Author: wrongologist

Sunday Cartoon Blogging – March 22, 2020

We have a ton of cartoons today, so just a brief comment. Neoliberal economics bears a major responsibility for the pathetic pandemic response by our corporations and government. It encourages efficiency over all other aspects of a complex product/service delivery system. We now see that it is fragile, without the resilience necessary to meet surges of demand/need.

Our CEOs and politicians now think only in terms of equilibrium, when equilibrium is the last thing we need in the middle of a runaway exponential disease process like COVID-19.

We’re seeing how difficult it is to source things like gloves, masks and sterile gowns. The delays procuring those items will pale against the delay in sourcing ventilators and ultimately, a vaccine in sufficient doses to truly stem the tide.

One thing to think about is how nations with authoritarian or collectivist societies have responded to the Coronavirus better than those in the west, where we celebrate the individual, occasionally to the detriment of society. Our way works fine when things are good, but not so well when things turn bad.

What would you expect, given an educational system that doesn’t teach people what “exponential” means?

Finally, imagine Trump if he were FDR right after the attack on Pearl Harbor: Standing in front of Congress declaring: “This Japan thing will go away!” On to cartoons.

Whose responsibility is this?

There’s only one real cure for Trump syndrome:

He’ll never have clean hands:

Sadly, it’s not just his hands that don’t measure up:

Sen. Burr and the others can’t explain their actions. They’re guilty:

 

Let all the people keep the checks, but nothing for corporations:

Dem primaries showed us something:

The core problem for Democrats today:

Work from Home withdrawal setting in:

Facebooklinkedinrss

Saturday Soother – March 21, 2020

The Daily Escape:

David Hockney (a new painting) — here’s a quote from Hockney: “Do remember they can’t cancel the spring 2020”.

Blog reader Fred VK emails:

“How do you know if you could be in a third world country? When you go see the Doctor, she greets you wearing a face mask that says ‘made by Mr. Coffee’”.

It is difficult for people to talk about anything else. COVID-19 is on the march, and America isn’t prepared for what’s coming. Worse, we’re unsure if this is a one-two month problem, or something that will last a year or longer. Most countries think that the virus will grow exponentially, and will kill many of their citizens. This leads nearly all governments to order many businesses to close. No one is traveling, except to their local stores. In Connecticut, no one is able to get a haircut for the duration.

But since Wall Street is still open, anyone who owns stocks has taken a huge haircut this week. Friday’s drop leaves Trump looking at a Dow average that’s 3% below what it was when he took office. He’s presided over the worst week in the stock market since 2008.

This market crash is due to investors trying to understand the extent of the damage to the US economy that’s being done by how we’re fighting COVID-19.

In order to save our society over the longer run, we’re actively putting ourselves into a very deep recession. That may mean that people will be out of work for a short, or a long time. If it’s a long fight, that may lead to a very dark economic time for all Americans.

A fundamental question is:

“What unpleasant decisions would our federal and state governments be willing to take to get us out of a deep recession, if the virus is still around a few months from now, and still killing a lot of people?”

Is restoring our economy, and putting Americans back to work worth a million lives lost? Is it worth 300,000?

Remember that before 9/11, no one thought we would surrender our freedoms for 3,000 deaths, but we did. No one thought we’d fight a nearly 20 year war that killed 6,789 and wounded 52,353 Americans, but we did.

Those wars have cost the American taxpayers $5.9 trillion since they began in 2001. We’ll easily spend $2 trillion between here and September to prop up the economy while fighting the Cornonavirus.

What kind of sacrifices will we be willing to make if the Coronavirus is still killing Americans on Election Day 2020? Which Party will be saying we should put people back to work?

It’s likely to be both Parties.

Dark, right? There are encouraging signs. Small acts of kindness in supermarkets, artists performing for free on the internet, people trying very hard to avoid making the elderly sick. These are all wonderful things, and we need much, much more of them.

Some say that it takes a common enemy like the Coronavirus to unite us. If we become united in the fight, and stay united once we’re victorious, that would be also be a wonderful thing.

So, let’s take a beat, and think hopeful thoughts about the arrival of spring. Here in northwest Connecticut, the peepers began singing a week ago, and the daffodils are blooming. The first dandelions are peeping through the grass, but we’re expecting snow on Monday. So winter isn’t over just yet.

