Tag: Open Thread

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 Reich: The Dog That Didn’t Bark: Obama on JPMorgan

The dog that didn’t bark this week, let alone bite, was the president’s response to JPMorgan Chase’s bombshell admission of losing more than $2 billion in risky derivative trades that should never have been made.

“JPMorgan is one of the best-managed banks there is. Jamie Dimon, the head of it, is one of the smartest bankers we got and they still lost $2 billion,” the president said on the television show The View, which aired Tuesday, suggesting that a weaker bank might not have survived.

That was it.

Not a word about Jamie Dimon’s tireless campaign to eviscerate the Dodd-Frank financial reform bill; his loud and repeated charge that the Street’s near meltdown in 2008 didn’t warrant more financial regulation; his leadership of Wall Street’s brazen lobbying campaign to delay the Volcker Rule under Dodd-Frank, which is still delayed; and his efforts to make that rule meaningless by widening a loophole allowing banks to use commercial deposits to “hedge” (that is, make offsetting bets) their derivative trades.

Jeff Madrick: Germany’s Attempt to Beat Greece Into Submission Won’t Work

Treating Greece like an incorrigible child won’t improve its economy or the future of the eurozone.

“German Patience with Greece Wears Thin,” says the New York Times headline. My patience with the mainstream media also wears thin. Like a bad parent, Germany scolds Greece for something its constant beatings basically forced it to do. The media buys into Germany’s logic. Were high-pressure tactics to adopt punishing austerity cutbacks ever going to encourage Greek solidarity and social peace? Is the parent who beats the child ever going to encourage obedience and healthy behavior? Psychology has taken us a long way past the value of spankings to instill constructive attitudes. It seems not so for the Germans, although it should be said that not all of them agree with their prime minister, Angela Merkel, and government officials.

Are the Germans actually trying to get Greece to leave the euro? If so, they are probably underestimating the turmoil that would cause. On the other hand, it may be getting to the point where it is a better option for the Greeks to incur the possible closing of financial markets should they adopt a new drachma, which will quickly fall in value. They will not pay their debts to German banks and others in full-fledged euros. But they can start to determine their own fate and work with what industries they have. Their export sector is not as weak as people seem to think.

Dean Baker: Deficit Reduction: The Great Distraction

This is the week of the third annual Deficit Fest, the event sponsored by Wall Street billionaire Peter G. Peterson. At this event, many of the people most responsible for the current downturn come together to tell us why we should be worried about the deficit at a time when 25 million people are unemployed, underemployed or have given up looking for work altogether and millions face the prospect of losing their homes.

Past deficit fests included exchanges where Peter Peterson and former Treasury Secretary and Citigroup honcho Robert Rubin mused about their comparative net worth. We also got to witness President Clinton bemoan the fact that the Democratic and Republican leadership in Congress teamed up to prevent him from cutting Social Security. Had Clinton gotten his way, millions of seniors would be getting by on Social Security checks that are more than 10 percent smaller than what they now receive.

Peterson is also known for his sponsorship of the “Economic Sleepwalk” tour, which was officially billed as the “Fiscal Wakeup” tour. This involved sending a group of policy wonks around the country to complain about the budget deficit at a time when the housing bubble was growing to ever more dangerous levels. While some of us were doing our best to warn of the imminent disaster, Peterson was using his money and political connections to dominate media space at a time when the country’s debt-to-GDP ratio was actually falling.

New York Times Editorial: JPMorphing

When he disclosed a stunning $2 billion trading loss at JPMorgan Chase last week, Jamie Dimon, the bank’s chief executive, insisted that the trades had not violated the Volcker Rule, a crucial part of the Dodd-Frank reform law that is supposed to bar banks from doing risky trading for their own account.

This week, however, the story changed. On Monday, a JPMorgan official told The Times that the trades – which have since ballooned to at least $3 billion – started out as allowable, but had “morphed into something” that crossed the line. On Tuesday, at the bank’s annual shareholder meeting, Mr. Dimon echoed that statement, calling for rules to ensure that permitted trades don’t “morph into something different.”

Gail Collins: Fun Plans for Summer Vacation

John Boehner wants to restart the debt-limit debate. This is big news. Remember all the fun we had last time: threats, brinkmanship, wobbling financial markets, torpedoed Grand Bargain? You can certainly understand why he misses it.

The weather’s getting nice. Maybe this time we could do it outdoors.

“Let’s start now!” the House speaker said during a “fiscal summit” in Washington on Tuesday. This is an annual event in which honchos from all political persuasions get together and agree that the national debt is too big.

We are getting into election season, people. We are going to be hearing a lot about the national debt. (Which is very big. Really, at that fiscal summit meeting they were totally in agreement on the bigness.)

E. J. Dionne: Romney’s Clintonesque Moment

Mitt Romney was against Bill Clinton before he was for him.

There was Romney, campaigning Tuesday in Iowa, praising the nation’s last Democratic president and casting him as far superior to the current incumbent.

