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How J.P. Morgan Chase Has Made the Case for Breaking Up The Big Banks and Resurrecting Glass-Steagall

Evans Liberal Politics
May 15, 2012

The Best in Truthful Liberal News
And US Politics

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How J.P. Morgan Chase HasMade
the Case for Breaking Up The Big Banks
and Resurrecting Glass-Steagall

How J.P. Morgan Chase Has Made the Case for Breaking Up The Big Banks and Resurrecting Glass-Steagall, Robert Reich.org, May 10, 2012, by Robert Reich: Evans Liberal Politics wishes to thank Professor Reich for permission to publish his articles on an ongoing basis:

J.P. Morgan Chase & Co., the nation’s largest bank, whose chief executive, Jamie Dimon, has led Wall Street’s war against regulation, announced Thursday it had lost $2 billion in trades over the past six weeks and could face an additional $1 billion of losses, due to excessively risky bets.

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The bets were “poorly executed” and “poorly monitored,” said Dimon, a result of “many errors, “sloppiness,” and “bad judgment.” But not to worry. “We will admit it, we will fix it and move on.”

Move on? Word on the Street is that J.P. Morgan’s exposure is so large that it can’t dump these bad bets without affecting the market and losing even more money. And given its mammoth size and interlinked connections with every other financial institution, anything that shakes J.P. Morgan is likely to rock the rest of the Street.

Ever since the start of the banking crisis in 2008, Dimon has been arguing that more government regulation of Wall Street is unnecessary. Last year he vehemently and loudly opposed the so-called Volcker rule, itself a watered-down version of the old Glass-Steagall Act that used to separate commercial from investment banking before it was repealed in 1999, saying it would unnecessarily impinge on derivative trading (the lucrative practice of making bets on bets) and hedging (using some bets to offset the risks of other bets).

Dimon argued that the financial system could be trusted; that the near-meltdown of 2008 was a perfect storm that would never happen again.

Since then, J.P. Morgan’s lobbyists and lawyers have done everything in their power to eviscerate the Volcker rule — creating exceptions, exemptions, and loopholes that effectively allow any big bank to go on doing most of the derivative trading it was doing before the near-meltdown.

And now — only a few years after the banking crisis that forced American taxpayers to bail out the Street, caused home values to plunge by more than 30 percent, pushed millions of homeowners underwater, threatened or diminished the savings of millions more, and sent the entire American economy hurtling into the worst downturn since the Great Depression — J.P. Morgan Chase recapitulates the whole debacle with the same kind of errors, sloppiness, bad judgment, and poorly-executed and excessively risky trades that caused the crisis in the first place.

In light of all this, Jamie Dimon’s promise that J.P. Morgan will “fix it and move on” is not reassuring.

The losses here had been mounting for at least six weeks, according to Morgan. Where was the new transparency that’s supposed to allow regulators to catch these things before they get out of hand?

Several weeks ago there were rumors about a London-based Morgan trader making huge high-stakes bets, causing excessive volatility in derivatives markets. When asked about it then, Dimon called it “a complete tempest in a teapot.” Using the same argument he has used to fend off regulation of derivatives, he told investors that “every bank has a major portfolio” and “in those portfolios you make investments that you think are wise to offset your exposures.”

Let’s hope Morgan’s losses don’t turn into another crisis of confidence and they don’t spread to the rest of the financial sector.

But let’s also stop hoping Wall Street will mend itself. What just happened at J.P. Morgan – along with its leader’s cavalier dismissal followed by lame reassurance – reveals how fragile and opaque the banking system continues to be, why Glass-Steagall must be resurrected, and why the Dallas Fed’s recent recommendation that Wall Street’s giant banks be broken up should be heeded.

Robert Reich was President Clinton’s Secretary of Labor and is Chancellor’s Professor of Public Policy at California Berkeley. Time Magazine named Prof. Reich one of the ten most effective Secretaries in U.S. history. This article is from Professor Reich’s blog and can be viewed here.

Recommended: JPMorgan Chase Has Lost $20 Billion On Its Bad Trade, Taking Into Account Share Price, HuffPost Business, May 14, 2012, by Mark Gongloff:

By now you may have heard that JPMorgan Chase lost $2 billion on a bad trade. Multiply that by 10, and you’re starting to get a better idea of how much it has really lost.

That’s because the share price of the biggest U.S. bank by assets has tumbled by more than 11 percent since it announced the trading loss, shaving about $17.5 billion from its market value. JPMorgan shares were down another 2 percent on Monday, following a 9 percent tumble on Friday.

