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Category Archives: economy

The final steps in the Great Taking.

You might not have noticed, especially in light of the relentless drivel put out by the mainstream media in an effort to distract you, but the oligarchs have entered the final stages in their efforts to own and control everything and leave the rest of us living like serfs in some bleak rerun of the feudal ages.  Trump, it turns out, is the perfect vehicle for this purpose and is all too willing to aid the wealthy – of every country, not just the US – to strip the commons bare and set us against each other.  The man is inherently stupid, barely literate, easily manipulated, venal to a remarkable degree, and extraordinarily greedy.  He is also a vicious shit – never discount that part of his makeup.  He and his family are daily making personal profit from his position and it would be laughably simple to show that he is running afoul of the emoluments clause of the Constitution.  In fact, the photogenic new ruling prince of Saudi Arabia is currently making the rounds of American glitterati, boasting that Jared Kushner gave him classified information in exchange for promises of loans, information which let the prince know who his enemies were in the old regime so he could imprison them and snatch leadership for himself.  [See Note 1.]  Now, anyone who thinks the Trump/Kushner family would never use their security clearances for personal gain must not have taken even a passing gander at the members of this grifting lot.  However, neither party in Congress will ever broach the topic of emoluments, as they share the same basic goals as Trump; and these goals happen to be the ones that the oligarchs, the wealthy, and the corporate cartels demand be fulfilled.  Trump is getting them there, hence Trump will not be escorted off stage.  Congress will not stand up for the people because they simply do not see the public as their employers.  They will not serve the best interests of the people, whom they loathe and largely view as a nuisance.  I cannot understand writers who propose the notion that Trump is “being used against his will” (by the military industrial complex/the CIA/the powers behind the curtain who have threatened him and are making him do these things) or that he is not to be blamed because he is “no different” than the last couple of presidents.  While it’s true that he is a continuation of the trajectory, he cannot be held innocent of the results of his actions, which he takes voluntarily.  It is irrational to suggest that he has some fundamental disagreement with his own policies.

All that being said, we must remember that the choice offered to the US in 2016 was between the uncouth imbecile named Trump and the neoliberal, bloodthirsty Hillary Clinton.  The Clinton Foundation, which was allowed to rake in international donations while she was Secretary of State, would no doubt have continued operations had she won the presidency.  Clinton made it clear that she had no interest in public spending, calling reduced college tuition and universal healthcare ‘unreasonable dreams’.  She also constantly beat the war drums, and has long called for direct aggression against Russia, China and Iran.  She was the architect for the invasion and destruction of Libya, a crime that should have taken her and Obama straight to the Hague.  Everything I write about Trump, his family, and his administration could just as easily pertain to a Clinton regime; just swap out a few names.  In rough figures, 25% of the eligible voters chose Trump and 25% chose Clinton.  Half the eligible voters did not vote at all.  I think the 50% who stayed home took the best position.  There was no point in endorsing the electoral farce that was imposed on the public in the last election.

Trump will be the face of the empire for awhile.  It is important to both hold him accountable for his time in office and at the same moment understand that he is just the latest iteration spewed out from the maw of a plutocratic power structure that has no national borders. And so I when I write using particular names, remember that the names are easily interchangeable with others.

We are told by Trump, the media and Congress that we need to bomb Syria even more often, using bigger weapons, because al Assad has supposedly just gassed some of his own people again.  We are expected to believe that immediately after Trump announced he wants the US out of Syria, the cagey Assad staged an assault on civilians in Syrian order to lure us into the perpetual bombing of his country and that what he most desires is eternal US interference with his domestic affairs. The whole story makes no sense.  No investigation has taken place, no proof of blame has been offered, but just as in the lead-up to the Iraq war, we are given a tale where the ending is already assumed.  The media must bear much of the blame for this.  The “reporters” who refuse to investigate the truth, who make a deliberate choice to air whatever bullshit line is fed to them by the oligarchic warmongers, are collaborating with powers that will end up killing us all.  There is no excuse for this – none.  We have communication networks such as the internet and phone systems that allow information to travel globally and that are easily accessed.  It is only the desire for personal gain that prods media personalities to repeat prepared lines rather than ferreting out the truth.

We are told by Trump, the media, and Congress that we should bomb North Korea because they might have nuclear weapons.  No-one can say how it is that the US gets to decide who has nukes or how it happens that the US can arbitrarily take military action against the other countries that are developing them.  Those precepts are just taken as a given.  Trump is going to a) have Kim Jong-un assassinated, b) preemptively nuke North Korea, c) negotiate with North Korea, d) let South Korea negotiate with North Korea, e) let South Korea engage in talks but then scuttle any resulting agreements, or f) do nothing, and hope Kim keeps his fat mouth shut for awhile until we decide which country to bomb next and that may or may not be North Korea.  Most likely answer is f, because Syria, Iran and the dread Russia also need to be taken out and it is unclear at this point in which order we will proceed.  Economic demands require a new blood infusion, however, so some country or another is going to get it.  And any provocation, no matter how obvious a false flag it is, will be used to wag that dog.

In the meantime, our own country is being stripped bare.  Trump and both houses of Congress are racing as swiftly as possible to ruin the environment, pollute the water and air, give tax cuts to the wealthy, use almost all tax monies to bloat the Pentagon while any spending on the actual population is wiped out.  We are told by Trump, the media, and Congress that this is a good thing, a necessary thing.  Barack Obama, we are told, was not pro-military enough and “decimated” our military forces.  Yet Obama shut not a one of those 900+ bases we have around the world, he sent the military into even more countries than we were already interfering with when he took office, he greatly intensified the drone-bombing of multiple other countries, and he consistently increased the Pentagon’s budget year over year.  It was Obama who signed into law the first NDAA that authorized a president to assassinate even American citizens at his personal discretion, and he signed all subsequent NDAAs, each of which included that same clause.  That anyone on the planet believes the crap that Obama was not militant enough is proof that propaganda works and that the cheese has totally slid off our crackers.

Congress managed to pass a tax cut scam that so blatently engorges the coffers of the already wealthy and the biggest corporations that the fact that it didn’t, by itself, lead to a revolt is astonishing.  Those fuckers just openly passed a bill that adds to the “deficit” (a deficit which only exists because the US created the Federal Reserve and dropped the gold standard, choosing to let private banks create money that is loaned to the government at interest).  The same tax bill brazenly doubles down on the now-proven nonsensical trope of trickle-down supply-side economics.  They are already telling us that Medicare, Medicaid and Social Security will have to be slashed in order to pay for this nasty piece of lobbyist-written work, despite the fact that the bill itself already cuts half a trillion dollars from Medicare over the next ten years.

But the Democrats were too busy talking about the DACA kids at that juncture to spend much time talking about the goodies in the tax scam.  It was a peculiar choice of sticking points, given that the Democrats had ample opportunity to address that issue when they were in the majority under Obama and they had exactly zero interest in addressing it then.  Bringing up the topic of DACA was a ruse to obfuscate the fact that the Democrats really had few objections to the tax bill; in fact, the Democrats enthusiastically supported cutting corporate taxes, as they were quick to point out.  Few details of the tax bill were were discussed publicly by either party.  There can be no doubt that this was done intentionally with bipartisan cooperation; let us not forget that it was under Obama’s first term that he and the Democrats brought into being the “cat food commission”, whose job it was to look into ways to cut the so-called “entitlement” programs.  The commission was disbanded because the public wasn’t quite ripe enough to pluck yet, but the thinking never went away.  Now is the propitious time, obviously; they have managed to brainwash the public into believing, with the sure conviction of the new convert, that any money spent on themselves is money spent foolishly.

One of the overlooked details is this (and this is the only detail I am going to get into right now): there is a clause in the tax bill that switches the way inflation is measured from the current Consumer Price Index (CPI) to a “chained” CPI. The measure of inflation is used as a determinant for figuring tax rates, social security payments to retirees, funding for programs such as Medicaid, Headstart, food stamps, etc. Right now, the government uses a variety of indices in its CPI figures and the official inflation rate is kind of a mixed bag of several of them. By switching to a “chained” CPI, inflation is artificially held to a lower number; for instance, the “chained” CPI carries an assumption that if the price of beef goes up, people might buy chicken instead.  That might be a reasonable assumption, although eventually one runs out of substitutes. I mean, if the price of chicken goes up next, they assume people will buy oatmeal instead. Eventually, they are assuming we are all eating grass. You see how that works. The “chained” CPI even goes so far as to offer this substitution model for dissimilar items: if the price of food goes up, the assumption is that people will cut back on buying heating oil. Presto-change-o, the consumer has not suffered from an increase in inflation!

The government publishes both the traditional and the “chained” CPI numbers every month now, and one can see that the “chained” CPI numbers suspiciously do not include some common household expenses, such as housing costs. I can only assume this is because the price of renting or buying a home has grown so preposterous since ’08 that it would completely wipe out the official mantra that there is no inflation.

By using the “chained” CPI, Congress is already chipping away at retiree income, social programs, and raising the tax rate on lower-income workers. They don’t have to openly attack SS, for example; simply by switching how they measure inflation, they are using a back-door method to reduce benefits.  Not one single Democrat issued any statement, much less any objection, to this clause in the Republican’s tax plan.  Slowing those SS benefit increases would save around $125 billion over a decade, without the political pain of cutting benefits directly or raising the access age.  The Republicans didn’t have to specify they want to cut Social Security or Medicare. They just did so, and with a tool the Democrats won’t ever repeal.  It’s brilliant, if you admire that sort of cynical maneuver.  These misanthropes are ruthless.

The omnibus spending bill that was passed most recently is equally odious, although no objections were raised by anyone except the strange occupants of the farthest right fringe, who are repulsed by having to share even the oxygen in the room with what they consider the underachieving.  The Democrats helped to pass that bill, giving as their excuses the military, which has to be supported at all costs and thank God this bill does that plus some, and that a few little coins were kept in there for some public programs.  Never fear, however; Trump and the Republicans are working on a plan to get rid of some of the ruinous public spending that accidentally got included, and I am sure the Democrats are breathing a sigh of relief that they don’t have to do anything to fight it, as it doesn’t depend on their involvement at all.  Their civic affectations are not bearing up well under scrutiny, anyway; best to lay low for awhile.  And forget any minor Republican insurgency that might serve as opposition against this latest plan – Republicans have no pretense of community responsibility to maintain.

Let’s go back to a month ago when Gary Cohn, Trump’s chief economic advisor, announced his resignation after Trump’s decision to impose tariffs on aluminum and steel, a trade war measure that Cohn opposed.  (By the way, in another example of misuse of office, Ivanka Trump’s clothing line is exempt from the latest batch of tariffs, imposed on China.  The White House explains that this is simply a happy accident of the algorithm they used to decide what items to include or exempt from the tariffs . That right there is what you might call a “lie”. [See Note 2.])   Cohn had gotten what he came for: the tax cuts for the wealthy and big business. Of course, that tax bill will end up ruining the economy and decimating the working class, but what’s that matter to someone like Cohn?  It was interesting to see one of the really big confidence men bailing out at this juncture; one might speculate that Cohn knows there is going to be some bad economic news headed our way and wants to be well out before the stink sticks to him (too late, Goldman Sachs dude).  Cohn was replaced by Larry Kudlow, a CNBC talking head, who is best known as a reformed coke-head and a fool who has the amazing ability to be wrong on everything remotely related to money, yet still manages to find a job in front of a camera opining on economic matters.  Being a blithering idiot, he was the most obvious choice to advise the current administration on financial policies, and has actually been doing so behind the scenes since Trump announced his candidacy.  He hates the “giveaways” to the mere commoners in the budget bill (as does Trump, who almost didn’t sign the thing because of them) and has begun touting a little-known method to weed these repugnant items out of the law post ipso facto.   The Republicans can use something called the Impoundment Act, which was written and passed in 1974.  This Act allows the president to rescind (i.e., retroactively erase) funds that have already been approved by Congress.  I had never heard of this before, although it was used under Nixon, Reagan, Clinton, and Bush a couple of times.  Amazing to find out about the voluminous ways Congress has gone about side-stepping the Constitution over the years.  In any case, Trump can target up to $117 billion – the difference between his request for domestic non-defense spending and the level that was actually included in it.  If he chooses to employ it, he would propose the items and amounts he wants cut, and Congress has 45 days after his proposal to approve the package.  The vote would be a simple majority vote, meaning the Republicans don’t need any Democratic support to alter federal spending more to their liking.

Non-defense spending is a relatively small portion of overall spending; the non-defense discretionary budget only accounted for roughly 15% of all federal spending in 2017.  However, this portion of the budget is the part that Trump has the ability to cut through impoundment.  He has suggested many of the programs he would like to eliminate before now, so his list will not surprise anyone if and when he comes out with it.  Since he has objected to the following items before, and has already stated he wants to save money (that was given away with the tax bill, one might note) by cutting them from the 2019 budget, the proposed programs to be rescinded might look something like this, just for starters:

• The Low Income Home Energy Assistance Program or LIHEAP ($3.4 billion in one-year savings)
• International financial assistance for global climate change initiatives ($160 million)
• Funding for the Corporation for Public Broadcasting ($480 million)
• Department of Housing and Urban Development Community Development Block Grants ($3 billion)
He also proposed cutting:
• Amtrak grants by $757 million
• HUD rental Assistance Programs by $4.2 billion
• The Federal Work Study program by $790 million
• State Department Educational and Cultural Exchange programs $475

The above details about the CPI and the Impoundment Act are but small samples of the general trend against the best interests of the people who live here in the US that has been ongoing for a generation now.  Of much wider import are the greatly accelerated attacks on the environment and food systems.  The choices made by the Trump administration are disastrous, but let’s not pretend that the previous administrations were exactly safeguarding the health of the planet, much less that of the people who live on her.  These are issues where the media and Congress again refuse to speak up, and yet, like the relentless drive to more war, will end up killing us.  We are letting the oil companies frack the entire country and the surrounding bodies of water, which is causing oil spills, earthquakes, and a constant infiltration of fracking chemicals into our water.  A four thousand square mile area of Texas is heaving and sinking due to oil extraction activity, and this is in an area of the country where our government decided it would be a good idea to bury nuclear waste.  The Pentagon is working on a plan to genetically alter some forms of sea life so as to use them for military purposes.  One third of all American wildlife species are headed for extinction.  The mega corporations Bayer and Monsanto are seeking to merge into one company, which will make them for all intents and purposes the owner of almost all the seed stock and much of the cropland on the planet.  The EU has already approved the merger, and the Trump administration is expected to do the same.  These two companies have worked in tandem for several decades now and have been allowed to poison the world with pesticides and chemicals, destroy native seed stocks in order to replace them with genetically modified “food” crops, and drive farmers across the globe out of business.  Monsanto, in particular, has been the recipient of financial backing and unceasing efforts to make it the primary food source in every country from people like the Clintons, Bill Gates, and Pierre Omidyar.  [For links to articles on all these topics, see Note 3.]

We have to do better than this.  We have to learn how to turn off the constant propaganda that incites us to hate one another and keeps us cheering for the slaughter of some group or another of strangers across the planet.  We have to take care of this planet and of each other.  It doesn’t matter what name you call it, what “ism” it goes by, but there is a societal system that works better for us all than capitalism.  And there are better people around than the oligarchy that wants to control our every move, spy on our every communication, and drive us to some final dismal destruction of ourselves.  We really are all stardust, and we need to regard each other and our fellow creatures with the respect and admiration that our common origin deserves.  For despite the humble beginnings of life on earth which arose accidentally from the dust of the cosmos, that dust formed a myriad of life-forms, all intrinsically related and yet each wonderfully different.

About two weeks ago, I was thinking about this turning point in our history and realized that it is somewhat comparative to that of Louis XVI of France in a couple of ways.  He (Louis XVI) announced he wanted to do away with serfdom as a “populist” reform measure, an idea which pissed off the nobles; in the end he listened to the wealthy and gave up the notion, thus abandoning the lower classes who had thought he would usher in a new era.  Then he deregulated the grain market, sending bread prices soaring (turns out deregulation has a very long history of being bad for the working class).  Then he decided to support the colonists (in what would become the US) in their fight against Great Britain and this took France into debt and dire financial straits (turns out getting involved in other people’s wars has a very long history of being a bad fiscal idea and bad for the working class).  His indecisiveness and waffling, which always seemed to end up with him supporting the nobility, erased all the popularity he had once enjoyed.  In an effort to bolster support for himself, he considered starting some new invasive wars, but as it happened, the public didn’t particularly find this a compelling sales pitch when they found out about the scheme.

Finally, the people rose up and took his head.

And then France embarked on a decade of wars anyway, which flowed seamlessly into the Napoleonic Wars, which lasted until 1815 – all told, 23 years of continuous warfare with multiple countries on several continents after Louis XVI was beheaded (turns out humans have a very long history of stupidity and apparently a genetic defect that leads them to kill each other with abandon and glee on a constant basis).  So… vive la revolution, etc., but beware what follows?  We better chose more carefully this time.  I will repeat the sentence with which I started this blog so many years ago:  Be a good human.

(I was tickled by the synchronicity, if you will, of hearing Richard Wolff, just five days ago, mention the same bit of history in the following discussion between him and Chris Hedges regarding the coming collapse of the American capitalist system.  The following video is about half an hour long, and certainly worth the time.)

Economist Richard Wolff discusses the coming economic collapse of the United States of America with Chris Hedges.

 

Note 1:

Saudi crown prince Mohammed bin Salman bragged of receiving classified US intelligence from Jared Kushner and using it as part of a purge of ‘corrupt’ princes and businessmen, DailyMail.com can disclose. […]

http://www.dailymail.co.uk/news/article-5575395/amp/Saudi-crown-prince-brags-Jared-Kushner-handed-U-S-intelligence.html?__twitter_impression=true

Note 2: The justification for the tariffs on the grounds of national security is a fiction created by Trump in order to apply the tariffs. US law allows the President to impose tariffs unilaterally for reasons of national security, but the trade arguments going on right now certainly don’t rise to that level.  Furthermore, the areas in which we are accusing China of malfeasance are already being arbitrated in the World Trade Organization; there is no reason for other actions at this point.  Aside from the claim of dire national security issues, tariffs can only be applied by Congress and Trump knows that won’t happen. This is an abrogation of power by the President and should be opposed for that reason alone.

[…] Many of the products branded by Ivanka Trump’s fashion and clothing line are manufactured in China. And China recently approved three new trademarks for Ivanka Trump’s brand there–on the same day she dined with Chinese President Xi Jinping in her official capacity as White House advisor.
Exempting clothing from the new round of U.S. tariffs therefore stands to immensely benefit the value of Ivanka Trump’s personal brand. Meanwhile, domestic clothing manufacturers have cried foul.
In a statement reacting to the tariffs and Trump’s noteworthy exemption for Chinese-produced clothing, Rick Helfenbein, chief executive of industry group the American Apparel & Footwear Association said, “This would directly raise costs on domestic manufacturers and impact our ability to grow Made in USA.”
Law&Crime reached out to Ivanka Trump’s press office for comment, but no response was forthcoming at the time of publication.

https://lawandcrime.com/awkward/ivanka-trumps-chinese-produced-clothing-not-subject-new-tariffs/
——————
And see:

The American Apparel & Footwear Association welcomed the decision by the Trump administration to avoid taxing American consumers by excluding new tariffs on apparel, footwear, travel goods, and related products imported from China.
The association’s President and CEO Rick Helfenbein released the following statement:
“We are pleased with the administration’s decision to avoid adding tariffs to U.S. imports of apparel, footwear, and travel goods from China. Tariffs are a hidden, regressive tax on Americans and such a decision would have had a disastrous impact on American consumers,” said Helfenbein.
“At the same time, we are concerned that the list includes tariffs on machinery used in our domestic manufacturing process. This would directly raise costs on domestic manufacturers and impact our ability to grow Made in USA. We will express these concerns with the administration in the coming days, and look forward to working with them on the core concerns of intellectual property theft and forced technology transfer in China.”[…]

https://www.aafaglobal.org/AAFA/AAFA_News/2018_Press_Releases/Apparel_and_Footwear_Industry_Association_Reacts_To_Trump_Administration_Tariff_List.aspx

 

Note 3:  Various articles of interest on the environment, Monsanto, and stardust.

The Pentagon’s Scary Plan to Militarize Ocean Life:

http://www.earthisland.org/journal/index.php/elist/eListRead/the_pentagons_scary_plan_to_militarize_ocean_life/

****

America’s wildlife crisis; one-third of species are vulnerable to extinction, a crisis ravaging swaths of creatures, conservationists say in call to fund recovery plans:

https://www.theguardian.com/environment/2018/mar/29/us-wildlife-extinction-species-report

****

Radar images show large swath of West Texas oil patch is heaving and sinking at alarming rates:

http://blog.smu.edu/research/2018/03/20/radar-images-show-large-swath-of-texas-oil-patch-is-heaving-and-sinking-at-alarming-rates/

****

Bayer and Monsanto have a long history of collusion to poison the ecosystem for profit. The Trump administration should veto their merger not just to protect competitors but to ensure human and planetary survival:

The Bayer-Monsanto Merger Is Bad News for the Planet

****

Joni Mitchell was right, we really are all stardust:

https://news.nationalgeographic.com/2015/01/150128-big-bang-universe-supernova-astrophysics-health-space-ngbooktalk/

 

A quick note on unemployment numbers.

This year, Sears Holdings plans to close 42 Sears stores and 108 Kmart stores, or roughly 10% of their locations. They already closed more than 200 locations in 2016.

Macy’s plans to close 100 stores this year, 68 of them by mid-year. It is eliminating 10,000 jobs. CVS plans to close 70 stores this year. The Limited is closing almost all of its 250 stores, costing 4000 jobs, although it will offer on-line shopping.  Men’s Warehouse/Jos. A Banks is closing 250 stores. Office Depot will close another 300 stores by the end of 2018, after closing 400 stores in recent years. Walmart is closing 269 stores globally this year.

I guess the bottom line is that when you shop on-line, you are costing someone a job.

