Thursday, January 19, 2012
The Ricks
Rick Perry is out and is supporting Gingrich. Rick Santorum has now won Iowa. It's a day of Ricks that Mitt Romney, perhaps, did not want to happen. What's going to happen in South Carolina? More importantly, is this race now going to be longer than anticipated? It sure looks that way.
The Case Against Liberal Despair
So, all you Obama critics on the left, kindly pull your collective heads out of your collective arses.
Wednesday, January 18, 2012
Mitt's Tax Return Waffles
Despite Newt Gingrich's prodding, Mitt Romney is still waffling on releasing his tax return. But he has deigned us with an estimate of what percentage he's paying in taxes:
I don't criticize Romney for paying that tax rate, or for making money through long-term investments. It's smart to optimize your income, and I don't begrudge him being rich (Obama paid 26%, which is a lot lower than many Americans). But I do criticize him for campaigning to make the Bush capital gains tax cuts permanent. Romney should man up like Warren Buffett and admit the inherent unfairness of the tax system. Capital gains should be taxed at exactly the same rate as earned wages, as they were before the Bush tax cuts.
In particular, gains on selling non-IPO stock are essentially gambling income, because repurchased stocks are just a bet that the price will go up. Companies never see a penny from repurchased stock, so buying shares on the stock market is not really an investment in the company. In fact, outstanding shares are often a liability because of dividends and loss of autonomy, and many companies have programs to purchase outstanding shares.
Incessant demand for stock price increases from shareholders is the number one cause of poor long-term decision-making in the management of companies. Since most execs have bonus plans linked to share price, their incentive is to do whatever it takes to jack the price up in the short term without regard to the company's future. If things go south, their golden parachute kicks in and they can just move on to the next gig. Most market players plan to sell off their shares at their peak price, and don't care what happens to the company after they cash out.
While it would be interesting so see Mitt's return from last year, I'm more interested in seeing his returns over the past 15 years. How did Mitt's income change before and after the Bush tax cuts, and how has he weathered the Great Recession? Did he make out like a bandit while all the vast majority of Americans suffered catastrophic economic and job losses?
The theory is that capital gains taxes should be low because it spurs investment and job creation. These taxes have been artificially low for 10 years now, and the only investment and job growth they've spurred has been in China.
Since the Bush tax cuts the rich have been getting richer and the middle class poorer. The Bush tax cuts have redistributed wealth from the middle class to the super wealthy like Romney.
It's time to end this welfare for the wealthy.
“It’s probably closer to the 15 percent rate than anything,” Mr. Romney said. “Because my last 10 years, I’ve — my income comes overwhelmingly from investments made in the past, rather than ordinary income, or rather than earned annual income.”So, for sitting around collecting dividends, buying and selling stock, speechifying and running non-stop for president for years on end Mitt pays taxes at a rate of 15%, while people who sweat and bleed and risk their lives on oil rigs and in war zones pay 25%, or 30% or 35%, not even including Social Security and Medicare taxes, which adds another 4-8%. That is, unless the Republicans get their way and it goes back up to 6-12%. Meanwhile, Romney doesn't pay a nickel of payroll taxes on capital gains and dividends.
I don't criticize Romney for paying that tax rate, or for making money through long-term investments. It's smart to optimize your income, and I don't begrudge him being rich (Obama paid 26%, which is a lot lower than many Americans). But I do criticize him for campaigning to make the Bush capital gains tax cuts permanent. Romney should man up like Warren Buffett and admit the inherent unfairness of the tax system. Capital gains should be taxed at exactly the same rate as earned wages, as they were before the Bush tax cuts.
In particular, gains on selling non-IPO stock are essentially gambling income, because repurchased stocks are just a bet that the price will go up. Companies never see a penny from repurchased stock, so buying shares on the stock market is not really an investment in the company. In fact, outstanding shares are often a liability because of dividends and loss of autonomy, and many companies have programs to purchase outstanding shares.
Incessant demand for stock price increases from shareholders is the number one cause of poor long-term decision-making in the management of companies. Since most execs have bonus plans linked to share price, their incentive is to do whatever it takes to jack the price up in the short term without regard to the company's future. If things go south, their golden parachute kicks in and they can just move on to the next gig. Most market players plan to sell off their shares at their peak price, and don't care what happens to the company after they cash out.
While it would be interesting so see Mitt's return from last year, I'm more interested in seeing his returns over the past 15 years. How did Mitt's income change before and after the Bush tax cuts, and how has he weathered the Great Recession? Did he make out like a bandit while all the vast majority of Americans suffered catastrophic economic and job losses?
The theory is that capital gains taxes should be low because it spurs investment and job creation. These taxes have been artificially low for 10 years now, and the only investment and job growth they've spurred has been in China.
Since the Bush tax cuts the rich have been getting richer and the middle class poorer. The Bush tax cuts have redistributed wealth from the middle class to the super wealthy like Romney.
It's time to end this welfare for the wealthy.
Tuesday, January 17, 2012
Fantasies Here, Fantasies There, Fantasies Everywhere
Since this is an election year, we can all expect a great deal of scrutiny on the issues. The remaining five candidates in the GOP field as well as the president are going to be under a microscope for the better part of the next ten months so we should buckle up and start getting used to it.
Yet the candidates aren't the only ones that are going to be examined and with good reason. Recently, Andrew Sullivan and Thomas Frank are taking a look at exactly what is driving the folks that are rabidly against the reelection of President Obama. I've been doing that as well. For me, it all starts with this. I can't think of a finer example that illustrates the mentality of the conservative movement.
Thomas Frank, in his latest book Pity the Billionaire: The Hard-Times Swindle and the Unlikely Comeback of the Right, makes some points that perfectly illustrate my monumental frustration. In looking at the aftermath of the collapse in 2008, we saw the greatest example of the failure of free market principles that most Americans have ever lived through. Instead of a move towards a balance between regulation and free markets, we got the Tea Party, a hardcore anti-government movement. To Mr. Frank, it's as if "the public had demanded dozens of new nuclear power plants in the wake of the Three Mile Island disaster."
From a recent review of Frank's book.
Until Obama's election, this kind of purist market worship was the preserve of political and economic elites – "propaganda," to use Frank's blunt term, to keep wealth in their own hands. Who knows if even they believed it? And yet in 2009 and 2010, a whole swath of Americans turned to "the sole utopian scheme available" to them, with effects that can only be called perverse. It's one thing for a CEO to declare that "corporations are people," if such an obscene claim leads to greater profits or power. Now, amazingly, the same line could be heard from ordinary voters. Even more strangely, middle- and working-class Americans were defending precisely the multinationals that had triggered the crisis and received the universally reviled bailouts. In the trough of the 2009 recession, Americans whose livelihoods had been destroyed by far-off bankers were actually rallying "to demand that bankers be freed from 'red tape' and the scrutiny of the law." At one surreal moment, Glenn Beck urged his followers to give away their cash to the US Chamber of Commerce, "the biggest, baddest business lobby in all of DC." They donated so much that they crashed its servers.
Indeed. The inmates are running the asylum. But how did all this happen?
If you wanted to learn about the Great Depression you once went to the library to read Arthur Schlesinger; now, your first Google results will teach you that the New Deal was an utter failure and that "Brother, Can You Spare a Dime?" is a Hooverite screed against government handout). By this binary logic, everyone trying to make a buck is united against big bad Washington and its attendant elite institutions. The absurdity that such elite figures as bank CEOs, four-star generals, and Alaskan governors are somehow men and women of the people goes unmentioned.
There is hope, however, and it's this very hope that is starting to piss off the right wing blogsphere. It's simply a matter of people responding to this lunacy and calling it out for what it is. More folks are starting to listen. Andrew Sullivan's recent piece on Obama's Long Game details this quite nicely.
But this time, with this president, something different has happened. It’s not that I don’t understand the critiques of Barack Obama from the enraged right and the demoralized left. It’s that I don’t even recognize their description of Obama’s first term in any way. The attacks from both the right and the left on the man and his policies aren’t out of bounds. They’re simply—empirically—wrong.
No shit, Sully. They are wrong and it's far past time to say it that plainly.
The right’s core case is that Obama has governed as a radical leftist attempting a “fundamental transformation” of the American way of life. Mitt Romney accuses the president of making the recession worse, of wanting to turn America into a European welfare state, of not believing in opportunity or free enterprise, of having no understanding of the real economy, and of apologizing for America and appeasing our enemies. According to Romney, Obama is a mortal threat to “the soul” of America and an empty suit who couldn’t run a business, let alone a country.
Exactly right and I've said as much on here (oddly to be accused recently of bearing false witness). Let's test this theory. I'm going to go and pull a quote from Kevin Baker's site and post it here. Shouldn't take me too long...be right back....
Ah, here we go...here is a quote he put up the other day...
Detroit is North Korea … with the Unions holding the same pride of place as the North Korean Army—keep them happy and they keep the kleptocracy in power. No matter who else starves. --
followed up this comment
But the Obama economic model will make Detroit the model for the rest of the U.S. THAT is what we need to worry about. Later on there will be no other place to leave to.
So, Sully's assessment is accurate. (side note: what is a kleptocracy?)
Now, what actually happened...
Obama did several things at once: he continued the bank bailout begun by George W. Bush, he initiated a bailout of the auto industry, and he worked to pass a huge stimulus package of $787 billion. All these decisions deserve scrutiny. And in retrospect, they were far more successful than anyone has yet fully given Obama the credit for. The job collapse bottomed out at the beginning of 2010, as the stimulus took effect. Since then, the U.S. has added 2.4 million jobs. That’s not enough, but it’s far better than what Romney would have you believe, and more than the net jobs created under the entire Bush administration. In 2011 alone, 1.9 million private-sector jobs were created, while a net 280,000 government jobs were lost. Overall government employment has declined 2.6 percent over the past 3 years. (That compares with a drop of 2.2 percent during the early years of the Reagan administration.) To listen to current Republican rhetoric about Obama’s big-government socialist ways, you would imagine that the reverse was true. It isn’t.
Correct. I highlight this last bit because one would think that the anti-government types would be happy about this. Nope. He's still a socialist who wants a European style government. How can anyone fucking talk to these people?
This next bit I dedicate with love and affection to last in line.
The right claims the stimulus failed because it didn’t bring unemployment down to 8 percent in its first year, as predicted by Obama’s transition economic team. Instead, it peaked at 10.2 percent. But the 8 percent prediction was made before Obama took office and was wrong solely because it relied on statistics that guessed the economy was only shrinking by around 4 percent, not 9. Remove that statistical miscalculation (made by government and private-sector economists alike) and the stimulus did exactly what it was supposed to do. It put a bottom under the free fall. It is not an exaggeration to say it prevented a spiral downward that could have led to the Second Great Depression.
Sully goes on to talk about how a third of the stimulus was tax cuts, another fact ignored by the mouth foamers. And how about that spending?
Under Bush, new policies on taxes and spending cost the taxpayer a total of $5.07 trillion. Under Obama’s budgets both past and projected, he will have added $1.4 trillion in two terms.Under Bush and the GOP, nondefense discretionary spending grew by twice as much as under Obama.
Yep, correct. Health care?
The Congressional Budget Office has projected it will reduce the deficit, not increase it dramatically, as Bush’s unfunded Medicare Prescription Drug benefit did. It is based on the individual mandate, an idea pioneered by the archconservative Heritage Foundation, Newt Gingrich, and, of course, Mitt Romney, in the past. It does not have a public option; it gives a huge new client base to the drug and insurance companies; its health-insurance exchanges were also pioneered by the right. It’s to the right of the Clintons’ monstrosity in 1993, and remarkably similar to Nixon’s 1974 proposal.
Embedded in it are also a slew of cost-reduction pilot schemes to slow health-care spending. Yes, it crosses the Rubicon of universal access to private health care. But since federal law mandates that hospitals accept all emergency-room cases requiring treatment anyway, we already obey that socialist principle—but in the most inefficient way possible. Making 44 million current free-riders pay into the system is not fiscally reckless; it is fiscally prudent. It is, dare I say it, conservative.
Yes, you should say it because that's what it fucking is. Good grief am I tired of people's general ideological delusions and/or paranoid hatred of the president leading to insane and completely untrue accusations.
Sully goes on to talk about Obama's foreign policy successes as well as the equally ridiculous accusations by the left which I may address at a later date but for now I think it's important to reflect on all of these points because they are what actually happened. And the American people need to understand that. But will they?
And I feel confident that sooner rather than later, the American people will come to see his first term from the same calm, sane perspective. And decide to finish what they started.
Man, I love Sully, but I'm afraid I don't share his optimism.
Yet the candidates aren't the only ones that are going to be examined and with good reason. Recently, Andrew Sullivan and Thomas Frank are taking a look at exactly what is driving the folks that are rabidly against the reelection of President Obama. I've been doing that as well. For me, it all starts with this. I can't think of a finer example that illustrates the mentality of the conservative movement.
Thomas Frank, in his latest book Pity the Billionaire: The Hard-Times Swindle and the Unlikely Comeback of the Right, makes some points that perfectly illustrate my monumental frustration. In looking at the aftermath of the collapse in 2008, we saw the greatest example of the failure of free market principles that most Americans have ever lived through. Instead of a move towards a balance between regulation and free markets, we got the Tea Party, a hardcore anti-government movement. To Mr. Frank, it's as if "the public had demanded dozens of new nuclear power plants in the wake of the Three Mile Island disaster."
From a recent review of Frank's book.
Until Obama's election, this kind of purist market worship was the preserve of political and economic elites – "propaganda," to use Frank's blunt term, to keep wealth in their own hands. Who knows if even they believed it? And yet in 2009 and 2010, a whole swath of Americans turned to "the sole utopian scheme available" to them, with effects that can only be called perverse. It's one thing for a CEO to declare that "corporations are people," if such an obscene claim leads to greater profits or power. Now, amazingly, the same line could be heard from ordinary voters. Even more strangely, middle- and working-class Americans were defending precisely the multinationals that had triggered the crisis and received the universally reviled bailouts. In the trough of the 2009 recession, Americans whose livelihoods had been destroyed by far-off bankers were actually rallying "to demand that bankers be freed from 'red tape' and the scrutiny of the law." At one surreal moment, Glenn Beck urged his followers to give away their cash to the US Chamber of Commerce, "the biggest, baddest business lobby in all of DC." They donated so much that they crashed its servers.
Indeed. The inmates are running the asylum. But how did all this happen?
If you wanted to learn about the Great Depression you once went to the library to read Arthur Schlesinger; now, your first Google results will teach you that the New Deal was an utter failure and that "Brother, Can You Spare a Dime?" is a Hooverite screed against government handout). By this binary logic, everyone trying to make a buck is united against big bad Washington and its attendant elite institutions. The absurdity that such elite figures as bank CEOs, four-star generals, and Alaskan governors are somehow men and women of the people goes unmentioned.
There is hope, however, and it's this very hope that is starting to piss off the right wing blogsphere. It's simply a matter of people responding to this lunacy and calling it out for what it is. More folks are starting to listen. Andrew Sullivan's recent piece on Obama's Long Game details this quite nicely.
But this time, with this president, something different has happened. It’s not that I don’t understand the critiques of Barack Obama from the enraged right and the demoralized left. It’s that I don’t even recognize their description of Obama’s first term in any way. The attacks from both the right and the left on the man and his policies aren’t out of bounds. They’re simply—empirically—wrong.
No shit, Sully. They are wrong and it's far past time to say it that plainly.
The right’s core case is that Obama has governed as a radical leftist attempting a “fundamental transformation” of the American way of life. Mitt Romney accuses the president of making the recession worse, of wanting to turn America into a European welfare state, of not believing in opportunity or free enterprise, of having no understanding of the real economy, and of apologizing for America and appeasing our enemies. According to Romney, Obama is a mortal threat to “the soul” of America and an empty suit who couldn’t run a business, let alone a country.
Exactly right and I've said as much on here (oddly to be accused recently of bearing false witness). Let's test this theory. I'm going to go and pull a quote from Kevin Baker's site and post it here. Shouldn't take me too long...be right back....
Ah, here we go...here is a quote he put up the other day...
Detroit is North Korea … with the Unions holding the same pride of place as the North Korean Army—keep them happy and they keep the kleptocracy in power. No matter who else starves. --
followed up this comment
But the Obama economic model will make Detroit the model for the rest of the U.S. THAT is what we need to worry about. Later on there will be no other place to leave to.
So, Sully's assessment is accurate. (side note: what is a kleptocracy?)
Now, what actually happened...
