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# The Divide: American Injustice in the Age of the Wealth Gap

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NEW YORK TIMES BESTSELLER • NAMED ONE OF THE BEST BOOKS OF THE YEAR BY THE WASHINGTON POST, NPR, AND KIRKUS REVIEWS A scathing portrait of an urgent new American crisis Over the last two decades, America has been falling deeper and deeper into a statistical mystery: Poverty goes up. Crime goes down. The prison population doubles. Fraud by the rich wipes out 40 percent of the world’s wealth. The rich get massively richer. No one goes to jail. In search of a solution, journalist Matt Taibbi discovered the Divide, the seam in American life where our two most troubling trends—growing wealth inequality and mass incarceration—come together, driven by a dramatic shift in American citizenship: Our basic rights are now determined by our wealth or poverty. The Divide is what allows massively destructive fraud by the hyperwealthy to go unpunished, while turning poverty itself into a crime—but it’s impossible to see until you look at these two alarming trends side by side. In The Divide, Matt Taibbi takes readers on a galvanizing journey through both sides of our new system of justice—the fun-house-mirror worlds of the untouchably wealthy and the criminalized poor. He uncovers the startling looting that preceded the financial collapse; a wild conspiracy of billionaire hedge fund managers to destroy a company through dirty tricks; and the story of a whistleblower who gets in the way of the largest banks in America, only to find herself in the crosshairs. On the other side of the Divide, Taibbi takes us to the front lines of the immigrant dragnet; into the newly punitive welfare system which treats its beneficiaries as thieves; and deep inside the stop-and-frisk world, where standing in front of your own home has become an arrestable offense. As he narrates these incredible stories, he draws out and analyzes their common source: a perverse new standard of justice, based on a radical, disturbing new vision of civil rights. Through astonishing—and enraging—accounts of the high-stakes capers of the wealthy and nightmare stories of regular people caught in the Divide’s punishing logic, Taibbi lays bare one of the greatest challenges we face in contemporary American life: surviving a system that devours the lives of the poor, turns a blind eye to the destructive crimes of the wealthy, and implicates us all. Praise for The Divide “Ambitious . . . deeply reported, highly compelling . . . impossible to put down.” —The New York Times Book Review “These are the stories that will keep you up at night. . . . The Divide is not just a report from the new America; it is advocacy journalism at its finest.” —Los Angeles Times “Taibbi is a relentless investigative reporter. He takes readers inside not only investment banks, hedge funds and the blood sport of short-sellers, but into the lives of the needy, minorities, street drifters and illegal immigrants. . . . The Divide is an important book. Its documentation is powerful and shocking.” —The Washington Post “Captivating . . . The Divide enshrines its author’s position as one of the most important voices in contemporary American journalism.” — The Independent (UK) “Taibbi [is] perhaps the greatest reporter on Wall Street’s crimes in the modern era.” — Salon

