Why do the top 1% of people in the world have half of the world's wealth?

Setting the statistical details of your question aside, and focusing on the underlying observation of extraordinary wealth inequality, I believe there are a combination of factors. Here are the most significant ones (in no particular order):

1. Capitalism. It is the nature of capitalism to concentrate wealth by rewarding owner-shareholders while exploiting worker-consumers and capturing everyone and everything else (i.e. environments, governments, technologies, etc.) that can be placed in service to profit.

2. Consumer Mindset and Addiction. This is a bit more subtle, but essentially imagine a world where everyone is convinced (individually, socially, culturally) that happiness, well-being and success are all externally consumed, and that the self-actualization principle with the highest efficacy is conspicuous consumption. Further, imagine that the products and services being offered are habit forming in nature, so that the pressures to consume create a snowball effect, thereby infantilizing the public and making people perpetually dependent. Why perpetually? Well because those products and services don’t actually deliver happiness, well-being or success…so the cycle continues.

3. Cronyism and Clientism. Through regulatory capture, revolving door self-empowerment, corruption of democratic institutions (corporate personhood, SuperPACs, the Hastert rule, gerrymandering, etc.), authoring legislation (A.L.E.C., etc.), quid-pro-quo political dealings and so forth so that the wealthy maintain de facto control over any government that is supposed to counter their overreach…thus expanding plutocratic wealth and power.

4. Financialization and Speculation. A nasty runaway train that often involves socialization of risk, extensive leveraging, and huge amounts of debt…all in order to enrich the captains of banking and industry who are already wealthy enough to play such high stakes games.

5. Monopoly. Consolidation of production, assets and influence in every industry - and often across multiple sectors - that concentrates economic controls and wealth production in the hands of fewer and fewer people.

6. Clever Propaganda. I think Milton Friedman was the first to really champion neoliberal delusions for the common person, persuading them that government, taxes and “socialist” policies would sabotage their well-being and the American success story, and that all challenges could be solved by a “free” market. It was of course a fabricated narrative without any basis in fact, but it has sold well. So now we have everyone from the Tea Party to Trump supporters voting against their own best interests, and blindly throwing their energy into this perpetual hoodwink.

7. The Spectacle. This is a complex idea that I elaborate on in the link provided, but essentially think of an elaborate, self-perpetuating engine of panem et circenses, executed via mass media and mass consumption, that anesthetizes the masses into complacency. Just enough affluence and entertainment to make them forget that their votes don’t really count for much, their “freedom” is becoming much more limited, and their real wages have been stagnant or declining since 1968.

I explore many of these topics and more on this website: Level 7

My 2 cents.

(From Quora question: https://www.quora.com/Why-do-the-top-1-of-people-in-the-world-have-half-of-the-worlds-wealth)


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