From the Atlanta Journal-Constitution columnist Jay Bookman’s blog and column, published on Sunday, January 19, 2014, are my words as response, reposted below:
“From a Brookings Institute study on economic activity, published in the Spring of 2013:
‘More recent studies. . . .conclude that consumption inequality has increased by a similar magnitude as income inequality. . . .borne out by the most recent evidence based on consumption data. . . .We use 23-year panel of income data from tax returns spanning the period from 1987 – 2009.’
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My post yesterday (see below) cited information from the Brookings study which revealed that income inequality is becoming permanent rather than transitory (in part because of firms’ compensation practices). It follows, then, that consumption of goods in our society would, also, become unequal (and permanent).
In my opinion, the data published by the Brookings study does not lead to a positive economic outcome unless political will is changed to reverse the current trend. When the middle and working classes have higher incomes (thereby creating more income equality throughout the nation), consumption of goods – hopefully those made in America – will also increase. This will produce more wealth and jobs within our nation as a whole because of the law of supply and demand. When more demand for consumed goods develops, more jobs will also develop to deliver those goods to Americans. Some of those jobs will be management level jobs.
Presently, our nation remains locked into an economic standstill because ideological reinforcement of income inequality is producing masses of citizens who do not have the needed extra money to buy goods. Instead, we remain locked into an ideological economic quagmire in which the underclasses have had stagnant wages for decades and they, therefore, have not have the economic means to buy additional goods, thus insuring fewer jobs needed. This has become a destructive circular economic situation of “chicken/egg” from which we must break free.
And, we can break free, if we know the root of the problem – wrong-headed political ideology. We must have a renewed growth-oriented, economic expansion in America brought about because economic focus will have been shifted to the prosperity of the middle/lower classes (who will consume more goods and, thus, create more jobs). Their benefitting economically will produce economic growth for our nation as a whole based upon middle class growth outward, rather than mainly economic prosperity or growth mainly for the top 1%, who will not consume as much as they invest. What we have now, with the focus upon the prosperity of the top echelon in society has unwittingly kept economic growth and jobs depressed in this nation. This cannot become a permanent situation. Our democratic Republic’s sustained prosperity and influence depend upon a healthier and more equitable, more democratic America.” ==================================================== ====================================================
From a study on income inequality published by the Brookings Institute in the Spring of 2013:
” ‘For example, if rising inequality reflects solely an increase in permanent inequality (which it does, according to the study), then consistent explanations would include, for example, skill-biased technical change or long-lasting changes in firms’ compensation policies.’
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Thus, the explanation of ‘long-lasting changes in firms’ compensation policies,’ is a viable reason for an increase in the permanent inequality in America. In my opinion, that is because of rigid ideological changes which have occurred in America in the past 30+ years.
It is telling that, in terms of the wealth distribution of the classes in the last 20 years, “discontent is particularly high among Democrats (75 percent) and independents (70 percent), but it is shared even by a majority of Republicans (54 percent).’ That ideological variance is reflected in those differing political percentages, also.”
And, from AJC columnist Jim Galloway’s blog of January 23, 2014 are my words of response, reposted below:
“This column is related to the fact that the big business/corporate interests of the Republican Party are of primary interests to these politicians and not the common good, imo. Thirty-eight percent (38%) of Georgia’s legislators are ALEC members – including Rep. Sharon Cooper, who is quoted above. ALEC promotes privatizing public schools and does not support the ACA, or Obamacare, which means that they do not support expanding Medicaid (a part of the ACA), which would be entirely paid for by federal funds the first few years, and thereafter paid by federal funds by 90%. Georgians pay federal taxes, already, that would take care of expanding Medicaid. Not expanding Medicaid is a large factor in having to close hospitals in S. Georgia, imo. Georgians’ federal taxes are going to pay for Medicaid expansion in other states in the United States which do not have legislatures that are so ideologically ingrained in the Republican political agenda, via ALEC.
Please read my related words, below, regarding corporate interests on Wall Street, published in Jay Bookman’s blog this morning, which also expose ALEC’s infiltration into Georgia’s Republican legislature.
” ‘They privatized the profits of their risk-taking ventures, and when those risks failed, they socialized the costs, and they did so on a grand scale.’
Self-serving and greed in the extreme. No consciousness of the concept of egalitarianism. No consciousness of serving the interests of the common good. There is a real danger of our democratic Republic’s being destroyed, from within, when those CEOs who speak entirely for self-serving corporate/business interests get totally in bed with our public representatives. Then, our representatives are no longer working for the people’s interests, as a whole, but working for the wealth/power interests of corporations and big business.
Keep a close eye on Georgia’s legislation this year because 38% of our legislators are ALEC members (90 Republican legislators). Btw, 100% of Iowa’s legislators are members of ALEC, as is now also true in other states. I have just touched the top of this undemocratic iceberg, with facts, which will inform. Be aware of how you are being manipulated in thought and in what is happening to our democracy by the top 1% of the business community. Again, the sustaining of our democracy depends upon your awareness, your aware voices, and your aware votes.
I challenge you to watch the video from the below segment of Chris Hayes’ “All In” broadcast, last evening, regarding how ALEC is taking over our state legislatures:”