It's The Inequality, Stupid

Dec 27th, 2011

Everyone is talking about Peter Whoriskey's WaPo piece examining the growing divide between the increasingly wealth of elected officials in D.C. and the relative declines experienced by most of  this country's citizens:

"Between 1984 and 2009, the median net worth of a member of the House rose by more than 2 1 / 2 times, according to the analysis of financial disclosures, from $280,000 to $725,000 in inflation-adjusted 2009 dollars, excluding home ­equity.

Over the same period, the wealth of an American family has declined slightly, with the comparable median figure sliding from $20,600 to $20,500, according to the Panel Study of Income Dynamics from the University of Michigan."

Here's what it looks like in chart form. Click the image for a better view.

Image via WaPo

The Looming GOP Tax Hike

Dec 1st, 2011

Well, it's filibuster time again.

Politico reports:
"The Senate blocked a measure Thursday night that would expand the current payroll tax holiday and pay for it by a surtax on millionaires.

With a 51-49 vote, the Senate fell short of the 60 votes needed to move forward on the payroll tax cut bill favored by Democrats – legislation that likely never had a chance because of the GOP’s opposition to the additional tax on the rich."

Yes, there is a competing Republican plan. That plan is also certifiable nonsense and is beneath discussion. It is worth noting that Republicans are only following the lead of their true master, Grover Norquist...

ThinkProgress reports:
"Norquist met with Republican members today to let them know that opposing the extension of the payroll tax cut — which would provide many families an extra $1,000 a year — would not amount to supporting a tax increase, National Journal’s Billy House reported today."

Remember, over the course of the last year Norquist has been quite clear: 

Allowing this tax credit to expire is not a tax increase. 

Allowing the top quintile rates under the still effective Bush 2 policies to expire is a tax increase. 

In other news, down is up if Norquist says it is, so there.

By the way, should the credit not be extended, well over $250 BILLION dollars will be taken out of the demand economy, potentially dropping GDP growth next year by as much as .5% and costing our country 400 thousand jobs.

Oh well.

Plutocracy Graphed, ctd...

Jul;y 26th, 2011

HT to Mother Jones via Joshua Holland. How much further do we all have to bend over and grab our ankles before these "job creators" create some damn jobs? It's not an unreasonable question.

Reich On Taxing The Rich

April 4th, 2011

On Friday, I wrote a plea for a return to some sense of sanity regarding tax policy.

Today, Robert Reich wrote:

"Here's the truth: The only way America can reduce the long-term budget deficit, maintain vital services, protect Social Security and Medicare, invest more in education and infrastructure, and not raise taxes on the working middle class is by raising taxes on the super rich.

Source - The Center for Budget and Policy Priorities - CBPP

Even if we got rid of corporate welfare subsidies for big oil, big agriculture, and big Pharma -- even if we cut back on our bloated defense budget -- it wouldn't be nearly enough.

The vast majority of Americans can't afford to pay more. Despite an economy that's twice as large as it was thirty years ago, the bottom 90 percent are still stuck in the mud. If they're employed they're earning on average only about $280 more a year than thirty years ago, adjusted for inflation. That's less than a 1 percent gain over more than a third of a century. (Families are doing somewhat better but that's only because so many families now have to rely on two incomes.)"

We are quickly running out of time to right our course. The proof of the deepening plutocracy which drives our monetary policy is revealed in the hard numbers showing a majority of Americans were opposed to the extension of the "W Tax Cuts" for the hyper-wealthy. Tomorrow, it appears Rep. Paul Ryan (R-WI) is going to double down on this madness. This is because they don't care what the people think. 

Our window of opportunity is closing.