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The Rich Are About To Get Very, Very Rich: Study Finds Global Millionaire Wealth Set To More Than Double By 2020

Tyler Durden's picture


A new study by Deloitte confirms everyone's worst fear (and every millionaire's wettest dream): the wealth amassed by millionaire households is set to increase by more than 100% over the next 9 years. From a total of $92 trillion held by the world's richest in 2011, by 2020 the world's millionaire households will possess $202 trillion, or roughly 4 times current global GDP. Even though much of move up is attributed to the wealth surge in the developing world, the biggest beneficiary is, you guessed it, the United States where the millionaires (those with net wealth of at least $1 million), who currently account for $38.6 trillion of total wealth, will see their assets increased by 225% to $87.1 trillion! And while a comparable study of how much wealth the lower and middle classes are set to lose over the next decade, we are confident that it will be roughly comparable...inversely. So if anyone harbored any illusions that the current status quo was about anything but the rich getting richer, all those can be promptly swiped aside.

The key findings of the Deliotte anti-Robin Hood study:

  • According to our analysis, the total wealth of millionaire households in the 25 economies included in this study is forecast to grow from $92 trillion in 2011 to $202 trillion in 2020.
  • Our study suggests that the rebalancing of global wealth is expected to accelerate over the next decade. Emerging market (EM) economies are likely to prove to be more dynamic in terms of growth rates, creating significant opportunities for wealth managers seeking to gain a share of these potentially lucrative markets. Among emerging markets, China may continue to be the driving force in the growth of millionaire wealth, followed by Brazil and Russia. Of the 25 economies examined in this study, China and South Korea are likely to join the top10 in terms of the total number of millionaires by 2020.
  • However, there is a paradox at the heart of this story. According to our study, in spite of the rapid growth of wealth in the EM economies, U.S. and Europe will remain the global centers of wealth over the next decade, in terms of both the amount of wealth held and the number of millionaire households. Our analysis indicates that aggregate wealth of millionaire households in the U.S. in 2020 will likely reach $87 trillion, from $39 trillion in 2011.
  • Our forecasts suggest that, in 2020, 43% of the world’s wealth among millionaire households will be in the U.S. Opportunities for growth potentially exist via greater U.S. state penetration. In the U.S., California will likely have the most number of wealthy households, while New Jersey may continue to have the greatest density. The East Coast is likely to see the highest growth rates —New York and Florida together may add 1.5 million new millionaire households by 2020.
  • Our forecasts suggest that total wealth among millionaire households will increase from $92 trillion in 2011 to $202 trillion by 2020, a growth of 119%. In emerging markets, the growth over the next decade is potentially quite impressive (260%), significantly outpacing the growth (107%) in developed markets.

The breakdown by country. Note that millionaire assets are poised to increase by well over 100%...

According to our study, the total wealth among millionaire households of the 25 economies in this study generally exhibit little change in their ranking over the next decade. Emerging market economies will likely see some upward movement in rank (e.g., China).

...Even as the total number of millionaire households is expected to grow by well under 100%.

In terms of the total number of millionaire households, emerging markets are likely to see an upward movement in rank, with some economies rising meaningfully (South Korea, Mexico) and others dropping slightly (Taiwan, Turkey).

And then a quick look at the creme of the crop: the households who likely account for well over half of the total trillions in assets held, those who have over $30 million (remember the Talebian scale issue here), are only 871 currently, of which well over half, or 496 reside in the US. The global number of uberwealthy households is expected to rise from 871 to 1,719 in 2020, with the US once again accounting for the majtority, even as China rises by the most: from 46 to 327.

Lastly, here is what percentage of total households the uber wealthy ($30MM+) represent:

The proportion of the ultra-wealthy in relation to total households in 2020 is likely to be the highest in Singapore.

Full report, which we are confident will set off an avalanche of protests against wealth aggregation among the general media (link)

Deloitte Millionaire Study


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Fri, 05/20/2011 - 10:43 | 1295351 downwiththebanks
downwiththebanks's picture


AUSTERITY, banker-gangster style.  "Suck me off, hookers, and pass the blow.  It's party time at the casino!"

Fri, 05/20/2011 - 11:40 | 1295597 Richard Weed
Richard Weed's picture

"And while a comparable study of how much wealth the lower and middle classes are set to lose over the next decade, we are confident that it will be roughly comparable...inversely. So if anyone harbored any illusions that the current status quo was about anything but the rich getting richer, all those can be promptly swiped aside."

Oh no...!  If the rich get richer, that means they must be taking it away from the poor... it is a closed universe out there... the pie cannot be getting bigger... What idiocy...!

Shame on you Tyler... I would expect such idiodic shite from a French socialist professor at the Sorbonne, not from you.


Fri, 05/20/2011 - 11:53 | 1295671 downwiththebanks
downwiththebanks's picture

Richard Weed, on the other hand, believes people accumulate wealth when it falls from the sky.

Fri, 05/20/2011 - 12:17 | 1295779 cdskiller
cdskiller's picture

No, he's just an intellectual coward, trolling around, looking to make empty personal attacks.

Fri, 05/20/2011 - 12:28 | 1295829 Highrev
Highrev's picture

I think that "last name" is indicative of the problem.

          ---------       ·     ----------

So what's up Doc? Wadaya think? Time for an "American Revolution"?

Don't you guys have any okupas over there to get things rolling?


Fri, 05/20/2011 - 13:48 | 1296163 Bananamerican
Bananamerican's picture

"The Rich Are About To Get Very, Very Rich"

pennies   on   the   dollar....

on the other hand, a society that $plit can not long endure...especially when those downstream used to occupy, within memory, a more comfy strata

Sat, 05/21/2011 - 03:51 | 1297792 jeff montanye
jeff montanye's picture

no tree grows to the sky.  even the pie may shrink for a time, not to mention the elite's serving, dick weed (may i call you dick?).

Thu, 08/11/2011 - 02:44 | 1549964 mediahuset
mediahuset's picture


This is a great inspiring article.I am pretty much pleased with your good work.You put really very helpful information. Keep it up.

Fri, 05/20/2011 - 12:40 | 1295810 Comrade de Chaos
Comrade de Chaos's picture

to RW

Well according to the latest social mobility figures they do. Not in a literal sense of cause, it's done through lower taxation and greater ability to DEFER taxes. If anyone thinks the Bush taxcuts and any tax laws in the last 20 years are oriented towards the middle class, you are so f kidding yourself. 

