Census: US poverty rate swells to nearly 1 in 6 - Hope and Change

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Census: US poverty rate swells to nearly 1 in 6
By HOPE YEN - Associated Press | AP – 35 mins ago


WASHINGTON (AP) — The ranks of America's poor swelled to almost 1 in 6 people last year, reaching a new high as long-term unemployment left millions of Americans struggling and out of work. The number of uninsured edged up to 49.9 million, the biggest in more than two decades.
The Census Bureau's annual report released Tuesday offers a snapshot of the economic well-being of U.S. households for 2010, when joblessness hovered above 9 percent for a second year. It comes at a politically sensitive time for President Barack Obama, who has acknowledged in the midst of a re-election fight that the unemployment rate could persist at high levels through next year.
The overall poverty rate climbed to 15.1 percent, or 46.2 million, up from 14.3 percent in 2009. The official poverty level is an annual income of $22,314 for a family of four.
Reflecting the lingering impact of the recession, the U.S. poverty rate from 2007-2010 has now risen faster than any three-year period since the early 1980s, when a crippling energy crisis amid government cutbacks contributed to inflation, spiraling interest rates and unemployment.
Measured by total numbers, the 46 million now living in poverty is the largest on record dating back to when the census began tracking poverty in 1959. Based on percentages, it tied the poverty level in 1993 and was the highest since 1983.
Broken down by state, Mississippi had the highest share of poor people, at 22.7 percent, according to calculations by the Census Bureau. It was followed by Louisiana, the District of Columbia, Georgia, New Mexico and Arizona. On the other end of the scale, New Hampshire had the lowest share, at 6.6 percent.
The share of Americans without health coverage rose from 16.1 percent to 16.3 percent — or 49.9 million people — after the Census Bureau made revisions to numbers of the uninsured. That is due mostly to continued losses of employer-provided health insurance in the weakened economy.
Congress passed a health overhaul last year to deal with rising numbers of the uninsured. While the main provisions do not take effect until 2014, one aspect taking effect in late 2010 allowed young adults until age 26 to be covered under their parents' health insurance.
Brett O'Hara, chief of the Health and Disability Statistics branch at the Census Bureau, noted that the uninsured rate for adults ages 18 to 24 declined last year — from 29.3 percent to 27.2 percent. It was the only age group which posted a decrease. "For the change in uninsured, the law change certainly could be a factor," he said.
The median — or midpoint — household income was $49,445, down 2.3 percent from 2009.
The latest numbers, which cover Obama's second year in office, offer political fodder for both parties as Obama seeks to push a new $447 billion plan for creating jobs and stimulating the economy. The plan includes a proposed payroll tax cut and an extension of unemployment benefits.
Obama is urging Congress to pay for the new spending largely by increasing taxes on the wealthy, which Republicans have rejected emphatically.
On Tuesday, the Census Bureau noted the impact of government safety-net programs on the poor. It estimated that new unemployment benefits passed in 2009, which gave workers up to 99 weeks of payments after a layoff, and did not run out for most people until this year, lifted 3.2 million above the poverty line. Social Security kept about 20.3 million, seniors as well as working-age adults receiving disability payments, out of poverty.
Online:
www.census.gov
 
Another jobs bill is the exact opposite of what is needed.

This sh*t is soooo predictable.....Damn! I'll post it again. Everyone doesn't suffer equally when "deficit spending" occurs, its always the poor, middle class & those on fixed incomes who suffer the most because those are the classes who don't have direct access to the "new" money. In short, the poverty rate will continue to increase as the govt insists on spending our way to prosperity

1966 Greenspan's article, Gold and Economic Freedom... "Deficit Spending Is Simply A Scheme for the Confiscation of Wealth."

"In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold. If everyone decided, for example, to convert all his bank deposits to silver or copper or any other good, and thereafter declined to accept checks as payment for goods, bank deposits would lose their purchasing power and government-created bank credit would be worthless as a claim on goods. The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves.

This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard."
 

Gunner you posted the poverty census report last year and I responded:

http://www.bgol.us/board/showthread.php?t=525465#4

This Decimation of the formerly middle class Americans has been going on for 30 years and until the politicos and the business elites re-examine the outsourcing of millions of jobs to China, India, etc. & stop unfettered free trade policies, the road to serfdom for most Americans will continue.


cnnmoney_mainnav.gif


How the middle class became the underclass


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By Annalyn Censky, staff reporter @CNNMoney February 16, 2011

......Incomes for 90% of Americans have been stuck in neutral, and it's not just because of the Great Recession. Middle-class incomes have been stagnant for at least a generation, while the wealthiest tier has surged ahead at lighting speed.

In 1988, the income of an average American taxpayer was $33,400, adjusted for inflation. Fast forward 20 years, and not much had changed: The average income was still just $33,000 in 2008, according to IRS data.

Read the full article: http://money.cnn.com/2011/02/16/news/economy/middle_class/index.htm
 


This Decimation of the formerly middle class Americans has been going on for 30 years and until the politicos and the business elites re-examine the outsourcing of millions of jobs to China, India, etc. & stop unfettered free trade policies, the road to serfdom for most Americans will continue.

Jimmy "Lets Take These Sons Of Bitches Out" Hoffa Jr. has no balls! The Obama admin is pursuing more "managed trade" agreements with Panama, South Korea and Colombia!

I got a Jobs Bill...........Repeal NAFTA

ross_perot_was_right_f_nafta_tshirt-p235684003835095374trlf_400.jpg
 

Gunner you posted the poverty census report last year and I responded:

http://www.bgol.us/board/showthread.php?t=525465#4

This Decimation of the formerly middle class Americans has been going on for 30 years and until the politicos and the business elites re-examine the outsourcing of millions of jobs to China, India, etc. & stop unfettered free trade policies, the road to serfdom for most Americans will continue.


cnnmoney_mainnav.gif


How the middle class became the underclass


ibiHCD3bIemhfW.gif


By Annalyn Censky, staff reporter @CNNMoney February 16, 2011

......Incomes for 90% of Americans have been stuck in neutral, and it's not just because of the Great Recession. Middle-class incomes have been stagnant for at least a generation, while the wealthiest tier has surged ahead at lighting speed.

In 1988, the income of an average American taxpayer was $33,400, adjusted for inflation. Fast forward 20 years, and not much had changed: The average income was still just $33,000 in 2008, according to IRS data.

Read the full article: http://money.cnn.com/2011/02/16/news/economy/middle_class/index.htm

Dude go post another Republikkklan article. What so funny is that if I say the sky is blue you retort with purple tinge. I will not mince words simply because I believe people are born conservative, because the natural law of man favors intellectual and moral preservation. Your mental illness in retrospect is defined by the origin of the ideas you are exposed to. Everything you think and believe is predicated on the source of information you get. I can say this from experience of once being where you are.
How can a man create jobs if he has never done so? It is not government's obligation to create jobs, just the atmosphere for the people to flourish. You talk a good game but you prove nothing. The sad part about it is you actually believe your'e right even though his presidency is sucking major wind. You see numbers, logic and reasoning will never register with you. You will see when your up in your golden years sitting in a corner trying to decide if it will be the electricity of medicine this month. Once again show me a democratic ran city and I will easily be able to point out high crime, poverty, high dropout rates, run down schools, zero economic zones and plenty of liberals blaming republicans who don't live in their shit whole. NOTHING HE IS DOING IS WORKING AND YOU DEFEND HIM DAILY!!! That is insanity. Same jobs numbers every week and you defend him. You are either on the dole or within the 47% who pay no taxes. His base is running when will you. Even the black community support is down to 83 percent from the high 90's. AGAIN NOTHING IS WORKING!!!!! JUST BECAUSE YOU CAN GIVE A SPEECH WITH EMOTION AND ATTITUDE DOESN'T MAKE YOU A PERSON OF ACHIEVEMENT ONLY DEEDS.
 
And the Republicans have no answer for creating jobs!:smh:

Thought1, I got a "jobs bill".......Repeal NAFTA. Won't cost a dime, it's sensible & the majority of Americans will support this movement. Maybe, Jimmy "Lets Take These Sons Of Bitches Out" Hoffa Jr. would support this effort......but then again, he might like this corporatocracy
 

Gunner you have been repetitively inculcated by modern RepubliKlan propaganda (talking points). Don’t be ashamed, it is quite effective propaganda especially if you like most Americans have NO memory and critical understanding of America’s brief 235 year history since the 1776 revolution. RepubliKlan propaganda is pervasive 24/7 on <s>FOX</s> FAKE, 24/7 on talk radio, 24/7 in thousands of Christian fundamentalist churches nationwide. What is the goal of this propaganda onslaught, and who is funding it? The goal is to turn as many people as possible into Sheepple; clueless dolts who accept authority without questioning the validity or truthfulness of those giving the orders. The goal is to have non-critical thinkers or as Rush calls them ditto heads who will worship & idolize anyone who has “made it”; judging them solely on how many millions or billions of dollars they have accumulated. The goal is to have them surrender their minds, their will, and their future and place them in the hands of an authority figure. We see the most blatant manifestation of this phenomenon in these huge mega Christian churches where thousands gather and give 10% of their income to the pimp pastor; Creflo Dollar, ‘Too Big Jakes’, Eddie Long, Joel Osteen, Rick Warren etc.

As far as who is funding this propaganda onslaught; the answer is corporate America. These are the people who have been <s>lobbying</s> bribing politicians for years to do things like remove ingredient labels from food sold in supermarkets, eliminate the minimum wage, eliminate child labor law restrictions, end collective bargaining (unions), end any corporate income taxes, radically speed-up the FDA (Food Drug Admin.) drug approval process, end the EPA (environmental protection agency), eliminate FEMA (privatize it), allow oil drilling anywhere in the US, kill-before-it-gets-started the Consumer Financial Protect Agency, end any affirmative action goals & timetables, end the ability to sue a corporation if your microwave oven blows up in your face (tort reform), etc, etc. All of the proposals above have been 90% supported by one major political party and 90% not supported by the other major political party. We all know which major political party supports all the retrograde ideas above.

On many of my threads I end with civilization or barbarism — why?? — because in the final analysis when you study the history of mankind on this planet earth, we are either moving toward civilization or sinking into barbarism. Let’s keep it simple. There is NO excuse if you are serious not to thoroughly know the brief 235 year history of the United States of America. In the final analysis it is not about political party labels. It’s about monopoly capitalism versus the words that were written in the Declaration of Independence, the US Constitution & the Bill of Rights. The white slave owners —the so-called founders of the United States knew this. The war for US independence was to break away from the stifling monopoly capitalism imposed on the colonies by the English crown (The King). The famous Boston tea party was a revolt against English monopoly capitalism being imposed on the tea business.

