Monday Wake Up Call – April 3, 2023

The Daily Escape:

Just when you thought it was only a meme: The beer is tasty – April 2023 iPhone photo by Wrongo. You may not know that there is a “Florida Man Birthday Challenge” web site. (Hat tip to Amy DeP-O). Wrongo is born in December. Of the many December Florida man entries, Wrongo’s favorite is: “Florida Man says aliens have landed, burns down house stocked with flamethrowers and ammo.”

It was a rental property…

We’ve been here in the land of the anti-woke for a few days. No one in our family openly talks politics, so  we just enjoy the fabulous food. But you’re aware that Trump was indicted by the NYC DA. You have probably heard that Trump said:

“Manhattan DA Alvin Bragg, who was handpicked and funded by George Soros, is a disgrace.”

That led to some research. But it’s no secret. The NYT reported that Soros has put money behind electing reform-minded prosecutors like Philadelphia’s Larry Krasner and Manhattan’s Alvin Bragg. But he doesn’t fund them directly. His foundation donates to organizations that do field work like Color for Change. This isn’t any different from the right-wing billionaires who support right-wing organizations, issues and candidates.

So, when critics of Alvin Bragg say that he is backed by Soros, it should be similar to when critics say Republican politicians are backed by the Koch Brothers or the late Sheldon Adelson.

But bringing up George Soros feels different. The reason for vilifying Soros is rarely spelled out. You get general descriptors, like he’s a “globalist.” Of course, Soros IS Jewish, and the charge that rich Jews try to control the world for their own mysterious and nefarious reasons is an old and dangerous trope on the right. But Sheldon Adelson, who backed many Right-wing Republicans, including Trump was also Jewish.

Some say that people who mention Soros are anti-Semitic, and some probably are. Yes, he’s indirectly funded Bragg, but is Bragg doing something that wouldn’t have happened anyway? How exactly is Soros pulling Bragg’s strings? And why is Soros in more control of politicians he donates to than are donors on the right?

There’s zero indication that Bragg is bucking popular opinion to do the bidding of a Jewish billionaire, which is something you can’t say about many, many NRA-backed politicians.

The thing that impresses Wrongo the most is that while George Soros isn’t small potatoes on the billionaire list, the right-wing thinks he’s able to pay off millions of people, start revolutions, and influence deep states in dozens of countries without going broke.

Virtually every Republican politician has stood up for Trump, saying he’s the victim of a political witch hunt. Ron Brownstein lays out the Republican’s dilemma:

“The dilemma for the Republican Party is that Donald Trump’s mounting legal troubles may be simultaneously strengthening him as a candidate for the…presidential nomination and weakening him as a potential general-election nominee.”

It’s going to get worse for the GOP, since it’s highly likely that this is only the beginning of Trump’s legal troubles. There are possible charges from Fulton County, Georgia’s District Attorney Fani Willis. She has been examining Trump’s effort to overturn the 2020 election results in her state. There are also the twin federal probes led by Special Counsel Jack Smith into Trump’s mishandling of classified documents and his role in the Jan. 6 effort to block Congress’s certification of the 2020 presidential election.

So, while Trump may lock up the primaries without difficulty, the recent NPR/PBS Newshour/Marist survey shows that 61% of Americans—including 64% of independents and 70% of college-educated white adults—said they did not want him to be president again.

That result was similar to the latest Quinnipiac University national poll, which found that 60% of Americans do not support Trump’s “Make America Great Again” movement.

The challenge for the GOP is that about 80% of Republicans said they consider themselves part of the MAGA movement, and about 75% say they want him back in the White House. That means he will be the nominee, but not the next president.

Brownstein quotes Bryan Bennett, director of polling and analytics for the Democratic polling consortium that conducts the Navigator surveys:

“For the GOP to bet that Trump could overcome swing-voter revulsion over his legal troubles and win a general election by mobilizing even more of his base voters….seems to me the highest risk proposition that I can imagine.”

Time to wake up America! There’s nothing to be gained by letting the media, the GOP or Trump spin you up with irrelevant issues. Soros is just another wealthy white guy who wants to see change he can believe in.

To help you wake up, watch and listen to Larkin Poe cover a Son House tune, “Preaching Blues”. Eddie House was a troubled man. He grappled for years with the seeming incompatibility between his growing love of the blues and his teenage desire to be a Baptist preacher:

Sample Lyric:

I’m gonna get me some religion
I’m gonna join the Baptist church
I’m gonna get me some religion
I’m gonna join the Baptist church
Gonna be a preacher
So I don’t have to work

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Another Bank Bailout!

The Daily Escape:

Pronghorn in Las Cienegas National Conservation Area, AZ  – March 2023 photo by Alan Nyiri Photography

More about the Silicon Valley Bank (SVB). A joint announcement by Treasury Secretary Yellen, Fed Chair Powell, and FDIC Chairman Gruenberg said:

“After receiving a recommendation from the boards of the FDIC and the Federal Reserve, and consulting with the President, Secretary Yellen approved actions enabling the FDIC to complete its resolution of Silicon Valley Bank, Santa Clara, California, in a manner that fully protects all depositors. Depositors will have access to all of their money starting Monday, March 13…”

This appears to be the mechanics of the bailout:

  1. The Fed gives money to the FDIC as needed.
    2. The FDIC makes all deposits available on Monday. Not just those that are FDIC-insured.
    3. The FDIC then sells the assets of the banks, which will take time.
    4. The difference between the cost of bailouts and the net proceeds from the asset sales is the actual amount the FDIC will have lost.
    5. The FDIC will charge all other banks a “special assessment” to cover the losses.
    6. The FDIC will then pay the Fed back with the special assessment funds it collects.

