mykeystrokes.com

"Do or Do not. There is no try."

“Government Is Not Just About Sugar”: The GOP Helps Americans Appreciate The Importance Of Government

There’s a lot of terrible news for Republicans inside the new NBC News/Wall Street Journal poll, but one of the worst bulletins is this: Americans are becoming more appreciative of government.

The poll shows that 52 percent of respondents said that government should do more to solve problems and help meet the needs of people. That figure is up four points since June, and is at the highest level since July of 2008, when it stood at 53 percent.

The economic crisis was building during the summer of 2008, and people were growing increasingly weary of President George W. Bush’s laissez-faire attitude. Barack Obama’s more optimistic vision of government’s possibilities became infectious and helped propel him to victory, but after he took office, the popularity of government, as measured by that question, quickly fell and has been below 50 percent for most of his presidency.

Now it is back up, and Republicans have only themselves to thank. There’s nothing better than shutting down government to remind people of how much they need it. The television footage of shuttered offices and national parks, as well as people who are suffering because of lost wages and federal assistance, has had a significant effect.

So did the 2008-2009 recession and its aftermath. More people came into the government’s orbit, seeking assistance or benefiting from stimulus money, including much of the automobile industry. The poll showed that nearly a third of respondents said their family was personally affected by the current shutdown, compared to only 18 percent during the shutdowns of 1995 and 1996. The budget crisis has even made health care reform substantially more popular than it was just a few weeks ago.

This is one of the great existential fears of the right, of course, and is one of the few things uniting the various ideological wings of the Republican Party. Mitt Romney complained about the 47 percent of Americans who were “dependent on government,” and Senator Ted Cruz recently accused Mr. Obama of trying to get Americans “addicted to the sugar” of his health care law.

But this week, Americans know that government isn’t just about sugar. It’s a necessary part of their lives, and Americans expect it to be there when the private sector lets them down, as it did during the recession and as it has done on health care for so many years. Now as the Republicans’ abysmal new approval ratings show, voters are also gaining a clearer picture of precisely who in Washington is letting them down.

 

By: David Firestone, Editors Blog, The New York Times, October 11, 2013

October 12, 2013 Posted by | Federal Government, GOP | , , , , , , , | Leave a comment

“The Opposite Of Patriotism”: Republican Resistance To Hurricane Relief Is A Stink Of Hypocrisy, And Worse

Provoked by opposition to Hurricane Sandy relief among House Republicans – and the delay in voting the first tranche of aid by Speaker John Boehner – both New Jersey governor Chris Christie and representative Peter King (R-NY) denounced the irresponsibility and cruelty of those betrayals. Even when that first bill passed, 67 Republicans voted no, in contrast with only 11 who voted no when Congress provided emergency funding for Hurricane Katrina (far more quickly, too) in 2005.

The Tea Party Republicans in Congress would offer various excuses for their hostility to Sandy relief, from budgetary constraints to far-right ideology. But those who voted no hail from states that have benefited from all kinds of federal relief over the past two decades, financed by Northeastern taxpayers who send a wildly disproportionate sum in levies to Washington every year.

Moving down the alphabet from Hurricane Andrew onward over the past two decades, it is not hard to trace tens of billions of dollars for storm relief alone that have flowed from New York and Connecticut to the South, the Gulf Coast, the Midwest and other regions over the years, with never a word of demurral over costs, “pork,” or “offsets” from other federal spending.

Then consider the many other forms of federal aid that have benefited the regions where “conservative” fiscal stringency supposedly prevails, and a disturbing habit quickly emerges: Republican members of Congress tend to support aid packages that benefit their own states or districts, while opposing help for other Americans. This doesn’t hold true for all Republicans or conservatives, of course, but it is nevertheless a detectable pattern.

