“What we Republicans should stand for is growth in the economy.�
So said George W. Bush in July 2000. Listening to the news and reading the papers, it sounds like, in this instance at least, he has been true to his words. Why then, do we hear so many people complaining about the economy? Let’s take a look at some of the figures.
* Congress increased their salaries by approximately $32,000 over the last six and a half years.
* During the same period they repeatedly refused to raise the minimum wage.
That means that, those making minimum wage, working full time, earn about 1/3 of the increase Congress got. Not 1/3 of congressional salaries, just the increase. A minimum wage salary is slightly less than 1/16 of a congressional salary, (minus perks of course!).
* The cost of living increased 8.1% since 2000.
* Wages for 80% of the U.S. workforce (blue-collar and service workers) increased 0.00% since 2000.
* The share of national income going to corporate profits grew from 7% in 2001 to 12.2% today.
* The share of national income going to 80% of the workforce decreased from 58.6% in 2001 to 56.2% today
That means that corporate profits grew by 5.2% while workers’ income fell by 2.4%.
* The ratio of average CEO pay to average worker’s pay has changed dramatically.
In 1982 the ratio was 42 to 1
In 2003 the ratio was 300 to 1
In 2006 the ratio is 431 to 1
That means while us common folk are loosing ground, those CEO’s, many of them responsible for cutting pensions, laying off workers and outsourcing jobs, are living high on the hog.
* The number of Americans living in poverty has increased by 5.4 million since 2000.
* The total number of Americans living in poverty today is 37 million or 12.7% of the population.
* Known as the “richest country in the world� the U.S. poverty rate ranks #1 among developed nations.
* Most of today’s poverty-stricken Americans have jobs. Many have 2 or more jobs.
That means that the oft repeated “you can become anything you want if you are willing to work� is no longer true. And if that is no longer true, that pretty much kills the idea of the American Dream for our children and grandchildren.
Based on these figures, it seems economic growth is just for the wealthy at the expense of the middle class and the poor. Doesn’t sound like the American way does it? Doesn’t sound like family values at work either. Actually what it sounds like is the old days of the robber barons; before workers had rights, before the unions formed to fight for those rights.
Yes, the unions became corrupt, as organizations inevitably do when they become powerful, but first they started America on its climb to prosperity and a strong middle class. Perhaps we need a resurgence of the unions before we become a nation of two classes – the very rich and the very poor – you know, like the third world nations.
The source for the figues in this blog is the July issue of The Hightower Lowdown. More information and sources can be found on www.hightowerlowdown.org .