We should all be aware enough to realize that with supply-side economics we have had for the last few decades, and offered still by Romney and Ryan, wealth never did trickle down. It gushed up. Nevertheless, one might think that our wealth would still help the economy regardless of who was spending it. However, it wasn’t spent. Instead it joined Willard’s money and grew legs. Prepare to be shocked.
Capitalism has never before faced the demons of the past like it does today.
Karl Marx (1818-1883) may be proven right. He believed that periodic depressions would get worse and worse, until the masses would be moved to revolt and destroy the system. His dark prediction may be happening right before our eyes, but it is the economic historians who look back and fully recognize the drama with the benefit of time. Meanwhile, capitalism is stuck in a quagmire caused by inept policies within the capitalistic system.
The problem, specifically in America, is a bastardization of capitalistic democracy on two levels.
First, elite capitalists have exploited the system in their favour, starting with President Reagan’s Supply-side economics spoof, which is primarily responsible for the nation’s indebtedness. In fact, it was on Reagan’s watch that the U.S. became the world’s largest debtor nation because of tax breaks for the rich, carving out a big hole in federal tax receipts, but what’s even worse, much worse, is the wealthy elite’s fancy for stashing funds offshore, hiding more than enough uncollectible taxes to turn around the national debt problem.
According to a recent extensive study (July 2012) conducted by James Henry, former chief economist of McKinsey & Company, the wealthy elite have up to $32 trillion stashed away in offshore tax havens. This is twice the size of the U.S. economy, and remarkably, the study excluded ownership of tangibles like RE, yachts, fancy cars, and entire islands (metaphorically speaking, those hidden assets comprise the largest economy in the world… a tax free economy… a pure libertarian nation-state.) No wonder U.S. federal tax receipts are so low; most of the taxable income is vacationing offshore! This is the crime of the century!… [emphasis added]
Inserted from <The UK Progressive>
Photo credit: Salon.com
When I studied Economics in college, the theories of Karl Marx made a lot of sense, but I understood that they have not panned out, because good government prevented it. A progressive tax code and laws that empowered strong labor unions prevented the concentration of wealth that Marx predicted, and healthy regulation tamed at least some of the predatory practices of vulture capitalists, like Willard. However Republican policies have allowed wealth to concentrate like never before, gutted the tax code so that most of the 1% pay a lesser effective rate than most middle class taxpayers, stripped workers of their union rights with so-called right to work laws, and deregulated to allow predatory capitalism.
Republicans love to keep harping on the national debt. I checked the national debt earlier this morning, and it’s just a tad over $16 trillion. Republicans want the poor and middle classes to pay that debt, when most of the debt was accumulated, while America’s wealth gushed up and was moved abroad. If we could recover just half of what Willard and his 1% cronies hid away, that would wipe out the entire debt in one fell swoop. I’m not suggesting anything that extreme… at least not yet, but you can be damn sure that the last thing we need is to put a 1% vulture capitalist in the White House or put the party that exclusively represents the 1% in any elected post. Every Republican in office is one Republican too many.
22 Responses to “When It Didn’t Trickle Down…”
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Bain Bain go away!!
…Dont come back another day!
I find it very distressing that Willard Romney who is a major player in off shore accounts wants the helm of our country just four years after is was driven into the ditch…
I completely agree!
We have a hard time I think, understanding– Greed has no limits– it is a mindset of ".. Got mine- want more– Want yours"''
It is power and control—
You are so correct about off shore stashing money–it is going to be hard to knock down that wall–
Well said, Phyllis!
There is an old saying, "Once in a while Socialism has to step in to save Capitalism."
Unchecked Capitalism (what we have) is bound to destroy itself. There are only so many seats in the 1% club. Capitalists can only survive so long, as their market share shrinks, because the 99% can no longer afford products. But how long? This could go on for a long time.
The tax system is a form of wealth redistribution. Go to far either way and kill the golden goose. The golden goose, is a strong middle class. As proven by America's own economic History. It would be nice if we could repeat the economic History of 1950-1970, but instead we ignore our own economic History, which has the answer to our current problems.
Ford had it right. Pay employees enough so they can afford the products they make, and employers will make ten times more profit.
Steve, that's an excellent point. The seats that matter are already down to about 0,1%.
Yes he did!
"Fascism should more appropriately be called Corporatism because it is a merger of state and corporate power."
~ Benito Mussolini
"We stand for the maintenance of private property… We shall protect free enterprise as the most expedient, or rather the sole possible economic order."
~ Adolph Hitler
"These capitalists generally act harmoniously, and in concert, to fleece the people."
~ Abraham Lincoln
http://www.csun.edu/~vcmth00m/socialism.html
I lov all three quotes and am borrowing them to use on Facebook tonight, will really get my Repub friends incensed. Thanks!
When you consider the quotes of Mussolini and Hitler, look at them and where they lead their countries in the 1930s and 40s, it truly is sad that this is the same path that the Republican/Teabaggers choose! It seems that GREED over-writes the memory card!
The irony here is that Mussolini, the Italian Fascist, Hitler The German Nazi, and Lincoln, the US Republican headed up three od the world's most evil parties, even though Lincoln was unlike the other two.
The unions have been broken, and most businesses have been deregulated. That is part of why we are in this mess!
Not completely. Wee need to save them.
There is an expression I grew up with — " Come the revolution . . . "
It was applied to so many things in a half hearted way over the years. But I truly believe that if things don't change — if tax codes are not more equitable; if regulations are not in place to protect people and the planet; if practices around healthcare and work are not more supportive; — there will come a revolution. Bloody or bloodless, I don't know. Maybe some of both, but it will come.
I remember a joke that went like this:
Man — Doctor, doctor! It hurts when I do this!
Doctor — Then don't do it!
We need to think about what hurts the most, and then take steps not to do it (ie fix it).
That makes perfect sense. That makes it politically unlikely. 🙁
Almost forgot yet again . . . I need some sleep! Good night!
Get out the vote!!!!!
Vote Democratic 2012!!!!! Vote Obama/Biden 2012!!!!!
Good Morning!
Amen!
The most basic tenet of capitalism is that those who provide the capital run the company, and pay the costs for wrong decisions (and gain the benefits of right decisions).
When the stockholders owners have very little input to how the company is run, when the CEO gets paid big bucks whether or not the company makes money, when the CEO can tear apart the company for short term gain – that isn't capitalism. That's croneyism.
I agree, but I call it plutocratic corporatism.
These self-proclaimed RepublicanT "patriots" should be ashamed of themselves. They have been getting a free ride for too long now. The only thing that trickles down to us is their BS.
Trickles, my ass! It thunders down in giant SPLATs!