Let’s try to soothe ourselves by listening to two pieces of spring music. First, “Spring Morning” by Frederick Delius, written around 1888. This is always a Wrongo favorite in spring:

Those who read the Wrongologist in email can view the video here.

Second, listen to Vivaldi’s Four Seasons: “Spring” (La Primavera) in a complete version, performed live in February 2020 by Alana Youssefian and the Voices of Music. This isn’t a “Vivaldi as usual” performance. Wrongo had never heard of Youssefian, but listening to her and the Voices of Music’s original instruments is a treat.

Subtitles in the video are words by Antonio Vivaldi!

Those who read the Wrongologist in email can view the video here.

Facebooklinkedinrss

Call It the Great Virus Crash of 2020

The Daily Escape:

Desert bloom on Siphon Draw Trail, AZ – photo by ericatect

That was the term used on Wednesday by Ed Yardeni, president of Yardeni Research:

“It’s all at once a health crisis, financial crisis and economic crisis. We need to fix the health part of it before we have it solved, but we can take financial and fiscal steps to blunt its effects.”

JPMorgan Chase said it forecasts a 14% decline in gross domestic product in the second quarter. That’s enough to scare anyone. In a partial response, the Trump administration suspended evictions, authorized the Defense Production Act, and is eyeing a stimulus package worth about $1 trillion.

The headline is that Trump wants to give Americans direct cash assistance. He wants to send two $1,000 checks to many Americans. Beginning April 6th, $250 billion would be issued, and another $250 billion would be issued beginning May 18th. Payments would be tiered based on income level and family size.

The Treasury Department is circulating a two-page sheet of priorities that it wants to see in the final deal:

  • Part of it is a $50 billion “airline industry secured lending facility” that would allow it to make direct loans to “U.S. passenger and cargo air carriers”.
  • The Treasury would also earmark $300 billion to help small businesses avoid mass layoffs.
    • Eligible borrowers would be companies with less than 500 employees.
    • Loan amounts would be limited to 100% of 6 weeks of payroll, capped at $1540 per week per employee.
  • The Treasury also wants Congress to allow it to temporarily guarantee money market mutual funds. Some are worried that an investor panic could lead to a run on these funds. This was done before during the Great Recession.
  • Finally, there would be a $150 billion fund to prop up other sectors, including hotels.

And Wednesday was another day when Trump appeared in front of the press, attempting to look as if he’s a war president. The bad news was that they again halted trading on the stock markets during his press conference.

At Wednesday’s close, the Dow was down another 1,338 points. We’ve now lost almost all of the gains accrued during the Trump administration. Nearly every asset class – stocks, bonds, gold, and oil – fell as investors fled to the safety of cash.

Mr. Market has decided that cash is king. The smart money can’t decide whether Trump’s offering too much stimulus. If so, things must be really bad. And if he’s not offering enough, then there’s no leadership.

Here’s one way to look at the Dow’s performance:

  • First 1153 days of Obama’s presidency +67%
  • First 1153 days of Trump’s presidency  +0%

The WH needs to shut him up. Each time he speaks, things get worse for the rest of us.

Inside this crisis is perhaps the biggest political challenge for Democrats: They have to agree to help an incompetent president and his Party avoid killing their constituents.

That’s a bitter pill, particularly in an election year.

It isn’t a stretch to see how Democrats would be painted as obstructionists if they fail to support what Trump wants at a time when millions of people need a cash bridge to help them across economic difficulties.

Wrongo thinks helping people is a good idea, and a total of $2,000 is better than nothing, but what will it really do? The average US mortgage payment is over $1,000, while the median rent for a 1-bedroom apartment is $1,234. So for a couple, in most cases, one month’s housing costs will eat up about 25% of the total cash from the government. The rest will go to car expenses, the cell phone, perhaps student debt payments. Maybe, if people can stretch, it will last two months.

It’s helpful, but far from enough if employers remain closed for two months or more.

And loans to small businesses? Will small businesses willingly take on more debt when they can’t be sure when their income will return, or if the business will survive?