Can one deduct a boarding school tuition of 30K+ for their kids under 18 (I might be off on this, but i think you can)? Can one deduct a purchase of a computer ($400) for their kid?


p.s. I would be curious to see stats on the average actual tax rate (% of their income after deductions, etc) of those making 200K+ vs 20 to 100K a year. Doubt anyone publishes those numbers. 


Now, I am not against anyone making huge amount of money. I am against the ability of anyone to skew the government legislature to rip the most benefits at the expense of everyone else. A reasonable Flat income tax for everyone without any deductions, that what a true capitalist society would settle for... 

Fri, 05/20/2011 - 12:53 | 1295915 hawks5999
hawks5999's picture

Not for nothing, but 200K+ is not who this study is talking about. 200K+ is not bad money, to be sure. But in some areas of the US it's not luxurious. Not asking for sympathy for the 200K+ wage earner but there needs to be recognition that 200K+ is not the same as $30MM net worth. It's often not the same as $1MM net worth.


You are wrong, btw, about boarding school tuition deductibility. You can't deduct boarding school tuition of $30K+.

Fri, 05/20/2011 - 14:41 | 1296343 Comrade de Chaos
Comrade de Chaos's picture

hm, you are right regarding the tuition, I was thinking/(working on) about something else  ), however overall the tax legislature does favor the rich.


Fri, 05/20/2011 - 12:35 | 1295850 hurdygurdypauli...
hurdygurdypauliepoodle's picture

As much as the comments here can be assinine and childish, yours is terribly elitist and ignorant. That mentality is the problem. In a supposedly capitalist society that your country falsely calls itself, where the rich get richer and the poor get poorer, and middle class is disappearing means something is wrong.

The rich are happily determined to keep it that way, and have been quite literally stealing it, hoarding it and off shoring it. They have been given tax breaks and credits so that the wealth could trickle down and jobs be created and yet to date it hasn't happened.

The rich eat all the pie and don't even leave crumbs. And if there not enough pie to gobble up,, they create one out of thin air... like the ludicrous LinkedIn lunacy, where the rich dupe the public into buying crumbs of their crappiest pie... The ultimate rich get richer scenario, while screwing whoever they can along the way.

Fri, 05/20/2011 - 15:01 | 1296407 DaveyJones
DaveyJones's picture

You obviously are not familiar with the nature of the universe

Fri, 05/20/2011 - 16:36 | 1296691 Ben Dover
Ben Dover's picture

As we all know, it isn't a closed system. But I would argue that it is a fixed one.

Fri, 05/20/2011 - 12:03 | 1295720 Ying-Yang
Ying-Yang's picture

Where is Robin Hood when you need him and his merry band?

Fri, 05/20/2011 - 10:46 | 1295357 swissaustrian
swissaustrian's picture

There will be billions of millionaires in $ terms soon - so what?

Fri, 05/20/2011 - 10:47 | 1295367 downwiththebanks
downwiththebanks's picture

So lots of people are getting their foreclosed upon by these parasites.

Fri, 05/20/2011 - 11:04 | 1295443 blueRidgeBoy
blueRidgeBoy's picture

you must have missed Mark Lapolla's comments yesterday about squatters in your house for 18+ months for free while the bank crawls through the foreclosure process also sounds like parasitic behavior to me.  I'm sure they feel entitled...

Bottom line, greed on the part of lenders AND borrowers is the root cause.

Fri, 05/20/2011 - 11:19 | 1295500 Clampit
Clampit's picture

Fallible / corrupt [i.e. human] management of the currency is the root cause.

Fri, 05/20/2011 - 11:25 | 1295518 downwiththebanks
downwiththebanks's picture

Why is the bank crawling through the process? Just produce the paperwork and a corrupt judge will have no problem tossing people on their asses.

That you're placing blame for the real-estate crisis on both sides equally reveals all one needs to know about which side you're on.

Fri, 05/20/2011 - 12:42 | 1295861 hurdygurdypauli...
hurdygurdypauliepoodle's picture


Fri, 05/20/2011 - 12:51 | 1295904 Shock and Aweful
Shock and Aweful's picture

+ 14,500,000,000,000,000


Fri, 05/20/2011 - 12:04 | 1295712 MrBoompi
MrBoompi's picture

Maybe borrowers can be blamed for 5% of the housing crisis and recession, but that's probably way too high.

I'm sure you would blame the speculators for high commodities prices instead of the Federal Reserve's monetary policies too.

Fri, 05/20/2011 - 12:26 | 1295816 cdskiller
cdskiller's picture

So, if the doors to a local store have been blown out by a big-wig criminal, is looting okay? If a stranger next to you is not watching his wallet should it be legal to take it? If the law allows you to place a bet that eventually the market will discover that the million dollar piece of art you sold is a counterfeit, does cashing in on that bet absolve you of the crime of fraud?

Fri, 05/20/2011 - 12:31 | 1295826 Ghostbusters
Ghostbusters's picture

i for one have respect for anyone that can stick it to the bank or the government.  I have respect for the law but not their laws.  public policy caused this mess and that means laws.  what was his name, greenshart or was it greenspan?  what about the "american dream" of owning your own home...who invented that, the people? sounds like marketing to me or more aptly named propaganda.  take a mortgage and become a slave to the bank as a sub-prime borrower.  want to go to university we have a servant loan program for that...then zero-down, ARM, CDO's, and the like...this is all about public policy controlled by private interests accompanied by a lack of representation on behalf of the taxpaying middle class...i refinanced auto loans for citi in 2006 as a summer job from 21% to 18% and a longer term.  i was doing my job but i understood basic finance and would tell people the truth.  the truth is that most people dont understand, the banks are there to take your money like a used car salesman, and the government creates laws to benefit the "big guys" who are coincidentally their friends who give them jobs after politics, positions to their wives, or expensive whores. the government knew many people couldnt pay and so did the banks but that didn't stop the credit or loan processing but what do you think is going to happen when a crack addict has all the crack, credit => profits, but then being a zerohead, we know that the banks/elites/execs own the government so it they are really stacking their own deck...can you say nationalization...they get richer and we pick up the tab, genius.  we all know the problems, the symptoms, the causes which makes all this semantics.  the question becomes how do we take it down?  How can we pay taxes to these governments?

