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For Immediate Release
August, 17 2020, 12:00am EDT
Contact:
202-234-9382,info@ips-dc.org
The Wealth of Just 12 US Billionaires Now Totals Over One Trillion Dollars
Even during the pandemic, wealth for this oligarchic dozen surged by 40 percent–well ahead of stock market gains
WASHINGTON
The wealth of the nation's top 12 billionaires has increased to more than one trillion dollars ($1,000,000,000,000) according to research by the Institute for Policy Studies (IPS).
"This is a disturbing milestone in the U.S. history of concentrated wealth and power," said Chuck Collins, Director, Program on Inequality at the Institute for Policy Studies. "This is simply too much economic and political power in the hands of twelve people. From the point of view of a democratic self-governing society, this represents an Oligarchic Dozen."
As markets have risen overall since the start of the pandemic, certain individual fortunes have surged significantly over market gains. These 12 billionaires have seen their wealth increase to total $1,015,188,210, as of Thursday, August 13:
Jeff Bezos - $189,490,763
Bill Gates - $114,101,127
Mark Zuckerberg - $95,537,853
Warren Buffett - $80,573,878
Elon Musk - $73,113,798
Steve Ballmer - $71,506,461
Larry Page - $67,404,945
Sergey Brin - $65,609,204
Alice Walton - $62,551,444
Jim Walton - $62,348,885
Rob Walton - $62,030,872
IPS published its research at Inequality.org with source materials here.
Since March 18, the beginning of the pandemic, this Oligarchic Dozen have seen their combined wealth increase $283 billion, an increase of almost 40 percent.
Elon Musk has been the biggest pandemic profiteer, seeing his wealth triple from $24.6 billion on March 18 to $73 billion on August 13, an increase of $48.5 billion or 197 percent.
Amazon co-founder Jeff Bezos was worth $189.5 billion on August 13, up $76 billion or 68 percent since March 18.
Facebook CEO Mark Zuckerberg was worth $95.5 billion on August 13, up $40.8 billion or 75 percent since March 18.
"The total wealth of the Oligarchic Dozen is greater than the GDP of Belgium and Austria combined," said Omar Ocampo, Researcher for IPS's Program on Inequality and the Common good. "Meanwhile, tens of millions of Americans are unemployed or living paycheck to paycheck, and 170,000 people have died from COVID-19 in the United States," he said.
During the first stage of the pandemic, between January 1 and March 18, the collective wealth of the Oligarchic Dozen declined by $96 billion. But their wealth quickly rebounded and surpassed their September 2019 Forbes 400 wealth level. The only exception is Warren Buffett who is still $2 billion below his September 2019 wealth but currently worth $80 billion.
March 18, 2020 marked the beginning of the Covid-19 lockdown and historic filings for unemployment - and also the intervention of the Federal Reserve with monetary actions to stabilize markets.
"Philanthropy is not the answer but is instead becoming another extension of private power and interests," observed Collins. "A number of the Oligarchic Dozen are members of the Giving Pledge, a group of billionaires who promised to give away at least half their wealth before their death. But as an Inequality Brief "Giving Pledge at 10," by IPS reveals, ten years after beginning the Pledge, their combined wealth has doubled. Among the Oligarchic Dozen, five of the top seven billionaires - Gates, Buffett, Zuckerberg, Ellison, and Musk - have taken the Giving Pledge.
IPS publishes reports on billionaire wealth, including this year's "Billionaire Bonanza 2020: Wealth Windfall, Tumbling Taxes and Pandemic Profiteering." In partnership with Americans for Tax Fairness, it has been updating the data on U.S. billionaire wealth periodically.
Institute for Policy Studies turns Ideas into Action for Peace, Justice and the Environment. We strengthen social movements with independent research, visionary thinking, and links to the grassroots, scholars and elected officials. I.F. Stone once called IPS "the think tank for the rest of us." Since 1963, we have empowered people to build healthy and democratic societies in communities, the US, and the world. Click here to learn more, or read the latest below.
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What Will Trump and GOP Congress Do to the Consumer Financial Protection Bureau?
"Of course Trumpers want to dismantle the only agency formed in decades dedicated to giving consumers a fair shake in a predatory economy," one journalist said in response to reporting on Republican plans.
