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“Threatening To Further A Very Bad Trend”: Romney’s All Wrong On Public Sector Employment

Is the 2012 election going to hinge on voters’ beliefs about the government workforce? It seems that at least this week’s news cycle will. It’s an important conversation to have. Public sector job loss is at the heart of our stagnant economy and is a big reason why the recovery can’t get real lift-off. Yet this isn’t a coincidental phenomenon or a bipartisan issue. Republican lawmakers are to blame for the bulk of these job losses, and their solutions to the problem will only add fuel to the fire.

To recap for those who don’t watch the Sunday talk shows: in a press conference on Friday, President Obama said, “The private sector is doing fine.” The full quote shows that he was talking about private sector job creation versus public sector job loss, but the pundits began a-punditing and soon his quote had become synonymous with “the economy is doing fine,” as if the private sector is all that matters.

Never one to sit on an opportunity to muddy his own message, Mitt Romney jumped in later in the day to take it further. Instead of confining his attack to Obama’s (purported) suggestion that things are hunky-dory in the private sector while the economy is still clearly suffering, Romney maligned some of the most beloved public sector workers. He said of Obama: “He wants another stimulus, he wants to hire more government workers. He says we need more fireman, more policeman, more teachers.… It’s time for us to cut back on government and help the American people.”

Both soundbites are likely to get so bent out of shape by the media game of telephone that they’ll eventually end up unrecognizable. But at the heart of each statement lies a fundamental difference in how the two candidates—and the two parties—view the nature of the jobs crisis. From Obama’s point of view, we’re not being dragged down by job loss in the private sector but by losses in the public sector. Romney sees exactly the opposite: we should cut even more jobs in the government and invest more heavily in private sector job creators. (He even explicitly called for government job cuts just a week ago.) So which view is right?

Evidence backs Obama’s perspective. Since the recovery officially began, the number of local government jobs has fallen by 3 percent, while the private sector has actually been able to add jobs—4.3 million, to be exact. And it’s worth comparing those numbers to recent recessions to get the full effect of just how bad, and abnormal, this trend is. Romney is at least partly right in that the private sector isn’t doing as well as it could be. At this point in the recessions experienced in 1992 and 2003, it had added 5 million and 4.5 million jobs, respectively.

But the public sector looks far, far worse now than it did then. As Ben Polak and Peter K. Schott write in the New York Times today, “In the past, local government employment has been almost recession-proof. This time it’s not.” Local government employment actually grew in the past two recessions by 7.7 percent and 5.2 percent for each respective period. This time around, it’s hemorrhaging jobs.

So it seems that while both candidates’ exaggerations were a bit off—Obama misspoke in suggesting that the private sector is completely shielded from pain—he gets closer to the heart of the problem than Romney. The huge fall in public sector employment really is dragging down the economy. As we wonder how to get out of this economic mess, it’s good to keep in mind another point Polak and Schott make: “If state and local governments had followed the pattern of the previous two recessions, they would have added 1.4 million to 1.9 million jobs and overall unemployment would be 7.0 to 7.3 percent instead of 8.2 percent.” That’s a huge difference.

But it’s also extremely important to remember why we’re in this situation. Polak and Schott hypothesize that it could be an electorate that is no longer willing to stomach paying for a growing government workforce. Or perhaps, they say, it’s that state and local governments have run out of ways to handle their extremely crunched budgets. But as Mike Konczal and I showed not too long ago, the massive job loss we’ve been experiencing in the public sector is no random coincidence or unfortunate side effect. It is part of an ideological battle waged by ultra conservatives who were swept into power in the 2010 elections. Republicans seized control of eleven states, and of those, five were at the top of the list for public sector job loss. Only seven states lost more than 2.5 percent of their government workforce from December 2010 to December 2011, and those five newly Republican states were among them. All others fared far better: they lost an average of .5 percent of their government employees.

This means that the eleven states that went red two years ago were responsible for 40 percent of these public sector job losses in 2011. If we add in Texas, a massive red state, we can pinpoint the source of 70 percent of those losses. And these losses were the result of deliberate decisions: even in the face of tight budget constraints, many of these states cut taxes for corporations and top earners while slimming down the public payrolls. It was part and parcel of a new agenda that came in with Tea Party–esque Republican legislators.

All of this is even more important when we switch from discussing the causes of the jobs crisis to the solutions. Romney’s plan looks very similar to those being played out in these ultraconservative states: he wants to further eviscerate the public workforce—including, apparently, policemen and teachers, who are desperately needed right now—while continuing tax breaks and creating even more for top earners and corporations.

On the other side of the aisle, Obama is still demanding—even if the demand is falling on deaf ears—that Congress pass his American Jobs Act, which would spend $35 billion in federal funds to keep those very government workers in their jobs. Guess who opposes that plan? Congressional Republicans and Mitt Romney.

There are still some remaining questions when it comes to Obama’s plan. Where’s the money to put public employees back to work after so many lost their jobs? Even more troublesome, if these job losses are due to ideologically driven decisions, will more federal spending really make a dent? Will these ultraconservative Republicans even accept the money? But it is clear that under a President Romney that money won’t even be offered and even less may be extended. Whether employed by the government or a private business, any voter should be nervous about a candidate that is threatening to further a trend that’s already holding our economy back.

 

By: Bryce Covert, The Nation, June 11. 2012

June 12, 2012 Posted by | Economy | , , , , , , , , | 1 Comment

“Tasteless Craziness”: Gun In Campaign Ad For Gabby Giffords’s Seat Is Unconscionable

It was a little too close for comfort when the political action committee of former vice presidential nominee Sarah Palin used crosshairs in ads to “target” Democrats for defeat. A number of lawmakers had received death threats during and after the vote on healthcare overhaul, and when Arizona Rep. Gabrielle Giffords was shot in the head while she was meeting constituents at a shopping center, the threats became scarier. While it appears that Giffords’s shooter was motivated not by ideology but simple craziness, the episode doesn’t excuse the tastelessness of using gun-related imagery in connection with the democratic elections process.

Palin’s ads, however, were done before Giffords was shot. What can explain the judgment of the Move America Forward Freedom PAC, which sent out an E-mail depicting the district’s GOP contender holding an assault rifle?

According to NPR, which broke the story, the PAC said, in backing Republican Jesse Kelly:

While we applaud the former Congresswoman’s recovery, this race is not about Gabby Giffords. We want to give the people of Arizona a new voice that reflects their values.

What values are those—that guns are the way to resolve conflicts and win elections? That if the Democrat, Ron Barber, wins the race, he better watch his back? The E-mail is even more offensive because Barber, who was an aide to the former congresswoman, was injured as well in the January 2011 assault.

Kelly, who faces Barber in a special election Tuesday for the seat, is complaining, too, about having the assassination attempt used against him for political purposes. Democrats have been showing a tape of Kelly calling Giffords “a hero of nothing,” a comment that sounds horrific when heard in the context of her near-death from the shooting. But the comments were made before Giffords was shot.

Said Kelly to reporters:

To try to exploit a tragedy to win a special election is one of the saddest things I’ve ever seen in my life. It’s exactly what they’re doing.

Point taken. But using an image of a candidate with an assault weapon is distasteful in any campaign. In the race to succeed Giffords, it is unconscionable.

 

By: Susan Milligan, U. S. Newss and World Report, June 11, 2012

June 11, 2012 Posted by | Election 2012 | , , , , , , , , | Leave a comment

“Mouth Open, Brain Dead”: Mitt Romney Looks A ‘Gaffehorse’ In The Mouth

When Republicans propose cuts to essential public services, Democrats generally respond by accusing their GOP opponents of wanting to fire teachers, police officers, and fire fighters.

These public servants are cherished members of their communities. Anyone who would denigrate them must want a dumber, scarier, and more dangerous society. In other words, as the great Admiral Ackbar once said: “It’s a trap!”

Usually Republicans tend to skip over that particular trap, retreating into blather about debt for the grandkids or overbearing union bosses. What they never do is confess to wanting fewer firemen, policemen and teachers, at least not in public—until Mitt Romney came along.

It all began last Friday, when Romney advisers decided that President Obama had blunderingly delivered a gift to them during a White House press conference. “The private sector is doing fine,” the president had said. Of course he meant that the private sector is doing much better than the public sector – not going as far as many, including Business Insider’s Joe Weisenthal, who argue that the private sector actually is doing fine.

Still, Romney’s team practically ignited with glee. They pounced on May’s 69,000 jobs report, although that’s 58,000 more than Bush created on average. (And never mind that economists think Mitt’s plan won’t help and could make things worse.)