Much about this makes Wrongo’s blood boil. We have a well-defined regulatory system for the US banking industry. But, as with our lax regulation of train traffic that resulted in the Norfolk Southern accident in East Palestine, these pesky banking regulations were considered a major impediment to Mr. Market.

Regional banks argued that they shouldn’t be held to the same standards as the biggest banks because if they failed, they wouldn’t pose systemic risks to the banking industry or the nation.

So in 2018, Dodd-Frank was amended by the Trump administration to raise the asset threshold at which a bank would be considered “too big to fail” from $50 million to $250 billion. The 2010 original law required that banks considered systemically important keep more capital on hand, undergo stress tests and produce a “living will” that would provide for their orderly dissolution.

But now five years later, the FDIC says that SVB and Signature Bank in NY really do pose a systemic risk to the banking system! The regulators are saying that the threat of a systemic risk gives them the authority to hold all SVB depositors harmless, even if their deposits exceed the current FDIC maximum of $250,000.

Few if any average Americans have $250,000 in a single bank account. Who has bank accounts above $250,000? Corporations.

The FDIC insurance on deposits is meant to assure retail customers, not companies that hold very large balances. Why? Because companies have the ability to perform their own risk analysis. This risk analysis should force them to ask questions about the business practices of the bank, to make sure the bank will properly manage their assets.

The US is going to protect the deposits of corporations in this bailout despite the fact that there’s a product called “Insured Cash Sweep” that cuts your large deposits into pieces that are FDIC insured (i.e. $250k each). In the event of a bank run, those deposits would not be over the limit, so they would be safe.

But, for reasons unknown, the Silicon Valley Venture Capital masters of the financial universe didn’t deign to use it.

American capitalism remains a system that privatizes profits until shit happens. And then? We socialize the losses, meaning it’s up to the federal government and taxpayers to handle the problem. When Biden says the banking system will pay fees via a special assessment, that means the cost will ultimately be paid by depositors and borrowers through higher fees and interest costs.

This is why people have so little faith in our government.

The very serious people in finance and politics were worried that the 2023 version of the US banking system might be close to another 2008-style collapse. So the Treasury, Fed and FDIC had to step in.

The basic problem relates to what’s called “asset management” in the banking biz. The goal of asset management is to maximize the return of the bank’s investment portfolio while maintaining an acceptable level of both liquidity and risk.

For banks, that means keeping a certain amount of cash available to meet the needs of depositors and investing the rest in loans or bonds. SVB invested in long-term bonds in order to realize better returns on their investment portfolio, because short-term interest rates were very low. They, like others, felt it was necessary to maintain a portfolio of higher yielding assets to offset the low market rates generally available to them.

But when mass withdrawals from depositors started to happen, they had to sell bonds at a loss, ultimately leading to default and FDIC takeover. Wasn’t it the job of the SVB executives to foresee this? And adjust their asset management accordingly?

This seems to mean that the $250,000 FDIC limit has effectively gone away. If true, there’s systemic risk that taxpayers will have to bail out bank deposits with uninsured deposits at any bank. Most of those depositors will be corporations. So, new rules must be written. And until then, we’re in trouble.

The big picture is that very few people of means in America ever pay a price for bad management.

And none go to jail.

Average Americans who get caught cheating on their taxes might go to jail if you were represented by an overworked public defender. But if you had the means to hire a high-priced lawyer, most likely, you will get community service, or probation.

It’s never been a fair system. Back in the 2008 Great Financial Crisis, then-Treasury Secretary Timothy Geithner worked to save his banker cronies; they didn’t lose money. They didn’t go to jail. The economy was saved, but no one who profited from blowing it up paid a price.

The bottom line: If I’m bad at my job, I’ll get fired. If these bankers are bad, they may get rescued by the government.

And one way or another, we’ll be paying for it.

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Monday Wake Up Call, Diplomacy Edition – March 13, 2023

The Daily Escape:

Wildflower bloom, Peridot Mesa on the San Carlos Reservation, AZ  – March, 2023 photo by Sharon McCaffrey

China has brokered an agreement between Iran and Saudi Arabia to re-establish diplomatic relations. The agreement, reached after four days of talks with senior officials in Beijing, may ease tensions between the two Middle East powers after seven years of fighting a proxy war in Yemen. In the war, Saudi Arabia has supported Yemen’s government and Iran has backed the opposition Houthis.

Both Iran and Saudi Arabia announced they will resume diplomatic relations and open up embassies once again in their respective nations within two months, according to a joint statement.

Saudi Arabia is Sunni Muslim while Iran is a Shiite Muslim country. Saudi broke off relations with Iran in 2016 after protesters stormed the Saudi embassy in Tehran. The protests followed the Saudi execution of a Shiite Muslim cleric, Shia preacher Nimr Baqr al-Nimr. Al-Nimr had earlier spent 10 years studying in Tehran.

News of the diplomatic breakthrough came as a surprise to the US and to Israel. It was also a diplomatic and political success for Beijing. Here are some of the winners and losers in this.

