Focus on middle class
President Obama and Vice President Biden this morning launched a task force focused on improving the standing of America's middle class.
At the kick-off ceremony, Obama said the importance of revitalizing the middle class was made more stark by the latest dire economic numbers.
The Commerce Department reported today that the US economy shrank by 3.8 percent in the last three months of 2008 -- what Obama called the "worst contraction in close to three decades" and a "continuing disaster for America's working families."
Obama also noted that the Labor Department reported Thursday that 4.8 million Americans claimed unemployment benefits in the week that ended Jan. 17 -- the highest percentage in 25 years.
He pushed again for Senate passage of his economic recovery plan, but said that would only be the beginning.
"If we act boldly and swiftly, it can be an American moment," he said.
The task force that Biden will lead the as one of his primary duties will include top-level policy makers, and will meet with representatives of labor, business, and the advocacy communities.
"For the backbone of America, it's insult on top of injury," Biden wrote in USA Today. "Over the course of America's last economic expansion, the middle class participated in very few of the benefits. But now in the midst of this historic economic downturn, the middle class sure is participating in all of the pain. Something is seriously wrong when the economic engine of this nation -- the great middle class -- is treated this way.
"President Obama and I are determined to change this. Quite simply, a strong middle class equals a strong America. We can't have one without the other."
The White House unveiled an early version of the task force's website and announced that its first meeting will be in Philadelphia on Feb. 27 with the topic, “Green Jobs: A Pathway to a Strong Middle Class.”
The full op-ed piece that Biden wrote for USA Today is below:
For years, we had a White House that failed to put the middle class front and center in its economic policies.
President Barack Obama has made it clear that is going to change. And it's why he's asked me to lead a task force on the middle class.
America's middle class is hurting. Trillions of dollars in home equity and retirement savings and college savings are gone. And every day, more and more Americans are losing their jobs.
For the backbone of America, it's insult on top of injury. Over the course of America's last economic expansion, the middle class participated in very few of the benefits. But now in the midst of this historic economic downturn, the middle class sure is participating in all of the pain. Something is seriously wrong when the economic engine of this nation - the great middle class - is treated this way.
President Obama and I are determined to change this. Quite simply, a strong middle class equals a strong America. We can't have one without the other.
An economy for all Americans
Right now, our most urgent task is to stabilize our economy and put it back on track. That is what our economic recovery package moving through the Congress is all about. We need to make these critical investments to jumpstart our economy.
On top of this urgent task, though, we have an important long-term task as well. Once this economy starts growing again, we need to make sure the benefits of that growth reach the people responsible for it. We can't stand by and watch as that narrow sliver of the top of the income scale wins a bigger piece of the pie - while everyone else gets a smaller and smaller slice.
One of the things that makes this task force distinctive is it brings together - in one place - those agencies that have the most impact on the well-being of the middle class in our country. We'll be looking at everything from access to college and training with the Department of Education, to business development with the Department of Commerce, to child care reform with Health and Human Services, to labor law with the Department of Labor. With this task force, we'll have a single, high-visibility group with one goal: To raise the living standards of middle-class families.
Over the upcoming months, we will focus on answering those concerns that matter most to families. What can we do to make retirement more secure? How can we make child and elder care more affordable? How do we improve workplace safety? How are we going to get the cost of college within reach? What can we do to help weary parents juggle work and family? And, above all else, what are the jobs of the future? Here, we'll be looking at green jobs, better-paying jobs, better-quality jobs.
Open to the public
At the end of the day, it will be our responsibility to offer clear, specific steps we can take to meet these concerns and others.
Unlike some previous government task forces, our taskforce will operate in a fully transparent manner. We will consult openly and publicly with outside groups who have thought long and hard about these issues and can help us bring the most far-reaching and imaginative solutions to these problems. All the materials from our meetings, and any report we produce, will be up on our public website. None of this will happen behind closed doors.
In government, as in life, you need clear goals to succeed. In the Obama/Biden administration, we have set a very clear goal: Our administration will have succeeded if the middle class once again starts to share in the economic success of this nation.
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The definition of "middle class" is all over the board. How - precisely - do President Obama and Vice President Biden define "middle class"?
Also, when it comes to "...tax breaks for the working class", what is their definition of the working class?
