Tag: TMC Politics

Income Inequality and the Economic Recovery

Nobel Prize winning economist Joseph E. Stiglitz posted an interesting piece in the New York Times Opinionator that examines how income inequality is holding back the economic recovery:

The re-election of President Obama was like a Rorschach test, subject to many interpretations. In this election, each side debated issues that deeply worry me: the long malaise into which the economy seems to be settling, and the growing divide between the 1 percent and the rest – an inequality not only of outcomes but also of opportunity. To me, these problems are two sides of the same coin: with inequality at its highest level since before the Depression, a robust recovery will be difficult in the short term, and the American dream – a good life in exchange for hard work – is slowly dying.

Politicians typically talk about rising inequality and the sluggish recovery as separate phenomena, when they are in fact intertwined. Inequality stifles, restrains and holds back our growth. [..]

Prof. Stiglitz notes four factors that are the cause:

The most immediate is that our middle class is too weak to support the consumer spending that has historically driven our economic growth. [..] The growth in the decade before the crisis was unsustainable – it was reliant on the bottom 80 percent consuming about 110 percent of their income.

Second, the hollowing out of the middle class since the 1970s, a phenomenon interrupted only briefly in the 1990s, means that they are unable to invest in their future, by educating themselves and their children and by starting or improving businesses. [..]

Third, the weakness of the middle class is holding back tax receipts, especially because those at the top are so adroit in avoiding taxes and in getting Washington to give them tax breaks. [..]

Fourth, inequality is associated with more frequent and more severe boom-and-bust cycles that make our economy more volatile and vulnerable.

Noting that one fifth of US children live in poverty, the professor points out that children living in Canada, France, Germany and Sweden have better economic futures simply because education and training are more affordable. The countries that responded best to the crisis on Europe had strong unions and strong social safety nets, something that this country is seems hell bent to destroy.

However, Prof. Stiglitz’s contemporary, Paul Krugman, somewhat disagrees arguing that these factors may have caused the recession, they are less of a draw on the recovery than Prof. Stiglits beleives. In the face of the recovery, Prof. Krugman rejects the “underconsumption” and tax receipt hypothesis:

It’s true that at any given point in time the rich have much higher savings rates than the poor. Since Milton Friedman, however, we’ve know that this fact is to an important degree a sort of statistical illusion. Consumer spending tends to reflect expected income over an extended period. If you take a sample of people with high incomes, you will disproportionally include people who are having an especially good year, and will therefore be saving a lot; correspondingly, a sample of people with low incomes will include many having a particularly bad year, and hence living off savings. So the cross-sectional evidence on saving doesn’t tell you that a sustained higher concentration of incomes at the top will lead to higher savings; it really tells you nothing at all about what will happen. [..]

Joe also argues that high income inequality depresses tax receipts, fueling fiscal fears. Again, I have trouble with this point: our tax system isn’t as progressive as it should be, but it is at least mildly progressive even when you take state and local taxes into account.

I’m in agreement with Prof Stiglitz on this, even with my rudimentary knowledge of economics. It would seem logical that if incomes are falling and the middle class is shrinking, then consumption of goods and services will fall as people have less disposable income. It follows that all tax revenues would also decrease.  

Punting the Pundits: Sunday Preview Edition

Punting the Punditsis an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Follow us on Twitter @StarsHollowGzt

The Sunday Talking Heads:

Up with Chris Hayes: Joining Chris will be: Gov. Dannell Malloy (@GovMalloyOffice), Democrat of Connecticut; Sen. Sherrod Brown (@SenSherrodBrown), Democrat representing Ohio; Sen. Tom Udall (@SenatorTomUdall), Democrat representing New Mexico; Rep. Barbara Lee (@RepBarbaraLee) , Democrat from California representing the state’s 13th congressional district; Patrick Gaspard, executive director of the Democratic National Committee. From 2009-2011, he served as director of the Office of Political Affairs for the Obama administration and served as the national political director of President Obama’s 2008 presidential campaign; Bill Burton (@billburton), senior strategist with Priorities USA Action and Priorities USA, former deputy White House press secretary for President Obama; Neera Tanden (@neeratanden), president of the Center for American Progress; Jen Psaki (@jrpsaki), senior vice president and managing director at Global Strategy Group, former Obama White House deputy communications director; and Jared Bernstein (@econjared), senior fellow at the Center for Budget & Policy Priorities. Served as the chief economist and policy adviser to Vice President Biden from 2009-2011.

This Week with George Stephanopolis: On this inaugural weekend, White House Senior Adviser David Plouffe comes to “This Week” Sunday.

The powerhouse roundtable debates President Obama’s second-term challenges, with ABC News’ George Will and Cokie Roberts; political strategist and ABC News political analyst Matthew Dowd; former Michigan Gov. Jennifer Granholm, host of Current TV’s “The War Room”; and 2012 Republican presidential candidate Rick Santorum, chairman of Patriot Voices.

Plus, as Washington prepares for a party, George Stephanopoulos speaks with actress and Presidential Inauguration Committee co-chair Eva Longoria about the weekend’s inaugural celebrations.

Face the Nation with Bob Schieffer: Mr. Schieffer’s guests are David Plouffe, White House Senior Adviser; former Secretary of State Condoleeza Rice; Dee Dee Myers, former Bill Clinton Press Secretary and Vanity Fair Contributing Editor; Bob Woodward of The Washington Post; Peggy Noonan of The Wall Street Journal; Taylor Branch, author, The King Years; former Secretary of Health, Education and Welfare Joseph Califano; Dr. James Paterson, LeHigh University; Rep. Joaquin Castro, D-Texas and San Antonio Mayor Julian Castro.