Shareholders aren’t necessarily upset about the $2 billion loss itself. The bank has lost more money than that at different times in other businesses, the New York Times reminded us this morning, without causing much of a ruckus. Though the loss could grow to $4 billion or more, by some estimates, that’s still a far cry from the $90 billion or so in revenue the bank has raked in over the past year.

The real worry for investors is the damage the episode has done to JPMorgan’s previously sterling reputation for managing its risks, the increasing heat of the water around CEO Jamie Dimon and — maybe most importantly — the fact that this debacle comes at the worst possible time for the bank, regulation-wise.

See White House urges bank reforms after JPMorgan loss, The Raw Story, May 14, 2012, by Agence France-Presse:

Investors punished the bank’s shares again Monday, sending them 3.2 percent lower, as JPMorgan announced that chief investment officer Ina Drew was stepping down and news reports said more heads were likely to roll.

See Romney Vowing Dodd-Frank Repeal Hits JPMorgan Risky Trades (Update 1), Bloomberg, May 14, 2012, by Julie Hirschfeld Davis and Lisa Lerer:

Mitt Romney says he wants to talk about the economy in this presidential campaign, including his call to repeal the Dodd-Frank financial regulation law. JPMorgan Chase & Co. (JPM)’s $2 billion trading loss in risky transactions isn’t the sort of conversation he had in mind.

So far, presumptive Republican nominee Romney has said little about the transaction that is roiling Wall Street and Washington, prompting an inquiry by the Federal Reserve, a call for a congressional investigation and a demand by Elizabeth Warren, a Democratic Senate candidate in Massachusetts, that JPMorgan Chief Executive Officer Jamie Dimon resign from the board of the New York Federal Reserve.

Romney, co-founder of private-equity firm Bain Capital LLC, has spotlighted his vow to repeal the Dodd-Frank law that aims to strengthen financial regulations, calling it one of several overly burdensome laws backed by President Barack Obama that costs jobs. Romney hasn’t directly commented on the JP Morgan losses since Dimon disclosed them on May 10; he ignored a reporter’s shouted question about the matter at a May 11 rally in Charlotte, North Carolina.

Also See JPMorgan Said to Weigh Bonus Clawbacks After Loss, Bloomberg, May 14, 2012, by Laura Marcinek, Donal Griffin and Dawn Kopecki:

JPMorgan Chase & Co. (JPM), the biggest U.S. bank, will consider reclaiming incentive pay from employees including former Chief Investment Officer Ina Drew after her unit had a $2 billion trading loss, said two senior executives.

The lender can cancel stock awards or demand they be repaid if an employee “engages in conduct that causes material financial or reputational harm,” JPMorgan said in its annual proxy statement. The company will claw back pay if it’s appropriate, said one of the executives, who asked not to be identified because no decisions have been made.

The incident, which led to Drew’s retirement yesterday, may test JPMorgan’s claw-back policy amid mounting investor criticism over Wall Street pay practices and as regulators investigate the trades. Chief Executive Officer Jamie Dimon said the strategy that led to the loss was “poorly executed and poorly monitored” and that it gave ammunition to proponents of stricter bank regulation.

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The Economy, Entitlements and Welfare: The Democratic Position — A Secular and Rational Validation

Evans Liberal Politics
April 24, 2012

The Best in Liberal Christian News
and US Politics

The Economy, Entitlements and Welfare:
The Democratic Position –
A Secular and Rational Validation

Evans Liberal Politics, April 24, 2012, by Paul Evans:
I have written quite a few articles arguing for compassion towards our fellow man in the form of funding for entitlements, welfare, and the like. More often than not, the primary rationale I have used has been not only coming out of liberalism and liberal values, but also from Christianity. I took Jesus’ life, as recorded in the Gospels, and the way the early Christian community was run in the years after his resurrection, from Acts, as well as the concept of Logos, and tried to translate that into my own vision for society, which, as I see it, amounts to a basically liberal conception. I was trying to say that if we listened to the words of Jesus and saw how he lived his life on earth, and how the early church was run, it points to a model for living and for a society, an economy and a government which must necessarily be very caring towards all of our people.

photo of Evans Liberal Politics owner Paul Evans against a background of white roses

However, I don’t think that one necessarily needs to take one’s model for society from the Gospels or from the model of the early church in order to justify a society and a government which acts as its brothers’ keeper and takes care of society’s less fortunate citizens. In fact, growing up, I was agnostic, really basically into my late forties (I am 55 now), and I have always tended to follow ideals which followed those of New Deal sorts of Democrats.

I believe that there are so very many ordinary citizens, both Christians and secular citizens, who simply do not understand the situation faced by America’s poor and even, currently, that faced by much of our middle class. There is a lot of suffering in America, and many Republicans seem to feel it is the fault of the less fortunate that they find themselves in the predicament which they are in.

