Globalization and Democracy

August 27, 2019

Amy Chua wrote World on Fire two decades ago, arguing that globalism and democracy would collide by bringing out ethnic and religious resentments around the globe. She identified animosities country by country that would explode when times got tough.

Many of us connected economic and democratic health. In hard times people look for scapegoats and blame each other. I’ve gotten jobs from and lost them to people of other races and genders. That’s normal and goes both ways but I did fine and don’t need to blame anyone. Many who don’t feel as well are looking for reasons.

Chua’s analysis isn’t destiny. Unions in Hawaii realized workers would do better if they were united. Hawaii developed a lovely multi-cultural society as a result. But Yugoslavia came apart in rough times. I fear the European Union and the United States can come apart if we engage in an orgy of blame.

Franklin Roosevelt focused on creating jobs in the 1930s and World War II finally pulled us out of the Great Depression. John Maynard Keynes explained that, when an economy is in the doldrums, spending and investment, by government, industry or consumers, pulls the economy out most effectively. Democrats have worked with his ideas ever since and the overall, national, economy has done well with Democrats in power, particularly when Democrats had a strong labor union base focused on workers.

But capitalism is built on creative destruction. Miners’ desires notwithstanding, other industries have been replacing coal for most of the twentieth century because coal dust and soot blanketed cities, killed plants and got into people’s lungs. The process accelerated recently as more sources of heat and power became available. It’s a benefit that capitalism allows shifts like that but also a problem that capitalism makes workers pay the greatest price for such change. Macroeconomic, Keynesian thinking helps but it doesn’t solve the harms to specific groups of workers who’ve lost out through no fault of their own. More is needed.

Republicans view the economy differently, particularly since Ronald Reagan became President, focusing on supply side economics which stresses putting more resources in the hands of companies, entrepreneurs or so-called job creators. Unfortunately, supply side economics leads Republicans to ignore what business does with money, hoping that enough will be used to create jobs at home. But business also uses their money to outsource to foreign countries, buy stock back, build monopolies and the like, which don’t help American workers. Business helps American workers when they find demand for what American workers produce. That’s not automatic.

So supply side economics leads Republicans away from strategies that would actually help workers and aggravates hard economic times that tend to push workers to fight among themselves for the available jobs. Under most conditions, supply-side economics is a smokescreen for policies that make things worse. Staying away from anything related to supply-side economics is much better for workers, brotherhood and labor unity. But the alternative Keynesian economics isn’t enough.  There is a gap with respect to finding work for areas which have lost their main industries.

To save our democracy, it’s crucial to get across what actually will help American workers and what won’t. That’s why the argument over government projects, like rebuilding infrastructure, is so important.

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Why Its Values Made America Great & the alt-Wrong Would Impoverish It

March 25, 2019

Last week I spoke about Trump’s other threats to American principles, unity, democracy and world power. This week I’d like to address why they matter.

Equality is a central American value, enshrined in the Declaration of Independence and throughout the Constitution. Racial, religious and ethnic discrimination are at the heart of Trump’s attacks on refugees from Islamic countries, the so-called caravan from Central America, Puerto Ricans after the hurricane, and kudos to his alt-wrong loyalists after deadly attacks. But discrimination is extremely costly to all of us, not just to the victims. It denies us the best available people for jobs and wastes our efforts in unproductive battles with each other. Lincoln told us that “a house divided cannot stand.” Economists describe such battles as deadweight loss – deadweight because they add nothing to national welfare, income or resources; loss because the battle is expensive in time, money, and lives. The Civil War was an extreme example, killing and maiming a large proportion of American men. Economists add opportunity costs – all the time, money and lives that could have been put to productive and useful purposes. In effect by dividing us and dividing our politics on unproductive issues, the alt-wrong is beggaring America, making it poor again.

Democracy is also central to American values, enshrined in our founding documents. But Trump tries to shred the freedom of the press to criticize elected leaders, principally him. He tries to dismantle the obligation of office-holders to obey the law. And he tries to dismantle democratic processes to solve issues by verbal discussion, not guns, what he has called “Second Amendment rights.” His misbehavior proves that democracy makes mistakes. But democracy invites America to focus on the general welfare, not the welfare of the “dear leader” as Kim is described in Korea or his American friend here. Sure, there is plenty of corruption which our emoluments clause would have reduced had the Republican leadership paid more attention to our Constitution. But the Constitution provides the means to kick the bastards out, encourages competitors to try and parties to appeal to the great bulk of us, not just the rich and famous. Democracy could do better if more Americans took the principles of democracy seriously, including fair elections with universal adult suffrage and honest campaigning. Democracy is the scaffold; we get its benefits only if we cling to it.