Review: It Will Take Your Breath Away - I have always believed in moral outrage at the injustice of being treated unfairly or unequally, that in the United States of America justice would always prevail, that forces of good would always win and the criminal would be punished. But what if it isn't true? How do you reconcile what you've always believed when it runs counter to reality? If anyone is capable of putting a reader into such cognitive turmoil it is author Mike Taibbi in his book, "Divide," where he reveals how the wealthy have gotten away with criminal behavior on a global scale, while the poor are punished for essentially being poor or a minority. Out of the greatest malfeasance in the history of the country, banks brought a global economy to its knees with its avarice. Yet not one of them were tried, or even charged, or even arrested. It marked a new wave of our criminal justice system pursuing expediency rather than justice. It was based on corporate and media appeal to save jobs that would have been destroyed through criminal indictment or conviction. Prosecutors rationalized their acquiescence through penalties that allowed the criminals to remain in charge and fines that did nothing to curb the criminal behavior of such banks as HSBC that actually laundered money for drug cartels. On the other hand, prosecutors strutted as politicians usually do when they brought to trial a family owned bank, Abacus FSB that actually acted within the law. There's also the other side of the coin. You're black and you're in New York City. You come to your home in Brooklyn from work at 1:00 a.m. and you are immediately arrested after you get out of the cab at your front door. The charge? Obstructing pedestrian traffic. Or, you are in your own Land Rover with a friend, and you are stopped at a red light on a major thoroughfare in the Bronx when you are suddenly yanked from your vehicle, handcuffed, and thrown into the back of a van that doesn't return to the precinct until it is filled with other suspects. You experience moral outrage. You are determined to prove your innocence, but your court-appointed attorney cannot comprehend that you want to plead not guilty. after all, didn't the judge enter the chamber announcing "We take Master Card, Visa and American Express"? The bail is set high enough that you cannot afford it and low enough that no bail bondsman will pay it. So you take off work and go back four or five times until the arresting cop finally shows up or doesn't show up at all and it is tossed out. The arrest may also prevent you from getting that job because you now have a record. You could also be on welfare living in San Diego where the welfare police can demand access to go through your drawers to see if there is underwear of someone from the opposite sex so they can accuse you of living with someone and take away your benefits. Maybe you will only have to explain why you own sexy panties when he lifts from the drawer with a pencil and questions who you're wearing this for. Taibbi's book is riveting. He reveals in stunning detail why we now have 6 million people in prison or on parole, a population larger than was ever imprisoned in Stalin's gulags. He illustrates how our justice system has become utterly contemptuous of the poor and terrified of the wealthy. If you are white and wealthy or even middle class, you cannot believe that this is actually the new United States of America. For you there is no outrage. This book will take your breath away.
Review: Whatever your viewpoint, this book likely will change it. - You could bookend this with Christa Freeland's "Plutocrats." But where that recounts a lot of dry history and statistics interspersed with its revealing interviews, Taibbi isn't afraid to roll up his sleeves and go to the story. This is a book written with a wry sense of the absurd situations it details. Corruption at both the top and the bottom of our society. But to very, very different ends. Remember: this is the guy that went to the Florida "rocket docket" court, recording how thousands of people were stripped of their homes under the flimsiest pretexts, often with outright fabricated evidence. In "Divide" he goes again where the stories are: to Bed-Sty, the outer NYC boroughs, and the courts. And documents how miserably the system treats the disadvantaged. What you think you know from "Law And Order", believe it: you don't. Kafka himself couldn't improve on some of this. At one point Taibbi refers to all this as a "descent into madness." And after reading it, it's hard to argue with that. The "Divide" of course is cash. But this is no screed against "the rich." If that's what you think you've not read the book, or completely missed the point. To wit: if you commit a massive, white-collar crime, but you've got enough (i.e. near-infinite) cash, you're now too much trouble and risk to even indict, let alone prosecute. And if -- like me - you've wondered why none of the people who committed these global frauds on a massive scale have ever been prosecuted for any of it, this book gives you a detailed, compelling, and depressing answer. Taibbi points out most of us will never see any of this. Out of sight, out of mind. The poor are segregated away. And the corrupt wealthy never have to interact with any of the people who are so profoundly impacted by their frauds. These are the guys who ripped off us off, burned down our 401Ks, rigged Libor rates to line their own pockets with our mortgages. And then moved on to other cushy positions, presumably doing much the same. One review here (by someone who claims to have read all of 3 pages) complains about Taibbi's assertion of "a miserable few hundred bucks" collected by welfare cheats in San Diego. But let's be clear: Taibbi never suggests these people should be let off. But he does spend considerable ink contemplating for example, about the corrupt execs at institutions like HSBC. Execs who brazenly laundered money for the Iranians and the Sinaloa cartel. (They actually opened a special teller window to fit the boxes of cash that were brought in!) About how these guys got off scot-free with a fine paid by HSBC. And never even saw the inside of a courtroom. While people who buy those street dime bags that HSBC so thoughtfully enabled can spend years, or a lifetime, in prison. Lose their kids. Their right to vote. And then even if they do get out can't get a job. "A billion dollars or a billion days." Does that seem like "equal justice for all?" Not to me. Not to Taibbi. And it won't to you after you read this. Taibbi suggests a larger, deeper, and more sinister subtext. About what we claim to profess as a nation: due process, equal justice, simple fairness. Money and power have always had their sway of course. But the inescapable takeaway from this is that we've simply given up on these ideals; they're now just too much trouble. As a nation we no longer give a damn. That's the real divide. And the real outrage.

