{"id":9536,"date":"2014-04-25T17:54:17","date_gmt":"2014-04-25T17:54:17","guid":{"rendered":""},"modified":"2014-04-25T17:54:17","modified_gmt":"2014-04-25T17:54:17","slug":"the_real_story_of_american_income_mobility","status":"publish","type":"post","link":"https:\/\/admin.rushlimbaugh.com\/daily\/2014\/04\/25\/the_real_story_of_american_income_mobility\/","title":{"rendered":"The Real Story of American Income Mobility"},"content":{"rendered":"

\"Listen<\/a><\/p>\n

RUSH: “Professor Mark R. Rank of Washington University, co-author of Chasing the American Dream: Understanding What Shapes Our Fortunes, tells a different story –” than this Thomas Piketty book from France.<\/a> “– in a review of his own and others\u00c2\u2019 research in last Sunday\u00c2\u2019s New York Times. Far from having the 21st-century equivalent of an Edwardian class system –” which is how the Obamas and the socialists view America today, “– the United States is characterized by a great deal of variation in income.” We\u2019re all over the place. <\/p>\n

Here are some stats and these are Census Bureau numbers. “More than half of all adult Americans will be at or near the poverty line at some point over the course of their lives.” More than half. Now, I don\u2019t know about you, but I have been three times. I have been broke three times in the 1970s and \u201980s. I was at whatever the poverty line was. And according to the research here more than half of us will be either at the poverty line or near it at some point over the course of our lives. I\u2019ve been there three times. <\/line><\/p>\n

“Seventy-three percent will also find themselves in the top 20 percent,” at some point in their lives. Not forever. They\u2019re going to have good years, bad years, a couple of good years in a row, three, four good years in a row. The bottom will fall out. But 73 percent of Americans will find themselves in the top 20 percent of income earners. These are important numbers. These are not insignificant. “Thirty-nine percent of Americans will make it into the top 5 percent for at least one year.” Thirty-nine percent. That is a large number of people to make it to the top five percent for at least a year. <\/p>\n

But what does that mean? It means that people who get there don\u2019t stay; that many of them fall out of it. Because income is not something that\u2019s steady.<\/a> You don\u2019t earn the same amount every year. It\u2019s tough to get people to agree to pay you an amount of money that\u2019s big. In many cases to earn that kind of money you have to be in business for yourself, or you have to be surviving on commission sales of some sort. There\u2019s more to this, folks, too, it gets even better. <\/p>\n

BREAK TRANSCRIPT<\/line><\/p>\n

RUSH: Seventy-three percent of us will find ourselves in the top 20 percent. Thirty-nine percent of us will make it in the top five percent for at least one year. “Perhaps most remarkable, 12 percent of Americans will be in the top 1 percent for at least one year of their working lives.” If you listen to people like, take your pick, any Democrat, Barack Obama, Dick Gephardt, this is not possible because the only people that end up in the top five percent, one percent, are called the winners of life\u2019s lottery, and that means the lucky. They were born to it, or they got lucky with some invention. Never is it hard work. Never is it industriousness. Never is it creativity or entrepreneurism, unless it happens to be one of them. <\/p>\n

But as a political matter, as they make policy, it simply is not possible to work from nothing. You\u2019ve gotta go to Yale. You\u2019ve gotta go to Harvard. You\u2019ve gotta have the right connections, know the right people, be in the right network if you even have a chance of making $100,000 a year. And right here, 12 percent of Americans will be in the top one percent. <\/line><\/p>\n

Now, NBC went out and hired a psychological executive to profile David Gregory to figure out why it is his ratings are falling in Meet the Press. They were trying to figure out why is it that David Gregory doesn\u2019t relate. Why do massive numbers of millions of Americans not relate to David Gregory? And I\u2019ll guarantee you the answer can be found right here. If you throw these numbers at him he would not believe one word of this. This is the exact view of America I have. <\/p>\n

When I read these stats, this is you. You and this audience. Some of you in the top one percent, some in the bottom 30. Some of you are flirting with poverty now and then. You\u2019re in and out of it. You\u2019re active. You\u2019re living. You\u2019re taking chances. You\u2019re doing things. You\u2019re on the go. You\u2019re trying to make the most of the one life that you have. <\/p>\n

