Republicans have found some death panels they like- more depressing news about the overall health of the most important part of our country:
Nearly one in three Americans who grew up middle-class has slipped down the income ladder as an adult, according to a new report by the Pew Charitable Trusts.
Downward mobility is most common among middle-class people who are divorced or separated from their spouses, did not attend college, scored poorly on standardized tests, or used hard drugs, the report says.
“A middle-class upbringing does not guarantee the same status over the course of a lifetime,” the report says.
The study focused on people who were middle-class teenagers in 1979 and who were between 39 and 44 years old in 2004 and 2006. It defines people as middle-class if they fall between the 30th and 70th percentiles in income distribution, which for a family of four is between $32,900 and $64,000 a year in 2010 dollars.
People were deemed downwardly mobile if they fell below the 30th percentile in income, if their income rank was 20 or more percentiles below their parents’ rank, or if they earn at least 20 percent less than their parents. The findings do not cover the difficult times that the nation has endured since 2007.
Pew researchers said the study’s structure did not permit an analysis of whether upward mobility has become more difficult through the years. Nonetheless, some economists point to growing income inequality and widely stagnating wages as evidence that the American Dream is slipping out of reach for many people.
That’s the reality. Here is the fantasy:
I’m not sure which is more breathtaking: Romney’s suggestion that someone earning $200,000 is “middle income,” or his implication that actual middle-income Americans have more than a minuscule amount of investment income in the first place.
For the record, in 2004 the Tax Policy Center estimated that a median earner would save a whopping $70 if taxes on interest, dividends, and capital gains were eliminated completely. That’s right: $70. Seven zero.
The most amazing thing the Republican party has done is turn the people they are screwing the most into their most ardent supporters. Of course, the members in the money party who are Democrats (DLC) have had a good hand in helping them. Give people Republican policies enough, and they’ll vote for Republicans. All of this is compounded by the fact that the people who shape our news are all in the income bracket that Romney considers “middle income,” so they probably think he is speaking truth to power. In 99% of this country, 200k a year is rich as hell. Here in WV, the median income is $37 grand a year.
At any rate, more austerity and a capital gains tax cut should fix things.