Joke Line wants his country back. He looks around at the Tea Party on one side and socialists on the other, and he’s concerned. To be sure, he gets a couple of things right. The dictionary definition of socialism says that it’s “a social system or theory in which the government owns and controls the means of production,” but that’s not what Bernie Sanders is proposing except in a very narrow sense in his proposal for single-payer health care. It’s doubtful that the 43% of likely Democratic caucus-goers in Iowa who describe themselves as socialists want to turn the economy over to the government, either. So, yeah, there are degrees of socialism, and it’s kind of important that we have a vocabulary for describing the differences between Soviet Russia, Norway, France, Canada, and Bernie Sanders.
Joke Line is also correct that many of the things that Sanders is proposing are very good, or at least highly defensible ideas. Klein doesn’t have a problem with taxing highly speculative Wall Street activities, and he openly supports a massive infrastructure spending program.
In fact, it’s kind of hard to see precisely what he finds so troubling about Sanders’s brand of socialism. The best hint he gives is his belief that “redistributionism…dampens incentives, which dampens creativity, which leads to poverty.” It’s not clear, though, if he’s talking about the kind of poverty we see in Norway or Canada or France, because we experience quite a lot more poverty here in America than you’ll find in those “socialist” countries.
America is the wealthiest nation in the world, yet it has higher levels of poverty than any other western democracy. Its poverty rates compare more with a country like Romania than with countries like Canada, France or Germany.
It seems to me that Klein either doesn’t know his facts or he places a higher value on America being the wealthiest nation than he does on figuring out how we can cease being the western democracy with the highest level of poverty. He also assumes that these two features of America are so intertwined that we can’t remain the wealthiest country unless we avoid redistributionism.
There’s really a moral question and a policy question here. Morally, we might decide that being the wealthiest nation isn’t worth it if the price is that we do the worst on poverty. So, even if it is true that redistribution and regulation will destroy incentives and take away some of America’s economic advantages, maybe that’s worth the price.
But, set that aside. What if it simply isn’t true that America is the wealthiest most dynamic economy in the world because we let the rich do pretty much whatever they want to do? Where’s the evidence for this hypothesis?
When it comes time for Klein to summarize, his argument becomes ad hoc and reflexive:
It is still far more likely that Clinton wins the Democratic nomination than Sanders–but even Bernie should worry about his party strolling into the general election unwilling to distinguish itself from socialism. Indeed, the Democrats should worry about their attachment to big government, which, in America, has come to mean more unaccountable bureaucracy, like the Department of Veterans Affairs; more inefficiency, like the weird tangle of federal job-training programs, each more irrelevant than the last; and more perverse incentives, like welfare programs that ask for nothing–no personal responsibility–in return from their recipients. Big government is the way I was treated at the post office this afternoon.
Going after the Department of Veterans Affairs is such a dumb cheap shot. As my brother never tires of pointing out, the VHA provides the best health care in the country. And, as Phil argued, that fact alone ought to make people like Joke Line stop and reconsider their assumptions:
If this gives you cognitive dissonance, it should. The story of how and why the VHA became the benchmark for quality medicine in the United States suggests that much of what we think we know about health care and medical economics is just wrong. It’s natural to believe that more competition and consumer choice in health care would lead to greater quality and lower costs, because in almost every other realm, it does…
…But when it comes to health care, it’s a government bureaucracy that’s setting the standard for maintaining best practices while reducing costs, and it’s the private sector that’s lagging in quality. That unexpected reality needs examining if we’re to have any hope of understanding what’s wrong with America’s health-care system and how to fix it.
But this is how it goes. Folks like Joke Line get a narrative in their head and facts have little ability to alter that narrative.
The biggest problem with Joe Klein’s thesis in this piece is that he’s saying that socialism is a very dirty word and that the Democrats should disassociate themselves from it, but he’s also arguing that no one is really proposing socialism. And, insofar as Sanders and Clinton are advocating more regulation and redistribution, Klein makes a stale and unsupportable case against those proposals on the merits.
So, tiresome that people look at one crap definition of socialism and can’t be bothered to notice that the best components of the US government and economy are suffused with socialism. Schools, roads, etc. — and Social Security.
Well, if by “people” you mean Joe Klein, then yes, he’s using obtuse literalism to attempt to bamboozle his readers from understanding your point. And some Americans have been bamboozled; we have not.
Here’s a different consideration of a definition: Is Joe Klein a person? He doesn’t behave like he has much sympathy with human beings.
HuffPo – The Koch Brothers Have Gotten Much, Much Richer Under Obama
Neoliberalism has only made the wealthier — leaving them with no unmet desire but the power to control in all.
“Big government is the way I was treated at the post office this afternoon.”