Any loans to large corporations is a huge mistake. The big four US airlines – Delta, United, American, and Southwest – whose stocks are getting crushed because they will run out of cash in a few months, would be the primary recipients of that $50 billion bailout. But together, they incinerated $43.7 billion in cash on share buybacks since 2012. Now they are looking to get that back from the taxpayers. Those buybacks enriched the very shareholders that Trump now wants to bail out.

Perhaps Trump said it best, although it was a while ago: “We’re seeing a stock market like no one has ever seen before.”

Trump spent the first three years of his presidency trying to erase Obama’s legacy.  Now, The Great Virus Crash in Trump’s last year will erase his.

Facebooklinkedinrss

We’re In Uncharted Territory

The Daily Escape:

Sunset, Factory Butte, UT – photo by goat_chop56

Blog reader David K. emailed:

“Now, what do we common folk do?  Start our “victory gardens” and shelter in place?  Volunteer to help our local farmers raise food? Hoard?  Wish I had a great idea, because I agree that our leaders don’t have a clue how to respond.”

That gave Wrongo pause. What do those of us who aren’t part of the “smart money” crowd supposed to do, particularly if what we’re facing is a worldwide depression? John Pavlovitz frames the existential issues quite clearly:

What happens if the stores run out of essentials for good?
What if you run out of money to stockpile them?
What if your neighbors stop sharing with you?
What if the government won’t help you?
What might you do then?

Politicians say we’re at war, but as Kunstler says: “At least in wartime, the bars stay open. That’s how you know this is a different thing altogether from whatever else you’ve seen in your lifetime.”

We’re attacked by a novel virus that’s created a completely novel social and economic situation. By definition, we aren’t prepared for an abrupt crash of both our social fabric, and our economic well-being.

Our politicians have no answers, despite most of them having been around for the 2007-2008 Great Recession. The Fed hasn’t done us any favors since then, either.

Last Saturday, Wrongo said that we’re crossing a threshold between what we know and an unseen future. Our traditional systems are no longer capable of keeping society and the economy on an even keel. Nobody really knows how deep and how harsh this will get, but the situation presents two questions:

  • How much disorder will we have to endure?
  • What does the world look like when this thing is over?

All this is happening in an election year, when the entire government and the political parties’ power structures are vulnerable, and could change. We are facing a new reality, for which no one has any answers.

Politics being what it is, the White House and the Congress are trying to work together to come up with solutions. On Monday, Trump gave another press conference on COVID-19. During his talk, the stock market dropped nearly 3,000 points. It was the market’s worst day since Black Monday in 1987.

The smart money was behind Trump in order to get its corporate tax cuts, but now, they’ve voted with their money. And Trump’s starting to look a little bit like Herbert Hoover.

Sen. Mitt Romney (R-UT) floated Democrat Andrew Yang’s idea of giving every American $1,000. He was joined in principle by Sen. Tom Cotton (R-AK). We’ll see if this is just more Republican grandstanding, or if they actually back a real plan of support for working people.

With Trump, you can expect to see bailouts for several industries, including banks, airlines, casinos and cruise lines. Imagine: Casinos are asking for help from the guy who only knows how to bankrupt casinos.

Reuters reports that the US airline industry said that it needs $50 billion in grants and loans to survive the dramatic falloff in travel demand from the COVID-19 outbreak. This is just more socialism for America’s corporations.

Two thoughts: First, $50 billion is higher than the book value of all the airlines combined. Why should they have any of our money? Either Republicans are for free market capitalism, or they should just shut up. Most of these airlines have implemented stock buyback programs when they should have been building contingency funds instead.

Second, this $50 billion should be added to whatever Congress spends on small businesses that are forced to close due to quarantine, or on parents forced to stay home to take care of kids who aren’t going to school anymore. They’re the ones who are really hurting.

We’ve lived through a time of unprecedented affluence. We’ve told ourselves we deserved it all, that we were entitled to all that our country has provided.

But that’s most likely over, and it might not return in Wrongo’s lifetime.

We have to think about what must change if we are to have a functioning society and economy in the decades to come.

The list of all the things that we need to change is far too long to enumerate here. At a minimum, we need to reform capitalism, make health insurance universal and strengthen worker’s rights.

