The rich are much richer than you and me: The Growing Gap Between Rich and Middle Class

From CNN Money: http://money.cnn.com/2010/12/23/pf/rich_wealth_gap/index.htm

By Chris Isidore, senior writer

December 23, 2010: 3:39 PM ET

NEW YORK (CNNMoney.com) — The gap between the rich and the middle class is larger than it has ever been due to the bursting of the housing bubble.

The richest 1% of U.S. households had a net worth 225 times greater than that of the average American household in 2009, according to analysis conducted by the Economic Policy Institute, a liberal think tank. That’s up from the previous record of 190 times greater, which was set in 2004.

The widening gap came even as wealthy households’ average net worth tumbled 27% — to about $14 million — between 2007 to 2009. That’s the first time that they suffered a decline since the three-year period of 1992 to 1995.

Meanwhile, the average family’s net worth plunged 41% — to just $62,200 — from 2007 to 2009, according to EPI’s calculations.

“The typical person lost more because a bigger percentage of their wealth in 2007 had been the value of their home,” said Heidi Shierholz, an economist with EPI.

Continue reading at:  http://money.cnn.com/2010/12/23/pf/rich_wealth_gap/index.htm

Posted in Uncategorized. Comments Off on The rich are much richer than you and me: The Growing Gap Between Rich and Middle Class

Merry Xmas