Some are edging closer to the truth, but still ignore Third World exploitation
This article appeared in the summer and received fleeting attention:
Politico Magazine (Nick Hanauer, "Compassionate Zillionaire")
To paraphrase (my words):
- Wealthy Americans are oblivious to income inequality
- The wealthy believe that Middle Class Americans are "different" than Europeans, and will passively accept ever-increasing poverty into the indefinite future
- If this continues, it will lead to bloody revolution
- Trickle Down (Voodoo/Supply Side/Reaganomics) is an abject failure
- Businesses want rich customers and low cost employees
- Higher wages for the middle class would lead to increased demand, more profits and a better economy for everyone
My Comment:
Despite being one of the few wealthy commentators who understands the gravity of the situation, he still can't admit that as long as businesses can source from the Third World for cents on the dollar, then higher wages will lead directly to unemployment. And 0% interest rates make the "robot" mass automation economy a very likely reality (leading to sovereign bankruptcy), as the cost of capital is zero and the cost of higher wages is unemployment. Central Banks in conjunction with industrial arbitrage due to failed trade policy, are impoverishing the middle class.
Imported Third World Poverty has driven the marginal cost of labour AND capital to zero, with the *only* downside being the obliteration of the Middle Class
It gets better (or actually a lot worse). Today, an apologist for the status quo refuted Hanauer's above concerns with some hardcore denialistic logic:
It gets better (or actually a lot worse). Today, an apologist for the status quo refuted Hanauer's above concerns with some hardcore denialistic logic:
November 18th, 2014: The Daily Ticker
(In metaphorical terms this is what's known as "whistling past the graveyard")
To paraphrase, unless otherwise quoted...
- The Middle Class is under severe economic pressure
- *Some* 1%ers are "worried about revolt", citing the above article from Politico
- There is no need to worry about revolution
- Americans are concerned, confused, but inherently complacent
- The "Occupy" Movement fizzled
- The Supreme Court recently further tightened the wealthy's grip on crony government
- There will be plenty of warning ahead of time for any signs of unrest, but today there are none (like Ferguson Missouri?)
- The problems are real however the solutions will likely appear out of nowhere, right before disaster strikes (just like they always do in Never Never Land)
- Don't worry, be happy
Clearly us bloggers can't compete with logic of this quality