Can the Obama/Biden team make a comment without referring to the past 8-years? True leaders accept the hand they are dealt and move on to make improvements. They do not consistently reference what was. The Bush administration is no longer and "change" does not mean "consistently demean your predecessor". Your accomplishment will speak loudly!! Enough already!!
Here's your task force: cut taxes, cut spending, make government smaller, and let families of all economic classes use more of the money that they earn.
Simple.
And please, don't tax the rich any more (by the way, I'm not part of that class -- I'd say I'm lower middle class) than they already pay. Don't tax ANYONE any more than they're already paying. Then the economy will improve.
blah blah blah
If you are looking for definitions of classes, its available online. Class structure is a uniform understanding, not an individual interpretation. A google search will answer your quesitons on classes and their make up but here is a summary:
Working class - lower income bracket, less education, live pay check to pay check, etc...
Middle class - there are three levels -lower, middle and upper-middle - all based on education levels, total income, assets, etc....
Its about time the government focused on the middle class.
What a joke. What about a tax force on saving jobs, like cutting the corporate tax rate so companies can keep 20% of their profits to retain their employees.
Bunch of pandering idiots.
I would add this to the proposals that will be forthcoming: recapture all bonuses, salaries, perks, et al., that were paid to each and every individual within the Bush Administration over the past eight years. If they don't have the funds then foreclose on their homes and sell off each and every item they own - right down to the very last piece of dinnerware.
I've voted Republican for over thirty years.
Never again.
Forrest... Agree with you completely! What is President Obama's definition of "Middle Class"?
The numbers show that an income of $31,988 or more puts you in the top half of taxpayers. Earning a bit more than twice that much -- $64,703 -- places you among the top 25% of all wage earners. You crack the elite top 10% if you earn $108,905 or more.
So... If you make more than $100k are you in the "Middle Class?"
I can't think of anything the middle class needs more than a task force. Especially one lead by Joe Biden.
VZA3 - If I am a doctor, and a patient is bleeding in my office, we would talk about what happened before they walked in my office in order to actually understand the problem that I need to solve as a professional. Positivie action (being demonstrated by our new administration) and understanding the root of the problem that needs addressing (being demonstrated by our new administration) are not at all mutually exclusive. Sorry your feelings have been hurt by the harsh words against the former administration's failures, but I'm for identifying and solving problems. Glad to have competence back in the White House.
Thank God someone is finaly thinking about the middle class. Stop taxing the hell out of us and then wondering why we can no longer pay our mortgages. Bring back Financiai aid for college so we don't have to spend out retirement money on education. stop deregulating us right into bankruptcy. Enough is enough ! President Obama seems to be the first politician to open his eyes and see the light.
We here in Taxachusetts can only hope that Deval Patrick sees the same light before he pushes even more taxes on us.
Eliminate the excess spending in Government. I need to cut my expenses during
these difficult times, so should the Government.
"and that government of the people, by the people, for the people, shall not perish from the earth"
That's what the constitution says isn't it....................................
Hey wingnuts - your Republican party will not smell the WH for 20 years if Obama cleans up the stinking turd pile that your savior W, and the lockstep Republican
Congress, left behind. Tax cuts, warmongering, crony hack looting, and deregulation were his answer for everything, and that's why we are where we are. I'm out of work - I don't need a tax cut, and neither do the companies going bankrupt, and the millions more of us who have no income now. What is wrong with all of you?
He's got the class warfare thing down pat. Must have learned it from Salinsky or Ayers.
A couple days ago he complained about Americans needing to get used to the fact that energy will be scarce (and we need to conserve). Meanwhile reports (NY Times) have him blasting the WH heat to 80 degrees - because he's from Hawaii.
Yesterday it was "outrageous" for Wall Streeters to accept bonuses (while he dined on curried chicken, organic steak and dry martinis).
Typical Limo Commie.
To promote economic stability as well as fiscal confidence taxes must be frozen and/or rolled back. This would require all governments (local, state, federal) and all taxing bodies (including public school districts) to live within the available budget instead of further burdening the collapsing tax payer/citizen base.
Task Force? This one's easy: cut our taxes 50% and cut the size of Goverment 50%- that was easy.
Please let's not confuse "middle class" with "middle income." There is no such thing as "middle class." You either have class or you don't. Now then, somebody please provide a definition of "middle income."
found this....
