Friday, January 14, 2011
Often, A&G talks of "Two Americas" and in most respects it is not a new phenomenon. There's always been "have" and "have-not" as long as there's been civilization. The 'newness' is more the open transparency of government in ensuring this wealth gap widens during economic distress.
When times are good, economic and social problems are more easily masked and even the poorest of the poor find themselves celebrating the wealth and prosperity of corporations, celebrities and the like with a sort or psychologically twisted "pride". But when the economy deteriorates, the veneer comes off and you can see more clearly the reality of how dramatic is the wealth gap. You see who is affected the most and who's plight is attended to the least. In addition, during financial crisis, government is not as subtle in their inequitable distributions of wealth to the wealthy; they go into 'panic mode' with the belief that only by making the rich richer and the big businesses bigger, will calamity be staved off.
Today's example of "Two Americas" is not as individual-specific but still shows a level of detachment among "have" vs "have not" but on a corporate level...
America #1 --
Illinois Lawmakers Pass 66% Income Tax Increase (Fox News) -- "The increase now goes to Democratic Gov. Pat Quinn, who supports the plan to temporarily raise the personal tax rate to 5 percent, a two-thirds increase from the current 3 percent rate... part of the effort to close a budget hole that could hit $15 billion this year."
America #2 --
Big US Companies Take Tax Gripes to Geithner (Reuters) -- "Chief financial officers from multinational companies meet with Treasury Secretary Timothy Geithner on Friday to air gripes about the tax code... Companies want the rate slashed, arguing that it handicaps them competitively against their foreign-based peers."
Posted by Susquehanna at Friday, January 14, 2011