The winners:

  • Iran, now with Russia, China and Saudi as allies, may be able to break the US sanctions.
  • Saudi Arabia has distanced itself even further from the US. It may now be able to end its involvement in the war in Yemen.
  • China, by outplaying the US. China’s success in achieving is recognition of its growing status in global politics.
  • Iraq and Syria will become more influential Middle East players as Saudi and Iran move to end their rivalry.

The losers are:

  • Israel, and specifically Netanyahu. For years, his twin foreign policy goals have been the isolation of Iran and the normalization of ties with Saudi Arabia, which has never recognized Israel. Also his efforts to pull the US into a war with Iran is now even more unlikely.
  • The US for being outplayed on a playing field it used to dominate. And for losing more global prestige to its rival China.
  • The Emirates for losing some political influence and also losing some of its sanctions busting trade with Iran.

Wrong thinks this could be a big geopolitical deal. It may bring peace or at least, an absence of war in Yemen. It is also a bold example of using diplomacy as a tool of national power. That’s a good reminder since the US has been mainly thinking about the war in Ukraine (and the threat of war in Taiwan). Our global focus has been on military power and economic sanctions.

The Ukraine war has led to a revival of the NATO alliance. This, along with the strengthening of European relations are diplomatic accomplishments. But since the start of the war, US global diplomacy has been directed at jawboning the third world into agreeing to the sanctions regime against Russia.

So China’s use of diplomacy to deliver a breakthrough agreement between Saudi Arabia and Iran makes the US efforts look small and foolish. The NYT quotes Daniel C. Kurtzer, a former ambassador to Israel and Egypt:

“It’s a sign of Chinese agility to take advantage of some anger directed at the United States by Saudi Arabia and a little bit of a vacuum there….And it’s a reflection of the fact that the Saudis and Iranians have been talking for some time. And it’s an unfortunate indictment of US policy.”

After Trump killed the Iran nuclear deal in 2018 and reimposed heavy economic sanctions on Iran, Iran moved to deepen its relations with Russia and now with China. Tehran has provided drones for Russia to use in its war in Ukraine, making it an important partner for Russia.

Now, by turning to China to mediate with the Saudis, Iran has elevated China in the region, while Israel finds its hopes for an anti-Iranian coalition with Saudi Arabia dashed. Is the looming axis of Iran and China a direct threat to the US? Probably not, but the balance of power in the region is changing.

We’ve spent decades in various wars in the Middle East, at a cost of more than $8 trillion. We tried showing the Middle East that strength came from military might. But China is showing the Middle East that you can win both the diplomatic and the economic battle without firing a bullet. Who knew?

Their approach to the Middle East is more constructive than America’s. China, like the US, has an agenda. But it has committed to building 1000 schools in Iraq; a country we “helped” by invasion.

Time to wake up America! The world is now challenging America’s heavy-handed unilateralism. We may be seeing the start of a post-America Middle East. To help you wake up watch and listen to Marcus King and Stephen Campbell of the Marcus King Band perform the 1966 Merle Haggard tune “Swinging Doors” at Carter Vintage Guitars:

Sample Lyric:

And I’ve got swinging doors, a jukebox and a bar stool
My new home has a flashing neon sign
Stop by and see me any time you want to
Cause I’m always here at home till closing time.

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Sunday Cartoon Blogging – March 12, 2023

Let’s talk about Silicon Valley Bank (SVB). The tech industry’s go-to lender just became the second-largest bank failure in US history. The bank’s customers withdrew $42 billion from their accounts on Thursday. That’s $4.2 billion an hour, or more than $1 million per second for ten hours straight.

We ancient, moss-covered former bankers call this a bank run. That occurs when a large number of customers of a bank withdraw their deposits simultaneously over concerns about the bank’s solvency.

Nearly half of all venture-backed US companies were SVB customers. We’re unsure why the run started, but on Thursday, several Venture Capital firms started telling their client companies that pulling cash from SVB was prudent, and the run began.

While bank deposits are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000, few of SVB’s deposits, by value, were FDIC insured, since its customers were overwhelmingly corporations with much more than $250,000 in the bank. By Friday, there was no cash left in SVB’s coffers. In fact, the cash on hand was negative, to the tune of $958 million.

Do you remember when Trump and Republicans rolled back some of the regulations Dodd-Frank placed on regional banks?:

“Some banking experts on Friday pointed out that a bank as large as Silicon Valley Bank might have managed its interest rate risks better had parts of the Dodd-Frank financial-regulatory package, put in place after the 2008 crisis, not been rolled back under President Trump.”

Trump signed the bill despite a report from Democrats on Congress’s joint economic committee warning that under the new law, SVB and other banks of its size:

“…would no longer be subject to nearly any enhanced regulations”.

This also affects ordinary people. Wrongo has a California friend who banks with SVB. Here’s a quote from her:

“While I’ve been waiting to sign the purchase contract on a condo, I woke to the news that my lender Silicon Valley Bank has been closed and taken over by regulators. That concludes literally 8 months of working on this….and the end of my effort to buy a home.”

So don’t listen to the pleas for another bank bailout. Wrongo would be okay with bailouts if they were accompanied by personal accountability by management. Like, we’ll rescue your institution, but none of the bank senior management can ever work in finance again. On to cartoons.