Obama did several things at once: he continued the bank bailout begun by George W. Bush, he initiated a bailout of the auto industry, and he worked to pass a huge stimulus package of $787 billion. All these decisions deserve scrutiny. And in retrospect, they were far more successful than anyone has yet fully given Obama the credit for. The job collapse bottomed out at the beginning of 2010, as the stimulus took effect. Since then, the U.S. has added 2.4 million jobs. That’s not enough, but it’s far better than what Romney would have you believe, and more than the net jobs created under the entire Bush administration. In 2011 alone, 1.9 million private-sector jobs were created, while a net 280,000 government jobs were lost. Overall government employment has declined 2.6 percent over the past 3 years. (That compares with a drop of 2.2 percent during the early years of the Reagan administration.) To listen to current Republican rhetoric about Obama’s big-government socialist ways, you would imagine that the reverse was true. It isn’t.
Correct. I highlight this last bit because one would think that the anti-government types would be happy about this. Nope. He's still a socialist who wants a European style government. How can anyone fucking talk to these people?
This next bit I dedicate with love and affection to last in line.
The right claims the stimulus failed because it didn’t bring unemployment down to 8 percent in its first year, as predicted by Obama’s transition economic team. Instead, it peaked at 10.2 percent. But the 8 percent prediction was made before Obama took office and was wrong solely because it relied on statistics that guessed the economy was only shrinking by around 4 percent, not 9. Remove that statistical miscalculation (made by government and private-sector economists alike) and the stimulus did exactly what it was supposed to do. It put a bottom under the free fall. It is not an exaggeration to say it prevented a spiral downward that could have led to the Second Great Depression.
Sully goes on to talk about how a third of the stimulus was tax cuts, another fact ignored by the mouth foamers. And how about that spending?
Under Bush, new policies on taxes and spending cost the taxpayer a total of $5.07 trillion. Under Obama’s budgets both past and projected, he will have added $1.4 trillion in two terms.Under Bush and the GOP, nondefense discretionary spending grew by twice as much as under Obama.
Yep, correct. Health care?
The Congressional Budget Office has projected it will reduce the deficit, not increase it dramatically, as Bush’s unfunded Medicare Prescription Drug benefit did. It is based on the individual mandate, an idea pioneered by the archconservative Heritage Foundation, Newt Gingrich, and, of course, Mitt Romney, in the past. It does not have a public option; it gives a huge new client base to the drug and insurance companies; its health-insurance exchanges were also pioneered by the right. It’s to the right of the Clintons’ monstrosity in 1993, and remarkably similar to Nixon’s 1974 proposal.
Embedded in it are also a slew of cost-reduction pilot schemes to slow health-care spending. Yes, it crosses the Rubicon of universal access to private health care. But since federal law mandates that hospitals accept all emergency-room cases requiring treatment anyway, we already obey that socialist principle—but in the most inefficient way possible. Making 44 million current free-riders pay into the system is not fiscally reckless; it is fiscally prudent. It is, dare I say it, conservative.
Yes, you should say it because that's what it fucking is. Good grief am I tired of people's general ideological delusions and/or paranoid hatred of the president leading to insane and completely untrue accusations.
Sully goes on to talk about Obama's foreign policy successes as well as the equally ridiculous accusations by the left which I may address at a later date but for now I think it's important to reflect on all of these points because they are what actually happened. And the American people need to understand that. But will they?
And I feel confident that sooner rather than later, the American people will come to see his first term from the same calm, sane perspective. And decide to finish what they started.
Man, I love Sully, but I'm afraid I don't share his optimism.
Monday, January 16, 2012
Feet of Clay
They all stared in disbelief at what they had just heard. The man who had become the center of the civil rights movement had quietly told them that he would not be joining them. Despite their protestations and questions, he said that he didn't want to risk being arrested again. They chuckled derisively as many of them had been arrested several times. Worse, many of their group had just been beaten and were hospitalized.
Yet, Dr. Martin Luther King Jr would not be swayed. The Freedom Riders would continue without him.
Was he afraid he would get hurt? Or worse? It's hard to say for sure but after the first wave of Freedom Riders were severely beaten and one of their buses was firebombed, it would be a massive understatement to say that people were worried. The original intent of the Freedom Rides was to test the 1960 Supreme Court decision, Boynton v. Virginia, which stated that segregation of any kind on buses that traveled across state lines was illegal.
The initial two groups had no idea what was waiting for them when the got into Alabama despite warnings from Dr. King who urged them to call of the rides or at least postpone them until a later date. His organizaton, the Southern Christian Leadership Conference (SCLC), had heard that the Klan had mobilized and was going to stop them by any means necessary. After the two buses had been halted by the Klan and various mobs of people, the group tried to reorganize and met with Dr. King. Nashville student and Freedom Ride leader Diane Nash felt that if violence were allowed to halt the Freedom Rides, the movement would be set back years. But Dr. King still thought it would be better to wait.
And he refused to join them for the second wave.
It was only later in the week, on May 21, 1961, when that Dr. King organized a rally at Reverend Ralph Abernathy's First Baptist Church to honor the Freedom Riders. This rally drew a crowd of more than 1500 people who became trapped in the church as a mob of 3,000 angry whites surrounded the structure. Hours went by as President Kennedy continued to pressure Alabama Governor John Patterson to send in the National Guard. He finally did and the rally attendees were able to leave the church relatively unscathed.
I tell this story because this year, on Dr. King's day, I want to point out that the man wasn't perfect and he certainly isn't the myth that has been created around him. Usually, I post something that contributes to the legend of Dr. King and, no doubt, he was a legendary figure who contributed an enormous amount of service to this country in terms of social justice.
But he was just a man and this year I wanted to illustrate that, like all of us, sometimes even legends have their moments when they have feet of clay.
For more information on the Freedom Riders, check out this documentary that aired on PBS's The American Experience.
Yet, Dr. Martin Luther King Jr would not be swayed. The Freedom Riders would continue without him.
The initial two groups had no idea what was waiting for them when the got into Alabama despite warnings from Dr. King who urged them to call of the rides or at least postpone them until a later date. His organizaton, the Southern Christian Leadership Conference (SCLC), had heard that the Klan had mobilized and was going to stop them by any means necessary. After the two buses had been halted by the Klan and various mobs of people, the group tried to reorganize and met with Dr. King. Nashville student and Freedom Ride leader Diane Nash felt that if violence were allowed to halt the Freedom Rides, the movement would be set back years. But Dr. King still thought it would be better to wait.
And he refused to join them for the second wave.
It was only later in the week, on May 21, 1961, when that Dr. King organized a rally at Reverend Ralph Abernathy's First Baptist Church to honor the Freedom Riders. This rally drew a crowd of more than 1500 people who became trapped in the church as a mob of 3,000 angry whites surrounded the structure. Hours went by as President Kennedy continued to pressure Alabama Governor John Patterson to send in the National Guard. He finally did and the rally attendees were able to leave the church relatively unscathed.
I tell this story because this year, on Dr. King's day, I want to point out that the man wasn't perfect and he certainly isn't the myth that has been created around him. Usually, I post something that contributes to the legend of Dr. King and, no doubt, he was a legendary figure who contributed an enormous amount of service to this country in terms of social justice.
But he was just a man and this year I wanted to illustrate that, like all of us, sometimes even legends have their moments when they have feet of clay.
For more information on the Freedom Riders, check out this documentary that aired on PBS's The American Experience.
Sunday, January 15, 2012
Sunday's Message
11 million hits on YouTube so far. This one is making a lot of people nervous.
Good.
Good.
Saturday, January 14, 2012
Meanwhile, Iran and The United States...
With the fifth assassination of an Iranian nuclear scientist this week, relations between Iran and the United States are fairly close to boiling. Some analysts think they are there already. Add in Iran's recent threats to close the Straight of Hormuz and we have a very delicate situation developing in an always destabilized region of the world.
Most of us aren't paying attention to this, of course, and are focused on the election and, more specifically, the economy. Yet I think it's very likely that something is going to happen with Iran this year and it's going to be serious. It will be very interesting to see how this effects the election. Remember that the 2008 election was supposed to be about Iraq but turned out to be about the economy. Could the 2012 election, supposedly about the economy, end up being about Iran?
Clearly, Mossed is behind the targeted assassinations in Iran. Iran is accusing the CIA of being behind it in public but in private they know full well that it's Israel. Perhaps they don't want to admit it. The Israeli government is trying to provoke Iran into taking some sort of action so we'll then have no choice but to get involved and attack them.