Things happen. Good things. Bad things. You adapt as the bad things happen. You celebrate when the good things happen. When the good things happen, you try to sustain them. We all do. “Okay. What happened? What made this good thing happen so I can keep doing it?” We all do these things. But if you are an American liberal today you disdain all of this. None of this is real. None of this is possible. The state makes this possible for people. People are not this competent. People are not this capable. People can\u2019t do this on their own. If they do, they\u2019re cheating or they\u2019re stealing or they\u2019re not paying enough in taxes or whatever convoluted explanation leftists come up with to explain prosperity. <\/p>\n

In their world view, posterity isn\u2019t genuine. It\u2019s an accident. It\u2019s luck. Folks, I\u2019m telling you, that\u2019s the worst possible person to have lead the country, who thinks that prosperity is an accident, who thinks that prosperity and good fortune is luck. Luck is where preparation meets opportunity. That\u2019s all it is. Luck, some say, it\u2019s the residue of hard work meeting opportunity. But you can\u2019t have people who do not believe in this leading this country and have this country remain what it has always been. It just can\u2019t happen. And we do now have people who do not believe this that are running this country, and they think this is all lies. It\u2019s unjust. It\u2019s monkeyed numbers. It\u2019s unfair. They don\u2019t think it\u2019s possible. And they look at their own lives. <\/line><\/p>\n

The wealthy left ?? forget the Hollywood left and forget the pop culture left. But look at the people that are wealthy on the left who really don\u2019t work for it. They feed off others. They feed off the donations to the think tanks they run. They feed off of the donations from George Soros. They feed off of the ancillary dollars that government hands out in grants and so forth. That would be scary to depend on. That would require connections. That would require sucking up to people. That would require knowing the right people. That would have nothing to do with being good at anything. That would have everything in the world to do with being artificial and phony. And that\u2019s what they are.<\/p>\n

Anyway, if we don\u2019t have leaders who believe in this being possible, and we don\u2019t right now, that\u2019s the problem. We need people who are in leadership positions who believe this, who can inspire it in others. If you\u2019re a young millennial and you\u2019re coming out of school and you\u2019ve got your degree and it\u2019s in some worthless liberal arts major or what have you, because that\u2019s what you were told to do and your future is looking pretty bleak. And you\u2019ve got a leader who tells you, “Yeah, it is pretty bleak, leave it to me.” That\u2019s no good. <\/p>\n

Great leaders inspire people by telling people what they are capable of, what is possible, what needs to be done, what can be done. It\u2019s happening in little enclaves all over this country. Small companies, large companies, it\u2019s happening in a lot of places. It is not happening at government. And it is not being inspired by government or from government. Government doesn\u2019t create wealth. All government can do is redistribute it or destroy it. <\/line><\/p>\n

What young people today need is what young people in this country have always had, and that is optimistic role models, people willing to inspire them. People willing to tell them what\u2019s possible. People willing to remind them they live in the greatest country on earth and what\u2019s possible here and who have enough knowledge who can cite examples. People who came from all walks of life, born in all kinds of socioeconomic circumstances, who made the most of their lives. Not by virtue of luck. Although there\u2019s luck in there. Everybody needs help. Everybody gets assistance. Nobody\u2019s totally self?reliant and nobody ever makes a claim that anybody is. <\/p>\n

But the Democrat Party is hell bent on convincing as many people as possible that no success is really earned. Their lifeblood depends on as many people believing that there is no real success. That everything is a rigged game, comes from connections, who you know, who you\u2019ve greased, however you networked to get where you are. That hard work and industriousness and creativity and coming up with something new, ingenuity, none of those things matter.<\/p>\n

We don\u2019t need all this negativism. We don\u2019t need all this malaise, this cloud, this overcast, this mist of despair all over the country that we are being led by now. And the solution is income equality? That is the big answer to everybody\u2019s economic dreams? I ask football coaches, NFL coaches, as I get older I wonder if the game is going to change. Everybody does. I remember I talked to Bill Parcells. It was at a Wayne Huizenga golf tournament, Wayne Huizenga course in Palm City, Florida. This must have been 10 years ago, maybe longer. And I remember once I talked to Harry Caray, one of my childhood heroes, baseball play?by?play for the St. Louis Cardinals. <\/line><\/p>\n