The most obvious example in recent years is the rescue of the auto industry, a decision of national importance supported by both presidents George W. Bush and Barack Obama, which nearly all Republicans rejected – except those from Michigan and auto-plant districts in several surrounding states. Those in favor included Paul Ryan, the House Budget Committee chair from Wisconsin, who voted for the bailout and then, while running for vice president on the GOP ticket, pretended to have opposed it. But he couldn’t bring himself to vote for Sandy relief.

The Republicans in Kansas, whose entire four-member delegation voted against Sandy relief, never voiced any opposition to the massive aid provided by the federal government in 2007 when the city of Greensburg was devastated by a Force 5 tornado – or for that matter all the other instances of disaster assistance accepted by that benighted state over the decades. Nor did the Republicans in places like Missouri or Georgia or any of the other states severely damaged by flooding in recent years suddenly stop their routine pleading for federal aid, which they duly received.

The biggest frauds are naturally to be found in Texas, one of the drought-stricken states where the Federal Emergency Management Agency, the Department of Agriculture, and sundry federal agencies have been spending vast sums to help farmers, ranchers, and other suffering residents. Rep. Randy Neugebauer, a right-wing Texas Republican whose district includes bone-dry Lubbock, praised those federal bureaucrats just last summer for spending funds to help farmers and ranchers in his Lubbock district “mitigate damage caused by wildfires and drought.” Quoted in a local newspaper, Neugebauer said, “I hope that FEMA will quickly follow suit and declare a major disaster declaration for affected Texas counties.” But this week, Neugebauer was one of seven Texas Republicans who voted against Sandy relief, along with fellow wingnuts from drought-afflicted districts across the South and West.

All this represents something worse than cheap hypocrisy, which often crosses political and ideological lines. The behavior of these Republicans is rooted in their selfish ideology and regional chauvinism – and their rejection of a generous spirit that has united this country for more than a hundred years. It is the opposite of patriotism.

 

By: Joe Conason, The National Memo, January 5, 2013

January 6, 2013 Posted by | Congress, Disasters | , , , , , , , | 1 Comment

“Son Of Detroit”: Mitt Romney Profited From The Auto Bailout And Jobs Shipped To China

“I’m a son of Detroit. I was born in Detroit. My dad was head of a car company. I like American cars,” said Mitt Romney on Monday night when he met with President Obama to discuss foreign policy. “And I would do nothing to hurt the U.S. auto industry.”

That might be considered true—unless moving the most important American auto parts manufacturer to China counts as hurting the U.S. auto industry. But those words now stand as one of Romney’s most glaring falsehoods in the final debate.

Romney’s defensive statement came in response to a remark by Obama noting that the Republican nominee is “familiar with jobs being shipped overseas because you invested in companies that were shipping jobs overseas.” Moments later, he added: “If we had taken your advice, Governor Romney about our auto industry, we’d be buying cars from China instead of selling cars to China.”

Most viewers had little idea what Obama was talking about or why Romney felt the need to rebut him so specifically. But their coded exchange almost certainly referred to an investigative report that broke wide on the Internet, without much attention from the mainstream media so far—Greg Palast’s article in The Nation magazine, exposing Romney’s huge profits from Delphi, a crucial auto parts company that moved nearly all of its jobs to China after taking billions in auto bailout money from the Treasury.

As Palast reported, the Romneys made millions from that intricate deal, put together by one of his main campaign donors, billionaire investor Paul Singer — through a “vulture fund” known as Elliot Management. Having bought up Delphi at fire-sale prices, Singer and his partners essentially blackmailed the Treasury into paying them billions so that Delphi would keep supplying parts to General Motors and Chrysler. They stiffed the company’s pensioners, pocketed the bailout funds, and moved all but four of the firm’s 29 plants to China.

The neglect of the Delphi story by mainstream and even progressive outlets such as MSNBC has been remarkable, particularly because neither Romney nor his campaign has denied it. If anything, a statement issued by the campaign to The Hill, a Washington publication, seemed to confirm Palast’s reporting by attempting to deflect blame onto the Obama administration:

Romney’s campaign did not deny that he profited from the auto bailout in an email to The Hill Wednesday afternoon, but it said the the report showed the Detroit intervention was “misguided.”

