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Capitalism within a Democracy

As a budget agreement was finally reached at the 11th hour on Friday, so too the US nation breathed a collective sigh of audible relief. While public sector workers and the families of military representatives celebrated the late resolution, so too government officials assured citizens that they would learn from the lessons of a poorly administered budget. However, given the revelation that top senate officials would have continued to receive pay while those beneath them felt the force of any partial government shutdown, questions have been raised about the influence of capitalism within a democracy.

Capitalist Values in a Democratic Society

The idea that the powerful should continue to receive their pay while those who they serve are left temporarily without salary epitomizes the very worst of capitalism, where influence dictates the distribution of a nations wealth. This notion is troubling enough in a focused and dedicated democratic power, but it is even more worrying when you consider that these individuals in question were responsible for the prolonged budgetary negotiations in the first instance.

Now, this does not mean that capitalism or its principles are divisive in society, or entirely opposed to those which exist in democracy. After all, capitalism supports the freedoms of of enterprise and unlimited trade, and affords individuals the tools to design, create and operate their own business entity. Not only this, but such a concept gifts these individuals the opportunity to shape their own financial destiny, and take tentative steps to becoming the job creators of the next generation.

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The Scourge of Middle America

The US is currently at the mercy of harsh and strained economic conditions, and its middle and lower classes are exposed like at no other time in their recent history. This period of fiscal tumult is also proving a catalyst for alternative social issues, such as benefits protests from public sector workers and a steady rise in national hate groups within the countries boundaries. One of the most significant issues within the contemporary USA is increasing poverty, especially in the face of steadily climbing food and fuel prices, which is threatening to create a significant divide between the north and south of the nation.

The Basics of a Strained Economy

The fiscal circumstances of the current US are of course a reflection of the recent recession and subsequent painstaking recovery. The main issue with a recession of this nature is its presence as a vicious and divisive cycle, that often sees unemployment rise and citizens unable to contribute to an economy. As a consequence, governments are coerced into reducing spending and inflating taxes and prices, creating a situation where basics such as food and drink are more expensive and increasingly out of the reach of struggling citizens.

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The US as a Declining International Force

Traditionally, the US has been revered as one of the most significant national influences across the globe, especially in terms of international affairs and trade. For decades it has led the way in terms of innovative technology, financial growth and cultivating democratic relations with other countries, often with positive and generative effects. However, as the country enters a period of domestic turbulence, there are increasing concerns that it’s influence is diminishing, and that the resident government is stretched too far in attempting to resolve home and international issues.

Resolving Recent International Issues

This is an interesting concept, and poses a question as to whether the nation’s government are caught within a disruptive cycle of indecisive and poorly directed rule. In this instance, this means that the nations governor’s are suffering a collective crisis of confidence in their principles and methodology, and perhaps attempting to meet one challenge too many to restore their sense of self and relevance. For example, the US continue to immerse themselves in international affairs and turbulence concerning Egypt and Libya, while domestic protests and economic issues have continued to spiral and have a negative impact on society as a whole.

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Are US Citizens Trapped in a Disruptive Cycle?

Many of the social issues that trouble society are interlinked, and heavily affiliated with everyday interactions. This can create problems in the way that individuals spend their day to day existence, especially where they have a pre-conceived notion of fear that restricts them in their chosen pursuits. This could well be considered as a disruptive and potentially divisive social cycle, and one which can have a negative impact on the overall perception, health and collective abilities of society.

Restrictions in Child Health

An excellent example of this social cycle can be seen in the level of childhood obesity in the US, which is continuing to rise and become an epidemic throughout the nation. This is something which is affecting many western cultures, especially those which encourage specific freedom of thought and deed, and has many possible causes cited for its increase. However, very rarely is the root cause discussed or identified, and many misconceptions exist that concern the role of parents in this issue.

Parents are often criticised for allowing their children expansive access to video games, and not encouraging them to socialize or indulge in additional outdoor pursuits. However, while they are considered as lazy or ill informed guardians, it is possible that their willingness to let their children spend excessive amounts of time indoors is partly due to trepidation. This fear could be attributed to violent crime or instances of child abuse, but regardless of its cause its manifestation can be seen through their conduct towards their children.

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Understanding Poverty and its Characteristics

Poverty is an often misunderstood concept, and is perceived differently depending on the status of a nation and its people. In deprived areas of the world, poverty is seen as an extreme state of existence, where a community has steep population levels and not enough natural or economic resource to sustain them. This is also the wider view of poverty, as it is well documented through news bulletins and global charitable events and organizations.

However, it is less well known that poverty subsists in many affluent and renowned nations, only it harbors beneath a different and less extreme definition. In countries like the US, poverty is status is determined by contrasting annual income to a regulated dollar value, which are referred to as thresholds. These thresholds vary depending on the size of a family and average age of a household. An family unit whose income falls below this threshold are considered to be in poverty.

Increasing Poverty Throughout the US

The poverty threshold is refreshed annually to account for modifications in the cost of living and other economic variables. Between 2009 and 2010, the percentage of US citizens who had fallen beneath the poverty threshold was registered at 14.3, which was a 1.0 increase on the recorded figure from 2008. While this statistic is surprising in itself, the geographical split of poverty and where it is prevalent within the US is even more interesting, and highlights particular areas of concern.