“Almost a generation ago, Bill Clinton announced that the era of big government was over,” Romney declared. “Clinton was signaling to his own party that Democrats should no longer try to govern by proposing a new program for every problem.” President Obama, he said, “tucked away the Clinton doctrine in his large drawer of discarded ideas.”

So you might assume that Romney likes Clinton. But that would be wrong. Scrambling during the GOP primaries this year to explain why he had voted in the 1992 Massachusetts Democratic presidential primary for the late Sen. Paul Tsongas, Romney invoked that old GOP standby: Clinton hatred.

On This Day In History May 17

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

Click on image to enlarge

May 17 is the 137th day of the year (138th in leap years) in the Gregorian calendar. There are 228 days remaining until the end of the year.

On this day in 1954, in a major civil rights victory, the U.S. Supreme Court hands down an unanimous decision in Brown v. Board of Education of Topeka, ruling that racial segregation in public educational facilities is unconstitutional. The historic decision, which brought an end to federal tolerance of racial segregation, specifically dealt with Linda Brown, a young African American girl who had been denied admission to her local elementary school in Topeka, Kansas, because of the color of her skin.

Brown v. Board of Education of Topeka, 347 U.S. 483 (1954), was a landmark decision of the United States Supreme Court that declared state laws establishing separate public schools for black and white students unconstitutional. The decision overturned the Plessy v. Ferguson decision of 1896 which allowed state-sponsored segregation. Handed down on May 17, 1954, the Warren Court’s unanimous (9-0) decision stated that “separate educational facilities are inherently unequal.” As a result, de jure racial segregation was ruled a violation of the Equal Protection Clause of the Fourteenth Amendment of the United States Constitution. This ruling paved the way for integration and the civil rights movement.

Supreme Court Review

The case of Brown v. Board of Education as heard before the Supreme Court combined five cases: Brown itself, Briggs v. Elliott (filed in South Carolina), Davis v. County School Board of Prince Edward County (filed in Virginia), Gebhart v. Belton (filed in Delaware), and Bolling v. Sharpe (filed in Washington D.C.).

All were NAACP-sponsored cases. The Davis case, the only case of the five originating from a student protest, began when sixteen-year-old Barbara Rose Johns organized and led a 450-student walkout of Moton High School.

The Kansas case was unique among the group in that there was no contention of gross inferiority of the segregated schools’ physical plant, curriculum, or staff. The district court found substantial equality as to all such factors. The Delaware case was unique in that the District Court judge in Gebhart ordered that the black students be admitted to the white high school due to the substantial harm of segregation and the differences that made the schools separate but not equal. The NAACP’s chief counsel, Thurgood Marshall, who was later appointed to the U.S. Supreme Court in 1967, argued the case before the Supreme Court for the plaintiffs. Assistant attorney general Paul Wilson, later distinguished emeritus professor of law at the University of Kansas, conducted the state’s ambivalent defense in his first appellate trial.

Unanimous Opinion and Key Holding

In spring 1953 the Court heard the case but was unable to decide the issue and asked to rehear the case in fall 1953, with special attention to whether the Fourteenth Amendment’s Equal Protection Clause prohibited the operation of separate public schools for whites and blacks.

The case was being reargued at the behest of Associate Justice Felix Frankfurter, who used re-argument as a stalling tactic, to allow the Court to gather a unanimous consensus around a Brown opinion that would outlaw segregation. Chief Justice Vinson had been a key stumbling block. The justices in support of desegregation spent much effort convincing those who initially dissented to join a unanimous opinion. Even though the legal effect would be same for a majority versus unanimous decision, it was felt that it was vital to not have a dissent which could be relied upon by opponents of desegregation as a legitimizing counterargument.

Conference notes and draft decisions illustrate the division of opinions before the decision was issued. Justices Douglas, Black, Burton, and Minton were predisposed to overturn Plessy. Fred M. Vinson noted that Congress had not issued desegregation legislation; Stanley F. Reed discussed incomplete cultural assimilation and states’ rights and was inclined to the view that segregation worked to the benefit of the African-American community; Tom C. Clark wrote that “we had led the states on to think segregation is OK and we should let them work it out.” Felix Frankfurter and Robert H. Jackson disapproved of segregation, but were also opposed to judicial activism and expressed concerns about the proposed decision’s enforceability. After Vinson died in September 1953, President Dwight D. Eisenhower appointed Earl Warren as Chief Justice. Warren had supported the integration of Mexican-American students in California school systems following Mendez v. Westminster.

While all but one justice personally rejected segregation, the self-restraint faction questioned whether the Constitution gave the Court the power to order its end. The activist faction believed the Fourteenth Amendment did give the necessary authority and were pushing to go ahead. Warren, who held only a recess appointment, held his tongue until the Senate, dominated by southerners, confirmed his appointment.

Warren convened a meeting of the justices, and presented to them the simple argument that the only reason to sustain segregation was an honest belief in the inferiority of Negroes. Warren further submitted that the Court must overrule Plessy to maintain its legitimacy as an institution of liberty, and it must do so unanimously to avoid massive Southern resistance. He began to build a unanimous opinion.

