According to a Congressional Budget Office report, you need at least $787,712 in income per year to make the top 1%, but this varies by where you live. As of 2023, the top 1% of American households owned 30.0% of net worth, or 30 cents of every dollar. The total net worth of the top 1% in 2023 was $43.0 trillion. Nearly 96.1 percent of the 1.2 million households in the top one percent by income were white, a total of about 1,150,000 households. We have to understand how changes in the contemporary political environment make people want to believe negative information about the opposition. In a highly polarized world, where people are divided into competing political tribes, millions of Americans admit they themselves have intentionally spread information they know to be false. If that continues, it will lead to disaster for the country’s politics and governance.
The Watergate scandal exposed a network of secret fundraising and illegal campaign donations. Laws aimed at reducing financial abuses have had little or no effect on big money’s influence on politics. After five men with ties to the Nixon campaign were arrested for breaking into the Democratic National Headquarters at the Watergate Hotel on June 17, 1972, to plant listening devices, investigations revealed that tens of millions of dollars in illegal corporation donations had fueled his victory. Nixon resigned; the donations and the attempts to cover them up led Congress to pass the Federal Election Campaign Act of 1974. But by 1988, corporate money was flowing again – to political parties, which were free to spend the donations in support of party candidates. In 2002, Congress passed the Bipartisan Campaign Reform Act, which outlawed donations from corporations, unions and wealthy individuals.1
Citizens United, a PAC, was founded in 1988 by Floyd Brown, a longtime Washington political consultant, with major funding from longtime industrialists the Koch brothers. The group promoted corporate interests, socially conservative causes and candidates who supported their main goals of limited government and freedom of enterprise. The Watergate campaign finance scandals led to a landmark law designed to limit the influence of money in politics. Decades later, some say the scandal isn’t what’s illegal, it’s what’s legal. Many conservatives said it would make the system fairer, broadening the open market of ideas and creating a new frontier of freedom of expression in politics. Liberals, for the most part, denounced it as a threat to democracy that would cement power in the hands of the few. The 2010 ruling in Citizens United vs. Federal Election Commission certainly changed the way money influences American politics — but largely in ways that were unforeseen at the time.
January 21, 2020 will mark a decade since the Supreme Court’s ruling in Citizens United v. Federal Election Commission, a controversial decision that reversed century-old campaign finance restrictions and enabled corporations and other outside groups to spend unlimited funds on elections. n the words of European autocrat Viktor Orbán, “No policy-specific debates are needed now, the alternatives in front of us are obvious…[W]e need to understand that for rebuilding the economy it is not theories that are needed but rather thirty robust lads who start working to implement what we all know needs to be done.” See! Just thirty robust lads and one far-sighted overseer and you’re on the way to a great economy. While wealthy donors, corporations, and special interest groups have long had an outsized influence in elections, that sway has dramatically expanded since the Citizens United decision, with negative repercussions for American democracy and the fight against political corruption.
In the court’s opinion, Justice Anthony Kennedy wrote that limiting “independent political spending” from corporations and other groups violates the First Amendment right to free speech. The justices who voted with the majority assumed that independent spending cannot be corrupt and that the spending would be transparent, but both assumptions have proven to be incorrect. With its decision, the Supreme Court overturned election spending restrictions that date back more than 100 years. Previously, the court had upheld certain spending restrictions, arguing that the government had a role in preventing corruption. But in Citizens United, a bare majority of the justices held that “independent political spending” did not present a substantive threat of corruption, provided it was not coordinated with a candidate’s campaign.
As a result, corporations can now spend unlimited funds on campaign advertising if they are not formally “coordinating” with a candidate or political party. The most significant outcomes of Citizens United have been the creation of super PACs, which empower the wealthiest donors, and the expansion of dark money through shadowy nonprofits that don’t disclose their donors. A Brennan Center report by Daniel I. Weiner pointed out that a very small group of Americans now wield “more power than at any time since Watergate, while many of the rest seem to be disengaging from politics.“ In its decision, the Supreme Court reasoned that unlimited spending by wealthy donors and corporations would not distort the political process, because the public would be able to see who was paying for ads and “give proper weight to different speakers and messages.” But in reality, the voters often cannot know who is actually behind campaign spending.2
“History repeats itself” is often attributed to George Santayana, his actual quote is “Those who cannot remember the past are condemned to repeat it,” which conveys a similar sentiment about learning from history to avoid making past mistakes. Wealth and the media’s portrayal of it can influence cultural values, fostering materialism and consumerism and creating social stratification. While wealth has always provided power, this has increased in modern times when wealth has become a basic source of influence. “I like free speech and minimal controls,” said William Watson, an economics professor at McGill University in Montreal and a senior fellow of the market-oriented Fraser Institute, which has charitable status in both Canada and the U.S. “But there has to be a borderline to what is speech. There is always going to be a debate about this. It’s a conflict that is not going to go away.”
