When the President in his recent speech stated that the historically high income disparity gap is only continuing to widen leaving millions of Americans wondering if they will ever be able to get ahead has but a game face on in trying to tell the American citizens that our whole society and way of life is threatened because of it. You can bet an awful lot of Republicans and the rest of the 1% that speech probably hit a nerve.
In a capitalist environment we must accept that profit is the main focus of any business. On the other side of the coin when profit becomes greed as in too many cases as we are seeing today no longer is our capitalist society in balance where the economy can flourish and grow. When there is such a disparity between the have's and the have not's there comes a point when the majority, the have not's, rise up and say enough is enough. One can remember a period in time where a violent revolution started this way. Remember the French Revolution?
It was only a little over a year ago that the 99% protest marked a beginning of rebellion against the status-quo. It is too bad that it didn't ignite the flame of open retaliation against the powers that be. Against all odds the 99% protest never really did materialize into what it was trying to do. That is equal the playing field where all should have equal opportunities to climb up the economic mobility ladder. Consequently, the have's kept getting richer while the have not's kept getting poorer.
It was just this past week where all over the country low wage service sector workers have staged rallies to emphasize the ongoing plight that their substandard wages have kept them from even reaching that ladder of upward mobility. These protests has only triggered the wrath of too many Republicans stating like many corporate heads emphasize "get a better job if you don't like the wage we set." It is these protests that are just another link in the chain of events that if we as a nation fail to recognize what the undercurrent of frustration amounts to it just might spill over into a flood of rebellion capitulating this country into very dangerous territory.
Now, with the latest newspapers coming out with front page news stating emphatically that the employment picture is rosy with a steady influx of jobs added and the unemployment figure is 7% the only ones rejoicing was Wall Street. Main street on the other hand has yet to experience any type of jubilation at all. However, all this so called great news on the economic front reported by the main stream media has only masked over the unfortunate facts that still persist today. One fact that still resonates an economic affront to all this so called good news is that the city of Detroit in bankruptcy proceedings is only the tip of the iceberg in relation to other cities all across the country. Sure, there are some municipalities that are ok but by and large too many are almost is the same boat as Detroit.
When we really take a good hard look at the true unemployment figures and figure in wages set the picture is even bleaker. Nation wide Afro-Americans have one of the highest unemployment numbers around. In many cities their unemployment numbers are over 25%. Hispanics fair a little better but their corresponding wages are poverty level at best. Lets face the hard reality today and not gloss over the true nature of the economic conditions the majority of the population live in today.
Today, just before Christmas when so many people try to find some kind of happiness are only borrowing money to achieve that end. The draw back to all this borrowing even though it stimulates some forward economic momentum in the short term puts more individuals deeper in debt. And, with so many whose incomes don't equate to paying back all that is borrowed is a prerequisite for disaster. Not only for those individuals but for banks as well. Today, this nation is on track for a record of borrowing. Whether for autos, student loans, Christmas, or homes all have put too many deeper in dept. With the jobs that the newspapers keep saying were created the corresponding wages have yet to materialize that show the economy is actually on the right track when in actuality we have been on the wrong track for years. The jobs that are being created there still remains the fact that too many individuals will never be able to pay all that debt back. Just like our Federal Government.
While the major newspapers keep touting good economic news on job growth they have only indirectly pushed Wall Street to record heights. But, beneath this façade is the hard cold fact of the continuing widening of that income gap which has reached yet again an all time high. In 2013, the wealth of the world’s billionaires soared. The 2013 Forbes Billionaires list has1,426 billionaires with an aggregate net worth of $5.4 trillion, up a staggering 17 percent from $4.6 trillion last year. Of those, over 442 reside in the U.S. (there are 386 in the Asia-Pacific region, 366 in Europe, 129 in the rest of the Americas and 103 in the Middle East and Africa combined, this according to Forbes). The average net worth of each U.S. billionaire is over $10.8 billion, up from $9.1 billion last year.
Meanwhile, the rest of the country’s net worth has actually fallen since 2008 and the way current policies exist the have not's will continue to see their net worth fall. The fact of the matter is that 40% of US households have a net worth of less than $80,000 and that is including their homes. The rest of the 59% of the population well lets' just say their net worth is less than 1/4 of that 40%. That is because they either have lost their homes, just renting, or worse yet remain homeless. Since the beginning of 2013 the 99% actually saw their net worth shrink drastically while the 1% saw their net worth rise by well over 60 percent in just this past year alone.
What is happening is that if we use a tried and true business analogy that is when up front capital is at hand meaning the 1% already have record high disposable income at the ready they in turn with the financial markets sponsoring record low interest rates for borrowing have made it too easy for the 1% to use borrowed money to invest to make more money. Meanwhile our most benevolent members of Congress keep cutting safety nets for the remaining 99%, and fail to reform policies that would encourage more business investment here in the US that would start to bring back middle class wage jobs.
With the continued mindset by the powers that be in keeping true to form using trickle down economics as they have done for far too long it is no wonder that this nation has the widest income disparity gap of any nation in history. Against all odds the 99% will likely continue to suffer the harsh reality of steady loosing ground where by reaching that ladder of upward mobility will still remain as elusive as ever. The hand writing is all ready on the wall for the future of the United States. As long as the financial institutions and current governmental policies along with the Fed in keeping with record low interest rates just for borrowing the 1% will only continue to increase their wealth while the 99% will continue to languish financial and economic deprivation.