Tucker’s mendacity:

It takes two teams to play:

Walmart’s OK with pills for boners, but not for pregnancy:

GOP wants to regulate Trans not Trains:

GOP loves doormats:

Most appropriately named movie of this or any year:

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New Legal “Doctrines” Help Supreme Court Push Farther Right

The Daily Escape:

Sunset, midtown Manhattan viewed from the Williamsburg Bridge – March 2023 photo by Mike Davis

Plenty of ink has been scrawled or printed describing how the Supreme Court (SCOTUS) has navigated its way into being the supreme executive branch of our government. The SCOTUS has long been a bastion of Conservative thought in America, but since gaining its 6-person supermajority, we’re seeing them bring forward novel legal concepts to help move decisions towards the Right’s agenda.

The best example is the Court’s majority creating new “doctrines” to help deliver rulings that their clients on the Right argue for. Prior to embracing “the major questions” doctrine and the “Independent state legislature” doctrine, Conservative members of the court used to insist on “textualism” to achieve their goals. Textualism says that when interpreting the Constitution, judges should confine themselves only to the words of the Constitution. Originalism says that if the words are unclear, then judges need to consult historical sources to determine their meaning at the time of ratification.

But we’re now seeing cases where a statute’s words aren’t delivering a decision that the Supremes are aiming for, so using these new doctrines give them a pretext for breaking their own rules.

That’s how they blew up the EPA’s Clean Power Rule. Eight months ago, SCOTUS first invoked the “major questions doctrine” in a majority opinion, using it to limit the Environmental Protection Agency’s power to address climate change.

Last week, the court seemed ready to use it again, to kill  Biden’s proposed student loan relief. More on the new “doctrines” from the NYT’s Adam Liptak: (brackets by Wrongo)

“On the last day of the 2021-22 Term, the Supreme Court handed down a decision on “the major questions doctrine” and [agreed] to hear a case presenting “the independent state legislature doctrine” – neither of which had been called “doctrines” there before.”

The rationale behind the major questions doctrine is the contention by the Justices that the agencies must receive explicit direction from Congress to address a particular issue if action by the agency is of political or economic significance. Conveniently, this “doctrine” gives the Court’s Conservative supermajority a tool to achieve their preferred outcomes when textualism doesn’t get them there.

Liptak quotes Allison Larsen, a law professor at William & Mary:

“The phrase was used just once by any federal judge before 2017, and in only five federal decisions — at any level of court — before 2020,”

But you guessed it, the turning point in 2017 was when Justice Brett Kavanaugh, then a judge on the US Court of Appeals, used the term in a dissent. More from Professor Larsen: (brackets by Wrongo)

“[Using] the word ‘doctrine’ to describe the major questions concept was first used by law professors and then bandied about on blogs…and used as a rallying cry in opinion pieces and programming by those seeking to challenge the administrative state….In 2016 — long before it was anointed a ‘doctrine’ by the Supreme Court — the ‘major questions doctrine’ was featured by name in the annual Federalist Society conference,”

Interestingly, at Kavanaugh’s Supreme Court confirmation hearings, Sen. Amy Klobuchar (D-MN) asked him about the doctrine, calling it “something else that you (Kavanaugh) came up with.” Liptak reports that Kavanaugh responded vaguely that the “major questions doctrine is rooted in Supreme Court precedent.”

In his 2017 dissent, Kavanaugh conceded that “determining whether a rule constitutes a major rule sometimes has a bit of a ‘know it when you see it’ quality.” That’s some real Wavy Gravy right there.

Back to the EPA case: Chief Justice Roberts wrote that the Court’s use of the term was unexceptional:

“It took hold….because it refers to an identifiable body of law that has developed over a series of significant cases all addressing a particular and recurring problem: agencies asserting highly consequential power beyond what Congress could reasonably be understood to have granted.”

Turning to the student loan debt relief case, in the oral arguments, Roberts argued that since loan relief is expensive, it must be authorized by Congress. But as Justice Elena Kagan said in the same oral argument, “Congress could not have made this much more clear, adding, “We deal with congressional statutes every day that are really confusing. This one is not.”

Welcome to 2023, where when cases come out the way the Conservative justices want, it’s just fine. But if the legal text gets in the way, the “major questions doctrine” allows them to make the explicit text disappear because they’re willing to engage in bad faith readings of statutes to get the job done.

So much for the rule of law.

If under a Republican president, when the Supremes need to find a sweeping executive branch authority to justify a Conservative wet dream policy, they’d find it without even a whiff of self-reflection.

Will we ever make up the ground now being lost to the decisions by these ideologues?

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There Are No Partisan Facts

The Daily Escape:

Roaring Mountain, Yellowstone NP – January 2023 photo via Yellowstone NP. The steam vents are called fumaroles. With a limited water supply, the water in steam vents turns to steam and makes noise before reaching the surface.

Today let’s delve into the right-wing mind. Sadly we can’t go in too deep, because you know. Wrongo will try to connect the dots on a few ideas that three interesting people wrote about last week, First, the headline in Phillip Bump’s piece in the WaPo:

“There’s actually only one conspiracy theory: Democrats are evil.”

He’s writing about all of the online conspiracy theories surrounding the hammer attack on Paul Pelosi, and then generalizes from the specific:

“Last year, Pew Research Center found that 1 in 8 Republicans (12.5%) liked it a lot when their leaders called Democratic leaders “evil.” Another 16% said they liked it a little.”

So, 28.5% of Republicans think Dems are mostly evil. Bump offers the long laundry list of Democrat conspiracies propounded by Republicans.