I am very pleased with how I was treated at the post office yesterday, efficiently and politely. There were a variety of customers, white, white eastern European (heavily accented), black, latino and Asian. ALL were treated with the same efficiency and politeness. Would that his vaunted private enterprise did the same.
Hey, yeah! As a postal worker, I resent his casual assumption of PO incompetence. For his info, the Postal Service has been run more and more like a corporation over the last 30 years, even down to peons like me being called “Rural Carrier ASSOCIATES”, like it was Wallymart or something. He doesn’t give any details in his “complaint”, so I assume some overworked clerk didn’t kowtow enough to suit him. Hey, idiot, there have been mass job and product cuts, especially since the Great Recession, and your wait time was probably due to that. Sorry, the PO is in many ways corporatized now, so no “socialism” here.
It infuriates me when people dump on the Postal Service as a supposed example of crappy government service wasting out tax dollars — it’s in fact an amazingly efficient and reliable service provided at a stunningly low cost. I mean, really — less than a buck to send a document across this entire continent in a handful of days? And with no real worries that it won’t make it? For most of human civilization that would have been an impossible dream.
agree. and some beautiful stamps – how about those embossed flower stamps! beautiful
RepubliCon “program”:
You left out #6;
When #4 happens, also push for privatization, their real goal with this process.
Whenever somebody brings up this argument, I like to go after what everyone hates, including myself: the Department of Motor Vehicles (albeit something at the state government level). If someone complains about the inefficiency of the DMV compared to the efficiency of the private sector, I like to ask them if they’ve ever spent hours on the phone with a private-sector health insurance company trying to get pre-authorization for an MRI for their daughter. The DMV is a piece of cake compared to that. The “efficient” health insurance company is handling something much more vital than what the DMV is and somehow manages to make the experience even worse.
Ditto for customer service from the massively consolidated satellite and cable TV providers.
To paraphrase Lily Tomlin, “We don’t have to care, we’re the cable company.”
And at the end of the day, it’s all anecdotes.
The DDS (DMV/BMV equivalent in GA) for DeKalb County is f-ing amazing. I can literally renew my tags in about 3 minutes, including the walk in the parking lot, the time it takes for my card to be ran, signing the receipt, grabbing the tags, and walking out the door and through the parking lot.
The longest I’ve spend there in 4 years of renewals was 8 minutes.
Now, compare that to Comcast, where I’ve never waited in line at their store (down the street from the tag office, hilariously) for less than an hour and a half, and where you wait 2 weeks for someone to come out and flip a switch to turn on your service, and on that day need to be sitting at home waiting during a 2 hour plus service window.
The private sector sucks, as far as I know through my personal anecdotes, so, uh, I guess I’m for Communism then?
Idiots.
how about Verizon? and the employees try their best to help but it’s set up in a way that their best efforts are continuously thwarted
for some reason, so:
4-excellent . . . times 10
Your brother’s article is excellent. A long read, but well worth it. Most of the innovations he mentioned have filtered into private medicine. Of course, there was the recent VA scandal, but that was a management failure, not a systemic failure.
And by management, it extends to Congress and its inability to properly fund the VA.
Rockets and bombs and bullets that may become friendly fire and injure a veteran? They got that covered, no problem.
But actual veteransand the VA? Meh, that’s a slippery slope to socialism, comrades.
Bill Moyers – Money Men Say, Voters Move Over, It’s Not Your Election!. (Penned before Big Gulp Mike made noises, again, about being the NYC Mayor that America wants in the WH.)
Worthy comments to Moyer’s post at dKos
A dKos diary that merits reading = gjonsit Bernie fans should brace themselves for the coming ugly. Particularly by those that aren’t familiar with the US Labour party freakout over Corbyn and what they have been doing about it.
I’d say we are somewhere between Stage 6 and Stage 7.
BTW Tea Party members call establishment Republicans RINO’s. I try to avoid politics when talking with my old conservative friend, but when we had lunch in November, I couldn’t tell who despised Mark Kirk more, me or him. He knows I used to have a Howard Dean bumper sticker but I didn’t mention sending money to Bernie. I was afraid he might have apoplexy. So, we had a nice lunch, he sipping his Scotch and Soda, me sipping my White Zinfandel, talking about work and grand theories of history.
○ Roosevelt’s 4 Freedoms Award to Angela Merkel
○ Islam and Social Democrats: Integrating Europe’s Muslim Minorities
Recreate the economic conditions that lead to fascism and then act surprised that right wing takes advantage to Mau Mau the situation…
TPTB are so clever to keep working from their same playbook because it hardly ever doesn’t work. And when it doesn’t, only a few elite heads get chopped off.
True, that. They just regroup and come at you again in a decade’s time.
Hey, I live in Canada – I’m not afraid of socialism. We have a news network, an airline, a healthcare system, insurance companies, ferries and railroads all owned collectively. We are quite willing to embrace big government in Canada.
That said, I think Democrats would be very stupid to fight an election over the definition of socialism and how Bernie defines it and how no one should be afraid of the term. Not after the American electorate has been subjected to 40 years of propaganda about the horrors of liberalism and big government.
Bernie Sanders, big government, higher taxes, European socialism versus Donald Trump, capitalism, free enterprise and USA style liberty. All the money on the Republican side. Is that the election hill progressives want to die on? That’s the war they want to fight?
I think Progressives are kidding themselves if they think that won’t be the narrative of the 2016 election if Sanders is the nominee. I also think Sanders loses.
I think Hillary Clinton – for all her warts – wins an election defending the Obama years and promising more of the same. If the election is about Republican craziness, Obama’s record, and Hillary, Dems win.
If the issue is capitalism and free enterprise versus socialism and big government, facts won’t matter. As soon as you start arguing about the definition of socialism, you’ve lost.
As soon as you start arguing that winning is more important than what you do once you’ve won, you’ve lost. Only Wall Street has won.
Of course winning is more important. If you don’t win, nothing else matters. Besides which, everything Bernie wants to do is either wrongheaded, impossible to enact, or both. Wall Street will chew him up and spit him out even if he does win the American free enterprise versus European socialism ideological battle.
I think it is smart to fight battles that you think you can win. I think it is dumb to pick unnecessary fights that make a loss far more likely.
Well, if you think Bernie’s policies are wrong, that is another thing. I think the opposite. Both candidates should take their policies to the voters. But arguing that only winning matters is what gives us machine politics and graft. It is morally bankrupt.
Which reminds me of those joke debates. Why not have real debates. Let Bernie argue for his healthcare plan , then let Hillary rebut it. Then she can proposed her state run HMO’s or enhanced Obamacare or whatever and let Bernie rebut it. Let Hillary make her case for perpetual oil war then let Bernie rebut it, et cetera.
That’s a debate. But these joint interviews are not debates. And your candidates’ reluctance to present concrete evidence is evidence itself that she either has no platform or wants to hide her platform.
You can’t run a national campaign on “I’m a winner, vote for me because I’m going to win.” Even Trump has a platform.
Swear to God, “support” like this from Bernie supporters is making me more supportive of Hillary.
There are plenty of ways to delineate the real differences that absolutely exist between the candidates without making up runny horseshit about Clinton’s history and campaign. We can Google the long, long set of policy statements Hillary has made in the course of this campaign, and her Senate and advocacy record, to see the absence of facts in many of the claims made against her. Oh, and Clinton has a convenient place where we can see what she’s running on:
https:/www.hillaryclinton.com/issues
So, you know, she has a very substantial platform. You may agree or disagree with it, but she’s not hiding anything. Claiming things don’t make them so.
I don’t think that is a fair interpretation of my comment.
I’m saying one of the reasons I’m for Hillary is the Republican campaign against her is very predictable. She is going to be accused of being Hillary and also representing a third Obama term. I think the Republicans will lose that argument like they lost it in 2008 and in 2012.
The Republican campaign against Bernie Sanders will be very different. Bernie is for political revolution, and he is running against Corporate America and capitalism. The Republicans will be delighted to abandon their “Obama sucks and Hillary is another Obama” platform to vigorously defend capitalism from the Bernie Sanders socialist hordes.
In other words, I believe it will be a very different general election if Sanders is the nominee. Bernie will be proud to take on the fight at the head of the socialist hordes. That’s the point of his campaign, is it not?
You will happy to take on that fight with Bernie. You think he will win against the Republicans and corporate America. And you think if he wins, he will somehow institute sweeping changes in America.
Me, I think Hillary wins her campaign and I think the socialist hordes get their heads handed to them. Even if I am too pessimistic about the chances for the socialist hordes, why risk that particular fight when there is zero chance any of the socialist agenda gets through congress even if he wins?
I think we will have to agree to disagree.
You really need to call all those people HORDES?! What a loaded value word: NEGATIVE. Find an argument or leave the subjet to others.
Dude, he’s giving you a preview of exactly how the GOP will frame the argument. Unfairly loaded term, of course — that’s the whole point of such attacks! Doesn’t mean he agrees with them; just that this is what he foresees happening.
And so do I, right down to propaganda using words much worse than “hordes”. That’s merely a preview of coming distractions.
appreciate your concern. but we’re not fighting the election over the definition of socialism. if the HRC camp wants to throw dirt, so be it, that’s what did them in in 2008. I find it hard to believe she’s not lost AA support with all this starting up again. btw you write like a HRC operative on vacation in Canada.
Then the Republicans will define socialism for him. Bernie will defend himself, will he not? Try to refute the lies?
That will be the campaign.
hoping to get a job on Keystone XL, when Hillary approves it?
