Drowning in the Money River: Why the 99% of Us Are Falling Further Behind

It's a big club and you ain't in it.

~ George Carlin

If you suspect society is unfair, that there's a different set of rules the rich live by, you're right.

I've had ample chance to witness first-hand evidence of this in my time working on Wall Street and in Silicon Valley. Simply put: our highly financialized economy is gamed to enrich those who run it, at the expense of everybody else.

The Money River

A recent experience really drove this home for me.

Having received my MBA from Stanford in the late 90s, I remain on several alumni discussion groups. Recently, a former classmate of mine, who now runs her own asset management firm, circulated her thoughts on how today's graduating students could best access an on-ramp to the 'money river'.

What's the 'money river'? Good question.

The money river is the huge tsunami of investment capital sloshing around the globe, birthed by the historically-unprecedented money printing conducted by the world's central banks over the past decade. Since 2008, they've more than tripled their collective balance sheet:

(Source)

The $13+ trillion in new thin-air money issued to achieve this is truly staggering. It's so large that the human brain really can't wrap around it. (For those who haven't seen it, watch our brief video How Much Is A Trillion? to better understand this.)

But suffice it to say, all that money has to go somewhere. And it first goes into the pockets of those with closest access to it, and of those who direct where it flows.

In the context of MBA graduates working in finance, accessing the 'money river' often follows this recipe:

  • Step 1: Get hired by a buy-side fund (asset management firm, hedge fund, etc)
  • Step 2: Make friends at other funds by investing part of your portfolio in their offerings
  • Step 3: Leave to create your own fund, which all your new buddies will invest part of their firms' portfolios in
  • Step 4: Collect a fat annual salary of 2% of assets under management (regardless of how your fund performs), plus 20% of any gains

Let's put a little math behind this, with real-world numbers based on another classmate of mine who followed this recipe. After graduating, he went to work for a prestigious private equity firm, spending nearly a decade there as a fund manager. He then left to start his own fund.

Since he had invested in scores of ventures and funds while working for the private equity firm, he had amassed plenty of industry insiders who knew they had to reciprocate when it came time for him to hang out his own shingle, because "that's how the game is played". You help me when I need it, and I'll do the same for you.

Only a few weeks after announcing the formation of his new fund, he had raised $100 million for it. At his 2% management fee, that gave him an annual salary of $2 million no matter how the fund performed. And with the standard carried interest percentage, he had substantial additional upside of 20% of any profits the fund may take in the future.

Since forming this fund nearly ten years ago, the financial markets have been on a historic bull run, with hardly any corrections along the way. This is primarily due to the trillions in new money provided by the world's central banks mentioned above. So, it's little surprise that my former classmate's fund now stands at over $1.1 billion in assets under management.

That's now a $20 million annual management fee. Plus 20% on (conservatively estimating) hundreds of millions of gains made along the way.

Not bad work if you can get it.

No Fund For You!

But that's a big part of my point here. The 99% don't have a key past the velvet rope to access the money river.

Look, I don't begrudge this guy his success. Well, maybe I do; but it's not personal -- I know him well enough to say that for certain he's extremely smart, bold and hardworking. But he's benefiting from being in the Big Club that George Carlin railed about. The rest of us ain't in that club, and won't ever be. But our futures are being determined -- or more accurately put, undermined -- by it.

All that liquidity being provided by the central banks? To keep that money flowing it needs to be cheap to those who want to borrow it, so the banks have concurrently driven interest rates down to the lowest levels in recorded history (going back over 5,000 years). Some extra-aggressive central banks have even pursed negative interest rates.

What this has resulted in is a tremendous transfer of wealth to the already-rich at the expense of everybody else.

Those with the means and access to borrow have been able to get essentially free money to do so; while savers and those dependent on fixed income have been starved of any yield whatsoever.

The wave of global stimulus plus the low cost of borrowing has driven capital into nearly every asset market, rocketing prices higher. So those who have held those assets have become substantially richer, while those who have not have become increasingly priced out.

Along with asset prices, prices of nearly everything else have risen, too, dramatically increasing the cost of living:

(Source)

But, as costs have risen, wages have not. Especially when measured in real (i.e. inflation-adjusted) terms.