  • For example, the 2020 stolen election shows that Democrats are dishonest and will do anything to retain power.
  • The “deep state” is out to get Trump and the Republicans. This leads to demonizing the FBI and CIA as liberals out to get Trump. This year, we can add the National Archives who just wanted their secret documents back.
  • These conspiracies have led the new Republican House majority to create a committee to look at weaponization of the FBI, DOJ and other agencies against Republicans.

Next, let’s look at recent polling on the economy. Matt Yglesias provides two charts that show the US partisan divide on the economy. First is how Democrats view their family’s economic situation over the past 8 years:

On Election Day (ED) 2016, 50% of Democrats said their family’s situation was about the same. On ED 2020, 50% said it was the same. After two years under Biden, it was 52%, so no change. On ED in 2016, about 32% of Dems said their financial situation had gotten better. That fell to about 10% by ED 2020 and is now about 23%.

Contrast that with what Republicans think now and what they thought on Election Day 2016:

From ED in 2016 when Trump won the White House until ED 2020 when he lost it, the percentage of Republicans who thought their financial situation was about the same went from 45% in 2016 to 55% on ED 2020, meaning that they were pretty satisfied with the state of the overall economy. But with Biden, that dropped precipitously to 21% in just two years.

Republicans who thought their personal financial situation had gotten worse stood at 47% in 2016, and just 10% in 2020. But in January of 2023, after two years of Biden, 74% say their financial situation has gotten worse!

But what really happened with the economy? Paul Krugman has thoughts about what we learn from watching only cable news: (brackets by Wrongo)

“Would you know that real gross domestic product has risen 6.7% under President Biden, that America gained 4.5 million jobs in 2022 and that inflation over the past six months, which was indeed very high last winter, was [growing at] less than 2% at an annual rate?”

How does Krugman explain the disconnect between actual economic data and perceptions? More:

“Partisanship is clearly part of the story….. 90% of Republicans said the national economy was poor. A longer view, from the Michigan Survey of Consumers, finds Republicans rating the current economy worse than they did in June 1980, when unemployment was above 7% percent and inflation was 14%.”

Welcome to the United States of Cognitive Dissonance.

There always has been cognitive dissonance in the world. It’s part of being human. But today, people sincerely love to complain and persist in wanting to see the bad side of everything. Egg prices are up? This economy sucks. All that Americans seem to be capable of seeing is the downside.

The country Wrongo grew up in is still here, but its culture has changed. As a member of the Silent Generation, Wrongo and most others wouldn’t have bet against the USA, or its people. But today, we can’t be certain. This dumbing down of American citizens has happened in rapid and spectacular fashion, and the fact-free perception divide is weakening our institutions. This will be extraordinarily difficult to bridge.

Wrongo has no silver bullet for fixing this, but a very basic way to start is to read up on the big problems. Speak up whenever you hear bullshit spewing. That takes courage, but it can’t go uncontested.

Attend your town meetings. Join groups that sponsor educational exchanges on issues. And vote. Vote in every election no matter how trivial.

Wrongo lives in a semi-rural town. When he overhears political talk, it can be staggering to learn what some otherwise smart people believe.

We don’t have to convert all of them, maybe getting 10% to land on the side of the actual data would create a permanent change in our politics.

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Citizen GenĂȘt

The Daily Escape:

Sunrise, after 10 inches of snow, Haywood County, NC – 2023 photo by Todd Roy

Over the holidays, Wrongo read “Dr. Benjamin Rush: The Founding Father Who Healed a Wounded Nation” by Harlow Giles Unger. Rush was a signer of the Declaration of Independence. And he was a social reformer almost before America had a unified society.

Rush treated both the poor and Blacks, even while struggling to attract paying patients. He was the first American physician to treat mental illness as a disease rather than as criminal behavior. And he served as surgeon-general of the Continental Army’s so-called Middle Department that included Pennsylvania. So he got to see Washington’s army at Valley Forge in the worst of times.

Today, let’s focus on an important moment in American history that occupies only a few pages of Unger’s book. You may have heard of Edmond-Charles (Citizen) GenĂȘt. He became France’s ambassador to the US during George Washington’s second term.

On February 1, 1793, the French Revolutionary government ordered the execution of King Louis XVI and then declared war on Britain. Britain responded by blockading French ports and seizing American and other country’s ships heading for those ports. Britain also impressed hundreds of American seamen, forcing them to work on British ships.

France responded by blockading British ports and seizing American ships trying to deliver goods to those ports.

Americans were immediately divided into two camps, those who were outraged by the British impressing our seamen, and those who were angry at the French for killing a King who had helped us overthrow the British a dozen years earlier. Half sided with their ancestral motherland, while the other half demanded that the US support France.

Washington was among the few who espoused neutrality.

Americans increasingly defined their domestic politics either by their solidarity with the French Revolution or their aversion to it. The French Revolution served to both consolidate the two parties in American politics and deepen the ideological gulf between them.

On April 8, 1793, France’s new ambassador, Edmond-Charles GenĂȘt arrived in Charleston with two sets of instructions: Publicly, he was offering a new treaty that would amalgamate the commercial and political interests of both nations into a “mutual nationalization of French and American citizens” (pg. 133 of Unger’s book), a kind of national alliance that would separate the US from England.

Unger says that GenĂȘt’s secret instructions were to foment revolution and bring the US under the political control of France.

GenĂȘt, aided by newspapers in Boston, New York, Philadelphia, and other cities, whipped up Francophilia among average people. GenĂȘt said Washington was pro-British. He organized a fleet of privateers to prey on Anglo-American commerce.

