Poverty & Wealth

Four Fundamental Econ Facts Missed By Economist Cantor-Slayer David Brat

AP Photo, P. Kevin Morley/Richmond Times-Dispatch
AP Photo, P. Kevin Morley/Richmond Times-Dispatch Dave Brat speaks to hundreds of supporters after beating Republican Congressman Eric Cantor in Tuesday's Republican primary for the 7th Congressional District in Virginia, June 10, 2014. O n MSNBC Wednesday morning, Chuck Todd asked David Brat, the Eric-Cantor-slayer, Ayn Rand acolyte, and chairman of the economics department at Randolph-Macon College, about his viewpoint on the minimum wage. Here’s their exchange: TODD: S hould there be a minimum wage in your opinion? BRAT: I don't have a well-crafted response on that one. All I know is if you take the long-run graph over 200 years of the wage rate, it cannot differ from your nation's productivity. Right? So you can't make up wage rates. Right? I would love for everyone in sub-Saharan Africa, for example— children of God—to make $100 an hour. I would love to just assert that that would be the case. But you can't assert that unless you raise their productivity, and then the wage...

Breaking the School-to-Prison Pipeline: Rethinking 'Zero Tolerance'

A new approach to discipline seeks to keep kids in school and, ultimately, out of prison. In one high school, the number of serious incidents of misbehavior plummeted 60 percent, after the start of a "restorative justice" program.

Photo illustration by Jesse Lenz
Photo illustration by Jesse Lenz B efore 2006, when Debora Borges-Carrera became the principal at Kensington Creative & Performing Arts High School (KCAPA) in north Philadelphia, the school was the scene of pandemonium. Not a day seemed to go by without a fight in the concrete stairwell. Kids sent to the principal’s office for disrupting class roamed the hallways. During one visit from the superintendent, a riot broke out in the cafeteria, with students climbing on tables and chucking their meal trays across the room. In Borges-Carrera’s first year on the job, the school—where about 90 percent of students are Latino or black and 100 percent are below the poverty line—reported 76 incidents of student misbehavior, more than four times the state average, including 13 aggravated assaults on staff members. Under KCAPA’s “zero tolerance” policy—since the late 1990s, the prevailing approach to discipline in schools across the country—the typical response to student misbehavior was harsh...

How Seattle’s $15 Minimum Wage Victory Began in New York City’s Zuccotti Park

15 Now/Seattle
15 Now/Seattle Activists at an April demonstration demanding a $15-per-hour minimum wage in Seattle. A n idea that only a year ago appeared both radical and impractical has become a reality. On Monday, Seattle struck a blow against rising inequality when its City Council unanimously adopted a citywide minimum wage of $15 an hour , the highest in the nation. This dramatic change in public policy is partly the result of changes brought about by last November’s Seattle municipal elections. But it is also the consequence of years of activism in Seattle and around the country . Now that Seattle has established a new standard, the pace of change is likely to accelerate quickly as activists and politicians elsewhere seek to capture the momentum. Five years from now, Americans may look back at this remarkable victory and wonder what all the fuss was about. Seattle now joins a growing list of cities—including San Francisco, Santa Fe, Albuquerque, San Jose, and Washington, D.C. (along with two...

In an Obamacare Experiment, Maryland Aims to Make Its Poor More Healthy

In the rural area around Cumberland, the obesity rate is almost 29 percent, nutrition is poor and food insecurity is high. With a waiver from the federal government to experiment with preventive care, state officials hope to reverse those trends.

Mik122/iStockphoto
Monica Potts/The American Prospect Residents wait for their turn at a food bank in Cumberland, Maryland. C umberland, Maryland, is in the western handle of the state, sitting atop Virginia near the narrows that once funneled settlers through the mountains and into the West. It’s the biggest city in the area, with about 20,000 people. The railroads were once the largest industry here, and freight trains still rumble through the downtown, past an old sign for the Cumberland Steel Company and a hilly jumble of old red-brick factories, two-story offices, and church spires. Now, as in almost every other rural part of the country, the biggest employer is the local hospital. The hospital, Western Maryland Health Systems, is participating in a statewide experiment that officials hope will control hospital costs and also make the state’s population healthier. The State of Maryland has been trying to control health-care costs since the 1970s, but its efforts are getting new attention because...

Reparations and the Subprime Meltdown in the Era of Obama

AP Photo/Matt Rourke
AP Photo/Matt Rourke Elva Daniels, right, who is facing foreclosure, protests with her daughter Taiasha Rowland and grandson Cristopher Baker,14 months, Thursday, March 24, 2011, outside City Hall in Philadelphia. This piece originally appeared at The Huffington Post . The writer Ta-Nehisi Coates has rendered a remarkable service to Americans with his essay in the June Atlantic m agazine, " The Case for Reparations ." I don't think a white American of decent conscience can airily dismiss the issue of reparations for the descendants of slaves after reading Coates. The essay is so powerful that it's best to let it speak for itself, but here are a few lines that should stay with you: "Having been enslaved for 250 years, [emancipated] black people were not left to their own devices. They were terrorized." "Planter: 'You lazy nigger, I am losing a whole day's labor by you.' Freedman: 'Massa, how many days' labor have I lost by you?'" Coates reports that by 1840, cotton produced by slave...

