Tag Archives: The Economy

This is Not Fiscal Conservatism. It’s Just Politics. – Jim Wallis – God’s Politics Blog

Another great article from Jim Wallis at Sojourners….

The Republican governors’ counter parts in the U.S. House of Representatives are also not cutting spending where the real money is, such as in military spending, corporate tax cuts and loop holes, and long term health-care costs. Instead, they are cutting programs for the poorest people at home and around the world. This is also just political and not genuine fiscal conservatism. It is a direct attack on programs that help the poor and an all-out defense of the largesse handed out to big corporations and military contractors. If a budget is a moral document, these budget-cutters show that their priorities are to protect the richest Americans and abandon the poorest — and this is an ideological and moral choice. The proposed House cuts, which were just sent to the Senate, are full of disproportionate cuts to initiatives that have proven to save children’s lives and overcome poverty, while leaving untouched the most corrupt and wasteful spending of all American tax dollars — the Pentagon entitlement program. This is not fiscal integrity; this is hypocrisy.

MORE:   This is Not Fiscal Conservatism. It’s Just Politics. – Jim Wallis – God’s Politics Blog.

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DEA to legalize marijuana only for ‘Big Pharma,’ NORML claims | The Raw Story

Money talks….

Especially from the Pharmaceutical Industry…

A Drug Enforcement Administration (DEA) proposal to reclassify the main psychoactive chemical in marijuana as a Schedule III substance would allow pharmaceutical companies to market the drug while still penalizing common recreational use, according to marijuana law reform advocates.

The main psychoactive chemical in marijuana, delta-9-tetrahydrocannabinol (THC), is currently a Schedule I substance within the US Controlled Substances Act, the most restrictive schedule with the greatest criminal penalties.

In November 2010, the DEA proposed reclassifying dronabinol, a synthetic THC, as a Schedule III substance, which would place it among substances such as hydrocodone and allow it to be dispensed with a written or oral prescription.

“The DEA’s intent is to expand the federal government’s schedule III listing to include pharmaceutical products containing naturally derived formations of THC while simultaneously maintain existing criminal prohibitions on the plant itself,” Paul Armentano, the deputy director of the National Organization for the Reform of Marijuana Laws (NORML), wrote at AlterNet.

With its proposal, the DEA is responding to the demands of large pharmaceutical companies, he claimed.

Marijuana plants and THC extracts would remain illegal under the proposal, but companies would be able to purchase THC from a government-licensed provider to develop pharmaceutical products.

“While the DEA’s forthcoming regulatory change promises to stimulate the advent of legally available, natural THC therapeutic products… the change will offer no legal relief for those hundreds of thousands of Americans who believe that therapeutic relief is best obtained by use of the whole plant itself,” Armentano added.

“Rather the DEA appears content to try to walk a political and semantic tightrope that alleges: ‘pot is bad,’ but ‘pot-derived pharmaceuticals are good.'”

THC can help cancer patients regain their appetites and sense of taste, according to a study published on Wednesday.

“This is the first randomized controlled trial to show that THC makes food taste better and improves appetites for patients with advanced cancer, as well as helping them to sleep and to relax better,” Dr. Wendy Wismer, associate professor at the University of Alberta, said. “Our findings are important, as there is no accepted treatment for chemosensory alterations experienced by cancer patients.”

Fifteen states and the District of Columbia have passed legislation to legalize the medical use of marijuana.

via DEA to legalize marijuana only for ‘Big Pharma,’ NORML claims | The Raw Story.

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Vision: Why the Mid-Atlantic Can Be the ‘Persian Gulf of Offshore Wind Energy’ | | AlterNet

I wish more people would focus on these positive options for our energy future.

We really need to get moving on– I’ll say it again!- Infrastructure development in order to be energy independent.

But with the GOP- and most of the rest of the government- owned by the Oil Companies, it’s going to be a struggle…

For visions of America’s energy future, we tend to look to the nexus of the current world energy order — the Middle East. That’s how we ended up with America’s worst nickname ever: the “Saudi Arabia of coal.” To the coal-industry shills who coined it, the term was meant to convey ideas of energy independence, security and patriotism. To those of us who know better it means a promise of boiling chaotic doom for the planet, and a future of shattered landscapes and poisoned waters for coal-country communities.

