Looting the US Treasury


cptime
cptime's picture

Joined: Jul 2008
Current Posts: 82

MORE costly than the 7 year victory in IRAQ?  YES.     Just reading the bill with an average government edumocation would reveals it is hardly about stimulating the economy.  You guessed it.   ITs  about expanding Big Government and insuring Democrat elections until perpetuity.

Printing money will tear loose inflation.  ($6. for a loaf of bread on the horizon.)

http://www.youtube.com/watch?v=PrZnM4pa_Lo&fmt=18

CCTimes says "the kinks have been worked out".    Ain't it swell......suckers !

 

Average: 2 (2 votes)

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

Here's a quiz and a challenge:  How many specific government spending programs in the Recovery & Reinvestment Act of 2009 can you list that do not stimulate the economy?  Go through the so-called "pork" in this bill (of which there is most certainly some ... maybe as much as 1% of all the spending) and point out the specific spending items to which you object ... we certainly have the right to object to or oppose specific spending objectives or priorities ... but then, for each one, also explain how it does not stimulate the economy! 

And then answer this second, slightly less important pair of questions:  If you give a poor man $100 in food stamps, how much of it do you think he is going to spend?  If you give a very rich man $100 in tax credits, how much of it do you think he is going to spend?

Be honest now.

I await your answers.

AFrank
AFrank's picture

Joined: May 2008
Current Posts: 182

The basic premise behind the stimulus package remains erroneous in concept, for the economy is not stimulated by that which does not initiate a sustained growth.  Let's examine the food stamp example:  who pays the grocer for this substitue money?  A foreign bank who has loaned the U.S. money at an inflated rate.  The net benefit for the country is then negative.  That $100 will cost the country at least $20 - 40 in administrative costs and an additional $6 - 12 in interest to the foreign bank.  Compare to giving the rich man $100 which he invests in a business at, say 6% -  money stays in the US and stimulates a business. Business sees that money is flowing in by private investors and scales up, hires more workers, buys more infrastructure, etc.

Now, the best intervention is none.  But the least damaging of the $100 is one that need not be administered or borrowed by the U.S. government.  Sometimes the best solution to the chosing the worst of two evils is to choose neither.  If only we had followed that advice during the last election we wouldn't be considering financially enslaving our children so that we can avoid some short term pain.

 

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

First, good to see you back in the fray!

Second, I understand that because of past governmental practices, we must borrow money to stay afloat.  This is not good, and only adds to the problems that we currently face, which are ... quite honestly ... monumental.  My reaction may be gut level and without documented evidence to support it, but I was born one generation removed from the Great Depression.  Obviously I have not lived in fear of it my entire life (nor have I lived in fear of mushroom clouds, though they have been invoked and there were a couple of periods where they were distinctly in the forefront), but images from the Depression and stories shared by both my mom and dad (and grandparents, whom I all knew as a rational adult) have been bouncing around most of my life.  It is a thing to be avoided ... like plague, the pox, and war.

Given that, a country already with a $12-13 trillion trade imbalance, with at least a $1.5 trillion budget deficit (which doesn't even count the money owed for the war in Iraq and Afghanistan, conservatively estimated to hover near the $3 trillion mark by the time all is paid and settled), another $1 trillion given to the largest financial and Wall Street firms to keep them from going under, $14 billion lent to two of our major manufacturing firms, with the value of homes still sinking like a stone and the mortgage crisis that precipitated it still not addressed, with a looming credit card crisis about to come due, with six hundred thousand people losing work last month alone (and over 3 million since about the middle of last year) and no signs of anything getting better ... the notion of "short term pain" seems somewhat understated.  I have ALWAYS thought that one of the promises and one of the goals of the government of the US ... besides avoiding war (though never afraid to enter one if basic beliefs were threatened, and certainly never to enter into one frivolously or without darned good cause) ... was to prevent the widespread economic failure of a depression.

We may not technically be in a depression, but most everyone whose historical and economic judgment I trust agree that we are on the verge, and could tumble over into one very easily ... especially if the Big Banks continue in their reckless behaviors, or the corporate world continues to make horrendous mistakes in planning and spending.  Personally, I think the continued belief that growth is infinite and credit-based consumption on manufactured need fueled by the propagandistic and manipulative techniques employed by corporate advertising is a dead end and is the road through which we will all enter into a new dark age.  I see economic feudalism emerging if we let events run their course ... a modern form of feudalism is highly likely as the ultimate outcome of unregulated capitalism.  As a result, what we need is a serious dose of regulation, and we need to stuff the "free-market" baloney back into its casing.  We have not EVER lived in a free market system ... at least, not since the rise of Trusts and the railroads in the 1870s ... except perhaps when speaking at the scale of small or local business enterprises (all of whom either must compete against global corporations, or invent a totally different business paradigm).

That said (and that is where I am coming from) ... I do not think that the rich business man is going to take his $100 and invest it in some productive business that will hire American workers or pay those workers a living and fair wage.  (S)he is going to put it into their pocket or possibly put it into the bank.  (S)he is going to put it into some form of high-yield interest generating account or ... if the recent past is any indication ... some high-stakes gamble with high-yield potential that relies upon investment overseas and the importation of cheap goods that a population living on the dole (or on a minimum service-economy wage) can afford to purchase ... also a thing which does not keep capital in the U.S., hire more workers, or increase the tax base to support infrastructure investment or construction.

Rich businessmen certainly were not investing those $100s in manufacturing or processing plants for the last eight years.  That's the point.  We've had a living, viable model for what tax cuts and incentives tilted toward the wealthy bring.  We've had eight years to watch it in action.  Actually, if you step back and look at the last half century, we have been essentially following this model since 1980 ... with slight deviations and minor fluctuations in emphasis, usually arising from immediate crisis.

But for every dollar provided as a tax cut, the economy gets about $1.02 to $1.16 cents back.  On the other hand, ALL government spending ... even if borrowed ... provide jobs.  Period.  We will have to work to fix the source of the $100 bucks to the grocer over the long haul, but not worry about that now.  The grocer will use the $100 to buy more groceries, which in turn will help the truck driver(s) and those associated with the trucking business (dock workers, teamsters, field workers, etc.) keep their jobs (and they will spend the money they earn on stuff, too), and the farmer and his workers will get some of it, too.  That one hundred dollars ripples out and influences lots of other people.  For every $1 spent in this fashion, we can count on the economy generating about $1.42-$1.60 cents in economic growth.

I do not wish to pay for the foolishness of other fools.  I have worked hard all my life and followed the rules.  I pay off my credit and owe no one anything (except my mortgage, and I have even reduced it to about 18% of the assessed value of the home).  I expect my government to do what it is designed to do ... protect and serve me. 

Honesty3
Honesty3's picture

Joined: Jul 2008
Current Posts: 775

Since George Bush built up the biggest deficit in the history of America followed closely by Reagan I assume you mean we made a huge mistake in electing Bush. I do most certainly agree with you on that score.

As for the path out of the huge mess created by the Republicans and some fellow traveling Democrats and especially Bush, I'll leave that to the brain trust that Obama has put together to grapple with these unprecedented problems. Let's be honest with ourselves, the whole world is promoting the idea that we must have a new way of managing the flow of money all over the world. I certainly am not qualified to solve all of the thorny issues associated with that concept but I certainly am glad that we have a man like Obama in office right now. All Bush could do was wring his hands and keep asking his Treasury Secretary to take the fall for him. The same kind of cop out he has done all of his life.

leatherneck2
leatherneck2's picture

Joined: Sep 2007
Current Posts: 246

Here are a few that I found right away by going into hte latest HR1 http://thomas.loc.gov/cgi-bin/query/z?c111:H.R.1: Note, I am only bringing these out as being not stimulative, I am not addressing relative merit of the programs.

For an additional amount for `Defense Health Program', $250,000,000 for operation and maintenance, to remain available for obligation until September 30, 2010.

    For an additional amount for `Violence Against Women Prevention and Prosecution Programs', $300,000,000 for grants to combat violence against women, as authorized by part T of the Omnibus Crime Control and Safe Streets Act of 1968 (42 U.S.C. 3711 et seq.): Provided, That, $50,000,000 shall be transitional housing assistance grants for victims of domestic violence, stalking or sexual assault as authorized by section 40299 of the Violent Crime Control and Law Enforcement Act of 1994 (Public Law 103-322).

    For an additional amount for `Cross Agency Support', $200,000,000, to remain available until September 30, 2010.

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      For an additional amount for `Health Resources and Services', $1,958,000,000, which shall remain available through September 30, 2010, of which $88,000,000 shall be for necessary expenses related to leasing and renovating a headquarters building for Public Health Service agencies and other components of the Department of Health and Human Services, including renovation and fit-out costs, and of which $1,870,000,000 shall be for grants for construction, renovation and equipment for health centers receiving operating grants under section 330 of the Public Health Service Act, notwithstanding the limitation in section 330(e)(3).

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          `(a) Study- Beginning on the date that is 60 days after the date of enactment of this Act, and every year thereafter until the minimum wage in the respective territory is $7.25 per hour, the Government Accountability Office shall conduct a study to--
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            `(1) assess the impact of the minimum wage increases that occurred in American Samoa and the Commonwealth of the Northern Mariana Islands in 2007 and 2008, as required under Public Law 110-28, on the rates of employment and the living standards of workers, with full consideration of the other factors that impact rates of employment and the living standards of workers such as inflation in the cost of food, energy, and other commodities; and
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            `(2) estimate the impact of any further wage increases on rates of employment and the living standards of workers in American Samoa and the Commonwealth of the Northern Mariana Islands, with full consideration of the other factors that may impact the rates of employment and the living standards of workers, including assessing how the profitability of major private sector firms may be impacted by wage increases in comparison to other factors such as energy costs and the value of tax benefits.
          `(b) Report- No earlier than March 15, 2009, and not later than April 15, 2009, the Government Accountability Office shall transmit its first report to Congress concerning the findings of the study required under subsection (a). The Government Accountability Office shall transmit any subsequent reports to Congress concerning the findings of a study required by subsection (a) between March 15 and April 15 of each year.
          `(c) Economic Information- To provide sufficient economic data for the conduct of the study under subsection (a)--
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            `(1) the Department of Labor shall include and separately report on American Samoa and the Commonwealth of the Northern Mariana Islands in its household surveys and establishment surveys;
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            `(2) the Bureau of Economic Analysis of the Department of Commerce shall include and separately report on American Samoa and the Commonwealth of the Northern Mariana Islands in its gross domestic product data; and
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            `(3) the Bureau of the Census of the Department of Commerce shall include and separately report on American Samoa and the Commonwealth of the Northern Mariana Islands in its population estimates and demographic profiles from the American Community Survey,
          with the same regularity and to the same extent as the Department or each Bureau collects and reports such data for the 50 States. In the event that the inclusion of American Samoa and the Commonwealth of the Northern Mariana Islands in such surveys and data compilations requires time to structure and implement, the Department of Labor, the Bureau of Economic Analysis, and the Bureau of the Census (as the case may be) shall in the interim annually report the best available data that can feasibly be secured with respect to such territories. Such interim reports shall describe the steps the Department or the respective Bureau will take to improve future data collection in the territories to achieve comparability with the data collected in the United States. The Department of Labor, the Bureau of Economic Analysis, and the Bureau of the Census, together with the Department of the Interior, shall coordinate their efforts to achieve such improvements.'.
          (b) Effective Date- The amendment made by this section shall take effect on the date of enactment of this Act.
          Sec. 802. Federal Coordinating Council for Comparative Clinical Effectiveness Research. (a) Establishment- There is hereby established a Federal Coordinating Council for Comparative Clinical Effectiveness Research (in this section referred to as the `Council').
          (b) Purpose; Duties- The Council shall--
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            (1) assist the offices and agencies of the Federal Government, including the Departments of Health and Human Services, Veterans Affairs, and Defense, and other Federal departments or agencies, to coordinate the conduct or support of comparative clinical effectiveness and related health services research; and
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            (2) advise the President and Congress on--
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              (A) strategies with respect to the infrastructure needs of comparative clinical effectiveness research within the Federal Government;
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              (B) appropriate organizational expenditures for comparative clinical effectiveness research by relevant Federal departments and agencies; and
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              (C) opportunities to assure optimum coordination of comparative clinical effectiveness and related health services research conducted or supported by relevant Federal departments and agencies, with the goal of reducing duplicative efforts and encouraging coordinated and complementary use of resources.
          (c) Membership-
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            (1) NUMBER AND APPOINTMENT- The Council shall be composed of not more than 15 members, all of whom are senior Federal officers or employees with responsibility for health-related programs, appointed by the President, acting through the Secretary of Health and Human Services (in this section referred to as the `Secretary'). Members shall first be appointed to the Council not later than 30 days after the date of the enactment of this Act.
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            (2) MEMBERS-
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              (A) IN GENERAL- The members of the Council shall include one senior officer or employee from each of the following agencies:
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                (i) The Agency for Healthcare Research and Quality.
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                (ii) The Centers for Medicare and Medicaid Services.
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                (iii) The National Institutes of Health.
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                (iv) The Office of the National Coordinator for Health Information Technology.
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                (v) The Food and Drug Administration.
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                (vi) The Veterans Health Administration within the Department of Veterans Affairs.
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                (vii) The office within the Department of Defense responsible for management of the Department of Defense Military Health Care System.
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              (B) QUALIFICATIONS- At least half of the members of the Council shall be physicians or other experts with clinical expertise.
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            (3) CHAIRMAN; VICE CHAIRMAN- The Secretary shall serve as Chairman of the Council and shall designate a member to serve as Vice Chairman.
          (d) Reports-
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            (1) INITIAL REPORT- Not later than June 30, 2009, the Council shall submit to the President and the Congress a report containing information describing Federal activities on comparative clinical effectiveness research and recommendations for additional investments in such research conducted or supported from funds made available for allotment by the Secretary for comparative clinical effectiveness research in this Act.
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            (2) ANNUAL REPORT- The Council shall submit to the President and Congress an annual report regarding its activities and recommendations concerning the infrastructure needs, appropriate organizational expenditures and opportunities for better coordination of comparative clinical effectiveness research by relevant Federal departments and agencies.
          (e) Staffing; Support- From funds made available for allotment by the Secretary for comparative clinical effectiveness research in this Act, the Secretary shall make available not more than 1 percent to the Council for staff and administrative support.
      • For an additional amount for `Office of the National Coordinator for Health Information Technology', $3,000,000,000, to carry out title XIII of this Act which shall be available until expended: Provided, That of this amount, the Secretary of Health and Human Services shall transfer $20,000,000 to the Director of the National Institute of Standards and Technology in the Department of Commerce for continued work on advancing health care information enterprise integration through activities such as technical standards analysis and establishment of conformance testing infrastructure so long as such activities are coordinated with the Office of the National Coordinator for Health Information Technology: Provided further, That funds available under this heading shall become available for obligation only upon submission of an annual operating plan by the Secretary to the Committees on Appropriations of the House of Representatives and the Senate: Provided further, That the Secretary shall provide to the Committees on Appropriations of the House of Representatives and the Senate a report on the actual obligations, expenditures, and unobligated balances for each major set of activities not later than November 1, 2009 and every 6 months thereafter as long as funding under this heading is available for obligation or expenditure.

        SEC. 8104. REPORT ON THE IMPACT OF PAST AND FUTURE MINIMUM WAGE INCREASES.

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

         

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

The formatting of what you cut and pasted to this little window is confusing ... there are black-typed items and then indented black-typed items suggesting a subset, then blue-typed items that are indented further indicating they might be a sub-set of a sub-set, followed by bulleted spaces that have nothing and then further indented blue-typed text ... some numbered, some lettered and some apparently indented when they shouldn't be.  Unless you simplify what you want me to examine, I cannot provide a reasoned response ... I am used to Thomas and am used to legislation, but this looks like stuff got all mixed up.  I do not have the time to try to interpret what you are attempting to say.  I can comment on a few of the items, however.

The "Defense Health Program".  According to the text accompanying "Defense Health Program Fiscal Year 2009 Budget Estimates" [from National Family Military Association:  http://www.nmfa.org/site/DocServer/Vol_1_Sec1_-_PBA-19_DHP_09PB.pdf?docID=11781], "the mission of this DoD program is to enhance DoD and our Nation's security by providing health support for the full range of military operations and sustaining the health of all those entrusted to our care".  It provides worldwide medical and dental services to active military personnel and their families.  The funding also provides for veterinary services, support for command headquarters, "specialized services for the training of medical personnel", and occupational and industrial health care.  This program provides the funding that covers all active personnel, all retired personnel, and the surviving members of past and present active military personnel.  The budget covers the reasonable costs for pharmacy, managed care support contracts, and all other health care services in Military Treatment Facilities or purchased from the private sector. 

Clearly, spending authorized by this program serves to stimulate the economy, and in many ways.  The seven major operational areas to which funding is allocated reflect this (you don't need much imagination to connect these services ... and the people who provide them ... to jobs, training for jobs, and outside and private sector contracts; especially since Health Care for military personnel and veterans during the Bush Administration has been woefully lacking and the increased funding represents an expansion of the services we owe the members of our military):  In-House Care, Private Sector Care, Information Management, Education and Training, Management Activities, Consolidated Health Support, and Base Operations.  The Program also funds the Research, Development, Test and Evaluation (RDT&E) program for medical Information Management/Information Technology, medical laboratory research, the procurement of capital equipment in Military Treatment facilities (that someone must build and transport and install and ...) etc etc.  You can read the rest yourself.

 

    Violence Against Women Prevention and Prosecution Programs.  The Omnibus Crime Control and Safe Streets Act of 1968, of which this program is a part, was a broad ranging crime prevention bit of legislation.  It has been amended and enlarged periodically in its lifetime to cover ever expanding sets of needs.  Yes ... the programs in this particular program within the omnibus legislation involve law enforcement, criminal proceedings, and prosecution of offenders.  More money for those purposes means one of two things:  the same people already employed to carry out the duties and obligations defined by the program are paid more money (only indirectly stimulative) or more people are hired to carry out the expanded protection and services (which is clearly economically stimulative).  But there is another side to this program ... namely, to assist female victims of violent crime, to provide medical care (stimulative) and recuperative assistance (stimulative) to women suffering from physical, sexual, and psychological abuse.  The program includes funds to provide safe and clean housing (stimulative), job training (stimulative), and assistance in keeping jobs they may already have (stimulative).  And, as much as big government haters hate bureaucrats, it also provides funding for the administrative and support services that people must be hired to provide.  Though no not included in your snippet, this program also expands services to provide programs in traditionally underserved or underrepresented communities (the type continuously and, I would say, viciously slashed or ignored by Republican administrations):  teens and young adults, the elderly, the disabled, Native Americans, and residents in rural areas.

 

Health Resources and Services.  This looks like a no-brainer.  From the very text you included, we learn that $88,000,000 shall be for necessary expenses related to leasing and renovating a headquarters building for Public Health Service agencies and other components of the Department of Health and Human Services, including renovation and fit-out costs ... as far as I can tell, "renovation" involves construction (including painters, electricians and plumbers), transportation, hauling, the purchase of office equipment and machinery), and countless other outward rippling stimuli to the local economy.  But it goes on ... and of which $1,870,000,000 shall be for grants for construction, renovation and equipment for health centers receiving operating grants.  I see more renovation, direct reference to construction work, and then the equipment that must be manufactured, transported, hauled, installed, maintained, and then operated by human workers. 

Perhaps your objection stems from the short term benefits of this stimulus, and I will concur that some of the jobs that this spending creates are not necessarily permanent.  But you must remember that this Act is not just a stimulus package, it is also a "recovery" package ... we have to help people (not businesses) that have been hurt by the unregulated abuse committed BY business against the American people.  Sometimes the first part of stimulus is to recover ... once we have money in pockets and businesses get a boost from new equipment purchases, the short-term employment ripples out to employ more people in other places for longer periods of time.

I will not pursue all the indented parts, as I think these three spending programs illustrate my point.  When government spends money, it invariably (almost unconsciously) stimulates the economy.  It can't help it, because that's what spending does.

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

What a Crock!

Shays wrote '... When government spends money, it invariably (almost unconsciously) stimulates the economy ...'

We all know that there are limited ways to create wealth - mine it, farm it, manufacture goods for profit, and sell intellectual property. Our form of government does none of these activities. It only takes the fruits from the people who do create wealth and redistributes it. Redistribution of limited resources is not stimulation.

For the past 50 years, through Democratic and Republican 'oversight' of our economy, we have divested ourselves of the capacity to create wealth. 50 years ago our population was leveling off to a sustainable 280M or so. Since that time our balance of trade shifted from positive to negative. We opened the floodgates of immigration with the Bracero program in the 80's. For awhile jobs creation kept pace with population expansion, which was a sign we were still creating wealth.

In the past 20 years, our balance of trade swung way to the negative, and we became a debtor nation, big time. We increased our population through immigration way beyond our ability to create wealth. With the magic of government bookkeeping of unemployment not counting the numbers of Americans who 'rolled off' the rolls and remained jobless, we found the 'need' to increase our population thru immigration at ever-increasing levels. No one in Congress caught on that the first item of the monthly performance reports was the downward adjustment of the number of jobs actually created in the prior month, and was never figured in the current reporting month's calculations. The number of small farms decreased in favor of agribusinesses, who called for higher numbers of low-paid (think slave wages) foreign workers which bumped immigration levels even higher.

So here we are today. Highest immigration levels ever in U.S. history. Highest national debt in U.S. history. Drastically reduced capacity to create wealth thru manufacturing. And the clowns in Washington (and in these forums) telling us we have to become even more indebted, and increase our population, in order to fix the problem.

Government spending is NOT the answer. Creating jobs in manufacturing with an eye to reducing the trade imbalance is a start. Declaring a moratorium on ALL immigration for 5 years is a start. It would make more sense to pay off the mortgages of Americans to the extend our economy was devalued, e.g. 1/3 of Americans wealth lost = write off all homes as 'paid in full' who are in last 1/3 of their conventional term as a condition of bank bailout funding. That way most of the housing costs are distributed to consumers, who are more likely to stimulate the economy with lasting demand for increased manufacturing than the government ever could.

RealAmerica

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

You are correct.  Government does not produce wealth.  But neither do businesses, business people, and especially not those who invest in business.  There is no wealth created from mining, farming, manufacturing or creating unless you have someone to actually DO the mining, farming, manufacturing or creating.  Steve Jobs or George Soros or Sam Walton can invest all the stinking money they want into their businesses ... but unless someone is willing to come and actually do the work, the money sits in a useless heap and does no one any good at all.  And right now, a good part of the problem in generating wealth is that the fat cats with the money to invest are not doing so.  They are hoarding and guarding their money so ... while there may be lots of "wealth" in mines, they are not being dug; there may be lots of potential profit Boeing or Nike assembly lines, but they are sitting idle ... the problem is that no wealth is being generated by the private sector.  Maybe even by default, then, government sponsored construction projects (on needed and necessary infrastructure projects) generates income and wealth by putting people to work making stuff that the private sector cannot or will not do.  Government purchase of office equipment, tables, chairs, carpets, drinking glasses, buses, electric cars, computers, and the like allows private companies to start manufacturing again.  Government investment in homes about to be foreclosed (perhaps in the form of bankruptcy judges intervening to help renegotiate the terms of a mortgage) saves people money that can be spent and put to use in other arenas.

The alternative is to let the entire house of cards collapse.  In a perfect (though clearly inhumane) world, we would all learn our lesson(s) and pick up the pieces once the dust settled, then move on to rebuild what was lost.  In the real (and also inhumane) world ... LOTS of people suffer all sorts of really painful and possibly life-threatening consequences from such a collapse, and many of those people had absolutely nothing to do with the causes for the collapse.  It is our duty ... and it especially the duty of a government of, for, and by the people ... to avoid such a catastrophe, if at all possible.  Since the type of spending to which you object is a distinct possible approach to solving a problem that capitalists are unwilling to solve (and maybe capitalism itself incapable of avoiding), then the vast majority of Americans (78% at last look) are saying JUST DO IT!

You and I have vastly different perspectives on the role of unfettered and unregulated capital investment.  I think people who invest in business ventures should be rewarded for the risk they take, when the risk pans out.  But the "risk" includes paying the people who actually produce any wealth from the venture sharing in the profit more equitably.  "Equitable" does not mean "the same" ... it means a fair share for the comparative effort put in.  Some models might even give the workers equal share in the voice(s) that run the operation (that is socialism, by the way ... none of the stuff you call "socialism" fits the definition), but we have a lot of room in this country to try several models and see which ones work.  But the bottom line is this ... if paying workers a fair share doesn't work out, then perhaps the risk wasn't worth it.

Finally, there is the regulation end of the bargain.  Capitalism does not work without regulation and a government.  Period.  So, we have to fine-tune just how much is too much regulation and how much is too little.  We clearly are (hopefully) coming out of a thirty-year bloc of time in which we experienced the problems arising from "too little" oversight.  Savage centralization of wealth and power, the rise of a powerful oligarchy that buys political influence at the expense of "we the people", and a government which rules to benefit business before it considers what happens to "we the people" is collapsing as a viable economic and political model.  This is why the Republican Party needs to rethink its tactic of putting all eggs in the basket of "tax cuts" and "small government".  Neither will work until we rebalance our ship of state, which is listing badly because of the overwhelming emphasis on both over the past 30 years.

leatherneck2
leatherneck2's picture

Joined: Sep 2007
Current Posts: 246

So by your logic, why in the world was there so much concern when companies that accepted stimulus funding were spending it on airplanes and corporate trips? These clearly further stimulate the economy.

My point is that two of these programs that you elected to respond to are already funded programs in the federal budget.

The third item that you responded to provides for extensive renovation to office space, among other things. Again, the same Congressional Representatives that are behind this blasted wall street for spending money on office renovations, calling them irresponsible. Please explain how this is so very very different.

What you did not address were the points about funding a study on how the increrase in the minimum wage in American Samoa and the Commonwealth of the Northern Mariana Islands affected the rates of employment and living standards. Please do address this. I really dont get this one.

And finally, the last point was for teh creation of a new government beaurocracy with the charter to develop and implement a method of ensuring conformance in medical treatment. First, this is a new government agency, I suppose that you will suggest that it is economically stimulating because it brings jobs (but government jobs are a net drain on the economy, not a net addition), and second, the last thing that I want is to have some government beaurocrat looking over the shoulder of my doctor to determin the best treatment for me. This particular provision can have no purpose other than to begin the process of institutionalising socialized medical care in the US. And that has absolutely nothing to do with stimulus.

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

(1) The programs I "elected to respond to" I selected because YOU posted them!  They were at the top of a very difficult and user-unfriendly list of things to wade through, and were relatively easy to look up!  Essentially, I picked them at random (I could have dove deeper into the colors and indents and identifying sub-sections to choose other programs ... but didn't see the need).

(2) Yes, these are existing programs.  A military health program and a domestic violence/protect women program.  Both have been woefully underfunded by the previous administration (you know, the one who practically turned "support the troops!" into a catechism?).  You said you did not wish to discuss the relative merit of those programs, and so I avoided that part of the discussion (in deference to your request) ... I merely pointed out who was going to be doing what with that money that in turn would stimulate the economy.  I even described how the economy would be stimulated, including its rippling out effects (which most opponents of the American Recovery and Reinvestment Act refuse to concede will occur).  

(3) IF these programs use this money to purchase $50 million private jets (manufactured overseas) or to send employees to retreats at exotic destination hotels, then the money should be cut off.  Furthermore, with appropriate oversight (built into the bill, by the way), similar expenditures should be called into audit and possible modification if any of them lean to the cadillac versions of any commodity bought or service performed.  But keep in mind ... there is a world of difference between corporate fat cats spending taxpayer money on private jets (when they can travel commercially like the rest of us) and expensive retreats (planning meetings and retreats are a useful element of the business model, but in times of hardships, only greedy and out-of-touch corporate fat cats ... plutocrats, I would call them ... would dine on prime rib while everyone else is heating beans over a can of sterno).  In case you are concerned, however, there will be an internet site where you can track all of the spending. 

(4) Mr. Thain (and others) would have been fully entitled to redecorate their office spaces as part of an economic recovery package ... had they received money for that purpose.  However, Mr. Thain (and others) were NOT given taxpayer money to create jobs, but to stabilize their own crumbling financial enterprises that had come to ruin at least in part because of their over-rated, over-payed, and misdirected management skills.  We did not give them money to make their office space look pretty (it was already functional) or to expand their office space because they had worked in overcrowded and outdated environments for a very long time ... we gave them money to protect the money that many of us had invested or saved in their bank!  The last example that I gave is money designed to do something that has needed doing for a long time (including a time when the government and the economy was FLUSH with money and could have afforded to do what was necessary) and that in the doing will ... as I illustrated ... provide immediate employment for a lot of people right away (or make sure that a lot of people don't lose the jobs they already have), who will in turn buy a lot of things to complete their jobs (stimulating other parts of the economy), and who will have additional cash in their pockets (because of tax credits and payroll tax deductions provided to 95% of all Americans) to buy consumer goods and get THAT part of the economy going, too.

Tell me how Citigroup or Mr. Thain (among others) stimulated the American economy with their actual or proposed purchases.

(5) I did not address the study of minimum wage benefits to American Samoa and the Commonwealth of the Northern Mariana Islands, or how it affected the rates of employment and living standards for reasons given above.  I still will not do so, because I have no interest in taking the time necessary to look up the proposed program and/or study to see what its full intention is ... nor do I intend to do it for you.  My guess is that if you went to the trouble, you would answer your own question.  What I will do is hazard a guess ... keep in mind that I do this only from the information that you provided in the paragraph that I essentially quoted at the beginning of this item.  Minimum wage issues ... at least on the surface ... may appear self-defining and understandable.  But, as with anything ... and because we let words and surface understandings stand for deep or true understanding, there is much more to the issue than meets the eye.  Studying effects of minimum wage in a small, relatively simple population I am sure simulates conditions that the folks proposing the study have already laid out.  In case you have forgotten, the last Congress managed to raise the minimum wage for the first time in a godawful long time, and there are many people who argue that a LARGER minimum wage ... a true "living wage", as it were ... would do wonders for the economy and the purchasing power of American workers.  Those questions, alone, are fundamental to understanding and directing an economic recovery, are they not?  Sounds like money well-spent, to me.  Immediately, those conducting the study receive the stimulus.  This is a fairly limited form of stimulation, to be sure.  But in the long run, who knows what information it will bring to the policy-making table, or how that information will benefit all of us.

As an aside, and I am "sure" this is purely coincidental, but the issue of minimum wage in American Samoa and the Mariannas has been before us in the recent past.  Tom DeLay got all sorts of personal stimulus from his political machinations with those things, and somehow female slavery and other questionable activities are tied up with legislation DeLay sponsored in those territories.  What a swell guy HE was!

(6) Health care reform is coming.  We can no longer have the worst health care system in the industrial world (unless, of course, you are filthy rich and/or managed to hang on to one of those expensive health care plans that retired UAW workers are being raked over the coals for still having).  Right now, we ALL have private insurance bureaucrats looking over the shoulders of our doctors telling them which procedures or treatments are best for us (or even who qualifies to receive them).  Unfortunately, those bureaucrats can give a rat's hind end for your actual health, because they are primarily motivated by the "bottom line" ... which is a profit that can be passed on to private investors ... and the profit goes down with "unneeded" treatments.  Personally, I prefer that decisions about my health be made by the doctor because of actual health issues ... not be some suit who wants to make (by saving) a buck.

There are two issues involved with the "conformance" issue that you casually mention.  The first has to do with medical records and digitizing them so they are in some standard form and format and can be accessed anywhere via electronic medium.  These are the IT upgrades that are essential to help modernize (short term) and reduce the cost (long term) of medical service.  The second is part of the overall health care reform package that seems to be coalescing in the first weeks of the Obama administration.  I should say that there are many different proposals, and this particular element is a common thread in many of them.  Even the medical insurance lobbying group (sorry, don't recall their title) has come on board and supported this idea.  The idea, in essence, is for the government to provide standards (as it does in many fields) that potential health care providers must meet ... whether they be private or public providers.  This gives consumers comparative information from which to make sound judgments about choices that they will have to make.  Remember the title of this bill:  the American Recovery and Reinvestment Act.  We are investing in the future.  Health care, and the way we expend money to provide it, is one of the major major obstacles that all employers must confront.  If they provide it, it is a continuing drain on profitability.  If they don't provide it, unhealthy workers will be a growing drain on productivity.  From a purely economic perspective, it makes complete economic sense to tackle and try to solve the problem of elephant in the closet ... the looming health care crisis. And it will ONLY be solved when we take the leeches out of the system ... the private, for-profit, health care insurers and programs.  I mean the rich and the vain can hold on to private insurance that covers their boob jobs and stomach tucks and the like ... but no one should make a profit on a gamble over whether someone is going to get sick or not, let alone dictate (for the sake of personal profit and gain) who should get what treatments or procedures.  Give me a break. 

leatherneck2
leatherneck2's picture

Joined: Sep 2007
Current Posts: 246

Is a fundamentally different way of looking at the universe. I am a strong proponent of constitutionally limited government, a market driven economy, personal freedom, individual responsibility. From this perspective, and the belief that government spending is the lease efficient or effective method of doing pretty much anything, I do not see any meaningful stimulus in this entire bill. What I see is a grotesque conglomeration of expansions of government programs and control well beyond anything contained in Section 8 of Article 1 of the Constitution of the United States.

I find your arguments to be tortured and strained to fit your view of the world and entirely unconvincing in mine.

BTW, I found a brand new provision in the latest version of the bill that I do not believe even you can possibly defend;

SEC. 1607. (a) CERTIFICATION BY GOVERNOR — Not later than 45 days after the date of enactment of this Act, for funds provided to any State or agency thereof, the Governor of the State shall certify that: 1) the State request and use funds provided by this Act , and; 2) funds be used to create jobs and promote economic growth.

(b) ACCEPTANCE BY STATE LEGISLATURE — If funds provided to any State in any division of this Act are not accepted for use by the Governor, then acceptance by the State legislature, by means of the adoption of a concurrent resolution, shall be sufficient to provide funding to such State.

This completely and unequivocally usurps the state's executive authority and bypasses many states constitutional check and balance budgetary controls. How is this stimulus?

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

Constitutionally limited government:  As you are undoubtedly aware, I am a proponent of the concept of a Living Constitution.  The world changes, and the Constitution must be elastic enough to meet a changing world.  I will provide examples, if you want ... but I think you are smart enough and well-read enough on the two sides of this essential American dichotomy that I can save us the trouble.  I trust that as the powers of government expand to serve a world vastly different from the late-18th century world in which the Constitution was written, that we will take prudent measures to keep government out of our lives.  Hence, while I truly believe that the power of government to give money directly to states (which is the vehicle through which the greatest percentage of the Recovery & Reinvestment Act will act) is a legitimate power and a power that is consistent with the intention of the Constitution or to directly fund and service projects that will put people to work (such as the interstate highway system, or the FAA and the entire network of air & ground control support for commercial and private air traffic ... neither of which are mentioned in the Constitution, by the way) ... I am adamantly opposed to government being given the right to snoop or otherwise mess with my internet behaviors and conversations -- or to hire a surrogate (such as AT&T) to do it for them -- without reasonable oversight from both Congress and the Courts.  THAT is a government intrusion whose justification cannot be justified by reference to the Constitution.

Market-driven economy:  We have not lived in a "market-driven" economy since at least the 1870s.  Some place the date at 1889, when railroad trusts were "given" the rights of a living, breathing human being by a clerical error.  Whether government is regulating business (a Constitutionally granted power, by the way ... or, at least, a power clearly reserved for the states and one done with a great deal of zeal until the 1870s) or providing tax incentives encouraging growth, whether government is requiring employers to pay a minimum wage or adjusting interest rates to stimulate the economy, whether government imposes fines on business for not complying with clean air and water regulation or waives restrictions with such compliance, or whether government raises taxes to increase revenue to support social services or lowers taxes to support investment ... the "market" no longer operates free of government and is inextricably woven with whatever it is that government does.  I suspect this has always been the case, and those who workshop at the altar of Invisible Hand of the Market Place need to take a deep breath and honestly think about the holy air they have given to their new god.  We rebelled, for gosh sakes, against a government that used legislation to encourage the growth of the East India Company because King and members of Parliament were active stockholders in the corporation!!!  Which brings us right around to the actual enemy in this entire debate:  Corporations.  They control and manipulate the market-place.  Heck, just as the British East India controlled and manipulated Parliament and the Crown, so they control and manipulate our government.  But our government is the only beast in town large enough and with enough resources to stand corporations down.  We are not very far from a corporate-run state, don't you know.

Personal freedom, individual liberty:  I am there with you on that one.  Hence my opposition to the unrestricted and unauthorized collecting of intelligence about American citizens, the removal of the right to habeas corpus for anyone, the practice of inhumane treatment of anyone in captivity, the restrictions placed on the right of any American citizen to vote, the denial of the rights of gay men and women to the same rights given to heterosexual couples, the imposition of criminal punishments on people's right to choose (abortion, consumption of drugs, association), the denial or active efforts to deny workers the right to organize unions, and on and on and on.  I see nothing in the Recovery & Reinvestment Act that does anything to deny personal freedom or individual liberty.

Government spending:  ALL government spending is stimulative.  It cannot be anything else.  It either buys things directly or indirectly (stimulating production of the goods and services that it buys and, in the process -- at least according to basic market-force arguments, stimulating growth, jobs, and more money in the pockets of workers to consume more goods and services on their own), it directs construction projects directly or indirectly that by definition serve the public good (the aforementioned highways and air traffic control systems are examples, but there are tons more), or it pays wages of people doing the work associated with the other two functions.  All government spending is directly stimulative.  Tax policy, on the other hand (and be means of comparison), is not necessarily stimulative.  Yes, it enables people the right to choose what they want with their money, but there is no guarantee that money saved through lower taxes is going to be used to stimulate the economy in any way.  In fact, we have been following that course for the last eight years ... an intensive test case of the power of investment of money saved from extensive tax breaks given to the very people the theory is supposed to work for who use it to generate economic growth, jobs, and a healthy economy.  I would say we have been on this dead-end path for 30 years (but that is a different discussion), but the last eight years have given us a pretty healthy experience with what wealthy people do when you make them wealthier and more powerful.

Section 1607:  The ability of the respective state legislatures to override a decision by the state executive to not accept funds from the Recovery and Reinvestment Act may, in theory, put a small dent in executive authority ... but it is a minor one (at best), and not especially out of line with powers that state legislatures already have.  Every state legislature that I know has an unequivocal power to override Executive actions as part of the system of checks and balances built into almost every state constitution.  This simply changes the benchmark (apparently) from a 2/3 vote to a simple majority.  So, yes, this is a minor infringement on the executive power of each state governor.  It is not earth-shaking and I would put it up there with the power of the President to take National Guardsmen and deploy them in foreign wars.  I also suspect that those states that provide line-item budget veto power to the governor may encounter some challenges (though am confident they will be worked out), so I guess in that sense you are also correct that this provision bypasses the normal checks and balances in the budgetary process.  However, when considered in practice, you will have to find a governor who will NOT accept these funds!  

As to how this is stimulus?  I don't know about you, but I have been following the course of this economic "crisis" in a few states [SIDEBAR: The "crisis" is much worse than is being publicly admitted and we are, in point of fact, already in a Depression except that it is not politically expedient to use the "D" word, just as no one wanted to admit we were in a recession until we had been in it for well over a year].  I do not know of a single state that does not already have a "shovel-ready" list of projects and jobs ready to fire up once the money is in the coffers.  Those projects will be directly stimulative.  I also know that as of today, 43 states already have budget shortfalls and the other seven project them in the upcoming year.  States must balance their budgets, and with no increased revenue (tax revenue from all sources is down in a recession/depression ... duh), are facing very painful decisions about which state services to cut (some more painful than others).   Most seem to be considering some variation on a combination of measures, including laying off state employees, closing schools or reducing the school year, reducing services to the elderly and disabled, reducing public services across the board (fewer police, firefighters, librarians and libraries ... already suffering from taxpayer tightwads, fewer public transportation services and less timely or reliable services, to name a few), reducing the scope and reach of regulatory agencies that check on a host of public safety related issues (such as water quality, food safety, health and safety issues in the workplace, medicaid payments, etc. etc.) and a whole slew of other cuts and layoffs that will affect the quality of life in our local communities.

Remember, this bill ... and the intention of Barack Obama -- an intention he has made painfully clear, even if the media and those who listen to the media pointedly refuse to acknowledge it ... is designed not only to stimulate economic growth, but is just as importantly designed to provide immediate and long-term RECOVERY and relief to those most affected by the economic collapse.

leatherneck2
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Joined: Sep 2007
Current Posts: 246

I have been pondering on how to respond to your recent missive. It is exceptionally clear that we have very different viewpoints that stem from diametrically opposed philosophies.

I agree that the Constitution is a living document, but there is a constitutional mechanism for changing the constitution to adapt to changing circumstances. This is why there are currently 27 amendments that have been ratified. In these amendments we have radically altered the limitations imposed upon our government with respect to taxation without regard to innumeration (direct income tax), altered the mechanism of selecting Senators (from States to popular election), extended sufferage to many who were initially excluded, and a whole host of other things. I am quite sure that the document we have now is as elastic as it needs to be, and we still have the amendment process to change it as needed. I do not believe that the federal government has the authority to fund the majority of the budget, from almost every social welfare program, through the education department, to the federal highway system. I do believe that the federal government has the authority to establish standards for the federal highway program as part of their role in regulating interstate commerce. Just as the federal government has an authorized role in air traffic control, but not in building and operating airports.

With respect to a market driven economy, I am in general agreement with you on when last we had such an economy. There are two things that I would propose, and have repeatedly, that would bring us back to a market driven economy duly regulated by the Congress. Bar corporate donations to PACs, candidates, or political parties and require that all contributions to a PAC, candidate, or political party be posted to the public record. These reforms would significantly limit the influence of the market on the government and allow the government to regulate commerce in a more detached manner.

Government spending is the least effective method of doing anything. Even if you only go so far as to usaspending.gov you will see that the single largest recipient of government spending is government. Non-Profit organizations that provide assistance to those in need typically use 20% or less of the funds for administrative and overhead expenses. Government, however, spends as much as 75% on administration and overhead. Therefore, it is my position that government spending is restrictive spending as opposed to stimulative, and reduced taxation rates on capital improvements and payrolls would be far more stimulating to teh economy. The only jobs that I have ever seen government create are government jobs.

Section 1607 is an extreme intrusion into the functioning of the states executive authority. By allowing a state to bypass executive authority without using that particular state's override mechanism (not all states use the 2/3 standard Illinois and Ohio use 3/5 and Arizona and Wyoming use 3/4). This was put in hte bill specifically to bypass those governors who opposed the stimulus package in their states. That completely marginalizes the executive of the state. It is a blatent federal power grab.

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

Leatherneck ... first, let me point out how extremely refreshing it is to find, buried in these pages of name-calling, abusive language and droll simplistic thinking a person willing to carry on a lucid and thoughtful conversation.  I realize that my last message was, indeed, a missive.  I commend you for taking the time to look it through and ... perhaps more commendable ... succinctly responding to it.  I envy your ability to condense your thinking in a way that clearly articulates your thoughts, but doesn't short-change them at the same time.  Thank you.

We may have to just figure out how to agree to disagree.  It seems that we are close in some respects, but different in others.  I respect your reasoning, and find it extremely sound, so I do not disagree at that level.  It is more fundamental.  David Brooks, a somewhat conservative columnist for the New York Times (proabably an oxymoron, I know), recently said something that I think is quite appropriate here.  I am very optimistic about the capacity of individuals to reason and the ability of government to execute transformational change.  I personally think we are at a nexus or a cusp of such change.  There were several directions the Industrial Revolution could have gone, but government's acceptance of big business and corporate "rights" took us down the path that has led us to where we are today, replete with powerful nation states aligned with one another and with corporate wealth and power against others similarly configured, competing for control of resources and marketplaces.  For the past few decades, however, revolutionary changes to that system have been struggling to assert themselves.  And there is not just one such change -- I am talking about the dawn of the Electronic Age and the so-called Technological Revolution, the advance of new sources for energy generation, incredible advances in science (and knowledge, in general), including the ongoing Green Revolution.  Again, there are many directions these innovations and revolutionary new ways for communicating and controlling information might take us, and all of those possibilities are competing with the dying systems (systems that, quite naturally, do not want to surrender the wealth, power and advantages they give to adherents and its leaders) to see where we will go.

Just as we hung on to much of the old agrarian and small-business structures and ways of thinking during and through the Industrial Revolution, so too will we hang on to some of the structures and ways of thinking that have dominated our lives for the last 160 years (or so).  But we are changing.  We have to be very careful that we hang on to the BEST of the old ways, and that we select leaders who will guide us (or allow us to push them ... the best form of "leadership", in my humble opinion) in directions that benefit most (if not all) rather than only a small portion of the human race.

Whew!

I concur that the amendment process is already built into our governmental fabric.  It guarantees that change is done deliberately and with clear thought.  But it is a macro-manager, not a micro-manager.  Deciding whether or not government had the power to fund building of the Erie Canal, the transcontinental railroad, the interstate highway system, or an air traffic control system are not the type of changes we want to leave up to the amendment process.  There is danger, too, in the amendment process becoming perverted as is the initiative and referendum process in most states, where the people's "voice" is abused or manipulated by special interests as a way to circumvent the legislative process.

I agree that a massive, bureaucratic government is wasteful.  But a limited, powerless government is harmful.  I know that some folks were (and many remain) dissatisfied with New Deal, but it was based on meritocracy, remained relatively transparent, and was staffed by competent people who did their jobs well.  I did not live through the Depression, but my parents did.  I know that our lives were vastly improved by a relatively large government that provided services that were useful, well managed, and relatively cost-efficient.  

I agree with your comments about corporate donations to PACs and the necessity to make all donations publicly accessible and transparent.  I would (of course) go further.  I would eliminate professional lobbying.  Everyone has a right to address their elected representatives, but everyone who wishes to should do so personally.  No one should profit from doing it for someone else.  I would also strip corporations of their "personhood", and redesign the rules of incorporation.  First and foremost, a corporation should exist only if it provides a necessary good(s) or service(s) to the community.  It's number one purpose should be in the products or services it provides.  Corporations should serve us, not the other way around.  Therefore, when licensed, the purpose must not only clearly be identified, but it must be honored and pursued.  Licenses should be easily revoked.  Successful corporations will make profits, but profits are secondary.

Government spending, I agree, is not particularly efficient.  It can be made more efficient, that is for sure.  But when government is the only thing spending, then I see no alternative for an economy that perches on the edge of collapse.  It is the spender of last resort.  In the case of stimulating something like an interstate highway system or a water system to an entire community, it may be the ONLY entity capable of providing the funding and oversight necessary to avoid the chaos of private efforts.  And I can tell you this ... in Oregon, unemployment has now hit double-digits, and rising.  Keeping people already in work from being laid off is not going to happen because of private investment.  Building a freeway interchange will employ about 2000 people for almost a year and a half, plus stimulate local material suppliers, stores, restaurants, and other elements of the service industry.  The local community college will be able to put a couple of hundred people to work by April just doing deferred maintenance on electrical and telephone systems, plus maintain and expand the heating and cooling systems ... over the longer run, when the second wave of ARRA money arrives, it will be able to install bio-fuel and solar/wind-powered generators, transform the electronic and telecommunications systems on campus, and install "green" (and new) roofs on many of the buildings -- providing jobs, the framework for new technologies, and in turn enhancing and expanding the learning opportunities for the next generation of students.

I do not see private enterprise providing ANY of those opportunities in either the immediate or long-term future. 

Concord
Concord's picture

Joined: Oct 2008
Current Posts: 7

Discussion would be possible IF our current illegitimate president allowed the bill to be published before it was passed, and if the Pelosi actually allowed debate before ramming it down our throats.   From what I hear California is getting funds for removing tattoos and closing state parks. And of course no money will be spent for 3 to 4 years, so there will be no effective stimulus till the Depression is beyond recovery.  In the first bill passed Obama breaks his campaign promise of “open government” and “bi-partisan-ship”

But good news, Obama is repaying his campaign debts and paying off ACORN for voter fraud on his behalf.

 

Ucry2much
Ucry2much's picture

Joined: Feb 2009
Current Posts: 902

WHERE do you think the $100 comes from, the $100 you propose to give to someone "on food stamps".

IT COMES FROM THE "VERY RICH MAN" (aka guy who works his booty off his whole life)

question: how many people will work hard if you take all their money to give to the poor? and the poor, they will never work, because they don't have to = idiots like Shays take the money from working class people to give to the crackheads, the Obama Plan! you see, he takes care of his crackhead buddies!! thats how the bruthas do it!

AFrank
AFrank's picture

Joined: May 2008
Current Posts: 182

The stimuli bills perplex me.  Why would repeating the same action result in a different result?  We collectively got ourselves into this mess by spending far more money that we could ever afford. So I am confused how spending more money than even our children's generation can afford will fix rather than worsen the economic crisis.

Further, we have elected fools if they think Americans will be fooled by the government into thinking the economic crisis is over now matter how many temporary jobs and handouts the government gives.  Americans will hoard their money and spend only what is necessary.  And THAT American behavior is what would eventually lead to a normalization of our economy, not putting future generations into debt.  It's pretty clear on both a state and federal level that those with (R) or (D) behind their names are fools who are out of touch with us citizens.

 

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

No ... most citizens (well over 3/4) agree that government needs to stimulate development.  I agree, construction jobs are short-lived, even if they last 2-3 years ... but investment in short-lived infrastructure projects provide LASTING and enduring products.  Though we have had to retrofit them because of increased understanding of tectonics and earth movements, and have made technological breakthroughs that make retrofitting a possibility, you can still drive from San Francisco to Los Angeles along the coast and see hundreds of lasting and enduring monuments to infrastructure investments that were made during the Great Depression.  Not only that, but the hundreds (or even thousands ... its simply a question of scale) of people employed for those 2-3 years are putting money into their pockets and purchasing the things they NEED.  Not the things they "want".  "Wants" are chimerical and, once we recover, may once again become generally attainable ... but we can build a self-sustaining economy just by producing the things necessary to meet our basic needs.  But people need to have the means to purchase the things they need.  Once they do, the demand becomes real ... not artificial.  One does not have to advertise "new and improved" corn flakes in order to create a demand for something superfluous and unnecessary (saving a whole lot of money in advertising) because people will actually demand simple corn flakes (or their equivalent).  Supply-side economics does not work.

Granted, what I have said is very similar to what you have said ... people will also save and eventually be able to start up their new businesses (preferably by borrowing from a local bank that actually has the assets to back up what it lends out), and this is what ... over the long haul, will SOLVE the problem we are in.  We are not in a "solving" mode, at the moment.  We are in a recovery mode, and a mode designed to keep off the dark days of total collapse.  Money going to support informational technology in the health care industry, to expand our electronic and electrical grid, to generate new forms of energy, to subsidize electrical providers so they can actually make money when people SAVE electricity (rather than simply because they consume MORE of it), to improve and expand broadband communications networks, and to develop alternative forms of energy are going to form the basis of the new production economy that will born from this dying one.  After the two or three years passes, there will be entirely new industries and businesses in which people will go to work (which is why hiring more teachers to provide training in these new fields is another long term solution).

