While the rich are indeed rich, there are supposedly too few of them to tax on a scale that would help the poor. The problem, of course, is that the stock market does not account for all future national income; it is concerned solely with the part that goes to profits. At any level of national income, the stock market will do better when profits rise or, by the same token, when the share accruing to labour falls. Since the 1970s, the share of wages in US national income has been shrinking. This perverse dynamic makes sense when one considers how the pandemic has accelerated the long-term shift in national income away from labour and towards capital.

Source: Mint December 31, 2020 18:00 UTC