Reprocessing the Middle Class — Act 3

Act 3 may be a little controversial, but here it goes.  Just as the fascist banking power preys upon the human weakness to take now rather than later, and just as the business construct preys upon the false notion of youth that time is on their side, so does the capitalistic power construct prey upon the fundamental drive of humans to reproduce.  Sex, love, love-making, marriage, kids, yet another fundamental genetic make up of the human being which the power construct preys upon.  Even the government gets in on the action.  Have more kids…enjoy more tax breaks.  How often do you hear the politicians say the heart of America is the family unit?  How many kids does President Obama have?  How many kids does Mitt Romney have?  How many kids does Rick Santorum have?  Combine this concept with the prior post, and you have the perfect mix to perpetuate the capitalistic model.  For without more kids and an expanding population, there is no room for forward and upward trending sales and profit figures.  The entire capitalistic construct relies on a growing population.  And if the population isn’t growing domestically, there is always the outside world to set-up as targets — enter the global economy.
Now, reflect on Act 1 and Act 2, and take your relatively young people loaded up with debt and add marriage and kids to the formula.  Of course the diamond ring and wedding expense will increase the debt, but that is peanuts compared to the future costs associated with one, two, or three offspring.  Imagine, for a moment, the amount of money that is made off a child from birth through college.  What is the average profit for the capitalistic machine per human being prior to a professional career where that human being actually begins to make money for itself?  I don’t have the time or patience to look it up and I doubt there are any thorough articles or objective view points on the topic.  Discussing population control or rational consideration of limited resources on a unique planet with finite resources relative to capitalistic economic concerns is taboo, especially in the United States of America which is weighed down not only by the “American Dream”, but by religious dogma.

Now, how does the middle class fund and pay for their offspring?  Remember, wages in the “greatest country on Earth”, the United States of America, have been stagnant relative to inflation and productivity for decades.  Yes, you guessed correctly.  The only way to fund their offspring is through increased debt!  Indeed more kids means tax reductions, but relative to the overall expense how does it shake out from a personal financial perspective?  How does it shake out from an environmental perspective?  How does it shake out when lots of kids are being born from irresponsible adults? Yes, the government has to step in to help those in need.  And how does the government help those kids in need?  Yes, taxes and more debt.  And where does the money come from to help those innocent children in need?  Well, not from the super rich or huge corporations, for they control the law via campaign donations and lobbyists.  Eventually, the taxes come from the middle class and those that are not well-connected.  The divide and the reprocessing is now becoming more clear.  The root causes of the great divide between the few that have most and the majority that have little is becoming more transparent.  But Act 3 is only the tip of the iceberg.

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18 thoughts on “Reprocessing the Middle Class — Act 3

  1. No doubt about it, income disparity is a serious symptom of economic trouble and the rise of productivity, a.k.a., more product with fewer jobs, is also a continuing problem. However, I am concerned that this post rails against the capitalistic system without being more specific. Let’s not throw out the baby with the bathwater.

    I am reminded of the writings of J. K. Galbraith some half a century ago when he pointed out that capitalism only works well at the small business level. At the large corporate level, such as the major automobile makers, the big banks, big oil, big Ag, and big Pharma, it doesn’t work well at all, but rather invites collusion, price fixing, monopolies and oligopolies. In my opinion the Democratic Party is the better choice if we ever hope to break some of these big conglomerates and achieve reasonable regulation of the marketplace. The recent stumble of J.P. Morgan Chase is a case in point.

    As for productivity, IMHO that is inevitable. We need to accept it and deal with it through education (especially technical training).

    • Hi Jim. I agree with your point about small companies and capitalism versus huge corporations and banks that exploit capitalism. And if we have to have huge corporations and banks, then you have to have regulations and a strong dose of socialism like the Scandinavian region. And finally, ensuring we have an intelligent and critically thinking population is key as you point out.

  2. And then the children go off to college and incur the student loan debt which under the 2005 bankruptcy code revision is no longer dis-chargeable, and you have just created 21st century debt serfdom. Only half of college graduates are getting jobs CBS reported on tv last night, and student loan debt is up to $1Trillion, a tripling in four years. So in a weird way, student loan money is not just to pay for school, but it is your “welfare” program to make it thru life the next four years and be able to eat, which means another big hangover is coming for young people.

