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Nick Hanauer's Snake Oil Or Prophesy?

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Snake Oil or Prophesy? Sometimes analyzing how a speech is effective and the context behind it is more interesting than the speech itself. This is defiantly the case in Nick Hanauer’s speech against income inequality titled “Rich People Don’t Create Jobs.” With income inequality being a hot topic in contemporary American society, Hanauer has used it to his advantage by creating a great deal of controversy with his hypothesis on both ends of the political spectrum. A good number of people question his motives, and it’s understandable when you consider that Hanauer is an entrepreneur that also happens to be a billionaire. As a consequence, when a “job creator” is making statements like “it’s only honest to admit that when somebody like me calls …show more content…

There is no doubt his message made some conservatives angry. For example, when googling his name, there is pages of rebuttals from conservative pundits on internet blogs and TV, but it also got trashed by some on the left. Some of the debate was because of the topic, but the lion’s share of the controversy emanated from his “proofs”, especially on his PowerPoint presentation. Many pundits say he over simplified statistics and left some out to make his thesis of the rich not creating jobs more poignant. The speech was not “banned” by TED Talks because of the message, rather that his statistics were mediocre at best. Bruce Upton wrote an article for forbes.com titled “The Real Reason That TED Talk was “Censored”? It’s Shoddy and Dumb.” Within the article he states that although he agrees with the income inequality portion, his main thesis is just as the title says, “shoddy” and “dumb” (Upbin). For instance, at one point of his speech, Hanauer shows a PowerPoint slide that indicates unemployment steadily went up from 5.6% to 9.3% through the years of 1995 to 2009. Next he shows within the same time frame the taxes for the rich plummeting from 30.4% to 22.4% (Hanauer). Even though, that is true to some extent, it’s over simplified at best. Jon Bruner (Forbes data editor) harshly says in the same article that it looks like he “just took the unemployment rate in 1995 and the unemployment rate in 2009 and drew a random squiggly line through it (Upbin par. 6). Subsequently, Upbin elaborates by expressing “unemployment didn’t keep going up. It fell twice (once from 1995 to 2001, and again from 2003 to 2007)” (par.6). Hanauer had to have been aware that he was oversimplifying the graphs. He put the PowerPoint slides in the way he did intentionally to make his argument seem more viable to rally the troops. It also created the controversy

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