A recently published PEW Research Study found a growing conflict between the rich and the poor in the United States. 66% of those surveyed perceive a disturbing economic inequity between the rich and the poor, and feel that it has gotten only worse over the past two years.
With the backdoor bailouts of Wall Streeters like Goldman Sachs and others by individuals in the federal government, Americans more now than ever believe that our economic system is rigged because of government favoritism resulting from political contributions and swinging door recruitment of former federal employees by Wall Street firms.
Noted among these disturbing backdoor bailouts is the Goldman Sachs funding by American taxpayers of $16 billion when Henry Paulson was head of the Treasury Department. Since Hank Paulson was the former CEO of Goldman Sachs, who earned about $567 million during his employment there, Americans are perceiving that our system of government is controlled by Wall Streeters and the rich. Normally when a company goes bankrupt, there is not a government bailout at taxpayers expense at 100% of the monies lost from its economic failure. Paulson’s, Geithner’s, and other governmental cronies’ involvement has had a disturbing effect on the American public’s confidence in the integrity of our political system.
Also in 2010 the enactment of the egregious estate tax law, which lowered estate taxes from 55% to 35%, is being perceived as a result of $10 million of political contributions by the Walton family alone, as well as from other monies from rich interests, at a time when our country cannot afford such luxurious and unnecessary tax gifts to those without need. In return for their $10 million contributions, the heirs of the Walton fortune of $84 billion received a huge estate tax break of nearly $17 billion. Not a bad return on the Walton’s investment, is it? Political contributions sure pay off for Wall Street and the rich.
The study found that Americans are becoming quite upset with the collusion of government and the 1%, representing the rich in our country, and are becoming more disillusioned in our capitalistic system. The question is, how long will the masses put up with this government of the rich, by the rich, and for the rich, given the recent uprisings in the Middle East and the protests of the occupiers of Wall Street throughout our land.
Let’s all hope not very long.
For a detailed discussion of the PEW Research Center study on the growing conflict between the rich and the poor in the United States, please see the article and video, the conflict between the rich and the poor has become very strong over the past two years.