    Finally, what definition are you using for fascist? I have seen it used so many ways, I no longer really know what it means.

    • What was name of that CBS segment? I would like to watch it. Good question about definition of Fascism. I guess my definition is an almost religious and self-righteous belief in capitalism and the continual accumulation of wealth whereby complete power and control over the majority can be wielded. The few that hold that wealth and wield that power consider themselves as the chosen few proven by the amount of riches they have successfully siphoned from the majority. The power they wield includes control of the law, legislation,politics, media, the financial markets, international commerce, and the military…further perpetuating wealth accumulation and power.

      • It was on 60 minutes Sunday. The interviewed one of the internet Billionaires behind I think Google. He has set up a program paying kids $100,000 to drop out of college and just start a business. In the interview he left one with the impression that many college degrees are not sound investments and do not realize a true positive economic return, leaving you in a big pile of debt, plus only half are getting jobs, not all that much better than kids coming out of high school. He did say some degrees were worth the study like say medicine, but for a whole bunch college is a waste of money, and mom and dad would be better off giving the kids the money to invest. I am not sure I completely buy the theory, but this guy attacked the academic establishment as the new hucksters who push just like the sub prime mortgage type did, except this time it is instead a college degree from some hum drum college, leaving you with a big pile of debt, and no real job..

    • Hi Anne. The economy will always survive as long as there are human beings. If you think about it, all that an economy is is a means to supply each other with food, shelter, goods, and services. We and our work make up the economy, so it will always survive. But my concern and reason for writing about it is that we have begun to transform the purpose of economy into almost a religion or philosophy. The goal is no longer the simple definition above…the goal is to accumulate wealth and power to such a degree that the majority of human beings have to struggle to pay for food, shelter, goods and services. The rise of the financial power construct since deregulation has created a false economy where money is made off money and siphoned into the hands of a few. And this problem isn’t just isolated to the United States…case in point Europe. When economics fails the majority, it leads to wars and revolutions. You don’t think that is important to write about?

      • There was a proverbial tale from China in which Heaven and Hell were described identically. In each, everyone sat at a table of bounty with three foot chopsticks. In Hell, they starve to death because the chopsticks are too long to eat with. In Heaven, they feed the person across the table.

        There is no such thing as an economy, because we do not supply each other with food. We never have.

        We cheat. We eat with our fingers, hide food beneath our robes… everything we can think of but feed our neighbor. So we die in Hell.

        You keep writing as if that’s a tragedy.

        It’s not.

        It’s where we have always belonged.

      • I like that proverbial tale from China:) I guess that is the big difference between us…I look at little people and ask…is the structure we adults have put in place going to bring out and reward their good instincts as they come of age…or something else? I don’t believe life on Earth is hell. It is a beautiful planet as are young little people on the whole.

        As far as economy goes, we do work to provide ourselves with food, shelter, goods and services. The idea is when you go to work you are performing a valuable contribution to the whole such that you earn something with which to buy food or shelter. Division of labor is the modern term. But as I am trying to point out, the chain has been broken by the rise of the financial fascist power construct.

  3. Tin Cup keep writing on the economy. Finding a better allocation of God’s resources that improves the human condition is a moral imperative.

  4. Steppenwolf, the band or the book: for everyone. Just depends on how you hear it or if you want to. May 20th was my birthday and I was sipping champagne at the Eden Rock in Cap d’Antibes. Is that normal for me? No f’ing way. Jobs come in many shapes and sizes and I wasn’t doing anything illegal. As usual your writing is way above my turpentined brain but I get “some” of it. I’m just too lazy to learn to use that part of my brain which remains. Plus, I haven’t harassed you in a long time. Get the camera out jackie. If you start making art, maybe I will pick up an economics book. Or I will be the hairy oracle in the cave above your Utopiana.

  5. Pingback: Blog Details the Invisible Traps We All Face in the U.S. Economy | Tim Prosser – Scratch Space

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