasar. 

Semakin banyak pajak semakin mahal harga barang disemua sektor akibat inflasi. 

Pemerintah menderita sendiri karena inflasi dan melemahnya nilai tukar rupiah.

Ini berawal dari pemerintah tidak mampu mengelola aset negara karena kualitas rendah SDM indonesia. 

Dan pajak tidak mungkin mampu membuat keadilan disemua sektor. 

Semua nilai kapital berasal dari akarnya, sumbernya, dan output tenaga kerja jadi hanya rakyat yang mampu membuat lebih banyak lapangan kerja & distribusi modal bukan pemerintah pusat karena lamban & tidak efisien akibat korupsi. 

Contoh: 

Jika 1 orang dapat memperkerjakan 1 orang maka 1 juta rakyat dapat membuat 1 juta lapangan kerja sehingga lebih besar, lebih cepat dari pemerintah. Keadilan distribusi modal untuk rakyat dapat dilakukan oleh rakyat sendiri. Pemerintah hanya bertugas membina dan menuntun bukan merampok melalui pajak. Sistem perbankan dapat menolong pemerintah untuk menghimpun modal dari masyarakat.

Darmin, 

humasbi@bi.go.id

InvestorAgenda
InvestorAgenda

@SmoothEdward1

Higher tax Higher price as the result of market mechanism. 

More taxes More high prices in all sectors cause high inflation. 

See in indonesia, the government suffers the inflation itself weakening its rupiah.

It is because the government cannot manage their own assets because its low-quality labor. 

And the taxes will never make the fair capital distribution for whole sectors by governments only. 

Because all capital values are coming from the roots, resources & labor output activities so only public can make faster for jobs & the capital distribution not governments from the central top above that is slow, not efficient & corrupted by wrong authorities. 

For example: 

If one man can employee at least one staff then 1 million people can make 1 million employees that is bigger & faster rather than government. So on the fair capital distribution for public can be done by public itself. The government just has to maintain it to guide it not to rob them by taxes. Banking system can help government to gather capitals from the roots.

DarminN
DarminN

@InvestorAgenda@SmoothEdward1 

Yep, but not to all countries. 

Because every country is different with different qualities. 

It is not just 1 million but 2 millions employed with the bosses themselves.

Your words can be translated: 

Pajak Naik Harga Barang juga ikut naik karena mekanisme pasar. 

Semakin banyak pajak semakin mahal harga barang disemua sektor akibat inflasi. 

Pemerintah menderita sendiri karena inflasi dan melemahnya nilai tukar rupiah.

Ini berawal dari pemerintah tidak mampu mengelola aset negara karena kualitas rendah SDM indonesia. 

Dan pajak tidak mungkin mampu membuat keadilan disemua sektor. 

Semua nilai kapital berasal dari akarnya, sumbernya, dan output tenaga kerja jadi hanya rakyat yang mampu membuat lebih banyak lapangan kerja & distribusi modal bukan pemerintah pusat karena lamban & tidak efisien akibat korupsi. 

Contoh: 

Jika 1 orang dapat memperkerjakan 1 orang maka 1 juta rakyat dapat membuat 1 juta lapangan kerja sehingga lebih besar, lebih cepat dari pemerintah. Keadilan distribusi modal untuk rakyat dapat dilakukan oleh rakyat sendiri. Pemerintah hanya bertugas membina dan menuntun bukan merampok melalui pajak. Sistem perbankan dapat menolong pemerintah untuk menghimpun modal dari masyarakat.

Darmin, 

humasbi@bi.go.id