Wealth inequality is a ‘large drawback’
Adam Galica | CNBC
“I feel it is an enormous drawback,” Dimon mentioned. “I feel the rich have been getting wealthier an excessive amount of in some ways, so center class incomes have been form of flat for possibly 15 years or so, and that is not notably good in America.”
Dimon added that folks on the decrease finish of the spectrum have “notably been left behind,” noting: “We have not finished a great job rising our economic system. That might’ve mounted quite a lot of that drawback.”
His remarks come amid elevated criticism of the wealthy by sure U.S. presidential hopefuls, notably Democratic Sen. Elizabeth Warren from Massachusetts.
On Oct. 23, Warren known as in a tweet for billionaire investor Leon Cooperman to “pitch in a bit extra so everybody else has an opportunity on the American dream.” The tweet drew the Cooperman’s ire.
Cooperman despatched a letter to Warren’s workplace in late October, saying “your tweet demonstrated a elementary misunderstanding of who I’m, what I stand for, and why I consider so a lot of your financial coverage initiatives are misguided.”
He then advised CNBC’s “Halftime Report” on Nov. four the “vilification of billionaires is mindless to me.” When requested why he spoke out towards Warren, a tearful Cooperman mentioned, “I care.”
Warren responded to Cooperman’s remarks by tweeting: “One factor I do know he cares about—his fortune.” She then criticized Cooperman’s investments in student-loan firm Navient and mentioned she cares “about a complete technology of scholars being crushed by scholar mortgage debt.”
However whereas J.P. Morgan’s Dimon is apprehensive about rising wealth inequality — a Credit score Suisse report from final month mentioned millionaires now maintain 44% of the world’s whole wealth — he reprimanded Warren and others for his or her criticisms of the rich.
“Something that vilifies folks, I simply do not like. I feel that most individuals are good; not all of them,” Dimon mentioned within the Sunday interview. “I feel it’s best to vilify Nazis, however you should not vilify individuals who’ve labored arduous to perform issues.”
He reiterated, nonetheless, that there are answers to wealth inequality, comparable to altering the U.S. miniumum wage and decreasing taxes for the poor and the center class. “The issues are actual, it doesn’t imply free enterprise [is] dangerous.”