A tale of two stories: Wealth inequality vs. Cuts in education

It was actually somewhat surprising to see Federal Reserve Chairman Ben Bernanke comment on growing wealth inequality in the U.S. For this administration and those employed by it, it is a rare moment when they admit to anything being wrong about anything.

Bernanke: Education narrows income gap

Bolstering education and training — rather than erecting trade barriers — would help narrow the economic gap between low- and high-income workers, Federal Reserve Chairman Ben Bernanke said Tuesday.

In his most extensive remarks to date on economic inequality, Bernanke also issued a fresh warning for the United States to steer away from policies that seek to erect protectionist barriers to trade and investment opportunities or to stifle the economy’s flexibility. Such a course, he cautioned, “would do far more harm than good.”

His remarks come as Democrats, who have sought to portray the Bush administration’s economic and tax policies as mainly benefiting the wealthy, have made it a priority to take steps to alleviate widening economic inequality in the United States.

President Bush, in recent speeches, has tried to calm angst among those who worry about their job and economic security in a constantly changing economy.

Bernanke, in remarks delivered to the Omaha Chamber of Commerce, said disparities in education and training is “likely the single greatest source of the long-term increase in inequality.”

Better education and training mean better wealth distribution, better lives for many and a better economy? Sounds great. So what does President Bush think about that?

Bush budget plans cuts to education, other grants

The Bush administration on Monday sought a cut of $4.9 billion, or 8 percent, in education, training, employment and social services grants but estimated that overall outlays to state and local governments would rise slightly.

The Bush Administration: Looking everywhere for answers, then ignoring them and firing the messenger. The PNAC crowd stays on message, as always: imperialism + fuck the poor = brilliant leadership. If it works in Risk, it must work in real life.

–WKW

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