Capital in the 21st Century

How a 700-page economics book surged to No. 1 on Amazon

"Capital in the Twenty-First Century" at first glance, seems an unlikely candidate to become a best-seller in the U.S. After all, it's 700 pages long, translated from French, and analyzes centuries of data on wealth and economic growth.

But the book, from economist Thomas Piketty, is now No. 1 on Amazon.com's best-seller list, thanks to rave reviews and positive word of mouth. Beyond that, however, the book has something else going for it: "Capital" has hit a nerve with Americans with its message about income inequality.

An economics book becoming a best-seller is "unusual, and it speaks to the fact that Piketty is addressing a really fundamental issue," said Lawrence Mishel, president of the Economic Policy Institute. "He has his finger on a great dynamic, and is changing the terms of our discussion. Rather than asking why low-wage workers are not doing well, it focuses on the wealthy and the role of capital."

The main thrust of the book is that, in the jargon of economists, the rate of return on capital has far outstripped the rate of economic growth. The book also portrays the post-World War II period of economic progress across all classes as an anomaly, not the norm.

The result: mounting income inequality, as the wealthiest Americans gain a growing share of the nation's economic spoils -- and political power.

With all that's going on in the world I thought I'd post this article about this rather interesting perspective on the economic world. I'm not sure I buy everything but it does make one think. The rich get richer while the poor stay poor and the middle class shrinks still further.

I'd like to hear from our more economically and financially astute members if at all possible.

a reply to: SLAYER69

Good morning Slayer.

I brought up this author in the depths of another thread the other day and was summarily dismissed as an idiot partisan Progressive shill/would-be-theif without a clue. I'm not a shill, no way (if only! I could use the income!), but it's true that I'm confused/baffled by how those that know have allowed this to happen (beyond psychopathy).

I happen to agree with the FACTS this man has presented. I so, so hope that you get a good reception and that your status gives others pause - I also want to hear what they say.

My grasp on economics is very pedestrian; I've never been really 'into' it - so I can't,with any authority whatsoever, address the issue on a level that would contribute much. But I'm not stupid; I'm watching, and frankly, I'm losing sleep over it.

Thanks, S/F. Sorry to have nothing else to add, except my appreciation of you posting this.
Well done.

Since you are calling for the economically intelligent, I have a question too. How many recessions, depressions, 08crashes, does it take to prove our form of capitalism is a failed and rigged system?

originally posted by: MOMof3
Since you are calling for the economically intelligent, I have a question too. How many recessions, depressions, 08crashes, does it take to prove our form of capitalism is a failed and rigged system?

You will never get the people that worship money to admit that our form of capitalism is a failure. But now there is corporatism in place of capitalism so the next step would be fascism.

a reply to: BuzzyWigs

I so, so hope that you get a good reception and that your status gives others pause...


JFC Johnny boy, how many people do you have on your payroll..?


On topic:

The capital we should be concerned with is Social Capital...

This book is better and much shorter...

bowlingalone.com...

a reply to: facelift

JFC Johnny boy, how many people do you have on your payroll..?

Is that "Just For Chuckles", and who are you calling Johnny boy?
I have no one on my payroll...I only wish I could get on someone else's. As it is, I am entirely dependent on my husband; my workload is caring for him (a veteran) and our home/animal companions. It works for us...but I'm sure others look down on me.
Thanks.

a reply to: BuzzyWigs

I care for a disabled husband too, but an elderly one. You hang in there darlin' and don't let anyone try to control your ideas.

a reply to: SLAYER69
The problem we run into is simple. Our economy is not capitalism anymore, it is cronyism.

The modern American economy is regulated in such a way that it makes it next to impossible to lose BIG OLD money. And all but impossible to ever get your hands on it if you dont have it.

As a direct result of those at the top taking all the gains from their workers labors, and sharing little if any of the profits with their workers. They have now eroded their customer bases to the point that they have no recourse to maintain their profit margins, by paying nothing, and outsourcing jobs to 3rd world countries, further eroding their customer base.

Now here in America we have most people working for walmart or mcdonalds wages.


I think all these problems could be solved very easily.

1. Flat 5% federal sales tax. There are no loop holes for the excessively rich to get out of paying taxes when it is a flat sales tax. No federal income tax at all.

2. Any business making over $1million US in annual profits, gets fined $50,000 for every worker they employ that receives federal assistance. Pay the guys making you all that money enough to live on, so the tax payers dont have to. ( there would have to be qualifiers though, like a business employing 10,000 folks and bringing in 1million in annual profits cant really pay much more per worker, or there would be any profits, but a business employing 4 people and making 1million annual profits could and should be paying their workers a decent wage.)

3. Absolutely no lobbying of any type at all. If a business does it, a large fine, based on a percentage of their profits, so that it will hurt large and small businesses on equal footing. (think speeding tickets, they should also be pecentage based, because a millionaire isnt even worried about them, a regular joe is, All should be.) Any politician that gets caught accepting bribes, yes bribes, that is what they are after all. Gets removed from office, and is barred from ever holding any public officer again, pending an investigation and potential prosecution, even county clerk is too lofty for these scum bags.

4. Audit and then kill the FED. Find out how bad they screwed us all over, end them, and move back towards commodities based monetary system. This debt based system is destroying many more than it helps. Actually it really only helps those at the top.

5. The banks are out of control, as well as wall street. In fact they are honestly colluding with eachother to pigeon hole all of us. Since they own the money, they own the politicians, who will give them a trillion dollars after they steal a couple trillion from all of us in our 401k accounts etc... They need to be brought back down to earth. We have anti monopoly laws for a reason. Being"too big to fail" sure sounds like a monopoly to me.

After all of this, we will finally be started on fixing our financial sustem.

There will be more reforms needed, but I think this is a good starting point.

a reply to: oblvion

Why can't they give us someone with ideas like this to vote for?

originally posted by: buster2010

originally posted by: MOMof3
Since you are calling for the economically intelligent, I have a question too. How many recessions, depressions, 08crashes, does it take to prove our form of capitalism is a failed and rigged system?

You will never get the people that worship money to admit that our form of capitalism is a failure. But now there is corporatism in place of capitalism so the next step would be fascism.

Corporatism is in itself a from of fascism. I think the next stage for the western world is the Petrodollar failure and technocracy controlled by the same people (feudal lord thru corporations) that controlled capitalism.

a reply to: MOMof3

Why can't they give us someone with ideas like this to vote for? - See more at: www.abovetopsecret.com...

I'm pretty sure Jesse Ventura would.
Have you watched any of his OTG shows?

a reply to: BuzzyWigs

I will check him out.

I appreciate the replies so far.