The surge in the epidemic-causing tech stocks has topped the list of American billionaires.
McKenzie Scott, a novelist and philanthropist who recently divorced Amazon founder Jeff Bezos, who is now the world’s wealthiest woman. Last week, Tesla CEO Elon Musk surpassed Facebook CEO and co-founder Mark Zuckerberg to become the world’s third richest man after Jeff Bezos and Bill Gates.
Since the epidemic began in March, according to an analysis by the advocacy group Tax Fairness, America’s combined billionaire wealth has increased by nearly $ 800 billion, or 25 percent.
As part of her divorce, Scott received a 4 percent stake in Amazon, whose stock has been on a tear in the form of a coronovirus-induced lockdown that promotes online sales and home delivery. The shares have risen from about $ 2,000 to $ 3,500 since the beginning of the year.
Tesla stock rallied following a stock split that took effect on Monday, and rose as much as 500 percent this year as investors priced in hopes that Tesla would dominate the electric vehicle market for the long term. Low-cost retail investors, low-entry platforms such as Robinhood, have also made the stock a favorite, creating a speed of self-fulfillment that greatly increases the company’s price to earnings ratio, which increases the value of the stock Is a classic measurement.
Musk’s personal fortunes have begun in March, the start of an epidemic shutdown. As part of the recently negotiated pay package, his board will give him $ 50 billion if he meets a set of all agreed-upon performance goals.
While it is a wild and crazy carousel at the top of the billionaire index, the rapid pace of wealth accumulation comes in contrast to the economic catastrophe facing millions of Americans at the other end of the spectrum.
The Federal Reserve estimated net household wealth declined by a record 5.6 percent in the first quarter, the largest single-quarter decline since the 1950s.
With unemployment of 10.2 percent, more than 1 million people a week still file for unemployment benefits for the first time, and lawmakers are still at a standstill over additional emergency money, with some Americans keeping their stores open Turned to crowdfunding, pay for medical procedures – and even funerals.
According to Feeding America, nearly half of American homes are hungry, and food pantries have been in demand by 20 percent since the onset of the epidemic.
In addition, an estimated 40 million Americans could potentially move out of their homes in the coming months. President Donald Trump said on Tuesday that the Center for Disease Control and Prevention would use its authority to prevent evictions through the end of the year.
“The rise in billionaire wealth – along with the health and fate of the most laboring class and the crumbling of low-income homes, is encroached upon and overlooked,” said Chuck Collins, director of the Program on Inequality at the Institute for Policy Studies.
While Musk has dismissed the Coronavirus restrictions as “fascist”, he has tweeted that he wants to sell “almost all physical assets”, and has complained that the Tesla stock price is “too high,” Scott told those billionaires. One of those who signed “The” pledge, “their commitment to donate their majority assets.” Of more than $ 50 billion in net worth, Scott recently gave $ 1.7 billion to a plethora of nonprofit organizations and historically black colleges.