The super rich are taking ever bigger slices of the U.S. economic pie and leaving only crumbs for the rest of America. That is the premise of a Paul Krugman article in the new issue of Rolling Stone. Krugman is a columnist for the New York Times and writes for RS. Krugman appeared on "Power Lunch" and made his points--with Tim Kane from the Heritage Foundation offering some counter punches.
Krugman says that the economic disparity has only gotten worse--and that's one of the big reasons President George Bush is not getting credit for a seemingly healthy economy. He says that polls are showing the American public not very happy with the economy--despite any GDP growth numbers. He says only a small group at the top--maybe 1 percent--is seeing any real benefits.
Kane says it's more of a philosophical issues--and that wages are up for blue collar workers and that education is a key element when it comes to real wage increase.
Krugman counters that may people on top--getting the "benefits"--don't always have more education than those below. One last point from Kane: it's about the freedom for people to chose what they want to be.