We have to do a better job of sharing the wealth. It we don’t do that voluntarily, our children’s children’s generation will come and fight us for what we have.

To protect our families and their future, we need to become even more active politically in order to make these and other changes happen.

Facebooklinkedinrss

Can the Economy Endure a Two-Month Shutdown?

The Daily Escape:

Cannon Beach, OR – 2020 photo by franks28

The short answer to the question above is no, not without outright financial support for individuals by the government. That support if it comes, is likely to be too little, too late.

But the Fed tried something. On Sunday, it announced that it slashed its federal funds rate by a full percentage point, to a target range between 0% and 0.25%. In addition, they launched a new Quantitative Easing program for another $700 billion.

Investors threw up all over the Fed’s Sunday moves, because we’re looking at a “demand shock”, the state-enforced loss of consumer sales,something that can’t be stimulated away. The S&P futures immediately plunged 5% to hit its downside limit. That made for an interesting Monday, with the Dow ending down nearly 3,000 points, or another 13%. In the past month, the market has lost nearly a third of its value.

All these efforts to provide stability actually showed the market that our leaders have no idea what they’re doing. It’s the exact opposite of inspiring confidence.

Did the Fed panic? Fed Chair Jay Powell lowered rates right after Trump said he had the authority to remove Powell. That makes it seem, true or not, like the Fed is now in Trump’s pocket. No confidence-builder there.

Looking through a wider lens, Mr. Market has decided that the Fed is pushing on a string. Rates were already so low that there was little gain from the interest rate reduction, and little else that the Fed could do. Mostly, the Fed signaled that it is very frightened about the prospect of a global recession.

In addition, the market understood that the stimulus bill working its way through the House and Senate is inadequate to the task ahead. For one thing, Pelosi’s bill promises paid sick leave, but as written it only covers about 20% of all workers.

Again through that wide-angle lens, the growing COVID-19 business lockdown strategy will have an economic impact similar to a natural disaster, like a hurricane, but played out over a longer time frame. FEMA has found that 40% of businesses close in a natural disaster. And of the businesses that reopen, only 29% survive the after the following two years.

Since our economy is 70% services, many industries facing the lockdown, like tourism, casinos, restaurants, and hotels, will soon be in meltdown mode. The Fed has no answer to a massive drop in consumer spending, only the president and Congress can solve that.

We know that 40% of Americans don’t have enough cash on hand or room on a credit card to handle a $400 emergency. Many service industry workers will be hit with either cutbacks in their hours, or outright job losses. Without financial assistance, we’ll quickly see defaults on rent or mortgages, and delinquencies on credit cards and car payments.

So the Fed creates some more money. But just like in 2008, rather than distributing it to every citizen, they’re giving it to the banks. Somehow, all that money is going to people who already have plenty, while those who need it get nada.

Why is the answer always to give more to the supposed “job creators” when we get basically nothing in return? Why not just send a check to the actual people who need it?

Finally, what will this interest rate cut do for the economy?

  • Are restaurants going to start hiring workers that can’t actually come to work just because loans are cheap?
  • Are workers not collecting a paycheck going to go out and buy a new car/TV/house because interest rates dropped a bit?
  • Are banks going to lend cheap money to airlines, restaurants, and cruise lines when we have no idea how long this will last?

Every company on the planet has simultaneously realized that it is in an existential cash-flow crisis due to COVID-19. The big and smart companies already have drawn down their unused loan facilities to ride through the slowdown.

The slower and the smaller firms are staring at an economic nuclear-winter scenario where their revenue plunges for months, and they can’t pay their staff, or make their fixed payments.

The speed and comprehensiveness of the lockdowns, and their drastic impact make what’s going to happen very clear. Our leaders are in a fog of denial. They don’t see that much of what was the traditional mode of operating our system is crumbling.

During the 2008 financial crisis, we learned that events can move too quickly for anyone to intervene and limit the damage. Our business environment’s drive for highly efficient systems, from just-in-time inventory sourcing to reducing the number of hospital beds per capita, have created fragile systems that are now being stress-tested.

We may be learning, to our collective detriment, that all of these systems along with our leaders, have failed us.

Facebooklinkedinrss

Monday Wake Up Call – March 16, 2020

The Daily Escape:

Blue Lakes Trailhead, near Telluride, CO – August 2018 photo by Will Colebank. See 360° view here.

Remember last Monday? Since then, we’ve had a week of body blows to both the national psyche, and the economy. Thank God that the market was closed last week. Oh, wait a minute…it was open.

Please, Trumpheads: Try not to kill us while attempting to govern! The administration is literally making a pandemic worse by once again not thinking through their policies. From the WaPo:

“Airports around the country were thrown into chaos Saturday night as workers scrambled to roll out the Trump administration’s hastily arranged health screenings for travelers returning from Europe.

Scores of anxious passengers…encountered jam-packed terminals, long lines and hours of delays as they waited to be questioned by health authorities at some of the busiest travel hubs in the US.”

Q: How do you spread a virus faster?
A. Pack a bunch of people into an airport virus screening line for six or seven hours.

This dog’s breakfast was caused by the administration’s “enhanced entry screenings”, one of Trump’s travel restrictions aimed at slowing the spread of the coronavirus within the US. Passengers on flights from more than two dozen countries in Europe were routed through 13 US airports, where workers checked their medical histories, and examined them for symptoms.

What could go wrong?

Is it a surprise that there was no advance staff coordination to assure that people could get through a crowd of suspected Coronavirus carriers reasonably quickly? It’s similar to Trump’s 2017 chaotic implementation of the Muslim travel ban that triggered confusion and protests when travelers were detained, or sent back with almost no warning from US airports.

In some airports, the immigration line for US citizens was longer than the one for non-citizens. How can intelligent people not think any of this through? It’s clear from the long lines that there was zero planning for this policy’s implementation.

Trump has failed AGAIN.

It’s likely this clusterfuck will speed disease transmission rather than not having a travel ban at all. This is another example of “we’ve gotta do something”, and they settle on an action that exacerbates the problem!

Second, what kind of crazy, messed-up world do we live in where the most reliable information about the coronavirus comes from anyone but the government? Where Rep. Devin Nunes (R-CA) tells everybody to go out to a restaurant, when the NIH’s Dr. Anthony Fauci is saying just the opposite?

Or, take Republican candidate for the Nevada Clark County School District Board of Trustees, Katie Williams. Williams is a former Ms. Nevada who was recently stripped of her title for posting political content supporting Trump on social media. She also ventured into pandemic denial when she tweeted this reply to Alexandria Ocasio-Cortez:

“This is America, and I’ll do what I want” = “I’m too selfish to do anything that doesn’t benefit me.” Paul Campos puts his finger on the problem of 21st Century peak Republican asshole:

“The COVID-19 crisis is a classic collective action problem. Stopping it from overwhelming the nation’s health care system so that it causes hundreds of thousands or even millions of preventable deaths requires people to act as if society actually exists, and to recognize that the fact that they themselves may face a relatively low mortality risk is irrelevant to the much higher risk faced by the tens of millions of their fellow Americans.”

Expecting Americans in general, and Republicans in particular, to voluntarily engage in the kind of behavior that’s important for the greater good is not only unrealistic, it’s foolhardy.

Back to Williams: Can you imagine Nevada parents wanting one of the most selfish people in America on their kids’ school board?

Time to wake up America! As John Pavlovitz says:

The bill for MAGA has come due, Trump supporters.

It’s time to pay up.

The deferred invoice for you selling your souls is here….

This President didn’t create this virus,
but he ignored it,
denied it,
minimized it,
joked about it,
weaponized it,
politicized it,
exacerbated it.

To help you wake up, listen to King Crimson’s “Epitaph”, from their 2018 live album, “Radical Action”. The vocalist is Jakko Jakszyk:

Sample Lyric:

Confusion will be my epitaph
As I crawl a cracked and broken path
If we make it, we can all sit back and laugh
But I fear, tomorrow, I’ll be crying
Yes, I fear, tomorrow, I’ll be crying
Yes, I fear, tomorrow, I’ll be crying

Those who read the Wrongologist in email can view the video here.

Facebooklinkedinrss

Sunday Cartoon Blogging – March 15, 2020

This news should hit America like a hammer:

We started seeing Coronavirus on the same day, but we diverged almost immediately. One country effectively managed the crisis, the other not so much. The South China Morning Post reports:

“With about 8,000 confirmed cases and more than 65 deaths, it was until recently the country with the most confirmed cases outside China – but South Korea has since emerged as a source of inspiration and hope for authorities around the world as they scramble to fight the pandemic…..

By carrying out up to 15,000 tests per day, health officials have been able to screen some 250,000 people – about one in every 200 South Koreans – since January.”

In South Korea, they text the results to you on the next day, and it’s free. We may never see either of those things become a reality.

America has tested a total of about 4,900 people (we think), since authorities are unable (unwilling?) to confirm the exact number of tests that have been carried out.

Seoul’s handling of the outbreak emphasizes transparency, and relies heavily on public cooperation in place of hardline measures such as lockdowns. But America is exceptional, right? Trump said this a few days ago:

“So much progress has already been made, especially when you compare it with other places.”

Rather than follow the lead of our ally, South Korea, Trump seems to have picked the North Korean approach of downplaying and cover ups. What a genius. On to cartoons.

The world we’re living in:

A strategy that isn’t working for us:

The supposed best system is failing us:

Lyin King will close in November:

Empty suit equals empty shelves:

Our new world:

Harvey’s heading to his new pen:

Facebooklinkedinrss

Saturday’s (No) Soother – March 14, 2020

The Daily Escape:

Mt. Pavlov and Pavlov’s sister, the Aleutians, AK – Pavlov is the most active volcano in the US. Hat tip: Ottho H.

We’re crossing a threshold between what we knew about public health, toward an unseen future. There’s no certainty about what that future will look like. As important as it is to remove Trump, his incompetence has made his removal our second national priority. He’s made beating the Coronavirus our number one priority.

This has a domino effect: We don’t just have a national health emergency, but soon, a recession. So many things cancelled. So much commerce deferred, and for how long? Think about how many working people are/will be out of work due to postponements and cancellations, due to small companies closing. Due to illness of family and deaths of loved ones.

Widespread illness is showing the cracks in our health care delivery system: In early January, America was among the best-prepared nations for an epidemic. Our large number of ICU beds, plus our stockpiles of drugs and medical equipment, made us the envy of many nations.

And we took an early lead: On January 6, the CDC issued a Level 1 travel watch for China. On January 7, the CDC established a 2019-nCoV Incident Management group. On January 8, the CDC began alerting clinicians to watch for patients with respiratory symptoms and a history of travel to Wuhan. On January 17, the CDC issued an updated interim Health Alert Notice (HAN) Advisory to inform state and local health departments and health care providers about this outbreak. We began screening passengers on flights from Wuhan to five major US airports.

On January 31, Trump announced blocking of entry of Chinese nationals and mandatory quarantines on US citizens who returned from affected parts of China.

Since then, we’ve had inaction and mistakes by the FDA and CDC, including screwing up the provision of desperately needed tests. Even now the CDC and FDA say there’s an inadequate supply of reagents used in the tests, a bottleneck that should have been dealt with in January.

Organizations require strong leadership. That allows established process and procedures to rule in an emergency. That’s why we need good elected leaders in charge of the experts. Today, it’s the other way around. This is inexcusable.

Here’s a thought about one of the detestable people who helped bring us to this new threshold between where we were, and where we’re going: Sen. Susan Collins (R-ME). In 2009, she singlehandedly removed $870 million in pandemic funding from the economic stimulus package:

From Grunwald’s tweet:

“Collins also deleted the pandemic flu preparations as a nonstarter”

Stop saying that Sen. Collins is a reasonable Republican. She’s proven time and again she’s not. It’s possible that there may not be any reasonable Republicans left. Please donate to Collins’s opponent, Democrat Sara Gideon.

Finally, haven’t we had enough of the lying and purposeful misinformation spewed by Trump? Eric Boehlert has a great idea: The media and the rest of us should stop listening to Trump:

“The President of the United States is actively endangering the American public, and at what point does the press decide that dutifully broadcasting Trump’s misinformation is not in the nation’s best interest. At what point does the press unplug Trump for the good of the country?”

His forum should be restricted to only FOX news. There is no reason to have presidential debates, since no fact-checking organization, much less any citizen, can keep up with Trump’s lies and misstatements. Sure, the GOP will complain that Biden (or Sanders) are chickens, that they’re too old to match wits with Trump. But the truth is, Trump should be denied a forum when and wherever possible.

He hasn’t earned being normalized by the rest of us. And don’t say we should respect the office – he doesn’t.

We need only one point to prove this: Trump did not push to do aggressive Coronavirus testing because more testing might have led to more Coronavirus cases being discovered. Trump made it clear the lower the numbers on Coronavirus, the better for him and his re-election this fall.

That disqualifies him.

Here’s a little tune to help you through the weekend. It’s “Enjoy Yourself (it’s later than you think)” by Jools Holland, The Specials, Hozier, Rhiannon Giddens and others performed in 2015:

And it IS later than you think! Those who read the Wrongologist in email can view the video here.

Facebooklinkedinrss

Trump Shows No Leadership on the Virus

The Daily Escape:

Sunrise, Mesa de Anguila, Big Bend NP, TX – 2020 photo by pierceingramphotos.  

Trump spoke from the Oval Office about the pandemic on Wednesday night. It left most of us puzzled regarding whether our government is capable of more than a banana republic response to our public health crisis.

Trump offered no top-level guidance or policy, and no explanation for why testing remains largely unavailable. He issued vague promises of loans for businesses and tax deferments to individuals soon to have no jobs or incomes to tax.

Health care support for victims? Nada.

He labeled the Coronavirus a “foreign virus”. Several GOP Congresscritters are calling it the “China Virus”. What are Republicans trying to accomplish with this reframing?

His 30-day travel ban from Europe is a stop-gap way to wall off America from certain infected foreigners. Remember that in February, he did the same thing with China. He announced his European ban while saying it would not apply to the UK, where the virus has an established foothold. It also doesn’t apply to South Korea, which has the largest number of infections outside China. Again, what’s his point?

We hoped for a significant statement about controlling the spread of the virus in the US, but there was nothing. And since that was ostensibly the point of his little talk, it indicates that he either doesn’t know how to control the spread of the virus inside the US, or, doesn’t think that kind of program would help to keep him in office after November.

From Charlie Pierce:

“You knew it was all going to go terribly wrong in the first few sentences when the president* referred to the source of the pandemic as “a foreign virus”—This is the most aggressive and comprehensive effort to confront a foreign virus in modern history….the claim was as false as it was stupid. As the Washington Post helpfully points out, the administration*’s response to this outbreak has been to deny it, ignore it, downplay it, and now to use it as an excuse to ram through some tax cuts, a form of antibiotics that Joseph Lister never thought of.”

More tax cuts? Perhaps the one takeaway from the past two weeks, and from Trump’s Oval Office speech, is this:

“All the King’s tax cuts for all the King’s men
Won’t keep the Coronavirus from coming in”

People were expecting Trump to declare a national emergency but he didn’t, because he’s in a quandary. He doesn’t want to declare it despite the fact that we’re already in one. It would make a lie of his talking points that there’s nothing to worry about.

But remember last year, when he stirred up emotions about “an invasion of our country with drugs, with human traffickers, with all types of criminals and gangs“? He was happy to declare a National Emergency to get some of his wall built.

Emergency to stop immigrants? Sure. Emergency to save American lives? I’m thinking….

Here’s a long quote from David Frum:

“This crisis is not of Trump’s making. What he is responsible for is his failure to respond promptly, and then his perverse and counterproductive choice of how to respond when action could be avoided no longer….No American president, and precious few American politicians, have ever pointed so many fingers or hurled so much abuse as Donald Trump. What he means, of course, is: Don’t hold me to account for the things I did.

But he did do them, and he owns responsibility for those things….

More people will get sick because of his presidency than if somebody else were in charge. More people will suffer the financial hardship of sickness because of his presidency than if somebody else were in charge. The medical crisis will arrive faster and last longer than if somebody else were in charge. So, too, the economic crisis. More people will lose their jobs than if somebody else were in charge…More savers will lose more savings than if somebody else were in charge. The damage to America’s global leadership will be greater than if somebody else were in charge.”

