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“We’ve Heard it All Before”: Hey Mitt, You Can’t Cry For Teacher When You Started The Fight

The latest attack from the Obama campaign takes aim on Romney’s rhetoric and record in Massachusetts.

The latest Obama campaign ad—which will air mainly in swing states—continues the attack on Mitt Romney’s record in Massachusetts: http://youtu.be/oWdZEJW1vWY

This attack goes directly to the heart of Romney’s presidential campaign. The Republican nominee has based his entire on argument on the claim that—by dint of his business experience—he is uniquely qualified to lead the country into a more robust recovery. Indeed, private sector experience has totemic properties in Romney’s narrative; Obama is a failure because he’s “never met a payroll” and “doesn’t understand the economy,” while Romney sees business as the most important qualification a president can have.

But, with a quote from Romney’s gubernatorial campaign—“I know how jobs are created”—the Obama campaign raises a basic question: When Romney ran for governor of Massachusetts he used his business experience as proof he could create jobs for Massachusetts, instead, he led the state to the bottom of the pack for job creation. Now, running for president, he’s using the same arguments. Why should we expect different results this time? This is a play on the familiar trope of the businessperson who talks more than they deliver, and it could be an effective assault on Romney’s perceived competence, especially if paired with continued attacks on Bain Capital.

The Romney campaign has had an interesting and familiar response to this attack. As Pema Levy points out at Talking Points Memo, the Romney team correctly hits Obama for neglecting the extent to which the former governor inherited a bad situation. Here’s Ed Gillespie, a surrogate for the Romney campaign:

“This is what they’re doing, Chris,” Gillespie said. “You take the first year, which is a low base year when the governor came in and took office, because it was 50th in job creation out of all of the states, dead last … and they’re averaging out over the four years. So, they are bringing down the gains of his fourth year in office, which shows the real impact of his policies and diluting it with the first year in office.”

This is exactly what the Romney campaign is doing with regards to Obama’s economic record. By blaming Obama for job losses that occurred before his policies passed or took effect, the Romney team is able to say that the United States lost jobs under his tenure. But if you count from when Obama’s policies took effect, then you end up with more than two years of private sector job growth.

This situation is similar to the one that developed last year, when the Romney team hammered Obama with a deeply misleading ad that took the president’s words out of context. When Democrats responded with their own set of context-free attacks, the Romney campaign cried foul. In other words, if the Romney campaign insists on using misleading attacks, then it has to expect that the same treatment in response. You can’t cry for teacher when you’re the one who started the fight.

 

By: Jamelle Bouie, The American Prospect, June 4, 2012

June 5, 2012 Posted by | Election 2012 | , , , , , , , | Leave a comment

“A Service To The Nation”: Obama Has The Right And Duty To Highlight Romney’s Record

Has the Obama Campaign Gone Too Negative?

Your question presumes “negative campaigns” are a problem. Like everything else they can go too far, but negative campaigning began with the very first elections. In ancient Rome, Cicero railed against his opponents for incest with a sister, debauchery with actors, thuggery with gladiators, not to mention child molestation with boys so young they were “almost in their parents’ laps.” In our first presidential election, Thomas Jefferson’s opponents argued that if he were elected, “Murder, robbery, rape, adultery and incest will be openly taught and practiced…” In our more genteel times, such attacks would be far out of bounds.

Negative campaigning happens because it works. It works in part because negative information is useful. We naturally look for the negative. When an employer rummages through a pile of resumes, she is looking for the easy disqualification, the reason to discard a few candidates. Unlike their more pleasant, positive counterparts, negative ads tend to include at least one verifiable fact. While positive ads often feature a candidate, jacket slung over a shoulder, mouthing platitudes in the company of an adoring family, negative ads describe votes cast, positions taken, failed efforts, and values forsaken.

Our brains are wired to weigh this kind of information heavily. Decades of research in psychology demonstrates that negative information is processed more quickly and more deeply than positive information, providing a biological basis for negative campaigns. They conform to human nature.

So-called negative campaigning isn’t all bad—and sometimes it’s both fair and necessary. The natural state of an election involving an incumbent president is to be a referendum on that incumbent—an up or down vote on the individual occupying the Oval Office. That’s not only unfair to the president, its unhealthy for the country. Elections actually confront us with choices, choices between two different individuals with different histories, different philosophies, different values, and different platforms. Voters should think of the campaign as a choice.

