I just looked it up: The total amount of wealth (after debts) of all US households, individuals, and non-profits is right now in the neighborhood of $100 TRILLION. (The WSJ said $85 trillion, two years ago). Yes, you read that right, not 100 million, not 100 billion, but a hundred trillion dollars.
Are you impressed? It gets better! — or, at least, it could.
If we could somehow wave a magic wand and divide all that wealth equally among all 125 million US million households (source here for that #) well, after you cross out all those zeroes (or subtract exponents), then each and every single household would NET just about eight hundred thousand dollars.
$800,000 bucks for every single household.
Think about that!
A very large fraction of the population is in fact basically penniless – or they owe way more than they can earn in a year. Or are one or two paychecks away from eviction, foreclosure, bankruptcy, the whole nine yards. And I’m pretty sure this includes the black and brown immigrants who are cleaning and constructing our buildings, fixing our roads, driving our cabs, taking care of gardens and babies, and let’s not forget, picking our vegetables and fruits and slaughtering our meat. Yes, them, too.
I know there are going to be plenty of complaints that the poor and the underserving don’t deserve this, and when you give money to the poor, it’s all spent on booze and drugs. Well, if you let money sit in the hands of the super-rich, they simply cannot spend it all – one of the first things I learned from a very conservative Dartmouth College economics professor nearly 50 years ago. How many houses or yachts or cars can a single hyper-wealthy household actually USE?
Poor folks, on the other hand, spend it all immediately, so it gets transferred to other businesses (car dealers, furniture stores, clothing stores, and grocery stores) almost as soon as it gets into their hands.
Obviously my mental magic trick is never going to happen – but it’s sure fun to think about!