This is how the U.S. economy works much of the time – the wealthy make most of the big economic mistakes but the hard working middle class ends up paying for them. This time around is no exception. The financial crisis of the past several years was caused by Wall Street, but they got bailed out and relatively few of them lost their jobs. However, even though middle class and working class Americans were not the ones who made the mess, they are paying for it dearly. This is especially true when it comes to unemployment. While it is true that jobs are being lost on every level of American society, the reality is that unemployment is hitting Americans on the lowest end of the income scale the hardest.
Just check out the chart below. The ten percent of Americans that have the lowest household incomes have an unemployment rate of over 30 percent, while the ten percent of Americans that have the highest household incomes have an unemployment rate just about 3 percent….
Does this seem right to you?
After all, we were promised that we needed to bail out Wall Street so that they could help “Main Street”.
But that didn’t happen, did it?
Instead, it appears that previously bailed out corporations are going back to their old ways of paying out ridiculous bonuses.
For example, the CEO of General Motors is in line to get a $9 million pay package.
What in the world?
A company that was so flat broke that it would have likely collapsed without U.S. government intervention is handing out 9 million bucks to the CEO?
Something is very, very wrong.
And the truth is that working class Americans are getting pissed off.
For example, one Ohio man actually decided to bulldoze his own home rather than let the bank take it in foreclosure proceedings.
Now that is an incredibly destructive and vindictive act, but it just shows how angry some people are getting.
Many working class and middle class Americans feel powerless as the politicians and the wealthy recklessly destroy the U.S. economy.
Just consider the following chart. The U.S. government has massively increased spending at a time when revenues are decreasing sharply. Does this look like a “recovery” to you?….
The truth is that the U.S. national debt is wildly out of control. In 2010, the U.S. government is projected to issue almost as much new debt as the rest of the governments of the world combined.
In fact, it is anticipated that the U.S. national debt will climb to an unprecedented 200 percent of GDP by 2038 without a fundamental change in course.
Is this kind of reckless financial mismanagement going to cause an economic collapse?
And Americans are starting to wake up and realize this.
In a recent ABC News poll, 87 percent of Americans said that they are concerned about the U.S. national debt.
In a new CNN/Opinion Research Corp. survey, 86 percent of Americans believe that the U.S. system of government is broken.
And it is broken.
So is it still possible to repair it?
Feel free to leave a comment with your opinion….