28 November 2015

Requiem for a Bureaucrat

Victor G. Reuther: January 1, 1912—June 3, 2004

Jim McNeill

n January 11, 1937, two weeks into the epic sit-down strike at General Motors in Flint, Michigan, a young socialist named Victor Reuther arrived in a rickety sound car at GM’s Fisher Body Plant No. 2. GM had just turned off the plant’s heat—it was 16 degrees outside—and cut off food to the sit-down strikers inside. Reuther, seeking to lift the strikers’ spirits, asked if they’d like to hear a song. “Can the music,” they cried, “get us some food.”

Young Reuther did as he was told. Quickly, he organized a group of pickets outside the plant to face down the company guards at its gates. Outnumbered, the guards retreated. The food was delivered, the strikers cheered. But suddenly, in squad cars and on foot, Flint’s police force surged up the street. firing tear-gas shells before them, the police scattered the pickets and seemed poised to tout the strikers inside.

Glenn Greenwald: Why the CIA is Smearing Edward Snowden After the Paris Attacks

Decent people see tragedy and barbarism when viewing a terrorism attack. American politicians and intelligence officials see something else: opportunity.

Bodies were still lying in the streets of Paris when CIA operatives began exploiting the resulting fear and anger to advance long-standing political agendas. They and their congressional allies instantly attempted to heap blame for the atrocity not on Islamic State but on several preexisting adversaries: Internet encryption, Silicon Valley's privacy policies and Edward Snowden.

Reimagining Journalism: The Story of the One Percent

Michael Massing

Despite fizzling out within months, Occupy Wall Street succeeded in changing the terms of political discussion in America. Inequality, the concentration of wealth, the one percent, the new Gilded Age—all became fixtures of national debate thanks in part to the protesters who camped out in Zuccotti Park in lower Manhattan. Even the Republican presidential candidates have felt compelled to address the matter. News organizations, meanwhile, have produced regular reports on the fortunes of the wealthy, the struggles of the middle class, and the travails of those left behind.

Even amid the outpouring of coverage of rising income inequality, however, the richest Americans have remained largely hidden from view. On all sides, billionaires are shaping policy, influencing opinion, promoting favorite causes, polishing their images—and carefully shielding themselves from scrutiny. Journalists have largely let them get away with it. News organizations need to find new ways to lift the veil off the superrich and lay bare their power and influence. Digital technology, with its flexibility, speed, boundless capacity, and ease of interactivity, seems ideally suited to this task, but only if it’s used more creatively than it has been to date.

Fox News asked a Chicago protester about black-on-black crime. His response was perfect.

by German Lopez

The common defense to criticisms of racial disparities in police use of force takes the form of a question: "But what about black-on-black crime?" The conservative argument is that black people are disproportionately killed by gun violence in their own communities, so perhaps they should worry about that before they worry about what police are doing.

On Tuesday night, Fox News's Mike Tobin put the black-on-black crime question to a protester in Chicago, Brendan Glover, after the release of a video showing the police shooting of Laquan McDonald.

How Walmart Keeps an Eye on Its Massive Workforce

The retail giant is Always watching.

By Susan Berfield

In the autumn of 2012, when Walmart first heard about the possibility of a strike on Black Friday, executives mobilized with the efficiency that had built a retail empire. Walmart has a system for almost everything: When there’s an emergency or a big event, it creates a Delta team. The one formed that September included representatives from global security, labor relations, and media relations. For Walmart, the stakes were enormous. The billions in sales typical of a Walmart Black Friday were threatened. The company’s public image, especially in big cities where its power and size were controversial, could be harmed. But more than all that: Any attempt to organize its 1 million hourly workers at its more than 4,000 stores in the U.S. was an existential danger. Operating free of unions was as essential to Walmart’s business as its rock-bottom prices.

