Showing posts with label 99%. Show all posts
Showing posts with label 99%. Show all posts

Sunday, April 06, 2014

America: Are We Really Free?


Are we free? Really free? We're taught from nearly day one of school that America is world's freest country; the "beacon of light" to the world; the home of the world's greatest democracy. With the Supreme Court's most recent decision ruling, McCutcheon v FEC, in a 5 to 4 ruling, corporations and the very rich can now donate as much as want to too any candidate, party, cause, or political action committee. They had previously ruled in 2010, in the Citizens v FEC case and another 5 to 4 decision, that free speech equated to money and that corporations had essentially the same rights as flesh and blood individuals; actually, more rights to be truthful since individuals remained capped in what they could donate.

With this recent ruling, the uber-rich and the supra-corporate elite have much more "freedom" that ordinary working class Americans, who are severely limited in the amount of "free speech" they are able to give. In effect, the one percenters can openly buy any candidate and any election they want too. Of course, they've been doing this for a long time already, but now they can come out from behind the curtain and out of the shadows and do it openly while the rest of America just stands and watches their Constitutional freedoms evaporate one by one. Chalk up another victory for the Oligarchy. This got me to thinking--just how free are we really? How do we compare with other nations?

Well, one would hope we're still number one; at least I was hoping. However, not only are we not number one, we're aren't even in the top ten freest countries. The freest country in the world is actually Hong Kong, followed by Singapore. Interestingly, both nations have a "open" or laissez faire economy (think "hands off" by the government or a libertarian style economy). That's something our Founders had planned for us but has long since vanished. So, where do we stand?

Actually, the US is 12th, between former Soviet client state of Estonia and the constitutional monarchy of Bahrain (known for being dictatorial with an ineffectual parliament and ineffective judiciary system as well as human rights violations, which Human Rights Watch calls "dismal"). For "leadership of the free world", that's not exactly good company (no offence to Estonia or Bahrain intended). Our neighbor to the north, Canada, came in sixth while our southern neighbor was ranked 55th, which might explain all the border troubles! If there's any good news here, it's that our friends across the pond, the UK, came in 14th place (and being part Irish, I have to point out to our English mates that Ireland was ranked 9th).

Speaking of human rights, the International Human Rights Ranking Indicator places America in 20th place, between France and Monaco. Not exactly comforting for the "leadership of the free world is it? Canada was ranked 10th while Mexico was 63rd. Who ranked highest for protection of human rights? That was Norway, followed by Sweden and Australia. In another ranking, this time compiled by the Maplecroft 2014 Human Rights Risk Atlas, the US ranked 139th out of 197 countries, making it a "moderate" human rights risk while the Scandinavian countries ranked at the top.

In comparing Hong Kong with the US, I found some remarkable results. In terms of business freedom; that is how much a business can operate without government interference, Hong Kong score nearly a perfect 100 which the US wound up with an 85%. Closely related, in terms of fiscal freedom, Hong Kong "very free" with a 95%. The US was rated as "moderately free" with a 65%. In looking at government spending, the US at 50%, which put it in the "mostly unfree category" while little Hong Kong again was ranked as "very free" with another 95%.

In terms of property freedom, both Hong Kong and the US ran equally at 90% until 2009, when the US dipped to 80%. Meanwhile, Hong Kong continued at 90%. In terms of freedom from governmental corruption, US ranked 72%, making it the 23rd in the world. As for Hong Kong, it came in 13th place at 82%. Any way you slice it, America didn't do so well, so I decided to see just how well respected we were. Surely, we were at least well respected.

Well, as it turns out, not so much. America was ranked paltry 22nd most respected country in the world, just ahead of Peru and just behind Brazil. According to the report, the reasons for our dismal showing was our perceived lack of an effective government and "appealing environment". In case you're wondering, Canada came in first, following by Sweden.

Clearly, we're a nation in trouble, at least from the perspective of the rest of the world, which seems to bear out what the overwhelming majority of Americans think. According to a recent Rasmussen Report, only 28% of Americans think we're headed in the right direction, and those numbers have remained fairly consistent. Congressional approval is currently around 13%, which is actually up from 9% in November. For the last three years, it's been 20% or under. Obama isn't doing much better. Gallup has his most recent job approval rating at 43%. And the Supreme Court? The last poll was taken before their recent decision, but even then, it was only 45%. I'm sure it's much lower now. In any other country, that would be called a "no confidence vote".