The right wing media, financed by very rich hard line Republicans who do not want to pay for social programs, have brainwashed far too many ordinary Americans. I refer to people like Rush Limbaugh, who (I believe) made about $53 million in 2009 or 2010. And now it seems that Mitt Romney is going to be nominated for 2012, and is being pushed by some Republican spokespersons as someone completely in touch with the “heart and soul” of ordinary Americans. This is just pure garbage, and we need to understand the facts: Mitt Romney is worth about a half a billion dollars ($500,000,000.00). Further, he has investments in the tax free Cayman Islands and owns at least one Swiss bank account. He may not be as extreme as someone like Newt Gingrich, but he certainly is much richer, and he is FAR from being any sort of “ordinary American.”

I would argue that someone like that, who grew up in a wealthy family, simply cannot be likely to understand the problems of ordinary Americans and also, may not even truly care about us. It is easy to make speeches which seem to be reaching towards us, but what does he know about running out of money halfway through almost every month, scrambling or even begging friends for money for gas, or being unable to pay the phone bill? What experience does Romney have working with the poor, and interacting with them on any sort of level of equality whatsoever?

One seventh of us live in poverty, you know. Are we beneath the rest of Americans in worth?

Barack Obama worked with the unemployed factory workers of South Chicago, and tried to help give them a hand up out of poverty and to advocate for them. He grew up in a rather modest middle class family. I would argue that he must necessarily understand ordinary Americans better.

FDR grew up wealthy. But he showed, time after time, for nearly four terms as President, that his heart and soul was with the less fortunate of society. And for that, most Republicans hate him and almost all the legislation he enacted, and everything he stands for.

What are the facts? Right now, about 400 or so people in America own one half of this nation’s wealth. The lower 80 percent of us actually only own 17 percent of the wealth. We are HURTING.

They say that the unemployment rate is dropping, that in fact it has dropped about a percent, now. Fine. Let’s just look for a minute at what the situation was about a year ago. Certain of these statistics in particular are burned into my consciousness and actually, I would bet my nose that they simply have not changed that much. In February, 2011, for those Americans making $100,000 a year or more, the unemployment rate was 3.2 percent. I hope they didn’t suffer too badly. For those making $20,000 a year or less, the unemployment rate was actually 31 percent. So, with the unemployment picture finding five applicants for every job opening, who do you think was getting the jobs, and what sort of jobs were these?

What is the Republican solution to our current economic malaise? They want to cut spending, in particular entitlements and welfare, and to enact tax cuts which would almost certainly be in favor of the rich. Every since Ronald Reagan, the Republican line has been that tax cuts for the wealthy result in a “trickle down” effect which benefits everyone. This has been enthroned in the grand theory of “supply side economics.” But it’s bunk!


From Truman to Eisenhower the highest bracket tax rate was about 94 percent and the economy grew steadily at four percent, without deficits. Then the highest bracket was lowered to 75 percent. Still, the economy grew at about four percent. This continued, at decreasing tax rates under Nixon and Ford, with a downturn at the end of Ford’s term. We had a problem under Carter which I recall was called “stagflation.” The economy was contracting and there was inflation which reached about 17 percent.

Reagan swept into office under the banner of supply side economics, and two things did occur which stimulated the economy into growth. First the overall normal business cycle came around and the economy, as normally occurs after a recession, began to grow again. Normal recession, normal recovery. Secondly, tax cuts were enacted which, it could be argued, served as an effective stimulus to the economy. But the economy did not grow nearly as fast as it did under Reagan’s successor, Bill Clinton. Clinton raised taxes on the rich, and, what happened? We saw economic growth return to its “normal” post WWII rate of four percent a year, and a fairly severe budget deficit was entirely erased and turned into a surplus.

Let’s look at President Bush’s economy. In the first place, regulations which governed the banking and investment industry had just been trashed and these institutions then grew ascendant and arrogantly powerful, growing from about 14 percent of the economy to about 34 percent. This problem actually began in the Clinton administration but that most of the abuse was under Bush. There were then in fact two sets of tax cuts which strongly favored the rich. We saw economic growth of about 2 to 3 percent, followed by a severe turndown due to a typical Republican failure to regulate business. In this case the main problem was the investment industry, and the banking industry in particular with regard to the nearly unrestricted enactment of mortgage loans. Even after the picture for mortgages had deteriorated, the severe structural problem was concealed in the practice of issuing “derivatives,” as investments, which disguised bulk packages of trash mortgages in packages of corruptly highly rated bonds.

It was this combination which has put us in the severe downturn in which we find ourselves. It has not been a typical cyclical contraction but a severe structural problem in the economy because, mainly, America’s middle class lost the ability to finance loans, having lost any equity they had in their homes, assuming they were able to keep them. Progressive economists have argued that because of the severe and structural nature of the contraction, which some argue did in fact reach the level of a depression, only real stimulus of the overall economy by the government would pull us out of the slump. It has been shown factually, for example, that one dollar invested in infrastructure returns money into the economy at a significantly higher rate than does one dollar in tax cuts. But of course, the Republican line is that Obama’s stimulus accomplished little or nothing. Yet without it, we might have suffered far worse.

Recently among other things, the Republican majority in the House forced a continuation of the low Bush tax rates for the wealthy. Democrats wanted a return to the proven success of the Clinton tax rate levels, but did not have power to enact this. Has the continuation of low tax rates for the rich stimulated the economy into any sort of stiff growth? I would argue that, in fact knowing the facts about what tax cuts for the wealthy really are for (and it isn’t to stimulate economic growth), the almost single minded purpose behind a great deal of the proposals and enactments of Republicans during Barack Obama’s three plus years has been to PREVENT the economy from growing fast at all.

This is of course so that a “pro-business,” President can be elected who is a “true Christian” and has the “right sorts of social values.” In fact, Mitch McConnell has been quoted as saying at one point recently that he would allow no legislation to pass which would materially help Barack Obama to be reelected. This is the sort of “true patriotism” which the Republican Party demonstrates.

The leaders of the Republican Party don’t care how much ordinary Americans suffer so long as they can have full political power to do as they will. In other words, they will do whatever is necessary to have full control of the House, the Senate and the Presidency. And why should they care about ordinary Americans? Because of their – I might call it almost a pure capitalist religion, but, you know, “their sort” of capitalism – corporations are growing, Wall Street is again expanding, and the rich are seeing their stock portfolios once again grow fatter. While ordinary Americans suffer.
To sum it up, these Republicans are entirely for the wealthy, for big corporations, against any sort of prosperity so long as a Democratic President is in office, against continued aid to society’s less fortunate at current levels, and they lie about their true purposes. They are adamantly pro-life, but pro-life ends at birth. Children of the poor are supposed to get by as best their parents are able, and if this means babies and children suffer or even die, somehow this is the fault of the poor. This is not the Republican Party of Lincoln or Eisenhower. This is the truly patriotic and morally steadfast Republican Party at it’s absolute best, as it has been over about the last eleven or twelve years.

In conclusion, if we always favor the rich, even when in fact it has been shown that this does NOT stimulate the economy effectively, if we fail to enact or even roll back crucial regulations and laws which keep our economy functional and support the welfare of all of our people, and if we are against continuing aid to society’s less fortunate, I ask you: how moral is that? I would argue that purely secular and rational considerations point to a strong superiority in the liberal or Democratic positions about government, and that the current Republican agenda is in fact morally bankrupt.

These are some of the secular arguments which come to my mind in favor of basically Democratic positions about the economy, entitlements and welfare. ~ Paul

Comment by Evans Liberal Politics owner Paul Evans: So fiscal conservatives want to slash Medicaid. OK, fine, note to world: many doctors and most dentists no longer accept Medicaid. I have a broken off tooth with inflamed gums and my jaw hurts. Well, there is only one Medicaid dentist in Wooster, serving a county of 105,000. So there’s a long wait, and many people just resort to going to the ER. See Hidden America: Medicaid’s Youngest Face Dental Crisis, ABC News, April 24, 2012, by Chris Cuomo:

With more than 16 million low-income U.S. children on Medicaid not receiving dental care — or even a routine exam — in 2009, according to the Pew Center on the States, dentists and ERs say they are treating very young patients with teeth blackened from decay and bacteria and multiple cavities.

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See “Supply Side Economics, the Bush Tax Cuts & John Boehner Completely Discredited,” Evans Liberal Politics, December 31, 2011, by Paul Evans.

See In Addition to Geithner, Republican Economists Also Argue That Tax Cuts Do Not Pay for Themselves, Center for Budget and Policy Research, August 8, 2012, by CEPR.

See Americans Believe in Tax Equity: Polls Show Americans Want Tax Fairness as Part of Deficit Fix, Center for American Progress, April 15, 2011, by James Hairston.

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Why Anyone Should Care that Bill O’Reilly Calls Robert Reich A Communist

Evans Liberal Politics
April 24, 2012

The Best in Liberal Christian News
and US Politics

Why Anyone Should Care that Bill O’Reilly
Calls Robert Reich A Communist

Evans Liberal Politics, April 24, 2012, by Robert Reich, used with permission, quoted verbatim:

Bill O’Reilly, the tumescent personality of Fox News, said on his Friday show “Robert Reich is a communist who secretly adores Karl Marx.” (This came after Fox News’ Neil Cavoto called me a “sanctimonious twit” for suggesting the rich should pay more in taxes.)

