A time for change

When a few of my friends and I heard about Occupy Wall Street last month, we thought of the exciting prospect of citizens exerting their right to be civilly disobedient. Supporters of this group have the desire to see the greed and fraud on Wall Street come to an end because we are in our current economic mess as a result of dishonesty by bankers and firms. Opponents of the movement, on the other hand, claim it lacks direction—House Majority Leader Eric Cantor succinctly described the groups of protesters as “mobs.” Attitudes like this show the inherent disconnect and lack of understanding political leaders have as to how much the American people are hurting.

Protesters of Occupy Wall Street are demonstrating “civil disobedience” because millions of Americans are in poverty and are struggling to survive. Last month, the Census Bureau released numbers showing that one in six people, or 46.2 million Americans, are living in poverty—an increase of more than 2 million from the previous year. Although it can be said that the current unemployment rate of over nine percent is a contributing factor to this increase in poverty, it does not take away from the fact that over the last 30 years the median income for Americans has increased only by 11 percent, compared to the 42 percent increase in income for the richest five percent. Adding to this jarring figure is the fact that the bottom 60 percent of American families saw their incomes fall, while the incomes of those who made more than $100,000 saw their incomes rise. In a nation which prides itself as being the most prosperous in the world, these numbers are a complete disgrace. Although politicians might be discussing these issues behind closed doors, these figures need to be discussed publicly–and often.

Moreover, struggling Americans feel the government is working against their interests. This past August, our nation was on the brink of economic collapse, as Republicans and Democrats bickered on spending cuts to be made. These brilliant leaders came up with proposals to slash funding for education, environmental protection, and social programs, without raising any revenue on those who could afford them. Republicans claimed they could not raise taxes on the wealthy and on businesses owners because higher taxes would de-incentivize businesses from employing more people and hinder economic growth. While this is a plausible argument, there is no guarantee businesses will in fact hire as we have been in economic crises for four years now.

Looking at the budget passed this past August, it appears that innocent Americans will be punished for the dishonesty and chicanery of firms and big banks. Why else would the spending cuts target numerous social programs? As educated students and consumers, we should remember the bad accounting of housing giants such as Fannie Mae and Freddie Mac who allowed people with meager incomes to buy luxurious homes. We should remember how firms such as Citibank, American International Group, Lehman Brothers, and others let delusions of profits take them to the unregulated realm of “shadow banks,” where they gambled away the fortunes of millions of Americans. Protestors on Wall Street, along with numerous Columbia students, are not quite sure why the CEO’s of these companies are not currently fighting for their lives in court. Are we to assume that morality and the “golden rule” will keep these businesses and banks in check? The answer is a resounding no.

As I worked in Congress this past summer, there is no doubt in my mind that politicians are well aware of needed steps to fix our economy. Republicans know they need tax revenues, but will not pass legislation raising taxes because they benefited from the landmark 2009 Supreme Court case of Citizens United. This case practically got rid of the limits on corporate contributions to political campaigns. Since Republicans fundamentally believe in lower taxes, while Democrats believe in higher taxes for the wealthy, there is no doubt this will unfavorably favor Republicans running for election. Republicans also feel obligated to cut spending, even though we are in a recession, because the Tea Party sympathizers who voted them into power have threatened not to reelect them if they do not. Democrats know that social entitlement programs such as Medicare, Medicaid, and Social Security need reforming, but are hesitant to do so out of fear their bases will not reelect them as well. My experience has taught me that the motto of politicians in Washington is “Get re-elected… everyone can solve their own problems.” How can these politicians be blamed in not relating to the struggles of Americans when, out of 535 legislators, 245 of them are millionaires!

Although I am not an economist, I know that if both parties do not make changes to taxes, loopholes, and the role of government spending, Occupy Wall Street will turn into the widespread mobs Congressman Cantor feared.

Jelani Harvey is a Columbia College senior majoring in history. He is currently the Residential Adviser on John Jay 13, a facility supervisor at the Dodge Fitness Center, an Admissions Office tour guide, a member of InterVarsity Christian Fellowship, and a member of the Multicultural Recruitment Committee. The Niceties of Speculation runs alternate Fridays.