Understanding the "stealthy wealthy"

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Kimberly Adams (0:25)

Why you should care about the crush report and the secret millionaires in your own communities.

From Marketplace in New York, I'm Kimberly Adams. Later today, we'll get a somewhat obscure piece of data, the National Oil Seed Processors Association crush report. It's a monthly look at soybean processing, which has mattered quite a bit lately, partly because one of the by-products of soybeans can be used as fuel. Marketplace's Caitlin Tan helps us connect the dots.

Caitlin Tan (0:56)

Before we dive in, Cobank's Jackie Fatka has a little soybean refresher.

Reema Khrais (1:00)

It is a little tiny pea-sized hard bean.

Caitlin Tan (1:05)

That little bean gets crushed or pressed at a plant.

Reema Khrais (1:08)

Out comes oil and a powdery type of soybean meal.

Caitlin Tan (1:13)

Livestock lunch. The oil is vegetable oil, like the one sitting in your kitchen, but it's also processed into a biofuel.

Alan Schaeffer (1:21)

Diesel engines, the first one was invented back in 1870s, and it was designed to run on vegetable oil.

Caitlin Tan (1:29)

Alan Schaeffer is with the Engine Technology Forum. These days, what you're getting at the pump is mostly petroleum with a little soybean or corn oil blended in. Schaeffer says biofuels can bring down diesel prices by about 4%, which helps a little.

Alan Schaeffer (1:45)

And the prices are of such magnitude that that 4% is easily overshadowed.

Caitlin Tan (1:50)

But still, biodiesel is having a moment. The Trump administration is mandating 60% more domestic production in the next couple years. The idea is to support soybean and corn farmers, but it's tricky.

Susan Stroud runs a market research firm called No Bull Agriculture.

Susan Stroud (2:08)

On the other side of it, the change in diesel values is really where it hurts.

Caitlin Tan (2:14)

Because regular petroleum diesel is still needed to make a farm operation go round. I'm Caitlin Tan from Marketplace.

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Kimberly Adams (3:38)

Who comes to mind when I say the words rich and wealthy? Probably some tech billionaire. But what if I ask you who's the wealthiest person you know?

Odds are it's not some Silicon Valley tech mogul or Wall Street banker. It's probably a small business owner. And as it turns out, these folks actually hold the majority of wealth in this country. Professors Eric Zwick and Owen Zidar have written a new book about this. It's called The Everywhere Millionaire, and they both join me now for more. Welcome.

Eric Zwick (4:08)

Good morning.

Owen Zidar (4:09)

It's great to be here.

Kimberly Adams (4:10)

Eric, I'll start with you. Help me understand this a bit better. We see headlines almost every day about how wealth is getting more concentrated at the very, very top. And I think that's what we often think about when it comes to how people get rich.

What does your book say about how it actually works in America?

Eric Zwick (4:28)

The real untold story of wealth that we tell in the book is this hidden group of millionaires, Main Street millionaires in America. They're wildly successful private business owners. They operate in industries and places that, we said they fly under the radar, so we call them the stealthy wealthy sometimes. They own an operating company that replaces elementary school carpet floors, or makes rubber mats for cars. They distribute toilet paper.

Kimberly Adams (4:52)

Owen, how many of these everywhere millionaires are there in America?

Owen Zidar (4:56)

We estimate that there are around three million everywhere millionaires who are business owners outside of tech and finance, who have at least $5 million.