NORTON META TAG

17 January 2014

A simple test for conservative poverty proposals; FOLLOW THE MONEY & Fear is Why Workers in Red States Vote Against Their Economic Self-Interest & Top Republicans Oppose Obama’s Call To Raise The Minimum Wage 17&15JAN14&13FEB13

So [Zacchaeus] hurried down and was happy to welcome [Jesus]. All who saw it began to grumble and said, "He has gone to be the guest of one who is a sinner." Zacchaeus stood there and said to the Lord, "Look, half of my possessions, Lord, I will give to the poor; and if I have defrauded anyone of anything, I will pay back four times as much."  - Luke 19:6-8
 

The secular world needs to understand that what would "free us from anxiety" is opening up to the poor and otherwise marginalized the chance to flourish. This cannot happen if there is hunger, unfair political arrangements, ongoing assaults on the environment, and no safety net to protect the sick, the unemployed, and the frail.
- Paul Farmer 
IT is a sin to neglect and abandon the poor, the needy, the least among us. The repiglican party, lead by the tea-baggers, have been on a cross country propaganda tour during the recognition of America's 50 year war on poverty offering faux concern and compassion for the least among us while manipulating the jellyfish Democratic caucus in congress to accept their demands for massive cuts to all social safety net programs, filibustering an extension of emergency unemployment benefits denying the government any chance of increasing the minimum wage, refusing any economic stimulus program while protecting the rich and corporate America from tax increases that would have them meet their obligation to the national social contract. This is nothing but class warfare by the 1% on the 99%, but the repiglicans and tea-baggers are winning because they shroud their proposals in their perversion of Christianity and manipulate the fear, economic uncertainty and racism of the masses to the point that many of those in poverty, the poor, the working class and the middle class buy into their deception and support the very policies that keep them poor, in poverty, and for the working and middle classes, sliding backwards economically. IF jellyfish Pres Obama and the jellyfish Democrats in congress had any morals, if they had a spine and the courage to stand against the repiglicans and tea-baggers and their class warfare we might have faced another government shutdown, but they could have used that to tell America just what the repiglican / tea-bagger obstructionist plans are. As it is, there are few in the Democratic party who have the morals and courage to take that stand. That is why I am a member of the Elizabeth Warren wing of the Democratic party, and will no longer compromise myself by supporting any politician who is not a populist, a bold progressive. This from the Washington Post.....
There’s a simple way to tell whether the Republican Party’s newfound commitment to fighting poverty is more than rhetoric: Follow the money.
(Photo by Melina Mara/The Washington Post)
GOP budget architect Rep. Paul Ryan (R-Wis.) (Melina Mara/The Washington Post)
Follow the trail in the party’s recent budgets and what you find, hidden between appendix tables, are deep cuts to programs for the poor. That’s the inevitable consequence of Republican commitments to favored constituencies. The party promised its anti-tax wing no tax increases and lower tax rates. It promised older voters that Medicare and Social Security would not change for those over age 55. It promised defense hawks that sequestration cuts to military spending would be reversed. And it promised its tea party allies that it would cut trillions from government spending and balance the federal budget.
The only way to square all those promises is through draconian cuts to programs for the poor. The liberal Center on Budget and Policy Priorities estimates that programs for lower-income Americans would account for two-thirds of proposed Republican budget savings. The Kaiser Family Foundation estimates that as many as 37 million Americans would lose access to Medicaid, which was targeted for hundreds of billions in cuts.
That’s an agenda that would result in more poverty and deprivation, not less. Yet all the Republicans now talking about poverty -- Sens. Marco Rubio, Mike Lee and Rand Paul and Rep. Paul Ryan -- either voted for or, in Ryan’s case, authored these cuts.
The notion that the main problem of the poor and jobless is their generous indulgence by the federal government is apparently too seductive to resist. Senate Republicans this week filibustered an extension of emergency benefits to the long-term unemployed. Some have argued that the existence of unemployment benefits is itself the problem.
“When you allow people to be on unemployment insurance for 99 weeks, you’re causing them to become part of this perpetual unemployed group in our economy,” Paul said.
This is a correlation/causation mistake of staggering size and consequence. In effect, Paul sees that people who take medicine are more likely to die and concludes that we need to take away their medicine. When there are three job seekers for every open position, it’s pretty clear that a lack of jobs, rather than lack of interest in getting jobs, is the core problem for the long-term unemployed.
Some conservatives are beginning to develop more realistic approaches to joblessness and poverty. In the latest issue of the journal National Affairs, Michael Strain, a scholar at the conservative American Enterprise Institute, lays out a compelling agenda for any Republican politician brave enough to pick it up.
Strain’s article acknowledges there is a jobs emergency. It pulls together almost every job-creating proposal Washington policy makers have thought of -- as well as a few they haven’t --- and suggests implementing them simultaneously.
Some of Strain’s ideas will thrill conservatives. He calls for policies that would reduce “oppressive licensing requirements” at all levels of government, reform the disability insurance system so it rewards work, facilitate immigration by highly skilled foreigners and expand union-busting right-to-work laws to more states.
He also proposes reforming the unemployment insurance system so it gives workers a cash bonus when they find a job, paying the long-term unemployed to move to regions with tighter labor markets, subsidizing employers to enable them to pay the long-term unemployed less than the minimum wage (the government would make up the difference), and massively investing in infrastructure.
“What if we bought a whole bunch of buses and had them run express from low-income communities that are in exurbs into commercial centers?” he asked me during an interview. “We know mobility is inversely correlated to the degree of sprawl in a city. I think a simple explanation is that if you have people living two hours away from the jobs, that the commute is killing them and their economic potential. If you can cut that two-hour commute down to an hour, all of a sudden they can apply for a lot more jobs.”
That’s not the kind of idea you normally hear from Republicans. But Strain’s point is that these aren’t normal times -- and Republicans have to stop acting as if they are. “I don’t think traditional solutions that people on the right typically turn to would be particularly effective here,” he said. “Lower taxes are important for long-run growth. Less debt is important for long-run growth. But cutting the top marginal income tax rate this year or doing draconian spending cuts to balance the budget won’t be particularly effective in getting the unemployed back to work.”
