“It’s Now The Canadian Dream”: It’s Time To Bring The American Dream Home From Exile
It was in 1931 that the historian James Truslow Adams coined the phrase “the American dream.”
The American dream is not just a yearning for affluence, Adams said, but also for the chance to overcome barriers and social class, to become the best that we can be. Adams acknowledged that the United States didn’t fully live up to that ideal, but he argued that America came closer than anywhere else.
Adams was right at the time, and for decades. When my father, an eastern European refugee, reached France after World War II, he was determined to continue to the United States because it was less class bound, more meritocratic and offered more opportunity.
Yet today the American dream has derailed, partly because of growing inequality. Or maybe the American dream has just swapped citizenship, for now it is more likely to be found in Canada or Europe — and a central issue in this year’s political campaigns should be how to repatriate it.
A report last month in The Times by David Leonhardt and Kevin Quealy noted that the American middle class is no longer the richest in the world, with Canada apparently pulling ahead in median after-tax income. Other countries in Europe are poised to overtake us as well.
In fact, the discrepancy is arguably even greater. Canadians receive essentially free health care, while Americans pay for part of their health care costs with after-tax dollars. Meanwhile, the American worker toils, on average, 4.6 percent more hours than a Canadian worker, 21 percent more hours than a French worker and an astonishing 28 percent more hours than a German worker, according to data from the Organization for Economic Cooperation and Development.
Canadians and Europeans also live longer, on average, than Americans do. Their children are less likely to die than ours. American women are twice as likely to die as a result of pregnancy or childbirth as Canadian women. And, while our universities are still the best in the world, children in other industrialized countries, on average, get a better education than ours. Most sobering of all: A recent O.E.C.D. report found that for people aged 16 to 24, Americans ranked last among rich countries in numeracy and technological proficiency.
Economic mobility is tricky to measure, but several studies show that a child born in the bottom 20 percent economically is less likely to rise to the top in America than in Europe. A Danish child is twice as likely to rise as an American child.
When our futures are determined to a significant extent at birth, we’ve reverted to the feudalism that our ancestors fled.
“Equality of opportunity — the ‘American dream’ — has always been a cherished American ideal,” Joseph Stiglitz, the Nobel-winning economist at Columbia University, noted in a recent speech. “But data now show that this is a myth: America has become the advanced country not only with the highest level of inequality, but one of those with the least equality of opportunity.”
Consider that the American economy has, over all, grown more quickly than France’s. But so much of the growth has gone to the top 1 percent that the bottom 99 percent of French people have done better than the bottom 99 percent of Americans.
Three data points:
• The top 1 percent in America now own assets worth more than those held by the entire bottom 90 percent.
• The six Walmart heirs are worth as much as the bottom 41 percent of American households put together.
• The top six hedge fund managers and traders averaged more than $2 billion each in earnings last year, partly because of the egregious “carried interest” tax break. President Obama has been unable to get financing for universal prekindergarten; this year’s proposed federal budget for pre-K for all, so important to our nation’s future, would be a bit more than a single month’s earnings for those six tycoons.
Inequality has become a hot topic, propelling Bill de Blasio to become mayor of New York City, turning Senator Elizabeth Warren into a star, and elevating the economist Thomas Piketty into such a demigod that my teenage daughter asked me the other day for his 696-page tome. All this growing awareness is a hopeful sign, because there are policy steps that we could take that would create opportunity and dampen inequality.
We could stop subsidizing private jets and too-big-to-fail banks, and direct those funds to early education programs that help break the cycle of poverty. We can invest less in prisons and more in schools.
We can impose a financial transactions tax and use the proceeds to broaden jobs programs like the earned-income tax credit and career academies. And, as Alan S. Blinder of Princeton University has outlined, we can give companies tax credits for creating new jobs.
It’s time to bring the American dream home from exile.
By: Nicholas Kristof, Op-Ed Columnist, The New York Times, May 14, 2014
“The Beginning Of An Exceptional Friendship”: The American People’s Reply To Comrade Vladimir Putin
Dear President Putin,
Thank you so much for your letter to the American people! I am an American person, and when I learned on Thursday from the official Russian news agency, the New York Times, that you wanted “to speak directly to the American people,” I thought: How sweet!
