Category Archives: Privatization

Falling Behind Russia.

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For those Americans who still consider Russia a rival of the US, I have bad news. We have fallen behind the Great Russian Bear in one important economic category: Russia is one of the few nations on the planet with more economic disparity than ours.

In the US, the top one percent own 40 percent of the nation’s wealth, while the bottom 80 percent own just 7 percent. But in Russia, just 110 people own 35 percent of the nation’s wealth! According to a report by Credit Suisse, “Russia has the highest level of wealth inequality in the world, apart from small Caribbean nations with resident billionaires.”

Damn those Russians! We used to be number one!

Of course, this means our greedy billionaires will need to step up their game. We know they’re trying. The Koch brothers funded the government shutdown over “Obamacare” in order to maintain the status quo. Wall Street, the health care industry, and defense contractors have increased their lobbying groups in Washington. And the US Supreme Court is currently hearing a court case that may allow the obscenely wealthy to better purchase politicians and political favors under the guise of free speech.

But even that may not be enough. So the bought-and-paid-for Teapublicans are working overtime to privatize Social Security, Medicare, our military, prisons, schools and every other institution in the US. The claim is that this will make the institutions run more efficiently and more cheaply. But, in reality, privatization merely makes these institutions less responsive while adding to their costs and the corporations’ bottom lines.

But who are the poor and the middle class to complain? This is about national pride. We’re exceptional!  We have to be number one. USA! USA! USA!

GOP’s Age Warfare.

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Teapublicans always whine about what they refer to as “class warfare” whenever anyone wants to level the playing field between the wealthy and the middle class. But now they are waging a war on those 50 and older by trying to privatize Social Security and Medicare. To push their agenda of destroying “entitlements,” the Tea Party says these safety net programs are unfair to millennials who have to contribute to the programs.

Would the millennials rather contribute to their parents when the safety nets fail?

Would they rather take in their elderly parents and grandparents? Would they prefer to offer them transportation, feed them, clothe them, provide elder care, track their meds, and bathe them? Would they like to cover their health care costs?

There’s a reason that most civilized nations have safety nets, such as Social Security and Medicare. It’s because most compassionate people would rather not see the elderly broke, hungry, sick and homeless. The large corporate masters of the Republican Party and its Tea Party parasites, on the other hand, only care about their bottom lines. If increasing profits hurts some people, so what? Their overpaid and overstuffed executives won’t have to worry about retirement, and neither will their parents. In most cases, they can simply send a check to help out poor ol’ Mom and Dad.

Has it really come to this? Is the new GOP strategy to pit one generation against another? Has the GOP tired of taking money from the working poor and food stamps from children? Are the elderly the last people standing between them and the tax-free government they desire?

These words may seem cynical. But that’s far better than the cynical actions of today’s GOP.

Arizona’s Right Wing “Job Creators.”

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When Gov. Janet Napolitano was replaced by the finger-wagging Jan Brewer following Napolitano’s appointment to become Director of Homeland Security in 2009, the last check on Arizona’s right wing-dominated legislature was eliminated. That led to such bills as the anti-immigrant SB 1070; bills that made it legal to carry guns in bars; bills that protected guns, not people; bills that cut tens of millions from public schools while cutting taxes for corporations.

All the while, the right wing legislators claimed that their top priority was job creation.

Therefore, it seems fair to judge their efforts by looking at the jobs created in Arizona compared to the rest of the nation. Since the end of the Great Recession, the US has regained 77 percent of the jobs lost according to the Bureau of Labor Statistics (BLS). Over the same period, Arizona has recovered just 46 percent of the jobs lost. Despite being one of the states hardest hit by the recession, Arizona ranks just 44th in job creation since February 2010.

The statistics show that Arizona has recovered just 66 percent of jobs lost by the information industry, 40 percent of those lost in professional and business services, 34 percent in other services, 32 percent in trade, transportation and utilities, 29 percent in government, and just 27 percent in manufacturing.

How can that be?

According to Teapublican legislators, the best way to create jobs is to cut taxes. Yet Arizona’s corporate taxes are among the very lowest in the nation. They also claimed that SB 1070 would allow Arizona citizens to reclaim jobs from undocumented workers. Somehow, they believed that chasing tens of thousands of immigrants from the state who rent homes, purchase cars, buy groceries and buy clothes would improve the state’s economy.

Apparently they also believe that outlawing a Latino studies program in the Tucson school district, eliminating the poor from Medicaid, attacking the federal government, cutting school budgets, redirecting money to private schools and private prisons, closing rest stops, closing state parks, demanding further proof of Obama’s citizenship, and telling the world that Arizona is unsafe, would entice tourists and sophisticated corporations to come here.