The U.S. did not climb out of the Great Depression by sitting by and letting the invisible hand of the market-place (a New Age God if ever there was one) write a new page ... thousands of people got jobs and survived through the Depression before being swept up by war and war production manufacturing (not to mention hundreds of thousands of work-aged folks leaving the unemployed ranks to go and fight) ... but when they came back, the industrial and manufacturing infrastructure was in place because of government spending and ready to take off because conditions had changed.

AFrank
AFrank's picture

Joined: May 2008
Current Posts: 182

An equally valid view of the Great Depression is that federal intervention extended the depression artificially.  The basic premise of government stimulation is that people will behave differently if the government intervenes.  This may or may not have been true when the average american did not have access to information that we do today or, frankly, lacked the education to understand the transient nature of artificially created (government) jobs. 

But it won't work in this information age.  People understand that any money due to government projects ultimately depends upon the success of real projects - i.e. products and services that have actual demand for everyday living - not creating frisbee parks for homeless penguins in the artic.  To pay for the frisbee park, the federal government can either a. borrow money at a high interest rate from a foreign bank stupid enough to fund it or b. by taking money away from real projects (taxes on productive business and persons).

I have long hoped that Ayn Rand would not be prophetic.  But I'm afraid those hopes are being quickly dashed. 

Atlas will shrug.  And soon.

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

The "equally valid" interpretation that you present is neither "equal" nor "valid".  That particular revisionist interpretation can be traced to a study done by two professors at UCLA that has been quoted, then the quote was quoted, then the quoted quote was quoted (and so on) until the original source was lost and the tremendous number of quoters make it appear to have validity ("Gosh, Helen, if that many people say this is what happened, it must be true").  Check the source of most of the quoters, as well -- the vast majority are all a part of the vast right-wing think tank-media conspiracy and their effort is purposeful, conscious, and diabolical.  I have watched them use the same strategy to destroy public education (in the name of saving it), promote deregulation and privatization, undermine the efficacy of social programs, strengthen the perception that Iraq was connected to al-Qaeda and possessed wmds as part of a program to launch a direct attack on the U.S., amongst many others.  I can identify some of the culprits for you, if you want to check them out:  Fordham Foundation, Manhattan Institute, Hoover Institute, Heritage Foundation, American Enterprise Institute, Project for a New American Century, are just a few.  Sourcewatch is not an objective site, but for what it is worth, it claims that the number of conservative think tanks in the US is twice that of liberal think tanks.

That said, there are considerably more scholars who disagree with conclusions that the Depression was prolonged by governmental intervention than who support it, or who point to other factors contributing to the length of the Depression that were more instrumental than government spending and programs.

Perhaps there are people who believe that government spending will cause people to behave differently, but I don't buy it for a moment.  Government stimulation will put people to work ... some of that work may be in building museums for penguins and other stopgap measures.  Big whoop!  It is the business of business to make real products and to provide services that people use and need in their daily lives; right now, business cannot do that for a large number of reasons.  Reason number one is that credit markets and frozen and employers cannot borrow money to meet payrolls and must let the people go who produce those goods and services -- this reduces the number of goods and services available and further reduces (or eliminates) the income needed to purchase that which is available.  One might ask just what kind of a 'free-market' economy it is that depends on credit in order to make payroll ... but that is a question for a different thread when we begin the process of reforming and restructuring our business and marketing infrastructure.

Right now, instead of adding yet more gas to the gas tank of economic recovery (i.e., more cash to investors in the form of tax cuts and incentives), we need to give the economy a jolt.  If the car is not out of gas, but has a dead battery, then adding more gas won't get it going ... we need a stimulus.  

What your analysis also overlooks is the fact that almost every state in the country is broke and facing major budget shortfalls.  States must balance their budgets.  If they face shortfalls, they can pass bond measures (which, of course, must be approved by the electorate) to borrow money to bridge the gap in shortfalls, but some states are facing rather significant problems ... with even more on the way because the revenue source has not yet felt the full impact of the recession.  States will be laying off or furloughing employees who provide necessary services.  Schools will be heavily impacted through shortened school-years, reduced services, school closures, and teacher layoffs.  Police and public safety officers will be laid off, hours and staffing modified, and overall services reduced (often with life-threatening outcomes).  And so on.

The private sector will do nothing to alleviate or ameliorate these shortfalls.  The private sector, as a matter of fact, continues to hemorrhage.  Luckily, I am not king.  My first act would be to stabilize the housing market.  I would nationalize the banks that took TARP money and then relicense all local banks and credit unions through the national bank.  They would remain private entities, closely regulated to guarantee adequate capital assets to secure loans.  All mortgages in foreclosure or near foreclosure would immediately be assigned to a bankruptcy court and the judge would renegotiate the terms of every loan based on current assessed value and equity in the home ... interest rates, principles, and/or loan duration could be changed individually or in combination in order to keep the owner in the home.  New loans would be offered through local banks, and TARP money would be used to help the local banks cover any losses.  I would not hesitate to nationalize any private company (or entire industries) that showed signs of economic collapse, assign a receiver who would be free to fire upper management and executive boards (keeping those deemed capable and promoting from within, as possible, the new management team), and restructure the business or industry so that it was (1) more productive, (2) paid its workers a living wage, and (3) not basing its growth on planned obsolescence, advertising designed to create "need", and extravagant credit lines or programs.

I am NOT king, and I am sure my solutions would be viewed as overly draconian and meddling.  Oh well.  I am resigned to such.  But I have no fear of government intervention in the market (the government has intervened in the market since at least the 1870s, and to pretend otherwise is self-delusional), and complete faith in government operated business.  Regardless of propaganda to the contrary, by way of example, efforts to deregulate and privatize public utilities has NOT produced more competition or lowered prices ... quite the opposite is true; perhaps a plethora of companies initially jumped into the deregulated and privatized markets, but over the years we have seen mergers and failures leading inevitably to increasingly concentrated ownership and less and less public input into policies affecting local utility service.  The same holds true for already private industries as well -- specifically the airline industry, the public media, and the entire energy sector.

Perhaps, over time, as we recover and some of the stagnant or nationalized businesses begin to recover, they can be turned back over to private ownership.  This would be good ... but only insofar as tight governmental oversight and regulation remains.  Capitalism only works with rules, and someone big enough to make sure the rules are being followed.  We have abandoned this basic condition (recognized clearly by Adam Smith, himself) twice in our history, and the inevitable movement to consolidation and centralization of wealth and power into fewer and fewer hands has occurred.  We have called them many things (Trusts, Big Business, Corporations, Global Corporations), but abandonment of an active governmental role in limiting this consolidation of wealth and power has led both times to collapse.  Atlas may have shrugged, but his foundation is cracked and crumbling, too.

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

(R) (D) = Real Dumb?

I read somewhere that the stimulus plan would pay off 90% of all existing home loans. Just think how much that would stimulate the economy if you didn't have to make house payments!

As for the Banking Bailout II, I received a check for $100 from Chase in order to open a checking account there. This is not stimulus, as you need to keep the $100 in the account as a minimum balance. It is using taxpayer funds to re-arrange market shares of banking funds.

I'm with afrank on this one. What kind of a parent tells his kids that the best way to get out of financial difficulties is to borrow more money?

RealAmerica

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

And what type of parent would tell his kids (not adult children, but kids) that the troubles they are in ... no food, no shelter, no clothing, no heat, no transportation and no way to acquire them (or any other need ... forget "wants" for right now) ... are just tough luck; you have to learn a lesson from your imprudent behavior (even if you, yourself, did little to cause the actual mess you're in) and, though it may be painful right now, in the long run you will thank us for it later.

Let's see.  Financial markets have collapsed (I know, I know, the CEOs of the biggest banks the world has known are busy testifying right now about how they have their houses in order ... or are close to having them so ... and the crisis is a crisis of perception, only) to the tune of $700 billion GIVEN to them.  That was money borrowed by the Bush Treasury, was it not.  Then there were the financial wheeler-dealers and insurance companies who "guaranteed" the creative and unregulated lending practices that were given close to a trillion before the bailout ever came to the table.  Then there's the business of the unaccounted debt owed for the War in Iraq and its reconstruction, ranging anywhere from $1-$3 trillion more borrowed dollars depending on whether or not you want to count what we will owe all those soldiers to whom we are so supportive.  Then there's Afghanistan and other parts of the "war on terror" that are not kept on the books that we also have borrowed to pay.  Remember how important our president said this war was?  Or that he told us that not a single one of us needed worry about making any kind of personal sacrifice to help wage it (except to cower in fear and support whatever fiat he initiated whenever he deemed it necessary to elevate the color-coded danger signals).

Then there's the still threatened collapse of the US auto industry ... "lent" $14 billion (not by any of the banks that were bailed out earlier, though ... even though they are in "recovery") ... which will add another 1.5 to 3 million workers to the list of unemployed, depending on which "linked industries" you believe will actually be impacted.  Which leads us to the employment statistics.  Add to the amount that might become unemployed to those 600,000 who were laid off in the month of January alone.  The currently listed seven percent unemployment figure (about to near double digits in the next couple of months) could easily reach between 15-18% if the auto industry goes down.  This, of course, only counts people who are actively seeking unemployment insurance, and does not count the millions who gave up looking for work BEFORE September or October of 2008 -- you know, when the "fundamentals of the economy" were still strong (source:  President George W Bush, presidential candidate John McCain) -- and have been out of work since 2005 or so.  Economists who (probably correctly) disregard official government unemployment figures and try to estimate the actual number of people not working have estimated the current figure is somewhere more accurately between 12-15%.  Assuming these estimates are even close to being correct (keeping in mind that those making them do not, after all, trust the government and have an interest in possibly inflating the numbers to make their point), this means that the total unemployment rate might end up being closer to 20-22%.

This is no "ordinary" recession, and in no way resembles recessions we have had in the past 60 years. Toughing it out might have worked in the past (though we'll never know, since every president since Truman has sought to soften the blow of recession and taken steps -- even if small and prudent -- to intervene where possible).  Toughing it out might work in some Ayn Rand novel (just as torturing prisoners works in "24") ... but it isn't going to work here.  Through gross financial  mismanagement -- private and governmental sectors, alike -- we are in the mess we are in.  At some point, we will have to pay the piper and at least reduce the principle of our indebtedness ... but to jumpstart the economy and begin to make that possible, the consumer of last resort must start buying stuff and hiring people to make things.  If a good part of that goes to roads, bridges, water treatment plants, sewage systems, electrical grids and other bits of infrastructure that have gone unnoticed for 40 years (but will last at least another 40), then so be it.  If another good hunk goes to investing in start-up businesses that will form the basis of a new, post-industrial economy (alternative energy sources and delivery systems, research into them, broadband and informational technology enhancement, and the like), then the manufacturing and service base that you seek will have a new, and strong, component.  If we need people skilled and knowledgeable about these new technologies, then support for expanded higher education (PELL grants, etc.) and true reform of K-12 education is an investment in the future following the recovery.

And finally, we have been supporting business over people for the longest time (I'd say that was the cornerstone of the Reagan Revolution).  It has brought us to where we are today.  It is time that we at least put people, and their welfare, on an equal footing with business. Government of the people, by the people and for the people needs to reign in on its focus of supporting business.  RECOVERY (It is, after all, the American Recovery and Reinvestment Act of 2009) needs a prominent position.  Unemployment insurance, welfare protection, child healthcare, better health care for all, and jobs -- even temporary jobs -- must be an important part of the effort.

And when we all have our feet back on the ground, then we can do what should have been done as soon as Ronald Reagan began deficit spending to fund his covert (and illegal) wars and to blow up the defense budget -- we need to raise taxes to pay for the expenditures.  The ONLY president in the last 30 years to balance the budget (i.e., that did not expand the size of some part of government to the point that we spent more than we took in) was Bill Clinton.  We need to move beyond the DoubleSpeak and DoubleTalk that fogs our vision and allows us to see only that which we want to see and make sure what we spend is equal to (or, since small deficits have been proven to be effective, only slightly above) what we take in.  But we aren't there yet.  We're going to have to borrow some more, first.  Probably a lot more. 

BBrentwood
BBrentwood's picture

Joined: Jan 2008
Current Posts: 515

      Goldman Sachs and cronies rob the Treasury via bailout money.   Barney Frank, Maxine Waters and the radical left,  the same individuals that forced the Banks to lend to minorities and unqualifed individuals without a job or credit History are now in charge of  Government committee in charge of fixing the F----ing problem.  Insanity at work here. 

 A decade of morass is ahead,   the stimulus package will be a small blip then an even bigger depression, and inflation.     Obama  banned offshore drilling as one of his first accomplishments, sending a message to OPEC that the US is a weak nation....that we are unable to drill our own oil..GAS PRICES WILL AGAIN GO UP TO 5$ A GALLON.   The price already escalating just weeks after Obamas bill signing....

Renowned Economist Harry Dent says 77 million boomers created the biggest boom and now BUST-------in US History.   The experts now see a DECADE of morass and depression for the next decade.....   America is no longer producing anything,   steel, t.v.s, computers, even customer service and technical advise has been offshored.    Our public shcools are failing generations of americans, school Districts unable to teach our citizens how to think, add, read, comprehend, and evaluate.   Indoctrination is rampant "ie",  Global Warming, diversity, single sided politics and the complete eradication of American History, culture and American Holidays in some School Districts.  

"The next generation will not be able to afford the standard of living we have had,  "Dent says.    There is no way out of it,    the Greatest Depression in our History is ahead.

The stimulus package should only be used to create production jobs,  build nuclear plants, set up offshore oil rigs!!!!!  Instead we get decades of Democratic pork build up which will waste whats left in our Treasury  as part of a Marxist re-distribution plan that would make Moscow blush.......

8 billion dollars to ACORN,  the same group that Obama represented as an attorney beforfe becoming President.   The same group involved with voter Fraud in the presidential election--

Billions to irresponsible states that are bankrupt to incompetent state Legislators that embraced DEFICIT SPENDING.... CA, NY, IL,

25 Billion to GM,         Which  will turn around and use the money to expand and retool car factories overseas in BRAZIL.......not in the UNITED STATES.    OUr tax dollars redistributed thru  GENERAL MOTORS to enrich brazilians and the Brazilian government.      THIS IS INSANE, NO CHECKS AND BALANCES ON THE MONEY BEING SPENT!!!!!!!!

GENERAL MOTORS WILL BE CREATING JOBS OVERSEAS USING TAXPAYER BAILOUT MONEY!!

100's of billions for additional welfare, food stamp, and low income housing, only creating jobs for those handing out payments to welfare recipients..

Per Robert Reich,  Obamas economic advisor from UC Berkeley,   " we need to insure that stimulus money in contracting, help the "right people",  not white construction workers or the educated."    

         "The cat's out of the bag, and the chickens are coming home to roost America" 

So much for uniting the country, transparency and equality!!!!!!  I guess Obama's economic advisor,  Robert Reich only wants to assist people of color, the uneducated and non US CITIZENS with the taxpayer bailout money!!!!   The communist re-distribution of US assets begins.....  The democrats took out a provision in the stimulus bill that would check each employees identity...before being hired by government contractors using stimulus money.  So we will see massive corruption in the spending of taxpayer dollars, patronage and non-US citizens  here in our nation illegally being hired ahead of unemployed Americans. 

Whats  next>>>>  The government and our new "Emperor" will create another GREAT DEPRESSION,  but muchworse, because the cost of living and inflation will go thru the roof......gasoline, water, food, credit, health care, medicine as the neo-Marxist policies are implemented 

"Oh what a tangled web they weave, when they set out to deceive"

shays
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Joined: Jul 2005
Current Posts: 1715

Most of the specific programs you mention have been debunked as either misrepresented and/or purely fraudulent.  We ARE in a mess, that's for sure.  But you need to rethink whom it is you blame.  The very first think I would NEVER do is repeat any of the policies, programs, or agendas that have been in place since at least 1980, since combined, they are the ones who have brought us to where we are.

We may, indeed, be facing a decade of anguish and economic malaise.

So let's do exactly the OPPOSITE of the things that got us here.  Return to tight government regulation of businesses.  If we reverse the trend towards merger, centralization and consolidation of wealth and power into fewer and fewer hands, then perhaps there will be a real market-place where true competition takes place and only simple rules of oversight will be necessary to enforce.  Eliminate the voodoo of supply-side economics, replete with its emphasis on "if you build it, they will come" (which in turn requires planned obsolescence in product design and manufacture, an entire layer of propaganda makers and distributors of packaged lies designed to create artificial needs and wants, and unregulated and unrestricted credit markets because no one can afford to buy a new car every year), give workers MORE money and MORE security so they can use cash to purchase goods and services (or short-term credit), and focus governmental policy on how it can help and support PEOPLE, not businesses.

snorkler
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Joined: Sep 2005
Current Posts: 77

I'm from "The Government", and I'm here to help!  Right!

In perspective, "Government" is the largest employer in the US; WalMart, a private corporation, is second -- true?  And yet, "Small Business" accounts for more than 80% of the US workforce, and has done so historically; so where would you deploy any stimulus incentive?  My choice is obvious, particularly in view of the fact that Government layoffs are historically non-existent, in comparison to those in the private sector.  Why is that?  Government always expands, and never contracts -- why this entitlement -- what jobs do they create, other than more of their own?

Non-Military Governmental employees are represented by (innumerable) unions that negotiate their pay and benefits packages, by negotiating only with their elected "overclass" who themselves are similarly protected by "legislated" entitlement -- but  WalMart workers and us other  "Private Sector (at risk)" employees are represented only by ourselves -- true?  If we're lucky, we get a 2-week severance package, but it's not mandatorily incumbent on the employer.  Yet it seems to me that the only Government workers who get laid off or fired are the whistle-blowers, or those convicted of commission of a crime, so long as it's not tax evasion, of course!

So, if  80% of the non-governmental workforce contributes, via taxes and fees, 100% of the dollars to be consumed by the Government for distribution to it's employees and other vague (worthy?) programs, shouldn't this 80% be allowed at least an opportunity to vote, not just voice, our support or disagreement for this huge commitment, before its enactment?  I've more faith in the wisdom of the US Citizenry than I do in our elected bodies, given today's dilemma, and the  "choices" made for us "because we won". Investment of confidence in "Government" is, and has never been, wise --  I think that the "stimulus" is unnecessary, but if it's going to happen regardless, then let that sector of the economy who actually bear the risk of nurturing economic growth be the primary beneficiary -- nothing else has ever delivered anything but disappointment.

Snorkler

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

There are some inherent incongruities and contradictions in your math.  You may be correct, government may be the largest employer in the US; but if this is so, how come small business accounts for 80% of the workforce?  And 80% of the workforce cannot contribute 100% of the taxes because (1) there's the other 20% that also contributes its fair share (individually) of tax revenue, amongst them government employees who, apparently contrary to public opinion, do pay taxes on their income, and (2) there's that smaller group of folk who are not "employed" (per se) by either government or small business who also pay their income taxes.  The other bit of your fuzzy math has to do with the fact that government has other revenue sources besides income tax.

As to where to apply the stimulus ... it looks like a big hunk of it is going to the private sector and to small business.  Of course, this bill is unusual because none of it is earmarked to special projects and selected constituencies ... but I don't see ANY going to Kellogg-Root-Brown or Halliburton or (for that matter) to any major global corporation, anywhere (unlike the tested pattern of the last eight years, anyway).  I suppose if the Department of Health and Human Services purchases office equipment when its headquarters is renovated, it will purchase many of its computers and machinery from a large manufacturer/distributor of such equipment ... but most of the money is going directly to carpenters, plumbers, electricians, masons, carpet or tile-layers, truck drivers, teamsters (and some of that will ripple outward to the folks who make the things these folks use ... hence the term "stimulus").  

Yes ... there are administrative costs, probably done by government workers (it is, after all, government money) ... but who are those evil "public workers" that will also be paid (and go and buy things with their income to further stimulate the economy, by the way)?  Well, for one there will be my sister, who is a governmental CPA (maybe not for DHHS, but someone like her ... in fact probably several someones like her ... will be assigned to this cash flow task).  I know that CPAs don't really count as "workers" because all they do is sit around in cushy offices drinking coffee, doing their nails, and playing computer games when a supervisor isn't watching, but I don't think of my sister and the faceless drones like her employed by the government as "evil" (or shiftless, for that matter).  There might be a few building inspectors, who also are pretty "evil" and "lazy" dudes.  I don't know ... I am sure there are many many others; after all, every government dollar spent to create one job in the private sector undoubtedly ... at least from your perspective, must create five or six wasteful jobs in government, huh?  Oh, wait ... the ratio was 80:20, so every job created in the private sector only equals .25 job in the government.

As to union protection and negotiation, as far as I can recall, everyone used to have the right to join a union.  I realize that unions are godless communistic fronts ... but if they provide members (and a lot of non-members, too) with a strong negotiating mechanism with which to collectively bargain with employers ... private OR public ... and derive things that you apparently think are desirable (to the point that you seem to envy them), then why not join one yourself?  Of course, most employers don't like unions.  For good reason, of course.  They act to divide up the profit made by a company a little more equitably than when there isn't a union, and most owners don't like that "more equitably" part.  But hey ... this is a free country and employers have as much right to exploit workers and underpay them as workers do to band together and demand better working conditions.

Your final paragraph flies in the face of history.  In the first place, the "people" and the U.S. Citizenry have spoken.  We just had a national election and those explaining how they were going to change the way of doing business ... from paying more attention to business (especially BIG business) to paying more attention to people ... sort of clearly won.  It just so happens that an economic crisis ... created by essentially 30 years of cutting taxes and subsidizing big business (at the expense of median income and the average Joe ... whether he's a Plumber of a school teacher) ... has forced Barack Obama and the Democratic majority in Congress to shift gears.  Now they have to find a way to jump start an economy that still serves to fulfill the campaign pledges that were made and was the basis for their election!

As to your final assertion that "nothing else has ever delivered anything but disappointment" ... well, I refer you directly to my father.  Ask him how "disappointed" he was with what his government provided for him (and us).  You should know that he was a young World War II Navy Vet who bought the house in which I was raised with a government loan, started a small business with his brother with a government loan, produced both goods and services for a BOOMING U.S. economy where the tax rate on the upper 2% often exceeded 90% of their income, sent myself and two siblings to brand new and (for then) state of the art government schools that were the best in the world (!), and drove to and from work on brand new interstate highways and an expanding network of new or rebuilt state and city streets (not to mention did a lot of his business via the rapidly expanding telephone system and was entertained in the evening by the new medium of television ... both within the realm of governmental "control").  This is the "delivery system" that gave rise to Joseph McCarthy, a man who was so frightened of the burgeoning "socialism" that was producing so much wealth and middle-class success that he had to stir up a whole lot of unnecessary fear and confusion before withering away in quiet cloud of shame and national embarrassment.

Ucry2much
Ucry2much's picture

Joined: Feb 2009
Current Posts: 902

already....

he donates ZERO of this money!!! to anything. it all goes to his bank account.

 

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

Plain Talk

Here's Chuck Norris plainly speaking about the New Millenium Indentured Servitude bill. He reminds us of George Washington's words - "To contract new debts is not the way to pay for old ones."

http://www.worldnetdaily.com/index.php?fa=PAGE.view&pageId=88992

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America To Their Corporate Keepers

Cheap!

RealAmerica

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

(1) I will join you in opposing this administration if the American Recovery and Reinvestment Act of 2009 (ARRA) ends up benefiting the bottom line of corporations before it puts people to work.  I will also remember how you place the Democratic leadership in the pockets of corporate fascism when you start arguing about how the "Marxist" Dems want to [fill in the blank:  tax, regulate, nationalize, control the free market, provide health care, and the like] the corporations.

(2) Chuck Norris is an actor.  Like any of the celebrities who support liberal causes that you mock, his opinion carries no more weight than does yours or mine. 

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

Corporate Benefits 4 Indenturing Americans

1) shays wrote '... ends up benefiting the bottom line of corporations before it puts people to work ...'

Let's start by agreeing that 'people' means American citizens entitled (by an American birth certificate, certificate of naturalization, or green card) to work here legally. Then when you look at the passed version of the bill you see the extension of e-Verify has been stripped from it, and it will expire next month. Who do you suppose benefits more from that action, the American workers displaced by lower paid illegal foreign labor, or the companies that hire the illegal aliens?

2) shays wrote '... Chuck Norris is an actor.  Like any of the celebrities who support liberal causes that you mock, his opinion carries no more weight ...'.

Wasn't Ronald Reagan an actor? Didn't he say "... the problem with socialism is eventually it runs out of other peoples' money ..."? And I don't mock liberal causes that are funded by ideas that create wealth for everyone. Just the hair-brained ones that 'liberate' funds from other peoples' pockets in order to line theirs.

http://www.youtube.com/watch?v=cBw1nUlf38I

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America Into Indentured Servitude

Cheap!

RealAmerica

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

(1) I agree that hiring illegal immigrants hurts American workers and benefits the Corpos.  Part of our task, as citizens, is to report to recovery.gov every time we see a breach of contract with us in terms of how the money is being spent.  My guess is that if you suspect illegal immigrants are working a federally approved contract (or a state contract using ARRA money) then you should report it.  I will also guess that you need something more to report your claim than a "bunch of Mexicans" are working on that park project".  You might also want to remember this ... it is Democrats who theoretically support labor unions and in whose interest it is to make sure that whomever wins contracts to complete infrastructure work hires union workers, who in turn pay a prevailing wage.  We'll also see if they give out "no-bid" contracts, and see if Halliburton or Kellogg-Root get all the contracts.

(2) Yes, Ronald Reagan was an actor ... and so are Tom Cruise, Sean Penn, George Clooney and a rather long list of others hated by the right.  As to Reagan's political chops ... he was the best darn speech-written reader this country might have ever had.  And he did it so you almost not see the guy behind the curtain pulling his strings.  He is near the bottom in terms of worst presidents,  though.  Practically every problem currently confronting this country is the result of some program begun in the Reagan administration.   And speaking of socialism ... what's this I hear about alan greenspan and lindsay graham proposing the nationalism of America's banks?  Did the Bushies bring us to a much more dangerous economic spot than anyone has so far let on, prompting even those corporate geezers to introduce the "socialism" word ... or are they such hypocrites that they will abandon one of the lynchpins of conservative economic theory in order to secure a political advantage?  Maybe they just have a trick up their sleeve ... but if this is the case, it sort of goes against the grain of "transparency" and "honesty" and "integrity", don't you think?  I mean, if you trust them, how can you maintain that trust when you never know if they are being straight with you? 

