Posts Tagged ‘Congress’

Babbling in the Mirror – Obama Supporter Interviews Future Self

July 31st, 2012

I received a link to a YouTube video today. The video is a mock up of someone from 2008 interviewing their current selves and dealing with all the crushing disappointments of the Obama Administration.

The link came with a request:

“Please, please, somebody tell me where she is wrong. I really want to know!”

I’ll try to suspend my skepticism that anyone circulating this sort of propaganda is truly interested in facts, or even willing to accept them, but I’m up for the challenge anyway.

The video contains a scarcity of actual data, but there are a lot of general claims.  A few are fairly accurate, many are directionally incorrect, and a few are outright false. In the opening, the 2008 woman is going on about the utopia that would surely result from 4 years under Obama.  Granted, there was a lot of optimism from his supporters upon his election, but anyone who believes any President can effect a utopian transformation of the country is delusional. If you think it can be done in the midst of the second largest economic downfall in the last century, you’re just plain nuts.  It’s unfair to compare Obama to some vision of Nirvana. Rather, the accurate comparison is to the alternative, a McCain administration. Unfortunately, we’ll never know what that might have been. Maybe it would be better, maybe worse, but we can be pretty sure, based on the previous 30 years of mostly Republican administrations, that it wouldn’t quite be utopia.

Obama Supporter - Self InterviewThe initial substantive claim is that the 2012 woman’s father died because his asthma medication was outlawed. This is flat out false.  No asthma medications have been outlawed.  Starting this year, CFC based inhalers were banned. Keep in mind that CFC propellants have been banned since the 70s in everything else in an effort to save the ozone layer. Civilization survived. Further, HFA inhalers are available as an alternative. Same medication, same dose, different delivery mechanism.

Next is a general lament about high unemployment. There’s no doubt that unemployment remains unacceptably high. However, looking at the data, private sector employment bottomed out in early 2010 and continues to climb steadily upward.  But public sector employment is plummeting at a rate the private sector in a minimally expanding economy can’t ameliorate. Look at a comparison of Bush’s first term compared to Obama’s. Bush responded to the economic downturn in 2000 with stimulus by expanding government payroll.  Obama responded by slashing government jobs in favor of private sector stimulus. Hmmm…

But Obama had a super-majority! Why didn’t he fix everything? Obama’s super-majority in Congress hinged on one man, Ted Kennedy. A man who had the gall to be suffering terminal brain cancer upon Obama’s election, and who died in August of that first year.  Kennedy made special and heroic returns to the Senate floor to cast votes on the stimulus and on Obamacare, but otherwise was incapacitated. After his death, Scott Brown was elected and the Obama super-majority vanished.

Oh, the executive orders! There’s no specific complaint over any specific executive orders, but the implication is that Obama is issuing them all over the place.  The data from the National Archives would disagree. Obama has issued 129 EOs so far.  Pro-rating that for his entire first term puts him on pace to issue 147 by January.  G.W. Bush averaged 145/term. Clinton averaged 181, Bush Sr. did 165, and Reagan comes in at 190.  So Obama’s on the low end of recent history.

Why didn’t the stimulus fix everything as promised? First, we have to accept the 2008 woman somehow magically knowing about the 2009 stimulus package, but I’m nit-picking. Most stimulus proponents now agree the stimulus package was not up to the task. The enormity of the economic hole was much larger than anticipated and the level of stimulus was insufficient to achieve the desired results.  However, it probably was the largest package that would have been politically do-able.  But even then, did it have a positive effect? There is arguably legitimate debate here, although the consensus is that the stimulus did improve things. But even if it didn’t, there’s no one claiming it did any harm excepting a brief blip in the debt curve.

Next up is the assertion that all of Obama’s investments in green energy have gone bankrupt. One company, Solyndra, went bankrupt.  That’s not quite all.  There’s ample room for debate on whether the government should be subsidizing commercial energy companies, but the fact remains that the vast majority of the loans have not defaulted. Further, the $535M Solyndra debacle is a relative drop in the $34B DOE loan bucket. So minimally, this claim is blowing things out of proportion.

There’s a healthcare mandate, she says with a voice dripping in desperation. Yes there is. And unless we’re content with 30-50 million Americans going without medical care or getting it by indirectly increasing the costs of those of us who do get it, there should be.  Even Mitt Romney (the unwitting father of Obamacare), was recently praising the Israeli heathcare system as being cost effective—apparently unaware that it achieves those results through government controlled universal coverage. If there’s a workable alternative solution, someone should put it on the table.  Otherwise

There’s a middle class tax hike, she says.  No, there isn’t. Taxes are at historic lows.  That is, unless you count the Obamacare individual mandate as a tax increase, in which case they are still at historic lows.  But viewing the mandate as a tax increase is a spurious argument that also requires you to acknowledge the effective tax cut the rest of get for not having to pay for the care of those without insurance through our insurance rates, paycheck deductions, and co-pays.

Obama promised transparency! Yes, he did. And the record so far is abysmal by pretty much any measure. Transparency seems to decrease year after year regardless of who’s in office.  This may be a result of the 24×7 instant news culture we live in.  Be that as it may, this is still our government and we have a right to know what’s going on in there.

There are loads of lobbyists in the Administration. Yes, there are, and Obama promised there wouldn’t be.  This is more than a little disappointing. It may be the reality of modern government. It may be that other administrations have done much the same thing, but that doesn’t change the fact that this is a fundamental campaign promise on which Obama has failed badly.

