Mike Malloy Forum Index Mike Malloy
Welcome Truthseekers!
 
 FAQFAQ   SearchSearch   MemberlistMemberlist   UsergroupsUsergroups   RegisterRegister 
 ProfileProfile   Log in to check your private messagesLog in to check your private messages   Log inLog in 

Commentary: Class warfare accelerating, democracy losing gri

 
Post new topic   Reply to topic    Mike Malloy Forum Index -> Daily Chat
View previous topic :: View next topic  
Author Message
Tom
- SIMIAN SLAYER -


Joined: 15 May 2003
Posts: 12281
Location: Northwest Indiana

PostPosted: Fri Oct 07, 2011 3:43 am    Post subject: Commentary: Class warfare accelerating, democracy losing gri Reply with quote

Commentary: Class warfare accelerating, democracy losing grip

By Paul B. Farrell, MarketWatch

SAN LUIS OBISPO, Calif. (MarketWatch) — Memo to the Super Rich, your high-paid lobbyists and your no-compromise political puppets whose sole mission is destroying the presidency: Yes, you are succeeding. You’re also killing the economy.

Thanks to your self-destructive ideology, America is now in the second of back-to-back Lost Decades. A new one on the heels of the 2000-2010 Lost Decade where Wall Street lost more than 20% inflation-adjusted. Get it? You guys launched America’s second Lost Decade of 21st century.


Yes, two consecutive job-killing Lost Decades. The first created by Wall Street’s obsessive greed. The new one triggered by the widening wealth gap that’s feeding endless partisan political wars powered by Super Rich conservatives hell-bent on re-establishing the same free-market, trickle-down Reaganomics policies that have been sabotaging America for the last generation.

Unfortunately, the new one gets worse: Why? The coming Lost Decade is a backdrop for a wave of class warfare destined to trigger a historic revolution in American politics, bigger than the ‘29 Crash and Great Depression.

Initially inspired by the Arab Spring, Occupy Wall Street is a virus spreading rapidly as Occupy Everything, a reform movement that will overshadow the GOP/Tea Party as the voice of the people, leading to an Occupy America. Read more about the origins of Occupy Wall Street.

Read David Weidner’s Writing on the Wall: Occupy Wall Street is a tea party with brains.

Investors, listen closely: First, we’ll summarize five major signs of America’s new Lost Decade 2011-2021. Then, we summarize seven diverse examples of rebellions across the world adding fuel to America’s accelerating Occupy Wall Street revolution.

Why is this crucial for investors? Because these class wars are guaranteed to deepen America’s market and economic problems during the coming Lost Decade. So listen closely investors:

1. Decade of debt stagnation till 2021
Barron’s Gene Epstein warns that Obama’s latest is “Too Little, Too Late.” Even if the president “gets everything he asked for in his new proposals, it won’t reduce our growing public debt. And he won’t get it all.”

So America’s debt will remain around 80% of GDP for a decade, levels not seen since the 1940s. That’s right, debt will remain dangerously high at least through 2021. And it won’t matter who is president. Class warfare will accelerate this job-killing debt cycle.

2. Investors lose faith, bailing out
Over at the Wall Street Journal Tom Lauricella warns “Investors lose faith in stocks … in a historic retreat, investors world-wide during the three months through August pulled some $92 billion out of stock funds in the developed markets,” more than reversing the total “put into those funds since stocks bottomed in 2009.”

Worse, there’s a “widening belief that the mess left behind by the housing bubble and financial crisis will be a morass to contend with for years.” Yes, many years.

3. Fed surrenders, cannot fix economy
In a Cleveland speech last week Fed Chairman Ben Bernanke warned that with 45% of the unemployed out more than six months, long-term unemployment is now a “national crisis” the Fed cannot fix. “Unheard of … this has never happened in the post-war period.” They’re “losing the skills they had, they are losing their connections, their attachment to the labor force.” But a job-killing Congress won’t act.