The labor force participation rate in the US remains at less than 63%. [It stands at 62.7 right now.] The labor force participation rate (LFPR) is the number of able-bodied, job-eligible, people over the age of 18 who either have a job or who are actively looking for a job. The numbers do not include the military, people in prison, those who are disabled, anyone under 18 or anyone over 65. Do note, however, that if you are unemployed, but looking for a job, you are still counted as “participating” in the labor force. Still, the LFPR is doubtless the most accurate picture of how many people are working in a country, since the other ways they use to count employment rates are so absurdly calculated as to completely discount the reports out of hand. For instance, we are told that our current unemployment rate is 4.7. Utterly impossible, given that only 63% of us have jobs or are actively seeking jobs.  I must make a note here that 100% LFPR is not to be desired, either.  Certainly, no country wants a society where everyone works: it would mean that there are no mothers or fathers staying home to raise the children or care for their elderly relatives, for one thing.  It would also imply that living expenses are so high that every single adult has to work to support themselves, as opposed to a society where one wage-earner can support a family on his/her salary.  We used to have that in the United States.  I believe the low LFPR in the 1950’s and 1960’s was a reflection of this desirable situation rather than an indication that there was massive unwanted unemployment.  In other words, one must use some discernment in looking at unemployment rates, no matter where one gets the numbers.  All that being said, let’s just go with the cold LFPR numbers as the accurate indicator of unemployment rates.

If the labor force participation rate is around 63 (i.e., 63% of eligible Americans have jobs), that means that 37% of able-bodied, job-eligible Americans do not have employment.  How does that not translate into a 37% unemployment rate?

Interestingly, I have noted that when the US media reports on unemployment in foreign countries, they use the labor force participation rates exactly as they should be used.  In Greece, the LFPR is 52, meaning that there is a 48% unemployment rate.  The US media therefore reports, usually with dismayed shock, that unemployment in Greece is 48%.  I don’t understand why it is reported accurately in the one case, and not in the other, unless the idea is to obfuscate the true unemployment numbers here in the US. (One might add “duh” here, but that would be unnecessary silliness.)

Also, I can only shake my head when I read mainstream articles that state we have “recovered all the jobs lost” since the start of the recession.  We lost roughly 10 million full-time jobs since ’08 or ’09 and we did replace them with 10 million jobs as of 2015 – all part-time, low-paying jobs – but this does not do anything about the population increase in the meantime.   Touting the equation of jobs gained = jobs lost does not take into account the millions and millions of Americans who came of age during this time frame with no new jobs actually created for them to work at.

By the way, the LFPR for Russia is currently 69.5% (making it equal to Switzerland in the high number of employed people it has).  We beat the participation rate in Ukraine by a mere 0.3% , and they are currently involved in a civil war (thanks to the “indispensable” USA).  We also have a higher employment rate than Afghanistan, Libya, and Iraq – but we kind of inflicted some problems on those countries as well, to say the least.   The US LFPR is lower than Armenia, the Philippines, Colombia, Italy, Ecuador, Latvia, El Salvador, and Malaysia, just to name a few other countries.  We have a lower percentage of employed people in our population than these countries do; think about that. (We also have a lower percentage than North Korea, but then, I think they do forced labor there.)

It’s not quite the “recovery” that occurred after the Great Depression, is it?  Does it even qualify as a recovery if you have fewer people employed now than you did at the start of the “economic downturn”?  We know for shit sure it isn’t because suddenly everyone in the US is so wealthy that they don’t need jobs any more, and we are certainly not in the 1950’s situation at all, where one person could support a household with his one well-paying job.  And still the politicians can’t fathom the disenchantment of the masses.

 

 
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Posted by on January 7, 2017 in economy

 

Trump wins. Thank the Democrats.

Donald Trump has won the 2016 election and the Republicans retain control of both the House and the Senate.  

There is no-one to blame but the Democratic party politicians, the DNC, and their big donors. They had a candidate (actually more than one) who could have beat Trump in a landslide, yet they decided they had to do everything in their power, including rigging the primaries and colluding with the media, to give the nomination to a person so universally despised and so obviously corrupt that she couldn’t beat the carnival barker.  Irony of ironies; as the Clinton and DNC emails prove, the Clinton people were pushing for the nomination of Trump as an opponent because they thought he would be easier for her to beat than any other Republican. The fatal flaw of this plan was that the Democratic machine had been rigging everything in favor of the one person who couldn’t beat anyone with enough of a margin to overcome the insurmountable and peculiar electoral college system we use.  [Although they claim she beat Bernie Sanders, running as a fellow Democrat, in the primaries, the evidence of the DNC rigging the primaries is, well, irrefutable at this point and her nomination was cinched by Sanders’ own and finally obvious collusion in merely playing the sheepdog to deliver his innocent flock over to her.]  

Not only that, but the DNC spent all their money – against the party regulations, by the way – on the Hillary Victory Fund instead of spreading it out to the down-ticket Democrats; as a result, they still have a minority in both the House and the Senate. Not to mention that the only down-ticket Democrats that they supported verbally, if not financially, were nothing but ‘Blue Dog’ sell-outs instead of progressives or liberals. Despite losing the hold they had in both houses of Congress and losing state houses all across the country during the 2014 mid-terms, they didn’t bother with getting out the vote, or bother to deal with gerry-mandering issues, or pay any attention whatsoever to what people were telling them – that the economy sucks, people need jobs, Obamacare is really really bad, wealth disparity is dividing the country, Obama didn’t keep any of his promises and people were pissed about it, and everyone is sick of the “bipartisan compromises” that keep making things worse on the ground.  47 million Americans don’t have enough food to eat.  Fully one-third of eligible working-age Americans do not have jobs.  Social Security benefits continue to get cut or remain stagnant despite the fact that people can see with their own two eyes that food, housing and every other expense they routinely have to pay each month continues to increase in price.  Health insurance costs are so high that a family plan now costs more than the average person earns in 6 months.  Wages are effectively lower than they were 20 years ago.  Although the “family income” level was purred over repeatedly by Obama and Clinton on the campaign trail and touted as a sign of how things have improved under Obama, the fact is that according to the reports themselves, family income has not even risen above the level it was in 1999 – 17 years ago.  This is obfuscated by politicians and media pundits who don’t reveal the actual charts, try to equate “household income” with “personal income”, and who never point out the obvious; family income includes the combined incomes of all members of a family living in one household, and we now have the highest number of adult children living with their parents than at any time in our history.  Even if all they have is some measly part-time job at McDonald’s, these young adults contribute to that “household income” number.  Which, despite 1/3 of Americans under the age of 30 having to live with Mommy and Daddy, is still lower than than it was 17 fucking years ago.

I’m just amazed that the political grifters weren’t able to pull off the final fake-out and simply make up the election results like they do the unemployment numbers, economic measurements, or poll numbers and just claim Clinton won; on the other hand, it should occur to everyone that perhaps Trump is just as acceptable to the plutocracy as she is.  Maybe it’s that easy to figure out why they didn’t bother to rig the election – either candidate suffices to get the powers-that-be where they want to be; in total control of all the commons and all the wealth, and so they let the general election play out without interference.   Hell, maybe they did rig it, but didn’t go far enough, underestimating the numbers they needed.  Or – here’s a conspiracy theory for you – maybe Clinton’s health really is so bad that they realized, too late, that they couldn’t let her take office.  It strikes me as odd that she conceded before Trump had officially hit the magic 270 number in the electoral count and well before all the popular votes were in, especially given her determined, bullish, self-righteous pursuit of the office for so many long years.  Or perhaps the investigations into the Clinton Foundation are showing indications that criminal charges are forthcoming; the FBI has not ended those investigations, after all.  However, that will be taken care of by Obama preemptively pardoning Clinton before he leaves the White House so that no charges can ever be filed and the Clinton Foundation’s felonious enterprise will never be publicly exposed.  Perhaps the electoral college will not vote the way it is pledged to, in the end, and Clinton has been told to expect this.  She actually has won the popular vote, after all.  The electoral college does not cast its official vote until Dec. 19.  Supposedly, the electors have to vote the way they are pledged, but they may be convinced to test the system this time on behalf of “DNC primary super-delegate winner” Clinton.  Maybe this election has yet other surprises in store.

The country could have gone either way – more liberal or more conservative – in its presidential decision.  As the results of various ballot measures across the country prove, our societal tendency as a whole is clearly toward the liberal side.  The voters approved measures for legalized marijuana and increased minimum wages in state after state, for example.  It’s the politicians who are trending ever further right.  The Democratic party refused to encourage this social trending and instead offered the most right-wing Democrats they could find.  The voters repudiated that; unfortunately, having been abandoned by the Democrats, voting for Republicans was the only way to voice their discontent.  It wasn’t so much a choice for the conservatives as an un-choosing of the status quo.  In fact, the Republican party can only claim somewhere between 25 and 30% of the voting public as its base.  Clinton, Obama, and her other spokesmen were out there on the campaign trail, however, praising Ronald Reagan, Henry Kissinger, and Madeleine Albright, for God’s sake.  The Republican big-wigs supported Clinton, as did all the neocons and neoliberals.  She talked about the need for more wars (with Iran, China, and Russia, God help us all) and more Pentagon spending, and the only mention made of liberal ideas were to dismiss them as things that might  be “worked out eventually in a bipartisan fashion”.  It all made anything she said about “supporting progressive promises” and “Democratic ideals” look so phony that, in the end, nobody could believe a damn word of it.  I guarantee you, if the Democrats had run seriously progressive candidates and responded to, heeded the message of, the massive support Sanders got and what it implied, this election would have ended differently. It’s too bad, because Trump’s trickle-down economic ideas won’t do a damned thing for any but the wealthiest Americans and corporate cartels, but the people responded at a gut level. They found him to be authentic in his strange, but ultimately Ayn Randian way, and intuitively knew Clinton was a liar, a warmonger and a Wall Street stooge.  Going with their gut feelings was all they had; the billionaires, corporate elites, whorish media, and political parties have finally managed to so dumb down and confuse the population that all the people had left was unfiltered, inchoate anger and primal survival instinct.  They tossed a Hail Mary pass for the one they felt was at least a political outsider, driven by the devil’s bargain that had been foisted on them by party elites.

I think we are going to lose our Social Security, Medicare, unemployment and food stamps benefits no matter who had won, as both parties have been colluding to that end since Bill Clinton was in office.  Obama formed his “catfood commission” as one of the first things he did during his first term, if you’ll recall.  When Obama took office in 2008, he had a Democratic majority in both houses.  And yet he utterly failed to implement any of the progressive platforms he had run on, instead squandering the opportunity (with no objection from the Democrats in either house, mind you) to end torture, take action against the Bush regime, close Guantanamo Bay, end the wars in Iraq and Afghanistan, punish the Wall Street bankers who crashed the economy, or push for universal health-care.  He brought in Timmeh Geithner and other Goldman Sachs men to run the Treasury and immediately assigned Monsanto people to run the FDA and the USDA, granted permits for even more deep-water drilling, and named a charter-schools promoter to run the Dept. of Education.  Within a few years, he had signed the NDAA giving him the ability to assassinate anyone he chose anywhere on the planet (Trump may love that presidential perq), and expanded our illegal “war zone” to seven countries.  Like the Syriza Party in Greece, Obama and the Democrats took office with false promises and immediately handed the country over to everything the people thought they were voting against.  We were given the discipline of austerity measures, a health “reform” that gave exponentially more profits to the private insurers and pharmaceutical companies, and exposed to the quackery of the Federal Reserve programs.  It is guaranteed that now, at this late date and with the Republicans in charge of both houses and the presidency, there will be no re-regulation of Wall Street, all our tax monies will continue to feed the Pentagon, big corporations will still get governmental subsidies while raking in record profits, there will not be an end to the toxic shit dumped into the water and food, every state will be fracked, and every politician in Washington will continue to ignore the wishes of the people who voted them into office.  Here’s the thing: we weren’t going to get anything good out of this election anyway.  You might not have noticed, but neither party talked about actual policies they might implement.  The media never asked questions along those lines, either.  Climate change was never mentioned in the debates, nor the militarization of the police, nor the legality of the US bombing  multiple countries, none of with whom we are legally at war .  Likewise ignored was civil asset forfeiture, NSA spying, and all the other losses of our civil liberties over the years.  Despite Trump’s promises, the House and Senate won’t spend a dime on infrastructure, jobs, or education, and for sure, climate change or environmental issues are completely dead in the water now (those being not even mentioned by Trump), but at least there isn’t going to be any pretense about who both parties of Congress serve any more. And it isn’t the people of the United States; it’s the plutocracy.  Desperate Trump supporters and the die-hard Clinton supporters may not have figured that out yet, and may never; for we are a supremely fact-free and stupid society now.  

[As an aside, I have to mention that Clinton didn’t even bother to address her faithful in person last night.  She phoned in her concession to Trump, had someone announce to the media that she’d speak publicly in the morning, and just left all those Clinton people deserted in the hall where they’d gathered in the assumption that win or lose, she’d at least grace them with her presence.  She didn’t spare a minute for them, however.  All those sad Clinton supporters, mourning the fact that their very own Caligula had lost the election, were left to catch some rest as best they could in their folding chairs until around noon today, when she gave her official concession speech.  I watched that event live when it occurred.  She had the unmitigated nerve to blather on about how the US “treats everyone equally under the law” and about how “the Constitution” and “rule of law” guides us all and makes us such a great country.  Much to my surprise, a bolt of lightening did not come down from the heavens and strike her dead.]

But whatever happens from here on out, put the blame where it belongs: on the Democrats, who insisted that it was the criminal War-pig’s “turn”, no matter what the voters were saying they wanted.  As it turns out, the fact that she pees sitting down wasn’t a big selling point, and that was the only card they had to play.  What’s the old saying?  Democrats stab you in the back, Republicans stab you in the front.  The Democrats sold us out gradually over the years; from Bill Clinton’s time in office onwards, they turned ever more rightward, leaving behind and deserting the civil rights movement, the peace movement, the unions, and the idea that our society and commons should be the primary recipients of taxpayer monies.  We were at a turning point with this election.  We could have gone more toward the right or toward the left in this choice, as I said.  We had candidates who were clearly more to the left of Clinton, candidates who were kept as hidden as possible by the collaboration of the media and the political parties until it was too late, and the left was deserted.  The Democratic power machine deliberately chose to take the rightward lean, they deliberately chose to ignore what their voter base wanted, and in so doing, deliberately threw away a chance to nudge our society ever closer toward true equality and social uplift.  We will pay the price for a long time and the price will be heavy.  

 

 

Notes on the TPP.

The TPP was written in complete secrecy by corporate CEOs and their lawyers, along with official governmental trade negotiators, over a five year period. The trade negotiator for the US is Michael Froman. He served in the Treasury Dept under Bob Rubin within the Clinton administration, during which time the Glass-Steagall Act was overturned, leading directly to the conditions giving rise to the economic meltdown years later.  After that gig, he and Rubin both went to work for Citigroup (big bank and hedge fund a-go-go). In 2013, he became our trade negotiator. I mention this because it’s relevant that our trade negotiator is a big bank guy who worked for one of the banks that helped tank the economy in ’08.

Obama signed the TPP in Feb. this year, as did all the leaders of the 12 signatory nations. None of them, however, has gotten the deal ratified in their countries yet; i.e., the TPP has not been passed through the parliaments or Congresses of any of the 12 nations yet and so has not legally gone into effect.

They have 2 years to ratify the TPP. If it isn’t ratified by Feb 2018, they can put it into force with only 6 countries participating, if the GDP of those 6 countries combined equals 85% of the GDP of the original 12 countries.

The TPP includes an ISDS [investor-state dispute settlement] mechanism. This clause allows a company to sue a treaty-participating country for monetary damages if local laws affect their business. It does not allow them to make changes to local laws, but it does allow them to sue a government for “damages”. The ISDS is run by a tribunal of 3 judges: all of whom are corporate heads, chosen by a panel of big corporations. It has been pointed out that previous trade agreements with an ISDS clause have pushed participating countries to loosen environmental and labor regulations in an effort to preemptively stave off potential lawsuits under ISDS, thus inherently influencing which laws are passed or altered by signatory countries.  It is the ISDS that ensures an end to our national sovereignty, as if the TPP even without it, weren’t bad enough. Any member of Congress that votes yes for this trade agreement and the president that signs it into law is committing treason, in my opinion.

While the ISDS clause cannot forcibly change US laws, some US laws will need to be changed in order to comply with the TPP itself. Obama had the duty (signed into law with the passage of the “Fast-track” bill; aka the Trade Promotion Authority or TPA) of working with the heads of the various US agencies (Dept of Ag, Commerce Dept, Treasury Dept, OSHA, etc.) to create a list of which laws would need to be altered, and to present this list to Congress at the same time the TPP is formally presented to them for vote. Obama signed an executive order in July handing this duty over to Michael Froman (our trade representative). We will find out what laws have been changed if/when Congress votes yes on the TPP. Congress can only vote ‘yes’ or ‘no’ on the TPP and its attached list of regulatory changes; they are not allowed to amend, filibuster, debate, add to, delete from, or alter any text at all.

Which means that any politician (like Hillary Clinton and Harry Reid) who suggests that the TPP can “be improved” by Congress before it is passed is lying through his teeth. Congress cannot change a word of the TPP. Any improvements that Congress might want to suggest before they would pass the damned thing would necessitate the renegotiation of the agreement with the other countries. (Congress cannot amend the text themselves, but they might, behind the scene so to speak, suggest changes that would ensure passage.) In other words, if Congress says they want x,y, or z clauses to be changed, the TPP has to be re-presented to all the countries with the alterations and the whole negotiation started over again, with the leaders of these countries having to sign a new agreement and presenting that new one to their parliaments for ratification. Obama wants this thing done before he leaves office, so it’s unlikely he would consider any recommendations from Congress that would cause the TPP to have to go into renegotiation. And when Clinton makes breezy promises to “improve” it when she is the president, she is eliding the fact that any improvements she might want will likewise send the agreement into renegotiation. (Remember, the countries only have 2 years to ratify the TPP through their parliaments, so there is little time to negotiate a new treaty.)

The “fast-track” bill that Congress wrote and passed and that Obama signed into law last year has its own stipulations that the media has chosen to completely ignore. This bill governs how Congress votes on any trade agreements for the next 6 years. It reads that Congress can only vote ‘yes’ or ‘no’ on any of these agreements without debate, alterations, or amendments, as I mentioned above. I also mentioned that it made the president responsible for telling Congress of any changes to our existing laws that have to occur to comply to the agreements (a duty that Obama handed off to Froman).

In case you think I am inventing the idea that some of our laws will require alteration or amendment (or, in fact, to be overturned altogether) with passage of the TPP, it is quite obvious that this is the case, as the Fast-track bill includes these paragraphs:

“if changes in existing laws or new statutory authority are required to implement such trade agreement or agreements, only such provisions as are strictly necessary or appropriate to implement such trade agreement or agreements, either repealing or amending existing laws or providing new statutory authority.[…]”

and:

“within 60 days after entering into the agreement, the President submits to Congress a description of those changes to existing laws that the President considers would be required in order to bring the United States into compliance with the agreement.”

But there are further rules imposed by the fast-track law, and these are overarching requirements for any trade agreement for the next 6 years. Fast-track demands that no trade agreement can discourage or prejudice commercial activity between the US and Israel. It stipulates that trade agreements must discourage movements such as BDS (boycott, divest, sanction) against Israel. This “no-BDS” clause includes everyone; the definition is given thusly:

“Definition.–In this paragraph, the term ‘actions to boycott, divest from, or sanction Israel” means actions by states, non-member states of the United Nations, international organizations, or affiliated agencies of international organizations that are politically motivated and are intended to penalize or otherwise limit commercial relations specifically with Israel or persons doing business in Israel or in Israeli-controlled territories.”

This formal declaration against the BDS movement was included despite the fact that Israel is not a participating country in any of the troika of trade agreements potentially coming up for vote in the near future. [What I call the troika consists of the TTP, the TTIP, and TISA.]

Fast-track also puts an end to any notion that we will ever have the labeling of products like GMOs or nano-technology, as it includes the following, a provision that none of the trade agreements can include:

“unjustified trade restrictions or commercial requirements, such as labeling, that affect new technologies, including biotechnology; […]”

When Obama signed the fast-track bill into law, he also signed the updated TAA (aka the Trade Adjustment Assistance law). This bill acknowledges the fact that trade agreements cost the US millions of jobs and so Congress authorizes funds for the “re-training” of American workers who will need to find new jobs with which to support themselves. The TAA has existed for years, but was set to expire in 2015. Congress reauthorized the bill and increased the funding because they knew that the upcoming TPP would cost jobs. They had to pass the TAA in order to get the fast-track bill passed: Obama demanded both at the same time, as did members of Congress who otherwise opposed the fast-track legislation, specifically because they know the TPP, TTIP, etc. will lead to job losses. Some of them even said so out loud while debating the fast-track and TAA bills – that the TPP will cost the US several million jobs, which is a vast understatement, according to labor experts. In order to pass the TAA re-training bill, Congress scotch-taped it to the African Growth and Opportunity Act, a trade bill supported by the Congressional Black Caucus, to attract more yes votes. In the updated bill, Congress supplied the necessary $950 mm funding (their estimate of the minimum needed for worker re-training if the TPP passes) by cutting Medicare further. They extended the Medicare sequestration reductions – Medicare benefits have been cut repeatedly since Obama took office – through 2024 and reduced reimbursements for Medicare patients who are on dialysis for acute renal failure. If you are one of the Americans qualified to get “re-training” money to help you “upgrade your skills” so you can find a new job at McDonald’s or WalMart after the TPP erases your current job, thank an elderly dialysis patient. Oh, wait, you won’t be able to – they’ll all be dead. And by the way, the amount of money you’ll get from the federal government toward a “re-training” program is $1500. Good luck.

