The Rising Backlash Against the Rich (Woe to the rich today. You are now considered "undeserving")

Real Clear Markets ^ | 10/10/2011 | Robert Samuelson

[SeekAndFind]

The context for Occupy Wall Street and proposals to tax the rich - "rich" being constantly redefined - is the broader issue of economic inequality. For years, liberal politicians, academics and pundits have complained about growing inequality, but their protests barely resonated with the public. When most people are doing okay, the fact that some people are doing better does not arouse much anger. No more. When many people do worse, or fear they might, the rich inspire resentment and envy. Glaring inequalities that once seemed tolerable become offensive.

By and large, Americans regard the rich the way they do the poor. There are the "deserving" and the "undeserving." The deserving pioneer technologies, manage vibrant businesses or excel at something (law, entertainment, sports).

Few resent the wealth of Bill Gates or Oprah Winfrey. By contrast, the "undeserving" rich succeed through self-dealing or activities lacking broad social value.

What's happening now is that more rich are being disparaged as "undeserving." Blamed for the financial crisis, Wall Street types top the list. During the 1990s stock market boom, about half of Americans agreed that "people on Wall Street are as honest and moral as other people," reports the Harris Poll. This year, only 26 percent think so. Two-thirds believe Wall Street's most successful people are overpaid.

Corporate chief executives stir similar ire. With 9 percent unemployment, languishing stock prices and stagnant wages, CEO pay raises smack of cronyism with compliant directors. When Hewlett-Packard recently fired chief executive Leo Apotheker after 11 months with a $13 million severance package, the disconnect between pay and performance was especially astonishing.

Beyond these familiar scapegoats, what can we say about growing economic inequality? Here are three generalizations.

[ClearCase_guy]

We need to eat all of the productive people.

The Earth will then begin the healing process as the scattered remnants of humanity huddle in caves, eating berries to survive. I figure an eventual stable population of 10 million humans. It's all we deserve.

[headstamp 2]

This is all thanks to “The Great Inciter” in the White House.

A “president” constantly preaching class warfare. He is an utter disgrace.

[headstamp 2]

“We need to eat all of the productive people.

The Earth will then begin the healing process as the scattered remnants of humanity huddle in caves, eating berries to survive. I figure an eventual stable population of 10 million humans. It’s all we deserve. “

Exactly, America needs more welfare cases to excel. That’s the ticket.

I’ve never been hired by a poor man.

[hosepipe]

Democracy is about ENVY...
Thats why democracy is MOB Rule (by MOBSTERS)...
AND about robbing Peter to PAY... Paul...

“Robbin Hood” in Kabuki Theater STYLE... with masks and strange rhetorical sounds.. and makeup..

[TruConservative]

Good article, but a little defensive. All this emphasis on the poor definition of “rich” seems a little like smoke and mirrors. The term 1% is very exact. And the article plays with statistics, saying at one point “The richest 1 percent paid the lion’s share of that: 28.1 percent of federal taxes.” Yeah, but their income is 24%. (And I don’t think that includes social security. Many of the richest don’t pay social security at all, because they get their money from investments, not paychecks.)

I don’t think this article helps much. People vote on perception. The perception is that the wealthiest 1% are becoming a burden (and with some reason - it costs more than the whole federal government to keep these people in their yachts and private jets and gated mansions). And the perception is that the Republican party and conservatives in general are either the 1% or the lackeys of the 1%. That could spell big trouble at the polls in 2012.

I think the wealthy have got to give some, and conservatives have got to quit their knee-jerk defensiveness and recognize that critics of wealth and power imbalance have a point.

[SeekAndFind]

RE: Democracy is about ENVY...

That is why the framers made America into a Constitutional Republic. They wanted to protect the minority from a possible tyranny of the majority.

Imagine what would happen to the USA if we had a one-man-one-vote system instead of an Electoral College...

For one we would not have a UNITED States to begin with, and even if we had, big states would overwhelm smaller states through the sheer size of their voting population.

In a Democracy, California’s vote alone could overwhelm the collective votes of Ohio, Pennsylvania and Georgia combined.

And if California were composed of ENVIOUS voters hungry for the scalp of wealthy people, that spells TROUBLE.

[Saundra Duffy]

My husband and I were discussing this issue and we were laughing because we are definitely NOT rich. We have no stocks and bonds - do not even understand the stock market and glad of it. We have a year’s supply of food and water for emergencies. Meanwhile, as far as money goes, we don’t have much, nor do we stock pile gold. Maybe we’re stupid but at least we’re not worried about losing all our money.

[org.whodat]

Nothing like a complete miss-read of what the writer is saying. Everybody supports the man that did well, such as bill gates, etc. Everybody hates the dirty bastards that pay them self million dollar bonuses while their firm goes broke and the get a bail out from the tax payer. Now that is what the writer said, do you understand the Cliff notes version.

[SeekAndFind]

RE: I think the wealthy have got to give some, and conservatives have got to quit their knee-jerk defensiveness and recognize that critics of wealth and power imbalance have a point.

__________________________

Christians ( even conservative Christians ) DO BELIEVE that the wealthy SHOULD give something ( much is given, much is required ).

The main issue is this - HOW DO YOU IMPLEMENT THIS IN PRACTICE?

By Government COERCION? Or by Moral Persuasion?

I’d rather do the latter than give moer power to the former.

[PapaBear3625]

I don’t think this article helps much. People vote on perception. The perception is that the wealthiest 1% are becoming a burden (and with some reason - it costs more than the whole federal government to keep these people in their yachts and private jets and gated mansions). And the perception is that the Republican party and conservatives in general are either the 1% or the lackeys of the 1%. That could spell big trouble at the polls in 2012. I think the wealthy have got to give some, and conservatives have got to quit their knee-jerk defensiveness and recognize that critics of wealth and power imbalance have a point.