O’Reilly’s accusation is odd, to say the least. If we were living in the 1950s, amid Senator Joe McCarthy’s communist witch-hunts, the claim might have some bite and cause me injury. But these days it’s hard to find a full-throated communist anywhere in the world.

O’Reilly’s accusation isn’t even logical. How can he know if I secretly adore Karl Marx, if it’s a secret?

For the record, I’m not a communist and I don’t secretly adore Karl Marx.

Ordinarily I don’t bother repeating anything Bill O’Reilly says. But this particular whopper is significant because it represents what O’Reilly and Fox News, among others, are doing to the national dialogue.

They’re burying it in doo-doo.

O’Reilly based his claim on an interview I did last week with Jon Stewart on the Daily Show, in which I argued that because America’s big corporations were now global we could no longer rely on them to make necessary investments in human capital or to lobby for public investments in education, infrastructure, and basic R&D. So, logically, government has to step in.

Since when does an argument for public investment in education, infrastructure, and basic R&D make someone a communist or a secret adorer of Karl Marx?

Obviously, O’Reilly has no interest in arguing anything. Ad hominem attacks are always the last refuges of intellectual boors lacking any logic or argument. (Whoops, I think I just stooped to name-calling. Sorry, Bill.)

Yet this is what’s happening to all debate all over America: It’s disappearing. All we’re left with is a nasty residue.

In Washington, Democrats and Republicans no longer even talk. They just vent charges and counter-charges.

The 2012 election doesn’t seem likely to clarify any issue. At this moment the candidates and their surrogates are debating the treatment of dogs.

Across the nation, conservatives right-wingers and liberal or progressive lefties have stopped debating their respective views, or even listening to anyone they disagree with. They just find broadcasters and bloggers who confirm their views.

We’re even sorting by belief according to where we live. Today your neighbors are more likely to agree with your politics than disagree. We’ve settled into like-minded enclaves where we don’t need to think because everyone we meet confirms what we assume we already know.

It’s not that the nation is more polarized than it’s been in the past. America has been through searing conflicts, some within the living memories of most of us. The communist witch-hunts of the 1950s were followed by the civil rights movement, the Vietnam War, battles over womens’ reproductive rights and gay marriage.

What makes America’s current polarization remarkable isn’t the severity of our disagreements but our utter lack of engagement debating them.

So many Americans are so angry and frustrated these days – vulnerable to loss of job and healthcare and home, without a shred of economic security – they’re easy prey for demagogues offering simple answers and ready scapegoats. Take, for example, Bill O’Reilly and his colleagues at Fox News.

But people can only learn from others who disagree with them — or at least from witnessing debates between people who respectfully and civilly disagree. Without respect and civility, it’s not a debate – it’s just name-calling.

A democracy depends on public deliberation and debate. Without it, the members of a society have no means of understanding what they believe or why. The Lincoln-Douglas debates were notable not because they solved anything but because they helped Americans clarify where they agreed and disagreed on the wrenching issue of slavery.

Hence the danger today – when deliberation has stopped.

This morning I left a message on Bill O’Reilly’s office phone asking him to invite me onto his show to debate whether public investments in education and infrastructure are needed.

What are the odds he’ll invite me on?

Get #BeyondOutrage. 

See Robert Reich blasts Bill O’Reilly over ‘communist witch hunt’, The Raw Story, April 23, 2012, by Eric W. Dolan.

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Republican 2012 race ‘mathematically’ over: Graham

Evans Liberal Politics
Monday, March 12, 2012


The Best in Liberal Christian News
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Republican 2012 race
‘mathematically’ over: Graham

Republican 2012 race ‘mathematically’ over: Graham, Agence France-Presse on The Raw Story, March 11, 2012, by AFP, used with permission, quoted verbatim: Evans Liberal Politics is pleased to partner with The Raw Story to bring you cutting edge news.

WASHINGTON — Mitt Romney has all but won the 2012 Republican presidential nomination, top senator Lindsey Graham said Sunday, agreeing with the candidate that “mathematically, this thing is about over.”


Romney has won 14 of 25 state-by-state votes that decide which Republican candidate takes on President Barack Obama in November, compared to eight wins for Rick Santorum and just two for former House speaker Newt Gingrich.

These victories have given Romney almost 40 percent of the 1,144 delegates needed to secure the nomination. He has 446 delegates, Santorum 199 and Gingrich 117, according to authoritative poll aggregator RealClearPolitics.

“Mathematically, Rick would have to win 75 percent of what remains,” Graham, a senior Republican who serves on various Senate committees, told ABC’s “This Week” program.