No-one in the media noted that while Congress was talking about how the TPP was a swell idea, so “wonderful” that they wanted (and got) the fast-track bill in order to get the TPP passed as quickly as possible when it comes to a vote, they were admitting within the body of a bill passed at the same exact time as fast-track that the TPP was going to cost US jobs. Obama’s trade-policy advocates say the TPP will create jobs at the same time they say it will cost jobs. Which is it?  According to them (depending on the day of the week and which shill they have talking about it for them that day), it will do both.  Let’s call it the “Vietnam War Theory of Economics and Job Growth”. This new economic theory is that jobs must be lost in order for jobs to be created, and that a “good” trade deal is one that will lead to lost jobs and lower wages, which then must be partially offset by more federal spending for the displaced work force (funded with the tried and true method of simply taking monies from another sector of the public sphere); said pool of “displaced workers” having been created by the government passing the trade agreement in the first place.

And the TPP is what Clinton calls the “gold standard” of trade agreements, at least until she decided she had to lie about her position on it in order to garner votes.  For some reason, we allow our votes to be heavily invested in outright political lies.

The TTIP and TISA, the other two trade agreements currently under negotiation, have the same issues that the TPP does, and while I am not going into the specific details of those two here, if they are signed and brought before Congress, they will also be enacted within the mandates of the fast-track law. Some good information about both can be found on wikipedia, and websites such as publiccitizen.org are doing an outstanding job of reporting on them.

The TPP and the other trade agreements aren’t about trade. Tariffs are already near zero. They are about giving big, multi-national corporations complete control of and power over judicial and legislative decisions in every country, as well as providing unlimited opportunities for corporate cartels to strip money from wages and reduce governmental spending on the commons.

 

This is for posterity.

Now, if this isn’t just the epitome of Current America.  Illegally turn the city over to an unelected “manager” in a replacement coup of their elected mayor.  Privatize the water system. Don’t monitor said water system.  Find out, belatedly, but after being warned several times, that the water is toxic.  Cover up the facts until people are turning up sick, brain-damaged or dead.  Blame it on A) the Democrats, B) the Republicans, C) anyone no longer in office, D) the janitor, E) God, or F) the impoverished poor people who didn’t (i.e., couldn’t) pay their exorbitant water bills from the price-gouging private company and who therefore deserved what they got.  This is just the invisible hand of the market at work, or some such eternal and bright capitalistic truth, right?  Here are a couple of hard and real truths for you: it is unlikely the people who inflicted this on the public in Flint will ever pay any legal price for it.  It is inconceivable that any of them actually care about the matter, although they may mumble some platitudes about how unacceptable it all is, as though they had no idea how this whole thing happened; if they cared about what sort of crap was flowing from the faucets of the city, they would never have made the decisions they did.  And here’s the saddest truth: the people who have been harmed by the water system are utterly dependent on the ones who let it happen in the first place to find a solution.

However, we can now use this as a teaching moment for these poor young ones so they will learn how to use their new free water filters, which they are going to need for the rest of their lives whether they are living in Michigan’s Dead Zone or some other pit of hell carved out specially for them elsewhere in the nation, because they aren’t ever going to get anything better than toxic waste to drink no matter where they are corralled by the assholes in charge, and it is damn near impossible to get out of one of these poverty pockets once you’ve accidentally landed in one.  They can’t even legally sell their homes and try their luck elsewhere, assuming there was an elsewhere to go to; Michigan law is such that a person can’t sell a home knowing that there is no drinkable water running from the taps.  But apparently, yeah, what all God’s children in Flint (and Detroit and elsewhere) need right now is just a little instruction on how to use those fucking water filters and a lesson about the water cycle.  What you never want to talk about – or for them to learn about – is how democracy is supposed to work and how it has been subverted all over the country by corporate interests and toady politicians, or how the EPA, the USDA, and other protective agencies used to be funded and run, or how this shit never had to happen to them in the first damn place.

Oh, and this is an opportunity to collect artifacts from this historic event.  Don’t want to be last in the game of collecting and collating details on how America killed its own.

I wonder how those babies, black and white, will one day feel about being living “artifacts” while they were growing up in the fetid swamp of this new experimental system of governance where privatization and austerity, controlled by corporate interests and imposed by fiat coming from the very officials who are charged with holding the common good in trust, took their futures away from them.   Maybe they should talk to the American Indians about how it feels to be viewed as part of the historical record of artifacts being gathered even as they are struggling to deal with the events, which are still occurring at ground zero.  Maybe the museum holding this event should ask the descendants of the Tuskegee men if their grandfathers might have felt better about the whole thing if only someone had just thought to accumulate and collate the medical artifacts for the public’s perusal while they were still being experimented on.  (Seriously, what the hell is wrong with this country?)

Maybe the curators of this museum event can start some other collections to document life downwind and down-river from one of the 100 nuclear plants around the US – hey, the people living near Hanford and Indian Point have some stories to share.  The museum officials already missed their chance to compile information on what normal human health was prior to the global take-over of the agricultural systems by the companies that are testing their unproven hypotheses about the safety of genetic modification throughout the food chain and saturating everything with toxic chemicals along the way, as well as destroying any nutritional value that was previously available in these foods.  [Here I must give a shout-out to the Clintons and the Gates, the two families who have done more than anyone else, in joint effort with the GMO companies themselves, to inflict this particular form of mass health speculation on the human beings trying to live on this planet.  Well done.  You have now reached what some individuals consider the peak position in the hierarchy of hominids.  You have become, in essence, the world’s apex predators – of your fellow men.  Some people actually admire that.]   I’ll tell you what: neither the museum curators nor the insurance company sponsoring this event will teach the right lessons for posterity to learn in this exercise, and they aren’t collecting the right “artifacts”, because this situation has fuck-all to do with the water cycle and really very little to do with the purity of the water from the nearby lakes and rivers, either.  It has everything to do with poverty, corrupt grifters acting as government officials, the weakening of whatever remains of any useful regulations, and the imposition of the profit-seeking private corporatocracy on a captive population.  The US takes puffy pride in its claim of equality for all, but here’s the thing; no-one whines that he isn’t equal to the poor slob on the bottom rung.  Everyone wants to be equal to the guy above him.  Our current social, political and economic systems reflect that.  So not much will be done to address the root causes of the water problem in Flint.  The best they can hope for is that the free water filters continue to come in and that those filters aren’t made by the same contractor that made the formaldehyde-laden trailers offered to the hurricane Katrina victims. Nothing will be done to ameliorate, much less correct, the grinding and dismal conditions for the poor in this “most equal” of countries. 

And I’m sure it is only moments before some politician or media asshole starts talking about how the people of Flint are getting too much free stuff in the way of those water filters and bottles of potable water.  That just smacks of socialism and the welfare state, after all, doesn’t it?

Children in Flint, Michigan can now visit the Sloan Museum for “Water Works” classes that teach them how to filter their drinking water. The museum is also compiling notes from the community on the lead-contaminated water crisis for future reflection.

As part of the “Water’s Extreme Journey” traveling exhibit, kids experience the water cycle “from the perspective of a water drop trying not to become polluted,” according to the museum’s website.

“One of the takeaways for the public should be that the health of the Flint River is actually quite good,” Exhibit Manager Warren Lehmkuhle said in a museum statement. “It was the lack of corrosion treatment, treatment that even lake water goes through, that caused the problem with our water.”

Students will be given the opportunity to construct and test their own filtration systems, as well as learn the whole history of Flint’s water systems going back as far as 1873. At the end is a comment board where residents can share their stories of how the water crisis impacted them. 

“I think we have a responsibility to document as much as possible now for future generations because, as with any kind of museum collecting, it is much easier to accumulate artifacts pertaining to current events now, rather than waiting 50 years when they are considered historic,” Curator of Collections Jeremy Dimick said in the statement. “If we do a good job collecting items and information now, the community will be better able to look back on the event 50 and 150 years from now.”

The exhibit, sponsored by local health care plan provider HealthPlus, opened on January 23 and ends May 8.

The city’s water source was switched from the Detroit system to the Flint River in 2014 without the proper follow-up of adding anti-corrosive agents, resulting in lead from pipes seeping into the drinking water supply. Research done in September 2015 by the Hurley Medical Center found that the average number of Flint children under the age of 5 with blood-lead levels considered too high by the US Centers for Disease Control and Prevention had doubled since the switch.
The World Health Organization (WHO) lists reduced intelligence quotient (IQ), shortening of attention span, increased antisocial behavior, and reduced educational attainment as examples of brain damage children can face when exposed to lead. Other harmful effects include anemia, hypertension, kidney failure, damage to the immune and reproductive systems.

“The neurological and behavioral effects of lead are believed to be irreversible,” according to the WHO.

https://www.rt.com/usa/332569-flint-museum-filter-water/

And when you residents of Flint leave your stories on the museum comment board about how the water crisis has affected you, please remember; this is for posterity. So, be honest. How do you feel?

 

 

The oligarchs are hosting an election.

The oligarchs and corporatocracy are hosting an election in the United States this year.  They have chosen the candidates, the issues to be discussed, the methods of voting, the perimeters of the voting districts, and dictated what the media will say about the event.  You, as a member of the “voting public”, are invited to attend the event or just watch from a distance.  It hardly matters, since it is unlikely the outcome depends upon your participation.

This week-end, the media is exclusively talking about, in exhausting and tedious interviews with “the experts”, the potential results of the Iowa caucuses; the first in our series of caucuses or primary elections (depending on the state) that will decide the nominees for the Democrat and Republican parties.  I wasn’t sure how a caucus worked as Maryland is a primary state, so I dug up some information on the subject.  Turns out it is a fairly useless procedure which actually goes on for months in caucus states, although the pundits only pay attention to the first round of the affair.  The fact that the way the public votes during this first of the series of caucuses may not be proportionally represented once the Dem. and Rep. delegates make it to the National Conventions to cast their vote for the nominee goes completely unremarked.  Everyone eligible to vote during the general election can go to the caucuses, which are held in school auditoriums, churches, or even private homes.  Well, assuming there is not a blizzard in Iowa that night, that you have a babysitter – these things take hours – that you aren’t sick and that you don’t have to work that evening. There are close to 1700 precincts in this first round of caucuses.  Usually only about 20% of the voters show up, and Iowa is not one of our more populous states in any case; these facts do not deter the “experts” from declaring that the Iowa caucuses are really, really, really important.

So how do caucuses work?  Here’s the quick and dirty.  To start with, at the initial caucus, a delegate is chosen to represent the voting outcome at the next level of caucuses/conventions.  After the precinct caucus, there are the county conventions, the district conventions, the state convention and then the DNC or RNC national convention.  Are you beginning to get how silly it is to consider the first in this series of caucuses to be the most important?  The national committees of each of the two major parties decide the caucus rules, so how they are run differs.  The Republicans have a simple process.  First they say the Pledge of Allegiance.  Because, duh, they’re Republicans, and wherever two or more Republicans are gathered, there will be a flag and everyone will pledge to it.  Close scrutiny is given as to whether all those present appear sincere during the Holy Recitation.  [Aside: I always wondered about the idea of pledging to a flag rather than just the country, but that’s just me.  It appears that we are the only country that routinely uses a pledge like this, and certainly the only country which has schoolchildren doing a pledge of any sort, with the exception of North Korea, where the kids start their day pledging allegiance to their Dear Leader.  Originally, when Americans recited the pledge, people were expected to raise their right hands toward the sky while speaking, but after Hitler rose to prominence in Germany, that started to look, rather obviously, like the Heil Hitler salute, so the gesture was changed.]  Anyway, after reciting the pledge, the caucus-goers are treated to some speeches from someone or another.  Then they have a secret ballot where everyone writes down his/her choice for the nominee.  Some places use ballots, some just scraps of paper.  The votes are tallied and reported to the RNC.  Everyone goes home, except for the chosen delegate of that precinct and some party leaders, who shoot the shit a while longer.

The Democrats have a much more complicated system.  The voters arrive and are separated into groups depending on whom they support.  Then the various factions scream campaign slogans at each other, trying to convince anyone who doesn’t support their candidate to switch sides.  They throw water balloons at each other until a gong sounds, at which point, everyone scrambles for the limited number of seats available in the middle of the room.  Well, okay, I made up the part about the water balloons and the musical chairs, but the rest is pretty much correct.  After a designated time, people have to sort themselves out according to how they have decided to vote and a count is taken.  If the guy your side supports has less than 15% of the votes, he’s out.

If your guy has been tagged out for the rest of the game, you will then be harangued to join someone else’s group.  Eventually, someone calls a welcome end to this part of the process and a final tally is taken.  There is no secret ballot here: all your neighbors can see which group you are standing with.  The number of delegates to represent each candidate are chosen in proportion to the number of voters who chose him, and the delegates go on to the next round of caucuses at the county level, etc.   The delegates can switch their votes around to some other candidate at the later levels of caucus, and some delegates to the Democratic national convention are simply assigned by the DNC, so it would appear that there is absolutely no meaning in any of this.  For all I know, bags of money are left on doorsteps to convince the delegates to switch their votes later.

At both the Dem and the Rep caucuses, ties are sometimes settled by tossing a coin.  Maybe they should just start with the coin toss from the get-go.  If you want to read more about this stuff, you can go here:

https://en.wikipedia.org/wiki/Iowa_caucuses

For the rest of us, there are primary elections where people go into their polling place and cast a ballot.  A number of states don’t allow Independents to vote in the primaries, since they are used to vote for the Dem and Rep nominees.  Delegates to the Rep and Dem national conventions, where they will vote for the final candidate of each party, are supposed to be chosen in proportion with the voter’s choices, but here you run into the issue of the strange “electoral college” system we use.  No-one knows how it works.  It has appeared in past elections that the delegates can vote randomly or that their votes can be over-ridden by the national committees.  In any case, after all that hoopla, everyone goes on to the national elections to vote for a president.  At that point, you can vote for whomever you want, although there will be names on the ballot you don’t recognize because the media has never mentioned them.  You can hope the voting machines aren’t rigged at either the primary or the general election level, but chances are about equal that they are.

http://www.truth-out.org/news/item/34607-will-the-2016-primaries-be-electronically-rigged

I mentioned that the caucuses use paper ballots or simply a head count, so you might think that those votes can’t be rigged; however, this year both parties have been given a free app from Microsoft so that party leaders can calculate the totals instantly and send them in to the press.  Thank you, Bill Fucking Gates!  You just never sleep, do ya?  Bernie Sanders, no dummy, is a mite suspicious about the motivation behind this free Gates swag offered to the process, and his team has built its own reporting system to verify the results.

The 2016 election, no matter who “wins”, will have the intended effect of shooting the hostages.  Those hostages would be us; the workers slaving away to the rules written by the oligarchs and corporate cartels and never able to catch up, the people unlucky enough to be living in  oil- and resource-rich countries (including the US – we just haven’t glommed onto the fact yet that our resources are vastly more important to the elites than we are; a truth that we will only dimly perceive and that, way too late), and those who try to protest the alarming rise of Monsanto, Exxon, Goldman Sachs, et al, and protest their enablers in the various houses of governments around the planet.  The protesters will be silenced by any means the cartels deem necessary.  These huge corporations and the bankers are in control of not only our human activities, but the natural world as well, and whomever wins the presidential election is unlikely to stand up for us.  At the congressional level, it is certain that a mere handful of “our elected representatives” gives a damn about the “voters”.  They will sell us down the river, as they have done for a long time now.  No matter which nominal candidate wins, the cartels and warmongers will be the actual winners.  This is the final Great Taking, and they will have it all – the money, the assets, the lands, the resources – and we are expendable.

The situation is far simpler than the media pundits and self-proclaimed experts would have you believe.  We are in the middle of a class war.  The rich versus all.  There is a secondary class war; that of the middle class versus the poor, which has been strategically engineered by the elites for decades.  The middle classes are narrowing and are, on the one hand, being taught to believe that the poor are the enemy and are to be despised as lazy and useless; and on the other hand, convinced that one day, they too will make it to financial success.  Liberals want to pretend the class war between the middle class and the poor doesn’t exist, or that it all about race.  Conservatives push the narrative that there is no class war at all, that we can all be rich if we just work hard enough.  We could have had a national discussion about our poverty crisis, but Obama was probably the last chance we had at seeing that happen.  And he doesn’t seem to notice, much less care about the issue.  The Democrats in Congress have agreed to all the austerity measures put to a vote, and finished off 2015 by nodding to the virtual end the food stamps for the elderly and the disabled and lowering these benefits drastically for the poor; the Republicans never wanted anyone to have food stamps or such in the first place.

The statistics on food poverty in the US are really staggering.  We currently have the highest level of food insecurity since the 1970s.  We had almost entirely eradicated hunger in our country back then.  Right now, one in six Americans is going hungry every day, while 30% of Americans are described as “food insecure” – meaning they can’t guarantee they have a way to put food on the table.

The low interest rates imposed by our economic policies (decided by a bunch of former big bank executives in cooperation with the private Fed) has resulted in zero interest income for Americans who try to save some money, and the same zero interest is realized on the skimpy retirement funds older people may have set aside.  Congress has basically done away with the annual cost of living increases given to those living on social security by using fake numbers for the rate of inflation.

Only two of the candidates, Sanders and strangely, Trump, talk about unemployment.  The real unemployment rate, if it were to be accounted for accurately, would be around 25%, not the 5% currently claimed by the Labor Department.  Wages have been stagnant for decades, and according to the last Oxfam report, “the 62 richest billionaires now own as much wealth as the poorer half of the world’s population.”  Just wait until the TPP trade agreement and the wonders of automation, technology, and robotics strips what’s left of the jobs right out from under our feet.  As economist Michael Whitney said:

[…] Obama and the Republican-led Congress have done everything in their power to keep things just the way they are by slashing government spending to make sure the economy stays weak as possible, so inflation is suppressed, the Fed isn’t forced to raise rates, and the cheap money continues to flow to Wall Street. That’s the whole scam in a nutshell: Starve the workerbees while providing more welfare to the slobs at the big investment banks and brokerage houses.  It’s a system that policymakers have nearly perfected as a new Oxfam report shows. […]

Wealth like that, “ain’t no accident”, brother. It’s the policy.

http://www.informationclearinghouse.info/article44014.htm

Want to know how much the average person in the US earns?  The candidates won’t talk about it, but I will.

The Social Security Administration has released its data for 2014. Their chart shows actual W-2 earnings in the US as given by the IRS records based on tax returns for 2014.

The numbers are pretty abysmal. The median wage was under $29,000, meaning that half of American workers earned under that amount. The “average wage” is higher than that at $44,569, but is so skewed by the few on the highest income bracket that it is not a really meaningful number, in my opinion.  (The 134 people who earned over $50 mm last year can really alter that average; even taking that into account, 67% earned under the $44,569 “average wage” in 2014.)  In 2014:

-38 % of all American workers made less than $20,000
-51 % of all American workers made less than $30,000
-62 % of all American workers made less than $40,000
-71 % of all American workers made less than $50,000

Since the SSA and the IRS reports are based on each “wage-earner’s” tax-return total earnings rather than counting each and every W-2 turned in to the IRS as a discrete “wage”, this means that the data does not give any information on what the average job might pay and one should not make the mistake of coming to any conclusions about that. In other words, a “wage-earner” may have earned $30,000 in 2014, but might have had to work two or three jobs to earn that amount.  The SSA charts are easy to read, and there is a tool you can click on to look at charts from previous years.

https://www.ssa.gov/cgi-bin/netcomp.cgi?year=2014

This time around, the oligarchy has trotted out some of the most repugnant, bizarre, and downright ignorant candidates to which we have ever been treated.  Their motto for 2016 is: “2016 – the year we won’t give you any lesser evils to choose from.”  But this is the end result of the capitalist system on display, and we are a capitalist country on its down trajectory; at this point, Americans will buy dog shit if it is packaged properly and advertised heavily.

None of the candidates will cut any of the Pentagon’s budget, nor will any of them consider the possibility that we ought to end the crusades against foreign nations, none of which actually threaten us and with none of whom we are legally at war.  Last year, we dropped an estimated total of over 23,000 bombs in six countries.  This breeds terrorism, for the obvious reasons.  ISIS was a creation of the US; of our policies and actions, if not a direct creation of the CIA and secret ops in conjunction with mercenaries.  Yet according to the people running for president, what we need is more bombs, more American forces killing people abroad, and more help in the fight from “allies” like Saudi Arabia and Turkey.  There could be another way to fight terrorism, as one might note that in socially balanced societies, terrorism does not thrive, but we seem incapable of considering an alternative to bloodshed.  We are addicted to it now.

This has resulted in a flood of refugees and/or terrorists to the EU which did not exist prior to the destruction of law and order in Iraq, Afghanistan, Libya or Syria – before the “strong men” who ruled and did not tolerate bombings and mayhem by religious zealots were murdered by the US.  Now we are bent on some ridiculous quest to further “contain the Middle East” and kill those who are determined to avenge their loved ones. As always, the innocent on both sides get fried, while the war machine enjoys the profits.

Even Sanders thinks the [illegal] drone-bombing should continue; I wonder if he will feel okay about carrying out the “Terror Tuesday” duties should he become president?  Will he be surprised to find that he is just as adept and casual at ordering the murders of strangers across the planet as Obama has been?

Democratic presidential candidate Sen. Bernie Sanders, I-Vt., said Sunday that if elected president he would not end the U.S.’s controversial drone program in the Middle East.

Sanders said on ABC’s “This Week With George Stephanopoulos ” that he would continue with the targeted killing campaign but suggested he would somehow reform the program so that drones don’t kill innocent people abroad.

“I think we have to use drones very, very selectively and effectively. That has not always been the case,” Sanders said. […]

http://www.hngn.com/articles/124393/20150830/bernie-sanders-will-end-drone-program-elected-president.htm

We are going back in to Libya, as if we hadn’t already destroyed that once thriving country and created a failed state.  See “Pentagon prepares another war in Libya”:

http://www.wsws.org/en/articles/2016/01/29/pers-j29.html

We have never left Afghanistan and have re-entered Iraq.  We are the main drivers behind the destabilization and bloodshed in Syria, Yemen, Somalia and Ukraine.  We are aiming for Russia, Iran, and China.  Oh, Jesus, forget it; I can’t even begin to list all the countries we are bombing, invading, attempting to destabilize, ruin economically, or instigate coups in now.