American values of equality and respect have had a unique power in this world, allowing people across this globe to see the value of our principles to them, as respected members of the world that America tried to create. Chris Giannou said on Alternative Radio that people in much of the globe “love you for your values. They hate you for your hypocrisy, because you do not live up to your values.” Our values galvanized a unified free world. They underlay all the institutions the free world created to keep us united and working together. We still talk freely about working together in the context of sports. But Trump and his alt-wrong see no value in unity and working together and despise it in politics and world affairs. They waste their energy and ours in destroying the ways this country spread its influence across the world and led the world in the protection of freedom and democracy.

So yes, America can be torn apart. But what awaits is the whirlwind, the war of all against all, in which none of us is safe. All the blessings of unity, democracy and world power are at stake.

—  This commentary is scheduled for broadcast on WAMC Northeast Report, March 26, 2019. For comments on the Mueller report that I included on air, see the next post.


Environmental Change and The Campaign Season

March 5, 2019

I’d like to start this campaign season by stating one of my primary objectives. Climate change is the rare major problem that has been warning us so that we could have had plenty of time to deal with it. Now in a film titled The Human Element, which is available on podcast, photographer James Balog shows global warming in time lapse photography.

But actually knowing what is going on seems to be a liability. Gore actually knew. He looked deeply into the issue of global warming and he understood. But the public reaction was horror – at Gore. He wasn’t like us. He knew stuff. In the first debate, Bush disposed of one of Gore’s points with a sneer, just calling it “fuzzy math.” I concluded on the spot that Bush was a bully. The American public apparently concluded that they couldn’t share a beer with someone who understood math. They judged sincerity as similarity – if he’s like us he’s sincere. So, if we didn’t study stuff, the president shouldn’t either. God. Try that for your choice of doctors. People got what they deserved except that they dumped it on the rest of us too.

Obama did know what he was talking about. Some of us loved him for it. Others were turned off because a Black man presumed to tell the rest of us what was going on – even if it was a loyal and dedicated Black man trying to save the rest of us from the hell we’re wandering into.

Hillary knew what she was talking about. She spent her life preparing for public office, not going to campaign methods and finance school but studying the public issues a president has to deal with for our sake. But her dedication to serving us, the people, was her apparent undoing. The guy or gal down the block doesn’t do that. So, she must be snooty because she knows stuff and proudly spent her life learning it for us. How bad is that?

Learned Hand, one of the great judges in our history wrote that elections are very hard to know enough about. I want presidents, senators, representatives and members of the Administration who have spent the time to know what they are talking about so that we don’t all fall off the cliff together, pulling our families off that cliff with us. This isn’t about my ego. It’s about survival.

Sincerity means to me that the candidate wants to take care of us, our health, our future, all of us.  Yes, experts disagree, and I spend some of my effort doing this commentary to distinguish between experts who have it right and those whose heads are screwed on backwards. But understanding issues is essential. Beyond what we can figure out ourselves, we have to be able to talk with experts who do understand. Lawyers have to do that all the time, from working with doctors to understand injuries to working with economists to understand how much money will have been lost. Expertise matters. Even to be able to talk with and explain the experts, one has to prepare. How better than by spending the time, energy and midnight oil to get things straight?

In this presidential campaign season, I want candidates who care enough to figure things out. Most important I want candidates who understand the urgency of dealing with climate change. And who build ways of dealing with the dislocations of capitalism by building their solutions onto the opportunities created by effective solutions to climate change.

— This commentary was broadcast on WAMC Northeast Report, March 5, 2019.


Stop Dumping All the Risks on Blue Collar Workers

June 5, 2018

I have been thinking about all the blue-collar workers who believed that Donald Trump would do a great deal for them.

We often talk about the risks that entrepreneurs face but capitalism does its best to outsource risk to blue-collar workers. If there are environmental problems, poisons in the air or water, blue-collar workers and their children will be the first to become sick – they are the canaries in the coal mines. But the irony is that they are also the first to be affected by any attempt to remedy the situation. Prohibitions may force their workplaces to shut down or lay them off.

Liberals often respond by saying that new methods will create jobs. But blue-collar workers have good reason to assume that any jobs created will probably be for other people. Liberals also argue that the proper method for creating jobs is with public works, renovating American infrastructure, etc. But who’ll get the infrastructure jobs? And even more important, no one has been able to promise those jobs. Obama tried but Congress blocked much of what he wanted to do. Trump promised a huge infrastructure program but he put it in the budgets of the states, not his own budget. In effect American politics has not been able to deliver on that jobs promise for the people whose jobs are at risk.

Other relief programs are more automatic: Except for Puerto Rico, we regularly protect people flooded by major storms even when they should have known better than to build on flood plains. The farm program, whatever its shortcomings, protects farmers with formulas that can be calculated in advance. Unemployment insurance is statutory but often grossly inadequate. Social security and Medicare have been reliable though they have become political footballs. Obamacare still exists despite Republican attempts to kill it. But you can’t feed and house a family on medical care. The earned income tax credit comes annually after April 15.

All of this suggests political winners and losers – we like some folks and we don’t trust others with whatever we might do for them. Government has not been willing to become the employer of last resort, so that there are always jobs and wages, although some candidates are urging it now. A negative income tax has been deemed too expensive. And Trump has spent huge tax dollars on enriching the super rich instead of reducing or eliminating the payroll tax in order to encourage hiring more workers for jobs that pay well. There’s lots that could be done if we have the will.

The result is that our political system has not been willing to care for workers. They are not the only ones our politics has left to hang in the breeze. Our unwillingness to insist on decent, honest and ethical behavior for everything from payday lending to mortgage loans, from manufacturing to toxic waste, leaves masses of people at risk, unable to protect themselves or their families.

We need statutes that protect all workers when employers reduce their workforce. Protections need to be reliable so that people don’t have to fear for their jobs when they demand safe working conditions and decent contractual terms that don’t shift all the risks to the people who are most vulnerable and least able to protect themselves. We need reliable worker protection so that people needn’t fear for their jobs when we demand safe products and safe byproducts of business activity. We need to rethink how we protect American workers so that they don’t become the losers whenever we try to improve the American environment and working conditions for everyone.

— This commentary posted by WAMC on their website on June 5, 2018 but the audio was pre-empted by the Pledge Drive. It was broadcast in its usual spot the following week on WAMC Northeast Report, June 12, 2018.


Can American Democracy Survive Trump?

June 13, 2017

Will democracy in America survive?

First remember that democracy matters. No human institutions are perfect but democracy makes it possible to remove officials without going to war. Democracy doesn’t mean anyone alone can make good things happen. Democracy reflects the collective power of people. Collectively, if the rules are followed that protect speakers, publishers, candidates and fair elections, democracy gives us the possibility – though nothing is certain – of throwing the bastards out. That’s important.

The survival of democracy depends on leaders, institutions, and the circumstances that bring out the best and worst in us. What chance do we have?

We should have been warned when Trump repeatedly expressed admiration for dictators in Russia, the Near East and Eastern Europe, when Trump invited an enemy to break into a candidate’s email and interfere in an American election, and suggested his supporters use their “Second Amendment rights” to put him into power. We should have been warned when Trump put people with strong ties to hostile powers at the top of his Administration and gave them access to American military and intelligence secrets. We should have been warned when Trump put an attorney hostile to justice in charge of the Justice Department and installed many military leaders in his government. We can’t rely on this casino mogul turned would-be strongman to preserve American democratic government.

It’s unclear whether our institutions will protect us. The Turkish military protected Turkish democracy for a century, but that tradition is now gone. Members of Trump’s party control both houses of Congress where their commitment to their party compromises their commitment to democracy. Congress seems unlikely to protect us. The Court is dominated by members of the President’s party and their treatment of the Constitution’s due process clauses has been more a threat to decent citizens than a limitation on the powers of would-be dictators.

The circumstances in which we find ourselves have ripped democracies apart across the globe. The concentration of wealth and power we have long seen and condemned abroad has become a reality here. The more that wealth and power are concentrated, the more that the wealthy and powerful circle their wagons to protect their ill-gotten gains against the rest of us, spewing nonsense about supposed trickle-down economics as if it were fact and counting on people’s gullibility. Concentration also makes people desperate, and desperation fuels the mirage of lies and makes too many of us complicit in our own subjugation.

