Category Archives: social security

The Mendacity of Hope for the End of Trickle Down Economics

Summary of my reaction to the Democrat's actions over the last 18 months: OK. OK. Oh no. Shit. Goddammit. Now that they are lame ducks can they do one thing right and put an end to trickle down economics?

Folks, we all know how disappointing the last two years have been. Shameless theft of this title is from a brilliant but thoroughly depressing summary of our country's political reality. You should definitely Click to see a preview of this book But that only makes this site more important, as our founder has recently pointed out. So, let's follow along with what should be easy for the lame ducks to get right: bring back the personal income tax rate to the wealthiest among us to where it was under Clinton.

You know the chatter…NPR said ALL the Bush tax cuts will most certainly be extended at least for a year or two. Fox said the same, Newsweek said the same… I especially liked to hear our Maine Senators put away their 'Rino' tusks for a moment to conflate small business tax cuts (which everyone is in favor of) with maintaining the historically low tax rate for the wealthiest among us. So they will hold hostage making all the other cuts permanent for the wealthiest 2%?

Why?, we ask. Well, I'm not thinking this is a rich folk country club taking care of their own type of thing. And previous posts have brilliantly shown the history of the upper bracket rate, the amount of money at stake and the impact on balancing the budget. Oh wait, that's it! The old 'end around' to bankrupt the treasury so we'll have to roll back the New Deal because 'we can't afford it'. This is popular among our Teabagger friends. Has anyone heard where, exactly, they want the Federal Government to shrink? Defense? Hell no. This is the old 'two Santas' approach that Thom Hartmann likes to point out…you can have everything you want, and an amped up military to make you feel safe and secure, but you never have to pay for it!

Oratory Glory

I believe speeches can be significant. I think Obama’s speech on Wednesday’s might be one of those important moments. Or it may be more wasting of our time, more triangulation, more disappointment, more sucking up to the monied interest that currently dominate our government. My now seemingly naive hope when we elected Obama on the strength of millions of $20 donations, was that he would be able turn our corprate-ocracy back into a Constitutional democracy.

Fans of Thom Hartmann know I’m snatching this from Thursday’s show, but the similarities are too profound and I had to post this here. The following quotes are from a speech by FDR just before the ’36 election, after his first four years in office. This first clip talks about Republican attempts to undermine support for the just recently established Social Security program:

Here is an amazing paradox! The very employers and politicians and publishers who talk most loudly of class antagonism and the destruction of the American system now undermine that system by this attempt to coerce the votes of the wage earners of this country. It is the 1936 version of the old threat to close down the factory or the office if a particular candidate does not win. It is an old strategy of tyrants to delude their victims into fighting their battles for them.

Every message in a pay envelope, even if it is the truth, is a command to vote according to the will of the employer. But this propaganda is worse—it is deceit.

They tell the worker his wage will be reduced by a contribution to some vague form of old-age insurance. They carefully conceal from him the fact that for every dollar of premium he pays for that insurance, the employer pays another dollar. That omission is deceit.

They carefully conceal from him the fact that under the federal law, he receives another insurance policy to help him if he loses his job, and that the premium of that policy is paid 100 percent by the employer and not one cent by the worker. They do not tell him that the insurance policy that is bought for him is far more favorable to him than any policy that any private insurance company could afford to issue. That omission is deceit.

They imply to him that he pays all the cost of both forms of insurance. They carefully conceal from him the fact that for every dollar put up by him his employer puts up three dollars three for one. And that omission is deceit.

But they are guilty of more than deceit. When they imply that the reserves thus created against both these policies will be stolen by some future Congress, diverted to some wholly foreign purpose, they attack the integrity and honor of American Government itself. Those who suggest that, are already aliens to the spirit of American democracy. Let them emigrate and try their lot under some foreign flag in which they have more confidence.

See any similarities? How many victims of the current ‘Wealthcare’ health ‘scamsurance’ system have been deluded into railing against a national insurance system? Only now, it is ‘understood’ that the American government is incompetent and incapable of doing ‘anything’. To those ‘nine word’ Reagan disciples I suggest they ’emigrate and try their lot’ somewhere else.

This next quote refers to the Republican administrations that came before his first term in ’32, that brought about the Great Depression:

For twelve years this Nation was afflicted with hear-nothing, see-nothing, do-nothing Government. The Nation looked to Government but the Government looked away. Nine mocking years with the golden calf and three long years of the scourge! Nine crazy years at the ticker and three long years in the breadlines! Nine mad years of mirage and three long years of despair! Powerful influences strive today to restore that kind of government with its doctrine that that Government is best which is most indifferent.

For nearly four years you have had an Administration which instead of twirling its thumbs has rolled up its sleeves. We will keep our sleeves rolled up.

We had to struggle with the old enemies of peace—business and financial monopoly, speculation, reckless banking, class antagonism, sectionalism, war profiteering.

They had begun to consider the Government of the United States as a mere appendage to their own affairs. We know now that Government by organized money is just as dangerous as Government by organized mob.

Sound familiar? I would love to hear the right wing punditocracy howl if Obama could ever remind us how we arrived at this economic state as forcefully as FDR did.

Click this link to hear the audio and read the transcript. I can’t get enough FDR audio. I hope I hear a little FDR on Wednesday.

Post Script – This article from Harpers Barack Hoover Obama is brilliant…thanks Uila for linking to it, it is so pertinent to this post and has great insights into the Hoover administration. It probably deserves its own post, but the bottom line from this piece is that Obama needs to recognize the extreme situation the nation is in and he needs to grow the sack to take radical action, or become the left’s Hoover.

Social Security Hypocrisy

Joe the plumber is not alone. Of course many hypocrites like to talk about how the social security program will never work. Any business that pissed away every profit it ever made wouldn’t last long. Well, it would be self sustaining as FDR proposed if we kept the surplus of workforce bubbles. But we haven’t. Mostly because the people running the government during the baby boomer prime earning years did everything they could to bankrupt every program in sight. The nine most feared words indeed. My new most feared words in the English language: “I’m a Republican and I want to run the government I believe is itself the problem”. If I worked for a company that elected as its president someone who firmly believed my company’s mere existence was an abomination, I’d be looking for another job. Newsflash Joe, Social Security has been one of the most successful and beloved programs in our history, until Reaganomics ushered in the new wave of anti-humanist republican party.. and by the way every advanced country in the first world has a program like it that works just fine.