Fast forward to today.

The trans-national corporations (monopoly capitalist) in an unprecedented manner are taking over the government of the United States of America and many State & local governments also.

If you disagree with the sentence above then don’t read any further, you can’t be reached.

The battle going on in this country right now, which is a Cold Civil War, is between the citizens of the United States versus the oligarch owned and controlled trans-national corporations. The citizens are losing this battle. They have been losing this battle for 31 years. Reagan, George H.W. Bush, Clinton, BuShit, Obama, the people continue to loose. US citizens median wages have declined over the last 31 years. To maintain their living standards US citizens have used debt (credit cards, home equity) and extended payment plans (5 & 6 year car loans and leases). Meanwhile as the CNN Money article I provided the link to points out those with accumulated capital, the top 2% and the mega corporations have seen their wealth exponentially increase.

The corporate media presents the two major political parties to the public in the same manner as they broadcast a NFL football game. Red versus Blue. Such bullshit. No discussion of the destruction of the middle class. No discussion of outsourcing. Just incessantly chattering talking heads spouting bullshit.

With the SCOTUS Citizens United ruling the oligarchs can now see complete victory within their grasp. Complete victory is the complete corporate takeover of the entire government of the United States of America. Using unlimited and now secret money, the oligarchs can buy $$$$$ almost any politician in the US or they can spend unlimited secret $$$$$ money against that politician that they perceive as a foe aginst their agenda. In the recall elections in Wisconsin the oligarchs spend $17,000,000 ($17 Million) to support republiklans in local State Senate races. $17 Million!!!! on state senate districts that have less total people than a ten city block radius around my apartment.

We’re further along this road to corporate takeover (Fascism) than most citizens realize. The $1,200,000,000,000 ($1.2 Trillion) dollars the US Military and National Security Apparatus spends every year is now virtually completely privatized. Private companies charge the US military 47 cents for a twelve ounce can of Coke soda; despite the fact that millions of cans are bought per year. A complete rip-off. The US Military can’t account for a missing $2,000,000,000,000 ($2 Trillion) dollars.

If US citizens continue to view politics like they are watching a NFL football game the megatrend of declining US standard of living will continue. Those wearing the RED republiklan jerseys will oppose anything President Obama proposes despite the facts. If he proposes fixing a crumbling bridge in your neighborhood, NO!!! If he directs the US treasury to loan GM and Chrysler money to save 3 Million jobs, Hell NO! If Nancy Pelosi’s Democratic congress passes a law ending tax breaks for companies that outsource American jobs overseas the RepubliKlans in the Senate kill the bill, the RepubliKlans sitting at home in their RED jerseys cheer and high five, YES YES YES!! Why are they cheering??? They are cheering because they surrendered their minds, their will, and their future and placed them in the hands of an authority figure; they are NON critical thinkers. These are the tea baggers that stand outside of Democratic town hall meetings holding signs saying Keep You Hands Of My Medicare.

Lowering or eliminating corporate taxes does not create jobs.

Lowering our eliminating personal income taxes does not create jobs.

We had NO personal income tax in this country until 1913. How did the US treasury collect revenue? Tariffs on imported goods.

The American middle class was created by careful planning (Government Intervention) in conjunction with American business. So called free markets don’t create a middle class. Complete laissez faire free market economies give you Somalia, Pakistan, Sudan, Haiti, Burma, Jamaica, Panama, etc. — all countries with no significant middle class. The rich rule; everyone else is a landless poor peasant. Rent or buy the Ken Burns DVD New York, or watch it again if you have it. It shows you how America’s greatest city was built, how it was planned block-by-block, the parks, the largest subway system in the world, the university system, the water system, the harbors, the health department, the housing authority, etc etc. Looking out my Manhattan apartment windows on the 35 floor I can many of the things Burns’ documentary shows being built. It wasn’t laissez faire economics that built New York City. Let’s jump down to Atlanta, Georgia. Are you old enough to remember Atlanta Georgia before the end of American apartheid, and before Dr. King’s death in 1968? Atlanta was a hick town compared to todays modern Atlanta. You could not book a direct flight from New York to Atlanta on a big jet…..because…….Atlanta’s airport was too small to handle them. Large fortune 500 firms outside of Coca-Cola were not located in Atlanta due to the apartheid laws. Who wants to have their corporate headquarters located in a place where Black people can’t enter the front door of a restaurant or book a hotel room. Atlanta’s first Black mayor Maynard Jackson built that city into the southern powerhouse that it is today, starting with the airport. City regulations required that Blacks not be excluded from the massive city-wide construction projects that transformed Atlanta from a hick town to what it is today. As a result a Black middle class was created and a small black millionaire class was created in less than 25 years. It wasn’t laissez faire economics that built Atlanta.

