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HOW'S YOUR POCKETS HOLDING UP? LET'S REMEDY THIS WITH A NEW TAX CODE!
It's time to talk about how we're going to improve jobs and incomes through competition, and just where the bailout money has gone. Yet, while we go through some of the toughest times, economically, the mainstream media is focused on Iran, Jon and Kate, catastrophes, and whether the president is a socialist who's weak in international affairs. And these folks wonder why they're losing their readership and audience. The media's concerns aren't the people's concerns, apparently.
President Obama has been in office just over 5 months (as of this writing), and even though the stimulus bill has been passed, the money is just getting to the states for `shovel ready' jobs. We should see these job hirings increase as the summer proceeds, considering Obama is pushing for a speeding up of these funds - even for jobs for teens.
We have citizens unemployed and losing employment by the hundreds of thousands each month, with those employed earning stagnant or lagging wages. What shakes my milk into butter, is while we were told we had a great economy, the wealthy and rich saw great increases in income. Not so for the middle and working class!
Now that were in tougher times, the New York Daily News (June 22, 2009)reports that top Ceo's were hit with a 36% pay cut. Check these figures out: Mario Gabelli, Gamco Investors Inc., pay $45,927,900 (a 35.3% decrease). Lloyd Blankfein, Goldman Sachs, pay $42,946,800 (a 20.4% decrease). Rupert Murdoch, News Corp., $30,053,200 (3.4% decrease). Leslie Moonves, CBS Corp., $13,567,500 (75.6% decrease). James Dolan, Cablevision Systems Corp., $12,584,200 (42.8% decrease). Robert Kelly, Bank of New York Mellon, $11,108,000 (52.3% decrease). Julian Geiger, Areopostale, $7,203,300 (47.1% decrease). Scott Bok, Greenhill & Co., $5,122,600 decrease). And this is what they made while things were bad.
Most of us will never see what these guys make in one year, in our total lifetimes. They've lost more money in one year than we'll see in our lifetimes. The question that comes to mind is HOW IS IT POSSIBLE FOR THESE GUYS TO MAKE THIS KIND OF MONEY, WHEN THE WORKERS', WHO ACTUALLY DO THE WORK FOR THE CORPORATION, WAGES DON'T REFLECT A COMPARABLE INCREASE? The answer, a lack of competition. The banking industry (9 major banks), mainstream media, insurance companies, utility companies, airlines, etc. operate as oligopolies with collusion in setting the level of salaries and benefits. We need stronger anti-trust laws which will maintain competition within these industries, leading to higher salaries and benefits.
The merging of banks, over the last 20 years, has worked to the detriment of average citizens with increasing and higher fees/charges, FICO scores, low saving rates, etc. Utilities have been operating like monopolies with fees/charges going up wildly even before the energy crunch of last summer, due to little competition. Insurance companies lack competition in each state allowing them to behave as oligopolies setting the rates for medical services and dictating what they will and will not cover (along with setting wages & benefits for workers). These same industries have outsourced work overseas and insourced workers through H1-b visas, to keep labor costs low.
If we don't address the idea of competitive capitalism with strong anti-trust laws, we allow for company Ceo's to make outrageous salaries and perks without any consideration for the workers who actually make the company viable. It will continue to allow for companies and industries to be too big to fail. Can we afford this?
Lastly, it's time to tax the people who can afford to pay the taxes. You saw the list of the folks at the top. 80% of Americans make less the $50,000 per year. Although we call our tax system a progressive one, the truth is IT'S MORE REGRESSIVE THAN PROGRESSIVE. Why? Because the taxes average citizens pay impacts middle and lower incomes greater than it does those earning over $250k. For example, they only pay `payroll taxes' on the first $90k, everything over that is not taxed. So those making $50k and less are paying payroll tax on 100% of their income, where as a person earning $900k is only paying payroll tax on 10% of their income. If we do this fairly, there would be a lot more money in the coffers of Social Security.
Let's simplify the tax code so it doesn't impact working and middle class household's basic survival as unfairly as it does. Let's say, across the board for all income levels, THE FIRST $50K IS EXEMPT FROM FEDERAL INCOME TAX (NOT INCLUDING PAYROLL TAX). We would put more money in the hands of the people who make this economy go, producing even more revenues, with a progressive tax, starting with those making over $50k. No shelters or loopholes! This would be fair and just.
IT'S TIME TO LOOK OUT FOR AVERAGE CITIZENS! LET YOUR REPRESENTATIVES AND SENATORS KNOW WHAT YOU THINK!
QUESTION EVERYTHING! THAT'S WHERE THE TRUTH RESIDES.