African American suffer the highest unemployment rates.  Well, yes. But historically that’s always been true. That doesn’t make it a good thing, but it’s hardly a remarkable thing.

Internationally we’ve never been more hated. This is simply pants-on-fire false.

But I thought the Muslim world would follow our lead to democracy? Well, yes and no. The Arab Spring has certainly been a profound and recent movement toward democracy in much of the Muslim world. However, in many cases it has resulted in the democratic election of parties and leaders that are not so very friendly toward the USA. The unfortunate reality of letting people choose is that you may not like their choices.  Nonetheless, to say they followed our path is a little ludicrous. Further, Obama didn’t promise to bring democracy to the world. That was G.W. Bush.

Instead, we’re following Europe’s lead into debt.  Yes and no, but mostly no. First, we aren’t following Europe. We aren’t racking up debt because they are or because we view them as some sort of economic mentor. Second, not all of Europe is debt ridden. Greece, Italy, and Spain are at particular risk. This crises was created because of the European Economic Union, which joins all the countries’ currencies without linking their economies. This is not the situation in the USA. we are not going the way of Europe. We may still get sucked down by them, but that’s not a function of debt, just a reality of global economies.  Yes, the debt in the US is unsustainable. However, current debt levels are not a result of runaway spending. Spending increases are growing slower than at any time since the 50s. Instead, what we have is an unprecedented loss of revenue as a result of tax cuts, high unemployment, and a sluggish economy. Further, the US government is currently considered the most stable financial bet on the planet. At present, the Treasury is able to sell debt at negative yields. That means people are paying the US government to keep their money safe. This is beyond free money.  Yes, we can’t rack up debt forever. When the economy recovers, we absolutely need to pay it down rather than giving ourselves tax cuts like we did in 2001. But there is no evidence that debt is an emergent risk to our economy.

I recognize this has been long, and I’m flattered if you muddled through to the end. If you have any energy left, I strongly encourage you to click through and read the reference material, or dig up your own. But please, dig up facts and not emotional appeals and sound bites. The video is a cute concept, but it is a message largely without substance.

Primetime on The Potomac Shore

September 6th, 2011

Rep. Jim Cooper

Rep. Jim Cooper (D-TN)

NY Times columnist Joe Nocera recounts the tale of whom he calls the last moderate in Congress.  Rep. Jim Cooper (D-TN) is an unabashed Blue-Dog Democrat with a sobering perspective on the dysfunction that exists under the Capitol Dome.

To Cooper, the true villain is not the Tea Party; it’s Newt Gingrich. In the 1980s, when Tip O’Neill was speaker of the House, “Congress was functional,” Cooper told me. “Committees worked. Tip saw his role as speaker of the whole House, not just the Democrats.”

 

Gingrich was a new kind of speaker: deeply partisan and startlingly power-hungry. “His first move was to get rid of the Democratic Study Group, which analyzed bills, and which was so trusted that Republicans as well as Democrats relied on it,” Cooper recalled. “This was his way of preventing us from knowing what we were voting on. Today,” he added, “the ignorance around here is staggering. Nobody has any idea what they’re voting on.”

 

“This is not a collegial body anymore,” he said. “It is more like gang behavior. Members walk into the chamber full of hatred. They believe the worst lies about the other side. Two senators stopped by my office just a few hours ago. Why? They had a plot to nail somebody on the other side. That’s what Congress has come to.”

I’d like to be shocked, but this is simply confirming the obvious truths we are loathe to accept… loathe because in principle the government is us. It is of, by, and for the people.  Unfortunately, rather than the best in us, Congress has come to manifest the darkness in our souls most of us dare not show the world.

In many respects, it it simply another embodiment of Reality TV…  an endless parade of backstabbing, bitch-slapping, and name calling.  A performance we profess to hate, but in practice, won’t turn off.  And as much as I’d like to fault all the Congressional Snooki wannabees out there, ultimately we are the ones responsible for the “success” of The Potomac Shore.

[thanks to MB for finding Nocera's NY Times column]

The country is not broke, but it is broken

July 24th, 2011

Broken ChainPopular wisdom has it that the US is largely now “owned” by China or other foreigners.  That we are basically borrowing from the world to stay afloat.  Thus, ushering in the specter of these lenders calling our loans due and breaking us.

It turns out that’s not quite true.  In fact, it’s not even a little true.  Business Insider actually looked at the data, and the perhaps surprising result is that two-thirds of the $14.3 trillion debt is held right here in the US.

Think of that a little differently.  $9.8 trillion of American government debt is held by US taxpayers.  The same people (well, some of the same people) ultimately responsible for paying off that debt.  The same people who would pay should the government opt to raise more revenue through taxes.

The government is the people in this country.  We hear all the time how the US debt is a legacy of burden on our grandchildren.  Yet, at least collectively, those same grandchildren are sitting on a massive asset which is the notes on that very same debt.  It would be as if you had $70,000 worth of gold buried in your backyard, a $100,000 mortgage you couldn’t make the payments on, and spent all your time whining about how you were broke.

Make no mistake, the current debt crisis is one of choice on many levels.  The government may well be broke, but the country is not.  And the government is broke only because it (or we) have chosen make it run that way.  This leaves us no license to bitch about it.

