Distribution of Wealth (Part VI)

One factor that I have neglected to mention is inflation.

Over time wages have risen, but the problem for many workers is that wages increases have not kept up with the rise in prices. Milton Friedman and many other economist are correct that the burden of inflation usually falls heaviest on the poor and middle class. Furthermore, inflation discourages savings and production and encourages people to place their capital in high return, speculative ventures, all of which contributes to the increasingly unequal distribution of wealth.

Without a doubt the main culprit of inflation is the federal government via the expansive monetary policy it uses to fund its massive growth.