“Bad News For The Jobless And America”: How Our Economy Lost $400 Million In One Week Alone
Long-term unemployment benefits expired on December 28, meaning an absence of checks this week for more than 1 million jobless Americans. That’s bad news for them, of course—but also the rest of us. According to a new analysis from the minority staff of the House Ways and Means Committee released Friday, $400 million was drained from state economies this week alone thanks to the lapse.
Unemployment benefits are one of the more effective forms of stimulus because the money is badly needed and thus spent right away. The Congressional Budget Office says 200,000 jobs will be lost this year if the benefits are not restored, and this week the damage began.
Big states were obviously the hardest hit, naturally: nearly $65 million came out of the California economy in one week alone, according to the analysis. And of course, states represented by Republicans who oppose the extension each suffered some economic harm. Senator John Cornyn twice blocked a vote on an unemployment insurance extension before the holiday recess, and his home state of Texas lost $21.8 million this week.
Yet Republicans, so far, have not expressed any desire to extend the benefits. “Every week that Republicans fail to act tens of thousands of additional long-term unemployed Americans lose this vital lifeline as they look to get back on their feet after the worst recession in generations, and the economy in each state is taking a hit,” said Representative Sander Levin, the ranking member on Ways and Means.
Senator Harry Reid has promised a vote early next week on a bill by Senators Jack Reed and Dean Heller to extend the benefits for three months, with no offsetting spending cut, so that a longer-term bill can be worked out. But Heller is the only known Senate GOP sponsor to date, and House Speaker John Boehner has said he doesn’t want any bill without a pay-for attached.
If that bill fails, Democrats have a couple options this month: an extension of benefits could perhaps be folded into either the farm bill, which is in conference negotiations, or into the several omnibus spending bills that need to be finalized soon. In those latter two cases, Republicans would no doubt extract some sort of price from Democrats for extended benefits, but perhaps a solution is still possible.
But, again, Republicans seem to have other plans. House majority leader Eric Cantor announced Thursday his plans for the new year: yet another vote to modify Obamacare, this time adding new security requirements to the health insurance exchanges. The White House has said there is no danger of breaches, and some observers, like Steve Benen, think Cantor’s bill is simply a ploy to scare people away from the exchanges.
In any case, while Cantor fiddles around with his messaging bill on Obamacare (which will never be signed into law), his home state of Virginia lost $2.8 million in economic activity this week, as 9,700 people lost benefits. That’s going to be hard to justify as time goes on, both for Cantor and his colleagues.
By: George Zornick, The Nation, January 3, 2014
“Why Republicans Can’t Address Rising Inequality”: Even In The Face Of Reality, They Cannot Confess That They Aren’t Troubled At All
So far, the Republican response to President Obama’s historic address on economic inequality has not veered from the predictable clichés of Tea Party rhetoric. It was appropriately summarized in a tweet from House Speaker John Boehner, complaining that the Democrat in the White House wants “more government rather than more freedom” – and ignoring his challenge to Republicans to present solutions of their own.
But for Republicans to promote real remedies – the kind that would require more than 140 characters of text – they first would have to believe that inequality is a real problem. And there is no evidence that they do, despite fitful attempts by GOP leaders on Capitol Hill to display their “empathy” for the struggling, shrinking middle class.
Back when Occupy Wall Street briefly shook up the national conversation, House Majority Leader Eric Cantor and Budget Committee chair Paul Ryan both professed concern over the nation’s growing disparities of wealth and income. But their promises of proof that they care – and more important, of policy proposals to address what Cantor admits are “big challenges” – simply never materialized.
Meanwhile, working Americans learned what rich Republicans say in private about these sensitive topics when the “47 percent” video surfaced the following summer, in the final months of the 2012 presidential campaign. In Mitt Romney’s unguarded remarks to an audience of super-rich Florida financiers, the contempt for anyone who has benefited from public programs (other than banking bailouts) was palpable. Whether that sorry episode turned the election is arguable, but the Republican brand has never recovered – and the perception that Republicans like Romney and Ryan are hostile to the interests of working people remains indelible.
Of course, the House Republicans have done nothing to diminish that impression and everything to reinforce it. They have set about cutting food stamps, killing extended unemployment benefits, rejecting Medicaid expansion, as if competing in demonstrations of callous indifference. They complain about the lack of jobs – so long as they can blame Obama – but undermine every program designed to relieve the suffering of the jobless.
