HOW THE DECK IS STACKED - Voters Not Trusting Data

IMHO - The reason is the American people have been addicted to a fast-paced life.  They expect everything NOW and not tomorrow, or next month, or next year.  They fail to realize that technology has made SOME things faster but not everything, including economic changes in an individual's life.

Also, yes, Wall Street stock exchanges are rigged gambling casinos.

"The economy is improving, yet these voters don't trust the data" PBS NewsHour 10/18/2016

Excerpt

SUMMARY:  Unemployment in the U.S. is at 5 percent, a relative low, and 10 million jobs have been created during the Obama administration.  But a new survey finds that many Americans are experiencing high levels of economic anxiety, a factor that will play into how they vote.  For more on the state of the economy, public perception and the election, Hari Sreenivasan speaks with Marketplace's Kai Ryssdal.

HARI SREENIVASAN (NewsHour):  One subject that's sure to come up in the final presidential debate is the state of the American economy, and, more specifically, the state of the American worker.

During the primary season, in what now seems ages ago, we looked at Americans' attitudes toward the economy.  We have an update tonight with our partners at Marketplace and Frontline, part of our series on How the Deck Is Stacked.

The unemployment rate may now stand at 5 percent officially, and more than 10 million new jobs have been created during the Obama administration.  But a new survey done by Marketplace and Edison Research found nearly a third of people are afraid of losing their jobs within the next six months, and almost 40 percent of people say they are losing sleep over their financial situation.

Marketplace host Kai Ryssdal is with us again.

Kai, when we first did this a year ago, we expected things to get better.  Why are people more anxious now and seem less financially secure?

KAI RYSSDAL, Host & Senior Editor, Marketplace:  The thing about the economy, Hari, is that we measure it in numbers, right, things like the unemployment rate, but people experience it through how they feel.

And what they're feeling now is anxiety, possibly because the election is drawing near, possibly because they sense that the headline numbers of unemployment at 5 percent and gross domestic product growing at a percent-and-a-half, plus or minus, they're not feeling that in their lives, while, at the same time, food prices are going up and gas is bopping around, $2.5, $3 a gallon, whatever it is.

People don't feel that security they really would like to feel seven years now into an economic expansion.

HARI SREENIVASAN:  All the numbers that you just rattled off, what's interesting is that your survey also reveals that there's a lack of trust in the data itself.

KAI RYSSDAL:  Oh, yes.

So, this was, to me anyway, one most of interesting and disturbing things about this entire survey.  We asked people whether they trust government economic data, the stuff that we do on Marketplace all the time, consumer spending, the unemployment rate, all of that stuff; 25 percent of all Americans completely distrust government economic data.

And then you drill down a little bit and you ask them to — who they're voting for and how they feel about government data, 48 percent of Donald Trump voters distrust government data; 5 percent of Hillary Clinton voters distrust the economic data.

And I think, if you look at what's happening out there on the campaign trail and some of the rhetoric that's coming from the Trump camp and from the candidate himself, it sort of stands to reason that his voters are going to distrust that data.

HARI SREENIVASAN:  Speaking of distrust, there is also this feeling that your survey is picking up on about the system being rigged.  And a couple of the numbers that leapt out to me, 62 percent of Americans say that the system, the economy is rigged.

And then, when you break this down, 66 percent of Trump supporters say it's rigged for those who get government assistance; 62 percent of Clinton supporters say it's rigged for white Americans.  It's really depends on who you ask.  But, really, regardless of who you ask, they still think the deck is stacked against them.

KAI RYSSDAL:  Right.  They think the desk is stacked against them.

And what is interesting is who they think the deck is stacked for.  In about 90 percent of all responses, people think it's stacked for politicians, for corporations, and the rich.  And what you see here is this divide that we're seeing now out in the economy at large between those who have assets, those who have income, those who have wealth, and those (as we have been talking about for a long time now) who simply don't, and the income inequality gap in this country and how it's playing out now in this election.

