Courtesy of Mish.
Debate rages over “income inequality”.
CEOs makes hundreds or thousands of times more than workers. That is one aspect of income inequality. And it’s easily explained: The Fed’s inflation policies, bank bailouts, Fractional Reserve Lending, and crony capitalism are to blame.
That blame is nonpartisan.
Rather than attack the problem, “progressive” partisans howl over minimum wages.
Democrat-Sponsored Income Inequality
There is one major aspect of “income inequality” that you never hear president Obama or the Democrats mention, precisely because they are to blame.
Democrat-sponsored “income inequality” is even more insidious because it directly affects middle-class American who pay high taxes so public employees can retire in comfort with gold-plated guaranteed-for-life pensions.
Gold-Plated Retirements
In support of my above thesis, please consider In San Jose, Generous Pensions for City Workers Come at Expense of Nearly All Else.
Here in the wealthy heart of Silicon Valley, the roads are pocked with potholes, the libraries are closed three days a week and a slew of city recreation centers have been handed over to nonprofit groups. Taxes have gone up even as city services are in decline, and Mayor Chuck Reed is worried.
The source of Reed’s troubles: gold-plated pensions that guarantee retired city workers as much as 90 percent of their former salaries. Retirement costs are eating up nearly a quarter of the city’s budget, forcing Reed (D) to skimp on everything else.
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