Strain’s article doesn’t offer much in the way of budget estimates. So I asked him point-blank whether his proposals would require spending more money.
“Yes,” he said.
Elected Republicans who want to do something serious about poverty are going to need to get comfortable with that answer. In recent years, Republicans have backed themselves into a corner; virtually everything they’ve proposed entails deep cuts to programs for the poor. They’ve tried to escape this trap -- and allegations by opponents that they are indifferent to suffering -- by arguing that various reforms, such as turning federal programs over to the states, will unleash such miraculous efficiencies that meager budgets will stretch to cover existing needs.
They won’t.
The model they cite is welfare reform, which was enacted in 1996 during the highest-growth economy since the 1960s. Welfare cuts didn’t make the fight against poverty magically more efficient; they simply made it stingier. In 1996, 68 of 100 families living in poverty with children received welfare benefits. In 2010, two years after the worst economic shock since the Great Depression, only 27 of 100 such families were receiving benefits. The assistance once provided by welfare is now supplied by tax credits such as the earned income tax credit, which the government has vastly expanded.
Taking poverty and joblessness seriously doesn’t mean the government needs to spend more forever. But it does mean the government needs to spend more now -- when poor people are squeezed by high unemployment and low growth. That spending could be reallocated from other programs, or it could be offset by future tax increases or spending cuts. But there is no getting around it: Any policy that sharply reduces government spending to alleviate poverty is a policy that will lead to more poverty.
Ezra Klein
Last week’s massive spill of the toxic chemical MCHM into West Virginia’s Elk River illustrates another benefit to the business class of high unemployment, economic insecurity, and a safety-net shot through with holes. Not only are employees eager to accept whatever job they can get. They are also also unwilling to demand healthy and safe environments.
The spill was the region’s third major chemical accident in five years, coming after two investigations by the federal Chemical Safety Board in the Kanawha Valley, also known as “Chemical Valley,” and repeated recommendations from federal regulators and environmental advocates that the state embrace tougher rules to better safeguard chemicals.
No action was ever taken. State and local officials turned a deaf ear. The storage tank that leaked, owned by Freedom Industries, hadn’t been inspected for decades.
But nobody complained.
Not even now, with the toxins moving down river toward Cincinnati, can the residents of Charleston and the surrounding area be sure their drinking water is safe — partly because the government’s calculation for safe levels is based on a single study by the manufacturer of the toxic chemical, which was never published, and partly because the West Virginia American Water Company, which supplies the drinking water, is a for-profit corporation that may not want to highlight any lingering danger.
So why wasn’t more done to prevent this, and why isn’t there more of any outcry even now?
The answer isn’t hard to find. As Maya Nye, president of People Concerned About Chemical Safety, a citizen’s group formed after a 2008 explosion and fire killed workers at West Virginia’s Bayer CropScience plant in the state, explained to the New York Times: “We are so desperate for jobs in West Virginia we don’t want to do anything that pushes industry out.”
Exactly.
I often heard the same refrain when I headed the U.S. Department of Labor. When we sought to impose a large fine on the Bridgestone-Firestone Tire Company for flagrantly disregarding workplace safety rules and causing workers at one of its plants in Oklahoma to be maimed and killed, for example, the community was solidly behind us — that is, until Bridgestone-Firestone threatened to close the plant if we didn’t back down.
The threat was enough to ignite a storm of opposition to the proposed penalty from the very workers and families we were trying to protect. (We didn’t back down and Bridgestone-Firestone didn’t carry out its threat, but the political fallout was intense.)
For years political scientists have wondered why so many working class and poor citizens of so-called “red” states vote against their economic self-interest. The usual explanation is that, for these voters, economic issues are trumped by social and cultural issues like guns, abortion, and race.
I’m not so sure. The wages of production workers have been dropping for thirty years, adjusted for inflation, and their economic security has disappeared. Companies can and do shut down, sometimes literally overnight. A smaller share of working-age Americans hold jobs today than at any time in more than three decades.
People are so desperate for jobs they don’t want to rock the boat. They don’t want rules and regulations enforced that might cost them their livelihoods. For them, a job is precious — sometimes even more precious than a safe workplace or safe drinking water.
This is especially true in poorer regions of the country like West Virginia and through much of the South and rural America — so-called “red” states where the old working class has been voting Republican. Guns, abortion, and race are part of the explanation. But don’t overlook economic anxieties that translate into a willingness to vote for whatever it is that industry wants.
This may explain why Republican officials who have been casting their votes against unions, against expanding Medicaid, against raising the minimum wage, against extended unemployment insurance, and against jobs bills that would put people to work, continue to be elected and re-elected. They obviously have the support of corporate patrons who want to keep unemployment high and workers insecure because a pliant working class helps their bottom lines. But they also, paradoxically, get the votes of many workers who are clinging so desperately to their jobs that they’re afraid of change and too cowed to make a ruckus.
The best bulwark against corporate irresponsibility is a strong and growing middle class. But in order to summon the political will to achieve it, we have to overcome the timidity that flows from economic desperation. It’s a diabolical chicken-and-egg conundrum at a the core of American politics today.
ROBERT B. REICH, Chancellor’s Professor of Public Policy at the University of California at Berkeley and Senior Fellow at the Blum Center for Developing Economies, was Secretary of Labor in the Clinton administration. Time Magazine named him one of the ten most effective cabinet secretaries of the twentieth century. He has written thirteen books, including the best sellers “Aftershock" and “The Work of Nations." His latest, "Beyond Outrage," is now out in paperback. He is also a founding editor of the American Prospect magazine and chairman of Common Cause. His new film, "Inequality for All," is now available on iTunes, DVD, and On Demand. 