Be careful what you wish for – Congressional Edition

July 22nd, 2011

Capitol DomeA new Washington Post/ABC News poll finds that nearly two-thirds of registered voters say they plan to “look around” to vote for someone other than their current member of Congress in 2012.

This is pretty understandable given the utter dysfunction of the 112th Congress and the debt ceiling gauntlet they have chosen to run us through.  However, it’s worth noting that this sort incumbent dissatisfaction is what got us here in the 2010 election cycle.

The 2010 elections were all about throwing out the incumbents and sending Washington a message that the voters were mad as hell and wanted things to be different.  The result being an extremely large crowd of 93 Freshman Representatives in the House and 13 fresh-faced Senators.  And well… it’s different in Washington, but is it what we wanted?

The mad as hell, ideologically driven, take no prisoners and accept no compromise spirit of the voters is arguably embodied in the newly elected legislators.  But the result has been virtual political paralysis.  The people sent to “shake things up” have failed to realize that beyond being a message incarnate, they are actually supposed to run a government and act in the best interest of the people.  And the very nature of that in any democracy is about compromise and negotiation, a subtle point of complexity apparently lost on the Freshman class.

The lesson here for us voters should be that while there’s lots of good reasons to revile the incumbents, it’s vitally important to replace them with someone competent and capable, not merely someone loud and angry.

The GOP may be running out of feet to shoot

June 4th, 2011

National Lampoon Cover

Don't make us resort to drowning kittens!

Senate Minority Leader Mitch McConnell continues to stand by his claim that Job 1 for Congressional Republicans is to defeat Obama in 2012.  Yet the question looms, how far are they willing to go to make that happen?  Recent history suggests, pretty damn far.

To understand what’s going on, you have to first recognize that the GOP is beholden to two major groups.  On the one hand they are funded by big business and the wealthy businessmen created therein.  The interests of this group define the overall agenda and goals for the party.

On the other hand, the foot soldiers at the polls are largely made up of blue-collars, religious fundamentalists, and seniors.  This group is necessary because, come November, you have to have lots of bodies show up to vote for you.  But they are ultimately fodder as far as the policy agenda goes.  They get tossed a rousing speech, a few sound bites, and an occasional red meat issue and it keeps them fired up and loyal. I’m somewhat reminded of Dennis Hooper’s line from Waterworld where he launches into a motivational tirade for his crew and they all storm off below decks to row their hearts out.  He’s asked, “So which way we rowin’?” And he replies, “I don’t have a goddamn clue. Don’t worry, they’ll row for a month before they figure out I’m fakin’ it.”

Now consider, the GOP won handily in 2012 on their promise of jobs, jobs, jobs.  Then, once in office, immediately focused on Obamacare and abortion.  Why?  For starters, creating jobs is hard. Especially when the economy is in a demand slump and the interest rates are bumping the zero-bound. The only solution is federal deficit spending, and they sure as hell weren’t going there.  After all, deficits are bad.  Not for the reasons often touted, but because ultimately deficits have to get repaid through taxes—something their corporate benefactors are not fond of—especially when corporate profits and CEO salaries are soaring.  Which brings us to the second point.  Among their fodder constituents, abortion and Obamacare are both reviled.  So the strategy was essentially to distract one group while appeasing the other.

Next up is the Paul Ryan budget.  No one in the GOP thought the plan had a snowflake’s chances in hell of passing, yet they lined up behind it in droves.  Why?  Two reasons.  First, the plan was a message to the corporate benefactors.  This was a wish list for the privatization of government programs and tax cuts that all serve to line the pockets of the folks who in turn fund the Republicans.  By standing behind it, they were assuring the benefactors they had their backs.  Secondly, the plan was political.  Actually passing a plan means you can be evaluated down the road for its efficacy.  Proposing a plan that can’t pass puts you in a position down the road to say that things suck because nobody listened to your ideas.  Politically this was a much more powerful position to be in.

However, the GOP underestimated their fodder constituents.  You’d think they’d have learned from Bush’s crash and burn on Social Security privatization, but not so much. They tried to couch the language, but the public saw through that.  The result being that Ryan’s budget is now enormously unpopular because it is recognized to fundamentally change Medicare.  It turns out that when fodder folks talk about support for smaller government and less spending, they don’t mean to include programs from which they benefit directly.  The message sent to Republicans in NY’s 26th District special election was overwhelmingly, mess with Medicare and we will vote your ass out.  This was the GOP’s first shot to its own foot.  It’s limping, and looking for a path back to hale and healthy. (Gee, I hope they can afford medical insurance.)

Still, the scary specter on the horizon is the debt ceiling.  If the Ryan budget was a pistol shot to the left foot, the debt ceiling is a hacksaw poised above the right knee.  All the sane people (which is not all of the people) on both sides of the aisle agree the ceiling must be raised.  To not do so would be economically disastrous with long-term consequences.  Even Wall Street is saying this has to happen. Both sides also recognize the Republicans are simply taking an opportunistic hostage to gain political advantage.  This is a dog they clearly don’t want to shoot, but if you think they just might be crazyenough, maybe you’ll buy the magazine anyway.