“He’s done an outstanding job, Rick has, of starting with almost nothing and being a real contender, and Newt’s come back from the dead two or three times,” Graham said. “But mathematically, this thing is about over, but emotionally it’s not.”

Graham was speaking ahead of two do-or-die contests for Gingrich on Tuesday in the conservative southern states of Mississippi and Alabama — although the former House speaker has pledged to stay in the race until the bitter end.

The Santorum camp argues that if he can consolidate the conservative vote behind him, at Gingrich’s expense, then he can still overtake the frontrunner before the race wraps up at the party’s end of August convention.

“I think everybody believes, if I could just get a one-on-one with Romney, I could win this thing,” said Graham.

“But if Romney does well, wins either Mississippi or Alabama and wins Illinois, then I think it’s virtually impossible for this thing to continue much beyond early May.”

Graham, who has yet to officially endorse any candidate, stopped short of calling on Santorum, Gingrich, or even veteran Texas congressman Ron Paul — who has yet to win even one state vote — to quit.

“It’s Romney’s to lose,” he said. “And, quite frankly, every time he had his back against the wall, he’s performed. And I like his chances, but the other two candidates have got to make that decision themselves.”

See Mary Matalin: Romney has ‘heart and soul’ of an average American, The Raw Story, March 11, 2012, by David Edwards: "Mitt Romney may have a net worth of a quarter of a billion dollars (AND a Swiss bank account, AND investments outside of the US in the tax-free Cayman Islands — PE), but he has the “heart and soul” of an average American, according to GOP strategist Mary Matalin." – Ha, ha, ha, ha ha ha. I laugh. – Paul Evans

Obama Behind Romney in New Poll

See Obama poll rating drops in Republican boost, Agence France-Presse on The Raw Story, March 12, 2012, by AFP:

President Barack Obama’s approval rating has plunged below 50 percent and he would be beaten by Republican frontrunner Mitt Romney if November’s US election were held today, a poll showed Monday.

The survey, by ABC News and The Washington Post, indicated that only 46 percent of Americans now approved of the way Obama is handling his job and 50 percent disapproved as he took a hit from rising gas prices.

The situation was a reversal from early February when 50 percent approved of the president’s performance and 46 percent disapproved.

The survey was released as the battleground for the Republican presidential nomination moved to the deep South for Tuesday’s primaries in Alabama and Mississippi.

If the presidential election were held today, the poll found that Romney would beat Obama 49 percent to 47 percent.

Agence France-Presse: "AFP journalists cover wars, conflicts, politics, science, health, the environment, technology, fashion, entertainment, the offbeat, sports and a whole lot more in text, photographs, video, graphics and online."

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MN GOP lawmaker compares food stamp recipients to wild animals

Evans Liberal Politics
Sunday, March 4, 2012


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and US Politics

MN GOP lawmaker compares
food stamp recipients to wild animals

MN GOP lawmaker compares food stamp recipients to wild animals, The Raw Story, March 3, 2012, by Andrew Jones, photo courtesy of The Raw Story, Commentary by Evans Liberal Politics owner Paul Evans: Evans Liberal Politics is pleased to partner with The Raw Story to bring you cutting edge news:

One Republican lawmaker in Minnesota expressed a peculiar but existing belief in GOP circles Friday afternoon, claiming that food stamps recipients are virtually similar to feeding wild animals.

photo of Minnesota GOP Representative Mary Franson who in a cold and calculating appeal to her base described Food Stamps recipients as like wild animals

State Rep. Mary Franson released a Youtube video describing her hopes of reducing the amount of time residents in Minnesota could stay on food stamps from five years to three.

“And here, it’s kind of ironic, I’ll read you this little funny clip that we got from a friend,” she said. “It says, ‘Isn’t it ironic that the food stamp program, part of the Department of Agriculture, is pleased to be distributing the greatest amount of food stamps ever. Meanwhile, the Park Service, also part of the Department of Agriculture, asks us to please not feed the animals, because the animals may grow dependent and not learn to take care of themselves.”

Franson is not the first Republican to make this comparison. In 2010, then South Carolina Lieutenant Governor Andre Bauer said exactly the same thing.

According to the USDA, Todd County in Franson’s district contains one of Minnesota’s highest poverty rates, with 16.9 precent of residents in 2010.

Republicans and Racist Class Warfare

Commentary by Evans Liberal Politics owner Paul Evans: It would be a mistake to think of political figures such as Franson and South Carolina Lt. Gov. Andre Bauer (and others), who echo the exact same metaphor, as ignorant. (This is not quite the same thing as uneducated, is it? So for example Ms. Franson’s use of the long “a” in “agriculture” in her pronunciation in the video – twice. Is that the way they say it in Minnesota? The body of the video is actually great Republican PR.). At the level of state political figures, these people are generally very cold and calculating about public positions they take. (Democrats have to be too – it is simply what politicians have to do.)

At the national level, Republicans have, through the long-time use of political “framing” and spin — repeated over and over again — managed to convince their base, who are at least in part ordinary Americans without much political knowledge, that somehow Republicans are more Christian than are Democrats. (In reality, for example, just as many Republican lawmakers as Democrats are caught in public scandals for corruption such as influence peddling or sexual promiscuity or the use of prostitution, etc., at the state and national level. See The Record of Republican Corruption, LiberalsLikeChrist.org, no date.) In a similar process of indoctrination, they have managed to train their base that the poor are on welfare because they are lazy and that they are undeserving of our help and care (and, that most of them are black). Here’s another lie: that tax cuts for the rich help the economy. (See Supply Side Economics, The Bush Tax Cuts & John Boehner Completely Discredited, Evans Liberal Politics, December 31, 2011, by Paul Evans.)

Really, these lawmakers, especially at the national level, are rich Republican players, or tools or puppets of the rich — “wannabe’s,” you might say — and their appeal to the base is in no way ignorant, but cold and calculating. (Even though this comment may be questionable, please note: if you watch the video, you will see where Rep. Franson ends her video with a pitch for a sexual abuse website — what does that have to do with the rest of the subjects of the video, and how calculating an appeal is that?) The overall idea, insofar as I can see, is that if you claim a thing over and over again, and you do so as supposedly lily-white Christian Republican leaders, the ordinary Republican voter can be trained to believe almost anything. In reality, as knowledgeable liberals and progressives have been trying their best to get across, the GOP, and far too many Democratic Party leaders as well, are of, by and for the rich.

They couldn’t care less about ordinary Americans, much less America’s poor.

How Christian is that?

See Why ‘Welfare Queen’ Stories Will Never Die, Yahoo! Contributor Network, January 24, 2012, by Owen Rust:

John Blake at CNN discusses the return of Ronald Reagan’s “Welfare Queen” through the current presidential campaign of the three leading Republicans. Reagan brought up the “Welfare Queen” story in 1976 during his first presidential candidacy, and today critics contend Newt Gingrich, winner of the recent South Carolina GOP primary, is trying to bring back the stereotype through his assertions that Barack Obama is a “food stamp” president and that black people should “want a job” and not a “handout.”

Many people apparently think the unnamed “Welfare Queen” is a racist stereotype of a black woman. Blake discusses the allegation and insists Republicans will have to avoid “racially loaded messages” in the future, especially when nonwhite voters become the majority by the year 2050.

But is the “Welfare Queen” anecdote a racist stereotype that will erode as America becomes more diverse? No. That’s because the staying power of the “Welfare Queen” is not her alleged racial background but rather human nature itself (though many would argue that racism is itself part of human nature) — we rank, judge and place things on a spectrum.

We will always rank certain recipients of government assistance as more worthy than others. There will always be those we deem less worthy of receiving aid in the form of tax dollars. There are many things we all will inevitably use to deem an aid recipient as more of less worthy: Education, job status, number of children, relationship status, health and physical appearance, etc.

See The Food Stamp Fallacy, The Root, January 12, 2012, by Edward Wyckoff Williams: “When will Republicans be honest about who really gets the most out of welfare programs?”

See GOP Race-Baiting Masks Class Warfare, Salon on Alternet, January 29, 2012, by Daniel Denvir:

By demonizing some, the Republicans seek to discredit the safety net for the 99 percent.

It’s commonplace to note that Newt Gingrich’s dog-whistle appellation that Barack Obama is the “food stamp president” is both racist and politically cynical. But the stereotyping of black government dependency also serves the strategic end of discrediting the entire social safety net, which most Americans of all races depend on. Black people are subtly demonized, but whites and blacks alike will suffer.

See Screwing Over Urban America: Why the GOP’s Top Contenders Hate Cities, Salon on AlterNet, January 3, 2012, by Daniel Denvir.

WATCH: Video from Youtube, which was published on March 2, 2012.

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Santorum accuses Romney of rigging Michigan primary

Evans Liberal Politics
March 3, 2012


The Best in Liberal Christian News
and US Politics

Santorum accuses Romney
of rigging Michigan primary

Business Insider logo used as a link to their website

Busineess Insider on The Raw Story, March 2, 2012, by Grace Wyler, used with permission, excerpt quoted verbatim: Evans Liberal Politics is pleased to partner with The Raw Story to bring you cutting edge news.