Real wages are now 7% lower than they were in 1973  -- and that's calculated using the official government-reported inflation rate, which we all know vastly understates the actual inflation rate. (Read our report on The Burrito Index to understand why the true price inflation households suffer is more like 5x greater than the official reported rate).

So the rich see their assets shoot the moon, and they get access to the 'money river', to boot. While the rest of us see stagnant real wages and a skyrocketing cost of living.

Is it any surprise that a tremendous and still-growing wealth gap between the 1% and everyone else has resulted?


(Source)

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The Future Looks Dim For Those Sleepwalking Into It

As we've written about at length in our recent report The Great Retirement Con, the average American worker is woefully unprepared to afford his/her retirement:

(Source)

And for those counting on a pension, odds aren't bad it may get reduced/eliminated during a future economic crisis.

Think that could never happen? Well, Governor Jerry Brown just announced this on Wednesday:

California's Brown Raises Prospect of Pension Cuts in Downturn (Bloomberg)

California Governor Jerry Brown said legal rulings may clear the way for making cuts to public pension benefits, which would go against long-standing assumptions and potentially provide financial relief to the state and its local governments.

Brown said he has a "hunch" the courts would "modify" the so-called California rule, which holds that benefits promised to public employees can’t be rolled back.

"There is more flexibility than there is currently assumed by those who discuss the California rule,” Brown said during a briefing on the budget in Sacramento. He said that in the next recession, the governor “will have the option of considering pension cutbacks for the first time.”

That would be a major shift in California, where municipal officials have long believed they couldn’t adjust the benefits even as they struggle to cover the cost. They have raised taxes and dipped into reserves to meet rising contributions. The California Public Employees’ Retirement System, the nation’s largest public pension, has about 68 percent of assets needed to cover its liabilities.

Across the country, states and local governments have about $1.7 trillion less than what they need to cover retirement benefits -- the result of investment losses, the failure by governments to make adequate contributions and perks granted in boom times.

"In the next downturn, when things look pretty dire, that would be one of the items on the chopping block," Brown said.

And this is in California, one of the most pro-worker/pro-entitlement states in the Union. If California is already sending out warnings like this, you can be sure that the other 49 states are thinking of making (at least) equally-harsh cuts when the next recession hits.

Potential cuts to promised pensions is just one of the many ways in which those running the system will act to preserve their share of the pie when crisis next arises. Those concerned about what other measures might be taken would do well to read our report Upon The Next Crisis, The Rules Will Suddenly Change.

And for those who prefer their cynicism blended with hard truths and humor, watch this short video of George Carlin's epic rant against the elite's Big Club. I quoted Carlin at the beginning of this article for a reason, he really nailed the central point I'm trying to make (Warning: the language used gets quite graphic):

Fighting Back

So, what can the rest of us in the 99% do about it?

Is this a lost cause? Should we just accept our fate and sink to the bottom of the money river, smothered by its high prices and low yields?

No.

The good news here is that there's a clear set of strategies for keeping yourself afloat while the system continues to pursue these pernicious and deeply unfair policies. They take focus, effort and discipline -- but anyone implementing them will have good chance to stay ahead of the rising cost curve, and have a real shot at financial prosperity.

In Part 2: Winning Against The Big Club, we examine a number of strategies for offsetting the soaring costs of everything from housing to healthcare -- with particular focus on the investments and actions you can take today, inside and outside of the markets, to preserve the purchasing power of your wealth from the nefarious "stealth tax" placed on your money by the kind of inflation discussed above.

Click here to read Part 2 of this report (free executive summary, enrollment required for full access)

Are Gen Z's socialist sympathies a threat to America's future?

NurPhoto / Contributor | Getty Images

In a republic forged on the anvil of liberty and self-reliance, where generations have fought to preserve free markets against the siren song of tyranny, Gen Z's alarming embrace of socialism amid housing crises and economic despair has sparked urgent alarm. But in a recent poll, Glenn asked the tough questions: Where do Gen Z's socialist sympathies come from—and what does it mean for America's future? Glenn asked, and you answered—hundreds weighed in on this volatile mix of youthful frustration and ideological peril.