Errol, my online friend, I think you’re being unfair here. Tom may well be overstating the definitional concern; Bernie may well be quite capable of warding off the commie-pinko-socialist-big-gubmint-tyrant! attacks that the GOP will mount against him, but those attacks will most assuredly come, in full-throated roar designed to panic the uninformed. Red-baiting is a well-worn but still effective weapon in the right-wing armamentarium.
True, other lines of attack — Those People coming to take Our America away, ragheads and wetbacks and blahs, oh my! — are the current favorites, but I don’t doubt that the old tried and truly nasty socialist demonization onslaught will happen if Sanders is the nominee, and it will be just as vicious and relentless as, say, the Jeremiah Wright attacks on Obama were.
Can Sanders deal with all that effectively? I don’t know, and I’m not taking sides on what would happen. But to dismiss what Tom says as mere Hillarybot concern trolling is as foolish, it seems to me, as lighting one’s hair on fire in panicked agreement over it.
Thank you for the comment, janicket, my online friend. I wondered if I’m jumping the gun on my comments to Tom; indeed I’m not very patient. true that they will throw everything at Sanders, and truth won’t have much part in it. otoh I trust what fladem writes on Bernie’s ability to navigate, based on experience of living in Burlington when Bernie got his start. certainly no reason to back off supporting Bernie, things will just become more difficult if the oligarchs have another round and get more SCOTUS appointments. it’s Tom’s dismissal of Canada, not expressing much of a sense of how people live there, together with a “nothing to see here, move along” agenda that has me reading between the lines.
I can see how you’d get that feeling, Errol, but my own read on Tom is less jaundiced, perhaps because I am not a partisan of either side in the Bernie/Hillary battle, and don’t have passion affecting my view of what supporters say. I see pluses and minuses of both candidates but will in any case vote for whoever the Democratic nominee is, simply because a Republican victory — by any of them, but especially Trump and/or Cruz — scares the crap out of me. So what I do get ginned up about is any dismissal — on either side — of the perils ahead when the right-wing FUD-spewing disinformation machine focuses all its malevolence on our nominee. It’s going to be as ugly and corrosive as what they launched against Obama, just with adjustments for the particular target.
Having just reread what Tom said about Canada, I’m not sure what you mean by “dismissal”. As he points out, socialism is doing just fine up there. I think he was contrasting a Canadian view of that ism with how large swaths of his neighbors south of the border regard it, having marinated in a stew of right-wing propaganda for decades, and cautioning Sanders supporters against irrational exuberance. Is he right? Damned if I know, but we shall see.
he claims to be a Canadian – he and I had an exchange a few posts back; that’s my point; why should a Canadian be taking such a strong stance “it’s not worth fighting for Bernie” stance (on previous thread he said you all have it great, not to worry), if he’s making those points he should at least mention what was involved electing Justin Trudeau, not a peep about the election they just had (or how about how it wasn’t necessary to elect Trudeau)
I am a Canadian who has followed American politics for years. Canada has a much more sensible way of managing our democracy in my opinion. The real reason Democratic socialism is a non-starter in the US is because the constitution of the United States stands in the way of sweeping change. When we elect a government, we give them the power to enact their agenda. Americans don’t really elect a government.
Setting that aside, Bernie’s positions have huge holes the Republicans will be happy to exploit. Take health care.
On balance I think our medical system is better. Our outcomes are just as good or better, everybody has care and we spend half what Americans spend on the system. But let us not kid ourselves. The system is far from perfect. We argue about it all the time. Funding it and levels of service are often election issues.
We can wait months to get hip replacement surgery or cataract surgery. It takes a couple of weeks to get a doctor’s appointment so if I am sick today, I go to a drop in at a clinic. None of these things are much more than an inconvenience – there is no wait for life saving procedures – but still, it is not what Americans expect.
There are many, many questions that have to be dealt with in a single payer system that Bernie is apparently ignoring. How does he plan to fund hospitals? How does he intend to control doctor’s pay? Will doctors be allowed to opt out of the system? Will citizens? Will doctors be allowed to add a surcharge and bill patients for more than what medicare pays? What about experimental treatments?
Canadians with money head to the States when they do not want to wait for service or when they want a procedure or course of treatment our medicare won’t pay for. Who decides what will be covered and what will not be covered in Bernie’s system?
The reason Obama campaigned on “if you like your health care you can keep it” is because there are many, many Americans who have a first rate plan paid for by their employer. Bernie is asking that swath of voters to pay more in taxes to get less. This includes a lot of Democrats who belong to a Union that has fought for first class health care. Fought for it and taken lower wages to keep it.