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

(2) Speaking of "corporate keepers" ... how about a post Carter refresher course?

A friend of mine recently attempted to defend Bernie Madoff's "right" to continue living in his exclusive penthouse (and mail off million dollar baubles to his children), saying that he is being tried in the media and until he is actually accused and tried in a court of law for his actions, he is free to do what he wants.  "Guilt by association" is not the American way, he said.  Well, I agreed with that assertion, but disagreed with his conclusion.  I told him that because, unlike those we like to find guilty by association (gor example, Barack Obama ... at least according to the media and to many self-important judges amongst right-wing talking heads ... was "guilty" of all sorts of associations), Bernie Madoff actually did something illegal.

Just as have America's Captains of Finance, all of whom need to repay every "bonus" they were given ... the culture of corruption goes much deeper than Wall Street and Banks.  With the exception of a very few corporate leaders who seem to take a little personal pride and stake in the corporation they head and the goods or services it produces (i.e., Warren Buffett, Bill Gates, Phil Knight, Steve Jobs ... and note that each of these has also earned a vast fortune through their corporations), since at least the 1980s the corporation has become a feeding trough for upper-level management and predatory stock investors.

Oh sure, the corpos do provide goods and services, and they do provide jobs (if not necessarily on U.S. soil) ... but primarily they exist to generate profit that goes to executives and to share holders.  In 2007, the average length that a shareholder held a share of stock was less than a year.  In 1960 it was five years.  No longer do investors really give a flying pineapple about what it is that a company produces or how that product or service meets the needs of a community ... it is an investment (temporary) or a fancy-schmancy ATM machine.  In 1960, the ratio of CEO pay at large companies to that of the president of the USA was about 2:1.  Today, it is 20:1.  In 1980, executives in major corporations earned about 40 times what the average worker in the corporation made.  Last year, CEOs made 360 times more than the average worker.

We know what has happened to jobs ... even that aspect of corporate leadership is a myth.  We know the median income for American workers has declined steadily.  We know that union membership has also declined ... a direct outcome of the war waged against unions begun by Ronald Reagan (stopped enforcement of Sherman Antitrust Act, allowing mergers and consolidation; eliminated huge hunks of the Wagner Act, making it harder to organize unions or protect union members from retaliation). 

Think about the convergence of all these policies ... begun under Reagan and brought to almost complete fruition under the grown up College Republicans under Bush I & II ... and how they have changed the social, economic, and political landscape of America.   Tax reduction on the upper brackets leads to accumulated wealth and a reason to pile riches on wealth; modified and relaxed rules on investment creates whacky and speculative tools and mechanisms for putting all that surplus booty in get-richer schemes that no longer have backing in actual equity; tearing down the regulatory agencies built during the Great Depression to prevent a repeat of the actions that contributed to its cause; a merging of corporate interests and Congressional action through the strengthening of lobbyists who wined and dined and then traded places in an elegant dance of plutocratic control; tougher work-place restrictions makes it harder for unions to ask for (let alone demand) a share of the pie; investment in industrial hardware and/or technology is done off-shore (labor is even cheaper there, the incentives to do so impossible to ignore, and there are no environmental concerns to worry about or pay for); and those who sold us a bill of goods and wrapped themselves in the myth of being "fiscally conservative" borrowed like drunken sailors to pay for their pet projects (allowing the rest of us to fight amongst ourselves over peripheral hot-button issues which they had no serious intention of ever resolving, but which they quickly introduced into the discussion whenever anyone ... or any event ... drew attention too close to what was going on behind the curtain).

And what were those pet projects?  Well, we armed both the Iraqis and the Ayatollah so they could fight each other for about a decade or so, distracting attention from the courting of Saudi Arabia and turning IT into the center piece of our mideast oil cartel; the covert funding of the Taliban (and one of their most proficient trainers ... a Saudi noble named Osama bin Laden) to act as surrogates in our ongoing war with the Soviets, who also served to over-extend Soviet forces (and its treasury) in Afghanistan; "anti-Communist" efforts throughout Latin America, which essentially amounted to taking a stand against all popular movements in the hemisphere and supporting dictators, friendly military commanders, and the death squads they employed in a reign of terror on the native populations of a half dozen countries (at least); and a double-edged sword that euphemistically was called the "war on drugs" and which allowed a heavily militarized DEA to support the previously mentioned dictators and military commanders in suppressing popular movements in those countries accepting "anti-drug" programs (some of which are alleged to include covert support for the drug trade through Panama to southern and west coast port cities ... think about when cocaine suddenly became plentiful AND cheap).  Blackwater in Iraq is not much different than Ollie North's private armies that were funded by arms and drug sales (yeah, right ... he and Poindexter did it on their own) -- all outside the control and/or jurisdiction of Congress.

So ... Ken Lay may not have invented the model, he just happened to be one of those guys who always seems to come along and spoils a "good thing".  Every group, every party, every movement has them (we always haze freshmen ... until someone gets killed from the things we make them do; spring break was always a time of wild women and booze ... until hordes of semi-naked kids riot in the streets after the police turn off the lights; etc.) ... John Thain and all the other notorious leeches who head America's financial and corporate enterprises are part of a larger community and culture of corruption that dates back to the first efforts to privatize governmental services and to shrink government.

RealAmerica
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Report to Whom?

shays wrote '... if you suspect illegal immigrants are working a federally approved contract (or a state contract using ARRA money) then you should report it ...' after referring to www.recovery.gov. What's interesting is that there is no place to report the offenses on recovery.gov. Surprised? Hardly.

shays previously stated '... I will join you in opposing this administration if the American Recovery and Reinvestment Act of 2009 (ARRA) ends up benefiting the bottom line of corporations before it puts people to work ...'. So I am asking him to go to the recovery.gov site and tell his 'story' - that he is concened that e-Verify was dropped from the bill and there is no place on the site to report illegal aliens taking American citizens' jobs and then report the results back here. After all, if e-Verify had remained in the bill, we wouldn't be put in the position of having to report the offenses in the first place.

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America Into Indentured Servitude

Cheap!

RealAmerica

shays
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The site (http://www.recovery.gov) is evolving.  The bill was signed only yesterday, for gosh sakes!  It took the Republican Party 28 years to get us in this mess, so give Barack Obama at least a few months to try to sort it out.  Sheeesh ... maybe one of the biggest problems facing America is the fact that no one is patient about anything, anymore!

But even a brand new site that most likely still has bugs in it to be worked out is fairly transparent and user-friendly.  In fact, it is SO user-friendly that I have to really really wonder about your reading skills, Mr/Ms Real America.  Or maybe it is your computing skills ... you are quite good at cutting and pasting what your ThoughtMasters post for you to cut and paste, but obviously when you visit a new site, you aren't too good at navigating it.  On the right side of the home page, just under the photo of President Obama, are two grayed boxes.  The first one is subtitled "Accountability and Transparency", and links you to some pages explaining how the site works and how you can use it to track where the money is going, how it is being spent, how much of it is being spent, and so on.  Just below that box is another grayed box entitled "Share Your Recovery Story".  This button links to a page where you can (GASP!) report what you see:  "Success" stories, failures, complaints, comments, and any information you want to report about the hiring of illegal immigrants.

So what's your complaint?

How many times in the past has any branch of government or any agencies posted its expense account online, electronically, so anyone in the entire world that is interested can follow along?  And comment!  Sounds and looks pretty transparent to me.

As to e-Verify ... what a crock of propaganda.  The day that an employer gets arrested then jailed and socked with a hefty fine for hiring an illegal immigrant is the day I sit up and notice that any politician actually is trying to do something to address the problem of illegal immigration and undocumented workers.  You guys are all so good about the talk of "personal responsibility" and "taking the consequences of your choices" ... but employers seem to be exempted from those expected character traits, don't they?  Lots of excuses about how easy it is for them to be "fooled" because of something that someone else does, or to be "taken advantage of" ... but then the same apologists turn around and in the very next breath go after schools and hospitals and even fire companies for not first verifying that the kid in the classroom or the guy with the broken leg being patched up is actually a citizen and not receiving public service not paid for (though it IS paid for, unless the worker is paid under-the-table ... and any employer of any repute that pays cash under-the-table is running a somewhat shady operation, to begin with).

RealAmerica
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About e-Verify

shays wrote '... The bill was signed only yesterday ...'.

Yeah, how about that. Obama twists arms to force the Senate to break its rules of having a minimum of 48 hours to read a bill before voting (he gave them 16) because of its urgency, waits 3 days to sign it, then spends a million dollars to fly off to a photo op just to sign the bill. Of course we (meaning: not sheeple) now expect him to break just about every other campaign 'promise' he made to the voters as he gets Congress to break their 'promises' (rules) as well. Sounds ARROGANT to me!

Then shays rags on about misunderstanding the layout of the site in question, apparently not understanding that my 'story' in parentheses (' ') was meant to give him a clue where he could write up the question about e-Verify on the site. So rather than honoring his word when proven wrong, he attempts to debase e-Verify, not realizing that in the past couple of months the owners of 3 restaurants in the Bay Area were tried and convicted on charges of harboring illegal aliens.

The speculation is that e-Verify was pulled from the bill so it could be used as a bargaining chip in the soon-to-come Amnesty II (aka "comprehensive immigration reform"). This is precisely the type of extremely effective enforcement tool Sen.(ior) Kennedy kept out of Amnesty I and crippled in subsequent legislation. Given that it will expire next month, expect shortly to have to call your Congresspersons, AGAIN, to keep them to their promise of 1986 that that would be the last 'amnesty'.

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America Into Indentured Servitude

Cheap!

RealAmerica

shays
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Setting the record straight, here is what you said in the post to which I responded:

shays wrote '... if you suspect illegal immigrants are working a federally approved contract (or a state contract using ARRA money) then you should report it ...' after referring to www.recovery.gov. What's interesting is that there is no place to report the offenses on recovery.gov. Surprised? Hardly.

shays previously stated '... I will join you in opposing this administration if the American Recovery and Reinvestment Act of 2009 (ARRA) ends up benefiting the bottom line of corporations before it puts people to work ...'. So I am asking him to go to the recovery.gov site and tell his 'story' - that he is concened that e-Verify was dropped from the bill and there is no place on the site to report illegal aliens taking American citizens' jobs and then report the results back here. After all, if e-Verify had remained in the bill, we wouldn't be put in the position of having to report the offenses in the first place.

I point specifically to the last part of the first paragraph ... "What's interesting is that there is no place to report the offenses on recovery.gov.  Surprised?  Hardly."

But there IS a way ... a very clearly marked and easy to use way ... to "report offenses on recovery.gov".  I can see or think of no other way to interpret your clear criticism of the site.  The fact that it also projects a mocking tone regarding transparency and responsibility did not escape me, either ... but that (I admit) is a subjective interpretation on my part.  However, the sentence structure and word choice makes it hard to hide the dripping sarcasm.  Perhaps I overreacted, but it was to that sarcasm that I responded.

In that light, when you "ask" me to visit the site and tell my story, I continued to read sarcasm.  Why else would you tell me to do something that you do not believe is possible for me to do?  My "debasement" of E-Verify, as you call it, partly explains why I wouldn't do such a thing, even if I wanted to ... I have no "complaint" (or no "story") to tell ... abut E-Verify or about anything else, so far.  On the other hand, it is YOU who is having the problem with the way things haven't been worked out overnight (30 years INTO the mess, why hasn't the "messiah" gotten us out of it in 30 days), so I have provided you multiple answers to your self-induced traumas ... the way to access the recovery site so you can share your piddling grievances.

I would also point out that I did, indeed, promise to join you in protesting measures that benefit corporations before people.  I have yet to see evidence of that occurring.  I am not sure that the obscure fact that three restaurant owners have been convicted of "harboring illegal aliens" has much to do with either corporate greed (and everything related to that and the hiring of undocumented workers) OR violations of ARRA in favor of corporations.

And finally, I would think that deleting E-Verify from the stimulus bill ... clearly a social issue having nothing to do with tax cuts ... would be EXACTLY the type of proposal that should have been dropped from ARRA.  I can see John Boehner, now, demanding that ALL such legislation be stripped from the bill and saved for future consideration in subsequent legislation, where it belonged.  I am guessing that you would agree, but might make an exception for this particular provision because it is legislation with which you agree.  Unfortunately, John Boehner's party is over and he doesn't get what he wants.  Nor does he get to make the rules anymore.  That's what happen when you suddenly find yourself in the minority.

 

RealAmerica
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Veering Off Course

shays wrote '... Setting the record straight ...'. Seems to me that most of the time your lines veer to the left, and leave us with lighter pockets when they're all said and done. And your circular argument - well we shouldn't provide tools that make it easy for businesses to identify illegal workers because then they would have no excuse for hiring them because we haven't enforced laws against them in the past reminds me of the flow of water in a toilet when flushed. And when the stimulus porkage was sold to us taxpayers, We the People naturally assumed we were going to be the recipients of those jobs. So how does a tool for enforcing labor laws to protect American citizens turn into a 'social issue'?

My bet is that there is no way in Hull that recovery.gov will allow reporting of companies hiring illegal aliens, and that anyone who suggests activating e-Verify as the best way to guarantee that We the People get the jobs 'created' from the stimulus will make Santa's 'bad' list and will be looking at a tax audit in the near future. So rather than take my time for a futile exercise, I offered shays the opportunity to prove me wrong. After all AMNESTY II is on the horizon.

Now, to get back to our lighter pockets, it's interesting to note your emphasis on the porkabus' stated tax cuts. To a man or woman out of work, tax cuts don't mean squat. But hey! How 'bout those plans of GM to take $1B of their bailout funds to open a plant in Brazil? I know $1B is 'obscure' in the '... billions and billions ...' of the porkabus indentured servitude plan (ARRA) but that seems to me to be benefitting corporations more than We the People.

Bottom line - 1. government doesn't create wealth, manufacturing jobs do 2. the problem with socialism is that it eventually runs out of other people's money.

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America Into Indentured Servitude

Cheap!

RealAmerica

shays
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And your circular argument - well we shouldn't provide tools that make it easy for businesses to identify illegal workers because then they would have no excuse for hiring them because we haven't enforced laws against them in the past reminds me of the flow of water in a toilet when flushed. And when the stimulus porkage was sold to us taxpayers, We the People naturally assumed we were going to be the recipients of those jobs. So how does a tool for enforcing labor laws to protect American citizens turn into a 'social issue'?

I have come to the conclusion that you have a severe reading comprehension problem.  I have not yet expressed any objection to E-Verify, as a program (though I have plenty of objections to it, as currently constructed) ... I have limited my comments to the fact that corporations have not ever been held accountable for hiring undocumented workers, and my suspicion that nothing much is going to change in that regards until we start punishing those corporations that do.  You provided examples of a couple of small business owners who were prosecuted ... and that is a step in the right direction; but it in no way addresses the issue of larger concern.  You do realize that the US Chamber of Commerce opposes mandatory use of E-Verify by federal contractors, and its opposition led former President Bush to delay implementation of the federal contractor provisions until May of this year?  I am sure you know that the ACLU also opposes it.

The point here is that opposition to E-Verify cuts across party lines, and is not just a position of liberal Democrats.  It was stripped from the ARRA, as far as I can tell, because of questions regarding its accuracy and efficiency (even the Dept. of Homeland Security admits it is accurate only 96% of the time), and because many states and local governments have not yet signed on, meaning that to impose E-Verify now would mean lots of uncertainty until new systems were created to permit entry of more data.  Because of these issues, it was one of those provisions that gained more support for passage than it lost by elimination.

When government does the hard work of verifying its verification database and E-Verify is applied evenly across the board (instead of voluntarily, instead of only to federal contractors, and instead of mostly to small business), then I will see it as a possible solution.

As to guaranteeing that only citizens or legally documented immigrants receive jobs from the ARRA, that is the responsibility of employers.  If you do not trust employers in their hiring practices (and who can blame you if you don't), then you have the right to monitor them and to report any irregularities that you see (or think you see).  Whether or not anyone will monitor the Recovery.gov site is another issue, altogether.

... anyone who suggests activating e-Verify as the best way to guarantee that We the People get the jobs 'created' from the stimulus will make Santa's 'bad' list and will be looking at a tax audit in the near future. So rather than take my time for a futile exercise, I offered shays the opportunity to prove me wrong.

And, as I have nothing to report, I have no reason to write to Recovery.gov.  I also love how people project their own dark thoughts on others.  Just because YOU would use the tax audit as a way to "get even" (or those whom you have supported for office might use it), so you assume those with whom you now disagree will use it on you.  Here we see how paranoia is born.

Now, to get back to our lighter pockets, it's interesting to note your emphasis on the porkabus' stated tax cuts. To a man or woman out of work, tax cuts don't mean squat. But hey! How 'bout those plans of GM to take $1B of their bailout funds to open a plant in Brazil? I know $1B is 'obscure' in the '... billions and billions ...' of the porkabus indentured servitude plan (ARRA) but that seems to me to be benefitting corporations more than We the People.

The GM "loan" with which they propose opening a plant in Brazil came from the Bush administration, in a package provided exclusively by the Executive branch and the Department of the Treasury after the Congress refused to authorize the loan.  This has nothing to do with ARRA.  The only thing it has to do with the Obama administration is that this proposal comes as part of the restructuring plan GM and Chrysler were required to submit (by the Bush Administration) by February 17.  It now sits with the oversight committee appointed to review the restructuring plan, who will work with both GM & Chrysler to flesh out the final plan.  If you oppose this plan to open a plant in Brazil (which I, too, oppose), then join me in writing letters to Congress and to members of this committee (whom I do not even know who they are, so it will take some work) to express your disapproval.  If you just write letters to me, it may make you feel better, but it doesn't do a darned thing to get what you want.  

A cynic, of course, would say it doesn't do any darned good to write letters, either ... but part of the Barack Obama "miracle" has to do with empowering people to take direct action.  His election is proof that when lots of people actually DO something about what they believe in, they can influence decisions!

RealAmerica
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e-Verify Accuracy

Shays, your number of 96% accuracy is old news, propagated in part by the National Chamber of Commerce, a blatant pawn of the NWO whose agenda includes reducing labor costs for its global corporate handlers with imported slave labor (aka illegal aliens). As for the ACLU (American Communist Lawyer's Union?), one of their larger constituent contributors is the AILA (American Immigration Lawyers Assn). Do ya think they may possible have a monetary motive for supporting the continued importation of an illegal alien workforce?

http://www.cis.org/articles/2008/jmvtestimony051408.html

http://www.uscis.gov/portal/site/uscis/menuitem.5af9bb95919f35e66f614176...

Your absurd statement '... As to guaranteeing that only citizens or legally documented immigrants receive jobs from the ARRA, that is the responsibility of employers ...' makes me wonder why are we paying good tax money for a Department of Labor then?

 

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America Into Indentured Servitude

Cheap!

RealAmerica

shays
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Joined: Jul 2005
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The "Department of Labor" since Reagan (and Clinton did it too) has consisted of largely anti-union, corporate representatives whose experience working with labor was as the opposition.  Reagan gutted the Wagner Act and stopped enforcement of the Sherman Anti Trust Act and has waged a war on organized labor.  One element of this war is cheap, immigration labor.  If it is also illegal, so much the better, because you don't get unions of undocumented workers.  The US Chamber of Commerce is, as you portray, a founder member of the NWO that REPUBLICANS have brought to us (again, with Clinton being the obliging "opposition" and bringing us NAFTA et. al.).  So of course they oppose E-Verify.  The ACLU does not represent undocumented workers who have lost jobs because of E-Verify, they are representing citizens who were wrongly identified as being undocumented (the 4% that is NOT "old news").  The ACLU, from a philosophical bases, has more logs in the fire ... this is because it also supports the rights of undocumented workers because it believes that all people have rights, even criminals, law-breakers, alleged terrorists, and even undocumented workers.

The bottom line is this ... and I find it hard to believe that you find it "absurd".  Employers hire workers.  It is both within their interests to hire the cheapest labor possible (in an old, now discredited model of employment) and to make sure that those whom they are American citizens or properly documented immigrant workers.  These interests conflict ... and you would have to be awful naive to think that all employers scrub their employment rolls regularly because of thorough, accurate, honest, and extensive investigation into the citizenship of those they employ.  A simple law (I always believe "simple" is best) should be on the books and enforced -- when you hire someone, it is your responsibility to verify they are a citizen or an appropriately documented immigrant.  Period.  If you hire undocumented workers, you will pay a major fine and/or serve time in jail.  E-Verify is one way to do this, but it is not a perfected system.  It is scheduled to stop in March, unless it is reauthorized by the Congress.  I recommend reauthorizing it, requiring all states and local governments to add the data that they have to the national database (but only after first updating the records to make sure they are as accurate as possible), for the national database to similarly be verified and cleaned up, and THEN make it a tool for ALL employers to voluntarily use.  As in most things, I prefer choice ... they can choose to use the tool to help them comply with my simple law, or they can comply with the law by using some other system of verification.

With strict enforcement of this law, even border "security" becomes less important.

Meanwhile, you have the power to E-Verify yourself ... all you have to do is go down to the Del Monte plant (or its equivalent, accepting ARRA money) and talk to the employees when they come out to the lunch trucks during break; if you think there is reason to suspect there are undocumented workers, you can log on to Recovery.gov and write up your report.  If you want to be listened to, though, it might be a good idea to submit some convincing evidence along with your accusation(s).

RealAmerica
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That Reading Comprehension Thing ...

shays wrote '... E-Verify, ... wrongly identified as being undocumented (the 4% that is NOT "old news") ...'.

Let's see. 100% - 4% = 96%, as shays stated in his original article. Yet the two references provided show 98%+ accurate in May, 2008, and the USCIS site states '...  99.5 percent of all work-authorized employees queried through E-Verify were verified without receiving a Tentative Non-confirmation (TNC) or having to take any type of corrective action....'

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America To Their Corporate Keepers

Cheap!

RealAmerica

shays
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In an argument, a person can use limited sources ... or sources that support their line of reasoning ... and "prove" that they are correct.  This is the general approach used by advertisers (recall your "propaganda techniques" from Civics class), by those hired by Big Tobacco to discredit the science linking nicotine to cancer, by those hired by Big Oil to discredit the science linking climate change to human activity, and by just about any sophomoric persuasive essay writer in the country.  I looked at your sources, I read what an advocate for E-Verify had to say (CIS) and I read what the Department of Homeland Security had to say.  I then looked for the conflicting reports.  Here is what I found:

The "94%" figure comes from a DHS memo published on May 16, 2008.  In that "study", an unidentified reviewer hired by DHS randomly selected 1000 folks who had voluntarily enrolled in E-Verify.  Of those thousand, 942 were instantly confirmed as matching the Social Security databases.  That's 94.2%.  Five more went to SSA and cleared up the clerical errors in their records and became verified within the eight days allowed by law.  Now, 94.7% have been matched.  DHS concludes that the remaining 53 who walked away and didn't come back must have been illegal workers ... which it says is a good thing.

There is, of course, no way for anyone to tell whether those 53 were illegal or not.  The SSA, itself, reports a 4.1% error rate in its databases.  This means, for those interested in math, that for every 25 perfectly legitimate and legal American citizens who are checked through E-Verify, at least one will be rejected.  The ease with which they can clarify the clerical errors at SSA depends on a number of factors, including (but not limited to) the nature of the error(s), where they occurred, and how long they have been on file.  

The Christian Monitor (a liberal and corporate hotbed of immigration protectors) reports (July 7, 2008) that the Social Security System is fraught with errors, which is the source for most of the errors for E-Verify (http://www.csmonitor.com/2008/0707/p02s01-usgn.html ).  It furthermore reports that at least half the contractors using E-Verify are not abiding by its rules designed to protect those who do not receive an instant verification match.

I also said, in my previous comments, that another problem with E-Verify is that many state and local governments do not participate in E-Verify ... many more similar errors to those already in the SSA database will be added to a system when all levels of government are involved.  Well, here's some additional information for you.  As of today, only 12 states require employers to use E-Verify, in some form, and 4 more have pending legislation requiring at least partial use.  Of the 12 requiring some use, three require ALL employers to use E-Verify (Arizona, Mississippi and South Carolina).  This means that 38 states have no E-Verify requirements, at all, and are not considering enforcing them, and 46 states do not require all employers to use the system.

Do you trust the GAO?  A GAO Report issued on June 10, 2008 entitled “E-Verification: Challenges Exist in the Implementing the Mandatory Electronic Employment Verification System” (http://www.gao.gov/products/GAO-08-895T) evaluates the accuracy of E-Verify as follows:

According to USCIS, under the current voluntary program the majority of E-Verify queries entered by employers--about 92 percent--confirm within seconds that the employee is authorized to work. About 7 percent of the queries cannot be immediately confirmed as work authorized by SSA, and about 1 percent cannot be immediately confirmed as work authorized by USCIS because the employee information queried through the program does not match information in SSA or DHS databases. With regard to SSA tentative nonconfirmations, USCIS and SSA officials told us that the majority of erroneous tentative nonconfirmations occur because employees' citizenship or other information, such as name changes, is not up to date in the SSA database, generally because individuals have not contacted SSA to update their information when changes occurred.

