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The American people have rarely been less unified than they are now. While there are a number of causes for this division, one of the most important variables is economic inequality along geographic lines.
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Today, rural workers earn only 82 cents on every dollar earned by their urban counterparts – and as rural jobs grow more scarce and less diverse, rural workers have fewer opportunities to close the gap.
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Rural Americans are also 22% more likely to experience poverty, food insecurity (by a 19-point margin), and to lack health insurance (by a 15-point margin), contributing to higher rates of depression, addiction, suicide, and other “deaths of despair.”
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That’s why Civic Action Founder Nick Hanauer recently wrote an article in The American Prospect calling on our federal government to take immediate action to support rural economies that are collapsing, and I want to share the most important aspects of his plan with you today:
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Appoint a Director of Rural Economic Revitalization
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The president must create a cabinet-level position solely dedicated to revitalizing rural American economies. The director would coordinate existing programs, lead new policy efforts, and work with local communities to identify needs. Under this model, the federal government would also create local Economic Revitalization Councils that work with the director to strengthen their own local economies – and, this federal program would have offices within driving distance of every rural community.
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Break Up Monopolies
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Prior to the 1970s, our courts and regulators would not allow a handful of companies to dominate an industry through mergers and acquisitions, regardless of the alleged benefits to consumers. Today, such domination is the norm. The impact of these changes on nonurban communities has been particularly devastating. Millions of manufacturing jobs that once supported these regions have moved overseas. Locally owned businesses that once proudly anchored small towns have been outcompeted or consolidated away, leaving rural workers with no option but to work for giant corporations for next-to-nothing wages.
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Raise the Minimum Wage
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One of our most effective policy tools is the minimum wage and we need to raise it, federally, for everyone, but rather than relying on a lowest common denominator approach, it is time to consider a graduated wage in which the largest and most profitable employers pay an even higher minimum wage. For example, a small, locally owned business might be required to pay a $15 hourly minimum wage, while the local Walmart or Amazon warehouse might be required to pay a minimum of $25 an hour.
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The work to mend our divided country isn’t easy – but by putting these policies in place, the federal government will assure that the state of the union between urban and rural America is once again strong.
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Thanks for reading,
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Paul Constant
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