American Economics

[olde north church]

I'm 52 years old.  Old enough to remember many of "the good ol' days".  My parents both worked.  As I recall, my father's pay went toward the house.  My mother's went to the luxuries.  Luxuries being a nice vacation, usually a few days out of state or a few day trips to places of interest.
When my mother didn't work, we didn't starve.  If my father's place was on strike, we didn't starve.  When my father's place closed and he had to find a different occupation, we didn't starve.

1.  Does anybody remember similar situations.?
2.  Does anybody remember when two salaries weren't required?
3.  Does anybody remember what the tax rates, welfare rates were?

Why am I thinking it was about the time Carter was President?
Thanks

[Bigun]

I'm 13 years older than you and remember quite well!

My dad was a WWII Marine who saw service in the Pacific theater and otherwise average Joe with an average job and paycheck.  My mother never worked outside the home ever yet we lived in a middle class neighborhood, lived a middle class lifestyle, and took vacations regularly. I worked odd jobs if I wanted extra money until I got a regular job while still in HS. 

[andy58-in-nh]

I'm 52 years old.  Old enough to remember many of "the good ol' days".  My parents both worked.  As I recall, my father's pay went toward the house.  My mother's went to the luxuries.  Luxuries being a nice vacation, usually a few days out of state or a few day trips to places of interest.
When my mother didn't work, we didn't starve.  If my father's place was on strike, we didn't starve.  When my father's place closed and he had to find a different occupation, we didn't starve.

1.  Does anybody remember similar situations.?
2.  Does anybody remember when two salaries weren't required?
3.  Does anybody remember what the tax rates, welfare rates were?

Why am I thinking it was about the time Carter was President?
Thanks

Ah, yes: I remember it well.

Until 1977, only my dad worked. My mom started working the year after I went to college (as did I, part-time at school, to help pay my living expenses).
The top marginal rate on earned income in 1977 was 50%¹ - pretty high, but it kicked in at around $203,000 (equivalent today = @$782,000)².

The truth is that very few people actually paid that rate, but availed themselves of tax-deferred retirement pensions and investments such as municipal bonds. In 1979 (the closest year for which I could find data, there were only 12,635 Federal income tax returns in excess of $500,000), out of 84 million tax returns.³

Thee combination of high marginal tax rates, inflation and persistent unemployment dragged the economy down, until Ronald Reagan began to turn things around in 1981-2.

But it was a better time, in so many ways. America was freer, safer, happier, and yes, you could still support a family on a single full-time job.

Now, increasingly it takes 3-4 part-time jobs to accomplish the same thing. And we are far less free, safe, united, and happy as a nation.


¹ Source = http://top-federal-tax-rates.findthedata.org/l/62/1977
² Source = http://www.bls.gov/data/inflation_calculator.htm
³ Source= http://www.irs.gov/uac/SOI-Tax-Stats-Individual-Time-Series-Statistical-Tables#_grp7

[Lando Lincoln]

Yes, I remember it well.  My twin and I came into this world in 1954 and we have a younger brother.  My Dad was a self-taught toolmaker who had an 8th grade education and my mother was a homemaker in every sense of the word.  A couple of anecdotes:

• My Dad usually worked 58 hours per week - 10 Monday through Friday, 8 on Saturday.
• Bought new cars in 1958, 1961, 1965, 1970, 1975...
• My parents lived for their garden which was huge.
• The home at this time of year would be filled with the sights, sounds and smells of canning.
• Dad and uncle took me and my brothers to a couple of Milwaukee Braves games a summer - on their working class nickels.
• Mom never stopped working - she had a wringer washing machine and air dried all laundry.  Ah... the fragrance...
• No air conditioning in summer.
• My brothers and I had real chores but we were allowed to be boys.  Oh boy...
• Went to Mass on Sundays.

[famousdayandyear]

Every Sunday, mama would make fudge--except if it was raining cause the fudge wouldn't set up right.
My dad had a man help make a dog house for my pointer, named Whistler, that had a shingled roof.
In the spring, the same man (Lint Williams), plowed a field next door with his mule that I followed around-- gee haw.
When it was time to make a coconut cake, it was my job to crack the coconut open with a hammer.
In the summer, I was gone somewhere all day until my dad whistled us home for supper.
I could go on, but I'd put yall to sleep.