Tuesday, June 28, 2011

Richest are leaving even the rich far behind

This article talks about a new breed of rich: the hyper rich. Johnston describes how these hyper rich individuals have "left behind people making hundreds of thousands of dollars a year." Through the entire article, he delineates the causes behind the rise of the hyper rich. He finds that government policies such as tax cuts are the reasons behind why the rich are becoming increasingly rich. Johnston states, "The Bush administration tax cuts stand to widen the gap between the hyper rich and the rest of America." Such statement demonstrates how our government is not helping alleviate the disparity in wealth and poverty issue but rather is fostering it. Because of such policies, the future for the middle and lower classes is quite grim as they will have to be burdened with the taxes the rich do not pay. The article continues to say that those earning millions of dollars are the ones receiving the biggest tax breaks. What was very interesting in the article was when Johnston stated that Americans do not have such a massive problem with this disparity and tax breaks for the rich. The reason behind such a statement is mobility; as long as Americans have the "...chance of getting to the top, they just don't care how rich the rich are." I can understand such point of view but researchers have pointed out how mobility has stopped raising, if not declining, in the United States. It is imperative that the government creates policies that help members of the middle class but especially the lower class as these individuals need the most help. Providing tax cuts for the hyper rich is definitely not the solution to a more equal and happy society.

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