So Romney blurted an attack, shouting angrily: ”He says we need more firemen, more policemen, more teachers. Did he not get the message of Wisconsin? The American people did. It’s time for us to cut back on government and help the American people.”

Now we all know that Mitt wants fewer firemen, fewer policemen, fewer teacher. This will help the American people? And this was the lesson of Wisconsin? That’s like being born on third base and thinking the lesson is you hit a triple.

Here are the real lessons of Wisconsin:

  • Don’t get outspent 10-to-1
  • Start attacking early
  • Don’t initiate a recall without a charismatic alternative
  • Move to the center

Scott Walker wasn’t only helped by the Citizens United ruling. A loophole in Wisconsin law allowed the challenged governor to raise unlimited donations from individuals. Meanwhile, his Democratic opponent only had two months to raise funds and — despite winning most late-deciding voters — he got creamed. Nearly 20 per cent of Obama supporters voted for Walker simply because they disliked the idea of a recall. And Democrats won at least a symbolic victory by taking back the State Senate.

According to Mitt, however, Wisconsin means people don’t want more firefighters, cops, or teachers — an argument too ridiculous even for Walker to endorse. No, Mitt thinks they want more tax breaks for investment bankers and oil barons.

The Republican candidate answered a “gaffe” with a big, loud GAFFE. The President’s campaign should be very grateful.

 

By: The National Memo, June 11, 2012, @LOLGOP

June 11, 2012 Posted by | Election 2012 | , , , , , , , | Leave a comment

“Government Is The Solution”: Healing The Economy For The Common Good

Why don’t Democrats just say it? They really believe in active government and think it does good and valuable things. One of those valuable things is that government creates jobs — yes, really — and also the conditions under which more jobs can be created.

You probably read that and thought: But don’t Democrats and liberals say this all the time? Actually, the answer is no. It’s Republicans and conservatives who usually say that Democrats and liberals believe in government. Progressive politicians often respond by apologizing for their view of government, or qualifying it, or shifting as fast as the speed of light from mumbled support for government to robust affirmations of their faith in the private sector.

This is beginning to change, but not fast enough. And the events of recent weeks suggest that if progressives do not speak out plainly on behalf of government, they will be disadvantaged throughout the election-year debate. Gov. Scott Walker’s victory in the Wisconsin recall election owed to many factors, including his overwhelming financial edge. But he was also helped by the continuing power of the conservative anti-government idea in our discourse. An energetic argument on one side will be defeated only by an energetic argument on the other.

The case for government’s role in our country’s growth and financial success goes back to the very beginning. One of the reasons I wrote my bookOur Divided Political Heart” was to show that, from Alexander Hamilton and Henry Clay forward, farsighted American leaders understood that action by the federal government was essential to ensuring the country’s prosperity, developing our economy, promoting the arts and sciences and building large projects: the roads and canals, and later, under Abraham Lincoln, the institutions of higher learning, that bound a growing nation together.

Both Clay and Lincoln battled those who used states’ rights slogans to crimp federal authority and who tried to use the Constitution to handcuff anyone who would use the federal government creatively. Both read the Constitution’s commerce clause as Franklin Roosevelt and progressives who followed him did, as permitting federal action to serve the common good. A belief in government’s constructive capacities is not some recent ultra-liberal invention.

Decades of anti-government rhetoric have made liberals wary of claiming their legacy as supporters of the state’s positive role. That’s why they have had so much trouble making the case for President Obama’s stimulus program passed by Congress in 2009. It ought to be perfectly obvious: When the private sector is no longer investing, the economy will spin downward unless the government takes on the task of investing. And such investments — in transportation and clean energy, refurbished schools and the education of the next generation — can prime future growth.

Yet the drumbeat of propaganda against government has made it impossible for the plain truth about the stimulus to break through. It was thus salutary that Douglas Elmendorf, the widely respected director of the Congressional Budget Office, told a congressional hearing last week that 80 percent of economic experts surveyed by the University of Chicago’s Booth School of Business agreed that the stimulus got the unemployment rate lower at the end of 2010 than it would have been otherwise. Only 4 percent disagreed. The stimulus, CBO concluded, added as many as 3.3 million jobs during the second quarter of 2010, and it may have kept us from lapsing back into recession.

So when conservatives say, as they regularly do, that “government doesn’t create jobs,” the riposte should be quick and emphatic: “Yes it has, and yes, it does!”

