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pampango

(24,692 posts)
24. We don't have to wall of the world's poor in order to have a strong middle class.
Sun Mar 17, 2013, 10:05 PM
Mar 2013

Every other developed country trades more than the US yet has a stronger middle class. The reason: they have more progressive taxes, strong unions and stronger middle classes.

Waving the $2/day foreign worker bogeyman as the cause of our economic problems is using semi-logic like republicans do when they argue that raising the minimum wage will increase unemployment - "When you raise the price of something, you get less of it." It sounds logical except that real-world experience shows that raising the minimum wage actually increases employment for a variety of reasons.

Similarly progressive countries are not afraid of that scary $2/day worker from "Dark Africa". In fact the EU has one-way free trade with the poorest countries in the world so that they can export their products to Europe without import tariffs. In spite of (because of?) this Europe has the best distribution of income in the world and much stronger unions and middle class than the US has. They seem to know that the African worker is not their enemy.

Europeans tax themselves heavily and progressively, support strong unions and safety net and trade with the rest of the world much more than we do. Too many Americans seem to prefer low/regressive taxes, weak unions and a shredded safety net, then blame our problems on African workers. With low/regressive taxes, weak unions and a shredded safety net we could eliminate every import from every poor country in the world (kind of a walled-off society) and we would still have the same problems.

republicans raised tariffs in 1921 and 1924 which dramatically reduce trade, and guess what happened? By 1929 we had the worst inequality of income that we had ever had in the US - not surpassed until the 'bush tax cuts' destroyed any progressivity in our tax system. Tariffs don't make a strong middle class. If we ignore history and evidence of what works, we mimic what republicans like to do - appeal to emotion and use semi-logic to scare people.

Damn shame Detroit didn't make the list. Spitfire of ATJ Mar 2013 #1
The 1% is now terrified. backscatter712 Mar 2013 #2
Don't worry primavera Mar 2013 #13
I'd love to see Phlem Mar 2013 #3
This message was self-deleted by its author Rhiannon12866 Mar 2013 #4
a rising tide lifts all boats... awoke_in_2003 Mar 2013 #5
Nepal... really...? I suppose I imagined Dalit women breaking gravel with hammers JCMach1 Mar 2013 #6
"The study found that in 2013 a total of 1.6 billion people are living in "multidimensional" poverty pampango Mar 2013 #7
Del Monte has guard posts equipped with rifles JCMach1 Mar 2013 #17
All quite true. That over a billion are still poor pampango Mar 2013 #20
I really don't buy the study... I am not an economist, but JCMach1 Mar 2013 #26
Agree with respect to the methodology of the Oxford and UN studies. They may be flawed. pampango Mar 2013 #27
Yay, Thomas Friedman was right... Alkene Mar 2013 #8
I know many on this board hate this word but globalization is main reason for this. DCBob Mar 2013 #9
Good. Now to sustain this.... mpcamb Mar 2013 #10
Its the rapidly falling birth rates. Exultant Democracy Mar 2013 #11
Whole lot of people actually upset over this. Ugh. (nt) Posteritatis Mar 2013 #12
My first reaction is that this is bullshit lunatica Mar 2013 #14
+1 tawadi Mar 2013 #15
Record numbers of the middle class worldwide are being reduced to poverty levels... Earth_First Mar 2013 #16
a lot of it has been offloaded to the US Doctor_J Mar 2013 #18
"Dark Africa" has come for our jobs, eh? pampango Mar 2013 #21
So the fact that our shoes are now made by workers Doctor_J Mar 2013 #22
We don't have to wall of the world's poor in order to have a strong middle class. pampango Mar 2013 #24
That was insightful...eom Kolesar Mar 2013 #29
Jeb Bush will see to the demise of that!!! nightscanner59 Mar 2013 #19
There is no reason for progressives to feel threatened by the possibility that the world is making Douglas Carpenter Mar 2013 #23
Just wait until the Friedman's Chicago boys get ahold of these nations. Dawson Leery Mar 2013 #25
The more the standard of living increases madville Mar 2013 #28
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