This presents a tough decision for the president. Already, he has ratcheted up the sanctions against Iran and issued very blunt warnings about the Straight of Hormuz. What will all of this do to oil prices in a very shaky world economy? In addition, the president already views Israel as not being a true partner to peace in the Middle East and, to a certain extent, he does have a point. Yet Israel is acting in its own self interest. Most of the statements coming out of Iran are simply chest thumping bluster. Their central goal, however, has always been to rid the world of Israel. Make statements of this nature and expect the current response they are getting-dead nuclear scientists.The only certain thing here for the president is that whatever actions he takes, regardless of their success, conservatives and the other assorted right wingers out there will label him a failure.
Given all of this, what would you do?
Most of us aren't paying attention to this, of course, and are focused on the election and, more specifically, the economy. Yet I think it's very likely that something is going to happen with Iran this year and it's going to be serious. It will be very interesting to see how this effects the election. Remember that the 2008 election was supposed to be about Iraq but turned out to be about the economy. Could the 2012 election, supposedly about the economy, end up being about Iran?
Clearly, Mossed is behind the targeted assassinations in Iran. Iran is accusing the CIA of being behind it in public but in private they know full well that it's Israel. Perhaps they don't want to admit it. The Israeli government is trying to provoke Iran into taking some sort of action so we'll then have no choice but to get involved and attack them.
This presents a tough decision for the president. Already, he has ratcheted up the sanctions against Iran and issued very blunt warnings about the Straight of Hormuz. What will all of this do to oil prices in a very shaky world economy? In addition, the president already views Israel as not being a true partner to peace in the Middle East and, to a certain extent, he does have a point. Yet Israel is acting in its own self interest. Most of the statements coming out of Iran are simply chest thumping bluster. Their central goal, however, has always been to rid the world of Israel. Make statements of this nature and expect the current response they are getting-dead nuclear scientists.The only certain thing here for the president is that whatever actions he takes, regardless of their success, conservatives and the other assorted right wingers out there will label him a failure.
Given all of this, what would you do?
Friday, January 13, 2012
Firing Your Insurance Company
A lot has been made of Mitt Romney's "I like to fire people" quote, but most of it is off base. In context, he said,
Right now very few Americans are in a position to fire their health insurance company.
First off, the vast majority of Americans have no real choice for health insurance, because it's provided by their employer. You might get to pick from a limited set of options, but your company decides what those options are, and if you don't like them, the only way to fire your health insurance provider is to quit your job.
But Mitt doesn't get this, because he's a business owner and has never seen how health insurance works from the employee's viewpoint. Of course Mitt can fire his health insurance provider if their service sucks -- he's the boss. His employees have no such luxury.
And Mitt is also wrong if he thinks that the insurance company has an incentive to keep you healthy: the insurer's only incentive is to make their costs be less than the premiums the employer is paying them, while providing just enough medical care to shut the employees up.
In employer-based health insurance Employer A pays Insurance Company B to pay Medical Services Company C to provide health care to Person D. The amount of overhead and paperwork is insane, and there's no incentive for anyone to get anything right. The biggest incentive is for insurance companies to deny and delay medical care to employees who may not be working for the employer in six months or a year, or for employers who may not renew their contract.
People who pay for their own health insurance can ostensibly fire their provider. But practically speaking, it is all but impossible for anyone over 40 to fire their insurance provider. Insurance companies can turn you down for preexisting conditions, and everyone over 40 has preexisting conditions.The companies also have lifetime limits on coverage, and your insurance provider can fire you if you get too expensive for them. Since the downturn started in 2007-2008, there are literally millions of 40+-year-old Americans who have lost their jobs and health insurance, and can't get private insurance even if they can pay for it, because of preexisting conditions. If 40-year-olds can't get insurance, they're going to be in a lot worse shape by the time they're old enough to get on Medicare, and that will cost a lot more.
A lot of this is changing under the new law, and we'll have more protections and a greater ability to retain and switch coverage. Is it perfect? Nope; it's based on Mitt Romney's Massachusetts plan, after all. It could have been better, but the Republicans in Congress categorically refused to work with the Democrats. The Republicans' self-proclaimed goal was to make Barack Obama a one-term president, and they have done everything they can to torpedo the health care initiative.
In the long run, employers have no business paying for employee's health insurance. It's just an accident of American corporate history that it works this way. It's an unfair burden on companies, and it's a huge competitive disadvantage for American business. Everyone should be responsible for their own health care, just as they are for other necessities like food and shelter.
Yes, such a transition would be messy: it would require everyone who gets health care benefits to get an equivalent raise, and a subsidy for people who can't afford it. In addition, industries that cause health problems should also pay more taxes to counter those effects: that is, fast-food chains, and soda, alcoholic beverage and cigarette companies. There will be many sticking points. Companies will short-change employees, and over time employees will complain that their salaries aren't rising fast enough to cover the constantly-increasing cost of health care. And the right will oppose government subsidies for those who will never be able afford to pay for their own health care because they're stuck in part-time jobs like store clerks, bus-boys, hotel maids and cashiers. Millions of Americans are stuck in minimum-wage jobs that are totally necessary for our country to function, but jobs that will never pay well enough to allow someone to buy their own health care, a car or a house.
Our system is the most expensive in the world, but the aggregate quality of outcomes across all America is inferior to most of the developed world. Under our private insurance model annual cost increases have outstripped the rate of inflation by up to five or ten times, and for decades private insurers have totally failed to achieve the only service they supposedly provide: contain rising costs.
“I want individuals to have their own insurance. That means the insurance company will have an incentive to keep you healthy. It also means that if you don’t like what they do, you can fire them. I like being able to fire people who provide services to me. You know, if someone doesn’t give me the good service I need, I want to say, ‘You know, I’m going to go get somebody else to provide that service to me.’ ”I agree with that sentiment, though I wouldn't state it with such dickish Trump-like bluster. But Romney's statement was made to discredit the new health care law and on that score he's wrong. In fact, the new law brings us closer to being able to fire our health care providers than the system we currently have.
Right now very few Americans are in a position to fire their health insurance company.
First off, the vast majority of Americans have no real choice for health insurance, because it's provided by their employer. You might get to pick from a limited set of options, but your company decides what those options are, and if you don't like them, the only way to fire your health insurance provider is to quit your job.
But Mitt doesn't get this, because he's a business owner and has never seen how health insurance works from the employee's viewpoint. Of course Mitt can fire his health insurance provider if their service sucks -- he's the boss. His employees have no such luxury.
And Mitt is also wrong if he thinks that the insurance company has an incentive to keep you healthy: the insurer's only incentive is to make their costs be less than the premiums the employer is paying them, while providing just enough medical care to shut the employees up.
In employer-based health insurance Employer A pays Insurance Company B to pay Medical Services Company C to provide health care to Person D. The amount of overhead and paperwork is insane, and there's no incentive for anyone to get anything right. The biggest incentive is for insurance companies to deny and delay medical care to employees who may not be working for the employer in six months or a year, or for employers who may not renew their contract.
People who pay for their own health insurance can ostensibly fire their provider. But practically speaking, it is all but impossible for anyone over 40 to fire their insurance provider. Insurance companies can turn you down for preexisting conditions, and everyone over 40 has preexisting conditions.The companies also have lifetime limits on coverage, and your insurance provider can fire you if you get too expensive for them. Since the downturn started in 2007-2008, there are literally millions of 40+-year-old Americans who have lost their jobs and health insurance, and can't get private insurance even if they can pay for it, because of preexisting conditions. If 40-year-olds can't get insurance, they're going to be in a lot worse shape by the time they're old enough to get on Medicare, and that will cost a lot more.
A lot of this is changing under the new law, and we'll have more protections and a greater ability to retain and switch coverage. Is it perfect? Nope; it's based on Mitt Romney's Massachusetts plan, after all. It could have been better, but the Republicans in Congress categorically refused to work with the Democrats. The Republicans' self-proclaimed goal was to make Barack Obama a one-term president, and they have done everything they can to torpedo the health care initiative.
In the long run, employers have no business paying for employee's health insurance. It's just an accident of American corporate history that it works this way. It's an unfair burden on companies, and it's a huge competitive disadvantage for American business. Everyone should be responsible for their own health care, just as they are for other necessities like food and shelter.
