Carving up Our Economic Pie

by Holly Sklar (Some numbers to reflect upon)
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http://www.commondreams.org/views05/1125-28.htm

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From 1950 to 1970, for every additional dollar earned by those in the bottom 90 percent, those in the top 0.01 percent earned an additional $162.

From 1990 to 2002, for every additional dollar earned in the bottom 90 percent, those at the top brought in an extra $18,000.

If you are feeling financially down this holiday season, there's a good reason. Average workers have been earning less after inflation, not more. Average hourly earnings dropped 5 percent, adjusting for inflation, between 1979 and 2004 -- while domestic corporate profits rose 63 percent.

The share of national income going to wages and salaries is at the lowest level since 1929 -- the year that kicked off the Great Depression. The share going to after-tax corporate profits, which heavily benefit wealthy Americans through increased dividends and capital gains, is at the highest level since 1929.

He was saying that only 14,000 people benefit from *shco tax policies while everybody else loses.

I would love to know just who the hell these 14,000 are and how they've twisted the laws of our country to benefit solely themselves.

defense contractors.

"The share of national income going to wages and salaries is at the lowest level since 1929 -- the year that kicked off the Great Depression. The share going to after-tax corporate profits, which heavily benefit wealthy Americans through increased dividends and capital gains, is at the highest level since 1929." (Holly Sklar, from the link)

Distribution of Wealth in the US: Pie Chart
Wealth distribution is even more skewed than income distribution: The wealthiest 20% own 85% of the wealth; The top 20% of earners get 60% of the income.

Rather than push for an income tax to redistribute income, it would be both fairer and more efficient to push for a wealth tax to redistribute the wealth, particularly 'natural' wealth that could be considered a common birthright. Taxing natural wealth does not discourage production, and hence does not discourage employment and suppress wages, as does taxing man-made wealth and capital.

Yet another Pie Chart. In short, don't confuse the capitalist with the landowner - the capitalist requires labor and must cooperate with it, the landowner does not. They are often the same entity acting in two roles, one beneficial, one parasitic.