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Written by Karen Malcolm, Op-Ed in the Providence Journal
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Monday, March 16 2009 13:47 |
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This is no ordinary economic downturn. What makes it worse is a level of inequality that we haven't seen since the last Great Depression 80 years ago. Here in Rhode Island, income inequality has grown for some time, making the current crisis even more dire for many.
Between 1990 and 2006, Rhode Island had the country’s fifth-highest increase in wage inequality. Between 2000 and 2006, we were the only state in New England where the median family wage declined while income for those earning above $200,000 soared far in excess of the national average.
Rhode Island’s inequality gap is perpetuated by policy choices made on Smith Hill.
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Hundreds of Rhode Islanders marched and rallied at the state house last week to send a clear message to leaders on Smith Hill:
Use Rhode Island's hundreds of millions in stimulus dollars to put Rhode Islanders back to work, protect good jobs, re-invest in quality education, job training, healthcare and basic needs programs that Rhode Islanders depend on, and lay the foundation for a sustainable revenue system in Rhode Island for future years.
Click here to read coverage from the rally.

The fact is, that just like the Bush tax cuts, Rhode Island's 15 years of tax giveaways to the wealthy have failed to create promised jobs.
Instead, they have driven up property taxes for middle-income families, forced cuts to basic needs programs that help vulnerable elderly and children, made Rhode Island's economic inequality gap among the fastest growing in the nation, and reduced federal matching dollars that support our entire economy.
Now, we have growing deficits and an unemployment level rising faster than any other state in the country. Many of the Governor's hand picked Tax Commission recommendations will worsen these failed and harmful policies by giving tax breaks mostly to a handful of the state's largest corporations and to those making over $175,000.
At the rally, Chris Hurston, a nurse at Women & Infants Hospital stated: "Our main concern is that the money is spent properly and spent where it is needed most in this state, for the hardest-hit populations. We've cut RIte Care, child care, education and other state programs too far to pay for the Governor's tax cuts."
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Read more... [Ocean State Action, Jobs with Justice, SEIU and members of the Campaign for RI's Priorities march for jobs & dignity now!]
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A new report released by Rhode Island's Health Care for America Now (HCAN) campaign shows why we must fix our health care system now in order to fix the Ocean State's economy. The report, "Next Step: Health Care: To Fix Rhode Island's Economy, We Need To Fix Health Care Now," details how health care costs are crippling local businesses and making it hard for families to afford the health care coverage they need. Similar reports were released this week in 39 other states around the country.
"Rhode Island needs a health care solution that removes the private interests of insurance providers and profit motives from the equation and one that focuses on keeping families healthy and productive from pre-natal care through end of life care, said Teresa Tanzi, Executive Board Member for RI National Organization for Women. "We need comprehensive, high-quality, and consistent care for all to be our priority if we want to see our nation regain its competitiveness."
Download the full report, “Next Step: Health Care: To Fix Rhode Island’s Economy, We Need To Fix Health Care Now”
The report details that:
· From 2000 to 2007, health insurance premiums in Rhode Island increased by more than 83% while median yearly wages increased only 16.8%.
· The Ocean State's median yearly wage in 2007 was only $30,566 but the average health care premium for a family was $12,662.
· In 2008, the average premium for family coverage in Rhode Island was $13,983. By 2016, if the system does not change, that number is expected to be more than $26,000.
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Read more... [RI Health Care for America Now Campaign Issues New Report: To Fix Rhode Island’s Economy, We Need to Fix Health Care Now]
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News You Can Use in the Ocean State
- "More unionization would be good for economy," guest column by Robert Reich in the Providence Journal (February 2, 2009)
- "Class war being waged in Rhode Island," column by Jim Barron in the Pawtucket Times (January 26, 2009)
- "Gubernatorial Hoovers make it worse," guest column by Paul Krugman in the Providence Journal (January 6, 2009)
- "A call to prayer for legislators," column by Ed Fitzpatrick in the Providence Journal (January 1, 2009)
- "Guarantee health reform, not higher profits," guest column by Vivian Weisman in the Providence Journal (December 23, 2008)
Reports and Fact Sheets
Ocean State Action has compiled several reports and fact sheets relating to issues facing Rhode Island. These contain information that is essential to understanding the problems our state faces, and how we can responsibly fix them to make Rhode Island work better for everyone. The reports and fact sheets address, among other issues: the health care crisis in Rhode Island, including how it affects small businesses; tax and budget policy, with recommendations of how we can responsibly fix our state's budget deficit; and a report entitled "The Next New Deal," a comprehensive look at how the nation can get back on track for a 21st century economy. There are also links to reports and fact sheets compiled by other groups with info essential to all Rhode Islanders.
See reports and fact sheets here.
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Visit the Rhode Island Policy Reporter at What Cheer! for up-to-date policy analysis and reports.
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