Class Warfare

Buffet: If There's Class War in the US, Priviledged are Clearly Winning
Class Warfare

Legendary investor Warren Buffet argues that if there is class warfare in the US, it is being won by the priviledged class. "As for President Bush's fiscal policies, Mr Buffett notes that in 1952 a third of all federal tax receipts came from the corporate sector whereas last year the figure was just 7.4 per cent, thanks to the tax breaks handed out to companies and their investors. 'If class warfare is being waged in America, my class is clearly winning.'" Buffet also said that the US is deluging the world markets with dollars to support deficit US spending and that this will guarantee that there will be gargartuan US trade deficits into the forseeable future.

Stop the Plutocracy
Class Warfare

Michael Cudahy and Jock Gill write, "The rich in this country have decided that they are willing to spend whatever it takes not just to buy an occasional senator or congressman, not the president or the vice president, but the entire system. They have purchased laws and government contracts, tax loopholes and the White House. And, they have shielded their purchases in layers of executive and governmental protections. And what are the implications of this corrupt purchase? This massive takeover is rapidly undermining and destroying America's greatest and most stabilizing asset - this country's middle class - the very foundation of our democracy. It is a conscious attack determined to reduce this nation to a country of rulers and ruled - greatly expanding the chasm between rich and poor - while focusing government's attention on protecting the venal lucre of the nation's wealthiest few."

Class Warfare: More States Cut Child Care Aid for the Working Poor
Class Warfare

D.C. Post reports: "Nearly half the states have reduced child-care subsidies for poor families during the past two years. A [recent] federal study shows...fiscal problems have prompted state agencies to restrict eligibility, stop accepting new families or charge them more for care. The analysis found the changes have, in particular, decreased the availability of subsidized day care for low-income working families, although a few states also tightened subsidies for families that are on welfare or have recently left it. The trend is an example of the pressures that a weakened [Bushed] economy and states' strained budgets are placing on services for needy residents. The contraction in child-care aid resembles changes most states have made to rein in expenditures on Medicaid, the government health insurance program for the poor... The study, by the General Accounting Office, was requested by congressional Democrats to bolster their argument that day-care subsidies should be expanded."

Bush Attacks Federal Rent Assistance for the Working Poor
Class Warfare

At a time of rising rents, PentaPost reports that Bush seeks to end Section 8, the nation's major housing assistance program for the working poor, disabled and elderly, replacing it with "a new system of block grants that would be run by the states. Under the plan, introduced today in Congress, states would get a lump payment for housing vouchers [and] could change eligibility rules, combine housing and welfare policies, or provide shorter subsidies administered by religious and other nonprofit groups... Section 8 has been a staple of federal housing policy for nearly three decades. A renter who qualifies obtains a voucher and takes it to any private landlord willing to accept it." Rep. James T. Walsh (R-N.Y.), chairman of the House Appropriations subcommittee, said, "I'm not prepared to make the leap of faith that states will handle this as fairly as HUD."

Class Warfare: Bushevik IRS Demands Working Poor Produce 'Impossible' Proof for Tax Credit
Class Warfare

The NY Times reports that the Internal Revenue Service plans to ask millions of the working poor who now claim the earned income tax credit to provide "the most exhaustive proof of eligibility ever demanded of any class of taxpayers." IRS and independent studies show that "corporations, business owners, investors and partnerships deprive the government of many times what the working poor ever could--through both illegal means and legal shelters--yet these taxpayers face no demands to prove the validity of their claims in advance with certified records and sworn affidavits. [Critics] warn the proposed IRS rules will set a standard of proof so high it will be difficult, and in some cases impossible, for honest taxpayers to meet it." Others fear that those eligible will be discouraged from applying or will have to pay tax preparers to handle the complex paperwork. The earned income tax credit has lifted large numbers of people off the welfare rolls and out of poverty.