Monday, April 15, 2019

If you really want to understand why Trump is President:

For Americans who are still trying to figure out why Trump is President, the answer is simple -- we automated away millions of manufacturing jobs in the Midwest, and Trump spoke directly to the fear and anger of those voters. He promised them that he would restore those jobs -- a promise on which he has notably failed to deliver. Here's the reality, though: The financial crisis of 2008 brought our 14 million manufacturing jobs (itself a low plateau from the 17 million in 2000) down to 11.4 million, and 10 years of expansion has only brought us back up to 12.8 million.
end partial quote from:
https://www.cnn.com/2019/04/14/opinions/greatest-economic-transformation-andrew-yang/index.html

Of course there is more to it than this. Because then you have to mention that the Great Recession Gutted the middle class of their wealth by stealing their homes by putting them underwater through the banks.

And most of that wealth has NEVER been replaced there in the middle Class. So, the middle class really got ripped off in a really severe way which made them want revenge on the upper class of America. However, that has completely backfired with Trump. 

The main result of Trump is the beginning of the end of our democracy, unfortunately.

The only people who were able financially to recover from the Great Recession are those people who owned Stocks and didn't get out of the market.

For example, if you bottomed out with stocks down to  6,469.95:
On September 29, 2008, the DJIA had a record-breaking drop of 777.68 with a close at 10,365.45. The DJIA hit a market low of 6,469.95 on March 6, 2009, having lost over 54% of its value since the October 9, 2007 high From the day of the 9-11 attacks to the market low was (911 + 911 + 911) days.

And then if you rode the market up in Blue chip stocks with dividends to the present then as you can see
you have multiplied your investments by almost 4 times since 2009. There really aren't other ways to have successfully done this for most people. So, when people got out of the stock market who were middle Class often their underwater homes took them only to bankruptcy and they lost the greatest opportunity for financial success by getting out of the stock market then in 2009. However, it is also true that you had to have nerves of steel to have successfully done this AND you had to leave your money in and not touch it much since 2009 as well to have multiplied your long term investments by almost 4 times to now here in 2019 10 years later.

But, you also had dividends if you were in the right blue chip stocks in order to make the risks worthwhile of keeping your money in the last 10 years too. So, only the upper classes could do this successfully because of the dynamics of the Great Recession. And the anger and rage of the financial rape of the middle Class by the Banking system gave us Trump.

No comments: