State Of The Union Speech Mop-Up

The Daily Escape:

Morrow Bay, CA – March 2024 photo by Slocoastpix

(This is most likely the only column this week, as Wrongo is working on an outside project.)

Today let’s cover a few disparate topics that are about clean-up from the Biden State of the Union address. The Hollywood Reporter reports on Biden’s viewership ratings with this headline:

“The 2024 State of the Union address drew a larger TV audience than the 2023 address.”

Biden’s speech averaged 32.23 million viewers across 14 broadcast and cable outlets, almost 5 million more viewers than the 2023 State of the Union. Viewership rose on all of the largest outlets by about 18%.  More:

“The vast majority of viewers — 28.47 million — watched the State of the Union on the big four broadcast networks (ABC, CBS, Fox and NBC) and the three largest cable news outlets (CNN, Fox News and MSNBC). All seven outlets drew a bigger audience than they did for last year’s address.”

So much for viewer apathy. One big surprise to Wrongo is that Fox News led with 5.84 million viewers, beating out the 5.24 million for ABC, which had the largest viewership among the broadcast networks. NBC’s 4.47 million viewers finished third, followed by MSNBC at 4.43 million, (its largest audience ever for a State of the Union).

Why would Fox have more viewers when their network demographics skew far more to the Right than the others? Did they tune in hoping to see a Biden senior moment?

Second, Sen. Katie Britt (R-Jesus) lied in her rebuttal for the GOP.

Third, Umir Haque’s newsletter, the issue has some good insights that Wrongo hasn’t seen elsewhere. About leadership: (emphasis, parenthesis and brackets by Wrongo)

“We recently discussed the difference between occupying a leadership position—and being accepted as a leader. This Biden’s been hid[den] away by the Democratic machine….Those roaring, electrified [people attending the speech)? Those surging positivity ratings? That’s…going from merely occupying the position, to being accepted as a leader.”

More:

“Biden quietly proposed something very much like a new America. A new American social contract. The ideas came so fast and furious that they were almost easy to miss, sandwiched between philosophy and persuasion.”

More:

“…most State of the Unions aren’t like that. They’re pretty boring because Presidents tout their accomplishments. They’re backwards looking…sort of performance reviews….This one really was…profoundly different.”

Haque who lives in the UK, says that the ideas Biden put forth, are very popular in Europe:

  • Taxing billionaires, which is part of a new movement, arising mostly in Europe, to reduce inequality, by having a global tax on the ultra-rich.
  • Taxing executive compensation on salaries over $1 million by making them no longer tax deductible. This is also linked to recent moves by European nations to make economies more equal again.
  • Giving home buyers tax credits. This is a first step towards fixing America’s badly broken housing market…..many European nations are trying to fix that through incentives like this.
  • Lowering drug prices. One of Biden’s most revolutionary policy ideas was to let the government negotiate prices for many more drugs—this is a big deal, because of course Americans are ripped off incredibly badly by their version of “healthcare.” This would bring the US in line with other Western nations.

More: (brackets by Wrongo)

“if you read between the lines….Biden [is] recognizing how badly broken many aspects of the American social contract [are] —healthcare, housing, inequality, salaries, taxes—and how all that adds up to an incredibly precarious life even [if you are] at or above the median [income].”

More:

“Taxing billionaires, limiting salaries, intervening in broken markets, giving people actual support—none of these are ideas we associate in the slightest with…American politics. They’re the stuff of social democracy, and Biden’s setting out a sort of lightweight…social democratic vision. It’s not quite one fully, but what it does…is begin to put America on the path to becoming one, like the rest of the Western world.”

This sets a clear distinction between the Parties in 2024. Democrats since Bill Clinton have not had a clear definition of what they stand for: What do they stand for? What’s their overarching idea? Are they after a just society, and a good life for all Americans?

This theory of the good life, the just society, and how they’re linked now has Biden championing a politics that isn’t simply another version of “life’s about winners and losers”. Haque thinks this is an incredibly important evolution in US politics.

Will Biden’s move leftward bring enough votes to win in November? We have to hope it will. Conservative Republican Peter Wehner in the NYT reminds us that there’s just 34 weeks to the election:

“The next 34 weeks are among the more consequential in the life of this nation. Mr. Trump was a clear danger in 2016; he’s much more of a danger now. The former president is more vengeful, more bitter and more unstable than he was, which is saying something…..He’s already shown he’ll overturn an election, support a violent insurrection and even allow his vice president to be hanged. There’s nothing he won’t do. It’s up to the rest of us to keep him from doing it.”

It’s time on this Monday morning, to wake up America! IF he gets to run the country, Trump will act like a juvenile delinquent, flipping over as many of the cafeteria lunch tables as he can. In a nutshell, that’s his MAGA platform. And like the Zombie Apocalypse come to life, sooner or later all Republicans who hold public office will endorse him.

The rest of us have to put aside our ideological differences and support Biden. To help you wake up watch and listen to The Clash perform “(White Man) in Hammersmith Palais” from their 1979 album “The Clash”. This is far from their best, but it’s on point for today’s column:

This song is from a time when the youth began to realize that sticking together was actually a better idea than allowing themselves to be divided. That has to come back.

Sample Lyric:

White youth, black youth
Better find another solution
Why not phone up Robin Hood
And ask him for some wealth distribution

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Democrats Need New Messaging

The Daily Escape:

Cholla Cactus at sunrise, Joshua Tree NP – November 2023 photo by Michelle Strong

Yesterday’s column described how confusing current polling data is with less than a year to go before the 2024 presidential election. We can easily overdose on polls, but in general, they seem to be pointing toward a very difficult re-election for Biden.