I know I speak for many American people when I congratulate you on your English. It was flawless, with none of those dropped articles that plague so many of your countrymen. Please don’t be offended, but I have to ask: Did Edward Snowden help you with your letter?
It’s not just your English that impressed me. Your geopolitical points were smart — da bomb, as we American people like to say. (This is not the kind that would be used in Syria.) You were so thoughtful to bring up those memories of our days long ago as allies, and your references to “mutual trust” and “shared success” make me think that maybe we could be friends again. Your favorable mentions of Israel and the Pope remind me that we have so much in common.
Although some of us think it’s a good idea to have the U.S. military strike Syria, most of the American people agree with you that it would be a bad idea. (President Obama, you may have heard, is on both sides of the issue.) Your arguments against attack were creative, which is why it’s such a shame that, at the very end, you kind of stepped in it. When you told us that Americans are not “exceptional” — well, that hurts all of us American people.
I was surprised by this lapse because I think you really “get” Americans. When we saw photos of you shirtless in Siberia, you brought to mind one of our most celebrated American lawmakers, Anthony Weiner. When we watched you navigate around Russian laws to stay in power, you brought to mind another quintessentially American figure, Rod Blagojevich. The Harley-Davidson, the black clothing, the mistress half your age — you are practically American yourself.
This makes your crack about “American exceptionalism” all the more perplexing. “It is extremely dangerous to encourage people to see themselves as exceptional,” you wrote. “We are all different, but when we ask for the Lord’s blessings, we must not forget that God created us equal.” (Thank you for the considerate mention of God, by the way; American people respond well to that.) But I’m guessing what went wrong here is your translators let you down when they defined exceptional for you as luchshyy (better) rather than razlichnyy (different).
Americans do not believe they are better than other peoples. If you doubt this, you need only look at Congress. If we really thought we were superior, is there any chance we would choose them to represent us? There are exceptions — we think we are better than Canadians, for example, but please don’t tell them, because they’re awfully nice — but generally we accept that all countries have their strengths. We know, for example, that Russians are better than us at producing delicacies such as caviar and dioxin. (Kidding!)
When we say we are exceptional, what we really are saying is we are different. With few exceptions, we are all strangers to our land; our families came from all corners of the world and brought all of its colors, religions and languages. We believe this mixing, together with our free society, has produced generations of creative energy and ingenuity, from the Declaration of Independence to Facebook, from Thomas Jefferson to Miley Cyrus. There is no other country quite like that.
Americans aren’t better than others, but our American experience is unique — exceptional — and it has created the world’s most powerful economy and military, which, more often than not, has been used for good in the world. When you question American exceptionalism, you will find little support from any of us, liberals or conservatives, Democrats or Republicans, doves or hawks.
I hope you won’t take this criticism badly, because I offer it in friendship. I was in Slovenia that day in 2001 when President George W. Bush looked into your soul and liked what he saw. And had your ancestors not chased my ancestors out of Eastern Europe, I would not be here today, participating in the American experiment.
Anyway, it was such a pleasure to get your letter. Please write again soon. I think this is the beginning of an exceptional friendship.
By: Dana Milbank, Opinion Writer, The Washington Post, September 12, 2013
“The Great Divide”: The Stagnation Of American Education
For most of American history, parents could expect that their children would, on average, be much better educated than they were. But that is no longer true. This development has serious consequences for the economy.
The epochal achievements of American economic growth have gone hand in hand with rising educational attainment, as the economists Claudia Goldin and Lawrence F. Katz have shown. From 1891 to 2007, real economic output per person grew at an average rate of 2 percent per year — enough to double every 35 years. The average American was twice as well off in 2007 as in 1972, four times as well off as in 1937, and eight times as well off as in 1902. It’s no coincidence that for eight decades, from 1890 to 1970, educational attainment grew swiftly. But since 1990, that improvement has slowed to a crawl.