4. Wall Street still doesn’t get it
In a recent Foreign Policy article, William Cohan, a former J. P. Morgan Chase managing director and author of “Money and Power: How Goldman Sachs Came to Rule the World,” warns Wall Street not only learned nothing after the 2008 meltdown, they’re aggressively lobbying to kill all reforms that might “break this dangerous cycle in which bankers and traders get very rich while the rest of us suffer from their mistakes.”

Wall Street is deaf, blind and myopic, wants no limits on “all manner of bets on the market,” even at the “risk of a U.S. recession.” Only a catastrophe will wake Wall Street.

5. Yes, America’s second Lost Decade just began
In a Money interview, “Are We the Next Japan?” Nomura Research economist Richard Koo sees “striking similarities between our current malaise” and Japan’s Lost Decade. Their stimulus did work, but then “the Japanese made a horrendous mistake in 1997.”

The IMF told Japan “you’re running a huge fiscal deficit with an aging population … reduce your deficit.” So Japan “cut spending and raised taxes” and “the whole economy came crashing down.” Sure sounds familiar.

Warning: to Wall Street CEOs, the Super Rich, the top 1% who think they own our government … the party’s over. No matter who gets elected in 2012 and 2016, the new Lost Decade 2011-2021 will make life miserable for the president and Congress, as with Japan earlier.

Worse, this Lost Decade will make life miserable for everybody: corporations, investors, consumers, workers, small businesses and all our families, with the kind of economic suffering experienced in the painfully long Great Depression era.

Yes, big shock dead ahead. The class wars like Arab Spring are accelerating across America. “Occupy Wall Street” is going viral, spreading through “Occupy Together,” expanding in dozens of cities across America and the world, growing bigger — in commitment, in mission, in boldness — a resistance movement waging war against our democracy-killing Super Rich.

Next, expect many more class wars, regional rebellions, uprisings against the wealthy — yes, this is the second American Revolution.

Yes, ‘the people’ have lost faith in voting … and in democracy
Wake up folks: The myopic media is trapped in 2012 “campaign mode,” in a time warp delivering mind-numbing reality shows featuring the latest soap-opera sound bites about Mitt, Rick, Chris, Newt, Michele and their endless games.

Meanwhile, off-camera something big is happening, in the real world, a historic, cultural shift exploding all across America and the world. Something the media, bankers and politicians still can’t grasp.

Get it? The people have lost faith in voting. Not just lost faith in the markets and economy. The public no longer has faith in democracy. They know voting is irrelevant, nothing ever changes. They now know their world is being manipulated by a powerful cabal of wealthy special interests, corporate bosses, bankers, lobbyists and self-serving politicians.

Voters know they’re being played for suckers. The game is rigged. And they’ve also figured out that change will come only after a revolution, one they’re triggering.

Warning: This revolutionary spirit is spreading across the world’s youth, the unemployed, disenfranchised and disillusioned, voices who’ve lost faith in voting democracies.

This historic wave is summarized here from Nicholas Kulish’s provocative New York Times piece, “As scorn for vote grows, protests surge around globe.” Forget the Tea Party, the new class wars will force America to change, as they’re changing the Arab world.

Seven powerful signs: You can feel the shift from democracy … to anarchy in the streets …to a revolution that demands overthrow of the establishment:

1. Global anger at economic inequality
“Hundreds of thousands of disillusioned Indians cheered a rural activist on a hunger strike. Israel reels before the largest street demonstrations in its history. Enraged young people in Spain and Greece take over public squares across their countries,”

Universal complaints: “Corruption … lack of affordable housing … joblessness … from South Asia to the heartland of Europe … to Wall Street … wariness, even contempt, toward traditional politicians and the democratic political process … they have little faith in the ballot box.”

2. Broken promises of voting democracies
Until recently a global consensus told us democracy was “the only path forward.” That faith was broken by an “endless succession of crises, the Asian financial collapse of 1997, the Internet bubble that burst in 2000, the subprime crisis of 2007-8 and the continuing European and American debt crisis.”