That’s the nightmare energy vision from the Middle East. But thankfully there’s a positive alternative — a vision that goes far beyond rhetoric to encapsulate a future of limitless, clean, healthy, secure and 100-percent American energy. It’s the “Persian Gulf of offshore wind energy” and it describes a little known area of the eastern seaboard otherwise known as the Mid-Atlantic Bight, which runs from Massachusetts to North Carolina.

In the annals of energy discoveries, the discovery of the Bight’s wind energy potential could rank right up there with the discovery of oil beneath the sands of the Arabian Peninsula. A 2007 joint Stanford University-University of Delaware study found that fully developed with over 166,000 wind turbines, the Bight’s waters could produce as much as 330,000 megawatts of power, or effectively one third of U.S. energy demand. Even more exciting, the researchers concluded that full-scale development of the resource was well within the realm of technological possibility. All that was required was the political will to make it happen.

More:   Vision: Why the Mid-Atlantic Can Be the ‘Persian Gulf of Offshore Wind Energy’ | | AlterNet.

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Obama and the GOP’s Spending Cuts: Where’s the Outrage? | Mother Jones

An interesting perspective….

The president also is striving to be Washington’s adult-in-chief, talking up the need for bipartisan negotiations and the potential for agreement across party lines. He’s ceding the politics of defiance to the Republicans. This could well be because his approval ratings have ticked upward since he hammered out the bipartisan tax-cut deal with the Republicans in December. He seems to be content to let the Republicans be the food-fighters, so he can position himself as a rise-above-them leader—which, presumably, will enhance his appeal among independent voters.

But there’s something else: recent public opinion polling. At a retreat of Democratic senators last week, Democratic pollster Geoff Garin presented bad news: Republicans had gained the edge in the debate over government spending. Voters, especially independents, he told the Dems, care first and foremost about improving the economy, but they believe the better way to do so is by cutting spending, not investing. That is, many voters have accepted the GOP’s fundamental talking point.

If that’s true, Obama and other Democrats facing reelection in 2012 have to be careful about coming across as opposing spending cuts. Garin’s polling, according to Bloomberg, did show that voters do not fancy spending cuts in law enforcement, education, and medical research—actually the sort of cuts House GOPers are pushing. This might suggest that Obama could score politically by confronting Republicans over these cuts (in similar fashion to the way President Bill Clinton won the showdown with the Newt Gingrich-led Republicans in the 1990s over GOP-desired spending cuts). But this polling also indicates that voters view spending cuts in general as the path to economic recovery and trust the Republicans more than Obama when it comes to dealing with the budget deficit.

So Republicans could be vulnerable politically if voters come to believe they are cutting too much, but Obama and the Democrats could lose out, if voters (especially indies) don’t believe they are truly committed to spending cuts. Consequently, Obama has a fine line to tread. He must oppose the Republicans’ deep cuts without doing so in a way that would cause voters to question his commitment to more prudent cuts. Such a stance demands political finesse. The GOP, though, has a rather simple message: government spending is bad for the economy, so cut, cut, cut, and cut again. The Obama argument is three-fold: some government spending has to be decreased; much spending is necessary (though it can be spent more efficiently); and in several areas, the government must spend more for a future payoff. In the budget fights ahead—if the tussle does boil down to bumper sticker versus nuanced explanation—the adult in the room may not have the advantage.

via Obama and the GOP’s Spending Cuts: Where’s the Outrage? | Mother Jones.

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Capitalism for the Long Term – Harvard Business Review

Interesting article from the Harvard Business Review…

I think it’s a little optimistic to think Business and Capitalism will reform themselves…

His suggestions seem to be to go back to the way we were…

What are the odds of that happening without Governmental reform and public outrage?

Not likely to happen as long as the Corporations own the Government….

Why reform when you can rig the system to your benefit?

In an ongoing effort that started 18 months ago, I’ve met with more than 400 business and government leaders across the globe. Those conversations have reinforced my strong sense that, despite a certain amount of frustration on each side, the two groups share the belief that capitalism has been and can continue to be the greatest engine of prosperity ever devised—and that we will need it to be at the top of its job-creating, wealth-generating game in the years to come. At the same time, there is growing concern that if the fundamental issues revealed in the crisis remain unaddressed and the system fails again, the social contract between the capitalist system and the citizenry may truly rupture, with unpredictable but severely damaging results.

