A few items we came across lately had us pondering whether the working class is on the verge of a moment like when Marie Antoinette apparently said, “Let them eat cake.”
This attitude of entitlement by royalty and the wealthy elites factored into the storming of the Bastille on July 14, 1789, signaling the start of the French Revolution. A republic was established with the core tenets of “liberty, equality, fraternity.”
At the time it was suggested the working poor used almost 90 per cent of their meagre wages just to afford bread. Adequate lodging, drink, entertainment – those were only attainable by the rich.
Before the “proud” Conservative crowd lose their minds and bombard the editor’s inbox with nasty notes, can we all agree that this economy isn’t working for everybody? You don’t have to be a Conservative, Liberal, NDP or member of a fringe party to understand that wealth and power concentrated in too few hands is not good for everyone. Surely, we can be honest about that. An affordability crisis is present without much positive in global news to suggest a fix is on the way.
The recently passed “Big, Beautiful Bill” in the United States includes tax cuts for the rich and business, while cutting meaningful programs that affect those living in abject poverty. U.S. debt is expected to rise over $3 trillion in the next decade.
The gamble, of course, is that wealth will be created in such a way that tax revenues will increase – a gamble we have seen before with dubious returns. If assumptions are flawed, the outcome can’t help but be miserable.
Before the Donald Trump sycophants start to chant “Trump derangement syndrome” on our part, the health of that economy mightily affects Canada and its borrowing costs.
In fact, Canada has performed equally as poor in our opinion. The amount of debt national governments are floating is outrageous and the interest costs are astounding. In lockstep it seems, are states, provinces, some municipalities and school boards, who can’t shake the debt trap.
More than one realtor report in recent days is observing that listings aren’t selling as quickly and housing stock (ie. listings) are growing. That is a bad trend and for people struggling with increased interest costs, it can be a terrible time for couples, let alone single-income households trying to hang on.
New home builders have also announced slower sales and pauses on projects. That isn’t based on need drying up – buyers simply can’t afford current prices. Where that heads is anyone’s guess but if past tough times are an indicator, a decade with little action may ensue.
On the rich and well-to-do front, life may still be grand, but that grandeur should never be so all-consuming that it masks the ever-increasing number of people just making it. That would be folly.
Thin gruel for too long sparks revolutions.
