I had a dentist when I was young who had the last name of Reich. I found out, sadly, that he was a drunk & the one molar I have left on my bottom jaw is the result. He either pulled permanent teeth while telling me they weren't or not getting rid of all the decay before putting in the filling, thereby trapping the decay which, of course, worked its way through the tooth in other ways. This bit of personal history leads to Robert Reich, clearly not a drunken dentist, but rather, someone with a brain that he uses. Here are a few examples:
The new tax deal embodies the essence of Reaganomics.
It will not stimulate the economy.
A disproportionate share of the $858 billion deal will go to people in the top 1 percent who spend only a fraction of what they earn and save the rest. Their savings are sent around the world to wherever they will earn the highest return.
The only practical effect of adding $858 billion to the deficit will be to put more pressure on Democrats to reduce non-defense spending of all sorts, including Social Security and Medicare, as well as education and infrastructure.
It is nothing short of Ronald Reagan’s (and David Stockman’s) notorious “starve the beast” strategy.
Since Ronald Reagan was president, median hourly wages have barely budged, and America’s vast working and middle classes have taken home a steadily smaller share of the nation’s income (adjusted for inflation). The typical male worker today is earning less than the typical male worker thirty years ago.
Yet the richest 1 percent of Americans is now taking home a larger percentage of the nation’s income than at any time since 1928. And we recall what happened in 1929.
Nor did George W. Bush’s tax cuts trickle down. Between 2002 and 2007 the median wage actually dropped. And Bush’s record of job creation was pathetic relative to Bill Clinton’s, when taxes were higher. Under Clinton, America added 22 million net new jobs. Under Bush, barely 8 million.
So why are Democrats voting for Reaganomics?
That Democrats have allowed themselves to get into this fix is a testament to either their timidity, obtuseness, or dependence on the campaign contributions of those at the top.