ZeroHedge
his is how it happens that boats that were once worth tens of
thousands of dollars are set adrift by owners who can no longer afford
to pay slip fees.
The increasing concentration of the ownership of wealth/assets in the top 10% has an under-appreciated consequence:
when only the top 10% can afford to buy assets, that unleashes an
almost karmic payback for the narrowing of ownership, a.k.a. soaring
wealth and income inequality: assets crash.
Most of you are aware that the bottom 90% own very little other than their labor (tradeable
only in full employment) and modest amounts of home equity that are
highly vulnerable to a collapse of the housing bubble. (The same can be
said of China's middle class, only more so, as 75% of China's household
wealth is in real estate, more than double the percentage of wealth held
in housing in U.S. households."
No comments:
Post a Comment