## Technical Specifications

| Specification | Value |
|---------------|-------|
| Best Sellers Rank | #894,587 in Books ( See Top 100 in Books ) #323 in United States National Government #422 in Economic Conditions (Books) #686 in Sociology of Class |
| Customer Reviews | 4.6 out of 5 stars 1,675 Reviews |

## Images

![The Divide: American Injustice in the Age of the Wealth Gap - Image 1](https://m.media-amazon.com/images/I/71Y2wxdKnWL.jpg)

## Customer Reviews

### ⭐⭐⭐⭐⭐ It Will Take Your Breath Away
*by E***R on May 26, 2014*

I have always believed in moral outrage at the injustice of being treated unfairly or unequally, that in the United States of America justice would always prevail, that forces of good would always win and the criminal would be punished. But what if it isn't true? How do you reconcile what you've always believed when it runs counter to reality? If anyone is capable of putting a reader into such cognitive turmoil it is author Mike Taibbi in his book, "Divide," where he reveals how the wealthy have gotten away with criminal behavior on a global scale, while the poor are punished for essentially being poor or a minority. Out of the greatest malfeasance in the history of the country, banks brought a global economy to its knees with its avarice. Yet not one of them were tried, or even charged, or even arrested. It marked a new wave of our criminal justice system pursuing expediency rather than justice. It was based on corporate and media appeal to save jobs that would have been destroyed through criminal indictment or conviction. Prosecutors rationalized their acquiescence through penalties that allowed the criminals to remain in charge and fines that did nothing to curb the criminal behavior of such banks as HSBC that actually laundered money for drug cartels. On the other hand, prosecutors strutted as politicians usually do when they brought to trial a family owned bank, Abacus FSB that actually acted within the law. There's also the other side of the coin. You're black and you're in New York City. You come to your home in Brooklyn from work at 1:00 a.m. and you are immediately arrested after you get out of the cab at your front door. The charge? Obstructing pedestrian traffic. Or, you are in your own Land Rover with a friend, and you are stopped at a red light on a major thoroughfare in the Bronx when you are suddenly yanked from your vehicle, handcuffed, and thrown into the back of a van that doesn't return to the precinct until it is filled with other suspects. You experience moral outrage. You are determined to prove your innocence, but your court-appointed attorney cannot comprehend that you want to plead not guilty. after all, didn't the judge enter the chamber announcing "We take Master Card, Visa and American Express"? The bail is set high enough that you cannot afford it and low enough that no bail bondsman will pay it. So you take off work and go back four or five times until the arresting cop finally shows up or doesn't show up at all and it is tossed out. The arrest may also prevent you from getting that job because you now have a record. You could also be on welfare living in San Diego where the welfare police can demand access to go through your drawers to see if there is underwear of someone from the opposite sex so they can accuse you of living with someone and take away your benefits. Maybe you will only have to explain why you own sexy panties when he lifts from the drawer with a pencil and questions who you're wearing this for. Taibbi's book is riveting. He reveals in stunning detail why we now have 6 million people in prison or on parole, a population larger than was ever imprisoned in Stalin's gulags. He illustrates how our justice system has become utterly contemptuous of the poor and terrified of the wealthy. If you are white and wealthy or even middle class, you cannot believe that this is actually the new United States of America. For you there is no outrage. This book will take your breath away.