Anti-federalist governors in the south saw GenĂȘt as a means to weaken presidential power and restore the supremacy of the individual states over the national government, so they aided him. Genet soon had a fleet of 80 vessels patrolling American waters.

In the summer of 1793, GenĂȘt wrote to the French foreign minister:

“I have prepared the revolution of New Orleans and Canada…I have destroyed the maritime commerce of the English in these waters” (pg. 134)

He then made his way towards Philadelphia to present his credentials  to Washington, gathering support from Americans along the way. Unger writes:

“…when he arrived at the outskirts of Philadelphia…500 coaches filled with ardent Francophiles waited to escort him into the city…”

Vice President John Adams described:

“…the terrorism excited by GenĂȘt…when 10,000 people in the streets…threatened to drag Washington out of his house and effect a revolution in the government…”

Washington made plans to send his wife Martha and grandchildren to Mount Vernon and demanded that France recall GenĂȘt. But GenĂȘt left Philadelphia on the French flagship for New York, where more than 5,000 French sailors and marines joined welcoming NY crowds. This immediately led to violence, with Tory families fleeing the city. GenĂȘt then went ashore to mobilize the cheering Americans, who chanted (pg. 137):

“Down with Washington…”

On August 15, 1793, GenĂȘt was preparing to raise the French flag over New York  and proclaim that the US and Canada were French. But, no one marched in the streets supporting him, because yellow fever had struck Philadelphia, New York, and Boston. Most people became afraid to leave home for fear of dying from the disease.

In a way, the yellow fever epidemic of 1793 “saved” America from a second revolution. The army had been largely mustered out, so there was little that stood in the way of GenĂȘt’s ambitions. In the summer through the fall of 1793, 5,000 people (10% of the population) died of yellow fever in Philadelphia, and 730 died in New York. As a result, support for GenĂȘt  crumbled.

The yellow fever epidemic continued through November, when cold weather killed off the mosquitoes. GenĂȘt’s crew then mutinied, sailing back to France without him.

The French sent a new ambassador who arrived in December with a warrant for GenĂȘt’s arrest and execution. But Washington wouldn’t comply. Although the French were upset, Washington allowed GenĂȘt to stay in America, where he became an American citizen. He married Cornelia Clinton, the daughter of NY Governor George Clinton and settled on his own farm in Jamaica, Long Island.

A significant proportion of Americans have always been receptive to a charismatic leader with bad intentions, like GenĂȘt. In early American history, just as now, people responded to crisis not by uniting, but by doubling down on factionalism.

These things are still true today. Think about the factionalism surrounding Covid that killed many that shouldn’t have died. While, back then, perhaps the Republic was saved by an epidemic.

Think about the mob who tried to overthrow our elected government on Jan. 6. Their GenĂȘt still lives with us.

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Reform The Supreme Court

The Daily Escape:

Gold Creek Valley, WA – December 2022 photo by Erwin Buske Photography

“A body of men holding themselves accountable to nobody ought not be trusted by anybody.” – Thomas Paine

Welcome to 2023! It seems like a good time to think again about what’s worth fighting for. Paine valued freedom and despised oppression. In 2023, we could substitute the US Supreme Court (SCOTUS) for Paine’s original targets, which were Britain and King George III.

From Ed Walker: (emphasis by Wrongo)

“In case after case, SCOTUS has ignored the trial record, made up its own facts, reached out to take cases before a record can be made, ignored precedent, including precedent about rejecting precedent, invented new Constitutional “doctrines”, taking faked-up cases for the sole purpose of striking down actions…and delaying justice through the shadow docket.”

The Shadow Docket is designed to allow the Court to engage in administrative management of its calendar so that the Justices have sufficient time to rule on emergency applications.

On Dec. 27, we saw an example of the Court’s reactionary majority using the Shadow Docket to extend indefinitely a Trump immigration policy known as Title 42. Trump implemented Title 42 to exclude asylum seekers from the US because they might be carriers of coronavirus.

From Vox’s Ian Millhiser:

“That decision…is typical behavior from the Supreme Court — or, at least, is reflective of this Court’s behavior since a Democrat moved into the White House….It’s the latest example of the Court dragging its feet after a GOP-appointed lower court judge overrides the Biden administration’s policy judgments, often letting that one judge decide the nation’s policy for…an entire year.

And that delay may be the best-case scenario for the Biden administration — and for the general principle that unelected judges aren’t supposed to decide the nation’s border policy. “

Millhiser points out that SCOTUS’ response is very different from when Trump was in office. Back then, the Court frequently raced to reinstate Trump’s policies within days.

The Court’s Conservative Six no longer seem to care about the law or precedent. It’s become a policy-making body in service of Conservative’s religious and social agendas. We should expect It to continue down this path until we reform the Court.

Reform is necessary to protect the legislative prerogatives of Congress, and the prerogatives of the Executive. Oh, and to protect the individual liberties guaranteed by the Constitution.

The NYT’s Adam Liptak says that SCOTUS has been rapidly accumulating power at the expense of every other part of the government. He quotes Mark A. Lemley, a Stanford law professor’s article in The Harvard Law Review:

“The Court has taken significant, simultaneous steps to restrict the power of Congress, the administrative state, the states, and the lower federal courts. And it has done so using a variety of (often contradictory) interpretative methodologies. The common denominator across multiple opinions in the last two years is that they concentrate power in one place: the Supreme Court.”

