The First Gilded Age...
You're Probably Getting Screwed
Welcome to You’re Probably Getting Screwed, a weekly newsletter and video series from J.D. Scholten and Justin Stofferahn about the Second Gilded Age and the ways economic concentration is putting politics and profits over working people.
To challenge economic concentration in this country, there’s no easy fix. With all of the bad news and people from Silicon Valley (Elon, cough, cough…), it’s refreshing to see what Jeff Atwood, a software developer, author, blogger, and entrepreneur, is doing.
First, Jeff announced that he plans to give away half his wealth in the next five years. Along with generous donations to 8 nonprofits, there’s a major investment into a Guaranteed Minimum Income (GMI) project. This project will be starting in two rural counties that have been left behind, you can learn more here.
Additionally, he gave a speech at Cooper Union titled “Rebuilding the American Dream: A Path Forward.”
From Jeff’s speech and latest blog post:
We can no longer say “Gilded Age”.
We must now say “The First Gilded Age”.
Today, in our second Gilded Age, more and more people find their path to the American Dream blocked. When Americans face unaffordable education, lack of accessible healthcare, or lack affordable housing, they aren't just disadvantaged – they're trapped, often burdened by massive debt. They have no stable foundation to build their lives. They watch desperately, working as hard as they can, while life simply passes them by, without even the freedom to choose their own lives.
On January 7th, Jeff wrote a blog post titled “Stay Gold, America.” In his post, he states:
We are at an unprecedented point in American history, and I’m concerned we may lose sight of the American Dream:
The costs of housing, healthcare, and education have soared far beyond the pace of inflation and wage growth.
We are a democracy, but 144 million Americans – 42% of the adults who live here – do not vote and have no say in what happens.
Wealth concentration has reached historic levels. The top 1% of households control 32% of all wealth, while the bottom 50% only have 2.6%.
We applaud Jeff’s efforts and are eager to follow the progress of his GMI project.
YOU’RE PROBABLY (ALSO) GETTING SCREWED BY:
Cuts to United States Postal Service
Here’s a good campaign from MoveOn.org and RuralOrganizing.org to protect our beloved USPS.
Medicaid Cuts Impact on Rural Communities
Here’s a good 2 page 1-pager from the National Rural Health Association about what the proposed Medicaid cuts would mean for Rural Communities.
Nearly 50% of rural hospitals operate with negative margins. Further reductions in Medicaid funding would force many facilities to:
Reduce or eliminate essential services
Delay much-needed equipment upgrades
Close their doors entirely
23andMe
23andMe, the California biotech firm announced in a statement this week that it had entered the federal bankruptcy process with the goal of finding a buyer to address its ongoing money troubles.
In its bankruptcy announcement, 23andMe said the data privacy of its customers would be an "important consideration" in any sale. But federal law does little to secure genetic information given over to a private company, two legal experts on data privacy said.
Here’s some good advice from Eliza Orlins:
Taxes
Last week, Americans for Tax Fairness released a new analysis showing that undocumented immigrants pay a higher effective tax rate than 55 large corporations and several of the nation’s wealthiest individuals.
In 2022, undocumented immigrants paid $96.7 billion in taxes.
This includes $51.8 billion in federal taxes and $37.3 billion in state/local taxes.
Their 10.1% state/local tax rate exceeds the top 1%’s 7.2% rate in most states.
Work authorization could add $40-137 billion in yearly revenue.
Undocumented immigrants’ 5.27% federal tax rate exceeded that of some wealthy Americans and corporations.
They paid higher rates than five of the richest Americans, according to ProPublica data.
They also paid more in federal taxes than 55 mega-corporations, which contributed $3.7 billion on $200 billion in income.
Corporate subsidies massively outweigh undocumented immigrant benefits.
In 2018, undocumented immigrants received $2.6B in Medicaid (0.4% of total). Undocumented immigrants are not eligible for Medicaid but can receive care for a medical emergency that requires immediate attention.
17 major corporations had 40,737 workers on Medicaid in just 6 states due to low wages and 58,383 workers on SNAP.
Elon Musk’s companies alone received $13B in federal subsidies.
Trump Administration’s Illegal Attacks on Regulatory Agencies
Elizabeth Wilkins, the president and CEO of the Roosevelt Institute, has a great piece on how “Trump’s Illegal Attacks on Regulatory Agencies Are a Gift to Corporations.”
Billionaires
Good News
Book Club is Back!!!
March's book is “Democracy in Power” by Sandeep Vaneesan, the legal director at the Open Markets Institute.
You can purchase “Democracy in Power” here. And be sure to send in your questions for Sandeep by commenting below.
BEFORE YOU GO
Before you go, I need two things from you: 1) if you like something, please share it on social media or the next time you have coffee with a friend. 2) Ideas, if you have any ideas for future newsletter content please comment below. Thank you.
Standing Tall for All,
J.D. Scholten
Amen once again my friend