How Many Times Will the Morbidly Rich Crash America Before We Learn?

Why every era ruled by the morbidly rich ends the same way: corruption, collapse, and ordinary people paying the bill....

One of the greatest gifts Donald Trump and the thirteen billionaires he pulled into his administration have given America is the reminder, finally and once and for all, that just because somebody is rich doesn’t mean they’re smart. Particularly if they inherited their starting capital from daddy, like Trump and Musk both did.

Wealth in this country has become so intertwined with our mythologies of genius, destiny, and merit that we’ve ended up elevating into near-sainthood (and electing to high office) some of the least thoughtful, least competent, and least self-aware people ever to walk a boardroom floor. It’s a dangerous confusion, and one with deep roots.

I still remember a conversation on my radio program back in 2009 with Bill Gates Sr., one of the kindest and most grounded men I’ve hosted on the air. He told me, matter-of-factly, that while his son Bill was indeed a very smart guy, he also had the sort of upper-middle-class safety net that most Americans could only dream about. Had Bill Jr. been born poor, Gates Sr. said, the trajectory of his life (and the existence of Microsoft) would likely have been very different.

Talent exists everywhere; opportunity does not. That’s true for the brilliant, and just as true for the average or below-average minds who happen to be born into staggering wealth. Privilege — not genius — is what insulates foolish people from the consequences of foolish decisions.

Trump’s casinos went bankrupt even though casinos are literally engineered to make money. He claimed windmills cause cancer. He altered a hurricane map with a Sharpie rather than admit he was wrong. His incompetent handling of Covid caused the unnecessary deaths of hundreds of thousands of Americans and now he’s up all night ragetweeting.

Elon Musk blew $44 billion on a website he’s turned into a global punchline, called a Thai cave-rescue diver a “pedo” because the man contradicted him, and cheer-led the destruction of USAID, an act that has severely damaged America’s international soft power, handed a huge geopolitical gift to Russia and China, and already led to what could be millions of unnecessary deaths. Mark Zuckerberg spent tens of billions on a plastic cartoon “metaverse” almost nobody asked for or used.

These aren’t the moves of geniuses. They’re the stumbles of men surrounded by people too afraid to tell them the truth. But this isn’t just about today’s crop of oligarchs. We’ve seen this movie before.

The plantation oligarchs of the 1850s South — men who were some of the richest Americans ever to live — tried to build a continent-wide authoritarian slave empire. They launched a war against democracy itself in 1861 and almost 700,000 Americans died in that Civil War as Lincoln and the Union fought valiantly to preserve our democracy.

During the late nineteenth-century Gilded Age, the robber barons — Carnegie, Rockefeller, Gould, Vanderbilt — were worshiped as industrial gods. Tesla and Edison (genuine geniuses) were hailed as saints of electricity, but it was the financiers behind them who used their inventions to create monopolies and accumulate dynastic wealth.

Only later did America realize that many of these men were less geniuses than gamblers with armies of lawyers; that they built fortunes by crushing competition, often hurting communities, workers, and even the nation itself in their unquenchable quest for more, more, more money!

And then there was the Roaring Twenties, when the super-rich were again treated like royalty. The stock market was their playground, the nation their casino. Republican Presidents Harding, Coolidge, and Hoover gave them everything they asked for, from banking deregulation to massive tax breaks.

The result was the Republican Great Depression, and an entire decade of breadlines and collapsed banks. It took FDR and a generation of reformers to remind America that letting the wealthy run wild always ends the same way: with ordinary Americans paying the price.

After Franklin Roosevelt’s reforms, after the humiliation of the Depression, after decades of regulations and high taxes and guardrails to keep the oligarchs from crashing the system again, the morbidly rich mostly kept their heads down.

For a while, at least.

But by the late 1960s and early 70s, something was happening: people were forgetting the damage that celebrating unrestrained wealth had done the last time it was allowed to dominate American politics. That’s when Lewis Powell delivered his infamous “Powell Memo” in 1971, a corporate call to arms urging the wealthiest Americans to seize control of the media, academia, Congress and the judiciary, public opinion, and the political system itself.

It worked. And over the following decades — with the morbidly rich funding right-wing think tanks, engineering media consolidation, and pouring rivers of dark money into our political system — America once again drifted back toward the worship of wealth as a sort of near-divine wisdom. We thus elected a corrupt, felonious billionaire to the presidency, twice.

Every time we let the morbidly rich take the wheel, our nation veers off the road.

Part of the problem is psychological. Extreme wealth isolates people from reality. Studies on the wealthy show declining empathy, reduced capacity to recognize others’ emotions, and a dangerous overconfidence in their own intuition.

Research on CEOs finds that around 20 percent exhibit psychopathic traits — lack of empathy, superficial charm, impulsivity — compared to about one percent of the public. These aren’t qualities that make for wise leadership, but they do let people crawl over the bodies and lives of others to make themselves rich and powerful.

They also can make for headline-grabbing blunders, cruel policies, and breathtakingly stupid decisions insulated from consequence only by inherited wealth and an army of sycophants.

And as I wrote in yesterday’s Hartmann Report about the “Great Secession of the Morbidly Rich,” once wealth reaches a certain scale it becomes indistinguishable from hoarding disorder. Billionaires don’t just accumulate money: they stockpile influence, lawmakers, media platforms, even entire political movements. They withdraw from the common good, then blame the rest of us for the social and infrastructure instability their own excesses have created.

The truth is that America has always been at its strongest when it remembers that great nations are built by great communities, not great fortunes. When we measure character by contribution, not by bank balance. When we demand guardrails, boundaries, and democratic accountability for everyone, especially those with the most power to do the most harm.

The morbidly rich won’t police themselves. They never have. It thus falls to the rest of us to stop confusing wealth with wisdom, and to stop granting automatic deference to people who’ve shown us, over and over again, that riches are no guarantee of intelligence, judgment, or moral clarity.

If we forget that lesson again, they’ll be more than happy to remind us…at our expense.