Between the second quarter of 2010 and the second quarter of 2012, the bottom 50 had negative combined net wealth.
Here is the same chart in dollar terms.
Someone posted a similar chart on Twitter with the comment “this is unfathomable”.
Many people have no savings and close to half the population (48%) own no stocks.
Please consider What Percent Of Americans Own Stocks?
As of 2019, the top 10 percent of Americans owned an average of $969,000 in stocks. The next 40 percent owned $132,000 on average. For the bottom half of families, it was just under $54,000. Stock ownership has fallen to only around 52% overall since the financial crisis.
It’s easy to believe that those in the 40-50% range have nearly all of that $54,000 average. Then what about debt? How much mortgage debt does the bottom half have?
At the lower rungs, the balance sheet consists of nothing but credit card debt and auto loans.
Well over half the population is not prepared for retirement.
Janet Yellen used to moan all the time about wealth inequality.
Ironically, the Fed is a sponsor of this setup.
Asset inflation does not benefit those with no assets. And inflation kills those on fixed incomes as well as those seeking to buy a home but can never afford one.
Mike “Mish” Shedlock