Worse, the “inability of policy makers to deal with them or cushion their people from the shocks.”

3. British youth: Nothing to lose
“Even when capitalism fell into its worst crisis since the 1920s there was no viable alternative vision,” said British author Owen Jones. Protests “exploded into lawlessness last month” when “rampaging youths smashed store windows and set fires in London and beyond.”

They no longer believe “the political system represented their interests.” Rioting youth “didn’t feel they had a future to risk.”

4. Young Spaniards: ‘Voting is worthless’
Spain has the developed world’s highest unemployment at 21%: “Many have lost confidence that politicians of any party can find a solution.” These “indignados, the outraged … block traffic, occupy squares and gather for teach-ins. ‘Our parents are grateful because they’re voting,’ said Marta Solanas, 27, an unemployed online journalist, referring to older Spaniards’ decades spent under the Franco dictatorship. ‘We’re the first generation to say that voting is worthless.’”

5. India’s massive government corruption
A New Delhi university student from a small village “wants to know why her parents go days without power: ‘Electricity is our basic need. Where is the money going?’” A rural “activist, starved himself publicly for 12 days until the Indian Parliament capitulated to” an “anticorruption measure to hold public officials accountable. ‘We elect the people’s representatives so they can solve our problems” but that’s not happening, “corruption is ruling our country.”

6. Israel’s politicians abandon citizens
Israel is “a market-driven high-tech powerhouse. But with wealth has come inequality.” The “same small class of people who profited from government privatizations also dominates the major political parties. … market forces produced … a feeling that the job of a citizen was limited to occasional trips to the polling places to vote.” The Israeli “political system has abandoned its citizens.”

7. Class warfare in European Union
“In many European countries the disappointment is twofold: in heavily indebted federal governments pulling back from social spending and in a European Union viewed as distant and undemocratic. Europeans leaders have dictated harsh austerity measures in the name of stability for the euro … rubber-stamped by captive and corrupt national politicians … ‘The biggest crisis is a crisis of legitimacy,’ says one activist … we don’t think they are doing anything for us.”

Warning: Inequalities are at the heart of all revolutions. Today, inequities are at 1929 levels. We’ve been watching this wealth gap widening for decades, since Reaganomics took over American politics a generation ago. Since then the income of the wealthiest 1% skyrocketed from 9% to 23%, while the other 99% of Americans stagnated.

Yes, Warren Buffett’s right: “There’s class warfare, all right, but it’s my class, the rich class, that’s making war, and winning.” … But not for much longer. Why? Because the Arab Spring set the stage with class wars targeting dictators, scam-voting, pseudo-democracies.

Now Occupy Wall Street has emerged as the booster rocket accelerating a new American Revolution.

http://www.marketwatch.com/story/a-new-lost-decade-is-leading-to-revolution-2011-10-04?pagenumber=1
_________________
Conservatism is a pale horse, and the riders should be called DEATH.
Back to top
View user's profile Send private message
Tom
- SIMIAN SLAYER -


Joined: 15 May 2003
Posts: 12281
Location: Northwest Indiana

PostPosted: Fri Oct 07, 2011 3:57 am    Post subject: Reply with quote

Flat-Lining the Middle Class: Economic Numbers to Die For

by Andy Kroll



Food pantries picked over. Incomes drying up. Shelters bursting with the homeless. Job seekers spilling out the doors of employment centers. College grads moving back in with their parents. The angry and disillusioned filling the streets.

Pan your camera from one coast to the other, from city to suburb to farm and back again, and you'll witness scenes like these. They are the legacy of the Great Recession, the Lesser Depression, or whatever you choose to call it.

In recent months, a blizzard of new data, the hardest of hard numbers, has laid bare the dilapidated condition of the American economy, and particularly of the once-mighty American middle class. Each report sparks a flurry of news stories and pundit chatter, but never much reflection on what it all means now that we have just enough distance to look back on the first decade of the twenty-first century and see how Americans fared in that turbulent period.

