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The One Chart That George Washington Would Not Want To See

Tyler Durden's picture




 

We discussed the inflationary costs and deflationary benefits of government action or inaction earlier - specifically with regard to the middle class. Bloomberg TV provided a succinct clip this morning that showed the one chart that Obama (and also Romney just as likely) would really not like to see. Loosely defined as lying between the ruling class and the proletariat, it would seem that George Washington himself would be distraught as the median net worth of the middle class has plunged 28% since 2000 back to early 90s levels (while the ruling class is up around 1%) and the lower tier down around 45%. Forget the lost decade, watch these 90 seconds to get a clue and see that Japan is not the only nation suffering under 20 years of subjugation.

 

 

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Tue, 09/18/2012 - 14:50 | 2808030 ejmoosa
ejmoosa's picture

Wealth destruction is plan B.  Wealth Redistribution was plan A.

 

Tue, 09/18/2012 - 14:50 | 2808039 Lohn Jocke
Lohn Jocke's picture

And people have the balls to say that he didn't deliver change.

Tue, 09/18/2012 - 14:54 | 2808060 kaiserhoff
kaiserhoff's picture

Something bizarre and important is going on.  I realized a couple of days ago, that I could count the number of bumper stickers I have seen for both candidates ON ONE HAND.

It may be that people made their decision on this one long ago..., or maybe like many of us, they are simply making other arrangements.

Tue, 09/18/2012 - 15:20 | 2808170 krispkritter
krispkritter's picture

I actually saw more Ron Paul signs this year than I've seen for these other two bozos up til now.  There's still a few large RP signs up on some farms nearby...

Tue, 09/18/2012 - 15:55 | 2808301 CrockettAlmanac.com
CrockettAlmanac.com's picture

My Ron Paul sign is still up. Mom's was stolen a few weeks back. Got to take her my spare as well as a new Gadsden.

Tue, 09/18/2012 - 15:25 | 2808196 Joe Davola
Joe Davola's picture

It would be hard to fit But it would have been worse had I not been elected and keep it readable.

 

Tue, 09/18/2012 - 15:30 | 2808213 Think for yourself
Think for yourself's picture

Did you pay attention to the last few seconds of the video?
Beautiful!

- Host: "[...] that is something which we parents are always concerned about, that our kids are not ..."
- Guest (interrupting): "Doomed?" 

Tue, 09/18/2012 - 16:14 | 2808345 Lore
Lore's picture

Actually it was "We do?"

Tue, 09/18/2012 - 18:39 | 2808776 Think for yourself
Think for yourself's picture

Damn! I've listened to it again and you're right. It seems like my brain might've freudian slip'd on the interpretation. Still, it was also a truth in itself :)

Tue, 09/18/2012 - 22:37 | 2809581 cynicalskeptic
cynicalskeptic's picture

On a planet with finite resources and a GROWING population it is IMPOSSIBLE for each succeeding generation to be 'better off' than the previous one - UNLESS you have a massive reduction in population like the Black Death where assets of many are 'redistributed' to fewer (the survivors inheriting the assets of the dead).  Technological progress  and the reduction in manufacturing costs improved the overall lifestyle of many but this was mainly due to CHEAP ENERGY - and is really restricted to the past 2 centuries.  This was an anamoly in the history of the world - one we squandered.

Truth is that even starting ouit with the same assets and advantages, there are always those who will do 'better' and those who will do 'worse'.  Get a good education, wait to have children and have fewer of them stay married and you will be better off that your less educated relatives who had large families starting young who got divorced. First hand experience and a HUGE gap.

 

The question is:  Does society provide a minimum 'safety net' for those who (often through no fault of their own) end up at the lower end of the income or wealth curve.  

And does society provide equal - or 'more equal' OPPORTUNITY for ALL or does it revert to a gorwing divide between 'haves and 'have-nots'?

 

The reality is tht there is enough total wealth on earth to make it possible for EVERY person (even at theis population level) to have potable water and adequate food.  Ther is NOT enough wealth for everyone to live a typical American 'middle class' life - with house, car, appliances et al.   

Tue, 09/18/2012 - 15:31 | 2808220 lemonobrien
lemonobrien's picture

we know both niggas is against us; out of all the persidents, Obama proved the presidency doesn't mean nothing. "close gruantanamo", "end  the wars", "reduce the deficit".

Tue, 09/18/2012 - 15:54 | 2808299 TonyCoitus
TonyCoitus's picture

I have not seen ONE Obama placard sign.  Not ONE!

 

A few Romney signs, but not many.

 

The election is just seven weeks from today.

 

Maybe somebody has stolen all the ink?

Tue, 09/18/2012 - 17:36 | 2808579 ersatzteil
ersatzteil's picture

The ink supply has been allocated to printing moneyz - cartridges are being rationed at office supply stores as we speak.

Tue, 09/18/2012 - 17:41 | 2808596 sgt_doom
sgt_doom's picture

Yo, kaiserhoff, according to USA Today polls (and I never read that putrid rag, so I can't vouch for them), a sizable proportion of Americans are thoroughly dissatisified with both candidates.

Last week I heard 28 different people on various American news outlets, all possessing college degrees, some with advanced degrees, who all claimed that we live in a "consumer-based economy" --- guess arithmetic wasn't on their education list?

Either everyone's retarded, or a bunch still don't get it:

We don't live in a consumer-based economy when only the top 20% are responsible for that 70% consumption figure --- which only makes sense given that the top 5 banks now make up the majority of the American GDP --- the natural outcome of super-concentrated wealth.

Hence, we live in a fantasy-finance based economy.

Why this isn't obvious to all by this time ......?

last chance for America:

Vote Dr. Jill Stein of the Green Party, or lotsa luck to the rest of us....

Tue, 09/18/2012 - 14:58 | 2808075 LMAOLORI
LMAOLORI's picture

 

Oh come on now that's not entirely true he delivered Change for the Worse

More Evidence of Failure of Obama’s Policies: Census Data Shows Median Incomes Fall, Income Disparity Rises

Matt Stoller pointed out that income disparity, which is associated strongly with negative social indicators (crime rates, poor health outcomes) as well as lower growth, rose faster under Obama than Bush.


Read more at http://www.nakedcapitalism.com/2012/09/more-evidence-of-failure-of-obamas-policies-census-data-shows-median-incomes-fall-income-disparity-rises.html#IABwv2eR7DOBom1V.99

Tue, 09/18/2012 - 15:12 | 2808127 Hype Alert
Hype Alert's picture

They don't want wealth.  Below the elite, they want a working class. 

Tue, 09/18/2012 - 15:27 | 2808201 Manthong
Manthong's picture

Yeah, at least we have added a dozen million or so new lower class and illegal voters to help the democratic process along.

Tue, 09/18/2012 - 14:49 | 2808032 williambanzai7
williambanzai7's picture

QE ZOMBIE MEETS GODZILLA

Tue, 09/18/2012 - 14:50 | 2808037 WALLST8MY8BALL
WALLST8MY8BALL's picture

GO GO GODZILLA!

Tue, 09/18/2012 - 16:00 | 2808316 Ness.
Ness.'s picture

Love it WB7!!

 

Reminded me of an old Blue Oyster Cult song...

 

http://www.youtube.com/watch?v=k6rDWqjnW7w

Tue, 09/18/2012 - 16:16 | 2808350 ZakuKommander
ZakuKommander's picture

Best Godzilla scene . . . evah (and perhaps a parable on Hope and Change).

http://www.youtube.com/watch?v=c6721mE_Zns

Tue, 09/18/2012 - 14:50 | 2808040 malikai
malikai's picture

"The middle class"

How quaint.

Tue, 09/18/2012 - 14:51 | 2808045 Jason T
Jason T's picture

He loves this?? WTF  0:26

Tue, 09/18/2012 - 15:05 | 2808102 Hype Alert
Hype Alert's picture

He's a big Krugman fan and Krugman wants to destroy wealth.

Tue, 09/18/2012 - 20:05 | 2809036 Peter Pan
Peter Pan's picture

If government keeps growing the nation will shrink.

Tue, 09/18/2012 - 15:59 | 2808314 CrockettAlmanac.com
CrockettAlmanac.com's picture

He was glad to see that others were presenting data which supported his position.

Tue, 09/18/2012 - 14:55 | 2808050 Jlmadyson
Jlmadyson's picture

Pew: Median Income Worse Now than During the Great Recession.

http://washington.cbslocal.com/2012/09/18/report-median-income-worse-now...

Not only that but the drop during the last few years is as great as the drop in the recession.

Thought the recession ended 3 years ago? If it is not helping households then what is this so called recovery helping.

The Krugsters and Dudleys of the World need to explain the magical QE math on this one.

Tue, 09/18/2012 - 14:55 | 2808063 random thoughts
random thoughts's picture

Just wondering what you mean by "ruling class".  The top 1% of income earners every year includes a very large number of people for whom entry into the club is a one-year visit.  People like small business owners who sell their businesses, or the secretaries at Microsoft who sell their lifetime's worth of options.  I assume that by "ruling class" you are referring to the John Corzines, lobbyists and others who game the system.  Don't mistake the top 1% of income earners for the "ruling class".  They are different beasts altogether.

Tue, 09/18/2012 - 14:57 | 2808072 q99x2
q99x2's picture

The George Wash would recognise this as more fuel to sustain the revolution.

Tue, 09/18/2012 - 14:58 | 2808073 Rainman
Rainman's picture

This is bullish for double wides and trailer parks.

Tue, 09/18/2012 - 15:51 | 2808292 Sancho Ponzi
Sancho Ponzi's picture

That would make the 'Oligarch of Omaha' happy.

Tue, 09/18/2012 - 16:22 | 2808372 LMAOLORI
LMAOLORI's picture

 

No doubt and that evil little bazztard soro's as well

Buffett’s Betrayal

Tue, 09/18/2012 - 15:02 | 2808086 Hohum
Hohum's picture

The 18th century George Washington would say, "what's a middle class?"

Tue, 09/18/2012 - 15:38 | 2808247 Belarusian Bull
Belarusian Bull's picture

In those times, middle class were probably heavily wounded, since they are not dead yet, but not really alive as well.

Tue, 09/18/2012 - 15:04 | 2808091 Cognitive Dissonance
Cognitive Dissonance's picture

Let's have a national yard sale. I promise to barter for your used shit if you'll barter for mine.

BTW how much for that doggie in the window? Does it come fixed?

<If wealth re-distribution is the plan, let's re-distribute to ourselves.>

Tue, 09/18/2012 - 16:30 | 2808392 NotApplicable
NotApplicable's picture

Fuck 'em, and their law!

Tue, 09/18/2012 - 15:28 | 2808204 MayIMommaDogFac...
MayIMommaDogFace2theBananaPatch's picture

Have you got LAYAWAY?

Chris Rock as "Cheap Pete"

Tue, 09/18/2012 - 15:07 | 2808104 TheSilverJournal
TheSilverJournal's picture

Imagine if inflation was actually calculated correctly...

Tue, 09/18/2012 - 15:10 | 2808106 Mercury
Mercury's picture

Bloomberg TV provided a succinct clip this morning that showed the one chart that Obama (and also Romney just as likely) would really not like to see. Loosely defined as lying between the ruling class and the proletariat, it would seem that George Washington himself would be distraught as the median net worth of the middle class has plunged 28% since 2000...

No, if you want to grow government you want the net worth of the voting majority to plummet so that they are most dependant on government.

Tue, 09/18/2012 - 15:13 | 2808130 Temporalist
Temporalist's picture

Well that would also include driving poor, uneducated and feebleminded people into the armed forces because they have little to no alternative.  Poor people make the most abundant cannon fodder.

Tue, 09/18/2012 - 15:41 | 2808152 Mercury
Mercury's picture

Driving them to the voting booth is good enough. 

You serve your country these days by voting for more government.  They'll take care of the rest.

Besides, today's US military has standards which a very large percentage of Americans can't measure up to. The days of maintaining pack animals, pulling on ropes and twenty thousand men charging across a field at once are over.

Tue, 09/18/2012 - 16:34 | 2808413 JohnG
JohnG's picture

My grandson (in law....I don't claim the moron) tried to enlist.  The army refused because he had no HS diploma.

He works in a car wash.

Tue, 09/18/2012 - 16:53 | 2808465 kaiserhoff
kaiserhoff's picture

No problemo John.  Just tell him to claim degrees from Occidental, Columbia, and Hahvud.  They don't give out no information bout nobody;)

Tue, 09/18/2012 - 15:09 | 2808108 10mm
10mm's picture

If George was here to see all this "SHIT" set of systems,he would asked to be beamed back ASAP.

