Wealth gap

At the turn of the century the wealth gap was a problem. Between 1990 and 2000 the top one percent saw their wealth increase by 300% but the bottom 50% saw no increase. The problem has only worsened since then with 2008 mortgage crisis and the Covid adding to the gap. Rich people live off of their investment (wealth) and poor people live off their income (wages). As the top one percent gets richer they have more money to buy assets and the price of asset go up. Assets are things like property and stock. The result is that the country is moving toward an asset economy. It is becoming increasingly difficult for young people to buy a home unless they have rich parents to help them. Not too many years ago a young person could start out and by saving, afford a down payment on a house. Today houses are too costly and as long as the wealth gap continues the prices of assets will continue to rise. There are many changes that could be made to slow down the increases in the wealth but no much is being done. The idea of a wealth tax will gain in popularity as this problem continues to worsen.