Maybe, just maybe, the right is wrong.

Beware The Pendulum.

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As a creative director for ad agencies and as a part-time college instructor, I used to teach that social trends and fashions responded like a pendulum with a 360-degree axis. The pendulum freely swings, but never back to exactly the same place twice.

I was reminded of that description while watching the ceremonies marking the 50-year anniversary of the March on Washington. In 1963, the US seemed hopelessly racist. In the Jim Crow South, blacks were segregated from whites. African-Americans were denied the right to vote. Peaceful civil rights demonstrators were met with fire hoses, police dogs, beatings and murder.

The Voting Rights Act of 1965 began to change that.

In the last two presidential elections, African-Americans voted in record numbers helping to elect the first US president of African-American heritage. (I’ve always marveled that his Irish-American heritage is seldom mentioned because of the color of his skin.)

Obviously, the pendulum has swung a long way from 1963. But it seems to be swinging back.

Since the election of President Obama, numerous states in both the North and the South have passed restrictive voting laws to make it more difficult for minorities to vote. No other US president has been subjected to such angry derision. No other president has been repeatedly asked to show his papers to prove that he is a citizen. No other president has been interrupted during a State of the Union speech by a “Congressman” calling him a liar. No other president has been met by such congressional obstruction.

Racism did not disappear in the sixties. It is just more subtle. There are fewer racist killings, beatings and other hate crimes. Today, the racism is economic and institutionalized. Unemployment for African-Americans is roughly double that for whites. Many of those who do have jobs are not paid a living wage. Schools in African-American communities are grossly underfunded compared to those in white communities. African-Americans are not only three times more likely to be arrested as whites, they receive longer sentences for similar crimes.

Indeed, young African-American and Latino males are seen as a source of profit for the private prison industry. They are also disproportionately represented in our military and asked to fight wars to protect the economic interests of large corporations that are almost exclusively owned and managed by wealthy white Americans.

News organizations, once again, insert race into stories of crime. Media commentators feel comfortable talking about the disintegration of African-American families while ignoring the disintegration of white families. When minorities bring up discrimination and other issues of race, white political pundits refer to it as “playing the race card.” They would like us to believe that racism no longer exists. (Of course, it doesn’t for them.)

Most disturbing is the fact that the conservative majority of the United States Supreme Court has voted to weaken the Voting Rights Act and to undermine affirmative action.

On the anniversary of Martin Luther King’s iconic “I Have A Dream” speech, we should all take a moment to celebrate how far we’ve come. But only a moment. It’s time to get back to work to make sure the pendulum swings in the right direction again.

What’s Wrong With The US? Connect The Dots.

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It’s probably self-evident, but our government is no longer of the people, by the people and for the people. A more accurate description would be of the corporations, by the corporations and for the corporations.

But how did we get here? How have a few powerful multinationals and one percent of the population usurped power from the vast majority of the people? In order to fully understand this, all you need to do is connect the dots.

  • We have allowed a few large corporations to create virtual monopolies, often with the help of government subsidies. These corporations buy out, squeeze out and drive out small businesses.
  • The CEOs of these corporations sit on each others’ Boards and approve each others’ compensations.
  • A portion of CEO compensation is based on the companies’ productivity and share price. That means the CEOs strive to cut costs (employee benefits and salaries) while increasing the price of products and services.
  • Once corporations achieve maximum productivity and profit with US employees, they are encouraged to offshore jobs in order to further reduce labor costs and employee benefits.
  • As corporations expand around the world, it becomes easier to stash profits offshore in order to reduce their tax burden and further increase profits.
  • These increased profits and compensation allow corporations to “invest” millions in the political campaigns of those who will support corporate interests.
  • The campaign contributions by corporations and corporate leaders leads to a massive increase in the cost of running for office, driving away those who might represent ordinary working people.
  • Corporate-financed Political Action Groups and associations, such as the US Chamber of Commerce spend additional millions to support corporate-friendly candidates.
  • Once the corporate-friendly candidates are sworn into office, they pass legislation that benefits their contributors.
  • Corporations and industries finance large lobbying efforts to further impact legislation resulting in large government contracts and subsidies.
  • Eventually, the corporate-friendly politicians nominate and approve judicial appointments that make the courts more friendly to corporate interests (see Citizens United v FEC, Buckley v Valeo and Bowman v Monsanto).
  • Politicians, with help from the courts (see Shelby County v Holder), undermine the voting rights of minorities and others who oppose them. At the same time, they wage war against the poor by cutting education, unemployment benefits and food stamps. They allow corporations to steal their savings, even their homes without repercussions.