Americans need to stop the mindless cheering for their favorite political team; take off the RED or BLUE jerseys and focus on those corporate forces who are determined to circumvent one man (women) – one vote by any means necessary. I agree with much of what Obama is trying to do not because I’m a mindless cheerleader in the gallery. No, not at all. I agree with much of what he’s trying to do because I have analytically examined his proposals and the proposals of his opponents. His opponents want to “Liquidate labor, liquidate stocks, liquidate the farmers, liquidate real estate.” If this sounds familiar then you are a student of American history. This was the advice Secretary of the Treasury Andrew Mellon gave President Hoover after the oligarch capitalists crashed the US economy in 1929. Hoover said :
<blockquote> the “leave it alone liquidationists” headed by [my] Secretary of the Treasury Mellon, who felt that government must keep its hands off and let the slump liquidate itself. Mr. Mellon had only one formula: “Liquidate labor, liquidate stocks, liquidate the farmers, liquidate real estate.” He insisted that, when the people get an inflation brainstorm, the only way to get it out of their blood is to let it collapse. He held that even a panic was not altogether a bad thing. He said: “It will purge the rottenness out of the system. High costs of living and high living will come down. People will work harder, live a more moral life. Values will be adjusted, and enterprising people will pick up the wrecks from less competent people”...</blockquote>
In other words social Darwinism. Let the weak starve and die. Let the affluent swoop in buy everything that survives at 10 cents on the dollar. That is today’s modern RepubliKlan party led by the tea baggers policy prescription for American citizens. End Social Security (privatize it & give the money to Wall street) end Medicare & Medicaid, cut all federal programs except the military, close the EPA, close the Department of Education, cut corporate income taxes to 0%, cut personal income taxes to a maximum of a 25% flat tax or even better the ’pizza man’ Cain says 9%. Lower corporate income taxes means increased shareholder value. I’m intentionally using corporate ‘bullspeak’. Increased shareholder value means more money for shareholders via increased stock prices & dividend payouts. Corporations hire people when there is demand. No demand for their products or services, no jobs created.

Henry Ford founder of the Ford Motor company understood this. In economic language it’s called — the velocity of circulation of capital —. Henry Ford in 1914 decided that he would overnight start paying his workers $5.00 per day. The prevailing wage at Ford was $2.00 per day, and most non-auto manufacturers were paying $1.00 a day . The outrage against Ford from his fellow capitalist was intense. They thought he was crazy, the sued him in court to try to stop him. In other words just like today GREED RULES. Ford realized that by paying his worker $5.00 per day that he would increase the sales of his cars. How So? If the workers double and triple their pay they can buy the cars that they are assembling. Furthermore the entire Detroit area benefits as the Ford paycheck money is circulated through the entire Detroit economy— the velocity of circulation of capital —. Ford’s idea worked brilliantly as the entire auto industry had to match his $5.00 per day wage structure and all of Detroit benefitted. Contrast with today’s mega employers. At Wal-Mart when you get your employee package into includes an application for food stamps & Medicaid, because they know you are earning so little money that you will qualify for those programs. A race to the bottom, that’s all it is. At Wal-Mart and Target no overtime is permitted, in fact your lucky if you can get more than 30 hours per week @ $8.00 - $10.00 per hour. At the other side of the labor force you have non-management personal who have been working at Fortune 500 companies (Honeywell, Hewlet Packard, Oracle, General Electric, DuPont etc.) for 10 -20 years, earning $125,000 - $180,000, graduates from America’s top universities, now being fired and being replaced by non employee H1-B consultants or having their jobs outsourced to India where their replacement workers earn $35,000. In the name of the free market RepubliKlans support both the Wal-Mart race to the bottom and the outsourcing of good high paying jobs with benefits to India. Take off your partisan jersey and hatred for Obama and realize what’s going on in this country. We are in a second Great Depression right now. It’s not as steep or look exactly that same as the 1930’s because of the safety nets that we have today; (food stamps, unemployment insurance) that are being used at record levels. Crashing the US economy down into a pile of rubble, which is what republiklan prescriptions would do will not create demand. US sales at Wal-Mart down for nine consecutive quarters; that’s your canary in the coal mine. I’ll stop here.




 
Thought1, I got a "jobs bill".......Repeal NAFTA. Won't cost a dime, it's sensible & the majority of Americans will support this movement. Maybe, Jimmy "Lets Take These Sons Of Bitches Out" Hoffa Jr. would support this effort......but then again, he might like this corporatocracy

Jimmy would support it. Tell me how do you get a NAFTA repeal passed with the current crop of politicos we have in office?? Obama is talking about more free trade with Columbia and South Korea, he's just as bad as the republiklans on this issue.

Recently Obama opened the border to Mexican trucks
http://www.nytimes.com/2011/07/07/business/us-and-mexico-sign-trucking-agreement.html
 
Jimmy would support it. Tell me how do you get a NAFTA repeal passed with the current crop of politicos we have in office?? Obama is talking about more free trade with Columbia and South Korea, he's just as bad as the republiklans on this issue.

Recently Obama opened the border to Mexican trucks
http://www.nytimes.com/2011/07/07/business/us-and-mexico-sign-trucking-agreement.html

Free Trade is not bad when it is balanced instead of weighted towards the partners.

You have to open up new and emerging markets but you can't make it more beneficial towards the importer while making it more difficult for the exporter.

You also can't make it more financially appealing to send the manufacturing of your products overseas. If the jobs are still here the increased demand will still increase jobs.

You have to treat and US company that has its manufacturing and jobs outside our borders like a foreign company selling a foreign product


So the theory isn't what is wrong it has been the implementation.
 
Thought1, I got a "jobs bill".......Repeal NAFTA. Won't cost a dime, it's sensible & the majority of Americans will support this movement. Maybe, Jimmy "Lets Take These Sons Of Bitches Out" Hoffa Jr. would support this effort......but then again, he might like this corporatocracy


OK, so you are all for going back to pre GW tax rates and pre Regan tariffs. You're on board for raising the wealthy's taxes.
 
