The Rich Own Most of the Stock in the United States

According to the Federal Reserve Flow of Funds (Table L.213) the total value of the U.S. stock market as of the third quarter of 2004 is $15,627 billion, which is the same as $15.627 trillion. That amounts to $52,957.76 for every one of the estimated 295,084,206 people in the United States as of December 30, 2004. The total dividends paid were $424 billion, which is $1,436.88 per person. The dividend yield ($dividends/total stock value) is 2.7%

But the ownership pattern of stock in the United States is not uniform. According to Edward N. Wolff the top 1% of the population as measured by net worth owns 44.1% of all of the stock. The top 10% owns 84.5% and the bottom 90% owns 15.5%. The next table shows the amount of stock owned by each group.

Stock Ownership in the United States
Measure	Top 1%	Top 10%	Bottom 90%
Number People	2,950,842	29,508,421	265,575,785
Stock Value (Billion)	$6,892	$13,205	$2,422
Stock Value per Person	$2,335,437	$447,493	$9,121
Dividends (Billion)	$187	$358	$66
Dividends per Person	$63,366	$12,142	$247

Clearly the top 1% of the population owns most of the stock and receives the biggest benefits from the stock market. For example, the average rich person receives $63,366 worth of dividends each year while the average person in the bottom 90% group receives only $247.