After awhile I outgrew baseball. The baseball players that were my heroes growing up, when I became older and I got to be older than the players they stopped being the same kind of heroes to me. And so I would ask these experts, I asked Harry Caray, “Is the game the same, Harry? Is it as good as when Musial played? Are the stars as good when Schoendienst was at second base? Dick Groat at shortstop, Curt Flood in centerfield?” <\/p>\n

He said to me, “Oh my god, the game\u2019s never been better. Rush, I\u2019m in Chicago. I\u2019ve got Ryne Sandberg at second base. I\u2019ve got some of the best pitching I\u2019ve seen in baseball. The game\u2019s better than ever!” Which I was happy to hear. Don\u2019t misunderstand. When I talked to Parcells and I worried, socioeconomic conditions, “Is the game changing, coach? Is it being played by different people now?” He said, “No, Rush, they\u2019ve all got their dreams just like we had when we started. They all want to be in the hall of fame. They all want to be the best. They all want to be the best they can be. The names change. And maybe the styles. But the caliber of player may be better than in the past.” <\/line><\/p>\n

I was happy to hear it. You want that for every walk of life in the country. You want every generation being better. This is the country where this is possible. It breaks my heart that we are being led by a bunch of people to whom all of what I\u2019m saying to you is foreign. They don\u2019t understand it. They think it\u2019s impossible. They think it\u2019s never been real, in fact. The United States has never really been this great country. It\u2019s always had what it\u2019s had because it\u2019s stolen from others or it\u2019s committed genocide around the world or it maimed native Americans and enslaved black people and so forth and they live in this historical backwater where they\u2019re unable to get past what they see as genuine horrors that are definitive. They\u2019re unable to see past the days where those were erased, dealt with, crisis paid, and we moved on. <\/p>\n

But man, some of these economic numbers of where people end up. I know a guy, he\u2019s passed away, he made and lost a $200 million fortune twice in a period of 10 years. I can\u2019t relate to that. He did it in commodities. His first name was Ned. He was a World War II veteran. He was a World War II hero and nobody knew until his funeral the extent of his heroics, because he never talked about them. But he was just constantly on the go and he always had things in play. Things were always in motion, and there is no way that this man Ned that I knew would in any way even understand the president of the United States trying to establish as a national policy something called income equality. <\/p>\n

You don\u2019t know what it is. Based on what? Based on family size? Based on income quality to buy what? To live how? He would have understood exactly what it is. It\u2019s nothing more than a political ploy right out of the class envy playbook. But what all this Democrat Party politics is doing is destroying people\u2019s dreams. It\u2019s destroying people\u2019s belief in themselves. It is creating envy and jealousy of people who have genuinely succeeded rather than creating role models and curiosities out of people. <\/p>\n

Speaking for myself, I don\u2019t recall ever resenting anybody who had more than I did. I often asked myself why they did. But I never resented it. I knew there was no future in that. But I always wanted to know how, why? How did they do it? And these statistics, 12 percent of Americans will be in the top one percent for at least one year of their lives, and then there\u2019s more. The top one percent is such an unstable group of people. It changes so much every year it makes no sense to write about what\u2019s happened to the income of the one percent over the past 10 or 20 years because it doesn\u2019t contain the same group of people from year to year. <\/p>\n

It\u2019s ridiculous to study the one percent. They are not the same people year in, year out. Yet you listen to the Democrat Party talk about them and they are this collective group of evil people, they belong to this club and that club. It\u2019s time we got our arms around all this and realize that we live in the greatest place on earth where the greatest things possible still are and that\u2019s what we have to strive to save and remind everybody younger than we are that it is indeed possible. You gotta be inspirational, motivational.<\/p>\n

