When the bubble collapsed, they kept the money they had skimmed off the top and had the government pay the losses. The people who ran the banks and investment companies made stupendous personal fortunes while they inflated a financial bubble. Its crowning moment was the bank bailout.
It was to treat government as a means to take money from regular people and transfer it to the rich.
The Bush Administration added a radical innovation. He cut taxes, cut regulations, and busted unions. Reagan basically got government out of the way of corporations and the rich. Kleptocracy-from the Greek klepto (theft) and kratos (rule)-is a government that takes money from the general population for the personal enrichment of themselves and their cronies. Once he saw the results of Republican rule under Ronald Reagan, Phillips became violently disenchanted.īy 1990, Phillips was arguing that the United States had become a plutocracy. It outlined the “Southern strategy” and was the blueprint for Richard Nixon’s victorious presidential campaign. He wrote The Emerging Republican Majority. Kevin Phillips used to be a Republican political strategist. Plutocracy is one of the several types of government categorized by the ancient Greeks. Citigroup Research identifies an “egalitarian bloc” that consists of continental Europe (Germany, France, Scandinavia, the Netherlands, and so on, except Italy) and Japan. Not all modern capitalist countries are plutonomies.
The key plutonomies today, it said, are the US, Britain, and Canada.
Klepto plutocracy how to#
The term is from an investing memo, for internal consumption only, about how to invest in plutonomies. Plutonomy is a term recently coined by Citigroup Research, a division of Citigroup Global Markets, Inc., to describe an economy in which a tiny group of people have the vast majority of the wealth.