To the editor: Many people view our economy as “good” because of the reported low unemployment rate and the current healthy stock market reports. Perhaps this thought is delusional.
The low unemployment rate does not reflect income inequality. Realistically, the top 1/10th of a percent of the people received more than 90 percent of the income. Yes, “receive,” not “earn.”
Income among Americans is grossly unequal and unbalanced. This is a major problem. The income most frequently paid to Americans, referred to as the “modal income,” is significantly less than the “median,” or the middle income among workers. This signifies that although many people are employed, a huge segment of these people are working at poverty level and do not make a decent wage. This certainly does not support the fact or belief that our economy is in “good shape.”
The current stock market level is another delusion that many believe is a reflection of a sound economic state. The market, in its current ecstatic and jubilant mood, is a belief-driven creature. However, it has not yet internalized with Trump’s imposed and proposed tariffs, low wages and reflection of unreliable, unbalanced and erratic leadership. My thought (I learned this from business associates in the southern U.S.): “Katie, bar the door.”
Yes, there is trouble ahead! When the individuals or factors that control the market begin to swarm in different directions, like a flock of woodpeckers, people will want to know who is to blame. I wonder how far the people who use this measurement as a factor in economic characterization will fly, and where they will roost and hide?