The current wealth gap in America is not a natural outcome of market forces but rather the result of deliberate policy choices, regulatory failures, and political manipulation. Stiglitz demonstrates how the wealthy elite has shaped legislation, tax policies, and economic regulations to concentrate wealth upward while limiting opportunities for social mobility.

Economic inequality has transformed into political inequality, creating a vicious cycle where wealthy interests influence policy-making to further entrench their advantages. This process has eroded democratic institutions, public trust, and social cohesion, leading to a system that increasingly serves the few at the expense of the many.

Contrary to popular belief, high levels of inequality actually hamper economic growth and efficiency. The concentration of wealth reduces consumer spending power, limits educational and entrepreneurial opportunities, and creates market distortions that ultimately lead to reduced productivity and innovation across the economy.