Middle Class Incomes Yet To Recover From Crisis As Wealth Gap Widens

“First, widening inequality is a very long-term trend, one that has been decades in the making. The degree of inequality we see today is primarily the result of deep structural changes in our economy that have taken place over many years, including globalization, technological progress, demographic trends, and institutional change in the labor market and elsewhere. By comparison to the influence of these long-term factors, the effects of monetary policy on inequality are almost certainly modest and transient.”

That’s what Blogger Ben Bernanke (who is of course distinct from PIMCO advisor Ben and Citadel co-conspirator Ben) had to say earlier this month about the idea that the Fed’s post-crisis policies have contributed to income inequality in America.

The above-cited Bernankespeak can be translated as follows: poor people have been getting poorer for a long, long time, so sure, maybe the Fed contributed a little bit, but probably not a whole lot.

Deliberately inflating the assets most likely to be concentrated in the hands of the rich quite clearly increases the wealth divide and indeed, even the St. Louis Fed acknowledges that the American Middle Class is effectively dying a slow death in the post-crisis world.

For proof, look no further than the latest data on US household income which shows that while the 0.001%, the 0.01%, the 0.1%, and the 1% have all nearly recovered their pre-crisis share of the national income, the bottom 50% of US filers' share is not only lower than it was in 2007, but is in fact lower than it was in the depths of the crisis:

I’m only in competition with myself to do better, financially, year over year. So far, so good - even with the deck stacked against us. I love looking at my asset to debt ratio improving every year.

Others having more than me effects me not at all; it would make me crazy if it did. I want EVERYONE to be a success. And if the politicians would just listen to ME, we all would be! :)

Hey! The recovery is moving along great, the unemployment rate is about 5%, the lowest it’s been since obama took office, and Americans are optimistic about the future. This summer we will see a massive stock market rally, probably breaking thru it’s previously highest level. Inflation is at an all time low. All this is due to obamacare and could only be improved if POS Obama were not stopped from granting amnesty to millions of undocumented Americans.

Hey! The recovery is moving along great, the unemployment rate is about 5%, the lowest it’s been since obama took office, and Americans are optimistic about the future

Tsk Tsk, somebody's been drinking the cool aid...

Reality Check: What's the Real Unemployment Rate in the U.S.?

Americans Not In The Labor Force Rise To Record 93,194,000

40% of Workers Now Have 'Contingent' Jobs, Says U.S. Government

In April There Were 26 Waiters And Bartenders For Every Manufacturing Job Added

7,231,000 Lost Jobs: Manufacturing Employment Down 37% From 1979 Peak

The Average Age Of A Minimum Wage Worker In America Is 36

Record 56,167,000 Women Not in Labor Force; Participation Rate Matches 27-Year Low

Feds Spent $100 Billion on Food Assistance Last Year 109,930,090 Americans participated in overlapping programs

90 Days: Treasury Says Debt Has Been Frozen at $18,112,975,000,000

US Empire Fed Manufacturing Survey Plunges To Lowest Since January 2013 As Inventory Optimism Crashes By Most Ever

US Manufacturing PMI Weakest Since Jan, ISM Beats, Construction Spending Spikes Most In 3 Years

Middle Class Incomes Yet To Recover From Crisis As Wealth Gap Widens

The Job Market Will Get Much Worse, JPMorgan Warns

There Will Never Be Enough Good Jobs Ever Again

About Those Rising Wages: Real Hourly Earnings Drop To Lowest In 2015

Part-Time Jobs Soar By 437,000; Full-Time Jobs Tumble, Stay Firmly Under Pre-Recession Highs

Labor participation rate is also at 1970s levels.

Initial Jobless Claims Drop, Remains Near 42 Year Low

US Department Of Commerce Officially Jumps The Shark, Will "Double Seasonally Adjust" GDP Data

Decline: Economy Did Even Worse Than We Thought in First Quarter Anemic 0.2% increase revised down to 0.7% decline

Treasury Secretary: $18T Debt Is Not 'The Most Pressing Concern Today'

Another Fed "Insider" Quits, Tells The Truth

Fed holds off on interest rate hike, downgrades economic forecast

Spot The Mindblowing Housing Permits Outlier: ..reporting absolute gibberish "data"

Housing Starts Plunge 11% As April "Bounce" Fades, Permits Soar To 8 Year High

A Full-Time Minimum Wage Job Can’t Pay Rent For An Apartment Anywhere In The U.S.

What Happened The Last Time The Fed's Balance Sheet Hit 25% Of GDP: World War II

Teenagers are losing confidence in the American dream

$2.1T: Tax Revenue for FY15 Hit Record Through May; Gov't Runs $365B Deficit

Writing's On The Wall: Texas Pulls $1 Billion In Gold From NY Fed, Makes It "Non-Confiscatable"

Here Comes The "Affirmatively Furthering Fair Housing" Rule: How Obama Will Centrally-Plan Your Neighborhood

Consumer Comfort Plunges For Longest Streak In 7 Years

Almost Half Of US States Are Officially Broke

It’s a disgrace to democracy. And it’s hitting my daughter’s family hard. Their middle-class income once guaranteed them new cars every few years, a speedboat on the lake, an annual vacation, a freezer full of steaks, all of which are things of the past. Company merged with larger company and moved, hours reduced, etc etc.

Their personal downturn began just about the time Obummer was elected and now they are struggling to make ends meet. Put in a big garden this year, will be canning veggies to save money.

I’m younger than you and graduated in the mid-70s. The reunions dissolved long ago, with too many of my classmates dead or in some kind of trouble. It was a small high school in a small town in a sparsely populated area (country folks).

I felt that I owed something to my older buddies (many who went to Vietnam) and to our forefathers, so I went to Ft. Leonard Wood for some training at the age of 31 (in ‘89). Graduated that 13 weeks of training and stayed in the Guard for six years.

Hey, look on the bright side, and have a great weekend! Hope your computer will work with a YouTube video.

Always Look on the Bright Side of Life - Monty Python’s Life of Brian
https://www.youtube.com/watch?v=WlBiLNN1NhQ

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.