Please share and comment, it’s how we all can learn something

“Follow the Money”

Deepthroat (FBI source to Woodward and Bernstein about watergate)

What was true then is still true today. I’ve been struggling with trying to understand the MAGA phenomenon. Not the fanatical lower-income people who are desperate for what they perceive as a better time in the past—which has some validity, as I will explain—but the powerful, uber-wealthy who continue (at least so far) supporting the former President.

And it really is simple: it is all about the money.

Now, while I am about to throw out many numbers, the math is elementary.

In 1956, the year I was born, the minimum wage was $0.25/hour. The equivalent of $9.81 in today’s dollars when adjusted for inflation.

As the graphic below illustrates, the purchasing power of $100.00 in 1956 now buys $11.24 in today’s dollars.

https://www.in2013dollars.com/us/inflation/1956

In 1971, the year I started working (washing dishes at the Admiral Inn restaurant in Cumberland, RI) the minimum wage was $1.60. The equivalent of $10.57 in today’s dollars.

Year	Minium Wage $	Equivalent 2023 dollars
1973	1.60	9.88
1974	2.00	11.29
1981	3.35	10.13
1985	3.35	8.35
1986	3.35	8.04
1987	3.35	7.92
1988	3.35	7.62
1989	3.35	8.35
1991	4.25	8.30
1998	5.15	8.38
2001	5.15	7.62
2008	6.55	8.16
2009	7.25	9.03

https://www.chicagotribune.com/featured/sns-minimum-wage-worth-value-living-wage-year-you-were-born-20210405-avg3tjkmynfdldepxvwg6dtniq-photogallery.html

The current wage remains at $7.25, the longest period of time since an adjustment. How many people who were working in 2009 are earning the same amount of money for the same job?

Adjusted for inflation, the buying power of one hour of labor in 1956 is equal to $81.48 in today’s dollars. In other words, to achieve the same buying power of one hour of work in 1956, someone has to work 11.23 hours.

According to federal guidelines, the poverty level for a family of two is $16,500.00. Working full-time, 40 hours X 52 weeks, would earn $15,080.00.

Now the most common argument is we do not intend minimum wage for those out in the workforce supporting families, it is entry-level positions.

Let’s, for the sake of argument, accept that premise. Isn’t fair to say that, given that entry level people should earn at least a comparably decent wage to 1956, minimum wage should have at least paced inflation? It has not.

The missing part of the argument, which diminishes its accuracy, is the cost of that labor to the companies paying it.

In 1956 employers absorbed the minimum wage as a cost of doing business. If we look at the numbers a different way (1 hour of work in 1956 is equal to $81.48 in today’s dollars) the cost of one hour’s labor to an employer is 8% of what it was in 1956.

Because minimum wage did not pace inflation, labor is cheaper yet overall consumer costs are higher because they did pace inflation. Where did the difference go? Profits and executive compensation.

Herein lies the absolute truth in the statement, follow the money.

Most Republicans, and a significant number of Democrats, are under the control of big business and well-funded PACs. The Citizen’s United decision enslaved our government to those with the money to fund elections and seek concessions.

Most MAGA supporters are being fooled into thinking Mr. Trump is the champion of the little guy. He had four years, with an initially friendly Congress, to raise the minimum wage yet did nothing. Those who are sending in their $5, $10, $25 contributions (mostly to pay legal bills not fund a reelection campaign) can’t see their own buying power sacrificed to the altar of corporate profits.

Clearly, big business has a vested interest in a more compliant Congress and White House, Biden’s support of an immediate $15.00 minimum wage increase rising to $17.25 in 2025 is anathema to their bottom line.

The wealth gap, the difference between the amount of wealth held by a small percentage of people and the rest of Americans, has grown every year since the Reagan decade. The ratio of CEO compensation to worker compensation has grown astronomically.

So all you have to do is follow the money. Right now, Mr. Trump poses a quandary for those in the upper echelons of the wealthy minority. If convicted he cannot offer them anything. So for now they are hedging their bets.

But just monitor where the corporate and PAC donations head, both at the national level for President and the more local Congressional races, and you’ll be able to figure out who is in their grasp and who is not.

If we need to “Make America Great Again” wouldn’t a good start be to bring the minimum wage up to a level equal to 1956? If the nostalgia for those days is a justification for anything, that would be a grand statement.

The infusion of fresh blood, so desperately needed, can address the more complicated issues, the incestuous nature of politicians, money, and influence.

One of the arguments in support of Mr. Trump is that he is an outsider, a business man who will bring a business-like approach to government. I suppose if chaos is a successful business plan, January 2017 to January 2021 was a resounding success. In particular, the “peaceful” celebration of the peaceful transfer of power on January 6, 2021.

Plus, an in-depth look at his business history (who bankrupts a Casino?) shows a less than stellar success pattern.

Nothing should be more of a warning against electing someone to national office than the idea they are “business” oriented. Business is necessary and an elemental part of capitalism. But those in government, whose vision of government service is working toward balancing the common good of the people against those who seek only to profit at their expense, must not think of government as a zero sum game where profit is the motive..

While I believe there is no other choice than supporting the current President in a repeat of the 2020 election, out of a country of 300 million people there has to be someone with at least more dependable longevity we can look to for leadership at the national level. As it stands right now, Congress and the Presidency inhabit the most exclusive nursing home in the world.

JEBWizard Publishing (www.jebwizardpublishing.com) is a hybrid publishing company focusing on new and emerging authors. We offer a full range of customized publishing services. Everyone has a story to tell, let us help you share it with the world. We turn publishing dreams into a reality. For more information and manuscript submission guidelines contact us at info@jebwizardpublishing.com or 401-533-3988.