New Gilded Age or New Era

The period from the end of the Civil War in 1865 until just after the turn of the century is known as the Gilded Age, it is the time of big railroads, big banks, and big steel. Men like J.P. Morgan and Andrew Mellon made themselves wealthy by monopolizing trade and corrupting government then built grandiose homes and earned the appellation robber baron. Economic inequality reached historic levels and children starved while Morgan and Mellon decided where to build their next 75 room mansions. Teddy Roosevelt earned a reputation as a trust buster through his efforts to curb the most egregious excesses of such men. Roosevelt didn’t attack all trusts or monopolies, only those he felt took excess profits and failed to provide good, efficient services or high quality products. While his public face was that of a protector of the common man he was very much a supporter of capitalism who believed that strong government provided necessary balance. Economic inequality continued to increase through the Roaring 20’s proving that Teddy Roosevelt didn’t go far enough.

Just two decades after Teddy Roosevelt’s presidency the national economy took a nose dive into what became known as the Great Depression. It took reformers like Teddy’s nephew Franklin Delano-Roosevelt and his vice-president, Texan John Nance Garner, to push back against the avarice of the robber barons’ successors and set the stage for the rapid growth in the middle class after the end of World War II. Roosevelt and Garner were forced to compromise with southern Democrats and withhold some of the protections and benefits from domestic help and farm workers, who were often minorities, in order to pass their legislation. Those left out were unable to fully enjoy the benefits of the vibrant economy.

Two decades later another reformer was needed and Texan Lyndon Johnson took up the banner to expand those benefits to the grandsons and grand-daughters of slaves and other minorities. Like all reformers before him he also had to be pushed by those who suffered under the existing system and he had to accept compromises in order to move forward.

While each of these great reformers efforts were necessary they have never been enough and soon after LBJ left office the legislation and regulations that protected the middle class were weakened or reversed. It has been 50 years since LBJ and once again economic inequality has reached record levels with just three men holding as much wealth as the bottom 50% of Americans combined.

In 2020 we have an opportunity to elect a reformer who will turn back the tide of avarice that threatens the fabric of our society and prevent another Gilded Age or Great Depression. I hope you watched the two nights of Democratic presidential candidate debates and recognized that some of them will move us forward while others just offer the status quo. Sanders, Warren, Harris and a few others offer a chance to restore balance to our economy. Biden, Hickenlooper and the rest would happily settle for scraps off the table of the new robber barons of Facebook, Amazon, and Apple.

Stop Bad Employers by Zeroing Out Subsidies

Recently Senator Bernie Sanders introduced a bill called the Stop Bad Employers by Zeroing Out Subsidies (Stop BEZOS) Act. The bill proposes to tax employers on the amount of public assistance their full time employees receive on a dollar for dollar basis. A prime example is an Amazon warehouse employee earning minimum wage or thereabouts which could qualify them for as much as $3,000 in public assistance. Since this essentially subsidizes the highly profitable company with taxpayer funds, money collected from you and me, Sanders’ bill would tax Amazon $3,000.

Of course the simple solution would be for Amazon, Walmart and other low wage employers to simply pay their employees a living wage which is in fact the goal of the bill as stated in the bill itself and pointed out by its author and supporters. The Stop BEZOS Act isn’t so much an attempt to tax low wage employers as it is an attention getting device intended to push for higher minimum wages and corporations taking responsibility for their employees. Congressman Ro Khanna filed companion legislation in the House known as the Corporate Responsibility and Taxpayer Protection Act and makes the point that “we need to make sure that everyone is participating in the economic success”.

Low pay isn’t the only area where Amazon, Walmart and numerous other highly profitable corporations need shaming. Amazon has been reported to keep ambulances on standby at warehouses where temperatures are so high that workers routinely pass out with heat stroke. Walmart has been cited repeatedly for cheating their employees on overtime by requiring them to clock out but locking them in the store until floors are clean and shelves are stocked. It isn’t just mammoth companies that make these unjust and often illegal demands of their employees, there are many small and medium size companies which use similar tactics to increase profits at the cost of their employees.

It’s not that Amazon or Walmart are inherently evil but they’ve been allowed to become major factors in the economy and the well-being of our nation without requiring them to be responsible corporate citizens. In the 1950s and 1960s the auto industry was a major factor in the economy and while they didn’t willing act responsibly the fact that much of their workforce was unionized put a leash on their worst behaviors which enabled assembly line workers and others to enjoy a good and healthy life with a decent retirement. Amazon, Walmart and so many others operate off the union leash and their stockholders are the only beneficiaries. You and I are forced to pick up the tab to keep those employees fed while Jeff Bezos spends his unjustly accumulated riches building rockets to take him into space.

I’m not so partisan as to say that Republicans are solely responsible for skewed distribution of wealth in this country as I’m quite aware that Democrats, in particular Bill Clinton, have done their fair share to yank the wheels off the cart. Nevertheless at least many Democratic officials recognize the problem and want to address it while I’ve never heard a Republican even admit that a problem exists. I think we all know that Alcoholics Anonymous maxim – the first step is recognizing you have a problem. So given that Democrats are beginning to recognize we have a problem it is in the best interests of all to insure they’re elected this November.

You can start by voting for Beto O’Rourke for US Senate and picking every Democrat down the list.