He may not have addressed it directly but Rick Perry referred to the Occupy Wall Street movement in his latest address to the Value Voters Summit.
You know Liberals are now pointing the finger of blame at successful employers under the guise of fairness, but when they utter phrases like “fair share” you just know, heh, they’re once again playing fast and furious with the truth. And the truth is you can’t reve up the engine of economic growth by heaping higher taxes on job creators, you can’t spread success by punishing it, you can’t unite our country by dividing it.
The answer to our troubles lies in a positive optimistic vision with policies rooted in American Exceptionalism.
He has the last part right but most Americans would not look at the state of the financial sector as a “success”. The lack of rules and ethics that allowed for multi-national credit card companies to prey on young people at college campuses putting them and our country further into debt is not my idea of American Exceptionalism.
Perry also mentioned a Wall Street Journal article that indicated, “Nearly Half of U.S. lives in household receiving government benefit”. Now, much like the famed “Rich people pay half of all income taxes” this claim also deserves some scrutiny. First it serves to point out that all but 18% of Americans will pay payroll taxes. This is a federal tax on working people, fine, but at least give them credit for paying into the system. The headline infers that slightly more than half of the U.S. do not receive a government benefit. This is one of the many ways the supply-side media tries to have it both ways. They would have you believe the government is funded by the wealthy and they receive no benefits such as tax breaks, loan guarantees, bailouts, loopholes or special access to government officials.
The graph below represents how many American households are receiving specific government benefits like Social Security, Medicare and food stamps. Notice while the trend nears 50% in 2010 the unemployment rate hovers around 9%. This means that less than 10% of the working age population is unemployed yet nearly half the households still need additional government assistance, a clear product of stagnant wages. Juxtaposed against the next graph you can see as CEO pay increased dramatically employee wages remained level. Now consider the rise of inflation, cost of living and loss of benefits over the past two decades and we have a recipe for economic malaise.
The Increase in executive compensation correlates almost exactly with the number of households receiving “a government benefit” for the same time period. I would contend that the Wall Street occupiers are not interested in taking money from the rich but when they work hard to create wealth for a company or institution they expect to share in their own success. If people continue to believe that working harder will not increase their standard of living or take home pay we will lose the motivating factors for free market capitalism.