Posted by: Michael Mandel on December 05
Catching up with Reich’s blog—in his latest post, he writes:
According to new polls, the economy is the number 1 issue for American voters. But that’s not just because the economy is slowing and mortgages are harder to come by. The real reason is middle-class families have exhausted the coping mechanisms they’ve used for over three decades to get by on median wages that are barely higher than they were in 1970, adjusted for inflation
The three coping mechanisms he lists are more women working, longer hours, and home equity borrowing.
He then goes on to say:
In short, it’s the economy, stupid — but not just the current slowdown. The underlying problem began around 1970. And any presidential candidate seeking to address it will have to think bigger than stimulating the economy with tax cuts or spending increases.
It will be interesting to see what the presidential candidates come up with.
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