Stocks Point to a Dying Middle Class - Page 2
Do we really think we can support a viable economy with retailers whose most salient quality is “dollar?” Of course not. Serial entrepreneur Nick Hanauer (who sold a start–up to Microsoft in 2007 for $6.4 billion) recently wrote about this for Bloomberg. Hanauer says,
We’ve written about this before—jobs are created by willing buyers, not by willing sellers. Hanauer takes it one step further,
“When businesspeople take credit for creating jobs, it is like squirrels taking credit for creating evolution. In fact, it’s the other way around. When the American middle class defends a tax system in which the lion’s share of benefits accrues to the richest, all in the name of job creation, all that happens is that the rich get richer.”
If the trend continues, there won’t be a middle class left to beg the rich for jobs they never did provide. But if we’re to save the middle class, Hanauer says we should increase taxes on the rich. Then we should spend the money to fund things that benefit everyone. Even the rich will benefit, he believes. In any event, we have nothing to lose by reinstituting fair taxing of the rich. Neither coddling, pampering, nor worshipping them has been successful.
It took 40 years of a New Deal, a World War, and a Great Society to create a vibrant middle class in the United States. It took thirty years of Reaganomics capped by eight years of unregulated capitalism to bring our middle class to its knees. If we let our middle class die, it’ll take thirty years and a real—not rhetorical—class war to get it back.
Nobody wants that.