At the risk of contributing to the OD, here’s another example of terrible poll for Biden. It comes from Democratic stalwarts Democracy Corps, run by James Carville and Stanley Greenberg:

“President Biden trails Donald Trump by 5 points in the battleground states and loses at least another point when we include the independent candidates who get 17% of the vote. Biden is trying to win these states where three quarters believe the country is on the wrong track and 48% say, “I will never vote for Biden.”

What to make of all this? Wrongo thinks it’s time to take a different approach to the Democrat’s messaging. Let’s start with a quick look at the NYT’s David Leonhardt’s new book, “Ours Was the Shining Future”. Leonhardt’s most striking contention is based on a study of census and income tax data by the Harvard economist Raj Chetty: Where once the great majority of Americans could hope to earn more than their parents, now only half are likely to. From The Atlantic:

“Of Americans born in 1940, 92% went on to earn more than their parents; among those born in 1980, just 50% did. Over the course of a few decades, the chances of achieving the American dream went from a near-guarantee to a coin flip.”

As we said yesterday, the American Dream is fading. Leonhardt says that the Democrats have largely abandoned fighting for basic economic improvements for the working class. Some of the defining progressive triumphs of the 20th century, from labor victories by unions and Social Security under FDR to the Great Society programs of LBJ, were milestones in securing a voting majority. More from The Atlantic:

“Ronald Reagan took office promising to restore growth by paring back government, slashing taxes on the rich and corporations…gutting business regulations and antitrust enforcement. The idea…was that a rising tide would lift all boats. Instead, inequality soared while living standards stagnated and life expectancy fell behind…peer countries.”

Today, a child born in Norway or the UK has a far better chance of out-earning their parents than one born in the US. More context from The Atlantic: (emphasis by Wrongo)

“From the 1930s until the late ’60s, Democrats dominated national politics. They used their power to pass…progressive legislation that transformed the American economy. But their coalition, which included southern Dixiecrats as well as northern liberals, fractured after…Johnson signed the Civil Rights Act of 1964 and the Voting Rights Act of 1965. Richard Nixon’s “southern strategy” exploited that rift and changed the electoral map. Since then, no Democratic presidential candidate has won a majority of the white vote.”

The Atlantic makes another great point: (emphasis by Wrongo)

“The civil-rights revolution also changed white Americans’ economic attitudes. In 1956, 65% of white people said they believed the government ought to guarantee a job to anyone who wanted one and to provide a minimum standard of living. By 1964, that number had sunk to 35%.”

America’s mid-century economy could have created growth and equality, but racial suppression and racial progress led to where we remain today.

Leonhardt argues that what Thomas Piketty called the “Brahmin left” must stop demonizing working-class people who do not share its views on cultural issues such as abortion, immigration, affirmative action and patriotism. From Leonhardt:

“A less self-righteous and more tolerant left could build what successfully increased access to the American Dream in the past: a broad grass-roots movement focused on core economic issues such as strengthening unions, improving wages and working conditions, raising corporate taxes, and decreasing corporate concentration.”

Can the Dems adapt both their priorities and messaging to meet people where they are today?

The priorities must change first. What would it take to establish the right priorities for the future? Stripping away the wedge issues that confuse and divide us, America’s priorities should be Health, Education, Retirement and Environment (“HERE”). It’s an acronym that sells itself: “Vote Here”.

(hat tip to friend of the blog, Rene S. for the HERE concept.)

Wrongo hears from young family members and others that all of the HERE elements are causing very real concerns. Affordable health care coverage still falls short. Regarding education, college costs barely seem to be worth shouldering the huge debt burdens that come with it.

Most young people think that they have no real way to save for retirement early in their careers when there’s the most bang for the buck. They also feel that Social Security won’t be there for them. From the NYT:

“In a Nationwide Retirement Institute survey, 45% of adults younger than 27 said they didn’t believe they would receive any money from the program.”

Today, only about 10% of Americans working in the private sector participate in a defined-benefit pension plan, while roughly 50% contribute to 401(k)-type, defined-contribution plans.

Finally, people today feel that their elders have created an existential environmental threat that will be tossed into their laps. A problem for which there may not be a solution.

As Leonhardt argues, these HERE problems should have always been priorities for Democrats. But for decades, the Party hasn’t been willing to pay today’s political price for a long term gain in voter loyalty. That is, until Biden started working on them in 2020.

But every media outlet continues to harp on inflation and the national debt. Much of what would be helpful in creating a HERE focus as a priority for Democrats depends at least somewhat on government spending. No one can argue that our national debt is high. It is arguable whether it can safely go higher or if it must be reigned in at current levels.

To help you think about that, we collected $4.5 trillion in taxes in 2022, down half a $trillion vs. what we collected in 2021. Estimates are that the Trump tax cuts cost about $350 billion in lost revenue/year.

Looking at tax collections as a percentage of GDP, it’s less than 17% in the US, well below our historical average of 19.5%. There are arguments to keep taxes low, but if you compare the US percentage to other nations, Germany has a ratio of 24%, while the UK’s is 27% and Australia’s is 30%.

If we raised our tax revenue to 24% of GDP, which is where Germany is now, we would eliminate the US deficit.

There’s a great deal of tension in the electorate between perception and reality. And it’s not caused by partisanship: Democrats and independents are also exhibiting a disconnect, too.

Democrats have to return to being the party of FDR and LBJ. They need to adopt the HERE priorities and build programs around them.

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How Can America Handle The Costs Of Elder Care?

The Daily Escape:

The start of US Highway 6, outside of Bishop, CA – September 2023 photo by Steve Wolfe

(There will be no Saturday Soother this week. Wrongo is on the road.)

Millions of older Americans from the Silent Generation and the Baby Boomers are facing a dilemma as they “age in place.” They must figure out how to pay for increasingly complex medical care. The NYT quotes Richard W. Johnson, director of the program on retirement policy at the Urban Institute:

“People are exposed to the possibility of depleting almost all their wealth….”

The prospect of dying broke is an imminent threat for the Boomers. About 10,000 of them turn 65 every day between now and 2030. They’re expecting to live into their 80s and 90s at the same time as the price tag for long-term care (LTC) is exploding. Currently LTC expense is outpacing inflation and approaching a half-trillion dollars a year, according to federal researchers.

By 2050, the population of Americans 65 and older is projected to increase by more than 50% to 86 million. The number of people 85 or older will nearly triple to 19 million. The Times has a chart of how many of those who need long-term care will die broke:

Some older Americans have prepared for this possible future by purchasing LTC insurance back when it was still affordable. Since then they’ve paid the monthly premiums, even as those premiums continued to rise. But this isn’t the norm. Many adults have no plan at all or assume that Medicare, which kicks in at age 65, will cover their health costs. But Medicare doesn’t cover the kind of long-term daily care, whether in the home or in a full-time nursing facility, that millions of elderly Americans require.

For that, you either pay out-of-pocket or you spend down your assets until you have less than $2,000 in assets in order to qualify for Medicaid. Remember that Medicaid provides health care, including home health care, to more than 80 million low-income Americans.

And even if you qualify, the waiting list for home care assistance for those on Medicaid tops 800,000 people and has an average wait time of more than three years.

Here is a snapshot of how long-term care is paid for in the US:

Governments provide 71.4% of the total. The largest non-government source is people who pay out-of-pocket, and private insurance is becoming increasingly expensive. More from the NYT:

“The boomer generation is jogging and cycling into retirement, equipped with hip and knee replacements that have slowed their aging. And they are loath to enter the institutional setting of a nursing home. But they face major expenses for the in-between years: falling along a spectrum between good health and needing round-the-clock care in a nursing home.”

That has led them to enter assisted-living centers run by for-profit companies and private equity funds. The NYT says that about 850,000 people aged 65 or older now live in these facilities and when in them,  they are largely ineligible for federal funds. Some facilities provide only basics like help getting dressed and taking medication while others offer luxury amenities like day trips, gourmet meals, and spas.

In either case, the bills can be staggering. More:

“Half of the nation’s assisted-living facilities cost at least $54,000 a year, according to Genworth, a long-term care insurer. That rises substantially in many metropolitan areas with lofty real estate prices. Specialized settings, like locked memory care units for those with dementia, can cost twice as much.”

Home care is costly, too. According to Genworth, agencies charge about $27 an hour for a home health aide. Hiring someone who spends six or seven hours a day cleaning and helping an older person get out of bed or take medications can add up to $60,000 a year.

It’s worse for people with dementia because they need more services. The number who are developing dementia has soared, as have their needs. Five million to seven million Americans over age 65 have dementia, and that’s expected to grow to nearly 12 million by 2040.

The financial threat posed by dementia also weighs heavily on adult children who in many cases become guardians of aged parents. The Times included this chart:

The reality is that families go broke either caring for, or finding care for their loved ones. The alternative: Women in the family give up their lives and jobs to care for their family members instead, which worsens the gender wage gap.

The NYT article makes it clear that older Americans receive far less government support than their peers in other countries. The “why” question is easily answered: It’s a combination of the concerted effort for any public support to be demonized as “welfare”. It’s also partly the result of our failed experiment with long term care insurance. The politicians’ idea was that “the market” would take care of it, so government help for retirees could be limited to Medicaid-paid nursing homes.

But, the LTC insurance industry has largely imploded. Insurers had little experience with the product and grossly overestimated the lapse rates. If a policyholder stops paying, the insurer gets to keep the money and use it to provide services to everyone remaining in the pool. The surprise was that very few people stopped paying. A second miscalculation was that people who held these policies were living longer than forecasted. Longer life equaled higher and larger payouts (insurers also benefit when customers die before they’ve used up all the policy benefits).

A final factor is the rising levels of dementia described above.

And since demand for support outside of family members exceeds the supply of beds, nursing homes and assisted living facilities that aren’t terrible want residents to join during the independent living phase (which requires very little care, so those fees subsidize intensive nursing home care). Many of these facilities require a $400,000-$500,000 buy-in, which may not be refundable at death, even if the resident is current on their monthly fees.

There’s got to be a better way. Medicaid can’t be the only option to pay for LTC. Congress needs to establish a better system for middle-class Americans to finance LTC.

How we handle the growing costs of long-term care is just another reminder that we get LITTLE for our tax dollars beyond a giant military. Americans are responsible for their own medical care, childcare, college tuition, retirement and nursing home care. Some or all of which are provided in other rich countries.

This is a loudly ticking time bomb, and the demographics of the problem won’t change for decades. And yet, the Republicans seem bent on making it worse. They’re actively trying to bring about their dream of privatizing Social Security and Medicare.

Wake up America! We have real problems to solve.

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Saturday Soother – April 29, 2023

The Daily Escape:

Crab Apple tree, Fields of Wrong, CT – May 10, 2013 photo by Wrongo. This year, the trees are in full bloom two weeks earlier. The petals will be long gone by May 10, 2023. Climate change?

The new Democratic governor of Arizona, Katie Hobbs, appears to be on the wrong foot with her take on food safety. The NYT reports that she vetoed a bill that would have allowed Arizona’s informal network of home cooks to sell perishable food legally:

“Though the state promotes itself as a low-tax, low-regulation haven for private enterprise, it does not allow the sale of perishable foods made at home. So for years, a thriving economy of working-class, mostly Latina home cooks has operated underground, selling tacos, tres leches cakes and chile-dusted corn illegally from living rooms and outside laundromats and soccer games.”

Earlier in April, Republicans who control the state legislature came together with Democrats in a moment of bipartisan accord to pass a bill that would let Arizona’s home cooks register with the state to legally sell perishable foods like salsas and tamales.

And Hobbs vetoed it. Naturally, there was a backlash. Why would the new governor alienate Arizona’s large Latino population? Even a few Democrats have criticized her for killing what is widely being called the “tamale bill.” More: (emphasis by Wrongo)

“They said her move was a slap in the face of Latino constituents who voted for Ms. Hobbs, and whose support was crucial in a politically fractured state that is about 32% Latino. Critics said her veto would hurt the working-class immigrants that Ms. Hobbs had championed during her campaign.”

We can debate the merits of Arizona’s food safety laws. You might say, “I’ve seen my kitchen, and I’m against it.”

But when we debate the merits, it ought to be in the context of a) the minimal acceptable standard for public safety, and b) what the people want. Arizona’s informal food network is very popular. People aren’t stupid: They know that eating food purchased from the trunk of a car or from a roadside stand carries a risk of a possible night on the toilet, yet no one complains. And if something happens the city or town can always trace it and shut someone down.

BTW: You haven’t lived until you’ve bought tamales from the trunk of a nice lady’s car in a Home Depot parking lot.

The Arizona food safety reform bill appealed to both Parties: Republicans could stand up for fewer regulations, while Dems could show that they understood and supported the working class. This is particularly relevant in Arizona, where working people have a long tradition of making money through selling food informally.

So, what was Hobbs thinking? The selling of home-cooked food is primarily practiced by people of color or immigrants. Banning sale of their cooking could be seen as institutional racism, something we might expect in Arizona, but from a Democratic governor?

Maybe roadside vendors could display a warning sign saying that the Office of Food Inspection isn’t inspecting their garage BBQs, or their kitchens, or their basement bakeries, so you’re on your own. Besides, the Feds allow Big Food to put pink slime in our ground beef.

Enough about Katie Hobbs, someone who we were thrilled to see beat Kari Lake last November.

It’s time to forget about politics and whatever Ron DeSantis was doing in Israel. Focus instead on finding some relaxing time before the week starts all over again. Here on the fields of Wrong, the spring cleanup continues, along with our working to convince a pair of house finches that building a nest under the walkway to our door is – well, wrong. Wrongo expects to prevail as he has in prior years.

But now, it’s time for our Saturday Soother!

Let’s start by brewing up a hot steaming mug of Ethiopia Basha Bekele coffee ($23/12oz.) from Virginia’s Roadmap CoffeeWorks, an award-winning artisan roasting company based in Lexington, VA. It is said to be chocolaty and fruit-toned in the very long and satisfying finish. Who doesn’t like a long finish?

Since there’s rain in Litchfield County today, grab a chair by a large window. Now watch and listen to “Simple Gifts” from Aaron Copland’s  “Appalachian Spring” conducted by Leonard Bernstein. In 1942, Martha Graham commissioned Copland to write a ballet with “an American theme”. It premiered at the Library of Congress on October 30, 1944, with Graham dancing the lead role.

In 1945, Copland was commissioned by conductor Artur Rodziński to rearrange the ballet as an orchestral suite. “Simple Gifts” was a Shaker Hymn that Copland brought to life. He called the piece “Ballet for Martha”, and Graham gave it the title “Appalachian Spring”, after a line in a poem by Hart Crane:

Tis’ a Gift to be Simple“….indeed.

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What Should Happen When A Candidate Lies On Their Resumé?

The Daily Escape:

Christmas Tree, Cape Porpoise Harbor, Cape Porpoise, ME – December 2022 photo by Eric Storm Photography

Wrongo doesn’t like to write “Dems in Disarray” articles, but here goes. Monday’s NYT had a long article about a Republican Congressman-elect from Queens and Nassau County in NY. George Santos won and is set to be sworn in on Jan. 2. He ran as the “embodiment of the American dream”, something he wanted to safeguard for the rest of us. Turns out his back story is extremely difficult to confirm.

From the NYT:

“His campaign biography amplified his storybook journey: He is the son of Brazilian immigrants, and the first openly gay Republican to win a House seat as a non-incumbent. By his account, he catapulted himself from a New York City public college to become a “seasoned Wall Street financier and investor” with a family-owned real estate portfolio of 13 properties and an animal rescue charity that saved more than 2,500 dogs and cats.”

Ok, here’s the issue:

“….a New York Times review of public documents and court filings from the US and Brazil, as well as various attempts to verify claims that Mr. Santos, 34, made on the campaign trail, calls into question key parts of the rĂ©sumĂ© that he sold to voters…..Citigroup and Goldman Sachs, the…Wall Street firms on Mr. Santos’s campaign biography, told The Times they had no record of his ever working there. Officials at Baruch College, which Mr. Santos has said he graduated from in 2010, could find no record of anyone matching his name and date of birth graduating that year.

Grab your popcorn. More:

“There was also little evidence that his animal rescue group, Friends of Pets United, was, as Mr. Santos claimed, a tax-exempt organization: The Internal Revenue Service could locate no record of a registered charity with that name.”

Maybe Santos can explain. His financial disclosure forms say he has money.  He lent his campaign more than $700,000 during the midterm election, has donated thousands of dollars to other candidates in the last two years and reported a $750,000 salary and over $1 million in dividends from his company, the Devolder Organization. But several times, he was evicted for failure to pay rent:

“In November 2015, a landlord in the Whitestone neighborhood of Queens filed an eviction suit in housing court accusing Mr. Santos of owing $2,250 in unpaid rent. In May 2017, Mr. Santos faced another eviction case, from a rent-stabilized apartment in Sunnyside, Queens. Mr. Santos’s landlord accused him of owing more than $10,000 in rent stretching over five months and said in court records that one of his tenant’s checks had bounced. A warrant of eviction was issued, and Mr. Santos was fined $12,208 in a civil judgment.”