Yes, such a transition would be messy: it would require everyone who gets health care benefits to get an equivalent raise, and a subsidy for people who can't afford it. In addition, industries that cause health problems should also pay more taxes to counter those effects: that is, fast-food chains, and soda, alcoholic beverage and cigarette companies. There will be many sticking points. Companies will short-change employees, and over time employees will complain that their salaries aren't rising fast enough to cover the constantly-increasing cost of health care. And the right will oppose government subsidies for those who will never be able afford to pay for their own health care because they're stuck in part-time jobs like store clerks, bus-boys, hotel maids and cashiers. Millions of Americans are stuck in minimum-wage jobs that are totally necessary for our country to function, but jobs that will never pay well enough to allow someone to buy their own health care, a car or a house.
Our system is the most expensive in the world, but the aggregate quality of outcomes across all America is inferior to most of the developed world. Under our private insurance model annual cost increases have outstripped the rate of inflation by up to five or ten times, and for decades private insurers have totally failed to achieve the only service they supposedly provide: contain rising costs.
Thursday, January 12, 2012
Mitt Romney and the Raiders
The Republican Party is
in a tizzy over the criticisms some of Mitt Romney's opponents are hurling at
him. They say he's a corporate raider, while his defenders say he's the
perfect example of capitalism at its finest.
But as in all things, there are good capitalists and there are bad capitalists. Just because this is a free country doesn't mean everything you can legally do is moral and ethical, or good for the United States in the long run.
So let's look at a few different kinds of capitalists and see where Mitt fits.
The prototypical American capitalist is one or two entrepreneurs with an idea who start a company their own money or raise money for the venture by selling shares of stock to investors. As the company makes a profit the owners and investors recoup their investment by receiving dividends, or by selling shares of the stock when the company goes public. People like Henry Ford, Bill Gates, and Steve Jobs are generally thought of as the heroes of capitalism for creating new wealth in exactly this fashion.
Over time, the cost of starting many businesses has become a significant hurdle, so a more recent business development model is the venture capitalist. Using their own money, or pooling the money of investors, venture capitalists search for small businesses with great ideas that are going nowhere because they don't have the resources or business acumen. A lot of high-tech startups have been formed this way over the last 20 years. Venture capitalists often help the solitary inventor who lacks management skills hook up with professionals who can make the company grow and create new wealth.
As companies compete in the marketplace based on the strengths of their products and services, there will be winners and losers. If one company stumbles by making bad or over-priced products, or becomes bloated and inefficient, the poorly-run company may go out of business, or it may be taken over by a better-run competitor. That's just how capitalism works.
But it shows one of the weaknesses of capitalism. Over time these good capitalists can turn into bad capitalists if they are a bit too successful and develop a monopoly position, either by a single company or multiple companies making deals to split up the market. Monopolies rest on their laurels, become arrogant and lose their entrepreneurial spark. Their customers suffer from bad products and poor service. The companies maintain their monopoly by buying up potential competitors or litigating them out of existence. In short, large companies need to be watched, and that's what Teddy Roosevelt's trust-busting was all about.
Besides entrepreneurs and venture capitalists, there's another type of capitalist: the corporate takeover artist, personified by Gordon Gekko in the movie Wall Street. You know, the "greed is good" guy.
These raiders borrow money from investors and banks, promising large returns. They look for companies that are having trouble and snap them up at bargain prices. Sometimes they break the company up and sell the business units for more than they paid, or they dissolve the company to acquire real estate holdings or pension funds and cash them out. Sometimes they restructure the company, firing excess employees, or getting rid of the unprofitable parts and refocusing the business, over time making the company more profitable. Some of this is good, some of it is bad.
But since it's easier to take over a company that's in trouble, raiders often take over the poor performers. Using that acquisition as leverage to get more loans, the raider can then take over the better performers in an industry, turning the whole idea of capitalism upside down. Then the raiders pull the money out of the merged company to make their profit, often leaving the company with huge debt. After the raider is gone, the company quickly goes bankrupt. Everyone loses: employees lose their jobs, customers lose the service or product support, distributors lose a product line, retail outlets lose things to sell, suppliers aren't paid for their goods. Everyone, that is, except the corporate raiders.
The difference between corporate raiders and real capitalists is that raiders don't create new ideas or new wealth. This perversion of capitalism is not good for the economy or the United States, and it's what Mitt Romney practiced at Bain. Romney's brand of capitalism concentrates more money in the hands of fewer people, while contributing nothing new. Guys like Romney think of the economy as a zero-sum game and work to take a bigger piece of the pie, while real capitalists create new business and new money to make the pie bigger.
Our intellectual property and incorporation laws were created to reward people for developing new ideas. The "financialization" of the US economy has destroyed that idea, and instead now rewards raiders, bean-counting bankers, stock brokers, wheeler-dealers and hedge fund managers who get rich by betting that companies will fail, rather than working hard to create new products and services.
Romney's brand of capitalism also puts the United States at risk for takeovers by foreign interests, especially if Republicans make good on their promise to eliminate corporate regulations. What if, instead of investing in US Treasury bills, the Chinese decide to go after American corporations through a series of shell corporations? The only thing preventing this are those "job-killing" regulations that Republicans have pledged to repeal. We know we don't want the Red Army owning Boeing, General Dynamics and Lockheed. But do we really want Beijing calling the shots in the boardrooms at Walmart, IBM, Apple, GM, American Airlines, and John Deere?
What if those companies were secretly controlled by foreign interests, and they secretly contributed to Super PACs that spent hundreds of millions of dollars trying to influence American elections?
It makes you ask: who's really buying Mitt Romney's election?
But as in all things, there are good capitalists and there are bad capitalists. Just because this is a free country doesn't mean everything you can legally do is moral and ethical, or good for the United States in the long run.
So let's look at a few different kinds of capitalists and see where Mitt fits.
The prototypical American capitalist is one or two entrepreneurs with an idea who start a company their own money or raise money for the venture by selling shares of stock to investors. As the company makes a profit the owners and investors recoup their investment by receiving dividends, or by selling shares of the stock when the company goes public. People like Henry Ford, Bill Gates, and Steve Jobs are generally thought of as the heroes of capitalism for creating new wealth in exactly this fashion.
Over time, the cost of starting many businesses has become a significant hurdle, so a more recent business development model is the venture capitalist. Using their own money, or pooling the money of investors, venture capitalists search for small businesses with great ideas that are going nowhere because they don't have the resources or business acumen. A lot of high-tech startups have been formed this way over the last 20 years. Venture capitalists often help the solitary inventor who lacks management skills hook up with professionals who can make the company grow and create new wealth.
As companies compete in the marketplace based on the strengths of their products and services, there will be winners and losers. If one company stumbles by making bad or over-priced products, or becomes bloated and inefficient, the poorly-run company may go out of business, or it may be taken over by a better-run competitor. That's just how capitalism works.
But it shows one of the weaknesses of capitalism. Over time these good capitalists can turn into bad capitalists if they are a bit too successful and develop a monopoly position, either by a single company or multiple companies making deals to split up the market. Monopolies rest on their laurels, become arrogant and lose their entrepreneurial spark. Their customers suffer from bad products and poor service. The companies maintain their monopoly by buying up potential competitors or litigating them out of existence. In short, large companies need to be watched, and that's what Teddy Roosevelt's trust-busting was all about.
Besides entrepreneurs and venture capitalists, there's another type of capitalist: the corporate takeover artist, personified by Gordon Gekko in the movie Wall Street. You know, the "greed is good" guy.
These raiders borrow money from investors and banks, promising large returns. They look for companies that are having trouble and snap them up at bargain prices. Sometimes they break the company up and sell the business units for more than they paid, or they dissolve the company to acquire real estate holdings or pension funds and cash them out. Sometimes they restructure the company, firing excess employees, or getting rid of the unprofitable parts and refocusing the business, over time making the company more profitable. Some of this is good, some of it is bad.
But since it's easier to take over a company that's in trouble, raiders often take over the poor performers. Using that acquisition as leverage to get more loans, the raider can then take over the better performers in an industry, turning the whole idea of capitalism upside down. Then the raiders pull the money out of the merged company to make their profit, often leaving the company with huge debt. After the raider is gone, the company quickly goes bankrupt. Everyone loses: employees lose their jobs, customers lose the service or product support, distributors lose a product line, retail outlets lose things to sell, suppliers aren't paid for their goods. Everyone, that is, except the corporate raiders.
The difference between corporate raiders and real capitalists is that raiders don't create new ideas or new wealth. This perversion of capitalism is not good for the economy or the United States, and it's what Mitt Romney practiced at Bain. Romney's brand of capitalism concentrates more money in the hands of fewer people, while contributing nothing new. Guys like Romney think of the economy as a zero-sum game and work to take a bigger piece of the pie, while real capitalists create new business and new money to make the pie bigger.
Our intellectual property and incorporation laws were created to reward people for developing new ideas. The "financialization" of the US economy has destroyed that idea, and instead now rewards raiders, bean-counting bankers, stock brokers, wheeler-dealers and hedge fund managers who get rich by betting that companies will fail, rather than working hard to create new products and services.
Romney's brand of capitalism also puts the United States at risk for takeovers by foreign interests, especially if Republicans make good on their promise to eliminate corporate regulations. What if, instead of investing in US Treasury bills, the Chinese decide to go after American corporations through a series of shell corporations? The only thing preventing this are those "job-killing" regulations that Republicans have pledged to repeal. We know we don't want the Red Army owning Boeing, General Dynamics and Lockheed. But do we really want Beijing calling the shots in the boardrooms at Walmart, IBM, Apple, GM, American Airlines, and John Deere?
What if those companies were secretly controlled by foreign interests, and they secretly contributed to Super PACs that spent hundreds of millions of dollars trying to influence American elections?
It makes you ask: who's really buying Mitt Romney's election?
Wednesday, January 11, 2012
Manufacturing Imprisonment
Last night I was flipping around the New Hampshire primary coverage and saw one of Ron Paul's spokespeople talking about his candidate's second place finish. The question was put to him as to why Dr. Paul is getting so many votes.
"Well, people are tired of having their freedoms taken away," the young man answered.
Uh...what?
Where? Which ones? I'd like to know exactly what freedoms are being taken away because I think this speaks to the very crux of why right wingers vote the way they do.
Honestly, it seems to me that these "freedoms being taken away" don't actually exist and are made up for an all too willing audience...an audience made up of people that if one spends just a few moments quizzing them about their personal lives, it becomes very apparent that the problem isn't the government but themselves and the choices they have made. Ironic, for a group that espouses individual responsibility yet blames the government for everything. But that's their weird blame thing again...
I find it terribly frightening that many Paul supporters (as well as other conservatives and libertarians) have manufactured a reality in which Americans are a small step away (if not there already, in some minds) from the former Soviet Union. What's more frustrating is that their arrogance somehow translates into derisive comments towards "unbelievers" and it is really us (meaning mentally stable people) that are being naive. These people should not be running anything at all because, to put it bluntly, they aren't right in the head. The world is moving at an ever increasing rate towards free markets and trade. Cuba, for crying out loud, is selling private property. The writing is on the wall for centrally planned economies: they are doomed. And it's only a matter of time.
Yet they will not let go of their paranoia. Why? Are they so afraid of change that they can't accept that many of their stated wishes have come true?
Now, I get that some Paul supporters are young and male so there's the adolescent power fantasy thing at work. That's not so much loony as it is hormones and brains not fully developed leading to a latching on to something that aids them in their rebellion against "Dad." Yeah, my freedoms are being taken away, fucker! But the rest? There's no excuse for them whatsoever.
Folks, the world is becoming a better place, not worse. We don't have the time to play make believe and pretend that our government is becoming a statist regime that is on the cusp of taking away our guns and sending people to re-education camps. We have serious problems to confront as we face a rapidly changing world and, quite frankly, many of these folks need to stop spending so much time living in their fantasy world and join us in reality.
Setting aside the anger, hate and fear is tough, I know. But think of how much time we would save...
"Well, people are tired of having their freedoms taken away," the young man answered.
Uh...what?
Where? Which ones? I'd like to know exactly what freedoms are being taken away because I think this speaks to the very crux of why right wingers vote the way they do.
Honestly, it seems to me that these "freedoms being taken away" don't actually exist and are made up for an all too willing audience...an audience made up of people that if one spends just a few moments quizzing them about their personal lives, it becomes very apparent that the problem isn't the government but themselves and the choices they have made. Ironic, for a group that espouses individual responsibility yet blames the government for everything. But that's their weird blame thing again...
I find it terribly frightening that many Paul supporters (as well as other conservatives and libertarians) have manufactured a reality in which Americans are a small step away (if not there already, in some minds) from the former Soviet Union. What's more frustrating is that their arrogance somehow translates into derisive comments towards "unbelievers" and it is really us (meaning mentally stable people) that are being naive. These people should not be running anything at all because, to put it bluntly, they aren't right in the head. The world is moving at an ever increasing rate towards free markets and trade. Cuba, for crying out loud, is selling private property. The writing is on the wall for centrally planned economies: they are doomed. And it's only a matter of time.
Yet they will not let go of their paranoia. Why? Are they so afraid of change that they can't accept that many of their stated wishes have come true?
Now, I get that some Paul supporters are young and male so there's the adolescent power fantasy thing at work. That's not so much loony as it is hormones and brains not fully developed leading to a latching on to something that aids them in their rebellion against "Dad." Yeah, my freedoms are being taken away, fucker! But the rest? There's no excuse for them whatsoever.
Folks, the world is becoming a better place, not worse. We don't have the time to play make believe and pretend that our government is becoming a statist regime that is on the cusp of taking away our guns and sending people to re-education camps. We have serious problems to confront as we face a rapidly changing world and, quite frankly, many of these folks need to stop spending so much time living in their fantasy world and join us in reality.
Setting aside the anger, hate and fear is tough, I know. But think of how much time we would save...
Tuesday, January 10, 2012
Impressive!
Just in time for the presidential election this year, some fine folks have created a site devoted exclusively to the president's achievements since taking office. This is a fairly impressive list that offers links after each one to explore the accomplishment further.
The Economy section is replete with items and one in particular caught my eye. This link is an excellent summary of how the president's policies have helped the economy. Some of the charts and graphs may look familiar as I have put them up in various posts here and there but this organizes them all in one central location. We can clearly see the GDP growth, private sector job gains, public sector job loss (good for you libertarian folks who want to shrink the size of government:)) and just how large of a hole we were in.
The last point is very important because there are many out there who continually harp on how the stimulus didn't work. It's goal wasn't to magically turn us back to the prosperity of the 1990s. Given the depth of the problem, which certainly required a greater period of analysis than just a few months, its goal was to prevent another Great Depression. It did that. Pay close attention to Part III of the report as it shows the estimates of what would've happened had there been no recovery act.
From now until Election Day, I will be referring to this site frequently as we explore why and how the president has done a good job and should be re-elected.
The Economy section is replete with items and one in particular caught my eye. This link is an excellent summary of how the president's policies have helped the economy. Some of the charts and graphs may look familiar as I have put them up in various posts here and there but this organizes them all in one central location. We can clearly see the GDP growth, private sector job gains, public sector job loss (good for you libertarian folks who want to shrink the size of government:)) and just how large of a hole we were in.
The last point is very important because there are many out there who continually harp on how the stimulus didn't work. It's goal wasn't to magically turn us back to the prosperity of the 1990s. Given the depth of the problem, which certainly required a greater period of analysis than just a few months, its goal was to prevent another Great Depression. It did that. Pay close attention to Part III of the report as it shows the estimates of what would've happened had there been no recovery act.
From now until Election Day, I will be referring to this site frequently as we explore why and how the president has done a good job and should be re-elected.
Monday, January 09, 2012
Tracking the President
Gallup Tracking has a very cool app that I have been using for the past few months. I highly recommend picking it up for your smart phone if you are interested in seeing the latest polls. Of course, I have been following the president's numbers very closely and for a while there, it was pretty much the same. He'd get up to 44 or 45 percent and then drop back down to 41 or 42.
But then a few weeks ago, he shot up to 47 and his disapproval went down to 45. At first I thought it was an aberration because it dropped again and toggled between 42 and 44. But then he shot back up and has now been toggling between 45 and 47 approval with his disapproval falling at the same time. In other words, he's been trending higher for the past couple of weeks and it seems to be sticking.
These are the same numbers that Rasmussen has had him at for the last several months but, even though they have been more positive for the president in comparison to Gallup, I still don't trust their polling because of how they do their sampling. So, I think it's a safe bet to say that 45 percent of this country approves of the job the president is doing. Not all that impressive but not as bad as it was a couple of months ago.
And it's important to note that are probably 2-4 percent of the "disapprove" folks that are teed off because he isn't liberal enough which means they are still going to vote for him. That puts him the upper 40s and from there it's all going to come down to the independents and who the choice is for the GOP. As I have said before, if it's "Not Romney," then the president wins by a large margin. If it is Romney, it's going to depend on less than a dozen key states.
But then a few weeks ago, he shot up to 47 and his disapproval went down to 45. At first I thought it was an aberration because it dropped again and toggled between 42 and 44. But then he shot back up and has now been toggling between 45 and 47 approval with his disapproval falling at the same time. In other words, he's been trending higher for the past couple of weeks and it seems to be sticking.
These are the same numbers that Rasmussen has had him at for the last several months but, even though they have been more positive for the president in comparison to Gallup, I still don't trust their polling because of how they do their sampling. So, I think it's a safe bet to say that 45 percent of this country approves of the job the president is doing. Not all that impressive but not as bad as it was a couple of months ago.
And it's important to note that are probably 2-4 percent of the "disapprove" folks that are teed off because he isn't liberal enough which means they are still going to vote for him. That puts him the upper 40s and from there it's all going to come down to the independents and who the choice is for the GOP. As I have said before, if it's "Not Romney," then the president wins by a large margin. If it is Romney, it's going to depend on less than a dozen key states.
Sunday, January 08, 2012
The Issue of Fault
Today, I find myself, as I often do on Sundays, in a reflective mood. Actually, for the past week, I've been ruminating on the issue of fault and trying to figure out how conservatives, generally speaking, really have their head up their collective asses when it comes to that age old question, "Who's to blame?"
If someone is poor and struggling to make end's meet, it's their fault. As GOP presidential hopeful Rick Santorum said recently, "People die in America because people die in America. And people make poor decisions with respect to their health and their healthcare. And they don’t go to the emergency room or they don’t go to the doctor when they need to."
So, when someone gets sick or simply can't pay bills, it's all their fault. They made stupid choices which led them to that point, so fuck 'em. Or, it's somehow the fault of the government. The nanny state has led them to believe that they will be cared for or some federal program has been an impediment in their lives and they are forced into submission with the result being a negative outcome.
In sum, the fault is with the person or the government.
Yet the collection of individuals (family, friends, community) or the people that make up the various private concerns that have a direct relation to a person's life are NEVER EVER at fault. Even though health care firms, insurance companies, gas and electric companies, groceries, restaurants, and other organizations have a direct impact on our lives, they are never at fault. It's as if individuals operate in a vacuum. And, regardless of the evidence gathered thus far, climate change is not the fault of mankind. It's simply a natural part of the earth's cycle and we are not to blame whatsoever.
In sum, large collections of people are never at fault (unless it's the federal government) and should never take the blame for bad things that happen.
In looking at this ridiculous dichotomy, I'm wondering...why are conservatives/libertarians so pro-collective? They continually speak of the supporting individual rights and freedoms yet fervently shit all over them. Down on your luck? Tough shit. It was probably some dumb ass decision you made. No hand outs here, buster. Pull yourself up by your bootstraps. And don't go blamin' the rising cost of (insert organization here) for your problems. You are on your own...unless, of course, it's the federal government. Because they are forcing you at gunpoint to do their bidding.
But do not, under any circumstances, blame yourself as a part of the human race for climate change. They are all a bunch of liberals using a pseudo-science rooted in apocryphal religion to hoodwink you into government spending beyond their means. Even though the effects of greenhouse gases warming the earth can be shown in any 8th grade science class, it's not your fault.
Folks, I don't get it. As is usually the case, the right has the issue of fault completely FUBAR. While I do agree that people (especially in this country), have a great deal of control over their lives and do, in fact, make poor choices that lead to negative outcomes, they aren't entirely to blame on their own. This is especially true when it comes to the issue of health care. And if they get laid off from their job, that may also be the fault of the company in general and poor decision making by upper management-a collection of people. It's a combination of both individual fault and the impediments that arise as a result of the institutions (both public and private) that we have in our society.
So, shouldn't those same institutions, which likely helped to cause the problems in the first place, also be expected to to help people?
So, when someone gets sick or simply can't pay bills, it's all their fault. They made stupid choices which led them to that point, so fuck 'em. Or, it's somehow the fault of the government. The nanny state has led them to believe that they will be cared for or some federal program has been an impediment in their lives and they are forced into submission with the result being a negative outcome.
In sum, the fault is with the person or the government.
Yet the collection of individuals (family, friends, community) or the people that make up the various private concerns that have a direct relation to a person's life are NEVER EVER at fault. Even though health care firms, insurance companies, gas and electric companies, groceries, restaurants, and other organizations have a direct impact on our lives, they are never at fault. It's as if individuals operate in a vacuum. And, regardless of the evidence gathered thus far, climate change is not the fault of mankind. It's simply a natural part of the earth's cycle and we are not to blame whatsoever.
In sum, large collections of people are never at fault (unless it's the federal government) and should never take the blame for bad things that happen.
In looking at this ridiculous dichotomy, I'm wondering...why are conservatives/libertarians so pro-collective? They continually speak of the supporting individual rights and freedoms yet fervently shit all over them. Down on your luck? Tough shit. It was probably some dumb ass decision you made. No hand outs here, buster. Pull yourself up by your bootstraps. And don't go blamin' the rising cost of (insert organization here) for your problems. You are on your own...unless, of course, it's the federal government. Because they are forcing you at gunpoint to do their bidding.
But do not, under any circumstances, blame yourself as a part of the human race for climate change. They are all a bunch of liberals using a pseudo-science rooted in apocryphal religion to hoodwink you into government spending beyond their means. Even though the effects of greenhouse gases warming the earth can be shown in any 8th grade science class, it's not your fault.
Folks, I don't get it. As is usually the case, the right has the issue of fault completely FUBAR. While I do agree that people (especially in this country), have a great deal of control over their lives and do, in fact, make poor choices that lead to negative outcomes, they aren't entirely to blame on their own. This is especially true when it comes to the issue of health care. And if they get laid off from their job, that may also be the fault of the company in general and poor decision making by upper management-a collection of people. It's a combination of both individual fault and the impediments that arise as a result of the institutions (both public and private) that we have in our society.
So, shouldn't those same institutions, which likely helped to cause the problems in the first place, also be expected to to help people?
Saturday, January 07, 2012
Meanwhile, on the Western Front
With all the attention focused on the Republican race for the nomination in the midwest and east, two articles about corporations from the Wild West caught my attention last week.
The first is a story by Kelly Carr and Brian Grow of Reuters about a house on a residential street in Cheyenne, Wyoming, where more than 2,000 corporations are registered. These aren't real corporations: they're shell companies like the ones in the Cayman Islands that drug dealers and the mafia use to launder their money. Lax incorporation laws allow people to register their companies in Wyoming and keep the identities of the principles secret so that the money can't be tracked.
Wyoming Corporate Services, as this capitol of crony capitalism calls itself, offers a full menu of deceptive incorporation strategies, including "shelf" corporations. These companies sit "on the shelf" engaging in what appear to be legitimate financial transactions to make them seem like honest, reliable companies. And then someone with a nefarious purpose comes along and buys this phony corporation to give themselves an air or respectability and a fake history. It's all a big fraud, but it's apparently legal.
According to the Reuters article, the company's website boasts:
The protections of incorporation are in general a public good, allowing people to take risks creating new jobs without risking their entire future. But Wyoming law allows criminals to hide billions of dollars of illegal income, and for otherwise upstanding citizens to avoid paying billions in taxes. All of which means that the rest of us have to pay that much more to make up the difference.
The second story was from next door: the Montana Supreme Court ruled that Montana's corporate campaign contribution law was constitutional. In a 5-2 opinion, the majority upheld that the 1912 initiative Montana voters passed banning corporate contributions to political candidates and parties.
Echoing what I've long been saying, Justice James C. Nelson wrote:
Montana legislature to elect him to the US Senate. However, the Senate refused to seat Clark in 1899 because of the bribery scheme, and the incident was the impetus for the passage of the 17th Amendment providing for direct election of senators. Clark was reputed to have said, "I never bought a man who wasn't for sale." Still, he campaigned again and served one term in the Senate, prompting Mark Twain to write:
Gingrich complained bitterly about the "independent" ad campaigns, claiming that he'd been "Romney-boated." This was an implicit acknowledgment that the Swift Boat campaign against John Kerry in 2004 was just a dirty, lying political trick. Which has always been common knowledge, but few Republicans will admit the truth of it to this day. John McCain suffered the same treatment by George Bush's campaign in 2000, prompting him to sponsor the campaign finance reform laws the Supreme Court struck down.
