Are Americans Entitled To A Continuously Soaring Standard Of Living In Excess Of The Rest Of The World?
Americans seem to have some regrettable belief that simply by being Americans, they are entitled to a superior and increasing standard of living. False. That might have seemed to be the case for many decades, but they are in for a terribly agonizing surprise. An ever more global economy is a fact, and although the subject is to some degree overworked, it is true that Americans cannot demand to be paid handsomely for similar work that Asians are prepared to perform at a far lower wage. Nor can companies in India, China, etc., expect to be able to always pay those low wages forever. There probably will be some form of a "meeting in the middle" during the coming years with Asian wages growing and American wages falling. That's good news for Asians, but bad news for a lot of Americans.
To a large degree, Americans are living off the heritage of our former free-market, small-government, capitalist economy that has been the engine that provided the rising standard of living Americans used to experience and today's Americans seem to expect. I say former, simply because we have anything but that any longer. The central government tries to manage wealth creation while creating no wealth whatsoever. Its main products are regulations, unsuccessful programs, and aggressive foreign wars. None of these has a constructive impact on the prosperity of this country, and I believe that the "military-industrial complex" that President Eisenhower cautioned us about might be the most destructive factor of all. Anyway, given his armed forces experience he sure must have known all about it. War is unbelievably costly, and as we've observed, once we get into one the attitude becomes one of "we need to have victory thus we need to expend whatever is required to achieve it." Sounds like a path to national bankruptcy. Think about what could have been accomplished with the cash we've allocated to these wars. And that doesn't even include the social damages to individuals and families.
In any event, downsizing on a personal level will be the new thing to do, whether we like it or not. A continuously improving standard of living derives from private savings and investment, hard work, along with a political environment created by a government that does not behave like business growth will proceed no matter what the government might decide to do to impede it. As far as those things are absent, so also will growing private wealth be outside our grasp.
One does not have to like the laws of economics, and one may utilize the services of those with mistaken views to get the answers one wants, however the facts remain the same.
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