Middle class collapse in animation

[ClimateSanity]

The collapse of the middle class since 1971 is stark and globalism and immigration are to blame in my estimation.

Open link and watch the animation.

http://www.zerohedge.com/news/2017-04-22/visualizing-collapse-middle-class-20-major-us-cities

 

[rexlunae]

The collapse of the middle class since 1971 is stark and globalism and immigration are to blame in my estimation.

Open link and watch the animation.

I think globalism has contributed, so I agree there, especially things like permanent normal trade relations with China. Given that immigrants largely do jobs that Americans often won't do, I think that's a bit of a red herring. Immigrants add to the wealth of the nation overall. And you're failing to take into account the impact of huge tax cuts, huge cuts to benefits that help the poor, pay for education, freezing of the minimum wage, and failure to regulate poorsploitation capitalism.

 

[ClimateSanity]

I think globalism has contributed, so I agree there, especially things like permanent normal trade relations with China. Given that immigrants largely do jobs that Americans often won't do, I think that's a bit of a red herring. Immigrants add to the wealth of the nation overall. And you're failing to take into account the impact of huge tax cuts, huge cuts to benefits that help the poor, pay for education, freezing of the minimum wage, and failure to regulate poorsploitation capitalism.

I think you assign blame to the wrong things. Oh well.

 

[ClimateSanity]

Education is done all wrong. Money isn't the issue. Those who can afford tutoring and better schools excel. Colleges don't teach either. People need to learn how to learn and use information efficiently and to think critically. The middle class has been excluded from this. The upper middle class values real education and makes sure there kids get it. They also have more connections. The middle class needs to emulate this but they are cut off from this society because they cannot afford the neighborhoods.

 

[rexlunae]

I think you assign blame to the wrong things. Oh well.

I'm sure you do. But the Reagan tax cuts were savage, and taxes are by far the most effective public policy tool to correct economic imbalances. And it's hard to justify blaming immigrants when they have a positive impact on GDP.

 

[ClimateSanity]

I'm sure you do. But the Reagan tax cuts were savage, and taxes are by far the most effective public policy tool to correct economic imbalances. And it's hard to justify blaming immigrants when they have a positive impact on GDP.

How were they savage? They added billions to tax receipts. How does keeping more of your money hurt?

 

[rexlunae]

Look at it this way: The middle class in America was a pretty short-term phenomenon. It coincided with high tax rates and a spike in government involvement in broadening the economy's prosperity, and it began collapsing shortly after those high taxes and benefits were cut. If you want another age of broad economic inclusion and opportunity, you need a highly active government. If you want another age of robber-barons, keep doing what you're doing.

 

[ClimateSanity]

I'm sure you do. But the Reagan tax cuts were savage, and taxes are by far the most effective public policy tool to correct economic imbalances. And it's hard to justify blaming immigrants when they have a positive impact on GDP.

They have a negative impact on GDP when you consider social welfare costs including healthcare. They also drive down wages for the middle class.

 

[rexlunae]

How were they savage? They added billions to tax receipts. How does keeping more of your money hurt?

That's...debatable at best. But what's not debatable is that it slashed the highest rates paid, from 70% to 50%, and it slashed capital gains taxes from 28% to 20%, which mostly benefits institutional investors and hedge funds. Now, which groups in the current economy are the ones doing so well that they're basically running away with the world's wealth? And of course, that was just the first of a series of similar tax cuts over the subsequent decades, highly favoring the rich.

 

[rexlunae]

They have a negative impact on GDP when you consider social welfare costs including healthcare.

Where's your evidence that they do that?

They also drive down wages for the middle class.

Not when they compete for jobs Americans won't take at any rate.