Just recently, the U.S. Census Bureau released its annual data on the median household incomes and poverty rates for 2014.
The saddest news from the data is that the average American family (household) lost $800 in income in 2014 as compared to 2013; dropping 1.5% from $54,462/year to just $53,657. The fact that this wasn't widely reported is amazing. And, its even more amazing when you think that the average American paid 1.6% more for the things they bought in 2014 -- as measured by the Consumer Price Index. This means that with the combination of inflation and a falling wage, the typical American family lost 3.1% or roughly $1690 in buying power in 2014.
Falling wages and higher costs hardly justify the claim that our economy somehow grew by 2.4% in 2014; the supposedly fastest growth since the recession ended in 2009. Yet, this is what the Obama Administration told us at the beginning of the year. If you're going to tell a lie, at least be consistent.
The other bad news was that the rate of poverty rose from 14.5% to 14.8% of our population; meaning that 46.7 million people are struggling to make ends meet. Even worse than that, 26.2% of blacks and 23.6% of Hispanics were in poverty in 2014 while whites had a rate of just 10.1%.
It's numbers like these that make the so-called low unemployment numbers and stronger economic growth claims meaningless to the average American.
References:
Typical American Family Earned $53,657 Last Year: http://money.cnn.com/2015/09/16/news/economy/census-poverty-income/
Historical Inflation Rates: http://www.usinflationcalculator.com/inflation/historical-inflation-rates/
U.S. 2.4% Economic Growth In 2014 Strongest Since Recession: http://www.forbes.com/sites/samanthasharf/2015/01/30/u-s-economy-grew-2-6-in-fourth-quarter-2-4-in-2014/
Showing posts with label income. Show all posts
Showing posts with label income. Show all posts
Thursday, September 24, 2015
Saturday, August 22, 2015
Inequality: Hillary's Vacation in the Hampton's
Hillary Clinton is always talking about income inequality on the campaign trail; excoriating CEO's for their million dollar plus salaries and benefits. Once, she said we need to "topple" the top one percent of all wage earners in the country. She should look in the mirror. She is in that one percent.
While taking a break from campaigning, she and Bill will spend two weeks in the Hampton's in a multi-million dollar mansion at a rental cost of $100,000 for two weeks. That's almost twice what the average family makes in a year, and it's 2-1/2 times what the average home in bankrupt, beat down Detroit sells for.
Enough with the hypocrisy!
References:
Hillary: We Must Topple the 1 Percent: http://www.nationalreview.com/campaign-spot/417227/hillary-we-must-topple-1-percent-jim-geraghty
Hillary Clinton surprises with early attack on CEO pay: http://www.reuters.com/article/2015/04/13/us-usa-election-clinton-inequality-idUSKBN0N421620150413
Hillary Clinton Highlights Income Inequality: http://america.aljazeera.com/articles/2015/7/13/hillary-clinton-highlights-income-inequality.html
EXCLUSIVE: Sea views, sweeping lawns, and a private beach - how Hillary Clinton plans to spend break from campaigning among 'ordinary Americans' in $50,000-a-week Hamptons home: http://www.dailymail.co.uk/news/article-3202295/Sea-views-sweeping-lawns-private-beach-Hillary-Clinton-plans-spend-break-campaigning-ordinary-Americans-100-000-week-Hamptons-home.html
Median Sales Price in Detroit - Trulia: http://www.trulia.com/real_estate/Detroit-Michigan/market-trends/
Median Household Income: https://www.google.com/search?q=real+median+household+income+&ie=utf-8&oe=utf-8
While taking a break from campaigning, she and Bill will spend two weeks in the Hampton's in a multi-million dollar mansion at a rental cost of $100,000 for two weeks. That's almost twice what the average family makes in a year, and it's 2-1/2 times what the average home in bankrupt, beat down Detroit sells for.
Enough with the hypocrisy!
