American Society Status

Introduction

American society has been in constant phases of changes since long. The changes were most evident in the northern states, where the combined effects of the transportation revolution, urbanization, and the rise of manufacturing were keenly felt. In the northern cities, a small, wealthy percentage of the population controlled a large segment of the economy, while the working poor, whose numbers swelled by large-scale immigration, owned little or nothing. Despite the “rags-to-riches” stories that were popular during the period, wealth remained concentrated in the hands of those who already had it (Ayers, Gould, Oshinsky & Soderlund, pp 100 - 112). Opportunities for social mobility were limited, even though personal income was rising. Certainly there were craftsmen who entered the middle class by becoming factory managers or even owners, but many skilled workers found themselves as permanent wage earners with little hope for advancement (Goldman, pp 23 - 41).

Discussion

You may have missed it in the mainstream news media, but statistical societal indicators are reading red across the board (Ayers, Gould, Oshinsky & Soderlund, pp 100 - 112). Before exposing the root causes of this breakdown, let's look at some vital statistics and facts:

The inequality of wealth in the United States is soaring to an unprecedented level. The US already had the highest inequality of wealth in the industrialized world prior to the financial crisis. Since the crisis, which has hit the middle class and poor much harder than the top one percent, the gap between the top one percent and the remaining 99% of the US population has grown to a record high (North, pp 89 - 102).

As the stock market went over the 10,000 mark and just surged to a 13-month high, the three big banks that took taxpayer money and benefit the most from the government bailout have just set a new global economic record by issuing $30 billion in annual bonuses this year, “up 60 percent from last year.” Bloomberg reported: “Goldman Sachs, the most profitable securities firm in Wall Street history, had a record profit in the first nine months of this year and set aside $16.7 billion for compensation expenses.” Goldman Sachs is on pace for the best year in the firm's history, they are also benefiting by only paying 1% in taxes.

Workers between the age of 55 - 60, who have worked for 20 - 29 years, have lost an average of 25 percent off their 401k. During the same time period, the wealth of the 400 richest Americans went up by $30 billion, bringing their total combined wealth to $1.57 trillion (Ayers, Gould, Oshinsky & Soderlund, pp 100 - 112).

Home foreclosure filings “hit a record high in the third quarter [of 2009]… They were the worst three months of all time… 937,840 homes received a foreclosure letter” in this three month period. “3.4 million homes are expected to enter foreclosure by year's end, with some experts estimating that next year will be even worse.”

President Obama has enacted a $75 billion taxpayer funded program ...