People Don't Matter

That appears to be the predominant political economy of our day. Our unemployment rate remains high, and in fact may be much higher than the 9.5% cited by our government, but still, the movers and shakers (M's&S's) are debating how to cut the deficit.

First of all, now is not the time to cut deficits through austerity, because deficits can actually rise if unemployment, bankruptcies and foreclosures continue to rise. Austerity could contribute to higher unemployment, etc. and therefore not only lower tax revenues but also raise costs (more people looking for help).

The only way to cut government expenditures without a negative impact on jobs, housing and small business, would be to bring troops home from foreign parts, closing down foreign operations, like the wars in Iraq and Afghanistan, and some of the bases in 140 plus countries.

The M's&S's don't consider cutting our imperial adventures, however. What they are doing is: being niggardly about unemployment extensions, food stamps (Congress just cut next year's appropriation, despite a surge in applicants), and even tax credits for small business. What they are talking about are cuts to Social Security and Medicare, while Republicans are nearly unanimous about extending the Bush tax cuts, including those that have made the wealthy so much wealthier.

The argument they make about the latter: lower taxes will stimulate investment, is belied by lagging investment now, with those same low tax rates. Elites are sitting on their money, or paying $100+ million for Picassos, not investing in jobs. Investors will also invest in Brazil, or Russia, places where they'll get more of a return, until growth is restored here. Here, they'll park it in Treasuries, or gold.

Our unemployment rate may be twice as high as the 9.5% rate, when those without jobs for more than a year are included. Yet, all the (supposedly) liberal administration and Democratic Congress can do is add a little money here and there to keep things from getting dramatically worse. The Republicans' push for deficit cutting would make things worse, not better, but since Americans are unhappy with Democrats' half-measures, it looks increasingly likely that we'll go that route.

People don't matter, but corporate profits do. Big banks are now doing very well, and big corporations have found ways to squeeze profits out of job-cutting and foreign operations, so, they will resist taxes on the wealthy and government stimulus programs, and spend 100's of millions on campaigns to promote their positions.

The only hope would be if people see through the corporate agenda. Instead, millions worry about a Muslim community center two blocks from "Ground Zero!"

The global takeover by the extremely wealthy is proceeding. They are much like the Senators of Fifth Century Rome. Only an aroused populace can stop this.