The President speaks often of his commitment to the Middle Class, the rhetorical question is; what has he done? The answer, nothing, at least nothing good!
Taxes; many believe that ‘tax the rich’ is the only Presidential priority, you’d be wrong. In the very first days of the Obama administration taxes on cigarettes went up dramatically. ObamaCare has 23 new taxes, all of which will be paid, in varying degrees by the Middle Class. You did get a break on Federal withholding taxes but that program also increased the unfunded liabilities in programs which………wait for it, you will pay for eventually or see them collapse.
Health Care; if there is any doubt that your insurance premiums are going up, you simply haven’t gotten the bill yet. Insurance costs are going up everywhere as they have for the past two years. Your employer may provide payment for your coverage to some degree; however, his and your contributions to that health care plan are going to skyrocket. Many in the Middle Class will no longer be able to afford it. Your employer may opt out, forcing you into insurance exchanges that more than half the states have refused to set up. If we’re lucky the ObamaCare application process will be ready ONE DAY before the legal requirement for implementation. Quick, who has worked with a complex computer system that actually worked on day one? I never have. The President cares so deeply for the Middle Class that he granted a stay of ObamaCare execution to businesses, but not to the people he so frequently speaks of protecting and promoting. Leader Reid is not worried; it’s just a stepping stone to a fully socialized single payer system. What could go wrong?
Inflation; relax folks inflation is under control says the President. Inflation statistics don’t consider gas and food. There is no question that those two items represent significant cost inflation; in the case of gas from about $1.80 to near $4.00. The same case exists with food due in large to food products being used to produce ethanol which is a mandatory part of your gasoline mix. Despite the fact that anything above the current 10% ethanol level may kill your car the administration wants to go to 15% and 20%. Ethanol maintains moisture better than gas and that means rust and that means dead engines down the road.
Jobs; this is the lowest workforce participation rate in decades. The jobs loss occurred, in large measure in the much beloved Middle Class. Jobs for the Middle Class will only recover when the ‘rich’ and corporations are comfortable enough to begin investing again. The most significant job growth is in the part time category, that is not a support to the Middle Class; unless of course your taking on your second or third job which significant portions of the Middle Class are doing.
Stimulus; There is somewhere between three and four trillion sitting on the sidelines or offshore. Corporations are cash rich on their balance sheets. To release this amount of money into the economy would represent a stimulus potentially five times greater than the President’s failed stimulus. The job creation associated with investment would begin to create a real recovery as opposed to the current phantom recovery. The President refused to consider options that would unleash that manner of stimulus.
Wages; wages are stagnant, have been for years. Wages are the mainstay of the Middle Class. Raises are rare, reduction in hours common. An economy sufficient to support job growth that would turn the tide is nowhere in sight, layoffs and first time jobless claims hold steady in the 350,000 a week range and have for years. Oh, and by the way, minimum wage increases don’t help the middle class or any other class for that matter. Minimum wage increases only support Middle Class wage growth when you are approaching statistical full employment.
Work ethic; the Middle Class, by and large and most especially the Middle Class over the age of 45 was brought up on the value of work. Education was a vehicle to procure the work you wanted to do, but work, in most cases hard work, was still a requirement. Typically, you saw the ‘work hard’ example from your parents on a daily basis. The American Dream wasn’t about material possessions as the first priority; it was about being able to start with little or nothing and make a life for yourself and your family. It was up to you!!! Can we still say that of the Middle Class to come, assuming there will be one?
Who gets what? Taxes paid by the Middle have been used in two dramatic ways during this administration. One, bailouts of major corporations: car companies, green companies of all stripes, insurance companies, financial institutions; in other words Wall Street. Is it any wonder that so many of the ‘rich’ don’t whine about higher tax rates? Of course they don’t they get it back, one way or another. Two, Middle Class taxes support the bottom 50% of the population.
Social Justice; the bottom 50% of the working population contribute 3% of federal tax revenue and consume the vast majority of benefits. The next time the President goes on about the Middle Class ask yourself, do numbers and rhetoric line up, or add up? The 45% that sits just above the lower 50%, the Middle Class, contribute 38% of federal tax revenues and consumes relatively little in benefits; how about that for fairness and social justice?
Bailouts and handouts; taking liberties with an old song; “Bailouts to right of me, hand outs to the left, here I am caught in the middle with you.” ‘You’ being an administration that whispers sweet nothings in your Middle Class ear, while they pick your pocket, hoping you won’t notice as they attempt to refocus you on Hope and Change. Who thought the ‘Change’ would generate this much hopelessness? Millions out of work, vast increases in federal assistance with no end in sight, proactive programs, out on the street, to insure that every last person with any claim at all, receives benefits they may not need or had even thought of.
Is this the Cloward and Pivan President, intent on overwhelming the nature of American society and the American economy? Cloward and Pivan, Saints of the Left said, basically, that if you want revolutionary conditions in America, if you want to topple Capitalism, the system must be overwhelmed and made to crash in on itself. It’s going to be nasty in the “middle’ when it comes.