The invisible hand of the market robs people of Germany and France in favor of the super-rich.

The share of private capital concentrated in the hands of the richest people in Germany, for the past ten years has increased from 45 to 53 percent (more than five trillion euros). Thus for the last twenty years has doubled the cumulative private property, but the property of the German government declined. It turns out that the personal fortunes of the country's inhabitants are getting larger, and the state is getting poorer. These facts are contained in the draft report of the Ministry of Labour in Germany, which is usually presented every four years

Thus, according to statistics, since the beginning of 1992 until the beginning of 2012 net assets of the German state was reduced by more than 800 billion euros. This is largely due to lower tax revenues. For example, last May, federal taxes and land tax services totaled 40.26 billion euros, which is 4.3 percent less than in the same period of 2011. In general, economists say, the growth of tax revenue is constantly slowing down. 

But clean the property of private owners has increased in the twenty years from 4.6 to 10 billion euros. Analysts point out that the crisis only five years from 2007 to 2012, private holdings increased by 1.4 trillion euros. The share of property owned by the richest ten percent of the country's citizens, over time, is constantly increasing. In 1998, the wealthiest Germans possessed "modest" 45 percent of the private property of the country, in 2008 in their hands were more than 53 percent of all private capital. 

This trend is characteristic of the major Western countries. A similar situation arises, for example, and in neighboring France. In 1996, in order to get a list of the 500 largest French state, you had to have a total of 14 million, now has no less than 60 million. It turns out that the "millionaire minimum" France has quadrupled! In this case, for the same period the minimum wage in France increased only by 57%, while French GDP grew by 63%. 

In other words, in 15 years of rich states of France grew six times faster than the economy or the minimum wage! 

There are also other statistics in France. It turns out that from 1998 to the present, 90% of French households have increased their income by only 5%. In this case, the state of the French super-rich grew by 43%! These super-rich — 3,500 families — just one hundredth of a percent of the French population. 

In Germany, where ten percent of the most vulnerable citizens own only one percent of all private property, there are major differences in income between the eastern and western federal states. Thus, households in the "old" lands are pure assets (real estate, investments, retirement savings) for the sum of 132,000 euros. In the "new" lands, the figure was only 55 thousand euros. As for 40% of revenue in Germany, working full time, the inflation-adjusted their salary for the past four years, even shrunk. According to statistics, nearly half of bundesbyurgerov no savings at all: they live from paycheck to paycheck, or on the "social" to "Social". 

It is clear, therefore, that almost 70% of Germans believe that the system of distribution of wealth in the country was "deeply unfair". The introduction of property tax is increasingly moving now leading the country's trade unions and non-governmental organizations and social associations. 

Such a tax would have existed in the Federal Republic, but was canceled at the end of the 90-ies of the last century. It is now proposed that the large states (more than one million euros) should be subject to the tax levy of one percent. Economists estimate that the tax could bring land budget to 11.5 billion euros annually.

See also The level of social inequality in the United States is the highest among developed countries

Like this post? Please share to your friends: