Better to err on the side of people dying in the streets than to accidentally let too many workers be able to have enough free time to think about improving society and organizing or protesting.

The top tenth of earners account for 50% of consumer spending. They don’t care if the poors have money.

Think bigger picture. If you don't have the threat of poverty, you can't convince workers to sell their time for less than it's worth. That's the entire basis for an investment economy. I pay you and sell your work product for more than I paid you, and you can't say no because you'll die ina gutter without my investment capital.

The thing you said is how they keep the masses working, by convincing them that 1) they need to buy stuff, and 2) they will deserve it if they work hard enough.

If your customer base shrinks but your prices go up you break even or better because it's cheaper to make fewer items.