BREAK TRANSCRIPT<\/p>\n

RUSH: Here is the final bit of data here from Mark Rank of Washington University<\/a>, which is the best counter to this Thomas Piketty book. We left off with the fact that top one percent are such an unstable group of people, that people move in and out of it. You think of the one percent as Warren Buffett and the Koch brothers and Bill Gates. That\u2019s the 1\/10th of one percent. The one percent, 12 percent of the America are going to be in that group at least one year of their lives. It\u2019s small, but at least 12 percent are going to move in and out of it. But you can\u2019t study it. You can\u2019t make any definitive socioeconomic claims about them because they change too often. <\/p>\n

It does not contain the same group of people from year to year. There\u2019s a tax scholar by the name of Robert Carroll who has examined IRS records, and Professor Rank notes “that the turnover among the super-rich (the top 400 taxpayers in any given year) is 98 percent over a decade — that is, just 2 percent of that elusive group remain there for ten years in a row.” Now, you listen to Barack Obama and the Democrat Party, Joe Biden and Dick Gephardt, and you\u2019re going to be told they\u2019re the same people. They\u2019ve been there since the day they were born. They will be there until the day they die and then their families take over. They are this evil, faceless group of people that start sipping cocktails at 4:30 in the afternoon playing polo or croquet, clipping coupons, don\u2019t even know when the country\u2019s at war. <\/line><\/p>\n

That\u2019s not who they are. They are you. They have been your neighbors. It\u2019s the essence of freedom and liberty and opportunity that makes this possible. It is not command and control economics. It\u2019s not people assigning these incomes to people. It\u2019s not networking. If you could network yourself into this situation you\u2019d stay there forever. It\u2019s work, folks. It results from work. It results from creating things that people want, producing services people are willing to pay for, and then staying on the cutting edge so that your competitors don\u2019t outdo you. Capitalism is blood lust. <\/p>\n

Look at what\u2019s going on with Apple and Samsung and everybody in the smartphone industry right now. It is some of the bloodiest competition you will find in the civilized world. And it is unfair and it is filled with tricks. It\u2019s filled with chicanery. It\u2019s filled with deception. That is what it is. And the big boys play in that league and if you want to be a big boy in that league there\u2019s a route you take to get there, and you can in the United States of America. Some people don\u2019t want to go that high. Some people don\u2019t want to get involved in that game. Some people don\u2019t have the stomach for it. Some people don\u2019t want to deal with the stress. Other people thrive on it. We\u2019re all different. <\/p>\n

We cannot ever be the same. It\u2019s one of the most profound insults, particularly for a leader of a country like this to even assume that sameness is possible. It\u2019s even worse to assume that sameness is an objective. So two percent of the super rich remain there 10 years. Two percent. The top 400 taxpayers in any given year remain there for 10 years. <\/p>\n

“Among those earning more than $1 million a year, most earned that much for only one year of the nine-year period studied, and only six percent earned that much for the entire period. ‘Ultimately,\u2019 Professor Rank writes, ‘this information casts serious doubt on the notion of a rigid class structure in the United States based upon income. It suggests that the United States is indeed a land of opportunity, that the American dream is still possible — but that it is also a land of widespread poverty.\u2019 Data from the Bureau of Labor Statistics finds that among the allegedly privileged 1 percent, inherited wealth accounts for only 15 percent of household holdings, a smaller share than it does among middle-class families.”<\/p>\n

There is going to be poverty in great wealth. There just is. You\u2019re always going to have extremes in everything. There is no flat line, folks, unless you\u2019re dead. And then your line is flat. There is no flat line. But poverty in the United States of America is not like poverty around the rest of the world. Those in poverty in this country eat regularly, drive cars, watch television, and make phone calls. I get lambasted every time I make that point, but that\u2019s Robert Rector citing statistics that he\u2019s worked up at the Heritage Foundation year after year after year. <\/p>\n","protected":false},"excerpt":{"rendered":"

RUSH: “Professor Mark R. Rank of Washington University, co-author of Chasing the American Dream: Understanding What Shapes Our Fortunes, tells a different story –” than this Thomas Piketty book from France. “– in a review of his own and others\u00c2\u2019 research in last Sunday\u00c2\u2019s New York Times. 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