According to a recent report by the Congressional Joint Economic Committee, spending by U.S. families as a whole on basic household necessities rose more than twice as much from 2000 to 2007 than in the comparable period from 1992 to 1999. Since they reflect spending on basic necessities, it can be assumed that the figures apply to typical working-class budgets.
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The report indicates that spending for food in 2007 dollars rose by $1,361 between 2000 to 2007, compared to a rise of $532 between 1992 to 1999; home energy by $332, compared to a decline of $49 in the earlier period; health care by $3,407, compared to the earlier rise of $1,535; gasoline by $1,053, compared to the earlier decline of $8; and home mortgage by $1,432, compared to the earlier rise of $1,250.
On average, the figures show that annual spending for basic necessities rose by $7,585 in 2000-2007 compared to a rise of $3,261 in 1992-99.
At the same time, workers are earning less compared to eight years ago. Due to the skyrocketing prices of energy, food, clothing, and other basic necessities, workers’ real wages are declining as we barely make ends meet.
Senator Charles E. Schumer, Rep. Carolyn B. Maloney and Rep. Rahm Emanuel—all of them Democrats—took the opportunity to pin the blame on the Bush administration’s handling of the economy. The increase in the cost of living for working people, however, was an inevitable outcome of huge war expenditures and tax cuts for the rich, which most Democrats in Congress supported. As a result, workers’ wages have fallen farther and farther behind inflation, and the tiny capitalist elite has pocketed an even greater share of total income.
In times of economic crisis, the workers’ burden only becomes heavier. The U.S. government’s bailout of Wall Street serves the interests of the capitalist class at the expense of workers who are facing foreclosures, layoffs and social cutbacks.
The La Riva/Puryear presidential campaign demands that the minimum wage be raised to $15 per hour and fully opposes the bailout of Wall Street bankers and profiteers. Taxpayers’ dollars should be used to create jobs that can provide workers with the means for a decent living. No worker should have to struggle to meet their basic needs.