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Obama is talking about more free trade with Columbia and South Korea, he's just as bad as the republiklans on this issue.

Recently Obama opened the border to Mexican trucks
http://www.nytimes.com/2011/07/07/business/us-and-mexico-sign-trucking-agreement.html

<iframe width="420" height="315" src="http://www.youtube.com/embed/AkWEwwLBuvs" frameborder="0" allowfullscreen></iframe>



@ 32 seconds

"I won't stand here and tell you that we can and should stop all trade or free trade..."
 
OK, so you are all for going back to pre GW tax rates and pre Regan tariffs. You're on board for raising the wealthy's taxes.

I'd support it on the condition the size of govt reverts back to its pre-Reagan days.

You're still not solving the problem though
 
No Star Wars, re-tax all stock transactions.

fuck Star Wars, I'm a fan of Switzerlands foreign policy. I'm a non-interventionalist, remember?

Thought1, more taxes are not going to bring jobs back to the States. More taxes will not resuscitate the purchasing power of the dollar.
 
fuck Star Wars, I'm a fan of Switzerlands foreign policy. I'm a non-interventionalist, remember?

Thought1, more taxes are not going to bring jobs back to the States. More taxes will not resuscitate the purchasing power of the dollar.


The hell it won't. If you made it more expensive for the transnationals to export jobs rather than keep them here, the unemployment rate would drop overnight. We still have 300 million consumers that no self respecting corpitists/capitalist wouldn't want to exploiter just like they are trained to do.

Tariffs are taxes!
 
The hell it won't. If you made it more expensive for the transnationals to export jobs rather than keep them here, the unemployment rate would drop overnight. We still have 300 million consumers that no self respecting corpitists/capitalist wouldn't want to exploiter just like they are trained to do.

Tariffs are taxes!

More taxes will only complicate things because you are not giving anyone incentive to house their operations. The current scenario has the multinationals offshoring operations at a rapid pace, and your remedy will only accelerate their offshoring. Hell, a lot of these multicorps have already moved their headquarters. See, you think the US is still the engine that drives the world.......when, in reality, we are the caboose with 14 Trillion in debt.....and looking to borrow more

On top of all that, they've spent the last 20 years lobbying for regulations that make it damn near impossible for new competitors to enter the marketplace.

I'm not finished, the productive capacity has been allowed to deteriorate, due to the efforts of "Bubbles" Greenspan and now The Bernank. We are, currently, a nation that borrows to consume. It's been a hell of a transformation but we have to get back to saving & producing. You cannot borrow your way to prosperity nor can you incentivize people to produce by adding more taxes, its just backwards.
 
More taxes will only complicate things because you are not giving anyone incentive to house their operations. The current scenario has the multinationals offshoring operations at a rapid pace, and your remedy will only accelerate their offshoring. Hell, a lot of these multicorps have already moved their headquarters. See, you think the US is still the engine that drives the world.......when, in reality, we are the caboose with 14 Trillion in debt.....and looking to borrow more

On top of all that, they've spent the last 20 years lobbying for regulations that make it damn near impossible for new competitors to enter the marketplace.

I'm not finished, the productive capacity has been allowed to deteriorate, due to the efforts of "Bubbles" Greenspan and now The Bernank. We are, currently, a nation that borrows to consume. It's been a hell of a transformation but we have to get back to saving & producing. You cannot borrow your way to prosperity nor can you incentivize people to produce by adding more taxes, its just backwards.


The hell it won't. If you made it more expensive for the transnationals to export jobs rather than keep them here, the unemployment rate would drop overnight.


Either you don't know or typically ignore the tax incentives corporations get for exporting jobs.

10 years of tax cuts, where are the jobs?

RIF-Logo-blue_large.gif
 
Either you don't know or typically ignore the tax incentives corporations get for exporting jobs.

10 years of tax cuts, where are the jobs?

Raising taxes does not solve the problem! Thought1, the issue, in this thread is, THE POVERTY RATE CONTINUES TO SWELL. The problem is that entreprenuers are investing capital in areas where they can get a greater return on their investment. Right now, the greater return is overseas! Nothing will change until we incentivize investment here at home. All we have here is "wealth confiscation" through inflation, income taxes and interest on debt.
 
Raising taxes does not solve the problem! Thought1, the issue, in this thread is, THE POVERTY RATE CONTINUES TO SWELL. The problem is that entreprenuers are investing capital in areas where they can get a greater return on their investment. Right now, the greater return is overseas! Nothing will change until we incentivize investment here at home. All we have here is "wealth confiscation" through inflation, income taxes and interest on debt.

Raising taxes does not solve the problem! Thought1, the issue, in this thread is, THE POVERTY RATE CONTINUES TO SWELL.

The poverty rate is swelling because people don't have jobs. Mitt Romney made the poverty rate swell in Massachusetts and shrunk the poverty rate in China. Why do you think almost all of the republicans and a few democrats refuse to end oil subsidies?

Right now, the greater return is overseas! Nothing will change until we incentives investment here at home.

Duh! Why do you think it is difficult for American cars to be sold in Korea and easier to sell Korean cars in the US. The tariffs (taxes) are high when you bring a foreign car in Korea and the tariffs are low when you bring a Korean car in the US. This is not rocket science.