Sat, 05/21/2011 - 08:37 | 1297927 VodkaInKrakow
VodkaInKrakow's picture

Don't be jealous. After all, no one asked the banks to so thoroughly screw-up the mortgage process (which had worked well for centuries) as much as they did. It was as if the banks but a revolver to their head and not only manage to shoot themselves, but to fire all six rounds into their head.

Banks f*cked it up. Their actions led to those 'parasites' being able to do so. And, just who f*cked up the entire global economy? I believe, it was the very same morons in the banks knowingly approving bad loans - that had a large hand in screwing the world. No one asked them to approve bad loans. They did it themselves.

Those morons deserve to burn. And those 'parasites' deserve to live rent free for as long as possible. After all, I don't recall anywhere in the regulations where the potential homeowner ends up walking into the bank and giving him or herself the ability to approve their own loans. Nope. Nowhere. Doesn't exist.

Banks did it. Time to burn.

Fri, 05/20/2011 - 10:47 | 1295369 Id fight Gandhi
Id fight Gandhi's picture

USA, where everyone is a millionaire, and a million bucks can buy you a gallon of gas.

Zimbabwe printed 100 trillion dollar bills. It cost 150 billion to buy two eggs.

Fri, 05/20/2011 - 10:51 | 1295388 blueRidgeBoy
blueRidgeBoy's picture

+1.  "Zimbabwe - where everyone's a millionaire".  Coming soon to your neighborhood!

Fri, 05/20/2011 - 11:44 | 1295603 mayhem_korner
mayhem_korner's picture

Meredith Veira's new game show: Who Wants to be a Zimbabwean?

Sat, 05/21/2011 - 08:40 | 1297930 VodkaInKrakow
VodkaInKrakow's picture

Possibly coming in the next year or few... Who Wants To Be An American Millionaire.

I will be laughing my ass off when the Polish zloty reaches parity with the dollar. Then you know America is a peasant nation full of landlords and serfs. I will be laughing my ass off even more if it takes a few Polish zloties to exchange for a few million dollars.

Sat, 05/21/2011 - 08:40 | 1297931 VodkaInKrakow
VodkaInKrakow's picture

Possibly coming in the next year or few... Who Wants To Be An American Millionaire.

I will be laughing my ass off when the Polish zloty reaches parity with the dollar. Then you know America is a peasant nation full of landlords and serfs. I will be laughing my ass off even more if it takes a few Polish zloties to exchange for a few million dollars.

Fri, 05/20/2011 - 11:13 | 1295491 malek
malek's picture

What's a million nowadays? And what will it be like in 2020?

Fri, 05/20/2011 - 11:22 | 1295521 Mountainview
Mountainview's picture

In Dollars, but what about the Dollar?

Fri, 05/20/2011 - 11:29 | 1295536 Michael Victory
Michael Victory's picture

Hooks @ the IMF.

Blow under the hood.

A quadrillion in derivatives.


Rome falls.

Fri, 05/20/2011 - 10:43 | 1295358 LawsofPhysics
LawsofPhysics's picture

Bah ha.  These guys better make sure they understand what real wealth is.  Paper is paper.  And the fact that some fucknut with a degree from harvard just made a lot of it for them by no means they are wealthy.  Hedge accordingly.

Fri, 05/20/2011 - 10:50 | 1295370 SheepDog-One
SheepDog-One's picture

Lets see what their paper does for them when they have to hide in the cellar for the rest of their lives due to bands of marauding rioters with ropes and guns.

Fri, 05/20/2011 - 11:41 | 1295607 Captain Planet
Captain Planet's picture

and guillotines....

apparently they have one on display on the outskirts of Berlin, near where Hitler was contemplating his last moves...



Fri, 05/20/2011 - 14:09 | 1296235 downrodeo
downrodeo's picture

you're not your job, you're not how much money you have in the bank, you're not your fu@#!ng khakis...

Fri, 05/20/2011 - 10:50 | 1295368 EscapeKey
EscapeKey's picture

The great news about that is that a whole lot of new jobs in "law enforment" will be required to keep public order.

Fri, 05/20/2011 - 10:48 | 1295376 Id fight Gandhi
Id fight Gandhi's picture

Maybe private security. But many places are laying off their force because they're broke. Rich won't want to pay taxes to some cop for regular people.

Fri, 05/20/2011 - 10:51 | 1295371 6 String
6 String's picture

I think given the CAGR of the Russell 2000 the estimates are off a bit: global wealth should surpass at least 999 trillion or much more by 2020.

Fri, 05/20/2011 - 11:26 | 1295532 SheepDog-One
SheepDog-One's picture

We're already well past $1 quadrillion in debt....guess they better kick the printing machines into high gear.

Fri, 05/20/2011 - 10:51 | 1295375 centerline
centerline's picture

Complete bullshit.  This makes the fatal assumption that game just keeps chugging along.  90% or more of "millionaires" will be wiped out and wont see it coming.  Either that, or we will all be millionaires... too bad a loaf of bread will cost a million dollars.

Fri, 05/20/2011 - 10:58 | 1295404 downwiththebanks
downwiththebanks's picture

That's speculation.

The reality is the right now wealth is being stolen and transferred at an extraordinary rate. 

Fri, 05/20/2011 - 10:59 | 1295422 topcallingtroll
topcallingtroll's picture

so I am a thief because I have money?  I am not a banker.

Fri, 05/20/2011 - 11:20 | 1295488 downwiththebanks
downwiththebanks's picture

I don't do anecdotes.  And I don't give a tenth of a shit about you.

I'm saying precisely what I'm saying:  wealth is being stolen from the masses who work for a living in all sorts of ways.

People here couldn't care less because they're getting PAID. Others don't care because, like the 21 May Apocalypsos, they're consumed by visions that at some time in the distant-or-not-too-distant future, when the world explodes, the rich will get theirs ... maybe.

Both are stunningly poor examinations of the real world.

Fri, 05/20/2011 - 11:13 | 1295492 SMG
SMG's picture

Depends on how you made it.  The oligarchy are enslaving and centralizing everything using their fractional fiat central banking system and making money and gaining power from it.  The fiat ultimately has no value, it's just a con on the people who give up their valuable productive assets for it.  No question that is immoral. 

Decentralization and asset backed money would be a great way to put an end to this thievery.

