The Obama Administration

The Fed Stays the Course

AP Photo/Susan Walsh
F inancial markets rallied when the Federal Reserve defied the rumor-mongers and resolved to continue its program of keeping interest rates very low until the unemployment rate improves. There was only one dissenting vote on the Fed’s policy-setting open market committee. What’s going on here? Ever since the run-up to the collapse of 2008, what’s good for Wall Street hasn’t exactly been good for the rest of the economy. Are these ultra-low interest rates just pumping up more financial bubbles, as critics fear? Or does a still weak economy need this form of stimulus? Think of it this way. There are risks to continuing a policy of very easy money, but premature tightening would be even worse. The markets and the pundits got this one wrong because the hawks in the Fed system had been leaking rumors that they had the votes and that the Fed would soon be “tapering” (pulling back) its program of $85 billion-a-month in bond purchases. Chairman Ben Bernanke, to appease the hawks, lent...

The Obamacare Is Falling! The Obamacare Is Falling!

AP Photo/Charles Dharapak
AP Photo/Steve Browne, Valley City Times-Record As we approach the full implementation of the Affordable Care Act at the end of the year, confusion still reigns. Most Americans don't understand what the ACA does or how it works, which is perhaps understandable. It is, after all, an exceedingly complex law, and from even before it passed there was an aggressive and well-funded campaign of misinformation meant to confuse and deceive Americans about it, a campaign that continues to this day and shows no sign of abating. To undo uncertainty and banish befuddlement, we offer answers to a few questions you might have about Obamacare. What's happening when? The next important date is October 1, when open enrollment for insurance plans on the new exchanges begins. Those who sign up will begin their new insurance on January 1, when the rest of the high-profile components of the law take effect. The individual mandate, requiring everyone to carry insurance or pay a fine, takes effect, as does...

Obama Just Changed the Most Racist Law in the Country

(flickr/uncgspecia)
You may have missed it, but yesterday President Obama dramatically altered one of the most racially damaging laws in America when the Department of Labor announced that it would extend minimum wage and overtime protections to home care workers. To say there's a backstory here would be a wild understatement. Seventy-five years ago, Franklin Roosevelt achieved a historic victory—but a morally compromised one—when he signed the Fair Labor Standards Act (FLSA) of 1938. The law created the modern labor regulations that we're all familiar with today, including the minimum wage, overtime pay, and much more. Yet getting the FLSA passed entailed a major concession to southern Democrats, who successfully fought to exclude agricultural and domestic workers. Why? Because, as legal scholar Juan Perea has shown in his illuminating history of the law, that exclusion was seen as crucial to preserving a southern way of life that hinged on exploiting cheap African-American labor—both in the fields...

Shutdown Report: How to Play Chicken and Lose

AP Images/J. Scott Applewhite
AP Images/J. Scott Applewhite R epublicans are likely to incur serious political damage in their effort to hold hostage continued funding of the government in exchange for deep spending cuts. This routine has become an annual ritual, and in the past President Barack Obama has been the first one to cave. The 2011 Budget Control Act, which includes the automatic sequester, is one bitter fruit of the president’s past failure to hang tough in the face of Republican extremist demands. But this time is different. The Tea Party Republicans, who dominate the GOP House Caucus, are demanding that President Obama de-fund the Affordable Care Act in exchange for their willingness to fund ordinary government spending in the new fiscal year, which begins October 1. But they picked the wrong demand. In the past, Obama was willing to make deep cuts in federal spending in order to get a budget deal with Republicans. The Affordable Care Act, however, is a nonnegotiable for the president. It’s his...

Could Conservatives Help Obamacare Implementation Work?

She only wants to help, really. (Flickr/American Life League)
Supporters of the Affordable Care Act, up to and including President Obama, have been at pains to point out to anyone who'd listen that as with any large and complex piece of legislation, implementation is going to be imperfect. There are going to be hiccups. Hurdles. Stumbles. Stops and starts, ups and downs, potholes and roadblocks and detours. They've been saying it because it's true, because they want to prepare the media and the public, and because they know that conservatives will be squawking loudly every time it becomes apparent that some feature of the law needs to be adjusted, trying to convince everyone that even the most minor of difficulties is proof the law should never have been enacted in the first place. But let me make a counter-intuitive suggestion: Perhaps all the inevitable overblown carping from the right will prove to be a good thing, making the law work better in the long run. Not because the conservatives' motives aren't bad (they are), and separate from the...

