--- title: "Meaning & Key Takeaway of: What do the 5%, or the 1% actually use…" description: "\"What do the 5%, or the 1% actually use their money for? They lend it back to the economy at large, they load it down with debt. They make their money b..." image: "https://sms4smile.com/quotes/i/470/michael-hudson-2134_bottom_what-do-the-5-or-the-1-actually-use-thei_639232.jpg" --- # What do the 5%, or the 1% actually use their money for?… ![“What do the 5%, or the 1% actually use their money for? They lend it back to the economy at large, they load it down with debt. They make their money by lending to the bottom 95%, or the bottom 99%. When you give them more after-tax income, it enables them to buy even more control of government…” quote by Michael Hudson](https://sms4smile.com/quotes/i/470/michael-hudson-2134_bottom_what-do-the-5-or-the-1-actually-use-thei_639232.jpg) [Download](https://sms4smile.com/quotes/i/470/michael-hudson-2134_bottom_what-do-the-5-or-the-1-actually-use-thei_639232.jpg) [Open image](https://sms4smile.com/quotes/i/470/michael-hudson-2134_bottom_what-do-the-5-or-the-1-actually-use-thei_639232.jpg) > “What do the 5%, or the 1% actually use their money for? They lend it back to the economy at large, they load it down with debt. They make their money by lending to the bottom 95%, or the bottom 99%. When you give them more after-tax income, it enables them to buy even more control of government, even more control of election campaigns. They're not going to spend this money back into the goods-and-services economy.” [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. Critiques how a small elite’s wealth is used to control politics and finance, limiting broader economic benefit. **In simple terms:** Elite wealth often fuels political power, not public good. Key Takeaway Address wealth concentration. Themes economics power inequality politics Mood critical concerned Type analytical political When to use this quote - tax reform - campaign finance reform - public investment Key Concepts wealth concentration political finance economic policy Questions to Reflect On - What policies can reduce elite financial influence? - How does wealth concentration affect democracy? A Different Perspective Complex solutions needed to shift entrenched interests. ★ ★ ★ ★ ★ No ratings yet [Campaigns](https://sms4smile.com/quotes/about/campaigns/) [Economy](https://sms4smile.com/quotes/about/economy/) [Election](https://sms4smile.com/quotes/about/election/) [Giving](https://sms4smile.com/quotes/about/giving/) [Government](https://sms4smile.com/quotes/about/government/) [Income](https://sms4smile.com/quotes/about/income/) [Money](https://sms4smile.com/quotes/about/money/) [Politics](https://sms4smile.com/quotes/about/politics/) [Taxes](https://sms4smile.com/quotes/about/taxes/) ## Related quotes > [The problems of 2008 were never cured. The Federal Reserve's solution to the crisis was to lend the economy enough money to borrow its…](https://sms4smile.com/quotes/michael-hudson/the-problems-of-2008-were-never-cured-the-federal-reserve-s-solution/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [There is one bit of advice given us by the ancient Greeks, and by the Jews in the Old Testament, and by the great…](https://sms4smile.com/quotes/c-s-lewis/there-is-one-bit-of-advice-given-us-by-the-ancient-greeks-and-by-the/) [C. S. Lewis](https://sms4smile.com/quotes/author/c-s-lewis/) > [Money lending is a horrible profession. If we are to call it otherwise it is lawful plundering.](https://sms4smile.com/quotes/periyar-e-v-ramasamy/money-lending-is-a-horrible-profession-if-we-are-to-call-it-otherwise/) [Periyar E. V. Ramasamy](https://sms4smile.com/quotes/author/periyar-e-v-ramasamy/) > [This is not really currency that circulates. It's like the old joke about expensive vintage wine. Wine prices will go up and once in…](https://sms4smile.com/quotes/michael-hudson/this-is-not-really-currency-that-circulates-it-s-like-the-old-joke/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [Debt deflation is when there's less money that people have to spend out of their paychecks on goods and services, because they're paying the…](https://sms4smile.com/quotes/michael-hudson/debt-deflation-is-when-there-s-less-money-that-people-have-to-spend/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [The companies aren't hiring, because consumers don't have enough money to buy the goods and services.](https://sms4smile.com/quotes/michael-hudson/the-companies-aren-t-hiring-because-consumers-don-t-have-enough-money/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [People have to pay so much money to the banks that they don't have enough money to buy the goods and services they produce.…](https://sms4smile.com/quotes/michael-hudson/people-have-to-pay-so-much-money-to-the-banks-that-they-don-t-have/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [As you have to pay more interest and amortization on what you owe, you're left with less and less money to buy goods and…](https://sms4smile.com/quotes/michael-hudson/as-you-have-to-pay-more-interest-and-amortization-on-what-you-owe-you/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [If you have to pay about forty to forty-three percent of your income for housing, you also have to pay fifteen percent of your…](https://sms4smile.com/quotes/michael-hudson/if-you-have-to-pay-about-forty-to-forty-three-percent-of-your-income/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [Deflation is a leakage from this circular flow, to pay banks and the real estate, called the FIRE sector - finance, insurance and real…](https://sms4smile.com/quotes/michael-hudson/deflation-is-a-leakage-from-this-circular-flow-to-pay-banks-and-the/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [More and more money is being extracted from of the production and consumption economy to pay the FIRE sector. 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But a growing part of…](https://sms4smile.com/quotes/michael-hudson/most-people-think-of-the-economy-as-producing-goods-and-services-and/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [Most banks - with Deutsche Bank at the top of the spectrum here - have decided that they can't make money lending to barrowers…](https://sms4smile.com/quotes/michael-hudson/most-banks-with-deutsche-bank-at-the-top-of-the-spectrum-here-have/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) ## More by Michael Hudson > [Europe is creating the flight of refugees that's tearing it apart politically, and leading rightwing nationalist parties to gain power to withdraw from the…](https://sms4smile.com/quotes/michael-hudson/europe-is-creating-the-flight-of-refugees-that-s-tearing-it-apart/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [This is not really currency that circulates. It's like the old joke about expensive vintage wine. 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They raise the cost of living.](https://sms4smile.com/quotes/michael-hudson/actually-high-housing-prices-don-t-help-the-economy-they-raise-the/) [Michael Hudson](https://sms4smile.com/quotes/author/michael-hudson/) > [When economists speak of money, they neglect that all money and credit is debt. That is the essence of bookkeeping and accounting. 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