Again, why are they playing it this way?  And again, there are a couple of forces at work here.  On the one hand, the debt ceiling is enormously unpopular.  In fairness, understanding the nuances of the impact of the debt ceiling on the macroeconomic health of the U.S. economy is hard to capture in a sound bite, and most people lack the interest or the time to delve into the details.  Besides, the GOP has already established with the fodder constituents that deficits are bad. So selling a refusal to move on the debt ceiling is duck soup.  Besides, if they can get major concessions from Democrats, they will be in the politically favorable position of being able to crow about their accomplishments.  But there are more subtle and insidious forces at work here.

Everyone acknowledges that Obama’s reelection hopes hinge on the economy.  The last thing the GOP wants is for the economy to make any demonstrable progress, especially in the area of jobs, wages, or anything felt directly by their fodder constituents, prior to 2012.  Obama’s demise (Job 1) is directly contingent on the majority of Americans feeling substantive economic pain going in to the election booth.  The GOP is talking about needing $2 trillion dollars in cuts as ransom to get them to release the debt ceiling.  Those cuts cannot be achieved without significant job losses (both government and downstream private sector jobs as well) in addition to major entitlement programs like Social Security and Medicare.  This exacerbates the demand slump the economy is in, and pretty much guarantees pain for middle America, and what will border on inhumanity to the poor, disabled, and unemployed.

The gambit here is that Republicans can successfully hang the 2012 economic conditions on Obama—that their fodder constituents will blame their plight on “Obama’s wild spending spree” rather than on Republicans draconian budget cuts.  And you can bet there will be additional tax cuts for corporations and the rich included in any debt ceiling as well, which will seal the love of the GOP benefactors.  This is arguably the sweet spot for the GOP going in to the elections.

However, the downside is they are playing chicken with investors by holding the debt ceiling hostage.  Wall Street and foreign investors alike certainly recognize individually that raising the U.S. debt ceiling is a matter of when, not if.  But what the investors realize is that the market behaves like a herd of buffalo rather than as a single rational actor.  Everyone may realize that long term there’s no danger, but if one animal spooks and heads out, the herd will react and follow, trampling all of us in its wake.  This means the benefactor constituents are justifiably nervous about this brinksmanship.  They can’t control all the buffalo, so everyone is tip-toeing about hoping to keep everyone else calm.  Should someone spook, the results will be disastrous.  But the devastation will not be just to our economy.  The benefactors will doubtless bail on the GOP, who’s political ploy just cost them billions.  If this happens, the Republicans will have effectively lopped off their right leg.

This is high stakes poker.  The GOP may win at the polls.  The corporate benefactors may win, lose, or break even.  The rest of us will lose.  The only path here on which we win would be if Democrats refused to bargain, called the Republicans bluff, and got them to fold.  It’s pretty clear that won’t happen.

Is this view overly cynical?  Perhaps.  Maybe the GOP is not behaving with this much premeditation.  Perhaps they are instead just ignorant and reckless or opportunistically sociopathic.  But any way you slice it, unless you’re in the GOP’s corporate benefactor class, you voting for a Republican is like a chicken voting for Col. Sanders.

Holding the Debt Ceiling Hostage

April 11th, 2011

John Boehner

Speaker Boehner plans to hold the ceiling hostage for something "really really big"

With the fight over a spending bill settled (for now), another fight is brewing in Washington over raising the debt ceiling. President Obama, who is advocating to raise the level at which the U.S. government is legally permitted to borrow, so as not to cause a default on payments, has said he wants to see a “clean” bill on the matter—one without attachments.

On Saturday night House Speaker John Boehner declared, “The president says, ‘I want you to send me a clean bill.’ Guess what, Mr. President. Not a chance you’re going to get a clean bill.”  Boehner argued that “there’s no plan to deal with the debt we’re facing,” and that Republicans would not vote to increase the limit unless Democrats conceded something “really, really big.”

What makes this so infuriating is the debt ceiling is not a partisan issue.  If the GOP had wrangled their $100 billion in spending cuts last week, or even if Paul Ryan’s budget had been put in place last year, we’d still be on a course to exceed the debt ceiling.  It’s not like the GOP had a plan to avoid it, but the Democrats forced us on a reckless course instead.

There is no remotely feasible “really really big” concession that would cause us to not hit the debt ceiling. None. Further, both sides agree that defaulting on our debt would have catastrophic long-term economic consequences.  There will likely be a non-trivial downside to even flirting with letting us crash into the ceiling.

That this is even an issue is wholly irresponsible.  That Boehner will use his “but I can’t control my crazy-ass Tea Party folks and they’re just nuts enough to pull the trigger” strategy on this to gain likely concessions on lowering regulations, restricting abortion, and lowering taxes is outright extortion.

On the one hand, it’s tempting to hope that this time the Democrats stand firm and call their bluff.  However, there’s a real danger they aren’t bluffing.  Something many voters should consider the next time they opt to send some whacko hack to Washington just to shake things up.   You may get more than you bargained for.

 

It’s the Revenue, Stupid

April 6th, 2011

As we rapidly approach another potential government shutdown due to the Congressional budget impasse, it’s a good time to examine to root of the fiscal situation in which we find ourselves.  Republicans did well at the polls in 2010 by framing the problem as one of out of control government spending.  Democrats have basically conceded that point, and the current debate rages over exactly how many billions of dollars should be cut and from where.

Looking for ways to contain spending is always smart, whether you’re a government, a corporation, a small business, or just a household.  Left unscrutinized, expenses tend to accumulate over time, and the larger the organization, the larger the accumulation of programs and services that no longer provide a valuable service, or do so inefficiently.

