Paranoia of the Plutocrats
Rising inequality has obvious economic costs: stagnant wages despite rising productivity, rising debt that makes us more vulnerable to financial crisis. It also has big social and human costs. There is, for example, strong evidence that high inequality leads to worse health and higher mortality.
But there's more. Extreme inequality, it turns out, creates a class of people who are alarmingly detached from reality - and simultaneously gives these people great power.