The Brothers Koch: Family Drama and Disdain for Democracy

AP Photo/Damian Dovarganes
AP Photo/Damian Dovarganes N ot long ago, a pal of mine asked whether I’d heard the latest scoop about Charles and David Koch, the right-wing billionaires currently overseeing capitalism’s final solution to the democracy problem. Did I know—did I know!?—their grandmother had been none other than Ilse Koch, the human-lampshade-loving wife of Buchenwald’s commandant? Cazart, as Hunter S. Thompson used to say. Overseeing final solutions just runs in the family. My friend looked distinctly chagrined when I told her it wasn’t so. Like many liberal Americans, she hates the Kochs so much that no calumny strikes her as too far-fetched. But as it happened, I was midway through Daniel Schulman’s first-rate Sons of Wichita: How the Koch Brothers Became America’s Most Powerful and Private Dynasty , and I felt reasonably sure that Schulman wasn’t saving Ilse and her apocryphal lampshades for a Harry Potter gotcha toward the end. Considering that Charles and David are worth more than $80 billion...

After the Revolution, the Tea Party Struggles for Purpose

AP Photo/Patrick T. Fallon
AP Photo/John Bazemore William Temple holds up a tea kettle during the Atlanta Tea Party tax protest Wednesday, April 15, 2009 in Atlanta. M y favorite story from the last week in politics was a tiny item about the Republican committee in South Carolina's Charleston County voting to censure Sen. Lindsey Graham. This rebuke didn't come because of some grand betrayal or criminal malfeasance; Graham, the party activists felt, just wasn't being conservative enough. And there are things like this happening all over. There's the local group of New Hampshire conservatives running radio ads against Republican state senators, or the Virginia conservatives jeering House Majority Leader Eric Cantor at meetings and taking over their local Republican committee. These aren't the significant primary challenges of the kind we've seen in recent years. You get the sense that Tea Party folks are sitting around saying, "Well, Obamacare isn't getting repealed. The presidential election isn't for a couple...

Every Great American City Deserves a Shot—Including Detroit

AP Photo/Carlos Osorio
AP Photo/Carlos Osorio A major American city teeters on the brink of financial ruin. Garbage goes uncollected. Crime is rampant. Municipal officials are so desperate for cash to pay creditors that they have to beg the local teachers union for financial assistance. If this sounds like Detroit, think again. The city was New York. The year was 1975. Thanks to sensible assistance from federal and state government and a focus on economic growth rather than just reckless cuts, the Big Apple emerged from insolvency in the mid-1970s to become the most prosperous urban center in the modern world. As Motown navigates its current fiscal crisis, policymakers should remember the core lesson from New York's experience: The key to recovery is investment. There is no doubt that Detroit’s current situation is difficult. The fragile municipal tax base was decimated in the Great Recession, and the city now has thousands of abandoned properties, unacceptably slow emergency response rates, and painful...

Fast Food, Slow Movement

Flickr/The All-Nite Images
Not long ago, I was interviewing Hahrie Han, a political scientist at Wellesley who studies social movements, for an article in an upcoming print edition of the Prospect , and we started talking about the Occupy movement and some of the problems it faced. She pointed out that liberals are great at exploiting new technologies, but sometimes that can actually pose a problem for movement-building. One of the great benefits social media offer is their ability to organize quickly—have people activate their networks, and within hours you can get hundreds or even thousands of people out to an event or a protest. But that quick ramp-up can mean that your effort becomes very big while its demands are still in the process of formation, which may have had something to do with the trouble Occupy had sustaining itself. For all of social media's efficiency, "they don't have a lot of the side benefits that the kind of organization that used to be required to get lots of people to come to a public...

Meet the Doctor Who Went to Jail to Save North Carolina Lives

There is right, and there is wrong. And having to watch patients die because legislators refused the administration's Medicaid expansion—that's just wrong, says physician Charlie van der Horst.

@JennyWarburg
Next month in Raleigh, North Carolina, physician Charlie van der Horst is scheduled to appear before a Superior Court judge and jury to appeal his second-degree trespassing conviction stemming from his participation in the Moral Monday protests that filled the state legislature building last year. Van der Horst, an internationally recognized AIDS researcher and professor of medicine at the University of North Carolina at Chapel Hill, joined 28 other activists who occupied the legislative building on May 6, 2013, disobeying a police order to disperse. They were among 945 people arrested last year during twelve demonstrations. North Carolina’s Republican legislative majority has cut education funding, curtailed abortion access, and created new barriers to voting. While all those measures have offended van der Horst, his deepest concern as a doctor has been the legislature’s refusal to expand Medicaid under President Barack Obama’s Affordable Care Act. In this three-minute excerpt from...

