Julianne Malveaux On Business and Economics

 

WORKERS AT THE BOTTOM ARE TAKING ALL THE WEIGHT

BY JULIANNE MALVEAUX

 

            Few economists were surprised by the news that our nation’s gross domestic product shrunk by 0.4 percent in the third quarter.   That bad news was quickly followed by news that the unemployment rate rose half a point to 5.4 percent.  The African American unemployment rate rose a whole point, from 8.7 to 9.7 percent.  So much for the notion of a level playing field!  Instead, our economy is tanking, and our Congress seems prepared to do nothing more than watch and point as it tanks.

 

            Oh, there is a stimulus package on the table, but that package would mainly offer corporations new write-offs.  Everyone has lined up to get their cash – the airlines, the insurance companies, and others.  People at the bottom aren’t getting anything.  Not unemployment, not assistance, nothing.

 

                Who takes the weight for our bum economy?  From where I sit, those at the bottom are the ones that carry the weight.  They get the hit from higher unemployment, and they get the hit from a shrinking GDP.  These are the folks who could have reasonably expected to work temporary or part time jobs in the holiday rush. What holiday rush?  It will take something like a miracle to get cash registers going ca-ching this year.  Even zero interest rates don’t seem to get people to buying.  Instead, some say that a credit crunch prevents them from taking advantage of good prices.

 

                Cities and states will take the weight for our bum economy.  They aren’t getting the countercyclical assistance they ‘ve gotten in recessions past.  Instead, their hands are tied and they can’t use deficit spending to keep local economies humming.  In some areas, energy-related challenges complicate the economic situation.  And the federal government’s answer to any energy crisis is simply to drill in Alaska.

 

                The federal government doesn’t have a lot of answers now, or their answers seem to conform to the Bush Corporate Welfare Plan.  Whether we’d been subjected to terrorism or not, Mr. Bush had promised his corporate donors a tax break, and now he is using 9-11 to deliver it.  Shame on him!  More importantly, shame on Congress for allowing it!

 

                There is more than enough shame to go around.  Shame on so-called progressive members of Congress for being asleep at the switch, unwilling or unable to step up to the leadership plate and tell people about the economic dimensions of this crisis.  Everyone is in “kumbaya” mode, and we are all Americans, and this apparently means that people should be silent and keep their voices muted about the unacceptable differences in the way that potential anthrax victims are treated, in the way different sectors of our population will shoulder the effects of our bum economy.  It doesn’t help when the President offers us pep talks and then connects the stimulus package to our national well being.  It makes it seem as if opposing a skewed stimulus package is absolutely anti-patriotic, which has a chilling effect on discourse and policy development.

 

                While progressives are silent, everyone else is talking.  The National Restaurant Association has taken out ads saying that eating out is “the American way of life”.  They are encouraging Americans to dine at their establishments to keep the economy buzzing.  We’ve heard that we need to do patriotic shopping, to keep the economy going.  We should travel, according to the ads, to reach out and touch the family and friends that we have missed in the two months since airline passenger loads plummeted by 40 percent.  There is consideration for every sector except for those folks, already at the periphery of the nation’s economy, who are getting their butts kicked!

 

                When an executive gets laid off work, all of her support services take a hit.  The headlines focus on the executive, not on the folks who support her. When a flight attendant gets fired, people talk about the airlines, but not the people who clean floors at airports.   When National Airport cuts its flights, one of the restaurants or coffee shops in the airport closes.  The airport makes the headlines, the waiters sit on the sidelines.

 

                It is the sideline workers who get ignored, who shoulder the brunt of the bum economy.  We couldn't do without the people on the sidelines, yet we consign them to invisibility, kick them to the curbs of our consciousness.  Corporations have their hands out, their mouths open, their needs met by a contribution-conscious Congress.  The people, whose small checks and volunteer hours don’t often buy them access, are ignored. 

 

                Our economy is tanking, but some people are profiting from the nation’s misery.  Others, on the sidelines, are shouldering the weight of a 5.4 percent unemployment rate and a GDP contraction.  When Congress says they want to stimulate the economy, who do they have in mind?  They need to think of our nation’s invisible workers when they start pumping money into the economy.


Back