The first question with Democrats is always, how do they define middle class? For Obama, it seems to be families making up to $75,000 per year. A family of four living on that much money in Fallon, Nev., would qualify as upper middle class if not, in some circles, as upper class. But a family of four trying to live on that amount of money in Manhattan or Los Angeles or San Francisco or Chicago would not be making it, period. In other words, Democrats' definitions of "middle class" must be thoroughly examined and radically altered to be brought into reality.
Most of MA families are screwed
How about helping the largest percentage of taxpaying Americans. Don't most of us make under $150K? I understand that about 90-95% of us are under that amount. Let's give a stimulus check of say $20K - $50K to every taxpaying citizen uner the $150K limit. We will spend the money on many things and help get the economy going. That's the only way this bailout money is going to get to the people who need it and will spend it. The banks are borrowing money from the Feds at 0% but interest rates on mortgages, credit cards, auto loans, etc have barely moved down, if at all. The feds should force the banks to lower rates and loan out this money or pay a higher rate. Maybe this wouild get them to move. Also any institution getting help from the government should be required to cut costs, bonuses, stock-options etc.
I used to be middle middle class and now I'm lower middle class even though I make more money. The rich get tax breaks like nobody else, including incentives to send jobs overseas! It's about time somebody thought about the middle class.
Dave P. - the rich get cut taxes by outsourcing overseas. They get tax cuts through building a house overseas and claiming it as their primary residence, even if it isn't. They don't have to pay any taxes at all to the people they hire overseas and it cuts into our tax base. They don't have to pay for unemployment insurance or social security.
I say that for every job shipped overseas business owners should have to pay into unemployment to help pay the benefits to Americans who get laid off as a result! And they should still charge those overseas people social security taxes.
How do you expect to correct the economy without a focus a mission to stop Forcloser? American's are becomeing Homeless! . Life Saving Gone!!. The
Lending Standards were lowered so Everyone could afford a Home. Driving
Deman and Home Price UP! This lead to Spectulator buying homes to resale them. Both these Mortgage types were HIGH Leverage Security's The Lending Institutions sold the Mortgages to Wall Street.. Wall Street Sold them as investment. The Economy Slowed Mortgage's Defaulted. Home values
fell.The regulation of marking investment to market at the lower values started the
crisis. The Goverment had American's return the Brokerage and Banks their losses while they go Homeless and you call that Correcting the problem. PLEASE LOOK AT the PROBLEM not the AFTER MATH!!!! AS the Public Realizes the TRUTH
GOD help you POlititions
cri
R
Hay Dave P.... why don't we just abolish taxes all together?! Yeah! that's the ticket! And while were at it, lets cut Congress in half, because really now, how are Wyoming and the Montana REALLY important to to the overall country? They have no big cities, no "wicked good" sports teams. We are just giving them free money off the backs of hard working East-Coasters!! YEAH!!! Then we can vote for a universal pay raise of $20k per citizen. Think about it... That wont effect the rich b/c well the sneeze $20k every day! Meanwhile, good old middle class people will have a nice amount of spending money to buy all the ipods, HDTVs, and SUVs they want. And maybe build that 3rd floor addition to house all the crap they own the past twenty years.! WOO HOO!!
Just one thing for me though, DAVE, don't CRY about potholes when you hit one. Don't be a Masshole when there are long lines at the stores. Don't complain that inflation makes a gallon of milk $8.49. Or that violence in your town is out of control b/c they funding for Police takes a dive. Or the hospital won't take your sick mom in b/c she doesn't meet the requirements for help. Or the vaccine you desperately need from a flu pandemic is non-existent b/c the funding is gone to even make it.
YEAH I'm with you, Dave!!! 100% Who needs all that?
You want to help us in the middle class stay out of our lives! Cut taxes, Shrink Government and quite spending money we don't have.
This is class warfare at its finest. The Obama / Biden administration is trying to look like they are helping the middle class, but in the end the bomb will drop and they will raise middle class taxes to support their frivolous / stupid spending. (Like giving rebates to Illegals and paying for abortions overseas, etc.etc..)
Also, please don't dictate to me what type of job is good and which are bad.