“The report states that Delphi had 29 US plants before the misguided Obama auto bailout, and just four after. Is this really what the president views as success?” Romney spokeswoman Michele Davis said.

“Mitt Romney would have taken a different path to turning around the auto industry,” Davis continued. “As President, Mitt Romney will create jobs and give American workers the recovery they deserve.”

Taking Delphi bankrupt under the management of Singer and Romney’s other partners didn’t create jobs or security for Delphi’s American workers. After taking nearly $13 billion in bailout financing from the Treasury — with the support of Rep. Paul Ryan, who has also received generous support from Singer — the new Delphi management abrogated the company’s pensions, closed all those U.S. plants, and moved production to China. And so far, Romney has escaped any questions about why he and Ann Romney invested their millions with vulture investors who used taxpayer funds to destroy American jobs.

By: Joe Conason, The National Memo, October 23, 2012

October 25, 2012 Posted by | Election 2012 | , , , , , , , , | Leave a comment

“Invisible And Untaxed”: How Mitt Romney Made A Fortune Off The Auto Bailout

Faced with the hard facts that “bin Laden is dead and General Motors is alive,” as Vice President Biden always says, Mitt Romney has resorted to claiming that Obama followed his lead on the auto industry bailout. “I know [Obama] keeps saying, you wanted to take Detroit bankrupt,” he said during this week’s debate at Hofstra University. “Well, the president took Detroit bankrupt.” Romney’s right, in a way — both his plan and Obama’s plan envisioned the auto companies going through a period of bankruptcy restructuring. But there’s a key difference: Obama’s approach was to use government dollars to prop up the auto companies until they could stand on their own again — something that Romney, like other Republicans in the Tea Party’s anti-spending thrall, adamantly opposed as dangerous government intervention in private industry.

But it turns out that Romney should know firsthand that this kind of intervention can be successful, as a new report shows that he and his wife made at least $15.3 million courtesy of Obama’s auto bailout. According to a Greg Palast, who followed the paper trail for the Nation, Romney and his wife made the money via an investment in a hedge fund that saw astronomical returns on its investments in an auto parts maker that would have gone under absent the president’s rescue operation.

Delphi, the auto parts company, was once part of General Motors but was spun off in 1999. It foundered on its own and declared bankruptcy in 2005, at which point hedge funds came in and bought up the company’s old debt. Among them was Elliott Management, a giant in the industry run by GOP mega-donor Paul Singer. Romney was an investor. Elliott and the other hedge funds were able to buy Delphi’s toxic debt for a fraction of their face value, around 20 cents on the dollar. In 2009, as bailout negotiations were underway, Elliott used their bonds to buy large shares in the company, again for pennies (this time for about 67 cents per share). Not only would Delphi have gone out of business along with its largest customer, GM, but the parts maker got at least $2.8 billion directly from the taxpayer-funded Troubled Assets Relief Program (TARP). In 2011, Elliott and the other hedge funds took Delphi public at $22 a share, making a whopping 3,000 percent return on their investment of less than 70 cents a share.

So how much did Romney make? His personal financial disclosure forms say he and Ann Romney had at least $1 million invested, but the disclosure rules are so vague that it could be far more. Palast sketches out the possible windfall:

It is reasonable to assume that Singer treated the Romneys the same as his other investors, with a third of their portfolio invested in Delphi by the time of the 2011 initial public offering. This means that with an investment of at least $1 million, their smallest possible gain when Delphi went public would have been $10.2 million, plus another $10.2 million for each million handed to Singer — all gains made possible by the auto bailout.

But that’s just the beginning. Since the November 2011 IPO, Delphi’s stock has roared upward, boosting the Romneys’ Delphi windfall from $10.2 million to $15.3 million for each million they invested with Singer… The Romneys’ exact gain, however, remains nearly 
invisible—and untaxed—because Singer cashed out only a fragment of the windfall in 2011.

