Posted inUncategorized

To bail or not to bail?

Let’s set aside the demands of the extremists on the right, calling for more deregulation and tax cuts to address the financial crisis. It’s like trying to discuss the finer points of Plato with a small, yapping dog. Otherwise, I can understand the desire on the left and right to "punish Wall Street" by defeating the bailout plan. Unfortunately, the markets are so intertwined and inherently fragile, the first casualties are going to be on "Main Street" (a bittersweet anachronism for a nation that has mostly abandoned its main streets).

Wall Street — and increasingly overseas investors — owns Main Street.

The plan voted down yesterday was flawed but better than the original Czar Paulson contraption, which would have given the former head of Goldman Sachs unlimited access to use American treasure trying to extinguish the wildfire he and his greedy buddies started. Well, not quite — and here we get back to the unworkability of "punish Wall Street" argument. Deregulation, a casino-like attitude on Wall Street and a bubble-blowing Fed were the biggest culprits in the mess. But, so, too were the American people.

We voted in the deregulators and stood cow-like as it happened, the jobs disappearing, wages stagnating. Worse, too many of us thought we could get rich quick off real estate, like day trading before it. We bought overside houses and ran up credit-card debt we couldn’t afford. We bought SUVs to drive ever-longer distances as oil was peaking. We wanted tax cuts that gutted our schools and infrastructure. We wanted all that stuff at Wal-Mart. The casino became our ruling totem. It’s quite a remove from the generation of the Boomers’ parents that saved and waited to make purchases until it could afford them. It’s their passed-along wealth that is helping cloak the "banana republic with nukes" that we’re becoming.

So here we are. Were it not for the legacy of Franklin Roosevelt, we would already be seeing bread lines. And how many better ways could we use $700 billion…

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Posted inPolitics: National

A fear blankets the land

For the past two years, I’ve heard people say something new. Something new and troubling and chilling. They say in conversations, "For the first time in my life, I’m afraid for our country."

For the most part these aren’t partisans or even particularly political people. They are intelligent, engaged, worldly, successful in their own fields and, usually, of a certain age. Old enough to remember the nation that America once was, not so long ago. They read. They’re not talking about government terror alerts or that taxes might go up on the richest 1 percent of Americans. The statement comes up without prompting or coaching, and the words are almost always the same: "For the first time in my life, I’m afraid for our country."

In Republican John Sidney McCain III’s "home town" of Phoenix last week, I talked to people who are so upset about this election, they can hardly do their work. So upset that enough Americans will be misled by the Fox News echo chamber, passively being fed propaganda — won’t vote, under any circumstances, for a black man. Again, I hear this not from Obama campaign ops, but just intelligent people who have been paying attention.

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Posted inPhoenix Politics: National

Travels: Ohio and Arizona

A vague sadness hangs over the Ohio countryside, even though the trees hang on to their last vestiges of summer green. I flew into Cleveland’s airport last week. This was once one of America’s largest cities, and even though the airport remains a hub for Continental Airlines, the place has the feel of a small, regional terminal. The nice part is that people are nicer in a less crazed and crowded setting, but I keep asking myself, "this is Cleveland?"

Yes. I can see the changes as we drive out of town, on the way to my conference at Kent State University. Buildings that held large businesses a decade ago sit empty. The big Ford plant sits looking vulnerable. While I was there, Eaton, the city’s largest Fortune 500 headquarters, announced it was leaving downtown for the suburbs. This is a downtown that has revived itself well and is a transit hub. Yet the Eaton bigs seem oblivious to the future of higher gas prices, as well as shameful as stewards of their hometown. Everybody talks about how bad the economy is, with high unemployment and job insecurity. The change in the vibe of this state from a decade ago is so real and raw you can’t miss it. No wonder Ohioans threw out the Republicans — the party that wrecked America — in 2006. And yet, McCain has an edge if the polls are to be believed, and one wonders.

Still, Ohio is a state synonymous with white flight and de facto segregation. Apart from some successful downtowns and a few still-lovely upper-class neighborhoods, the big cities are heavily black, while their numerous suburbs are white. It’s a class thing, but it’s also a race thing. And it may well be that Ohioans won’t vote for a black man. How they think Republican John Sidney McCain III, continuing the policies of 25 years of "conservatism," will help them is beyond me. But these are emptional responses beyond the reach of rational persuasion.

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Posted inPolitics: National

Let’s look at the fundamentals of the American economy

Republican John Sidney McCain III is trying desperately to back away from his "fundamentals of the economy are strong" line, even going so far as to say he meant American workers. But not so fast. In fact, it is the fundamentals of the American economy that are in dangerous trouble. Let us count the ways. I’m going to have to give you some straight talk, my friends:

1. Debt. The nation is deeply in hock to creditors worldwide. We used this line of credit to finance the housing bubble, wars in Iraq and Afghanistan, tax cuts to the richest Americans, rebate checks that went into the ether and the privatization of hundreds of billions of dollars in government services. It’s paying for the bailout of Bear, Sterns and it stands to take a devastating shock from Freddie and Fannie. From government to business to consumers, Americans are debtors, and most of the debt has been pissed away on war, sprawl, speculation and corruption, as opposed to building something for the future.

