In the past six months of debates and campaigning some important issues have been generally overlooked. Now that are down to the wire it seems to be intended to stay that way. I decided to do a little research on issues that just aren't being discussed: engagement rings, homes, and bacon!
Hard work: 1970 vs 2011
Like hard work, engagement rings are something most every American understands. In fact, most families start with the purchase or inheritance of one of these these heirlooms. Anyone planning to buy one often asks the question: "How much should I spend?". For the sake of argument lets agree to spend three months of earnings on an gold engagement ring.
After three months work the average American can afford:
2011: A 9 ounce ring,
1970: A 53 (FIFTY THREE) ounce gold ring
This means For the same amount of work an American of 1970 would have enough gold for a ring, necklace, earrings, a tennis bracelet (maybe even a few diamonds). Imagine you glance over while paying at the jewelry counter and another person is getting 75% off the same ring because they were from a different generation. Homes prices are following a similar trend. **
To buy an average home with cash the typical American would have work and save every dollar they earn for:
2011: Well over 5 years.
1970: Under 4.
Basically a home buyer now has to work about a year and a half longer to put their family in a home. So the 1970s had about a 30% home discount. Could be worse, but for such a big purchase there are big implications. Imagine if instead of paying 1 1/12 more years you could put those earnings into a college or retirement account? Imagine if you could retire a year and a half earlier? Think of all the interest you could save! Lets look at a smaller purchase: Bacon.
After just one hour of work your average American gets:
2011: 4.8 pounds of bacon
1970 3.3 pounds of bacon
So the modern American finally wins and earns more pounds of bacon per hour. Is this a good sign... yes and no. With a little research similar food type items were skewed. Some went up, some down, many about the same.
The cost of living and the quality of life
Sadly bacon alone can't save our financial situation. Bacon savings, and other exceptions are quickly outweighed by the skyrocketing costs of medicine, homes, education, and families.
This general disparity between the generations is not only bad, but it continues to just get worse. Before the 70s, quality of life and prices were improving or stable for over 100 years. People lived longer, retired earlier and had more year after year. Even with all of the advancements in communication, science, medicine, and so much more!
This is the first time America has ever seen a multi-generational decline in the quality of our lives. 40 somethings are worse off then their parents and their children are looking at an even worse situation. This is much much more significant then a depression, a housing bubble, unemployment, or social welfare. Our households labor just as hard and much longer for less. How did this happen?
It couldn't be the Republicans and the Democrats?
Over the past hundred years the two parties we know today have formed and dominated politics. Both parties and their candidates funded by members of the elite and massive organizations. This group generally includes financiers, industrialists, media moguls, and foreign interests. Of course there are also private donors, but our personal contributions are peanuts, (or Bacon) compared to money coming from the super PACS and commercial interests, and in general, the top .1%. Many of these mega-rich companies and individuals play it extra safe and donate to both parties!
Whichever party is elected: war, monetary and other policy is dictated by the mostly the same group of individuals and their entrenched bureaucrats year after year. Regardless of which party we elect, the majority of our senate, house, department heads, executive branch, and judges don't change. A different party in the driver's seat doesn't make a difference.
The problem and the constitutional solution.
Deflation of currency and loss of wages isn't something that just happens. History shows this sort of thing comes from the tyranny of unchecked leaders and governments.
Who or what is to blame? The loss of the gold standard, the federal reserve, foreign policy, costs of war, exploitation by the finance industry, corporate greed, and many other explanations have been proposed. Sadly Washington bureaucrats just tend to turn their heads and ignore it.
The biggest issue American has in this and the next election needs to be our declining quality of life. This issue can't continue to be ignored by the media or out-funded and quieted by opposition. Something has to take up the cause!
Who will champion this cause for the American people?
In the end I am saddened and amazed that such extreme exploitation of Americans continues quietly to erode our happiness and security. We revolted against the British over far less! The policies of the past 40 years make the Stamp Tax seem trivial in comparison.
Fortunately we have a constitution which allows us to revolt without bloodshed.We can use our American rights and change our government. How? Elect candidates who aren't afraid to address the real issues. Diminish the power of the two parties until they start providing candidates that will.
**I'm not calculating taxes, interest, or other means of skewing the truth here. If I did you would find greater economic disparity. I simply use the cost in dollars divided by the average American wage and all my numbers are coming from the social security, census and other government tracking sources. SSA, the Us Census, and Consumer Price Index.
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