He sure sounds legit. How does someone who was evicted for non-payment of a total of about $14,500 in rent wind up in a position where he can loan $700k to his campaign? What caused his sudden change of fortune?

But Democrats, why are we only learning about this after the election? Why wasn’t this seriously negative information available before/during the election? Democrats do opposition research, even in a state like NY where they expect to win most seats.

And it gets worse. Santos ran and lost in the same district in 2020. So the Democrat’s state political higher ups had YEARS to do opposition research on Santos, but they didn’t. The Chair of the NY state Democratic Committee is Jay Jacobs, who is also Nassau County Democratic Chairman. Under his leadership, the Democrats lost four Congressional seats in November.

Within days after the election, dozens of Democratic officials from across the state signed a letter calling for Jacobs to be replaced. They accused him of sleepwalking into the midterms. Was Jacobs asleep at the wheel? Jacobs blames low voter turnout, but it’s his responsibility to get Democrats to the polls, to motivate voters to show up. And to check out the backstories of the opposition.

BTW, the NYT reached out to Santos for comment:

“We could not locate the congressman-elect and a person living at his stated address had no knowledge of his existence.”

The federal government has a False Statements Act for material omissions or misrepresentations on personal financial disclosures. It carries a maximum penalty of $250,000 and five years in prison. We’ll see. The House also has internal procedures for investigating ethics violations, but because Republicans who will control the House with Santos’ help, have no bottom for the ethical lapses they’ll accept, NY is now probably stuck with this guy.

Let’s close with another version of the Mariah Carey hit “All I Want for Christmas is You”  this time performed in 2021 by the Welsh of the West End, a group of UK theater performers:

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Monday Wake Up Call – December 12, 2022

The Daily Escape:

Oak Creek in snow, Sedona, AZ – November 2022 photo by Ray Redstone Photography

What is it with our national politicians? There are only a few days left for the House and Senate to increase the country’s debt limit, but both Parties have been screwing around, and now it looks like they may punt the problem to the incoming Congress.

From the NYT:

“Congressional leaders have all but abandoned the idea of acting to raise the debt ceiling this month before Democrats lose control of the House, punting the issue to a new Congress when Republicans have vowed to fight the move, and setting up a clash next year that could bring the American economy to the brink of crisis.”

The plan had been for Democrats to act during the lame-duck post-election session to increase the legal borrowing limit. That would take advantage of the Dems’ final month of control of both Houses of Congress. It would head off a pissing contest with Republicans when they take over the House in January. Republicans have threatened to block the increase once they are in charge of the House. They plan to hold it hostage until the Democrats agree to substantial cuts to domestic spending and Social Security, Medicare, and Medicaid.

There are several problems here. The debt ceiling which the US will reach sometime next year; the expiration of the last stopgap funding bill that expires on Dec. 16; and passing an overall budget for the current fiscal year.

The Dems had planned to attach a series of other priorities to the big funding package, including the reform of the Electoral Count Act (ECA), a critical reform that helps prevent election denier shenanigans in 2024. On December 3, Wrongo warned that this was a high risk gambit: (emphasis by Wrongo)

“…the Democrats need Mitch McConnell and other GOP Senate leaders to agree to attach ECA reform to a spending bill and enlist the 10 GOP Senators to support it. That means the GOP controls whether this bill is enacted.”

Now we’re hearing that the leadership of both Parties can’t get to an agreement on the big package. More from the NYT:

“Republicans and Democrats remain at odds over how to split funding between military and social programs. Talks are set to continue through the weekend ahead of the Dec. 16 deadline, though aides said lawmakers could pass a one-week stopgap bill to give negotiations additional time.”

So America’s Christmas present from Congress will be no Electoral Count Act reform and no new budget, and no debt ceiling increase. Instead, we’ll get another Continuing Resolution that will fund the government until early in 2023 when the Republicans will try once again to toss the US credit rating off a high cliff with their far Right ideological theories on US government debt.

Under the last debt limit increase passed late in 2021, the federal government can borrow $31.381 trillion. Total national debt has been slightly above that level, but since a small portion of the debt is exempt from the debt ceiling, we’ve stayed in compliance. As of last week, total debt subject to the debt limit got as close as $31.345 trillion.

The consequences of failing to extend the debt limit are immediate and bring great risk. For example, it could force the government to choose between paying Social Security checks or paying the interest due on the country’s debt. That happened in 2011, when Congressional Republicans pressured President Obama to accept similar spending cuts in exchange for raising the debt limit.

That standoff led to downgrading the credit rating of the US. It rattled American investors and the US economy. This time, it could have global economic implications, given that the world is facing a global recession.

Before you say: Well, these birds learned this lesson back then, so they surely will make a deal this time. Consider that Goldman Sachs reports that less than a quarter of Republicans and less than a third of Democrats who will serve in the House in 2023 served there in 2011.

Time to wake up, Congress! Sure, some of you are very old, and want to go home for the holidays. But we pay you to fix things, not to make them worse. Schumer and Pelosi should make them all stay in DC until they vote on what the country needs.

To help them wake up, watch, and listen to a live version of the Allman Brothers’ “Midnight Rider” with Vince Gill, Gregg Allman and Zac Brown from a 2014 performance at the Fox Theater in Atlanta. One of the wonders of live music is what happens when artists collaborate in a live setting:

We’re also seeing Chuck Leavell on keyboards and Kenny Aronoff on drums.