Home, Sweet Kleptocracy

Kabul in America

By Rebecca Gordon

A top government official with energy industry holdings huddles in secret with oil company executives to work out the details of a potentially lucrative “national energy policy.” Later, that same official steers billions of government dollars to his former oil-field services company. Well-paid elected representatives act with impunity, routinely trading government contracts and other favors for millions of dollars. Meanwhile, ordinary citizens live in fear of venal police forces that suck them dry by charging fees for services, throwing them in jail when they can’t pay arbitrary fines or selling their court “debts” to private companies. Sometimes the police just take people’s life savings leaving them with no recourse whatsoever. Sometimes they steal and deal drugs on the side. Meanwhile, the country’s infrastructure crumbles. Bridges collapse, or take a quarter-century to fix after a natural disaster, or (despite millions spent) turn out not to be fixed at all. Many citizens regard their government at all levels with a weary combination of cynicism and contempt. Fundamentalist groups respond by calling for a return to religious values and the imposition of religious law.

Blowback -- the Washington War Party's Folly Comes Home to Roost

David Stockman

Exactly 26 years ago last week, peace was breaking out in a manner that the world had not experienced since June 1914. The Berlin Wall—the symbol of a century of state tyranny, grotesque mass warfare and the nuclear sword of Damocles hanging over the planet—had come tumbling down on November 9, 1989.

It was only a matter of time before the economically decrepit Soviet regime would be no more, and that the world’s vast arsenal of weapons and nuclear bombs could be dismantled.

Who Turned My Blue State Red?

Why poor areas vote for politicians who want to slash the safety net.

by Alec MacGillis

It is one of the central political puzzles of our time: Parts of the country that depend on the safety-net programs supported by Democrats are increasingly voting for Republicans who favor shredding that net.

In his successful bid for the Senate in 2010, the libertarian Rand Paul railed against “intergenerational welfare” and said that “the culture of dependency on government destroys people’s spirits,” yet racked up winning margins in eastern Kentucky, a former Democratic stronghold that is heavily dependent on public benefits. Last year, Paul R. LePage, the fiercely anti-welfare Republican governor of Maine, was re-elected despite a highly erratic first term — with strong support in struggling towns where many rely on public assistance. And earlier this month, Kentucky elected as governor a conservative Republican who had vowed to largely undo the Medicaid expansion that had given the state the country’s largest decrease in the uninsured under Obamacare, with roughly one in 10 residents gaining coverage.

The Koch intelligence agency

s the billionaires’ network works to reshape U.S. politics, it keeps a close eye on the left.

By Kenneth P. Vogel

The political network helmed by Charles and David Koch has quietly built a secretive operation that conducts surveillance and intelligence gathering on its liberal opponents, viewing it as a key strategic tool in its efforts to reshape American public life.

The operation, which is little-known even within the Koch network, gathers what Koch insiders refer to as “competitive intelligence” that is used to try to thwart liberal groups and activists, and to identify potential threats to the expansive network.

The ‘War on Terror’ Has Been Lost

After 14 years, trillions of dollars spent and hundreds of thousands of people dead – with violence expanding, not abating – perhaps it’s finally time to admit that the Bush-Obama “War on Terror” has been lost and that a new strategy addressing root causes is required, as Nat Parry describes.

By Nat Parry

Last week’s attacks in Paris offered a painful and tragic reminder that despite the unprecedented counterterrorism measures implemented since the attacks on New York and Washington 14 years ago, citizens in the West remain as vulnerable as ever to the threat of extremist violence. This may come as a bit of a shock to those who may have expected that the massive investment in fighting terrorism would have resulted in more safety and security by now.

With trillions of dollars spent on overseas military adventures, unprecedented “homeland security” and mass surveillance, and countless lives lost in U.S. wars, it’s not unreasonable to have thought that perhaps more measurable progress would have been made in countering the terrorist threat against the United States.

The One Question Reporters Never Ask Candidates

by Ralph Nader

Candidates for public office, especially at the state and national levels, are never asked this central question of politics: “Since the people are sovereign under our Constitution, how do you specifically propose to restore power to the people in their various roles as voters, taxpayers, workers and consumers?”

Imagine that inquiry starting the so-called presidential debates of both the Republican and Democratic presidential candidates. I’m not sure any of the candidates – so used to saying “I will do this” and “I propose that” would even know how to respond. Regardless of their affiliation with either of the two dominant parties, politicians are so used to people being spectators rather than participants in the run-up to Election Day that they have not thought much about participatory or initiatory democracy. Too many of them, backed by the concentrated wealth of plutocrats, have perfected the silver-tongued skills of flattery, obfuscation and deception.

Privacy groups fight to expose secret cyber ruling

By Cory Bennett and Julian Hattem

Civil liberties advocates are trying to bring to light a secret legal document that could upend the congressional fight over cybersecurity.

For years, the Obama administration has repeatedly declined to reveal a 2003 decision from the Justice Department’s Office of Legal Counsel (OLC), claiming that it no longer relies on the opinion.

But the continued secrecy has digital privacy experts worried the decision addresses the government's right to access data and could give license to warrantless surveillance.

The Right's Anti-Minimum-Wage Arguments Have Pretty Much Stayed the Same for 80 Years

By Branko Marcetic, In These Times | News Analysis

Over the past year, the campaign to raise the minimum wage has been steadily accumulating prominence, political allies and, most importantly, successes. Not surprisingly, it has also occasioned a pushback from conservative politicians and columnists who view its increase as a misguided, self-defeating folly.

The main points of the conservative argument against raising the minimum wage tend to be as follows: Increasing it would lead businesses to either raise prices or fire workers (or both) in order to deal with a spiraling cost of labor. This means that while some workers would be lifted out of poverty, many would lose their jobs, plunging them into greater financial straits, while all consumers would lose out from paying more for goods and services. This would ironically hit young, inexperienced and low-skill workers the hardest, as they have the least bargaining power and are typically the first to be fired. It is therefore better to let the market take its course and allow businesses to gradually raise their wages of their own accord.

Welfare Reform’s Broken Promises Exposed Again

Isaiah J. Poole

Rep. Paul Ryan (R-Wis.) says he wants to double down on so-called “welfare reform” from his new perch as speaker of the House. But Ryan should first look at the experience of Maryland, and specifically to a recent study that exposes the broken promise of welfare reform.

That study, by researcher Lisa Thiebaud Nicoli at the University of Maryland School of Social Work, is one of the remarkably few efforts to actually chronicle in detail how welfare recipients actually fare once they get back into the workforce. The story for a majority of people in Maryland who exit Temporary Assistance for Needy Families – the official name of the federal welfare program – is “a struggle to earn enough to achieve self-sufficiency” and make ends meet, the report said.

The Saudi Connection to Terror

Exclusive: While Official Washington devotes much sound and fury to demands for a wider war in Syria and the need to turn away Syrian refugees, Democrats and Republicans dodge the tougher question: how to confront Saudi Arabia about its covert funding for Islamic State and Al Qaeda terrorists, writes Daniel Lazare.

By Daniel Lazare

How does ISIS pay for its operations? This is the key question as the war against the terror organization advances to a new level in the wake of the Paris atrocities. But the mainstream’s approved answer is part of the problem.

That approved answer, from many political leaders and assorted “terrorism experts,” is that ISIS (also known as ISIL, Islamic State and Daesh) funds its operations through a variety of illicit activities such as illegal antiquity sales, kidnapping for ransom, holding up banks, and peddling crude from oil fields it controls in northern Syria and Iraq.

Hang Onto Your Wallets: Negative Interest, the War on Cash, and the $10 Trillion Bail-in

In uncertain times, “cash is king,” but central bankers are systematically moving to eliminate that option. Is it really about stimulating the economy? Or is there some deeper, darker threat afoot?

by Ellen Brown

Remember those old ads showing a senior couple lounging on a warm beach, captioned “Let your money work for you”? Or the scene in Mary Poppins where young Michael is being advised to put his tuppence in the bank, so that it can compound into “all manner of private enterprise,” including “bonds, chattels, dividends, shares, shipyards, amalgamations . . . .”?