The combination of uncontrolled secretive shell corporations and unlimited secret corporate donations to "independent" political campaigns -- especially in judicial elections -- is a recipe for disaster. Citizens United is making it impossible for the average voter to tell the truth from the lies repeated on the airwaves so often they become a mantra.
The first is a story by Kelly Carr and Brian Grow of Reuters about a house on a residential street in Cheyenne, Wyoming, where more than 2,000 corporations are registered. These aren't real corporations: they're shell companies like the ones in the Cayman Islands that drug dealers and the mafia use to launder their money. Lax incorporation laws allow people to register their companies in Wyoming and keep the identities of the principles secret so that the money can't be tracked.
Wyoming Corporate Services, as this capitol of crony capitalism calls itself, offers a full menu of deceptive incorporation strategies, including "shelf" corporations. These companies sit "on the shelf" engaging in what appear to be legitimate financial transactions to make them seem like honest, reliable companies. And then someone with a nefarious purpose comes along and buys this phony corporation to give themselves an air or respectability and a fake history. It's all a big fraud, but it's apparently legal.
According to the Reuters article, the company's website boasts:
A corporation is a legal person created by state statute that can be used as a fall guy, a servant, a good friend or a decoy. A person you control... yet cannot be held accountable for its actions. Imagine the possibilities!I searched WCS's website and couldn't find that exact quote, but perusing their list of services and braggadocio about why Wyoming is so much better for incorporation than Nevada, the quote aptly describes their intent. And the thing is, it's completely true: this is exactly why corporations exist. They almost completely remove personal responsibility and personal financial risk from anyone doing business.
The protections of incorporation are in general a public good, allowing people to take risks creating new jobs without risking their entire future. But Wyoming law allows criminals to hide billions of dollars of illegal income, and for otherwise upstanding citizens to avoid paying billions in taxes. All of which means that the rest of us have to pay that much more to make up the difference.
The second story was from next door: the Montana Supreme Court ruled that Montana's corporate campaign contribution law was constitutional. In a 5-2 opinion, the majority upheld that the 1912 initiative Montana voters passed banning corporate contributions to political candidates and parties.
Echoing what I've long been saying, Justice James C. Nelson wrote:
Corporations are not persons. Human beings are persons, and it is an affront to the inviolable dignity of our species that courts have created a legal fiction which forces people — human beings — to share fundamental, natural rights with soulless creatures of government.
Worse still, while corporations and human beings share many of the same rights under the law, they clearly are not bound equally to the same codes of good conduct, decency and morality, and they are not held equally accountable for their sins. Indeed, it is truly ironic that the death penalty and hell are reserved only to natural persons.Montana has history on its side in this corporate dogfight. In the early 20th century the "Copper Kings" ran the state. The mining companies bought most every judge and politician in Montana. At a time when US senators were selected by state legislators, banker and mining executive William A. Clark bribed the
Montana legislature to elect him to the US Senate. However, the Senate refused to seat Clark in 1899 because of the bribery scheme, and the incident was the impetus for the passage of the 17th Amendment providing for direct election of senators. Clark was reputed to have said, "I never bought a man who wasn't for sale." Still, he campaigned again and served one term in the Senate, prompting Mark Twain to write:
He is as rotten a human being as can be found anywhere under the flag; he is a shame to the American nation, and no one has helped to send him to the Senate who did not know that his proper place was the penitentiary, with a ball and chain on his legs. To my mind he is the most disgusting creature that the republic has produced since Tweed's time.The Montana ruling will almost certainly collide with the US Supreme Court's Citizens United decision, which allowed for the public flaying of Newt Gingrich in Iowa by Mitt Romney's Super PAC. Romney's PAC, Restore Our Future, is run by former Romney campaign aides, according to an article in the Washington Post. (Jon Huntsman's Super PAC is mostly financed by his father.)
Gingrich complained bitterly about the "independent" ad campaigns, claiming that he'd been "Romney-boated." This was an implicit acknowledgment that the Swift Boat campaign against John Kerry in 2004 was just a dirty, lying political trick. Which has always been common knowledge, but few Republicans will admit the truth of it to this day. John McCain suffered the same treatment by George Bush's campaign in 2000, prompting him to sponsor the campaign finance reform laws the Supreme Court struck down.
The combination of uncontrolled secretive shell corporations and unlimited secret corporate donations to "independent" political campaigns -- especially in judicial elections -- is a recipe for disaster. Citizens United is making it impossible for the average voter to tell the truth from the lies repeated on the airwaves so often they become a mantra.
Friday, January 06, 2012
Rick Santorum May Not Like All the Attention He's About to Get
An article by Jake Tapper at ABC News shows why Rick Santorum is unfit to serve as president:
I pointed out that Democrats say that one of the reasons Santorum lost in 2006 was because they say he’s more conservative than mainstream America. One issue was Santorum’s opposition to the Supreme Court’s 1965 ruling that invalidated a Connecticut law banning contraception. Santorum said he still feels that a state should be able to make such laws.
“The state has a right to do that, I have never questioned that the state has a right to do that. It is not a constitutional right, the state has the right to pass whatever statues they have. That is the thing I have said about the activism of the Supreme Court, they are creating rights, and they should be left up to the people to decide,” he said.
“You shouldn’t create constitutional rights when states do dumb things,” Santorum said. “Let the people decide if the states are doing dumb things get rid of the legislature and replace them as opposed to creating constitutional laws that have consequences that were before them.”So, his argument for allowing states to ban contraception is that the Constitution doesn't ban stupidity?
The Supreme Court's 1965 decision in Griswold vs. Connecticut overturned a law banning contraception. This decision was one of the first to outline a right to privacy in the Constitution. It drew upon the Ninth Amendment, which states:
The enumeration in the Constitution of certain rights shall not be construed to deny or disparage others retained by the people.The intent of this is obvious: there are many rights so basic that no one would think there would be a need to write them down. Those inalienable rights obviously include the most intimate decisions people make in their marriage: whether they have sex, what kind of sex they have and whether they have children.
This amendment also shows the Founders' foresight. They knew that times change, and that the Constitution shouldn't be used as a hammer to destroy current and future freedoms and rights.
The majority (7-2) of the court also argued that privacy is protected by the Due Process Clause of the 14th amendment. It would also seem that the Equal Protection Clause and the Commerce Clause also bear on the issue, since contraceptives are manufactured in other states and countries and people could cross state lines to buy them. If you can buy guns this way, why not contraceptives?
The Fourth Amendment definitely implies a right to privacy, even though it doesn't explicitly mention the word:
The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized.This is practically the dictionary definition of what privacy means.
In Rick Santorum's ideal universe, lack of children would be probable cause to raid your home and search for condoms and birth control pills. He says that we need to pump out more children so that Social Security doesn't go bust. If elected president will Santorum institute a medal of honor for women who bear eight children, along the lines of the Mutterehrenkreuz of Nazi Germany? Heck, if lots of children are important, why aren't Catholic nuns and priests getting busy? They are shirking their duty!
In 1960 many people thought John F. Kennedy couldn't be president because his Catholicism would dictate his decisions. Kennedy went out of his way to reassure the American people that this wouldn't be the case. But Santorum is going out of his way to tell us that his religion will dictate every facet of his administration.
If you think religion mixed with politics is a good thing, read a little history, especially the reigns of King Henry VIII, Queen Mary and Queen Elizabeth I. For good measure, read about the Huguenots in France. In those days Protestants and Catholics murdered each other by the thousands. And it's still going on today in Iraq, with Sunnis and Shiites going at it. If you think that only Muslims murder each other over religion these days, you need only look to Northern Ireland, where Catholics and Protestants were still killing each other only 15 years ago.
And if you think it can't happen here, just look at the string of religiously motivated murders of doctors in America, as recently as 2009 when George Tiller was gunned down in a Kansas church.
With all this abortion and contraception posturing by Santorum, the irony is that his wife Karen had a second-trimester abortion in 1996 in order to save her life. I don't criticize him for the abortion, just for wanting to prevent other people from having the same option.
This fact which has not gone unnoticed by the Paul campaign, and I expect things will start to get very ugly very soon.
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