References:
Hillary: We Must Topple the 1 Percent: http://www.nationalreview.com/campaign-spot/417227/hillary-we-must-topple-1-percent-jim-geraghty
Hillary Clinton surprises with early attack on CEO pay: http://www.reuters.com/article/2015/04/13/us-usa-election-clinton-inequality-idUSKBN0N421620150413
Hillary Clinton Highlights Income Inequality: http://america.aljazeera.com/articles/2015/7/13/hillary-clinton-highlights-income-inequality.html
EXCLUSIVE: Sea views, sweeping lawns, and a private beach - how Hillary Clinton plans to spend break from campaigning among 'ordinary Americans' in $50,000-a-week Hamptons home: http://www.dailymail.co.uk/news/article-3202295/Sea-views-sweeping-lawns-private-beach-Hillary-Clinton-plans-spend-break-campaigning-ordinary-Americans-100-000-week-Hamptons-home.html
Median Sales Price in Detroit - Trulia: http://www.trulia.com/real_estate/Detroit-Michigan/market-trends/
Median Household Income: https://www.google.com/search?q=real+median+household+income+&ie=utf-8&oe=utf-8
Thursday, May 28, 2015
Bernie Sanders' 90% Tax on the Wealthy
In a recent interview with the cable business network, CNBC, presidential candidate and avowed socialist Bernie Sanders said he had no problem with taxing the wealthy at 90%. What he's really saying is that he wants to wipe out rich people in this country. For example, if you live in California where the top tax rate is 13.3% and you make more than a million dollars, your combined state and federal rate would be 103%. In other words, you would owe more money than you earn. This doesn't even include other taxes you pay on your gross income, such as payroll taxes for Social Security and Medicare or real estate tax on perhaps one or more multimillion dollar homes.
So, what happens then?
We will see the biggest relocation we've ever seen of talented people, businesses, and corporations to countries with lower tax rates. With taxes that high, well-paid actors, who make millions per movie are going to leave; and the studios will follow in order to protect their own CEO's from having their incomes literally eradicated. The result will be lost jobs and less tax revenues; primarily in the middle class. In fact, we will probably hear that infamous giant sucking sound once more, as jobs and wealth start flooding into Canada with its low tax rate and commonality of language.
What this idiot, Sanders, doesn't seem to understand is that high income taxes create high rates of poverty, unemployment, reduced revenues, and slow economic growth. A fact that was clearly proven when President Kennedy proposed a substantial lowering of taxes for the top 91%. When implemented in 1964, the rate on the rich was lowered to 70%. In less than 4 years, tax revenues grew 68%. Poverty was reduced by 34%. Unemployment was lower and, economic growth was higher than anytime prior to that date, past or present, since World War II.
References:
Bernie Sanders Would Tax The Income Of The Wealthiest Americans At 90 Percent: http://thinkprogress.org/economy/2015/05/26/3662773/sanders-90-percent-tax/
California Income Tax Rates: http://www.bankrate.com/finance/taxes/state-taxes-california.aspx
Top State Income Tax Rates For All 50 States: http://taxfoundation.org/blog/top-state-income-tax-rates-2014
What J.F.K. Knew About Economics And What Most Democrats Today Don't: http://cuttingthroughthefog.blogspot.com/2015/05/what-jfk-knew-about-economics-and-what.html
So, what happens then?
We will see the biggest relocation we've ever seen of talented people, businesses, and corporations to countries with lower tax rates. With taxes that high, well-paid actors, who make millions per movie are going to leave; and the studios will follow in order to protect their own CEO's from having their incomes literally eradicated. The result will be lost jobs and less tax revenues; primarily in the middle class. In fact, we will probably hear that infamous giant sucking sound once more, as jobs and wealth start flooding into Canada with its low tax rate and commonality of language.