The results paint a stark picture of distrust in the system. A whopping 79% of you affirm that Gen Z's socialist sympathies stem from real economic gripes, like sky-high housing costs and a rigged game tilted toward the elite and corporations—defying the argument that it's just youthful naivety. Even more telling, 97% believe this trend arises from a glaring educational void on socialism's bloody historical track record, where failed regimes have crushed freedoms under the boot of big government. And 97% see these poll findings as a harbinger of deepening generational rifts, potentially fueling political chaos and authoritarian overreach if left unchecked.

Your verdict underscores a moral imperative: America's soul hangs on reclaiming timeless values like self-reliance and liberty. This feedback amplifies your concerns, sending a clear message to the powers that be.

Want to make your voice heard? Check out more polls HERE.

Civics isn’t optional—America's survival depends on it

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Every vote, jury duty, and act of engagement is civics in action, not theory. The republic survives only when citizens embrace responsibility.

I slept through high school civics class. I memorized the three branches of government, promptly forgot them, and never thought of that word again. Civics seemed abstract, disconnected from real life. And yet, it is critical to maintaining our republic.

Civics is not a class. It is a responsibility. A set of habits, disciplines, and values that make a country possible. Without it, no country survives.

We assume America will survive automatically, but every generation must learn to carry the weight of freedom.

Civics happens every time you speak freely, worship openly, question your government, serve on a jury, or cast a ballot. It’s not a theory or just another entry in a textbook. It’s action — the acts we perform every day to be a positive force in society.

Many of us recoil at “civic responsibility.” “I pay my taxes. I follow the law. I do my civic duty.” That’s not civics. That’s a scam, in my opinion.

Taking up the torch

The founders knew a republic could never run on autopilot. And yet, that’s exactly what we do now. We assume it will work, then complain when it doesn’t. Meanwhile, the people steering the country are driving it straight into a mountain — and they know it.

Our founders gave us tools: separation of powers, checks and balances, federalism, elections. But they also warned us: It won’t work unless we are educated, engaged, and moral.

Are we educated, engaged, and moral? Most Americans cannot even define a republic, never mind “keep one,” as Benjamin Franklin urged us to do after the Constitutional Convention.

We fought and died for the republic. Gaining it was the easy part. Keeping it is hard. And keeping it is done through civics.

Start small and local

In our homes, civics means teaching our children the Constitution, our history, and that liberty is not license — it is the space to do what is right. In our communities, civics means volunteering, showing up, knowing your sheriff, attending school board meetings, and understanding the laws you live under. When necessary, it means challenging them.

How involved are you in your local community? Most people would admit: not really.

Civics is learned in practice. And it starts small. Be honest in your business dealings. Speak respectfully in disagreement. Vote in every election, not just the presidential ones. Model citizenship for your children. Liberty is passed down by teaching and example.

Samuel Corum / Stringer | Getty Images

We assume America will survive automatically, but every generation must learn to carry the weight of freedom.

Start with yourself. Study the Constitution, the Bill of Rights, and state laws. Study, act, serve, question, and teach. Only then can we hope to save the republic. The next election will not fix us. The nation will rise or fall based on how each of us lives civics every day.

Civics isn’t a class. It’s the way we protect freedom, empower our communities, and pass down liberty to the next generation.

This article originally appeared on TheBlaze.com.

'Rage against the dying of the light': Charlie Kirk lived that mandate

PHILL MAGAKOE / Contributor | Getty Images

Kirk’s tragic death challenges us to rise above fear and anger, to rebuild bridges where others build walls, and to fight for the America he believed in.

I’ve only felt this weight once before. It was 2001, just as my radio show was about to begin. The World Trade Center fell, and I was called to speak immediately. I spent the day and night by my bedside, praying for words that could meet the moment.

Yesterday, I found myself in the same position. September 11, 2025. The assassination of Charlie Kirk. A friend. A warrior for truth.

Out of this tragedy, the tyrant dies, but the martyr’s influence begins.

Moments like this make words feel inadequate. Yet sometimes, words from another time speak directly to our own. In 1947, Dylan Thomas, watching his father slip toward death, penned lines that now resonate far beyond his own grief:

Do not go gentle into that good night. / Rage, rage against the dying of the light.

Thomas was pleading for his father to resist the impending darkness of death. But those words have become a mandate for all of us: Do not surrender. Do not bow to shadows. Even when the battle feels unwinnable.

