Editorial: Nation needs middle class (Rutland Herald)

The first job of the next administration — state and federal — will be to look after the middle class.

Why? Because the middle class is the economic power of the country.

The wealthy no longer have allegiance to the nation, at least as far as their money goes. Big business is truly global and nothing will change that, so any money invested into large corporations tends to flow across international boundaries as if they did not exist: Witness attempts to keep the benefits of the summer's congressional stimulus package from going to either foreign oil or manufacturers.

We can't ignore the needy, but just pouring money into welfare isn't going to create jobs or grow the economy. And without jobs and an economic rebound, who's going to pay the taxes to support the welfare system?

Simply put, the nation needs the middle class — broadly defined as those working and able to pay their own way without extravagance. We need the middle class to remain productive and self-sufficient and we need the energy of the middle class to create and grow small businesses.

Congress is considering another stimulus package, reportedly one that would put money into infrastructure projects. That's a good target because it's an area of need, it's not transferable out of the country and because the benefits will have a ripple effect: Not only does it create jobs and financial stability for those directly employed, but improved roads, rails, airports and telecommunications infrastructure make other businesses more viable as well.

The state needs to do its part as well, by addressing issues that choke off our economy: The tax burden, particularly on the middle class; health care costs; certainly infrastructure; and over-regulation. Identifying a handful of industries where the state might shine and creating attractive conditions for them — as was done with the captive insurance industry, where our reputation for careful regulation was a plus, not a minus — is the example of how to do it.

Now is the time for the next Legislature and the governor, whether James Douglas or one of his challengers, to put aside their partisanship and work together.

Our congressional delegation gets high marks for acting on behalf of the middle class according to at least one group. Middleclass.org (www.middleclass.org) grades all three Vermont representatives as A-plus in watching out for the economic and social well-being of average citizens.

So far, at least, Vermont hasn't been as hard-hit by the downturn as more risk-prone areas of the country.

With the support of our congressional delegation and a willing attitude in Montpelier, there's no reason we can't come out of the recession sooner than the rest of the country, either.