The idea that somehow wealth will magically ‘trickle down’ through the economy without intervention of any kind to make it happen is clearly false.
And it’s past time to recognize this fact and get on with something else.
Most would agree that a huge gap between the super-rich and the rest of the population is detrimental to our society as a whole.
The ever-widening gap, as the middle class struggles more and more not to slide down the wealth scale, is a big problem.
The Canadian Centre for Policy Alternatives came out this week with the news that Canada’s top CEOs earn 193 times the average worker’s salary.
Their salaries went up an average seven per cent in 2015. Raise your hand if you got a seven per cent bump in one year on your paycheque. Yeah, that’s what we thought.
That means that in one morning, one of these guys made what most people will make in an entire year.
So what’s the big deal? These guys have always been out of the average person’s league, so to speak.
True enough, but to illustrate what’s wrong with that, it’s important to note that 30 years ago top CEOs were paid 40 times what the average worker made.
So that’s 40, compared to 193.
Also keep in mind that these are Canada’s highest paid CEOs, not necessarily even on the list of Canada’s wealthiest individuals.
And the Canadian Centre for Policy Alternatives calculated that wage of the average Canadian at almost $50,000. Pretty generous. There are a huge number of people who would love to make even that much.
The issue with a tiny few hogging all the wealth is that it tends to make our entire society that much poorer.
Think about it. These folks have so much money they could never hope to spend it in a lifetime.
As opposed to a healthy middle class that circulates money through the economy on a regular, day-in, day-out, basis, buying homes, cars, clothing, food and more.
It is the bulk of the population that keeps the economy moving, not a few at the top who spend but a small fraction of their wealth, and an even smaller fraction of that within our country and our communities.
With workers taking home a smaller and smaller piece of the pie, it’s inevitable that we all feel it.
It’s time for the working stiffs to share in the profits.