It’s the hollowing out of the U.S. economy by the super rich as they destroy the middle class, and leave nothing but anti-American economic and political inequality in its wake. The haves are getting more, the have nots are getting less. And the middle class is vanishing.
“Between 2000 and 2013, every single state in the United States saw its share of middle-class families shrink, according to analysis from the Pew Charitable Trusts. In some states like Wisconsin and Ohio, that number fell by more than 5 percentage points; middle-income families now make up less than half of those states’ populations.” The income of the middle class has been redistributed to the 1 percent via free trade treaties, in which middle class jobs are exported to lower wage nations, thanks to Wall Street senators like Ron Wyden, Orrin Hatch and Mitch McConnell, and the difference between the old wages and the new lower wages goes into the pockets of the super rich via higher corporate profits, increased dividends, and soaring share prices.
That means the rich get richer in income and wealth via these income redistribution treaties that are falsely labeled free trade agreements. Income is money coming in, and wealth are things that one owns, like stocks, bonds, and houses.
The 1 percent have seen their share of income grow from 8 percent in 1980 to 21 percent in 2008 to 37 percent in 2015. The US most recent economic expansion is the weakest in job growth and wage increases in US history because the demand for goods and services has been crimped by this massive political campaign to redistribute income from the 99 to the 1 percent, and this is the definition of class warfare. The middle class simply does not have the cash to power the economy like in the old days because the middle class has less of it. The rich have stolen the jobs and cash of the middle class.
It’s not a new narrative but the modern story of inequality goes much deeper than stagnant wage growth. It’s inequality of opportunity as well. It’s something Nobel-prize winning economist Joseph Stiglitz has studied and written about a great deal. You can read more on what he thinks has brought about this inequality in the story below. He’s correct to my point of view on all points, but he doesn’t mention the big culprit, free trade agreements.
Free trade agreements are arguably the biggest factor in the growth of income inequality in the United States.
Check out Stiglitz his argument by clicking of the link below.