Robert Reich: The Real Lesson of Labor Day

Face it: The national economy isn’t escaping the gravitational pull of the Great Recession. None of the standard booster rockets are working. Near-zero short-term interest rates from the Fed, almost record-low borrowing costs in the bond market, a giant stimulus package, along with tax credits for small businesses that hire the long-term unemployed have all failed to do enough.

That’s because the real problem has to do with the structure of the economy, not the business cycle. No booster rocket can work unless consumers are able, at some point, to keep the economy moving on their own. But consumers no longer have the purchasing power to buy the goods and services they produce as workers; for some time now, their means haven’t kept up with what the growing economy could and should have been able to provide them.

Read the whole post here.

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   Let’s hope we doing

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    so-called “Big” Labor....Robert Reich’s analysis...crisis....

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    Jeremy Rifkin outlined

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    whole post here.

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    why “trickle-down economics” don’t work. Wealth doesn’t trickle down,...it disappears....

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