The report also concluded:

A mandatory E-Verify program would necessitate an increased capacity at both U.S. Citizenship and Immigration Services (USCIS) and SSA to accommodate the estimated 7.4 million employers in the United States. According to USCIS, as of April 2008, more than 61,000 employers have registered for E-Verify, and about half are active users. Although DHS has not prepared official cost figures, USCIS officials estimated that a mandatory E-Verify program could cost a total of about $765 million for fiscal years 2009 through 2012 if only newly hired employees are queried through the program and about $838 million over the same 4-year period if both newly hired and current employees are queried. USCIS has estimated that it would need additional staff for a mandatory E-Verify program, but was not yet able to provide estimates for its staffing needs. SSA has estimated that implementation of a mandatory E-Verify program would cost a total of about $281 million and require hiring 700 new employees for a total of 2,325 additional workyears for fiscal years 2009 through 2013.

[Sounds like stimulus to me … if you agree that creating government jobs (a bigger bureaucracy, that is) is a good form of stimulus]

Now, I am not opposed to electronic systems to help facilitate record keeping, and I have no true reservations about large databases that are maintained on every American citizen, although how such systems are used starts to make me a little nervous.  I would like to make sure that if such databases exist, that there are safeguards designed to protect against abuse.  I also am very skeptical about such systems being connected to the police.  That said, I have no real concern for the limited use of matching a work applicant to a verifiable Social Security Number.  But before such a system is put into place, someone has to do the unavoidable job of scrubbing and cleaning all the records. 

This is why I am happy that E-Verify, as a condition for accepting stimulus money under ARRA, was put on hold.

RealAmerica
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Joined: Sep 2006
Current Posts: 1158

Open the Spigots!

The Democrans are making the most of being handed the checkbook. Here is a sample of the proposed pork -

  • $59 million for Pacific salmon research
  • $5.8 million earmark for the “Ted Kennedy Institute for the Senate . . . for the planning and design of a building & an endowment”
  • $5.02 million for salaries at the Sugarbeet Disease and Oncology Labs (from Sen. Carl Levin)
  • $2.19 million for the Center for Grape Genetics (from Sen. Chuck Schumer)
  • $2 million for the promotion of astronomy in Hawaii
  • $1.79 million for swine odor and manure management
  • $1.76 million for a honeybee laboratory (from Texas Rep. Chet Edwards)
  • $1.04 million for fighting troublesome crickets in Utah
  • $819,000 for Catfish Genome Mapping (from Alabama Republican Richard Shelby), much of which could end up at my Alma Mater
  • $500,000 for a Senate “pilot program” designed to better make use of mass-mailing postcards
  • $500,000 for a fruit fly facility in Hawaii
  • $473,000 for the National Council of La Raza (from Sens. Bingaman and Menendez)
  • $400,000 for educator training designed to curb bullying at schools
  • $331,000 for research in shellfish technologies (from Virginia Sen. Jim Webb)
  • $254,000 for the Montana Sheep Institute
  • $238,000 for education programs at the Polynesian Voyaging Society
  • $209,000 for improvement of blueberry production and efficience (from Georgia Republican Saxby Chambliss)
  • $200,000 for a “Tattoo Removal Violence Prevention Outreach Program”
  • $190,000 for the Buffalo Bill Historical Center
  • $162,000 for rodent control in Hawaii
  • $143,000 for the expansion of natural history programs at a Las Vegas history museum (from Sen. Harry Reid)

Any one of these items would pay off my mortgage with money left over.

Feinstein, Boxer, Pelosi, Miller, Tauscher -
Selling America To Their Corporate Keepers

Cheap!

RealAmerica

shays
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Interesting list:  From where does it come?

I reserve the right to add more when you tell me what these items are attached to.  But, until then, let's agree that each of these proposed appropriations should be presented and voted on separately and independently!  Some seem reasonable; some might be either reasonable or unreasonble, depending upon how they are enacted or detailed out; while others appear relatively frivolous.  Unfortunately, it looks like "business as usual", rather than change we can believe in.

RealAmerica
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Do As I Say, Not As I Deux

shays wrote '... Interesting list:  From where does it come? ...' in response to the 'Open the Spigots' article which references the recent spending bill before Congress.

http://www.contracostatimes.com/nationandworld/ci_11817647

I liked the Jedi Mind Trick rationale provided to soothe the Obamabots - '... "First, this is a $1.7 trillion deficit he inherited. Let's be clear about that. We inherited this deficit and we inherited $4 trillion of new debt," Emanuel said. "That [sic] is the facts." ...'. And you can't miss the irony in another quote in the article ... well, we're gonna change ... yeah, right after we get these last 9000 earmarks passed.

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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I am not going to rationalize or justify this spending bill. I agree with you ... it is wrong and the earmarks should be eliminated.  If it is a sign of what happens with the next budget bill, then I will be disallusioned.  But it IS an emergency spending adjustment and is proposed as an effort to cover shortfalls created in the last budget by the wholesale failure of Bushonomics.  Maybe holding our collective noses is the best we can hope for until the next go around.  We'll just have to wait and see.

backrow
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..with his maleable "living" Constitution.  Our boy Shays.  A tapdancing, obfuscating 'recipient' who when exposed...he says its "the best we can hope for".  Aging hippies like Shays don't worry me.  It's our "nuanced" petit bourgeoise, ignorant of the source of their wonderful station, and  the genius of America's Founders.  All more vulnerable with a blindness to the cataclysmic history of socialism.   These politically vapid bourgeoise when alarmed or wanting to be "popular" have historically opened the door for politcal Masters/Monsters of the Left.  Those who will ..."fix everything" and make it all "equitable" ...if we just hand over more and more of our efforts and liberty to them.    And when the tipping point is reached.... they won't ask...they will demand.   Familar?   

The fruit of the public's labor has always funded government...but they want you to believe it can be the other way round.  That math is broken.

 Every single day the CC Times insinuates that we cannot survive without more and bigger Government.   For these bright folks the purpose of our work and investments is to serve benevelant government.   Not the other way round as so many of us thought.   Teach your kids The Government has No money to give away.  It only has the power to take yours.   And that power and thirst is ever expanding.  (In Lincoln's time the slaves were freed.  In Obama's time their is the ambition to enslave .  "Its for our own good, we're the experts"

Notice how often the rhetoric and titles of the Left are the exact opposite of what they offer.  Exactly the case in those countries that were named "The People's Republic".... where the "people" were in fact cattle for the elite nomenklatura.

 

 

shays
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Backrow throws around quite a few exotic terms and gives the impression of engaging in intellectual debate, but since it appears he has not whit of understanding regarding their meaning, all we get is a bunch of loud puffery.  The United States of America was founded, primarily, by the petite bourgeoisie with strong support from the landed aristocracy and landholding yeoman farmers.  They knew very well how to keep big business (i.e., the East India Company and its copiers) in line ... a responsibility surrendered with the victory of the Industrial North over the agricultural South and then sold-out in the deals putting Rutherford B Hayes in the White House.  The industrial revolution strengthened the size of the proletariat and the capitalist class, and the middle class essentially disappeared until after the end of the Second World War.  One of two things happen when capitalism is unfettered (by such inconveniences as tight regulation ... such as was practiced in this country prior to 1870):  wealth and power is increasingly centralized in fewer and fewer hands while interests of the corporate/business elite converge with that of government and some form of state corporate socialism emerges (which resembles feudalism, in many ways) OR wealth and power overextends its reach and the entire system collapses when the capitalist and financial classes no longer extend credit to sustain the system.

Big Government not only saved and resurrected the middle class after WWII, but it also saved capitalism.  FDR was offered power similar to that exercised by Mussolini (a lot of Republicans and many conservative Democrats of the time greatly admired the corporate state Mussolini had created), but turned it down.  Instead, he used the government and the Treasury of the United States to do what financiers and capitalists could not do and would not do ... invested in long-term projects that put people to work (earning capital to spend, which in turn re-stimulated investment in consumer manufacturing and the production of goods and services that common people could afford).  And he didn't stop there.  He used government to provide important services (and equally important safety nets when those services did not work) to the petite bourgeoise and the working class that served to create the largest middle class the world had ever seen.

My dad is an excellent case in point.  A working class lad who surrendered his commission in the Merchant Marine to enlist in the Navy (the Navy fought back, he told me), he took full advantage of the programs and services Big Government offered him when he left the service in 1946.  I grew up in a middle-class southern California subdivision created, funded and supported ... in every single sense of the word ... by Big Government.  By the time I was college age, Big Government still served the needs of upwardly mobile people seeking admission to the middle class.  I enrolled in a state college in 1966, and paid a $14 student fee for the first semester.  The fees went up a little each year (though never exceeded $100), and college education in California was essentially free.  That is, until Ronald Reagan became governor.  He declared war on the University of California, implemented policies that made it more exclusionary and favoring the upper classes, and began his life-long war against the middle class -- especially a broad, well-educated middle class that was fully capable of enunciating opposition and resistance to his elitist, corporate philosophy.

A burgeoning middle class -- a petite bourgeoisie, as Backrow would have it -- is always trapped between the proletariat and the bourgeoisie itself.  Members do not really own the means of production, except in a very limited sense, and often work right alongside their employers.  Some group professionals in the petite bourgeoisie, as well ... who most certainly do not own or control the means of production.  As a result, while government indeed takes some of the money people earn, most of the wealth they create goes instead to those who own the means of production.  In short, Backrow's contention that "The fruit of the public's labor has always funded government..." is in part correct (because, as all good catechism reciting conservatives will tell you, "government cannot create wealth").  But only in part, since everyone pays to support the programs and policies that government operates.  The real truth of the matter is this:  the fruit of the public's labor creates the wealth that those in power increasingly concentrate in their own hands, rather than sharing it with those who created it.

That has not changed one whit.  What Ronald Reagan and the practitioners of voodoo capitalist economy did was turn capitalism on its head.  Rather than regulate practices and products (a major and essential function of government in a free, democratic republic), they turned the owners and their managers loose.  Regulated practices and products produce a fairly healthy society, but deregulation and legislation/policies implemented to benefit only the upper classes work to concentrate wealth and power into the hands of those given the benefits.  Taxes cut for the wealthiest do not go back into business, and do not create new jobs ... that happens only in theory.  What happens in the real world is that surplus capital is invested in places where expenses are smaller (so profits are bigger) -- which is overseas, especially after negotiating "free-trade" agreements that make it lucrative to do so.  Surplus capital is invested in third and fourth homes, in exotic automobiles, in boats, and in other fantastic consumer goods that are befitting our kings of commerce.  Or, surplus capital is invested in what essentially amount to ponzi schemes (some more legal than others, depending on the nature of deregulation) with the intention of doubling or tripling (or even better) the initial investment.

This accumulation and stashing of incredible amounts of wealth (between 2001 and 2006, America's richest 15,000 households doubled their annual income from $15,000,000 to $30,000,000) can only be done by people who have completely lost sight of the rest of society.  Oh, they may lighten their hearts and attempt to save their souls by being philanthropic (though doing so also provides another great tax break), but doing so does not change the balance of power (political, economic AND social) any single way.  And there are two other things that make these phenomenally wealthy individuals even bigger parasites than they are.  (1) If they just minded their own business and played hoi-polloi inside the closet, that would be no big deal; however, they have insisted on seizing the reigns of government and so exert incredibly unequal influence over legislation and policy ... most of it directed to furthering their own interests at the expense of everyone else.  (2) They are extracting the life soul of the rest of the country to secure their own fabulously wealthy life-styles ... there are always those willing to hang on to their coattails and serve the whims of their masters, taking bullets for them and doing the dirty work that must be done in the hopes of receiving a larger share of the wealth that falls down from above onto the loyal servants, while everyone else (roughly 95% of the population) sink lower and lower into the abyss of poverty, uncertainty, umemployment or living from check-to-check in the hopes that somehow things will get better.

Barack Obama promised an end to this charade.  We haven't quite hit bottom like we did in 1932, but we're close.  He has promised fundamental change.  He offered a stimulus plan that most economists felt was not big enough to address the grave weaknesses of our financial and manufacturing industries, and then had to cut it back to try to gain the support of those who feel we all need to go down and sink with the economic Titanic that their philosophy created.  He even had to accept tax CUTS into the stimulus package, even though tax CUTS have not provided one iota of job creation in the last six years.  Because the "small-government", no-new-taxes gang destroyed the economy and drove us an estimated $10.5 trillion in debt ... there is no way to get OUT of the mess we are in until we get the banks to start lending money again and someone starts putting people to work.  No major manufacturer is putting people to work (in fact, they are laying people off in record numbers).  No major bank is lending money to manufacturers so they can put people to work.

The corporate system is dead!  The corporate socialist state is dead.

There is nothing wrong with people starting businesses that meet people's needs, but it is time for corporations to stop creating needs so they can sell stuff to people.  It is time for corporations to serve people rather than for people to serve corporations.  Any corporation that does those things, and does it well, will probably make a profit.  This would be good.  There is nothing socialistic in those premises.  

Nor is there any socialism in the effort to get the banking and financial sector back on its feet.  If anything, there is too much hemming and hawing because too many people cry "socialist" at the first sign of government intervention (just as Republicans cried 'socialist' over Hillary's health care proposals, and then set solving the health crisis back another 15 year!).  To get there, Barack Obama SHOULD be taking over banks.  There are many ways to do it.  One model is provided by the FDIC, which can intervene to help most commercial banks.  Even though some of those same foolish people complain that when the FDIC seizes a failing bank, that is a form of socialism, that is hardly what happens.  The PEOPLE do not become the owner of the bank, and do not get to make decisions about who is to run it or how it should be run.  The FDIC does.  Normally, what it does is one of three things (or even all of them) ... it can close the bank and pay off depositors' up to the maximum limits provided by law (worse case scenario, a percentage of those limits), it can continue to run the bank itself, or (preferred) it finds a buyer for the bank.  The money used for these actions comes from fees collected from the banks themselves ... it is not taxpayer money.  The US government should be doing the same thing with the CitiGroups and Bank of Americas of the world, though no financial institution can ever become so large again.

So Backrow cries "socialist", when nothing even closely resembling socialism is being proposed (and it hides the fact that the system HE prefers is state socialism ... corporate socialism ... i.e., fascism).  He ambiguously decries the "cataclysmic history of socialism" in an effort to raise the stalwart flag of fear and uncertainty that has served the right so well for over a hundred years.  He is so deluded by his myths (or possibly so enamored of his mouthpieces that speak through him) that he does not recognize that what Barack Obama is actually proposing is regulated capitalism as the solution to our economic crisis ... a system that worked just fine from 1789 to about 1845 or 1850, and then again from 1932 to 1980.  By associating regulated capitalism with socialism, Backrow demonstrates that the right has not a single answer (when, in fact, conservatives everywhere ought to be quite pleased with a fair and balanced set of rules to govern the production of goods and services).

RealAmerica
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Thousands at Florida Tea Party

And up to a 1,000 Tea Parties are planned for Tax Day (Apr. 15).

http://www.cfnews13.com/News/Local/2009/3/21/thousands_rally_against_sti...

I'll Keep My Freedom -

You Keep The Change

RealAmerica

RealAmerica
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Quadrillions?!

The following link points to an article that goes far toward supplying the explanation so obviously missing from our government of the source of this global financial meltdown. Millions of dollars are one thing, billions another, and even trillions are being thrown around. But $1.5 QUADRILLION? That's a thousand trillion! That's the bottom of the well we're trying to fill by selling our grandkids into financial servitude.

http://www.rense.com/general85/freeze.htm

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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I seldom find myself in agreement with the things you post for us to read, but by and large I can only nod my head at this one.  The tone is a bit inflammatory and and doomsday scenario a bit overdrawn, but basically it's spot on.  The people who should pay for the financial mess we are in are the people who created it.  Government should take over the institutions.  Not to run them (I have as little faith in Mr. Geithner as I did for his most recent "boss", Hank Paulson), but to dismantle them.  Seize whatever assets they still possess before they throw them away, too.  Release all current managers and offer them no severances or bonuses or stock options or any other benefits, reserving the right to confiscate whatever real property or liquid assets might be demonstrated through honest, transparent, and thorough investigations to have been acquired through their shady activities.  Freeze or otherwise dispose of the toxic assets.  Restructure the institutions and then sell them to honest, fiscally conservative new investors.  Reinstate tight regulation and control that never should have been abolished.

I cannot help but point a finger or two.  Ronald Reagan was NOT a conservative, and Ronald Reagan was not a hero.  We are sowing the harvest of Ronald Reagan's policies.  May they be forever discredited.  To quote the source itself (rense.com):

Derivatives were illegal in the United States between 1936 and 1983. In 1933, an attempt was made to corner the wheat futures market using options, and the resulting outcry led to a 1936 federal law banning such options on farm commodity markets. This ban was repealed by the Futures Trading Act of 1982, signed by President Reagan in January 1983. During the G.H.W. Bush administration, Wendy Gramm of the Commodity Future Trading Commission went further, promising a "safe harbor" for derivatives. Despite the key role of derivatives in the Orange County disaster during the Clinton years, a valiant attempt by Brooksley Born of the CFTC to make derivatives reportable and subject to regulation was defeated by a united front of Robert Rubin, Larry Summers (today running US economic policy), and Greenspan. Despite the central role of $1 trillion of derivatives in the Long Term Capital Management debacle of 1998, Phil Gramm's Commodity Futures Modernization Act of 2000 guaranteed that derivatives, notably credit default swaps, would remain totally unregulated. These pro-derivatives forces must bear responsibility for the current depression, and those still in power must be ousted

RealAmerica
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If This Doesn't Make You Mad ...

then you must either be dead or in a coma. This is a reprint of an uncorroborated email of how the banks became so profitable in Jan. and Feb. of this year. I suggest you make yourself a cup of tea before you read this ...

AIG was responsible for the banks January and February profitability
Zero Hedge blog ^ | March 29, 2009 | Tyler Durden

Posted on Sunday, March 29, 2009 5:38:34 PM by oldtimer2

Exclusive:

AIG Was Responsible For The Banks' January & February Profitability

 

Posted by Tyler Durden at 6:35 PM

Zero Hedge is rarely speechless, but after receiving this email from a correlation desk trader, we simply had to hold a moment of silence for the phenomenal scam that continues unabated in the financial markets, and now has the full oversight and blessing of the U.S. government, which in turns keeps on duping U.S. taxpayers into believing everything is good.

I present the insider perspective of trader Lou (who wishes to remain anonymous) in its entirety:

"AIG-FP accumulated thousands of trades over the years, all essentially consisted of selling default protection. This was done via a number of structures with really only one criteria - rated at least AA- (if it fit these criteria all OK - as far as I could tell credit assessment was completely outsourced to the rating agencies).

Main products they took on were always levered credit risk, credit-linked notes (collateral and CDS both had to be at least AA-, no joint probability stuff) and AAA or super senior portfolio swaps. Portfolio swaps were either corporate synthetic CDO or asset backed, effectively sub-prime wraps (as per news stories regarding GS and DB).

Credit linked notes are done through single-name CDS desks and a cash desk (for the note collateral) and the portfolio swaps are done through the correlation desk. These trades were done is almost every jurisdiction - wherever AIG had an office they had IB salespeople covering them.

Correlation desks just back their risk out via the single names desks - the correlation desk manages the delta/gamma according to their correlation model. So correlation desks carry model risk but very little market risk.

I was mostly involved in the corporate synthetic CDO side.

During Jan/Feb AIG would call up and just ask for complete unwind prices from the credit desk in the relevant jurisdiction. These were not single deal unwinds as are typically more price transparent - these were whole portfolio unwinds. The size of these unwinds were enormous, the quotes I have heard were "we have never done as big or as profitable trades - ever".

As these trades are unwound, the correlation desk needs to unwind the single name risk through the single name desks - effectively the AIG-FP unwinds caused massive single name protection buying. This caused single name credit to massively underperform equities - run a chart from say last September to current of say S&P 500 and Itraxx - credit has underperformed massively. This is largely due to AIG-FP unwinds.

I can only guess/extrapolate what sort of PnL this put into the major global banks (both correlation and single names desks) during this period. Allowing for significant reserve release and trade PnL, I think for the big correlation players this could have easily been US$1-2bn per bank in this period."

For those to whom this is merely a lot of mumbo-jumbo, let me explain in layman's terms: AIG, knowing it would need to ask for much more capital from the Treasury imminently, decided to throw in the towel, and gifted major bank counter-parties with trades which were egregiously profitable to the banks, and even more egregiously money losing to the U.S. taxpayers, who had to dump more and more cash into AIG, without having the U.S. Treasury Secretary Tim Geithner disclose the real extent of this, for lack of a better word, fraudulent scam.

In simple terms think of it as an auto dealer, which knows that U.S. taxpayers will provide for an infinite amount of money to fund its ongoing sales of horrendous vehicles (think Pontiac Azteks): the company decides to sell all the cars currently in contract, to lessors at far below the amortized market value, thereby generating huge profits for these lessors, as these turn around and sell the cars at a major profit, funded exclusively by U.S. taxpayers (readers should feel free to provide more gripping allegories).

What this all means is that the statements by major banks, i.e. JPM, Citi, and BofA, regarding abnormal profitability in January and February were true, however these profits were a) one-time in nature due to wholesale unwinds of AIG portfolios, b) entirely at the expense of AIG, and thus taxpayers, c) executed with Tim Geithner's (and thus the administration's) full knowledge and intent, d) were basically a transfer of money from taxpayers to banks (in yet another form) using AIG as an intermediary.

For banks to proclaim their profitability in January and February is about as close to criminal hypocrisy as is possible. And again, the taxpayers fund this "one time profit", which causes a market rally, thus allowing the banks to promptly turn around and start selling more expensive equity (soon coming to a prospectus near you), also funded by taxpayers' money flows into the market. If the administration is truly aware of all these events (and if Zero Hedge knows about it, it is safe to say Tim Geithner also got the memo), then the potential fallout would be staggering once this information makes the light of day.

And the conspiracy thickens.

Thanks to an intrepid reader who pointed this out, a month ago ISDA published an amended close out protocol. This protocol would allow non-market close outs, i.e. CDS trade crosses that were not alligned with market bid/offers.

The purpose of the Protocol is to permit parties to agree upfront that in the event of a counterparty default, they will use Close-Out Amount valuation methodology to value trades. Close-Out Amount valuation, which was introduced in the 2002 ISDA Master Agreement, differs from the Market Quotation approach in that it allows participants more flexibility in valuation where market quotations may be difficult to obtain. Of course ISDA made it seems that it was doing a favor to industry participants, very likely dictating under the gun:

Industry participants observed the significant benefits of the Close-Out Amount approach following the default of Lehman Brothers. In launching the Close-Out Amount Protocol, ISDA is facilitating amendment of existing 1992 ISDA Master Agreements by replacing Market Quotation and, if elected, Loss with the Close-Out Amount approach.

"This is yet another example of ISDA helping the industry to coalesce around more efficient and effective practices, while maintaining flexibility," said Robert Pickel, Executive Director and Chief Executive Officer, ISDA. "The Protocol permits parties to value trades in the way that is most appropriate, which greatly enhances smooth functioning of the market in testing circumstances."

And, lo and behold, on the list of adhering parties, AIG takes front and center stage (together with several other parties that probably deserve the microscope treatment).

This wholesale manipulation of markets, investors and taxpayers has gone on long enough

Obama, Feinstein, Boxer, Pelosi, Miller -
Selling Out America's Middle Class - CHEAP!

RealAmerica

RealAmerica
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Fox News Covering Tea Parties

They kind of bungled the message not to send the tea, but a picture of the tea or the tag. But it's a start by acknowleging the upcoming parties on the 15th.

http://www.foxnews.com/video-search/m/21987071/a_2009_tea_party.htm

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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Ah, Fox News ... the self-admitted "fair and balanced" network of the opposition.

RealAmerica
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Social Security Surplus ... GONE!!

As I predicted some time ago, the two remaining 'treasures' of the Baby Boomers were going to be targeted. The loss of equity in homes was first to go. Now Social Security is gone as well. No, this is NOT AN APRIL FOOL'S JOKE! Social Security now is only receiving just enough funds to cover current payouts, and the Baby Boomers are just starting to arrive.

http://moneynews.newsmax.com/streettalk/social_security_surplus/2009/03/...

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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No, this is not good news ... and yet another unsuspected (at least unsuspected from the majority of Americans) outcome of letting the Republican Party dismantle the regulatory elements of government.  Again, I question your source, as the story was first reported by the Congressional Budget Office and picked up by several news outlets ... many providing much more background and balance that newsmax provided -- quoting, as it did, one conservative lawmaker and a spokesperson from the American Enterprise Institute (an organization up to its neck in complicity with the new world order).  The Social Security Trust Fund, and the tremendous profit it generated through interest, was first discovered by Ronald Reagan, who began borrowing heavily from it to mask just how much he was borrowing from everyone else to finance his illegal activities all around the world.  Every president since then has done the same ... all assuming that someone, at some time, would start paying back what was being borrowed.  HAH!

As the evidence accumulates and it becomes patently obvious from where every single problem currently  confronting this country originated (either through acts of commission or acts of omission), we are going to have to reevaluate the legacy of the Great Communicator.  Assuming we make it through this blip, he will take a place near the top of the all-time most disastrous Presidents we have been foolish enough to elect.

RealAmerica
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Looting Social Security

Contrary to shays' whining, the Democrans had a chance to join Republicats in isolating Social Security surpluses from the budget process. The Democrans, including Obama, voted en bloc against the proposal because it had a pre-funding provision in the amendment. The Democrans took that as 'privatization' of Social Security, which would not necessarily have been the case had they listened to officials from the Treasury. At some point he proposed a Working Families Savings Accounts plan, which looked a lot like the pre-funding he voted against.

http://www.treas.gov/press/releases/reports/ss_issuebrief_no.4.pdf

http://www.ontheissues.org/SenateVote/Party_2007-089.htm

As you can see, Obama was all talk and no walk except for the instance above.

http://www.ontheissues.org/2008/Barack_Obama_Social_Security.htm

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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I fail to see the "whining" in the post to which you respond.  I point out that ALL Presidents, since Reagan, have made a habit of raiding the SS Trust Fund in order to make their budgets look healthier than they really were.  I questioned your source, but that's not whining ... what you were doing was using the pot who called the kettle black as your primary painter.

