As always a great post by Shaun D. Mullen over at Kiko’s House: It’s still the economy, stupid.
Why such a dramatic disconnect?
* While the gross domestic product has been going up, employment has stayed flatter than a flounder.
The upshot is that the rich get richer, feeding those spectacular Wall Street numbers, and almost everyone else gets poorer. The boom that Kudlow and his fellow travelers babble on about is passing the Sixpack family by. Jane and Joe have no money to invest, let alone put away for a rainy day, and like many other Americans they are running up record credit card debt.
* The notion that giving tax breaks to the rich is good because the money that they make will trickle down to the Sixpacks is grossly overstated.
The stagnation of middle-class wages, which peaked in the 1970s and the overall long-term trend of growing economic inequality put the lie to that. Anybody who thinks that a few cents from every dollar that Donald Trump spends ends up in the Sixpacks’ pockets is being naïve.
Read it all at Kiko’s House. Shaun makes a good case.
Thoughts, anyone?
PAST CONTRIBUTOR.