The End of the Middle-Class? Exploring the Great Wealth Transfer

In this episode of Kinesis Money's "Live from the Vault," Andrew welcomes macroeconomic expert and filmmaker Peter Antico to discuss the pressing issues of rising income inequality and corruption that are covered in his most recent film, "The Paradigm of Money."

With a focus on market manipulation as a whole, Pete delves into the flaws at the core of the American financial system, using his film as an enlightening tool to reveal the startling extent of authorized theft and exploitation of common people.

We do not share a vessel

Even if the global financial crisis has clearly had an impact on the majority of people worldwide, sharply decreasing the ordinary person's quality of living, it has also produced some glaring winners who have managed to boost their wealth to unfathomable heights.

A broken chain of integrity between the government, top financial institutions, and the rest of society is evident from the unprecedented extent of the Global Wealth Transfer between the 90% of society and the 1% oligarchic aristocracy.

food handouts for the middle class

Meanwhile, the government's negative reaction to Covid-19, which caused the supply chain to be destroyed and the currency to be devalued, is now having a negative impact not only on common people and their enterprises but also on whole countries, reorganizing their socio-economic structure.

The American Middle Class, which just a few years ago made up around half of families, is now in danger of disappearing entirely. The common consumer is squeezed by the post-pandemic financial crisis' inflationary atmosphere since even simply paying for necessities uses up all of their cash. A large portion of the population is moving ever-closer to poverty as a result of the median wage not being sufficient to maintain what was formerly a Middle-Class lifestyle.

It's too big to fail

Why, then, are the wealthy growing wealthier while the poor are becoming poorer? One of the key distinctions between Wall Street and Main Street, as noted by Pete Antico, is the latter's internal Too Big to Fail policy. The government can rely on taxpayer-funded trillion-dollar bailouts for the biggest organizations, and the typical person becomes conditioned to accept and normalize this kind of behavior. "The government bailing out banks for perpetrating fraud is sinister behavior," said Pete.

They won't get such assistance if the general public is only late on a credit card payment. Even in the Congress, there isn't much accountability in this system, which is pretty empirical.

What does this mean for the ordinary American's ability to safeguard their funds from major market players? If it's even feasible to change the way we think about money, only time will tell. However, the first step in developing a better monetary alternative that is more transparent, sustainable, and advantageous to common people may be financial education and bringing market malfeasances to the attention of the general public.