Nov 23, 2024
Just hours after U.S. President Donald Trumpnamed a labor secretary nominee seen by some union leaders and advocates as genuinely pro-worker, The Washington Post on Saturday detailed what the incoming administration and Republican Congress have planned for a federal agency designed to protect everyday Americans from corporate abuse.
Initially proposed by Sen. Elizabeth Warren (D-Mass.) while she was still a Harvard Law School professor, the Consumer Financial Protection Bureau (CFPB) was created by the Dodd-Frank Wall Street Reform and Consumer Protection Act, which Congress passed in response to the 2007-08 financial crisis.
The first Trump administration was accused of "gutting the CFPB and corrupting its mission." However, as the Post noted, "its current Democratic leader, Rohit Chopra, has been aggressive" in his fights for consumers, working to get medical debt off credit reports and crack down on "junk fees" for everything from bank account overdrafts and credit cards to paycheck advance products—efforts that have drawn fierce challenges from the financial industry.
"Working- and middle-class people who voted for Trump did so for many reasons, but you'd be hard-pressed to find any who did so because they want higher overdraft fees."
Chopra, an appointee of outgoing President Joe Biden, isn't expected to stay at the CFPB, but Trump's recent win hasn't yet halted bold action at the agency. On Thursday, it announced plans "to supervise the largest nonbank companies offering digital funds transfer and payment wallet apps," which is set to impact Amazon, Apple, Block, Google, PayPal, Venmo, and Zelle, unless the Trump administration shifts course.
The Post reported that Republican leaders "intend to use control of the House, Senate, and White House next year to impose new restrictions on the agency, in some cases permanently," and "early discussions align the GOP with banks, credit card companies, mortgage lenders, and other large financial institutions."
According to the newspaper:
"There will be a pretty significant change from the direction the agency has been going in, and I think in a positive way," predicted Kathy Kraninger, who led the CFPB during Trump's first term. She now serves as chief executive of the Florida Bankers Association, a lobbying group whose board of directors includes top executives from Bank of America, JPMorgan Chase, PNC, and Truist.
Aides on Trump's transition team have started considering candidates to lead the CFPB who are expected to ease its oversight of banks, lenders, and tech giants. The early short list includes Brian Johnson, a former agency official; Keith Noreika, a banking consultant and former regulator; and Todd Zywicki, a professor at George Mason University's law school who has previously advised the bureau, according to four people familiar with the matter.
"Of course Trumpers want to dismantle the only agency formed in decades dedicated to giving consumers a fair shake in a predatory economy," Katrina vanden Heuvel, The Nation's editorial director and publisher, said in response to the reporting—which came just a day after Forbes similarly previewed "big changes coming to Elizabeth Warren's CFPB" when Trump returns.
"The number of CFPB regulatory advisories and enforcement actions will likely shrink" and "bank mergers and acquisitions could see a boost too," Forbes highlighted. "Even more noteworthy, the CFPB's funding structure could be at increased risk," with some congressional Republicans considering the reconciliation process as a path to forcing changes, following the U.S. Supreme Court's May decision that allowed the watchdog to keep drawing money from the earnings of the Federal Reserve System.
"Changing the CFPB's funding structure would be an uphill battle since it would be perceived by many as an attempt to take the bureau’s budget to zero," the magazine noted. "But the concept 'has been on every wish list I've seen from House Republicans for the last 10 years or more since its creation,' says a former Capitol Hill staffer who has worked with the House Financial Services Committee."
Warren, who won a third term in the Senate earlier this month, is optimistic about the agency's survival. "The CFPB is here to stay," she told the Post. "So I get there's big talk, but the laws supporting the CFPB are strong, and support across this nation from Democrats, Republicans, and people who don't pay any attention at all to politics, is also strong."
The senator's comments about the CFPB's popularity are backed up by polling conducted last weekend and released Thursday by Data for Progress. Although the progressive firm found that a plurality of voters (48%) lacked an initial opinion of the agency, they expressed support when introduced to major moves during the Biden administration.
"More than 8 in 10 voters support the CFPB's actions to protect Medicare recipients from illegal and inaccurate bills (88%), crack down on illegal medical debt collection practices like misrepresenting consumers' rights and double-dipping on services already covered by insurance (86%), publish a consumer guide informing consumers of the steps they can take if they receive collection notices for medical bills (84%), and propose a rule to ban medical bills from people’s credit reports (81%)," the firm said.