Bringing former Gov. Mitt Romney’s faults to the fore helps the American people see this election as the choice it is. That’s both good for the president and good for the country. As long as the blows aren’t below the belt and focus on what former Governor Romney has done, what he believes, and what he will do, there is nothing at all untoward about the tack taken by the president’s campaign. In fact, it’s a service to the nation.

June 5, 2012 Posted by | Election 2012 | , , , , , , , | Leave a comment

“Chum In The Water”: Romney’s Economic Plan Is Deregulation Plus The Ryan Budget

As Mike Allen of Politico explains today, the Romney campaign and American Crossroads are undertaking a sustained attack (uncoordinated, of course, since coordination would be illegal) on the Obama administration’s economy policies

Mitt Romney’s campaign events and the firepower of American Crossroads will both focus this week on President Barack Obama’s jobs record as a way to fight off charges about the Republican candidate’s private-sector experience, with a Romney aide attacking the stimulus as “the mother of all earmarks….”

A senior campaign aide said Romney will argue that Obama has actually subtracted jobs: “Were these investments the best return on tax dollars, or given for ideological reasons, to donors, for political reasons? He spent $800 billion of everybody’s money. How’d it work out?”

“It was the mother of all earmarks, not a jobs plan,” the aide said. “By wasting all of this money, you had the worst of all worlds: It destroyed confidence in the economy and makes people less likely to borrow money. Dodd-Frank has been a disaster for the economy. Where are the steady hands? Who’s in charge of energy? Where’s the strong, confident voice on the economy?”

At WaPo’s Plum Line, Greg Sargent makes the point that this offensive presents an almost impenetrable pack of lies:

So Romney will now go back to claiming Obama subtracted jobs. But there’s a new twist: Romney will claim that the effect of the stimulus has been to destroy jobs. As it has in the past, the Romney camp will justify this by pointing to a bogus metric — the net jobs lost on Obama’ watch. That includes the hundreds and hundreds of thousands of jobs lost before the stimulus went into effect. Really: The Romney camp’s claim is that we can calculate that the stimulus destroyed jobs overall with a metric that factors in all the jobs destroyed before the stimulus took effect. That’s not an exaggeration. It really is the Romney campaign’s position. It’s time to ask Romney himself to justify it.

The Romney camp will also begin claiming that Obama has “never created a job.” Will anyone ask Romney about the two dozen straight months of private sector job creation we’ve seen?

And that’s just the half of it, since the Romney campaign is also basing its attacks on the “confidence fairy” (Obama has killed jobs just by being a Democrat; Romney will generate them by his very aura, which makes other rich people feel like goin’ out and creatin’ them some jobs!), and on the phony premise that “the stimulus” (designed in no small part in response to Republican demands for more tax cuts and less direct public-sector spending) represented some sort of grand left-wing “industrial policy” instead of a demand-boosting effort to accelerate federal spending on projects and priorities already in the works.

It’s beginning to become apparent that Team Mitt will throw vast amounts of chum into the water to avoid the fundamental reality that its candidate’s own Economic Plan is basically deregulation plus the Ryan Budget. Perhaps if Romney is going to traipse around the country mocking individual federally-funded projects, someone should follow him around pointing out what the Ryan Budget would do to the same locales. It would not look pretty.

 

By: Ed Kilgore, Contributing Writer, Washington Monthly Political Animal, May 29, 2012

June 4, 2012 Posted by | Election 2012 | , , , , , , , , | Leave a comment

“Mitt Romney’s Entitlement Society”: Winning For Losing, Money That Flow’s To The Wealthy

Mitt Romney, who secured the number of delegates needed for the Republican nomination last week, said early on that this election is a choice between President Barack Obama’s “entitlement society” in which people are dependent on government benefits, and his “opportunity society” where business is free to flourish.

But if you take Romney’s own life as representing a governing philosophy, he has the dichotomy backward. Romney is the one who has taken advantage of government entitlements — the ones that flow to the wealthy. And his interest in opportunity lies with rich investors who exploit government rules, often to the detriment of Main Street. Romney’s use of the federal bankruptcy courts to extinguish debts owed to suppliers, shops and service providers is a perfect example — more on that later.