If I was inventing a system from scratch, I would definitely choose the Canadian system. But you are not starting from scratch. You are starting with a situation where many (most?) Americans have better health care than Canadians do and most of the cost is covered by their employer. We provide better care to all Canadians, but the American system delivers better care to those who can afford it.
Those Americans with good health care today will find themselves paying more in taxes for a system that does, one way or another, ration care. Once Americans get into the details of any single payer plan, support for it among the haves starts to melt away. Health professionals figure out that the biggest reason health care costs are lower in Canada is because doctors and nurses make a lot less.
How hard would it be for the Republicans to turn the country against this idea? It is a government takeover of healthcare. It does mean rationing care. It does mean higher taxes. It means doctors have to fight with bureaucrats over fees. It would be a better system for all Americans, but it is a worse system for the richest half of the country.
Is this really what the Democrats want to argue about in the 2016 election? The left has lost this argument how many times in the past fifty years? Why do you think it can win this time?
well, post Obamacare things look a little different than pre-Obamacare and I don’t have time to write more than that at this moment. But the Sanders candidacy is not primarily about health care, it’s about the country being run into the ground by the 1%, putting the brakes on that trajectory. both parties have a party-approved candidate [R’s had Jeb! now they may have Kasich but most voters want none of it; for the dems it’s Hillary and Sanders. it’s about whose interests are being represented by the candidate. Hillary represents the moneyed interests. not to mention a poorly run campaign. Obamacare will change/ improve over time, whether Bernie tries to change it or not, though hillary is going after Sanders on that. it’s not the primary issue. climate change, oligarchy, recovery for the middle class, other issues.
I understand what the Sanders candidacy is about but it doesn’t matter what the Sanders candidacy is primarily about to the GOP. I am pointing out what the Republicans will do with his platform.
Somebody will pour a hundred million into a Superpac “Doctors against Berniecare” to flog on his plan. They will run clips from Canadian newscasts detailing this problem or that one with socialized medicine. Will Berniecare pay for abortions?
This issue has always been a loser for the left. What makes it different this time? I would much rather force the Republicans to run against Obamacare. They keep losing that debate. Why hand them a debate they will probably win?
that doesn’t matter, the repubs have been running vs obamacare for 7 years – with what results?
also, read Tarheeldem’s long comments on this thread and the nearby threads concerning what this election is about.
If that claim was true, the idea for the ACA would have been a non-starter.
A very good majority of Americans have too little actual health care for the insurance and co-pay costs they bear. Yes the current system is better than pre ACA, but for far too many, the costs are far too high, especially living on stagnant or even declining wages.
BTW I lived for three years in Europe during the mid to late 70’s and since that time have known the system we have sucks ass unless you have money to spend. Even today compared to most European systems.
The ACA was a starter because Obama was not going to touch the really good plans. Happy people stayed happy.
The current system does suck ass unless you have money to spend or an employer willing to spend it for you. I don’t know exactly how many people have the money or the employer. I assume that this would be most people who were insured pre-ACA. That is most people, is it not?
Bernie has to convince those people to pay more for less. To help the poor. Like the rich white people always vote to pay more for less to help the brown people.
Sadly no, remove Medicare and Medicaid, and pre-ACA the majority of Americans were either under insured or lacked insurance,
No it was a starter because of the abysmal for-profit system we had. The ACA did improve the system and got many many poorer Americans into the system, however it still sucks ass.
Enrollment;
Medicare; 48 million
Medicaid; 59.3 million
VA health care 8.76 million veterans
Military Health System 9.6 million people.
That is the number of Americans receiving health care from direct government programs. Ever wonder why the right wing is so fervent to privatise the federal health care system?
Uninsured at all; 33 million people
These are probably facts you did not know.
I did not know these facts, but I’m not sure that I get your point. These 130 million people aren’t affected, are they? They are covered. There are also 10 million enrolled through the ACA.
The other 160 million people are covered by an employer based plan, are they not? Those are the people who are difficult to convince about single payer.
no, they aren’t/ weren’t covered, that was the problem.
I’m sorry. I don’t understand what you are saying or who you are talking about. We add up those who are covered by one government program or another, those covered by Obamacare, those not covered by anyone, and the ones that are left – about 160 million – are covered by employer based insurance.
Are you saying that nobody in the United States had good insurance coverage before the ACA? I can only speak anecdotally but I have lots of American friends who have always had excellent coverage.
Most jobs that held the benefits you are claiming were out-sourced,
Like Mitt Romney did when he stole jobs and sold them for his personal profit. He personally got rich most people who worked at the companies he dismantled got screwed.
Many more changed the way they categorised employees IE full time to part time, or employee to independent contractor to cut out benefits. some just keep turning over employees before the required time to actually pay benefits.
Also the assault on unions, especially since Reagan began it in earnest, also cut major parts of employee health care.
