Economics

America’s Inequality Machine Is Sending the Dow Soaring

  • Post-crisis policy favored asset markets over real economy
  • Now Trump’s tax handout to companies risks widening the gap
Harrison Says It Makes Sense to Be A Little Cautious
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The Great Recession is a speck in the rear-view mirror for America’s financial markets. They’ve advanced far beyond pre-crisis levels. In fact, Goldman Sachs says you can go back a century before 2008, and still not find a “bull market in everything” like today’s.

If the real economy had roared back the same way, Donald Trump might not be president. Instead, it’s been a grind. While unemployment is near a two-decade low, wages have grown slowly by past standards. They’re nowhere near keeping pace with the asset-price surge.