Fri, 05/20/2011 - 12:08 | 1295740 Bangin7GramRocks
Bangin7GramRocks's picture

You are not a thief because you have money. However, that $700,000 stock portfolio that you brag about to your friends would be $100,000 if not for all the bullshit manipulation of the past 2 years. And if you are a business owner and do not pay a living wage because the "market" only demands 9 dollars an hour, than you are a scumbag and a thief.

Fri, 05/20/2011 - 12:47 | 1295900 hurdygurdypauli...
hurdygurdypauliepoodle's picture

Was going to comment, but you said it in a nutshell! 

Sat, 05/21/2011 - 00:18 | 1297568 longorshort
longorshort's picture

Wow you bash him because he was one of the few people who make wealth in the markets.  You really would not like to see how much I made shorting the top of the market in 08.  Its really sad no one really dicusses how to setup trades on these huge bubbles here.  There is lots of money to made from their blowing and collapse.

Sat, 05/21/2011 - 01:03 | 1297651 blunderdog
blunderdog's picture

Yeah, but some of us would prefer not to be parasites.  It's a personal thing.  The business doesn't figure into it.

Fri, 05/20/2011 - 12:29 | 1295817 centerline
centerline's picture

No disagreement there.  But, the majority of the wealth being stolen is in paper assets.  Unless converted to real wealth at some point, it will be vaporized.  The majority of "millionaires" around the world are not "in the know."  Hell most of them aren't much different than J6P.  These folks will be wiped out en masse when the fiat experiment ends.

Fri, 05/20/2011 - 14:13 | 1296258 Aquiloaster
Aquiloaster's picture

The simplest definition of capitalism is making capital from capital (wealth from wealth). Bracket just for a moment many of the other things we associate with capitalism (free markets, individualism, competition), because some existed prior to capitalism (free markets e.g. silk road trading and competition e.g. between guilds in the middle ages) and some were added on afterward (individualism). Let's imagine running simple computer simulation in in which capital generates more capital, and let's begin with a few (10/100) individuals having modest amounts, most having having almost nothing (70/100), and some having absolutely nothing 10/100 (aristocrats vs. commoners vs. slaves). This reflects the arragement of the world at the start of capitalism. After a few hundred iterations of this simulation, you would find that the aristocrats had incredible amounts of wealth (Rockefellers, Rothschilds, Carnegies), which made the modest gains of the commoners (you and me) pale in comparison, while the ones who started with nothing (Native Americans and the descendents of slaves) still have nothing. Why is anyone surprised that in a system where capital generates more capital, that the rich get richer? It is inherent to the system. 

Fri, 05/20/2011 - 10:53 | 1295380 Sophist Economicus
Sophist Economicus's picture

The only way for this simplistic, linear extrapolation to work is for the Dumb to get Dumber and/or the Lazy to get Lazier....Oh wait...Sorry...

Fri, 05/20/2011 - 11:14 | 1295495 SWRichmond
SWRichmond's picture

this simplistic, linear extrapolation

Agree, it is based on a continuation of the status quo central bank / command economy for the next ten years.  Not likely during a reserve currency shift.

Fri, 05/20/2011 - 11:45 | 1295550 downwiththebanks
downwiththebanks's picture

By "command economy," I assume you mean that the banker-gangsters issue commands and their servants serve.

Fri, 05/20/2011 - 10:50 | 1295381 SheepDog-One
SheepDog-One's picture

'Millionaires, Billionaires, and how much more 'wealth' by whatever date, all irrelevant when food is not available at any price and youre likely to get killed if you go outside. 'Wealth' my ass.

Fri, 05/20/2011 - 10:59 | 1295409 downwiththebanks
downwiththebanks's picture

Pure speculation:  wealth is being stolen from the working masses by the banker-gangsters.

That's what's happening NOW.  

Fri, 05/20/2011 - 10:57 | 1295413 Franken_Stein
Franken_Stein's picture


It's paper wealth, but no real wealth.


It's an illusion.

Fri, 05/20/2011 - 11:03 | 1295440 downwiththebanks
downwiththebanks's picture

Except that you can satisfy your material needs with that 'illusion'.

What shameless apologetics.

If money is worthless, then what's the point of chasing it like a bunch of marauding brigands?

Fri, 05/20/2011 - 11:23 | 1295523 LawsofPhysics
LawsofPhysics's picture

Except that you can satisfy your material needs with that 'illusion'. -  Really?  Out of the 7.5 billion people on the planet, how many of them would you say are satisfying even their nutritional needs right now.  Go back to sleep my good sheep.

Fri, 05/20/2011 - 11:34 | 1295555 downwiththebanks
downwiththebanks's picture

Provided they do not grow it, how do people obtain food?

Fri, 05/20/2011 - 11:58 | 1295693 LawsofPhysics
LawsofPhysics's picture

Exactly, thanks for helping to make my point.  Americans buy their food with fiat.  Ever been to Russia, China, India, Pakistan, Brazil, New Zealand?  There are tons of Bazars where people trade for food or grow their own.  Ever been to the Philippines or Indonesia? Do some homework, while the U.S. benefits from VERY efficient and productive farming methods (that are propped up by CHEAP OIL) the rest of the world DOES NOT.  Look what just happened the cost of food in Germany.  Get out of your little bubble dude.  Yeah, that paper just got a lot less valuable with respect to food.  Do what you like, I'll continue to hedge accordingly.

Fri, 05/20/2011 - 11:27 | 1295539 SheepDog-One
SheepDog-One's picture

Material needs like IPads?

Fri, 05/20/2011 - 11:39 | 1295566 downwiththebanks
downwiththebanks's picture

Just because it's true of your little circle, not everyone is an Overprivileged, Whiteboy banker-gangster.

Believe it or not, some people are struggling to get by. I know that's hard to fathom when everyone's making BANK in your solipsistic fantasyland, but it's true.

Fri, 05/20/2011 - 12:00 | 1295701 LawsofPhysics
LawsofPhysics's picture

Wait what?  What kind of hypocrite are you?  You defend fiat but then hate the banks?  Banks LOVE fiat (they control it).  Wake the fuck up!

Fri, 05/20/2011 - 13:11 | 1295880 downwiththebanks
downwiththebanks's picture

I'm not defending fiat. I am, however, acknowledging that RIGHT NOW, having fiat in my hand enables me to buy the food, clothing, shelter, transit, and communication costs needed for survival. I'm not so blind, then, to miss the fact that NOT having fiat means - most of the time - NOT being able to afford those things.