Most important, the dialogue has clarified for me the nature of the deep reform that I believe business must lead—nothing less than a shift from what I call quarterly capitalism to what might be referred to as long-term capitalism. (For a rough definition of “long term,” think of the time required to invest in and build a profitable new business, which McKinsey research suggests is at least five to seven years.) This shift is not just about persistently thinking and acting with a next-generation view—although that’s a key part of it. It’s about rewiring the fundamental ways we govern, manage, and lead corporations. It’s also about changing how we view business’s value and its role in society.

There are three essential elements of the shift. First, business and finance must jettison their short-term orientation and revamp incentives and structures in order to focus their organizations on the long term. Second, executives must infuse their organizations with the perspective that serving the interests of all major stakeholders—employees, suppliers, customers, creditors, communities, the environment—is not at odds with the goal of maximizing corporate value; on the contrary, it’s essential to achieving that goal. Third, public companies must cure the ills stemming from dispersed and disengaged ownership by bolstering boards’ ability to govern like owners.

via Capitalism for the Long Term – Harvard Business Review.

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The Budget Smokescreen – Room for Debate – NYTimes.com

David Gergen is a true Washington insider, so his thoughts are always interesting as a representation of “inside the beltway” thinking…

The budget showdown shaping up in Washington is dramatic but depressing. What we are mostly seeing so far is a jockeying for political power rather than a serious attempt to rescue the nation’s finances.

Here’s the sad part: in the end, the amount of money being fought over is only a tiny fraction of the nation’s budget deficit.

On the surface, of course, the immediate issue is that the federal government will begin shutting down services next Friday unless Congress and the White House can agree on a fresh spending resolution. Compromise talks are underway and there are whispers of a short-term agreement.

But don’t count on it because the real struggle is beneath the surface — who can win over the public and potentially gain the upper hand for the political fights still ahead. And right now neither side knows for sure how public opinion will break.

via The Budget Smokescreen – Room for Debate – NYTimes.com.

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Sarah Palin Reality Show Received $1million Tax Credit – Washington DC RNC | Examiner.com

Tonight seems to be Sarah Palin night…

She’s been a busy little Momma Grizzley!

And it’s all starting to come out…

I can’t wait for the new tell all book coming from one of her former closest aides….

I do give her credit for one thing:  She sure knows how to make a buck!

She just doesn’t want to help anyone else get ahead-or survive.

“Sarah Palin’s Alaska”, the reality mini-series staring the former governor and her family, is the beneficiary of a $1.2million state tax credit due to 2008 legislation signed by Palin which allows for film and television productions in the state to write-off 30% of their on location costs, as reported by the Anchorage Daily News. The bill was passed in order to promote production in the state.

The reality series was a moderate ratings success for TLC. The network spent $3.6million filming in the state with Alaska’s numerous forests and snow-peaked mountains serving as the backdrop.

Palin was elected governor in 2006, the first woman and the youngest governor in Alaskan history, and prematurely resigned in 2009 citing her intention to not become a ‘lame-duck’ governor. Since her retirement Palin has made millions in book deals, a Fox News contributor contract, and the 8-part reality show.

According to reports, Palin earned somewhere between $250,000-$1million per episode.

via Sarah Palin Reality Show Received $1million Tax Credit – Washington DC RNC | Examiner.com.

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Top Obama Economic Aide: Social Security Reform Not A Part Of Discussion On Fiscal Future

Sounds like the White House and Democrats may finally be getting it….

The GOP never will…

WASHINGTON — Lost amid the budget battles in Congress and the anti-union legislation being considered in several states has been the White House’s deliberate decision to take the topic of Social Security reform off the deficit debate menu.

The latest move in that direction came on Tuesday, when Jason Furman, deputy director of the President Barack Obama’s National Economic Council, insisted that talk of Social Security reform “is not one you care about” if “you are worried about our long-run fiscal future.”

“The reason you care about it is because you want to strengthen Social Security,” Furman added in a speech at the progressive nonprofit group NDN. “It is such a critical part of our social insurance, the bedrock of retirement security for senior citizens, one of the leading anti-poverty programs for children, critical support for people with disabilities. And for all those reasons and the fact that its solvency … is another 26 years, till 2037, the real motivation is strengthening the program.”