For starters, let’s tick off some of Romney’s favorite government entitlements:

• Special tax rules allow him to pay federal income taxes of just 15 percent on his millions in “carried interest” profits, capital gains and dividends. The rest of us pay a rate of up to 35 percent on income from work.

• Bain Capital, the private equity firm Romney founded and ran from 1984 to 1999, only succeeded due to a major tax loophole. Bain was able to deduct the interest on the massive loans taken out to finance the purchase of its takeover targets — loans secured with the companies’ own assets. In 2008, Germany put limits on this kind of tax shenanigans, but don’t expect anything that enlightened to happen here.

• Romney’s firm also enjoyed government largess in the form of job creation tax breaks. Just the year before Dade Behring, a Bain company, closed its operations in Puerto Rico in early 1998, with nearly 300 workers losing their jobs, the company received federal tax break of $3 million for promoting jobs there and a $4.1 million tax exemption from Puerto Rico.

But there is no big government entitlement as magical or beloved by Romney and Bain than the get-out-of-debt-free card bestowed by federal bankruptcy court.

Dade Behring went bankrupt, leaving Main Street creditors empty-handed, but not before Romney’s firm took $242 million out of it. In fact, of Bain’s 10 top business investments that made up 70 percent of the $2.5 billion Bain made for investors, four eventually went bankrupt, according to the Wall Street Journal.

That’s called winning for losing, a game perfected by top 1 percenters.

For a closer look at one destructive bankruptcy, read “Romney Economics: Cheat Main Street,” a column by Leo Gerard in the Huffington Post (http://tinyurl.com/dylorbl).

Gerard documents the way Bain left Main Street businesses licking their financial wounds as it legally absconded with millions in management fees, dividends and other distributions. His featured example is American Pad and Paper Co. (Ampad) that Bain bought from Mead Corp. in 1992. Bain remained the company’s largest single shareholder through 1999, and three Bain executives sat on its board. In 2000, the company filed for bankruptcy, leaving debts to suppliers of more than $180 million. Even so, Bain came out smelling like money. It had invested $5 million and took out more than $100 million.

Eleven years after Ampad filed for bankruptcy, as Gerard points out, the company’s nearly 1,300 unsecured creditors finally got a pittance of what was owed: Green Bay Packaging Inc. was owed $75,500 and received $137; Lakeway Container Inc. was owed $47,100 and received $89; American Coffee Break Service was owed $1,300 and was paid $2.56. The bankruptcy trustee’s final report lists page after page of Main Street businesses receiving less than a penny on the dollar. Had that $100 million flowed to Ampad’s suppliers rather than Romney and Bain investors, it would have covered more than half the debts.

Romney desperately wants to convince the public that Bain operated in the best interests of Main Street and that he didn’t get fabulously rich under government-rigged rules. But the man exemplifies the special tax breaks and legal shields from creditors that the wealthy see as their right.

That’s Romney’s “entitlement society.”

By: Robyn E. Blumner, Columnist, Tampa Bay Times, June 3, 2012

June 4, 2012 Posted by | Election 2012 | , , , , , , , , | Leave a comment

“Complete Nihilists”: The Audacity Of GOP Dopes On Health Care

In three weeks or so, the Supreme Court will rule on health care. Republicans have been discussing what they might do in the event that poor, beleaguered John Roberts manages to withstand that vicious assault of the liberals and to lead a majority that strikes down the individual mandate. This one is a classic, folks. After spending three years lying their eyes out about the bill and tearing this country apart over it, it now turns out that they may well want to keep several of its provisions. And of course they want to keep the easy and fun stuff and get rid of all that bad-bad-bad stuff, but what they don’t understand—or more likely do understand but refuse to acknowledge—is that the good doesn’t work without the “bad.” It’s breathtaking and ignorant—whether breathtakingly ignorant or ignorantly breathtaking I’m not quite sure. Call it the audacity of dopes.

Two weeks ago, John Boehner was insisting that “Obamacare” must be repealed lock, stock, and barrel. Some other Republicans wanted the slightly less radical approach of keeping some aspects of the law. A few days ago, some in the House warmed to this idea. Now, TPM is reporting that Senate Republicans are hopping on the piecemeal train.

The idea is to preserve the language that requires insurers to cover people with preexisting conditions, because everyone likes that; to continue to permit young people up to age 26 to stay on their parents’ insurance, because that’s helpful, especially in a rocky economy; and to press forward with eliminating the Medicare prescription drug “donut hole,” whereby seniors have to pay 100 percent of medication costs within a certain price range.