With increased globalization, the disparity between rich and poor has widened and more and more wealth has passed into corporate control. The logic of globalization is seductive because it is based on a simple premise – free the market of its restrictions and its self-organizing dynamics will bring employment, wealth, and prosperity. Thus, globalization supports diversity, freedom of choice and enhancement of material production. In return, the system is to provide everyone, equally, an opportunity to exercise a full range of choices. Project 2025, the 900-page policy document contained proposals for dramatic reductions in the size of federal government, expanded presidential authority, rigorous immigration enforcement, a nationwide abortion ban and other elements of an ultra-conservative social agenda. Critics argue that tax cuts for the wealthy may not be reinvested in ways that benefit the broader economy, and may instead be used for other purposes.
The term “1%” emphasizes net worth (assets minus debts) over income, as net worth captures long-term wealth accumulation rather than just a single year’s income. The growing wealth gap is a significant economic and social issue, with the top 1% accumulating wealth at a much faster rate than the bottom 99%. The term highlights issues of wealth inequality, where a small portion of the population holds a disproportionate amount of wealth.The 1% aren’t just the biggest climate wreckers, they also greatly influence how the world responds to the crisis. Some critics think that the supergiant tech corporations that have spawned so many modern billionaires operate in ways that resemble feudalism more than capitalism, and, certainly, plenty of billionaires operate like the lords of the Earth while campaigning to protect the economic inequality that made them so rich and makes so many others so poor. They use their power in arbitrary, reckless and often environmentally destructive ways.
As corporations and neolibrals gain more control over politics and society, they erode the principles and institutions of democracy and human rights. They undermine the rule of law, the separation of powers, the freedom of expression, the right to privacy, the right to education, the right to health care, and other civil liberties. They also promote authoritarianism, nationalism, populism, fascism, and other forms of extremism. Thus, social frustration, originating from socio-political and socio-economic problems, has been channeled by the populist parties, which feed and sharpen social polarization. The new populist GOP exploits discontent stemming from a perceived elites’ failure, and they find fertile ground in times of crisis. Such tendencies increase tribalism among ordinary citizens and the political establishment and originate from social resentment. Therefore, it is essential to understand the political importance of unacknowledged resentment as an explosive force in social relations.
Growing cynicism about politics is also, in part, the product of neoliberal attacks on the state, which depict governments as disconnected from real lives and bent on taking away our money and our freedoms. The past few decades have seen a systematic delegitimization of the idea that the state exists to provide collectively what we cannot provide as individuals. This leads to declining commitment from more and more people to maintaining public services, and increases inequality. Neoliberalism not only undermines the basic elements of democracy by escalating the mutually reinforcing dynamics of economic inequality and political inequality – accentuating the downward spiral of social and economic mobility – it has created conditions that make fascist ideas and principles more attractive. The rise of the populist, a close cousin of fascists, occurs in parallel as the ideas, values and institutions crucial to democracy have withered under a savage neoliberalism.3
What is the best approach to opposing the values of an economic system that subordinates persons to profit. Project 2025 depends on the right winning and keeping power. That can be stopped through high voter turnout, especially at the state and local levels. State legislatures, attorneys general, and governors can sue the federal government, refuse cooperation, and enact state-level protections (as seen with abortion rights, sanctuary cities, and marijuana laws). “No Kings” protests, are a commitment to non violent action. In particular, progressives fighting authoritarian actions of the Trump agenda. In particular the antidemocratic policies, especially in light of tensions surrounding his administration’s crackdown on immigration and the president’s own statements about being a king. The “No Kings” rallies are key to countering the neoliberal governance model of the 1%.
1 https://retroreport.org/video/how-watergate-and-citizens-united-shaped-campaign-finance-law/
2 https://www.brennancenter.org/our-work/research-reports/citizens-united-explained
3 Henry A. Giroux (20 Aug 2018) Neoliberal Fascism and the Echoes of History https://socialistproject.ca/2018/08/neoliberal-fascism-echoes-of-history/