Saturday, March 24, 2012

Class Warfare?

When the President or others talk about changes in the tax code for corporations or wealthy individuals the first words out of the mouths of those on the right are “class warfare”. Well here is a message to the middle class Americans, members of labor unions, teachers, first responders, and especially the elderly, the poor, and children: The war is over and you lost! Class warfare ended some time ago and the winners of this war was wealthy individuals, corporations, and those who could afford to pay legislative lobbyists. Income and ultimately wealth in America is no longer dependent upon individual initiative but upon political clout. Leona Helmsley, after being sentenced for income tax evasion said, “taxes are only for the little people”. Unfortunately, she was right and the “little people” lost the class warfare battle. There was a time when top paid employees earned 40 times the pay of the lowest paid employee. Today, top paid employees earn 400 times the pay of the lowest paid employee. That, in itself, explains the loss of jobs in America. If such a large share of payroll goes to executive compensation there is a smaller share of payroll for everyone else. When times are tight and it is necessary to reduce expenses, executives keep their jobs and their large share of payroll while lesser paid workers are the ones who are fired or laid off. Class warfare, job creators, business uncertainty, are all terms used by the victor in the battle for economic equity. Unfortunately, the losers, the American middle class have bought in to these arguments and the result is middle class defeat. By voting for movements like the Tea Party, middle class Americans not only provided ammunition to their own enemies, but aimed artillery on themselves and then fired the cannons. There is no longer class warfare. THE WAR IS OVER! YOU LOST! IF YOUR AGI IS LESS THAN $200,000 YOU LOST! YOU DON"T EVEN GET THE SPOILS!

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