### ⭐⭐⭐⭐⭐ Whatever your viewpoint, this book likely will change it.
*by S***F on April 20, 2014*

You could bookend this with Christa Freeland's "Plutocrats." But where that recounts a lot of dry history and statistics interspersed with its revealing interviews, Taibbi isn't afraid to roll up his sleeves and go to the story. This is a book written with a wry sense of the absurd situations it details. Corruption at both the top and the bottom of our society. But to very, very different ends. Remember: this is the guy that went to the Florida "rocket docket" court, recording how thousands of people were stripped of their homes under the flimsiest pretexts, often with outright fabricated evidence. In "Divide" he goes again where the stories are: to Bed-Sty, the outer NYC boroughs, and the courts. And documents how miserably the system treats the disadvantaged. What you think you know from "Law And Order", believe it: you don't. Kafka himself couldn't improve on some of this. At one point Taibbi refers to all this as a "descent into madness." And after reading it, it's hard to argue with that. The "Divide" of course is cash. But this is no screed against "the rich." If that's what you think you've not read the book, or completely missed the point. To wit: if you commit a massive, white-collar crime, but you've got enough (i.e. near-infinite) cash, you're now too much trouble and risk to even indict, let alone prosecute. And if -- like me - you've wondered why none of the people who committed these global frauds on a massive scale have ever been prosecuted for any of it, this book gives you a detailed, compelling, and depressing answer. Taibbi points out most of us will never see any of this. Out of sight, out of mind. The poor are segregated away. And the corrupt wealthy never have to interact with any of the people who are so profoundly impacted by their frauds. These are the guys who ripped off us off, burned down our 401Ks, rigged Libor rates to line their own pockets with our mortgages. And then moved on to other cushy positions, presumably doing much the same. One review here (by someone who claims to have read all of 3 pages) complains about Taibbi's assertion of "a miserable few hundred bucks" collected by welfare cheats in San Diego. But let's be clear: Taibbi never suggests these people should be let off. But he does spend considerable ink contemplating for example, about the corrupt execs at institutions like HSBC. Execs who brazenly laundered money for the Iranians and the Sinaloa cartel. (They actually opened a special teller window to fit the boxes of cash that were brought in!) About how these guys got off scot-free with a fine paid by HSBC. And never even saw the inside of a courtroom. While people who buy those street dime bags that HSBC so thoughtfully enabled can spend years, or a lifetime, in prison. Lose their kids. Their right to vote. And then even if they do get out can't get a job. "A billion dollars or a billion days." Does that seem like "equal justice for all?" Not to me. Not to Taibbi. And it won't to you after you read this. Taibbi suggests a larger, deeper, and more sinister subtext. About what we claim to profess as a nation: due process, equal justice, simple fairness. Money and power have always had their sway of course. But the inescapable takeaway from this is that we've simply given up on these ideals; they're now just too much trouble. As a nation we no longer give a damn. That's the real divide. And the real outrage.