What this idiot, Sanders, doesn't seem to understand is that high income taxes create high rates of poverty, unemployment, reduced revenues, and slow economic growth. A fact that was clearly proven when President Kennedy proposed a substantial lowering of taxes for the top 91%. When implemented in 1964, the rate on the rich was lowered to 70%. In less than 4 years, tax revenues grew 68%. Poverty was reduced by 34%. Unemployment was lower and, economic growth was higher than anytime prior to that date, past or present, since World War II.
References:
Bernie Sanders Would Tax The Income Of The Wealthiest Americans At 90 Percent: http://thinkprogress.org/economy/2015/05/26/3662773/sanders-90-percent-tax/
California Income Tax Rates: http://www.bankrate.com/finance/taxes/state-taxes-california.aspx
Top State Income Tax Rates For All 50 States: http://taxfoundation.org/blog/top-state-income-tax-rates-2014
What J.F.K. Knew About Economics And What Most Democrats Today Don't: http://cuttingthroughthefog.blogspot.com/2015/05/what-jfk-knew-about-economics-and-what.html
Wednesday, September 17, 2014
Are We Really Better Off Since Obama Took Office?
In front of adoring crowds at one of his all-too-many campaign style events, President Obama has claimed that "By almost any measure, we are better off since I took office" or that America is stronger under his watch.
The problem with such statements is that they are factually untrue when looking at the broader state of our union.
Sure, the President can claim that overall unemployment is down from where it was when he took over the reins of government in January 2009. But, to get there, overall unemployment rose to a rate of 10% in the first year-and-a-half of his presidency. Something that the so-called "stimulus" was supposed to avoid by promising that the unemployment rate wouldn't go above 8%. Even now, 5 years passed the end of the official end of the recession, this country still has an unemployment rate that is a full point above pre-recession levels.
Our major cities have extraordinarily high unemployment rates. Chicago, Obama's home town, is still at 8.0%; and, that's just recently down from a January 2014 rate of 9.6%. Detroit, now in bankruptcy, had an unemployment rate of 17.7% in July. A city like Atlantic City, that depends heavily on Americans spending leisure-time money, is suffering from cash-strapped tourists unable to indulge in what they have to offer. The casinos are closing and the unemployment rate sits at 13.7%. More worrisome is the fact that our three largest cities -- Los Angeles, New York, and Chicago -- are dangerously close to following Detroit into bankruptcy.
The Gross Domestic Product (GDP) is stuck at a 5-year growth rate of about 2%. This is, at least, the worst recovery since World War II and, some say in the history of the United States when using alternate methods of calculating GDP.
Then there's the overall economic health of America. For 5 straight years the median incomes of this country have fallen and income inequality has risen to a record high. Half the jobs created under this President's watch were low income/low paying. When he took office, only 30 million Americans were on food stamps. Today, that number is 47 million; a 56% increase. Similarly, only 38 million Americans were living in poverty. Today, that number is a record 47 million and has stood at 15 percent of the population for the last 2 years. Thus, as the population grows, so does the amount of people left in poverty.
Of course, the real elephant in the room is the amount of debt that Obama has left us with; a number that only gets worse by the day. At the beginning of his first term, the federal debt was $10.6 trillion. Today, it is closing in on $18 trillion; just $250 billion from the current number (as of this writing) of $17.756 trillion. A number that, for the first time in this nation's history, is greater than the total annual economic output of the country. Of those advanced economies in the world, only Portugal, Italy, Ireland, Greece and Spain can claim debt levels above their economic output. All of which are near bankruptcy and on the brink of bringing the European Union to its knees.
When we see people standing behind President Obama and nodding in agreement that things are better, you have to wonder what planet they're from. Most other Americans (74% in one poll) still think that we never recovered from the recession. And, in so many ways, they're right.