That may still work if you’re a Wall Street banker, but if you’re an ordinary saver with your money in the bank, you may soon be paying the bank to hold your funds rather than the reverse.

Take a Wild Guess About Why Koch Brothers Got So Interested in 'Criminal Justice' Reform

A high-profile bipartisan effort contains fine print for helping corporate America face even less legal scrutiny.

By Steven Rosenfeld

As the GOP-controlled Congress drafts a major criminal justice reform package to unshackle millions of poor and people of color from a predatory legal system, House Republicans are ensuring that corporate America will also get what it wants: tougher legal hurdles for prosecutors to go after white-collar crimes.

An early draft of one bill in the House Judiciary Committee’s package of reforms would raise the legal threshold needed to prove a person committed a white-collar offense. In most instances today, a person cannot claim he didn’t know what he was doing was illegal. But the House’s proposal would require government to “prove that the defendant knew, or had reason to believe, the conduct was unlawful.”

Paul Krugman: The Farce Awakens


Erick Erickson, the editor in chief of the website RedState.com, is a serious power in right-wing circles. Speechifying at RedState’s annual gathering is a rite of passage for aspiring Republican politicians, and Mr. Erickson made headlines this year when he disinvited Donald Trump from the festivities.

So it’s worth paying attention to what Mr. Erickson says. And as you might guess, he doesn’t think highly of President Obama’s antiterrorism policies.

Uber Is Not the Future of Work

Gig-enabling apps are a distraction from the uncertainties that affect far more people: Will workers get paid enough and are their jobs safe?

Lawrence Mishel

The rise of Uber has convinced many pundits, economists, and policymakers that freelancing via digital platforms is becoming increasingly important to Americans’ livelihood. It has also promoted the idea that new technology—particularly the explosion of platforms enabling the gig economy—will fundamentally alter the future of work.

While Uber and other new companies in the gig economy receive a lot of attention, a look at Uber’s own data about its drivers’ schedules and pay reveals them to be much less consequential than most people assume. In fact, dwelling on these companies too much distracts from the central features of work in America that should be prominent in the public discussion: a disappointingly low minimum wage, lax overtime rules, weak collective-bargaining rights, and excessive unemployment, to name a few. When it comes to the future of work, these are the aspects of the labor market that deserve the most attention.

TPP Financial Stability Threats Unveiled: It’s Worse than We Thought

Posted by Nick Florko

Public Citizen’s Global Trade Watch has carefully analyzed the Financial Services Chapter of the recently released Trans-Pacific Partnership. One story that has not been told about the TPP is how this first U.S. trade agreement negotiated since the global financial crisis would impose the same model of financial deregulation that is widely understood to have fueled the crisis.

It’s Paul Krugman vs. Noam Chomsky: This is the history we need to understand Paris, ISIS

Krugman mocks idea that US imperialism's at root of all evil. But scars of our meddling are key to the Middle East

Patrick L. Smith

Two remarks a few days apart lead straight to the question posed in this space after last Friday’s tragic events in Paris. Why? Why does the Islamic State wage war? Why does this war now reach into a Western capital? The question is why, the argument being we will get nowhere in resolving a crisis that can no longer be described as the Middle East’s alone until we ask it and attempt answers.

“If you have a handful of people who don’t mind dying, they can kill a lot of people,” President Obama asserted after a Group of 20 summit in Turkey Monday. “That’s one of the challenges of terrorism…. It is the ideology they carry with them and their willingness to die.”

