The problem with ‘redistribution’ is that it flows both ways. We redistribute income to Major car companies, Banks, Green Energy failures and the corporate world in general. We pass legislation specific to a single company, or industry; in some cases a specific individual; both political parties at fault! We skip blithely over the $700 billion in TARP, but that’s only the tip of the iceberg. The sum total of worse case liabilities in TARP is $26.7 trillion. That is some major redistribution, most of it upwards to those self same folks the President was hell bent to get to pay their ‘fair share’. If you’re having trouble connecting the dots of rhetoric with the dots of reality, don’t feel bad; they don’t connect in any common sense way.
We also redistribute income to the least among us which is how we typically think about redistribution. We promote and advertise benefits to folks who may have never even thought of signing up. We then redistribute to the point of dependency.
Whichever way we redistribute it always seems to jump over the Middle Class. Fly over country is not geographical, it’s economic and social. The President took great pains to kiss the collective butts of the Middle Class during the campaign; he knows there are votes there, he also knows that’s where the money is.
The Middle Class should immediately focus on their true value, 2%! 2% of their income went away as the President did not fight to keep the payroll tax holiday in effect, but he did fight for extending unemployment benefits. The Middle Class got a political and economic bitch slap. It’s not the first and short of political uprising it won’t be the last.
One would have thought that, based on the campaign rhetoric, keeping the payroll tax holiday in place would have been a cause célèbre for the President. Nope, he may not care that much for you now that the election is over, but he sure does love your money.