Those remarks are a strong reflection of growing defensiveness on the White House’s part in response to calls to reform the longstanding entitlement program. During this year’s State of the Union address, Obama said he would “speak out against” plans to “target” Social Security should they materialize in Congress. Top adviser David Plouffe likewise said the president would neither slash nor reduce benefits while in office.

Furman’s comments are more assertive in their framing. Rather than merely ruling out drastic changes to the entitlement program, he is arguing that Social Security has no place in a debate over the deficit — a position directly at odds with the conclusions of the president’s own deficit commission.

via Top Obama Economic Aide: Social Security Reform Not A Part Of Discussion On Fiscal Future.

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Social Security isn’t the problem – USATODAY.com

This is so simple, but the GOP has twisted it out of shape…

I repeat, for the 5 millionth time:  Social Security is not the problem.  It is sound!

Social Security benefits are entirely self-financing. They are paid for with payroll taxes collected from workers and their employers throughout their careers. These taxes are placed in a trust fund dedicated to paying benefits owed to current and future beneficiaries.

When more taxes are collected than are needed to pay benefits, funds are converted to Treasury bonds — backed with the full faith and credit of the U.S. government — and are held in reserve for when revenue collected is not enough to pay the benefits due. We have just as much obligation to pay back those bonds with interest as we do to any other bondholders. The trust fund is the backbone of an important compact: that a lifetime of work will ensure dignity in retirement.

According to the most recent report of the independent Social Security Trustees, the trust fund is currently in surplus and growing. Even though Social Security began collecting less in taxes than it paid in benefits in 2010, the trust fund will continue to accrue interest and grow until 2025, and will have adequate resources to pay full benefits for the next 26 years.

For years, the surpluses in the Social Security trust fund have helped to mask our deficits elsewhere. Now that we are paying Social Security back, the problem is not with Social Security, but with the rest of the budget. In 2001 and 2003, Washington cut taxes for the wealthiest Americans and later expanded Medicare without paying for it. Blaming Social Security for our fiscal woes is like blaming you for not saving enough in your checking account because the bank lost all depositors’ money.

via Opposing view: Social Security isn’t the problem – USATODAY.com.

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Poll: Whites Without College Degrees Especially Pessimistic About Economy

I’m not really surprised by this, but still don’t get why this group primarily votes Republican.

Well, I have some theories…

  1. They are particularly susceptible to the Republican disinformation campaign.
  2. Racial prejudice
  3. Most importantly, they have been hit hardest by the Economic downturn and don’t know where to turn.

My guess is this demographic was open to Obama and the Democrats, but was the first group to become disillusioned when the focus turned to Health Care, instead of Jobs, and no one was punished for the economic collapse.

These folks aren’t dumb.  They know the Rich and the Corporations have bought the government.

The Democrats need to work harder to make their case to this group and not let the GOP control the narrative.

It would also help if they acted like real Democrats instead of Republican Lites and delivered for this group…

From the Washington Post:

The deep recession has had a profound effect on virtually every segment of the country’s population. But if there is an epicenter of financial stress and frustration, it is among whites without college degrees.

By many measures, this politically sensitive group has emerged from the recession with a particularly dark view of the economy and the financial future. Whites without college degrees also are the most apt to blame Washington for the problems, and are exceedingly harsh in their judgment of the Obama administration and its economic policies.

These findings come from a new national survey conducted by The Washington Post, the Kaiser Family Foundation and Harvard University. The numbers represent a fresh look at the effects of the long recession on all Americans, but particularly “non-college whites,” a group of long-fought-over voters often considered a bellwether of the political ramifications of economic woes.

A mere 10 percent of whites without college degrees say they are satisfied with the nation’s current economic situation. Most – 56 percent – say the country’s best days are in the past, and more, 61 percent, say it will be a long time before the economy begins to recover.

Fully 43 percent of non-college whites say “hard work and determination are no guarantees of success,” and nearly half doubt that they have enough education and skills to compete in the job market.

Not everything is bleak in this group’s outlook, according to the survey. Nearly seven in 10 say they are mostly optimistic about their future, although that is somewhat lower than for whites with college degrees, and for most other groups in the population. More than six in 10 report feeling at least somewhat secure financially.

The survey also found differences in the outlooks of younger and older whites without college degrees. Those younger than 50 were more optimistic about the future than were those older than 50 and were somewhat less pessimistic about how long it will take the economy to recover.

via Poll: Whites without college degrees especially pessimistic about economy.

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