Data for Progress also found that voters back agency actions to "require that companies update any risky data collection practices (85%), rule that banks and other providers must make personal financial data available without junk fees to consumers (85%), confront banks for illegal mortgage lending discrimination against minority neighborhoods (83%), and state that third parties cannot collect, use, or retain data to advance their own commercial interests through targeted or behavioral advertising (80%)."
After learning about the watchdog's recent moves, 75% of voters across the political spectrum said they approve of the CFPB.
The polling came out the same day Warren addressed Trump's campaigning on a 10% cap for credit card interest rates.
"I can't imagine that President Trump didn't mean every single thing he said during the campaign," Warren
told reporters. She later added on social media: "If Donald Trump really wants to take on the credit card industry, count me in. The CFPB will back him up."
While Trump's latest electoral success was thanks in part to winning over key numbers of working-class voters, the president-elect has spent the post-election period filling key roles in his next administration with billionaires and loyalists, fueling expectations that his return to the White House—with a Republican-controlled Congress—will largely serve ultrarich people and corporations, reminiscent of his first term.
The recent reporting on the CFPB has further solidified those expectations. In a snarky social media post, Aaron Sojourner, a labor economist and senior researcher at the W. E. Upjohn Institute for Employment Research who served on the Council of Economic Advisers (CEA) during the Trump and Obama administrations, wrote: "#priorities Bringing back junk fees."
Joshua Smith, budget policy director for the Democrat-run Senate Budget Committee,
said that "working- and middle-class people who voted for Trump did so for many reasons, but you'd be hard-pressed to find any who did so because they want higher overdraft fees."
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Unions Note Chavez-DeRemer's Record, 'But Donald Trump Is the President-Elect'
The DOL pick has sparked debates about how much she will actually "do right by workers" and whether "Teamsters president Sean O'Brien and Donald Trump are effectively dividing the labor movement."
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Amid a flurry of Friday night announcements about key roles in the next Trump administration, one stood out to union leaders and other advocates for working people: Congresswoman Lori Chavez-DeRemer, an Oregon Republican, for labor secretary.
Chavez-DeRemer, who lost her reelection bid to Democrat Janelle Bynum earlier this month, "has built a pro-labor record in Congress, including as one of only three Republicans to co-sponsor the Protecting the Right to Organize (PRO) Act and one of eight Republicans to co-sponsor the Public Service Freedom to Negotiate Act," said AFL-CIO president Liz Shuler in a statement.
"But Donald Trump is the president-elect of the United States—not Rep. Chavez-DeRemer—and it remains to be seen what she will be permitted to do as secretary of labor in an administration with a dramatically anti-worker agenda," she stressed. "Despite having distanced himself from Project 2025 during his campaign, President-elect Trump has put forward several Cabinet nominees with strong ties to Project 2025. That 900-page document has proposals that would strip overtime pay, eliminate the right to organize, and weaken health and safety standards."
"You can stand with working people, or you can stand with Project 2025, but you can't stand with both."
"The AFL-CIO will work with anyone who wants to do right by workers, but we will reject and defeat any attempt to roll back the rights and protections that working people have won with decades of blood, sweat, and tears," added Schuler, whose group endorsed Democratic Vice President Kamala Harris and developed a guide detailing how the right-wing initiative would be catastrophic for working people. "You can stand with working people, or you can stand with Project 2025, but you can't stand with both."
Seth Harris, a Northeastern University professor who served as acting secretary of labor under former President Barack Obama, toldBloomberg that "the president-elect has nominated a unicorn: a genuine pro-labor Republican."
"This is about the best nomination for the Labor Department that Democrats could have hoped for," he said, but "we don't know if she's going to be given the freedom to carry out the agenda that she supported in Congress."
Some skeptics and critics highlighted that Chavez-DeRemer—who only entered the U.S. House of Representatives last year—has just a 10% lifetime score from the AFL-CIO. Among them was longtime labor reporter Mike Elk, who warned, "This is divide and conquer politics at its worst as Trump prepares for an attack on federal workers unions!"
Others, such as Progressive Mass policy director Jonathan Cohn and University of California, Los Angeles historian Trevor Griffey, have suggested that Trump's U.S. Department of Labor (DOL) nominee supporting the PRO Act was simply her "posturing in a swing district."