Top Republicans Oppose Obama’s Call To Raise The Minimum Wage

By Pat Garofalo on February 13, 2013 at 9:15 am
"Top Republicans Oppose Obama’s Call To Raise The Minimum Wage"

Rep. Paul Ryan (R-WI) and Sen. Marco Rubio (R-FL)
During his State of the Union address last night, President Obama called for raising the minimum wage to $9 an hour, up from its current $7.25, and indexing it to inflation so that it rises as the economy grows. If the increase were to happen, it would give the minimum wage its highest purchasing power since 1981, lifting millions of families above the poverty line. But top Republicans are already coming out against it. During interviews last night and today, House Budget Committee Chairman Paul Ryan (R-WI) and Sen. Marco Rubio (R-FL) both made clear that they oppose raising the minimum wage, citing its supposed effect on job creation:
RYAN: I think it’s inflationary. I think it actually is counterproductive in many ways. You end up costing job from people who are the bottom rung of the economic ladder. Look, I wish we could just pass a law saying everybody should make more money without any adverse consequences. The problem is you’re costing jobs from those who are just trying to get entry level jobs. The goal ought to be is to get people out of entry level jobs into better jobs, better paying jobs. That’s better education and a growing economy. Those are some of the things he talked about and I don’t think raising minimum wage — and history is very clear about this — doesn’t actually accomplish those goals.
RUBIO: I want to see people making a lot more than $9 an hour in the United States. And the way do you that is through rapid economic growth where people are being paid a lot more than that. $9 is not enough. I think we all would want that. The question is is a minimum wage the best way to do it? And history has said the answer is absolutely not. In fact, the impact of minimum wage usually is that businesses hire less people. That’s the impact of it. They’ll just hire less people to do the same amount of work…We have a lot of history to prove that the minimum wage , raising the minimum wage does not grow the middle class.
Watch a compilation:
In fact, the history says that raising the minimum wage has little if any impact on job creation. A study published in November 2010 in the Review of Economics and Statistics, for instance, found “no detectable employment losses from the kind of minimum wage increases we have seen in the United States.” Another published in 2011 “found no impact on hours worked or employment levels.”
The seminal study of the minimum wage, done by economists David Card and Alan Krueger, found that job creation was actually strengthened by an increase in the minimum wage. This result has been found time and time again. So Rubio and Ryan have the history exactly backwards: raising the minimum wage results in higher wages and more purchasing power for workers, not job losses.
 http://thinkprogress.org/economy/2013/02/13/1587381/top-republicans-oppose-minimum-wage/

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