Callous or not, they are certainly indifferent to the injuries of inequality. In a party consumed by right-wing ideology and market idolatry, the further enrichment of the super-rich at the expense of everyone else is a feature of capitalism, not a bug. Whenever they bray about “getting government out of the way,” that means removing the last defenses against that process.
With Pope Francis and President Obama — a pair of the world’s most powerful voices — warning against the dangers of social exclusion and excessive greed, we can expect to hear expressions of remorse as well as rage from all the usual right-wing suspects. But what we shouldn’t expect is honesty. Republicans know that worsening inequality disturbs the great majority of Americans, so they cannot confess that they aren’t troubled at all.
Congress could begin to address the income gap, which conservative policies have exacerbated for three decades. Raising the minimum wage significantly would be a first step toward restoring fairness. Rebuilding the nation’s infrastructure and school systems, rather than letting them continuously decay, would raise employment substantially and improve incomes. Removing obstacles to unionization would begin to level the gross disparities in economic power between the 1 percent and the rest of us.
Now the president has vowed to fight inequality for the rest of his days in office. He is taking that fight directly to the Republicans who have frustrated so many of his initiatives. He will have to cast aside the last illusions of bipartisanship.
No matter what he does or says, he may not be able to win a higher minimum wage or a serious jobs program or universal pre-school with the other party controlling Congress. But if he consistently challenges us — and his adversaries — to restore an American dream that includes everyone, he may yet fashion a legacy worthy of his transformative ambitions.
By: Joe Conason, Featured Post, The National Memo, December 5, 2013
“The Impoverished Republican Poverty Agenda”: Republicans Don’t Know Where They Are Headed Or What They Can Sell
What are Republicans for? We know they are against health-care reform. They voted en masse against it, shut down the government to stop it and have voted nearly 50 times to defund it. We know they are against government spending. They’ve voted for House Budget Committee Chairman Paul Ryan’s draconian budgets, which would slash spending so deeply that even some Republicans are in increasingly open revolt. But those budgets don’t go anywhere. So what do Republicans propose that actually addresses the challenges facing the nation or its people?
Republican leaders are clearly concerned that their policy house is largely vacant. In his dissection of the lost 2012 campaign, Republican National Committee Chair Reince Priebus noted that Republicans suffer a “major deficiency” – the “perception that the GOP does not care about people.” He urged a renewed effort to become “the champion of those who seek to climb the economic ladder.”
All that advice was lost in the anti-Obama venom that unifies Republicans. But after the government shutdown sent Republican poll numbers plummeting to new depths, a new effort – or at least a new public relations push – has been launched. The early reports make the administration’s botched health-care takeoff look smooth by comparison.
Politico noted that Republicans trooping into House Majority Leader Eric Cantor’s office received a paper titled “Agenda 2014.” The paper was blank. As of now, Politico reported, details are scant, but Republicans seem to be focused more on identifying the problems than the solutions. “The beginning should always be what are the problems we’re trying to fix,” said Republican policy chair James Lankford (Okla). Or as a GOP aide involved in the planning sessions was quoted: “Cantor wants to take us in a new direction, which is good. The problem is that we don’t know where we are headed, and we don’t know what we can sell to our members.”
Luckily, Cantor isn’t the only game in town. The Post published an adoring article on Ryan, Mitt Romney’s former running mate. The Post reported that Ryan and his staff have been “quietly” visiting “inner-city neighborhoods” and conservative think tanks, looking for creative ways to address poverty that can replace the “bureaucratic top-down anti-poverty programs” that Ryan’s budget would gut.
But the new ideas can’t include any new taxes or new spending – Ryan is staunchly against both. That doesn’t leave much. According to The Post, “his idea of a war on poverty so far relies heavily on promoting volunteerism and encouraging work through existing federal programs, including the tax code.” He’s repackaging private-school vouchers. And Ryan assumes that charity might take the place of the food stamps he’s cutting. “You cure poverty eye to eye, soul to soul,” he told a Heritage Foundation forum. “Spiritual redemption: That’s what saves people.” Prayer is good, but when it comes to public policies, as The Post story concluded, “Ryan’s speeches have been light on specifics.”
Some of those “specifics” are being offered by the tea party. Ryan and Cantor may be casting about for ways to look compassionate, but the tea party remains on the hunt. Politico detailed that Rep. Tim Heulskamp (Kan.) and a group of conservatives are gearing up for yet another assault on health-care reform. Assuming that the budget negotiations don’t reach an agreement by the December deadline, Congress will have to pass a continuing resolution by mid-January to keep the government open and funded. Huelskamp and his allies think that’s a perfect time to cut $20 billion out of Medicaid and transfer it to the Pentagon. That would eliminate Medicaid expansion – the one part of Obamacare that is working well – and placate Republicans worried about the cuts the military faces next year.