Spending as a % of GDPHowever, the current debate overlooks the larger, and frankly glaring, reality that we are not in the midst of a period of out of control spending.  We are in a period of unprecedented loss of income.

The chart at the right shows spending relative to GDP. Looking at these numbers relative to GDP is the only sensible approach as it takes into account the dollars relative to the size and strength of the country’s economy.  What’s clear from the chart is that we are on the line that extends back for a century.  The two big blips are the World Wars, but otherwise, spending growth is relatively constant.  It’s also interesting to note that one of the only extended declines in spending was during the Clinton administration in the 1990s.  We’ve since squandered that, which does lend credence to the claim that spending has increased dramatically in recent years.  But it would still be difficult to characterize this as run away spending.  Especially considering we are already seeing a downturn in spending because of the expiration of most of the stimulus programs.

Still, it’s also important to recognize the slope of this spending line is ultimately unsustainable.  Eventually, this line will cross 100% and keep on going.  And realistically, we need to flatten it out long before then.  So yes, make some tough priority choices, strive for efficiency, and reduce waste because ultimately we do need to flatten this line out.

Revenue as a % of GDPOn the other side of the equation though, look at the revenue graph.  There has been a precipitous drop in revenue over the last decade.  As a percent of GDP, revenues have not been this low in 50 years.

In part, this loss of income is attributable to the economic downturn, but it is attributable in larger part to the many tax cuts passed.  So while we may argue that some of our deficits are caused by economic realities, a non-trivial chunk are caused by our choices.  We are choosing to be broke, or at least choosing to be as broke as we are.

Think of this in the framework of a typical 2-income household.  As a couple, you decide you need to get your spending under control as its year-on-year growth is not sustainable, but you just can’t bring yourselves to contain your spendthrift habits.  So you decide to have your spouse quit their job.   For a while you continue to spend at your old rate anyway because your credit cards have not maxed out.  And it is only when they do that you force yourselves to cut back.  Yet now you have to cut back to one-income levels, and you are also saddled with interest payments on all the debt your racked up.

Mission accomplished?  In what reality?  We need to get spending under control.  We have a revenue problem.

Of Marshmallows and the Economy

March 22nd, 2011

Two MarshmallowsThere are two kinds of people, those who eat one marshmallow, and those who eat two. So says Scott Sumner, a libertarian economist, who relates the results of Walter Mischel’s psychological experiment on 4-year olds and chewy goodness to current attitudes on government entitlement programs.

Forty years ago Mischel, an American psychologist, conducted a famous experiment. He left a series of four-year-olds alone in a room with a marshmallow on the table. He told them that they could eat the marshmallow at once, or wait until he came back and get two marshmallows. Some eat the marshmallow immediately. Others try all kinds of strategies to leave the tempting treat alone.

Nothing surprising there. The astonishing part was the way that the four-year-olds’ ability to defer gratification was reflected over time in their lives. Those who waited longest scored higher in academic tests at school, were much less likely to drop out of university and earned substantially higher incomes than those who gobbled up the sweet straight away. Those who could not wait at all were far more likely, in later life, to have problems with drugs or alcohol.

Sumner goes on to explain that what bothers him is when he sees attempts to redistribute wealth from the two marshmallow eaters to the one marshmallow eaters. Being a two marshmallow guy myself, it’s certainly easy to relate to the frustration of needing to support those who lived in the moment without planning for their futures.  Sumner’s point is that it’s not fair to the two marshmallow crowd to cut their Social Security benefits because they don’t need the income.

Social Security is a good thing in that it forces the one-marshmallowers to prepare for a future they wouldn’t otherwise consider until it was too late.  It puts the burden on them, rather than having them be indigent burdens on society in their twilight years. But the two-marshmallowers who have accumulated some wealth over the decades are equally entitled to enjoy the fruits of their contributions to Social Security.  The program’s current method of allocating benefits based on lifetime earnings preserves equity between the one-marshmallowers and the two-marshmallowers. But noises are being made in Congress for changes such that accumulated wealth at retirement would decide your level of benefits, and this would unfairly punish the plan-ahead crowd.

Sumner then goes on to say, “I don’t trust the Dems—I see them as the party of one marshmallow eaters.”  It is here that I think he runs off the rails a bit.

Democrats certainly have the reputation for backing entitlements and social safety nets that keep the one-marshmallowers from economically melting in the campfire of life. But the Republicans are prone to their own brand of short-sightedness.  If the country were a chess game, the GOP would never play more than one move ahead. From issues as diverse as deregulation, pollution, education, taxes, infrastructure investment, and foreign policy the Republicans are pocketing short term gains with little to no regard for the longer term implications.

While the marshmallow analogy is instructive, it’s not at all clear there is a clean party line to draw between the two groups. If anything, the politicians of both parties are thinking far too much like one-marshmallowers.  Two-marshmallow types are capable of sacrificing now in the interest of a better future.  There are scant few policies proposed that meet that definition—fewer that are not dead-on-arrival once the news media starts spinning them to the public.  As a country, deferred gratification is not our strong suit.