Let’s close with Tom Sullivan:

“The only saving grace in this graceless, classless, heartless presidency is that this virus may end it…”

However, only if Biden wins in November.

Trump and the Republicans who enabled him in order to get their tax cuts and judges, must go.

Facebooklinkedinrss

Biden’s Win and Trump’s Economic Stimulus

The Daily Escape:

This week’s Supermoon over Three Fingers, WA – March 2020 photo by Alpackie

Today we’ll talk superficially about two topics. First, a quick take on Tuesday’s Democratic primary, and second, about whatever it is Trump is cooking up with Republicans as an “economic stimulus” in this time of Coronavirus and stock market volatility.

Here’s Jameson Quinn with a pithy summary of the primary:

“Right now, the best-case scenario is that Joe Biden will be the next president of the USA; the worst-case is that Trump is the last one. That is to say, we will have a choice between a guy whose primary campaigns twice flamed out from self-inflicted errors and who, the day he takes office, will be the oldest president the country has ever had; and a narcissistic, mobbed-up reality television star whose platform is focused on his core base of racists, trolls, and racist trolls.”

But how do you really feel?

That said, Wrongo was always for Elizabeth Warren, but now, that door has closed. Wrongo like many others, overestimated the importance of competency and policy. Most people don’t read policy papers, and they knew that Biden had been Obama’s VP. That was enough to get them to vote for Biden.

People make their voting decisions based on things like personality, perceived connection to their tribe, perceived electability and an “X” factor, vague trust in a candidate’s judgment. Would Biden be a good president? Who really knows?

Moving on to Trump’s economic stimulus: It isn’t surprising that Trump promises some more corporate socialism and the stock market likes it. And it isn’t surprising that no one in the media notices that the Party of Obama Derangement Syndrome had zero concerns about debt/deficits once Orange became the new black.

But, rather than proposing tax cuts, good policy starts with identifying the problems:

  1. Sick people: They require costly medical care. Many can’t afford it, even if it’s available, and even if they have insurance.
  2. Unemployment: Unemployment will rise. Sick people without sick leave will lose their jobs. Businesses will have less revenue.
  3. Goods shortages: Much of our goods come from China, including medical supplies and drugs. Trade has already been disrupted, and it will get worse. Italy finds it needs thousands of ventilators, and China is supplying them.
  4. Childcare: Schools and daycare centers are closing, and working parents are in a jam. Worse, parents will be hospitalized with no care arranged for their kids.

Tax cuts won’t address these problems. Most sick people don’t have much income, so tax cuts won’t matter to them. Unemployed people won’t have income either. The idea that the government can wall off the economic impacts of a virus-caused recession is correct. Once the economic slowdown spreads, the right kinds of government programs could soften the blow.

Here’s Wrongo’s prescription for Trump and Congress:

  • No bailouts for any industry
  • Targeted financial help for hospitals and the health care sector
  • General financial relief paid directly to workers and families

America’s businesses and capitalists had a fantastic decade. Let them and their rich executives weather this economic downturn on their own.

Trump’s people floated the idea of a push back of the April 15 Tax Filing Deadline. This does nothing for people, and shows just how little the administration is prepared to do.

Trump’s suggestion of a payroll tax cut is also misplaced. It’s been tried in the past, including by Obama. But tax cuts are less effective than simply providing lump-sum payments to families below a certain income threshold.

Also, payroll taxes are the primary source of funding for Social Security and Medicare. So this opens the door to another GOP stealth attack on Social Security. Trump has already said he plans to cut Social Security if reelected.

Jason Furman, Obama’s head of the Council of Economic Advisers, proposed an immediate, one-time payment of $1,000 to every adult, plus $500 for every child. Such payments would help cover rent, food and other costs, without a large administrative burden of trying to determine who got sick, or who lost work due to the Coronavirus.

Furman’s proposal would add up to $350 billion. The right wing will say no financial stimuli for Joe Sixpack. Those things must be paid for.

But Trump thought it was fine to dig a $ trillion hole in the budget for an unnecessary tax cut during good economic times.

What we need now is urgent. It requires smart, humane, and energetic action.

Facebooklinkedinrss