Posts Tagged ‘Republicans’
Why Wall Street, Rush Limbaugh, the Republican Party, Most Democrats and the Koch Brothers Want to Eliminate Organized Labor
Posted in corruption, Economics, recession, income redistribution, Politics, the Rigged Game, Uncategorized, tagged Democrats, Labor, Organized, Republicans, Rush Limbaugh, Wall Street, weekends on Jam4000000amSat, 27 Apr 2013 08:55:01 +000013 10, 2010 | 1 Comment »
Posted in corruption, Economics, immigration, income redistribution, Uncategorized, wealth redistribution, tagged Democratic Party (United States), Democrats, Gang of Eight, immigration, immigration reform, Republicans, United States, Wall Street on Jpm4000000pmWed, 17 Apr 2013 13:38:06 +000013 10, 2010 | Leave a Comment »
Comprehensive immigration reform may or may not happen. However, a legislative package has been created by eight members of the US senate. For how will this will impact the US economy, let’s take a look at the past.
After the Immigration Reform Act of December 1986, average real wage rates immediately dropped for six straight years in the USA. Wage rates had dropped during the Reagan years, but then they rebounded and were going up. That growth was stopped cold in December 1986. Then real wages began the big drop, and didn’t rebound to their December 1986 rate for eleven years. All of this information is available at the United States Bureau of Labor Statistics, http://www.bls.gov.
So it’s possible (and likely) that with comprehensive immigration reform, wage rates will once again be adversely impacted. Who will gain from this?
Wall Street wins and immigrants who move from the shadow economy to the taxed economy will improve their livelihoods. The rest of us will lose in this case.
Wall Street wins because average wages will go down, meaning corporate profits will go up further than would otherwise be the case. This will fuel dividends which pushes stock prices higher. It will also likely strengthen the corporate bond market. Most of those assets are owned by the 1 percent. So it stands to reason that income and wealth will be redistributed from the 99 to the 1 percent with a reform package.
However, there is some good that will likely occur with reform. One will be the likely suicide of the Republican Party, the most viciously anti-middle class warriors of the political elite. Don’t get me wrong. About 80 percent of the Democrats in congress and the white house are anti-middle class warriors on behalf of the 1 percent. However, with the Republicans out of the way, perhaps the base of the Democrats will take a look at how important of a role most Democrats have played in the massive redistribution of income and wealth from the 99 to the 1 percent over the last thirty years.
Click below for the latest news about comprehensive immigration reform.
Posted in corruption, Economics, recession, income redistribution, Politics, Recessions, the Rigged Game, Uncategorized, wealth redistribution, tagged Barack Obama, Bernie Sanders, Cayman Islands, Gross Domestic Product, Medicare, Mitch McConnell, Orrin Hatch, Republicans, Ron Wyden, United States, Wall Street on Jam4000000amSat, 13 Apr 2013 08:30:08 +000013 10, 2010 | Leave a Comment »
Despite such terminology as “fiscal cliff” and “debt ceiling,” the great debate taking place in Washington now has relatively little to do with financial issues. It’s all about economic winners and losers in American society, about Wall Street and Big Money, and how they’ve gotten control of both political parties. Senator Bernie Sanders says “It is all about the soul of America.”
In the following article by Senator Sanders, he doesn’t mention corruption, he simply implies it. Big Oil, Big Money, these are the phrases he uses. But Big Oil and Big Money have to have bought something with their money. They’ve purchased politicians, with political contributions, with personal favors, such as lobbying jobs after they’re finished raping and pillaging the middle class on behalf of Wall Street. You know who I’m talking about: Ron Wyden, Orrin Hatch, John Boehner, Barack Obama, and so many others. Corruption is rampant in the US government.
The Senator writes, “In America today, we have the most unequal distribution of wealth and income of any major country on earth, and more inequality than at any time period since 1928. The top 1 percent owns 42 percent of the financial wealth of the nation, while, incredibly, the bottom 60 percent own only 2.3 percent. One family, the Walton family of Wal-Mart, owns more wealth than the bottom 40 percent of Americans. In terms of income distribution in 2010, the last study done on this issue, the top 1 percent earned 93 percent of all new income while the bottom 99 percent shared the remaining 7 percent.
Despite the reality that the rich are becoming much richer while the middle class collapses and the number of Americans living in poverty is at an all-time high, the Republicans and their billionaire backers want more, more, and more. The class warfare continues.
