There is clearly a lot happening, and I believe it is inevitable. The never ending trade deficit is an example of shipping our future well-being overseas.
I've stated my original point several times, will try it again. One, just one of the factors in the demise of the middle class is that jobs are being shipped overseas by large corporations. That has at least two effects.
One, there is a marginal increase in profit for the corporation and it's stockholders and management. Not a lot, because they still have to pay for the job.
And, every job lost has an effect in the US far, far larger than the money saved. The unemployed US worker will no longer pay taxes, will no longer have money to spend on clothes, cars, and so on. They will draw unemployment benefits and possibly food stamps. Eventually they may lose their house, car and need more public assistance.
The effect is a short-term gain in profit for the already wealthy, and a long-term loss to the country which far exceeds the gain.
Another factor is the success of the wealthy in developing a program to convince large portions of the middle-class to work against itself. Worried that someone might get something for nothing, they rail against public assistance. Afraid that someone might get a bigger bone, they work against Unions.
The US complains about other nations human rights, and points to itself as a model. (Yes, even after the Bush innovations in spying on citizens, torturing, unlimited imprisonment without notification of anyone, etc.) And yet other nations regard a job, housing, medical care and an education as a civil right.
We are way behind the times.
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- Why taxing the wealthy cannot make up for the costs of eliminating the middle class.