All we have here is "wealth confiscation" through inflation, income taxes and interest on debt.

What inflation?


fed-reserve-inflation-11.jpg
 
1 in 6 Americans living in poverty but Mike Steele just got hired at CNBC. Ashton Kutcher never did anything right but he just got a gig on one of the highest rated tv shows. Point is.. people who have basically been under-achievers at best can stay paid if they are connected so if the American living in poverty wants to get out of it they have to organize, form connections.
 
1 in 6 Americans living in poverty but Mike Steele just got hired at CNBC. Ashton Kutcher never did anything right but he just got a gig on one of the highest rated tv shows. Point is.. people who have basically been under-achievers at best can stay paid if they are connected so if the American living in poverty wants to get out of it they have to organize, form connections.

Point is.. people who have basically been under-achievers at best can stay paid if they are connected

i.e...

polish the white man's shoes: Mike Steele,

look like a white women and appeal to the beauty standards of the Western European ethic: Ashton Kutcher.
 
i.e...

polish the white man's shoes: Mike Steele,

look like a white women and appeal to the beauty standards of the Western European ethic: Ashton Kutcher.


lol that might be true for Mike and Ashton but what about Karl Rove and Newt at FOX. Point is people who are connected can survive because they have a support system while people living in poverty are impoverished they are there by design its part of a plan. If you are not part of a strong organization then you are living on borrowed time. Wait until the Postal service starts laying off people all hell could break loose.
 
The hell it won't. If you made it more expensive for the transnationals to export jobs rather than keep them here, the unemployment rate would drop overnight. We still have 300 million consumers that no self respecting corpitists/capitalist wouldn't want to exploiter just like they are trained to do.

Tariffs are taxes!


It's all about Greed peeps.

Make that money $$$$$$$$, make that $$$$$$, Ayn Rand socipath worshiping, I got mine, I'm getting more, FUCK YOU!, you can't touch my Billions, 'Shared Sacrifice' :lol::lol::lol:


Most Americans have no clue what todays ‘free trade’ means. It sounds so simple & innocuous. The expository word is “free”. Who doesn’t like free? The move toward so-called unfettered ‘free trade’ began in 1980 with the Reagan presidency. From 1945 the end of World War 2 to 1980, big business in America practiced what was called “social responsibility”. In other words the pursuit of making money (profits) was not THE ONLY goal of the executives running the business. If a company had a large manufacturing plant in a community which hired thousands of workers and contributed to — the velocity of circulation of capital — in that city, the income from the workers supporting all the local businesses, the executives would not quickly decide to close that factory and export the jobs overseas just because they could make more profits by doing so. They would argue in the boardroom that the increase in profits they could make by sending that factory overseas was not worth the destruction of jobs and that community they have been located in for twenty years.

That type of “social responsibility” corporate governance came to a screeching halt in the 1980’s. In the 1980’s famous economist Milton Friedman’s ideas finally gained traction in the White House and the executive suites and boardrooms of Americas top corporations. Read Turbo Capitalism to understand the radical change that occurred in 1980.

‘Social Responsibility’ is also ‘Business Ethics’. Milton Friedman told business leaders to abandon both and just focus on making money. His essay The Social Responsibility of Business is to Increase Its Profits- The New York Times Magazine, September 13, 1970, became the doctrine business leaders started to follow.
Friedman said in the essay:<blockquote>
When I hear businessmen speak eloquently about the "social responsibilities of business in a free-enterprise system,"…. The businessmen that believe that they are defending free enterprise when they declaim that business is not concerned "merely" with profit but also with promoting desirable "social" ends; that business has a "social conscience" and takes seriously its responsibilities for providing employment, eliminating discrimination, avoiding pollution and whatever else may be the catchwords of the contemporary crop of reformers. In fact they are--or would be if they or anyone else took them seriously--preaching pure and unadulterated socialism. Businessmen who talk this way are unwitting puppets of the intellectual forces that have been undermining the basis of a free society these past decades.</blockquote>

Read the entire Friedman essay with a paragraph by paragraph critique HERE

Former General Electric Chairman & CEO Jack ‘neutron bomb’ Welch was a leader in eschewing GE’s traditional ‘Social Responsibility’ and ‘Business Ethics’. Welch took over GE and quickly closed hundreds of US based GE facilities, and quickly fired more than 100,000 workers and more importantly after he visited India began the massive outsourcing of jobs overseas to dramatically lower his labor cost for skilled (college degree) workers. Other Fortune 500 companies quickly followed Welch’s lead. There is nothing wrong with plant closings and layoffs in unproductive areas of a corporation; that is good standard business practice. However if the only goal behind layoffs and plant closings is to solely increase the stock price of the company on the stock exchange as fast as possible you are now engaged in ENRON economics . Get that stock price up, whatever it takes, give your executives millions-of-dollars of short duration stock options that they can cash in as soon as the stock price goes up, pump & dump. Turbo Capitalism. Fuck the long term health of the company or the welfare of the staff employees. Now if you don’t follow this strategy as a modern Fortune 1000 CEO, what happens to you?? You get sued by shareholder groups alleging that you are not increasing shareholder value (the stock price) fast enough. The Wall street analysts will downgrade your stock and call for other companies , hedge funds, billionaire corporate raiders to make a takeover bid for your company. You the CEO will be fired quickly. We just saw this scenario with Yahoo, the fired CEO couldn’t get the stock price up fast enough, goodbye!! Facebook is going to have the same problem when they go public; get that stock price up quickly or Wall street will turn on you in a second.