References:
By almost any measure, we are better off since I took office: http://www.realclearpolitics.com/video/2014/07/10/obama_by_almost_every_measure_we_are_better_off_than_when_i_took_office.html
Obama claims US is 'stronger' than 'when I first came into office' as economy weakens, debt soars, America loses global influence and border crisis deepens: http://www.dailymail.co.uk/news/article-2722926/Obama-claims-US-stronger-I-came-office-economy-weakens-debt-soars-America-loses-global-influence-illegal-immigrants-flood-border.html
Half Of The Jobs Created During The Recovery Were Low-Paying: http://thinkprogress.org/economy/2013/05/14/2008591/jobs-recovery-low-paying-minimum-wage/
Chicago Unemployment Rate Falls to 8.0%: http://www.worldbusinesschicago.com/news/chicago-unemployment-rate-jul2014
Detroit Unemployment Rates: https://ycharts.com/indicators/detroit_mi_unemployment_rate
Unemployment rises in most US states in July: http://www.detroitnews.com/article/20140818/BIZ/308180072
Another Atlantic City Bust: Trump Plaza Closes: http://abcnews.go.com/US/wireStory/trump-plaza-4th-atlantic-city-casino-shutdown-25528499
3 huge cities flirting with bankruptcy: http://money.msn.com/investing/post--3-huge-cities-flirting-with-bankruptcy
Obama’s economic recovery: officially the worst in US history: http://poorrichardsnews.com/post/41366829334/obamas-economic-recovery-officially-the-worst-in-us
Median Income Falls For 5th Year, Inequality At Record High: http://www.huffingtonpost.com/2013/09/17/median-income-falls-inequality_n_3941514.html
47 million Americans on food stamps: http://img.washingtonpost.com/blogs/wonkblog/files/2013/09/SNAP-participants.jpg
That’s rich: Poverty level under Obama breaks 50-year record: http://www.washingtontimes.com/news/2014/jan/7/obamas-rhetoric-on-fighting-poverty-doesnt-match-h/?page=all
America's Poverty Rate Stuck At 15 Percent For Second Straight Year: http://www.huffingtonpost.com/2013/09/17/poverty-america-census_n_3940812.html
74% said we are still in a recession: http://patch.com/new-hampshire/concord-nh/is-the-recession-over-yet#.VBR1qmNAVLU
U.S. Federal Debt Exceeds GDP: http://jamesviser.com/?p=995
The problem with such statements is that they are factually untrue when looking at the broader state of our union.
Sure, the President can claim that overall unemployment is down from where it was when he took over the reins of government in January 2009. But, to get there, overall unemployment rose to a rate of 10% in the first year-and-a-half of his presidency. Something that the so-called "stimulus" was supposed to avoid by promising that the unemployment rate wouldn't go above 8%. Even now, 5 years passed the end of the official end of the recession, this country still has an unemployment rate that is a full point above pre-recession levels.
Our major cities have extraordinarily high unemployment rates. Chicago, Obama's home town, is still at 8.0%; and, that's just recently down from a January 2014 rate of 9.6%. Detroit, now in bankruptcy, had an unemployment rate of 17.7% in July. A city like Atlantic City, that depends heavily on Americans spending leisure-time money, is suffering from cash-strapped tourists unable to indulge in what they have to offer. The casinos are closing and the unemployment rate sits at 13.7%. More worrisome is the fact that our three largest cities -- Los Angeles, New York, and Chicago -- are dangerously close to following Detroit into bankruptcy.
The Gross Domestic Product (GDP) is stuck at a 5-year growth rate of about 2%. This is, at least, the worst recovery since World War II and, some say in the history of the United States when using alternate methods of calculating GDP.
Then there's the overall economic health of America. For 5 straight years the median incomes of this country have fallen and income inequality has risen to a record high. Half the jobs created under this President's watch were low income/low paying. When he took office, only 30 million Americans were on food stamps. Today, that number is 47 million; a 56% increase. Similarly, only 38 million Americans were living in poverty. Today, that number is a record 47 million and has stood at 15 percent of the population for the last 2 years. Thus, as the population grows, so does the amount of people left in poverty.
