Taughannock Falls

Taughannock Falls
from: althouse.blogspot.com

Wednesday, June 22, 2011

Root of the matter

Here's a quick visual that helps to explain our current demand crisis and associated high unemployment. Note that nine out of ten Americans have far less than half of the nation's wealth. Where can consumer demand come from? Even if the wealthiest Americans were to all start spending like drunken sailors on shore leave, it would do little to help. Luxury yacht-makers and high-end jewelers can only employ so many people. Working Americans must be paid sufficient wages to support a middle-class lifestyle. Cars, refrigerators, lawnmowers, etc. won't be purchased in larger numbers until more Americans have larger paychecks. It's really that simple. Republicans, who suggest that the real problem is that poor folks with a bit more than $3/day of food stamps, are "too darned comfortable," are either deranged, deceptive, or both.


cassporter said...

More like this please, Ulysses. The other graphs at the linked site are great.

tbelwin68 said...

I don't know why you don't believe in "trickle-down", Ulysses. Didn't it prove itself fine back in 1929?!?

Motivated In Ohio said...

Well the reason people believe stuff like people are comfortable on food stamps is because the Media is owned by the most wealthy.

No one wants innovators not to have financial rewards, but these people aren't innovators, they are thieves.

Underground Politics said...

You make some awesome points Ulysses! I wish more people understood that if we don't have money we can't make demand go up and help the economy recover.