[VIDEO] REWIND: Andrew Breitbart Explains Cultural Marxism 

sddefault

 


AEI Ideas: Reaganomics 2.0?

reagan-library-photo

Yes, Reaganomics Needs a 21st Century Update

Pethokoukis writes:

“The GOP is debating whether Reaganomics needs an update” is a must-read piece by Washington Post reporter Jim Tankersley. One side answers the “What would Reagan do?” question by offering a nostalgic return to the 1980s Reagan agenda. Another prefers to apply the Reagan principles — a dynamic private sector, strong families and neighborhoods, upward mobility, work — to modern economic reality with different conservative policy results. Tankersley:

Leading Republicans are clashing over a signature issue the party has treated as gospel for nearly 40 years: the idea that sharply lower taxes and smaller government are enough by themselves to drive a more prosperous middle class — and win national elections. That simple philosophy has been the foundation of every GOP platform since the days of Ronald Reagan. Now, some of the party’s presidential hopefuls — along with some top conservative economists and strategists — are sending strong signals that they believe today’s beleaguered workers need more targeted help, even if growth speeds up.

reagan-obama

For some context, here are a few then-and-now stats:

1.) When Reagan was elected president in 1980, the top income tax rate was 70%. Today, the top income tax rate is 40%.

2.) When Reagan was elected, the top 1% paid about a fifth of federal income taxesToday it’s about a third.

3.) When Reagan was elected, the bottom 90% paid just over half of all federal income taxes. Today it’s around 30% with 40% of households paying no federal income taxes.

5.) When Reagan was elected, 8% of national income went to the top 1%. Today, it’s nearly 20%.

6.) When Reagan was elected, inflation had averaged nearly 9% over the previous eight years. Today, inflation is less than 2% and has averaged around 2% the past 15 years.

7.) When Reagan was elected, US publicly held debt was 26% of GDP. Today, it’s 74% of GDP with a whole lot of entitlement spending quickly headed our way.

8.) When Reagan was elected, more than 19 million Americans worked in manufacturing. Today, just under 12 million Americans work in manufacturing.

9.) When Reagan was elected, health care spending was 10% of GDP. Today, it’s 17% of GDP.

10.) When Reagan was elected, China’s GDP, in nominal terms, was 3% of America’s. Today, China’s GDP is over half of America’s and about the same based on purchasing power.

Let me also add (a) there is good reason to believe that faster GDP growth is not lifting all boats, (b) upward mobility is stagnant, (c) slowing labor force growth and productivity suggest it will be harder to generate fast growth in the future than in the past,  (d) automation has taken a toll on middle-class income and jobs,  (e) labor force participation by high school-only graduates has fallen by 10 percentage points over the past 25 years, and (f) inflation-adjusted market income for the top 1% has risen by 174% since 1979 vs. 16% for the bottom 80%. Read the rest of this entry »


As Rich And Poor Take Their Slices, Who Will Stand Up For The Middle Class?

Hanson_VictorDavis_BIg.jpg.cmsVictor Davis Hanson writes:  On almost every left-right issue that divides Democrats and Republicans — as well as Republicans themselves — there is a neglected populist constituency.

The result is that populist politics are largely caricatured as Tea Party extremism — and a voice for the middle class is largely absent.

The problem with ObamaCare is that its well-connected and influential supporters — pet businesses, unions and congressional insiders — have already won exemption from it.

The rich will always have their concierge doctors and Cadillac health plans. The poor can usually find low-cost care through Medicaid, federal clinics and emergency rooms.

In contrast, those who have lost their preferred individual plans, or will pay higher premiums and deductibles, are largely members of the self-employed middle class. They are too poor to have their own exclusive health care coverage but too wealthy for most government subsidies. So far, ObamaCare is falling hardest on the middle class.

Consider the trillion-dollar student loan mess. Millions of young people do not qualify for grants predicated on either income levels, ancestry or both. Nor are their parents wealthy enough to pay their tuition or room-and-board costs. The result is that the middle class — parents and students alike — has accrued a staggering level of student loan debt.

Read the rest of this entry »


Hope ‘n Change: In Many States, the Recovery is Making the Income Gap Worse

A sign showing a foreclosed home in Texas for sale in August 2006. (David J. Phillip/Associated Press.)

A sign showing a foreclosed home in Texas for sale in August 2006. (David J. Phillip/Associated Press.)

Niraj Chokshi writes:  The income gap in America has been widening for decades and the modest three-year recovery did little to change that, according to new Census data.

The new data suggest that despite modest recoveries in many states, the middle class has been shrinking while households have been added in the lowest and highest income brackets. In many states and nationally, the highest income brackets saw more growth than the lowest, but households in the middle brackets continued to decline. The state-by-state data compare incomes from a pair of three-year periods: 2007 through 2009, a span that included the Great Recession, and 2010 through 2012, a period that included the ongoing and modest recovery.

For years, the wealthiest 1 percent have amassed income more quickly than the rest. From 1979 through 2007, for example, the top 1 percent of households saw income grow by 275 percent, according to a nonpartisan Congressional Budget Office study. Compare that to the bottom fifth of households, which saw income gains of only 18 percent over that time. Recent Nobel Prize winner for economics Robert Shiller, who is known for creating a closely tracked home-price index, last month called income inequality “the most important problem that we are facing now today.” And just last week, President Obama’s nominee to lead the Federal Reserve, Janet Yellen, called income inequality “an extremely difficult and to my mind very worrisome problem.”