My Republican colleagues say that the deficits are a spending problem, not a revenue problem. What these deficit-hawk hypocrites won’t talk about is their spending. They won’t discuss what they did to dig the country into this $1 trillion deep deficit hole. They waged wars in Afghanistan and Iraq without paying for them. They gave away huge tax breaks for the rich. They squandered taxpayer dollars on the pharmaceutical industry by making it illegal for Medicare to bargain for lower drug prices. They also rescinded financial regulations that enabled Wall Street to operate like a gambling casino, leading to a severe recession that eroded tax revenue and left more than 14 percent of American workers unemployed or underemployed.
Now, despite the deficits their policies helped to create and despite the enormous suffering which exists in our society, the Republicans want to cut Social Security, veterans’ programs, Medicare, Medicaid, education, nutrition programs, and virtually every program which benefits low- and moderate-income Americans. They choose to turn their backs on the economic reality facing a significant part of our population: high unemployment, reduced wages, 50 million without health insurance, college graduates saddled with enormous student debt and elderly people living in desperation. And they have tried to slam the door on any further discussion about how to raise revenue by ending tax loopholes and unfair tax breaks.
Republicans like Senate Minority Leader Mitch McConnell who say the revenue debate is over don’t want you to consider these facts:
• Federal revenue today, at 15.8 percent of GDP, is lower today than it was 60 years ago. During the last year of the Clinton administration, when we had a significant federal surplus, federal revenue was 20.6 percent of GDP.
• Today corporate profits are at an all-time high, while corporate income tax revenue as a percentage of GDP is near a record low.
• In 2011, corporate revenue as a percentage of GDP was just 1.2 percent — lower than any other major country in the Organization for Economic Cooperation and Development, including Britain, Germany, France, Japan, Canada, Norway, Australia, South Korea, Switzerland, Norway, Italy, Ireland, Poland, and Iceland.
• In 2011, corporations paid just 12 percent of their profits in taxes, the lowest since 1972.
• In 2005, one out of four large corporations paid no income taxes at all while they collected $1.1 trillion in revenue over that one-year period.
We know where the Republicans are coming from. What about the Democrats? Will President Obama fulfill his campaign pledge to “protect the middle class” or will he surrender to right-wing blackmail? Will Democrats in the House and Senate stand with the vast majority of our citizens and such organizations as AARP, the National Committee to Preserve Social Security and Medicare, the AFL-CIO, the American Legion, the Veterans of Foreign Wars and every other veterans’ organization in the fight against cuts to Social Security and veterans’ programs, or will they agree to a disastrous corporate-backed “chained CPI” concept which makes major benefit cuts to those programs and raises taxes on low-income workers?
The simple truth is there are relatively easy ways to deal with the deficit crisis — without attacking the elderly, the children the sick or the poor.
For example, we have got to eliminate loopholes in the tax code that allow large corporations and the wealthy to avoid more than $100 billion in taxes every year by setting up offshore tax shelters in places like the Cayman Islands, Bermuda and the Bahamas. This situation has become so absurd that one five-story office building in the Cayman Islands is now the “home” to more than 18,000 corporations.
Further, we must also end tax breaks for companies shipping American jobs overseas. Today, the United State government continues to reward companies that move American manufacturing jobs abroad, despite the fact that millions of American jobs have been outsourced to China, Mexico, and other low wage countries over the past decade. The Joint Committee on Taxation (the official revenue scorekeeper in Congress) has estimated that we could raise more than $582 billion in revenue over the next decade by eliminating these offshore tax loopholes.
We must also recognize that Wall Street recklessness caused the economic crisis, and it has a responsibility to reduce the deficit. Establishing a 0.03 percent Wall Street speculation fee, similar to what we had from 1914-1966, would dampen the dangerous level of speculation and gambling on Wall Street, encourage the financial sector to invest in the productive economy and reduce the deficit by more than $350 billion over 10 years.
We are entering a pivotal moment in the modern history of our country. Do the elected officials in Washington stand with ordinary Americans — working families, children, the elderly, the poor — or will the extraordinary power of billionaire campaign contributors and Big Money prevail? The American people, by the millions, must send Congress the answer to that question.”
Posted in corruption, Economics, Economics, recession, the Rigged Game, tagged Barack Obama, Democrats, Federal, minimum wage, Pew Research Center, poll, Republicans on Jpm2000000pmTue, 26 Feb 2013 13:48:20 +000013 10, 2010 | Leave a Comment »
A recent poll by the Pew Research Center shows that 71 percent of the US public favors raising the federal minimum wage. Nineteen states already have higher minimum wages. Fifty percent of Republicans also support an increase, as opposed to 47 percent opposed.
