We really do need wealthy people, after all. Wealthy Reduce Buying in a Blow to the Recovery:
The economic recovery has been helped in large part by the spending of the most affluent. Now, even the rich appear to be tightening their belts.
Late last year, the highest-income households started spending more confidently, while other consumers held back. But their confidence has since ebbed, according to retail sales reports and some economic analysis….
But the Top 5 percent in income earners — those households earning $210,000 or more — account for about one-third of consumer outlays, including spending on goods and services, interest payments on consumer debt and cash gifts, according to an analysis of Federal Reserve data by Moody’s Analytics.
How interesting. The Top 5% are the key to economic recovery.
But didn’t Obama campaign against the Top 5%?
Who loves ya now, baby.
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Related Posts:
The Revolt of the Kulaks Has Begun
The “Richest 5%” Are The New Kulaks
$1 Trillion Obama Will Never See
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Comments
Once the top 5% have been reduced to food stamps, the obama plan will be in full swing and the recovery will have arrived. Change/rearrange/redistribute!
Well………why would anyone buy anything when their taxes are about to be increased 5% or how many tens of thousands of dollars? Not me. And I'm sure not those on the lower end of that 5% rich folk.
More to the point: US Corporations don't need to keep their headquarters in the US in order to satisfy their stockholders. Tax increases tend to impact those people whose capital can't move (the middle class and to a lesser extent, the poor, who don't pay much in the way of taxes). That means that there is less domestic investment since capital is fluid. If unions and local measures are unfavorable, companies build factories outside the US, the jobs and taxes migrate. It's a fact of life, and obama isn't a potentate, much to his sorrow.
The best way to grow the US economy is to make it a great place to invest, to build, to work, with a stable and predictable set of laws so businesses know what to expect. The Democrats have done the opposite and wonder why things aren't moving. A child could explain it to most Democrats because it's not a difficult concept.
I traveled from California to Arizona yesterday. Gasoline is .35/gallon less expensive in AZ because of the CA tax on fuel. Why?
Why would ANYONE to business in California if they could move their company to a right-to-work state with lower taxes? The same model is true of businesses who now are looking at other countries.