You might be asking yourself, what is this 1% hype all about lately? It spawned the protests/riots in Wall Street and many other cities around the US in the last couple weeks and it has economists and pseudo geniuses like myself seriously worried about the future of our society.
I am sure you are well aware of communism and the slippery slope it can be for societies. I fear from the lack of proper regulation and action our capitalist system will soon have the same stigma or worse. The main reasons that communism is bad is that it overlooks the human nature of greed and chain of command which in turn inevitably causes chaos. Meaning at some point someone or one’s is going to want more and if they cannot earn it they will find other ways to get it, like violence and thievery.
On the other hand, allowing people to take as much as they want in a purely capitalist society has even more detrimental effects in the long run as we are seeing now. There is a huge myth that banks ruined our economy by bad lending, this is not true. The money is still here in fact there is a lot more now. What really happened is the ultra rich found a way to get almost all the money and will not spend it. This was allowed because the people that make the rules for our society are getting paid by the ultra rich. These people are the ones that really run the country and ultimately sway policy with lobbyist, bribes, and special interest groups.
These “ultra rich” people are the 1%. This small percentage of the US that has and makes more money then the other 99% combined.
Why is crime on the rise and morals lowering? The answer is simple, lack of opportunity. These ultra rich people that make over 2.2 million a year can easily make a business better then a struggling entrepreneur and these 1% can easily influence the market in their favor through stocks and investments. The old saying you have to have money to make money is becoming more true.
The only hope for low capital starting entrepreneurs is the internet, this tool helps level the playing the field and helps market a business for free with the right knowledge and hard work. We need to fight for the security of a free market on the internet, it is our last hope.
Even with the internet, business is in a huge wreck. Our capitally ideas are now becoming worse then a communist country, the US is heading for havoc and violence at our current course. If you could not feed your children then a less ethical more potentially violent person will arise to do what is needed to survive. This is nature, not a moral encompass. We have a 9.1% unemployment rate right now, that is almost 10% of our country that cannot find work and most likely will not survive off of what the government gives them much longer. People making 80k a year will now have to live off of 40k this progression is growing as the 1% rich get richer and the middle class gets lower.
Ultimately our society is heading to a 1/99 split with an ultra rich class and a huge struggling massive majority with fleeting family values.
Do you think 300 million people are going to just let 7 million live off of their work and tears? I think it safe to say at any point the system will fail miserably and violence will follow shortly after.
So what is the solution? Simple Communism and Simple Capitalism does not work, so what can we do to have a civilized safe society and stay proactive? The answers are easy, it’s applying them that is hard.
1. Tax the rich (the around 2 mill a year or more class) enough to offset the class spread and bring it back closer together. Then use that money to help small businesses and industry that is ran and made here in America.
2. Regulate the fed and banks, letting them run free to steal billions a year from the people is ridiculous and is decremental to our economy. We need slowly work our way back tot he gold standard.
3. STOP importing everything we buy in the US! Remember when buying American meant something, well people are making less money so now they have to buy cheap foreign stuff. We have been forced to buy foreign products as a result of our disintegrating economy ultimately lowering our moral structure as a society.
4. Provide ultra cheap housing and food for people struggling to even survive. This will help keep crime down and as a society the moral code growing. Keep in mind this would cost less then 10% of Wall Marts profits to do for the entire country.
Ultimately this is a hybrid of Capitalism with some communist tweaks and it happens to be the only way we will ever get our dream of US opportunity back to where it was when we set the pace for the world as a respected culture and nation.