Why do Americans approve of drone-bombing, ignore the CIA-instigated terrorism around the globe, seemingly enjoy being at war against countries that don’t threaten us, see the warrior class as superior and deserving of accolades and perqs despite the fact that they are engaged in killing people while we are legally at war with no nation, and scream with approval when some political demagogue talks about “keeping us safe” and nuking the rest of the world into submission?  Why is the public satisfied with the selection offered us in presidential candidates in which even the nominally Democratic “front-runner” is a woman who wants to invade yet another country and do away with their elected leader and who constantly threatens a multitude of other countries?   Why do none of the “candidates” talk about reducing the Pentagon’s budget, getting rid of the Fed, overturning the Patriot Act, or – at the least, for God’s sake – dislodging the most egregiously unconstitutional clauses in the NDAA?  Why do our “Christian” ministers approve of the “war on terror”?  Why do the pundits and the politicians promote violence against everyone and why does the public apparently agree with this as though it were reasonable and of some necessity?

Because in this country we have been taught that greed and theft are virtues, that bullying is the sum total of diplomacy, that other cultures are inherently dangerous and to even examine and consider their viewpoints is subversive. We have been taught that every country on the planet is inferior to our own.  The corporate oligarchs and their courtiers in Congress love ignorance, racism, and herd mentality and have worked very hard to see that Americans are poorly educated and even more poorly informed.

But we sure got Iraq’s gold. And Libya’s. And Ukraine’s. Wanted their oil, too, but it is proving to be a little more difficult to wrest complete control over the oil fields, because we created ISIS (in the case of Iraq and Libya), who are interfering in the process (which may be on purpose to hurt the Dread Russians, under the rather abstruse economic theory that harming Russia’s economy is worth the cost of harming ours) and because we created Nuland’s Nazis Civil War (in the case of Ukraine), which has so far blocked completion of the Biden Bid for Oil Takeover of Eastern Ukraine.

Even so-called “liberal” writers add their voices to the propaganda in support of more war, although they do it a little more subtly than the conservative pundits.  This is from the “liberal media” at Salon, reprinted by the “liberal media” compiler at Alternet, in an article ostensibly about the one of the GOP debates:

 […] Oh, the candidates know that Bashar al-Assad is on one side and ISIS is on the other and that Vladimir Putin is being a dick, all of which is probably more understanding than the typical Republican voter has regarding the whole thing. But memorizing these little factoids is hardly relevant when you still think the solution to an intricate civil war that mostly isn’t about us at all is to stand around declaring how tough you are. […]

http://www.alternet.org/comments/news-amp-politics/gop-debate-scorecard-big-winner-wasnt-anyone-stage-it-was-democrats#disqus_thread

Uh-huh. Those aren’t “factoids”; they’re bullshit.  While the rest of the article about the GOP debate that night is probably true and is certainly funny, this bit is typical blase media propaganda stupidity and why I quit reading Salon, which supposedly offers the liberal viewpoint of things.  Facts:  al-Assad is on one side.  ISIS, the US, Israel, Saudi Arabia, Turkey, the CIA, and the weapons’ manufacturers are on the other. Putin is not being a dick; Russia is the only country that is helping the legitimate government in Syria legally right now. Let’s say that again: Russia is there legally. The rest of the countries currently bombing Syria to hell and gone are not. Russia and al-Assad are trying to get the US-created and US-armed terrorists out of there.

Apparently, Sanders and O’Malley are the only two amongst the candidates who think that we should uphold the nuclear deal with Iran (which was not trying to develop nuclear weapons anyway), while even our former Sec. of State is of the opinion that we ought to show the Iranians just what dickhead liars we are and sanction them again; retroactively, mind you, since the ballistic missile test that has caused the uproar was carried out prior to our agreement with them.  The missiles tested by Iran were incapable of carrying a nuclear payload and so wouldn’t have broken the agreement no matter when it was signed at any rate.  Nonetheless, as soon as Clinton called for further sanctions, Obama signed an executive order to do just that.

US Treasury imposes new ballistic missile sanctions on Iran:

https://www.rt.com/usa/329240-us-sanctions-iran-ballistic/

Once again we have shown that we cannot keep our “agreements”, “treaties”, or “deals” for more than one second after the ink dries.  The only reason any country even “negotiates” with us any more is that they are aware that if they don’t, we will invade their country and bomb the fuck out of it.  As a nation, we have no morals, no rigorous intellect, and no diplomatic abilities.  As a nation, we are liars, thieves, and murderers, completely bereft of the normal human empathy, the ability to compromise, and the honest self-assessment required to interact in a mutually beneficial way with other societies.

How long before some other nation says, “basta!” and drops a Fat Man on our asses?

All the candidates swear undying support for Israel, none more vociferously than Clinton, as though this were some purity test they have to undergo, and sadly, many Americans see it just that way.  America is exceptional in this way: its politicians place allegiance to a foreign country above loyalty to their own, and the only promises they keep are the ones they make to that foreign country.  And sometimes that oath to serve the interests of the other country above their own nation is the tipping point to get them elected.

What this says about the political system, the politicians, and the electorate in the US is appalling and embarrassing.

So we are being offered for our viewing pleasure an assortment of motley con men and corporate stooges.  Sanders may be the exception to some extent and the fact that the media and the other candidates are busy red-baiting him and regularly try to dismiss his positions out of hand bolsters my belief in his sincerity in some measure.  As I said, however, he isn’t going to dismantle the war machine, and that is a large part of all the other problems this country has.

Then you have the narcissistic Trump, billionaire and game-show host, who has picked up on the unrest out in the flyover zones and plays to it with gusto.  It’s hard to tell what he would do if elected, since he can barely keep his proposals and ideas straight in his own head.  His speeches frequently contradict things he has said before, but it is hard for people to get through all his verbiage to pick up on that.  He’s so loquacious you’d think he was being paid by the word.  He was recently endorsed by our other great orator, Sarah Palin, who left off tending her miscreant brood to offer up this bit of gloss: “Where, in the private sector, you actually have to balance budgets in order to prioritize, to keep the main thing, the main thing, and he knows the main thing: a president is to keep us safe economically and militarily. He knows the main thing, and he knows how to lead the charge.”  You just know the two of them spent their time while waiting in the green room before the great endorsement speech fighting over who was hogging the mirror.  But Trump himself is one of the rich elite who has made his jack off the capitalist system; he isn’t going to gore that ox.  On the other hand, he probably wouldn’t start a hot war with Russia, so there’s that.

There is the skeevy and very creepy Ted Cruz, who was doubtless the Grand Inquisitor in Spain during his last incarnation on this earth.  He is in a fight with the establishment Republicans and neocons, or so we are told to believe, although his ideas about carpet-bombing the Middle East and “lifting the rules of engagement” in the fight with ISIS suggest he fits right in with the PNAC crowd.  He is talking here about illegal methods of warfare and getting rid of the Geneva Conventions, but that doesn’t bother too many of the people in charge, most of whom supported the same ideas when offered by George W. Bush.  Cruz is like some crazed fundamentalist faith-healer who wants to pray the gays away and damn it all, get his chance to nuke some shit for Jesus.  He responded to the Flint, Michigan water crisis by donating bottled water… teaming up with the anti-abortion group Flint Right to Life, with instructions that the water go exclusively to crisis pregnancy centers.  These centers are anti-abortion organizations that try to manipulate women into keeping their pregnancies.  Tough shit about those already-born children and adults who have been drinking toxins in Flint for the last few years.  He, like all the Republicans, wants to cut taxes for corporations, get rid of all bank regulations, privatize everything that could possibly turn a profit for the corporate world, doesn’t support any minimum-wage increases, and has a tax plan that completely decimates the poor and middle class while ass-kissing the wealthy.  He sort of forgot to report his Goldman Sachs campaign contributions to the FEC, and his wife works there; we have yet to see if anyone cares.  Cruz appeals to a certain evangelical, but hawkish, subset of the American public.   Despite their professed “Christian” faith, if Cruz and his base were given the choice between Jesus and that other guy, they’d be screaming, “Free Barabbas!” at the top of their lungs.

Marco Rubio sometimes rattles off sound-bytes like he’s on amphetamines, but he is not saying anything we haven’t heard from the farthest right of the right-wing; he’s just saying it hysterically.  Lots of people think he is cute and endearing, but the dude is one rabid neocon.  He loves the spy programs, Homeland Security, the Pentagon, and torture, and hates the needy, the LGBT community, and Muslims.  That’s his platform.

Chris Christie ruined his own home state and now wants to have a go at the rest of the country. He calls himself the “disaster governor” with pride (I put a different twist on the title than he does, I gather) while at the same time refusing to help the victims of the two disasters that have hit New Jersey since he’s been in office.  We just had a huge blizzard here on the East Coast, and parts of NJ were inundated with flood waters along with the snow.  He happily chirped that there was no “residual damage” because the flood had receded, although it’s quite obvious that buildings that have had 5 feet of water and icebergs wash through them are going to be left with damage, if not have to be outright condemned and torn down.  Not to mention the other stuff that got majorly fucked up in the flood.  We can guess what kind of relief he’s going to offer the affected cities.  He’s said some other things on the campaign trail.  I couldn’t say for sure what, though.

Carly Fiorina is just vicious as a wolverine with rabies, and Ben Carson thinks it would be okay to bomb children on general principles.  When asked if he would order airstrikes that might kill innocent children by the thousands, he mentioned operating on kids with brain tumors and how they hated it but later on loved him, and finished his comments by saying,”and by the same token, you have to be able to look at the big picture and understand that it’s actually merciful if you go ahead and finish the job, rather than death by 1,000 pricks.”   So in other words, Ben Carson thinks bombing civilians and children is somehow merciful because it finishes the job quickly.  The crowd applauded the twisted fuck for his bedside manner.

Jeb Bush is running and may end up being the Republican nominee if the oligarchy can finesse the situation properly.  This might not make him very happy, actually, as he seems most intent on making himself invisible.  He’s like the chubby kid who tried out for the soccer team because his daddy made him.

O’Malley has some fine ideas about the economy and doesn’t seem to be too enthusiastic about continuing the efforts to take over the world, so he will be quickly taken off the scene.  Poor guy barely made in on the scene, so eager are the Democrats to waylay one of their own.

I wrote an entire post about the war-pig Hillary Clinton, who is currently busy trying to paint Sanders as a Commie, so I’ll try not to repeat all the same stuff here.  She is so sure she will be the Democratic nominee, as are the pundits and mainstream media, that she hasn’t bothered to reciprocate to Sanders’ pledge to back the eventual nominee.  I think the media and the talking heads totally fail to understand the rancor and pure loathing felt for her at the street level.  If one reads the comment section on any article about the candidates, even articles supporting Mad Hillary, one sees the same thing over and over: people hate her.  People do not trust her.  People do not intend to vote for her even as “the lesser of two evils”; she is not seen as the lesser evil in any line-up.  To the public, she is defective and never should have made it through quality control.  Clinton is the least sincere candidate we have ever had running for office, and the people sense that.  She will sign the TPP into law given the chance, and you can be sure that she would reneg on all her promises, except the ones where she promises to bomb other countries, as quick as shit through a goose should she be elected.  She has a neocon’s view point toward the use of military power, which she and the media insist on referring to as “foreign affairs”, thus mistaking military policy with diplomacy and foreign policy, a viewpoint that made her such a bad and dangerous Sec. of State.  She felt her job in the State Dept. was to threaten other countries and to work arms deals instead of promoting civil discourse between nations.  She, in fact, gets “foreign policy guidance” from the same firm that advises Marco Rubio and Ted Cruz.  (Which may help explain why all the ideas Clinton and the Republicans have for dealing with terrorist issues are similar in that they are illegal by US law, in violation of international laws, and break numerous treaties and agreements.)  The media that promotes her jabbers on about the “commander-in-chief” part of the president’s job because even they recognize in some part of their reptilian brains that Bernie Sanders’ domestic policies appeal to the voters more than hers do.  They – and she – hope that by presenting her as a hard and tough predator, she will gain some popularity with the fearful.  The constant talk about terrorism and terrorists, from all the candidates, serves to keep most of us focused away from the neglected and dismal state of things in our own country.

She may be running into trouble now.  With any luck, and with the assumption that some agencies in the US are still willing to do their jobs, she may be facing criminal charges.  God knows, she should have been jerked up short by the DoJ long before now.  I was very interested to see that one of the major legal threats to her involves the use of her position at the State Dept. to garner donations to the Clinton Foundation, and that Haiti is specifically mentioned.  I brought these things up in my last post about her.

Hillary Clinton’s Coming Legal Crisis

by Charles Lipson
January 13, 2016

The latest release of Hillary Clinton emails entails real risks for her, churning just beneath the surface of her successful primary campaign. True, Democratic voters have shown little interest, and the mainstream media only a bit more. Their focus, when they do look, is on the number of documents now considered classified, their foreign-policy revelations, and the political damage they might cause. These are vital issues, but Clinton faces a far bigger problem. She and her closest aides could be indicted criminally.

Secretary Clinton is exposed twice over. First, she used an unsecured, home-brew server to send and store reams of classified materials. Second, in her official capacity, she worked closely with major donors to the Clinton Foundation. Each poses legal risks, with potential ramifications for the Democratic frontrunner, her party, and the Obama administration.

To understand the gravity of these issues, it is important to recognize that this is not just an “email scandal.” It is an “email + server + foundation” scandal.” Secretary Clinton didn’t just send sensitive (and now-classified) emails over open lines, she stored them on private servers that didn’t meet the government’s cyber-security standards for sensitive documents. On its face, retaining classified materials in such vulnerable settings is a criminal violation. Senior intelligence officials have been charged for less – far less. Storing some 1,300 classified documents on a personal server, and doing it for years, poses a special problem because it shows the mishandling was not inadvertent. It was Clinton’s standard operating procedure.

The State Department has done everything it can to protect its former boss. When it finally received her documents, it flatly refused to comply with long-standing Freedom of Information Act requests by releasing them. It took several court orders for the agency to begin trickling out small batches with large sections blacked out. The redactions only underscore why the documents should never have been held on private, unsecured servers in the first place.

The latest document dump shows why the State Department is so skittish. One reveals the secretary of state telling a senior department official, Jake Sullivan, to strip all the security markings off one document and send it to her on an insecure connection. We don’t yet know if Sullivan actually complied, but, if he did, both he and Clinton face serious legal jeopardy.

Beside these national-security matters, the emails reveal obvious conflict-of-interest issues pertaining to the significant overlap between Clinton’s official duties and her family foundation’s operations.

Major donors to the foundation often had business before the State Department, and they sometimes received help. After the devastating 2010 earthquake in Haiti, for instance, Bill Clinton was named co-chairman of the Interim Haiti Recovery Commission, and, according to the Wall Street Journal, “the State Department began directing parties interested in competing for Haiti contracts to the Clinton Foundation.”

Not surprisingly, many contractors became foundation donors, or were already. The FBI now has to decide if any of this was a “pay to play” arrangement. Proving a quid pro quo is notoriously difficult, but Fox News reported Monday that public corruption is now a second track in the FBI investigation.

So far, Hillary has suffered only modest political damage from these scandals. Democratic primary voters are mostly indifferent; her main challenger, Sen. Bernie Sanders, says he’s tired of hearing about it; and, other than Fox News, no major media outlet has done serious investigations.

But that doesn’t mean these messy issues are dead — depending on what happens inside the Justice Department. Clinton is about to face the most serious crisis of her candidacy — a set of legal decisions by the FBI and then the Department of Justice. Those will either kill the issue or kill her chances.

The FBI reportedly has assigned some 100 agents full time to the investigation and another 50 temporarily. The bureau would not commit such massive resources unless the initial investigation raised troubling questions of potential criminality. FBI Director James Comey is monitoring the case closely and coordinating with the intelligence agencies, which have to review the documents. Comey has a reputation for integrity, and it is his call whether to refer charges to the DOJ. Attorney General Loretta Lynch would then decide whether to indict.

Whatever Lynch decides, there will be a maelstrom if FBI agents found substantial evidence of criminal wrongdoing.[…]

Regardless of the attorney general’s decision, if the FBI does recommend criminal charges for Hillary Clinton or any of her associates, she will face two very pointed questions from the media, the electorate, and her Republican challenger.

“Secretary Clinton, if you are elected president, do you unequivocally promise to appoint an independent counsel to investigate these charges and, if warranted, prosecute them?”
“Do you promise you will not pardon anyone before these cases are fully adjudicated?”

She won’t be able to wave these questions off and say, “The attorney general decided all that.” It will look too much like a coverup by a Democratic administration for a Democratic Party leader.

To reach the White House, Hillary Clinton has to get past the coming legal crisis, and she will have to answer those hard questions.

http://www.realclearpolitics.com/articles/2016/01/13/hillary_clintons_coming_legal_crisis_129293.html

You should really read the whole article; I left some paragraphs speculating about the potential effects this could have on the elections out of the blockquote due to space.  Another interesting article is a brief one written by Glen Ford at blackagendareport regarding the Clintons’ interference into Haiti’s elections, and gives a bit of a rundown on their unwelcome and colonial-style relationship with Haiti.  See, “The Clintons: We Came, We Stole, Haitians Died”:

http://www.informationclearinghouse.info/article44069.htm

I fail to understand how anyone can think we still have a democracy in this country.  When you look at these candidates and take honest stock of what they are offering, how can you find any escape in some sad and outdated notion that this is a government of, by, and for the people?  Hell, the Obama trade agreements, the first of which (the TPP) is quietly coming up for a vote soon if Congress bothers to follow its own legislation, suffice to render our national sovereignty and any pretense of a government “for the people” null and void if they are passed.  I will allow some exception for Sanders in my condemnations, as I think he may actually mean at least some of what he says and is the only one who even affects to worry about how life is going for the average American.  He ought to talk more about the TPP, since it has come out that this dangerous piece of crap posing as a “trade agreement” will probably do away with the UK’s health system and could prevent universal healthcare forever in the US.  As to the rest, when any of those bought-and-paid-for bastards steps up to the podium and lies to the audience about how much he/she really, really cares about the working stiff and has our best interests at heart, I feel nothing but contempt and revulsion.  The corruption at the top of this country is so widespread and so legalized that we cannot avoid another financial catastrophe and perhaps even another world war.  These are the goals of the oligarchy so they can strip the US and the rest of the world of its remaining assets, and the dolts, criminals, grifters, and bullshit artists up there on the stage posing as “presidential material” are willing to lead us right into the pit.

No-one with enough neurons firing to keep breathing can take this election seriously.  I doubt I will bother to take a chance on the voting machines myself.  Seems pointless, unless by some weird happenstance Sanders is on the ballot.  If it comes to a race between Clinton and Trump, that might also motivate me enough to haul my ass out of the chair to go vote for Trump, just to help save us from her.

What a wretched selection we have in front of us.  Who shall we have?  Caligula or Nero?  Choices, choices.

I don’t blame those who think that perhaps it is time to join the dolphins and get the hell out of Dodge.  If only there were a way to escape to some other planet entirely.  A different country on this one may not be far enough – the Powers That Be have their clutches on all of them.

 

It's just noise.

The June jobs report is out and the official unemployment rate is down.  The official unemployment rate (which doesn’t take into account those unemployed long-term or the under-employed) declined to 6.1%.  The US government reports that we gained some 288,000 jobs in June.

Sort of.

It will be revised downward in a week or so, while no-one is watching.  The actual number, as I do the adding and subtracting, is roughly 276,ooo jobs added in June and that is before the revisions come out.

The U6 [that’s the rate for the unemployed, the underemployed and the discouraged], stands at 12.1%, as opposed to the optimistic “official” unemployment rate.

The Labor Force Participation Rate (LFPR) remains stuck for the third straight month in a row at 62.8.  This is the lowest participation rate in 35 years – and we are stuck there.  I have explained the LFPR before:

[…] [T]his number basically tells us how many people, out of the number of people eligible to work, who are actually employed.  The labor force number has suddenly dropped again, from the previous 63.2% to 62.8%, the lowest since 1978.  800,000 people dropped out of the labor force in March.  These are people who have simply abandoned  the search for nonexistent jobs.  That is simply a staggering number.

This means that, despite the bogus, heavily massaged, and virtually meaningless number given to us as the “unemployment rate”, the population of job-eligible people who are working is declining rapidly. […]

http://teri.nicedriving.org/2014/05/news-round-up-week-ending-5314/
or see here:

http://teri.nicedriving.org/2014/04/the-incoherent-ramblings-of-a-dying-empire/

I have looked at the number of jobs added in June and hazard a guess that the first revision to come will be a drop from the reported “288,000 jobs added” to 276,000 jobs added based on the following numbers.  In June, we added 799,000 part-time jobs, but lost 523,000 full-time jobs, leaving a net gain of 276,000 jobs.  There will be, naturally, more revisions coming, but these are the numbers we have to work with for today.

One interesting nugget in the June jobs report was the rise in the number of people who worked part-time.

it’s a number that flops around from month to month — the standard deviation is 287,000 —  it jumped by 799,000, which was the largest one-month gain since January 1994. At the same time, there was a 523,000-person drop in full-time workers, the first decline since October.

“It is unusual,” said Stuart Hoffman, chief economist at PNC Financial Services Group. But he said it could be noise. And he notes that most of the part-time rise in June was not in those who want to find full-time work but couldn’t, and instead in those who voluntarily opted to do so. […]

http://blogs.marketwatch.com/capitolreport/2014/07/03/part-time-work-jumps-in-june-by-nearly-800000/

Yeah, you chief stooge grifter talking head economist for PNC Bank, tell us how the fact that we just traded more than half a million full-time jobs for 3/4 of a million part-time jobs is just noise.  Those of us on the ground and in the trenches have noticed that this is a marked trend which has been in place for years now.  It isn’t noise, it’s a business plan.  But go ahead, please enlighten us about these fucking part-time McJobs and assure us that people who work at these crappy jobs with no benefits are taking them voluntarily.  Here’s some noise back at you: most of the jobs available continue to be in the part-time and temporary jobs’ markets.  They pay jack-shit, offer no benefits, and are largely in the service industries; fast food, drinking places, and retail sales.  But, yeah, we will take them “voluntarily” because there isn’t anything else out there and we want to work.  Fuckwit.