### ⭐⭐⭐⭐ Eye-Opening
*by B***K on January 3, 2016*

The Divide: American Injustice in the Age of the Wealth Gap by Matt Taibbi “The Divide” is an eye-opening book that paints a clear picture of what is the biggest divide in our society, the wealth gap. Investigative journalist Matt Taibbi takes the reader on a journey of social injustice. Through a series of heartbreaking stories, Taibbi clearly shows the impact that this divide has on our citizens from each perspective. This troubling 448-page book includes the following nine chapters: 1. Unintended Consequences, 2. Frisk and Stop, 3. The Man Who Couldn’t Stand Up, 4. The Greatest Bank Robbery You Never Heard Of, 5. Border Trouble, Part 1, 6. Border Trouble, Part 2, 7. Little Frauds, 8. Big Frauds, and 9. Collateral Consequences. Positives: 1. Engaging, well-written, well-researched book that is accessible to the masses. 2. Even handed, equal-opportunity critique. Taibbi has his style of writing that consists of passion, sharp tone, and very descriptive. His interviewees take center stage and help him tell a compelling story of social injustice. 3. An excellent and an important topic, inequality and how it is manifested. “We still have real jury trials, honest judges, and free elections, all the superficial characteristics of a functional, free democracy. But underneath that surface is a florid and malevolent bureaucracy that mostly (not absolutely, but mostly) keeps the rich and the poor separate through thousands of tiny, scarcely visible inequities.” 4. This book is about inequality shown through a series of real-life examples. Taibbi removes the fog and shows what is really happening. “We’re creating a dystopia, where the mania of the state isn’t secrecy or censorship but unfairness. Obsessed with success and wealth and despising failure and poverty, our society is systematically dividing the population into winners and losers, using institutions like the courts to speed the process. Winners get rich and get off. Losers go broke and go to jail. It isn’t just that some clever crook on Wall Street can steal a billion dollars and never see the inside of a courtroom; it’s that, plus the fact that some black teenager a few miles away can go to jail just for standing on a street corner, that makes the whole picture complete.” 5. The consequences of legislation. “Moreover, even within the United States there had been intentional, lobbied-for changes in corporate structure: the repeal of the Glass-Steagall Act, which had prevented the mergers of commercial banks, investment banks, and insurance companies (this repeal led to the creation of megafirms like Citigroup), and Supreme Court decisions rolling back bans on interstate banking (which led to a string of mergers, resulting in the formation of giant national banks like Wachovia and Bank of America). In the finance sector at least, these changes allowed companies to be more enormous and difficult to regulate than they ever had been before.” 6. Doesn’t mince words about financial fraud. “Specifically, this was a massive criminal fraud scheme, something akin to a giant counterfeiting operation, in which banks mass-produced extremely risky, low-quality subprime mortgages and with lightning-quick efficiency sold them off to institutional sucker-investors as highly rated AAA bonds. The hot potato game targeted unions, pension funds, and government-backed mortgage companies like Fannie Mae on the secondary market.” 7. A look at the infuriating stop-and-frisk abuse. “In 2011, the year before Tory got arrested, another year when exactly nobody on Wall Street was arrested for crimes connected to the financial crisis, New York City police stopped and searched a record 684,724 people. Out of those, 88 percent were black or Hispanic.” 8. An interesting and troubling look at the legal system in practice and how it applies to the poor. “Prosecutors won’t say so openly, but privately, they will admit that when their cases are weak, they drive their cases through this Lincoln Tunnel of a procedural loophole, dragging things out as long as possible to force a plea. It usually works.” 9. How the legal system applies to banks. “Big banks get caught committing crimes, at worst they pay a big fine. Instead of going to jail, a check gets written, and it comes out of the pockets of shareholders, not the individuals responsible.” 10. Taibbi makes a compelling argument that the most outrageous and damning behaviors are conducted in such a way that it’s too complex to define. “The real issue wasn’t legal or illegal? But seen or unseen? While some of the most dangerous behaviors in American big business were indeed against the law, they were often, more importantly, outside the law, executed in an undefined legal space, in darkness.” “You can’t police what you can’t see, and you can’t see in the dark.” 11. One of the best examples of outrageous, irresponsible behaviors of banks is illustrated through the Lehman story. “The creditors were thrust face-first into the immovable principle that underlies everything modern that Wall Street does: if a crime is complicated enough, and sanctified by enough “reputable” attorneys and accountants, then American law enforcement will inevitably be too slow or too weak to stop it.” 12. The compelling argument for a permanent oligarchical bailout state. “The deals the government and Wall Street worked out that weekend to save the likes of AIG, Goldman, Deutsche Bank, Morgan Stanley, and Merrill Lynch were unprecedented in their reach and political consequence, transforming America into a permanent oligarchical bailout state. This was, essentially, a formal merger of Wall Street and the U.S. government.” 