Monday, February 27, 2012

American Dreams: My Father, Karl Marx and the Man who Sold the Rope 2/2

In part one of this two-part series, I wrote of how the American dream had changed since my father's time. The promise of ever-increasing prosperity seems to belong to a shrinking minority. History had played an ironic joke on the West. While the Soviet Union was collapsing due to the pressure of union labor, the United States under Reagan was signaling to corporate America that unionized labor was to be discarded on the ''scrap heap of history.''

And Then The Slow Decline
Now let's take a look at the consequences of this policy and who actually benefited.
At one time, when the main challenge to capitalism was Communism, leaders of the free world touted rising consumption afforded by rising wages as a measure of its success.

Starting around the 1980s, however, real wages and productivity, which once went hand in hand, decoupled. No longer did harder work mean higher wages. Productivity continued to rise- adding to the wealth of corporations- while wages remained steady. This trend has continued to the present day.

Additionally, access to easy credit has allowed the American citizen to shop and shop, giving, at least, the illusion of prosperity. But buying a lifestyle built on credit is a gamble because credit assumes that tomorrow will be as good or better than today. Life could be pretty good with a high credit limit. Especially with the flood of cheaply-priced merchandise on offer, all of it made possible by non-unionized workers in Asia and elsewhere.
Consider these facts.

Before credit became so widely available, personal savings rates were rising steadily each year. In 1960, Americans were saving 5.4% of their total income, It reached a high of 14.6% in 1975, and by 1982, it leveled off at 10.9%. But all that changed in the mid-1980s under Reagan when consumer credit became more commonplace.

At that point, personal savings began dropping hitting an all-time low of just .09% in 2000 and it stayed low until the last few years. After hitting depression-era lows, it has been slowly rising again since 2008.


Sunday, February 26, 2012

American Dreams: My Father, Karl Marx and the Man who Sold the Rope 1/2


by Nomad
Let’s Begin With My Father
My father, born in 1929, grew up in the midst of the Great Depression, in what most people would consider extreme poverty. His father died one week after his birth leaving his widowed mother to raise her five children alone. Had it not been for a productive farmland, it is doubtful they would have survived. “We didn’t have two nickles to rub together,” he’d often tell me,”but we never even realized we were poor. Everybody we knew was in the same situation as we were.”

In 1951. he left the farm to join in the Korean War to fight the spread of the Communist threat. The Red Menace- China- was on the verge of expanding across the border into Korea. Following that, he received credit from a GI loan which allowed him to buy a very humble mobile home to start his married life.

In the economic boom of the 1950s, my father found employment as a precision sheet metal worker at a aircraft manufacturing plant. Along with thousands of other unskilled workers returning from Korea, the company trained my father with the idea of steady long term employment. In turn, my father worked at the company for thirty years. He did not particularly desire to rise up in the hierarchy of the company. He told me that he’d prefer not to have the stress that went with the responsibility. He preferred to spend more time at home at the end of his shift. There was also the goal that he knew that his children would, by his hard, boring and unsatisfying labor, have a better life than he did. It was an attainable goal. Through the use of collective bargaining of his union or the rare labor action, my father’s wage steadily increased.


Saturday, February 25, 2012

Evangelical Candidates: Personal Faith vs. Public Policy

by Nomad
A Sin Against God
In the 2012 election year, the subject of a presidential candidate’s religious beliefs is once again becoming a matter of public discussion. Of course, this isn’t, by any measure, the first time. In fact, in modern American politics, the issue of personal faith has become a more or less common feature in American elections.

What has changed is to what degree this once personal issue has become a candidate's "selling point" to the politically powerful Christian Right Wing of the Republican party.

When this problem was brought up in the 1960 Kennedy vs. Nixon election the matter was mentioned because some people were concerned that Kennedy could not represent all people and that there might well be conflicts between the Catholic doctrine and the Constitution. How this problematic issue was dealt with, the answer Kennedy gave to critics, is an example of the kind of politics and politicians that have come and gone.

The Sudden Death of the Living Wage: ACORN 3/3


by Nomad
In the previous posts (Part One) (Part Two), we have looked into the meaning and importance of the living wage movement. We have also examined both the Conservative argument against and the history of the movement. In the final part of this three part series, we will examine at the more recent attempts at establishing a living wage and the organization that was destined to achieve some impressive results.  

The Rebirth of the Movement
One organization took up the cause of campaigning for a living wage and throughout the 1990s, won unprecedented successes. It was called “the nation's largest community organization of low- and moderate-income families, working together for social justice and stronger communities" with the name the Association of Community Organizations for Reform Now, better known as ACORN.

Ilyse Hogue, writing for The Nation, gives this summary about the important role that ACORN played.
ACORN was unique as an organization that served our nation’s poor people. Wrangling with life’s common challenges like mortgages and housing forms, ACORN employees built trust by offering help person to person, neighborhood by neighborhood. They then leveraged that trust to lobby for federal legislation to address the root causes of the crises facing these people—predatory lending, lack of community investment and stagnant wages.

The Sudden Death of the Living Wage: Republican Class Warfare 2/3

by Nomad
In Part One of this series we introduced you to the concept of the Living Wage, which is entirely different from the Minimum Wage. Next we will look at conservative's arguments against the idea and the true and somewhat surprising history of the living wage.

A Threat to Health
The Republican party has had a long-held opposition toward any talk of a living wage. This latest crop has their own ideas about how to deal with the poor. Rick Santorum, for example, seems to think that marriage is the solution to poverty.
What two things, that if you do, will guarantee that you will not be in poverty in America?” he asked the crowd. “Number one, graduate from high school. Number two, get married. Before you have children,” he said. “If you do those two things, you will be successful economically. 
Michele Bachmann, who recently claimed she had been the “perfect’ candidate for president, had announced her intention to do away with any sort of minimum wage limit in order to stimulate the economy. Newt Gingrich called child labor laws “stupid” and Herman Cain told unemployed OWS protesters that
“ If you don't have a job and you're not rich, blame yourself ... It is not a person's fault if they succeeded, it is a person's fault if they failed."
This attitude is fairly common with Fox-News-watching public. Reagan played that mish-mash of religion, patriotism and the much-touted work ethic very convincingly. The logical runs like this:
America is the land of opportunity. 
We, as a nation, are blessed by God. 
Wealth and success is a sign of God's blessing. 
Every man's success and failure depends on the his individual attributes. 
Therefore, government has no responsibility in the matter.
It is linked with the delusion that that the United States of America is a meritocracy where everyone is treated fairly and anyone can pull himself up by his bootstraps if he or she just works hard enough, pays their dues and keeps their nose to the grindstone.