I didn't vote for Obama but I hope he does all he says he can and turns out to be one of our greatest Presidents. One of the most important things is to straighten out Congress. Put them on medicare and social security and you will see both of those problems get resolved very quickly.
Why is it in this country we only allow our President to serve 8 years but these hacks in Washington keep going on and on and on. When this country was established political service was supposed to be just that, a temporary job, but somehow these guys have made it a career.
Barney Frank, one of, if not the one who created the horror show with Fanny May and Freddie Mac by demanding that there should be no restictions on their lending practices a few years ago is now screaming that we should never have let them run free with some oversight.
Another great Massachusetts politician who should be thrown out of office!
Enough of the tax cut mentality...Bush cut taxes...and that got us where? Dont tax the rich anymore?? Are you kidding me..its more like dont tax the rich any less..we need to pay off our deficit, and if that means raising taxes and cutting spending to accomplish that goal, then everyone needs to sacrifice..
Even the rich...........
Sounds great. Let's start by taking away all of John Kerry's and Ted Kennedy's money and giving it to the middle class. Then let's go after all the Hollywood left's money and the rest of the rich leftys.
Don't hold your breath for any of that though. Funny how someone else always winds up paying for the left's pet projects.
You critics had your turn to run the world. Look where you brought us. Step aside, the silent majority is in charge now.
How about credit card reform that doesn't have loopholes? After all, where else can you get a loan for up to 28% interest and have that be legal?
So many people are suffering, and there's mounting credit card debt because of it. They use the cards to make ends meet, but the high interest rates cause the debt to grow like a pothole in the winter.
The previous credit card reform capped the interest rates on credit cards that were not drawn off banks. So what did the companies do? The incorporated banks and hiked their rates. It's time to take that loophole out!!!
They make references to the past 8 years because we are now paying for the past 8 years... its hard to talk to the future without referencing the past.
I agree, what's past is past, GW may have been a lot of things, but this crisis can be found along with other past Administrations. Enough talk already....just DO SOMETHING!!!!....
No taxes for ANYONE..... maybe someone should talk to Du-NOTHING-val....he doesn't seem to care that the middle class is sinking fast.
This is easy. Let us keep more of our own money and get out of our lives.
That's excellent. The fool who says it is patriotic to pay more in taxes is in charge of this amorphous task force which defines neither "middle-class" nor "working-class."
This one kills me... "Middle-Class" should be defined geographically based on the cost of living, rather than by using a static dollar amount... A family living in Detroit earning $50K a year is "middle-class" - The same family making $50K a year and living in Boston is not.
FWIW, I think the same should apply to your tax rate.
Why does the heading begin "Obama launches task force to help middle class
Led by Vice President Joe Biden, the task force will be one of his primary duties and will include top-level policy makers".
Should we give him the due respect and address him as President Obama? We did if for Vice President Biden. Well?
This economic stimulus, no one has told me why we have to do this again? At least the Bush Administration tried to give some explanation. Why are we giving banks who do bad business money to keep running? If you're a bank, and lent bad money you deserve to go belly up! If your a customer of one of these banks you deserver to loose you're money. How about doing some research people? Why anyone would put their money in bank of america or citibank, etc., is beyond me, everyone knows these companies are crooked. Use a credit union! Keeping crooks alive with this stimulus package, is everything that is wrong with this country!!!
Ok economics 101, how can you have a middle class when you manufacture nothing? I would love to see Obama turn this around. However, the job base in the United States has deteriorated so badly over the past eight years, that his hands are tied. Thirty years of offshoring has so damaged our country, I feel we can never recover.
This economic stimulus, no one has told me why we have to do this again? At least the Bush Administration tried to give some explanation. Why are we giving banks who do bad business money to keep running? If you're a bank, and lent bad money you deserve to go belly up! If your a customer of one of these banks you deserver to loose you're money. How about doing some research people? Why anyone would put their money in bank of america or citibank, etc., is beyond me, everyone knows these companies are crooked. Use a credit union! Keeping crooks alive with this stimulus package, is everything that is wrong with this country!!!
BingoDingo. There may be defintions but not everyone follows them. I know people who think anyone making more money than them is rich.
Ron G. How about the Democrats who got raises during this time? Did none of them make a dime during this time?
As for my own opinion: A bunch of people who are not middle class will come and tell us how then can save us. Just as long as we give them their money and don't ask questions
Ok economics 101, how can you have a middle class when you manufacture nothing? I would love to see Obama turn this around. However, the job base in the United States has deteriorated so badly over the past eight years, that his hands are tied. Thirty years of offshoring has so damaged our country, I feel we can never recover.
This economic stimulus, no one has told me why we have to do this again? At least the Bush Administration tried to give some explanation. Why are we giving banks who do bad business money to keep running? If you're a bank, and lent bad money you deserve to go belly up! If your a customer of one of these banks you deserver to loose you're money. How about doing some research people? Why anyone would put their money in bank of america or citibank, etc., is beyond me, everyone knows these companies are crooked. Use a credit union! Keeping crooks alive with this stimulus package, is everything that is wrong with this country!!!
Two things to stimulate me: Get the 30 year fixed mortgage rate into the middle 4's for new and refi and cut taxes. I could do a lot of spending with an extra $400 a month in my pocket.
I agree Forrest. I probably make a fortune compared to someone in Oklahoma. But in Boston, I can't afford a home, can't afford these expensive restaurants, and can't even afford to vacation? Does my salary make me upper class? Or does the fact I can barely live on it make me middle class?
Definition of middle class varies depending on earnings and cost of living, which varies on where you live. In some parts of the US, 100k is lower middle class, like in MA, or southern CA. If I earned 100k and lived in upstate NY, I'd be upper middle class or more b/c houses cost 50-100k. The middle class does need help, and it could start with helping us save for retirement, reducing the burden of college expenses by offering grants, not loans, based on minimum academic achievements, and somehow instituting universal health care. Stop the war, bring that money home, work to reduce illegal immigrants, build green jobs-based economy. You need to give Obama a chance. This plan is a decent start, not perfect, but a start.
@#11: ASpaulding, that's not the Constitution, it's the Gettysburg Address
If you are in a union or do physical labor, you are working class.
If you work in an office job or have a professional degree, you are middle class.
If you don't have to work and can live on your investments, you are upper class.
Middle Class / Working Class Raise Taxes/ Lower Taxes Who Cares?
If the Houseing and Manufactureing Base is not brought back up. There will be no Income and No Tax. Then you can just print money and hand it out to EVERYONE!
That will create a REAL Deficite FIX THE PROBLEM NOT the AFTER MATH
As the Problem Grows The FIX becomes Harder ! GET HONEST!!
When is the 700 billion dollar consumer bailout coming that will pay off all of our credit card debt? The government is shelling out a ton of bailout money yet I don't think the average American consumer will ever see the benefit from this.
Why do so many people who obviously are not from MA post on Boston.com? Is this like a Rush Limbaugh inspired prank or something? I have lived in whole life in MA, never have I met people as dumb and beligerant as those with the whiney, insecure, right-wing kneejerk reactions I have to read on these comment boards.
Why can't these people post on Drudge or FoxNews or something? Do they not have open comment sections where you can all talk about how Obama is going to bring Armenggadon down upon the wonderful society Bush built? Can you leave Boston.com to people who actually live here and read the Globe, please? So sick of the b*tching..
I'm insulted! The backbone of America is equality! We are supposed to live in a classless society!
Bush was an idiot disguised as a Republican/Conservative - he was neither and acted like a liberal - spending like a drunken sailor. It seems O'Bama is going donw the same track as fast as he can.
People out of work need jobs and industry will hire only if they can make a profit. Profit is closely linked with taxes and regulation. I am afraid O'Bama's view is full employment by hiring 100,000 more IRS agents.
Glad to see a healthy discussion.
i really hoped that when Obama, got into office, you lefties would stop with the 'it's Bush's fault' crap. giving you even that amount of credit was far too much. I'll try to make it simple for you: you 've got the White House, you've got the Congress (and have had it for years)...now look what they're coming up with...a stimulus package that does not stimulate anything but the pockets of those they are indebted to. Every Republican voted AGAINST this stimulus package because of all the ridiculous waste (i.e., pork) put in there by YOUR saviors, the Democrats.
I'll give credit to the Dems because they're doing the same thing that has worked (for them) regards welfare all these years, but now expanding it to the 'middle class'. They promise to make your lives better, but really only make you more dependent on the govt for everything. Ask those on welfare how much that has improved their lives. if you lefist fools cannot see the obvious, i'm happy to watch you suffer the consequences.
