It has been 50 years waiting for the trickle down theory to achieve its goal, and it sure isn't working. So why don't we try the proven theory of the “virtuous circle of growth”.
The Great Compression of 1950 saw the top paid CEO in the USA getting paid 40 times the rate of the average worker in the company. Today the average CEO makes 490 times the average pay of their companies worker, while in some cases it is almost 900 times.
Hedrick Smith wrote a book recently titled "Who Stole the American Dream". Although I don't agree with many of his arguments to correct the situation ( he calls for increased taxes on the wealthy similar to the 90% level earlier in our history ) what he states is documented fact.
Smith points out that the CEO's stopped the virtuous circle of growth, which requires the CEO to be equally concerned about the employee, corporation and stockholders. In the 1970's CEO's quit caring about the employee or corporation and were only concerned with the stockholder. This has resulted in the quagmire we experience today. Of course the CEO's could not have done this without increasing lobbying, getting the Federal government under control with legalized bribery, and stealing workers pensions. Good read, but very depressing.
The Daily Paul is a community website with no official affiliation with Ron Paul. The content of posts and comments on the Daily Paul represent the opinions of the origina