And with every-increasing rapidity, that fiat is being taken from those who produce by those who sponge off of them. This is no way ignores that fiat loses purchasing power gradually (or not so gradually).

While people behave as though cash-money is worthless, I recognize that fiat still has value in the material world. I'm going to take some of that fiat to the market tomorrow, in fact, and buy food for the week.

Using the 'fact' that an apocalypse spelling the end of fiat will inevitably come to explain away the REDISTRIBUTION OF WEALTH upwards is disingenuous and hypocritical (not to mention dumb).

ESPECIALLY when peeps cried like little girls with skinned knees over the thought of the the EVIL Tobin Tax.

Fri, 05/20/2011 - 12:08 | 1295727 mayhem_korner
mayhem_korner's picture

If money is worthless, then what's the point of chasing it like a bunch of marauding brigands?

It gives the illusion of worth to those who have it.  The ultimate ponzi scheme is the one of personal worth. 

Fri, 05/20/2011 - 12:44 | 1295872 LawsofPhysics
LawsofPhysics's picture

Yep, in short, having real wealth may simply come down to having the ability and drive to create something of real value everyday.

Fri, 05/20/2011 - 13:40 | 1296108 VisualCSharp
VisualCSharp's picture

I have always said that a person is not wealthy based on what money or possessions they have, but rather by what they are able to produce and contribute to the world, whether it be goods, services, knowledge, wisdom, etc.

Fri, 08/12/2011 - 03:36 | 1553511 mediahuset
mediahuset's picture

airstream trailers

If most people wrote about this subject with the eloquence that you just did I'm sure people would do much more than just read they act. Great stuff here. Please keep it up.

Fri, 05/20/2011 - 12:49 | 1295895 downwiththebanks
downwiththebanks's picture

So people work 20 hours a day, stabbing their grandmother in the back and stealing her purse in pursuit of an illusion.

Wars are fought over illusions. Riots occur over illusions.


Fri, 05/20/2011 - 12:48 | 1295899 mayhem_korner
mayhem_korner's picture

Your bravado is an illusion.

Fri, 05/20/2011 - 10:53 | 1295382 NorthenSoul
NorthenSoul's picture

Short of this study.

"This is the actual trend. The trend will continue, all things being equal.

All things won't stay equal but we pretend they'll do anyway damnit, because it makes our modeling so much more elegant and clean."


Where is the air bag when you need it?

Fri, 05/20/2011 - 10:50 | 1295383 cxl9
cxl9's picture

You mean education, hard work, and good life-choices will continue to pay off in the coming decade? Oh, no. I'm sure the U.S. government will figure out a way to put a stop to that.

Fri, 05/20/2011 - 10:57 | 1295401 blueRidgeBoy
blueRidgeBoy's picture

you're right.  This site has an interesting mix of libertarians and Marxists.  I haven't quite figured it out yet.  If all we're going to talk about is class warfare, I'll take my eyeballs somewhere else...

Fri, 05/20/2011 - 11:00 | 1295416 topcallingtroll
topcallingtroll's picture

I have to agree.

Fri, 05/20/2011 - 10:58 | 1295417 Alcoholic Nativ...
Alcoholic Native American's picture

As buffet said, class warfare is as old as recorded history, and the rich are winning.


Extra dots for dramatic effect.......

Fri, 05/20/2011 - 13:41 | 1296121 VisualCSharp
VisualCSharp's picture

MORE DOTS, MORE DOTS! Okay stop dots.

Fri, 05/20/2011 - 10:58 | 1295419 downwiththebanks
downwiththebanks's picture

Sorry to upset your sensibilities with these silly discussions of material reality, but what are we to conclude by this study OTHER than Class War is proceeding according to plan for those who rule?

Fri, 05/20/2011 - 11:02 | 1295432 topcallingtroll
topcallingtroll's picture

You have no idea who most of the people are who have one million to two million dollars.  They are not the rich plutocrats.  They are the heart of the economy. 

Go ahead and kill the USA economy with socialism like they have done in Europe.  Most of us have useful skills that can be used elsewhere.  You will not get more of my money no matter how high my taxes go.

Fri, 05/20/2011 - 11:10 | 1295455 downwiththebanks
downwiththebanks's picture

 The people you attack daily on this website are the heart of the economy, not their blood sucking owners.  Not that you have any idea they exist, apologist.  

To be the heart of the economy means you actually PRODUCE something.

Now, run along:  Jamie Dimon needs a shoe-shine.

Fri, 05/20/2011 - 11:15 | 1295487 topcallingtroll
topcallingtroll's picture

So I am a thief because I have worked hard and have a little scratch?

I am not anywhere near Jamie Dimon's class.  It is not wise to lump moderately successful people along with the plutocrats.

The only people I attack are people who think I steal their money and people who think they deserve to take my money because they are "special."

Fri, 05/20/2011 - 11:25 | 1295528 downwiththebanks
downwiththebanks's picture

I didn't put you in his class. I said he needed you to shine his shoes.

As I said above, I don't do anecdotes and I don't give a shit how much money you have. You're simply trying to deflect attention away from the larceny of the ruling class, as that is your role here.

Fri, 05/20/2011 - 12:48 | 1295902 Astrolabe
Astrolabe's picture

ok, i'm new around these parts.

i understand (and agree, quite honestly) with the argument that the elite are parasites stealing any and all wealth that isn't nailed down.

but i am interested in hearing the other side of this argument. unfortunately, ideoligical robots such as topcalling troll (and i understand ideological robots, i used to be one) never put forth an actual argument, that i can see, that accounts for the demise of the middle class / expanse of the wealth of the oligarchy over the last decades.

an actual argument might look something like: "finally, all of the john galt type supermen producers are breaking free of the parasites that held them back, and therefore receiving more of what was always rightfully theirs to begin with" or something like that. i don't hear anyone saying that. i don't hear any accounting for this massive transfer of wealth by the right. (and if the preceding is the argument, i would be pleased to tear it to shit.)

so anyone care to step forth and make the counter-argument? topcalling troll, could we have your accounting of the massive flow of wealth to the top over the last few decades? what is your macro account of this?

sincerely interested !


Fri, 05/20/2011 - 19:43 | 1297015 sun tzu
sun tzu's picture

Hey dumbass, do you really think George Soros, Bill Gates and Warren Buffett are right wingers? You couldn't possibly be that stupid unless your mother dropped you on your head a few dozen times. 

Why don't you ask Tim Geithner about the money being transferred to the bankers? Why don't you ask Ben Bernanke? Which democrats in congress are critical of Geithner and Bernanke? None. They are all his bootlicks. 

Sat, 05/21/2011 - 00:24 | 1297575 longorshort
longorshort's picture

Go away angry gay man.

Fri, 05/20/2011 - 11:15 | 1295485 blueRidgeBoy
blueRidgeBoy's picture

you're right.  There's no other conclusion a reasonable person can reach from this Deloitte study other than the rich are parasites who owe their success solely to the exploitation of the poor.  There are certainly places in this world where this sentiment prevails...I didn't think the US was one of them (yet).

Fri, 05/20/2011 - 11:30 | 1295535 downwiththebanks
downwiththebanks's picture

Profit doesn't fall from the heavens. It accumulates due to real forces in the real world.

That you'd prefer to ignore that truism is hardly the concern of anyone here.

Fri, 05/20/2011 - 12:55 | 1295917 Astrolabe
Astrolabe's picture

more broad-stroke boiler plate from the right. please see my request above, for an actual argument / explanation re: the massive transfer of wealth upward over the preceding 3 decades or so.

i am sincerely interested in your opinion on the matter. i am not interested in ideological white-wash.


Fri, 05/20/2011 - 13:06 | 1295955 hurdygurdypauli...
hurdygurdypauliepoodle's picture

But, your country once was a country of good people all vying for the American dream... and it was possible to go from rags to riches with hard work.  The American dream died with Reaganomics... the fallacy that debt is good and regulations are bad; those myths  are still being perpetuated ad nauseum and in favour of banks and large Corporations.




Fri, 05/20/2011 - 19:46 | 1297018 sun tzu
sun tzu's picture

Yeah nobody ever got rich again after Reaganomics. The owners of Microsoft, Google, Amazon, Yahoo etc are all dirt poor.

PS - You're a fucking moron

Sat, 05/21/2011 - 00:22 | 1297578 longorshort
longorshort's picture

yes same post different words angry gay man.

Fri, 05/20/2011 - 19:44 | 1297019 sun tzu
sun tzu's picture

You're right. The rich stole all the wealth that the poor have. The poor people have no money or assets and the rich stole that non-existent money and assets from the poor. Then they pulled a rabbit out of the magic hat

Sat, 05/21/2011 - 00:25 | 1297581 longorshort
longorshort's picture

Are you an angry gay man or a very angry gay man.

Fri, 05/20/2011 - 11:03 | 1295439 topcallingtroll
topcallingtroll's picture

You are bad bad bad if you get educated, work hard, have self discipline, and save your money, and make good life choices.

Fri, 05/20/2011 - 11:15 | 1295499 tmosley
tmosley's picture

That's not how the super wealthy get wealthy, save in a few circumstances. Most of those people get to be super wealthy through "pull" in Washington.

Sam Walton would roll over in his grave if he knew what heinous crimes his heirs have committed (namely accepting and ENCOURAGING new regulations and medical care mandates for part time workers, a move which would crush their smaller competition).

Of course wealth != corruption (!= means does not equal), but the correlation has been quickly and steadily rising.

Fri, 05/20/2011 - 11:31 | 1295542 downwiththebanks
downwiththebanks's picture

You mean Sam "Buy American" Walton?

Fri, 05/20/2011 - 19:45 | 1297020 sun tzu
sun tzu's picture

Who chose not to buy American? 

Sat, 05/21/2011 - 00:39 | 1297604 longorshort
longorshort's picture

I dont know angry gay man but where were your undies made?

Fri, 05/20/2011 - 11:39 | 1295568 Clampit
Clampit's picture

If wealth != corruption, then wealth < $10~100M.

At current valuations it's impossible to amass $billions without exploiting one of Benjamin Tucker's four monopolies.  

Fri, 05/20/2011 - 19:49 | 1297026 sun tzu
sun tzu's picture

There was a woman who had worked at Texas Instruments for 40 years. She had nothing more than a high school education. She worked in a wafer fab and never made management. She would buy company stock at discount whenever it was offered. When she died, her sons found out she was worth nearly $2 billion. 

Fri, 05/20/2011 - 21:08 | 1297207 blueRidgeBoy
blueRidgeBoy's picture

Well there can be only one possible explanation: she was a blood-sucking corrupt parasitic rich person who deserves to be relieved of her wealth by all the ZH readers who are entitled to it more. And the poor. Don't forget the poor.

Sat, 05/21/2011 - 00:24 | 1297579 longorshort
longorshort's picture

were you the angry gay son who got left out of the will?

Fri, 05/20/2011 - 11:37 | 1295569 SMG
SMG's picture

No. of course not.  Don't know you and if you've done those things certainly you deserve success.  Are you telling me George W Bush deserves his wealth?  Those things don't describe him at all.  He was connected to the oligarchy and there in lies the problem. How about all the "investors" out there with intimate inside information.  Do they deserve it?  The connected people are taking too much.  1 in 4 people can't even afford to feed themselves.  Real unemployment is north of 20%.  One million people applied for 50,000 McDonalds jobs.  Save money you say?  How about .5% interest with double digit necessity inflation. The oligarchy has enslaved us.

We need massive financial decentralisation.  We need personal freedom.   This will not happen as long as most of the power is in the hands of the oligarchy.


Fri, 05/20/2011 - 11:38 | 1295574 SMG
SMG's picture

No. of course not.  Don't know you and if you've done those things certainly you deserve success.  Are you telling me George W Bush deserves his wealth?  Those things don't describe him at all.  He was connected to the oligarchy and there in lies the problem. How about all the "investors" out there with intimate inside information.  Do they deserve it?  The connected people are taking too much.  1 in 4 people can't even afford to feed themselves.  Real unemployment is north of 20%.  One million people applied for 50,000 McDonald's jobs.  Save money you say?  How about .5% interest with double digit necessity inflation. The oligarchy has enslaved us.

We need massive financial decentralisation.  We need personal freedom.   This will not happen as long as most of the power is in the hands of the oligarchy.