Democrats opposed the Bush Treasury plan because it contained not-so concealed provisions to privatize social security in its pre-funding proposals, and actually was an end-around by Republicans to achieve one of Bush's primary domestic initiatives -- end Social Security.  Good for them, and good for Independent Bernie Sanders; good also for Olympia Snowe and George Voinovich!  

Bad, however, for persistent and sneaky depletion and non-repayment of all that money borrowed from the SS Trust Fund by Reagan (seven years), George HW Bush (four), Bill Clinton (eight), and George W Bush (eight).  That's a heap o' money that might still be there to keep SS from the self-fulfilling insolvency long predicted (and probably hoped for) by anti-New Dealers, beginning with Reagan.

Honesty3
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Hi Wiley/Clayton/CaptainAmerica your colorful slogans and signs give you away every time. Oh, I forgot to mention that you usually have zero reputable reference sources and you are incapable of any rational logic. Other than that you are a real nice guy.


HURRAH FOR THE RED WHITE AND BLUE AND

RADICAL RIGHT WINGNUTS

Honesty3
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The heroes that the only RealAmerican here worships are also known as the "neocons". One of their stated goals has always been to deprive the governmentt of any funds to accomplish what needs to be done to govern a world class nation like America. Reagan started the process by draining the coffers of the Social Security fund and his illegal embezzlement actions were imitated by Bush I, Clinton and Bush II. Just because the President does it does not make it legal.  Now we have all of the really wild claims being screamed by the very propaganda organs who worshiped at the alter of Bush/Rove/Cheney. And after an incredibly long period of eight weeks in office we can clearly see that all of the problems of the past half century were caused by our current President.

We sure are lucky to have Leathernecked RealAmericans Snorkeling at the top of their cigar smoke stained lungs that they saw all of these financial problems coming at the same time they were supporting an illegal war that has cost trillions of dollars. It is fun to look at all of their really long and inaccurate ramblings on these boards. After all times are tough and we all need a good laugh from time to time.

Keep it up fellows I will visit from time to time when I need a laugh.

RealAmerica
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Obamanomics Review

Say! How ARE those Obamanomics working out for U.S.?

Household personal income (inflation adjusted) rose but every penny - and then some - went into savings or paying down debts. Consumer spending, on which Obama is betting to stimulate the economy, actually fell. None of the stimulus money was sent. None.

http://www.dickmorris.com/blog/2009/06/03/the-failure-of-obamanomics/

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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Current Posts: 1715

I would argue that one of the primary causes for economic meltdown (besides unregulated lending practices) was the fact that by 2007, the ratio of personal debt to personal savings in this country stood at about 133%.  Higher debt and declining savings creates an unsustainable economic system, because there is an upper limit to how much debt households can afford to pay off.  The increasing rate of foreclosures and bankruptcies is but one example of this paradigm.

When carried out at a systemic level (as opposed to averages of individual incomes), and applied across almost all sectors of the economy, the long-term outcome is one where the entire system collapses on itself.  We saw this beginning to happen as early as 2003 and 2004, when unconscionable tax breaks were given to the wealthiest Americans who then were attracted to the lucrative market of speculative financing, rather than investing in domestic manufacturing and production.  Full-time employment began its nosedive in this period, and only accelerated as the economic situation grew more dim.  To make matters worse, income stagnated and even fell for middle- and lower-middle class working families.  And yet, at the same time, inflation continued its steady, if low rate, of increase.  Families had no alternative in the dismal economic environment but to extend credit limits even further, just to tread water.

Administration officials and savvy Congressional leaders, of course, knew this was happening.  Certainly executive officers of the major financial corporations and industrial conglomerates could see the writing on the wall (unless they are really, really stupid … that's there area of expertise, is it not?).  But gloomy economic forecasts never make for good air-time.  Additionally, politicians are always concerned that when people are told the truth, the truth will cause them to "panic", or to act "irrationally" (i.e., throw incumbents out of office).  So we were bombarded with "official" statistics and constant chatter about the "fundamental health" of the economy, the "growing" employment statistics (manipulated to disguise the growing unemployment rate, or more insidiously, the even faster growing under-employment rate), and astoundingly large (and obscene) profit margins from key industries.

The only way back on track is to put an end to the economic model of "sustained growth".  Infinite growth in a finite world is impossible.  People can only buy so many new cars, washing machines, computers, lawn chairs, and flat-screen televisions; tennis shoes, levis (clothing, in general), books and other commodities need to be replaced more frequently, but even they have upper limits to what can be consumed by individual households without further extending that debt/savings ratio.  We need to return to a cash-only basis, and a system in which credit is extended for short-terms, only (like one month).  We should have learned that an entire system based on the creation of artificial need through application of relentless and omnipresent advertising and marketing strategies, supported by "easy" credit availability and "affordable terms" is socially self-destructive … even if it brings lucrative riches to small groups within the society.

The "Stimulus Plan" has not had time to work.  Dick Morris is a dissembling jerk for pretending that it could.  He knows better.  American citizens understand that they cannot continue to buy today's superficial happiness and material satisfaction with tomorrow's income (which, as history shows us, is not coming).  So yes, the small increases in their paychecks … which didn't begin for many until MAY (not April, as Mr. Morris asserts) … are currently not being spent.  Nor will they be spent until people feel they have enough money to afford to purchase NECESSARY items.  Of course, if we can put more people to work than those who lose their jobs, that would also help.  The ARRA money designed to stimulate infrastructure work is just now being put to use.

In short, Dick Morris is a partisan zealot who is quick to proclaim "failure" before any of the evidence is actually in.  The LAST thing we need during a recession (which still may become a depression) is for people to start calling for a restoration of the crazed "supply-side" theories that brought us to the edge of economic collapse.  To not reign in debt (personal and institutional) and then vigorously regulate those who offer it would be to put our blinders back on and rekindle the cycle of boom and bust that the Reagan Revolution reestablished in this country.  Unfortunately, somehow the current debt must be addressed.  This means increasing income for low-income earners through stimulation, public works' projects, and governmental spending.  It also means, in the long-term, the stimulation and recreation of massive domestic production capabilities.  We must once again become the world's largest producer of goods and services (a rank we held before Reagan came to office, and one in which we have since descended to essentially third world status).  I know it sounds self-contradictory, but to end the over-reliance on debt and usury (which should immediately be made illegal), the government must borrow and spend.

The biggest danger facing us is that Barack Obama (or, more specifically, the men he seems to trust and who are providing his counseling ... Tim Geithner and Larry Summers) seems to have embraced the Hank Paulson/George W Bush model for "rescue".  They seem intent on pouring trillions of dollars into the coffers of corrupted financial institutions (and billions into long-corrupted industrial institutions) without applying significant regulations on their behavior.  It looks like simply a continuation of the "bailout" approach that the Bush administration initiated, but on a grander scale.  The net result of this approach will be to rekindle the boom/bust cycle, and we will just enter some new financial bubble (possibly focused around "green energy").  This could be ruinous ... and could lead to one of two (and maybe both) disastrous outcomes:  runaway (or even hyper) inflation, followed by an even more disastrous depression.

RealAmerica
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I think the American Thinker put it a little more succinctly, and with pictures -

http://www.americanthinker.com/blog/2009/06/the_obama_recession.html

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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The graph shows two important points ... one obvious and the other more subtle:

(1) The BUSH recession is far worse than predicted (hence, the much higher than predicted but actual unemployment figures ... maroon dots), and

(2) Because the ARRA is still only now kicking in, and is planned to be spent both this year and next, the graphs are inaccurate.

Leave it to impatient Americans (some may even be Thinkers) to expect rescue and recovery from a financial collapse 28-years in the making to be finished within five months of taking office and four months of enactment.  It took FOUR YEARS before the New Deal began to show signs of improvement after FDR took office, and when he succumbed to pressure to ease up and let some of his programs lapse ("Hey, they're working, stop it already"), the Depression came back with a vengeance.  Part of the current problem, of course, is this incredible demand from Americans for instant gratification ... this is neither a Republican nor a Democratic issue, but clearly is one that has manifested itself over the last 30 years.

But let's return to the original post and news story ... that Americans are spending fewer dollars than they spent the year before.  Whether they are reluctant to spend, or just unable to, is irrelevant.  The net outcome is that America just experienced the sharpest rise in savings since the 1950s (when such records began to be collected).  This increase in savings reportedly is not caused by a decline in income.  Wages are down (and have been since 2002), and the rising levels of unemployment only contribute to that trend.  But that is being offset by lower tax collections and a sharp increase in government transfer payments as the economic stimulus measures take effect.

The largest fall-off in consumer spending has been in the purchase of durable goods (vehicles, furniture, and large appliances), though the decline seems to have stabilized.  But spending on non-durable goods (e.g., food and clothing) is also down, and continues to fall.  Consumer spending on services is actually increasing, though at a very low level.  A good part of the service expense, of course, is attributed to rising costs for medical services -- which, counterintuitively, continue to rise even as the recession deepens.  At its worst (last winter), spending on durable goods was down 12.6 percent.  Still, that decline was not nearly as steep as the decline in production that took place in the same period.  Meanwhile, exports from China are increasing.  It is unclear whether demand for goods will increase in the U.S. in the immediate or even short-range future.

[summary of a Financial Times article, "Thrifty Americans Saving At Highest Level Since 1950s"]

My primary objection with the Obama administration, up to this point, has to do with policy decisions being made by Tim Geithner and Larry Summers.  We are in a position where we could rein in Big Finance; restructure, reshape and reform our banking industry; and change the credit market by ending usury and returning to credit issued with measured collateral that warrants it.  Instead, the goal seems to simply rescue the Big Boys ... to socialize the losses they racked up so they are free to resume business as usual.  Without regulation and a return to conservative banking principles (which, in my mind but apparently not in too many other minds of those making the decisions, includes an end to the Federal Reserve), we are simply setting up the next boom/bust cycle of bubble credit creation.

RealAmerica
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The point of the article is that since Obama's economic advisors could not predict the impact of unemployment accurately (those were their numbers, not Bush's), their premise that the stimulus package would work is equally faulty. But the effects of that faulty analysis and implementation have caused our grandkids to be sold into economic slavery and our SS entitlements to be put at risk from competing new national debt obligations. And in another recent post I showed the embarassment of the Inspector General overseeing the Federal Reserve who could not answer the question - 'where did the money go?'. This is after 8 months. So personally, I don't buy shays admonition to 'be patient'.

It's about time for another Tea Party.

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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Most economic indicators suggest that the recession is slowing.  This one is going to be deep, and it is going to be long (and unless some significant changes take place in banks and banking, as I described in the previous posts, very likely might return as a more damaging depression) ... but that is because the voodoo Friedman economics of the past 29 years have dug a very deep hole, indeed.  The amount of wealth buried in those "toxic" financial assets is estimated to be anywhere from $60 to $126 TRILLION, depending on to whom you choose to listen.  The deficit inherited by Barack Obama was officially set at $1.2 trillion and the 2009 Bush budget (finally passed this year, and blamed on Obama) was $1.5 trillion.  The deficit does not even count the off-budget expenses for our adventure in Iraq, which probably will equal $3 trillion by the time all is said and done.  And the trade balance is truly astounding:  it cannot be blamed on one Party alone, as both Publicans and Dems have taken fair share in creating voodoo policies that find "richness" (and "riches" ... for some) in off-sourcing through such anti-American trade agreements like NAFTA and CAFTA (et. al.).  Since Reagan, the U.S. has been transformed from the largest manufacturer and exporter of finished goods in the world to the biggest importer of such goods; from the largest lender to the biggest borrower.  Our industrial base and our self-sufficiency have been almost completely stripped ... the much-ballyhooed collapse of the auto industry is but the poster child for America's decline to Third World Status (and symbolizes much of the arrogance, brashness, and imbecilic management strategies of all those overpaid Corporate Executives who thought they could direct and control the marketplace through monopoly, advertising, and association with affordable and easy-to-get credit).

ANYONE who became President in 2009 would have found themselves at the helm of a broken ship of state, the Treasury looted by rascals and scallawags who still have not been brought to justice nor made to answer for their actions.  Today a report is being released about the rapacious behavior of private contractors in Iraq and Afghanistan (KBR, in particular) that includes unbelievable stories about corruption, lack of accounting, lack of accountability, missing money in the BILLIONS of dollars, inadequate performance, shoddy work, missed contracts and on and on.  Listening to self-righteous and pompous Republicans (notice I am not saying ALL Republicans are self-righteous or pompous), this too is the fault of Barack Obama.  

We don't need a Tea Party ... we need a Fund-raiser.  I think we can begin by recognizing that it is time for all those who profited handsomely in the last thirty years (and by "handsomely", I do not mean people who have made gradual improvements in their lives and livelihood through hard work and effort, and not even those earning the so-called "magical" number of $250K ... no, I mean that 1-2% of the population who now control more than half of all the wealth in this country and whose personal annual income exceeds $4 or $5 million and whose network is in the hundreds of millions) to kick back some of their booty.  But eventually, our no-good nasty ways of living high on the hog and beyond our means is going to come back and bite us all on the rear end ... eventually we are going to have to pay for our national gluttony, and that payment is going to come in the form of higher taxes.  And it is US who should pay it ... NOW ... not our grandchildren, who the self-righteous and pompous spenders amongst us keep trying to pass the debt off on.

RealAmerica
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Wordsmithing Wizardry

Remember the picture of the veteran with his 'ballshin protectors'? You'll want a pair after reading this article and having to listen to another one of Obama's jobs reports ...

http://online.wsj.com/article/SB124451592762396883.html

I'll Keep My Freedom -

You Keep The Change

RealAmerica

Honesty3
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I guess the radical right wingnuts are still not aware that they are using the words put in their mouths by Rupert Murdoch. Funny how Rupert and stupor have similar sounds in them.

leatherneck2
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What the world views as a more balanced source that cnn, abc, cbs, or nbc propaganda. George Soros, that paragon of nazi collaboration, would be so proud.

http://www.globescan.com/news_archives/bbcreut.html

http://www.wired.com/epicenter/2008/11/internet-fox-ne/

http://uk.answers.yahoo.com/question/index?qid=20080418111614AAD9Kca

shays
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So tell me ... how is George Soros' "nazi collaboration" any different than George HW or George W Bush's?  As to trust in media ... one must first and foremost recognize that practically all national media is corporate owned and reflects attitudes, philosophies, and agendas of the corporate owner.  Put another way, the effect of ownership ranges across a broad spectrum from those corporations that believe in "freedom of the press" (whatever that means anymore in this Orwellian world we find ourselves) and exercise little corporate control over what is presented on the airwaves, to those that exercise direct control over content, format, and style.  But even the most "liberal" (i.e., it's the "truth" that matters) will step in when the corporate model or image is threatened.

This does not mean the independent media is any better ... or at least nominally better ... just because it carries the moniker of "independent".  Often, it isn't.  But much for what passes as "independent media" is not particularly reliable ... standards are lax (or nonexistent) and sources are questionable (and sometimes, not even questioned or challenged).

In all of this, the key point is that we all must be very skeptical of our news sources.  All news sources carry biases ... open or otherwise.  Most of us are not particularly skeptical or careful.  Very few of us rely on multiple news sources (particularly sources with competing points of view).  Fewer challenge the sources of our news, or the source for the news being reported.

With that in mind, I try to watch cnn as often as fox; abc as cbs; and the Nation as often as the National Review.

leatherneck2
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Mr. Hays, I am finding it rather difficult to believe that you would actually try to establish a moral equivalence between Mr. George Soros, who served as a courier for the "Jewish Council" in Hungary during WWII and the son and grandson of someone who worked for a firm that was associated with the German financial company that financed Hitler's rise to power, but broke ties to him in the late 1930's.

Mr. Soros, by his own admission, freely served the council, has been very open about it and has stated that he has no remorse and feels no guilt over his actions that assisted in the murder of almost half a million Hungarian Jews.

Mr. Prescott Bush was a director on a board of a bank that held three million dollars in assets of a company that Hitler nationalized. These assets were siezed by the US government in 1942. The assets were from Fritz Thyssen, a German industrialist who established an international baking network to allow his assets to be moved off-shore for protection. Herr Thyssen financed Hitler and the Nazi rise to power in Germany, but Thyssen fell out with Hitler in 1941 and was in a German prison for the remainder of the war. Mr. Bush's bank held assets from a wide range of industrial activities, and Herr Thyssen's assets were but part of the whole.

There is absolutely no moral equivalence here, and to suggest such is not only intellectually dishonest, but insulting to the memory of those who were murdered by the Nazis, particularly those whom <r. Soros directly assisted in being interned.

shays
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Excuse me, but George Soros was THIRTEEN years old when the Nazis invaded Hungary in 1944.  He served two days with the "Jewish Council", delivering their "invitations" to Jewish lawyers in Budapest that ... if followed up on ... resulted in their "deportation".  His father told him what the papers meant, and suggested that he tell the men he served what awaited them.  Why should he feel "regret" or "remorse" for his actions?  On the other hand, Prescott Bush was a stinking fascist pig, an adult who knew all too well what his alliances, associations, and investments meant.

leatherneck2
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You really should read more. Mr. Soros served the Jewish Council for 2 days, but served the Nazi cause for 10 months. He described it as a grand adventure and a happy time, in his own words, in the forward to his Father's book "Masquerade—Dancing Around Death in Nazi-Occupied Hungary". He in no way hides or plays down nor tries to excuse his involvement, he is just not sorry for it and is rich enough and liberal enough that he can get away with it.

There is no evidence at all that Prescott Bush was a fascist, in fact he was a capitalist who sought to generate wealth through growth of industy, not nationalization of industry. There is no evidence of any such alliance beyond the business relationship that took place from the late 1920s to 1941. And Herr Thyssen didn't start supporting the Nazis until the 30's. As an additional point, President G.W. Bush wasn't even born when all this was happening, and yet you hold an unborn child to account for the "sins" of his grandfather, but exhonorate a thirteen year old who acted with full knowledge of what was happening? Please explain this to me. I do not understand it. It defies reason and logic.

Honesty3
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This would be funny if you meant it as a joke but unfortunately you are serious.

No one will waste time trying to explain anything to you because all truths that establish the clear links between the Bushes and their party, Republican, with fascists defies all reason and logic for you.

It is impossible to try and reason with someone who is advocating a dogma as you do everytime you post. Your long rambling messages do not really convey many truths and they often just repeat various propaganda statements from the Murdoch/neo-fascist machine.

leatherneck2
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I would be happy to listen to reason, and I usually get reason from Shays, which is one reason that he is one of the few folks that I will actually engage in a discussion with. I find that you usually prefer to sling invective and innuendo with little regard to verifiable facts. Typically I provide the facts to back up my assertions, and not from wikipedia or some other disreputable source, but from credible sources. I am, of course, unable to prove a negative, but this link goes a good distance in refuting the majority of the claims. http://www.guardian.co.uk/world/2004/sep/25/usa.secondworldwar. If you have the proof, as you feel you do, then please provide it. Else, I am not interested.

shays
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I have not read Tivadar Soros book (and admittedly probably never will), so will have to trust your summary of George Soros' introduction to it.  Perhaps you can send me a link to it, or even transcribe the parts you find so revealing (though that requires a lot of work for not a whole lot of bang, and would understand your hesitancy to do such a thing).  That said, I worked for 30 years with thirteen year olds, and would never ever hold an adult responsible for any of the strange things that pre-adolescents do, say or believe.  I, myself, when 14 years old, was heavily influenced by a slightly older mentor who introduced me to None Dare Call It Treason.  I read that book, and for about six months was a raving right-wing nut case.  I joined the John Birch Society.  I watched Joe Pyne on television.  I rooted for Barry Goldwater.  I have never hidden these episodes, nor excused my brief lapse into whackiness ... but they no more define me nor my beliefs than a ten month period in Soros' life when he and his family were trying to figure out how to avoid and evade capture by the Nazis before escaping to the west.

I actually quite appreciated your reference to the Guardian that you linked for Honesty.  I read it.  I see no evidence that Prescott Bush as a "Nazi" ... he certainly did not join the Party, nor did he  publicly promote its policies or support its ambitions.  However, that article disputes some of the claims that you make in this post.  Herr Thyssen provided financial support for the Nazi Party from almost the first time he heard Hitler speak in 1926.  Thyssen's companies (all related to the weapons industry and steel) served to arm Germany and finance it.  They used Jewish slave labor from the Polish concentration camps.  And Precott Bush personally was rewarded for his collaboration with the Nazis ... even after the U.S. declared war on Germany.  He was never charged with any crimes (neither were any of the Harrimans ... a subtle comment on the excesses that the ruling class and economic elites can get away with, even when they end up belonging to two different political parties), but his actions certainly would be called "money laundering" today, and they did benefit and serve the interests of the Third Reich.  While the Guardian could find no clear paper trail proving that Bush made $1.5 million on the sale of his shares in Thyssen holdings (after it had been seized), it concluded that he probably did.

I do not hold George HW nor George W Bush accountable for the sins of their father and grandfather.  But they, too, benefited from his collaborations with Nazis.  They were born with silver spoons, earned by birth and inheritance of dirty money.  Okay, so they were "innocent".  Neither of them advocated a strong police state (though the latter certainly adopted policies and carried out actions that strengthened the police state in this country), nor nationalized any businesses.  And George W also aggressively asserted the military rights of the Homeland to defend its borders by invading a third, non-involved country by inventing disputes to justify the action ... he used black prisons to secretly hold and inter suspected "criminals", authorized the use of torture during their interrogation, and claimed the right to hold them indefinitely without recourse to trial or even attorney ... he suspended the historical right of habeas corpus ... he authorized the use of warrantless spying on American citizens and manipulated intelligence to deceive the American people.  All that is missing is the state socialism ... which many claim exists, in modified form, in the tax codes and favoritism shown to global corporations.

So, my "explanation" is that I (and the law, for that matter) do not hold a thirteen year old responsible for his actions, even if he remains "non-repentent" (according to you), and object strongly to your weak accusation that George Soros is a Nazi sympathizer.  People who were not born yet are not accountable for the actions of their father, but when as adults they pursue actions and policies similar to those with whom their father collaborated, then I would describe them as "proto-fascists", or "fascist light".  Any one who leans to providing favors or favored treatment for corporations, and/or enacts policies and law that support business before people is on the right side of the political continuum, and closer to "fascism" than "conservatism".

leatherneck2
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First, I never said that Mr. Soros was a Nazi sympathizer, only that he was a willing collaborator. These are very different statements. I do not take anything away from Mr. Soros and respect what he has managed to do with his life since then. I too would generally excuse/dismiss these types of things in a young boy. I am afraid that you may need to go to the library to get a copy of the book Masquerade. You may want to see if there are any transcripts of interviews that Mr. Soros has done as well. AS I stated, he makes no attempt to minimize or deny his involvement, again to his credit. Thank you for noting that Prescott Bush did nothing illegal, as far as the evidence is available. I am quite sure that the major reason that Prescott Bush was not charged with collaboration with the enemy or with sedition is that there was/is nothing illegal in holding international assets. Those assets did go dormant, and then were seized, once the US and Germany were at war. I will also point out that there were many in the US who held German funds, much of which by 1941 were the result of German national efforts that were not only subsidized by the Nazi state, but were done with slave labor. We can argue as long as you would like as to who knew what when, but frankly I suspect that we would both become tremendously bored going there. Many good leaders have been born with a silver spoon in their mouths as a result of dirty money. Without even trying, I can come up with JFK, Grandfather a bootlegger, and both Theodore and Franklin Roosevelt, Roosevelt fortune grew largely because of participation in both the exploitation of China and the transportation of slaves. These happen to be historical facts, but do not change the nature or leadership of the men in question. And yes, they certainly were innocent of any stain related to the original action (only one of which was a crime at the time it was performed). Pray tell, what are the "invented disputes"? Are they related to the violations of UN Security Council resolutions? Or are you referring to the WMD program that even the Clinton administration was absolutely convinced existed? (Just go back in time and read all the statements related to President Clinton's actions with respect to the no fly zones and Operation Desert Fox which was not even approved by Congress http://www.defenselink.mil/specials/desert_fox/). Also, where was Habeas Corpus suspended? You do know, of course, that habeas corpus is not extended to enemy combatants, right? As for the rest, I will need some proof as all I see is opinion, which you are free to hold. I believe that the facts demonstrate otherwise. And as a final jab, no person was tortured by the direction of the Executive branch during this century. The enhanced interrogation techniques do not constitute torture.

shays
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Waterboarding is torture.  Or do you want your son, captured on the field of battle, to be waterboarded as part of his interrogation?

The only reason that "enhanced interrogation techniques" do not "constitute torture" is that a handful of compliant and sleazy lawyers weazel-worded the wording of international treaties ... in secret and without peer review ... to so construe.  And even then, it is now quite apparent that there were DEEP divisions within the Justice Department, the CIA, the FBI and other agencies regarding those weazel-worded interpretations.  The divisions were so deep that they led to resignations and, eventually, retraction of the policy.  Dick Cheney dare not step foot on Spanish soil, or he will walk the same path as Augosto Pinochet.  I doubt if anyone in this country has the temerity or strength of character to call a spade a spade.

I am amazed that you are still defending the past administration and its blatant manipulation of intelligence (including false testimony derived from "enhanced interrogation") to justify our invasion of Iraq.  Shame!

The rest of your comments are reasonable.  John Kennedy is a mythical figure, but to be honest, we do not know what kind of a "leader" he may have been had he survived the hit job done on him.  Franklin Roosevelt was a rich man who could afford to live by his principles, in a similar manner to his cousin (uncle? ... sorry, too lazy to look up something that I should have committed to memory).  Both possessed a trait that has been sorely lacking in American presidents throughout most of our history ... principles ... and that trait enabled them to get stuff done.  I am not sure how (or if) their aristocratic backgrounds contributed to that success; but I am uneasy by aristocracy and the growing trend towards it in recent history.

Tiger79
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Another 60's view of the world. Bring it all down man.

shays
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Welcome, Tiger.  I came of age during the 60s ... but haven't remained stuck there.  Hope you have more to offer in future posts.

leatherneck2
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It is a really silly thing to suggest that I, or any other person, would want a family member captured on a battlefield, much less interrogated. I also don't want my son to be stopped and questioned by the police because he looks like someone that they are looking for in connection to a crime. Having been the subject of waterboarding, an experience that I would personally never want to undergo again, I would really be unhappy if that technique were applied to him as well. But none of that makes it torture.

For the record, the purpose of various "enhanced" techniques is not to get new information, but to get the conversation started. Typically, the interrogator will seek something that is varifiable or already known as an opening into getting the subject to start talking. It really does not matter if the information initially gathered is true, timely, or accurate, as long as the talking begins. The real information gathering begins after this has occured, in a structured and standard interview process. The particular technique of waterboarding, we now know, was only used on three (3) high value detainees who were not cooperating in any way. None of the three was injured and the technique opened the door for meaningful information gathering.

 

RealAmerica
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$15 TRILLION Fairness Doctrine?

Does anyone else know about the 'hidden' $15T supposedly buried in the new Fairness Doctrine bill?

http://www.examiner.com/x-4291-Baltimore-Christian-Conservative-Examiner...

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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I am sure that by now you are more than sorry to have posted this link and presented it as "truth".  Unless you are just joking with us, in which case harharharhar, good one!  Tomorrow, I will post my own futuristic scenario and write it in the past tense so it looks like something that actually happened.

For those too lazy to click on the link and read it for yourself, rest assured that no "new fairness doctrine" has been introduced in either House, let alone passed ... so secret passages inserted by Barack Obama (that probably could only be deciphered with the correct decoder ring) that encumber us to another $15 trillion in debt are pure fantasy.  Ironically, the only "Fairness Doctrine" legislation introduced this year was the "Broadcaster Freedom Act of 2009" (S 34), which actually blocks reinstatement of the Fairness Doctrine.  This particular proposal was added to an amendment to a Senate bill providing a voting seat in the House to the District of Columbia, and it passed 87-11 (February 26, 2009).  The House has not yet voted on the bill (let alone the amendment, which does not appear in the House version).

RealAmerica
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Yep, you're right. I didn't have time to explore it yesterday, which is why I posed it as a question.

Thanks for doing the research.

RealAmerica

shays
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No problem!

... and hey ... I appreciate your grace and humility.  It looks good on you! (and I mean that without a hint of sarcasm or humor ... thank you).

RealAmerica
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Would You Believe ...(Maxwell Smart)

$134 billion? In $500M and $1B Treasury notes and possibly bearer bonds?

Two Japanese nationals were interecpted in Italy this past week with $134B in huge denomination bonds in briefcases, seeking to cross the Swiss border. Coincidentally it was announced by the Fed Reserve that $134B remained (as of 3/30/09) undistributed in TARP funds and is viewed as a 'cushion' fund..

http://rightsoup.com/

Are the Japanese dumping their investment in U.S. currency as the U.S. turns left down the socialist path?

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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Joined: Jul 2005
Current Posts: 1715

Judging by the outcome of thirty years of a sharp right turn ... deregulation of corporations and elimination of federal oversight (in all sectors of the economy), financial centralization and corruption, rapidly widening gap between rich and poor (2% of population owns or controls over 65% of all wealth), insecurity of the middle class, declining access to a quality education (at any level), bankruptcy of our core manufacturing sector, off-sourcing of our ability to remain productively self-sufficient, "free trade" agreements that serve to facilitate the  reduction of the U.S. to a third-world manufacturing status, development of a virtual feudal system of haves and have nots, an increasingly powerful and centralized national government, and a host of other outcomes presented on a daily basis in the corporate-owned media and what is left of the independent media ... it only makes sense that Americans take a deep breath and try a different approach.  A turn to the left may be just what the doctor ordered (not the AMA, mind you, which apparently is as representative of the doctors that make it up as union leadership is to the rank and file, or even Congress is to its constituency).

Tiger79
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Joined: Mar 2009
Current Posts: 61

does any of this surprise you? I am. I knew the new administration would spend money, but wow! OUT OF CONTROL.

shays
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Joined: Jul 2005
Current Posts: 1715

Yeah, it's a lot of money ... and the size of it makes even supporters like myself wonder.  But we voted for change.  At least the way that the money is being spent represents a distinct departure from the way that Republicans have deficit spent since 1980.  I'm waiting for results.  Only 6% of the ARRA money has been distributed, as of two weeks ago ... I also know that it took thirty years to get here, so it's going to take a heck of a lot longer than five months to get out.

Honesty3
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Joined: Jul 2008
Current Posts: 775

In many ways we are still fighting over the same things that caused the Great Depression. Today's mess was caused by greed; the Great Depression was caused by greed. Today's mess was preceded by a periods of rapid wealth accumulation and over extension of individual bank accounts. The Great depression was preceded by several periods of rapid wealth accumulation and the over extension of individual bank accounts. The basic common denominator I see is that the wealthy Republicans were in control when the Great Depression happened and the wealthy Republicans were in control before the current melt-down. I often wonder when will people ever learn that the wealthy tend to only care about the wealthy and that they would rather destroy this country than give up their six or is it seven homes and mistresses they take to Argentina on father's day?

The fix that Obama is trying is very Keynesian like but that fact alone will not make it work. The only thing that will make the current stimulus work is if we, all of us, including poorer Republicans work together and honestly try to make it work. Take a long look at some of the public works projects that were created as a stimulus in the thirties/forties and fifties. Many of the incredible National Parks and dams and soil preservation projects were hugely successful are are continuing to contribute to everyone's well being today. It is patently false to claim as some on this discussion do that governmental spending never results in the creation of wealth. One could make a very strong argument that in fact governmental spending is responsible for much of the wealth generation of the past two hundred years from weapon's development to agricultural research paid for with our tax dollars.

One thing is for certain. Multibillion dollar bonuses to wealthy Republican Bankers rarely ever contributes one cent to the well being of others because they make sure that the entire amount is inherited by their children without taxes and without trickling down into the rest of the society that made it possible for them to accumulate that wealth.

RealAmerica
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Joined: Sep 2006
Current Posts: 1158

Kill the Industrial Base

Do you remember the ways a nation can create wealth? Manufacture it, farm it, mine it, intellectualize it. Anything else, including government, is just a redistribution.

Coming up on Friday is Pelosi's ego-driven Cap and Trade bill, which threatens to motivate our U.S. industries to add higher taxes from environmental impact as a reason to locate to China. We can already detect the smog from China on the Marin coast. After this bill passes, we'll be able to see it in a very few short years. In other words, this is a BIG part of their tax-and-spend policy. It's interesting to note that as adults we teach our children the proper procedure is to save and spend.

I would hope the change promised us by the usurper president would include a reversal of the demise of wealth-producing jobs. But as pointed out already, the Democrans and Republicrats are run by the same financial and marketing middle-men handlers. It seems evident to me their goal is to suck the remaining wealth from Ameica's middle class in order to position themselves as the leaders of the new world government.

http://www.freerepublic.com/focus/f-bloggers/2278368/posts

http://www.realclearpolitics.com/articles/2009/06/24/could_australia_blo...

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
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Joined: Jul 2005
Current Posts: 1715

Actually, there is one common thing that underlies all four means of producing wealth that you have accurately described (manufacture, farm, mine, or intellectualize) ... that is labor.  There is NO wealth without the labor needed to produce it.  Unfortunately, when things are made (creating wealth), people who do very little to actually create that wealth other than shuffle pieces of paper around are invariably the ones who expropriate the majority of the created wealth for themselves.  The people whose physical effort actually created the wealth get the short shrift.

Government spending does not create wealth.  I do not think anyone has ever said that.  Government, in fact, acts to redistribute wealth.  ALL governments do this.  You would be hard pressed to find one that does not.  But government also exists to create the environment in which business can be done.  There can be no business without government (perhaps barter systems might exist with some referee other than governmental agents of some form, but not very well ... something or someone must exist to resolve disputes that arise in all exchanges of goods or services).  The secret is finding the right balance between creating an environment that rewards creativity, hard work, and (in our culture) independent activity with the need for honoring contracts, resolving disputes, and making sure that fraud & dishonesty are kept to a minimum.

When the pendulum swings too far in one direction (as it has for the past thirty years), there are course corrections.  When workers are robbed and cheated by owners ... and there are myriad ways for owners to do this ... because government consistently takes the side of owners (or, as is the case currently, business OWNS government and all legislation favors business interests), then there comes a time when the concentration of wealth and power that has been distributed to the owning class must be taken away.  That's the way it goes.

Owners have forgotten that they are a part of society.  Owners have forgotten that they are organic parts of the community and everything they do carries a social obligation.  If they make something that spews a poison into the water that members of the community drink, or the air that members of the community breathe, then they are responsible and accountable for fixing the problem they have created.  Business exists to meet the needs of the community it serves.  If it does a good, responsible, and efficient job of it, then it makes a profit.  It cannot make a profit by cutting corners that hurt the society or the environment in which the business operates.

Period.

So, cap-and-trade ... not the most direct method for reducing greenhouse emissions, but the least onerous of the various proposals out there ... is the Day of Reckoning for socially irresponsible owners.  It should have been a requirement all along ... or most certainly as soon as the connection between carbon emissions and pollution were first noted ... and the fact that owners chose to exploit citizens (and threaten their very existence) by cutting corners only makes their crime of omission worse.  And less forgivable.

Any company that chooses to relocate overseas is no longer an American company, and should be treated as a foreign entity.  Whatever tax breaks and tax incentives are given should be taken away.  In a true free-market economy, someone will come along who can follow the rules (part of the market-place, after all) and start up a new business that will do what has to be done and meet the needs that the old business said only could be met if we followed THEIR rules.

Sorry.  America is a country of the PEOPLE, by the PEOPLE, and for the PEOPLE.  Corporations do not make the rules to make life better for themselves.

Honesty3
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Joined: Jul 2008
Current Posts: 775

Manufacturing could not be accomplished without governmental investments in roads, rivers, canals, harbors, interstate trade regulations ....

Agriculture is dependent on the governance of water rights, water projects like Hoover Dam, massive research regarding animal husbandry, botany and animal disease control, and in modern times the acceptance of foreign workers to harvest the crops and cultivate the fields....

Mining is made possible once again by the massive transportation projects accomplished by the government.

Intelligence must be cultivated by the government in the form of massive public education and incredibly expensive basic research projects that offer no promise of an immediate return to a capitalist firm IE The Manhattan Project.

In fact while I personally abhor war I know that many of the intellectual advances we have made have been because of massive governmental spending on weapons delivery systems.

So while the initiator of this so called discussion likes to pretend that the government does not create wealth, we all know that they are saying this because the government is now trying to make them pay for the mess they created with their phony war and the pollution they have allowed to get out of control and the schools they have been unwilling to properly fund. For over a hundred years these same people have not been paying a fair share of their often ill gotten gains to improve the country that has made it possible for them to become wealthy. It is time to make them pay their fair share and to stop allowing them to pass on their wealth to the spoiled children they have raised without having to contribute one iota to the general well being of their neigbors who actually labored to create their wealth.

leatherneck2
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Joined: Sep 2007
Current Posts: 246

Section 8

The Congress shall have power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States; but all duties, imposts and excises shall be uniform throughout the United States;

To borrow money on the credit of the United States;

To regulate commerce with foreign nations, and among the several states, and with the Indian tribes;

To establish a uniform rule of naturalization, and uniform laws on the subject of bankruptcies throughout the United States;

To coin money, regulate the value thereof, and of foreign coin, and fix the standard of weights and measures;

To provide for the punishment of counterfeiting the securities and current coin of the United States;

To establish post offices and post roads;

To promote the progress of science and useful arts, by securing for limited times to authors and inventors the exclusive right to their respective writings and discoveries;

To constitute tribunals inferior to the Supreme Court;

To define and punish piracies and felonies committed on the high seas, and offenses against the law of nations;

To declare war, grant letters of marque and reprisal, and make rules concerning captures on land and water;

To raise and support armies, but no appropriation of money to that use shall be for a longer term than two years;

To provide and maintain a navy;

To make rules for the government and regulation of the land and naval forces;

To provide for calling forth the militia to execute the laws of the union, suppress insurrections and repel invasions;

To provide for organizing, arming, and disciplining, the militia, and for governing such part of them as may be employed in the service of the United States, reserving to the states respectively, the appointment of the officers, and the authority of training the militia according to the discipline prescribed by Congress;

To exercise exclusive legislation in all cases whatsoever, over such District (not exceeding ten miles square) as may, by cession of particular states, and the acceptance of Congress, become the seat of the government of the United States, and to exercise like authority over all places purchased by the consent of the legislature of the state in which the same shall be, for the erection of forts, magazines, arsenals, dockyards, and other needful buildings;--And

To make all laws which shall be necessary and proper for carrying into execution the foregoing powers, and all other powers vested by this Constitution in the government of the United States, or in any department or officer thereof.

Section 9

The migration or importation of such persons as any of the states now existing shall think proper to admit, shall not be prohibited by the Congress prior to the year one thousand eight hundred and eight, but a tax or duty may be imposed on such importation, not exceeding ten dollars for each person.

The privilege of the writ of habeas corpus shall not be suspended, unless when in cases of rebellion or invasion the public safety may require it.

No bill of attainder or ex post facto Law shall be passed.

No capitation, or other direct, tax shall be laid, unless in proportion to the census or enumeration herein before directed to be taken. The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several states, and without regard to any census or enumeration.

No tax or duty shall be laid on articles exported from any state.

No preference shall be given by any regulation of commerce or revenue to the ports of one state over those of another: nor shall vessels bound to, or from, one state, be obliged to enter, clear or pay duties in another.

No money shall be drawn from the treasury, but in consequence of appropriations made by law; and a regular statement and account of receipts and expenditures of all public money shall be published from time to time.

No title of nobility shall be granted by the United States: and no person holding any office of profit or trust under them, shall, without the consent of the Congress, accept of any present, emolument, office, or title, of any kind whatever, from any king, prince, or foreign state.

Section 10

No state shall enter into any treaty, alliance, or confederation; grant letters of marque and reprisal; coin money; emit bills of credit; make anything but gold and silver coin a tender in payment of debts; pass any bill of attainder, ex post facto law, or law impairing the obligation of contracts, or grant any title of nobility.

No state shall, without the consent of the Congress, lay any imposts or duties on imports or exports, except what may be absolutely necessary for executing it's inspection laws: and the net produce of all duties and imposts, laid by any state on imports or exports, shall be for the use of the treasury of the United States; and all such laws shall be subject to the revision and control of the Congress.

No state shall, without the consent of Congress, lay any duty of tonnage, keep troops, or ships of war in time of peace, enter into any agreement or compact with another state, or with a foreign power, or engage in war, unless actually invaded, or in such imminent danger as will not admit of delay.

I do not see the following in the afore articles of the Constitution of the United States of America;

Education, therefore left to the several states to fund (if desired);

Research into animal husbandry, botany and animal disease control, therefore left to the several states to fund (if desired).

Further, why do we need to bring in foreign laborers to "harvest the crops and cultivate the fields" when we are in fact looking at double digit unemployment. When I needed to pay the bills and was not otherwise employed, I performed manual labor, including agricultural labor. It is not beneath any American to do whatever work is available. Only those with a misplaced sense of "worth" would feel themselves to be "above" honest work. They need to get over it and get to work. We do not need to import folks to do this work.

I am particularly chilled and offended by the sentence line of your post. According to the Tax Foundation http://www.taxfoundation.org/taxdata/show/250.html, who take their numbers directly from the IRS, the top 1% earn 22% of income and pay 40% of income tax revenue. The top 5 % earn 37% of income and pay 60% of income tax revenue. The top 10% earn 47% or income and pay 71% of the income tax revenue. Tables 5 and 6 pretty much spell out that the "wealthy" are paying more than their "fair share". Your calls for even more confiscatory taxation rates are communistic at best and would certainly result in the exodus of necessary capital to fuel our economic engine.

Honesty3
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Joined: Jul 2008
Current Posts: 775

Once one wades through your copy of various records which have no relevancy to anything one comes to the heart of your overly long post. You love to use numbers created by so called conservative organizations. The director of the "Tax Foundation" Scott A Hodge (a neo-conservative)  is also the creator of the Heartland Institute (which gained recent notoriety again when it opposed cigarette regulation and disputed global warming by publishing a litany of pseudo scientific evidence) which in turn is related to the Cato Institute etcetera. In other words you are using one of the many pseudo think tanks that the Conservatives have been creating since they destroyed the economy between 1870 and 1930. They create these disinformation sources to augment the arguments of propagandists who love to post overly long rants on pages like these because. Because they carry lofty names and have lofty ambitions weaker minded people than I are persuaded that scoundrels who quote them are somehow more erudite than anyone else. We see through your phony pseudo intellectual facade and we don't need a radical right wingnut foundation to enable us to do so. All we have to do is carefully read and understand the Bush/Cheney tax cuts or welfare for the wealthy enacted during the prior twelve years of Republican control of the legislature and eight years of the Presidency. When we do we see the billionaire buddies of Bush/Cheney laughing all the way to the bank and transferring their money off shore while they cleverly duped people into buying ridiculously oversized homes they could never afford and then sold the so called derivatives to other less intelligent investors. When the Republican designed house of card fell again just as it did in the 1930s they still continued paying themselves hundreds of millions of dollars in bonuses using the money the government was trying to use to save the economy they wrecked.

Reality for you between 140 trillion and 16 trillion dollars will be passed between generations between now and 2055 if we keep the current Bush/Cheney welfare for the wealthy in place. If you want to see these figures from a reputable source I recommend you read a book that is not tainted by a radical right wingnut membership. Wealth and our Commonwealth Why America Should Tax Accumulated Fortunes by William Gates Senior and Chuck Collins. They agree with another multibillionaire, Warren Buffet "

Well, let’s start with the ultra-rich. Bajillionaire Warren Buffett has argued that he isn’t being asked to pay his share. He went around his office, asking people what share of their income they pay in income taxes. Buffett’s 17.7 percent tax rate compared a bit too favorably with the 30 percent tax rate paid by his secretary.

So it appears that the tax system favors the super-rich over working stiffs.

And Buffett went a step further, putting his money where his mouth is. Last November he issued a challenge to his fellow billionaires:..."

Unlike your biased wrong wingers I use real people who know that the system is broken and they know who broke it. It is the Republican Radical Right Wingers who are disparately trying to hold onto their ill gotten gains at the expense of America. They claim to be patriots but it is men like Bill Gates and Warren Buffet who are true patriots. These men know that no one is actually worth a billion dollars especially when all they did to earn it was be born into the right family. Now that I consider it Karl, for a person who loves to assume the mantle of superiority regarding science and all other things, you are, in reality only displaying your woeful ignorance of everything you claim to know so much about. I recommend that you spend a lot more time reading books like the one mentioned above and a lot less time pontificating on discussion groups like this one.

 

leatherneck2
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Joined: Sep 2007
Current Posts: 246

The meat and gist of my post is that the items that you are calling for an increased funding of, are not within the enumerated powers of Congress, specifically funding of general research and education. The particular document that I took those three articles from, and you refer to as irrelevant, is called The Constitution of the United States. As this is the very basis of our government, I believe that it is particularly relevant to the issues that you bring up.

As to the Tax Foundation's statistics, all that that particular table does is to place the raw data from the IRS into a meaningful format. I referenced only the raw data compiled and presented, and did not go to any of the analysis points, so your complaint is unfounded. If you have different data, please present it. You have spent a lot of effort to attack the source of the raw data by innuendo, without presenting one iota of evidence that the data is inaccurate. Therefore, I will assume that you cannot refute the data and it can be accepted as accurate. BTW, you can go ahead and do the sorting from here if you like. http://www.irs.gov/taxstats/indtaxstats/article/0,,id=133521,00.html or is the IRS a right wing shill as well. This is the original source for the data provided in those tables.

I would now like to drop a few other nuggets on you;

"No bill of attainder or ex post facto Law shall be passed." (Already posted from Section 9 of Article I) This was taken by the Rehnquist Court to mean specifically that individuals are not to be deprived of life, liberty, or property without a violation of a law proven in a court of law. An ex post facto law is one which is retroactive in nature. Both of these preclude the confiscation of property without an illegal act on the part of the individual. You suggestion that people cannot pass an estate that they, or their predecessors, created to individuals of their choosing is a violation of these principles.

"The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no warrants shall issue, but upon probable cause, supported by oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized." This is the 4th Amendment to the Constitution of the United States. I would like to understand the probable cause upon which you seek to seize the property of individuals who have earned or inherited more than you feel they should have.

"All persons born or naturalized in the United States, and subject to the jurisdiction thereof, are citizens of the United States and of the state wherein they reside. No state shall make or enforce any law which shall abridge the privileges or immunities of citizens of the United States; nor shall any state deprive any person of life, liberty, or property, without due process of law; nor deny to any person within its jurisdiction the equal protection of the laws."  This is the first article of the 14th amendment. It makes clear that no state may deprive an individual of his property without due process. Same points as before, are you starting to see a common thread here?

I did not even mention that only about 60% of working Americans even pay taxes, almost 40% receive earned income credit that allows them to receive tax "refunds" that are greater than their tax burden. I will let you find that piece, but here is a clue, it is also in the IRS statistical data.

I care not for anecdotal references and much prefer factual based information. I noticed that your links only provide anecdotal information. What else have you got?

When it comes to patriotism, as with religion/piety I cannot see what is in an individual's heart and will leave it to the individual. I will state, though, that I do consider those who have risked all for their country to be visible examples of patriotism.

I assume no superiority of opinion, nor do I consider myself as better than anyone who is paying their own way. You will please note that I, as a general rule, do not disparage those with whom I am attempting to hold a conversation. I do, however, hold the right to call out inaccuracies and logical fallacies when I notice them, and you do have more than your fair share of those. I hold no desire to attempt to prove myself more intelligent than you; I will leave that proof entirely to you.

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

Just a couple of points to raise with a typically well-expressed and argued perspective.

I made reference to public education as a point through which to focus my explanation for the reasons that things change.  I do this because I am an educator, and it is a world that I know pretty well (it also is essentially a fundamentally democratic institution, and only by hard labor can some individuals turn it into something other than that ... which many try, and succeed, in doing for some unknown reason beyond the seemingly universal existence of a quest for power, no matter what walk of life you follow).  Let me do the same here, even if the route is a bit circuitous.  Please bear with me.

Children are perceived by most lay people as being "innocent" (some even think of them as "empty vessels", to be filled to the brim with "learning" by simply opening their heads and pouring it in).  Well, while I truly respect and admire the overall innocence, helplessness, and naivete of youth, I would also point out that almost every child is a natural born manipulator and seeks to follow a path of least resistance (i.e., work or expenditure of labor).  Kids naturally push at barriers to see exactly where the lines are drawn, to see how much they can get away with, and exactly what the consequences are for when they do.  They also are quite good at finding the loopholes or adopting behaviors they think (often successfully) will enable them to get away with more than otherwise they are allowed.  

In my classroom, therefore, the year always begins with THEM setting the rules.  It usually takes about three to five hours to complete the task, which I manipulate to achieve fairly predictable outcomes (I have done this for a very long time).  Invariably, the kids begin with a long list of "thou shall nots".  I then turn them to "thou shalts" (we want a safe learning environment where everyone has an equal opportunity to learn, which is best achieved by doing things that support the learning process).  The kids will argue and argue for a long time about specific rules and regulations, but I help them pare the list by showing them how to combine like ideas, or how to add a word or phrase that combines ideas that are not quite so easily linked.  Finally, I encourage them to follow the KISS rule (simple rules are much easier to remember than fancy-schmancy legalese).  In this manner, we invariably can pare the list down to four or five "rules", which can be word-processed in very large font and posted for all to see.

Once the class rules are posted, I have multiple strategies for holding them accountable to tracking their adherence to the rules ... the idea is to make them not only the "owners" of the rules, but to pay regular attention to the meaning of the rules and how it affects their actual behavior.  And here is what happens.  For quite a while, those four or five basic rules cover most circumstances and behaviors.  But within a couple of months, one (or more) discover and then begin to experiment with loopholes and vagaries.  Someone (it might be me, most likely it is one or more students) eventually becomes unhappy with this behavior, and it becomes an issue for the entire class to resolve.  Modifications and addendums to the basic rules are created and added to the list.  Sometimes these work themselves out, but other times they open the door to escalated efforts to manipulate the rules to personal advantage (it's all situational, and dependent on the incredibly vast diversity that is to be found even between 35 children).  Over a thirty year career, I have seen children take this process to a point where ALL the rules had been called into question, fourteen or fifteen amendments had been attached to several of the rules, and even once where we went back to the drawing board and started over again!

So ... and sorry for the digression ... but this behavior, I suggest, is only a minor (and clumsy) deviation from what adults do with "rules" (or laws).  By the time people become adults, they have become experts at "bending" the law, usually to some perceived advantage (real or otherwise) to themselves.  Hence, basic rules always (or at least eventually) being changed or modified to account for those taking exception or privilege with weaknesses in the wording, in the implementation, and/or enforcement of laws on the books.  One of these areas of concern is with inheritance.

Inheritance, as most of us know, has a long and convoluted history of custom, behavior, enactment and law.  Common sense tells us that when someone spends their entire life accumulating things, it is their right to dispense with it as they see fit when they die.  But over time, we have placed limits on how that is done.  The precedent for limiting rights of inheritance, therefore, is well established -- regardless of what custom or written law guarantees or assures.  Still, something etched in the stone of something as permanent as the 4th and 14th Amendments must be immutable, mustn't it?  Well ... no.  There are anomalies, and anomalies are like those seventh graders who are looking for ways to bend or reinterpret law to their own personal advantage.  Somehow, there is something fundamentally wrong for a thief ... say a man with the fictitious name of Ken Lay ... who steals millions of dollars from thousands (maybe hundreds of thousands) of people through unscrupulous manipulation of other existing law and is caught and even convicted by a jury of his peers for his crimes; but, before he can be held accountable and forced to give what he stole back to all those people, he dies.  How in the world can it be right, let alone excusable, that his wife gets to keep all those ill-gotten gains while all those thousands (maybe hundreds of thousands) of people have no recourse and are forced to simply eat their losses?  

