Posted: October 24, 2014
Simon Black is an expat who long ago left the United States, lives in Chili, and travels the world.
He puts out postings that are well written, thought provoking, and remind us that the old times are gone. This posting about the U.S. middle class is very very much on the money.
The linked e mail describes the world as many older Americans remember, when families had a mom and dad and dad supported the family comfortably on one income. Now, it takes two good incomes to support a family and maintain a comfortable standard of living. Now, people have to use their credit cards to keep up, need food stamps and government subsidies for utilities, and young people are forced into debt to obtain seemingly worthless college degrees.
Mr. Black reminds us that there are two types of inflation that hurt the middle class every day. There is asset price inflation that drives up the cost of goods and services. Then there is retail price inflation that describes the fact that people’s wages are not keeping up with the costs of goods and services. It takes more and more money to pay for stuff and wages are not keeping up.
Our old time capitalist ideas that people work hard, start businesses, and benefit from a vibrant growing economy of private enterprise has been replaced by a state controlled economy. Now people are just “rented” by companies with no benefits, no retirement, no incentives to do a good job etc. Now obedience, compliance, subservience to the state is a way of life.
The linked article is wistful and true to our times. As an older generation passes away, the ideas of freedom and capitalism will be gone. All that the young will know is Big Brother, paying 80% of what they make to the state, suffering under the IRS and Police State, and listening to a media that doesn’t even question those in charge.
Full article here >>>.