What exactly is the wealth divide II

Robin Smith posted Where Are My Wages Going on his blog and What Exactly is the Wealth Divide on the Finance Lab. He offers the following simple image and statement, worth considering and questioning.

He says: There is no mystery as to the root cause of poverty. Both the Private State and the Welfare State are robbing us. And giving it all away to landowners and banks.

Robin Smiths graph of



I’d be interested in what else you’ve done. I think the valid point you’re making is that there is indeed a long term systemic trend of more and more future income being paid to people who saved past income. I’ve made what I think are definitive models of why that arises, and what to do about it since the early 80’s. Continue reading What exactly is the wealth divide II