Want a very good example;
In the early 1980s GM employed 349,000 workers and operated 150 assembly plants. Very few foreign, except for Canada. Today, GM employs 212,000 people and does business in more than 120 countries.
Well over 150,000 people lost benefits from GE, many more from Ford and Chrysler.
Ford and Chrysler followed suit as did their suppliers.
This year GE sold their appliance manufacturing unit in Louisville Ky China’s Haier for $5.4 Billion. Now how long do you expect a chinese multinational to keep paying a US premium wage and benefit package when the going rate in China is probably 90% cheaper. Those people are l0osing their employee health care from GE.
A good friend who worked for the auto industry for over three decades, lost his benefits because of corporate restructuring, I helped him get VA benefits from his time in the service,
You keep pushing claims with very little or NO basis, but cannot accept what we who live here say;
why is that?
BTW 12,000 jobs are attached to the GE sale
Claims with little or no basis? It is your arithmetic. According to the 2010 census, 60% of Americans had employer based health care.
But I give up. Whatever. Nobody in the US has good health coverage. The Canadian system is perfect. Bernie will change everything and the rich will buy everybody a pony.
Never said any of those, nice to see you stoop to strawman arguments.
the 60% may be measuring only full time employees, many employees are classified as consultant, part time, adjunct, or are temp employees from an agency, as clif explained, in laying out the situation very clearly.
Every four years, the has-been re-treads come out of the woodwork and tell us who we can and can not vote for and what things are acceptable and what things are not acceptable for the delicate ears of the American public to hear.
In the past, maybe the pampered high-paid celebrity journalist types really could influence the election. But I think this year… no one’s going to listen to them.
Bob Johnson has a couple good diaries over at the Orange place, and commenters have posted in them some good video clips
http://www.dailykos.com/stories/2016/1/23/1474073/-David-Brock-is-the-symptom-not-the-disease
http://www.dailykos.com/story/2016/01/22/1473688/-How-to-explain-away-collecting-675-000-for-giving-
three-speeches-to-Goldman-Sachs
one fascinating video clip
on Bernie and deregulation and HRC’s lies
http://www.dailykos.com/comments/1473975/59154866#comment_59154866
Decent summary by Hartmann, but he left out a critical, IMO, element, the final language of the CFMA attached as a rider to the appropriations bill had been modified by Gramm and wasn’t available.
Bill Clinton, with his Wall St buddies, had been pushing for the CFMA for years prior to its passage at the end of his term. It was slowed by committees and members that didn’t agree on key provisions in it.
Oh, and Clinton is absolutely wrong that the credit defaults swaps caused the financial meltdown. They just made the bailout that much more expensive.
Yeah, Phil Gramm earned his comfortable retirement with that one.
I assume you mean Commodity Futures Modernization Act. I wasn’t familiar with the acronym and had to Google.
A lot of economists disagree with you on derivatives, but I’m willing to listen.
Yes — CFMA = Commodity Futures Modernization Act. (Used the acronym assuming that others would have checked out Hartmann’s video.)
The primary piece that led to the meltdown isn’t complicated. It was securitized mortgages. MBS = mortgage backed securities. A bundle of mortgages sold to investors. Nothing new about that. Fanny Mae and Freddie Mac (both GSAs have been doing that since their inception. Traditionally, banks operated in the mortgage market in two basic ways: mortgage originations for their own loan portfolios or sold the loan to Fanny or Freddie which the bank then serviced for the life of the mortgage. S&Ls primarily made mortgage loans for their own portfolios. Sitting on an asset base of 5% long-term mortgages when the prime rate went to 21% was like a death knell for the S&Ls (and Congress couldn’t have done a worse job on legislation to rescue the S&Ls).
The system worked well for decades. Except banks didn’t make much for the origination and servicing of those loans sold to the GSAs. The loan criteria were rigid and conservative. If they cut the GSAs out of the picture, they could get a large slice. All rather fanciful when banks and investment brokers originally attempted to puzzle this out in the ’80s and early ’90s. The two barriers were not enough spread between the prime rate (which Greenspan kept artificially high) and mortgage rates that a large number of people could afford because securitization increases the upfront costs of the mortgages. The larger barrier was Glass-Steagall, or the iron curtain between banks and investment brokers that underwrote security offerings.
When that wall came down, the original MBS probably weren’t all that bad as the banks did have pre-existing mortgage loan criteria for the larger and unconventional loans that they had been making all along. However, by securitizing those mortgages, it increased the amount of money they had available to make loans. Still the MBS market did take off until Greenspan reduced the prime rate. Then a bunch of middlemen (banks, brokers, hedge funds, etc.) jumped it. Buying MBS and repackaging them as CDOs (collateralized debt offerings). Then CDOs were sliced and diced to create new securities by what I’d call bottom feeders.
