Economic Recovery Mainly Focused on Ultra Rich

While the White House continues to tout figures that indicate an economic recovery, most of the benefits from this rebound are focused on those at the high end of the income scale. But even the Wall Street Journal, a beacon of traditional conservative thought, is now questioning the validity of the trickle down effect. As noted in a story in yesterday's edition: "Upper-income families, who pay the most in taxes and reaped the largest gains from the tax cuts President Bush championed, drove a surge of consumer spending a year ago that helped to rev up the recovery . . .Lower- and middle-income households have benefited from some of these trends, but not nearly as much. For them, paychecks and day-to-day living expenses have a much bigger effect. Many have been squeezed, with wages under pressure and with gasoline and food prices higher. The resulting two-tier recovery is showing up in vivid detail in the way Americans are spending money."

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