Let us look at the hottest super large company in the world today Apple Computer –AAPL

Here is a fact that will blow your mind. Apple currently manufactures their product in China paying worker $300 dollars per month. Watch the video below.


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Apple could pay workers 10 times more money; which would be $36,000 a year; bring all of those jobs back to the United States and have their profit margin only drop from 64% to 50%

That’s a 14% difference in profits. Just using a simple calculation (there are other factors involved) Apples current cash stack of $76,000,000,000 would be reduced to $65,000,000,000

You wonks can read the fascinating full analysis that ironically was done by the Asia Development Bank HERE

Could Apple bring the Chinese manufacturing jobs back to the US without being sued by Wall street for NOT maximizing profits??. Think of the public relations coup Apple would enjoy for bringing a couple thousand $36,000 a year jobs back to the US. They could go into the depressed Sate of Ohio right now, takeover one of those recently abandoned factory buildings, receive essentially free electricity from the State, a ten year waiver on any State income tax etc. etc.

Would that be the ‘Socially Responsible’ thing for a technologically leading American company to do or would Wall Street and the RepubliKlans and the corporate-owned Democrats condem Apple as a communist socialist company as Milton Friedman would do.

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U.S. Tariff Rate History



 
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Could the "gold standard" have prevented the outsourcing we currently see?

Just a thought cause gold has a way of bringing discipline to markets. If gas was measured in gold, the price has been steady over 40 years. Its understood gas would be between 10-13 cents a gallon TODAY. That leads me to believe prices of goods and services would've remained steady over the same time period.

I've gone through great lengths to explain how prices adjust when the money supply is inflated. "Money printing" allows prices, wages to inflate. Unfortunately, it has led to our services (jobs) being outsourced to places where the services are less expensive.

Everyone doesn't suffer equally from "Money printing", its always the poor, the middle class, and those on fixed incomes who suffer the most.

"In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold. If everyone decided, for example, to convert all his bank deposits to silver or copper or any other good, and thereafter declined to accept checks as payment for goods, bank deposits would lose their purchasing power and government-created bank credit would be worthless as a claim on goods. The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves.

This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard."
- Alan Greenspan 1966
 
So where are the fucking jobs!

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source: Forbes


The rich keep getting richer even when economic growth is puny. Even those making over $100,000 a year can afford to be called relatively well off. One reason the rich keep getting richer is that the rate of corporate profits keeps rising at a much faster rate than wages. Another reason is that CEOS are being treated in a royal fashion compared to middle management and plain blue collar employees.

The Chairman of Merck, a giant drug company, not doing all that magnificently, was paid $17 million last year, a period during which his company laid off considerable employees. You know that bank that was downgraded today– Bank of America; its chairman was paid $10 million, and that’s being paid for in part by the laying off of 30,000 workers.

I recall the late Peter Drucker predicting to me– and I wrote it– that middle management in American industry was going to rise up in revolt. I knew instinctively he was wrong– because all they wanted was that chance to get to the $17 million a year.

I’ve written that Harvard economist Ken Rogoff is predicting “serious social unrest,” and I’ve got a gut feeling we’re going to gradually see some of that as the homeless numbers and the unemployed numbers and the returning veterans of Iraq and Afghanistan find they have sacrificed for nothing.

That’s why deflation- not inflation– is the enemy. That’s why hope for salvation from Uncle Sam is a dying dream. That’s why the rich may continue to get richer and afford luxuries. But, the nation is ailing, and there is a worry in my gut of a creeping depression, a severe contraction in the wake of wealth inequality, disorderly financial markets, threats of insolvency to banks again.
 
source: Washington Post

Everything you need to know about the war on poverty

Fifty years ago today, President Lyndon Johnson declared "unconditional war" on poverty. Depending on your ideological priors, the ensuing effort was either "a catastrophe" (Heritage's Robert Rector) or "lived up to our best hopes as a people who value the dignity and potential of every human being" (the White House's news release on the anniversary). Luckily, we have actual data on these matters which clarify what exactly happened after Johnson's declaration, and the role government programs played. Here's what you need to know.

1. What was the war on poverty?

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The term "war on poverty" generally refers to a set of initiatives proposed by Johnson's administration, passed by Congress, and implemented by his Cabinet agencies. As Johnson put it in his 1964 State of the Union address announcing the effort, "Our aim is not only to relieve the symptoms of poverty, but to cure it and, above all, to prevent it."

2. What programs did it include?

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President Johnson signs Medicare into law and makes former president Harry Truman, right, the first enrollee

The effort centered around four pieces of legislation:

• The Social Security Amendments of 1965, which created Medicare and Medicaid and also expanded Social Security benefits for retirees, widows, the disabled and college-aged students, financed by an increase in the payroll tax cap and rates.

• The Food Stamp Act of 1964, which made the food stamps program, then only a pilot, permanent.

• The Economic Opportunity Act of 1964, which established the Job Corps, the VISTA program, the federal work-study program and a number of other initiatives. It also established the Office of Economic Opportunity (OEO), the arm of the White House responsible for implementing the war on poverty and which created the Head Start program in the process.

