From Eric Alterman’s “Why We Are Liberals” (excerpted at Alterman’s blog, Altercation, yesterday):
In 2005, the wealthiest 1 percent of the country earned 21.2 percent of all income, according to IRS data, while the bottom 50 percent of all Americans earned just 12.8 percent of all income, down from 13.4 percent, a year earlier. Together, these two figures define a new postwar record for American economic inequality, which is believed by many economists to be greater today than at any other time since the 1920s.
Note, this was merely the disparity in declared income. It doesn’t include a comparison of the value of assets held by those wealthiest Americans v. everyone else. Still these are staggering figures, and highlight a gap in income that has likely increased over the past three years. Think about it: a mere 1% of all Americans make almost double what 50% of their fellow citizens do. Those are the types of disparities one finds in third world countries. And now, thanks to the miracle of the Republicans’ voodoo economic policies from Ronald Reagan to Bush (including those enacted while Clinton, a nominal Democrat, was President) we have joined their ranks. From Alterman, again:
In fact, among major world economies, the United States in recent years has had the third-greatest disparity in incomes between the very top and everyone else; only Mexico and Russia are worse.
The Republicans will claim that Obama wants to redistribute wealth to the lower classes. The truth? Conservative Movement Republicans have been actively redistributing the wealth of this nation from the middle class to the super rich ever since they regained power in 1980. This has been done by the emasculation of the Labor movement, tax cuts for the rich and other corporate welfare benefits, deregulation, the rejection of antitrust laws in favor of policies which encourage industry consolidation, monopolies and monopsonies, “free trade” agreements which have cost many Americans the higher paying jobs necessary to maintain their status in the middle class, and an increasing use of the public purse to privatize governmental services and functions (i.e., to selling them off to the highest, or best connected bidder). In short, Disaster Capitalism.
It has resulted in the following. The neglect of essential infrastructure much of which is now crumbling, literally. Corruption on an unprecedented scale. An ever expanding national debt (both by government and individuals). Unending and ever increasing trade deficits. A negative savings rate among Americans (even when you factor in that top 1%). A marked rise in Americans living below the poverty line (up by one third since Bush took office). An educational system in crisis, from elementary education to college, one that is too expensive, too inefficient and a failure at educating our children to the same standards met in other developed countries. A health care system that is the laughingstock of the world, both for its outrageous costs and its gross disparity in providing services to all our citizens. Increased Unemployment and underemployment, statistics which are masked by the manner in which our government decides who to count as employed. A dollar rapidly losing its value. Gas and food prices spirally out of control. A financial system on the verge of collapse.
So, the next time someone accuses Obama and Democrats of being socialists for wanting to redistribute income, just inform them of a few of these facts, and then pose these questions: Which party has been the real re-distributer of wealth in America? Which party has robbed the poor to give to the rich? And which party’s policies have truly been most responsible for ruining our nation’s economy?
In short, ask them if they really want more of the same voodoo economics ruining their lives? Because that’s what that great reformer, John McCain and his party are promising. Not change. Just more of the same failed policies that got us into this mess in the first place.
