between 1979 and 2005 the inflation-adjusted, after-tax income of Americans in the middle of the income distribution rose 21 percent. The equivalent number for the richest 0.1 percent rose 400 percent.
And if we look at Capital Gains taxes, currently at only 15%,
taxes on capital gains are much lower than they were in 1979 - and the richest one-thousandth of Americans account for half of all income from capital gains.
Given this history, Krugman asks a very basic question, why do Republicans advocate further tax cuts for the very rich even as they warn about deficits and demand drastic cuts in social insurance programs?
Please keep reading.
PROFITS ARE up, so it's time to slash the workforce
Those words are the 1st paragraph of a Boston Globe column by Joan Vennochi, titled as is this piece The rich rewards of cutting jobs
It is a lead-in to an examination that starts with Boston's State Street Corporation, where 1,400 employees, 400 in MA, have lost their jobs at a time when corporate profits were up 20& and operating revenues more than 8%.
Vennochi quotes from an internal email from the CEO that this is a deliberate strategy
necessary to "enhance service excellence and innovation'' and drive "a stronger sense of urgency about getting things done.''As Vennochi puts it
Those scary words reflect the new normal in corporate America.