MIDDLE CLASS BLUES - As if Americans Didn't Already Know, IMF Report

"Sobering IMF report on U.S. economy cites dwindling middle class, growing income equality" PBS NewsHour 6/22/2016

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SUMMARY:  A new outlook issued Wednesday by the International Monetary Fund drew some startling conclusions about the U.S. economy.  The report asserts that the American middle class is gradually shrinking, the seven-year economic recovery is starting to slow and the pronounced income equality divide may become worse without intervention.  Judy Woodruff talks to Christine Lagarde of the IMF for more.

JUDY WOODRUFF (NewsHour):  The American middle class is shrinking and struggling.  The six-year-long economic recovery is showing some signs of slowing.  And the pronounced wealth divide in the U.S. may get worse without bigger steps.

That warning was part of a new report issued today about the U.S. economy by the International Monetary Fund.

I sat down with its managing director, Christine Lagarde, at IMF headquarters here in Washington earlier today to hear more of her concerns about what’s happening to the middle class and the poor, and what could be done about it.

Managing Director Christine Lagarde, thank you for talking with us.

CHRISTINE LAGARDE, Managing Director, International Monetary Fund:  Pleasure.

JUDY WOODRUFF:  So, this latest report from the IMF looks at the American economy, says it is in good shape overall, shows resiliency, but then it goes on to point out a number of factors that provide concern for the future.

And one of them has to do with the shrinkage of the American middle class.  What do you and your colleagues see, and what concerns you?

CHRISTINE LAGARDE:  We are seeing a shrinking of the middle class.

If you look at the size of the middle class in 1975, it was roughly 60 percent of total population.  If you look at the middle class today, it is about 50 percent.  So, that’s a significant decline of the middle class.  And it is an economic issue, because the middle class has always been the consumption force of this nation.

The upper class doesn’t spend as much.  The lower class doesn’t have as much to spend.  So, the maximum impact in terms of consumption is generated by the middle class.

RACE MATTERS - Urban League's 40th Annual Report

"Urban League calls for $1 trillion ‘Marshall Plan’ to address persistent disparities between the races" PBS NewsHour 5/17/2016

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SUMMARY:  The title of the Urban League’s 40th annual "State of Black America" report is as stark as some of its numbers: "Locked Out: Education, Jobs & Justice." While much has changed, the report finds disparities between blacks and whites have barely budged.  Hari Sreenivasan talks to the league’s Marc Morial about why its “equality index” for blacks stands at just 72 percent of that of whites.

HARI SREENIVASAN (NewsHour):  The National Urban League has released the 40th edition of its annual "State of Black America Report."  It’s designed to provide a snapshot of where African-Americans are relative to whites.

According to the most recent report’s calculations, across multiple facets of life, African-Americans experience equality at a rate of 72 percent, compared to white Americans, who score 100 percent.

Here to explain is Marc Morial, president and CEO of the National Urban League.

So, let’s start with that 72 percent number.  How do you get there?  What does that mean?

MARC MORIAL, President, National Urban League:  What it means is, if you compare things like unemployment, home ownership, high school graduation rates, college attainment rates, median income, African-Americans, on average, achieve 72 percent that of where whites are.

These are collective numbers.  We also do the same comparison for Latinos.  Latinos are at about 77 percent, whites being, of course, 100 percent.  So, it’s designed to make our discussion about persistent racial inequality precise, based on numbers, based on facts, and based on clarity.

So, we report this information every year.  This is the 40th year that we have done it.  And we not only report the information, Hari, but we also propose solutions.

HARI SREENIVASAN:  One of the indicators or one of the factors is income inequality, the gap there.  One of the largest income disparities that you point out, at least between black and white families, is in the Minneapolis metro area.

The average household income for a black family there is just over a third, 37.8 percent, of the average household income for a white family.  How does this happen?

MARC MORIAL:  This happens because the better-paying jobs, the higher-level jobs go to whites, and African-Americans are stuck in lower-paying jobs on an overall basis.

And we see this glaring disparity in places like Minneapolis.  It’s also present in places like San Francisco, where there is a tremendous amount of success, a highly educated work force.  African-Americans are far, far behind.

I hope that what this means is that, in a city like Minneapolis or a city like San Francisco, they won’t sweep these numbers under the rug, they won’t pretend that they don’t exist, and they will recognize and see it as a challenge for the civic, business and political leadership of those communities to try to address these disparities.

