[Marxism] Is Paul Krugman cribbing from Monthly Review?

Charlie charles1848 at sbcglobal.net
Mon Nov 18 13:14:42 MST 2013


Louis Proyect wrote:
 >
When someone lost 50 percent of the value of their 401K or IRA in 2008 
now sees it at 50 percent higher than its previous high-point, they 
become mollified. I say that as someone who has had many conversations 
with such people in Columbia IT. I am sure that someone who has a job as 
coal miner or UPS driver feels exactly the same way.
<

So sentiment goes up and down with the stock market?

1) Retirees who need to withdraw feel market down periods more 
intensely, with lasting effect since the account no longer receives 
contributions.

2) Don't lots of Columbia IT employees earn well above median wage 
(currently about $770 a week for full time workers)? The amounts in 
typical accounts are far too small to provide a comfortable retirement 
on top of Social Security. 401K accounts exacerbate wage inequality, 
because it is easier for a higher-income employee to save a given 
percentage of earnings, while lower-income workers must spend on current 
basic needs.

3) Want to bet on whether the typical workers' account will keep up with 
inflation over the next decade or two? That would be a compound of the 
performance of the stock market and the degree of plunder from the 
little guy in the market by Wall Street professionals.







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