Showing posts with label Federal Spending. Show all posts
Showing posts with label Federal Spending. Show all posts

Monday, January 13, 2014

Talking to The Man

Every so often, I like to send little notes to the members of Congress in my state. (Sometimes I'll send them to Congresscritters in other states, too. But let's not talk about that.) Mostly, this just gets me on mailing lists and doesn't do much else. But I'm an optimist by nature, so I keep trying.

This time, I thought I'd wander over to the "contact Tom" button on Senator Tom Udall's (D-NM) site.
Tom,

(Can I call you Tom? As much as you've emailed me, I feel I should be allowed to.)

I couldn't help noticing that a number of Democrats are caving in to the Republican talking point that any extension of unemployment benefits should be "paid for."

Well, if that's the case, how are we paying for all of the corporate subsidies that my tax dollars are going to? Gas and oil companies get massive subsidies every year, and none of them are struggling. But families in your state are.

What about the $1.1 billion we pay out to distillers every ten years, to allow them to produce flavored vodka? (That one's covered in Section 5010 of the tax code, if you're wondering.) What about the $80 million worth of sugar we bought back from domestic sugar producers (a $3.3 billion dollar industry)?

See if you can "pay for" the unemployment by reducing the subsidy to any industry that's consistently turned a profit in the last decade. This wouldn't even be a hard sell. You could point out that the majority of unemployment insurance goes to families with children, and you personally don't see the benefits to the country that comes from forcing children to starve.

You could point out that long-term unemployment hurts the economy, and while there are people who would like to see the US economy destroyed, none of them should be in Congress.

You can even finish with "And if extending unemployment benefits is such a distasteful subject, I would like to ask why our Republican colleagues have been blocking every effort to create any type of jobs bill for the past six years?"

Give it a shot, Senator. See how far it could take you.
As always, I doubt it will accomplish anything, but let's see what happens.

Friday, February 18, 2011

Motes and beams

There was a wicked messenger
From Eli he did come
With a mind that multiplied
The smallest matter.

-Bob Dylan-

_______________________

To distort the importance of a matter, to exaggerate little things, perhaps to draw attention away from big things, to belabor the significance of a problem long past: making a mountain out of a molehill. If you need to elevate this common human tendency to the level of psychology, call it magnification. Call it hyperbole. Call it catastrophization. Otherwise call it politics. It's how governments handle problems both real and invented. High purpose, Liberal or Conservative; it usually ends in hyperbole and fraudulent accounting.

Dismayed at how may people are dying in automobiles? One might expect a focus on the areas where most of them occur, but once the problem is taken up by zealots, hyperbolized and dressed up as catastrophic, we have unbearable pressure to apply oppressive speed limits to the safest areas while doing essentially nothing about those areas where the bulk of fatalities occur. As crime declines, we make every next one a bigger problem, focus on the most spectacular and base our estimations of the whole on a freak occurrence. It's human nature and it's also a human weakness to be exploited.

But there are more sinister applications. Take the constant carping about how trade unions are harming our economy, now that their membership and power are at low tide. One might infer that eliminating them entirely is a better description of the hidden intent.

Take the heavy emphasis on medical liability claims as a way to reduce the accelerating cost of health care. They account for a tiny fraction of the whole and seem to be the whole and sole solution offered by one particular political party. Never mind the mountain, look here instead. A cynic might suggest a motive having to do with benefiting from high medical costs.

Spending cuts. We need spending cuts and you're crazy if you don't think we need spending cuts so lets propose spending cuts and lets keep cackling and gobbling and chanting about cutting the little things so that no one notices where the money is going and why the income can't keep up with it. Never mind that mountain LOOK AT THAT MOLEHILL!

So what are we told we have to cut? In general we're told about programs that aren't as much financially significant as doctrinally anathematic. NPR has to go, particularly now that it's credibility exceeds that of Fox. It may cost the average American pennies a year, but never mind, it has to go. The EPA of course since it retards the wanton rape and pillage of corporate vikings. Gingrich wants it dead. Planned Parenthood: it's offensive to religious tyrants -- it has to go.

Hyperbole and fraudulent accounting, Let's cut the debt by .001% and make things that are cheap seem prohibitively expensive and those trillions and trillions we didn't make from cutting taxes and those trillions we blew on unnecessary wars obsolete weapons and fraudulent procurement? Don't look at that, look at school lunches!

Tuesday, February 10, 2009

A GHOST OF DEPRESSION PAST

(Double click on the image for a larger view)

Fellow creatures above and below the waves: We have managed to retrace the route of the Great Depression and repeat the same mistakes as if we learned nothing from history.

Marriner S. Eccles served as Franklin Roosevelt's Chairman of the Federal Reserve from November 1934 to February 1948. In his memoir, Beckoning Frontiers (New York, Alfred A. Knopf, 1951), he offered his opinion of what caused the Great Depression:
As mass production has to be accompanied by mass consumption, mass consumption, in turn, implies a distribution of wealth -- not of existing wealth, but of wealth as it is currently produced -- to provide men with buying power equal to the amount of goods and services offered by the nation's economic machinery.

Instead of achieving that kind of distribution, a giant suction pump had by 1929-30 drawn into a few hands an increasing portion of currently produced wealth. This served them as capital accumulations. But by taking purchasing power out of the hands of mass consumers, the savers denied to themselves the kind of effective demand for their products that would justify a reinvestment of their capital accumulations in new plants. In consequence, as in a poker game where the chips were concentrated in fewer and fewer hands, the other fellows could stay in the game only by borrowing. When their credit ran out, the game stopped.
Sound familiar? In essence, Bush's economic policies created conditions similar to those that triggered the Great Depression. From 2001 through 2007, the American economy grew by 31%, but the increase in wealth was not fairly or evenly distributed throughout the economy. After-tax income for corporate CEOs grew 40 to 400%; whereas average income for middle class wage earners declined 3% during the same period.

Factoring in rising costs of energy, food, education, and health care, which rose faster than the base inflationary rate, what do get? A middle class that can no longer serve as the engine for economic recovery. Thus, the real reason behind our economic crisis is the concentration of wealth in the hands of the few at the expense of the many ... just like it was almost 80 years ago.