Big Government Bailout Worked
Don’t expect to see a lot of newspapers and Web sites with this headline: “Big Government Bailout Worked.” But it would be entirely accurate.
The actual headlines make the point. “Demand for fuel-efficient cars helps GM to $3.2 billion profit,”declared The Post. “GM Reports Earnings Tripled in First Quarter, as Revenue Jumped 15%,” reported the New York Times.
Far too little attention has been paid to the success of the government’s rescue of the Detroit-based auto companies, and almost no attention has been paid to how completely and utterly wrong bailout opponents were when they insisted it was doomed to failure.
“Having the federal government involved in every aspect of the private sector is very dangerous,” Rep. Dan Burton (R-Ind.) told Fox News in December 2008. “In the long term it could cause us to become a quasi-socialist country.” I don’t see any evidence that we have become a “quasi-socialist country,” just big profits.
Rep. Lamar Smith (R-Tex.) called the bailout “the leading edge of the Obama administration’s war on capitalism,” while other members of Congress derided the president’s auto industry task force. “Of course we know that nobody on the task force has any experience in the auto business, and we heard at the hearing many of them don’t even own cars,” declared Rep. Louie Gohmert (R-Tex.) after a hearing on the bailout in May 2009. “And they’re dictating the auto industry for our future? What’s wrong with this picture?”
What’s wrong, sorry to say, is that you won’t see a news conference where the bailout’s foes candidly acknowledge how mistaken they were.
The lack of accountability is stunning but not surprising. It reflects a deep bias in the way our political debate is carried out. The unexamined assumption of so much political reporting is that attacks on government’s capacity to do anything right make intuitive sense because “everybody knows” that government is basically inefficient and incompetent, especially when compared with the private sector.
Government failure gets a lot of coverage. That’s useful because government should be held accountable for its mistakes. What’s not okay is that we hear very little when government acts competently and even creatively. For if mistakes teach lessons, successes teach lessons, too.
In the case of the car industry, allowing the market to operate without any intervention by government would have wiped out a large part of the business that is based in Midwestern states. This irreversible decision would have damaged the economy, many communities and tens of thousands of families.
And contrary to critics’ predictions, government officials were quite capable of working with the market to restructure the industry. Government didn’t overturn capitalism. It tempered the market at a moment when its “natural” forces were pushing toward catastrophe. Government had the resources to buy the industry time.
What’s heartening is that average voters understand that broad assaults on government provide better guidance for the production of sound bites than for the creation of sensible public policy. That’s why House Republicans are backpedaling like crazy on their plans to privatize Medicare — even as they pretend not to.
Conservatives really believed that voters mistrusted government so much that they’d welcome a chance to scrap Big Government Medicare and have the opportunity to purchase policies in the wondrous health insurance marketplace. Don’t people assume that anything is better than government?
But there were deep potholes on the road to a market utopia. Put aside that the Republican budget wouldn’t provide enough money in the long term for the elderly to afford decent private coverage. The truth is that most consumers don’t have great confidence in the private insurance companies, with which they have rather a lot of experience.
When it comes to guaranteeing their access to health care in old age, most citizens trust government more than they trust the marketplace. This doesn’t mean they think Medicare is without flaws. What they do know is that Medicare does not cut people off in mid-illness and that its coverage is affordable because government subsidizes it.
It’s axiomatic that government isn’t perfect and that we’re better off having a large private sector. It ought to be axiomatic that the private market isn’t perfect, either, and that we need government to step in when the market fails. The success of the auto bailout and the failure of the Republicans’ anti-Medicare campaign both teach the same lesson: The era of anti-government extremism is ending.
By: E. J. Dionne, Opinion Writer, The Washington Post, May 8, 2011
Mothers We Could Save: Family Planning Is Just As Essential For Humans As For Horses
Here’s a Mother’s Day thought: There’s a way to save many of the world’s 350,000 women who die in childbirth each year. But it’s very controversial, for it’s called family planning.
Republicans in Congress have gone on the warpath this budget season against family planning programs at home and abroad. To illustrate the stakes, let me share a Mother’s Day story about a pregnant 30-year-old Somali woman named Hinda Hassan.
Ms. Hassan lived in a village near this remote town of Baligubadle in Somaliland (a self-ruling enclave carved from Somalia). She never used family planning, for none is available within several days’ walk. When her eighth child was still an infant, she became pregnant again.
“I was happy when she became pregnant,” said her husband, Muhammad Isse, who tends a herd of 13 camels with his family. “I was very happy, because I had faith in God.”
When Ms. Hassan went into labor, she was looked after by two traditional birth attendants, both of them unschooled, untrained and unequipped. “We try to wash our hands with soap and water,” one of them, Amina Ahmed, told me. “But sometimes we don’t have soap. And if there is no water, we rub our hands in the sand to clean them.”
Ms. Hassan’s labor did not go well. After 11 hours, her husband paid a man with a pickup truck $50 to drive her three hours to the clinic here in Baligubadle. The clinic couldn’t help Ms. Hassan and sent her on another two-and-a-half-hour bone-rattling drive in the back of the pickup to the Somaliland capital of Hargeisa. Shortly after Ms. Hassan arrived at the Edna Adan Maternity Hospital (mentioned in my last column), she died.
Her death was infuriatingly unnecessary — and I felt doubly saddened when I met some of her eight orphans.
There are any number of ways that Ms. Hassan’s life could have been saved. She had an off-the-charts hemoglobin level of just 4, reflecting a stunning level of anemia. A trained midwife could have given her a deworming pill and iron supplements early in the pregnancy, addressing that anemia and strengthening her. Later, Ms. Hassan developed a complication called eclampsia that would have been detected if she had had pre-natal care.
