Fast Company
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These ‘everywhere millionaires’ reveal a hidden engine of American wealth
Owen Zidar and Eric Zwick, authors of "The Everywhere Millionaire," reveal that America's true wealthy are not just tech moguls or celebrities. Millions have quietly amassed fortunes by owning ordinary private businesses, such as car dealerships and garage-door companies. These "Everywhere Millionaires," averaging $25 million each, collectively hold 13 times the wealth of the Forbes 400. They reside across the country, often in obscurity, coaching local sports or as your dentist. Their existence was uncovered by analyzing anonymized tax data, showing that private businesses, particularly pass-through entities, constitute the "dark matter" of American wealth. These pass-throughs, S corporations and partnerships, account for 95% of businesses and the majority of the top 1% wealth rise since the 1980s. A key insight is that "non-sexy is sexy"; many successful businesses are ordinary, requiring no extraordinary genius or elite education. Entrepreneurship, particularly through Main Street businesses, is a powerful engine of upward mobility, more so than attending elite colleges. These "Stealthy Wealthy" are also politically influential, holding disproportionate congressional seats and state and local government positions. Their influence shapes tax and regulatory policies, often under the radar, due to their low public profile. Understanding this group is crucial for grasping how American economic policy is made.