Fri, 05/20/2011 - 11:46 | 1295613 tahoebumsmith
tahoebumsmith's picture

I agree Troll, if you are a business owner that started from scratch and hired on more and more Americans year after year as your business flourished, bravo. This is the American Dream and anybody who made their millions in this fashion should be complimented. However if you're a greedy bloodsucking leech that invested other peoples money in the Casino and reaped fictitious profits by pumping up the Fascist Cronies at the demise of others losses then you are nothing more then a thief. Just remember that if it wasn't for the uneducated majority of American taxpayers bailing out the financial industry only a few short years ago, there would be no financial millionares because they would have lost everything and their money pumping Cow would have been laid to rest in the pasture...

Fri, 05/20/2011 - 12:58 | 1295929 Astrolabe
Astrolabe's picture

thank you for the boot-strap stuff. to this i say: um, duh. hard work is important, for everyone, for every every profession. even for theives.

but i challenge you to explain what accounts for the massive transfer of wealth upwards over the last several deacades in the United States.

Fri, 05/20/2011 - 11:34 | 1295564 Bangin7GramRocks
Bangin7GramRocks's picture

You douche! Contrary to popular Republican beliefs, there were country clubs, yachts and butlers for you fucks before Reagan lowered taxes, deregulated everything and outsourced millions of jobs. I don't begrudge success. However, I do have a problem with the extreme concentration of wealth in the hands of the top 1% of the population.

Fri, 05/20/2011 - 10:52 | 1295393 Alcoholic Nativ...
Alcoholic Native American's picture

The rich get richer in their sleep.

Fri, 05/20/2011 - 11:01 | 1295421 LawsofPhysics
LawsofPhysics's picture

Yep, but they will have to spend more of that "passive interest" (i.e. money they get for doing nothing or adding NO REAL value to the economy) on security.

Fri, 05/20/2011 - 10:53 | 1295397 doggis
doggis's picture


what happened to your contrarian view. The pendulum swings both ways, and this of course would qualify  as a top tick in accumulation(paper assets) ~ which of course means that paper assets are about to have the rug pulled out from underneath. so 2020 should see exactly the opposite ~ the concentration of wealth will drop for the richest ~ implying that wealth will have to be distributed to labour to prevent "LA GUILLOTINE" from happening to all the worlds wealthy....

Fri, 05/20/2011 - 11:03 | 1295424 downwiththebanks
downwiththebanks's picture

"Blah, blah blah ... in a decade ... blah blah blah."

The working masses are being looted here and now, and the only thing people seem to care about here is how it MIGHT turn around SOMETIME in the future.  

Cop out.

Fri, 05/20/2011 - 11:07 | 1295445 Tyler Durden
Tyler Durden's picture

Last I checked this study did not analyze the impact of "rugs getting pulled out" or "guillotines" swinging, but perpetuating the status quo, which is what the commentay is based on.

As soon as a study is conducted looking at how the pendulum will swing the other way (hint never, or not until it happens), we will let you know.

Fri, 05/20/2011 - 10:54 | 1295402 Monedas
Monedas's picture

Back off bunch of pumped up silver bitchez ! A millionaire is 50,000 double eagles or 1,000 bags of 90% coins ! Time for an ego check ! How many real millionaires are there ??? Monedas 2011

Fri, 05/20/2011 - 10:59 | 1295410 topcallingtroll
topcallingtroll's picture

You should read the book the millionaire next door.


Most of the people at the low end, one million dollars, have worked very hard for that, they are conservative, disciplined, and usually stay married to their first wife.  They are not ostentatious.

Don't lump them in with the plutocrats, because the hardworking millionaires keep the economy going and pay a huge amount in taxes already.

Treating economics as a zero sum game is how the whole society ends up poor.


I guarantee you that the hardworking low end "millionaire" will go Galt on you instantly if the theft of property gets more coercive than it already is.


Some of you lazy fucking bitchez need to quit complaining and get out and work for your own million dollars.  If you don't want to work that hard for it, then don't ask me an others to simply hand over our property to you because some how you "deserve" it.

Fri, 05/20/2011 - 11:01 | 1295426 LawsofPhysics
LawsofPhysics's picture

Yep.  But then the economic model we all still use depends on infinite growth in a very finite system.  Good luck with that.  Just saying, hedge accordingly, protect the wealth you have worked hard for.

Fri, 05/20/2011 - 11:06 | 1295441 SheepDog-One
SheepDog-One's picture

Yea a few years ago I knew about 20 of those guys, 'millionaires next door' with the F-250 pickup, contracting company, played by all the rules and their 'assets' mostly their home and business assets are now completely wiped out. Wife left em soon as money got real tight, one of them still mows lawns I hear after his landscaping company got wiped out by illegals. Rest of the building contractor 'millionaries' are of course totaly wiped out now. Oh well.

Fri, 05/20/2011 - 11:05 | 1295451 topcallingtroll
topcallingtroll's picture

Nothing is guaranteed.  Probably should not have been so over levered.

Fri, 05/20/2011 - 11:11 | 1295476 SheepDog-One
SheepDog-One's picture

Sorry, couldnt tell anyone 5 years ago 'Hey, this house value bubble will soon crash' oh no, it could only go UP! Just like today, everyone convinced the 'wealth bubble' supported only by vast mountains of newly printed fiat 'wealth' can only go UP!

Fri, 05/20/2011 - 13:05 | 1295951 blunderdog
blunderdog's picture

Asshole: no one begrudges "the millionaire next door" anything.

The thing you continually seem unable to wrap your brain around is the fact that "the millionaire next door" is just another middle-class fuck.

He ain't rich by a long shot.  YOU ain't rich by a long shot.  You get all ruffled anytime someone says "fuck the rich" because you're fooled into thinking you're one of them.

You're not.  You're just one of the better-off peasants. 

Deal with that, dude.

Fri, 05/20/2011 - 13:05 | 1295953 Astrolabe
Astrolabe's picture

i should take that as no, you will not provide an accounting for the massive transfer of wealth upwards over the last decades?

you are good only for anecdotal / micro stuff ?

no shame in that, you are not required to have an explanation.

Sat, 05/21/2011 - 01:06 | 1297657 Urban Redneck
Urban Redneck's picture

Go to China and or the Middle East.  Compare the buildings & roads now to 20 years ago.  The biggest wealth transfer in the US has been the trade deficit- tens of billions of dollars of American wealth enriching foreigners, month in and month out.

Sat, 05/21/2011 - 00:40 | 1297600 longorshort
longorshort's picture

I see so many expensive cars driving around the last 5 years.  I just want to ask the person.  How much do you make, did you buy that used or onlease?  Not to be rude but to know more for finding the next tops in the market.  Unforunately that book was written before this trend got quite large.  It would also be interesting to see leasing, vs buying and how many years the loans are from on new luxary dealership sales.  I would not doubht the have tacked on a year or 2 to the loan terms.

Fri, 05/20/2011 - 10:58 | 1295418 Seacap81
Seacap81's picture

The transfer of wealth is going to be a beautiful thing to behold, when those corrupt bastards who have millions and billions of dollars and digits in the bank wake up to empty accounts and voided wealth..........while those holding real physical wealth watch and behold as all that wealth drains right smack into their precious metals.

All in time, Folks, all in time!!!



Fri, 05/20/2011 - 11:04 | 1295429 downwiththebanks
downwiththebanks's picture

"... but for now, we'll just let the banker-gangsters loot people who actually work for a living."

Fri, 05/20/2011 - 11:00 | 1295425 RobotTrader
RobotTrader's picture

PigMen get richer

Little guy gets screwed.

Just look at the shenanigans they are playing today with OpEx.

CRM rocketing up to new highs with a 280 PE ratio.

Linkedin now the "stalwart" stock, pinned at $100, now the official "safe haven" in a "risk off" environment.


Fri, 05/20/2011 - 11:04 | 1295446 SheepDog-One
SheepDog-One's picture

You'll never be a PigMan Robo, no matter how much you want to be one.

Fri, 05/20/2011 - 11:15 | 1295486 HelluvaEngineer
HelluvaEngineer's picture

He'd settle for coke dealer or male prostitute

Fri, 05/20/2011 - 11:05 | 1295450 Id fight Gandhi
Id fight Gandhi's picture

Enjoy the trade.

But don't be delusional this will last forever or can't crash at any time.

Fri, 05/20/2011 - 11:04 | 1295427 InconvenientCou...
InconvenientCounterParty's picture

Just when I think Libertarians have any integrity or shame, I read the comments of ZH.

I see the human common denominatior set on full display.

Greed, envy, vanity, malice and at the end of the day a strong sense of entitlement. Did praying to white jesus do that to you, or was it some other external factor?

A fascist is a simply a greedy Libertarian.






Fri, 05/20/2011 - 11:05 | 1295453 Alcoholic Nativ...
Alcoholic Native American's picture

Don't worry, Jesus forgives them.

Fri, 05/20/2011 - 11:11 | 1295464 downwiththebanks
downwiththebanks's picture

We'll find out soon enough ... 

Fri, 05/20/2011 - 11:09 | 1295469 topcallingtroll
topcallingtroll's picture

We forgive you too for wanting to take our money even though you haven't earned it.

Fri, 05/20/2011 - 11:38 | 1295586 downwiththebanks
downwiththebanks's picture

Like Spain earned Potosi!

Fri, 05/20/2011 - 21:51 | 1297286 Peter_Griffin
Peter_Griffin's picture

Top, I think it is pretty obvious which class monetarily benefits the most from .gov.  Food stamps feed the poor, but the transaction is really .gov handing money over to the already subsidized agriculture and food production companies.  Do public employees ever buy cars, fill up gas, eat a dinner at McD's?  How would health care look if we didn't have public employees receiving health care bennies and old folks medicare/caid? 


It's obvious to see .gov is doing is filling the gap in our economy because of a lack of exports.  If .gov cheese really was benefiting the poor the most, would we be 14.5T in debt and poor folks still be poor?

Fri, 05/20/2011 - 12:29 | 1295818 Flakmeister
Flakmeister's picture

Hey IC, you noticed that as well?

Fri, 05/20/2011 - 11:04 | 1295430 RobotTrader
RobotTrader's picture

Gold breaking out in Euros today.

Fri, 05/20/2011 - 11:06 | 1295438 Quinvarius
Quinvarius's picture

That's it.  Fatten them up for the kill.  Seriously.  I hear they are delicious.

Fri, 05/20/2011 - 11:04 | 1295448 SheepDog-One
SheepDog-One's picture

Eat the Rich.

Fri, 05/20/2011 - 11:10 | 1295460 Quinvarius
Quinvarius's picture

People who look like food should not be pointing fingers.  LOL.

Fri, 05/20/2011 - 11:09 | 1295468 SheepDog-One
SheepDog-One's picture


Fri, 05/20/2011 - 11:11 | 1295475 LawsofPhysics
LawsofPhysics's picture

Look at some of the recent lawsuits on wall street.  The rich are already starting to eat each other from a financial prospective.  Who was that guy who work for Buffet again?

Fri, 05/20/2011 - 11:15 | 1295477 Mercury
Mercury's picture

Our forecasts suggest that, in 2020, 43% of the world’s wealth among millionaire households will be in the U.S. Opportunities for growth potentially exist via greater U.S. state penetration.

There are a lot of big fat assumptions in this article but come on, would you rather live in a country with the opposite prognosis?

Fri, 05/20/2011 - 11:47 | 1295639 TheAkashicRecord
TheAkashicRecord's picture

Yes, The State is surely penetrating all of us.

Fri, 05/20/2011 - 11:52 | 1295652 TheAkashicRecord
TheAkashicRecord's picture

Yes, The State is surely penetrating all of us.

Fri, 05/20/2011 - 11:14 | 1295479 brunolem
brunolem's picture

I don't remember that there were any billionaire in "Waterworld".

By 2020, a jar of dirt will be worth a million of whatever currency, and much more useful...

Fri, 05/20/2011 - 11:18 | 1295512 I am Jobe
I am Jobe's picture

Bury the fuckers with shit they collect and have just like the pharohs.

Fri, 05/20/2011 - 11:12 | 1295481 I am Jobe
I am Jobe's picture

France alll over I must say. Time to bring back the executioner. O never mind, Americans are too busy with Worshipping the King and IPADS and watching American Fucking Idol and being slaves.

Jamie Dimon Says Debt Default by U.S. Would Be ‘Catastrophic

Fri, 05/20/2011 - 11:30 | 1295551 SheepDog-One
SheepDog-One's picture

The american people DEMAND to be lied to, love being told to worship 'the king', and as long as theres plenty of outrage outlet over whatever talentless assclown got kicked off American Idle, all is WELL!!

Do NOT follow this link or you will be banned from the site!