Read the rest of this entry »


The New Segregation

pic_giant_111113_SM_The-New-Segregation

Kevin D. Williamson writes:  If you divided American families into six graduated income groups — poor, low-income, lower-middle, upper-middle, high-income, and affluent — and took a trip in time back to the Age of Disco, you’d find that nearly two-thirds of all American families lived in neighborhoods with median incomes in the middle two groups: lower-middle and upper-middle. Return to the present day, and you’ll find that fewer than half of American families live in middle-income neighborhoods. Progressives wringing their hands over consistently misinterpreted income figures need not go so far as Wall Street boardrooms for evidence of the economic inequality that troubles them so — they need only look next door.

Those are the findings of Kendra Bischoff of Cornell University and Sean F. Reardon of Stanford University in their recent study “Residential Segregation by Income, 1970–2009,” published by the Russell Sage Foundation. The results, if not exactly surprising, are nonetheless troubling. Neighborhoods marked by a mix of residents in the fat middle of the economic bell curve are growing proportionally smaller, while both high-income and low-income neighborhoods grow proportionally more populous. The Bischoff-Reardon study, unlike many others of its kind, does not examine households but families, meaning households in which children and their guardians are present. (A household, for U.S. Census purposes, can be anything from an extended family to a single person to six young hipsters sharing a Brooklyn loft.) That is important in that the consequences of income segregation are likely to be felt most strongly by children. Our antique Prussian factory model of education still ensures that most children’s educational options are limited by geography (the best efforts of reformers notwithstanding), and the likelihood that children will encounter peers in an organized sports league, church group, or school who are from better-off families are much more circumscribed than are the opportunities of adults to move beyond their immediate geographic horizons. The most important social habits are learned, but they are not taught; children pick them up from those around them, the same way they pick up language.

Read the rest of this entry »


PEA Party: The ‘Punished Enough Already’ Young Middle Class

higher_education_2_102635f

In 2011 Salon made a weak-tea effort to coin Pea Party, but it vanished. (the lightweight Salon is also fond of the juvenile smear ‘neo-Confederate’ to demonize middle class folks they disagree with, so it’s easy to dismiss ’em as irrelevant)  punditfromanotherplanet is adopting the ‘punished-enough-already’ young middle class as the new Pea Party, to introduce Fleischer’s essay. Take it away Matthew.

LA Times guest blogger Matthew Fleischer writes: The Obama administration came out with a report Monday arguing that 1 million single adults between the ages of 18 and 35 will be eligible for an Obamacare insurance plan costing less than $50 a month.

That’s news to me.

I’m a healthy 34-year-old with a taxable income hovering right around the Obamacare subsidy level who, for the last several years, has purchased a relatively inexpensive catastrophic health insurance plan from Blue Shield. I get to see the doctor four times a year for a $30 co-pay, and I won’t have to spend the rest of my life working off the debt if I get hit by a bus.

Read the rest of this entry »


Poll: Obama Loses Majority of Trust of the Middle Class, And the Middle Class

Because the Middle Class.

I have lightly added to this report by John Nolte to make it more relevant for our current political debate.

A Monmouth University poll released late last week And the Middle Class was notable for the fact that, like many other polls, it showed President Obama upside down on job approval with registered voters–41% approve to 54% disapprove Fighting for Jobs for the Middle Class. A closer look, though, reveals the poll’s most startling find: Obama has lost credibility with the middle class, and also, More Importantly, The Middle Class. When asked if Obama is sincere about refocusing his presidency on the middle class, And the Middle Class, only 46% believe it, Middle Class, while a full 50% do not, Middle Class or Not Middle Class All That Matters to Me Is the Middle Class.Independents are more skeptical than overall voters And The Middle Class. A full 54% (the number 50% represents what might be termed “The Middle Class of Percentages”) don’t believe the president, while only 42% do.

And the Middle Class.

And the Middle Class.

And the Middle Class.

As Ike Turner said to Tina, I only beat you because I love The Middle Class.

Posted by Ace via Ace of Spades HQ.


Obama’s Pity Party Begins: “Michelle and I will be fine no matter what happens”

Of course they’ll be fine. They’ll be freeloading on the taxpayer dime the rest of their lives.

I don’t want to lose this election.

Not because of what losing would mean for me — Michelle and I will be fine no matter what happens.

But because of what it would mean for our country and middle-class families.

This race is very close.

I’m not willing to watch the progress you and I worked so hard to achieve be undone.

Time is running out to make an impact — please don’t wait any longer. Donate $5 or more today:

https://donate.barackobama.com/Two-Weeks

I believe in you. If you stick with me, and if we fight harder than ever for the next two weeks, I truly believe we can’t lose.

Thank you,

Barack

P.S. — I don’t know what Election Night will hold, but I’d like you to be a part of the event here in Chicago. Any donation you make today automatically enters you for a chance to meet me — airfare and hotel for you and a guest are covered.

 

via  Jammie Wearing Fools