San Francisco is experiencing a building boom driven by the
desire of Silicon Valley types for high-priced condos and luxury apartments.
Rent controlled buildings are being sold to developers and the tenants evicted;
it’s unlikely that many of these tenants will be able to afford places in the new
or refurbished buildings.
The power of capital.
On the front page of the New York Times I read an article
about executive compensation, a hot topic a few years back, when the economy
tanked and the financial industry got bailed-out by sucker taxpayers. Even
though many CEO’s had made irresponsible bets on exotic financial instruments
that cost their companies billions, they were not held accountable, either by
forfeiting compensation or by being indicted. The Times article basically said
that nothing can be done to slow the pace of CEO compensation; the median
increase at the 200 or so largest firms stands at a hefty 16%.
The power of neoliberal policies: the wealthy get ever
wealthier.
Not long after I read the Times article I saw a CNN Money
report that claimed that 76% of American households exist paycheck-to-paycheck
with no funds set aside for misfortune.
Why isn’t this story on the front page of every major
newspaper in the country or being seriously debated in the corridors of
Congress? This is the real economic story of our time – the chronic financial
insecurity of the majority of American families. It’s obvious and it’s
everywhere, and the corporate media could care less. Watching CEO pay skyrocket
out of proportion to what one individual is worth to a firm is much sexier.
Working people in America Incorporated are an afterthought,
as disposable as a used tampon. Our corporate fathers crushed the unions,
exported our jobs, and devalued work. The United States Chamber of Commerce and
hundreds of think tanks helped by providing the philosophic underpinnings:
wealth is moral, greed is normal, and exploitation is the natural order of the
universe. Unfettered by regulation and law, the best will rise to the top, where
they naturally belong. The poor have no one to blame but themselves. Lack of
industry, moral fiber, self-control and initiative, that’s the problem of the
poor.
Everyone can be rich in America!
Nobody ever mentions that the game is rigged, not the New
York Times or CNN or ABC. State lotteries are the wealth plan of most
Americans. Win the big Powerball and you too can own six homes, a private jet, and
a fleet of luxury cars, diamonds, stocks and bonds.
But that’s what separates most of us from the elite few – we
hope for a big score against impossibly long odds while the elite cements a
guaranteed return by rigging the table. They call it tax “relief” or other
quaint euphemisms like “no-bid” contract; they stow their money in offshore
accounts invisible to the prying eye of the IRS. It’s a game and they have
mastered its rules.
Here’s the bottom line: socialize risk, privatize reward.
Jobs and wages are the real economy, where the majority of
us live and breathe – and struggle. We don’t need an economist to tell us that
when wages stay flat for more than thirty years, while the cost of health care
and education and housing rises, a working person has little chance of doing
anything but live paycheck-to-paycheck. He or she can do that dead-end dance, or
work two or three jobs and relinquish any hope of achieving a quality of life.
What the powerful have done to the American Dream is as
astonishing as it is perverse.