13. A look at immigration. “(Gainesville) This small Georgia city is ground zero for enforcement of a ferocious federal immigration rule called 287(g) that essentially deputizes any and all state and local law enforcement officials to arrest undocumented aliens on behalf of the U.S. Immigration and Customs Enforcement agency (ICE).” “So the undocumented alien who kills a room full of Rotarians with an ax has a right to counsel, a phone call, and protection against improper searches. The alien caught crossing the street on his way to work has no rights at all.” 14. A look at the corrections industry. “The jailing-Hispanics business is the perfect mix of politics and profit. Companies like CCA donate generously to politicians everywhere, particularly at the state level. The firm has spent as much as $3.4 million lobbying in a single year and on average spends between $1 million and $2 million a year. Its lobbyists are everywhere, and in every major anti-immigrant bill, you can usually find a current or former CCA lobbyist lurking in the weeds somewhere. Arizona governor Jan Brewer, for instance, had two ex–CCA lobbyists on her staff helping write the legislation when she pushed through her notorious 1070 law, which essentially legalized racial profiling in the cause of catching illegal immigrants.” 15. One of the most disturbing tales in the annals of Wall Street, the Fairfax story. “The Fairfax fiasco is a tale of harassment on a grand scale, in which the cream of America’s corporate culture followed executives, burgled information from private bank accounts, researched the Canadians’ sexual preferences for blackmail purposes, broke into hotel rooms and left threatening messages, prank-called a cancer-stricken woman in the middle of the night, and even harassed the pastor of the staid Anglican church where the Canadian CEO worshipped on Sundays.” 16. Startling facts. “There are no real regulatory audits of hedge funds, and no government body checks hedge funds’ trades or verifies their claims. It even came out, in the famous Bernie Madoff case, that despite numerous complaints to the SEC over the years from reputable sources, nobody in the government even checked to make sure Madoff’s hedge fund even made trades at all. Madoff actually went more than thirteen years without making a single stock purchase and yet somehow survived several SEC investigations—that’s how flimsy government regulation of hedge funds has been and still is.” 17. A look at programs such as Project 100% (P100) that investigated welfare fraud cases. “P100 generates, by the thousand, stories that sound like testimonials culled from refugees of some distant, low-rent, third-world despotate. The stories are terrible, humiliating, abusive.” “So the standard is, anyone who receives aid from taxpayers forgoes his rights, because the state has a “strong interest” in rooting out fraud.” “Twenty-six billion dollars of fraud: no felony cases. But when the stakes are in the hundreds of dollars, we kick in 26,000 doors a year, in just one county.” 18. Case involving GOP candidate John Kasich. “For instance, in 2011, the state of Ohio—the same state that lost tens of millions in the early 2000s when its pension fund bought severely overpriced mortgage-backed securities from a Lehman Brothers banker named John Kasich, who would later become governor—tried to recoup some of its losses by sending out 22,000 notices to Ohioans seeking “overpayments” in either welfare or food stamps.” 19. The whistleblower case of Linda Almonte. “In Riverside, California, you get a hundred bucks and a thank-you for bringing a fraud case to light. When you scratch the same civic itch at JPMorgan Chase, you lose everything you own and end up living the life of a financial fugitive. Linda and her kids, when I met them, seemed like a family on the run.” 20. Unequal justice. “The problem is, if the law is applied unequally enough over a long enough period of time, at some point, law enforcement becomes politically illegitimate. Whole classes of arrests become (circle one) illegal, improper, morally unenforceable.” Negatives: 1. At over 400 pages it requires a commitment of your time. 2. Some of Taibbi’s outrage may be overblown. “The attorney general of the United States had just admitted, in front of a room full of reporters, that he asks Wall Street for advice before he prosecutes Wall Street.” Is that really deserving of outrage? I consider it research, which by the way is what Taibbi does so well for his own books. 3. Taibbi does a fantastic job of describing the problems but no much delving into potential solutions. I would have added a chapter on solutions by the subject matter experts. 4. No formal bibliography and no notes. 5. Very few charts and visual material to complement the narrative. 6. It’s a very good book to help you understand through stories what’s at the heart of the divide, however, it’s not as good as a quick reference. In summary, this is a very good book on social injustice, inequality. Through a series of stories Taibbi illustrates clearly what’s at the heart of our social divide. It’s infuriating to see how this divide takes place in America; the rich get away with crimes that have far bigger ramifications on our society and in doing so causes the law in many respects to lose its legitimacy. My biggest complaint about the book is the lack of references and supplementary material. A very interesting read, I recommend it! Further suggestions: “Inequality” by Anthony B. Atkinson, “The Economics of Inequality” by Thomas Piketty, “The Great Divide” by Joseph Stiglitz, “Winner-Take All Politics” by Jacob S. Hacker, “The Great Escape” by Angus Deaton, “Screwed the Undeclared War Against the Middle Class” by Thom Hartmann, “The Monster: How a Gang of Predatory Lenders and Wall Street Bankers Fleeced America…” by Michael W. Hudson, “Perfectly Legal…” by David Cay Johnston, “The Looting of America” by Les Leopold and “The Great American Stickup” by Robert Scheer.

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