It’s the health care costs, stupid

March 11th, 2011

Doctor

Health care costs are the elephant in the room (Photo by Lauren Nelson on Flickr)

As Democrats and Republicans continue their budget dance over non-military discretionary spending, the elephant in the room remains the rising cost of health care.  The Congressional Budget Office estimates that over the next 25 years, the percent of GDP spent on Medicare and Medicaid will double.  And these cost increases will not be limited to government programs.  Private and employer based costs will rise at the same rate—costs that will be reflected in higher prices and lower wages. Simply put, if you’re serious about the economy, then you are serious about long term containment of medical costs. Clearly, Congress is not serious about the economy.

According to Kaiser Health News, Republicans mocked proposals to improve the use of Medicare and Medicaid funds. They declared spending money on prevention was just a “slush fund,” and research on innovation was “an oxymoron.”  Further, there was no cause to pay for “so-called effectiveness research.”

Meanwhile, two House Democrats have signed onto a Republican bill to repeal a health reform provision for the Medicare payment board, which fast-tracks cuts to Medicare payments when spending reaches a pre-determined target. The CBO estimated the board would save $28 billion through 2019.

GOP 2012 hopeful Mike Huckabee attacked the Obama stimulus because it included funds for comparative effectiveness research saying, “The stimulus didn’t just waste your money; it planted the seeds from which the poisonous tree of death panels will grow.”

The proposals opposing efforts to reign in escalating health care costs may be partly political opportunism run amok, but likely also reflect a broad ignorance about the state of medicine as currently practiced. A panel of experts convened in 2007 by the prestigious Institute of Medicine estimated that “well below half” of the procedures doctors perform and the decisions they make about surgeries, drugs, and tests have been adequately investigated and shown to be effective. The rest are based on a combination of guesswork, theory, and tradition, with a strong dose of marketing by drug and device companies. (reference—subscription required)

In fact, the reliance of doctors on companies marketing treatments is downright frightening. In many cases, physicians perform surgeries, prescribe drugs, and give patients tests that are not backed by sound evidence because most doctors are not trained to analyze scientific data, says Michael Wilkes, vice dean of education at U.C. Davis. “Most medical students don’t learn how to think critically.”  The reality is that doctors are human. They trust what they are told, especially by their peers. Yet, a 2002 study in the Journal of the American Medical Association (JAMA) found that 87 percent of guideline authors received industry funding and 59 percent were paid by the manufacturer of a drug affected by the guidelines they wrote. Their peers, it seems, are largely bought and paid for by companies trying to sell something.

The holes in medical knowledge can have life-threatening implications, according to an Agency for Healthcare Research and Quality report published in 2001: More than 770,000 Americans are injured or die each year from drug complications, including unexpected side effects, some of which might have been avoided if somebody had conducted the proper research. Meaningless or inaccurate tests can lead to medical interventions that are unnecessary or harmful. And risky surgical techniques can be performed for years before studies are launched to test whether the surgery is actually effective.

Getting health care costs under control requires government sponsored comparative effectiveness research.  This is research aimed at determining what treatments actually work, and educating doctors.  Doctors and hospitals do not have the resources to self-fund this research.  And private companies are incented to sell drugs, devices, and treatments rather than cure patients.

Doctors are smart people. But they are only as good as the information they have available to them. Comparative effectiveness research will allow doctors to make better choices, reduce costs, and have healthier patients.  That’s money well spent. Money that is an investment in not only our health, but our economic future.

Former Senator Chris Dodd breaks promise not to become a lobbyist

March 2nd, 2011

Chris Dodd Bobblehead

Chris Dodd's ethics bobble with the breeze (Photo by DonkeyHotey on Flickr)

Recently retired Senator from Connecticut Christopher Dodd said upon leaving office he would not seek to become a corporate lobbyist.   But that was two months ago, and times change.  The former five-term Democratic senator announced yesterday he accepted a job as head of the Motion Picture Association of America.

Technically, Dodd is legally barred from becoming a lobbyist for two years after leaving the Senate. However, like so many retired legislators before him, he skirts that rule by not officially being hired as a lobbyist.  Still, as the head of one of the most high profile lobbying groups in the country, it’s a distinction without a difference.

Interim MPAA CEO and president Bob Pisano told Hillicon Valley last month that his organization’s unwavering focus was on increasing the federal government’s efforts to stop online film piracy. Pisano also talks up the importance of COICA and how happy he is that Homeland Security has been seizing domains in violation of the First Amendment and basic due process, even taking down tens of thousands of perfectly innocent sites.

It remains to be seen how or if Dodd’s new million dollar job will change his previously professed positions on related issues. He was on record as a big supporter of Net Neutrality. However, the MPAA has come out against net neutrality, claiming it would hamper its efforts to “fight piracy.” He was also against ISP data retention, which the MPAA has supported (again as a way to fight piracy). On copyright he was somewhat non-committal, but did talk about how fair use rights are important. A position likely to disappear once he takes the role formerly filled by Jack Valenti—the man who once declared that fair use doesn’t exist.

Dodd co-authored the Wall Street Reform and Consumer Protection Act. This legislation was targeted at improving the accountability and ethics of the banking system.  Too bad Dodd’s own ethics now seem to be bobbling in the breeze.

Search for secret Senator who killed Whistleblower Bill narrows to five

February 19th, 2011

Whistle

The silence of the whistles is deafening (Photo by Lkmorlan on Wikimedia)

Last month, On the Media launched an effort to track down the killer of the Whistleblower Bill in the Senate.  The Whistleblower Protection Enhancement Act (S. 372) was intended to provide critical extensions to protections for government employees and contractors in an effort to expose corruption and waste. It enjoyed wide bipartisan support.

