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But it was during the period of WWI and WWII that America became a super power. The syphoning of wealth from the general populace will ensure that America will
by tankenmate 15y ago
But it was during the period of WWI and WWII that America became a super power. The syphoning of wealth from the general populace will ensure that America will no longer be a super power any more given a generation or so. America is repeating the economic history of a number of past empires; once the overall growth goes the rich try to take a bigger slice to keep their relative growth up, which leads to collapse. The transition of wealth to other countries like China has already begun.
If you have a look at the graph you'll see that in the 40' the top 95% was approximately 4 times the 20% line, by the end of the graph that is approximately 8x, so the ratio doesn't hold at all. Have a look at http://en.wikipedia.org/wiki/Gini_coefficient http://en.wikipedia.org/wiki/Gini_coefficient and you'll see that the Gini index in the US has been steadily increasing, boiling frog style, since the 80's. I wouldn't be surprised if the US's Gini index was worse than Mexico by these days (i.e. the US has a bigger problem with the _relatively_ poor than Mexico).
If you look at the colour coded map of the world you'll see that Europe's socialist states, basically all of them, have less of a problem with the relative poor.