Meet the Press with David Gregory: This Sunday’s MTP guests are  Chuck Schumer (D-NY) who is also chairman of the Joint Congressional Committee on Inaugural Ceremonies; and a new face in Congress, Ted Cruz (R-TX).

The roundtable guests are  David Axelrod; MSNBC’s Joe Scarborough; Presidential Historian Doris Kearns Goodwin; Special Correspondent Tom Brokaw; Chief Foreign Correspondent Richard Engel and Chief White House Correspondent and Political Director Chuck Todd.

State of the Union with Candy Crowley: Ms. Crowley’s guests are White House Senior Adviser David Plouffe, and Senator John Barrasso (R-WY); former Clinton speechwriter Don Baer, and former George W. Bush speechwriter Michael Gerson; former Democratic Senator Russ Feingold; former House Speaker Newt Gingrich; USA Today‘s Susan Page; and CNN Senior Political Analyst Ron Brownstein.

What We Now Know

Up host Chris Hayes has what we know now since the week began. Joining him to discuss what they know are Rep. Donna Edwards (D-MD)(@repdonnaedwards); Bill Fletcher (@BillFletcherJr), racial justice, labor and international activist; Ben Jealous (@BenJealous), president and CEO of the NAACP; and economist Dr. Julianne Malveaux (@drjlastword), president emeritus of Bennett College for Women.

Aaron Swartz Prosecutor Defends Charges, Days After Activist’s Suicide

by Ryan J. Reilly, Huffington Post

WASHINGTON — U.S. Attorney Carmen Ortiz on Wednesday defended her office’s prosecution of Aaron Swartz as “appropriate,” days after the 26-year-old Internet activist took his own life.

Ortiz, the top federal prosecutor in Massachusetts, broke her silence for the first time since Swartz killed himself on Friday. His family and supporters have blamed the government for playing a role in his death, while members of Congress have questioned the Justice Department’s aggressive prosecution of Swartz on computer fraud charges.

But Ortiz maintained it was appropriate for prosecutors in the U.S. Attorney’s Office for the District of Massachusetts to bring the case. She said her office was prepared to offer a deal that would have put Swartz behind bars in a low-security prison for six months. Ortiz said prosecutors never said they intended to seek the maximum punishment.

Introducing ‘Aaron’s Law’

by Diane Sweet, Crooks and Liars

Rep. Zoe Lofgren (D-CA) introduced “Aaron’s Law” on Tuesday night, announcing it via the user-generated site Reddit. The piece of legislation would modify the the Computer Fraud and Abuse Act to exclude terms of service violations. “There’s no way to reverse the tragedy of Aaron’s death, but we can work to prevent a repeat of the abuses of power he experienced,” Lofgren wrote. “The government was able to bring such disproportionate charges against Aaron because of the broad scope of the Computer Fraud and Abuse Act (CFAA) and the wire fraud statute.” Read the full bill here (pdf).

Residential Segregation Contributes to Health Disparities for People of Color

by Kenneth J. Cooper, America’s Wire

Segregated black neighborhoods tend to be poor-poorer, in fact, than impoverished white neighborhoods. Recent research, however, has begun to show that race, not class, adversely affects the health of African-Americans in racially isolated communities.

Hope Landrine, a researcher for the American Cancer Society, reviewed the latest studies on residential segregation and black health, and compiled the findings last year in the journal “Ethnicity & Health.” Among them:

 

  • Two to three times as many fast food outlets are located in segregated black neighborhoods than in white neighborhoods of comparable socioeconomic status, contributing to higher black consumption of fatty, salty meals and in turn widening racial disparities in obesity and diabetes.
  • Black neighborhoods contain two to three times fewer supermarkets than comparable white neighborhoods, creating the kind of “food deserts” that make it difficult for residents who depend on public transportation to purchase the fresh fruits and vegetables that make for a healthy diet.
  • Fewer African-Americans have ready access to places to work off excess weight that can gradually cause death. A study limited to New York, Maryland and North Carolina found that black neighborhoods were three times more likely to lack recreational facilities where residents could exercise and relieve stress.
  • Because of “the deliberate placement of polluting factories and toxic waste dumps in minority neighborhoods,” exposure to air pollutants and toxins is five to 20 times higher than in white neighborhoods with the same income levels.
  • Regardless of their socioeconomic status, African-Americans who live in segregated communities receive unequal medical care because hospitals serving them have less technology, such as imaging equipment, and fewer specialists, like those in heart surgery and cancer. The predominantly white doctors in those communities are also less likely to have certification from the American Board of Medical Specialties, an accepted standard of professional competence.

Foreclosure Review In New Settlement Leaves Homeowners In Banks’ Hands

by Ben Hallman and Eleazar David Melendez, Huffington Post

For more than a year, housing advocates and their allies worried that a review of foreclosed loans managed by banking regulators was vulnerable to mortgage industry interference.

On Monday, the Office of the Comptroller of the Currency and the Federal Reserve Board — the two regulatory bodies that had taken the lead in making the nation’s largest banks accountable for rampant foreclosure fraud — announced that homeowners no longer need worry about the independence of the reviews. The regulators, essentially admitting that the reviews were too difficult to conduct, and that assigning appropriate compensation to those most harmed by the banks was no longer a priority, said the mortgage companies themselves will determine how to distribute $3.3 billion to more than 4 million homeowners forced into foreclosure in 2009 or 2010.

Housing advocates, while acknowledging that the foreclosure reviews were flawed, said they don’t understand how turning the process over to mortgage companies improves a system already insufficiently independent.

Foreclosure Review Insiders Portray Massive Failure, Doomed From The Start

by Ben Hallman and Eleazar David Melendez, Huffington Post

Last January, dozens of independent contractors showed up for their first day of work at a large, single-story Bank of America building in Tampa to right the wrongs of a foreclosure crisis that many had witnessed firsthand. Or so they thought.