So what does all this mean? Well, obviously we're not the free country we think we are, and we haven't been for some time now. It means that not only does the world have its doubts about us, we do too. We're not happy with the nation we've become, and despite our objections, those elected to represent us either ignore us out of arrogance or self-interest, namely they're catering exclusively to those whose "free speech", as defined by the Supreme Court, they hear the clearest. In what has to be the clearest case of politics making strange bed fellows, those outside of conventional party politics on both the Left and Right, have more in common than not when it comes to defining who's to blame. What do I mean?

The non-aligned Left sees the transnational corporation's influence over governments as the key problem while the non-aligned Right see government as being too large and too invasive. Both see the power of government becoming to encompassing as the power of corporations over governments, even superseding governments, continues to grow. In any other country which valued freedom, both would have used this common cause to march together in the streets and in to the halls of power----Wall Street and K Street and maybe if they have time, Capitol Hill. In any other country which valued freedom, there would have been revolution to rid itself of the corruptors and abusers of our sovereignty, but America isn't any other country...or is it?


2014 Index of Economic Freedom
http://www.heritage.org/index/ranking

The World's Most Reputable Countries 2013
http://www.forbes.com/sites/susanadams/2013/06/27/the-worlds-most-reputable-countries-2013/

Right Direction or Wrong Direction?
http://www.rasmussenreports.com/public_content/politics/mood_of_america/right_direction_or_wrong_track

Barack Obama Presidential Approval
http://www.gallup.com/poll/116479/barack-obama-presidential-job-approval.aspx

Congress Job Approval Starts 2014 at 13%
http://www.gallup.com/poll/166838/congress-job-approval-starts-2014.aspx

International Human Rights Ranking Indicator
http://www.ihrri.com/index.php

Maplecroft 2014 Human Rights Risk Atlas
https://maplecroft.com/themes/hr/

Tuesday, January 28, 2014

What's Going On America?


You may never have heard of Jamie Dimon or his ilk, but there's no doubt you've felt his influence. Dimon is the CEO of one of the largest financial institutions in the world, JPMorgan. His was one of the institutions which trigger the great financial meltdown a few years back, resulting in the largest bailout in US history and the now infamous phrase, "to big to fail". Mr. Dimon's company remains very much in business and none of executives or shareholders ever faced a day in jail though JPMorgan was forced to pay the largest civil penalty in US history. In fact, he just received a 74% increase in salary--mainly in the form of stocks and stock options---from $11 million to $20 million dollars.

Not too shabby, especially if you consider that real wages for the average working class family has continued to drop year upon year and, after being adjusted for inflation, is no better off than they were in the mid 1970's. In fact, since 1997, all economic gain has gone to those in the top 10% income bracket. Meanwhile, while companies like JPMorgan were bailed out on the taxpayer's dollar (against the will of the American People I should add), some 10 million individuals have lost their homes since 2008 due to the home mortgage meltdown. And, yes, while many should have known better than to borrow more than they needed or could afford , despite intense pressure for banks, so too should the bankers and mortgage companies have known better. Apparently Middle America wasn't deemed "too big to fail" by the Washington-Wall Street nexus.

As everyone should know by now, the top 1% control some 40% of the nation's wealth while the bottom 80% controls a scant 7%. Only 19% of that wealth is actually in the form of income. Most of it is in the form of stocks, bonds, and real estate. To put it another way, the richest 400 people in this country control more wealth the bottom 150 million people. That's a hellva of disparity. The largest ever in our history. So, what are we to do about, if anything?

There's been a lot clamor about raising the minimum wage from its current $7.25 to $11.00 or even $15.00 dollars an hour. Of course all that will do is raise the costs of products, increase the number of layoffs or reduce hours while increasing workloads, not to mention the likelihood of a reduction or elimination of benefits. Heck, some employers may just shut their doors. President Obama is expected to increase the minimum wage for federal contracts to $10.10 an hour, which is nice except the contract bids will simply be adjusted to accommodate the change and thus the taxpayers---that's you and I---will be forced to pay for the wage increase. Sounds like swimming in mud to me.

Typically those who hold minimum wage jobs are the poorly educated (as to whose fault that is, is the subject for another time). Anyway, the only option typically is to return to school. However, to do that means incurring a back breaking debt, despite grants and low interest loans. Since 1999, student debt has increased a mind numbing 500% while those graduating were faced with an average decrease in starting salary of 10%. And filing bankruptcy may help with some of their debt load, it won't erase their student debt, but it will leave an nasty mark on the credit rating, which is the last thing they need.

Unions can't help them much either. Membership continues to drop. Today, it makes up only 7% of the work force thanks to job exportation, NAFTA (thanks heaps Bill), and changes in technology. The only segment of the workforce where unions at least continue to hold their own is the government sector, though wages increases, benefits, and pension protection are but dead. If amnesty is given to the estimated 11 million illegal immigrants now living in this country (not including the anticipated 7--10 million that will follow in the next wave), we'll see wage and benefits decline even further as demand for jobs far outstrips supply. Blacks and Asians will be most adversely affected in the influx since they currently hold most of the jobs that will be undercut from them and taxpayer based services are redirected away to pay for translators, housing, re-education and training programs and other social services. Meanwhile, the strain of Obamacare all but break the back of America's healthcare capabilities. Minimum care will become the norm with only critical care being available for those deemed "productive" as doctors and other healthcare providers hang up their white coats and college bound students consider other professions. All this calls to mind Ronald Reagan's famous quip about the nine scariest words, "I'm from the government and I'm here to help". So, what do we do then?

Serious discussion about extensive government reform, and even revolution are almost commonplace, even anticipated, although the media attempts to make it sound like "crazy talk" from the lunatic fringe. But the facts are that less than 20% of population say they have any faith in the government while just over 50% say that US democracy needs a total overhaul, even if that mean open rebellion (of those, only a few believe that reform will suffice). The majority of Millennials (those under 30) support socialism, primarily because they see capitalism as it now exists as having failed. Perhaps that's why federal agencies have been on a massive spending spree acquiring military grade firepower and ammo; police departments have become more "militarized", senior military officers are quizzed about their willingness to fire on US civilians (those refusing have been largely relieved of command); increased drone and cyber-surveillance; ongoing government harassment; and a proliferation in what I term "diversionary television" designed to take the public's mind of our national and economic decline as well as get us accustomed to the idea of being watched with the variety of "reality" TV programs.

"Diversionary television" is of course, but one part of the media outlets controlled by the top 1%. While media coverage seems to be focused on gay rights, abortion, or domestic spying, not to mention such earth shaking events involving the likes of Justin Bieber or Miley Cyrus or the Kardashians, only 3% of those surveyed in a poll conducted by AP-NORC Center for Public Affairs Research in December 2013 thought those were important issues. The overwhelming majority of Americans it seems were interested in under-reported topics such as healthcare, jobs, the economy, and illegal immigration. Bread and butter issues seems to be the only "View" the majority of Americans are interested in. It may be why we don't hear very much about what's happening in places like the Ukraine. Certainly the goal is to keep America's attention diverted from the real issues, but also Americans divided along as many lines as possible to prevent a united front from focusing on them (this also explains the usual empty talking heads on TV and radio). Meanwhile, politicians are gearing up for their next cycle of hype and misdirection intended to play on the public's emotions. But, I wonder, for how much longer?


Why There's No Outcry
http://www.huffingtonpost.com/robert-reich/why-theres-no-outcry_b_4666330.html


Could America's Wealth Gap Lead To a Revolt?
http://www.forbes.com/sites/dalearcher/2013/09/04/could-americas-wealth-gap-lead-to-a-revolt/


Why America May Be Ripe for a New Revolution
http://www.thestar.com/news/world/2013/10/19/why_america_may_be_ripe_for_a_new_revolution_burman.html

Wednesday, January 15, 2014

The Disconnect That is Congress



According to a 2013 poll, some 41% of Americans no longer believe it's possible to achieve the American Dream. I suppose that includes a good job with decent pay and benefits; a car; a home in a safe neighborhood; good schools; reasonably affordable healthcare. However, a plurality of Americans no longer believe they will do better than their parents nor do they expect their children or grandchildren will likely achieve the American Dream. That's something that's never happened to Americans before. We've always believed that each generation would build on the last and the quality of life would continue to improve. What happened?

Key has been our loss of faith in government. As we start 2014, Congress continues to have approval ratings in the toilet---currently 13%, though it's been lower (5% in December 2012) and there's no reason not to expect that it will continue to remain embarrassingly low. 53% of Americans disapprove of Republican House Speaker John Boehner's job while a pathetic 24% think their representative is the best person for the job. In another poll by Gallup, 81% of those polled said they had little or no trust in government---regardless of party.

Perhaps that's not to be unexpected. We've long known that Washington is out of touch with most America---what the Washington Elite spitefully refer to as "fly over country". After all, shouldn't there be some commonality with the people they represent? A "share the pain" moment?

As I last reported to you dear reader, there's an inequality that exists in the workplace today that's unheard anywhere in the world today. CEO's earn, on average, is 354% more than the average employee of their company (In France, the ratio is 104%. In Germany it's 147% while in the UK it's 84% and 206% Canada. Japan has a ratio of 67%). Seriously, is anyone worth that? Does anyone work that much harder or longer to earn that much discrepancy in income? Did you know, for instance, that the top 1% own 40% of all wealth in this country and "earn" 19% of all income while the bottom 80% account for only 7% of the total wealth? To put it another way, the top 400 wealthiest individuals in this country have a combined worth of the nation's 150 million poorest. A nation cannot long survive on such a disparity of wealth.

So then, given that the majority of members of Congress come from the business world, no one should be surprised to learn that 237 out of the 534 members are millionaires. The median income is $2.7 million dollars. Some are richer...much richer and the poorer ones aren't doing too badly either. They are indeed part of that top 1% mentioned above. Together, they have more money than 90% of all Americans. They don't worry about unemployment, healthcare, or foreclosures. They are exempt from much of the reality that you and I face. When they debate cuts in food stamps or job losses, I wonder if they have that same sick feeling in the pit of the stomachs that you and I do? When they discuss bank and corporate bailouts, are they thinking about your home interest rates or small business loans or the cost of education? They have guaranteed incomes for the rest of their lives while America is face with a unofficial but real unemployment rate of 23%. They don't have to choose between paying bills or buying food or medicine. They don't even have to worry about Obamacare because they have their own healthcare package which includes their families, not to mention a private gym and health spa largely paid for by taxpayers. That' you and I...again.

Members of the Washington elite have no concept of what the average working American goes through on a daily basis any more than the average American can relate to the lives of people living in third world countries. So, how can we expect them to make decisions benefitting the average working class family? When America was young, we were mostly a nation of farmers and shopkeepers---small businessmen (and a few businesswomen). True, there was income disparity, but not to this extent, and there was a real belief---a real hope---that with a little hard work and education, you or your children could and would do better. No more.

Our Founders opposed a professional political class as much as they despised political parties. Citizens were expected to briefly participate in holding an office---at little or no compensation---and then return to home so that someone else could have their turn. Instead, we are now a nation with a professional and wealthy ruling class---a plutocracy---far removed from the people they were elected to serve. With the Supreme Court's incorrect decision in upholding Citizens United, corporations can now act like individuals from a legal perspective, except they have literally more right than you and I do especially when it comes to money and campaigns. Whereas we are limited, they are no longer. Thanks to Citizens United, money is now equated with the 1st Amendment, that is, freedom of expression, and since they have more money...much more money...they obviously have more "freedom" than flesh and blood individuals.

Ben Franklin said they created a republic for us, if we can keep it. Well, old Ben, I am sorry to say that we failed or, at least, we're failing badly and will soon do as every democracy and republic before has done.

Trust in Government
http://www.gallup.com/poll/5392/trust-government.aspx

Congressional Performance
http://www.rasmussenreports.com/public_content/politics/mood_of_america/congressional_performance

New Financial Data on Members of Congress
http://www.opensecrets.org/
http://www.opensecrets.org/pfds/averages.php

Rich Congress Poor America
http://www.rense.com/general96/rich.html