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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsHedge fund billionaire Ray Dalio: 'Capitalism basically is not working for the majority of people'
Catherine Clifford 11:09 AM ET Wed, 16 Jan 2019
Quite literally, Dalio has built a fortune thanks to capitalism. But he's also keenly aware that it is a deeply flawed system.
"Capitalism basically is not working for the majority of people. That's just the reality," Dalio said at the 2018 Summit conference in Los Angeles in November.
Dalio made the comment about capitalism during a discussion about wealth inequality.
"Today, the top one-tenth of 1 percent of the population's net worth is equal to the bottom 90 percent combined. In other words, a big giant wealth gap. That was the same last time that happened was the late '30s," Dalio said. (Indeed, research from Emmanuel Saez and Gabriel Zucman of the National Bureau of Economic Research of wealth inequality throughout the 20th century, covered by The Guardian, bears this out.)
Further, Dalio points to a survey by the Federal Reserve showing that 40 percent of adults can't come up with $400 in the case of an emergency. "It gives you an idea of what the polarity is," Dalio said. "That's a real world. That's an issue."
And Dalio says the income gap will only get worse.
https://www.cnbc.com/2019/01/16/bridgewaters-ray-dalio-capitalism-is-not-working-for-most-people.html?__source=twitter%7Cmain
murielm99
(30,739 posts)Why is it suddenly so fashionable on DU to promote socialism? I get tired of the meme of the day/week/month here.
FrankBooth
(1,603 posts)I think this quote from the article answers your question:
"Today, the top one-tenth of 1 percent of the population's net worth is equal to the bottom 90 percent combined. In other words, a big giant wealth gap. That was the same last time that happened was the late '30s," Dalio said.
In your opinion, what is the difference between socialistic reforms of our capitalistic system and "regulated" capitalism? Are they not basically the same thing?
murielm99
(30,739 posts)We have Medicare and Social Security. We should have other socialist programs, such as universal health care. We need to continue to regulate the capitalist system we have. Wee need to strengthen some of those regulations.
Most voters don't want to hear about socialism. They want jobs. They want homes. They want security and education for their children. They don't want to hear a lot of hair splitting over political systems. Go out and do some work with voters and you will find out what they want.
FrankBooth
(1,603 posts)Let me try again, as I am sincerely interested. If you don't want to answer, maybe somebody else will.
What is the difference between socialistic reforms of American capitalism and "regulated" capitalism?
Is not strengthening Social Security a form of socialism?
Are there not good and bad forms of socialism that already exist within our capitalistic system? (good - Social Security and Medicare -- Bad, Tax subsidies for pro sports stadiums and endless corporate tax loopholes.) This kind of "good" socialism is extremely popular and a core tenet of the Democratic party.
Is there something to be gained by making this distinction, or is the word "socialism" just too toxic now?
murielm99
(30,739 posts)that I was tired of the meme of the day/week/month here on DU.
Not long ago it was, "I'm an FDR Democrat." Before that, it was identity politics and before that, how we must all identify ourselves as progressives, not liberals.
I am not buying that any of this matters in the real world. And yes, the word "socialism" is toxic. There are very complicated reasons why this is so. But I see the so-called far left of our party working to sabotage the very real gains we made with the Blue Wave, the Blue Wave that was driven by moderates, not leftists, Democrats, not socialists.
What did you do for the Blue Wave? What do you plan to do in 2020? Are you going to GOTV, or are you going to engage in meaningless debate, since we will never be a socialist country?
Skidmore
(37,364 posts)Speaking truth.
FrankBooth
(1,603 posts)What did I do for the Blue Wave? LOL. I worked my ass off to get a Democrat elected in a district that had never been blue since it's formation in the mid 80s. Not that I give a flying fuck what you think. I also consider myself a moderate.
Enjoy the rest of your day ... somehow I don't think you will.
mitch96
(13,904 posts)We do... Corporate socialism... aka Too big to fail.. You and I have the capitalistic reward to take a chance with a business and make it or loose everything with out a bail out. If your a big bank you get all your capital back (paid for by the citizens of this country) and the little guys get screwed. What other big businesses get bailed out when they screw up?
m
workinclasszero
(28,270 posts)"40 percent of adults can't come up with $400 in the case of an emergency"
And...
"Today, the top one-tenth of 1 percent of the population's net worth is equal to the bottom 90 percent combined. In other words, a big giant wealth gap."
And...
Student Loan Debt Statistics In 2019: A $1.5 Trillion Crisis
https://www.forbes.com/sites/zackfriedman/2019/02/25/student-loan-debt-statistics-2019/#2c2dc627133f
And...
Rate of Americans without insurance rises to 4-year high as Trump weakens Obama health law, Gallup survey finds
https://www.cnbc.com/2019/01/22/rate-of-americans-without-insurance-rises-to-4-year-high-survey.html
And...
A record 7 million Americans are 3 months behind on their car payments, a red flag for the economy
https://www.washingtonpost.com/business/2019/02/12/record-million-americans-are-months-behind-their-car-payments-red-flag-economy/
It's not a meme for most Americans, it's a never ending damn nightmare.
Caliman73
(11,738 posts)The problem is that the underlying core of capitalism relies on inequality and on for lack of a better word...greed. I am not advocating Socialism but you have to understand and acknowledge that the purpose of Capitalism is the accumulation of Capital and if that is the purpose, then it will be undertaken until someone has more than other people and that person would likely use the power that Capital provides to change the rules.
workinclasszero
(28,270 posts)every damn time.
Caliman73
(11,738 posts)Without a doubt the Republicans have been the most reliable vessel for big money to influence the system. There have been people from both parties who have facilitated the process although BY FAR the Republicans do so as a core issue.
Skidmore
(37,364 posts)fork over some of his wealth to help with equaling things out a bit. How about a higher tax on his gain?
moondust
(19,981 posts)Hanauer has been telling it like it is for years.
Ghost Dog
(16,881 posts)since isn't capitalism supposed to put capital to work doing something useful, not just shifting ownership around and churning numbers inside computers?