They were lawyers, paralegals and other mortgage industry veterans. Along with thousands of other contractors working at banks and auditing firms like Deloitte and PriceWaterhouseCoopers, the Tampa crew was to comb through the mortgages of people whose homes were in foreclosure at the height of that crisis, in 2009 and 2010. They were looking for lost paperwork, overcharges, botched loan modifications — evidence of the kinds of errors and misconduct widely alleged by foreclosed borrowers.

It was called the Independent Foreclosure Review, and it was one of the most ambitious and costly auditing projects in U.S. history.

It was also, some of the contractors soon came to believe, a fiasco in the making. At Bank of America, contract employees were to answer more than 2,000 questions written by Promontory Financial, the consulting firm the bank hired to audit its mortgage loan files. Those questions, the contractors said, were confusing and open to interpretation. Training was spotty and mistakes were frequent, they said. Sometimes, when they noted bank-caused mistakes, they were told by Bank of America managers not to believe their own eyes.

Punting the Pundits

“Punting the Pundits” is an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Follow us on Twitter @StarsHollowGzt

Robert Sheer: Another Word for Propaganda

Why aren’t film director Kathryn Bigelow’s claimed government sources, including employees of the CIA, in jail like Pfc. Bradley Manning? Or, at the very least, being investigated for their role in one of the most damaging leaks of national security information in U.S. history?

How did the Japanese-owned Sony Corporation that released Bigelow’s “Zero Dark Thirty” gain access to information on the 10-year hunt for Osama bin Laden, so highly classified that it was denied to the official 9/11 Commission that investigated the terrorist attacks? The opening frame of the movie states the crime, clearly claiming that “Zero” is “based on firsthand accounts of actual events.” [..]

The few brave whistle-blowers in our government who have attempted to warn us of this dangerous course, like Manning, who is accused of exposing the killing of innocent Iraqi civilians, have endured harsh punishment and been threatened with even greater penalties. Not so the eyewitnesses on whom Bigelow relied for her film’s knee-jerk acceptance of a U.S. torture policy.

Robert Pollin: A Modest Proposal for Jacob Lew: Acknowledge Three Simple Facts about U.S. Fiscal Reality

In a reasonable world, in which we recognized the culpability of big-time D.C. politicians and bureaucrats who allowed Wall Street hyper-speculation to run wild and eventually cause the 2008-09 crash and Great Recession, Jacob Lew would be understood as a terrible choice as President Obama’s second-term Treasury Secretary, replacing Timothy Geithner. [..]

It is clear that debate over the fiscal deficit and austerity will dominate Lew’s confirmation hearings and at least his initial period in office, if he ends up getting confirmed. But without pursuing any deep explorations about who should be taxed more or less, or whether 47 percent of U.S. citizens are indeed freeloaders, I would just propose that Lew be willing to recognize three sets of very simple, irrefutable facts about the current U.S. fiscal condition. [..]

Robert Jensen: Torture Is Trivial

Compared to its other crimes, that is

The great American torture debate has been rekindled by the nationwide release of “Zero Dark Thirty,” the hot new movie about the CIA’s hunt for Osama bin Laden.

But all the fussing over whether or not the movie condones, glorifies, and/or misrepresents torture is trivial, because the United States’ use of torture after 9/11 is trivial in the context of larger U.S. crimes.

Let me be clear: I don’t support torture. I think torture is immoral. I think government officials who ordered or condoned torture should be held accountable. Torture crosses a line that should not be crossed.

But when I look at the decade since 9/11, torture is hardly the greatest crime of the U.S. war machine. Since 9/11, the United States has helped destroy two countries with, at best, sketchy moral and legal justification. The invasion of Afghanistan was connected to the crimes of 9/11, at least at first, but quickly devolved into a nonsensical occupation. The invasion of Iraq, which was clearly illegal, was a scandal of unprecedented scale, even by the standards of past U.S. invasions and covert operations.

Terry O’Neill: 40 Years After Roe v. Wade, We Still Fall Short of Reproductive Justice

Access to abortion care is a necessary part of reproductive healthcare, but not the totality of it

Forty years ago this month, the Supreme Court affirmed a woman’s right to terminate an unwanted pregnancy. The landmark Roe v. Wade decision legalized abortion in the United States, forever changing and literally saving the lives of countless women. The impact of Roe has been both inspiring and frustratingly insufficient. [..]

Conservatives have already signaled that they’ll try to distract voters from issues like abortion and birth control. Virginia Gov. Bob McDonnell waited until the Friday between Christmas and New Year’s to sign a law imposing impossible and unnecessary regulations on abortion clinics, thus forcing their closure. Louisiana Gov. Bobby Jindal told the Republican Governors Association that conservatives shouldn’t change their hardline agenda, just the way they talk about it. The last thing they want in 2014 is for voters to become knowledgeable about their social agenda and energized to defeat them.

David Sirota: Gun control doesn’t violate the Second Amendment!

How can we address gun violence when the mere discussion of legislation is met with threats of armed revolt?

How is a U.S. Constitution enshrining a baseline right to bear arms for a “well regulated militia” now seen by many as mandating that firearms be sold in completely unregulated fashion to any lunatic looking to stockpile a military-grade arsenal of assault weapons?

If, as gun proponents typically assert, the Second Amendment is absolute and we therefore cannot regulate, say, assault rifles, does the government have the right to regulate any other weapons? Should, for instance, citizens be able to own automatic machine guns? What about hand-held rocket launchers – is Supreme Court Justice Antonin Scalia right to suggest that they might be constitutionally protected? What about an individual right to own an armed flying drone?