As the economist Nouriel Roubini has pointed out, the current account deficit in the ’90s came back as investment in private innovation, but for the past eight years it has been used to finance deficit spending and debt. Moreover, now much of this debt is held by nations that do not necessarily wish us well, including China and the petro-states such as Saudi Arabia.

This situation dangerously limits our options in foreign policy. It makes it a near certainty that living standards will take a big hit as we have to pay it back. Remember, when the Soviet Union collapsed, the first people in the door were the bankers, wanting to be repaid for the debt the Bolsheviks defaulted on after the 1917 revolution.

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Posted inPolitics: National

Can candidate Hoover fool us again?

John Sidney McCain III said today "the fundamentals of our economy are strong," sounding exactly like Herbert Hoover after the crash of 1929. The parallels are interesting. Republican policies largely caused the Great Depression. Hoover had done honorable and even miraculous work before the presidency (feeding World War I refugees). He was a progressive Republican but became a reactionary. The biggest similarity, besides "the fundamentals" lines, is that the world had passed both men by. The world had become too complex for their remedies or policies. They were/are overwhelmed. Except Hoover didn’t have Karl Rove, "the base" (which interestingly translates in Arabic as al Queda) and so many ignorant, easily led voters.

On the other hand, maybe the key word in McCain’s statement is "our" economy. As in the economy represented by his rich friends and supporters, the nationless corporate oligarchy and his Treasury secretary-to-be, former Texas Sen. Phil Gramm (also prime architect of banking and Wall Street deregulation). He of the "nation of whiners" and "mental recession." For them, the winners at a time when income inequality is worse than anytime since before the crash of ’29, the economy is strong. So maybe unlike his campaign of late, McCain actually spoke the truth.

The recession that’s all in our heads claimed two of the most powerful and influential investment banks in the world over the weekend. Anybody who claims to tell you what will happen next — much less that the worst has passed — is about as reliable as all those telephone mortgage chislers during the housing bubble. What is more clear is how it happened, and, perhaps, some of the ramifications.

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Posted inPolitics: National

Why Palin can’t be ignored

Many Democratic operatives are advising Obama and Biden to essentially ignore Palin. I don’t think they can. President-elect McCain (I use the term to focus your mind on the stakes here) has made her one of the most important issues in this campaign.

In choosing — or being forced to choose — a person with no national or international experience, whose government background is a few years as mayor of a tiny exurb and 18 months as governor of a state with 670,000 people (less than half the population of Phoenix), McCain should be giving the nation pause. Pause to wonder about his judgment, for if he chose her it was the kind of impulsive, irresponsible action for which he’s known. Pause to wonder who is really pulling his strings, considering she is the candidates of the hard-core evangelicals McCain once denounced, and the oil industry he claims to be willing to fight. Pause that he would make a shameless political move to energize his base even if it meant putting the country at risk. President Palin. Think about that.

One of the many outrageous things about the Palin affair is her refusal to hold news conferences or meet with reporters. Proper "deference" was demanded by the McCain campaign. Deference? Here, ma’am, the people rule — unless you are willing to proclaim us an authoritarian empire where the press is treated as it is in, say, China. It should be a deal-breaker in itself that she has been shut off like a celebrity.

What is McCain hiding? What is he afraid of?

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Posted inPolitics: National

McCain mobilizes, and cows, his ‘base’

"Half of the American people have never read a newspaper. Half never voted for President. One hopes it is the same half." — Gore Vidal

"The (Bush) aide said that guys like me were ‘in what we call the
reality-based community,’ which he defined as people who ‘believe
that solutions emerge from your judicious study of discernible
reality.’ I nodded and murmured something about enlightenment
principles and empiricism. He cut me off. ‘That’s not the way the
world really works anymore. We’re an empire now, and
when we act, we create our own reality.’ " — Ron Suskind

"This election is not about issues. This election is
about a composite view of what people take away from these candidates." — Rick Davis, McCain campaign manager

Unfortunately Vidal is probably wrong, considering that most Americans get their tiny bits of information from television. Davis may well be right, despite the critical issues facing the country, and that his campaign is running to continue the very Bush-Cheney "faith-based" policies that created the disaster of the past eight years.

This is the background you need to understand the successful McCain effort to cow the corporate media into submission in the final weeks before the election. Remember that McCain called the big-time media "his base" and there’s been a long love-fest between them. But the old fighter jock will now slap around and intimidate his love — and many Americans will approve. It will be the Rovian tactic that puts the race within stealing distance, if not produce an outright McCain victory.

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Posted inPolitics: National

Country first?

It's amazing that the Party of Lincoln will nominate a secessionist as vice presidential candidate. Palin was a member of a party calling for Alaska to secede from the union.…
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Posted inPolitics: National

On the convention: Will Obama be FDR or Bryan?

Let me begin my convention observations by saying: I don’t trust the media. Whatever the Democrats and Obama do, it will be "the wrong thing" per the corporate media narrative. He still hasn’t "sealed the deal" and "closed the sale." He "lacks specifics" — a lie — and if he provided more, they would be instant red meat. If 75,000 people in the stadium hear one of the great speeches of our time — as happened in Philadelphia on the race issue — it will be swept away by the coiffed broomheads of television pundits.

As Michelle’s speech confirmed, the Obama’s have done everything the "conservatives" demand of black folks — and they’re still "foreign." He’s a celebrity — that’s bad. Americans "don’t know who he is" — as if they know who the hell John McCain is. He’s "not one of us" — as if that has any meaning in an America of diverse life paths, or that a former POW, longtime right-wing capo and rich consort of a beer heiress is "one of us." "One of us" is a stupid person, as the media would have it — because, after all, education and the ability to speak in complete sentences = elitism.

The best way to watch the convention is on CSPAN, so you hear all the speeches, not merely the prime-time ones that are filtered and "interpreted" by the bubbleheads. Of course, most Americans don’t do this. So they watch the prime-time spectacle as the Democrats try, again, to figure out how to beat the Republicans. Somehow eight years of misgovernment on an unprecedented scale isn’t enough. Nor is the obvious failure/scam that is "conservative ideas" in action. The right has wrecked the country and yet the presidential polls, if they are to be believed, show Obama struggling to stay even.

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Posted inPolitics: National

Why the McCain house gaffe matters

President-elect McCain’s inability to recall how many houses he owns fits into a larger and more troubling pattern. The problem is not just that he is an out-of-touch rich guy.

This is the candidate who repeatedly confused Shiite and Sunni — all the while trumpeting his expertise on the Middle East. At one point, his sock puppet Joe Lieberman had to whisper the facts in his ear. He couldn’t tell Sudan from Somalia. He kept talking about a nation that hasn’t existed for years. Iraq and Pakistan share a border, the senator wrongly said, and the Sunni awakening happened ‘after’ the surge (edited out by CBS). He said he didn’t know much about economics, then denied saying such a thing. He spoke of a withdrawal timetable one day, then denied saying it later. He volunteered Cindy for a topless contest. Then there was the stupendous dead space and mumbling when he was questioned about claiming Obama was playing the race card.  He claimed he walked through Baghdad without body armor or protection, etc., etc. Most of this has been captured on tape.

What’s going on? Neither obvious answer is comforting. He’s either going senile as he nears 72, or he’s lying and unprepared on critical issues without realizing how easily this can be caught in a YouTube era. (Whether the duhs and ignos — those ‘undecided voters’ and angry Clintonites — will care, is another, depressing matter). Either one of these answers should disqualify  him for the White House, particularly because so many of his misstatements, confusions and subsequent lies come about issues where he claims superior experience and judgment.

But next consider all his flip flops, over torture, warrantless wiretapping, tax cuts, Social Security, abortion rights, engaging with Hamas, nuclear waste at Yucca Mountain, offshore drilling, etc. Once the presumptive nominee, he said Social Security was "an absolute disgrace.’ His chief economic adviser and likely Treasury secretary called Americans a ‘nation of whiners’ and said the recession was in our heads. This from a rich man who helped deregulate banking, profited from it, then profited again from the current deregulated banking crisis. Soon after McCain reversed course to support drilling, oil industry contributions poured in.

The above is not a disjointed laundry list. When we combine it with McCain’s obvious mental fatigue, the really disturbing picture comes clear.

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Posted inPolitics: National

The night the lights went out on Georgia

I’ve heard several stories about John McCain’s "tough stance" over the Russian-Georgian conflict on NPR, how it helps burnish his "national security credentials." Similar stories appear elsewhere in the supposedly liberal media. Rarely in the same story do we hear or read that McCain foreign policy adviser Randy Scheunemann is also a well-paid lobbyist for the nation of Georgia. The "liberal" New York Times snuck this fact into an inside story under the innocuous ("don’t bother to read me") headline: "In Split Role, McCain Adviser is Sometimes a Lobbyist."

Were the situations reversed, this would be a scandal of the first magnitude for Barack Obama. But, as I have noted before, the corporate media and corporate rulers of America have to take him out. So here is one more way to do it. Forgive me for being cynical — after two stolen presidential elections, the serial scandals of the Bush years, secret energy task force, etc. — but are we seeing a new cold war ginned up to benefit McCain?

Where is our ‘liberal’ mainstream media on reports of Karl Rove meeting with Georgian President Mikheil Saakashvili, soon after the Georgian leader met with Condoleezza Rice in July. Hello?…Any curiosity? The White House has denied that Rice gave a green light to the impulsive Georgian president. Ah, but I remember all those color-coded "threat" warnings being raised and "high profile" terror arrests that went nowhere during the 2004 campaign. They succeeded in scaring enough people to make it a close enough election to steal.

McCain could win just because enough voters won’t cast a ballot for a black man, but the oligarchy apparently isn’t taking any chances. As usual, the national interests of the United States are cast aside.

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