The Michigan Republican Party awarded Mitt Romney an official delegate victory today, granting him 16 of the state’s 30 delegates just one day after the tally showed Romney and Rick Santorum tied with 15 delegates each.

USA TODAY

The Santorum campaign is now accusing Romney’s team of using “political thuggery” to “rig” the delegate count.

The issue is over the allocation of two “at-large” delegates: Romney and Santorum each won seven of the Michigan’s 14 Congressional districts, splitting those delegates 14-14. The remaining delegates were originally supposed to be awarded proportionally based on the popular vote, which would have given each candidate one more delegate. But on Thursday, Michigan Republican Party officials voted to change the rules and give both at-large delegates to Romney.

The Santorum campaign basically blew a gasket, calling the vote a “backroom deal” brokered by Romney supporters and “people affiliated with the Romney campaign.”

“There’s just no way this is happening,” Santorum communications director Hogan Gidley said in a statement. “We’ve all heard rumors that Mitt Romney was furious that he spent a fortune in his home state, had all the political establishment connections and could only manage a tie Rick Santorum. But we never thought the Romney campaign would try to rig the outcome of an election by changing the rules after the vote. This kind of back room dealing political thuggery just cannot and should not happen in America.”

In a last-minute conference call with reporters tonight, Santorum campaign advisors said they were sending a memo asking the Republican National Committee to “immediately intervene.”

“We’re probably less concerned with the one delegate that happened to move and more concerned that any entity involved in this would go and do something so anti-to the American voter,” Santorum strategist John Brabender said on the call. “To me the desperation is somebody who lost the state, then tried to change the rules…It goes right to heart of character.”

It appears that Santorum’s campaign expected something like this would occur. Campaign officials were quick to announce the delegate tie on Wednesday, before state party officials met to determine the formal tally.

On a conference call with reporters yesterday, Brabender said the campaign was “trying to avoid another Iowa.” ….

Read the full article here.

Gaiam.com, Inc

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Listening Post – Drums of war: The Media on Iran, Syria and in Libya

Evans Liberal Politics
February 25, 2012


Listening Post – Drums of war:
The Media on Iran, Syria and in Libya


Commentary by Evans Liberal Politics owner Paul Evans: Below is a fairly long (25:05) video produced by AlJazeera, the independent Arabic news operation which does a good job with the English language versions of its news and has a global reach. In my experience, they have been fairly unbiased as a news source. So when AlJazeera does a segment describing the current media frenzy regarding an imagined necessity of going to war with Iran, and comparing that to the run-up to the Iraq war, it sends chills down my spine. And it should for you, too.

If you remember,there was absolutely no need to go to war with Iraq. There were no weapons of mass destruction, and even the last U.N. inspectors who had been in Iraq (not too long before the war) stated that, while there was no transparency in the inspection process, there also was no evidence of a dangerous capacity in regard to WMD. Moreover, Saddam Hussein (the dictator in Iraq) was a secular Muslim, who hated fundamentalist groups such as Al Qaeda. There was no Al Qaeda in Iraq before the U.S. invaded.

Do you remember all the speeches Bush made about WMD and “yellowcake” going to Iraq from Africa and “significant contacts” between Iraq and Al Qaeda? Do you remember the sham speech that Colin Powell was conned into making at the U.N., which gave us the necessary backing to go to war with Iraq?

In this video, the second and third sections are about the media in Syria and the altogether new, free media in Libya.

Please at least watch the first part, describing the building media hysteria about going to war with Iran. Going to war with Iran is a much bigger deal, than was going to war with Iraq, too. You would see the whole Middle East region go up in flames. Israel would be fighting a war on three fronts, against Hamas, Hezbollah and Syria. Probably the U.S. and likely Saudi Arabia would be fighting Iran inside Iraq. (Iraq and Iran share a 906 mile (1458km) border.)

It is also likely that it would be necessary to re-instate the draft, and that gasoline prices would double, destroying the economy’s fragile recovery and sending America deep into an economic depression.

There is no evidence that Iran’s nuclear enrichment program has reached the level of 90 percent purity, necessary to produce an atomic weapon. The last news I read about it had their enrichment level at 20 percent, which is a level consistent with medical uses.

One fifth of the world’s oil passes through the 21 mile-wide Straits of Hormuz, adjacent to Iran. There are two (and only two) main Saudi oil terminuses and Iran has 1,000 or more ballistic missiles. Do you think we could put in a sufficient number of Patriot missile batteries so that the Saudi oil terminuses remained safe? Likewise, Israel has only two major cities, Jerusalem and Tel Aviv. So that would give Iran only four primary targets for 1,000 or 1,500 ballistic missiles.

Folks, do we really want to do this?

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