Although most justices were immediately convinced, Warren spent some time after this famous speech convincing everyone to sign onto the opinion. Justices Robert Jackson and Stanley Reed finally decided to drop their dissent to what was by then an opinion backed by all the others. The final decision was unanimous. Warren drafted the basic opinion and kept circulating and revising it until he had an opinion endorsed by all the members of the Court.

Holding

The key holding of the Court was that, even if segregated black and white schools were of equal quality in facilities and teachers, segregation by itself was harmful to black students and unconstitutional. They found that a significant psychological and social disadvantage was given to black children from the nature of segregation itself, drawing on research conducted by Kenneth Clark assisted by June Shagaloff. This aspect was vital because the question was not whether the schools were “equal”, which under Plessy they nominally should have been, but whether the doctrine of separate was constitutional. The justices answered with a strong “no”:

   Does segregation of children in public schools solely on the basis of race, even though the physical facilities and other “tangible” factors may be equal, deprive the children of the minority group of equal educational opportunities? We believe that it does… Segregation of white and colored children in public schools has a detrimental effect upon the colored children. The impact is greater when it has the sanction of the law, for the policy of separating the races is usually interpreted as denoting the inferiority of the negro group. A sense of inferiority affects the motivation of a child to learn. Segregation with the sanction of law, therefore, has a tendency to [retard] the educational and mental development of negro children and to deprive them of some of the benefits they would receive in a racial[ly] integrated school system… We conclude that, in the field of public education, the doctrine of “separate but equal” has no place. Separate educational facilities are inherently unequal. Therefore, we hold that the plaintiffs and others similarly situated for whom the actions have been brought are, by reason of the segregation complained of, deprived of the equal protection of the laws guaranteed by the Fourteenth Amendment.

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

Katrina vanden Heuvel: It’s time to break up the big banks

Consider $2 billion lost on a bad bet, plus billions more as investors dumped the stock, a providential warning. When Jamie Dimon, the imperious head of JPMorgan Chase, revealed that the bank had lost so much on a derivatives trade gone bad, it was clear warning that, four years after blowing up the economy, the big banks are still playing with bombs. [..]

When Dimon testified before the Financial Crisis Inquiry Commission in 2010, he said that when his daughter asked him what a financial crisis was, he told her “it’s something that happens every five to seven years.” He seems intent on validating his prediction.

But the United States went for decades without a financial crisis after the New Deal regulations shackled the banks. It was only with deregulation under Reagan and Clinton that financial crises have been inflicted on us regularly. Now Dimon’s bank’s bad bets have given us one last warning: It is time to break up the big banks

Maira Sutton: Internet Freedom Activists Protest Secret Trade Agreement Being Negotiated This Week

The U.S. content industry will try anything to preserve its profit margin and power over the creative content market at the expense of the Internet. They will use any tactic that circumvents democratic processes to make new rules for the Internet that favor their interests and not the interests of Internet users or the technical community that actually builds the Internet as we know it. The Trans-Pacific Partnership (TPP) is yet another example of these tactics.

The TPP is a secretive plurilateral1 agreement that includes provisions dealing with intellectual property, including online copyright enforcement, anti-circumvention measures, and Internet intermediary liability. Due to the secrecy of the negotiations, we do not know what is in the current version of the TPP’s IP chapter; the general public has only seen a leaked February 2011 version of the U.S. IP chapter proposal pdf. Based on the one-sided nature of the groups directly involved, and the content of what has already leaked, we should all be concerned about the prospect of the TPP including provisions that will harm online expression, privacy and innovation on the Internet.

Alexis Goldstein: Perhaps It’s Jamie Dimon Who Needs a Psychiatrist

J.P. Morgan’s CEO Jamie Dimon once sarcastically complained that all his traders would need to talk to a psychiatrist in order to comply with regulations. Now, in the absence of strict regulations, every trader on the street is psychoanalyzing Dimon’s every word in order to try to make money off J.P. Morgan’s very large mistake.

Back in February, Dimon famously told Fox Business that because of the Volcker Rule for “every trader, we are going to have to have a lawyer, a compliance officer, a doctor to see what their testosterone levels are, and a shrink, ‘what is your intent?’ ” But now it is J.P. Morgan’s intent in a $100 billion bet that has sent the financial media abuzz with questions. The $2 billion loss that J.P. Morgan has incurred related to this position has only further fueled the speculations about what, exactly, J.P. Morgan was trying to do with this trade.

Robin Wells: German voters must break the Merkel mindset that got them into this

Greece’s euro membership was as much the German elite’s fault as anyone’s. Can it find the leadership to resolve the crisis?

Sunday’s regional German elections offer a small ray of hope. Merkel’s party received a thrashing in North Rhine-Westphalia, home to nearly one in five Germans. Rejecting the conservatives’ hard-line platform of more austerity and finger-pointing, German voters instead voted for the Social Democrats, for a platform of more spending and, shockingly, for more debt. This caps a series of defeats in state elections for Merkel and makes it increasingly clear that her government is in serious jeopardy.

Perhaps, just perhaps, German voters are waking up. And therein lies the possibility that the euro can be saved.

But it’s a race against time at this point. Precious time, credibility and resources have been lost. Lives have been up-ended and shattered, voters are angry and restive, markets are in a hostile and unforgiving mood. It is said that leaders are born of great crises. It is now or never for Germany.

Jessica Valenti: Year of the (Young) Woman

Komen. Sandra Fluke. Transvaginal. The reason these words are instantly recognizable-the reason the “war on women” is now part of the national conversation-is largely thanks to younger women and online organizing. Behind every recent battle against the onslaught of sexism has been the energy and activism of young people-on blogs, Twitter, Tumblr and Faebook. And in a long-overdue but welcome change of message, the mainstream feminist movement that once claimed young women didn’t care about feminism is finally catching on. Some are even walking the walk.

Last week, NARAL Pro-Choice America President Nancy Keenan announced that she would be stepping down from her role to make way for younger activists. She told Sarah Kliff at the Washington Post, “There’s an opportunity for a new and younger leader.”

“People give a lot of lip service to how we’re going to engage the next generation, but we can’t just assume it will happen on its own.”

Sarah Anderson: Nurses Push Tax on Trades to Help Sick

Of all the street actions leading up to the NATO summit, the one that might seem most perplexing is a nurses’ rally for a tax on securities trades. Financial markets are pretty remote from hospital bedsides, you might think.

Why would nurses get mixed up in an issue like that?

RoseAnn DeMoro, executive director of National Nurses United, says there’s a simple explanation: “The big banks, investment firms and other financial institutions, which ruined the economy with trillion-dollar trades on people’s homes and pensions and similar reckless gambling, should pay for the recovery.”

Nurses have been on the front lines of the crisis, seeing firsthand the health impacts of skyrocketing poverty and record high rates of uninsured Americans.

On This Day In History May 16

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

Click on image to enlarge

May 16 is the 136th day of the year (137th in leap years) in the Gregorian calendar. There are 229 days remaining until the end of the year.

On this day in 1868, the U.S. Senate votes against impeaching President Andrew Johnson and acquits him of committing “high crimes and misdemeanors.”

In February 1868, the House of Representatives charged Johnson with 11 articles of impeachment for vague “high crimes and misdemeanors.” (For comparison, in 1998, President Bill Clinton was charged with two articles of impeachment for obstruction of justice during an investigation into his inappropriate sexual behavior in the White House Oval Office. In 1974, Nixon faced three charges for his involvement in the Watergate scandal.) The main issue in Johnson’s trial was his staunch resistance to implementing Congress’ Civil War Reconstruction policies. The War Department was the federal agency responsible for carrying out Reconstruction programs in the war-ravaged southern states and when Johnson fired the agency’s head, Edwin Stanton, Congress retaliated with calls for his impeachment.

Of the 11 counts, several went to the core of the conflict between Johnson and Congress. The House charged Johnson with illegally removing the secretary of war from office and for violating several Reconstruction Acts. The House also accused the president of hurling slanderous “inflammatory and scandalous harangues” against Congressional members. On February 24, the House passed all 11 articles of impeachment and the process moved into a Senate trial.

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

Richard (RJ) Eskow: Jamie Dimon’s JPMorgan Chase: Why It’s the Scandal of Our Time

They’re missing the point. When CEO Jamie Dimon announced that JPMorgan Chase had incurred at least $2 billion in losses from risky, unsecured, derivatives-types trading, it uncovered the scandal of our time once and for all.

The Chase disaster gives us a much-needed a glimpse into our corrupt political system, its Wall Street paymasters, and the media voices that allow people like Dimon to escape scrutiny.

The JPMorgan Chase story is the story behind the financial crisis that has thrown millions of people out of work. It’s the story behind our ever-growing wealth inequity. It’s the story behind Washington’s inability to prosecute criminal bankers, regulate reckless ones, and propose the economic solutions the rest of us urgently need.

New York Times Editorial: End of the Affair?

Investors are shunning the stock market, and who can blame them? As serial bubbles have burst, faith in the market has been rewarded with shattered retirements. At the same time, trust has been destroyed by scandals and – as demonstrated by the reckless trading at JPMorgan Chase – the slow, uncertain pace of financial reform.

There has been less buying and selling of stock, and there have been huge outflows of investor dollars from domestic stock mutual funds, as detailed recently by The Times’s Nathaniel Popper. If the trend continues, the result could be a less robust market, with fewer companies opting to raise money by issuing shares and fewer investors willing to put their retirement savings into stocks.

Policy makers should pay attention. Evidence suggests that investors are not merely reacting to tough conditions, but rather are staying away because they do not trust the market. Restoring trust is crucial to restoring the market.

Dean Baker: Deficit Reduction: The Great Distraction

This is the week of the third annual Deficit Fest, the event sponsored by Wall Street billionaire Peter G. Peterson. At this event, many of the people most responsible for the current downturn come together to tell us why we should be worried about the deficit at a time when 25 million people are unemployed, underemployed or have given up looking for work altogether and millions face the prospect of losing their homes.

Past deficit fests included exchanges where Peter Peterson and former Treasury Secretary and Citigroup honcho Robert Rubin mused about their comparative net worth. We also got to witness President Clinton bemoan the fact that the Democratic and Republican leadership in Congress teamed up to prevent him from cutting Social Security. Had Clinton gotten his way, millions of seniors would be getting by on Social Security checks that are more than 10 percent smaller than what they now receive.

Peter Rothberg: Stop the Trans-Pacific Partnership

The Trans-Pacific Partnership is a proposed free trade agreement under secret negotiation between Australia, Brunei, Chile, Malaysia, New Zealand, Peru, Singapore, the United States and Vietnam.

Branded as a “trade deal” by its corporate proponents, the TPP would actually establish new corporate rights to undermine environmental and health laws, offshore millions of American jobs, flood the US with untested food products, and extend the duration of medical patents. Its expansive non-trade provisions would impose constraints on government regulation of financial firms and food safety. As the Huffington Post‘s Zach Carter reported, the TPP would even ban the widely popular “Buy America” procurement policy.

George Zornick: The Chamber’s Dishonest Ad Campaign is Underway

The US Chamber of Commerce has promised to mount “the most significant political effort in its 100-year history” to influence this fall’s Congressional races-and, not surprisingly, it’s looking to be a daring exercise in dishonesty as well.

The Chamber rolled out a national television ad last week hitting Democrats who voted for healthcare reform, and now Senator Bill Nelson, who is facing a tough re-election campaign in Florida, is marshaling his lawyers to have the ad pulled from the air waves because of dishonest claims.

The spot contains a particularly explosive charge, particularly in Florida-and one that Republicans have often repeated: “Seniors will see $500 billion in Medicare cuts to fund Obamacare.” See the ad here, as tailored for Nelson . . .

Alan Grayson: A Not-Dumb War

Last week, I wrote about President Obama’s announcement that he had signed an agreement to extend the US military occupation of Afghanistan for twelve more years. I said that, at this point, the war in Afghanistan very much resembles what, in October 2002, State Sen. Barack Obama called a “dumb war.”

Which begs this question: what is not a “dumb war”? Well, we just saw a good example of a not-dumb war, at least if you happen to be French.

On This Day In History May 15

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

Click on image to enlarge

May 15 is the 135th day of the year (136th in leap years) in the Gregorian calendar. There are 230 days remaining until the end of the year.

On this day in 1776, the Virginia Convention instructs its Continental Congress delegation to propose a resolution of independence from Great Britain, paving the way for the United States Declaration of Independence.

The Virginia Conventions were a series of five political meetings in the Colony of Virginiaduring the American Revolution. Because the House of Burgesses had been dissolved in 1774 by Royal Governor Lord Dunmore, the conventions served as a revolutionary provisional government until the establishment of the independent Commonwealth of Virginia in 1776.

The fifth convention began May 6, 1776 and met in Williamsburg. On May 15, the convention declared independence from Britain and adopted a set of three momentous resolutions: one calling for a declaration of rights for Virginia, one calling for establishment of a republican constitution, and a third calling for federal relations with whichever other colonies would have them and alliance with whichever foreign countries would have them. It also instructed its delegates to the Continental Congress in Philadelphia to declare independence. Virginia’s congressional delegation was thus the only one under unconditional positive instructions to declare independence; Virginia was already independent, and so its convention did not want their state, in the words of Benjamin Franklin, to “hang separately.” According to James Madison’s correspondence for that day, Williamsburg residents marked the occasion by taking down the Union Jack from over the colonial capitol and running up a continental union flag.

On June 7, Richard Henry Lee, one of Virginia’s delegates to Congress, carried out these instructions and proposed independence in the language the convention had commanded him to use: that “these colonies are, and of right ought to be, free and independent states.” This paved the way for the American Declaration of Independence, which also reflected the idea that not one nation, but thirteen free and independent states were aborning on the east coast of North America.

The convention amended, and on June 12 adopted, George Mason‘s Declaration of Rights, a precursor to the United States Bill of Rights. On June 29, the convention approved the first Constitution of Virginia, which was also the first written constitution adopted by the people’s representatives in the history of the world. The convention chose Patrick Henry as the first governor of the new Commonwealth of Virginia, and he was inaugurated on June 29, 1776. Thus, Virginia had a functioning, permanent, republican constitution before July 4, 1776 — uniquely among the thirteen American colonies.

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

New York Times Editorial: Backward on Domestic Violence

In an all-too-rare show of bipartisanship, 15 Senate Republicans joined with the Democratic majority last month to reauthorize the Violence Against Women Act, the landmark 1994 law that is key to efforts against domestic violence, sexual assault and stalking.

Unfortunately, the lopsided 68-to-31 Senate vote halted G.O.P. opponents only temporarily. The House Judiciary Committee last week approved its version of the reauthorization bill, which not only omits improvements the Senate bill made to the law but also removes existing protections for immigrant women, putting them at greater risk of domestic and sexual abuse.

Paul Krugman: Why We Regulate

One of the characters in the classic 1939 film “Stagecoach” is a banker named Gatewood who lectures his captive audience on the evils of big government, especially bank regulation – “As if we bankers don’t know how to run our own banks!” he exclaims. As the film progresses, we learn that Gatewood is in fact skipping town with a satchel full of embezzled cash.

As far as we know, Jamie Dimon, the chairman and C.E.O. of JPMorgan Chase, isn’t planning anything similar. He has, however, been fond of giving Gatewood-like speeches about how he and his colleagues know what they’re doing, and don’t need the government looking over their shoulders. So there’s a large heap of poetic justice – and a major policy lesson – in JPMorgan’s shock announcement that it somehow managed to lose $2 billion in a failed bit of financial wheeling-dealing.

Yves Smith: Colleges as Merchants of Debt

Student loan debt slavery is even worse than you probably thought. The Grey Lady tonight has a long, informative story, “A Generation Hobbled by the Soaring Cost of College“, that early on presents the stunning tidbit that 94% of the recipients of bachelor’s degrees borrowed in order to pay for it. The Times doesn’t report what average debt levels are in this cohort, but the average across all borrowers, per the New York Fed, is $23,000. Remember, this total includes graduates who have have been paying down debt, meaning they’ve amortized principal and almost certainly had borrowed less on average to complete school.

Contrast this “certain to be higher on average than $23,000″ for new graduates with their earning power, or more accurately, lack thereof. The Times article also mentions a Rutgers survey which seems to have some sample bias or underreporting of borrowing (of 2006-2011 graduates, only 55% of the respondents said they had borrowed to help fund college, and the median reported debt level was $20,000). The 2009-2011 graduates’ income averaged $27,000. In addition, only half said that their job required a college degree.

Robert Kuttner: Fiscal Futility

On Wednesday, the Peter G. Peterson Foundation will hold its third annual fiscal summit. We need this event like we need a mass outbreak of sado-masochism. [..]

At Tuesday’s summit, Bill Clinton will offer his version of a deficit reduction plan. Tim Geithner will offer his. Likewise Rep. Paul Ryan, and Democratic Congressmen Chris van Hollen and even Xavier Becerra of the House progressive caucus, and, inevitably, Alan Simpson of the late Bowles-Simpson Commission. Clinton, who will be interviewed by Tom Brokaw, has partnered with the Peterson Foundation on other initiatives. Another speaker is economist Carmen Reinhart, an expert on debt crises, who works at yet another institute named for Peterson. Also speaking will be Foundation’s president and CEO, Michael Peterson, son of the benefactor. (The entire board of directors is Pete Peterson, his wife, and son.) [..]

Austerity is a false cure for a prolonged recession. The Peterson Foundation is peddling fiscal snake oil. It is using a genuine crisis as an excuse to bash social insurance, at a time when we should be expanding social insurance. It’s appalling that so many people are gulled by this propaganda.

Robert Reich: How J.P. Morgan Chase Has Made the Case for Breaking Up the Big Banks and Resurrecting Glass-Steagall

J.P. Morgan Chase & Co., the nation’s largest bank, whose chief executive, Jamie Dimon, has lead Wall Street’s war against regulation, announced Thursday it had lost $2 billion in trades over the past six weeks and could face an additional $1 billion of losses, due to excessively risky bets.

The bets were “poorly executed” and “poorly monitored,” said Dimon, a result of “many errors, “sloppiness,” and “bad judgment.” But not to worry. “We will admit it, we will fix it and move on.”

Move on? Word on the Street is that J.P. Morgan’s exposure is so large that it can’t dump these bad bets without affecting the market and losing even more money. And given its mammoth size and interlinked connections with every other financial institution, anything that shakes J.P. Morgan is likely to rock the rest of the Street.

Bill McKibben: The Koch-Stone XL Pipeline

Two pieces of crucial evidence emerged in the tar sands fight yesterday. One, happily, got all kinds of notice — Jim Hansen’s op-ed in the New York Times was the “most emailed” item of the day, which is appropriate since he explained new calculations showing that those Canadian deposits contain “twice the amount of carbon dioxide emitted by global oil use in our entire history.” If we burn them on top of all the coal and oil and gas we’re already using, “concentrations of carbon dioxide in the atmosphere eventually would reach levels higher than in the Pliocene era,” the government’s leading climate scientist explained, which you think would be enough to end the debate — even in our weird political culture, there aren’t many leaders clamoring to return us to the Pliocene.

David Sirota: Our Guns and Butter Economy

Obama: Pitchman for Exporting US-Made Weapons

With the economy still struggling and the debates over how to fix the problem more intense than ever, one word still evokes bipartisan consensus: exports. “I want us to sell stuff,” said President Obama, summing up the bipartisan sentiment.

That nebulous word “stuff” is significant. It asks us to see all exports as the same and to refrain from making nuanced value judgments about what exactly we’re shipping overseas. In this cold-blooded view, a job-creating export is a job-creating export, and that’s as far as any conversation should go.

At first glance, such reductionism seems logical, rational, even boringly uncontroversial. But two recent news items highlight how in a globalized economy, there are troubling consequences that come from the particular kind of export economy we’re building.

On This Day In History May 14

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

May 14 is the 134th day of the year (135th in leap years) in the Gregorian calendar. There are 231 days remaining until the end of the year.

On this day in 1796, Edward Jenner, an English country doctor from Gloucestershire, administers the world’s first vaccination as a preventive treatment for smallpox, a disease that had killed millions of people over the centuries.

Edward Anthony Jenner (17 May 1749 – 26 January 1823) was an English scientist who studied his natural surroundings in Berkeley, Gloucestershire. Jenner is widely credited as the pioneer of smallpox vaccine, and is sometimes referred to as the “Father of Immunology”; his works have been said to have “saved more lives than the work of any other man”.

Smallpox

Lady Mary Wortley Montagu witnessed the Ottoman Empire practice of variolation during her 1716-1718 sojourn in Istanbul, where her husband was the British ambassador. She brought the idea back to Britain. Voltaire, a few years later, recorded that 60% of people caught smallpox, with 20% of the population dying of it. In the years following 1770 there were at least six people in England and Germany (Sevel, Jensen, Jesty 1774, Rendell, Plett 1791) who had successfully tested the possibility of using the cowpox vaccine as an immunization for smallpox in humans. For example, Dorset farmer Benjamin Jesty had successfully vaccinated and presumably induced immunity in his wife and two children with cowpox during a smallpox epidemic in 1774, but it was not until Jenner’s work some twenty years later that the procedure became widely understood. Indeed, Jenner may have been aware of Jesty’s procedures and success.

Jenner’s Initial Theory:

The initial source of infection was a disease of horses, called “the grease”, and that this was transferred to cows by farm workers, transformed, and then manifested as cowpox.

Noting the common observation that milkmaids did not generally get smallpox, Jenner theorized that the pus in the blisters which milkmaids received from cowpox (a disease similar to smallpox, but much less virulent) protected the milkmaids from smallpox. He may have had the advantage of hearing stories of Benjamin Jesty and others who deliberately arranged cowpox infection of their families, and then noticed a reduced smallpox risk in those families.

On 14 May 1796, Jenner tested his hypothesis by inoculating James Phipps, a young boy of 8 years (the son of Jenner’s gardener), with material from the cowpox blisters of the hand of Sarah Nelmes, a milkmaid who had caught cowpox from a cow called Blossom, whose hide hangs on the wall of the library at St George’s medical school (now in Tooting). Blossom’s hide commemorates one of the school’s most renowned alumni. Phipps was the 17th case described in Jenner’s first paper on vaccination.

Jenner inoculated Phipps with cowpox pus in both arms on the same day. The inoculation was accomplished by scraping the pus from Nelmes’ blisters onto a piece of wood then transferring this to Phipps’ arms. This produced a fever and some uneasiness but no great illness. Later, he injected Phipps with variolous material, which would have been the routine attempt to produce immunity at that time. No disease had followed. Jenner reported that later the boy was again challenged with variolous material and again showed no sign of infection.

Known:

Smallpox is more dangerous than variolation and cowpox less dangerous than variolation.

Hypothesis:

Infection with cowpox gives immunity to smallpox.

Test:

If variolation after infection with cowpox fails to produce a smallpox infection, immunity to smallpox has been achieved.

Consequence:

Immunity to smallpox can be induced much more safely than by variolation.

Ronald Hopkins states: “Jenner’s unique contribution was not that he inoculated a few persons with cowpox, but that he then proved they were immune to smallpox. Moreover, he demonstrated that the protective cowpox could be effectively inoculated from person to person, not just directly from cattle. In addition he tested his theory on a series of 23 subjects. This aspect of his research method increased the validity of his evidence.

He continued his research and reported it to the Royal Society, who did not publish the initial report. After improvement and further work, he published a report of twenty-three cases. Some of his conclusions were correct, and some erroneous – modern microbiological and microscopic methods would make this easier to repeat. The medical establishment, as cautious then as now, considered his findings for some time before accepting them. Eventually vaccination was accepted, and in 1840 the British government banned variolation – the use of smallpox itself – and provided vaccination – using cowpox – free of charge. (See Vaccination acts). The success of his discovery soon began to spread around Europe and as an example was used en masse in the Spanish Balmis Expedition a three year mission to the Americas led by Dr Francisco Javier de Balmis with the aim of giving thousands the smallpox vaccine. The expedtition was successful and Jenner wrote, “I don’t imagine the annals of history furnish an example of philanthropy so noble, so extensive as this.”

Jenner’s continuing work on vaccination prevented his continuing his ordinary medical practice. He was supported by his colleagues and the King in petitioning Parliament and was granted £10,000 for his work on vaccination. In 1806 he was granted another £20,000 for his continuing work.

