Thursday, August 18, 2011

Consumer Spending < The Plutonomy

I wish it would work... You can't expect to compete with that. Every day we get weaker while they get stronger. It's finished. I'm sorry. Mad Max 2: The Road Warrior
CBS Evening News had a story on the continued decline in consumer spending, in which, Scott Pelley said something shocking! That because of the lower consumer spending the economy is not turning around and we face another recession. Now how can this be? Everyone knows that Tax Cuts for The ***Job*** ***Creators*** and a strict Austerity Deficit Reduction stimulate the economy!

Here's the biggest economic disconnect facing Teabaggers and conservatives; If Job Creators and Tax Cuts are really the driving engine of the economy why has the last ten years been such a miserable downward spiral?

Why does the decrease
in consumer spending worry Wal-Mart's CEO Mike Duke?
"Purchases are really dropping off by the end of the month even more than last year," Duke said. "This end-of-month [purchases] cycle is growing to be a concern."
But, he's a Job Creator! Tax Cuts for Wal-Mart's founding family him grow the economy!

Remember We were assured that just another round of the Bush/Obama Tax Cuts for the Wealthy, just another round of reduced benefits, just another round of cuts to Medicaid, just another round of bailouts to Wall Street and viola We would have prosperity.

Well, it didn't happen, prosperity did not trickle down to us. But, what did happen was Hedge Fund Managers made Billions and Wall Street paid out millions of Tax Payer dollars to gamblers. According to the Federal Reserve, the top 1% now owns more than half the nation's stocks and controls more than $16 trillion in wealth — more than the bottom 90%.

How can this be? The consumption of goods and services by Middle and Working class America is what drives the economy. Transferring wealth to The Rich, The Plutocrats, The Moneyed Masters does not.

Well, the goal has never been to have a prosperous America with a thriving middle class, or a healthy working class inculcating their children with the American ideal of a meritocracy based on talent, education and hard work but to create the Plutonomy.

What has been placed in motion is a plan to concentrate wealth and power amongst the Richest and they have already won. Back in 2006 Too-Big-Too-Fail Citigroup crafted internal documents detailing that The United States (along with Canada, the UK and Australia) had become Plutonomies, with income disparity and wealth concentration worse than at anytime in US history. And they don't care. Because being too big too fail means they have a built in trump card They get to Socialize their Losses and Privatize their Profits.

And afterwards they can go back to their Political Hitmen and instruct them to remove every other minor obstacle; to destroy Unions, eliminate the EPA and OSHA, strike from law environmental regulations, slash meager benefits for the poor and swipe the Social Security fund for their use, anything which stands in the way of their total control.


squatlo said...

We either organize and fight for the survival of the middle class, or bow to the oligarchy that will rule for a generation.

Grung_e_Gene said...

The corrupt David Cameron UK government gives an indication of what would happen if people fight back. The oligarchy has the "rule of law" on their side. Their theft of Trillions and rampant murders are legal done brazenly and backed by the power of government.

And over here as long as they can continue ramping up the fear of the marxist-mulsim kenyan usurper they'll be able to stave off a good section of the country who just can't or won't realize they are crafting chains for us all.