Summary

A recent publication by Citigroup divided the world population into plutonomies and the rest. Chomsky defined the plutonomy simply as “those who have substantial wealth;” wealth that incited Citigroup and other financial institutions to focus primarily on them (52). Thus, a cycle of concentration of wealth began, as financial institutions- who now play a major role in the economy- tailored their endeavors toward the wealthy. Alongside this cycle of extreme inequality was a tendency for the wealthy to avoid paying taxes. An obvious consequence of this was a shift in the tax burden onto the middle and lower classes. Ultimately, the American tax system was redesigned: “the taxes that are paid by the very wealthy are reduced and, correspondingly, the tax burden on the rest of the population is increased” (55). Adding insult to injury, the incomes of lower and middle classes have grown...