Alternately, if we agree that some lines can be drawn, then doesn’t today’s gun control conversation represent a simple disagreement over where exactly to place those lines rather than a Stalinist assault on the basic right to own a gun?

Michael Winsip: Corporate Party Favors at the Inaugural Shindig

Four years ago, the committee for President Obama’s first swearing-in proudly announced that no corporate cash would be accepted for the festivities, presenting the decision as “a commitment to change business as usual in Washington.” Nor was money taken from registered lobbyists and foreign agents, non-U.S. citizens or political action committees. What’s more, individual contributions were capped at $50,000.

This year, there’s a new attitude and a new push for dollars — the goal is set at $50 million. The rules against lobbyists, PACs and non-citizens are still in effect, but now, contributions of as much as a million are being solicited from individuals as well as businesses (although you’re banned from giving if you received taxpayer bailout money from the Troubled Asset Relief Program — TARP — and haven’t paid it back!).

Punting the Pundits

“Punting the Pundits” is an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Follow us on Twitter @StarsHollowGzt

Paul Krugman: The Dwindling Deficit

It’s hard to turn on your TV or read an editorial page these days without encountering someone declaring, with an air of great seriousness, that excessive spending and the resulting budget deficit is our biggest problem. Such declarations are rarely accompanied by any argument about why we should believe this; it’s supposed to be part of what everyone knows. [..]

It’s true that right now we have a large federal budget deficit. But that deficit is mainly the result of a depressed economy – and you’re actually supposed to run deficits in a depressed economy to help support overall demand. The deficit will come down as the economy recovers: Revenue will rise while some categories of spending, such as unemployment benefits, will fall. Indeed, that’s already happening.

Vicki Devoli: Who Says You Can Kill Americans, Mr. President?

President Obama has refused to tell Congress or the American people why he believes the Constitution gives, or fails to deny, him the authority to secretly target and kill American citizens who he suspects are involved in terrorist activities overseas. So far he has killed three that we know of.

Presidents had never before, to our knowledge, targeted specific Americans for military strikes. There are no court decisions that tell us if he is acting lawfully. Mr. Obama tells us not to worry, though, because his lawyers say it is fine, because experts guide the decisions and because his advisers have set up a careful process to help him decide whom he should kill.

He must think we should be relieved.

Yves Smith: GOP May Back Away from Debt Ceiling Theatrics, But Plutocrats Still Calling the Shots

A important shift in the Republicans’ negotiating stance over the austerity fight (do we go Dem lite or Republican high test?) was duly noted in the Financial Times a day ago, but a search in Google News (“debt ceiling”) suggests a lot of other commentators have not yet digested its significance, so it seemed worthy of a short recap here.

Although extremism and brinksmanship have become preferred negotiating tactics of the Republicans, the most relentless practitioners are under the sway of libertarian funders and stealth organizers, primarily the Koch brothers, and intellectual leaders (not quite an oxymnoron) like Grover Norquist. In the new year, some elements of the Republican party have been taking more and more extreme positions, even saying that defaulting on US Treasuries would be a good idea, hewing to the “execution at dawn focuses the mind” school of thought.

Leslie Watson Malachi: What Happened to the Violence Against Women Act?

Republican efforts to prevent expanded protections for these at-risk groups made all women lose important protections.

Democrats and Republicans in Congress are having a hard time agreeing on anything these days. But there are some things that should never fall victim to partisan bickering. One of these is protecting women against domestic violence and sexual assault.

But for Republicans in Congress, apparently, it isn’t that simple. Thanks to the extremism of House Republicans, the Violence Against Women Act expired this month after 18 years of saving women’s lives.

David Korten: What Would a Down-to-Earth Economy Look Like?

How did we end up with Wall Street when models for a healthy economy are all around us?

With proper care and respect, Earth can provide a high quality of life for all people in perpetuity. Yet we devastate productive lands and waters for a quick profit, a few temporary jobs, or a one-time resource fix.

Our current expansion of tar sands oil extraction, deep-sea oil drilling, hydraulic fracturing natural gas extraction, and mountaintop-removal coal mining are but examples of this insanity. These highly profitable choices deepen our economic dependence on rapidly diminishing, nonrenewable fossil-energy reserves, disrupt the generative capacity of Earth’s living systems, and accelerate climate disruption.

A global economy dependent on this nonsense is already failing and its ultimate collapse is only a matter of time. For a surprisingly long time, we humans have successfully maintained the illusion that we are outside of, superior to, and not subject to the rules of nature. We do so, however, at a huge cost, and payment is coming due.

Leslie Savan: If at First You Don’t Secede…

…then grab your gun, run for the hills, and hole up in a right-wing paranoid paradise, complete with post-Waco lifestyle amenities like condos, media centers, and arms factories.

The secessionist movement may have peaked, what with the White House last week rejecting petitions from eight states to leave the union. But just in time comes word of two new planned communities that offer a kind of internal secession: You’d get to retain your citizenship and the benefits it confers (like the right to chant “USA! USA!”), but you could at least feel free from liberals, socialists and other vermin as you defiantly stand your ground with like-minded folks who fear the thumb of the feds.

Haiti: Three Years Later

On Jan 12, 2010, a devastating 7.0-magnitude earthquake struck the island nation of Haiti. The quake alone killed an over 300,000 people and left 1.5 million homeless. Ten months later a cholera epidemic broke out that has taken nearly 8,000 more lives. More than $9 billion has been donated from the public and private sectors to help rebuild. Yet three years later, there are still nearly 300,000 Haitians living in tents, the cholera epidemic is barely under control and the infrastructure is still a shambles.

