“Median family income, adjusted for inflation, grew only about one fifth as much between 1980 and 2007 as it did in the generation following World War II, even though the postwar economy was marked both by strict financial regulations and by much higher tax rates on the wealthy than anything under current political discussion.”
This quotation from Princeton Economist and columnist for “The New York Times” Paul Krugman really shocked me. Klugman cited these statistics in a column in “The Times” called Losing Their Immunity regarding the Occupy Wall Street movement. The far right despises the Nobel laureate Krugman as a damned socialist and liberal. Krugman does not bandy about false statistics or information, believe me.
In his article Krugman points out the hypocrisy of the financial community in espousing how much they have done for the American economy and understands the wrath of Occupy Wall Street movement, which, it would appear, is now a national movement, at least in major urban areas.
1980 was the beginning of the Reagan era and Supply-side Economics. After George H.W. Bush lost the 1990 election by his famous reversal of “Read my Lips---No Tax Increase” and raising taxes, Bill Clinton got in. We were in a period of booming economic growth, and Bill Clinton was content not to screw around (economically, that is!) with this boom. Then we got W., and you know the rest of the story: the draining of our economy in two wars, the financial meltdown and the beginning of the worst Recession or mini-Depression since the big one in the thirties. And now we are in that wonderful era of Do-Nothing-Just-Screw-Obama by the Republicans, plus, I admit, Obama has not frequently helped his own cause.
Here we are with the top one percent getting richer all the time while middle and lower income people struggle to subsist. If income growth between 1980 and 2007 was one fifth of the previous era, what the hell is it now between 2008 and 2011? Don’t ask…
I would not be surprised if the Occupy Wall Street movement nurtures the seeds of an even broader revolt against the financial status quo. Certainly the polls demonstrate that the vast majority of Americans is fed up with the inaction of politicians. I think it could grow bigger and better than the Tea Party whose sole aim seems to be just cut the heart out of governmental expenses. Wouldn’t it be interesting if it galvanized some political action to take economic action?
Most of this country is in a deep abyss. Can someone throw a rope down there and help people?
Some of the candidates for our highest political office has stated that throwing a rope down is something the churches and other charities can and should do. Unemployment is between nine and ten percent. The scope of those needing a rope is to great for churches and others charities. Who can and should throw this rope?
ReplyDeleteI don't know about a rope, but we can throw a line by not trying to cut the deficit by cutting social services desperately needed by so many.
ReplyDelete