• The Elementary and Secondary Education Act, signed into law in 1965, which established the Title I program subsidizing school districts with a large share of impoverished students, among other provisions. ESEA has since been reauthorized, most recently in the No Child Left Behind Act.

3. Why did it start when it did?

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Michael Harrington, author of "The Other America." (The Michael Harrington Center
for Democratic Values and Social Change)


Besides Johnson's personal interest in the issue, a number of factors made 1964-65 the ideal time for the war on poverty to start. The 1962 publication of Michael Harrington's "The Other America," an expose which demonstrated that poverty in America was far more prevalent than commonly assumed, focused public debate on the issue, as did Dwight MacDonald's 13,000-word review essay on the book in The New Yorker. Many historians, such as Harrington biographer Maurice Isserman, credit Harrington and the book (which John F. Kennedy purportedly read while in office, along with the MacDonald review) with spurring Kennedy and then Johnson to formulate an anti-poverty agenda, on which Harrington (despite being a member of the Socialist Party) consulted alongside Daniel Patrick Moynihan and OEO chief Sargent Shriver.

The civil rights movement also deserves considerable credit for forcing action. Groups like the NAACP and the Urban League were prominent allies of the Johnson administration in its push for the Economic Opportunity Act and other legislation on the topic. Another factor is the fact that we just didn't have good data on poverty until shortly before the war on it began; our numbers only go back to 1959.

4. How long did it last?

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Donald Rumsfeld, left, served as Nixon's first OEO director. Among Rumsfeld's lieutenants were Dick Cheney and future Defense Secretary Frank Calucci.

Many of the war on poverty's programs — like Medicaid, Medicare, food stamps, Head Start, Job Corps, VISTA and Title I — are still in place today. The Nixon administration largely dismantled the OEO, distributing its functions to a variety of other federal agencies, and eventually the office was renamed in 1975 and then shuttered for good in 1981.

5. Did it reduce poverty, actually?

It did. A recent study from economists at Columbia broke down changes in poverty before and after the government gets involved in the form of taxes and transfers, and found that, when you take government intervention into account, poverty is down considerably from 1967 to 2012, from 26 percent to 16 percent:

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While that doesn't allow us to see how poverty changed between the start of the war in 1964 and the start of the data in 1967, the most noticeable trend here is that the gap between before-government and after-government poverty just keeps growing. In fact, without government programs, poverty would have actually increased over the period in question. Government action is literally the only reason we have less poverty in 2012 than we did in 1967.

What's more, we can directly attribute this to programs created or expanded during the war on poverty. In 2012, food stamps (since renamed Supplemental Nutrition Assistance Program, or SNAP) alone kept 4 million people out of poverty:

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And is even more important in fighting extreme poverty (that is, people living under $2 a day):

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In fairness, SNAP isn't the biggest anti-poverty program on the books. That would be Social Security, also expanded by the war on poverty. The Earned Income Tax Credit, which came a few decades after, and other refundable credits are No. 2:

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The impact of non-transfer programs such as Medicare, Medicaid and Job Corps on poverty is harder to measure, but what indications there are are promising. Amy Finkelstein and Robin McKnight have found that Medicare significantly reduced out-of-pocket medical expenditures for seniors, which increased their real incomes. The Oregon Medicaid Study found that the program significantly reduces financial hardship for its beneficiaries, who, under Oregon's eligibility rules at the time, all fell below the poverty line. A randomized evaluation of the Job Corps found that it caused improvements on a variety of outcomes, most notably a 12 percent increase in earnings of participants but also reductions in rates of incarceration, arrest, and conviction.

Title I, on the other hand, is generally agreed to cause more equitable school funding allocations, but the evidence on its effects on student achievement is less promising, with many evaluations finding no effect. A randomized evaluation of Head Start found that its effects faded out quickly, and many experts, notably James Heckman, are quite skeptical of the program's benefits. That said, other researchers, like Harvard's David Deming, have more positive evaluations.

6. Why don't people think it reduced poverty?

Largely because people rely on the official poverty rate, which is a horrendously flawed measure, which excludes income received from major anti-poverty programs like food stamps or the EITC. It also fails to take into account expenses such as child care and out-of-pocket medical spending. If you look at the traditional rate — which, I'm not even kidding, is based on the affordability of food for a family of three in 1963/4, with no adjustments except for inflation since then — it looks like poverty has stagnated rather than fallen.

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So when you read, say, the Cato Institute's Michael Tanner writing things like, "the poverty rate has remained relatively constant since 1965, despite rising welfare spending," keep in mind that that statistic is completely meaningless in this context. The relevant measure is the supplemental poverty measure which, as mentioned above, fell following the start of the war on poverty.

7. What more could we be doing now to fight poverty?

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So many things! We could expand existing working anti-poverty programs like Social Security, the Earned Income Tax Credit, the child tax credit and food stamps, or at least reverse recent cuts to the latter. We could, similarly, cut taxes on the working poor, perhaps by exempting the first $10,000 or so of a worker's earnings from payroll taxes, or by cutting down on the extremely high effective marginal tax rates which poor Americans face. We could adopt a still more dramatic transfer regime, such as a basic income or low-income wage subsidies. We could be investing in education, such as by scaling up successful pre-K pilots such as the Perry or Abecedarian experiments, or by expanding high-performing charter schools and having traditional public schools adopt their approaches. We could raise the minimum wage, which all researchers find reduces poverty.
 
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