These disparities exist in virtually every major American metropolitan area.  It is just a question of to what degree.

INEQUALITY IN AMERICA - Middle Class

"There's less middle in the middle class as income inequality grows, Pew analysis finds" PBS NewsHour 5/12/2016

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SUMMARY:  The middle class has taken center stage in this election cycle, and it turns out there are increasingly fewer Americans who qualify.  A new Pew analysis finds their ranks have shrunk since 2000 and that in at least 160 metro areas there's been a rise in both lower and upper class families.  Hari Sreenivasan talks to Marketplace's Kai Ryssdal for more on why the middle class is shrinking.

HARI SREENIVASAN (NewsHour):  We have spent much time this year talking about the travails of the middle class.  Now a new analysis shows how it's shrinking in most U.S. metro areas.

From Boston to Goldsboro, North Carolina, to Midland, Texas, to Seattle, there are fewer adults living in middle class households across the country than there were in 2000.  The analysis by the Pew Research Center found that in 160 metro areas, there was an increase of lower-income households.  And 172 metro areas saw a rise in upper-income households.

This year, we're teaming up with American Public Media's Marketplace and PBS' “Frontline” on how economic forces are affecting Americans.  It's called "How the Deck Is Stacked."

And the host of Marketplace, Kai Ryssdal, joins us again.

Kai, just so we're all on the same page, who is really middle class vs. who thinks they're middle class?

KAI RYSSDAL, Host & Senior Editor, Marketplace:  So, for the purposes of this study, Hari, it goes like this.

Anybody making from two-thirds to twice the median income in this country.  So, it's $47,000 to about $125,000, if you want to run the numbers.

HARI SREENIVASAN:  So, those are the folks that are actually in the middle class.  But we kind of feel like there are a lot of people in the middle class, a lot of people who would want to self-identify as a member of the middle class.  I'm the average Joe.

KAI RYSSDAL:  Right, that's what we are in this country.  Right?  We are aspirational.  We want inclusive prosperity.

If you stop seven people — 10 people on the street, probably seven of them would say I am the middle class.  And that's why this study matters, right, because what happens in this economy is that the middle class drives it.  The middle class are the consumers.  Right?  Their upper ends are the investors.  The lower end are getting by.  The middle class are the consumers in this economy.

And so what this study really says is, this is bad news for the future of economic growth in this country, and that's why it matters.

ESSAY- Low-Income Student Incentives for College?

"What can motivate low-income high school kids to apply to college?" PBS NewsHour 3/18/2016

COMMENT:   Considering the debt for college a high school student need NOT go directly to a college or can go to a 2yr community college first.  It is OK to wait until one gains more real-life experience and gets a job (especially if it is related to a carrier).

Excerpt

SUMMARY:  This month, many prospective college students are anticipating an admissions decision from their dream school.  Keith Frome, author of “How’s My Kid Doing?” has worked with high school students across the country and believes he has found the key to encouraging them to consider college, peer pressure.  Frome offers his unique take on the college application process.

JUDY WOODRUFF (NewsHour):  Now a “NewsHour” Essay.

This month, many high school seniors have either just learned, or are anxiously waiting to hear, what colleges they might have gotten into.

Education advocate Keith Frome has worked with students across the country, and believes the key to getting more kids to apply to college is peer pressure.

KEITH FROME, Author, “How’s My Kid Doing?”:  One summer weekend, I taught a small group of students from a low-income community how to write their personal statements for their college applications.

Each student would be the first in their family to apply to college, and their ability to tell their stories was going to be critical to their success.

During the three-day retreat, we used a variety of writing techniques to produce memorable, compelling and utterly authentic essays that I knew would stick in the minds of college admission officers.

Returning home, I felt quite satisfied, perhaps a little smugly so, with a job well done, and I proudly shared the compositions with my friends and family.

ECONOMY - Switzerland's Better Idea, Guaranteed Basic Income

"Idea of paying citizens a yearly stipend is gaining support in Switzerland" PBS NewsHour 4/7/2014

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JUDY WOODRUFF (NewsHour):  Republicans and Democrats are likely to spend much of this midterm election year debating the virtues of the federal government, particularly when it comes to addressing income inequality.  But it turns out that one big idea for changing how the government provides financial assistance may have appeal to some on the left and the right.