Non-elected activist judges indeed.

We have historically entrusted courts with the task of determining which rights belong to the people, and the extent to which governments at all levels can exercise their Constitutional powers in controlling the people. We know that courts have always lagged behind the consensus of the American People on issues of rights. But before now, change has come, albeit slowly.

That ended with SCOTUS’ decision in Dobbs, where the Conservative Six ruled that women have no right to control their own bodies.

Earlier, they imposed their religious view that coaches are free to dragoon their players into worshiping the God of the coach’s choice, and that religious leaders are free to spread a pandemic, despite public health officials’ warnings.

Neither Congress nor the President have resisted SCOTUS’s power grab. They haven’t even taken the mild step of imposing ethical requirements on the Court. The other two branches have simply watched the Conservative Six operate in their self-declared role of Philosopher Kings. We now have a Supreme Court tinkering with the Separation of Powers, based solely on political and ideological preference.

As if to justify their power without restraint or oversight, Chief Justice John Roberts recently cited the myth of “three separate and co-equal branches of government.” But that isn’t what the Founders and Framers had in mind, and it isn’t what the Constitution says.

In fact, the judiciary was third in line of power and importance in the minds of the Framers of the Constitution. Article III clearly puts the Supreme Court under the control of Congress. Section 2 is unambiguous:

“[T]he supreme Court shall have appellate Jurisdiction, both as to Law and Fact, with such Exceptions, and under such Regulations as the Congress shall make.”

The founders felt the judiciary was not co-equal. In Federalist 51, James Madison proclaims:

“[I]n republican government the legislative authority, necessarily, predominates.”

In Federalist 78, Alexander Hamilton writes:

“[T]he judiciary is beyond compare the weakest of the three departments of power.”

It’s important to remember that the power to overturn laws passed by Congress and signed by the President was not granted by the Constitution: it was taken by the Court onto itself in 1803 in the case Marbury v Madison.

Soon SCOTUS will rule in Moore v Harper. Moore hinges on a legal proposition known as the “independent state legislature theory.” The theory says that, when it comes to making state laws that apply to federal elections — from drawing congressional district lines, to determining the who-what-when-where of casting a ballot — only the state legislature itself has the power to set the rules.

Moore is an opportunity for the court to reject radicalism, but SCOTUS may upend our democracy with their decision.

SCOTUS has legalized bribery of politicians (Citizens United) and ignored potentially seditious behavior by its own members and their families. Not to mention exceeding its Constitutional authority by inserting itself into political issues, now with startling regularity.

It’s time to reign in the Supremes before they reign over us.

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Monday Wake Up Call – December 5, 2022

The Daily Escape:

Park Avenue, Arches NP, UT – November 2022 photo by Joe Witkowski

Last Tuesday, the Supreme Court (SCOTUS) heard arguments in United States v. Texas, a case that asks some big questions about immigration policy and the relationship between government agencies and the states. From Vox:

“The case involves a memo that Secretary of Homeland Security Alejandro Mayorkas issued in September 2021, instructing ICE agents to prioritize undocumented immigrants who “pose a threat to national security, public safety, and border security and thus threaten America’s well-being” when making arrests or otherwise enforcing immigration law.”

Texas and Louisiana challenged DHS’ ability to prioritize certain groups for deportation. The states argued that the executive branch doesn’t have the authority to pick and choose which groups to prioritize. A Texas federal judge, Drew Tipton, agreed with Louisiana and Texas, and stayed the ability of the DHS to prioritize certain groups of immigrants.

In July, the Supremes agreed to hear an appeal by the US government of the case, while permitting Tipton’s order to remain in effect. Vox maintains that the ruling by the Texas federal judge is questionable:

“A federal statute explicitly states that the homeland security secretary “shall be responsible” for “establishing national immigration enforcement policies and priorities,” and the department issued similar memos setting enforcement priorities in 2005, 2010, 2011, 2014, and 2017.”

The case has already been heard by SCOTUS. We won’t know what their decision is until sometime next summer, but the case raises questions that we all should ponder.

First, do Louisiana and Texas have standing to bring the case? To prove you have standing is to show that you have a right to bring your lawsuit and that you have had real, and direct harm. The two states have to show that they are being adversely affected directly by this policy. The data presented so far by the states isn’t of high quality.

Second, SCOTUS needs to address whether the DHS followed the rules under the Administrative Procedures Act. The Administrative Procedures Act establishes procedures that federal administrative agencies like DHS use for rule-making. And the states are saying that the Biden administration didn’t follow all the rules in adopting this policy deciding which immigrants to deport.

The key rule is about “prosecutorial discretion.” It’s one of the fundamental rules about how police and prosecutors operate at all levels of government. More from Vox:

“Suppose that there are a rash of home break-ins in Washington, DC….Police precinct commanders, the city’s police chief, or even the…mayor may respond…by ordering DC cops to spend more time patrolling Columbia Heights — even though that means that crimes in other neighborhoods might go uninvestigated or unsolved.”

It isn’t practical or useful for judges to monitor every decision made by every law enforcement department at every level of government. Vox says that SCOTUS has repeatedly warned judges against doing just that.

Third is whether the federal courts below SCOTUS have the power to vacate a rule that affects the rest of the states. Or whether SCOTUS is the only court that is permitted to stop a government policy nationwide.

