WEST DES MOINES, IOWA—Less than 12 hours ago, Michele Bachmann seemed determined to prove all the haters wrong and vowed to waste the next several weeks of her life in South Carolina. Turns out it was all a ruse to gather the media for one last headline-grabbing event.
To keep money from corrupting our democratic politics, we need constitutional change. No doubt lots can be done by statute alone—meaningful transparency rules, such as the Disclose Act, and small-dollar public funding, such as the Fair Elections Now Act. The Supreme Court, however, has all but guaranteed that these won’t be enough. Transparency by itself won’t build trust; public funding can only be voluntary; and independent expenditures are all but certain to swamp even the best reforms tolerated by the Court. If we’re ever going to get a Congress “dependent,” as James Madison put it in Federalist Paper No. 52, “upon the People alone,” and not “the Funders,” it is clear that Congress will need new constitutional authority.
Election Day 2012 looks like it is going to be Groundhog Day 2012. Another election dominated by money. Another series of promises made on the campaign trail, broken as soon as donors and lobbyists come calling when legislatures convene.
“We must expand from one-day marches and demonstrations to weeks of creative direct action and activities,” wrote Stephen Lerner in New Labor Forum, a quarterly left-labor journal, several weeks before Occupy Wall Street took shape. One way to do that, he continued, “is to build these kinds of longer and more involved protests around students and community groups that have the energy and willingness to take time off from their day-to-day lives to engage in more intense activity (which includes the risk of getting arrested.)”
The SEC Doing Wall Street’s Bidding Robert Kuttner
In the right-wing revisionism of what caused the financial collapse, Fannie Mae and Freddie Mac are leading villains with the federal Community Reinvestment Act in a supporting role. Supposedly, Fannie and Freddie lowered their standards, purchased lots of subprime mortgages, and were major contributors to the housing bubble and crash. In this fable, government pressured banks to make unsound mortgage loans to meet the goals of CRA.
CEDAR RAPIDS, IOWA—Adoring crowds packed rooms to capacity across Iowa the last two days to hear the leader of their revolution. Dr. Ron Paul, as he his loving referred to by his supporters, went on an eight-stop jaunt through eastern Iowa to rile up his supporters two weeks before they vote in the caucuses. He is poised to win the 2012 Iowa caucuses: He leads in the latest polls, has a developed campaign infrastructure, and can count on true believers to show up to vote on January 3.
If there's one thing liberals know about their representatives in Washington, it's that those Democrats are a bunch of wimps. All Republicans have to do is draw back their fists, and Democrats will flinch. "What if they criticize us???" they whine, as they cave in on progressive principles again and again. That's the story liberals tell, and much of the time it's true.
The cave-in by the House Republicans on the payroll tax is on terms that keeps this conflict going well into the election year--and on terms very favorable to Barack Obama and the Democrats. For the GOP, the two-month extension of the payroll tax cut is the worst possible politics.
First, they look weak (because they are weak); and second, the same drama will be replayed next year with the same outcome. Raising taxes on millionaires rather than cutting Social Security or Medicare, or hiking payroll taxes, wins every time.
At a time when legislators, consumer advocates and the Occupy movement batter big banks for their questionable business practices, J.P. Morgan Chase and Bank of America have gone soft and fuzzy. The nation’s two largest banks are running saccharine television commercials that portray the massive multinationals as the Bailey Building and Loan Association.
Bank of America recently rolled out its “Opportunity” campaign to highlight the company's nationwide bid to lend a hand—i.e., money— to small businesses. (Ironically, It’s A Wonderful Life director Frank Capra modeled the Bailey's bank on BoA.)
Protesters at the Port of Oakland Monday. Photo/Aaron Bady
On Monday, occupiers set out to shut down ports across the West Coast. Targets included SSA, which is largely owned by Goldman Sachs, and the Port of Longview, which multinational EGT is trying to operate as the West Coast’s only port without members of the International Longshore and Warehouse Union (ILWU). The actions, which shut down operations at Longview, Oakland, and Portland, were opposed by ILWU leadership. They led to intense debate among and between occupiers and unionists over tactics—who the blockades hurt, whether they’re worth the legal risks—and democracy, namely, how democratic the ILWU and the Occupy movement each are, and whether workers should have a veto over actions where they work.
I happened to be flying on American Airlines the morning after the company declared bankruptcy. Exactly nothing bad happened to my flight. Nobody passed the hat to buy aviation fuel. The flight attendants offered the same dismal snacks. It was business as usual.
American will get to stiff its creditors, its employees, its pensioners, and sail happily onward, not even required to replace its managers. Chapter 11 filings are standard operating procedure when necessary in corporate America. In its full-page ads promising no disruption of service, American managed to avoid even the word "bankruptcy."
If there was anything notable about President Obama’s speech in Osawatomie, Kansas last week, it was the extent to which he attacked economic inequality in the United States, and its deletrious effects on income mobility:
[O]ver the last few decades, the rungs on the ladder of opportunity have grown farther and farther apart, and the middle class has shrunk. A few years after World War II, a child who was born into poverty had a slightly better than 50–50 chance of becoming middle class as an adult. By 1980, that chance fell to around 40%. And if the trend of rising inequality over the last few decades continues, it’s estimated that a child born today will only have a 1 in 3 chance of making it to the middle class.
So you think congressional Republicans are the only right-wingers who like to append their pet (and sometimes, wedge) issues—like the Keystone pipeline—to must-pass legislation like the payroll tax-cut extension? Guess again—it looks to be a trans-Atlantic syndrome.
Over the last week, there has been a torrent of stories illustrating the extent to which the Obama re-election team is observing the Republican presidential contest and developing their strategy for the general election season. And while I’m sure that the Obama team has devoted a fair amount of attention to events in the GOP, I’m also sure that they’ve devoted even more time to events across the Atlantic, where—as Carmel Crimmins and Gavin Jones note for Reuters—austerity has pushed Europe to the edge of another recession: