Skeptics warn of government overruns and the risk of deficit spending fueling inflation, but Mr Biden and his team of economic advisers are still taking the approach.
“It’s time to grow the economy from the bottom up and grow,” Biden said in a speech to a joint session of Congress last week, referring to the idea that prosperity does not flow from the rich but flows to a well-educated and well-paid middle class. class.
He highlighted the issue by separating workers as the dynamo driving the middle class.
“Wall Street did not build this state,”
Of course, the economy that brought millions of postwar families into the middle class is very different from the current one. Manufacturing, construction and mining jobs, once considered the backbone of the workforce, have shrunk – as have unions, which have aggressively fought for better wages and benefits. Now only one in 10 workers is a union member, while approximately 80 percent of jobs in the United States are in the service sector.
And it is these types of jobs in healthcare, education, childcare, care for the disabled and the elderly that are expected to continue to expand at the fastest pace.
However, most of them fail to pay middle-income salaries. This does not necessarily reflect their value in an open market. The salaries of teachers, hospital workers, laboratory technicians, childcare providers and nursing homes are largely determined by the government, which collects tax dollars to pay their salaries and sets reimbursement rates for Medicare and other programs. .
They are also jobs that are filled by a significant number of women, African Americans, Latinos and Asians.