24 November 2015

Elizabeth Warren Blasts Tax Plan as 'Giant Wet Kiss' to Corporate America

"The corporate giants are lined up to make sure tax changes tilt their way."

by Deirdre Fulton, staff writer

Denouncing a "rigged" system that favors corporations over middle-class Americans, Sen. Elizabeth Warren (D-Mass.) said in a "must-watch" speech on Wednesday that any reform of the U.S. corporate tax code must force big businesses to "substantially increase" the amount of federal tax they pay.

She described that "deemed repatriation" plan—which would allow U.S. companies to pay less tax on profits generated abroad if that money is repatriated to the U.S.—as "a giant wet kiss for the tax dodgers who have already parked $2.1 trillion overseas."

The GOP’s devious Wall Street welfare plan: Why the future of the economy hangs in the balance

Congressional Republicans are preparing to hold vital legislation hostage in order to ram through deregulation

David Dayen

You wouldn’t know it, but this is a consequential week for the future of financial regulation, and in a larger sense, the future of the economy. Republicans have pulled out a successful playbook, and are planning an assault on Wall Street regulations. They’re doing it with the avowed support of a lingering faction of conservative Democrats. And the level of that support, which will be tested in House votes this week, is key to the success of the plan.

The game plan is simple: stick as many riders onto two must-pass bills as possible, holding them hostage to conservative ideology. The bills include a long-term reauthorization of the Highway Trust Fund, which expires shortly, and a package of appropriations bills to keep the government funded, which have a deadline of December 11. Even if the Obama Administration forces some riders out, plenty of other policies would pass into law that would never have a shot on a straight-up vote.

One Chart That Should Make Americans Wake Up

By Pam Martens and Russ Martens

Thanks to the Occupy Wall Street movement and more recent cross-country stumping by Senator Bernie Sanders, millions of Americans have awakened to the frightening reality that corrupted power in America is now fully engaged in running an institutionalized wealth transfer system cleverly masquerading as an economic model. As Senator Sanders has reminded the tens of thousands turning out to hear him speak:
The U.S. has the greatest income and wealth inequality of any other major developed country;
One percent of the population now controls a greater share of pre-tax income than at any time since the 1920s, (the last time Wall Street was legally allowed to gamble for the house with bank deposits);


Where have all the workers gone?

By: Isabel V. Sawhill

Employment rates among prime-age workers, especially men, have declined sharply over the last few decades. The Great Recession made matters worse. Recent declines in the unemployment rate have enticed some back into the active labor force but the long-term picture is still discouraging. When we compare the U.S. to other advanced countries, working-age adults are simply not working as much as adults in most European nations.

What's going on here? As my colleague Gary Burtless notes, three developments have probably played a role. First, real wages have fallen by 28 percent for high-school educated men since 1980, making work much less attractive, but also signaling that employers are looking for a higher level of skill. Second, the disability rolls have been growing (primarily because of musculoskeletal and mental health issues). Although getting onto disability is a long and involved process, the benefits compete favorably with what a low-skilled worker could earn and create a disincentive to re-enter the labor market. Third, now that women are almost half the labor force, the pressure for men to work has lessened.

What Happened When Jeb Bush Hired an Evangelical Hardliner to Run Florida’s Child Welfare System

It didn't go well.

—By Stephanie Mencimer

It was 2002, Gov. Jeb Bush was up for reelection, and the Florida Department of Children and Families (DCF) was in chaos. News had recently broken that a five-year-old Miami girl in state care had disappeared—and no one had noticed her absence for more than a year. Police had recently found a child welfare worker passed out drunk in her car with a kid in the back seat. A two-year-old boy was beaten to death on the same day a caseworker claimed to have visited him. The department head had quit amid a series of controversies. Bush needed a replacement, one that signaled that he had a plan to restore order to the scandal-plagued agency. But his choice to fill the job, Jerry Regier, a Christian conservative culture warrior who had served in Bush’s father’s presidential administration, soon landed in a controversy of his own involving spanking.

