Concentrated income and wealth, combined with a torrent of secret campaign cash, an economically-needy and frightened middle and working class, and a well-financed right wing intent on channeling that fear into resentment against government, is a toxic combination. Unless progressives fight for what we believe and put aside cynicism and disillusionment, we -- and our children and grandchildren -- could lose America.
Only once before over the last century has American income and wealth become concentrated in so few hands. That was 1928, and we know what happened next.
Never before in American history has so much money been secretly channeled into campaigns, almost all of it against Democrats and progressives.
Rarely before in our history have so many right-wing challengers and incumbents taken positions so out of whack with our history and traditions – calling for the abolition of Social Security and unemployment insurance, the elimination of the Federal Reserve and the IRS, the prohibition of abortion even in cases of rape or incest, a requirement that all immigrants carry proof of citizenship or be subject to arrest and deportation, a prohibition on children of undocumented workers from attending public schools, an increase in military spending, the shredding of environmental regulations, and even more regressive taxes.
And only once before in the last century has so large a portion of our population been so endangered by loss of job, earnings, home, and savings. That was the Great Depression of the 1930s.
Connect the dots. These four phenomena are related.
Concentrated income and wealth at the top has robbed America’s middle and working classes of the purchasing power they need to keep the economy going. They can no longer make it up by borrowing against their homes. The housing bubble burst, as it inevitably would. That could mean many years of high unemployment and economic insecurity – unless steps are taken to reverse course.
Reforms that would widen the circle of prosperity include exempting the first $20K of income from payroll taxes, and applying the payroll tax to incomes over $250,000. Eliminate income taxes on all family incomes up to $55,000, and make up the shortfall by raising the marginal income tax rate on incomes over $1 million. Provide universal early childhood education and free higher education, repair the nation’s crumbling infrastructure, and give Medicare for all. Finance all of this with a carbon tax and a reduction in military spending.
But none of this is possible in a democracy dominated by a few at the top. The concentrated income and wealth has also concentrated political power. Vast sums of money are being channeled into campaigns. Because of the Supreme Court’s grotesque decision in Citizen’s United vs. the Federal Election Commission, these political payoffs are being made in secret.
And the widespread fear and insecurity felt by average citizens has made them easy prey for demagogues – many of them backed by this money – who seek to direct the anger against government, immigrants, and the poor.
Those demagogues say the choice is between more or less government. The real choice is between the privileged and powerful, and the people.
Progressives know this but at this critical juncture many are opting out.
Why? Because of a tragic asymmetry in American politics. The far right is fueled by cynicism about government. The progressive left is fueled by idealism about government. So when government seems to fail – when a leader like Barack Obama doesn’t accomplish nearly what many of us hoped he would – the deepening cynicism ignites the right, while it disillusions the left.
Yet if we allow our cynicism to drive us out of politics, they win completely.
We are facing a perfect storm of concentrated income and wealth at the top, a torrent of money distorting our politics, and a needy nation that’s become deeply cynical about democracy. If we are to survive the storm, every one of us must redouble our efforts. We must organize, energize, and mobilize: To take back America from the privileged and powerful who are intent on corrupting it and using it as their own; to create a new prosperity that’s widely shared, and a democracy that works for all of us.