http://www.radioproject.org/transcript/1998/9839.htmlMichael Parenti: I have been studying the Roman republic, and have been struck by how it resembles our own republic...in the sense that it wasn't very democratic, there was a multiplicity of legislatures, a whole elaborate veto system, auspices and everything else, a senate oligarchy that really ran most things. The poor were left out of most things. There was a tremendous gap between the rich and poor. There was a relationship between the great prevalence of wealth with the great prevalence of poverty. Knowing that but wealth and poverty were not just juxtaposed with each other, there's a causal link, and that's been true all through history. That the way you get a small group of people to be very rich is by getting a lot of other people to be very poor. Imposing poverty on them, getting them to work very hard, very long, to create what the Marxist call surplus value, that is, to create more value than they consume. And that value is expropriated by you, the slave owner, by you, the feudal lord, or by you, the private capitalist investor. And you accumulate that. And after a lifetime, your workers are left poor. After a lifetime of working hard, they're left poor, with maybe a little pension, which you're trying to get out of their hands now also. And you have enormous wealth all your life. That's the system.
Nobody believes in surplus value. Nobody talks about it, and all. And in standard economics, wealth is created by exchange, supposedly. You know, I have this and I buy that and I get a little more here, and I can sell that for a little more here. And wealth just comes kind of mysteriously. In fact, wealth is created by natural resources. The value of those natural resources and the labor that then goes into them to create them into exchange value and use value. And that's where you get wealth. And nobody believes that about surplus value. There's only two groups in America who believe that there is surplus value, and that's the Marxists, which I just mentioned, and the capitalists. The capitalists, they do believe in it. They do honestly believe in it. In fact, they do call it something very much like surplus value. They call it added value. And you read the Wall Street Journal, and if you read Fortune Magazine, all the other rags, where they talk to each other. If you want to read radical subversive publications, read the capitalist publications where they're talking to each other. And they will say things like: "a better labor market, a higher added value rate. The dollar you invest in Ohio, you only get back two and a half dollars. But if you invest it in Alabama you will only get three and a half. Invest it in Mexico you can get five. Invest it in Indonesia you can get seven dollars. Wowee! I mean, they know what they're saying. They call that added value, or the value added, by the term.
And 80 percent of the stock in this nation is owned by one percent of the population. It's really not one percent. You know, one percent of the populations is 2.4 million people. You can get up into the one percent by earning $300,000. That's not the very rich. I mean $300,000 are very tidy earnings per year, but that's not very rich. That's not people who own the wealth. It's really a fraction of one percent. It's a fraction that's so stratified, so small, it's about less that a fourth of one percent of the people really own the lion's share of the wealth in this country. Not that quintile, the top quintile that you always see reported by the various public interest groups, the Center for Policy Analysis in Washington. Every few years they come out with the top 20 percent...own so much more. The top 20 percent in the last 20 years have increased their income by $27,000. The spread is now 14 to one. The top 20 percent are not the people who own America. There are people in this room who are in the top 20 percent who would be called "the rich". They're call the rich own. They've increased their income by, what, $27,000 in 20 years? That wouldn't even cover inflation for most of those incomes that those people have. If you make 50,000 a year, you're in the top 20 percent. Certainly 60,000. It's not the top 20 percent. The census bureau doesn't sample the very rich. They can't get 'em, they're so few that they don't show up on samples. It's not the top quintile, the top 20 percent. It's the Morgans and the Mellons and the Murdochs. It's the Huntingtons, the Harrimans, and the Hunts. It's the Rockefellers and the Duponts. They own America and the world and most of the markets and the resources, and they will do anything to keep it that way. And the only thing they want to own now is still more. That's the only thing. There's only one thing that the ruling class is ever wanted, and that's everything.