The bill originally passed unanimously by the Senate in the waning days of the 2010 lame duck session.  However, WikiLeaks delayed passage of it in the House. A bipartisan House agreement was brokered in the 11th hour, and legislation that would only extend coverage to non-intelligence employees for unclassified whistleblowing disclosures passed in the House by unanimous consent. The bill returned to the Senate where it died because one Senator issued an anonymous hold on it.

The irony of whistleblowing legislation being scuttled under a cloak of secrecy was not lost on the NPR based program whose staff set themselves the task of outing the closeted Senator responsible.  The offices of all 100 Senators were contacted, and 95 have asserted they did not issue the hold.  Five Republicans remain silent on their involvement.

  • David Vitter
  • Jeff Sessions
  • James Risch
  • Mitch McConnell
  • Jon Kyl

As of January 27, 2011, less than a month after anonymously holding the Whistleblower Bill, the Senate eliminated the practice of secret holds. This was a welcome change toward what both parties professed would be a more open and transparent government.  But the change was not retroactive, so the popular bill languishes in perpetual purgatory. The Senator who banished it, and the secrets he’s presumably trying to protect, remain unknown.

Boehner defends rights of Americans to be ill-informed

February 14th, 2011

Speaker John Boehner

Boehner is eager to do the will of the ignorant

On NBC’s Meet the Press this weekend, Speaker John Boehner was pressed by host David Gregory to repudiate the baseless allegations of Obama being a Muslim and having not been born in the USA.  Boehner declined.  In the process, he said, “David, it’s not my job to tell the American people what to think. Our job in Washington is to listen to the American people.”

On the face of it, Boehner is merely restating what has become a tired mantra of many politicians—they are listening to the American people.  Yet the larger implications of his statement on a whole, especially in the context it was stated, are particularly troubling.

The Speaker told Gregory that people have a right to their beliefs and it wasn’t his job to tell them what to think.  However, as Senator Daniel Patrick Moynihan said, “Everybody is entitled to their own opinions, but not their own facts.”  Where the President was born and what religion he practices are not matters of belief or opinion.  This is evidential information.  Boehner himself says he accepts Obama’s Hawaiian birth and Christianity as “facts as he understands them”.

Not only is Boehner saying he considers the views of the ignorant and misinformed to be equally as valid as everyone else, but he strongly feels that as a leader he has no obligation to lead.  He will just follow blithely where the unwitting wish.

This would merely be a comical interlude except that studies show that Fox News viewers are already the most misinformed citizens, and a Fox News insider has revealed a news culture where “facts” are routinely just made up to suit the desired narrative.  Boehner is making it all the more clear that misinformed constituents are now part of the Republican strategy.

Divided House GOP ups the odds of government shutdown

February 11th, 2011

Pew Poll on Spending Cuts

Republicans favor spending increases when polled on specific programs

On Wednesday, Republican House leaders introduced $32 billion in budget cuts for the remaining seven months of the 2011 fiscal year, but were then rebuked by more conservative members who deemed the cuts not deep enough.  A big chunk of the incoming freshman class, elected on the promise of slashing $100B from the budget, are taking their campaign promise literally.

This creates problems for Speaker Boehner and his team who have vowed not to repeat the mistakes of the ill-fated 1995 Gingrich Congress who played a game of “chicken” over the budget and lost.  Boehner is faced with internal forces who are demanding extremely painful non-defense discretionary spending cuts.  Meanwhile, a new Pew Poll shows that most Republican constituents are not in favor of cutting much other than global aid and unemployment benefits.  This potentially puts the House leadership in a no-win situation.

The poll shows that while the American people are conceptually in favor of less spending, lower taxes, and smaller government, when you get down to specifics, there’s not too much they are willing to give up in terms of government services and programs.  There is a popular perception that government is so rife with waste and fraud that $100B could be saved without really impacting anyone’s life.  A false perception that was perpetrated by the GOP during the 2010 election when they tossed the $100B number about without any specific plan for how to achieve it.

Unfortunately for the GOP, many of their own members were drinking their Kool-Aid.  The Tea Party Caucus and other ultra-fiscal conservatives are now standing by their $100B pledge.  And they seem convinced that this time around the people would stand with them if they dare the Senate and Obama to reject their cuts—something House leaders are not so sure about.

With a looming budget vote and a debt ceiling vote, fiscal conservatives have two upcoming opportunities to force an economic crisis if they are unsatisfied with the budget proposals.  Neither a government shutdown due to a failure to approve a budget nor the global market shockwave that a refusal to raise the debt ceiling would cause will be tolerated by voters.  Yet there is virtually no chance a draconian budget approved by the House would get through the Democratically controlled Senate, much less the White House.  Even if it did, the poll indicates a significant voter backlash.

Unless the fiscal conservatives blink, the only path to avoid a crisis may be for moderate Republicans to break ranks with the Tea Party and cooperate with Democrats to pass reasonable budget bills.  This is something neither Boehner nor the Republican party wish to happen as it would fracture the unified alliance responsible for resurrecting the party after 2006 and would alienate the conservative base.

The GOP is between the proverbial rock and a hard place.  Yet it’s hard to sympathize as this is a situation of their own making.  It’s not clear if Republicans will win or lose, but it’s increasingly likely the people will lose.