Legacy

In 1979, the World Health Organization declared smallpox an eradicated disease. This was the result of coordinated public health efforts by many people, but vaccination was an essential component. And although it was declared eradicated, some samples still remain in laboratories in Centers for Disease Control and Prevention (CDC) in Atlanta, Georgia in the United States, and State Research Center of Virology and Biotechnology VECTOR in Koltsovo, Novosibirsk Oblast, Russia.

The importance of his work does not stop there. His vaccine also laid the groundwork for modern-day discoveries in immunology, and the field he began may someday lead to cures for arthritis, AIDS, and many other diseases of the time.

Rant of the Week: Stephen Colbert

ThreatDown – Interdimensional Black People, Gay Strokes & Manipulative Sicko Monkeys

Minorities use black hole time travel for revenge, strokes suddenly turn people gay, and a zoo is nothing but monkey prison.

Whatever you do Do Not GoogleGay Tail Spin“.

On This Day In History May 13

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

Click on images to enlarge

May 13 is the 133rd day of the year (134th in leap years) in the Gregorian calendar. There are 232 days remaining until the end of the year.

On this day in 1846, the United States declared war on Mexico in a dispute over Texas. The U.S. Congress overwhelmingly votes in favor of President James K. Polk‘s request.

The Mexican-American War (or Mexican War) was an armed conflict between the United States and Mexico from 1846 to 1848 in the wake of the 1845 U.S. annexation of Texas, which Mexico considered part of its territory despite the 1836 Texas Revolution.

Origins of the war

The Mexican government had long warned the United States that annexation would mean war. Because the Mexican congress had refused to recognize Texan independence, Mexico saw Texas as a rebellious territory that would be retaken. Britain and France, which recognized the independence of Texas, repeatedly tried to dissuade Mexico from declaring war. When Texas joined the U.S. as a state in 1845, the Mexican government broke diplomatic relations with the U.S.

The Texan claim to the Rio Grande boundary had been omitted from the annexation resolution to help secure passage after the annexation treaty failed in the Senate. President Polk claimed the Rio Grande boundary, and this provoked a dispute with Mexico. In June 1845, Polk sent General Zachary Taylor to Texas, and by October 3,500 Americans were on the Nueces River, prepared to defend Texas from a Mexican invasion. Polk wanted to protect the border and also coveted the continent clear to the Pacific Ocean. Polk had instructed the Pacific naval squadron to seize the California ports if Mexico declared war while staying on good terms with the inhabitants. At the same time he wrote to Thomas Larkin, the American consul in Monterey, disclaiming American ambitions but offering to support independence from Mexico or voluntary accession to the U.S., and warning that a British or French takeover would be opposed.

To end another war-scare (Fifty-Four Forty or Fight) with Britain over Oregon Country, Polk signed the Oregon Treaty dividing the territory, angering northern Democrats who felt he was prioritizing Southern expansion over Northern expansion.

In the winter of 1845-46, the federally commissioned explorer John C. Fremont and a group of armed men appeared in California. After telling the Mexican governor and Larkin he was merely buying supplies on the way to Oregon, he instead entered the populated area of California and visited Santa Cruz and the Salinas Valley, explaining he had been looking for a seaside home for his mother. The Mexican authorities became alarmed and ordered him to leave. Fremont responded by building a fort on Gavilan Peak and raising the American flag. Larkin sent word that his actions were counterproductive. Fremont left California in March but returned to California and assisted the Bear Flag Revolt in Sonoma, where many American immigrants stated that they were playing “the Texas game” and declared California’s independence from Mexico.

On November 10, 1845, Polk sent John Slidell, a secret representative, to Mexico City with an offer of $25 million ($632,500,000 today) for the Rio Grande border in Texas and Mexico’s provinces of Alta California and Santa Fe de Nuevo Mexico. U.S. expansionists wanted California to thwart British ambitions in the area and to gain a port on the Pacific Ocean. Polk authorized Slidell to forgive the $3 million ($76 million today) owed to U.S. citizens for damages caused by the Mexican War of Independence and pay another $25 to $30 million ($633 million to $759 million today) in exchange for the two territories.

Mexico was not inclined nor able to negotiate. In 1846 alone, the presidency changed hands four times, the war ministry six times, and the finance ministry sixteen times. However, Mexican public opinion and all political factions agreed that selling the territories to the United States would tarnish the national honor. Mexicans who opposed direct conflict with the United States, including President José Joaquin de Herrera, were viewed as traitors. Military opponents of de Herrera, supported by populist newspapers, considered Slidell’s presence in Mexico City an insult. When de Herrera considered receiving Slidell to settle the problem of Texas annexation peacefully, he was accused of treason and deposed. After a more nationalistic government under General Mariano Paredes y Arrillaga came to power, it publicly reaffirmed Mexico’s claim to Texas; Slidell, convinced that Mexico should be “chastised”, returned to the U.S.

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