Great article, that every American should read;  thanks for sharing this
Michael!





On Wed, Jul 17, 2013 at 8:04 AM, MJ <[email protected]> wrote:

>
> *Why Can’t We Party Like It’s 1905?
> *Paul Rosenberg
> Jul 16th, 2013
>
> When writing historical things, I try to include perspective from people
> who actually lived through the events. And for money issues in the US, I’m
> able to do that back to about 1905.
>
> So, do you think life was nasty, brutish, and short in 1905? That there
> were poor and starving people falling dead on every street corner?
>
> Hardly.
>
> The Wright brothers were flying for 30 minutes at a crack; Einstein was
> upgrading the laws of physics; telephones and electric lights were being
> installed all across America; Henry Ford was getting the final pieces in
> place for his moving assembly line and Model T; radio was being developed; art
> was flourishing <http://www.freemansperspective.com/liberty-art/>; and
> the world was more or less at peace.
>
> Sure, we have far more tech and better medicine now, but mostly because
> the people of earlier times (like the 1905 era) gifted it to us.
>
> People in 1905 lived in heated homes, refrigerated their food, had access
> to professional physicians, traveled the 
> world<http://www.freemansperspective.com/why-you-should-run-away/>(mostly on 
> trains and ships), read daily newspapers (there were many more
> of them in those days), watched movies, and ate just about the same foods
> we eat.
>
> So, was it really that bad a time?
>
> No, it wasn’t. In fact, it was better in important ways.
>
>
> *The Facts Don’t Lie*Consider this:
>
> *The working person of 1905 kept his or her money. They ended up saving
> somewhere between a quarter and a half of everything they made – afterliving 
> expenses.
>
> *It’s hard to be completely precise when reconstructing the budgets of
> average people in 1905 (records are hard to find), but we do have enough
> for a good, close guess.
>
> Here’s how finance worked for a working family man of 1905:
>
> Annual income:           $700.00
> Annual expenses:      ($350.00)
> Annual savings:         $350.00
>
> If you’re thinking that I’m taking liberties with these numbers, let me
> assure you that I’m not – I’m being conservative. For example:
>
>    - The income figure should probably be higher. I’ve found figures of
>    well over $800 for construction workers.
>    - As for expenses, I rounded *up* from a New York Times article, dated
>    29 September, 1907. It specified $325 per year.
>    - Added to that is the fact that many people grew their own food
>    during that time, which would skew the figures further.
>    - As noted initially, I compared these numbers with stories I heard
>    from relatives who lived through the time. My uncle Dave, for example, used
>    to tell me how he got a job paying $390 per year sweeping floors as an
>    unskilled immigrant (who spoke almost no English) in 1903.
>
>
> The next time you drive through an old part of town and see the grand old
> houses, remember that people were able to build and buy them because their
> paychecks weren’t stripped bare. There were no income taxes in 1905, no
> sales taxes, no state taxes, and not much in the way of property taxes.
>
> There was also no such thing as a military-industrial complex in those
> days, and – miracle of miracles – *the rest of the world survived!
>
>
> **And Now…*Today, the situation is much, much 
> different<http://www.freemansperspective.com/why-so-hard-to-save-money/>.
> The average working family pays about half their income in combined 
> taxes<http://www.freemansperspective.com/taxes-price-of-civilization/>:
> income taxes (to the state and the Feds), payroll taxes, property taxes,
> gas taxes, utility bill taxes, sales tax, local taxes, and on and on.
>
> So, figuring an average income of just over $50,000 (the 2011 figure). And
> combined taxes of about $25,000, the average American family is left to pay
> bills like these:
>
> Mortgage                     11,000
> Car payments              6,000
> Gas, repairs, etc.         2,500
> Property taxes             2,500
> Food                              3,000
> Total                          $25,000
>
> That leaves people zeroed-out. And again, I’m being conservative, and I
> haven’t included a number of smaller expenses.
>
> And if you think I’m going overboard, look at this graph of the savings
> rate from between 1947 (as far back as I could find) and 2009. This graph
> covers more than families, but it paints a clear enough picture:
>
> [image: money issues in the US]
>
>
> *Great Grandpa Did It, So Why Not Us?*Your great grandfathers faced very
> few of the taxes that we face. (The government survived on tariffs.) There
> was no social security either, and – believe it or not – the streets were
> never full of starving old people. Families were able to take care of their
> own – *it’s not that hard when you’re saving half of your income!
>
> *We have forgotten that it was once possible for an average person to
> accumulate money. The truth is that productive 
> people<http://www.freemansperspective.com/productive-class/>should be 
> comfortable.
> *Well-off,* as they used to say.
>
> So, *why can’t we party like it’s 1905?
>
> *You might want to think about that question. Here’s a thought that may
> be useful:
>
> *You can complain about abusers all you like, but the people who obey the
> abusers are also to 
> blame<http://www.freemansperspective.com/collapse-of-capitalism/>
> .
>
> * http://www.freemansperspective.com/money-issues-in-the-us/
>
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