“Fleecing Shareholders”

“Fleecing Shareholders”

In the comments section recently a discussion erupted extending from fascism, to liberalism, to communism, and finally to the Wall Street bail-out. Yesterday Mark featured part of the discussion on the economics of fascism. Today I want to bring up this notion of “fleecing shareholders” as a form of benefiting the majority. As Ezra Klein notes in the above link

…[T]he majority of the country doesn’t own any stock. Indeed, the bottom 90 percent of us only own 20 percent of the market. The top 10 percent, by contrast, control 80 percent, with the top one percent of Americans controlling an astounding 36.9%.

You can see a graph over at The American Prospect, and the data comes from the Economic Policy Institute. So, again, the question with the bail-out is one chiefly concerning the question of who benefits, but seeing as the bail-out is in limbo at the moment there is not much else to add.