And yet the verdict couldn’t be more clear-cut. For the American middle class, long the pride of this country and the envy of the world, the past 10 years were a bust. A washout. A decade from hell.

Paychecks shrank. Household wealth melted away like so many sandcastles swept off by the incoming tide. Poverty spiked, swallowing an ever-greater share of the population, young and old. "This is truly a lost decade," Harvard University economist Lawrence Katz said of these last years. "We think of America as a place where every generation is doing better, but we're looking at a period when the median family is in worse shape than it was in the late 1990s."

Poverty Swallows America

Not even a full year has passed and yet the signs of wreckage couldn’t be clearer. It’s as if Hurricane Irene had swept through the American economy. Consider this statistic: between 1999 and 2009, the net jobs gain in the American workforce was zero. In the six previous decades, the number of jobs added rose by at least 20% per decade.

Then there's income. In 2010, the average middle-class family took home $49,445, a drop of $3,719 or 7%, in yearly earnings from 10 years earlier. In other words, that family now earns the same amount as in 1996. After peaking in 1999, middle-class income dwindled through the early years of the George W. Bush presidency, climbing briefly during the housing boom, then nosediving in its aftermath.

In this lost decade, according to economist Jared Bernstein, poor families watched their income shrivel by 12%, falling from $13,538 to $11,904. Even families in the 90th percentile of earners suffered a 1% percent hit, dropping on average from $141,032 to $138,923. Only among the staggeringly wealthy was this not a lost decade: the top 1% of earners enjoyed 65% of all income growth in America for much of the decade, one hell of a run, only briefly interrupted by the financial meltdown of 2008 and now, by the look of things, back on track.

The swelling ranks of the American poor tell an even more dismal story. In September, the Census Bureau rolled out its latest snapshot of poverty in the United States, counting more than 46 million men, women, and children among this country's poor. In other words, 15.1% of all Americans are now living in officially defined poverty, the most since 1993. (Last year, the poverty line for a family of four was set at $22,113; for a single working-age person, $11,334.) Unlike in the lost decade, the poverty rate decreased for much of the 1990s, and in 2000 was at about 11%.

Even before the housing market imploded, during the post-dot-com-bust years of “recovery” from 2001 to 2007, poverty figures were the worst for any recovery on record, according to Arloc Sherman, a senior researcher at the Center on Budget and Policy Priorities. The Brookings Institution, meanwhile, predicts that the ranks of the poor will continue to grow steadily during the years of the Great Recession, which officially began in December 2007, and are expected to reach 50 million by 2015, almost 10 million more than in 2007.

Hitting similar record highs are the numbers of "deep" poor, Americans living way below the poverty line. In 2010, 20.5 million people, or 6.7% of all Americans, scraped by with less than $11,157 for a family of four -- that is, less than half of the poverty line.

The ranks of the poor are no longer concentrated in inner cities or ghettos in the country’s major urban areas as in decades past. Poverty has now exploded in the suburbs. Last year, more than 15 million suburbanites -- or one-third of all poor Americans -- fell below the poverty line, an increase of 11.5% from the previous year.

This is a development of the last decade. Those suburbs, once the symbol of by-the-bootstraps mobility and economic prosperity in America, saw poverty spike by 53% since 2000. Four of the ten poorest suburbs in America -- Fresno, Bakersfield, Stockton, and Modesto -- sit side by side on a map of California's Central Valley like a row of broken knuckles. The poor are also concentrated in border towns like El Paso and McAllen, Texas, and urban areas cratered by the housing crash like Fort Myers and Lakeland, Florida.

The epidemic of poverty has hit minorities especially hard. According to Census data, between 2009 and 2010 alone the black poverty rate jumped from 25% to 27%. For Hispanics, it climbed from 25% to 26%, and for whites, from 9.4% to 9.9%. At 16.4 million, more children now live in poverty than at any time since 1962. Put another way, 22% of kids currently live below the poverty line, a 17-year record.