‘Lack of national plan’ heightens struggle to rebuild unstable Haiti

by Mike Tran, The Guardian

Political instability, natural disasters and a cholera epidemic, plus a confused aid effort, mean there is still work for Haiti to do

For Father Kawas, who co-ordinated emergency response efforts in 2010 (video), several reasons lie behind the continued existence of tent cities where people swelter during the day and are soaked by evening rains.

But the main one is the government’s inability to acquire land from powerful families around the capital. “I think it’s difficult to rehouse these people because most of the land surrounding Port-au-Prince belongs to very powerful families and those families don’t want to give the land to the state to rehouse people. It’s a very big problem because those families are very powerful and they have many political resources so they can influence the decisions of the state.” [..]

Poverty was cited by Father Kawas as another reason why so many people remain homeless. “They don’t have enough money to rent a house, or to rebuild a house,” he says. “It is difficult for them because most of them don’t work, they have no jobs. NGOs cannot do everything. They cannot rehouse all the people in Haiti.” [..]

Haiti’s state institutions were fragile even before the earthquake and were weakened by the disaster. The Haitian government has received little in reconstruction funds as foreign governments have had little faith in its ability to handle the relief effort. That the government has yet to draw up a national reconstruction plan speaks volumes.

“The big problem for NGOs and for many actors in Haiti is the lack of a national plan for construction,” says Father Kawas. “The government speaks about that but right now, we don’t see this plan and we know that this plan is very important for the country, for the development of the country. For example, the NGOs are working separately, in isolation, and there is no co-ordination, there is no plan [from] the government, so for me it’s a real problem for the development of the country. And the international organisations do the same.”

Father Kawas acknowledges the difficulties in trying to strengthen his government, but urged aid agencies to provide training for public employees, as well as to help parliament and political parties.

“In Haiti, the public administration does not function, it’s a real problem. The government cannot put in practice its policies if the public administration does not function so it’s a real necessity for foreign governments to help the Haitian government find solutions.”

Haiti’s earthquake generated a $9bn response – where did the money go?

by Vijaya Ramachandran, The Guardian

Uncertainty about the scale and outcome of spending following Haiti tragedy highlights need for greater transparency

Saturday (Jan 12, 2010) marked the third anniversary of the tragic earthquake in Haiti that claimed between 230,000 and 300,000 lives. The grim landmark has prompted much discussion about the struggles surrounding reconstruction and also some hope about what may come next.

Most observers agree that the international response to the quake was overwhelming. Haiti received an unprecedented amount of support: more than $9bn (£5.6bn) in public and private donations. Official bilateral and multilateral donors pledged $13bn and, according to the UN Office of the Special Envoy for Haiti, almost 50% of these pledges ($6bn) have been disbursed. Private donations are estimated at $3bn.

Where has all the money gone? Three years after the quake, we do not really know how the money was spent, how many Haitians were reached, or whether the desired outcomes were achieved. In a policy paper published in May, and in a more recent blogpost, we unpacked the numbers, many of which came from the UN Office of the Special Envoy.

Three Years After the Quake, How the World Came to Save Haiti and Left Behind a Disaster

Three years after the devastating earthquake in Haiti, we’re joined by Jonathan Katz, author of “The Big Truck That Went By: How the World Came to Save Haiti and Left Behind a Disaster.” The earthquake on January 12, 2010, ultimately resulted in the deaths of roughly 300,000 people and left more than 1.5 million homeless in what was already the poorest country in the Western Hemisphere. A cholera epidemic, widely blamed on international U.N. troops, killed almost 8,000 people, making more than half a million sick. Today, despite pledges of billions of dollars in international aid, rebuilding has barely begun, and almost 400,000 people are still living in crowded camps. After four years of reporting in Haiti, Katz joins us to discuss where the reconstruction effort went wrong

Part 2: Jonathan Katz on How the World Came to Save Haiti After Quake and Left Behind a Disaster

There is hope for Haiti, despite what the critics say

There is still a long way to go.

Punting the Pundits

“Punting the Pundits” is an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Follow us on Twitter @StarsHollowGzt

Norman Solomon: King: I Have a Dream. Obama: I Have a Drone.

A simple twist of fate has set President Obama’s second Inaugural Address for January 21, the same day as the Martin Luther King Jr. national holiday.

Obama made no mention of King during the Inauguration four years ago — but since then, in word and deed, the president has done much to distinguish himself from the man who said “I have a dream.”

After his speech at the March on Washington for Jobs and Freedom in August 1963, King went on to take great risks as a passionate advocate for peace.

After his Inaugural speech in January 2009, Obama has pursued policies that epitomize King’s grim warning in 1967: “When scientific power outruns moral power, we end up with guided missiles and misguided men.”

But Obama has not ignored King’s anti-war legacy. On the contrary, the president has gone out of his way to distort and belittle it.

Bruce Dixon: Obama’s Race To The Top Drives Nationwide Wave of School Closings, Teacher Firings

A nationwide epidemic of school closings and teacher firings has been underway for some time. It’s concentrated chiefly in poor and minority communities, and the teachers let go are often experienced and committed classroom instructors, and likely to live in and near the communities they serve, and disproportionately black.

It’s not an accident, or a reflection of changing demographics, or more educational choices suddenly becoming available to families in those areas. It’s not due to greedy unionized teachers or the invisible hand of the marketplace or well-intentioned educational policies somehow gone awry.

The current wave of school closings is latest result of bipartisan educational policies which began with No Child Left Behind in 2001, and have kicked into overdrive under the Obama administration’s Race To The Top. In Chicago, the home town of the president and his Secretary of Education, the percentage of black teachers has dropped from 45% in 1995 to 19% today. After winning a couple skirmishes in federal court over discriminatory firings in a few schools, teachers have now filed a citywide class action lawsuit alleging that the city’s policy of school “turnarounds” and “transformations” is racially discriminatory because it’s carried out mainly in black neighborhoods and the fired teachers are disproportionately black.

How did this happen? Where did those policies come from, and exactly what are they?

Jim Hightower: Who’s Behind “Fix the Debt”?

Look out, the “fixers” are coming.

Top corporate chieftains and Wall Street gamblers want to tell Washington how to fix our national debt, so they’ve created a front group called “Fix the Debt” to push their agenda. Unfortunately, they’re using “fix” in the same way your veterinarian uses it – their core demand is for Washington to spay Social Security, castrate Medicare and geld Medicaid.

Who’s behind this piece of crude surgery on the retirement and health programs that most Americans count on? Pete Peterson, for one. For years, this Wall Street billionaire, who amassed his fortune as honcho of a private equity outfit named Blackstone, has runs a political sideshow demanding that the federal budget be balanced on the backs of the middle class and the poor. Fix the Debt is just his latest war whoop, organized by a corporate “think tank” he funds.

Richard (RJ) Eskow: How Extreme Is the Business Roundtable? Check Out Its Attack on the Elderly

Here’s a thought experiment: What if a group of Social Security and Medicare recipients wanted to increase their benefits by, say, 1,000 percent, and proposed seizing rich people’s assets –houses, cars, boats, whatever — to pay for it? And whenever anybody suggested that was extreme, they rolled their eyes and said “We’re pragmatists.”

But isn’t it unfair to just take other people’s stuff? “Ideologues like you are the reason Washington lacks the political will to adopt our practical solutions.”

Now imagine the reverse: Rich CEOs have used every tax loophole in the book to add to their own wealth, have been bailed out directly or indirectly by the American taxpayer, and have rigged corporate governance so that they make far more than they’re worth.

Now, to make sure the milk and honey keeps flowing their way, they want to cut Medicare and Social Security benefits for the beleaguered American majority. Sounds crazy, right?

Meet the CEOs of the Business Roundtable.

Slavoj Žižek: The West’s Crisis is One of Democracy as Much as Finance

In austerity-driven Europe, the ‘blind are leading the blind’

n one of the last interviews before his fall, Nicolae Ceausescu was asked by a western journalist how he justified the fact that Romanian citizens could not travel freely abroad although freedom of movement was guaranteed by the constitution. His answer was in the best tradition of Stalinist sophistry: true, the constitution guarantees freedom of movement, but it also guarantees the right to a safe, prosperous home. So we have here a potential conflict of rights: if Romanian citizens were to be allowed to leave the country, the prosperity of their homeland would be threatened. In this conflict, one has to make a choice, and the right to a prosperous, safe homeland enjoys clear priority …

It seems that this same spirit is alive and well in Slovenia today. Last month the constitutional court found that a referendum on legislation to set up a “bad bank” and a sovereign holding would be unconstitutional – in effect banning a popular vote on the matter. The referendum was proposed by trade unions challenging the government’s neoliberal economic politics, and the proposal got enough signatures to make it obligatory.

The idea of the “bad bank” was of a place to transfer all bad credit from main banks, which would then be salvaged by state money (ie at taxpayers’ expense), so preventing any serious inquiry into who was responsible for this bad credit in the first place. This measure, debated for months, was far from being generally accepted, even by financial specialists. So why prohibit the referendum? In 2011, when George Papandreou’s government in Greece proposed a referendum on austerity measures, there was panic in Brussels, but even there no one dared to directly prohibit it.

E. J. Dionne, Jr.: This time, the moderate is willing to fight

President Obama went big in offering a remarkably comprehensive plan to curb gun violence, and good for him. But his announcement Wednesday is only the beginning of a protracted struggle for national sanity on firearms. Extremists have controlled the debate on guns for many years. They will do all they can to preserve a bloody status quo. The irrationality of their approach must be exposed and their power broken.

Far from acting as if his work was now done, the president made clear that he is fully invested in seeing his agenda realized – and fully prepared to lead a national movement to loosen the grip of resignation and cynicism in the face of brutality and carnage. Gun violence is not some “boutique” issue, as it is occasionally called. We are in danger of having mass shootings define us as a nation. As a people, we must rise up against this obscenity.

How to Rig the 2016 Election GOP Style

If you can’t win the White House unless you have 270 electoral votes, then you need to fix it so you do, legally, by gerrymander and voter supression. That is the GOP strategy to win the White House in 2016. Since gerymandering was the way that they succeeded in holding their majority in the House, they may well succeed.

The GOP’s Electoral College Scheme

by Reid Wilson, National Journal

Republicans alarmed at the apparent challenges they face in winning the White House are preparing an all-out assault on the Electoral College system in critical states, an initiative that would significantly ease the party’s path to the Oval Office.

Senior Republicans say they will try to leverage their party’s majorities in Democratic-leaning states in an effort to end the winner-take-all system of awarding electoral votes. Instead, bills that will be introduced in several Democratic states would award electoral votes on a proportional basis.

Already, two states — Maine and Nebraska — award an electoral vote to the winner of each congressional district. The candidate who wins the most votes statewide takes the final two at-large electoral votes. Only once, when President Obama won a congressional district based in Omaha in 2008, has either of those states actually split their vote.

But if more reliably blue states like Michigan, Pennsylvania, and Wisconsin were to award their electoral votes proportionally, Republicans would be able to eat into what has become a deep Democratic advantage.

All three states have given the Democratic nominee their electoral votes in each of the last six presidential elections. Now, senior Republicans in Washington are overseeing legislation in all three states to end the winner-take-all system.

Rachel Maddow reports on a new initiative by state level Republicans to rig the Electoral College in the states they control to better advantage Republican presidential candidates and subvert popular political will.

RNC’s Priebus Endorses Plan To Rig Electoral College

by Henry Decker, The National Memo

If at first you don’t succeed, try, try again.

That appears to be Republican National Committee Chairman Reince Priebus’ philosophy when it comes to rigging elections in the GOP’s favor. In 2012, the strategy was suppressing votes through voter ID laws, ending same-day voter registration, and clamping down on early voting, among other restrictive legislation. According to the Brennan Center for Justice, 25 laws and two executive actions were passed in 19 states over the past two years with the aim of making it harder to vote.

In 2013, the plan appears to be changing the way that votes are counted. Priebus has stepped forward as the latest Republican to support a proposal that would split Wisconsin’s electoral votes by congressional district.

Pennsylvania House Republicans Introduce Bill To Rig The 2016 Presidential Election

On Monday, seven Pennsylvania Republican state representatives introduced a bill to make this vote-rigging scheme a reality in their state. Under their bill, the winner of Pennsylvania as a whole will receive only 2 of the state’s 20 electoral votes, while “[e]ach of the remaining presidential electors shall be elected in the presidential elector’s congressional district.”

Pennsylvania is a blue state that voted for the Democratic presidential candidate in every single presidential race for the last two decades, so implementing the GOP election-rigging plan in Pennsylvania would make it much harder for a Democrat to be elected to the White House. Moreover, because of gerrymandering, it is overwhelmingly likely that the Republican candidate will win a majority of Pennsylvania’s electoral votes even if the Democrat wins the state by a very comfortable margin. Despite the fact that President Obama won Pennsylvania by more than 5 points last November, Democrats carried only 5 of the state’s 18 congressional seats. Accordingly, Obama would have likely won only 7 of the state’s 20 electoral votes if the GOP vote rigging plan had been in effect last year.

I don’t think this is what the founders planned when they created the Electoral College. I know some will argue that the Electoral College insures that even small states with small populations have a say in the selection of the president but this ploy by the GOP would end that voice, too. Has the electoral College outlived its purpose? It amy well be time to consider a direct election of the President based on the popular vote.

US Military Expansion: Mali Intervention

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The United States may be withdrawing troops from Afghanistan but what is being ignored by the US traditional MSM is increases US military presence in Africa. The latest action involved the use of drone strikes  assistance to the French against Islamist groups in Northern Mali. While the focus in the news are these armed militant groups, they fail to mention that the area is rich oil and uranium. The Guardian has a a guide to the conflict.

U.S. weighs military support for France’s campaign against Mali militants

by  Anne Gearan, Karen DeYoung and Craig Whitlock, The Washington Post

The Obama administration is considering significant military backing for France’s drive against al-Qaeda-linked militants in Mali, but its support for a major ally could test U.S. legal boundaries and stretch counterterrorism resources in a murky new conflict.

The United States is already providing surveillance and other intelligence help to France and may soon offer military support such as transport or refueling planes, according to U.S. officials, who stressed that any assistance would stop short of sending American combat forces to the volatile West African nation.

At the same time, the administration is navigating a thicket of questions about military support and how far it could go in aiding the French without violating U.S. law or undermining policy objectives.

Direct military aid to Mali is forbidden under U.S. law because the weak rump government there seized power in a coup. U.S. moves are further complicated by uncertainty about which militants would be targeted in an assault.

The loosely affiliated web of Malian militants in the country’s north includes members of al-Qaeda in the Islamic Maghreb (AQIM). But other fighters are longtime foes of the Malian government and pose no direct threat to U.S. interests.

From Democracy Now!: Admin Aids French Bombing of Mali After U.S.-Trained Forces Join Rebels in Uranium-Rich Region

France is in its fifth day of an offensive to oust rebels that have held much of Mali’s northern region since March, an area larger than Afghanistan. The strikes have reportedly killed 11 civilians, including three children fleeing the bombardment of a camp near the central town of Konna. The United Nations estimates as many as 30,000 may have been displaced since fighting began last week. The United States has backed the offensive by helping transport French troops and making plans to send drones or other surveillance aircraft. It is aiding a fight against Malian forces that it once helped train, only to see them defect and join the Islamist rebellion. We discuss the latest in Mali with Al Jazeera correspondent May Ying Welsh, who has reported from Mali’s north, and with freelance journalist Hannah Armstrong, a fellow of the Institute of Current World Affairs, who joins us from the Malian capital of Bamako.

Who said Pres. Barack Obama wasn’t a war hawk?

h/t TPM for the map. Click on image ot enlarge

Punting the Pundits

“Punting the Pundits” is an Open Thread. It is a selection of editorials and opinions from around the news medium and the internet blogs. The intent is to provide a forum for your reactions and opinions, not just to the opinions presented, but to what ever you find important.

Thanks to ek hornbeck, click on the link and you can access all the past “Punting the Pundits”.

Wednesday is Ladies’ Day

Follow us on Twitter @StarsHollowGzt

Yves Smith: Surprise! When Banks Oversee Their Own Review ‘No Harm Found’

More whistleblower leaks on Foreclosure Settlement show both suppression of evidence and gross incompetence

No wonder the Fed and the OCC snubbed a request by Darryl Issa and Elijah Cummings to review the foreclosure fraud settlement before it was finalized early last week. What had leaked out while the Potemkin borrower reviews were underway showed them to be a sham, as we detailed at length in an earlier post. But even so, what actually took place was even worse than hardened cynics had imagined.

We are going to be reporting on this story in detail, since we are conducting an in-depth investigation. But this initial report by Huffington Post gives a window on a good deal of the dubious practices that took place during the foreclosure reviews. I strongly suggest you read the piece in full; there is a lot of nasty stuff on view.