Wages are completely stagnant, as they have been for decades, and inflation is increasing.  This leads the Fed cartel to talk about raising interest rates, which through some mumbo-jumbo incantations to the great god of money Moloch, will lead to the Fed’s “targeted inflation number” or some such shit.  Although how they figure what the target is, considering that inflation is no longer measured by looking at the costs of anything real people have to pay for, is simply another noisy wonderment.  The Fed could never have lowered interest rates so much in the first place if we hadn’t had such remarkable wage deflation going on for decades.  It’s true that the current zero per cent interest rate has encouraged rampant financial speculation and debt accumulation, but that is only part of the picture.  The Fed used the already existent, persistent wage deflation to the advantage of its member banks because they will use whatever tools exist for that purpose.  That is their entire purpose actually, and the idea that they might serve the public wad is laughable on its face.  We have deflation of wages, but inflation of living expenses.  We will see how well these low-paying, part-time jobs hold up as we face the potential of higher interest rates.   Don’t forget that while higher interest rates will mean (perhaps) a marginal increase in interest earned on savings, it also means higher interest rates on mortgages, loans and credit cards.  It is anticipated by the market fairies that more Americans will suddenly start buying houses now if the Fed threatens to raise interest rates, and that we will therefore see a nice increase in home purchases this summer or fall.  Barring “bad weather”, of course.  All we have to do is ignore the absolutely flat-lined amount of construction spending, the still high, and growing again, number of foreclosures, and pretend that the houses being bought are not being purchased at pennies on the dollar by rental agencies posing as actual human beings who intend to live in those homes.  The whole Fed interest rate manipulation/inflation target/unemployment target is just so much hokum and flimflammery that serves only a relatively few individuals and does nothing productive for the US economy, or the global economy, for that matter.

Corporate profits reach “historic highs” every year.  This is mostly because the largest corporations have been laying people off and offering less pay and fewer hours to the workers who remain.  Despite the lowering of corporate expenses through the reductions in workforce and the use of automated systems, the cost of goods continues to rise rapidly (I’ll say again; we may disregard the bullshit official “inflation rate” offered by the banks and by government spokesmen; we know how much more we are paying for groceries, rent, heating and gas).  We seem to have traded jobs for a soaring DOW, but I’ll remind you that the DOW is not the economy.  The real economy was shipped overseas years ago.

Here are some references regarding the jobs market and employment numbers that you might want to read:

“One interesting nugget in the June jobs report was the rise in the number of people who worked part-time.”

http://blogs.marketwatch.com/capitolreport/2014/07/03/part-time-work-jumps-in-june-by-nearly-800000/

“[…] In fact, a disproportionate number of jobs created during the economic “recovery” pay less than $13 per hour, according to a report issued earlier this year by the National Employment Law Project. While US businesses have on the whole added 1.85 million low-wage jobs over the past six years, they have eliminated 1.83 million medium-wage (paying between $13 and $20 per hour) and high-wage (between $20 and $32) jobs, according to the report. […]”

http://www.wsws.org/en/articles/2014/07/04/econ-j04.html

“U.S. Unemployment: Retirees Are Not The Labor Exodus Problem”

by Robert Romano

http://www.forbes.com/sites/realspin/2014/01/15/u-s-unemployment-retirees-are-not-the-labor-exodus-problem/

“[…] Workforce participation, however, is at a 36-year low – comparable to the years of the Carter malaise – while the number of involuntary part-time workers rose by 275,000.[…]”.  This article also mentions the Fed, Fannie Mae, and housing construction.

http://www.housingwire.com/articles/30541-job-creation-surges-in-june-but-u6-rate-at-121

On student loan interest rates:

“Federal student loan interest rates increase by nearly 1 percent this month”

http://www.wsws.org/en/articles/2014/07/03/educ-j03.html

 
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Posted by on July 5, 2014 in economy

 

News round up, week ending 5/3/14.

Updated below.

Today’s post is brought to you by our corporate sponsor, the BigusFawk Co. [Big United States Fuckers Aligned for the World Kill.  Their slogan: Fuck you!  And you, and you, and you!].

First, we see that Ukraine not only got an unelected, US-picked junta installed courtesy of USA/CIA/NED/USAID interference in their country and now have to suffer under the austerity measures forced on them by the IMF, they also just got their draft reinstated.  It’s a free bonus gift they weren’t even expecting.

Ukraine reinstates military draft as NATO threatens Russia

NATO officials escalated their military build-up against Russia yesterday, as the pro-Western puppet regime in Kiev reinstated conscription in order to boost its crackdown on spreading pro-Russian protests in eastern Ukraine. […] [Teri’s note:  The acting  (e.g., installed, or interim government) President  Turchinov signed a decree (what we in the US call an executive order, as it comes from the president rather than going through Congress, or in Ukraine’s instance, through their parliament) reinstating compulsory military service for men aged between 18 and 25.]

http://www.wsws.org/en/articles/2014/05/02/ukra-m02.html

38 people, all of them protesters against the neo-Nazi regime we have installed in Ukraine,  have been killed as a building was set on fire in Odessa. God help these people, who are being used as pawns in our games.  They had it bad enough before we decided to meddle in their affairs.

Washington responsible for fascist massacre in Odessa

3 May 2014

In what can only be described as a massacre, 38 anti-government activists were killed Friday after fascist-led forces set fire to Odessa’s Trade Unions House, which had been sheltering opponents of the US- and European-backed regime in Ukraine.

According to eye-witnesses, those who jumped from the burning building and survived were surrounded and beaten by thugs from the neo-Nazi Right Sector. Video footage shows bloodied and wounded survivors being attacked.

The atrocity underscores both the brutal character of the right-wing government installed in Kiev by the Western powers and the encouragement by the US and its allies of a bloody crackdown by the regime to suppress popular opposition, centered in the mainly Russian-speaking south and east of Ukraine.[…]

Despite Western media attempts to cover up what happened in Odessa—with multiple reports stating that “the exact sequence of events is still unclear”—there is no doubt that the killings in the southern port city were instigated by thugs wearing the insignia of the Right Sector, which holds positions in the Kiev regime, along with the like-minded Svoboda party. […]

The Odessa massacre is the largest death toll so far since the Ukrainian regime, at the urging of the Obama administration, renewed its full-scale military assault on anti-government protests and occupations. […]

At his press conference with Merkel, Obama seized on reports that two Ukrainian helicopters had been struck by ground fire. He cited unconfirmed allegations by the Ukrainian intelligence agency SBU that one was hit by a heat-seeking missile as proof that Russian forces were involved. By the evening, however, even the New York Times admitted that no evidence had been produced of heat-seeking missiles.

Along with Obama’s incendiary claim, his backing for Kiev’s military onslaught points to a drive by the US and its European partners to create civil war conditions and goad Russian President Vladimir Putin’s administration into intervening, in order to provide the pretext for crippling economic sanctions and a NATO confrontation with Russia. […]

Russia called another emergency UN Security Council meeting Friday to denounce Ukraine’s actions. Moscow’s ambassador, Vitaly Churkin, warned of “catastrophic consequences” if the military operation continued, only to be denounced by his US counterpart, Samantha Power, who called the attack “proportionate and reasonable.”

Power, who made a name for herself by championing US military interventions in Libya and elsewhere in the name of “human rights” and the “protection of civilians,” declared that Russia’s concern about escalating instability was “cynical and disingenuous.” In keeping with US government propaganda since the beginning of the crisis, she baldly asserted that Russia was the cause of the instability. […]

Ukraine’s initial military assault last month began after CIA Director James Brennan surreptitiously visited Kiev. A second push followed a visit by US Vice President Joseph Biden.

There is evidence of ongoing US involvement. The Russian Foreign Ministry said English-speaking foreigners had been seen among the Ukrainian forces mounting the assault on Slavyansk on Friday, echoing its previous charges that Greystone, a US military contractor, is working alongside the Ukrainian military. […]

http://www.wsws.org/en/articles/2014/05/03/ukra-m03.html

Also see: http://www.paulcraigroberts.org/2014/05/02/washington-intends-russias-demise-paul-craig-roberts/

and:

http://chewhatyoucallyourpasa.blogspot.com/2014/05/what-happened-in-odessa.html

The US has worked out an agreement with the Philippines which will allow us access to five military bases there, despite the Philippine constitution, which has barred US forces from operating bases since the 1990’s.  Obama makes the repeated point that we are not opening new bases,  which is true enough.  We are just stationing our Navy in 5 already-existing bases “temporarily“;  the new agreement stipulates that we will have this access for ten years.   The US is claiming that this re-deployment, which is what it really is, is being done in part to help with “disaster response and humanitarian assistance”.  I’m a little surprised any country on earth falls for that line any more.  I wonder where we found the money for this – perhaps China gave us another loan?

United States troops will soon have access to upwards of five military bases across the Philippines as the result of an agreement signed earlier this week between nations, the Asian country’s chief negotiator told reporters on Friday. […]

Soon, officials are expected to announce which bases will formally be opened up to the US based off of maritime security, maritime domain awareness and humanitarian assistance and disaster response, according to Rappler’s report.

http://rt.com/usa/156428-philippines-edca-five-bases/ 

Azcueta’s announcement opens the door for the first American military deployments to Clark Air Force Base and the naval base in Subic Bay since DOD officially shuttered the facilities in 1991 and 1992, respectively. […]

Manila will receive $30 million in foreign military funding from the the United States this year, according to news reports — nearly three times the $11.9 million in military funds Washington pledged to the Philippines in 2011.  

That money will likely help support the hundreds of Marines expected to flood into the Philippines in the coming years. […]

http://thehill.com/policy/defense/231257-philippines-re-opens-military-bases-to-us-forces-

Here at home, we have a new proposal coming from the White House regarding highway maintenance.  [Spoiler alert: POTUS is not suggesting that we spend less money blowing up bridges, roads and other infrastructures abroad and instead spend that money on US infrastructure.]  My personal notes, not to be confused with the original text, are, as always, bracketed and in red.

White House opens door to tolls on interstate highways, removing long-standing prohibition.

With pressure mounting to avert a transportation funding crisis this summer, the Obama administration Tuesday opened the door for states to collect tolls on interstate highways to raise revenue for roadway repairs.  [As opposed to, for instance, taking the money from the bloated Pentagon budget, or reducing the amount we spend on spying programs, or making corporations pay their taxes, or ending the practice of sending “aid” money to affluent foreign countries, or any number of other more commonsense and fair ideas that would reduce the amount of already burdensome taxes the average person forks over every fucking day.]

The proposal, contained in a four-year, $302 billion White House transportation bill, would reverse a long-standing federal prohibition on most interstate tolling.  [I’ll say – the entire idea of the Federal Highway system was to avoid a toll system being imposed by the various states.]

Though some older segments of the network — notably the Pennsylvania and New Jersey turnpikes and Interstate 95 in Maryland and Interstate 495 in Virginia — are toll roads, most of the 46,876-mile system has been toll-free.

“We believe that this is an area where the states have to make their own decisions,” said Transportation Secretary Anthony Foxx. “We want to open the aperture, if you will, to allow more states to choose to make broader use of tolling, to have that option available.”  [I will, out of respect for my gentle reader, decline to take the opportunity of making the obvious joke about “open aperture” offered by Mr. Foxx in his remarks.]

The question of how to pay to repair roadways and transit systems built in the heady era of post-World War II expansion is demanding center stage this spring, with projections that traditional funding can no longer meet the need.

That source, the Highway Trust Fund, relies on the 18.4-cent federal gas tax, which has eroded steadily as vehicles have become more energy efficient.  [We can thus infer that the decline in funds is caused by the stupid taxpayers themselves, who should now pony up.  You did not think you were going to be allowed to save money on gas and keep that savings, did you?  You haven’t any idea how this capitalistic model works.]

“The proposal comes at the crucial moment for transportation in the last several years,” Foxx said. “As soon as August, the Highway Trust Fund could run dry. States are already canceling or delaying projects because of the uncertainty.”

While providing tolling as an option to states, the White House proposal relies on funding from a series of corporate tax reforms, most of them one-time revenue streams that would provide a four-year bridge to close the trust-fund deficit and permit $150 billion more in spending than the gas tax will bring in.  [Corporate tax reform?  Corporate tax reform?  The Obama proposals on corporate tax reform always include reducing corporate taxes. I am perplexed.  However, since this article declines to state what these reforms are, exactly, I will have to remain mystified.]  […]

Details of the president’s proposal, which he first outlined almost two months ago, were welcomed as a sign of growing momentum toward a resolution, even by those who couldn’t fully embrace his plan. […]

Terry O’Sullivan, president of the Laborers’ International Union of North America, said the bill helped “advance the discussion” but said a federal gas tax increase should be used to fund it.

“The gas tax remains the most tested and logical way of meeting our critical investment needs,” O’Sullivan said.

“For too long, Congress’s duct-tape approach has made our roads and bridges unsafe, destabilized the construction industry and slowed our economy.”  [Well, the duct tape approach, combined with austerity measures, while banks and corporations get free money and pay no taxes.]
The federal tax last was raised in 1993 and has not been adjusted for inflation.  [Neither has my pay, but I digress] […]

“Congress has an opportunity to not only save the transportation program, but to recommit to investing in the repairs and improvements our communities and businesses need,” said James Corless, the group’s director [the nonprofit Transportation for America].

Corless predicted that most Americans would accept tax increases to fund transportation.  [By this he means that most Americans will have tax increases foisted upon them whether they like it or not, and aside from some minor and insignificant written protests by unknown bloggers, most will be dumbly clueless about the issue.  Besides, the only alternative currently in play being the President’s proposed every-road-a-toll-road scheme, a gas tax increase might, in the end, be more digestible for the public.  Here in Maryland, the state just increased its state gas taxes by 3 cents per gallon this year.  This is what is known as a regressive tax.]

“When people understand where the dollars are being spent, the direct impact to their lives, they support paying their fair share,” he said.
Foxx said the highway trust fund would face a $63 billion shortfall over the next four years.  [Ironically, on Tuesday, the House Ways and Means Committee “sent a package of bills to the House floor that would cost American taxpayers hundreds of billions of dollars over the next ten years by making permanent tax provisions multinational corporations use to avoid paying U.S. taxes”.  I will give quotes from an article which covers this BigUSFawk project below the article you are currently reading.]   […]

The proposal emphasizes a fix-it-first approach that would give funding priority to existing roads, bridges and transit systems rather than expanding their network.

It would expand reforms intended to streamline environmental reviews and project delivery that were begun in the current federal highway bill.  [Ah, yes, streamlining environmental reviews.  The same procedure that brings BP back into the Gulf, allows rampant fracking without regard to consequences to the water we drink, and gives us many opportunities to view exciting youtube videos of oil-transport trains exploding into flames.  In for a penny, in for a pound, I always say; streamline it all.]

It also would expand popular loan-guarantee programs that have been used by state and local governments to fund projects. The White House plan would almost double funding — from $12.3 billion to $22.3 billion — for transit systems and intercity passenger rail.  [This sounds suspiciously like some public/private partnership deal in the works.  It also sounds much like the bond programs the big banks have been using to scam local governments for a decade now, and which have resulted in the broke-ass states having to cut public pension funds and, uh, do away with stuff like road repairs.]

In addition, the plan would increase the fine an automaker could face for a safety violation from the current $35 million to $300 million.
Though that proposal is not new, it takes on greater significance amid the debate over General Motors’s delayed recall of 2 million cars with faulty ignition switches that are alleged to have led to at least 13 deaths.

http://www.washingtonpost.com/local/trafficandcommuting/white-house-opens-door-to-tolls-on-interstate-highways-removing-long-standing-prohibition/2014/04/29/5d2b9f30-cfac-11e3-b812-0c92213941f4_print.html

Well, hey now, it turns out Yves Smith over at Naked Capitalism also thinks the above proposal might be a public/private partnership piece of shit:

Will “Highway Cliff” Allow Obama to Revive “Public/Private Partnership” Infrastructure Scam?:

http://www.nakedcapitalism.com/2014/05/will-highway-fiscal-cliff-allow-obama-to-revive-public-private-partnerships-for-infrastructure.html

Now, let’s take a gander at the latest “corporate tax reform” as envisioned by our Congress.

Do-Nothing Congress Continues Helping GE, Apple, Other Multinational Tax Dodgers

On Tuesday, the House Ways and Means Committee sent a package of bills to the House floor that would cost American taxpayers hundreds of billions of dollars over the next ten years by making permanent tax provisions multinational corporations use to avoid paying U.S. taxes.

“For all of the talk in Washington about getting our fiscal house in order, the Committee did not consider how to pay for these expensive tax breaks,” said Dan Smith, U.S. PIRG Tax and Budget Advocate, “despite repeated attempts by Ranking Member Sandy Levin to raise the issue.”

H.R. 4429 would re-enact the currently expired “active financing” provision, and make it permanent. This provision is known as the “GE” loophole, because General Electric not only prodigiously benefits from it, but also because the company has sent an army of lobbyists to ensure the provision, which expired last year, was re-enacted.

Making the GE loophole permanent would cost nearly $60 billion over ten years, according to the Joint Committee on Taxation. The relevant Senate Committee took a slightly different approach, sending a two-year extension to the Senate floor that would cost “only” $7 billion. Another bill that cleared committee Tuesday was H.R. 4464, which would re-enact the “CFC look through” rule and make it permanent.

This provision is known as the Apple loophole, because Apple innovated it and uses it to protect billions it would owe U.S. tax on, if the tax code looked at where the money was earned – where the value was actually generated – rather than where companies can assign the profits. Making the Apple loophole permanent would cost $20.3 billion over ten years, according to the Joint Committee on Taxation.

The Senate bill, since it would extend the provision for two years, would cost “only” $2 billion. “While Wall Street banks, tech giants, and pharmaceutical companies would get a windfall from these loopholes,” Smith added, “average taxpayers and small business owners would get stuck footing the bill through cuts to public programs, higher taxes, or a larger deficit.”  [Cuts to public programs like road and transportation upkeep, addressed in the preceding article.]

Two other corporate tax cuts that cleared committee Tuesday were not about tax havens, however. They reflected other problematic policies. One is called the “Research Credit.” As Steve Wamhoff, Legislative Director for Citizens for Tax Justice, explained, “The so-called research credit does not encourage research. Congress should not re-enact it, much less make it permanent until it addresses the problems so that it actually encourages research.”

If the House gets its way, the “Research” Credit would cost $155 billion over 10 years. Again, the Senate is considering a two-year extension of a slightly different version of the credit, which also does not address the issues that concerns Wamhoff.

The last and arguably least problematic tax cut bill to clear committee Tuesday aims to inspire smaller businesses to invest in their businesses by making the tax treatment of such investment more favorable. But, Wamhoff says, “I do not expect it to encourage investment or help grow the economy. We work with some small business folks, and they say what will get them to invest is more customers, not more tax breaks.”  [These customers would be the now mythical “US consumer base”.  Since the current labor participation rate is only 62.8% and 1 in 5 American households have no-one in the house actually working, the “US consumer base” is largely a rumor not related to any fact in evidence.]

The smaller business tax cut would cost $73 billion over 10 years. Wamhoff, like Smith, praised Michigan Democrat Sandy Levin: “Under Levin’s leadership,” Wamhoff said, “even those Democrats who support the tax breaks decided that if the country couldn’t afford to deficit-finance unemployment insurance and food stamps, it couldn’t afford to deficit-finance these tax breaks.”

Unfortunately for taxpayers, House Republicans didn’t agree and sent these bills to the House floor.

http://www.benzinga.com/news/14/04/4508611/do-nothing-congress-continues-helping-ge-apple-other-multinational-tax-dodgers?utm_campaign=partner_feed&utm_source=marketfy_partners_bobz&utm_medium=marketfy_partners&utm_content=site

On my note in the above article, “1 in 5 American households have no-one in the house actually working”:

“[…] In 20% of American families in 2013, according to new data released by the Bureau of Labor Statistics (BLS), not one member of the family worked.  A family, as defined by the BLS, is a group of two or more people who live together and who are related by birth, adoption or marriage. In 2013, there were 80,445,000 families in the United States and in 16,127,000—or 20%–no one had a job. The BLS designates a person as ’employed’ if ‘during the survey reference week’ they ‘(a) did any work at all as paid employees; (b) worked in their own business, profession, or on their own farm; (c) or worked 15 hours or more as unpaid workers in an enterprise operated by a member of the family.’ […]”

http://www.theautomaticearth.com/debt-rattle-apr-30-2014-the-boy-in-the-bubble/

Furthermore, although the official unemployment rate went down for the month of April (to 6.3 %), this was largely because the labor force participation rate [LFPR] also went down again.  I explained the LFPR in my last post; this number basically tells us how many people, out of the number of people eligible to work, who are actually employed.  The labor force number has suddenly dropped again, from the previous 63.2% to 62.8%, the lowest since 1978.  800,000 people dropped out of the labor force in March.  These are people who have simply abandoned  the search for nonexistent jobs.  That is simply a staggering number.

This means that, despite the bogus, heavily massaged, and virtually meaningless number given to us as the “unemployment rate”, the population of job-eligible people who are working is declining rapidly.  Average wages have also remained completely stagnant, but I suppose we must be grateful that the oligarchy didn’t cut our wages significantly last month.

Moving on, the Supreme Court has once again offered irrefutable proof that it has no interest in upholding the Constitution.  There is no need to mention the WH or Congressional positions on constitutional law; that horse left the barn some years (and administrations) ago.

Supreme Court Rejects Challenge to NDAA Detention Power
By Jason Ditz On April 28, 2014

The US Supreme Court has further enhanced the administration’s ability to detain anyone, at any time, on any pretext today, when it refused to hear the Hedges v. Obama case, meaning an Appeals Court ruling on the matter will stand.

The case stems from a 2012 lawsuit brought by Chris Hedges, Daniel Ellsberg, Noam Chomsky and others, and sought to block the enforcement of a 2012 National Defense Authorization Act statute that allows the president to unilaterally impose indefinite detention on anyone, without access to courts, if he personally believes something they did “aided” the Taliban or al-Qaeda.