Tue, 09/18/2012 - 15:08 | 2808109 Temporalist
Temporalist's picture

I know how to solve this.  People have to eat every day.  Cut that in half.  Boom!  Instant recovery and everyone has mo' money.

Make it rain Ben!  Make it rain!

Tue, 09/18/2012 - 15:11 | 2808118 Undecided
Undecided's picture

I would be very wealthy if i had those two anchors on my lap :)

Tue, 09/18/2012 - 15:11 | 2808120 kralizec
kralizec's picture

This is chart is obviously racist.  Everybody knows Obama is all about supporting the middle class and sticking it to all those rich, white cracker SOB's!  So stop posting racist charts Tyler and start saying nasty things about Romney!  Stick to the script!

/Sarc off

Tue, 09/18/2012 - 15:14 | 2808132 AldoHux_IV
AldoHux_IV's picture

It's cute to hear media talk about the middle class-- almost waiting for them to say peasants by accident.

Tue, 09/18/2012 - 15:37 | 2808144 socalbeach
socalbeach's picture

<== Obama is hurting the middle class and America, and nobody could be worse.

<== Romney would be worse than Obama for the middle class and America.

                    0     <== Both Obama and Romney are loyal Americans who have the interests of the middle class at heart.

Tue, 09/18/2012 - 15:20 | 2808172 hustler etiquette
hustler etiquette's picture

I've been a visitor to this site for years, yet no matter the browser i use, the right side of any media is blocked by ad space. any way around this?

Tue, 09/18/2012 - 15:24 | 2808190 krispkritter
krispkritter's picture

Ctrl key and the scroll button on your mouse or the + or - key on the keyboard will resize the browser window. Ctrl-0 (zero) will restore it.  Or you can maximize the video or open it in another window/tab.

Tue, 09/18/2012 - 16:28 | 2808385 LMAOLORI
LMAOLORI's picture

 

 

You can get an extension free AdBlock and block all the ads if you use google chrome I'm not sure about other browsers I stopped using them.

Tue, 09/18/2012 - 15:22 | 2808180 Cursive
Cursive's picture

Wealth destruction is one thing, but real incomes are another and real incomes for median families are back down *officially* to 1989.  That's 23 years of sucking ass with your paycheck.

Tue, 09/18/2012 - 18:06 | 2808691 Esso
Esso's picture

"...real incomes for median families are back down *officially* to 1989."

I'd guess in the real world, incomes have been dropping since about 1972 in Uhmerikka.

Tue, 09/18/2012 - 18:46 | 2808791 Son of Loki
Son of Loki's picture

Just another reason why house prices will not stop their downward trend and stabilize.

This will go on for 10, maybe 20 years.  Look at Japan.

Tue, 09/18/2012 - 15:50 | 2808199 THE DORK OF CORK
THE DORK OF CORK's picture

If the US economy was working for people in Vermont they would have enough tokens to get a train to NY or DC but not a car or plane.

en.wikipedia.org/wiki/St._Albans_(Amtrak_station)

 

 

A decline of 13% to a amazing 3,023 in Y2011 , I mean come on !!! 3,023 people used the fucking train station !!

This is a combined monetary & private ownership of the commons crisis.

All of the input /output signals are fucked up.

This is not a oil / energy crisis.

This is a free banking malinvestment crisis.

 

Meanwhile in the land of almost free Kerosene

Burlington International Airport (April 2011 - March 2012) destinations out.. 

To

JFK : 170,000 passengers

Newark LGA : 36,000

Wash DC  IAD :54,000

Wash DC DCA : 52,000

 

Go figure ..........

Yee are wasting energy that could do some usefull work otherwise.

Its a waste based system.

Why ?

Because the money is fully privatised - it turns waste into interest............simple.

Now it is having difficulty turning the waste into interest as there is now very little to waste under the current monetary system.