There are some issues that are highlighted in the piece, others that are implication that get somewhat lost in the considerable detail. The first, as stressed by Sheila Bair and other observers, is that the reviews were never designed to succeed. This is something we and others pointed out; this was all an exercise in show. The OCC had entered into these consent orders in the first place with the aim of derailing the 50 state attorney general settlement negotiations. [..]

Laura Flanders: How About Gun Control for the Pentagon?

“There has to be a national conversation” about gun control, says Nancy Pelosi. The killing of school children and teachers in Newtown, Connecticut and other shootings since have turned up the heat.

If, after Newtown, it’s all talk and no action, the former House Speaker said this week, “it’ll amount to a dereliction of duty on the part of us in public office.”

Too right. Pelosi wants to see action. The president’s demanding it too. So are state leaders. New York Governor Andrew Cuomo, who has his sights set on the presidency (if you’ll excuse the expression), has proposed not only rewriting the state’s existing assault weapons ban but also more expansive mental health checks and background checks of gun buyers, lower limits on how many bullets a single gun magazine can fire and a new requirement that gun buyers be periodically recertified. [..]

There’s just one piece of the picture missing. Now that lawmakers, DAs, governors and the White House have all agreed that gun violence is wrong, when are we going to start talking about troops and bombs and drones? You think American weapons are a problem in the US? Take a look at what American weapons are dong outside the country.

Jessica Valenti: Asking For It

Americans are very confused about rape. In the last few months-in the midst of high-profile cases and bumbling politicians’ gaffes-the national conversation about sexual assault is front-and-center. But instead of inspiring a proactive discourse on how to stop rape culture, much of the response has been centered around trying to “understand” rapists, or explain away why rape happens with such disconcerting frequency in the United States. We dismiss it as the actions of sociopaths, or insist that it’s just the result of miscommunication in an oversexed world.

Rape is a standard result of a culture mired in misogyny, but for whatever reason-denial, self-preservation, sexism-Americans bend over backwards to make excuses for male violence. This refusal to place responsibility with the perpetrator means we need to place it somewhere else-most often, with the victim. And while victim-blaming is nothing new, its pervasiveness serves as a stark reminder of women’s second class status-where we’re not actual people, just catalysts for men’s actions.

Katrina vanden Heuvel; The NRA and GOP’s Fast and Furious Lies

With days-perhaps hours-to go before President Obama announces recommendations from Vice President Biden’s gun violence task force, battles lines have already been drawn.

Most dramatically, with the heartrending burials of 20 innocent first-graders and six of their heroic educators as a backdrop, NRA top lobbyist Wayne LaPierre issued a belligerent and self-pitying demand for yet more weaponry, and the posting of armed guards at every school in America. But as the nation debates Obama’s proposals-and LaPierre’s-it will be important to reexamine the NRA’s greatest PR victory of the last few years: the greatly overworked, shamefully distorted Fast and Furious scandal. [..]

The Republican-led House, acting in lockstep with the NRA, twisted the facts of the ill-fated gun trafficking investigation in Phoenix to complete almost every item on its political To Do list. It used the scandal to bludgeon and destabilize the ATF, the agency charged with enforcing the nation’s gun laws. It diverted attention from the ineffective gun laws that made the ATF’s job in Fast and Furious nearly impossible. And it emerged with a cherished talking point: that the gun laws on the books right now are more than adequate, and it’s only their enforcement that has flaws.

Eve Ensler: This Global Violence Against Women Will No Longer Be Tolerated

The Delhi Rape, Savile, Ohio – Extreme acts of sexual violence seem to be everywhere. In response, a worldwide day of action has been called

There seems to be two types of risings on the planet right now. One is a sexual violence typhoon that is impacting most countries in the world. It’s been happening forever but, like climate change, it’s suddenly impossible to ignore. I first noticed more ominous waves during the US elections, the extreme and ignorant anti-women policies perpetrated by the Republicans. Then, like climate storms, floods and fires, specific extreme manifestations began to gain attention. A group of boys allegedly raping a girl in Steubenville, Ohio; a 14-year-old girl shot in the head for insisting girls have the right to learn in Pakistan; the gang rape and murder of a girl on a bus in Delhi; and in Britain the revelations that Jimmy Savile was able to abuse hundreds of girls over six decades, while British institutions from the BBC to Broadmoor turned a blind eye.

And, like the response to climate change, first there was an attempt at denial, then there is the blaming of the victim: a woman raped in Dubai fined after telling police she had been drinking; a priest in Italy telling women they are beaten because they don’t clean the house well and wear tight clothes; women in the US military raped by their comrades who then use that as proof that they never belonged there in the first place; raped girls in Rochdale being ignored by police and social workers because they were seen as damaged goods who were “making their own choices”. It goes on and on.

Charlotte Silver: Monsanto vs. The People

Last week Monsanto announced staggering profits from 2012 to celebratory shareholders while American farmers filed into Washington, DC to challenge the Biotech giant’s right to sue farmers whose fields have become contaminated with Monsanto’s seeds. On January 10 oral arguments began before the U.S. Court of Appeals to decide whether to reverse the cases’ dismissal last February.

Monsanto’s earnings nearly doubled analysts’ projections and its total revenue reached $2.94bn at the end of 2012. The increased price of Roundup herbicide, continued market domination in the United States and, perhaps most significant, expanded markets in Latin America are all contributing factors to Monsanto’s booming business.

Exploiting their patent on transgenic corn, soybean and cotton, Monsanto asserts an insidious control of those agricultural industries in the US, effectively squeezing out conventional farmers (those using non-transgenic seeds) and eliminating their capacity to viably participate and compete on the market. (Until the end of 2012, Monsanto was under investigation by the Department of Justice for violating anti-trust laws by practicing anticompetitive activities towards other biotech companies, but that investigation was quietly closed before the year’s end.)

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