Sample Lyric:

And I don’t own the clothes I’m wearing
And the road goes on forever
And I’ve got one more silver dollar
But I’m not gonna let ’em catch me, no
Not gonna let ’em catch the midnight rider

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Saturday Soother – December 10, 2022

The Daily Escape:

View from Clingmans Dome, TN – December 2022 photo by Lynn Carte Hodges

From John Dean:

“The Democrats’ 51-seat Senate majority lasted about three days. Kyrsten Sinema is leaving the Democratic party.”

She is now registered as an Independent. Her announcement comes just after Sen. Warnock won reelection in Georgia, securing the 51st Senate seat for the Democrats. It’s difficult to figure out what Sinema’s intent is. The most charitable view may be that no longer being the 50th vote freed her to follow her conscience.

This raises two political questions. First, does this change the balance of power in the Senate? With the current makeup of the Senate, Wrongo doubts her decision changes anything. Like in the past, Sinema will vote the way she wants to vote. She has said she will caucus with the Democrats, but she rarely attended Democratic caucus meetings before, so there won’t be a change there.

Sinema has been a reliable vote for confirming Biden’s judicial appointments, for women’s issues and for LGBTQ+ issues. She was a lukewarm supporter of Biden’s infrastructure plan and is fervently against changing the Senate filibuster rules or increasing taxes. She voted against a $15/hour national minimum wage.

Sinema’s move is a reminder that every single Democratic Senator can control the Senate, and along with it, control every committee assignment and whatever remains of the Democratic agenda.

Sinema did say she expects to retain her current committee assignments, which makes it sound like she’s had discussions with Senate Majority Leader Chuck Schumer before making her announcement. So, situation normal, more Dems in disarray.

Second, will this throw the 2024 Arizona Senate race to the Republicans? Voter registration in AZ is split nearly evenly into thirds among Dems, Republicans and “Other”, with the GOP in first place and the Dems in third.

Its no secret that Arizona Democrats aren’t fond of Sinema. Below is a year-old poll from the progressive think tank Data For Progress showing how big the climb would be for Sinema to win a Democratic Senate primary in 2024:

Sinema’s options in 2024 are:

  • Not to run for reelection.
  • To run as a Democrat and lose in the primary.
  • To run as an Independent and try to cobble together a centrist coalition.

She would fail if she tried to run as a Republican. She would probably face Kari Lake, the bat-shit crazy election denier who nearly won the AZ governor’s race. Sinema would be cast as a RINO with no chance to win a Republican primary as a former Green Party, former Democrat, and former Independent, who has finally seen the Conservative light.

However, it’s most likely that Sinema left the Democratic Party to maintain her political viability.

If so, the best strategy for Sinema is to run as an Independent who caucuses with the Democrats. Arizona’s Democrats would then either have to accept her as the less horrible choice in a two person contest, or reject her for Gallego, a talented politician who would have trouble winning in a three-way race if Sinema stayed in as an Independent.

That would leave Democrats in a difficult position. They could either support an Independent who mostly agrees with them and votes with the Democratic majority or run their own candidate, thereby possibly splitting the anti-MAGA majority and handing the seat to a Republican.

Remember that both Bernie Sanders of Vermont and Angus King of Maine run on the Democrats’ line for Senate. So could Sinema. While she almost certainly doesn’t have what it takes to make Democrats love her, she almost certainly DOES have the power to make sure a more progressive Democrat doesn’t replace her.

The question is: What card will she play in 2024? She’s already cut an ad declaring her independent status. The Democrats face a brutal election cycle in 2024 with 23 seats up (including Maine and Vermont, while Republicans have just 11 at stake. The Dems can’t afford to lose AZ.

But let’s forget Sinema and political war games and turn our attention to reindeer games. It’s time for our Saturday Soother.

Here at the Mansion of Wrong, after a very warm fall, we’re starting a cold snap with the promise of our first real snow accumulation on Sunday. That happens to be when we’re going to hear a performance of Handel’s “Messiah” by the Waterbury Symphony.

So kick back and watch “I know that my Redeemer liveth”, from Handel’s Messiah, with a solo by Amanda Powell, backed by Apollo’s Fire. This was performed live in 2018, in the First Baptist Church, Cleveland, Ohio, conducted by Jeannette Sorrell who also plays harpsichord:

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More Midterm Hot Takes

The Daily Escape:

Sands of Remembrance” sand sculpture, Normandy, FR – made for D-Day, 2004 via

On Veterans Day, Wrongo salutes all who have served! Wrongo’s own service occurred during the Vietnam War. His father was a WWII veteran. His grandfather, a WWI vet. Did you notice that neither Party mentioned anything about caring for our veterans in their midterm campaigns?

Wrongo’s not a political analyst, just a retired CEO with a laptop, but he feels like he has more to say about the now almost-completed midterm elections.

Some overnight updates: In the House, Democrats continue to overperform, including Wrongo’s own district where Democratic Rep. Jahana Hayes won a third term by a razor-thin margin. Dems still need to sweep the remaining toss-up House races in order to have a shot at a House majority.

Encouraging news from Nevada where Dem Sen. Cortez-Masto trails Adam Laxalt by about 16k votes. Jon Ralston the dean of Nevada political analysts tweeted this:

If Cortez-Masto pulls it out and Mark Kelly hangs on in Arizona, which seems probable, the Georgia Senate runoff won’t be for control of the Senate, but would deliver a 51st Dem seat in the Senate. With less at stake, it might mean a significant number of Georgia’s Right wingers will decide to stay home rather than waddle to the polls to vote for Walker.

