Income Inequality = Obama

While Obama and some other liberals scream "income inequality", they need to only look in a mirror. They are the major cause of it.

To see this, let us start in the beginning. Middle Income Americans if they own companies at all, they own small businesses, alias the American dream. We should ask ourselves first how small businesses can exist at all? Why do not all large companies just drive them out of business? Some large companies do, but not very many. The reason big companies do not care about small business is that the large companies could never compete with them. That is correct. Large companies, I was part of them once, know they are inefficient. Large companies know that they have huge bills, some inefficient people on the pay roster, silliness in expenses and thus can only do things where there is a large "gross margin". Gross margin, or gross profit, is the money you make at the cash register long before you pay many of your bills - such as rent, many salaries, taxes, supplies and more. Basically small businesses will run a business on a very slim profit or no profit at all and work long hours. The big companies cannot compete. They do not even wish to. The small businesses I knew were either losing money, making just enough to pay employees and bills but nothing for the owner, making enough just to pay bills and the owner, or those who had a tiny profit. Windfall profits are most often silliness by the left. If small business ever did make windfall profits, well then the big companies WOULD drive them out of business and take that huge profit. Either that or the big businesses may "acquire" small businesses that are successful and both make money. I have seen the "books" of both large corporations and also small business.

And so in the US there are large companies, bigger profits, bigger salaries with many alternatives they can use. And then we have small businesses run by the middle class which are barely making it and yet proud but yet have almost zero options that the large companies have. Now enter Obama. If Obama raises taxes, increases regulations, suggest unions should drive business mad, comes out with Obamacare, tells the Occupy movement to irritate business, which of those two worlds - big business or small business would logically be hurt first and also hurt the most? This is not rocket science. Small businesses would die the first and in droves while the larger companies with options hire better lawyers, cut back on their martinis or do whatever. And so what higher taxes and regulations, unions and Obamacare do, is they damage mostly the middle class, the also the poorer of Americans who have no options. This destruction of the middle class makes a larger disparity between the rich and the poor. Many stores in my neighborhood went out of business. And in at least 3 cases, the shopping malls went under soon later.

And then when stores and their owners disappear, as is true in my neighborhood, as the middle class and poor class lose their homes and life savings, the politicians say "the other person did it". They assume we are all economically stupid. No, perhaps, it is just them that do not understand economics. Either that or they are total liars. I admit I do not know which or both. But as government gets mean, the poor and middle class with no options will be the first to go .... and then you have.... huge inequality .... brought on by dead businesses and no jobs. Obama is wrong. If the Pope agrees with him, then the Pope is wrong. This stuff should be not so hard to see .... in the absence of politics and ideology.

How do you stop inequality? You provide opportunity to the poor and middle class. That would mean less taxes, fewer unions, less regulations, no Obamacare, no other nonsense. Support. And then that grows businesses and jobs, mostly helping the poor and middle class. Even I... if president... could fix our economy. But so could any ethical thinking people.

Views: 32

Comment by Robin on March 28, 2014 at 7:25pm

Very well thought out post, RN! Tweeting this out! 

Comment by D.A. on March 28, 2014 at 8:47pm

Excellent post RN!  Liberty is the solution to the human condition.  Where Liberty lives......all prosper! 

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