decade of greed - Best Answer - Chosen by Voters The...

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Best Answer - Chosen by Voters The original concept of capitalism is that investors and entrepreneurs are allowed to pursue profits because that's good for everyone. Private ownership and free-market competition drive the creation of wealth, and raise the standard of living. So profit is a means to an end. But under Reagan, we lost sight of this original purpose, profit became the end in itself. This led to the concentration of wealth and slow decline in the standard of living for most people, a trend that continues to this day. Reagan deregulated many industries, in effect destroying competition and creating oligopolies. For example, his deregulation of airlines resulted in every single airline in the US going bankrupt except two. His deregulation of broadcasting resulted in the entire industry being dominated by a few enormously powerful players, like Disney and Clear Channel. Under Reagan, money became more powerful in politics than ever before. So powerful that today we don't really have elections, we have auctions. The candidate who spends more money wins about 98% of the time. This has made it easier for powerful corporations to 'buy' politicians. The concentration of wealth created a whole new class of millionaires, but for each new millionaire there were several hundred new homeless. The poor were demonized and Republican politicians and their mouthpieces in the media directed the public's anger at them for being a drag on the economy, while actually, all along, it was the rich who were really ripping us off. The city of Los Angeles installed a fingerprint system to guard against welfare fraud. The system cost $30 million, and it caught -one- welfare cheat. Meanwhile for the first time in US history corporate fraud and white collar crime cost us more than street crime, did more damage, and even arguably resulted in more deaths. Reagan's deregulation of the savings and loan industry ended in a debacle that cost Americans
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This note was uploaded on 10/03/2010 for the course AXIA COLLE All taught by Professor Unk during the Spring '10 term at University of Phoenix.

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decade of greed - Best Answer - Chosen by Voters The...

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