We can take back our government, but it won’t be easy. It starts with election finance reform that takes the massive amounts of money out of political campaigns. It ends with politicians who, in the interests of ordinary people, are willing to break up “too big to fail” corporations as President Theodore Roosevelt once did.

A Divided Nation.

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I began this blog several years ago with a post “Why We’re Divided.” The point was that our political divide is not merely the result of differing ideologies. It’s the result of differing “facts.”

Never has that been more clearly demonstrated than by two competing advertising campaigns running on this Independence Day. In my state’s largest newspaper, there is an ad bearing the headline “In God We Trust.” Paid for by a company that is owned by a religious zealot, the ad uses a variety of quotes from our Founding Fathers to support the claim that our nation was founded on Christianity.

A few pages later, there is an ad bearing the headline “Celebrate Our Godless Constitution.” Paid for by the Freedom From Religion Foundation, it, too, uses a variety of quotes from our Founding Fathers to support the claim that our nation was built on the principle of separation of Church and State.

This is a classic example of proof-texting – selectively choosing quotes that support a particular point of view. This technique is often used by the religious to justify actions or beliefs. Religious leaders use verses from the Bible to justify war, to rationalize genocide, to discriminate against gays and others, to ignore – indeed blame – the poor for struggling as the result of policies they didn’t create, etc.

No matter how ugly your point of view, you can find a verse in the Bible, the Torah or the Qur’an to justify an action or inaction.

The same is true when it comes to quotes by our Founding Fathers. As Michael Austin writes in his book That’s Not What They Meant! Reclaiming the Founding Fathers from America’s Right Wing, the Founders were so diverse, you can find a quote from one of them to support almost any point of view. Among the Founders were Protestants, Catholics, Quakers, Jews, Deists, Agnostics and Atheists. There were idealists and slave owners. There were farmers, plantation owners, printers, attorneys, inventors, ship owners and many others.

There were Founders in favor of a strong central government and those who believed the power should reside exclusively with the states.

So which ad is correct? Both of them. And neither of them.

Thomas Jefferson, who wrote the Declaration of Independence, and James Madison, who authored our Constitution’s Bill of Rights, strongly believed in separation of Church and State. The majority at the Constitutional Convention agreed. However, many of the Founders spoke of “divine providence” and the “principles of Christianity.”

More important, the ads demonstrate the growing divide between Americans; between the Federalists and those who believe in states’ rights; between the devoutly religious and the agnostics; between science and religion; between those who trust government and those who despise it; between the wealthy and the poor; between red and blue; between black, brown, red and white; between the educated and the uneducated; and between those who believe the US is the greatest nation on Earth and those who recognize its faults and intend to change them.

I think it no exaggeration to write that our nation is at a crossroads, more divided than at any time since the Civil War. Independence Day is the perfect time to consider the consequences of such a divide. Committing to compromise and finding common ground are imperative to the future of our nation.

The Dismal State Of Our Union.

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Upon listening to the last day of Neal Conan’s Talk of the Nation on NPR, I was surprised by Ted Koppel’s response when asked about the future. Turns out, Koppel shares many of the same concerns as I do. For what it’s worth, here is a compilation of my own views of the current state of our union and its future.

Civil Rights – How depressing that people are still struggling for civil rights nearly 150 years after the end of slavery! The Supreme Court ruling on the Voting Rights Act was a huge setback, unleashing red states to suppress minority votes.

Abortion – Although abortion was made legal in 1973, women are still fighting to wrest control of their own bodies from the old men who control our political system. Amazingly, women are now forced to fight for access to contraception!

Environment – Most Americans say they’re concerned about our environment. They just don’t act like it. Most refuse to sacrifice anything on behalf of our planet’s future.

Hunger – In the richest nation on Earth, 50 million people are unsure of where they’ll get their next meal. That includes 17 million American children!

Energy – Nearly 40 years after President Carter had solar panels installed on the White House, we’re still addicted to fossil fuels. We spill more oil than most other countries use.

Healthcare  – The dirty secret is that we have no healthcare system. We spend more than twice as much as other advanced nations, yet achieve worse outcomes. And we spend more on pharmaceuticals than the rest of the world combined.

Wall Street – Greed has turned large banks into high stakes casinos. Their gambling habit not only cost individuals and pension plans trillions…many families lost their homes. Yet any attempt to regulate these banks has been undermined by millions in lobbying efforts.

Income Disparity – The US ranks among the world’s worst nations for income inequality. 400 Americans control more wealth than half of our population, and the gap is growing. Yet Republicans believe that 47 percent are sponging off the rest!

Jobs – Simply put, we don’t have enough of them. And far too few of them pay enough to support a family. Corporate leaders and politicians, on the other hand, each make enough to support dozens of families.

Privatization – We’ve privatized prisons, prison healthcare, schools, our military, even our intelligence efforts. Although all of these efforts have proven to cost more than publicly run institutions, Republicans are pushing for even more privatization.

Pensions – We lost tens of thousands of employee pensions over the past 40 years, replaced by IRAs and 401Ks which were originally intended to supplement defined benefit pension plans. The money once used for employee benefits now lines the pockets of CEOs, executives and investors.

Politics – Our politics have continued to move to the right, even though our population hasn’t. When Republicans are in control, they unabashedly cram through partisan legislation. When Democrats are in control, they tentatively nibble around the margins instead of doing what they were elected to do. Both parties rely on large corporations to finance their political campaigns.

Tea Party – This is a relatively small group that has had a large impact. Based on lies and meanness, it seems its goal is to take us back to the 16th Century.

Surveillance – Following 9/11, we traded privacy for increased security. The NSA tracks records of our phone calls, search engine terms and emails. Banks and credit card companies track our purchases. And surveillance cameras are everywhere.

Guns – While the NRA works to increase the availability of guns, even for criminals and the mentally ill, manufacturers make guns ever more lethal.

Education – Thanks to conservatives, public education is underfunded and teachers are woefully underpaid. Enough said.

Science – Many now claim that evolution is merely a theory. But so is gravity! Of course, these people also deny man’s affect on climate change. (See education.)

Religious Intolerance – Islam is not the only religion with extremists. The intolerance of all religions seems to be growing.

Anger and Pettiness – Within 20 years of the end of the Fairness Doctrine, 91 percent of talk radio was conservative…mean, angry, venomous Rush Limbaugh-style conservative… and it’s getting worse. (See Tea Party)

War – There’s no denying it. The US absolutely LOVES war. We glorify soldiers and their war machines with military-style ceremonies and flyovers at nearly every large event. And we spend hundreds of billions on “defense” to build bigger, badder war toys.

Iraq – Iraq cost us trillions of dollars and thousands of lives. The result of our sacrifices is that we have turned Iraq into a vassal state of radical Iran.

Afghanistan – Despite setting a deadline for withdrawal, there is no clear outcome for this war. We may leave the country no better off than it was when we arrived.

Syria – Yet another opportunity to dive into a war with no real reason or plan. But it is a war and some of our politicians don’t want to be left out.

War on Drugs – This “war” may have ruined more lives than the drugs themselves. It disproportionately affects minorities, filling our prisons to overflowing. Indeed, we have a larger prison population than any other nation.

Militarization of Police – As our soldiers return from war, they’re increasingly hired by police departments. As a result, police become ever more militarized…with assault weapons and assault vehicles…and further removed from ordinary citizens.

Journalism – In the 1980’s, TV networks began measuring the success of their news organizations by ratings which instantly sensationalized the news and created the “sound bite.”  Worse, most news groups have lost their independence as they were gobbled up by conglomerates.

With all this, it’s difficult to be optimistic about the future, but the pendulum may soon swing the other way. I hope so.

“Private Eyes” Given A Whole New Meaning.

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Recent revelations about National Security Agency (NSA) snooping on phone records, emails and Internet history have been used by some politicians to attack President Obama. Really? He not only inherited these programs from Dubya. By most accounts, he placed new restrictions on them.

Whatever the case, government spying on American citizens should be openly debated by all Americans and our representatives. Only the American people should decide how much privacy we’re willing to sacrifice in exchange for the prevention of terror attacks.

But while the media and Washington have been focused on each new revelation of the NSA program, several aspects have been relatively ignored.

One is that those collecting the information are not government agents or employees. They’re private companies. Edward Snowden was an employee of Booz Allen Hamilton, which is a publicly traded, for-profit corporation that has sucked up billions in revenue from government agencies such as the Department of Defense, all branches of the U.S. military, U.S. Intelligence, the Department of Homeland Security, the Department of Energy, the Department of Health and Human Services, the Department of the Treasury, the Environmental Protection Agency, and the National Security Agency.

As a result of the political right’s fascination with privatization, companies like Booz are now handling many of the tasks the government used to. The belief, although not proven, is that awarding government contracts to such companies will save money.

Apparently, it also makes information related to these tasks less secure.

Not satisfied with revealing aspects of the secret program, Edward Snowden has told the South China Morning Post that the US has been “hacking Hong Kong and China since 2009.” Great! So after turning many American citizens against their own government, Snowden is now attempting to turn other nations against it, too.

Another surprising aspect of the Snowden leak is that Booz Allen Hamilton was paying him a salary of $200,000! This is a 29-year-old who dropped out of high school, dropped out of the Army, and possesses a GED. According to his social media sites, his real expertise is playing video games.

Finally, after revealing classified information about what he considered to be US government abuses, Snowden moved to China, saying that he admired Hong Kong for its commitment to free speech! (Perhaps he should talk to a few of my Tibetan friends about China’s commitment to free speech. He can find many of them in Chinese prisons.)

Not surprisingly, all of this has made Snowden a “hero” to the tinfoil-hatted Glenn Beck. Upon reading an account of Snowden’s revelations and his flight to Hong Kong, Beck tweeted “I think I have just read about the man for which I have waited. Earmarks of a real hero.”

On the other hand, Richard “The Dick” Cheney scurried out of his hidey hole and pronounced Snowden a “traitor.”

For me, this poses a real dilemma. If Beck praises someone as a hero, I can usually count on that person being a lunatic. And if the black-hearted Cheney calls someone a traitor, I can usually count on that person to be the opposite.

So now what am I to believe?

The Right Wing Propaganda Machine.

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Since the end of the FCC Fairness Doctrine, we have been subjected to a massive propaganda campaign led by Fox News Channel and the loudmouths on hate radio. But that’s just the propaganda that’s most noticeable.

Billionaire plutocrats have funded a less noisy, much more sinister effort. It involves the use of so-called “think tanks” – conservative organizations such as the American Enterprise Institute, the Cato Institute, and Americans For Prosperity that generate research studies to “prove” the worth of conservative ideas.

These studies are then shopped to the media, to Congress and anyone else who might be willing to listen. Too often, those who listen include the mainstream media looking to fill airtime in our 24/7 culture.

As a result, viewers and listeners are convinced (with the help of media pundits and commentators) that cutting taxes for the wealthy will create jobs; that providing tax subsidies for multinational corporations are a panacea for fixing our struggling economy; that privatization of schools, prisons and other institutions are more efficient and cost-effective; that shipping manufacturing jobs oversees actually benefits our economy; that “entitlements” such as Social Security and Medicare are no longer affordable; that private retirement accounts are better than pensions; etc., etc., etc.

Most of these studies are phony science – intended to benefit only the plutocrats who funded them.

Of course, there is even more to the propaganda machine. There are the lobbyists who have the ears of Congress. There are the plutocrats who contribute to political campaigns in order to gain influence after the candidates are elected. And most sinister of all, there are corporate-sponsored organizations such as ALEC (American Legislative Exchange Council) that write legislation to benefit their sponsors then push legislative members to vote it into law.

The only way to combat such highly-organized and well-funded propaganda is to be very skeptical. Seek out information from a large variety of sources. Look at the origin of the studies. Follow the money. And be particularly wary of anything that benefits the well-connected and the well-heeled. Then get involved. Let your representatives know that you are paying attention. Ask them difficult questions. And hold them accountable.

GOP Platform Full Of Hate, Fear And Greed.

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Under the new GOP platform, every fetus will be protected or avenged, and women’s reproductive systems will be controlled by the people who know best…male politicians and churches.

Under the GOP, our borders will be secure.  Those foolhardy enough to cross will be shot or imprisoned.  And Latinos will never be without papers.

Under the GOP, the military will be made more powerful to protect “American interests.”  So our corporations will be free to extract resources and money from anywhere on the planet.

Under the GOP, billions of dollars for Social Security and Medicare will be liberated from the evil government’s control to earn profits for corporations.  The power to decide who lives and dies will be returned to those who know best – large insurance companies and PhRMA.

Under the GOP, the wealthy will pay fewer taxes.  Corporations will pay no taxes.  And the rest of us will have to work harder and longer to make up for it.

Under the GOP, there will be no Environmental Protection Agency and no Endangered Species Act.  Nothing to interfere with the profiteering of Big Oil.

Under the GOP, the “sanctity” of marriage will be protected from “sinners” such as gays and lesbians.

Under the GOP, people of color will have their right to vote protected.  But only if they have proper ID and are willing to stand in long lines.

Under the GOP, the deficit will be reduced at the expense of the poor.  There will be no Medicaid.  No public education.  No food stamps.  No unemployment insurance.  No welfare.  Charity is only for churches, and today’s evangelicals are only interested in your soul and your fetuses.

If elected to control the White House and Congress, the Guardians Of Privilege vow to “Restore America” – to the 18th century.  And if you think I’m exaggerating, you definitely haven’t been paying attention.