Indeed, our unemployment rate is higher today than it should be because conservatives blocked additional federal spending to prevent layoffs by state and local governments — and because progressives, including Obama, took too long to propose more federal help. Obama’s jobs program would be a step in the right direction, and he’s right to tout it now. But he should have pushed for a bigger stimulus from the beginning. The anti-government disposition has so much power that Democrats and moderate Republicans allowed themselves to be intimidated into keeping it too small.

Let’s turn Ronald Reagan’s declaration on its head: Opposition to government isn’t the solution. Opposition to government was and remains the problem. It is past time that we affirm government’s ability to heal the economy, and its responsibility for doing so.

 

By: E’ J’ Dionne, Jr., Opinion Writer, The Washington Post, June 10, 2012

June 11, 2012 Posted by | Election 2012 | , , , , , , , , | Leave a comment

“Beyond The Water’s Edge”: Romney Adviser Takes U.S. Political Debate Overseas, Mitt Has “No Comment”

A senior economic adviser to Mitt Romney criticized President Obama and his policy toward crisis-torn Europe, and Germany in particular, in an op-ed article in a leading German newspaper on Saturday, raising the question of the propriety of taking America’s political fights into international affairs.

The article — written by R. Glenn Hubbard, the dean of the Columbia Business School and a former adviser in the Bush administration, and published in the business journal Handelsblatt — drew a rebuke from the Obama campaign.

“In a foreign news outlet, Governor Romney’s top economic adviser both discouraged essential steps that need to be taken to promote economic recovery and attempted to undermine America’s foreign policy abroad,” said Ben LaBolt, press secretary for the president’s re-election campaign.

Every presidential election seems to test the frequently quoted cold war-era axiom of former Senator Arthur Vandenberg, a Republican who cooperated with President Harry S. Truman, that “politics stops at the water’s edge” — though even then the rule was often observed in the breach. Separately, the Hubbard critique illustrates how the austerity-versus-stimulus debate concerning Europe is also a proxy for the ideological fight over fiscal policy that Democrats and Republicans are waging in this country.

“Unfortunately, the advice of the U.S. government regarding solutions to the crisis is misleading. For Europe and especially for Germany,” Mr. Hubbard wrote, according to a translation of his article from the Handelsblatt Web site.

He opposed what he described as the Obama administration’s efforts “to persuade Germany to stand up financially weak governments and banks in the euro zone so that the Greek crisis would not spread to other states.”

“These recommendations are not only unwise,” he added, “they also reveal ignorance of the causes of the crisis and of a growth trend in the future.”

Mr. Hubbard proposed a classic conservative pro-austerity, anti-Keynesian approach, arguing that cutting government spending will restore public confidence, encourage growth and avert future tax increases.

“Long-term confidence in solid government financing shores up growth and enables the same scope for short-term transitional assistance,” he said. “Mitt Romney, Obama’s Republican opponent, understands this very well and advises a gradual fiscal consolidation for the U.S.: structural reform to stimulate growth.”

Mr. Obama and his Treasury secretary, Timothy F. Geithner, are in the camp with economists who argue that the German-led push for austerity in Europe — at a time when businesses and consumers are too weak to spend — has produced a spiral of job losses, belt-tightening and, lately, a backlash against several governments.

But, Mr. Hubbard wrote, “President Obama’s advice to the Germans and Europe has therefore the same flaws as his own economic policy — that it pays for itself over the long term if we focus on short-term business promotion.”

When Mr. Obama ran for president in 2008, he received some criticism for a foreign trip that included a speech in Berlin before 200,000 Germans. At the time, Chancellor Angela Merkel objected to plans to use the city’s historic Brandenburg Gate as a backdrop for what a Merkel spokesman called “electioneering abroad,” leading Mr. Obama to speak at another site. But Mr. Obama did not explicitly criticize Bush administration policies, despite their prominence in the American debate that year. He mainly extolled the partnership between the United States and Germany — and Europe, more broadly — in promoting freedom and prosperity around the globe.

A Democrat with experience in foreign policy and presidential campaigns, who asked not to be identified as weighing into the debate, suggested that the Vandenberg rule had lost resonance in a polarized age. “The ‘water’s edge’ is changing, and not just because of climate change,” he said. “It’s too bad, but there it is.”

The Romney campaign declined to comment.

By: Jackie Calmes, The New York Times, June 9, 2012

June 10, 2012 Posted by | Election 2012 | , , , , , , , | Leave a comment