Courts initially banned such detentions, over intense objection from President Obama, who argued that prohibiting the detentions would be an unconstitutional restriction of presidential power.

The Appeals Court eventually restored the detention power, however, insisting that Hedges et al didn’t have standing to contest their future detention because they couldn’t prove that the president might decide to detain them at some point in the future.

The standing argument effectively makes it impossible to challenge the NDAA statute, as it precludes challenges before the detention takes place, and once a person has been disappeared into military custody under the NDAA, the law explicitly denies them any access to the courts.

http://news.antiwar.com/2014/04/28/supreme-court-rejects-challenge-to-ndaa-detention-power/

There have been a number of articles about the EPA’s proposal to allow a massive increase in the use of the herbicide known as 2,4-D, one of the main ingredients in the defoliant used during the Vietnam War (Agent Orange). Because the weeds in fields where genetically modified foods are grown (commonly referred to as GMOs, or as genetically engineered – GE – crops) are becoming resistant to glyphosate, the Big Ag growers would like to resort to more powerful herbicides.  The GMO crops are inherently immune to RoundUp (glyphosate) and 2,4-D; that was the whole point in developing them and why they are called “RoundUp Ready”.  Another GMO crop, Bt Corn, was created to act as a pesticide in and of itself.  However, insects feeding on the Bt Corn are likewise becoming immune to the pesticide within the corn.  Time to spray stronger crap and lots of it.  Monsanto, Dow, Bayer, et.al., are quick to point out that it was not the 2,4-D which turned out to be the big human killer in Agent Orange, but another active ingredient called 2,4,5-T, which was itself contaminated with something else (dioxins). Studies conducted by independent scientists and research labs (e.g., those not employed by Monsanto) are now showing that glyphosate and 2,4-D do, in fact, have an adverse effect on people and animals, especially given the massive amounts of the stuff being sprayed on the crops throughout the growing cycle.

It’s all bullshit and flim-flammery, of course; the fact is that the problem is not glyphosate alone, or 2,4-D alone, or any of the other major ingredients of these herbicides and pesticides alone, all of which are questionable enough, but the addition of inert ingredients.  These additions create entirely new compositions with their own unique hazards.  Although the combinations can be highly toxic, the EPA does not test these cocktails.  Why?  Hey, I’m glad you asked.  Turns out the mixtures are “proprietary trade secrets” and don’t have to be disclosed to anyone.  Exactly like the protected “proprietary” mix of toxic sludge going into fracking fluids and then dumped into our water supplies.  When Agent Orange was created, it was produced expressly for the purpose of chemical warfare.  Were we a more alert and informed society, we might still recognize it as such.

Used in yards, farms and parks throughout the world, Roundup has long been a top-selling weed killer. But now researchers have found that one of Roundup’s inert ingredients can kill human cells, particularly embryonic, placental and umbilical cord cells.

The new findings intensify a debate about so-called “inerts” — the solvents, preservatives, surfactants and other substances that manufacturers add to pesticides. Nearly 4,000 inert ingredients are approved for use by the U.S. Environmental Protection Agency.[…]

Until now, most health studies have focused on the safety of glyphosate, rather than the mixture of ingredients found in Roundup. But in the new study, scientists found that Roundup’s inert ingredients amplified the toxic effect on human cells—even at concentrations much more diluted than those used on farms and lawns.[…]

“This clearly confirms that the [inert ingredients] in Roundup formulations are not inert,” wrote the study authors from France’s University of Caen. “Moreover, the proprietary mixtures available on the market could cause cell damage and even death [at the] residual levels” found on Roundup-treated crops, such as soybeans, alfalfa and corn, or lawns and gardens. […]

Inert ingredients are often less scrutinized than active pest-killing ingredients. Since specific herbicide formulations are protected as trade secrets, manufacturers aren’t required to publicly disclose them. Although Monsanto is the largest manufacturer of glyphosate-based herbicides, several other manufacturers sell similar herbicides with different inert ingredients.

The term “inert ingredient” is often misleading, according to Caroline Cox, research director of the Center for Environmental Health, an Oakland-based environmental organization. Federal law classifies all pesticide ingredients that don’t harm pests as “inert,” she said. Inert compounds, therefore, aren’t necessarily biologically or toxicologically harmless – they simply don’t kill insects or weeds.

But some inert ingredients have been found to potentially affect human health. Many amplify the effects of active ingredients by helping them penetrate clothing, protective equipment and cell membranes, or by increasing their toxicity. […]

http://www.scientificamerican.com/article/weed-whacking-herbicide-p/

On to this week’s news about 2,4-D then:

The US Environmental Protection Agency has revealed a proposal for mass use of Dow Chemical’s herbicide 2,4-D on the company’s genetically-engineered corn and soybeans.

The GE [genetically engineered] crops were developed to withstand several herbicides, including 2,4-D. Dow would be allowed to sell the herbicide if the EPA approves it following a 30-day public comment period.[…]

Dow’s genetically-engineered corn and soybeans – known as Enlist – have received preliminary approval from the US Department of Agriculture. Should Enlist crops win ultimate authorization, the USDA said that would increase the annual use of 2,4-D (2,4-dichlorophenoxyacetic acid) in the United States from 26 million pounds per year to possibly 176 million pounds.

The crops are designed to withstand high doses of glyphosate – brought to market by biotech giant Monsanto as their Roundup weed killer – and 2,4-D. […]

Scientists, human and environmental health advocates, farming organizations, and food transparency groups have urged government regulators to think twice about unleashing more 2,4-D. […]

Medical researchers have linked exposure to 2,4-D, and other chemicals like it, to increased rates of cancer, Parkinson’s disease, endocrine disruption, and low sperm counts, among other conditions. Higher rates of birth anomalies have been found where there is heavy use of 2,4-D.

Health concerns had prompted the Natural Resources Defense Council to petition the EPA to halt use of the herbicide, though that effort was defeated in 2012.  “With this decision it is clear that the EPA is serving the interests of Dow Chemical and the biotech industry rather than protecting our health and the environment,” said Andrew Kimbrell, executive director of the Center for Food Safety.

In an agribusiness chemical arms race, Dow’s development of 2,4-D-resistant crops came about once first-generation genetically-modified crops made by Monsanto evolved to resist the company’s Roundup herbicide. The flood of new GE crops increased the use of glyphosate, which has its own links to a host of ill health effects, and glyphosate-resistant “superweeds.”

“2,4-D is not a solution to glyphosate-resistant weeds,” Kimbrell said. “Weeds will rapidly evolve resistance to 2,4-D as well if these crops are approved, driving a toxic spiral of ever-increasing herbicide use. Dow’s Enlist crops are a textbook example of unsustainable farming, profiting pesticide companies to the detriment of American farmers, public health and the environment.”

Nevertheless, Dow maintains that farmers need an answer for “hard to control” weeds. […]

http://rt.com/usa/156272-epa-dow-agent-orange-herbicide/

Monsanto’s GMO “Bt Corn”, which now makes up 86% of the corn crop in the US, is not technically a food product.  If you were confused by the references to both the EPA and the USDA in the above article, part of that is because Bt Corn is registered and regulated by the EPA as a pesticide.  The bacteria, bacillus thuringiensis, or Bt, is genetically inserted into the corn.  Thus the pesticide is actually produced inside the plant, as part of the plant, so not only can it never be washed off: it makes the plant itself a pesticide.  Which you are eating every time you eat anything containing corn or corn syrup; the latter ingredient is found in damn near every food product on American grocery store shelves.  The EPA lists these GMOs as Plant-Incorporated Protectants (PIP).  You can find the list of GMOs thus recognized on the “Type of Pesticide: Plant-Incorporated Protectant (PIP)” chart at:
http://www.epa.gov/pesticides/biopesticides/pips/smartstax-factsheet.pdf

One might think that being listed as a pesticide would automatically create the need for mandatory labeling on food products containing this ingredient.  One would be, in a word, wrong.  There is an inherent doublespeak going on with GMOs in general anyway, and has been since they were first formulated.  The biotech firms were allowed to patent their grotesque creations based on the idea that they were “unique”, which they sure as shit are.  Bt could have never naturally become part of corn seed, for example.  Another GMO patent exists on tomatoes combined with salmon genes (yes, the fish), done to make the tomatoes viable into the cold weather season.  But when it comes to labeling and regulating these things, we are told that the products needn’t be labeled because they are “just the same” as the traditional food products.  They obviously shouldn’t be allowed to have it both ways.  And, no, these products are not equivalent to hybrids, an argument I see all the time presented by GMO proponents.  Hybrids can occur naturally between closely related species, especially among plants.  A cross between a tomato and a salmon would never occur in nature, nor would a cross between corn and the Bt bacteria.

GMO “RoundUp Ready” crops are genetically altered so the plant can take multiple hits of glyphosate and/or 2, 4-D without being killed.  The weeds around them are deader than dead, but the RoundUp Ready crops are not.  This does not mean they aren’t absorbing the herbicide; they are.  They just aren’t killed by it.  When you eat these foods, you are eating the glyphosate as well.  The crops are sprayed many, many times during the growth period and right before harvest are put through what is called “crop desiccation”; i.e., fully saturating the fields with RoundUp to kill off all the green matter (as opposed to the fruit or vegetable itself) to make it easier for the harvesting equipment to go through.  Desiccation is done immediately before the harvest; it is absorbed by the crop, just like the earlier applications of herbicide and cannot be washed off.  Then the “food” is harvested, processed, packaged, and sold to you.  I don’t know how much RoundUp a human can safely eat before getting sick or dying, but since the warning label on RoundUp reads, in part, “Keep out of reach of children, harmful if swallowed, avoid contact with eyes or prolonged contact with skin,” I suspect it is much less than what we are being fed.

Pre-harvest crop desiccation (also siccation) refers to the application of a herbicide to a crop shortly before harvest. The herbicide most widely used is glyphosate, while use of diquat and glufosinate is much more limited. For potatoes, carfentrazone-ethyl is used. Other desiccants are cyanamide, cinidon-ethyl, and pyraflufen.

Uneven crop growth is a problem in northern climates, with wet summers, or poor weed control. With desiccation a number of advantages are cited: More even ripening is achieved and harvest can be conducted earlier; weed control is initiated for a future crop; earlier ripening allows for earlier replanting; desiccation reduces green material in the harvest putting less strain on harvesting machinery. Some crop may be mechanically destroyed when crop desiccation machinery moves through the field.

The application of glyphosate differs between countries significantly. It is commonly used in the UK where summers are wet and crops may ripen unevenly. Thus in the UK 78% of oilseed rape is desiccated before harvest, but only 4% in Germany. Other countries have banned desiccation practices, such as Austria[6] and Switzerland.

Pre-harvest desiccation has been applied to a wide variety of plants including: cereals, oilseed rape, legumes, linseed, lupins, flax, linola, maize, sunflower, kiwi, wine grapes, raspberries, apples, soy, alfalfa, and potatoes.

Criticism:
Glyphosate is applied to plants just before harvest and absorbed by plants; it cannot be washed out prior to human use. Herbicides can also reach humans through meat and milk of cattle that has been fed herbicide-treated fodder. It has been identified in the urine of urban dwellers who do not handle glyphosate at concentrations of 0.5-2ng/ml, much higher than allowed in drinking water (<0.1ng/ml).  The extent and the effects of an accumulating glyphosate contamination of humans and animals deserve further studies.

http://en.wikipedia.org/wiki/Crop_desiccation

Suggested further reading on GMOs:
http://www.gmfreeze.org/site_media/uploads/publications/glyphosate_residues_in_UK_food_final.pdf

http://articles.mercola.com/sites/articles/archive/2012/10/23/glyphosate-found-in-human-urine.aspx

http://www.globalresearch.ca/monsanto-roundup-the-impacts-of-glyphosate-herbicide-on-human-health-pathways-to-modern-diseases/5342520

http://www.organicconsumers.org/monsanto/roundup.cfm

EPA denies petition to halt use of 2,4-D in 2012:
http://www.epa.gov/oppfead1/cb/csb_page/updates/2012/2-4d-petition.html

A new study reveals an insecticide produced in GM corn actually gets absorbed into the human body:
http://foodintegritynow.org/2011/05/19/gmo-study-omg-you’re-eating-insecticide/

and:
http://indiatoday.intoday.in/story/toxin-from-gm-crops-found-in-human-blood/1/137728.html

An accessible intro and explanation of genetically engineered products and why there is cause for concern with genetic splicing.  If you choose only one article to read out of the list, this is probably the one you want:   http://thegeneticengineeringdebate.blogspot.ca/2014/02/genetics-101-why-you-should-be.html

Update Sunday, 4 May:

On the US military agreement with the Philippines, we are finally seeing the document itself.  I will remind you that the Philippines’ president, Aquino, signed this agreement without any consultation with his legislature: this is basically another “presidential executive order”, which bypasses the normal legal processes in a country.

US military basing deal sets legal framework for neocolonial rule in the Philippines

The US basing deal signed during US President Barack Obama’s recent visit to the Philippines, and now surreptitiously published in the “Historical Papers” section of the Philippine government’s web site, marks a reactionary political milestone in the Philippines and Asia. […]

Under the EDCA [Enhanced Defense Cooperation Agreement], Washington receives exclusive access to bases, referred to as “agreed locations,” throughout the Philippines. The list of “agreed locations,” which the document does not even bother to specify, can also be added to at the request of the US military. The “agreed locations” are to be exclusively accessed by US forces and contractors. […]

Effectively, moreover, the US military is being given free rein throughout the country. The EDCA states that, in addition to the “agreed locations,” US forces have access to “public land and facilities (including roads, ports, and airfields), including those owned or controlled by local government.” There is no space or facility within the Philippines exempted from this clause.

The agreement authorizes the deployment of unlimited numbers of US military and civilian personnel and US military contractors to the Philippines. Once there, they are authorized to conduct “training, transit, support, and related activities; refueling of aircraft; bunkering of vessels; temporary maintenance of vehicles, vessels and aircraft; temporary accommodation of personnel; communications; prepositioning of equipment, supplies and materiel; deploying of forces and materiel; and any other such activities as the Parties may agree.”

Any US war materiel in the country is for the “exclusive use of United States forces,” which shall be provided with “unimpeded access to Agreed Locations.”

These terms provide a legal framework for Washington to use the Philippines as a staging area for war against China, or whatever other target is selected by US imperialism. During the Vietnam War, Washington used its bases in the Philippines to launch bombing raids targeting North Vietnam and Cambodia. […]

The agreement is being imposed in blatant violation of the Philippine constitution, which bans the presence of any foreign troops or bases in the country without the approval of a treaty by a two-thirds majority in the Senate. The Philippine legislature, which is not party to the agreement, has been left with no legal recourse to contest it. […]

The agreement exempts US forces from oversight under Philippine or international law—a measure recalling US policy in occupied countries like Iraq, or imperialist extraterritoriality clauses on colonial countries of 19th-century Asia. Instead, US forces and contractors will “operate under US law, regulations and policies.” […]

Article XI of the EDCA states, “Disputes and other matters subject to consultation shall not be referred to any national or international court, tribunal or other similar body, or to any third party for settlement.”

This article precludes the review of the EDCA by either the Philippine judiciary or legislature. Should a US serviceman shoot or rape a Filipino, or run over a child with his car—events which have repeatedly occurred around US military bases in Asia—he will be subject to US law and jurisdiction. Any disputes over the extraterritorial jurisdiction of the United States within the Philippines, or any other aspect of the agreement, may not be reviewed by the Philippine judiciary.

The United States is to pay no rent whatsoever for its Philippine bases. The document even arrogantly specifies that if Washington chooses to vacate a particular base, it can exact from Manila “compensation for improvements” it has made.

Washington is also guaranteed access to “water, electricity, and other public utilities” at the same rate paid by the Philippine government. All taxes and fees exacted on these utilities, which all Filipinos are obliged to pay, will be paid for the US military by the Philippine government. […]

In one of the few restrictions imposed on US forces, the agreement stipulates that, as dictated by the Philippine constitution, Washington may not “preposition” any nuclear weapons in the country.

Declassified documents from the period of the US occupation of Subic naval base and Clark Airbase have shown that in the past Washington illegally stored nuclear weapons in the Philippines. What is more, Washington routinely refuses to comment on which of its ships carry nuclear weapons. Given the limits imposed by the EDCA on the inspections that can be conducted by the Philippine “authorized representative,” this clause is toothless.

http://www.wsws.org/en/articles/2014/05/03/phil-m03.html

On Ukraine, I would like to note that this weekend, I have seen the repeated use of the word “rebels” by the Western media (i.e., US and Europe) to describe the protesters in Ukraine.  The protesters are not “rebels”, a word used to deliberately provoke images of insurgents and terrorist groups.  They are Ukrainian citizens who are protesting against the junta installed in Kiev.  Some of the protesters want to rejoin Russia, but not many, and certainly not most of them.  Some agreed with their ousted president that Ukraine would have been better served by financial aid coming from Russia rather than through the EU.  The EU/US aid comes via the IMF, and includes serious austerity measures and steps to make Ukraine a NATO border country.  Most of the protesters are federalists.  Seeing that the new government, which they did not elect, is largely comprised of fascists, who are making distasteful agreements with the IMF and NATO, this group – by far the majority in the protest movement – want autonomous states within Ukraine, each having a locally-elected government allowed some independence from the central Ukraine government, which they would like to be weaker.

The BBC, the Washington Post, and Reuters have all begun using the word “rebels” to describe these Ukrainians, as evidenced by this Reuters headline, “Moscow May Day parade lauds Putin as rebels seize more Ukraine buildings”, and this quote from the WaPo, in an utterly over-the-top, rancid piece of jingoistic filth: “Ukraine suffered its bloodiest day in nearly three months on Friday, with at least nine people killed when the army launched its first major assault on a rebel stronghold and 34 killed in clashes between pro-Ukrainian and pro-Russian mobs in the Black Sea port city of Odessa. […]”.  [http://www.washingtonpost.com/world/ukraine-army-launches-assault-on-rebel-stronghold/2014/05/02/b1c589e8-be8f-43a1-9927-13310c24b653_story.html?hpid=z1]

A poll taken in Ukraine mid-April revealed the following (this was a poll in which Ukrainians themselves were invited to participate; not one of those stupid “what do Americans think” things):

2/3 of the respondents think Ukraine should remain a united country.  Only a minority support reunification with Russia.  Majorities also favor the idea of autonomous states with locally elected officials rather than power concentrated in Kiev.  [Hence, we see that protesters are not necessarily “pro-Russian”.  That label is a simplistic political term used by the media.  The Ukrainian citizens themselves are obviously much more capable of thinking about and forming opinions on complex issues than are western media and western leaders.]

Over 50% believe acting President Turchynov is “illegally occupying his post,” and just under half felt the same way about about acting Prime Minister Yatsenyuk [“Yats”].

74% in Donetsk and 70% in Luhansk feel that the entire interim government is “illegitimate”.

Ukraine is supposed to hold an actual national election on May 25.  Despite the fact the acting government is merely a temporary, interim group (more accurately called a junta) and was not elected, the IMF is releasing the first $3 bb of its $17 bb loan to this acting government immediately.  In other words, an illegally installed “government” gets to make the decision of putting the entire country in debt to the western banking cartel and additionally, to decide how to start spending that money.  An IMF staff report reads that should the central government in Kiev “lose control” over the eastern section of Ukraine, the terms of the loan will have to be re-designed.  The US and Europe do not seem to regard this as blackmail or an instigation toward civil war: the IMF is sort of goading the junta into further violence against protesters as Turchynov and Yatsenyuk try to keep their deal with the IMF in place.

The US State Dept. announced that USAID is giving another $1.2 mm to “support Ukrainian media outlets” as they prepare for the Ukrainian presidential election.

“This additional funding will help to protect vulnerable journalists while also advancing press freedoms and democratic governance in Ukraine. USAID supports respect for universal rights around the world as central to its mission that we’ve talked a lot about in here as well.” – State Dept briefing, 2 may ’14

http://www.state.gov/r/pa/prs/dpb/2014/05/225545.htm

Yessirreebob, that good old USAID (CIA) and its love of press freedom and democratic governance.

There had been an interesting exchange during the previous day’s press briefing where a reporter asked the State Dept. spokeswoman what she thought about the May Day demonstrations in Russia, which the reporter first mistakenly called “protests”.  Because he opened with that word, and because Ms. Harf was completely clueless as to what he was talking about (callowness being the predominant trait exhibited by State Dept personnel), this amusing conversation took place:

QUESTION: It’s the first time – well, apparently since the break-up of the Soviet Union that they’ve had such large May Day protests in Moscow.

MS. HARF: Well, we – I actually haven’t seen those reports, but we do support the rights of people to peacefully protest.

QUESTION: So – but they were shouting out things like Putin is right, proud of their country, let’s support Putin’s decisions.

MS. HARF: Well, just because I disagree with what they’re saying doesn’t mean I don’t think they should be able to say it.

QUESTION: So given that you support the right to protest, did you see the similar protests that were happening in the Red Square as well in Russia?  But, I mean, obviously, we’ve talked a lot in here about the propaganda that the United States feels that the Russian people are being fed through such things as RT. Do you – are these – are the hundred thousand people who turned out in Moscow, are they deluded?

MS. HARF: Again, I haven’t seen all those reports. But we don’t agree with the notion that what President Putin and Russia has done is right, that there’s any legal basis for it, certainly, and that’s why we’ve been very clear that there will be continued consequences.

http://www.state.gov/r/pa/prs/dpb/2014/05/225493.htm

Since Ms. Harf cannot tell you about it, I will.  100,000 people gathered in Moscow’s Red Square to celebrate May Day.  The crowd was jubilant and carried signs supporting Russia itself, Putin, and the joining of Crimea back into Russia.  Putin currently has an 82% approval rating in Russia.  There has been an upswell of patriotism and loyalty in Russia.  This is only to be expected: as I have said before, when a country is threatened from without, either through military actions or economic sanctions (a form of warfare), the people do not tend to start hating their own government, but instead protectively “circle the wagons” around their country and respond with heightened feelings of unity and loyalty.