To the underclass of the Third World, YOU are a member of the 1%. Think about where your line of reasoning logically leads.

What is your response to the UN telling America: "You need to institute an 80% tax rate to help bring the standard of living of the United States and Pakistan more into parity"?

[Grampa Dave]

Obozo’s/Pelosi’s/Reid’s class warfare is in full force with their Occupy Wall Street paid terrorists:

Video Exposing How ‘Occupy Wall Street’ Was Organized From Day One by SEIU/ACORN Front – The Working Family Party, and How They All Tie to the Obama Administration, DNC, Democratic Socialists of America, Tides and George SoreA$$:

http://www.theblaze.com/stories/video-exposing-occupy-wall-street-was-organized-from-day-one...

How many of these protestors are getting paid $350 - $650 weekly to protest and got their gig via Craig’s list?

“Make $350-650 a week “protesting” on Wall Street.”

http://newyork.craigslist.org/brk/gov/2618821815.html

[Psycho_Bunny]

People who engage in class warfare are not people: they are the animals of the pack who are too weak to do anything but steal the leftovers from the pack members who actually make the kills.

In the animal kingdom, natural selection would dispose of them.

[businessprofessor]

think the wealthy have got to give some, and conservatives have got to quit their knee-jerk defensiveness and recognize that critics of wealth and power imbalance have a point.

Please enlighten us with your wisdom. What should the wealthy give? Are you advocating confiscation of their income and wealth? Do you know that Obamacare has substantially increased taxes on investment income? Do you know about the AMT? Do you know that the most productive are renouncing their citizenship to avoid confiscation?

Instead of policies to punish the most productive, the free loading masses should start paying federal income taxes, the largest source of revenue for the federal government. We have tax policy designed to encourage class warfare and demand for government services. Almost 50 percent pay no federal income taxes with large parts of this group receiving tax welfare.

[vikingd00d]

>>We need to eat all of the productive people.
>>The Earth will then begin the healing process as the scattered remnants of humanity huddle in caves, eating berries to survive. I figure an eventual stable population of 10 million humans. It’s all we deserve.

I think I’ve found the flaw in your cunning plan... If we eat all the productive people then who will pick the berries?

[MNJohnnie]

I'll take all this whining about Corporations seriously when the Left demonstrate the same level of outrage at Solyondra and the rest Obama's crony capitalist moves

O wastes $10s of billion of our dollars playing crony capitalist and we are suppose to ignore that and be upset some Corporate clown got $13 million?

[MNJohnnie]

Actually the Leftists should quit their knee jerk trashing of Business.

I’ll take all this whining about Corporations seriously when the Left demonstrate the same level of outrage at Solyondra and the rest Obama’s crony capitalist moves

O wastes $10s of billion of our dollars playing crony capitalist and we are suppose to ignore that and be upset some Corporate clown got $13 million?

Sorry but you need to give up your emotion based ideological doctrines and actually start looking at the world as it is, not as you imagine it to be.

[Riodacat]

Please enlighten us with your wisdom. What should the wealthy give? Are you advocating confiscation of their income and wealth? Do you know that Obamacare has substantially increased taxes on investment income? Do you know about the AMT? Do you know that the most productive are renouncing their citizenship to avoid confiscation?

Instead of policies to punish the most productive, the free loading masses should start paying federal income taxes, the largest source of revenue for the federal government. We have tax policy designed to encourage class warfare and demand for government services. Almost 50 percent pay no federal income taxes with large parts of this group receiving tax welfare.

There are wealthy people who produce and create things and create a lot of jobs in the process and pay taxes.
And there are lots of wealthy people who produce and create nothing by pushing paper money, moving jobs off shore and creating misery for lots of people - many pay little or no tax - because they have their wealth offshore or use tax loophole. Many of these people are are responsible for the mess we're in and many of them have had the benefit of Federal bailouts.
So we can't generalize and say that all high wage earners and wealthy people are wealth or job creators.
How about we implement the same tax brackets that were in effect under the second term reign of Ronaldus Maximus..

[MNJohnnie]

(and with some reason - it costs more than the whole federal government to keep these people in their yachts and private jets and gated mansions)

I'm sorry but that statement is a total lie. It has no base in an fact. To buy that lie you have to assume all wealth belongs to the Fed Government. NO it does not.

Nice you have feelings. Too bad your feelings are completely divorced from any contact with reality.

[TruConservative]

“By Government COERCION? Or by Moral Persuasion?”
“To the underclass of the Third World, YOU are a member of the 1%.”
“What should the wealthy give?”
“you need to give up your emotion based ideological doctrines”

I’m not making myself clear. The concern I have with too much going to a small part of the population has nothing to do with fairness, Christianity, ideology, or emotion. I may be wrong, if so you can address why I am wrong, but my concerns are as follows:

1. The amount of money that goes to the 1% is as bad for the economy as taxes. We pay (all together) about 30% of our income to taxes (state and federal). We pay (all together) about 35% of our income to the top 1%. That money that goes to the top 1% is just as bad for the economy as the money that goes to government. (I know, the top 1% spends their money, but so does government. Government actually spends 100% of their money, while the top 1% devotes some of theirs to buying gold & foreign investments, etc.)

2. It is unsustainable. We are in a position much like 1929. The economy will collapse if we don’t change things.

3. It is politically a loser. Conservatives, and the GOP in specific, are getting identified as the party of the rich. Remember, after 1929, it was 64 years before the House returned to GOP majority, and 24 years before a Republican won the presidency.