From robert reich Republicans claim rich people and big corporations are job creators, so their taxes must not be raised. This is baloney. In order to create jobs, businesses need customers. But the rich spend only a small fraction of what they earn. They park most of it wherever around the world they can get the highest return. The real job creators are the vast middle class — whose spending drives the economy and creates jobs. But as the middle class’s share of total income continues to drop, it can’t spend as much as before. Nor can most Americans borrow as they did before the crash of 2008 — borrowing that temporarily masked their declining purchasing power. As a result, businesses are still reluctant to hire and pay decent wages. Which is why the recovery continues to be so anemic.
Posted on: Wed, 04 Sep 2013 17:08:03 +0000