Companies pay better-educated people higher wages because they are more productive. The premium that employers pay to a college graduate compared with that to a high school graduate has soared since 1970, because of higher demand for technical and communication skills at the top of the scale and a collapse in demand for unskilled and semiskilled workers at the bottom.
As the current recovery continues at a snail’s pace, concerns about America’s future growth potential are warranted. Growth in annual average economic output per capita has slowed from the century-long average of 2 percent, to 1.3 percent over the past 25 years, to a mere 0.7 percent over the past decade. As of this summer, per-person output was still lower than it was in late 2007. The gains in income since the 2007-9 Great Recession have flowed overwhelmingly to those at the top, as has been widely noted. Real median family income was lower last year than in 1998.
There are numerous causes of the less-than-satisfying economic growth in America: the retirement of the baby boomers, the withdrawal of working-age men from the labor force, the relentless rise in the inequality of the income distribution and, as I have written about elsewhere, a slowdown in technological innovation.
Education deserves particular focus because its effects are so long-lasting. Every high school dropout becomes a worker who likely won’t earn much more than minimum wage, at best, for the rest of his or her life. And the problems in our educational system pervade all levels.
The surge in high school graduation rates — from less than 10 percent of youth in 1900 to 80 percent by 1970 — was a central driver of 20th-century economic growth. But the percentage of 18-year-olds receiving bona fide high school diplomas fell to 74 percent in 2000, according to the University of Chicago economist James J. Heckman. He found that the holders of G.E.D.’s performed no better economically than high school dropouts and that the rising share of young people who are in prison rather than in school plays a small but important role in the drop in graduation rates.
Then there is the poor quality of our schools. The Program for International Student Assessment tests have consistently rated American high schoolers as middling at best in reading, math and science skills, compared with their peers in other advanced economies.
At the college level, longstanding problems of quality are joined with the issues of affordability. For most of the postwar period, the G.I. Bill, public and land-grant universities and junior colleges made a low-cost education more accessible in the United States than anywhere in the world. But after leading the world in college completion, America has dropped to 16th. The percentage of 25- to 29-year-olds who hold a four-year bachelor’s degree has inched up in the past 15 years, to 33.5 percent, but that is still lower than in many other nations.
The cost of a university education has risen faster than the rate of inflation for decades. Between 2008 and 2012 state financing for higher education declined by 28 percent. Presidents of Ivy League and other elite schools point to the lavish subsidies they give low- and middle-income students, but this leaves behind the vast majority of American college students who are not lucky or smart enough to attend them.
While a four-year college degree still pays off, about one-quarter of recent college graduates are currently unemployed or underemployed. Meanwhile, total student debt now exceeds $1 trillion.
Heavily indebted students face two kinds of risks. One is that they fall short of their income potential, through some combination of unemployment and inability to find a job in their chosen fields. Research has shown that on average a college student taking on $100,000 in student debt will still come out ahead by age 34. But that break-even age goes up if future income falls short of the average.
There is also completion risk. A student who takes out half as much debt but drops out after two years never breaks even because wages of college dropouts are little better than those of high school graduates. These risks are acute for high-achieving students from low-income families: Caroline M. Hoxby, a Stanford economist, found that they often don’t apply to elite colleges and wind up at subpar ones, deeply in debt.
Two-year community colleges enroll 42 percent of American undergraduates. The Center on International Education Benchmarking reports that only 13 percent of students in two-year colleges graduate in two years; that figure rises to a still-dismal 28 percent after four years. These students are often working while taking classes and are often poorly prepared for college and required to take remedial courses.
Federal programs like No Child Left Behind and Race to the Top have gone too far in using test scores to evaluate teachers. Many children are culturally disadvantaged, even if one or both parents have jobs, have no books at home, do not read to them, and park them in front of a TV set or a video game in lieu of active in-home learning. Compared with other nations where students learn several languages and have math homework in elementary school, the American system expects too little. Parental expectations also matter: homework should be emphasized more, and sports less.