Charlie Kirk lived that mandate. He knew the cost of speaking unpopular truths. He knew the fury of those who sought to silence him. And yet he pressed on. In his life, he embodied a defiance rooted not in anger, but in principle.

Picking up his torch

Washington, Jefferson, Adams — our history was started by men who raged against an empire, knowing the gallows might await. Lincoln raged against slavery. Martin Luther King Jr. raged against segregation. Every generation faces a call to resist surrender.

It is our turn. Charlie’s violent death feels like a knockout punch. Yet if his life meant anything, it means this: Silence in the face of darkness is not an option.

He did not go gently. He spoke. He challenged. He stood. And now, the mantle falls to us. To me. To you. To every American.

We cannot drift into the shadows. We cannot sit quietly while freedom fades. This is our moment to rage — not with hatred, not with vengeance, but with courage. Rage against lies, against apathy, against the despair that tells us to do nothing. Because there is always something you can do.

Even small acts — defiance, faith, kindness — are light in the darkness. Reaching out to those who mourn. Speaking truth in a world drowning in deceit. These are the flames that hold back the night. Charlie carried that torch. He laid it down yesterday. It is ours to pick up.

The light may dim, but it always does before dawn. Commit today: I will not sleep as freedom fades. I will not retreat as darkness encroaches. I will not be silent as evil forces claim dominion. I have no king but Christ. And I know whom I serve, as did Charlie.

Two turning points, decades apart

On Wednesday, the world changed again. Two tragedies, separated by decades, bound by the same question: Who are we? Is this worth saving? What kind of people will we choose to be?

Imagine a world where more of us choose to be peacemakers. Not passive, not silent, but builders of bridges where others erect walls. Respect and listening transform even the bitterest of foes. Charlie Kirk embodied this principle.

He did not strike the weak; he challenged the powerful. He reached across divides of politics, culture, and faith. He changed hearts. He sparked healing. And healing is what our nation needs.

At the center of all this is one truth: Every person is a child of God, deserving of dignity. Change will not happen in Washington or on social media. It begins at home, where loneliness and isolation threaten our souls. Family is the antidote. Imperfect, yes — but still the strongest source of stability and meaning.

Mark Wilson / Staff | Getty Images

Forgiveness, fidelity, faithfulness, and honor are not dusty words. They are the foundation of civilization. Strong families produce strong citizens. And today, Charlie’s family mourns. They must become our family too. We must stand as guardians of his legacy, shining examples of the courage he lived by.

A time for courage

I knew Charlie. I know how he would want us to respond: Multiply his courage. Out of this tragedy, the tyrant dies, but the martyr’s influence begins. Out of darkness, great and glorious things will sprout — but we must be worthy of them.

Charlie Kirk lived defiantly. He stood in truth. He changed the world. And now, his torch is in our hands. Rage, not in violence, but in unwavering pursuit of truth and goodness. Rage against the dying of the light.

This article originally appeared on TheBlaze.com.

Glenn Beck is once again calling on his loyal listeners and viewers to come together and channel the same unity and purpose that defined the historic 9-12 Project. That movement, born in the wake of national challenges, brought millions together to revive core values of faith, hope, and charity.

Glenn created the original 9-12 Project in early 2009 to bring Americans back to where they were in the wake of the 9/11 attacks. In those moments, we weren't Democrats and Republicans, conservative or liberal, Red States or Blue States, we were united as one, as America. The original 9-12 Project aimed to root America back in the founding principles of this country that united us during those darkest of days.

This new initiative draws directly from that legacy, focusing on supporting the family of Charlie Kirk in these dark days following his tragic murder.

The revival of the 9-12 Project aims to secure the long-term well-being of Charlie Kirk's wife and children. All donations will go straight to meeting their immediate and future needs. If the family deems the funds surplus to their requirements, Charlie's wife has the option to redirect them toward the vital work of Turning Point USA.

This campaign is more than just financial support—it's a profound gesture of appreciation for Kirk's tireless dedication to the cause of liberty. It embodies the unbreakable bond of our community, proving that when we stand united, we can make a real difference.
Glenn Beck invites you to join this effort. Show your solidarity by donating today and honoring Charlie Kirk and his family in this meaningful way.

You can learn more about the 9-12 Project and donate HERE