Americans would react the same way, were some country to sanction us and try to ruin us economically.  We don’t much notice or care when this is done to us by our own leaders and corporate oligarchy, but you won’t hear me accusing Americans of being overly discerning and insightful.

May Day was also joyfully celebrated in Cuba.  You won’t read about that either, Cuba being another country we have been sanctioning and trying to ruin for generations, so our media won’t report on anything which shows Cubans actually liking their country.  Nonetheless, 600,000 Cubans marched through Revolution Square and millions more held celebrations in other cities, exhibiting signs, waving Cuban flags, and expressing support for their revolution and leaders.  There were thousands of banners honoring Fidel and Raul Castro, Che Guevara, and the late Venezuelan president Chavez.   And I doubt the Cubans, by and large, much give a shit if our reporters cover their holidays.

 

Today is referendum day in Crimea.

UPDATE below

UPDATE 2 below

Today is the referendum vote for the citizens of Crimea, where they will chose whether or not to join Russia.  Obama has said the US and the international community will not recognize the results of this vote, whatever these results may be.  I suspect that if the Crimeans reject Russia, however, we will hear how the “people” “voted democratically” and the results will be acceptable enough, all right.  The coup in Ukraine, engineered by the US government, the CIA, and various NGOs, all supporting what have turned out to be neo-Nazi groups, and which has resulted in an unelected government replacing a democratically elected one, is a sign of “democracy at work”, while the people of an autonomous region holding an actual vote on whether or not to secede from this new government is not democratic.  I also find it interesting that Obama mentions that the vote in Crimea is not in accord with the Ukrainian Constitution.  Does that constitution even exist any more?

Following a White House meeting with interim Ukrainian Prime Minister Arseniy Yatsenyuk designed to underscore US support for the newly installed government and ratchet up pressure on Russia, President Barack Obama issued new threats against Moscow.

Obama declared that Washington and the “international community” would “completely reject” the referendum to be held Sunday in Crimea on secession from Ukraine and affiliation with the Russian Federation. He reiterated the US demand that Russia withdraw its forces from Crimea and recognize the new right-wing, anti-Russian regime in Kiev, which was installed last month in a US- and European Union-backed coup led by armed fascist militias.[…]

Obama also declared that Ukraine “cannot have an outside country dictate to them how to manage their affairs,” and added that the “interests of the US are solely to ensure that the people of Ukraine are able to determine their own destiny.” This is presumably why the US poured billions of dollars into assembling proxy forces in the country and hand-picked “Yats”—in the memorable words of US State Department official Victoria Nuland—to succeed Yanukovych.[…]

On the ground, the US is all but running Ukraine through its representatives in Kiev. Announcing Yatsenyuk’s visit on Sunday, Tony Blinken, Obama’s deputy national security adviser, said on NBC’s “Meet the Press” that teams from the Treasury and Justice departments and the FBI were in Kiev working to unravel the “kleptocracy” of Yanukovych’s deposed government.[…] [Teri’s note: Having fairly recently watched in silence as the global economy was looted by a couple of big banks and ensuring that none of the criminals would face charges, I imagine that the US Treasury and Justice departments, along with the FBI – an agency I thought only handled internal US crimes – are certainly the best equipped to recognize kleptocracy when they see it.  Perhaps the Ukrainians will receive greater benefit from their investigations than we did.]

As well as funding the government and running its campaign against its political opponents, the US is expected to whip Ukraine’s army into shape.

On Tuesday Ukraine’s president, Oleksandr Turchynov, declared, “The parliament’s primary task is to ask countries that are guarantors of our security to fulfil their commitments” so that Ukraine could re-forge its armed forces. Turchynov stated that there were presently only 6,000 combat-ready infantry in the army out of a nominal force of 90,000.

The US has already effectively taken operational control of the military activities of Ukraine’s neighbours, launching joint exercises with Poland, Romania, Latvia, Estonia and Lithuania and dispatching Airborne Warning and Control System (AWACS) jets from airbases in Geilenkirchen, Germany and Waddington in Britain. The AWACS flights were recommended by NATO’s top military commander, US Air Force General Philip Breedlove.

On Monday, the chairman of the Joint Chiefs of Staff, Gen. Martin Dempsey, told PBS that Russia’s interference in Ukraine “exposes Eastern Europe to some significant risk.” He did not rule out US military intervention…

http://www.wsws.org/en/articles/2014/03/13/ukra-m13.html

In a funny little “as an aside”, Paul Craig Roberts notes the following:

[…] Having falsely accused Russia of invading Crimea, the Obama regime now demands that Russia interfere in Crimea and prevent the referendum set for next Sunday. Unless Russia uses force to prevent the people of Crimea from exercising their right of self-determination, John Kerry declared that the Obama regime will not discuss the Ukrainian situation with Russia.

So, Kerry has given Russia the green light to send in troops to prevent Crimean self-determination.

The presstitute Western media has not noticed that out of one corner of his mouth Kerry denounces Russia for intervening and out of the other corner of his mouth Kerry demands that Russia intervene in behalf of Washington’s interest and suppress Crimean self-determination. […]

http://www.paulcraigroberts.org/2014/03/12/obama-regimes-hypocrisy-sets-new-world-record-paul-craig-roberts/

Oh, and it turns out we have money to burn.  Not for anyone in the actual United States of America, you understand; we are undergoing austerity due to budget constraints.  No, Congress is working on an aid package (this is beyond the $5 bb we already spent over the past several years in Ukraine doing some “nation building”):

[…] Aid package clears early hurdle

Eight U.S. senators, led by Arizona Republican Sen. John McCain, are scheduled to travel to Ukraine in coming days. [Teri’s note: Ever notice how any time we wreck a country, John McCain is the first one in afterwards to pass out cookies on behalf of American business interests?]

Meanwhile, the Senate Foreign Relations Committee approved a package of loans and aid for Ukraine on Wednesday, along with sanctions against Russia for its military intervention. The measure, which now heads to the full Senate, also includes the approval of long-delayed reforms at the International Monetary Fund.

The aid package includes $1 billion in loan guarantees from the United States as well as $50 million to boost democracy-building in Ukraine and $100 million for enhanced security cooperation for Ukraine and some of its neighbors. [Teri’s note: Wait, didn’t the $5 bb we already spent go for “democracy-building”?  Didn’t that go far enough?  And “enhanced security cooperation” – would that be more money for NATO forces and nuclear armament in the area?  If so, just say it out loud.]

The full Senate will vote on the package after the chamber returns from a recess.

“It always takes time to make good things,” Yatsenyuk said Wednesday night, adding that his country praised the United States for its support. [Teri’s note: You betcha, Yats.  No problem.  Although to be honest, most of the US population is completely unaware that we were being so helpful and supportive.] […]

http://www.cnn.com/2014/03/12/world/europe/ukraine-crisis/

There is a story going around that Ukraine’s gold has been confiscated and flown out of the country.  This is, as I recall, what we did to Libya: we declared that Ghaddafi had illegally hoarded his country’s money, so we seized Libya’s Central Bank funds (worth $30 bb) and there is evidence that we also stole her gold reserves.  I have not heard anything about the cash or the gold being returned to the Libyan people.  Where did the money go?  No doubt John McCain and Bill Clinton know.  But they aren’t telling. The $30 billion belonging to the Libyan Central Bank was earmarked as the Libyan contribution to three key projects: the African Investment Bank in Sirte, Libya (Sirte was bombed to hell and back during the US’ “humanitarian intervention” in Libya), the establishment in 2011 of the African Monetary Fund to be based in Cameroon, and the African Central Bank to be based in Nigeria.

A few weeks ago, evidence was discovered that Saudi Arabia’s gold holdings in London were being stolen by central banks in the West and re-hypothicated without the Arab kingdom’s permission.  However,this confiscation doesn’t appear to be only theft in play as just weeks after the Western led coup helped overthrow the rightfully elected Ukrainian leader, rumors are coming out of Kiev on March 10 that show planes being loaded with what is believed to be Ukrainian gold, and flown back to either the U.S. or London for an unknown purpose. […]

Both the U.S. and London are incredibly short of physical gold, as seen last December when the U.S. was unable to deliver the 42 tons it promised Germany in 2013 to satisfy their seven-year plan of gold reclamation back to its original owner. Additionally, one well documented scandal concerning J.P. Morgan Chase and a potential default stemming from the $100 Billion London Whale bet, led the bank to have to sell their Wall Street headquarters to a Chinese conglomerate because the loss was collateralized by gold they didn’t own.

Motives behind the central bank’s gold confiscation programs in the West, which are in essence the stealing of gold holdings from other sovereign nations, may be due to a another scandal being uncovered by the German agency known as Bafin, which came out in January to declare that gold price manipulation is greater than even the mutli-trillion dollar LIBOR scandal.

“Later, in received call back, one of the senior officials of the former Ministry of Income and Fees, which reported that, according to him, tonight, on the orders of one of the ‘new leaders’ of Ukraine in the United States has been taken all the gold reserves in Ukraine …”  – Zerohedge 

There is a growing trend for the U.S., and it involves covert and overt operations leading to coups and overthrows of sovereign nations with the purpose of stealing that nation’s gold supply. When you add in the validated evidence of Iraqi, Libyan, Saudi Arabian gold being stolen or confiscated after the leaders were overthrown of killed, then today’s rumor that a U.S. transport flew in under the radar and stole the gold holdings of the Ukrainian people is not a conspiracy theory, but a carefully executed chain of events that have been done by America several times in recent years.

http://www.examiner.com/article/rumors-abound-of-gold-theft-by-u-s-from-ukrainian-vaults

I have no idea how reliable the above report is.  But this is about oil and energy supplies, ultimately.  You might have noticed, in my last post, that Chevron was immediately after the coup given a 50-year contract to develop shale oil in Ukraine.

There is much concern over the possibility that Russia will cut off her vital energy supplies to the EU over the Ukraine/Crimea events.  To that end, we see the US and the EU rapidly going all-out to make sure that Russia’s natural gas supplies are replaced.  Some of this involves nonsensical moves, of course, as it would take several years to put any other systems in place and all of it involves instituting major fracking plays and the concomitant destruction of water supplies in the US and Europe in order to achieve the desired ends.   In any case, there are some rapid developments in the past couple of days which indicate that our leaders, here and in the EU, are more than willing to allow toxic chemicals in the water supply and use up our fresh water in an effort to thwart Russia.  We would like to preemptively undermine any moves by the BRIC countries to get off the petro-dollar and stop the emerging Shanghai Co-op, as well.  Fracking may eventually cause so many earthquakes that we will have destroyed our land mass altogether, but since there is no longer any concern over how many people die as a result of the toxins being dumped in our water, etc., we may not need so much land.  In the long run, I mean.  Look, shit happens and then you die.

EU politicians on Wednesday voted for tougher rules on exposing the environmental impact of oil and conventional gas exploration, while excluding shale gas.

Member states such as Britain and Poland are pushing hard for the development of shale gas, seen as one way to lessen dependence on Russian gas, as well as to lower energy costs as it has in the United States.

The plenary vote of the European Parliament in Strasbourg, France follows a compromise deal on the draft law in December, which was struck only after negotiators agreed to leave out references to shale gas. […]

http://www.theguardian.com/environment/2014/mar/12/eu-parliament-shale-gas-environmental-code

 

US gas production is projected to rise 44% by 2040, according to the US Energy Information Administration, and producers have been pressing the Obama administration to expand exports of natural gas. […]

“A senior US official said the State Department was supportive of introducing substantial gas exports abroad as a move to counteract Russia’s influence. Carlos Pascual, a former American ambassador to Ukraine, who leads the State Department’s Bureau of Energy Resources, told the New York Times that opening global markets to US exports ‘sends a clear signal that the global gas market is changing, that there is the prospect of much greater supply coming from other parts of the world’.”

The EIA is an organization of overpaid cheerleaders that haven’t had one prediction right in forever and a day. It’s perhaps because they have no track record to defend that they issue such double or nothing claims; it’s hardly interesting anymore. That claim that US gas production will be 44% more in 26 years than it is today is simply bonkers, and not supported by anything other than industry interests, loud as they may be. […]

[T]he early big American shale gas plays (Barnett in Texas, Haynesville in Louisiana, Fayettville in Arkansas) are already winding down after just ten years of production[…]

“Even the idea that we will have enough natural gas for our own needs in the USA beyond the short term ought to be viewed with skepticism. What happens, for instance, when we finally realize that it costs more to frack it out of the ground than people can pay for it? I’ll tell you exactly what will happen: the gas will remain underground bound up in its “tight rock,” possibly forever, and a lot of Americans will freeze to death. […]

http://www.theautomaticearth.com/debt-rattle-mar-9-2014-big-oil-and-gas-wars/

 

BP won the right to again compete for U.S. contracts and new leases in the Gulf of Mexico, where its massive 2010 oil spill prompted regulators to bar it from new government business.

The agreement with the Environmental Protection Agency will allow BP, which had been the Pentagon’s biggest fuel supplier, to seek lucrative federal contracts again and bid for oil exploration leases. Next week, a U.S. auction is set for the right to drill in the Gulf, where the London-based company is the second-largest producer.

The end of the suspension is a milestone in BP’s recovery from the worst U.S. offshore oil spill, which forced it to sell about $38 billion in assets to meet the costs of cleaning up pollution and compensating victims. A judge in New Orleans is considering BP’s degree of responsibility for the disaster and the scale of fines to impose under the Clean Water Act.[…]

The U.S. Bureau of Ocean Energy Management, part of the Interior Department, on March 19 plans to auction leases covering more than 40 million acres on the Gulf for oil and gas exploration.[…]

The company’s 45-page administrative agreement with the EPA announced yesterday will last five years. […]

http://www.bloomberg.com/news/2014-03-13/u-s-lifts-bp-s-ban-on-contracting-imposed-after-spill.html

On BP, also see: http://www.commondreams.org/headline/2014/03/15  One might speculate that BP so suddenly winning its rights to bid for further ruination of the Gulf of Mexico has something to do with the US trying to persuade the UK to support sanctions on Russia.  The following approval also happened within the past week:

WASHINGTON—The Interior Department endorsed seismic testing in Atlantic waters on Thursday, a first step toward allowing oil and gas drilling from Delaware Bay to Florida’s Cape Canaveral.

In its long-awaited environmental impact statement on what’s known as seismic air gun testing, Interior’s Bureau of Ocean Energy Management said it would demand that the oil and gas companies exploring in the Outer Continental Shelf meet tough environmental standards to protect marine life from the underwater seismic blasts.

Environmental groups oppose the use of the controversial geological survey technology, contending that the seismic blasts pose a significant risk to whales, dolphins, fish and sea turtles. Seismic surveys are used to locate oil and gas deposits below the ocean floor. The guns, towed by ships, shoot compacted air to the bottom of the ocean, creating sound waves that reflect geological formations. […]

The Natural Resources Defense Council called the environmental report “a capitulation to the forces of drill-baby-drill.” […]

Oil and gas industry contractors have already submitted nine applications to do seismic surveys covering hundreds of thousands of miles, according to the Interior Department. […]

The area, particularly off the coasts of Virginia and the Carolinas, are estimated to hold some 3.3 million barrels of oil and 3.1 trillion cubic feet of natural gas, though the calculations were based on outdated technology, an Interior official said.

http://online.wsj.com/news/articles/SB10001424052702304071004579409621926543690

See also this on the Cove Point [Baltimore] terminal:

http://www.commondreams.org/headline/2014/02/21-3

While we race around the world, sacking countries and violating international law over energy supplies (and seeking hegemony over the entire globe, PNAC-style), I have to wonder who is running this show.  The CIA?  The Council on Foreign Relations?  The oligarchs in the US?  (Yes, we have them, too.  Frankly, they own the place.)  The Pentagon?  They have the money, that’s for sure.  An article by Winslow Wheeler points this out: “Pentagon costs, taken together with other known national security expenses for 2015, will exceed $1 Trillion.  How can that be?  The trade press is full of statements about the Pentagon’s $495.6 billion budget and how low that is.”  He offers a great chart to explain his numbers; see:

http://www.counterpunch.org/2014/03/14/americas-1-trillion-national-security-budget/

What are we becoming?  A nation of looters and thugs?  We have a President who claims the right to kill us if some secret panel decides we are “terrorists”.  He claims the right to kill any person in the world.  The CIA angrily avers that it doesn’t have to answer to Congress and the president backs the CIA.  We spy on everyone and seek to control every living thing on the planet.  Who the fuck are we?  Maybe the answer is that we are simply a dying empire, angrily lashing out in our death throes.  See: Roman Empire; decline of.

Many articles I have read in the past couple of weeks have offered excuse after excuse for poor Obama in regards to Ukraine.  It’s the neocons he allowed into high places, his cabinet of “adversaries”; they have him in a rope-a-dope; he wants to do the right thing and work with Putin and only needs to come out and tell the public that.  Or it’s the fault of the weak liberals he listens to; he needs to toughen up.  Blah, blah, blah.  But the truth is that we, as a nation, seem to have accepted the reemergence of the neocon point of view with some equanimity.  We are not, on the whole, a nation that espouses especially “liberal” viewpoints any more.  We are already turning on our weakest numbers with extreme prejudice.  Hillary Clinton is considered the “natural” Democratic contender to follow Obama in 2016, as though there would be anything natural in establishing a de facto monarchy in the US.  As though either Hillary or Barack represented traditional Democratic values in the first place.  This would be Hillary we-came-we-saw-he-died, Hillary who giggles at the thought of invading Iran, Hillary who is a neocon through and through.  We seem to be moving willingly, spinelessly, in the direction that the Bush and Obama administrations and the military industrial complex, along with the media, have pushed us.  Sadly, the feeling I get is not that the public is weary of war so much as tired of losing the ones we start.

I think that this is how we are seen by more and more of the world: we are the neighbors who demand what we want, never replace what we destroy, and then threaten everyone who objects to the arrangement.  Sadly, we deserve this assessment.

UPDATE:

“About 93 percent of voters in the Crimean referendum have answered ‘yes’ to the autonomous republic joining Russia and only 7 percent of the vote participants want the region to remain part of Ukraine, according to first exit polls. […]”

http://rt.com/news/crimea-vote-join-russia-210/

UPDATE 2:

The exit polls were very accurate.  Crimea overwhelmingly voted to rejoin Russia, with 80% of the population voting.

Immediately upon hearing the results this morning, Obama issued a new executive order sanctioning specific individuals in the Russian government, along with several people in Ukraine; most notably the former president of Ukraine, Viktor Yanukovych.  The EU followed suit right away.  I am not sure what anyone gains by these maneuvers, which merely serve to escalate the situation.  The Crimean voters went to their polling places and voted to secede from Ukraine.  There were some international observers to witness the vote (despite what you may read in the American MSM), and there did not seem to be any problems or signs of intimidation.  They decided to take their chances with the oligarchic system in Russia rather than facing the IMF austerity measures being demanded of Ukraine under the new neo-Nazi regime imposed there.  Ironically, the White House said it is targeting “those responsible for the deteriorating situation in Ukraine” in these new sanctions, although it was distinctly the US that created the situation in the first place.  In another strange piece of rhetoric, the EU and US are calling on Russia to de-escalate the situation.

It remains to be seen what Putin’s response will be, although I would think that imposing more and more sanctions against Russia, given the oil and trading she supplies to the EU and the fact that Russia may well take economic measures of its own in retaliation, would make the EU and US think twice about using such threatening postures.   Let’s not forget that it would be easy enough for some of the Asian countries to join Russia in going off the dollar, and that Russia (despite its bad economy) holds a big stack of US Treasuries.  I will mention in passing, as well, that Russia has nukes.  Let’s hope Putin is willing to be a tad more diplomatic than the US is.

In any case, below is an article summarizing the sanctions.  You may want to read the executive order and the press office fact sheet for yourself, as well as the letter Obama sent to Congress explaining them.

Executive Order — Blocking Property of Additional Persons Contributing to the Situation in Ukraine:

http://www.whitehouse.gov/the-press-office/2014/03/17/executive-order-blocking-property-additional-persons-contributing-situat

WH Press Office fact sheet on EO:

http://www.whitehouse.gov/the-press-office/2014/03/17/fact-sheet-ukraine-related-sanctions

 Letter to Congress:

WASHINGTON –  The White House has announced new sanctions against seven Russian officials in retaliation for Ukraine’s Crimea region voting to join Russia, as the European Union announced similar penalties. 

While stopping short of singling out Russian President Vladimir Putin himself, President Obama sanctioned several members of Putin’s inner circle. The White House also announced sanctions against separatist leaders in Crimea and former president of Ukraine Viktor Yanukovych. 

“We have fashioned these sanctions to impose costs on named individuals who wield influence in the Russian government and those responsible for the deteriorating situation in Ukraine,” the White House said in a statement. “We stand ready to use these authorities in a direct and targeted fashion as events warrant.” 

The expanded U.S. sanctions, announced in an executive order, would target the assets of the listed Russian officials and bar them from entering the U.S. These include Putin aides Vladislav Surkov and Sergey Glazyev.

It’s unclear what other steps the U.S. might take in the coming days, as western leaders try to prevent Moscow from attempting to formally annex Crimea. Obama told Putin on Sunday that the vote “would never be recognized” by the United States, as he and other top U.S. officials warned Moscow against making further military moves toward southern and eastern Ukraine.

Meanwhile, European Union foreign ministers slapped travel bans and asset freezes Monday on 21 people from Russia and Crimea who they linked to the push for the secession of Ukraine’s strategic Black Sea peninsula. 

The sanctions came hours after Crimea’s parliament declared the region an independent state, following its residents’ overwhelming vote Sunday to break away from Ukraine and seek to join Russia.

The ministers meeting in Brussels did not immediately release the names of those targeted by the sanctions. [Teri’s note: Obama’s new EO does name names.]

Two diplomats said the sanctions targeted 13 Russians and eight people from Crimea. The diplomats spoke on condition of anonymity because the breakdown of the nationalities had not been officially announced.

The 28-nation EU and the United States say Sunday’s Crimean referendum was illegitimate and unconstitutional. 

The EU is walking a tightrope between punishing Moscow and keeping open lines of communication with Russia for a diplomatic resolution of one of the worst geopolitical crises in years on its eastern doorstep.