 

By: Alex Seitz-Wald, Salon, October 19, 2012

October 21, 2012 Posted by | Election 2012 | , , , , , , , , | 1 Comment

“New Wrapping, Same Contents”: Re-Packaging Mitt Romney As A Compassionate Conservative

“My heart aches for the people I’ve seen,” Mitt Romney said, on the second day of his Ohio bus tour. He’s now telling stories of economic hardship among the people he’s met.

Up until now, Romney’s stories on the campaign trail have been about business successes – people who started businesses in garages and grew their companies into global giants, entrepreneurs who succeeded because of grit and determination, millionaires who began poor. Horatio Alger updated.

Curiously absent from these narratives have been the stories of ordinary Americans caught in an economy over which they have no control. That is, most of us.

At least until now.

“I was yesterday with a woman who was emotional,” Romney recounts, “and she said, ‘Look, I’ve been out of work since May.’ She was in her 50s. She said, ‘I don’t see any prospects. Can you help me?’”

Could it be Romney is finally getting the message that many Americans need help through no fault of their own?

“There are so many people in our country that are hurting right now,” Romney says. “I want to help them.”

Later in the day, Romney told NBC that because of his efforts as governor of Massachusetts, “one hundred percent of the kids in our state had health insurance. I don’t think there’s anything that shows more empathy and care about the people of this country than that kind of record.”

But the repackaging of Mitt as a compassionate conservative won’t work. The good citizens of Ohio — as elsewhere — have reason to be skeptical.

This is, after all, the same Mitt Romney who told his backers in Boca Raton that 47 percent of Americans are dependent on government and unwilling to take care of themselves.

It’s the same Romney who was against bailing out GM and Chrysler. One in eight jobs in Ohio is dependent on the automobile industry. Had GM and Chrysler gone under, unemployment in Ohio would be closer to the national average of 8.1 percent than the 7.2 percent it is today.

This is the same Romney who has been against extending unemployment benefits. Or providing food stamps or housing benefits for families that have fallen into poverty. Or medical benefits. To the contrary, Romney wants to repeal Obamacare, turn Medicare into vouchers, and turn Medicaid over to cash-starved states.

This is the same Mitt Romney who doesn’t worry that Wall Street financiers — including his own Bain Capital — have put so much pressure on companies for short-term profits that they’re still laying off workers and reluctant to take on any more.

And the same Mitt who doesn’t want government to spend money repairing our crumbling infrastructure, rebuilding our schools, or rehiring police and firefighters and teachers.

Romney says he feels their pain but his policy prescriptions would create more pain.

Mitt Romney’s real compassion is for people like himself, whom he believes are America’s “job creators.” He aims to cut taxes on the rich, in the belief that the rich create jobs — and the benefits of such a tax cut trickle down to everyone else.

Trickle-down economics is the core of Romney’s economics, and it’s bunk. George W. Bush cut taxes — mostly for the wealthy — and we ended up with fewer jobs, lower wages, and an economy that fell off a cliff in 2008.

In Ohio Romney is repeating his claim that, under his tax proposal, the rich would end up paying as much as before even at a lower tax rate because he’d limit their ability to manipulate the tax code. “Don’t be expecting a huge cut in taxes because I’m also going to be closing loopholes and deductions,” he promises.

But Romney still refuses to say which loopholes and deductions he’ll close. He doesn’t even mention the “carried interest” loophole that has allowed him and other private-equity managers to treat their incomes as capital gains, taxed at 15 percent.

What we’re seeing in Ohio isn’t a new Mitt Romney. It’s a newly-packaged Mitt Romney. The real Mitt Romney is the one we saw on the videotape last week. And no amount of re-taping can disguise the package’s true contents.

By: Robert Reich, Robert Reich Blog, September 26, 2012

September 27, 2012 Posted by | Election 2012 | , , , , , , , , | Leave a comment

Follow

Get every new post delivered to your Inbox.

Join 2,694 other followers

%d bloggers like this: