So
here we are pouring shiploads of cash into yet another war, this time
in Libya, while simultaneously demolishing school budgets, closing
libraries, laying off teachers and police officers, and generally
letting the bottom fall out of the quality of life here at home.
Welcome
to America in the second decade of the 21st century. An army of
long-term unemployed workers is spread across the land, the human
fallout from the Great Recession and long years of misguided economic
policies. Optimism is in short supply. The few jobs now being created
too often pay a pittance, not nearly enough to pry open the doors to a
middle-class standard of living.
Arthur
Miller, echoing the poet Archibald MacLeish, liked to say that the
essence of America was its promises. That was a long time ago.
Limitless greed, unrestrained corporate power and a ferocious addiction
to foreign oil have led us to an era of perpetual war and economic
decline. Young people today are staring at a future in which they will
be less well off than their elders, a reversal of fortune that should
send a shudder through everyone.
The
U.S. has not just misplaced its priorities. When the most powerful
country ever to inhabit the earth finds it so easy to plunge into the
horror of warfare but almost impossible to find adequate work for its
people or to properly educate its young, it has lost its way entirely.
Nearly
14 million Americans are jobless and the outlook for many of them is
grim. Since there is just one job available for every five individuals
looking for work, four of the five are out of luck. Instead of a land
of opportunity, the U.S. is increasingly becoming a place of limited
expectations. A college professor in Washington told me this week that
graduates from his program were finding jobs, but they were not making
very much money, certainly not enough to think about raising a family.
There
is plenty of economic activity in the U.S., and plenty of wealth. But
like greedy children, the folks at the top are seizing virtually all
the marbles. Income and wealth inequality in the U.S. have reached
stages that would make the third world blush. As the Economic Policy
Institute has reported, the richest 10 percent of Americans received an
unconscionable 100 percent of the average income growth in the years 2000 to 2007, the most recent extended period of economic expansion.
Americans
behave as if this is somehow normal or acceptable. It shouldn’t be,
and didn’t used to be. Through much of the post-World War II era,
income distribution was far more equitable, with the top 10 percent of
families accounting for just a third of average income growth, and the
bottom 90 percent receiving two-thirds. That seems like ancient history
now.
The
current maldistribution of wealth is also scandalous. In 2009, the
richest 5 percent claimed 63.5 percent of the nation’s wealth. The
overwhelming majority, the bottom 80 percent, collectively held just
12.8 percent.
This
inequality, in which an enormous segment of the population struggles
while the fortunate few ride the gravy train, is a world-class recipe
for social unrest. Downward mobility is an ever-shortening fuse leading
to profound consequences.
A
stark example of the fundamental unfairness that is now so widespread
was in The New York Times on Friday under the headline: “G.E.’s
Strategies Let It Avoid Taxes Altogether.” Despite profits of $14.2
billion — $5.1 billion from its operations in the United States —
General Electric did not have to pay any U.S. taxes last year.
As
The Times’s David Kocieniewski reported, “Its extraordinary success is
based on an aggressive strategy that mixes fierce lobbying for tax
breaks and innovative accounting that enables it to concentrate its
profits offshore.”
G.E.
is the nation’s largest corporation. Its chief executive, Jeffrey
Immelt, is the leader of President Obama’s Council on Jobs and
Competitiveness. You can understand how ordinary workers might look at
this cozy corporate-government arrangement and conclude that it is not
fully committed to the best interests of working people.
Overwhelming
imbalances in wealth and income inevitably result in enormous
imbalances of political power. So the corporations and the very wealthy
continue to do well. The employment crisis never gets addressed. The
wars never end. And nation-building never gets a foothold here at home.
New ideas and new leadership have seldom been more urgently needed.