Many have noted that the top one percenters keep getting richer while the bottom 20% haven’t made any headway at all, or so very little it’s hard to calculate to prove. Okay, maybe that is correct, but the poor have not backtracked on their standard of living or quality of life. Today, nearly everyone has a cell phone, computer of some type, TV, refrigerator, etc. And we don’t have very many people starving to death in America with our food stamp program and easy access to anyone.
Now then, when we give poor people money for whatever need; rent, money for health care, food, etc. they cannot save it, they need it, so, the poor spend it right away. Where do they spend it – at a store, or to pay their phone bill, etc. and, in the immediate transaction who gets the money? Well, a business, owned by someone wealthy, or a corporation which has investment class owners of their stock – thus, in that first transaction the wealthy folks now have the money and they put it to work investing in other money making endeavors or to grow their net worth in some sort of investment vehicle – therefore, increasing their wealth – making them richer.
On MSNBC there was an interesting article titled; Obama: Income gap threatens our ‘way of life’ by Michael O’Brien which stated amongst other things; “A growing deficit of opportunity is more of a threat to our future than our rapidly shrinking fiscal deficit,” he said,” and a person born in the top 20% had a one in three chance of staying there, whereas someone born in the bottom 20% had a one in 20% chance of improving their situation and economic status in life.”
Yes, maybe so, but every single thing this administration has done to attempt to fix this false problem of “income inequality” has made it tougher on the middle and lower class. Why? Simple, socialism doesn’t work. Obama cites Argentina in his speech, but Argentina is a perfect example of what not to do. President Obama really needs to think beyond his boxed in reasoning and brainwashed socialist education. That’s the truth, and if you or anyone else can’t see it, you are stuck in the same box. But I would suggest that you look up Milton Friedman on YouTube and watch all those videos.
Re-distributing wealth or money to the poor will only put it right back in the hands of the wealthy in the next transaction, and only exacerbate the problem of the poor staying poor and the rich often getting richer. Think on this.