Wall Street is also against raising it. That’s because when wages go up, share prices go down. That’s because higher wages can cut into corporate profits in the short term. In the long term, however, rising real wages increase demand, spur sales, push up profits and create jobs. Recent studies show raising the minimum wage has a small impact on unemployment, most likely because it increases the demand for goods and services.
According to a study by the Economic Policy Institute, “The multiple positive effects that would result from a higher minimum wage are clear: It would boost the earnings of working families hardest hit by the Great Recession, spur economic growth, and create about 100,000 net new jobs. In an economic climate in which wage increases for the most vulnerable workers are scarce, raising the minimum wage to $9.80 by July 1, 2014, is an opportunity that America’s working families cannot afford to lose.”
Despite the positive impacts of a raise, on behalf of Wall Street, House Republicans will vote in goose step against any increase, as will some corporate Democrats.
Conversely, when wages go down, share prices go up. That’s good if you’re a member of the 1 percent, but it’s bad for the economy and the 99 percent in the long term. When real wages go down, so does the demand for goods and services. In the long run, corporate profits cannot be constantly raised, which is something that must occur in the long term, otherwise, the Ponzi Scam known as Wall Street would collapse.
As demand goes down due to the massive redistribution of income from the 99 to the 1 percent legislatively undertaken over the last 32 years by the federal government, Wall Street has had to invent new investment instruments that redistribute income from the 99 to the 1 percent. In the past, this has included bonds backed by home mortgages and credit default swaps, neither of which has been good for the economy.
So overall, an increase in the federal minimum wage will be a good thing (however tiny) for the vast majority of Americans, as well as for the economy. They’ll have more money to spend. Better yet, CEO’s and rich shareholders will possess less money with which to purchase politicians.
Click below for related links.
How Stupid Are Republicans That They Didn’t Get the Message? In particular about Immigration Reform?
Posted in "John Hively", Economics, Economics, recession, free trade, immigration, income redistribution, Uncategorized, war, wealth redistribution, tagged Democrats, economy, Free trade, hispanics, immigration reform, privatization, Republicans, Ron Wyden, Wall Street, war on Jpm1000000pmWed, 30 Jan 2013 14:11:36 +000013 10, 2010 | Leave a Comment »
Republican Party leaders are stupid enough to believe they don’t appeal to Hispanics because of the party’s position on illegal immigration and opposition to comprehensive immigration reform. Apparently, the Republican leadership believes that if they help to pass some form of immigration reform, Hispanics will vote for more jobs destroying, middle class exploding, tax breaks for the rich. They must believe that Hispanics will vote for more war, privatizing public schools, the military and other government services; that they will vote for destroying Social Security, Medicare and Medicaid, shipping more jobs overseas and redistributing more income from the 99 to the 1 percent. Somehow, the Republican leadership believes Hispanics will vote for people who deny science if it happens to present bad news for corporate profits, like global warming; and that they’ll vote for nut jobs who believe in “legitimate rape.”
Here’s how stupid the Republican leadership is. Before the November 2012 election, a Fox Latino poll found that only 6 percent of Hispanics listed immigration reform as their number one priority, compared to 45 percent who listed the economy as their number one issue. A Latino Decisions election eve poll found 53 percent of the respondents thought the economy was their number one priority, compared to 35 percent who thought immigration reform should be number one. On a national level, Republicans tend to get between 17 and 35 percent of the Hispanic vote. Helping on immigration reform isn’t likely to change that.
In other words, the economy is the number one priority for most US Hispanics. They generally tend to vote Democratic, and there’s nothing the Republicans can do about this, since the positions espoused by the Republicans are aimed primarily at destroying the middle class.
In fairness to the vast majority of Republican politicians, the bulk of the national Democratic establishment has the middle class in their cross hairs, as well. Wall Street Senator Ron Wyden is classic example.
Maybe the Republicans should stop nominating far right, and ultra-right politicians for national offices. Maybe they should oppose the Democrats in their income redistribution plans, rather than aid and abet it. Maybe the Republicans should nominate people to national office with a platform for aiding the middle class, rather than redistributing middle class income to the rich. Maybe that would get more Hispanics to vote for the GOP.
Click below for more on this story from the Guardian of the UK.
Click below for another lesson the Republicans didn’t learn from the election of 2012.