It’s a minimum level of government payments known as guaranteed basic income.  And while it’s not exactly in the mainstream yet, the idea is gaining traction, as our economics correspondent, Paul Solman, found out, part of his ongoing reporting Making Sense of financial news.

PAUL SOLMAN (NewsHour):  In Switzerland last fall, activists dumped eight million coins outside Parliament, one for each Swiss citizen.  Their cause?  A guarantee that every citizen get a yearly income of 30,000 Swiss francs, about $34,000, whether they work or not.

ALSO SEE:

"Will a guaranteed income ever come to America?" by Felix Oberholzer-Gee, PBS NewsHour 4/7/2014

OPINION - Shields and Brooks 2/14/2014

"Shields and Brooks on debt limit drama, addressing economic inequality" PBS Newshour 2/14/2014

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SUMMARY:  Syndicated columnist Mark Shields and New York Times columnist David Brooks join Judy Woodruff to discuss the politics behind the debt limit increase, the outlook for legislation on fighting poverty and new enrollment numbers for the Affordable Care Act.

CLOSING THE GAP - State, Federal Partnerships to Fight Poverty (Conversation-4)

"Closing the Gap: Mayor Michael Nutter on strengthening state, federal partnerships to fight poverty" PBS Newshour 2/14/2014

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JUDY WOODRUFF (Newshour):  We return tonight to the subject of poverty and inequality.

In recent days, we have spoken with members of both political parties weighing in on the problem for our series of conversations Closing the Gap.

For a closer look at how one particularly hard-hit city is coping, we turn to Philadelphia, where more than 28 percent of residents live below the poverty level.  That’s the highest rate of any U.S. city with more than one million people.  The median income in Philadelphia is just above $34,000.  Now, that’s the second lowest of any U.S. city, just ahead of Detroit.

Well, joining us now from Philadelphia is that city’s mayor, Democratic Mayor Michael Nutter.

CLOSING THE GAP - 'Cafeteria Plan' of Educational Choices (Conversation-3)

"Closing the Gap: Sen. Tim Scott on fighting poverty by offering ‘cafeteria plan’ of educational choices" PBS Newshour 2/13/2014

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JUDY WOODRUFF (Newshour):  Now to a subject on the minds of many Americans this year: the growing divide between rich and poor in this country.

The issue is also the focus of our ongoing series of conversations, Closing the Gap.

Last week, I spoke with Democratic Congressman George Miller of California about how he believes the problem should be tackled.

Yesterday, Gwen spoke with Republican Sen. Marco Rubio of Florida about his anti-poverty plan.

Tonight, we hear from South Carolina Sen. Tim Scott, who recently launched what he’s calling his opportunity agenda.

I sat down with the Republican lawmaker yesterday afternoon.

Yap.  Another typical Republican view, blame the Affordable Care Act.

CLOSING THE GAP - Fix? More Education, Fewer Broken Families (Converstation-2)

"Closing the Gap:  Sen. Marco Rubio on how more education, fewer broken families can change income inequality" PBS Newshour 2/12/2014

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SUMMARY:  In the debate over how to cure income inequality, talk about poverty and opportunity are increasingly converging.  In a series of conversations about the growing divide between rich and poor, Gwen Ifill talks to Sen. Marco Rubio, R-Fla., about the importance of encouraging strong families and improving educational opportunities as keys to restoring the American dream.

GWEN IFILL (Newshour):  In recent months, the stubborn prosperity divide between the rich and poor in this country has gained the attention of both Democrats and Republicans.  The issue is also the focus of our ongoing series Closing the Gap.

Last week, Judy spoke with Democratic Congressman George Miller of California about how he believes the problem should be tackled.

Today, I spoke earlier today with Sen. Marco Rubio in his Capitol Hill office.  The Florida Republican recently unveiled his own anti-poverty agenda.

Having viewed this video, and my tendency of NOT trusting Republicans, Sen. Rubio ideas actually sound good.