Internet Kill-Switch Bill is ill-timed, ill-named, just ill

February 2nd, 2011

Easy Button

The kill-switch that doesn't exist (Photo by Craig Dugas on Flickr)

Sen. Lieberman reintroduced his ‘Protecting Cyberspace as a National Asset Act of 2010’ this week. The bill has been widely dubbed the Internet Kill-Switch Bill, and its reemergence unintentionally coincided with Egypt shutting off its own Internet connection.  Egypt is back online today, but debate rages anew over whether or not the President should have the power to shutdown the web. What’s being widely ignored is that Lieberman’s bill doesn’t really provide the President with that power. Rather it broadens the power he already has to make the Internet go dark.

Under the Communications Act of 1934 the President has very broad power to shut off any or all wired or radio communications networks in the event of war or even the threat of war. This would include throttling the Internet.  Lieberman’s bill would broaden the definition of threats to explicitly include cyber-threats, But it’s not at all clear this power doesn’t already exist.

Over the last decade the threat of terrorist acts have widely been accepted politically as existential threats to America.  Clearly, a major attack on our communications networks would be considered an act of terror, and the threat of such an attack would allow the President a great deal of latitude to prevent such an attack, including shutting down parts or all of the network.  Lieberman’s proposal does little to change the scope of executive power in such a situation.

However, the bill’s primary purpose is to create a plan that would force the private providers of critical digital networks to come up with ways of managing their traffic in the event that something bad happens.  Is that a good thing?  Yes, in the sense that any competent network should have plans in place to deal with cyber-attacks.  Yet there are already ample incentives for any private provider to have such plans in place. Lieberman’s proposal would legislate what is already considered standard practice.  While the bill doesn’t obviously do much harm, it doesn’t do any obvious good either.  And it does create additional federal bureaucracy, which would seem ill-advised at a time when both sides are looking for ways to cut administrative expenses.

While Lieberman’s bill doesn’t create an Internet Kill-Switch, the specter of Obama having a big red button on his desk that would sever the web looms large in the minds of conservatives and liberals alike.  Yet this nervousness is ill-founded.  Such a button does not exist.  The mechanisms by which the government would shut off the Internet would be that it would have to coerce or demand the cooperation of private telecommunications providers to cut off their external network connections. The sheer number of companies managing such extra-national networks makes such a prospect considerably larger than Mubarak’s turn down of the three Egyptian ISPs.  It would take days to weeks for the government to effectively kill the American Internet, if it was possible at all—and more than enough time for any particular cyber-attack to do its damage.  Further, the prospect of a President getting widespread ISP cooperation to execute an Egypt-style quelling of popular dissent is even more remote.   The “kill-switch” as a defensive measure is neither practical or effective.

If people are truly concerned about the Internet remaining a free and open means of communication for everyone, they should be supporting true Net Neutrality legislation, not fretting about mythical kill-switches.

Independent analysis debunks false GOP claims about health reform

January 18th, 2011

Obama_healthcare_signature

Obama's signature on the health care reform bill

The Center on Budget and Policy Priorities, a group with a reputation for producing materials that are balanced, authoritative, and accessible to non-specialists, has released a study of the claims central to the debate on repealing health reform that will reopen in the House this week. The short answer is that the CBO analysis is deemed accurate while Republican claims to the contrary are deemed inaccurate.

At issue is the pending bill to repeal “job killing” health care reform, a bill who’s very name contains an accusation.  Rep. Steve King (R-IA), a leading proponent of repeal, says “This is the most important thing we can do, jobs and the economy have to follow through, but we can’t fix this economy unless we first repeal Obama care.”  But is that true?

Much of the rhetoric surrounding this debate has been quite partisan.  Yet a surprising element in this round has been the claim by Speaker Boehner that the CBO analysis of the health care reform act’s financials was merely their “opinion,” and he implied that Democrats had forced CBO to produce misleading figures, saying that “CBO can only provide a score based on the assumptions that were given to them.”  On that count, the Center on Budget and Policy Priorities says:

  • In fact, over several decades, the House and Senate Budget Committees, along with presidential administrations of both parties, have developed procedures that CBO uses to prepare cost estimates.  In estimating the cost of health reform or its repeal, as with any estimate, CBO uses these longstanding, bipartisan procedures — not assumptions specified by the sponsor of the legislation.  Thus, Speaker Boehner’s charge is flatly incorrect.
  • Up until now, congressional leaders of both parties have acknowledged CBO’s professionalism and recognized its critical role as a neutral arbiter in budget matters.  They have accepted CBO’s cost estimates, even when those estimates have proved inconvenient for their side.  This wholesale attack on, and rejection of, a CBO estimate for a major piece of legislation by the leadership of the House or Senate is unprecedented.

As Senator Daniel Patrick Moynihan said, “Everybody is entitled to their own opinions, but not their own facts.”  A recent USA TODAY/Gallup Poll determined that 83% of the public say it’s extremely or very important for House Republicans to pass legislation that both parties can agree on.  Further, 70% of Democrats say the president should work to pass legislation Democrats and Republicans can agree on, even if it’s not what most Democrats want.

The public wants the government to cooperate together.  But this cannot happen if there is not at least agreement on the basic data related to an issue.  Debate the implications. Debate the ideology. But stop wasting everyone’s time debating the facts.