The states contend that the DHS in this case has a mandatory duty to apprehend non-citizens. They’re arguing that the use of “shall” in the law means that these provisions are mandatory.

The Congress may have passed a law that creates a mandatory duty, but that same Congress hasn’t funded the DHS to the extent that performing such a mandatory duty is remotely possible.

The implications of the SCOTUS ruling are potentially huge. If any state can challenge any federal policy that they disagree with, it has ramifications beyond immigration law. An adverse decision for the government in this case would open the door to chaos if states are allowed to sue to overturn laws that they disagree with.

Think about it: If this stands, a Republican state attorney general’s office can handpick judges who they know will strike down (in this case) a Biden administration policy; and once the policy is declared invalid, the state knows that SCOTUS will play along with these partisan judges’ decisions for at least the year it takes for the decision to get up to the Supreme Court.

Time to wake up America! Wrongo has said it many times: Elections have consequences, particularly when Trump got to appoint three Supremes in four years. To help you wake up, take a listen to Bruce Springsteen performing “Nightshift” live on the Tonight Show. “Nightshift” is a 1985 song by the Commodores. Springsteen has covered it on his 2022 album, “Only the Strong Survive”:

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Can We Become A Representative Democracy Again?

The Daily Escape:

Toroweap Point, North Rim, Grand Canyon NP, AZ – August 2022 photo by Andrei Stoica

Our democracy is teetering. Minority states representing a fraction of the whole population of the country, have an outsized representation in the Electoral College and in the Senate. This has helped ignite an acute threat to American democracy that’s based in Red State America. The NYT’s David Leonhardt quotes Harvard’s Steven Levitsky:

“We are far and away the most countermajoritarian democracy in the world,”

One reason is that the more populous states over the past century have grown much larger than the small states. That means the bigger state residents now hold (relatively) less political power in the Senate and the Electoral College than they did in the 1900s.

This was something that the founders understood and agreed on. At the time, there was an alternative discussion about maintaining proportional representation in the House. In the first US Congress, (1789-1791), James Madison had proposed 12 potential Constitutional amendments. We all know that ten amendments were quickly ratified as the Bill of Rights. Another amendment was ratified in 1992 as the 27th Amendment which prohibits salary increases for House and Senate members to take effect before the next election.

The only one of the 12 amendments passed by Congress that wasn’t ratified is the Congressional Apportionment Amendment (CAA). The CAA was designed to let the number of seats in the House grow to meet future population growth.

A majority of the (then) states ratified the CAA. But by the end of 1791, it was one state short of adoption. No other state has ratified this potential amendment since 1792. Here’s the text of the proposed CAA:

“After the first enumeration required by the first article of the Constitution, there shall be one Representative for every thirty thousand, until the number shall amount to one hundred, after which the proportion shall be so regulated by Congress, that there shall be not less than one hundred Representatives, nor less than one Representative for every forty thousand persons, until the number of Representatives shall amount to two hundred, after which the proportion shall be so regulated by Congress, that there shall not be less than two hundred Representatives, nor more than one Representative for every fifty thousand persons.”

The CAA lays out a mathematical formula for determining the number of seats in the House of Representatives. Initially, it would have required one representative for every 30,000 constituents, with that number eventually climbing to one representative for every 50,000 constituents.

But the amendment wasn’t added to the Constitution. Today, Congress controls the size of the House of Representatives. They had regularly increased the size of the House to account for population growth until 1911, when it fixed the number of voting House members at 435. Today, that’s about 761,000 Americans per House seat. Miles away from 50,000.

Delaware leads in the malapportionment with 990,000 people per representative, about 250,000 more than the average state. Rhode Island has the most democratic apportionment with 548,000 people per representative. Both are small, Blue states.

The small Red state Wyoming has 578k/representative. All of the big states are higher than the average: NY has 777k, and CA has 761k, while Florida has 770k and Texas has 768k.

This also impacts the distribution of Electoral College votes, which equal the apportionment of House seats. As a result, the Electoral College is also becoming less representative. David Leonhardt points out:

“Before 2000, only three candidates won the presidency while losing the popular vote (John Quincy Adams, Rutherford Hayes, and Benjamin Harrison), and each served only a single term.”

But two of the past four presidents (Trump and GW Bush in his first term) have become president despite losing the popular vote. Small states represent a fraction of the whole population of the country yet, absent something like the CAA, have an outsized representation in both the Senate and the Electoral College.

This was on purpose. But when the filibuster was added in the Senate’s rules, it changed everything. The filibuster has been part of the Senate in many forms, but in 1975, the Senate revised its cloture rule so that three-fifths of Senators (60 votes out of 100) could limit debate.

With the Senate roughly equally divided, each Party has about 50 votes it can count on, but it needs 60 to pass most legislation. This means that the small states have more power in the Senate than they had before.

Using the 2010 US Census as an example, the US population was 308.7 million. If the CAA was in effect, the number of representatives in the House would be more than 6,000. That’s surely unwieldy, but is there a number of House seats between 435 and 6000 that would be more representative?

Our form of proportional representation needs an overhaul. Some changes to consider:

  • Better proportional representation in the House (via the CAA?) to help make the Electoral College more representative than currently
  • A version of ranked choice voting for all state-wide races
  • Overturning Citizens United
  • Ending gerrymandering by using independent commissions to establish district lines

Since only a few hundred people currently control the democratic direction of our country, can these ever be addressed?

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