End of an Error
After 8 years of Obama holding back economic progress, It’s obvious today’s economy trumps Obamanomics.
More A.F. Branco Cartoons at Net Right Daily.
More A.F. Branco Cartoons at Net Right Daily.
URL of the original posting site: http://comicallyincorrect.com/2017/03/30/middle-class/
For one thing, one of the key signs of a good economy is a GDP of at least 3.0%, yet Obama is the only White House occupant of recent times that has failed to reach a GDP of 3.0% or higher. He’s had nearly eight years to accomplish this and never has. If you listen to Hillary, she wants to continue many of Obama’s economic policies plus she just made it known that she’ll raise over $1 trillion in taxes by raising the estate tax on the wealthy to 65%.
This estate tax increase may sound great to most Americans but stop and think who owns most of the businesses that employs millions of Americans. It’s the wealthy and their families. Yet, if a wealthy business owner dies and his family is forced to pay 65% of the estate to the federal government in estate taxes, where do you think most of the money will come from? In the majority of cases, it will come from selling off large portions of their businesses or closing the doors and putting millions of Americans out of work. Once that starts to happen, another major recession or even a depression could sweep across America which will also affect most of the rest of the world.
Back to today’s not so rosy economic outlook, several recent reports are indicating that many Americans are struggling to pay their mortgages and turning to alternate solutions.
“The number of New Yorkers applying for emergency grants to stay in their homes is skyrocketing — as the number of people staying in homeless shelters reached an all-time high last weekend, records show.”
“There were 82,306 applications for one-time emergency grants to prevent evictions in fiscal 2016, up 26 percent from 65,138 requests the previous year, according to the Mayor’s Management Report.”
At the same time, the number of people staying in New York homeless shelters have reached an all-time high.
The economic trend is also forcing many Americans to move from their homes to their vehicles. An increasing number of them are living in their cars, trucks, vans, buses and RVs. Some are living in campgrounds and using whatever public facility they have access to for showering, etc.
Circa.com recently reported on the growing number of Americans who have opted or been forced to live in their vehicles because of today’s economy. One man was Stephen Hutchins, a recent graduate from the USC. He is living in his van which cost him $120 at auction. He pays $60 a month for insurance and $60 a month for a storage unit. In comparison, the average rent for a 1-bedroom studio apartment in Los Angeles run around $2,300 a month. By moving into his van, Hutchins says he has cut his cost of living by $800 a month.
Zander Kingsley of Santa Monica, is the owner and founder of Kowasa Clothing Company. He is currently living in an old school bus that he is fixing.
In the Los Angeles general area, at least 4,600 cars, vans, buses, trucks or RVs were used as homes while at the same time there was a 3.1% vacancy rate in the same area. It seems that this is a growing trend throughout the nation as more and more people are being forced into difficult financial decisions.
Obama still has a few more months to further destroy America’s economy. If he doesn’t succeed, a Hillary Clinton presidency definitely will. More Americans will be living in their vehicles or in homeless shelters. The middle class will continue to shrink until there are only two economic classes, the lower class or poverty level and the few ultra-wealthy. Then America will be a true socialist state with the government owning or controlling many of the businesses that the families of wealthy business owners are forced to sell in order to pay Hillary’s exorbitant estate taxes.
R.L. David Jolly holds a B.S. in Wildlife Biology and an M.S. in Biology – Population Genetics. He has worked in a number of fields, giving him a broad perspective on life, business, economics and politics. He is a very conservative Christian, husband, father and grandfather who cares deeply for his Savior, family and the future of our troubled nation.
By one reading, the study could be sifted as good news because the number of adults living in upper class homes increased by half between 1971 and 2015, from 14 percent to 21 percent. Low-income homes increased from 25 percent to 29 percent in the same time period, with the middle class shrinking from 61 percent to 50 percent.
Median incomes across the board have increased since 1970, but middle- and lower-income families’ increases have lagged upper-income increases. Perhaps more significantly, upper-income families now have a much larger share of the overall economy than in 1970, up to 49 percent of aggregate household income in 2014 from 29 percent in 1970.
Median income from 1970 to 2014 grew 47 percent for upper-income families, 34 percent for middle-income families, and 28 percent for low-income families. Inflation during that same time period, according to the Consumer Price Index, has been approximately 518 percent. The total cost of living has gone up nearly 624 percent, according to figures from the American Institute for Economic Research.
While the current administration isn’t — for once — the origin of the problem, the numbers underscore that the economic improvement touted by the Obama White House for the past nearly seven years just isn’t happening for most of America. The Pew study also points out that the highest rates of growth among economic classes happened on the edges of the economy, farthest from the center, among the poorest and the wealthiest, demonstrating the growing deep division among Americans economically speaking.
Median incomes measured since 2000 have actually declined a bit for all economic classes, by $6,144 per upper-income household, by $3,427 for middle-class families, and $2,422 for lower-income families.
This particular problem may not be Obama’s fault, but he has done nothing to reverse or even slow the trends. Almost seven years in, “Hope and Change” is just as empty a slogan as when it was first uttered on the campaign trail.