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Statue of LIberty Inequality — *Photo: Statue of Liberty. Credit: Juanedc/Flickr.*

We’re in economic trouble. As the deficit wages on and the country continues to spend billions of dollars on wars that make no sense to average citizens, it’s easy to say that we need austerity and tax relief. That’s what this country voted for in the mid-term elections, as a slew of new Republicans were elected to Congress. Unfortunately, that action is shortsighted and relief will not last.

The elected Republicans are responding to a warranted distrust and unease with our current administration, but this new direction could corrupt our chances of lasting economic recovery. It may sound tragic, but we need greater taxation more than ever. In these economically troubled times, we are digging ourselves deeper by talking about cuts to budgets and public programs.

About 30 years ago, President Reagan began a long series of cuts to federal agencies and public funding — ushering in the first era of big time tax cuts for the wealthiest elite. And this trend only continued. The tax breaks hurt the most disenfranchised first. Cuts to funding generally suck necessary funds from education and welfare — programs that keep clothes on children, employees healthy, and roofs over heads. These are all in high demand.

It’s no accident that as cuts to important budgets continued, income and wealth inequality skyrocketed. We now live in a new Gilded Age. The average CEO gets about 204 times the salary of traditional employees. That’s immoral and outrageous. Are they doing 204 times more work? No. Are they doing 204 times more jobs? No. Some people point to the pressures of being a leader — the taxing life that they lead. To those supporters of income inequality for upper management versus average employees, I urge you to develop some empathy for the person that is on food stamps, working full-time, and dealing with children — all on poverty-inducing wages. Isn’t that stressful, too? I think the impoverished person would gladly take on CEO-level stress to pay their bills each month, reliably feed their children, and possibly (holy crap!) take a vacation from time to time.

Walmart is a perfect, nightmarish example, where CEOs and upper management make it big, and their precious employees wear blue uniforms and need food stamps to make ends meet (even when working full-time). It’s then that those outfits look more like prison uniforms.

Even more alarming is the growing wealth inequality. The Economist recently highlighted new research from two of the leading wealth economists. What they found was shocking. There are 16,000 families — 0.01% of the population — that have an average net worth of $371 million each. Staggering hardly describes this level of “average” wealth. The research suggests that this represents 11.2% of total wealth. To be clear, 0.01% of the population has 11.2% of the total wealth! How do we accept this inequality and disparity? How do we accept this assault on true family values? How do we accept this inequality that causes massive funding gaps?

We’ve reached astonishing levels of wealth inequality — approaching records from 1916. This disparate wealth disrupts middle-class opportunities, wealth generation, and social class mobility. All opportunities are stifled for the masses, as a select few profit. Those who’ve suffered most have the least. I cannot help but reflect on our values as a country. Could this corrupt — post-Citizens United world — truly be what our Founding Fathers set out for America?

Today more than ever, we are one nation, poor, divided, and unequal.

Snap Food Stamps Photo — *SNAP! Photo: Sarah G/Flickr*

In 2007-2008, the US economy collapsed into a powerful, potent recession that lasted years. Rates of unemployment and food stamp use escalated during this period. Everybody suffered throughout this turmoil.

Last year, The Washington Post asserted that food stamps increased because of the great recession – noting that 47 million people were now receiving the benefit. Amidst this trouble, Republicans in Congress worked to save about $40 billion over 10 years, by removing about 3.8 million from food stamps. But this highly-contested course of action never came to fruition.

What’s SNAP and who benefits?

The timing was confusing, though. At a time where more Americans than ever were in need of the welfare benefit, Republicans aimed to reduce benefits and exclude vast swaths of people. A variety of families and individuals need food stamps. From single-parent households with young children to underpaid full-time, single employees, food stamps positively affect and bolster the budgets of those most in need.

To qualify for SNAP (Supplemental Nutritional Assistance Program) as an individual, you need to make $958 (net income) or less every month. That’s about $12,000 a year; otherwise known as, poverty for an individual. Without some sort of assistance, it’s reasonable to assume that paying for nutritional, healthy food options may be severely restricted or non-existent. That’s what makes food stamps an important necessity for those in need.

USDA Gov SNAP Eligibility — *Income Eligibility For SNAP. Chart: USDA.gov*

The demographics are growing, changing

USDA Gov Photo Food Stamps WIC — *Photo: USDAGov/Flickr*

The Guardian Liberty Voice recently highlighted the shift in food stamp (SNAP) recipients. Unlike most assumptions regarding food stamps that are propagated in our media and culture, recipients are now working harder than ever – despite needing more benefits. A sharp change occurred over the last few years:

Food stamp use is now highest among working Americans, according to government statistics. This is the first time this specific group has had majority use of food stamps in U.S. history.

As the article continues, most years the elderly and young benefited most from SNAP. Now, working Americans are the largest recipients of this benefit. The Guardian Liberty Voice calls into question growing corporate profits amidst this turmoil and economic distress for the working class.

What is especially troubling about more people being on food stamps is that corporate profits have been high yet wages continue to decline.

The $80 million government program accounts for about $1.50 per meal per recipient. That can be difficult to live on, but food stamps aim to prop up low-income households to enable them to recover and grow out of this impoverished level. Unfortunately, these populations and families have been the target of a variety of public spending and private-industry employee cuts.

Simultaneously, executives are killing companies and employee spirit

It’s reasonable to assume that corporate executives are paid more than traditional employees. Their responsibilities are far grander and they are held responsible in a number of legal and shareholder situations. Most are paid for performance and work in very competitive environments. This can breed a culture of corporate profits over people.

Income among working class and executive class swiftly changed in recent years. AFL-CIO has calculated the average executive versus worker salaries.

The CEOs of S&P 500 Index company made, on average, 354 times the average wages of rank-and-file U.S. workers in 2012.

Despite trying economic times and difficult rates of unemployment, many companies are seeing their greatest profits ever and CEOs are receiving staggering salaries (by number and ratio). Lawrence Ellison, CEO of Oracle, was paid nearly $100 million for a year’s salary. Moonves, CEO of CBS Corp., received about $62 million. Starbucks‘ chairman and CEO, Howard Schultz raked in almost $29 million. To make the top 100 CEO salary pay list, you need to make at least $18.75 million per year.

CEO-to-worker pay ratios make it clear: Executive salaries ballooned in recent years and are directly correlated with a sharp decline in employment. Wall Street tends to value this attitude towards employees; rid the excess and reward the leader, the lesser man is expendable. But unfortunately, this mentality is degrading worker rights, confidence, and consistency.

What comes around goes around

The current, frigid economic conditions have left many without an out. Executive pay, staggering unemployment, and poor business practices created a cyclical problem for the majority of working Americans. Now, they are the largest recipients of food stamps. The tragic irony is that worker pay stagnated and unemployment rates increased, while executives received bountiful bonuses.

There are few defending the most vulnerable among us. The current equation seems broken. Maybe it’s time for protections, regulations, and a general counterbalance to protect hard-working Americans looking to achieve and work for themselves? Maybe we can start with executive income ratios.