Stemming the Tide of Recidivism: Banning 'the Box'

iStockPhoto
iStockPhoto L ast week, the City of Baltimore approved an ordinance removing “the box,” as it is known among those with a criminal record, from employment applications for companies with 10 or more employees. It joins more than 10 states and 60 cities and counties—including Hawaii; New York City; Berkeley, California; and Jacksonville, Florida—in an effort to provide a second chance to people returning to their community after serving their time in prison. Just 40 miles away in Washington, D.C., President Obama could follow their lead by banning the box for all executive-branch employment. Today, 70 million Americans have criminal records—nearly one third of the American adult population. Studies reveal that formerly incarcerated people with stable employment are far less likely to reoffend than those who are unemployed. But too often, they’re hindered by the employer practice of asking about prior convictions, which for many serves as an instant disqualification. As a result, former...

Et Tu, Jet Blue? The Airlines' War on the 99%

AP Photo/Rick Maiman, file
AP Photo/File This combination of Associated Press file photos show, on the left, a first class interior section of a United Airlines 747 plane at San Francisco International Airport in San Francisco in 2011, and on the right, the coach interior section of a JetBlue E190 plane at Seatac International Airport in Seattle, in 2008. N ext month, JetBlue is adding a first-class section to its hitherto classless—but relatively classy—planes. By virtue of not having a first-class section, JetBlue has been able to provide something that most airlines have long since abolished: legroom for its passengers. But the egalitarian seating plan has long since disappeared from nearly every airline, and JetBlue is a decided latecomer to the prevailing model of airline seating, which we will term the Piketty-Saez Seating Plan, or PSSP. To be sure, airlines are in no way responsible for the polarization of income and wealth that defines our time. Increasingly, however, their seating plans reflect that...

Moral Monday Movement Gears Up for Round Two

2013 ©Jenny Warburg
©Jenny Warburg Rev. William Barber, president of the North Carolina conference of the NAACP, leads a Moral Monday protest in Raleigh, N.C., in 2013. This article has been corrected. O n Wednesday afternoon, the North Carolina legislature will open its 2014 session. It will be hard for the Republican majority to top last year’s performance, which shattered the final vestiges of the state’s 50-year reputation for moderate governance. With the help of newly elected GOP Gov. Pat McCrory, lawmakers in 2013 slashed both public education and unemployment benefits. They rejected an expansion of Medicaid, paid for almost entirely by the federal government, that would have covered at least 300,000 low-income North Carolinians. They cut corporate taxes and eliminated the earned-income credit for low-wage workers. And they rewrote the state’s election laws in a way that will make registration and voting harder, particularly for African-American, blue-collar, and younger voters. They might have...

Daily Meme: It Ain't Easy Being a Koch

AP Photo/Damian Dovarganes
Pity the poor Koch brothers. All Charles and David want to do is make America safe for good, old-fashioned, Wild West capitalism. But somehow, they seem to be teeing everybody off—left and right. Plus, it's so doggone pricey to buy control of the federal government these days! The K-Bros dished out $400 million to defeat President Obama in 2012, all for naught. According to an Americans for Prosperity memo that fell into the hands of Politico , they learned a startling lesson from the effort: “If the presidential election told us anything, it’s that Americans place a great importance on taking care of those in need and avoiding harm to the weak." Who knew!?! So now, as they prepare to spend $125 million to buy Congress this year, the memo says the Kochs are softening their message so people don't get the wrong idea : "We consistently see that Americans in general are concerned that free-market policy—and its advocates—benefit the rich and powerful more than the most vulnerable of...

Koch Brothers Struggle Against Misconception That They Care About the Wealthy

Jared Rodriguez/Truthout
Politico's Kenneth Vogel got hold of some internal strategy documents from Americans for Prosperity, the pass-through for much of the political spending by cartoon villains Charles and David Koch, and while apart from the eye-popping spending being planned ($125 million this year) there isn't too much that's shocking, there is this poignant passage about how misunderstood free-market ideology is among the voters: "If the presidential election told us anything, it's that Americans place a great importance on taking care of those in need and avoiding harm to the weak," reads the AFP memo. Echoing Charles Koch's opposition to the minimum wage , it asserts that free market, low-regulation policies "create the greatest levels of prosperity and opportunity for all Americans, especially for society's poorest and most vulnerable." Yet, the memo says, "we consistently see that Americans in general are concerned that free-market policy — and its advocates — benefit the rich and powerful more...

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