Joseph Bonaparte, Scott Tongue, NPR discussed on All Things Considered
NPR that starts tonight at nine on double U. N. Y. C. you just heard, And as has been the case for a number of months now it has been quite the run on Wall Street. The broad S and P 500 index. Another record today. But as we have also told you again for a couple of months now. Tens of millions of Americans have been laid off or furloughed or just squeaking by Not to get all the Kensi in on you here, but there is a little bit of the best of times the worst of times going on largely because as marketplaces, Scott's on reports The stock market is increasingly becoming the province of the very wealthy. Four decades ago. The wealthiest 10% of Americans own 67% of the stocks and mutual funds on the market. Now they own 87%, according to the Federal Reserve Bank of ST Louis. Economist Edward Wolf in you says a big reason many middle class families have been left out is their money is locked up in their homes. Since middle class incomes have been pretty stagnant over the last 20 years or so. Once people pay for their home, they don't really have much money left by other assets. There have been efforts to broaden stock ownership say through 401 K accounts at work. Still, the mountain money invested are so pretty small. This divide in stock ownership is widen. Since the great recession during market drops, the wealthy have stayed in while many others have sold. Class folks bail out because they can't afford the volatility, which makes it hard to sleep at night, says finance professor Joseph Bonaparte at the University of Colorado. Denver, His example. Is himself in March, when the market was falling apart. I had to go in a different bid and sleep. Two o'clock I wake up sweating on cold stock market volatility. It's not easy at times of bull market can help everyone companies make money and create jobs. But in this pandemic, many lower income earners say in retail can't go into work because it's closed while higher salary workers work from home and keep investing, says Joseph Minarik. His economist at the Committee on Economic Development of the Conference board. At this moment, there's a substantial dissonance and a painful dissonance between what's going on in the stock market and what's going on on Main Street. By the way In the last 30 years, the stock market has grown faster than the economy. I'm Scott Tongue for market place. You live in Los Angeles or someplace meteorologically. Similar nice weather.