But today let’s take a look at some decision making by the Democratic Party’s powers-that-be. Take Florida: Dem donors (and the Party) gave candidate Val Demings $72 million. She went on to lose to Republican Sen. Marco Rubio by 15 points. It was plausible early on to think that Demings had a chance, but it’s been clear for months that she would lose.

In Wisconsin, Mandela Barnes lost to the execrable Ron Johnson by ONE point. The Dem brain trust allowed Barnes to get swamped in the media in September and October due to lack of funding. Would Barnes have won if he had more money? Think about it: Biden carried the state in 2020 and Tony Evers, the current incumbent Dem governor just won again in 2022. Evers got 1,336.9 million votes while Barnes got 1,310,4 million. Could more money have picked up the 26.5k votes between Sen. Johnson and Barnes? Sure!

Shouldn’t Barnes have been a higher priority than Demmings’ longshot in Florida, a state with terribly expensive media markets? Wrongo understands that people want to give emotionally, and obvious villains like Rubio make good targets.

Compare the amount of attention Florida got vs. Wisconsin. Very few individual donors sit down and  systematically dig through all the races to decide where their money will give the most bang for the buck. Theoretically this is something the Democratic Senatorial Campaign Committee (DSCC) ought to do, and then everyone could just give them money. But why when their decision making seems flawed?

You can say that Wrongo shouldn’t complain, if we expand the Senate to 51 seats, but did we leave seats on the table in North Carolina and Wisconsin?

The money flowed inefficiently to Florida instead of to North Carolina and Wisconsin. North Carolina made much more sense as a “reach” target for the Democrats. It has a Democratic governor; a vacant Senate seat and Dems have won statewide before. Beasley lost in NC by 136k votes (3%).

The Party and individual donors need to be actively pursuing the best actual strategy. And going forward, donors should forget giving money to any entity except directly to the candidate’s campaign. Many Dem organizations are fundraising using a given candidate’s name, and then are splitting the money with the candidate and other races.

For example Wrongo has already received email and text requests for Warnock donations that included sharing the funds with Adam Schiff, with the Dem governors association and with the DSCC.

Warnock needs all of our money and it’s a travesty that other Democrats are raising money using his name.

Two final political thoughts: First, several states had ballot questions concerning whether slavery should be abolished in their state constitutions. SLAVERY! Tennessee and Vermont voted 90% for abolition, while in Oregon, 45% voted in favor of slavery. In Louisiana the vote was 61% to keep slavery in their constitution.

Second, back to veterans, it’s always been Democrats who have made the biggest effort to support the VA. Even though it is probable that the majority of enlisted and commissioned armed forces veterans remain Republicans.

It’s a paradox: when the Republican Party is in control, it makes a poor effort to support veterans; but they’re typically the ones sending our troops off to war.

Let’s close with a moving song that can honor veterans. Watch “Bring Him Home” from the play, Les Misérables. While not about veterans, the song packs a wallop. Here, its performed by Alfie Boe and the Mormon Tabernacle Choir:

 

Sample Lyric:

He is young
He’s afraid
Let him rest
Heaven blessed.
Bring him home
Bring him home
Bring him home

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What Was The Dems’ Closing Argument?

The Daily Escape:

Valley of Fire SP, NV – November 2022 photo by Carol Cox

It’s Election Day. Over the next few days, the mainstream media, and self-appointed pundits like Wrongo will try to make sense of what the vote tallies mean for America and for the two Parties. Regardless of the outcome, many things will be very different in 2023.

Here’s Sherrilyn Ifill with a great closing argument for voting rather than standing on the sidelines:

“Voting this year is not only political, it’s personal. To vote is to speak. To vote is to declare that you will not be written out of the definition of who can claim their right to this national identity. To vote is to fight. Voting is not the only way to fight, but it is one of our most powerful weapons. Wield it with power and determination. And leave no power on the table.”

The one overriding issue in this midterm election has been inflation. The media won’t let go of it, and the glare effect of inflation makes some voters think that the economy is also terrible. And it hangs over the closing arguments of all Democrats because the Republicans falsely say that the sole cause of inflation is that the Biden administration’s spending like crazy.

The truth is that about 54% of the current inflation rate is due to elevated corporate profits.

Prices are rising not just because of worker’s wages. The cost of labor is increasing at a slower rate than inflation. Raw materials are not the prime driver of increased inflation either. Companies are raising prices above and beyond costs because they can.

Unless companies can reduce their cost of bringing products to market, the only way to increase the firm’s markup is by increasing its selling price. Kevin Drum has helpfully taken a look at that for us:

The blue line represents the total cost of employing somebody, including all wages and benefits. Since 2020 it’s risen at less than the rate of inflation. The red line represents after-tax profits as a share of gross value added, (markup to economists). Before 2020 it rose roughly in line with inflation, but since 2020 it’s skyrocketed.

From Drum: (emphasis by Wrongo)

“Corporations are increasing prices…and blaming it on inflation. But it’s not because of inflation. It’s a cause of inflation. Prices are rising….mainly because companies are raising prices above and beyond that for no special reason except that they can. And all of us are paying the price.”

Economist Robert Reich points out that corporations can jack up prices today without losing customers because we’ve allowed virtual monopolies to develop in many US industries. Since the 1980s, he says, two-thirds of all American industries have become more concentrated. Some examples:

  • Foods: Four companies control 85% of all meat and poultry processing. Just one corporation sets the price for most of the nation’s seed corn. Just two giant firms dominate consumer staples.
  • Drugs and prescriptions: Big pharma consists of just five corporations.
  • Air travel:The airline industry has gone from 12 carriers in 1980 to just four today.
  • Banking: Wall Street has consolidated into five giant banks.
  • Broadband: It’s dominated by three cable companies.