Cut health protection for the working poor and give the money to a Pentagon that is the largest center of waste, fraud and abuse in the federal government? Or slash food stamps while fending off every effort to close the tax dodges that allow companies like General Electric to avoid paying any taxes? The Republican “war on poverty” looks a lot like a war on the poor. It will take a lot of charity and volunteers and a lot more than “messaging” and “rebranding” to erase that indelible “deficiency.”
By: Katrina vandel Heuvel, Opinion Writer, The Washington Post, November 26, 2013
“The Party Of Zilch”: The GOP Is Out To Destroy The Country
Yes, the headline is rather hyperbolic. It’s as over-the-top as some of President Obama’s most unhinged critics, who believe he is running the nation without care or concern for the Constitution. But when you look at the actions of the Republican Party, particularly its members in Congress, my headline seems appropriate.
Three different pieces highlighted how the GOP is grinding just about every sector of the federal government to a halt. And it is doing it through a cynical combination of obstruction, saying no and failing to have viable alternative proposals worthy of national debate. Whatever political gains Republicans achieve in the short-term come at the long-term expense of the country. That’s simply unacceptable.
Even though the Affordable Care Act (a.k.a. Obamacare) is much more than a Web site, the disastrous roll out of Healthcare.gov has done a number on the president’s standing with the American people. According to the latest Post-ABC News poll, Obama’s overall approval rating sits at 42 percent. His 55 percent disapproval rating is the highest of his presidency. This would be the perfect time for the opposition to step forward with those alternative proposals. But the GOP is “The Party of Zilch,” as Ron Fournier so accurately described.
Rather than be the party of solutions in a gridlocked capital, appealing to a leadership-starved public, the GOP is the party of obstruction, ensuring that its putrid approval ratings nose dive apace with Obama’s.
The country needs sensible immigration reform that brings 11 million or so undocumented residents out of the shadows. No, says the GOP
The country needs to tame a massive debt that will be 100 percent of the gross domestic product by 2038 unless Congress raises revenue and trims entitlements. No, says the GOP.
The country needs fair debate and compromise around existential issues such as climate change, income inequality, and a deteriorating 20th century infrastructure. No, says the GOP.
“Other than hard partisans on the left and right, the majority of the public—moderate, fix-it Americans who simply want a sensible government—now have nowhere to turn, because the GOP is the party of nothing,” Fournier correctly concludes.
The New York Times editorial board delivered its own party-of-zilch disquisition using opposition to the ACA as the jumping off point.
What is the Republican alternative to this government program, flawed as it is right now? There is none. Party members simply want to repeal the health law and let insurers go back to canceling policies at the first sign of a shadow on an X-ray. They have no immigration policy of their own. They have no plan that will stimulate job growth. They are in favor only of shutdowns and sequesters and repeals, giving the public no reason to believe they have a governing vision or even a legislative agenda.
That congressional Republicans have no “governing vision or even a legislative agenda” was proven in a Politico story on Sunday. The headline said it all: “House GOP 2014 agenda starts with blank slate.”
Last Thursday, a group of House Republicans filed into Majority Leader Eric Cantor’s Capitol office suite and received a blank piece of paper labeled “Agenda 2014.”
The blank slate just about sums up where Republicans find themselves after a year marked by the first government shutdown in 17 years, futile efforts to repeal Obamacare and the inability to pass spending bills at the levels set by Republican leaders.
As bad as that is, what a Republican aide said is worse. “What we have done so far this year clearly hasn’t worked,” the GOP aide involved in the planning sessions told the Politico reporters. “Cantor wants to take us in a new direction, which is good. The problem is we don’t know where we are headed, and we don’t know what we can sell to our members.” This no way to run an enterprise as large and as important as the United States.
The judicial branch is crippled as qualified nominees go unconfirmed due to “unfair hurdles in the Senate.” As a result, the U.S. Court of Appeals for the District of Columbia, the nation’s second-highest court, has three vacancies on the 11-seat court that handles cases involving federal regulations and national security. Half of the legislative branch is in thrall to a band of right-wing zealots unmoved by facts as much as they are motivated by hatred of the president. As a result, the threat of government shutdowns and default is constant. Inaction on pressing issues is now routine. And the executive branch finds its agenda held hostage by an opposition that schemed against it since before its inauguration in 2009, even though said agenda was approved by the American people — twice.