Poor academic achievement has long been a problem for African-Americans and Hispanics, but now the achievement divide has extended further. Isabel V. Sawhill, an economist at the Brookings Institution, has argued that “family breakdown is now biracial.” Among lower-income whites, the proportion of children living with both parents has plummeted over the past half-century, as Charles Murray has noted.
Are there solutions? The appeal of American education as a destination for the world’s best and brightest suggests the most obvious policy solution. Shortly before his death, Steve Jobs told President Obama that a green card conferring permanent residency status should be automatically granted to any foreign student with a degree in engineering, a field in which skills are in short supply..
Richard J. Murnane, an educational economist at Harvard, has found evidence that high school and college completion rates have begun to rise again, although part of this may be a result of weak labor markets that induce students to stay in school rather than face unemployment. Other research has shown that high-discipline, “no-excuses” charter schools, like those run by the Knowledge Is Power Program and the Harlem Children’s Zone, have erased racial achievement gaps. This model suggests that a complete departure from the traditional public school model, rather than pouring in more money per se, is needed.
Early childhood education is needed to counteract the negative consequences of growing up in disadvantaged households, especially for children who grow up with only one parent. Only one in four American 4-year-olds participate in preschool education programs, but that’s already too late. In a remarkable program, Reach Out and Read, 12,000 doctors, nurses and other providers have volunteered to include instruction on the importance of in-home reading to low-income mothers during pediatric checkups.
Even in today’s lackluster labor market, employers still complain that they cannot find workers with the needed skills to operate complex modern computer-driven machinery. Lacking in the American system is a well-organized funnel between community colleges and potential blue-collar employers, as in the renowned apprenticeship system in Germany.
How we pay for education shows, in the end, how much we value it. In Canada, each province manages and finances education at the elementary, secondary and college levels, thus avoiding the inequality inherent in America’s system of local property-tax financing for public schools. Tuition at the University of Toronto was a mere $5,695 for Canadian arts and science undergraduates last year, compared with $37,576 at Harvard. It should not be surprising that the Canadian college completion rate is about 15 percentage points above the American rate. As daunting as the problems are, we can overcome them. Our economic growth is at stake.
By: Robert J. Gordon, The New York Times, September 7, 2013
“Not All Birthers Are The Same”: No, Ted Cruz ‘Birthers’ Are Not The Same As Obama Birthers
Sen. Ted Cruz (R-Texas) on Monday released his birth certificate, seeking to put to rest questions about whether the Canadian-born senator is qualified to run for president in 2016.
Immediately, parallels were drawn to President Obama’s 2011 release of his own birth certificate, which also was meant to end lingering questions about his eligibility to be president.
And for the few in the birther community, they see hypocrisy. Why are the media not denouncing those who question Cruz’s eligibility in the same way they have denounced the so-called “birthers” who continue to question Obama’s?
The reason? Because about the only thing these two situations have in common is that they involve a birth certificate and a presidential candidate.
Questions about Cruz’s eligibility have everything to do with interpretation of the law; the questions about Obama’s eligibility had everything to do with a dispute over the underlying facts — more specifically, conspiracy theories about whether the president was actually born in the United States, as he claimed, and whether he somehow forged a birth certificate that said he was born in Hawaii.
In Cruz’s case, nobody is disputing the underlying facts of the case — that Cruz was born in Canada to a Cuban father and a mother who was a United States citizen. As we wrote back in March, that makes him a U.S. citizen himself, but it’s not 100 percent clear that that is the same thing as a “natural born citizen” — the requirement for becoming president.
Most scholars think it’s the same thing, and the Congressional Research Service said in 2011 that someone like Cruz “most likely” qualifies to run for president. But to this point, there is no final word from the courts, because while foreign-born candidates have run — including George Romney and John McCain — none of them has actually won and had his eligibility challenged.
Obama was also born to a mother who was a U.S. citizen, meaning if he was in fact born outside the United States, the situations might be parallel. But birthers weren’t making a legal argument about Obama; they were arguing the facts about where he was born and accusing him of perpetrating a massive fraud.
Some will accuse the media of instituting a double standard when it comes to these two cases because Cruz is a Republican and Obama is a Democrat. But nobody is accusing Cruz of lying about his past as part of a vast conspiracy to become president.