Yet maybe the simplest way to save her life would have been contraception. If Somali women had half as many pregnancies (they now average six births), there would be only half as many maternal deaths. But modern contraception doesn’t exist in this part of Somaliland.
“The only method of family planning we have is breast-feeding,” said Nimo Abdi, the midwife at the clinic here, noting that breast-feeding reduces the likelihood of a new pregnancy. Ms. Abdi thinks that some local people would accept modern contraceptives if they were available.
“If I had injectables and condoms, people would accept them,” she said. “They would want them.”
I wonder if that isn’t a bit optimistic; in a place like this, family planning requires much more than just handing out contraceptives. Ms. Hassan’s husband told me that he had never heard of contraception, and he sounded wary of the idea.
Many people in poor countries want large families, partly to ensure that some will survive despite high death rates. Or a woman may distrust contraceptives or fear her husband’s reaction if she is caught using them.
By United Nations estimates, 215 million women worldwide have an “unmet need” for family planning, meaning they don’t want to become pregnant but are not using effective contraception. The Guttmacher Institute, a widely respected research organization, estimates that if all the unmet need for contraception were met, the result would be 94,000 fewer women dying of pregnancy complications each year, and almost 25 million fewer abortions each year.
Greater access to birth control would also help check the world population, which the United Nations warned a few days ago is rising more quickly than expected. The U.N. now projects the total population in 2100 will be 10.1 billion.
Yet this year, Republicans in Congress have been trying to slash investments in family planning. A budget compromise last month cut international family planning spending by 5 percent, but some Republicans are expected to seek much bigger cuts in future years.
If they succeed, the consequences will be felt in places like this remote Somali town. Women won’t get access to contraceptives, and the parade of unwanted pregnancies, abortions, fistulas, and mothers dying in childbirth will continue.
Ah, but there was one Republican-sponsored initiative for family planning in Congress this year. It provided contraception without conditions — for wild horses in the American West. It passed on a voice vote.
Maybe on Mother’s Day, we could acknowledge that family planning is just as essential for humans as for horses.
By: Nicholas D. Kristof, Op-Ed Columnist, The New York Times, May 7, 2011
Are There Any Pro-Choice Republicans Left In The House?
Yes, America, there are pro-choice Republicans. But after this week, there’s some question about whether are any left in the U.S. Congress.
H.R. 3, the “No Taxpayer Funding For Abortion Act” that passed the House May 4 is not likely to become the law of the land. But the fact that it passed the House with unanimous Republican support means the pro-life members of the party, which includes all the House leadership, can tout their attachment to social issues, even after the supposedly fiscal-first tea party movement helped take over the GOP last year.
For pro-choice Republicans, the vote means embarrassing questions. Basically every pro-choice group says H.R. 3 is an anti-abortion bill that goes far beyond the government’s current prohibitions on abortion funding and actually raises taxes on women who want to seek abortion coverage in their private insurance plans.
That’s a double-whammy for pro-choice Republicans. One, raising taxes under any circumstances is a no-no for anyone in the modern GOP. And, two, the bill has been cast as the biggest assault on abortion rights in years.
Voting against such a measure, then, would seem like a no-brainer. Except it wasn’t. None of the about a dozen House GOP members of the Republican Majority For Choice PAC considered as allies, voted against H.R. 3. In fact, all of them voted yes.
“We opposed the bill, we considered it an anti-choice, big government intrusion and politically we think it’s a bad move for the Republicans to keep focusing on this,” K.R. Ferguson, executive director of the PAC told TPM.
Still, she says that she’s not prepared to say the members who voted for it have given up their pro-choice credentials. She pointed to the refusal of some Republicans to sign on to the House plan to defund Planned Parenthood as the kind of thing that will keep the PAC’s endorsement coming.
“I would not say we would stop supporting any of the members who took this vote,” Ferguson said. She said that though it’s hard to rectify being pro-choice and voting for H.R. 3, support from her PAC isn’t “an all or nothing” prospect.
There are still Republicans who run as pro-choice members, despite the fact that the party in the House is about as far from supporting a woman’s right to choose as it could possibly be these days.
Rep. Robert Dold (R-IL) touted his endorsement from Ferguson’s PAC back in 2010. Ferguson said he might get it again, despite his vote for H.R. 3. Dold’s office didn’t respond to a request for comment.
Though repeatedly expressing her extreme disappointment with the vote, Ferguson suggested Dold and his fellow pro-choice Republicans really had no choice.
“The extreme who was pushing this bill did a masterful job of spinning it as a no taxpayer fundings for abortion [measure] and putting these members in an almost impossible position,” she said. “We don’t like it, we will continue to call on our members to try to educate them” on the truth of the bill.
Illinois Republican Rep. Judy Biggert, a past co-chair of the House pro-choice caucus, says that her vote for H.R. 3 was completely consistent with her pro-choice views.
“Rep. Biggert is pro-choice. She supports a women’s right to chose, but she does not support public funding for abortion,” spokesperson Zachary Cikanek told TPM. “Abortion is a private decision, and it should be paid for with private dollars – without government involvement. That’s why she voted for H.R. 3.”
Cikanek noted that Biggert “has stated publically that she thinks Congress should be keeping its attention focused on spending and jobs, and not spending its time locked in debate on divisive social issues.”
Not all pro-choice advocates are willing to accept that kind of answer. NARAL President Nancy Keenan told TPM that a pro-choice vote for H.R. 3 is a political oxymoron. Though her group is non-partisan, NARAL hasn’t endorsed any Republicans serving in the current House, despite the fact that members like Biggert claim to be supporters of the cause.
“No member of congress can vote for this egregious bill and be considered pro-choice,” Keenan said. “Bottom line.”
By: Evan McMorris-Santoro, Talking Points Memo, May 7, 2011
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