Like the AFL-CIO, the nation's two largest teachers unions shared nuanced reactions to Trump choosing Chavez-DeRemer. Alongside many other labor groups, both backed Harris after President Joe Biden left the race—though Trump's victory has ignited heated debates over the Democratic Party's failure to win over working-class voters in a cycle that featured Trump cosplaying in a Pennsylvania McDonald's and a garbage truck while cozying up to the world's richest man, Elon Musk, and praising him for firing striking workers.
National Education Association president Becky Pringle said in a statement that "across America, most of us want the same things—strong public schools to help every student grow into their full brilliance and good jobs where workers earn living wages to provide for their families."
Noting Chavez-DeRemer's co-sponsorship of "pro-student, pro-public school, pro-worker legislation" and votes "against gutting the Department of Education, against school vouchers, and against cuts to education funding," Pringle asserted that "this record stands in stark contrast to Donald Trump's anti-worker, anti-union record, and his extreme Project 2025 agenda that would gut workplace protections, make it harder for workers to unionize, and diminish the voice of working people."
"During his first term, Trump appointed anti-worker, anti-union National Labor Relations Board members," she continued. "Now he is threatening to take the unprecedented action of removing current pro-worker NLRB members in the middle of their term, replacing them with his corporate friends. And he is promising to appoint judges and justices who are hostile to workers and unions."
Trump's track
record also includes nominating agency leaders and U.S. Supreme Court justices with histories of siding with companies over employees, gutting DOL regulations intended to protect workers' wages and benefits, and giving major tax cuts to wealthy individuals and corporations—policies he plans to extend with the help of an incoming GOP Congress.
"Educators and working families across the nation will be watching Lori Chavez-DeRemer as she moves through the confirmation process," said Pringle, "and hope to hear a pledge from her to continue to stand up for workers and students as her record suggests, not blind loyalty to the Project 2025 agenda."
American Federation of Teachers president Randi Weingarten called Chavez-DeRemer's selection "significant," given that "her record suggests real support of workers and their right to unionize."
"I hope it means the Trump [administration] will actually respect collective bargaining and workers' voices from Teamsters to teachers," Weingarten added, referring to the International Brotherhood of Teamsters.
The Teamsters notably declined to endorse in the U.S. presidential contest after the group's general president, Sean O'Brien was widely criticized by labor advocates including his predecessor for speaking at the Republican National Convention. O'Brien lobbied Trump to choose Chavez-DeRemer and welcomed the Friday development on social media, posting a photo of himself with the pair and thanking the president-elect "for putting American workers first."
"Nearly a year ago, you joined us for a Teamsters roundtable and pledged to listen to workers and find common ground to protect and respect labor in America," O'Brien wrote. "You put words into action. Now let's grow wages and improve working conditions nationwide. Congratulations to Lori Chavez-DeRemer on your nomination! North America's strongest union is ready to work with you every step of the way to expand good union jobs and rebuild our nation's middle class. Let's get to work!"
Washington Post labor reporter Lauren Kaori Gurleydescribed Trump's decision as "a coup for the Teamsters" and New York Times labor reporter Noam Scheiber called it "a bona fide win" for the union, though he added that "the way you'll know if they have substantive influence or mostly cosmetic influence is if Trump's NLRB continues pressuring Amazon to bargain with unionized workers and drivers, who the Teamsters represent."
Meanwhile, Labor Notes staff writer Luis Feliz Leon said: "Lori Chavez-DeRemer for labor secretary isn't a win for the labor movement. The PRO Act is dead. Unlike the Democrats, the Republicans have party discipline. What's noteworthy: Teamsters president Sean O'Brien and Donald Trump are effectively dividing the labor movement."
Some right-wing leaders and groups have already expressed disapproval of Trump's nominee, a sign that she may need some Democratic support to get confirmed by the Senate—if the president-elect doesn't pursue recess appointments.
Sen. Patty Murray (D-Wash.), who serves as Senate Appropriations Committee chair and president pro tempore until Republicans take over in January, said Friday that "Americans deserve a labor secretary who understands that building a stronger economy means standing up for workers, not billionaires and giant corporations."
"We need a labor secretary who will protect workers' rights, help ensure everyone can have a secure retirement, make sure every worker gets paid the full paycheck they've earned, and that all workers are treated with dignity and respect. And as an original author of the PRO Act, I'm glad to see Rep. Chavez-DeRemer is a co-sponsor," she continued. "I look forward to carefully evaluating Rep. Chavez-DeRemer's qualifications leading up to her hearing and a thorough vetting process."
In a statement announcing the nominee, Trump said: "Lori has worked tirelessly with both Business and Labor to build America's workforce, and support the hardworking men and women of America. I look forward to working with her to create tremendous opportunity for American Workers, to expand Training and Apprenticeships, to grow wages and improve working conditions, to bring back our Manufacturing jobs."
"Together, we will achieve historic cooperation between Business and Labor that will restore the American Dream for Working Families," he added. "Lori's strong support from both the Business and Labor communities will ensure that the Labor Department can unite Americans of all backgrounds behind our Agenda for unprecedented National Success—Making America Richer, Wealthier, Stronger, and more Prosperous than ever before!"
Other key picks announced Friday included former Office of Budget and Management Director Russ Vought, a Project 2025 architect, to return as the agency's leader, and ex-professional football player Scott Turner of the Trump-allied America First Policy Institute to helm the Department of Housing and Urban Development.
Trump also chose billionaire hedge fund manager
Scott Bessent, who supports his tariff plan, to run the U.S. Treasury Department. That followed the president-elect naming billionaire Wall Street CEO Howard Lutnick as his nominee for commerce secretary, meaning he will lead tariff and trade policy.
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"All signs point to the Pentagon developing 'killer robots' via Replicator, despite deflections from Pentagon representatives themselves," according to Public Citizen.
Nov 22, 2024
A report from the government watchdog Public Citizen released Friday gives the who, what, when, where, and why of the Pentagon's flagship Replicator initiative—a program to increase the number of weapons, particularly drones, in the hands of the U.S. military.
In the report, Public Citizen re-ups concerns about one particular aspect of the program. According to the report's author, Savannah Wooten, the Defense Department has remained ambiguous on the question of whether it is developing artificial intelligence weapons that can "deploy lethal force autonomously—without a human authorizing the specific use of force in a specific context." These types of weapons are also known as "killer robots."
"It is not yet clear whether or not these technologies are designed, tested, or intended for killing," according to the report.
"All signs point to the Pentagon developing 'killer robots' via Replicator, despite deflections from Pentagon representatives themselves," wrote Wooten in the summary of the report.
The program, which was announced last year, is part of the Department of Defense's plan to deter China.
"Replicator is meant to help us overcome [China's] biggest advantage, which is mass. More ships. More missiles. More people," said Deputy Secretary of Defense Kathleen Hicks in a speech announcing the project last year. That mission will be achieved specifically by "mastering the technology of tomorrow," Hicks said.
There will soon be a "Replicator 2.0" that will focus on counter-drone technologies—per a memo from the defense secretary released in September—according to Public Citizen's report.
In a letter sent in March, Public Citizen and 13 other civil society groups highlighted remarks Hicks made in 2023 as an example of the ambiguity the Pentagon has created around the issue.
"Autonomous weapons are inherently dehumanizing and unethical, no matter whether a human is 'ultimately' responsible for the use of force or not. Deploying lethal artificial intelligence weapons in battlefield conditions necessarily means inserting them into novel conditions for which they have not been programmed, an invitation for disastrous outcomes," the organizations wrote to Hicks and Secretary of Defense Lloyd Austin.
Wooten's report reiterates that same call: "The Pentagon owes Americans clarity about its own role in advancing the autonomous weapons arms race via Replicator, as well as a detailed plan for ensuring it does not open a Pandora’s Box of new, lethal weapons on the world by refusing to hold its own operations accountable."
Additionally, "'Artificial intelligence' should not be used as a catchall justification to summon billions more in Pentagon spending, especially when the existing annual budget for the U.S. military already dwarfs every other U.S. agency and is careening towards the $1 trillion mark," Wooten wrote.
The fear that these types of weapons would open a Pandora's Box—and set off a "reckless, dangerous arms race," as Public Citizen warned of Friday—is not new. Back in 2017, dozens of artificial intelligence and robotics experts published a letter urging the United Nations to ban the development and use of so-called killer robots. As drone warfare has grown, those calls have continued.
The report also highlights the public statements of the head of one defense contractor that has been selected to produce for the Replicator initiative as a hint that the program is aimed at creating weapons that are capable of autonomous lethal force.
In early October, CEO of Anduril Palmer Luckey said that, "societies have always needed a warrior class that is enthused and excited about enacting violence on others in pursuit of good aims."
"You need people like me who are sick in that way and who don't lose any sleep making tools of violence in order to preserve freedom," he said.
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