In this clip, Nobel-prize winning economist Joseph Stiglitz is asked whether there is really such a thing as the “American Dream”, and his answer a damning indictment of our “failed system” of trickle-down Reaganomics that has left workers out in the cold while coddling billionaires and large corporations.
Stiglitz explains that “the median income of a full time male worker is lower than it was 40 years ago, so we’ve had a generation of stagnation. We’ve seen World Bank figures show that between 1988 and 2008, we saw that the top 1% [of people] saw their income grow by 60%, and the bottom 5% [of people] didn’t see anything at all. Between 2009-2012, 95% of all the gains in the US went to the top 1%. Even if you don’t see it from a moral point of view, it means our economic system is not working, and it contributes to the poor economic performance. This should be viewed as totally unacceptable!”
The host of CNN Money, Nina dos Santos, agreed, pointing out “This problem should have been raised five or six years ago! Because now that we’re in the process of a recovery, people are not seeing their salaries recover at the bottom or even the middle of the pile anywhere near to the same extent as those at the top of the ladder.”
Stiglitz then turned to the now utterly debunked theory of trickle-down Reagaonomics: “When we did things like bail out the bankers poured money into the top, the assumption everybody made was that it would trickle down but the history of evidence, theory, is that that doesn’t happen.”
The evidence that the Republican vision of economics is fatally flawed is too great to ignore, yet they keep trumpeting it to cement the status quo and cripple the working families of America forever. Even Nobel-prize winners see it for what it really is.
Watch it here:
Opinion columnist and former editor-in-chief of Occupy Democrats. He graduated from Bennington College with a Bachelor's degree in history and political science. He now focuses on advancing the cause of social justice and equality in America.