social programs

Posted: March 1, 2014
By: Clay Cerny

The former Secretary of Labor takes on those who claim that a raise in the minimum wage would be a “job killer.”  Instead, Reich, a trained economist, points out a simple fact:  economies grow when people spend.  People living on $7.25 an hour can only cover essentials, and often can only do so with the help of safety net programs, which are being cut.  Reich points out that Walmart could have raised the wages of its $9 an hour employees to $15 by using the money spent buying back stock on salary.

If we want more jobs and higher wages, we need more spending (and less billionaire greed).  Raising the minimum wage (and extending unemployment benefits) would give working class people discretionary income.  As they spend more, companies will need more workers to make and sell things.  Reich is outlining common sense.  Opponents of the minimum wage have no good data to support their claims, so they rely on fear-based rhetoric like “job killer.”  They used the same language to demonize the Affordable Care Act.  I’m with Reich and President Obama:  “America needs a raise.”

Three cheers to Common Dreams for giving thinkers like Reich a platform that is not found in the corporate media (which includes PBS).

Posted: February 12, 2014
By: Clay Cerny

Conservatives like to beat the drum of American Exceptionalism.  Then they do everything to make that term a big joke.  Laura Clawson of Daily Kos examines national rates for the minimum wage.  American is nowhere close to being exceptional.  Australia, France, Canada, and several other developed countries have a higher minimum wage.  Clawson points out that the U.S. has to use social programs to supplement wages of low paid workers.  In essence, this means that those who make more than the minimum wage are subsidizing companies that pay the minimum wage.  The next time you hear someone complain about government programs, please remind that person that many of the people getting those benefits work.  The real winner is the corporations that pay low wages.  The real problem is corporate welfare.

Posted: October 2, 2012
By: Clay Cerny

Writing in Think Progress, Pat Garafalo reports that billionaire Sam Zell blamed growing poverty and income inequality on social programs that are “deincentivizing” the poor.  Zell said that rather than blame the 1%, we should focus on programs that give people something for nothing.

Maybe Mr. Zell should look at bankruptcy laws that have let his Tribune Corporation get out of liabilities while paying bonuses to executives.  The same laws are written to trap working people and the poor in debt to banks for credit card balances and student loans.  Why is there one standard for billionaire-owned corporations and another for working people?  Isn’t that welfare for the wealthy?

Working people and the middle class should stop buying Zell’s newspapers, listening to his radio stations, and watching his TV stations.  He doesn’t deserve our support.