“Americans Got Richer in 2020. Here Are 5 Charts Showing Who Benefited—and How.”
April 2, 2021
“Gross domestic product fell by 2.4% between the end of 2019 and the end of 2020, with roughly 10 million fewer people in jobs at the end of last year than before the pandemic. Yet the average American household was in a much better financial situation thanks to rising asset prices and massive disbursements of government aid. Data from the Federal Reserve shows that U.S. households accumulated $12 trillion in new wealth over the course of 2020.
About half of the total increase in net worth came from rising stock prices, which boosted household wealth by about $6 trillion between the end of 2019 and the end of 2020. An additional $3 trillion took the form of higher household bank deposits, money-market fund shares, cash accounts at brokerages, and other liquid assets. Rising house prices added $2.1 trillion in wealth, which more than offset the $450 billion increase in mortgage debt. Americans also added about $430 billion to their holdings of consumer durables such as cars, appliances, and exercise equipment. The rising value of defined benefit pension entitlements accounted for most of the rest…”
How the market is being manipulated inflation is being hidden in the stock market and in luxury items currently. Anything happens to the stock market and much that wealth goes away very quickly.