Of course, the real elephant in the room is the amount of debt that Obama has left us with; a number that only gets worse by the day. At the beginning of his first term, the federal debt was $10.6 trillion. Today, it is closing in on $18 trillion; just $250 billion from the current number (as of this writing) of $17.756 trillion. A number that, for the first time in this nation's history, is greater than the total annual economic output of the country. Of those advanced economies in the world, only Portugal, Italy, Ireland, Greece and Spain can claim debt levels above their economic output. All of which are near bankruptcy and on the brink of bringing the European Union to its knees.
When we see people standing behind President Obama and nodding in agreement that things are better, you have to wonder what planet they're from. Most other Americans (74% in one poll) still think that we never recovered from the recession. And, in so many ways, they're right.
References:
By almost any measure, we are better off since I took office: http://www.realclearpolitics.com/video/2014/07/10/obama_by_almost_every_measure_we_are_better_off_than_when_i_took_office.html
Obama claims US is 'stronger' than 'when I first came into office' as economy weakens, debt soars, America loses global influence and border crisis deepens: http://www.dailymail.co.uk/news/article-2722926/Obama-claims-US-stronger-I-came-office-economy-weakens-debt-soars-America-loses-global-influence-illegal-immigrants-flood-border.html
Half Of The Jobs Created During The Recovery Were Low-Paying: http://thinkprogress.org/economy/2013/05/14/2008591/jobs-recovery-low-paying-minimum-wage/
Chicago Unemployment Rate Falls to 8.0%: http://www.worldbusinesschicago.com/news/chicago-unemployment-rate-jul2014
Detroit Unemployment Rates: https://ycharts.com/indicators/detroit_mi_unemployment_rate
Unemployment rises in most US states in July: http://www.detroitnews.com/article/20140818/BIZ/308180072
Another Atlantic City Bust: Trump Plaza Closes: http://abcnews.go.com/US/wireStory/trump-plaza-4th-atlantic-city-casino-shutdown-25528499
3 huge cities flirting with bankruptcy: http://money.msn.com/investing/post--3-huge-cities-flirting-with-bankruptcy
Obama’s economic recovery: officially the worst in US history: http://poorrichardsnews.com/post/41366829334/obamas-economic-recovery-officially-the-worst-in-us
Median Income Falls For 5th Year, Inequality At Record High: http://www.huffingtonpost.com/2013/09/17/median-income-falls-inequality_n_3941514.html
47 million Americans on food stamps: http://img.washingtonpost.com/blogs/wonkblog/files/2013/09/SNAP-participants.jpg
That’s rich: Poverty level under Obama breaks 50-year record: http://www.washingtontimes.com/news/2014/jan/7/obamas-rhetoric-on-fighting-poverty-doesnt-match-h/?page=all
America's Poverty Rate Stuck At 15 Percent For Second Straight Year: http://www.huffingtonpost.com/2013/09/17/poverty-america-census_n_3940812.html
74% said we are still in a recession: http://patch.com/new-hampshire/concord-nh/is-the-recession-over-yet#.VBR1qmNAVLU
U.S. Federal Debt Exceeds GDP: http://jamesviser.com/?p=995
Thursday, January 9, 2014
Democrats Craziness On Extended Unemployment Benefits And the Minimum Wage
According to Barack Obama, the current minimum wage of $7.25/hr or $290/week is absolutely not enough to survive on for any of the 1.7 million Americans that earn that wage. So, he's pushing for a fair, liveable, $9 an hour; or, a weekly income of $360. But, what Obama isn't telling you is that 2 million people, or 300,000 more than those making minimum wage, work for less than that, and, raising it won't help those people one iota.