That the Obama administration has been able to get as much done as it has speaks to the president’s determination to move this nation forward. Yet it’s not enough. Ours is a government that requires two functioning parties that produce good public policy through the necessary friction of governing. Neither party is perfect nor has all the ideas or the answers. But no good comes from a party that gives up completely on governing.
At the end of its editorial, the Times noted, “Democrats may be stumbling right now, but at least they are trying.” Would that Republicans did the same. It is long past time they did.
By: Jonathan Caphart, The Washington Post, November 20, 2013
“This Is Sabotage, Plain And Simple”: The Unprecedented GOP Efforts To Undermine A Federal Law
Sen. Joe Manchin (D-W.Va.), who’s never been the Affordable Care Act’s biggest fan, appeared on MSNBC yesterday to join the critical chorus. In reference to the Obama administration, the conservative Democrat said, “The bottom line is that they messed up, they messed up royally. There’s no excuse for this.”
The administration’s missteps have been well documented, and officials have earned much of the criticism they’ve received. But to say there’s “no excuse” is to overlook Republican sabotage efforts that have made a real difference.
Todd Purdum recently made the case, for example, that “calculated sabotage by Republicans at every step” is a “less acknowledged cause” of the rollout’s troubles. Jamelle Bouie added this week, “If Republicans have shown anything over the last four years, it’s that they’ll do anything to stop the Affordable Care Act, even if it amounts to legislative sabotage.”
We’ve talked before about the scope of these unprecedented efforts to undermine a federal law, which include blocking necessary resources needed for implementation, public misinformation campaigns, discouraging public-private partnerships, blocking Medicaid expansion, blocking CMS nominees, refusing to create marketplaces, and prohibiting “Navigators” from doing their jobs. But the campaign is arguably intensifying now.
Dana Milbank reports on House Republican leaders who emerged from their weekly meeting yesterday and tried to scare the bejesus out of Americans.
The Republicans’ scary-movie strategy has some logic to it: If they can frighten young and healthy people from joining the health-care exchanges, the exchanges will become expensive and unmanageable. This is sabotage, plain and simple – much like the refusal by red-state governors to participate in setting up the exchanges in the first place.
The quotes from House GOP leaders are rather remarkable. Majority Leader Eric Cantor (R-Va.) said health care reform may lead to identity theft; Speaker John Boehner (R-Ohio) falsely claimed “premiums are going right through the roof”; Majority Whip Kevin McCarthy (R-Calif.) warned that consumers who visit healthcare.gov may become victims of fraud; and Caucus Chair Cathy McMorris Rodgers (R-Wash.) said vulnerable constituents may be put “on the casualty list.”
Milbank added, “Let’s hope the new health-care plans have generous coverage for anti-anxiety medication.”
Let’s not forget that the difference between a lie and a falsehood is intent – if you know the truth and say the opposite because your goal is deceit, you’re lying. And for the most part, congressional Republicans, whose interest in helping provide greater health security for Americans is easily trumped by their interested in destroying a Democratic law, have been reducing to lying.
But for saboteurs, honesty and serious policy debate are easily sacrificed for the larger goal. Indeed, they’re a small price to pay.
Also note, we’re looking at quite a one-two punch from the far-right – on the one hand we see the Koch brothers and their allies urge the uninsured to stay that way on purpose, in order to advance conservatives’ ideological goals, and on the other we see congressional Republicans try to terrify the public in the hopes that people who stand to benefit from “Obamacare” steer clear of the system.
President Obama added yesterday, during an interview with the Wall Street Journal, that if both parties were “invested in success,” the rollout wouldn’t have been quite so rocky. “One of the problems that we’ve had is that one side of Capitol Hill is invested in failure and that makes the kind of iterative process of fixing glitches as they come up and fine tuning the law more challenging,” he added.
There’s no denying that the dysfunctional health care website matters, and the administration’s missteps deserve criticism. But Republican sabotage matters, too.
Kevin Drum recently explained, “No federal program that I can remember faced quite the implacable hostility during its implementation that Obamacare has faced. This excuses neither the Obama administration’s poor decisions nor its timidity in the face of Republican attacks, but it certainly puts them in the proper perspective.”
By: Steve Benen, The Maddow Blog, November 20, 2013
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