Response to the article “Why the rich are getting richer” by Robert Reich
In the article, Robert Reich argues that within the American society, the small minority of rich people continued to get even richer. While they spent an equally large amount of money on taxes and the expenses, they still realized higher incomes than the majority of Americans. Conversely, the rest of Americans citizens became poorer within the same economy. The number of unemployed people rose while the living standards among the same people deteriorated, Robert Reich focused on the large economic gap between the rich and the poor within America. However, he also concentrated on the effects of political decisions and individuals on the American economy.
The democrats were cited as the main group to show a willingness to correct the economic injustices that have existed in America for over three decades. The Obama administration inherited the erred mistakes created by the Bush tax cuts of 2001 and 2003 by delaying to embrace them within their term. For a long time, The gap between the rich and poor has been successfully managed by succeeding governments and ensured that America remained a just and fair society in as far as the economy was concerned. However, the Bush administration made vital decision that restructured this equilibrium and created a category of super rich American elite. In his article, Reich mentioned that about 10% of the wealthy individuals controlled about 80% of the nations GDP.
Throughout the expose, Robert Reich discussed about the growing gap between the upper and lower half of the society. Reich applied a metaphor that explained how the economy fluctuated for both the rich and poor. He argued that all Americans were involved in the issue that influenced people differently: for some, the impact was adverse, for some negligible and yet, for others, it was opportunistic. Reich was in essence, discussing about the lower, middle and upper class. The lower class got poorer because of higher unemployment rates that were generated by automation of the manufacturing sector and competition from overseas companies that offered cheaper labor and resources. The middle class were somewhat dormant but they also gradually experienced the slump and shifting poverty gap. Conversely, the upper class have experienced a positive turn economically as they embraced new ideas and approaches that were presented to local and international markets that lacked these ideas.
This upper class comprises of technical experts that contribute greatly to the infrastructure for example transport systems and residence. The nature of their occupations and skills allows them to gain an upper hand in deciding their pay grades and associated monetary benefits as compared to the middle and lower classes. Reich talked about the obstacles and challenges that existed to maintain the status quo of the lower class to keep them from prospering and propagate the dependency. Whichever way the issue was looked at, the upper class managed to still increase their revenues while the poor class continued to entrench themselves in poverty. Robert Reich’s article was valid and realistic in its approach because there is an increasingly growing poverty gap that pits the rich against the poor within America. The rich get richer because they own the means of production. The rich class is usually behind the move to increase unemployment by automating the systems. The soft stand taken towards the issue of immigrants into America also contributes greatly toward unemployment and consequently, enlarging the gap between the rich and poor. If the rich class continue this charade of amassing individual wealth at the expense of the America citizens, there will soon be a situation where a minority of people are rich while the majority live in extreme poverty.