You're Probably Getting Screwed by Oligarchs
The case for an American Age of Trustbusting
Welcome to You’re Probably Getting Screwed, a weekly newsletter and video series from J.D. Scholten and Justin Stofferahn about the Second Gilded Age and the ways economic concentration is putting politics and profits over working people.
Has America entered it’s Golden Era? Or an Oligarch Era? It needs a Trustbusting Era.
You can find the FTC’s “Summary of Key Accomplishments” here.
Oligarchy is here, but it is not inevitable. As President Biden noted in his farewell address, Americans have risen before to take on robber barons and protect democracy. We can do so once again, but we need leaders committed to the fight!
YOU’RE PROBABLY (ALSO) GETTING SCREWED BY:
Concentrated Wealth
Just a reminder from one of the earliest trustbusters…
Trump’s Economy
Rolling back corporate regulations, lowering taxes for business and implementing tariffs will most likely mean record corporate profits and higher costs of living.
Most economists are expecting what is known as a K Shaped economy, meaning there will be some people who make a lot of money while others will struggle. We saw this with the economic response to the pandemic.
From the Financial Review: The financial insecurity – amplified by the evaporation of pandemic savings, higher debt and maxed-out credit cards – will take time to overcome through the current growth rate in wages and job opportunities.
Biden’s Antitrust Heroes and What’s Next
A huge thank you to former Assistant Attorney General for Antitrust, Jonathan Kanter 👏👏👏
The Antitrust Division’s work inside the courtroom laid a foundation with staying power for wielding century-old competition laws to police corporate concentration at scale. A push to ramp up enforcement was an “investment in the future,” Hetal Doshi, who led the Department of Justice’s antitrust litigation program, told Bloomberg.
Donald Trump’s election victory in November threatens to upend that agenda. It’s unclear what the new administration will want to do with the litigation program.
Here are the 9 ongoing civil court matters:
Meatpackers
Yet again… the Department of Labor found meatpackers using child labor. Perdue Farms and JBS will each pay $4 million after federal investigations revealed they had illicitly employed dozens of children through staffing agencies.
Cargill
The country’s largest privately held company, Cargill, laid off thousands of employees last month, while the company's owners made $2 billion from stock buybacks and one-time dividends, according to Fitch Ratings.
As was mention in the video, oligarchs
Oh and those oligarchs again…
Our readers already know… “Searches for ‘What Is an Oligarchy’ Spike After Biden’s Warning”
What’s in Your Wallet…
Capital One is being sued for cheating millions of consumers out of more than $2 billion in interest!!! Allegedly, they unlawfully misled consumers about its 360 Savings accounts and obscured its higher-interest savings product from them.
John Deere
Along with layoffs and shipping jobs overseas, John Deere is now being sued by the Federal Trade Commission over the issue of Right-to-Repair.
Good News
Here’s an Open Call to Launch New Working-Class Organizing
Do you have an idea of a group of people, a place, or a model to organize more working-class people? This is your chance - an open call for organizers with a good idea and track record to reach people who are unlikely to be reached otherwise.
To learn more, go here.
BEFORE YOU GO
Before you go, I need two things from you: 1) if you like something, please share it on social media or the next time you have coffee with a friend. 2) Ideas, if you have any ideas for future newsletter content please comment below. Thank you.
Break ‘Em Up,
Justin Stofferahn
Revolutions against oligarchs are complex social phenomena driven by economic, social, and political factors. While they are not strictly caused by “mathematical triggers,” certain quantifiable thresholds or disparities often create the conditions for revolutionary movements. These include:
1. Gini Coefficient Thresholds
• Definition: The Gini coefficient measures income or wealth inequality (0 = perfect equality, 1 = perfect inequality).
• Trigger: Studies suggest that when the Gini coefficient crosses 0.4–0.45, dissatisfaction and unrest are likely to grow, as the majority feel excluded from economic benefits.
2. Wealth Concentration Ratios
• Definition: The share of wealth controlled by the top 1%, 5%, or 10% of a population.
• Trigger: When the top 1% control more than 40–50% of a nation’s wealth, it can signal oligarchic dominance, alienating the broader populace and fueling revolutionary sentiment.
3. Poverty and Real Wages
• Definition: The proportion of the population living below the poverty line and the purchasing power of wages.
• Trigger: Rising poverty rates combined with stagnant or declining real wages (adjusted for inflation) erode public trust in the system and amplify calls for radical change.
4. Unemployment and Underemployment Rates
• Definition: The percentage of the labor force that is unemployed or underemployed.
• Trigger: Unemployment above 20%, especially among youth, correlates strongly with revolutionary movements.
5. Food Price Index Spikes
• Definition: The cost of basic food staples relative to incomes.
• Trigger: Sharp increases in food prices (e.g., 30–50% within a short period) strain low-income households, often acting as a tipping point for unrest, as seen in the French Revolution and Arab Spring.
6. Social Mobility Decline
• Definition: The ability of individuals to improve their economic status relative to their parents or peers.
• Trigger: A marked decline in intergenerational social mobility (measured by metrics like income elasticity) can solidify perceptions of oligarchic entrenchment.
7. Tax Burden Inequities
• Definition: The ratio of taxes paid by different economic classes.
• Trigger: When the tax burden disproportionately affects the middle and lower classes while the wealthy avoid significant taxation, resentment builds.
8. Critical Mass of Disenfranchised Population
• Definition: The percentage of the population feeling politically or economically excluded.
• Trigger: When 50–60% of people believe the system is rigged against them, organized opposition becomes more likely.
9. Government Debt and Corruption Metrics
• Definition: Levels of public debt relative to GDP and perceptions of corruption (e.g., measured by Transparency International’s Corruption Perceptions Index).
• Trigger: High debt levels coupled with blatant corruption can erode public trust and amplify anger against oligarchs.
10. Economic Shocks
• Definition: Sudden disruptions like financial crises, hyperinflation, or severe recessions.
• Trigger: Economic shocks exacerbate existing inequalities, often serving as the immediate cause of revolutionary action.
While no single metric guarantees a revolution, the interplay of these factors creates tipping points. History shows that when economic inequality, political corruption, and social discontent align, they often ignite transformative movements.