America’s lost decade also did a remarkable job of destroying the wealth of nonwhite families, the Pew Research Center reported in July. Between 2005 and 2009, the household wealth of a typical black family dropped off a cliff, plunging by a whopping 53%; for a typical Hispanic family, it was even worse, at 66%. For white middle-class households, losses on average totaled “only” 16%.

Here's a more eye-opening way to look at it: in 2009, the median wealth for a white family was $113,149, for a black family $5,677, and for a Hispanic family $6,325. The second half of the lost decade, in other words, laid ruin to whatever wealth was possessed by blacks and Hispanics -- largely home ownership devastated by the popping of the housing bubble.

The New Lost Decade

As for this decade, less than two years in, we already know that the news isn't likely to be much better. The problems that plagued Americans in the previous decade show little sign of improvement.

Take the jobs market. Tally the number of jobs eliminated since the recession began and also the labor market's failure to create enough jobs to keep up with normal population growth, and you're left with an 11.2 million jobs deficit, a chasm between where the economy should be and where it is now. Filling that gap is the key to any recovery, but to do so by mid-2016 would mean adding 280,000 jobs a month -- a pipe dream in an economy limping along creating an average of just 35,000 jobs a month for the past three months. Unless the country's jobs engine were somehow jump-started, 11.2 million jobs in this decade would be a real stretch.

But few in Congress, and none of the controlling Republican politicians, will even think about using the jumper cables. President Obama's relatively modest American Jobs Act, for instance, was declared a corpse on arrival at the House of Representatives. On Monday, a reporter asked House Majority Leader Eric Cantor (R-Va.), "The $447 billion jobs package as a package: dead?" Yes, Cantor assured him, indeed it was.

The president and his administration watch despondently from the other end of Pennsylvania Avenue. And for the majority of Americans, a jobless “recovery” exacts an ever-greater toll on their earnings, their families, their health, their basic ability to make ends meet.

The question on many economists' minds is: Will the U.S. slump into a double-dip recession? But for so many Americans living outside the political and media hothouses of Washington and New York, this question is silly. After all, how can the economy tumble back into recession if it never left in the first place?

No one can say for certain how many years will pass before America regains anything like its pre-recession swagger -- and even then, there's little to suggest that the devastating effects of the middle class's lost decade won’t have changed this country in ways that will prove permanent, or that the gap between the wealthy and everyone else will do anything but increase in good times or bad in the decade to come. The deep polarization between the very rich and everyone else has been decades in the making and is a global phenomenon. Reversing it could be the task of a lifetime.

In the meantime, the middle class has flat-lined. Life support is nowhere close to arriving. One lost decade may have ended, but the next one has likely only begun.

http://www.tomdispatch.com/post/175450/tomgram%3A_andy_kroll%2C_america%27s_lost_decade/
_________________
Conservatism is a pale horse, and the riders should be called DEATH.
Back to top
View user's profile Send private message
Tom
- SIMIAN SLAYER -


Joined: 15 May 2003
Posts: 12281
Location: Northwest Indiana

PostPosted: Fri Oct 07, 2011 6:27 am    Post subject: Reply with quote

Occupy Wall Street is this year’s tea party

Commentary: Protesters seek political process that doesn’t exclude them


Quote:
Actually, they have more in common with the tea-party movement than the hippie dream, with one key difference: They’re smart enough to recognize the nation’s problems aren’t simply about taxes and the deficit.

They want jobs. They want the generation in power to acknowledge them. They want political change. They want responsibility in a culture that abdicates it. They want a decent future of opportunity.

If that isn’t American, then what is?


http://www.marketwatch.com/story/occupy-wall-street-is-a-tea-party-with-brains-2011-10-04
_________________
Conservatism is a pale horse, and the riders should be called DEATH.
Back to top
View user's profile Send private message
Display posts from previous:   
Post new topic   Reply to topic    Mike Malloy Forum Index -> Daily Chat All times are GMT
Page 1 of 1

 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum


Powered by phpBB © 2001, 2005 phpBB Group