CDO purchaser/investors were under the impression that the underlying collateral, mortgages, were rock solid and the repackaging reduced, hedged, the risk like a balanced (hedged) stock portfolio. They were more attractive than GSA mortgage bonds because they carried a higher rate of return. One of the means to secure that investor confidence was the ratings assigned to the offerings by the ratings agencies.
Like CPAs, the rating agencies were never truly independent because they were paid by the client. That worked well enough for a long time because their reputation was at stake for their opinion. When that gets tossed in favor of revenues — they aren’t worth much.
A side example. People that invested with Madoff should have been turned off by his no-name, no reputation CPA. Competent outside parties that relied upon a company’s financial statements, knew long before Enron blew up to be wary of audited financial statements prepared by Arthur Anderson.
Investor confidence for the MBS and CDOs was also facilitated by investment brokers that were able to purchase surety bond guarantees. A product that was created in the aftermath of WPPSS default. Before then, Muni bonds were considered rock solid. There were only two reputable bond guarantee companies: AMBAC and MBIA. They got “played” early in the MBS/CDO scam and were the first to fall, but neither could accommodate the demand.
In walked AIG. Not with surety bond guarantees which was illegal for a multi-line insurer but credit default swaps.
As the demand for the “safe and secure” mortgage securities and derivative products continued to increase (everybody in the chain of products was making big bucks), the demand for front end component, new mortgages, became insatiable. All the Ponzi schemes laid on top of the mortgages couldn’t have come into being if not for the securitization of the mortgages by the banker-brokers. That was primary toxic piece.
Truth-dig – VIDEO: Hillary Clinton Laughs When Asked if She Will Release Her Goldman Sachs Speeches .
A shame one of them wasn’t recorded by a rogue like the man that captured Mitt’s 47% comments for his wealthy benefactors.
yes, someone posted that on one of Bob Johnson’s diaries. also too, there was a clip of here interview w DesMoines register about the fees. and she looked terrible, tired, skin looked bad, too much eye makeup, i thought of bette davis in baby jane [i know, i know, lookism lookism, but actually i’m reacting to her apparent lack of stamina
Seems fair to me to point out that Bernie looks about the same regardless of venue or his appearance schedule. Sometimes his voice gets a bit scratchy, but from a 1995 video in the House, that was true of his voice back then.
Clinton’s looks, OTOH, range from fresh faced and youthful to exceedingly ordinary for a woman approaching the age of 70. Is suspect she’s been getting many dermal fillers, but they don’t seem to be lasting as long for her as advertised.
interesting; how long are dermal fillers supposed to last, or do hers seem to be lasting? I was very struck by how awful she looked in the DesMoines Register clips, very very tired and not together.
Advertised six to twelve months. A problem may be that once one starts doing that stuff, the effect may be less with each treatment and the schedule for treatments may become more frequent.
I love this portion of the thread. Substance!
thanks, we try
Appearance seems to be substantive enough for the candidates many of the candidates. If not why would Cruz and Rubio wear heels, Jeb? have work done on his double chin, Carly and Clinton spend a boatload of money on clothes, hair, and professional make-up artists for the debates? It’s as much a part of the political game as having speech writers and consultants managing every other aspect of Presidential campaigns.
Youthful appearance and energy level are components of the presentation of self and impact voters opinions. And young, energetic beats old and tired. Regardless of whether you find it worthy of discussing or not.
Remember in the 1960 debates, Nixon’s inability to know to hide how creepy he looked on camera helped JFK to win to those who watched.
The real story is a bit more interesting. Nixon was told that JFK would forgo studio make-up for the debate and that led him to passing on it which meant he looked swarthy and sweaty while the well made-up JFK looked cool.
To channel Sanders, “No one cares about my damn barber!”
Would be silly for someone to change his/her well-documented and long-standing appearance. Particularly when it is integral to his/her character. Trump is stuck with his stupid pompadour because he made it part of his TV character/persona, but it has become more and more difficult to maintain as his hair thins (and it is obviously dyed).
Sanders appearance suits who is is, authentic, and that’s one of his strong calling cards. However, his age is a stumbling block for many voters that are with him on policy matters.
As a society, we are more tolerant of aging in men than women. That’s why we have to cut female politicians a bit more slack on appearance enhancements. But how much is okay? Without enhancements would the public have been more able to perceive Reagan’s true level of health and cognitive functioning? Without enhancements, would Clinton look more near Sanders age?
Joke Line (I sure hope that tag sticks) isn’t the only one with their panties in a twist over the word socialism. Cato institute Libertarian David Boaz is in a tizzy with his hit piece at the Huffington Post.
http://www.huffingtonpost.com/david-boaz/bernie-sanders-democratic-socialism_b_9055290.html
Cato Inst = Koch, a nonprofit with shareholders
I’m sure that a President Trump or President Clinton Secretary of the Treasury would ask the bureau to enforce the law.
