The housing market is not doing too well, and foreclosures are at an all-time high in most areas of the country. Although gas prices are down a little, they are still much higher than in past years. Wal-Mart, which depends on working-class families, is reporting weak sales, and will probably have to revise downward their sales estimates for the year.
Add these things to the fact that worker's wages are stagnant, and have been for quite a while now, and it becomes obvious that the working class and much of the middle class are being squeezed nowdays. Almost everything costs more, but wages are not keeping up.
But don't worry, Bush's rich friends are still doing better than ever. The sale of luxery items rose a robust 10.7 % in July over last year's figures. The figures are expected to rise about 9% in August. Some may have thought the rich might slow down their spending after the stock market recently dropped a 1000 points, but it's not happening.
About half of the rich say they could accept losses twice that big before they would cut back on their spending. A quarter of them said they would not cut back until their losses reached three or four times times that much.
That should give you a clue as to just how good the rich have been doing under Republican leadership. While most Americans are hurting, the rich don't even blink at a 7% drop in the stock market.
Ever since Reagan, the Republicans have tried to convince America that economics works in a "trickle down" fashion. They wanted us to believe that if we let the top 5% make obscene profits, enough of it would trickle down to the rest of us so that everyone would be better off. What nonsense!
Republican policies did let the rich become much richer, but none of it trickled down to the working class, and very little made it to the middle class. These groups have less buying power than they did 30-40 years ago.
The truth is that money doesn't trickle down in our society, it moves in an upward direction -- always. The more money that working class people have, the better off everyone will be. That money will be spent and move up to the middle and upper classes.
If you still think that Republicans are good for the economy as a whole, then you're either rich or not very bright. That's why Republicans must be voted out of power in 2008.
Then we can only hope that Democrats can find the courage to begin to redistribute the wealth of the United States. We cannot afford to continue current trends.
One thing I learned during my very short tenure working for a "luxury media company" was that the truly wealthy are nothing like you and me. They have money and will always have money. While most of my net worth is tied up in house, car and 401(k), those things are small potatoes to the rich.
ReplyDeleteWhen there is a bump in the stock market or the housing market, this is of little consequence to them. but to us, it's a huge deal.
Since 2000, the wealthy have been doing very well. The regular guy? Sure unemployment has been low, but wages have been stagnant. Regular people are treading water on cheap credit and home equity appreciation. Now that's gone. How long is it going to take before people wake up and get really pissed?
How long is it going to take before people wake up and get really pissed?
ReplyDeleteAnd do what with their anger?
They could start by voting ALL Republicans out of office (and any spineless Democrats that vote with them)!!!
ReplyDeleteLook at the change in the bankruptcy laws for one. The average Joes didn't care when that little bit of sweetness slid through Congress. Who do the Republicans take care of first? The mouth-breathing, snake-handling fundamentalists? Nope. The banks, the credit card companies and the fat wallets -- the folks who financed the Republican domination of the past seven years. I think we will see more and more regular people who played by the rules end up losing homes and buried in debt they can't get out of. If these people get angry enough, maybe some of this predatory legislation will be rolled back. That is, of course, providing more Democrats move into Congress and the WH in 08.
ReplyDeleteWealth redistribution is not the answer. Government does not create wealth. Less government, lower taxes, and more freedom will help the working classes more than any new goverment program.
ReplyDelete