A raving leftist wrote that Ronald Reagan and Alan Greenspan pulled off the greatest fraud ever perpetrated against the American people but we know better. Yes, Social Security taxes were raised ostensibly to fund the retirements of the baby boomers but they would have wasted the surplus. Reagan and Greenspan gave it to the truly deserving, the job creators, to invest. And so they did. They created millions of jobs and economic growth at a rate that stunned the world.
There are now 63,000 people worldwide with $100m or more in assets, according to Ledbury Research, which specialises in monitoring global wealth trends. The number of these centa-millionaires has increased by 29% since 2006 and is forecast to rise even further. ...Billions upon billions of dollars were made by stripping assets and pensions from corporations with uncompetitively high American labor costs and building new factories in China where labor was cheap. And the beauty of it all was that the capital gains from these investments was cut to 15%. Businesses in the U.S. could then pit laid off workers against their labor force to further cut costs! Then the job creators could build more factories in India, China and anywhere where cheap labor could be found, with the profits.
Our global HNWI data also indicates a shifting emphasis to the East. There are now 18,000 centa-millionaires in the region covering South-East Asia, China and Japan. This is more than North America, which has 17,000, and Western Europe with 14,000.
There was this little problem, the U.S. middle class consumer was getting squeezed, but Greenspan and the banks had the fix. Chinese companies and the job creators had trillions of excess dollars so they could lend it back to American consumers. What's not to love? Money banks get for zero percent interest can get a fabulous return by charging 12%, 18% or 23% on consumer credit cards depending on how worthy the consumer is. Naturally the working stiff pays the most because working stiffs are not credit worthy.
Well, there was a little financial burp, but that worked out well, didn't it. The Dow is at a record high and still going up. And by 2016 there will be more richly deserving centimillionaires than ever.
By 2016, Ledbury Research expects that this region will have extended its lead, with 26,000 centamillionaires, compared with 21,000 in North America and 15,000 in Western Europe.Now the baby boomers are retiring and the Social Security surplus is gone. That means there's no surplus to divert to fund the general revenue of the government. This is a crisis. Middle and working class wages are down. They can't make up the difference. It's no longer possible to cover the tax cuts for the job creators by the Social Security so obviously we need to cut government spending and reform Social Security. We wouldn't want the job creators to stop creating jobs because we raised their taxes.