American Public Oddly Reasonable on Syrian War

President Obama addressing the nation on Syria.
When public opinion is running against the position you've taken on something, it's natural to conclude either that the people just haven't yet heard your argument clearly, or even that opinion doesn't matter. And in one sense, it doesn't. If you're right, you're right, even if most Americans disagree. Not long ago, most Americans had a problem with people of different races to get married; they were wrong about that even if they were in the majority. Of course, that's a matter of substance, which is distinct from matters of politics, which can constrain your behavior whether you're substantively in the right or not. So I wonder what Barack Obama thinks of public opinion on Syria these days. I doubt that he's like George W. Bush, who was forever certain that "history" would judge the Iraq War to be a smashing success. By now Obama may have concluded that he'll probably never win the public over on this question, so he should just try to move things along as best he can. There's a new...

The Sum of Its Parts

Flickr/Will O'Neill
We're just two weeks away from the start of open enrollment for the new state health care exchanges established as part of the Affordable Care Act, and it's safe to say that Republicans will not be able to repeal the law between now and then. It's equally safe to say that they won't be able to repeal it by January 1, which is when the people who sign up for insurance through those exchanges start on their new plans. That's also the date when a whole bunch of other components of the law take effect. When that day comes, will Republicans have to abandon all hope of ever repealing it? The ones who don't understand the law (and let's be honest, that's probably most of them) might answer yes. Once it goes into effect and begins destroying lives, sapping us of our precious bodily fluids, and generally turning America into a socialist hellhole where all hope has died and the flickering flame of freedom has been snuffed out, people will quickly realize what a disaster it is and support repeal...

America's Exception Deception

AP Photo/Jose Luis Magana
AP Photo/Carolyn Kaster I n a democracy, politicians seldom counsel the public to be modest. They flatter and praise the voters, telling them that they are just and wise, hardworking and principled, possessed of boundless vision and common sense. And here in America at least, they also generalize those virtues from the people to the nation itself. America, Americans are endlessly reassured, is unique and special among the world's countries. It i sn't just that we're the most important country, which is undeniable, since we have the biggest economy, the biggest (and most frequently deployed) military, and the most influential popular culture. Those things could change someday. Instead, what voters are told over and over again is that we're "exceptional." We're not just stronger or richer; we're better. Indeed, we're stronger and richer because we're better. And we may well be exceptional in how often we're told that we're exceptional. My knowledge of the electoral politics of other...

Did Summers Spoil It for Yellen?

AP Images/Mark Lennihan
AP Images/Mark Lennihan Now that Larry Summers is out of contention for chairman of the Federal Reserve, the nomination of Janet Yellen should be assured. Unfortunately, Yellen still is far from a safe bet. Her qualifications, certainly, are not in doubt. Yellen is currently vice chair of the Fed and before that she was president of the Federal Reserve Bank of San Francisco. She has had a distinguished academic career, which she interrupted to serve as chair of President Clinton’s Council of Economic Advisers, and after that, as a governor of the Federal Reserve. Yellen is better positioned than any other woman to break the glass ceiling that has kept the Fed from having any female chair throughout its century-long history. Yellen, who began her scholarly career as a labor economist, has also been outspoken about the need for the Fed to continue its policy of economic stimulus to help strengthen the faltering economic recovery. Nobel Laureate Joseph Stiglitz, who preceded her as chair...

Obama's Crippling Ambivalence

AP Images/Charles Dharapak
AP Images/Charles Dharapak B arack Obama’s presidency is a series of crossroads. The crossroads are moments of decision for a president who is utterly indecisive except, of course, when he’s not a ruthless tyrant trampling the Constitution (or, on more banal occasions, saving the national economy or pressing forward on health-care reform or ordering the execution of the mass murderer of 3,000 Americans). Unlike the topographically comparable term of Bill Clinton when such junctures were psychodramas of his own making, Obama’s junctures are of his own being, which many regard as despicable irrespective of anything he actually does; and now events, dread, myopia, and the congenitally and hopelessly, inevitably and eternally fucked up state of affairs whose address is Syria have conspired to put the president in a lose-lose situation he may win anyway. That no one yet offers a single cogent assessment of just what Syrian policy should be apparently pales beside the president’s handling...

