If you think you have a good idea about wealth distribution in the United States – watch this short video gone viral on Wealth Inequality in America and then tell me if your understanding squares with reality.
Likewise, read “Exceptional upward mobility in the United States is a myth.” Check the results of this new study from the University of Michigan here.
Lest you believe the often repeated – but false – meme “But the rich create jobs,” let me remind you that the rich have been subsidized with lowered income and capital gains tax rates since the mid-nineties and jobs have not been created. In fact, in subsidizing the rich with billions in government welfare (lowered income tax rates) millions of people have become unemployed.
The truth is that the rich do not create jobs. Merely having money does not cause one to start up a business. Rather, it is demand that motivates new business start-ups. Demand for goods and services creates jobs. A strong middle class, therefore, stimulates demand and in doing so creates jobs.
You may also be surprised to know that small business owners are the largest employers of our economy – not big corporations. Helping the middle class helps them expand and create jobs.
If you want a healthy, job-creating economy, support tax policies that provide basic necessities for those who are vulnerable (mostly women and children) and strengthen our middle class. Eliminate massive government welfare for the rich and corporations inherent in income and capital gains tax subsidies.