Why the Rich Don’t Care About Jobs for the Rest of Us [annotated]

1. It’s All About Me

Several studies by Paul Piff and his colleagues have revealed that upper-class individuals tend to be narcissistic, with a clear sense of entitlement. Worse yet, they believe their talents and attributes – genius, even – have earned them a rightful position of status over everyone else. [You don’t need studies for this; simple intelligent observation will do. But in America even the most mundane truths have to be backed up by some research or else it will not be listened to. Americans have been conditioned to respect only “experts” and “authorities” creating a “credentializing” disease that has only grown in absurdity.]

Scarier yet, according to one study, the American sense of entitlement has been growing over the past 30 years, despite the fact that most of us have lost ground to the super-rich. And most disturbing is that ‘upper-class’ individuals tend to behave more unethically than average citizens. [Denials aside capitalism is based on the idea of individual selfishness, me, me, me, the sacredness of private property, no matter how obscene, and so on. Most individuals who amass hyper fortunes do so as a result of (a) luck, which can mean genetic (born to rich parents or some biogenetic gift—strength, beauty, genius, etc.); (b) lucky timing, like striking oil; (c) the ability NOT to empathize with one’s fellows at all or only in the most superficial manner. It helps indeed if —undisturbed by your conscience—you can step on other people when you are socially climbing, even if such intent involves betraying anyone who stands. Incidentally, these conditions for landing at the top of the heap obtain in all class-divided societies, from ancient Rome, to feudal times, and modern capitalism. A lack of ethics is therefore par for the course.]

This “all about me” attitude means that the wealthy don’t have to depend on others, and that they have less need to understand the feelings of others. This directly impacts our daily lives. The greater the concentration of wealth, the less a society invests in infrastructure. Our investment in infrastructure as a percent of GDP dropped by 60 percent from 1968 to 2011.

As the super-rich take their helicopters to and from work, they’re having multi-million-dollar bunkers built under their houses to sustain them when the middle-class revolution comes.

2. It’s All About Lazy People Who Refuse to Work

Congressmen and CEOs don’t normally see the people affected by their actions. This leads to a resentment of the poor, and imagined abuses in the minds of people like Paul Ryan and Scott Walker, both of whom likened the safety net to a “hammock,” and Texas Republican Louie Gohmert, who decried the purchase of crab legs by people on a $5-a-day food stamp budget.

John Boehner daydreamed: “This idea that has been born…that, you know, ‘I really don’t have to work…I think I’d rather just sit around.’”

Almost all healthy adult Americans, of course, want to work. But in 2011 Senate Republicans killed a proposed $447 billion jobs bill that would have added about two million jobs to the economy. Members of Congress filibustered Nancy Pelosi’s “Prevention of Outsourcing Act,” even as a million jobs were being outsourced, and they temporarily blocked the “Small Business Jobs Act.” In April, 2013 only one member of Congress bothered to show up for a hearing on unemployment. When asked what he would do to bring jobs to Kentucky, Mitch McConnell responded, “That is not my job. It is the primary responsibility of the state Commerce Cabinet.” [Singling out the Republicans for their criminally repulsive policies (they are only implementing in a naked manner what the corporate rich want) is not a good idea. At all times the people must be reminded that the Democrats are no help either, and that the only consistent difference is one of style. What the Rethugs do openly, the Dems do behind doors. Thus one party prefers the mallet while the other uses the stiletto. One brutal, the other devious and treacherous. What a choice. In any class-divided society parties are supposed to represent an specific class. By that standard, the US technically has only one party, the party of the super-rich. Everyone else has no representation, only the pretense of representation.]

The lazy people who refuse to work are, in reality, the tax avoiders who are getting $2.2 trillion without having to work for it.

The Safety Net costs us $370 Billion.

But Tax Avoidance costs us $2,200 Billion (tax expenditures, tax underpayments, tax havens, and corporate nonpayment). That’s $2.2 trillion, six times more than the safety net, most of it benefiting the wealthiest Americans.

3. It’s All About Waiting for the Free Market to Work Its Magic

Conservative analyst Michael Barone said, “Markets work. But sometimes they take time.” Thirty-five years, so far. Beneficiaries of low taxes and deregulation desperately want to believe that “trickle-down” works, or at least to convince middle America that it works. They want to believe, against all logic, that lower taxes mean more tax revenue. [In a healthy society served by an ethical communications system, established truth would be observed by all parties, starting with the media, which would deny a respectful audience to anyone peddling nostrums and lies historically discredited. People are entitled to opinions, not facts.]

All this in the face of mountains of data disproving their supply-side ideas. As far back as 1984 the Treasury Department concluded that most tax cuts lose revenue. More recent studies by Saez et al. and by the Economic Policy Institute found no connection between tax rates and economic growth, and Piketty, Saez, and Stantcheva determined that the optimal tax rate could be over 80 percent.

There is also hard evidence that cutting taxes on the rich fails to stimulate job creation, and that raising taxes on the rich has the opposite, beneficial effect. The facts come from Kansas and Minnesota. Despite early optimism by trickle-down adherents, tax cuts in Kansas have been disastrous, leading to revenue losses, cutbacks in education and health care, and sluggish job growth. In Minnesota, on the other hand, tax increases on the rich have led to higher wages, low unemployment, and rapid business growth.

The rich don’t care about creating jobs. They don’t care about Robert Reich’s insight about more and more jobs being lost to smart technologies, leading to a society in which “those who create or invest in blockbuster ideas will earn unprecedented sums and returns,” leaving much less for the rest of us. [All of this, including Reich’s “insights” have been known for generations, all the way back to Marx in the 1840s. It’s easy to understand capitalist behavior, and the multiple ways that the “market” betrays the public interest every chance it gets.]

The solution, says Chris Hedges, is to take on corporate power by instituting “a nationwide public works program, especially for those under the age of 25, to create conditions for full employment.” Every American, of course, deserves the opportunity to earn a living wage. It will take a revolution against narcissism to make it happen. [Well, it will take a revolution, but not just to institute a public works program, one of the many obvious solutions to the American economy’s disease which Obama—a man who specializes in non-leadership where he is desperately needed or outright bad leadership where he is not—should have implemented years ago, boldly and resolutely. If the American people ever get smart and determined enough to figure a way to make revolution, they should toss this rotten and incurably pathological capitalist system where it can’t hurt anyone any more.]