Yet Another NSA Violation

AP Photo/Patrick Semansky, File
L ast month, it was revealed that the court established by the Foreign Intelligence Surveillance Act (FISA) had rebuked the National Security Agency (NSA) for using illegal search methods. Not surprisingly, this incident wasn't an isolated one. In another judicial opinion responding to a lawsuit by the Electronic Frontier Foundation (EFF), further illegal abuses by the NSA were unveiled . Like the previous revelations, this story tells of the dangers posed by a NSA conducting searches with far too broad a scope and too few constraints. The latest NSA abuses involve the database of phone calls made by Americans compiled by the NSA. Phone companies have been ordered to turn over "metadata" about the calls made by their customers. The NSA keeps five years of this metadata on file at any given time. When the agency makes queries into the database, however, it is required by the FISA court to have a "reasonable articulable suspicion" that the call involves communication with a terrorist...

Twelve Years Later, Have We Gotten Control of Our Fear?

This kind of thing just doesn't fill us with terror anymore. (Office of the President/Wikimedia Commons)
Reading an article today I came across a reference to the Dixie Chicks and their fall from grace, which happened ten years ago. It was shocking enough at the time, but today it seems beyond absurd, that a musical group could be all but blacklisted out of the American entertainment industry because they expressed opposition to the Iraq War and joked about being ashamed that George W. Bush was from their home state of Texas. Even then, a year and a half after the September 11 attacks, just expressing reservations about a foreign military adventure was enough to put them on the receiving end of a torrent of hate and fear, to the point where radio stations refused to play their songs and concert venues wouldn't book them. But today, we can say with some pride that our level of national terror has been significantly reduced. The situation in Syria and the Iraq War are obviously different in many important ways, but don't forget that despite the ridiculousness of the Bush administration's...

If Obama Wants the GOP’s Help in Syria, He Must Deal with Torture First

AP Photo/Susan Walsh, File
A mong the lessons of Syria for Barack Obama, there is one that stands out: The destruction of the Republican foreign policy establishment makes his job harder, and the president is now suffering the consequences of his choice to avoid, as much as possible, dealing with the fallout from torture during the George W. Bush administration. What is missing, specifically? The Republican side of “establishment” foreign policy. That is, a group of people who are certainly Republicans, but are not particularly partisan and who are comfortable working with the similar set of Democrats. Think Dick Lugar; think Colin Powell; think, perhaps more than anyone over the last 50 years, George H.W. Bush. Those Republicans, as Lugar’s defeat for re-election last year demonstrated, have been driven to the fringes of their party (or perhaps out of it; Powell is still a Republican, but supported Barack Obama in 2008 and 2012). Why does that matter for Barack Obama? There just are not very many Republicans...

Playing Russian Roulette with Syria

The strategy outlined in President Obama’s speech Tuesday night was 180 degrees from where it stood when it was announced he would address the nation, so much so that it’s worth asking why he went ahead and went on prime time. As I wrote last week in the Prospect , going to Congress was a way for Obama to build domestic support that could in turn generate greater international support for military action. With the Syria resolution all but dead, and the Russians and Syrians saying yes to John Kerry’s maybe-serious-maybe-not plan to remove Syria’s chemical weapons under Russian auspices, it now looks like the course of action has been reversed. Last night the president announced that he had asked leaders of Congress to postpone the vote while his administration worked to build international support around the proposed plan, the admittedly complicated details of which are still being worked out. If that process fails, or simply proves, as many reasonably suspect, to be a Russian stalling...

The War on Terror Is Still Everywhere

AP Photo/Doug Mills
In May of this year, Barack Obama gave a speech effectively declaring the end of the "War on Terror." Like many people, I was pleased. The War on Terror, which embodies the idea that terrorism is such an existential threat that all other threats the United States has faced pale before it and therefore we had permission abandon every moral standard we ever held to and wage a global military campaign that never ends, has been a poison coursing through our national bloodstream. Its effects can be seen in things that don't on their surface seem to have almost anything to do with terrorism. And despite Obama's speech, it doesn't seem like much has changed. It was only a few weeks after that speech that Edward Snowden's revelations about the scope of NSA surveillance began to come out, and it wasn't as though President Obama said, "You know what? This just shows how things have gotten out of hand. We're going to be dialing this stuff back." He defended every bit of it as necessary and...

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