Thanks to the SOTU, this chart from the St Louis Fed (FRED) gives us a great read across on how the Bottom 50%’s fortunes have fared over time.
Since the series began, FRED shows their aggregate wealth peaked in 2Q 1991 at $4.3 trillion. In Q1 2009, that net wealth plummetted 61% to $1.7 trillion. It sunk to a rock bottom of $300 billion in 2Q 2011, 93% down.
Under Obama, net worth for the Bottom 50% declined from $1.7 trillion in 1Q 2009 to $1.1 trillion, down 35% over his two terms. This might do some explaining as to why the “forgotten” wanted large scale change.
Under Trump, the latest net worth is back to $1.6 trillion. Still well off the highs of 3-decades ago, but one imagines if things keep improving out to November, then these people won’t want to risk their fortunes reversing again.
Of course, many will ponder the unfair wealth gap of the Top 1% at $34.5 trillion in the latest figures.
Democrats should be outraged that the ultra-wealthy have done much better under Obama with a 100% gain in net worth under his term vs the paltry 15.3% so far under Trump. Is this the real reason why Nancy Pelosi is so upset?
If you want to see how much members of Congress are worth please check out Roll Call. While some politicians come from inherited wealth, many on the public purse have managed to do pretty well on a paltry government salary.