The Economy is Getting Better, buy Why are the People Not Feeling It?
United States President Barrack Obama keeps bragging about how he has managed to take the country out of a great recession in 2010. The country’s GDP has improved, unemployment rate has gotten lower and the economy in general has become way better than when he took office in 2008. Despite the said changes, a lot of people still don’t feel the effects.
This is exactly why the campaign of Trump and Sanders became a tremendous success. A huge chunk of the working class voted for them out of anger. They just didn’t feel the improvement in the economy, but they also felt that it has become worse under the Obama administration. This story is not just limited to the United States though. There are a lot of other countries experiencing recovery after economic setbacks, but people are still complaining. What could be the reasons?
Wages don’t rise
This is perhaps the biggest frustration among the working class. Even if the economy has gotten better, their employers still would not give them a raise. Most companies defend themselves by saying that they can’t afford to provide a raise to their employees since it could affect the stability of the business. In reality, they can. There are companies with branches operating in two different cities with different cost of living. Despite the differences, the wages remain the same. The city with the higher cost of living should have been receiving higher. To make it even worse, companies can’t afford to give ordinary employees a raise, but it has never stopped them from giving bonuses among the top officials and executives.
Cost of living remains high
The problem with most businesses is that they are quick in increasing the prices when the economy is bad, but they don’t roll back when it gets better. They just keep getting higher. During the economic crash in the US, prices of basic commodities have dramatically increased. Given the situation, it was somehow understandable. The prices should have gone lower after the recovery, but it didn’t. This is why the increase in the GDP remains just a number for many people.
The need for change
Among the biggest reasons why a lot of people just can’t feel the improvement in the economy is that business owners just don’t play the game fairly. They take advantage of the rigged economy. They hire some of the best lawyers to look for tax loopholes and avoid responsibility. Should this remain, no amount of economic improvement would make people feel the difference.
This has to stop. Government officials must be clear in their goals. They must also not allow themselves to be threatened by business owners who will pull out support on their respective campaigns should they correct the tax loopholes or increase taxes for the wealthy. The improvement in the company can be felt only when everyone acts now.
In the end, it is important to note that feeling the betterment of the economy is not just good for people’s finances. It also helps make them better people in general. The moment parents stop joggling 2 to 3 jobs at a time, they can focus more on becoming better parents. They can now participate in social activities and various causes in the community. People become more relaxed and have a more optimistic view in life. This is why no matter how difficult the struggle is, it is important to allow ordinary individuals to feel the changes in the economy. They need to know that it works for them too and not just those on the top.
Photo Attribution:
Featured and 1st image by Kloer Phil, U.S. Fish and Wildlife Service [Public domain], via Wikimedia Commons
2nd image by MikeBarry1989 (Own work) [CC BY-SA 4.0 (http://creativecommons.org/licenses/by-sa/4.0)], via Wikimedia Commons