The last two are fine. But that first one is the gobsmacker. You cannot just make insurance companies cover really sick people. Sick people are expensive people, and insurers’ costs will shoot to the heavens, and those costs of course will be passed along to everyone else. Is there a solution to this problem? Yes. The solution is to get more people in the insurance pool—especially more healthy people, who don’t cost a lot to cover. Then, insurers have more money to use paying for the care of the sick people. But since you can’t just wish for more healthy people to buy insurance, you have to figure out some way to get them to do so. And hence … the individual mandate. It broadens the pool and brings premiums down. It’s how you manage to pay for all those people who need radiation and chemo and dialysis.

There are alternatives to the mandate, which I needn’t go into now because the mandate is what we have. Without the mandate, you have millions of sick people being added to insurance rolls but no healthy ones. What happens? You develop “high-risk pools,” in the argot, and Harold Pollack, a leading health-care expert from the University of Chicago (who advised the Obama campaign) says that high-risk pools don’t work: “Except as a temporary stopgap measure, the track records of high-risk pools is quite poor. Experience in state programs indicates that high subsidies are required to keep premiums affordable for this (by definition) high-cost group. Many states have ended up capping the program, charging high premiums, or both.”

As it happens, the ACA has started temporary high-risk pools, designed to try to help some people before the law fully takes effect. Pollack studied them and wrote up the results in the Journal of General Internal Medicine last year. He found that the program’s funding didn’t come close to matching the need. In other words, lots of money is required to serve these people properly—money that would come from premiums imposed by the individual mandate.

The Republicans’ “answer” to this is their answer to everything like this, tax-free saving accounts. But health-savings accounts, if they work at all, which is a serious question, work only for healthy people who break a leg tossing the Frisbee. Nobody can sock away $25,000 for an operation or $100,000 for end-of-life care; the very idea is crazy. The GOP would also subsidize care for high-risk people. But Pollack notes that these subsidies would have to be billions of dollars a year. Republicans aren’t throwing that kind of money around at anything. Except at ships the Navy doesn’t want and tax cuts really rich people don’t need.

It’s just a shockingly unserious approach to a very serious problem of roughly 4 million uninsured Americans who have cancer, diabetes, emphysema, and the like. Republicans don’t give a happy crap about any of these people. They have no interest whatsoever in trying to solve a public problem. See, this is the Democrats’ burden, and when you come down it, the true difference between the parties these days. Democrats are actually concerned with trying to address a public-policy problem in a responsible way. You can disagree with their way, but they’re at least trying to do something positive in the country—help those 4 million as best they can. This involves difficulty and choices because nothing meaningful in life doesn’t. It also requires the people to stop being selfish apes for five minutes and look at the larger picture.

The Republicans, on the other hand, are complete nihilists. They don’t care about solving any policy problems. They care about two things. They care about politics—advantage, winning, humiliating Obama. And they care about ideology, their drunken and medieval belief that the market can fix everything. But wait; it’s not even really a belief. They’re dumb, but they are not that dumb. They don’t fully believe it. Like Romney accidentally acknowledging to Mark Halperin that huge budget cuts cause recessions. It’s just the garbage they say because it sounds good. No pain! Nothing is complicated! Be selfish!

There is some question as to whether the Republicans will unite behind the three planks I mentioned. Because only the “moderates,” the sell-outs, really want to do it. “Real” Republicans, the Tea Party people, want to kill every aspect of the bill, strike its name from the very records of history. So we’ll see what they do. And of course it all depends on the Supremes tossing the mandate out, which they might not do.

But if this chain of events unfolds, you can bet on Paul Ryan and others going out there to talk about their “reform” of the high-risk pool problem with all the pious sincerity they can muster. And if, God forbid, the Republicans win the presidency in November? Then they’d enact some patchwork thing with about 1/20th of the money actually required, and millions would remain uninsured. But most Americans would never be the wiser because 4 million people just isn’t that many to begin with. That’s how the GOP will hope to get away with it. Here’s hoping little Johnny Roberts is as delicate a flower as conservatives fear he is.

 

By: Michael Tomasky, The Daily Beast, May 31, 2012

June 4, 2012 Posted by | Health Reform | , , , , , , , , | Leave a comment