Without reason to rely on the leaders, institutions, or circumstances, that leaves us. Can we square our shoulders and steady our minds to resist the steady babble of nonsense and not just listen to the words but watch what those in power are doing?

When you look at behavior instead of giving a pass to the mogul in the White House, you begin to notice that his actions belie his words. He has no sympathy for coal miners or others who have been shunted aside by changes in the economy but only to protect his friends’ wealth and power from us. Birnie put his finger on the problem and Trump now aggravates the concentration of wealth and power that are taking apart the lives we thought we’d built. So-called “free markets” protect the marketeers. So-called “trickle down economics” protect the concentrations from which the trickles are supposed to flow. And the flood of inconsistent tweets boggle the mind and conceal the reality.

Can we uncover the deceptions with strong minds and clear eyes while the casino mogul in the White House gambles our birthright.

— This commentary was broadcast on WAMC Northeast Report, June 13, 2017.


Trump and the Swamp

June 6, 2017

Trump promised to drain the swamp. We can agree that the swamp is the predominance of special interests over Americans of ordinary means. Bernie Sanders won many hearts and minds by refusing to take big money. Trump claimed independence from big money because he had so much. Clinton lost many votes because she accepted large speaking fees and contributions. A large populist wave by financially ordinary Americans swept the country.

People credited Trump’s promise to drain the swamp. With Trump in power, we’re entitled to look at his actions. Indeed we should.

Most Democrats long tried to take big money out of political campaigns. With some exceptions, like John McCain, Republicans worked to protect the use of money in politics. In the McCain-Feingold Act, Congress managed to compromise between their positions. But the Supreme Court, dominated by Republican appointees, invalidated restrictions on campaign contributions, and held in Citizens United, that corporations could contribute funds straight from corporate treasuries. Heard anything lately from the White House about campaign finance regulation? I didn’t think so.

Trump wants to lower the tax and regulatory burdens on the wealthiest people and companies. He claims in justification that the extra costs harm American workers. I recognize the heated debates about those claims. I’ve repeatedly explained in this commentary that putting more money in the hands of the wealthiest people and corporations is unlikely to spur investment or improve the position of American workers. It won’t help American workers because corporations can and do spend extra money everywhere, including abroad. It won’t help American workers because extra wealth can be and is spent on nonproductive goods or investments. And it won’t improve the position of American workers because there is no shortage of capital in this country, so putting more in in wealthy or corporate pockets is like pouring mud into the Mississippi.

Eliminating regulations will also put money in wealthy and corporate hands but hurts everyone else. Unions have been big proponents of safety regulations because they protect the health and safety of workers, and, we should add, of consumers and citizens.

Trump’s proposed budget also pulls up the safety net and hands the savings to corporations and the wealthy. The safety net protects people when they fall on hard times, when illness drains their bank accounts and strains their budgets, when corporate decisions leave workers struggling to find new jobs and forced to feed families on minimum wage jobs. These have direct and indirect costs for all of us. Losing a job can be temporary but it can also be a fall into a rabbit hole that sucks out everything we’ve invested in our homes, our retirement, and stresses, even breaks up our families. In 2008 those factors spread and took a lot of us down. The safety net was intended in part to help slow or stop economic downturns. 2008 overwhelmed what was left of the safety net but Trump would make it worse.

And health care decisions don’t just affect the most vulnerable. None of us want people spreading serious or medicine-resistant strains of TB, Zika, MRSA and other communicable diseases. Effective strategies against communicable disease involve keeping the diseases out of the population to the extent possible.

In Trump’s budget, the savings from all these cuts go to the 1/10 of 1%, the wealthiest of the wealthy, the very people who should be giving back rather than sucking at the public til. Trump promised to drain the swamp. But Trump IS the swamp.

— This commentary was broadcast on WAMC Northeast Report, June 6, 2017.


What’s to blame for our divided nation? The cause can also be the cure

May 10, 2017

My views of the legal contribution to American polarization and what can be done about it have now come out as

“What’s to blame for our divided nation? The cause can also be the cure” [click here] on TheHill.com. Enjoy.


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