This article paints a pretty bleak situation, leaving out some of the facts that point out that the situation is not as bad as the article would like
to portray, but the situation is bad.
The numbers that I think really give an accurate idea of the situation are these particular numbers.
83 percent of all U.S. stocks are in the hands of 1 percent of the people.
66 percent of the income growth between 2001 and 2007 went to the top 1% of all Americans.
Only the top 5 percent of U.S. households have earned enough additional income to match the rise in housing costs since 1975.
For the first time in U.S. history, banks own a greater share of residential housing net worth in the United States than all individual Americans put
In 1950, the ratio of the average executive's paycheck to the average worker's paycheck was about 30 to 1. Since the year 2000, that ratio has
exploded to between 300 to 500 to one.
Most of this income disparity has occurred since the 1980ties under the con job of the free market. This last round of banking deregulation has
allowed the wealthy to fleece the middle class in unprecedented ways.
Something I read, and commented about on another thread awhile back is that even with the wage disparity, the U.S. workers are competitive world wide.
U.S. worker productivity remains the best in the world, with the skill levels and the infrastructure, the U.S. attracts more investment from around
the world, and more companies are willing to invest in U.S. workers, so our ability to compete isn't the problem.
The article blames the usual culprits, regulations and high U.S. wage rates, but that hasn't been the problem in the past, like in the 90ties, when
our economy was booming with more regulations and higher wages.
What is the real problem? For one thing, the cost of exchanging money through our money transfer system, where ATM cards and credits cards are used,
is twice the amount of the the rest of the world.
Health care costs, and our nations unreasonably high litigation activity makes doing business in the U.S. unreasonable high, greatly working against
U.S. worker competitiveness.
The bigger problem is the widespread corruption in our financial markets. The U.S. financial market takes a huge bit of profits, which is a far
greater factor in discouraging investment in the U.S. work force.
While the rest of the world uses their tax dollar to pay for health care, and education, the U.S. uses our tax dollar to play world empire.
If you go to the website which produced this information, they call for deflationary policies. Who pays with deflation? The super rich lose when
prices become deflationary, which is why they insist on inflation, which works against the workers, and for the wealthy investor class.
Here is another link to the Yahoo website, which talks more about this situation.