Regier held a range of hardline religious views and supported the use of corporal punishment against children. He was the founding president of Family Research Council, the social conservative group that has denounced homosexuality and defended the rights of parents to physically discipline their children. (FRC was co-founded by James Dobson, an influential psychologist who, starting in the 1970s, wrote numerous parenting books touting the value of using a switch or belt on defiant children.)

The Dark Money Behind the Elizabeth Warren “Commie” Ad

By Pam Martens and Russ Martens

The Consumer Financial Protection Bureau (CFPB), the federal agency created after the 2008 crash to protect the little guy from Wall Street predators, which has done a top-flight job of it, was portrayed as a commie organization in a advertisement that ran repeatedly during the Republican Presidential debate on November 10. To enhance the communist theme of the ad (see full video below) giant banners of CFPB Director, Richard Cordray, and Senator Elizabeth Warren, who pushed for the creation of the agency, hang on the wall in a nod to Soviet dictators.

The advertisement is grossly misleading, overtly suggesting that the job of the CFPB is to deny car loans and mortgages to regular folks seeking credit. The agency, in fact, has absolutely nothing to do with approving credit applications. Its job is to root out and punish financial institutions that are ripping off customers. For example, in July of this year, the serial looter, Citigroup, was ordered by the CFPB to reimburse an estimated $700 million to 7 million of its credit card customers for deceptive marketing and billing for services that were never provided. The agency has also recently gone after student loan and mortgage servicers for ripping off borrowers with excessive fees and unwarranted interest payments.

Empathy is key to political persuasion, shows new research

University of Toronto, Rotman School of Management

Toronto - It's not news that liberals and conservatives are lousy at winning each other over.

But if they really care about making even modest in-roads with each other, they'll pay attention to research showing that arguments based on a political opponent's moral principles, rather than one's own, have a much better chance of success.

The University of North Carolina’s New President Should Scare Anyone Who Cares About Higher Ed

 Margaret Spellings is a Karl Rove protégé who calls students “customers,” and now she’s in charge of the state’s prestigious public university system.

By Zoë Carpenter

After the board that governs the University of North Carolina unexpectedly fired system president Tom Ross in January, there were murmurs that it might replace Ross with conservative kingmaker Art Pope. Pope and the web of think tanks and political groups he funds have long envisioned radical changes in the university system, as I reported in June. While Ross was respected by faculty, he was also a Democrat; UNC’s Board of Governors is appointed by the legislature, which flipped Republican in 2010. Many interpreted Ross’s ouster as the beginning of an ideological purge. Indeed, in the months that followed the board and legislature made a number of moves with troubling implications for intellectual freedom and accessibility at what has long been one of the country’s most celebrated public universities.

Pope himself was not really a plausible replacement; his appointment would have been too transparently political, and his network has clashed with (comparatively) moderate elements on the board and in the legislature. When the board made a selection in late October it chose someone outside the state’s conservative machinery: Margaret Spellings, former secretary of education under George W. Bush. Spellings is a seasoned political operative; Karl Rove introduced her to Bush, and she went on to direct his campaign for Texas governor and follow him to the White House. She is the latest in a string of politicians and former executives—including former homeland security secretary Janet Napolitano at the University of California, and Timothy Wolfe, who resigned Monday after protests at the University of Missouri—to be installed at the helm of a public university. She’s not Pope, but her track record gives those concerned about the corporatization of higher education something to worry about nonetheless.

Paul Krugman: Fearing Fear Itself


Like millions of people, I’ve been obsessively following the news from Paris, putting aside other things to focus on the horror. It’s the natural human reaction. But let’s be clear: it’s also the reaction the terrorists want. And that’s something not everyone seems to understand.

Take, for example, Jeb Bush’s declaration that “this is an organized attempt to destroy Western civilization.” No, it isn’t. It’s an organized attempt to sow panic, which isn’t at all the same thing. And remarks like that, which blur that distinction and make terrorists seem more powerful than they are, just help the jihadists’ cause.