This is why there are limitations on inheritance, and why a person's "property" is not necessarily sacrosanct.  While there is only one "Ken Lay" in the world (thankfully), there are hundreds and maybe thousands of "Mini-Kens", each bending and twisting and exploiting and manipulating the law to gain an unfair advantage over others (no matter how they justify the "fairness" of their actions, in the first place).

leatherneck2
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Joined: Sep 2007
Current Posts: 246

The founding fathers and President Lincoln went to great lengths in attempting to state the point clearly. I do not believe that there would be any difficulty within the framework of the Constitution to sieze property once due process has been followed, and a particular aspect that I see for governmental seizure of property is one that you cite as an example for limits being places. Mr. Lay and many of his executives and corporate officers were found to have engaged in illegal accounting and business practices. In this case, I do not believe that there would be any objection with the seizure of his assets to redress the wrong. Once convicted or duely adjudicated in probate if necessary. This is not unlike what is going on with Mr. Madoff where he is being ordered to surrender $171 billion in assets. This is conducted with proper recognition of the amendments and articles I cited. Remember, as with your classroom example, we have the means to change the laws, provided ex post facto and bills of attainder are avoided. 

But what when no laws have been broken? This is the case that I am refuting that Honesty has proposed. The seizure of a person's assets based only on the basis of the person having too much to be allowed to leave it to their heirs. This I have a major problem with.

shays
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Joined: Jul 2005
Current Posts: 1715

I must first apologize for not reading the complete thread before jumping in.  Thankfully, I think my intrusion was at least gentle (hopefully) and not in the rude fashion that some people on this list are prone to post.  That said, I would like to point out one other point ... Honesty seems to be confusing you with some of the other folks on these boards with whom he contends.  In my experience, you are neither a right-wing whacko nor someone who cuts and pastes from sources lacking credibility.  Conservative, most certainly ... but always someone who responds with reason and reasonableness.

Now that I have gone back and read all of the exchanges, I better understand the point(s) that you are making.  If I may risk attempting to boil it down (overly simplistic, perhaps) to a simple statement, you are arguing that the Congress is not entitled ... by the powers enumerated in the Constitution ... to tax the wealthy and/or corporate interests because they have been accused of robbing America blind for the past 40 years.  I may be overstating your point, a bit, so please feel free to modify my characterization.

I guess, then, that this means I agree with your assertions that (1) authority exists to seize the property of Ken Lay (and Ken Lay wannabes), but only after due process has been followed, and that (2) procedures exist to change laws.  However, I am not so sure I agree that you have shown why Honesty is incorrect in asserting it is time to make some people pay their fair share and to stop allowing them to pass their ill-gotten gains on to their heirs.  Most definitely, the Congress cannot single out an individual or even a class of individuals and find them guilty of committing a crime (bill of attainder), nor pass a law that creates a crime for which to punish them (ex post facto) ... but it most certainly can pass NEW laws to restrict or define certain behaviors and then hold people accountable for that behavior in the future.  It also can use the power of taxation to accomplish the goals that Honest proscribes.

To wit:

Section 8:  The Congress shall have power to lay and collect taxes, duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States; but all duties, imposts and excises shall be uniform throughout the United States; [but apparently, since not enumerated, the collected taxes do not have to be uniform]

and

The 16th Amendment:  The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several states, and without regard to any census or enumeration.

Again, to just take property from citizens ... regardless of how it was acquired ... is prohibited.  In that sense, Honesty is not correct.  But to levy a progressive or proportional tax is.  To punish corporations for collusion or influence peddling without due process is not correct.  To use the Sherman Anti-Trust Act or other laws regulating behavior(s) in the market place is.

Finally, in your longer post where you cited the Constitutional provisions limiting the powers of Congress, you concluded by saying, "Your calls for even more confiscatory taxation rates are communistic at best and would certainly result in the exodus of necessary capital to fuel our economic engine."  This raises two questions in my mind:  (1) Where, in the Constitution, does it say that "communism" is illegal or to be avoided, and (2) why didn't capital necessary to fuel our economic engine exit the country between 1945 and 1980, when the personal income tax rate was between 70-94%, and the tax on corporate profit was 35-54%?

shays
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Joined: Jul 2005
Current Posts: 1715

I may be just a stickler for details, here, but the Constitution did not throw out centuries of common law and other legal precedent when it was adopted.  One of the many "bits of baggage" that came pre-wrapped and already in practice by the Congress of the United States was related to the orderly settlement of the western territories (in those days, the "northwestern" territories), popularly known as the Northwest Ordinance (actually there were many separate laws enacted addressing multiple concerns with the western territories, all enfolded into this one significant piece of legislation that still influences us today).  Not only did it describe the orderly means by which territory added to the United States might progress to statehood (thereby ending one of the major controversies of the time), it also laid forth the still used methods for surveying, mapping, and breaking chunks of turf into identifiable units (townships, sections and acres) ... it provided a means to sell land (and raise revenue), described the creation and relationship of territorial governments by and to the Congress, essentially abolished slavery west of the Ohio River, and broadly outlined the guaranteed civil rights of citizens that would later be incorporated into the Bill of Rights.  It also established a mechanism by which the federal government supported the establishment of public schools.  Subsequent acts of the Congress expanded this role (as is the wont of Congress), creating what came to be called land grant colleges and colleges specializing in agriculture and mining.  Still later acts of Congress (and the Courts got in there, too) expanded that role even further ... especially in regards to civil rights and their protection.

Now, I for one prefer that the heavy lifting in public education be done by local government, as intended.  But I also know that "separate but equal" was a product of local governments (who probably conspired, to some degree, to develop the theory), and would never have been put to an end were it not for the actions of the federal government.  While some would argue that institutional and economic discrimination is working overtime to reassert the practice of separate but equal schools (which, in reality, are hardly equal), I am not unhappy that the federal government took that action ... even if from a strict constructivist perspective it overstepped its bounds.

As an educator in a non-discriminatory school that offers equal access to all, I am also glad that the federal government put some dollars where its mouth was.  While not enrolled in my language arts classes (they couldn't read or write ... not from lack of intelligence, but from physical disability ... so sitting alongside fully functional children who could perform those function ... when, or if, they chose to ... would have been extremely unfair and insensitive), I had enrolled in my medieval history classes anywhere from 2-5 severely handicapped children.  They were being "mainstreamed", as dictated by law (in turn deriving from the Individuals With Disabilities Act), into regular classrooms whenever possible and non-disruptive to the rest of the students in the school.  We are talking about children in fully automated wheelchairs, ventilators, and a full-time aide assigned just to each individual child.  We are talking about severe downes-syndrome and other afflictions that ... quite truthfully ... I did not even know the name of.  We're talking about a huge hunk of cash attached to each of these children, which the local school could not afford to pay unless the federal government provided the funding.

All of this is to say that times change and we have changed with them.  Maybe you don't believe in IDEA, or agree that the federal government has an obligation to protect the rights of disabled citizens (I know there are some on this board who think those people should just be left to die, or cared for by the family that bore them and/or private agencies or providers) ... however, having worked with these kids -- many of whom cannot construct a single coherent sentence or properly hold a pencil in their hands -- and having gotten to know them over the years, I am very proud of their accomplishments and that we, as a society, have agreed that it is not only appropriate, but also our responsibility, to guarantee that these kids have the right to the same access and opportunity as any other kid.

My suggestion, in all of this, is that the expansion of the role of the federal government into areas not proscribed by the Constitution since its inception, is both natural and appropriate.  Citizens carry the responsibility of ensuring the laws enacted in this country are what they want, and that they do the things they want them to do.  Those we elect to represent us in the Congress are our representatives, not our "leaders".  It takes a long time for laws to be enacted ... all proposals must be looked at and approved by and through four lenses (and all the people who make up each of those groups):  the House, the Senate and the Executive.  The fourth lens is us.  We must do everything we can to let our representatives know, ahead of time, that we do not approve of changes they want to make.  If they make the changes, anyway, then we must remove from office those who made the changes.  It's quite simple.

leatherneck2
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Joined: Sep 2007
Current Posts: 246

I have the same read of history as you present, but I instead reach a very different conclusion. There has proven to be a necessity for intervention by the federal government in a number of areas, including education, where powers that they do hold are invoked. Specific areas would be the abolishment of separate-by-equal statutes under the authority of the 14th amendment. But, as I stated, my conclusion is very different. I do not believe that it is in any way appropriate that the Congress of the United States, or any federal branch for that matter, assume authority in an area in which it has not been explicitly granted that authority by the Constitution of the United States. It is natural for the Congress to attempt to do so, based on the natural tendency of humans to seek and use power, but it is precisely the behavior that the Constitution is seeking to curtail. If there is a national mandate for enhancing the powers of Congress, there is a mechanism to do so built into the Constitution that must be used, and has been used 17 times since the bill of rights was ratified. If we, the people, allow the Congress to unilaterally and unconstitutionally usurp power that they are not provided, then we invite tyranny and a loss of freedoms that we enjoy. I believe that we need to hold the line hard on executive power, congressional power, and judicial power to the enumerated powers contained in the Constitution of the United States, and that, in accordance with the 10th amendment, those powers not delegated to the federal government, nor prohibited to the states, are left to the states or to the people. A government in DC is not responsive to the needs of Oakley students, nor is an administrator in Sacramento. The local boards and local civil governments should be empowered to act within the framework of state and federal constitutions. It is that simple.

shays
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Joined: Jul 2005
Current Posts: 1715

Generally, though we come at it from different perspectives, we are in agreement (except, of course, in those devilish details ... in this case, specific examples).  Admittedly, I am more prone to see the evils of concentrated power in the workings of corporate and other special interests (and, conversely, live with the evils of concentrated governmental power), but concede concentrated power is evil wherever it occurs.  Therefore, I would agree that the power of the Congress needs to be reined in (especially because of the undo influence that the money of special interest groups exerts on our "elected" representatives), money taken out of the election cycle (at all levels), and the power of paid lobbyists eliminated.  I am just as concerned with the powers of the Executive and the Judicial branch.  Like you, I would prefer to stand the system back on its head and return to a more "bottom-up" social and political structure.

Interstate commerce, however, necessitates many of the broad federal powers that the central government has abrogated for itself (pollution, monopoly, transportation, communication, communicable disease, and a host of other national issues require single and uniform set of criteria and oversight ... not fifty competing and often contradictory policies and means of enforcement).  In a similar manner, issues arising from enforcement and/or interpretation related to civil rights also are broad and far-reaching, requiring a federal oversight and enforcement role.

A simple case in point.  For twenty years, I taught in one of California's "necessary small schools".  These are schools located in isolated and remote parts of the state in which it was or still is impractical to transport kids further away to a larger, centralized site (or where local citizens fiercely resist(ed) sending their kids "somewhere else" to be educated, preferring instead the advantages offered by true local control).  I started teaching after passage of the Elementary and Secondary Education Act (ESEA) of 1965, but have many first-hand stories of the difference the law made.  Because of funding provided by Title II of ESEA, our two-room/two-teacher school could afford to hire an instructional aide (not a paper-pusher, photo-copier ... but an actual teaching assistant) who was primarily assigned to work with disadvantaged children in one-on-one or small group settings.  State and local funding could not provide for this opportunity.  Yes, the hiring of this aide made for more paperwork on the part of the teaching staff:  we wrote the lesson plans for, and supervised the work of, the aide; we assessed and evaluated performance (of aide and students); we kept records of the progress of students with whom the aide worked separate and different from those we normally kept for the state and for parents, and these were submitted to the federal government; we were required to submit separate quarterly reports to the federal government documenting (and justifying) how appropriated monies were being spent; and so on.  However, this additional work was well worth the effort in regards to the service(s) we were able to provide for our students.

ESEA, like everything else, has been transformed over the last 44 years.  Now, it is known as "No Child Left Untested" (er, Behind), and is becoming increasingly intrusive in many terms.  There is also now talk of "national standards", and a "national test" of proficiency.  While I would not automatically object to a national set of standards (it depends on who designs them and whether they are guidelines or requirements ... we used to have voluntary national standards in all the content areas, but they were established by teachers and administrators through their professional organizations and served to assist local schools and districts in designing appropriate curriculum), nor even a national test of proficiency, I would have serious objections if the standards and the test results were used to micromanage school policy, resources, instructional approaches, and everything else that should be locally determined. 

cptime
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Joined: Jul 2008
Current Posts: 82

Washington's Plot to Explode Your Taxes

 By Peter Ferrara on 6.24.09

Everyone in Washington knows the record Federal deficits and debt are out of control and can't continue. President Obama knows it. The ultraliberal Democrat Congressional leadership knows it. Rank and file Congressional Republicans and Democrats know it. Fed Chairman Ben Bernanke has been openly saying so. Obama's economic policies, adopted by the Democrat-controlled Congress, call for total Federal borrowing of $3.5 trillion this year alone! The Federal debt is projected to soar over the next 10 years to a peacetime record of 84% of GDP, and to keep on growing past the all-time record of 113% of GDP during World War II. Rep. Paul Ryan, ranking Republican on the House Budget Committee, projects it will climb to 200% of GDP, twice the size of our entire economy. That would be 5 times the level of national debt that prevailed for decades before Obama. This is the result of adding Obama's extreme, liberal left, Keynesian economic plan, with its trillion dollar stimulus package of wasteful spending that will do nothing to stimulate the economy, on top of the exploding costs of our current entitlement programs.

Obama's New Amerika

But NOT TO WORRY, because the Congressional Democrat leadership and President Obama have a plan. First they are going to pass national health care, adding the biggest entitlement of all to the fiscal catastrophe we already have, giving new definition to the term fiscal insanity. Then, after that, they are going to come back to us and say, gee, we have no choice now but to raise your taxes, really, really, really raise your taxes, to record-shattering levels, to levels so high that it will change the fundamental nature of our economy and our nation. After that, America will no longer be a land of prosperity and booming economic growth, as it has been for hundreds of years, since early colonial days. It will no longer enjoy the highest standard of living in the world. It will instead be America the Welfare State, with a government so big and overwhelming that everyone will be scrambling to get their personal gravy in government handouts, rather than producing for the marketplace and consumers.

Example Number 1 of this will be the new Obama health care system, where the doctors and hospitals will all be working for the government, who will be paying their bills, not you the patient, who will just be along for the ride. When the government tells them not to provide medicine for macular degeneration, or cancer treatment for senior citizens because it is not "cost effective," or referrals to specialists until it is too late, the doctors and hospitals will all hop to and salute, because they will be desperate for their slice of federal funding.

Honesty3
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Joined: Jul 2008
Current Posts: 775

The Republican propaganda machine is getting all hot and bothered again. They are using their standard tactics of lies and innuendo and people's fear of the future. First they destroy the economy and now they are doing everything in their power to stop us from recovering from the terrible messes they created. I have lived a very long time and in my life time I have seen the gardens everyone had to grow in their back yard just to survive the Great Depression that was caused by the greed of the Republican Robber Barons who forced children to work in their coal mines and steel mills and textile mills for a couple of dimes a day. These Republicans also would build homes with out houses that dumped their wastes into local streams and rivers and then offer these homes to miners in return for the miners working for slave wages. Then these Republicans would build Mercantile stores where they gave the miner's credit at exorbitant interest rates which forced the miners further and further into debt. If the miners tried to strike for better wages or health care the Republican Robber Barons would evict their families out of the slums they built. If the striker's picketed the Republican Robber Barons would shoot them and their wives and children as well.

 

Today the Republican Robber Barons have done it again. First they set it up so that the regulations of their banks that were put in place as a result of their past abuses were removed. Then they began enticing people to overextend themselves into buying homes they would never be able to pay for. Then these Republican Robber Barons sold their bad loans to various crooked front organizations that had the audacity to call themselves insurance companies. When their house of cards collapsed and nearly caused another Great Depression, they all paid themselves huge 100 million dollar bonuses that they had already protected from much taxes by passing legislation giving welfare to the wealthy. They also managed to propagandize voters into voting for a cowardly man called Bush who started a very costly war that also made more of them wealthier and which by the way murdered a few tens of thousands of Iraqi children. The country they lied to start a war with never once attacked the United States and at one time at the bidding of that cowardly President's father fought a war with Iran.

Now the Republicans who started this idiotic discussion would have you believe that they are the real patriots and that the people who are trying to clean up the messes Republicans have been creating by their rapacious greed for wealth and power for over a hundred years are the real problem.

We all need to keep reminding these propagandists that their lies will never again convice us to vote for the wrong person or to attack the good guys. We know who the good guys are and all of those Republican Governors and Senators who are taking their mistresses to Argentina for a fling and who are tapping their toes in rest rooms ar airports are the bad guys.

Honesty3
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Joined: Jul 2008
Current Posts: 775

Anyone with a modicum of education knows that people who want to persuade others to do their bidding like to pretend that they "know" more than they actually do. They make sweeping generalizations about whatever it is that they want to demonize and then use every semantically hot button from socialism to the devil to get their way.

I am here to tell you folks that the initiator of this so called discussion and some of the other names it uses to support its false claims is a radical right winger. One of the same people who brought you Bush, the phony Iraq War, the current economic crises, and the Great Depression of the 1930s. Now this person and the Republican Party want you to believe that the people who are working day and night to clean up the nightmare they created are making it worse. Look closely and you will see what they are really all about. They are wealthy and they have not been paying their fair share of taxes for hundreds of years. They know that the only way to clean up the mess they created is to tax some of their wealth. And like the Little Martian in a Bugs Bunny cartoon, that makes them very, very angry. Angry enough to create entire false news organizations like Fox and to pay for hundreds of phony blogs supporting their lies and to pay men like Rush Limpbrain to spout their lies over the radio stations they built to keep you from seeing and hearing the truth.

That's the simple truth folks. Every single one of the lies you have seen printed here and in Rupert Murdoch's phony news papers or heard on his Fox network are driven by the anger of very wealthy Republicans who never have paid their fair share of taxes and never plan on doing so.

Contact your representatives and let them know that you want everyone to pay their fair share to clean up the mess created by wealthy radical right wingers and let's all start helping America become great again.

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

Importing Calif Economic Brilliance

The story not being told today is the passage of the Waxman - Markey "Cap and Trade" bill in the House yesterday afternoon. Again, the Congressional switchboard melted down,  message boxes were overflowing, email went unread as constitutients voiced their objection (estimates as high as 10 - 1 against). There may be good reason. A 300 page amendment to the 1100 page bill was delivered at 3 a.m. on the morning the bill was scheduled for a vote. Coincidentally Congress was scheduled to recess for the 4th of July following the vote. So much for Obama's 'transparency' and promise to allow the public 72 hours to review any bill.

It may not be 'raising taxes', but paying a new fee for a federal energy audit when you sell your home or make any improvement to it, and pay the cost of state auditors to be trained and licensed by the Feds has to come from somewhere.

If you need a preview check this out - Spain has 18% unemployment. It has spent about $1 million per green job and has lost two jobs for every green job created. Check the Carpe Diem blog.

http://news.yahoo.com/s/ap/20090626/ap_on_go_co/us_climate_bill

I'll Keep My Freedom -

You Keep The Change

RealAmerica

Honesty3
Honesty3's picture

Joined: Jul 2008
Current Posts: 775

First, the bill is still in the legislature so anyone that wants to can read it....

Second all of the information regarding what is happening in Spain has zero relevance to the bill in question.

Third, the only Real American loves to toss fear uncertainty and doubt (FUD) into all discussions regarding the attempts by the current congress and administration to clean up the terrible mess made by the radical right wing Republicans.

Fourth all of the letter writing campaigns are being waged by radical right wingnut cults who are doing everything in their power to keep you from remembering who brought you this current financial crises...them.

Please let's do away with the disinformation/misinformation propaganda and stick to facts.

Reading the Carpe Diem blog is like taking a trip into a land with the Jabberwockys. Everything proposed by liberals is bad and everything coveted by the radical right wing side of the Republican Potty is good.

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

DisHonesty3 wrote - " ... First, the bill is still in the legislature so anyone that wants to can read it ..."

Typical of his infantile capacity for logic, it totally escapes him that the House voted on the bill yesterday. Adults generally agree that you should read something before you sign it or vote for it. And perversely, there is an opportunity for the 8 Republicats who joined the Democrans in passing this bill to change their votes until July 2. How they are going to do it when Pelosi called the House to recess for Independence Day is, well, impossible. How's that for legislative integrity?

Shutting down the switchboard at Congress takes millions and millions of calls. The last time I remember it happening was 2 years ago when the Democrans proposed another amnesty for illegal aliens. There was probaby at least one non-radical right wingnut cultist among those calls. And there are a fair number of business associations that oppose the bill as well. Just because you didn't read it in the Main Stream Media means its time to change your news sources.

Blaming past administrations for the problems is a propaganda technique used to keep the population at each other's throats in order to prevent sanquine consideration and a positive solution, if one is needed. The single family home federal energy rating requirement was read right from the amendment mentioned in my original article.

Finally, disHonesty3's foray in literate license and purple prose with reference to Jabberwocky is simply his way of stating that real numbers and economies were produced in several reports that disagreed with his twisted view of the world and your pocketbook.

My advice - add him to your 'ignore' list. After all, there is a reason he went from Honesty to Honesty1 to Honesty2 and now Honesty3.

I'll Keep My Freedom -

You Keep The Change

RealAmerica

Honesty3
Honesty3's picture

Joined: Jul 2008
Current Posts: 775

Being criticized by one of the preeminent radical right wingnuts on these boards is a high honor indeed. Especially when it is the only "Real" American here. For all the rest of us i guess unreal Americans the gist of his phony argument is that the majority Democrats passed a bill in the House of Representatives which the only "Real" American does not like one bit. It incenses their perception of not ever wanting to ever agree with anything ever done by any Democrats living and dead. But then that is not casting aspersions on this poor fellow or woman. After all they can not be blamed if they do not understand that in order for any legislation to pass it must pass both houses of the legislature and if this poster child for the radical right ever read my earlier post it would have understood that what I said is the bill is still not law. So Real if you want to know more about this bill just trot on over to the congressional records and read all about the bill that was sent to the Senate. I have no doubt it will take longer than 72 hours for the Senate to act. But then you are so very busy advising everyone to ignore posting that your are totally incapable of understanding. No doubt that is why I have you on ignore but occasionally look at some of your really foolish ill informed posts just to see what the only "Real" American is lying about these days. You never fail to please me because I can count on finding every fallacious comment ever made by every Rupert Murdoch and Rush Limpbrain quoted by you as though they were factual rather than the typical propaganda from the radical right wingnuts.

Never fear folks I will keep checking on the phony posts from the only "Real" American from tme to time and point out the multitude of errors and bad sources it is using. You see there is one thing that the radical right wingers like Real can't stand. They can't stand seeing themselves exposed as the propagandists that they are.

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

I guess Republicans have forgotten what it's like to be in the minority.  Fifteen years is a long time, so I can sympathize with the frustration and anger connected with not having your phone calls and emails responded to.  On the other hand, it feels good to be on the other side of majority for a change.  Heeheeheeheehee

RealAmerica
RealAmerica's picture

Joined: Sep 2006
Current Posts: 1158

shays wrote ' ... not having your phone calls and emails responded to ...'.

Actually in this case it was our 'representatives' refusing to respond to their constituients.

'... For those who may have forgotten, the process in this country is for EACH House to approve the legislation EXACTLY ...'

Well, not exactly. The points that are common between the Senate and House versions remain intact. The differences go to a bipartisan conference committee to resolve the differences. The two bodies then vote on essentially the resolution of the differences.

'... My representative read the bill, and I am satisfied that he took his responsibility seriously enough to do that ...'

The 300 page amendment to the 1100 page bill was available at 3:09 a.m. of the day the bill was scheduled for a debate and vote. You and I both know that a single amendment can totally gut a previously submitted bill and replace it with an entirely different subject, for that matter. Stop messing with the sheeple. After all, Obama and the Dems are talking about a loss of millions of jobs, on top of the current loss of millions of jobs, with only millions of replacement jobs being either added or not eliminated (to borrow his phraseology).

I'll Keep My Freedom -

You Keep The Change

RealAmerica

shays
shays's picture

Joined: Jul 2005
Current Posts: 1715

Excuse, Mr FauxOffendedAmerica ... but as stated a couple of messages ago, this is the way business is done in the Congress of the United States.  This doesn't mean it is right, nor does it mean that the amendment to which you are objecting isn't a devilish bit of mischief (I, personally, do not know ... I have not seen nor read the amendment in question ... but it is just as likely the best part of the entire piece of legislation, as well) -- I'm just saying that is how business is done.  

A classic example came in December of 2000, just as the 106th (?) Congress was trying to tie up loose ends and adjourn for good.  In the final hours, it was attempting to pass Bill Clinton's final $384 billion omnibus appropriations bill (i.e., per usual, the Congress had been unable to fund each of the separate budget requests, and so was doing it in one fell swoop).  Phil Gramm took the opportunity to sneak in a 262-page amendment entitle the Commodity Futures Modernization Act.  The essence of this particular bit of handywork was to deregulate derivatives trading.  You've heard of derivatives, have you not?  Most everyone else on this message board probably has, but just in case ... these are the financial instruments whose value changes in response to underlying variables with the purpose of "reducing risk" for one party.  In 2000, it was a term not in common usage and not easily recognizable.  It was an amendment that carried the same name as a bill Gramm had introduced, earlier in the legislative session, which had been roundly defeated with bipartisan animosity.  In fact, the only difference between t