http://newiprogressive.com/images/stories/laura/laura-wonderful-lide-2025-280.jpgHow the Wealthy Exploit Crisis for Their Gain

LAKE GENEVA, WI - If you’ve ever seen It’s a Wonderful Life (1946), you probably remember the intense scene when the citizens of Bedford Falls panic and rush to withdraw their savings from the Bailey Bros. Building & Loan. The stock market had crashed, banks were failing, and people were desperate to get their money before it disappeared. And right on cue, the town’s richest man, Mr. Potter—the greedy, scheming villain of the film—offers to “help” the struggling townsfolk by buying their shares at 10 cents on the dollar.

Sound familiar? It should. This is exactly the kind of predatory capitalism that modern billionaires like Donald Trump, Elon Musk, and other ultra-rich elites thrive on today.

The Playbook: Crisis as Opportunity for the Ultra-Rich

Let’s break it down: in times of financial distress, regular people panic, while the ultra-wealthy see an opportunity to buy up assets on the cheap. Whether it’s real estate during a housing crash, stocks after a market drop, or even entire industries struggling to stay afloat, the playbook is always the same:

1. 1. Instill or Exploit Panic:
   Just like in It’s a Wonderful Life, when people panic and feel desperate, they make rash decisions. Whether it’s fear-mongering about inflation, economic collapse, or a banking crisis, fear drives down prices—making it easier for the rich to swoop in.
2. 2. Offer Pennies on the Dollar:
   Mr. Potter offered 10 cents per dollar for shares in the failing bank, not because he wanted to help but because he knew the desperate depositors had no better options. Today, billionaires buy foreclosed homes, distressed businesses, and bankrupt companies at rock-bottom prices while the average person is struggling to survive.
3. 3. Consolidate Power and Control:

◦             Trump’s Playbook: Trump made his fortune by taking advantage of bankrupt casinos, distressed real estate, and businesses in crisis. He famously bragged in 2006:"I sort of hope that happens because then people like me would go in and buy."

▪             Translation: When the economy tanks, he sees it as a fire sale.

◦             Musk’s Twitter Takeover: Musk bought Twitter when it was struggling, then gutted it, cut staff, and rebranded it into X—turning a struggling public platform into his personal fiefdom.

1. 4. Sell High Once Stability Returns:
   Once the crisis passes, the rich sell the assets back to the public at massive profits, just like Mr. Potter would have done with the bank shares he scooped up for pennies.

Real-Life Examples of “Potter-Style” Greed

• 2008 Housing Crash:

◦              Banks, including Goldman Sachs, BlackRock, and Warren Buffett’s Berkshire Hathaway, bought foreclosed homes in bulk, turning them into rental properties.

◦              The people who lost their homes? Many had to rent from the same billionaires who capitalized on their misery.

• COVID-19 Pandemic:

◦              Small businesses collapsed, while big corporations and billionaires thrived.

◦              Elon Musk, Jeff Bezos, and other billionaires grew their wealth by hundreds of billions while millions of Americans struggled to survive.

• The Banking Crises (SVB, Credit Suisse, Etc.):

◦              In 2023, Silicon Valley Bank (SVB) collapsed, and while ordinary customers feared for their deposits, billionaires bought into other banks at discounts, knowing they would recover.

The “Bailey” Alternative: Collective Power vs. Predatory Greed

In It’s a Wonderful Life, George Bailey stands up to Mr. Potter by urging people to resist panic and work together instead of selling out their future for quick cash. Instead of letting Potter consolidate power, the town keeps its wealth within the community.

The lesson? The rich win when we panic. They lose when we organize.

Instead of selling our assets to the billionaires looking to exploit crisis, we should be:

• Investing in community-owned businesses and credit unions.
• Supporting worker co-ops and unions to fight against billionaire control.
• Demanding fair regulations that prevent the ultra-rich from profiting off collapse.

In short: don’t let the Potters of the world win. Because when billionaires tell you they’re “helping,” what they really mean is:

“I’ll take everything you have for a fraction of its worth. And once I own it, I’ll charge you to use it.”

Let’s learn from George Bailey—not Mr. Potter.