It’s just not an apples-to-apples comparison.
By: Aaron Blake, The Washington Post, August 19, 2013
“A Corporate Honeypot”: Look Out, Here Comes The New Border-Industrial Complex
“Good fences make good neighbors,” goes the old adage. That civilizing thought refers to such friendly structures as the beautiful rock walls of New England, elegant split rails in the South, iconic whitewashed pickets of the Midwest and even privacy fences in neighborhoods all across our country.
But the neighborly adage definitely did not contemplate the 700-mile, 20-foot-high, drone-patrolled, electronically monitored fence of steel and razor wire that our government has erected across our nation’s border with Mexico, from the tip of Texas to California’s Pacific Coast.
This thing is not a fence, but a monstrous wall of hostility, a deliberate affront to our Mexican neighbors. As Senator John McCain aptly put it in a recent debate on immigration, our Land of the Free has constructed “the most militarized border since the fall of the Berlin Wall!”
There are four big flaws with the theory that you can “secure” a border (i.e., keep people from crossing it) by throwing up a big ol’ wall. First, it doesn’t work. A 20-foot wall quickly begets 22-foot ladders — people are innately inventive, and those determined to get in or out will find many ways to do it.
Second, walls create bigger problems than they resolve, for they are deeply divisive. Our Mexican wall is ugly, both literally and in the unmistakable message of contempt it screams nonstop at the Mexican people. It’s generating bitterness toward us — and that turns neighbors into enemies.
Third, that wall has physically ripped healthy relationships apart. For centuries, families, friends, businesses and cities themselves were thoroughly integrated into unified communities across the artificial line drawn on a map.
Fourth, such walls are insanely expensive — so far, Washington has hurled tens of billions of dollars at this one to build, maintain and police it. Enforcement alone costs $18 billion per year. In addition, states have dumped untallied billions into it.
Can these policymakers even spell w-a-s-t-e? Yet the U.S. Senate voted overwhelmingly in June to waste another $46 billion to build 700 more miles of the hateful wall and double the number of militarized border agents.
Is there no other need in our country for that money? Nothing constructive we might do with it?
But I shouldn’t be too harsh on Washington, for both Republicans and Democrats are beginning to respond aggressively to economic needs. “It has been a tough time,” says one Washington insider, noting with relief that a new spending proposal “could help out.”
Unfortunately, he and Congress aren’t referring to your tough times or helping out with your needs. No, no — they are rushing to the aid of the multibillion-dollar military-industrial complex. The government, you see, has not been getting our nation into enough wars to satisfy the insatiable appetite that Lockheed Martin, Northrop Grumman and other war profiteers have for government money. But now they’ve spied a new place they can militarize with their high-tech, high-cost, razzle-dazzle weaponry: yes, that border we share with Mexico.
In recent months, these corporate predators deployed an army of lobbyists to Congress, armed with mass campaign contributions. Targeting the immigration issue, “border security!” is their battle cry. They’ve already conquered the Senate’s bipartisan immigration bill, stuffing it with $46 billion for goosed up militarization of the 2,000-mile border. They’ve literally turned the immigration bill into a corporate honeypot. More drones! More electronic gadgetry! More agents needing more weapons, night-vision goggles and other war toys!
Various corporate lobbyists put their specific wish lists directly in the Senate bill. Rather than calling generally for the purchase of certain categories of hardware, it mandates brand-name purchases. For example, the bill requires the border patrol to buy six airborne radar systems from Northrop at $9.3 million each and 15 Black Hawk helicopters from Sikorsky at $17 million apiece.
What we have here is the emergence of a full-fledged monster — a Border-Industrial Complex that literally will tax us with an ever-expanding policy of permanent border war.
How long before they use the cry of “terrorism!” to militarize the Canadian border, too? And what after that? My guess is they’ll want to seal off those pesky antiwar radicals in places like Vermont! Ultimately, they can fence all of us in. Or is it out?
By: Jim Hightower, The National Memo, July 31, 2013
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