The US House Subcommittee on Economic and Consumer Policy released an analysis last Friday that spells out how some corporations have enacted price hikes and are enjoying record profits. What’s worse, the CEOs of the big firms openly admit on earnings calls with investors that they use inflation as a cover to raise prices. Here’s what a few CEOs of major companies are saying:

Michael McGarry, CEO of PPG, in response to a question whether prices will go back down when input prices are lower:

“…we’re not going to be giving this pricing back….So we’re telling people, this is the new price. And if you don’t like it, please don’t place purchase orders.”

William C. Rhodes, CEO of Autozone:

“It is also notable that following periods of higher inflation, our industry has historically not reduced pricing to reflect lower ultimate cost.”

Jim Snee, CEO of Hormel:

“…our Grocery Products pricing is very sticky and so the pricing that we’ve taken and that we’re in the midst of executing the additional price increase, that pricing will by and large stay.”

The inflation we’re experiencing is not due to wage gains, it’s due to profit gains from corporate pricing power.

It would be nice if the media reported on what’s really causing the inflation. Many people are going to the polls today thinking this is Biden policy-caused inflation rather than the reality of a corporate drive for higher profits.

Too bad so few Democrats are talking about this when they get hammered about inflation by their Republican opponents.

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Saturday Soother – October 8, 2022

The Daily Escape:

Fall at Lake Gloriette, Dixville Notch, VT – October 2022 photo by Adam Silverman Photography

(There will not be a Sunday Cartoon column this week. Wrongo and Ms. Right are off on their annual visit to Cape Cod, MA to see family and friends. It’s Oysterfest, people! Columns will be light and variable for the next 10 days.)

The midterms are just around the corner and if you’re planning to open your wallets to support Senate candidates, Wrongo suggests that you include Ralph Warnock (D-GA), John Fetterman (D-PA) and Mark Kelly (D-AZ) in your budgeting. If you are particularly flush, you can add to this list.

But today, Wrongo is venting his frustration with the tsunami of emails and texts he receives from Democratic candidates and organizations. Small dollar fundraising, that is the art of getting money from ordinary folks, has apparently been perfected by Democrats. Sadly that seems to entail creating a constant state of panic via email and text. From Wrongo’s inbox:

…”we have bad news. NO ONE is donating to help us re‑elect Raphael Warnock. Our MAJOR fundraising deadline is at 11:59 PM, and you IGNORED our first email!”

From Mark Kelly:

“This is your last chance to donate before the debate ends and we need your help, we can’t fall short. We’re closing in on this crucial goal. So, before time runs out, we need you to add one more donation to help push us over the top.”

From Val Demings:

“WE TOLD YOU: If we can’t hit our fundraising goal, we can kiss Florida GOODBYE. We can’t launch an outreach campaign with no funds in our bank!”

Democrats are correct. These days, there’s plenty to panic about, but isn’t that part of the problem? We’d be frazzled enough just by the news. Do we have to be reminded on a daily basis by Democratic candidates that we should be frazzled?

After Citizens United created a crisis in how to fund our politics, Democrats were able to deal with the problem by growing online small dollar fundraising for candidates. It started out as a decentralized effort by individual candidates, and it brought in tons of money. It also helped individuals feel that they were invested in the political process.

Now it’s institutionalized. All Democrats have the same lists. That’s efficient in some ways, but in other ways, it’s a problem. It leads to terrible uses of the money, such as dumping endless dollars into hopeless campaigns like the 2020 Senate races in Kentucky (Amy McGrath) and in Maine (Sara Gideon).

McGrath was a terrible candidate and of course, Mitch McConnell won. Sara Gideon was so overloaded with money that she couldn’t spend it all. These retail donations made no meaningful difference in her race against Susan Collins, which she lost by a wide margin.

Tim Miller in the NYT:

“…hundreds of millions of dollars are being pumped into hopeless…candidates. At a minimum, that money could be used more efficiently by the Democratic Party….Aren’t there myriad better uses for all that altruism than pumping out…attack ads?”

Imagine if all of that money was poured into state house races where it could be used more effectively.

Our best funds raising tool has now been turned against us. What we thought would lead to great things could now threaten the Democratic Party. This season, as in the past, Wrongo has donated to Democrats, but it leads to receiving 6-8 ever more desperate emails/texts daily. Fortunately Wrongo believes in their cause. Otherwise, reading them might soon lead to death due to David P.’s “politics fatigue”.

Enough! It’s time for our Saturday Soother, a time to let go of another week of bad news while we reflect on where to place our limited political funding over the next 30 days.

Here on the fields of Wrong, our indoor plants that spend spring and summer outdoors are back inside. And our short sleeve shirts have been put away.

To help you contemplate your seasonal wardrobe, start by brewing up a mug of Colombia Cerro Azul Enano, ($26/12 oz.) by Marin, CA’s Equator Coffee.

Now grab a seat by a south facing window and listen to the Finale of Saint-Saens “Symphony No. 3 with Organ” performed in 2012 by the Auckland Symphony Orchestra conducted by Peter Thomas, with Timothy Noon on the Organ. Saint-Saens who wrote this in 1886, was an accomplished pianist and organist, but this is his only symphony for organ. Also note the spectacular organ at the Auckland Town Hall. Play this LOUD to hear the deep register of the organ:

Wrongo and Ms. Right heard this piece played by the Waterbury Symphony on October 1st at Waterbury, CT’s St. John’s Episcopal Church, founded in 1732. It’s a beautiful old church with a very impressive organ that dates from 1956. Today the church reflects the changing demographics of Connecticut, having added a Hispanic ministry In 2003. Now the main Sunday service is in Spanish.

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