America's Aristocracy

Is America building an aristocracy? Yes, argues my colleague, Ray Madoff, in an important op-ed in the New York Times.

Here is a taste:

American have always assumed that wealth comes and goes. A poor person can work hard, become rich and pass his money on to his children and grandchildren. But then, if those descendants do not manage it wisely, they may lose it. “Shirtsleeves to shirtsleeves in three generations,” the saying goes, and it conforms to our preference for meritocracy over aristocracy.

This assumption is now being undermined, however, through the increasing use of so-called dynasty trusts.

Read the full piece here.