JAck, I think you are confusing the "economic stimulus package" with the proposed "bad bank package". There are two different bills being talked about right now, each one is different. One is to try and spur the economy by spending $$ on infrastructure, paying people to fix roads and bridges etc. The other bill is to save the banks (because even though they've been mismanaged horribly, without them the problem could get much worse).
Hate to say it.. but taxing " those who make over $100,000 and really taxing those who make over $250,000 is going to be the ONLY way this President will be able to pay back the package he just put forth. How do you think we will ever catch up with Social Security..that's right the SS will be raised..it's listed on the whitehouse website for everyone to see.. My wife and I make $250,000 a year combined.. and TRUST me.. I am no where from rich.. considering we pay $112,000 to the state, govt and SS for taxes... If you taxed me less, I would spend more.. In 8 years you will see how bad his idea where.
When I was out of work during 2007, my COBRA ate up all my unemployment and I was forced to use my credit cards to keep up with home expenses including my mortgage. Now my credit cards are maxed out, my interest rates and fees on them are ridiculous and I feel like I am drowning. I have lost complete faith in the banking system. In a perfect world, it would be great to have all credit card companies' interest rates and fees capped so that during a recession of this magnitude, people could still feel alive. I am lucky to have a job but trying to turn around and dig out is exceptionally difficult. You talk about middle class, how about just trying to survive. Citibank is a very big offender of not working with their customers whether they are deathly ill or out of work, they don't care whether you can afford your payments or not, they hound you if you try to make a partial payment and they slap you with outrageous interest and fees if you are late. I would love to see President Obama and VP Biden turn this all around. It is so disheartening that we have fallen apart.
simple as this.....a flat tax.
This is a joke! For the past 2 years, I have been cut out of the Child Tax Credit because 1 child turned 17 Dec 11th and the other the following year Oct 11, This is ridiculous. Kids at this age are more expensive to support, are still in high school and yet, the government takes the child credits away - from the middle class. Stimulus plan, where? not for my family who happens to be in the middle class.
Hey Bozo's the middle class is supporting this socialist country we now live in. If we start getting hit hard and not start getting any breaks soon, we will also fail and your suppport system will be gone,,, so wise up and give the middle class - tax breaks. What ever your definitoni of middle class is...
Stop spending. Tax me 1/2 this year for income tax and make government smaller, that will help stimilate the economy. Remember, if you lose the middle class, your out of business.
Matt, We're already paying top dollar for an SEC and FDA that are doing such a bang up job that ponzi schemes and salmonella runs rampid! It's a joke! The problem is there is too much government spending and they aren't doing their jobs. There are countless gov't agencies that are absolutely USELESS! Weed them out! I have to give props to Obama for taking a leadership role where Bush couldn't even formulate a complete sentence. And Jack, merely weeks prior to "the world is crashing down, we need 800 billion" Bush looked us all in the eye and said the economy was fine. Give me a break! Zeke, we can recover but we need fair trade, not free trade.
How about forgiving student debt in exchange for community service?
Bush Administration equals white collar crime at it's best! Blue collar crime affects a few White collar crime affects us all. And if you are not affected, I am sure a friend or relative has been. Cut taxes, reduce government spending, get rid of all the special interest groups, let go of 50% or more of the government seats. All these cooks have spoiled the broth. Homes values drop, tax rates go up not down. That is BS. I do not care how much money one makes, noone should have to give up more than 20% of there annual income and I am being generous.
I make 200K+ and pay 60K+ in taxes...that's robbery.
Eight years ago I made about 50K. How did I do it? I worked hard and thank the GOP to keeping Government off my back. But...I need my taxes lower in order to spend more in this economy. We should NOT be giving money to people who do NOT pay taxes. How UNAMERICAN. By the way...most people who are "poor" as I have been move into the middle class and wealthy. That's a fact. Maybe the Globe can do a story on that.
this is an old trick. set up a task force. it can go on for ever, make a report that nobody reads, allows the admin. to brush you off. waiting on the task force report. nothing gets done. been there done that.
Banks got Billions in Bail Out, near 0% from Feds every day, make them give pay pack with 4% interest mortgage for new buyers and for people that want to refinance. See how quick the economy will grow.