Reich decries the events that he says hijacked our moral momentum. First on the list is future Supreme Court justice Lewis Powell’s 1971 memo to the U.S. Chamber of Commerce, urging businesses to, as Reich puts it, “mobilize for political combat,” which he claims released “a tidal wave of corporate money into American politics.”
Robert Reich on how to get our democracy back
- Thread starter Hume
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"Next was “America’s Giant U-Turn — from a growing to a shrinking middle class, from upward mobility for most to soaring wealth for a few, from stakeholder capitalism to shareholder capitalism.” And then came the “obsession” with the deficit, which had ballooned as a result of Reagan’s “radically lowered taxes, especially on the rich,” ensuring that the American “ambition of ‘putting people first’ would have to give way to deficit reduction.”
T. A. Gardner
Thread Killer
So, why is the middle class in America vanishing? What are the causes of this? (Hint: It is NOT the rich getting richer).
Ok, tell us.
T. A. Gardner
Thread Killer
Ronald Reagan and the toxic concept of "Trickle Down".
If you look at a graph of middle class share of the wealth of America's output you see it tracks pretty well up to about 1981 at which point it stagnates. It has stagnated while the wealthy have gotten more and more and more.
Yup, it's the rich getting richer. If the middle class is vanishing, Einstein, and money isn't disappearing, then where is it going?
Trump follows Reagan's lead. Fuck the country, only the very rich matter.Ronald Reagan and the toxic concept of "Trickle Down".
If you look at a graph of middle class share of the wealth of America's output you see it tracks pretty well up to about 1981 at which point it stagnates. It has stagnated while the wealthy have gotten more and more and more.
Yup, it's the rich getting richer. If the middle class is vanishing, Einstein, and money isn't disappearing, then where is it going?
Taxes, especially the top marginal tax rate is at historic lows. It was >90% during the Eisenhower administration when a single earner could make a good middle class living for a family of 3 or 4.
This is a thoroughly stupid article in that we have not lost our democracy. However, if voters keep electing Democrats, they are sure to lose it.
Reich is a moron and an epic partisan hack. He's never been right about anything. You would do well to read his nonsense with a sense of humor.
Which makes it SO IRONIC that so many on JPP are toeing the line like they are the 1% or something! LOLOLOLOLOLOL!
Nothing but brainless lies. The data do not support Reichs stupid lies.
Post that data.
Yes, quite pathic.
T. A. Gardner
Thread Killer
Well, it's true. Those two things people have little to no control over. Increase either and the cost of whatever is taxed or regulated increases. That means more of every person's money ends up going to government rather than gets invested.
Taxes and regulations hurt small businesses the same way compared to large corporations where those costs can be mitigated to a degree by efficiencies of scale. Thus, the rich can better weather increased taxes and regulation than someone in the middle class.
For example, in the cost of a home about $94,000 is taxes and regulation by government. The size of the home doesn't particularly matter, that number stays relatively constant. That means entry level homes are less affordable than some mega mansion on a per square foot basis. That, in turn, makes home buying less accessable to the lower end of income spectrum.
Since those people now can't buy a home, they rent and that ends up perpetually eating up more of their income with no return on investment. Homeowners on the other hand see their investment grow over time and they build wealth.
More government = less financial freedom = shrinking middle class.
T. A. Gardner
Thread Killer
That doesn't explain why wages grew more slowly. You are discussing outcomes, not symptoms and causes.Ronald Reagan and the toxic concept of "Trickle Down".
If you look at a graph of middle class share of the wealth of America's output you see it tracks pretty well up to about 1981 at which point it stagnates. It has stagnated while the wealthy have gotten more and more and more.
Yup, it's the rich getting richer. If the middle class is vanishing, Einstein, and money isn't disappearing, then where is it going?
The two big causes for a shrinking middle class are higher taxes and more government regulation.
It's like you saying "The patient has cancer!" That doesn't tell me anything about how they got cancer or what should be done about it. Pointing out that wage growth is behind the curve doesn't tell me why that's happening.
So Trump is bringing prosperity to the middle class.
Hey, bet you're looking forward to paying more for goods and services now that the tarrifs are going to be in place. Or are you a Trumpist who thinks the angels play tarrifs for you?
And the astoundingly bad jobs numbers today have to make you feel GREAT about your vote!
My 401k is being strangled today. I'm jealous of you folks on welfare who don't worry about retirement or 401k's or the stock market.
Fact is, Democrats bring prosperity, Republicans put the US in debt.