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April 9, 2014

Jonathan Tobin: Why Did Kerry Lie About Israeli Blame?

Samuel G. Freedman: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Jessica Ivins: A resolution 70 years later for a father's unsettling legacy of ashes from Dachau

Kim Giles: Asking for help is not weakness

Kathy Kristof and Barbara Hoch Marcus: 7 Great Growth Israeli Stocks

Matthew Mientka: How Beans, Peas, And Chickpeas Cleanse Bad Cholesterol and Lowers Risk of Heart Disease

Sabrina Bachai: 5 At-Home Treatments For Headaches

The Kosher Gourmet by Daniel Neman Have yourself a matzo ball: The secrets bubby never told you and recipes she could have never imagined

April 8, 2014

Lori Nawyn: At Your Wit's End and Back: Finding Peace

Susan B. Garland and Rachel L. Sheedy: Strategies Married Couples Can Use to Boost Benefits

David Muhlbaum: Smart Tax Deductions Non-Itemizers Can Claim

Jill Weisenberger, M.S., R.D.N., C.D.E : Before You Lose Your Mental Edge

Dana Dovey: Coffee Drinkers Rejoice! Your Cup Of Joe Can Prevent Death From Liver Disease

Chris Weller: Electric 'Thinking Cap' Puts Your Brain Power Into High Gear

The Kosher Gourmet by Marlene Parrish A gift of hazelnuts keeps giving --- for a variety of nutty recipes: Entree, side, soup, dessert

April 4, 2014

Rabbi David Gutterman: The Word for Nothing Means Everything

Charles Krauthammer: Kerry's folly, Chapter 3

Amy Peterson: A life of love: How to build lasting relationships with your children

John Ericson: Older Women: Save Your Heart, Prevent Stroke Don't Drink Diet

John Ericson: Why 50 million Americans will still have spring allergies after taking meds

Cameron Huddleston: Best and Worst Buys of April 2014

Stacy Rapacon: Great Mutual Funds for Young Investors

Sarah Boesveld: Teacher keeps promise to mail thousands of former students letters written by their past selves

The Kosher Gourmet by Sharon Thompson Anyone can make a salad, you say. But can they make a great salad? (SECRETS, TESTED TECHNIQUES + 4 RECIPES, INCLUDING DRESSINGS)

April 2, 2014

Paul Greenberg: Death and joy in the spring

Dan Barry: Should South Carolina Jews be forced to maintain this chimney built by Germans serving the Nazis?

Mayra Bitsko: Save me! An alien took over my child's personality

Frank Clayton: Get happy: 20 scientifically proven happiness activities

Susan Scutti: It's Genetic! Obesity and the 'Carb Breakdown' Gene

Lecia Bushak: Why Hand Sanitizer May Actually Harm Your Health

Stacy Rapacon: Great Funds You Can Own for $500 or Less

Cameron Huddleston: 7 Ways to Save on Home Decor

The Kosher Gourmet by Steve Petusevsky Exploring ingredients as edible-stuffed containers (TWO RECIPES + TIPS & TECHINQUES)

Jewish World Review Sept. 26, 2013/ 22 Tishrei, 5774

The late, great middle class

By Victor Davis Hanson



http://www.JewishWorldReview.com | The American middle class, like the American economy in general, is ailing. Labor-force participation has hit a 35-year low.

Median household income is lower than it was five years ago. Only the top 5 percent of households have seen their incomes rise under President Obama.

Commuters are paying more than twice as much for gas as they were in 2008. Federal payouts for food stamps, unemployment insurance and disability insurance have reached unprecedented levels.

Meanwhile, the country is still running near-record budget deficits and is burdened by $17 trillion in aggregate debt. Yet the stock market is soaring.

How can we make sense of all this contradictory nonsense? Irony.

Obama promised to restore the middle class. In truth, he has enacted the very policies that have done it the most damage in years. That paradox may explain why his base of support remains the very rich and the very poor. Goldman Sachs, federal bureaucrats and aid recipients are helped in a way that the strapped hardware store owner, Starbucks barista and part-time welder are not.

For all the talk of infrastructure or stimulus, the latest $6 trillion in federal borrowing seems to have been wasted on bailing out insider banks and green companies, growing the federal workforce, regulating the private sector into stasis, and subsidizing those who are not working.



The Federal Reserve still keeps interest rates at near zero. That mostly helps Wall Street, where money flows madly in search of any sort of return.

Most real interest rates for consumer purchases somehow remain exorbitant. Banks obtain their money cheaply and lend it out expensively. No wonder that so many Wall Street and banking executives -- Timothy Geithner, Jack Lew, Peter Orszag, Gene Sperling, Larry Summers -- revolve in and out of the highest levels of this "no revolving door" administration.

Middle-class workers see little chance of retiring when their meager savings earn almost no interest, so they are apt to stay on the job longer. In circular fashion, their continuance only makes unemployment rates for young entry-level workers even worse.

Obama always threatened higher taxes on the well-off. He achieved that goal with a new 39.6 percent federal rate on upper incomes -- well apart from state and payroll taxes. Yet such steep taxes do not much affect the super-rich. Their income is often exempted through sophisticated tax-avoidance or, more often, earned through less taxed capital gains.

Small employers in many states have no such recourse and now pay more than half their incomes in assorted federal, state and local taxes. Naturally, they are hiring fewer people and making fewer capital investments.

That greater tax hit might have been worth it had the new rates been part of a balanced-budget agreement like the Bill Clinton-Newt Gingrich deal of 1997 that froze spending levels and for a time stopped our ruinous borrowing.

Not this time. We end up with the worst of all worlds: once again a 39 percent top tax rate, but now with out-of-control federal spending and more multibillion-dollar budget deficits.

By virtually shutting down gas and oil leases on federal lands, the administration has declined the chance to create millions of new energy jobs and to lower fuel prices. For now, cheaper power bills and gasoline prices, and the creation of more jobs in energy, depend entirely on those who drill on private lands -- despite, not because, of federal efforts.

Even the many sires of Obamacare now deny their past parentage. Unions want out of it. Congress demands exclusion from it. Well-connected businesses won exemption from it.

The poor who mostly do not pay federal income taxes will get a largely free, bureaucratized federal health-care system. Many of the rich praise Obamacare but will quietly use their own money to avoid it. The middle class will see their premiums soar and the quality of their coverage erode.

These are surreal times. Wealthy elites who help to shut down jobs in energy, timber and mining are deemed liberal -- but not always so the middle classes, who suffer the consequences in lost jobs and higher prices.

Universities voice progressive bromides, but they care mostly for the tenured and the technocrat, not the part-timer and the indebted student. Despite soaring tuition, campus is now the haunt of the very wealthy who can afford exorbitant tuition and the very poor who are often exempted from it. The less romantic middle class goes $1 trillion into debt for their high-interest student loans.

Never has it been so good to be invested in a vastly expanding federal government -- either to distribute or receive federal subsidies. Never has it been so lucrative to work in banking or on Wall Street. And never has it been so bad to try to find a decent job making something real.

To paraphrase the Roman historian Tacitus, where we have made a desert of the middle class, we call it a recovery.

Every weekday JewishWorldReview.com publishes what many in the media and Washington consider "must-reading". Sign up for the daily JWR update. It's free. Just click here.

Victor Davis Hanson, a classicist and military historian, is a senior fellow at the Hoover Institution and a recipient of the 2007 National Humanities Medal. Comment by clicking here.


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