Winners and Losers
Wednesday, November 18, 2020
Leave it to Trump and his Republican allies to spend more energy fighting non-existent voter fraud than containing a virus that has killed 244,000 Americans and counting.
The cost of this misplaced attention is incalculable. While Covid-19 surges to record levels, there’s still no national strategy for equipment, stay at home orders, mask mandates or disaster relief.
The other cost is found in the millions of Trump voters who are being led to believe the election was stolen and who will be a hostile force for years to come–making it harder to do much of anything the nation needs, including actions to contain the virus.
Trump is continuing this charade because it pulls money into his newly formed political action committee and allows him to assume the mantle of presumed presidential candidate for 2024, whether he intends to run or merely keep himself the center of attention.
Leading Republicans like Senate majority leader Mitch McConnell are going along with it because donors are refilling GOP coffers.
The biggest beneficiaries are the party’s biggest patrons – the billionaire class, including the heads of the nation’s largest corporations and financial institutions, private-equity partnerships and hedge funds – whom a deeply divided nation serves by giving them unfettered access to the economy’s gains.
Their heist started four decades ago. According to a recent Rand study, if America’s distribution of income had remained the same as it was in the three decades following the second world war, the bottom 90% would now be $47 trillion richer.
A low-income American earning $35,000 this year would be earning $61,000. A college-educated worker now earning $72,000 would be earning $120,000. Overall, the grotesque surge in inequality that began 40 years ago is costing the median American worker $42,000 per year.
The upward redistribution of $47 trillion wasn’t due to natural forces. It was contrived. As wealth accumulated at the top, so did political power to siphon off even more wealth and shaft everyone else.
Monopolies expanded because antitrust laws were neutered. Labor unions shriveled because corporations were allowed to bust unions. Wall Street was permitted to gamble with other peoples’ money and was bailed out when its bets soured even as millions lost their homes and savings. Taxes on the top were cut, tax loopholes widened.
When Covid-19 hit, Big Tech cornered the market, the rich traded on inside information, and the Treasury and the Fed bailed out big corporations but let small businesses go under. Since March, billionaire wealth has soared while most Americans have become poorer.
How could the oligarchy get away with this in a democracy where the bottom 90% have the votes? Because the bottom 90% are bitterly divided.
Long before Trump, the GOP suggested to white working-class voters that their real enemies were Black people, Latinos, immigrants, “coastal elites,” bureaucrats and “socialists.” Trump rode their anger and frustration into the White House with more explicit and incendiary messages. He’s still at it with his bonkers claim of a stolen election.
The oligarchy surely appreciates the Trump-GOP tax cuts, regulatory rollbacks and the most business-friendly Supreme Court since the early 1930s. But the Trump-GOP’s biggest gift has been an electorate more fiercely split than ever.
Into this melee comes Joe Biden, who speaks of being “president of all Americans” and collaborating with the Republican party. But the GOP doesn’t want to collaborate. When Biden holds out an olive branch, McConnell and other Republican leaders will respond just as they did to Barack Obama – with more warfare, because that maintains their power and keeps the big money rolling in.
The president-elect aspires to find a moderate middle ground. This will be difficult because there’s no middle. The real divide is no longer left versus right but the bottom 90% versus the oligarchy.
Biden and the Democrats will better serve the nation by becoming the party of the bottom 90% – of the poor and the working middle class, of black and white and brown, and of all those who would be $47 trillion richer today had the oligarchy not taken over America.
This would require that Democrats abandon the fiction of political centrism and establish a countervailing force to the oligarchy – and, not incidentally, sever their own links to it.
They’d have to show white working-class voters how badly racism and xenophobia have hurt them as well as people of color. And change the Democratic narrative from kumbaya to economic and social justice.
Easy to say, hugely difficult to accomplish. But if today’s bizarre standoff in Washington is seen for what it really is, there’s no alternative.