Things Are About to Get Much Worse for Poor Americans
They didn’t vote for this. Richer Americans did.
President Obama’s anti-inequality crusade has had three main pillars. First, the Affordable Care Act, or Obamacare, brought the percentage of uninsured down from 16 percent in 2010 to 9 percent, the lowest in U.S. history. Second, tax benefits passed in the 2009 stimulus, and extended throughout the last seven years, raised the overall income of millions of poor Americans. Third, the administration went beyond the tax code to increase anti-poverty spending, like food stamps and long-term unemployment benefits, and to support the national movement for a higher minimum wage. Together, these measures helped to reduce after-tax inequality more than any administration on record
.. In the last six years, the number of uninsured families living around the poverty line fell by almost 50 percent. Those gains would be reversed, and more than 20 million people, many of them just above the poverty line, could suddenly lose access to health care.
.. the massive size of the proposed Trump tax is significant, because House Republicans are also calling for a balanced budget. Mathematically that means that the GOP will be on the lookout for $6 trillion in spending cuts over the next decade. And Trump has essentially declared more than half the budget off-limits for cuts, since he wants to grow the military and preserve Social Security and Medicare.
.. With protective collars around defense and spending on the elderly, the rest of government spending would have to be bulldozed. This remainder is dominated by assistance for the young and poor. Medicaid would shrink, as might the Children’s Health Insurance Program. Food stamps would be cut. Federal unemployment insurance spending would fall, as would housing and energy assistance for the poor. The Department of Education would have to be gutted, taking federal student loans with it.
.. cutting welfare and health insurance payments to the poor in order to balance the budget while financing a historic tax cut for the wealthy
.. Presidents cannot slide the economy to 4 percent growth, as if GDP were a thermostat bar. But the government has great control over how growth is shared.
.. the Obama doctrine has put sharing at the heart of economic policy with a progressive plan to redistribute the country’s prodigious wealth to help low-income Americans of all ethnicities stay afloat in a period of severe inequality.
.. Hillary Clinton won by double digits among voters making less than $50,000. Trump won among all richer groups
.. his coalition seems to be living in a world ever so slightly detached from that described by national statistics. More than half of Republicans think that unemployment has increased under Obama. It has in fact fallen from 10 percent in 2010 to below 5 percent today.