Then, there's the issue of Obama's call to renew the extended unemployment benefits for the 1.3 million Americans who saw their benefits expire just after Christmas. Their average income was $300/week or just $10 more than a minimum wage worker. Are they, too, like the current minimum wage earners, getting too little money to survive? Of course, extending the unemployment benefits isn't going to help the 8 million of the 11 million workers who are officially unemployed and receiving zero benefits. Nor will it help another 9 million workers who have left the workforce because they are frustrated and cannot find a job.
But, the real irony in all these discussions about wages is that you're probably better off being on welfare than either collecting unemployment or even working for minimum wage. That's because, in a majority of states, 35 states to be exact, welfare recipients collect the equivalent of $400 a week or higher. How's that for income inequality, Mr. Obama!
References
Seeking Alpha: Extended Unemployment Benefits Statistics: http://seekingalpha.com/news/1484551-Over-1M-affected-as-extended-unemployment-benefits-expire
Forbes Magazine: Welfare pays more than the minimum wage: http://www.forbes.com/sites/theapothecary/2013/09/02/on-labor-day-2013-welfare-pays-more-than-minimum-wage-work-in-35-states/
Bureau of Labor Statistics: Minimum Wage and Lower Income Wage Earner Stats: http://www.bls.gov/cps/minwage2012.htm
Then, there's the issue of Obama's call to renew the extended unemployment benefits for the 1.3 million Americans who saw their benefits expire just after Christmas. Their average income was $300/week or just $10 more than a minimum wage worker. Are they, too, like the current minimum wage earners, getting too little money to survive? Of course, extending the unemployment benefits isn't going to help the 8 million of the 11 million workers who are officially unemployed and receiving zero benefits. Nor will it help another 9 million workers who have left the workforce because they are frustrated and cannot find a job.
But, the real irony in all these discussions about wages is that you're probably better off being on welfare than either collecting unemployment or even working for minimum wage. That's because, in a majority of states, 35 states to be exact, welfare recipients collect the equivalent of $400 a week or higher. How's that for income inequality, Mr. Obama!
References
Seeking Alpha: Extended Unemployment Benefits Statistics: http://seekingalpha.com/news/1484551-Over-1M-affected-as-extended-unemployment-benefits-expire
Forbes Magazine: Welfare pays more than the minimum wage: http://www.forbes.com/sites/theapothecary/2013/09/02/on-labor-day-2013-welfare-pays-more-than-minimum-wage-work-in-35-states/
Bureau of Labor Statistics: Minimum Wage and Lower Income Wage Earner Stats: http://www.bls.gov/cps/minwage2012.htm
Thursday, May 3, 2012
The Dying Middle Class Under Obama
In 2008, the campaigning Barack Obama blamed George Bush and Republican policies for the decline of the middle class. However, since taking office, he has overseen a massive decline in the incomes of the average middle class family; a loss in incomes to the tune of $4300 a year (Click for story).
For the middle class, it isn't just the take-home pay that is killing their lifestyle. They are also getting squeezed at the gasoline pump; at the grocery stores; in their electricity costs, and in paying their local and state tax bills. Altogether, my guess is that the average middle class family is more than $7,000 a year "less better off" than they were when Obama took office. And, for the working poor, the impact is even more hurtful.
Obama failed to correct the economy and stem the loss of jobs and home values. His spending policies failed to stem unemployment and only drove prices up. Yet, with all the economic problems facing America, the President, instead, focused in on a massive takeover of health care. Only a fool would want to reelect this man.
For the middle class, it isn't just the take-home pay that is killing their lifestyle. They are also getting squeezed at the gasoline pump; at the grocery stores; in their electricity costs, and in paying their local and state tax bills. Altogether, my guess is that the average middle class family is more than $7,000 a year "less better off" than they were when Obama took office. And, for the working poor, the impact is even more hurtful.
Obama failed to correct the economy and stem the loss of jobs and home values. His spending policies failed to stem unemployment and only drove prices up. Yet, with all the economic problems facing America, the President, instead, focused in on a massive takeover of health care. Only a fool would want to reelect this man.
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