There’s a remarkable lack of comment on the latest budget agreement ordering the IRS to NOT investigate political organization’s claim to be tax exempt educational groups.
“Going after the Department of Veterans Affairs is such a dumb cheap shot.”
Joke chose that target quite deliberately, on the Rovian principle of “attack ’em on their strong points”, in other words, swiftboating — because Bernie Sanders has a stellar reputation on veterans’ affairs.
http://www.politico.com/magazine/story/2015/07/how-bernie-sanders-fought-for-our-veterans-119708
But a dispute recently opened up, and it’s obviously being exploited.
http://www.mediaite.com/online/criticism-mounts-over-sanders-veteran-voting-record/
Until we can figure out what adding “-ism” does to a word, maybe we should retreat from giving every idea a doctrinaire tone. And that includes Bernie Sanders — except for the fact that he is pre-emptively innoculating himself against people mistaking him as doctrinaire and rigid when he is not and trying to reclaim a set of policy directions that have been delegitimized by associating them with an ideology.
It is pretty clear by now that the Reagan Revolution was primarily an attack on infrastructure, that is on the goods and services that society previously had decided were so important that they needed to be provided to everyone as the basic support of the social contract.
And while the dictionary definition talks about “the government controls”, who else would one have control? The very idea of infrastructure is that an individual is incapable, no matter how rich or powerful, of accomplishing the task without the help of other people. So the difference is who is it who is commanding the labor of other people. And who is it who is telling ordinary people that they cannot as they did fifty years ago work together to have nice things and nice surroundings and make the attempt to extend them to everyone?
And when did this hyper-individualistic philosophy kick in big time? About the time that the Report on Limits to Growth came out in the mid-1970s amid the first and political oil shock.
That’s the fear. We will no longer have the freedom to squander. We might be constrained (unfree) to be sensible about the use of resources and power. We can’t be Donald Trumps anymore because the carrying capacity of the global ecosystem cannot support many more Donald Trumps or Sheldon Adelsons or Mitt Romneys or even Bush families.
Why even Michelle Obama want to force people to be healthy, force kids to learn, or so it is said as if marketing is authoritarian. (Well, maybe it is, but doesn’t the First Mom have the obligation to tell Americans to eat their spinach? Isn’t that part of the role that goes with the “First” title? And where did that trapping of royalty come from to begin with?)
Oh, war did that. It had to be Mary Todd Lincoln.
Maybe we should have a public discussion about the whole notion of incentives and poverty instead. The realities are not as the comfortable believe they are. There are power relationships that are involved that are never acknowledged as operating. There are patronage relationships that operate within the ideology of merit and incentive; everyone knows it; only Chris Hayes has come close to talking about it. And yet people act as if they are in full knowledge of the charade and just playing the game and that those who act as if incentives and merit are indeed what makes the world go around are just chumps. And that the ones who drop out of the game altogether are morally defective.
There is some real chicanery hiding behind discussions about ideology.
It would help if political discussions could focus concretely on practical things but then one would miss the values that move politics.
What exactly is Klein saying about values in focusing on the notion of incentives? That he works and no one else does if basic support for life was collectively provided? And that the social vision of Bernie Sanders will allow the ne’er-do-wells to get a free lunch. Maybe it’s time for Joke Line to look closely at what exactly it is that most the better paid in DC are producing for their patronage, and it it mostly patronage; that’s why networking is so important. And the cocktail wienie circuit. And how ordinary folk get the impression that the government running things is uniformly a disaster.
The argument is bluntly that socialism always brings corruption and capitalism never does. And it is a lie. Human organizations left to themselves are capable of corruption no matter how they are organized.
Even the history of Robert Owen’s experiment was problematic but highly influential in the 19th century United States.
Exactly what incentives poisoned the residents of Flint MI?
Isn’t it those incentives that we want to deal with and not encourage?
Economics without values is destructive, and when economics asserts that it is its own value it asserts that neither political power nor cultural norms should be a brake on runaway power of money, which makes political power and cultural power fungible commodities.
The actual ruling idea of Socialism is: from each according to their ability, to each according to their work.
○ Noam Chomsky: Bernie Sanders has the best policies
You’ve got to be kidding that you didn’t call out that blowhard claiming that America is the richest country in the world. The guy is living in the past.
IMF puts the USA 10th in GDP per capita.
WORLD BANK puts the USA at 11th.
CIA puts the USA at 12th.
Exactly how does 10th, 11th and 12th qualify as the “richest” anything?
And in terms of growth rate, among the G-20 countries the USA is ranked 9th, tied with Mexico. Tied for 9th out of 20 biggies. Overall the USA is tied for 121st place with Mexico.
Yep, richest. NOT.