 

Tue, 09/18/2012 - 20:19 | 2809082 Umh
Umh's picture

I can only say that the trains are so bad that people would rather stand in line to be groped and bullied than take a train. Many years ago I took a train from the mid atlantic to the deep south and it was an enjoyable experience. You have to remember that at 18 I wasn't carrying a lot of baggage and had no schedule to follow whereas today my wife packs for every possibility and this influences my opinion. There are still places in the US where flying is not a realistic option; it can take longer to fly 600 miles than to rent a car and drive there. The government runs the trains; they only fuck with airline travel.

Tue, 09/18/2012 - 15:32 | 2808226 Belarusian Bull
Belarusian Bull's picture

lol @ 1:32

-We, as parents, always worry about

-We do?

Ahahaha

Tue, 09/18/2012 - 15:36 | 2808239 rustymason
rustymason's picture

I see no problem here. Just keep soaking it.

Tue, 09/18/2012 - 15:42 | 2808261 suckerfishzilla
suckerfishzilla's picture

If the net worth gets lower for the middle class soon everyone will be a member of that exclusive club. 

Tue, 09/18/2012 - 15:51 | 2808286 oldman
oldman's picture

What Great News!!!!!!

Maybe there will be a chance for change, after all

After all of the bourgeois have become just plain common people

But then again

You just never know           om

Tue, 09/18/2012 - 16:15 | 2808332 THE DORK OF CORK
THE DORK OF CORK's picture

Yee don't have to follow the Yellow brick road to figure whats going on..... merely follow the Vermonter

 (2011)

Essex Junction (Amtrak station) : 21,798[1]   -4.6%

Waterbury (Amtrak station) :4,818[1]   -6.1%

Montpelier (Amtrak station) :7,031[1]   -6.2%

Randolph (Amtrak station) :1,897[1]  +2%

White River Junction (Amtrak station) :14,109[1]  -14%

Windsor-Mt. Ascutney (Amtrak station) :687[1]  -41%

Claremont (Amtrak station) :1,240[1]  -37%

I thought this was a oil crisis ?

Bellows Falls (Amtrak station) :4,364[1]   -6.2%

Brattleboro (Amtrak station) :15,223[1]  -1.7%

Tue, 09/18/2012 - 16:33 | 2808403 NotApplicable
NotApplicable's picture

Washington? Wasn't he one of the richest "Americans" at the time?

Tue, 09/18/2012 - 16:54 | 2808477 Totentänzerlied
Totentänzerlied's picture

I don't get it, a decade is now 27 years?

Tue, 09/18/2012 - 17:05 | 2808506 Van Halen
Van Halen's picture

Drudge has this little Obama gem on his headline now...

http://www.youtube.com/watch?v=ge3aGJfDSg4

Tue, 09/18/2012 - 18:30 | 2808745 Ginsengbull
Ginsengbull's picture

So the filthy rich are only up 1%, while the middle and lower are down 26% and 45%?

Seems to me that the top 1% should be up wayyyy more than that.

Consider how all the kids want smart phones, pimped cars, and designer drugs.

They're enslaving themselves.

Tue, 09/18/2012 - 20:26 | 2809097 Umh
Umh's picture

When i really think about it the main difference between to rich and the middle class is that the rich have enough smarts and resources to get through the tough spots while the middle class runs out of resources and has to start over again and again and again. It's like getting divorced; every time you do it it sucks money out of you.

Tue, 09/18/2012 - 18:45 | 2808792 Darth Rayne
Darth Rayne's picture

Just wondering. Is a 'toxic asset' one that is worth far less than was originally believed?

The FED appears to be collecting rather a lot of these 'toxic assets'.

If the FED somehow destroyed the dollar, would these 'toxic assets' now be renamed assets?

 

I am sorry for this rather stupid post. I have just read that the FED has a mandate to protect the dollar. I am such an idiot.

 

Tue, 09/18/2012 - 18:55 | 2808818 Silver Alert
Silver Alert's picture

How can I capture this video (Bloomberg) to save it on a flashdrive?

Mon, 09/24/2012 - 10:30 | 2824200 andyupnorth
andyupnorth's picture

Snaggit or equivalent.

Or perhaps Firefox web browser and flv add-on.

Tue, 09/18/2012 - 21:31 | 2809354 andyupnorth
andyupnorth's picture

If you make over $25k per year, your are the 1% and must share your income with the rest of the globe.

Do NOT follow this link or you will be banned from the site!