Before Monday’s meeting in Brussels, German Foreign Minister Frank-Walter Steinmeier said sanctions must leave “ways and possibilities open to prevent a further escalation that could lead to the division of Europe.”

The EU has already suspended talks with Russia on a wide-ranging economic pact and a visa agreement. The bloc’s leaders are meeting Thursday and Friday and could start slapping economic sanctions on Russia this weekend if Moscow does not back down. 

Western allies are calling on Putin to “de-escalate” the crisis, support Ukrainian plans for political reform, return Russian troops in Crimea to their barracks and halt advances into Ukraine and military buildups along its borders.

Ukraine’s new government in Kiev called Sunday’s referendum a “circus” directed at gunpoint by Moscow. Putin, however, insisted it was conducted in “full accordance with international law and the U.N. charter” and cited Kosovo’s independence from Serbia as its precedent.

The Associated Press contributed to this report.

http://www.foxnews.com/politics/2014/03/17/visa-bans-asset-freezes-among-possible-sanctions-against-russia/

 

 

The amazing invisible, jobless, benefits-less, low-wage, government assistance-less "recovery".

I dislike posting an article which is mostly quotes from elsewhere, but as the man in the movie said, I have much to do and less time to do it in.  (I think that was said by Cary Elwes in “Robin Hood, Men in Tights”.)

At the beginning of January, the talk was all about whether or not Congress would extend long-term unemployment benefits, which had expired on 31 Dec.

3 Jan., ’14

Congress went home for Christmas without extending long-term unemployment insurance, leaving 1.3 million people in the lurch. The damage, however, extends far past these unemployed Americans. State economies lost $400 million in one week thanks to Congressional inaction on unemployment benefits, according to a new report from the Democrats on the House Ways and Means Committee. […]

California lost about $65 million this week. Illinois, Florida, New York, and New Jersey also took eight-figure hits. Texas, which lost nearly $22 million, can thank its senior senator, John Cornyn (R-TX), for blocking a vote to extend benefits twice.

The long-term unemployed already struggle more than others to get back to work, as research suggests prospective employers won’t even look at resumes of people who have been unemployed for more than six months. Even after managing to get hired, the period of unemployment will suppress their earnings for the rest of their lives, as well as hurt their chances at future homeownership.

If unemployment benefits are not restored, the Congressional Budget Office estimates a loss of about 200,000 jobs this year due to reduced consumer spending.

http://thinkprogress.org/economy/2014/01/03/3117251/unemployment-benefits-expire-state-economies-400-million-loss/

Congress brought the issue up for a vote yesterday and sure enough, once again  failed to extend unemployment benefits for the long-term unemployed.  This was despite the Democrats offering to have everyone in the U.S. form a line and then let the Republicans shoot each fifth person.  Or whatever the hell the Democrat’s concessions were this time around.

The US Senate failed to move forward with a three-month extension of federal unemployment benefits yesterday, leaving 1.7 million long-term unemployed workers without any cash assistance.[…]

Including family members, some 5 million people have been affected already by the December 28 expiration of extended benefits, a number that is growing by close to 1 million every month. […]

The two parties are engaged in behind-the-scenes negotiations over the jobless benefits, including discussions over other social cuts to pay for them and the introduction of changes that will further restrict access. Both parties are carrying out a strategy to use the unemployment crisis to blackmail workers into accepting poverty-level wages.

The proposal that failed in the Senate Thursday would have paid for the estimated $6 billion cost by reducing the amount of money corporations are required to pay into pension plans. This would have the effect of boosting corporate profits and increasing taxable income. The end result would be to short-change corporate pension funds, which would be used to justify pension benefit cuts in future years. This procedure is euphemistically called “pension smoothing.”

After initially putting on a show of opposing the Republican demand that any extension of jobless benefits be paid for elsewhere, the Democrats are now fully committed to balancing an increase in social spending with equal cuts targeting the working class elsewhere.  […]

Any extension will likely include further restrictions in eligibility and a reduction in the duration of benefits for those who qualify.

Also being discussed behind the scenes are proposals to “reform” the unemployment benefit system. In his State of the Union address last month, President Obama referred in passing to the need for “reforming unemployment insurance so that it’s more effective in today’s economy,” without indicating what reforms he was talking about. Various measures are being discussed, including stricter rules to force workers to accept low-paying jobs.

http://www.wsws.org/en/articles/2014/02/07/unem-f07.html

When people say that the jobless need to just go find a job, I would ask, “Where are these imaginary ‘opportunities’ available for the unemployed you speak of?” And by the way, these lay-offs are taking place to boost profits, which are already at all-time highs for the corporate sector.  These companies are making money; they just want to make more money.  Idiotically, the CEOs  don’t seem to be able to figure out that if the population has fewer jobs there will be less money being spent at their stores.

20 Jan., ’14

[…] JC Penney, the department store retailer that operates 1,107 stores across the United States, will eliminate 2,000 jobs and shut down 33 stores between now and May. Additionally the company will move 3,000 workers off a salary system and onto a commission pay system. […]

Penney, however, is just one of many retailers whose sales have been affected by the sharp fall in income and living standards for the majority of Americans. Best Buy, for instance, experienced a 2.6 percent drop in sales in the 2013 holiday season, the period defined by economists as the nine weeks between early November and early January. In this same period Sears experienced a 9.2 percent decline and Kmart a 5.7 percent fall from the previous year. In total, 2013 Thanksgiving weekend sales dropped relative to the year previous for retailers. This was the first time this has happened in seven years.

JC Penney is not alone in its cuts. Just the week before, Macy’s announced that it would be laying off 2,500 workers. Moody’s Investment Services actually suggests that, even though the company has been struggling, Penney might actually have had better sales than many of its competitors. […]

In 2008, 28.2 million people in the US received food stamps. At the beginning of 2013, 47.7 million people received food stamps, an increase of 70 percent. At the same time, there have been major cuts to the food stamps, pushing a sixth of the nation’s population deeper into poverty.

Meanwhile, Intel has announced a “trim” to its 107,600-strong workforce. By the end of the year it aims to rid itself of 5 percent of its workforce, or 5,380 workers. The company says that it does not plan to lay off people directly, instead relying on attrition and other methods. According to CNN, Intel’s spokesman “said the cuts will come as a result of people retiring, redeployments, or people leaving voluntarily.” That being said, Intel has put aside $200 million for restructuring charges, “a portion of which,” the Financial Post claims, “could be earmarked for severance pay.” […]

Intel’s 5 percent workforce reduction comes on top of a factory closure last September in Massachusetts, which led to the layoff of 700 workers. Additionally, Hewlett-Packard Company, another tech giant, will eliminate 34,000 jobs over the course of 2014, 11 percent of its workforce.

Outside of tech manufacturing, call center operator Teleperformance USA announced that it will lay off the entirety of its Ann Arbor, Michigan workforce, 430 employees. Additionally, this past week Citibank announced it would cut 650 positions in Maryland, and Flagstar Bancorp Inc. said it would lay off 600 workers. http://www.wsws.org/en/articles/2014/01/20/cuts-j20.html

 

Wal-Mart Stores Inc. said it is eliminating 2,300 workers at its Sam’s Club division as it reduces the ranks of middle managers in a bid to be more nimble.

The layoffs, which cut 2 per cent of the membership club’s US employee count of about 116,000, mark the largest since 2010 when the Sam’s Club unit laid off 10,000 workers as it moved to outsource food demonstrations at its stores.

The cuts come as Sam’s Club strives to compete better with Costco Wholesale Corp. and online players like Amazon.com’s Prime membership service.

They also follow layoffs announced by several other major retailers in recent weeks that include Macy’s Inc., J.C. Penney and Target Corp.

Bill Durling, a spokesman at Sam’s Club, says that a little less than half of the cuts were aimed at salaried assistant managers.

The cuts are also eliminating some hourly workers. He says that each of the clubs had roughly the same number of workers regardless of how much revenue each store generated. […]

For the year ended January 31, 2013, Sam’s Club generated revenue of $56.4 billion or 12 per cent of Wal-Mart’s net sales of $466.1 billion.

http://m.thehindubusinessline.com/news/international/walmarts-sams-club-to-lay-off-2300-workers/article5620184.ece/

Big profits.  Fewer employees, so even bigger profits.  It only works until it doesn’t any more.   Companies consider this a “win/win” for themselves, the phrase “win/win” having changed its meaning over the years.   “Win/win” used to mean that both sides in an arbitration got something they wanted; i.e., both sides “win” something.  Now it means that one side won everything.   How many regular working stiffs had to lose/lose so these companies could win/win?  I mean, seriously, net/net, think about people losing/losing their only source of income and hopes for future employment so that the already absurdly wealthy CEOs and non-tax-paying corporations could increase their profits/profits.

WASHINGTON (MarketWatch) — Private-sector employers started 2014 with slower hiring, missing analysts’ expectations, with unseasonably harsh weather cutting job gains, according to data released Wednesday morning.

Last month the private sector added 175,000 jobs — the lowest result in five months — down from 227,000 in December, Automatic Data Processing Inc. reported. However, longer-term trends show some improvement: over the three months through January, private-sector employment rose by an average of 230,000 jobs per month, slightly up from 220,000 a year earlier.

“Underlying job growth, abstracting from the weather, remains sturdy,” said Mark Zandi, chief economist of Moody’s Analytics, which prepares the report with ADP data. “Gains are broad based across industries and company sizes, the biggest exception being manufacturing, which shed jobs, but that is not expected to continue.” […]

Strengthening employment is key to broader economic growth, including a continued rebound in the housing market. [Teri’s note: the “rebounding housing market” is a complete fiction.  The rebound is entirely driven by speculators investing in homes being converted to rental units, at rents that are, in many cases, higher than a mortgage would be.  This is a bubble that is going to burst pretty soon.  The “experts” will be at a loss as to how to explain it.  It will be “totally unforeseen”.]  Although nonfarm employment finished 2013 on a weak note, annual employment gains were steady, with the economy adding 2.19 million nonfarm jobs last year, just about matching 2012’s result, and slightly up from 2011. Despite those gains, the economy has almost 1.2 million fewer jobs than when the recession began at the end of 2007.

Looking at details of ADP’s private-employment report, small businesses added 75,000 jobs in January, medium businesses added 66,000 and large businesses added 34,000. By sector, service providers added 160,000 jobs, while goods producers added 16,000.

http://www.marketwatch.com/story/private-sector-starts-2014-with-slower-hiring-2014-02-05?link=MW_latest_news

Look at that final paragraph again:

“Looking at details of ADP’s private-employment report, small businesses added 75,000 jobs in January, medium businesses added 66,000 and large businesses added 34,000. By sector, service providers added 160,000 jobs, while goods producers added 16,000. 

In other words, the jobs creators, you know, the big businesses who get all the subsidies and tax breaks because they need those incentives to provide jobs, only added half as many jobs as the Mom and Pop businesses.  Oh, and all these new jobs are in the services sector.  Janitorial, waitressing, hotel cleaning, and designing web sites to sell some homemade crafts or some such shit.  The big banks, on the other hand, who live on the largesse of the continuing trillions being poured in via the Fed QE4evah and other bailout programs, are slashing jobs right and left.  The big corporations are likewise cutting jobs each quarter.

This will come as no surprise to anyone who works at a bank, but here it is: Banks are still laying people off. A lot of people, actually.

Financial companies announced nearly 61,000 job cuts in 2013, up from 41,000 in 2012, according to a report released Thursday by the consulting firm Challenger, Gray & Christmas Inc. That was more than any other sector, accounting for 12% of all announced job cuts. […]

Banks like J.P. Morgan Chase & Co. and Bank of America Corp. have been cutting jobs because they no longer need all the extra workers they hired to deal with foreclosures and troubled mortgages — which might be good news for society, but not for the employees getting pink slips. Banks are also cutting traditional mortgage jobs, as higher interest rates scare away some potential homebuyers. Morgan Stanley last year got rid of (expensive) senior managers, in a bid to raise its return on equity. […]

Going by third-quarter numbers, Bank of America, Citigroup Inc., J.P. Morgan and Morgan Stanley cut a combined 40,000-plus jobs compared to a year ago, or nearly 5% of combined workforces. The bulk was from Bank of America, which cut nearly 25,000 jobs, or 9% of its roster.

Even Wells Fargo & Co., which added jobs year-over-year in the third quarter, won’t keep adding forever. The bank has recently announced that it will cut thousands of mortgage jobs.

http://blogs.marketwatch.com/thetell/2014/01/09/help-not-wanted-banks-continue-to-cut-jobs/

J.P. Morgan Chase & Co. stepped up the pace of bank cost cutting, setting plans to eliminate 17,000 jobs by the end of next year and reduce expenses by at least $1 billion annually.

The move announced Tuesday by the New York company, the nation’s most profitable bank in 2012 and the biggest U.S. lender by assets, will reduce its staff by 6.5% in one of the most aggressive reductions to date amid widespread financial-industry cutbacks. […]

For 2012, J.P. Morgan reported net income of $21.3 billion, up 12% from a year ago and a company record. […]

J.P. Morgan said it would reduce its global staff by a net 4,000 jobs this year and 13,000 next, primarily in the consumer bank and the unit that handles home loans. The majority of J.P. Morgan’s cuts in 2013 and 2014 will come from its 45,000-person mortgage group. […]  [Teri’s note: how’s that rebound in home sales going again?]

http://online.wsj.com/news/articles/SB10001424127887324338604578327983190210680

[…]  More than one in six men ages 25 to 54, prime working years, don’t have jobs—a total of 10.4 million. Some are looking for jobs; many aren’t. Some had jobs that went overseas or were lost to technology. Some refuse to uproot for work because they are tied down by family needs or tethered to homes worth less than the mortgage. Some rely on government benefits. Others depend on working spouses….

The trend has been building for decades, according to government data. In the early 1970s, just 6% of American men ages 25 to 54 were without jobs. By late 2007, it was 13%. In 2009, during the worst of the recession, nearly 20% didn’t have jobs.

Although the economy is improving and the unemployment rate is falling, 17% of working-age men weren’t working in December. More than two-thirds said they weren’t looking for work, so the government doesn’t label them unemployed….

Economists who had expected the fraction of men working or at least looking for work to be approaching prerecession levels by now are dumbfounded. “It’s looking worse and worse,” said Johns Hopkins University’s Robert Moffett, who has researched the subject. “It’s unexpected.” […]

http://www.nakedcapitalism.com/2014/02/1-6-men-prime-working-years-dont-job.html

Mass layoffs hit North America, Europe and Japan

Deep-going job cuts are hitting the manufacturing, pharmaceutical, technology and retail sectors across North America, Europe and Japan.

Despite stagnant revenues, reflecting sluggish economic growth, companies are reporting booming profits. These profit gains are almost entirely due to a relentless assault on jobs, wages and working conditions being carried out by the ruling class.

The layoff of tens of thousands of workers comes amid news of unprecedented compensation packages for the heads of major US corporations. It is combined with ruthless austerity measures in the US and across Europe. As the chasm between rich and poor continues to grow, social programs and benefits upon which millions rely are being gutted.

  • Weatherford International plans to cut its global workforce by 7,000 by mid-2014. The oilfield services company, which currently employs more than 65,000 people, hopes to generate annual cost savings of $500 million with the job cuts.
  • Vehicle maker Volvo announced Thursday that it will lay off 4,400 employees in 2014, including a previously announced reduction of 2,000 jobs. CEO Olof Persson said the layoffs would affect workers worldwide.
  • Chemical maker Ashland Inc. will cut up to 1,000 jobs as part of a restructuring program being carried out under pressure from investors to boost “shareholder value,” i.e., share prices. With revenue remaining flat at $1.9 billion for the quarter ended December 31, Ashland aims to save $150 million to $200 million annually from the restructuring.
  • Swiss drug maker Novartis plans to eliminate or transfer up to 4,000 jobs. The plan will affect up to 6 percent of the company’s workforce and is part of a larger plan to cut costs, including the closure of production sites. Pharmaceuticals are under increasing pressure from investors to restructure in response to expiring drug patents and government efforts to cut health care costs.
  • British-Swedish multinational drug maker AstraZeneca has increased its job-cutting toll to 5,600, raising by 550 last year’s announced layoff of 5,050. The company expects the job cuts, to be completed by 2016, to bring annual savings of $2.5 billion.
  • Japanese tech giant Sony confirmed that it will sell its struggling PC unit to investment firm Japan Industrial Partners and cut some 5,000 jobs in its TV, PC, marketing and other departments.
  • A mass layoff program began this week at Dell Inc., the multinational computer technology company, with over 15,000 people expected to lose their jobs. A source speaking to the Register described the impending job cuts as “a bloodbath.”
  • US tech companies have also announced layoffs. Massachusetts-based EMC Corp. has approved a restructuring plan that will result in layoffs “similar in size” to job cuts of more than 1,000 last year.
  • Several hundred people will be laid off as early as this week at Disney’s Interactive group. The job cuts will come mostly from Disney’s Playdom unit, which produces games for social media platforms.
  • Time Inc., publishers of People, Time, Sports Illustrated and In Style, began job cuts on Tuesday expected to number about 500.
  • North American manufacturers are shedding workers as companies close plants and make across-the-board cuts. Five hundred workers will lose their jobs beginning next week as International Paper shuts down the remaining two paper machines at its plant in Courtland, Alabama and winds down production at the facility.
  • GenCorp announced Tuesday it is eliminating 225 jobs nationwide as it seeks to “eliminate redundancies and achieve efficiencies” following its $550 million acquisition of Pratt & Whitney Rocketdyne.
  • Pittsburgh-based US Steel is laying off nearly a quarter of the non-unionized workforce at its operations in Nanticoke and Hamilton, Ontario—about 175 workers. The steelmaker’s operations in Hamilton, which once employed 15,000, will be trimmed to around 820 workers.
  • Michigan-based Kellogg Co. said Tuesday it will close its Charlotte, North Carolina snack factory by the end of 2014 at a cost of 195 jobs.
  • Retailers in the US and Canada announced major layoffs along with store closures. RadioShack will close 500 of its 4,300 stores.
  • Best Buy in Canada is laying off 950 workers at stores in British Columbia, Quebec, Manitoba, Alberta and Ontario.
  • Sears Canada announced layoffs Wednesday for the second time this month, eliminating 634 jobs. Two weeks ago, the company said 1,600 positions would go as it moved ahead with plans to close its Canadian call centers and reduce warehouse staff.
  •  United Airlines said last Saturday it would drop its hub in Cleveland, slashing many of its daily flights and eliminating 470 jobs. The hub formerly served Continental Airlines, which merged with United in 2010.Even as they continue to attack jobs and wages, the corporations, with the full backing of the Obama administration and governments worldwide, are sitting on massive cash reserves.  US corporations are estimated to be holding a cash hoard of 1.5 trillion.Instead of using this money for productive investment and an expansion of employment, the corporate-financial elite is using it to finance speculative operations and stock buyback programs that drive up share prices and further enrich corporate CEOs and big investors—at the expense of the living standards of billions of people around the world.
  • http://www.wsws.org/en/articles/2014/02/07/jobs-f07.html

No job.  No unemployment benefits.  And no food stamps.

7 February 2014

Today, President Obama will sign a bill to cut $8.7 billion from the Supplemental Nutrition Assistance Program (SNAP), also known as food stamps, slashing almost $100 per month in benefits for nearly a million households. […]

It is the second cut in three months to a program that provides minimal assistance for the most vulnerable sections of society. The lie that there is simply no money for basic social programs is repeated even as new reports document the unprecedented rise in the wealth of the financial elite.

The cuts in food stamps are part of a broader attack on social programs.

They follow the expiration of extended jobless benefits for 1.3 million long-term unemployed workers in the US. The percentage of long-term unemployed receiving cash benefits has fallen from two-thirds in 2010 to one-third today. The new bipartisan budget keeps in place $1 trillion in across-the-board “sequester” cuts over the next decade. The Obama administration has reduced domestic discretionary spending as a percentage of the gross domestic product to its lowest level since the 1950s. […]

In the 1980s, 60 percent of full-time private-sector workers age 25 to 64 in the US had a defined-benefit retirement plan. Now, that number has dropped to about 10 percent.

[…]http://www.wsws.org/en/articles/2014/02/07/pers-f07.html

If you have a job, fewer benefits.  Blame it on Obamacare.  Although one might notice that the CEO of AOL seems to be offering an odd and fraudulent choice here, considering that 2013 was their most profitable in a decade:  increases in the employees’ share of health insurance costs, or losing some of their 401k benefits.

AOL became the latest company to blame Obamacare for cutting back on employee benefits.

The tech firm will now pay its 401(k) company match only to employees who are active on Dec. 31 of that year, as opposed to in their paychecks throughout the year. So those who leave the company before the end of the year will forfeit the match.

AOL CEO Tim Armstrong blamed $7.1 million in additional Obamacare costs the company is facing this year. Had the company not made the change in its 401(k) payments, employees would have seen their health insurance costs increase, he told CNN Thursday.

Armstrong did not provide a lot of specifics about what aspects of Obamacare were pushing up the company’s health care costs, but said it was one factor affecting the 401(k) restructuring.

“The Obamacare Act and some of the changes that happened there had increases in our health care costs,” Armstrong told CNN. “We had to make a choice whether we pass those on or whether we took other benefits and reduce them.”

Some employees will still see their premiums rise, depending on the plan they picked, though AOL “ate a huge piece of the increase.”

The news came on a day when AOL announced 2013 was “its most successful year in the last decade,” reporting revenues of $2.3 billion.

AOL’s move makes it the latest in a string of companies to change their benefits because of Obamacare. A few weeks ago, Target  said it will stop offering health insurance to part-timers and instead help them buy coverage on the state and federal exchanges. Last year, United Parcel Service  and University of Virginia said they are dropping coverage for employees’ spouses that have access to benefits elsewhere because of Obamacare. […]

http://money.cnn.com/2014/02/06/news/economy/aol-obamacare/index.html?iid=HP_LN&hpt=hp_t3

 
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Posted by on February 7, 2014 in Congress, economy, Wall St and banks