President Obama and other liberal politicians including Bernie Sanders and Patrick Leahy often talk about the declining middle class in our country.
When President Obama took office, the average price of gas in the
was $1.83 per gallon. It is more than double that today. The increase has the same effect as a regressive tax hitting the middle class particularly hard. U.S.
When Obama took office, the unemployment rate was just under 7.00%. Today it is 8.9% and likely to move higher. Even though the recession ended nearly two years ago in June, 2009, our economy is growing at a rate of only 1.8%. (Growth should be at least 3.5% if we are to reduce the unemployment rate.) There are now over 15 million people unemployed in the
, many of whom have not had a job in over 2 years. Most of the unemployed are (or were) middle class. U.S.
Most middle class families accumulate wealth by building equity in their homes. Under the Obama administration, this has not been possible because home values have declined as much as 50% in some states with few signs of recovery.
The profligate spending under the Obama administration has done little to stimulate our economy, but it has stimulated inflation. After nearly a decade of little or no inflation, we are now facing a significant rise in the rate of inflation showing up in food prices and other staples creating a particularly heavy burden for the middle class.
The purchasing power of the dollar has declined steadily under the Obama administration. It has declined 17.3% just since June of 2010. A weak dollar means that any products that we import including oil and foreign made cars will cost more…another “tax” on the middle class.
Obama policies call for advancing alternative energy, but because alternative energy is not economically viable it must be supported with tax subsidies and rate premiums to entice people to convert. The tax subsidies benefit only those higher income people who can afford these expensive alternatives, and the rate premiums paid by power companies for “net generation” are passed on to all rate payers hitting the middle class particularly hard.
Obama’s policy calling for the expansion of alternative fuels like ethanol require tax subsidies and to the extent that it creates artificial demand for corn, food prices for all corn-based food items are increased. This is a direct cost of living increase for the middle class.
Obama and other liberal politicians repeatedly lament the decline of the middle class, yet they pursue policies that are creating financial burdens that are reducing the standard of living of every member of the middle class.