The Pitchforks are Coming

July 2, 2014 at 5:30 pm | Posted in Economoney, History, Media | 2 Comments

An essay from a .01%er, Nick Hanauer, on why the increasing disparity between the wealthy and the poor is bad for everyone. And why a living wage will restore the middle class and help support the wealthy to stay such.

As he correctly observes, no civilization has Ever lasted when this income disparity has continued. It either becomes a police state or a revolution. Always. The question is only when.

He gives a few real examples where his ideas have worked while observing how trickle-down is not working. “the highest rate of job growth by small businesses are San Francisco and Seattle. Guess which cities have the highest minimum wage? San Francisco and Seattle.

Dear 1%ers, many of our fellow citizens are starting to believe that capitalism itself is the problem. I disagree, and I’m sure you do too. Capitalism, when well managed, is the greatest social technology ever invented to create prosperity in human societies. But capitalism left unchecked tends toward concentration and collapse. It can be managed either to benefit the few in the near term or the many in the long term. The work of democracies is to bend it to the latter. That is why investments in the middle class work.

I’m not an economist but I agree the imbalance needs correction – for so many reasons.
David

2 Comments »

RSS feed for comments on this post. TrackBack URI

  1. A more recent article by Hanauer on Trump
    http://ideas.ted.com/were-you-surprised-by-the-rise-of-donald-trump/

    Like

  2. […] and the long-term viability of social structures. Civilizations have not historically lasted when the income ratio (highest to lowest) becomes as great as it is […]

    Like


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Create a free website or blog at WordPress.com.
Entries and comments feeds.