How The Wealthiest Families Make And Lose Their Money

How The Wealthiest Families Make And Lose Their Money

Conspiracy theories run the gamut.  For some, there’s a massive government cover-up of UFOs or among scientists about the existence of Bigfoot.  For others, it’s the Freemasons controlling the secret world government.  For others, it’s an alliance of elite wealthy families (who attend the Bilderberg meetings) who pass their wealth from generation to generation who are the secret world government.  On any given night, there will be one or two television programs airing on such subjects.

As for the last conspiracy theory – elite families passing their wealth from generation to generation – evidence suggests that it is the exception rather than the rule.  Certainly, one can point to the DuPonts or the Kennedys or the Rockefellers having successfully accomplished this.  But, a number of surveys of wealthy families have consistently found that only about 5% of wealthy families’ assets were inherited.  The vast majority – approximately 70% – was created in the current generation via business ownership.  The remaining 25% of wealth was the result of high-income occupations, such as doctors, attorneys, etc.  How can this be?  Read more…