Will the United States Become a Kleptocracy?

“During the Presidential campaign, Trump asked Americans to remember when America was great: what his supporters had in mind were the 1940s, the 1950s, the 1960s, and the 1970s, decades when the gap between the wealthiest and the rest was shrinking. Between 1940 and 1980, the bottom 90% of American earners gained more wealth than the top 1% did. This condition of growing equality was what Americans remember with warmth as the time of American greatness. The welfare state was expanding in the 1950s and the 1960s. Wealth was more evenly distributed, thanks in large part to government policy.”

“Inequality of income and wealth grew drastically from the 1980s through the 2010s. In 1978, the top 0.1% of the population, about 160,00 families, controlled 7% of American wealth. By 2012, the position of this tiny elite was even stronger: it controlled about 22% of American wealth. At the very top the total wealth of the top 0.01%, about 16,000 families, increased by a factor of six over the same period. In 1978 a family in the top 0.01% was about 222 times as rich as the average American family. By 2012, such a family was about 1,120 times richer. Since 1980, 90% of the American population has gained essentially nothing, either in wealth or income, All gains have gone to the top 10%—and within the top 10%, most to top 1%, most to the top 0.1%, and within the top 0.1% most to the top 0.01%.”

“in the 2010s, the United States approached the Russian standard of inequality. Although no American oligarchical clan has yet captured the state, the emergence of such groups in the 2010s (Kochs, Mercers, Trumps, Murdochs) was hard to miss. Just as Russians used American capitalism to consolidate their own power, Americans cooperated with the Russian oligarchy with same purpose—the 2016 Trump presidential campaign, for example. Most likely Trump’s preference for Putin over Obama, was not just a matter of racism or rivalry: it was also an aspiration to be more like Putin, to be in his good graces, to have access to greater wealth. Oligarchy works as a patronage system that dissolves democracy, law, and patriotism, American and Russian oligarchs have far more in common with one another that they do with their own populations. At the top of the wealth ladder, the temptations of the politics of eternity will be much the same in America as in Russia. There is little reason to expect that Americans would behavior better than Russians when place in similar situation.”

HM thinks it would be more accurate to call these oligarchs kleptocrats. Kleptocracy is more accurate than oligarchy since most of this money has been stolen, stolen from the people and given the the precious few. The first post mentioned that the Soviet Union was communistic and regarded as leftist. Indeed, one of the former Kochs founded the John Birch Society to fight communism. The wealthy did not like communism because it took away their wealth. But Russia’s kleptocracy allows them not only to build their wealth, but also to build their influence and power.

Quotes are taken directly from “The Road to Unfreedom: Russia, Europe, America” by Timothy Snyder

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