Some Factors Affecting The Mid-Terms

The Daily Escape:

Before dawn, Kennebunkport, ME – June 2022 photo by Eric Storm Photo.

Even though the first public hearing about the Jan. 6 attempted coup happened last night, Wrongo doesn’t intend to write about them for a few days. The hot takes are all over the media, and it’s doubtful that we will know much about how the public is reacting for a few weeks. Once again Wrongo cautions that the media will cover this like a political contest when it isn’t. It really is about the health of our democracy.

And did you realize that only 21% of Americans over 18 read a newspaper every day? Cheryl Russell of Demo Memo has statistics from the General Social Survey showing how precipitously newspaper readership has fallen. She says that in 1972, 69% of the American public read a newspaper every day:

“Now, the share of adults who never read a newspaper (40%) is far greater than the share who read a newspaper daily. Fully 57% of the public reads a newspaper less than once a week…”

This also has implications for how broadly the findings of the Jan. 6 committee will be shared. As does the fact that FOX won’t be airing the hearings and plans to counter-program with GOP members of the House and Senate presenting real-time disinformation as the facts are aired.

Speaking of not knowing the facts,  YouGov reports on an economic survey showing that seven out of 10 Republicans think we’re currently in a recession. More than half of all independents and 43% of Democrats also think the same. They sampled about 1,500 US adults online between May 28 – 31, 2022, with a margin of error of ± 3%. Here are the results:

How can we be in a recession when our unemployment rate is at 3.6%? When wages are up 5.6% over the past year, and consumers still are spending money like crazy?

People may believe we’re in a recession, but the US economy added 1.2 million jobs in the past three months. Yes, inflation is the highest it’s been in 40 years, but higher gas and food prices don’t mean we’re in the midst of an economic slowdown. Maybe the survey was poorly worded, or maybe, since people really never read in depth about what’s really going on in America, they never learn what’s really happening. This will be very damaging to the Democrats’ mid-term chances.

Next, you may have heard that there was a “political earthquake” in the California primaries, that Dems did poorly because of the “crime” issue, and that will hurt Democrats all across the nation.

A recalled San Francisco District Attorney didn’t cause an earthquake, and neither did a Republican-turned-Democrat’s advancing in the LA Mayor race. Former Republican and billionaire Rick Caruso spent $40 million on his mayoral primary! His opponent, Karen Bass, spent $3 million on her campaign. He won the primary by 3 points, although she is the likely winner in November.

What WAS an earthquake was the anemic voter turnout. Only about 19% of California’s registered voters actually voted.

There was no sign of an anti-Democratic wave in CA. Candidates from both parties that were expected to make the general election did so. Probably the weakest performances by incumbents were posted by Republicans David Valadao and Young Kim, who struggled to defeat challengers running to their right. In particular, Valadao, who voted to impeach Trump, appears to have advanced to the general election.

And in CA-41, moderate Democrat Will Rollins advanced to the November election against Republican incumbent Ken Calvert, who voted to overturn the 2020 election results. Rollins has a decent chance to win in November in what is a 50-50 district.

Finally, Larry Sabato reports on the redistricting landscape now that most state redistricting is complete:

  • The total number of competitive districts has declined from 84 to 75.
  • The number of super-safe Republican districts (those where Biden won 40% or less) increased from 112 to 131.
  • The number of super-safe Democratic seats, 127, while similar to the Republican total, is down slightly.
  • There are 211 seats where Biden received 49% of the vote or less, and 202 seats where he won 53% or more.

Sabato’s Crystal Ball rates Republicans having 214 seats as safe, likely, or leaning Republican. That means that if they hold those seats, they are just four additional seats from controlling the House. They rate the Democrats as having 193 seats as safe, likely, or leaning Democratic.

That means if both Parties hold serve, there are just 28 seats in play in the 2022 mid-terms. For the Democrats to retain control of the House would require them to win 25 of those 28 seats.

If the Dems want to retain control of the House, what message should they be telling voters who: a) Don’t read newspapers; b) Think the economy is crashing; and c) Fail to turn out in Democratic and Independent-leaning Congressional Districts?

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It’s Not Just The Guns, It’s The Ammo

The Daily Escape:

Antarctica – May, 2022 photo by Jason Row Photography

Wrongo shot the AR-15 at Fort Ord, CA while in the military in 1966. Back then, the US Army had its Combat Developments Experimentation Command, known as CDEC, there. Fort Ord is now closed, but its location on Monterey Bay in California, made it a beautiful place to spend a weekend, if not military training.

In the 1960s, Fort Ord was the home of the 4th Replacement Training Center, with upward of 50,000 soldiers preparing for their upcoming tour of Vietnam. As part of our training, we participated in the night fire tests of the AR-15. Those tests simulated the conditions that small squads faced in combat. The idea was to compare the performance of the AR-15 against the M-14, the incumbent weapon.

The Army adopted the lighter AR-15 in a model they called the M-16. James Fallows, writing in 1988 in The Atlantic, said this about the weapon:

“By the middle of 1967, when the M-16 had been in combat for about a year and a half, a sufficient number of soldiers had written to their parents about their unreliable equipment and a sufficient number of parents had sent those letters to their congressmen to attract the attention of the House Armed Services Committee, which formed an investigating subcommittee.”

The subcommittee examined the problems caused by the M-16, and Fallows’ article is worth reading to see how badly the Army procurement process failed the US soldier in Vietnam. The Army made several changes to the AR-15 as it became the M-16. All of them served to make the weapon unreliable in combat conditions and less useful as a weapon of war.

But Wrongo wants to focus on the M-16’s high velocity bullet. From Fallows:

“Nearly a century before American troops were ordered into Vietnam, weapons designers had made a discovery in the science of ‘wound ballistics.’ The discovery was that a small, fast-traveling bullet often did a great deal more damage than a larger round when fired into….a human body…”

On Sunday, 60 Minutes re-broadcast a story on the lethality of the AR-15. The focus was on how the gun’s high velocity rounds cause devastating and often lethal wounds that first responders and emergency rooms have great difficulty repairing.

The Intercept brings this back to the Uvalde shooting: (Brackets by Wrongo)

“Many circumstances of this week’s elementary school shooting in Uvalde, Texas, are incomprehensible….The [wound] damage was so severe that agonized parents had to give DNA samples to identify their children.”

Imagine. The request pointed to the obvious: Many of the children who had been killed were so grievously injured that it was impossible to identify their bodies. And that DNA identification process took hours.

Much of the damage was because in addition to the killer using the AR-15, a weapon of war, he also used hollow point bullets, one of the most physically destructive forms of ammunition. Hollow-point bullets open upon impact thereby causing more damage to their targets:

Source: Guns and Ammo

They can easily be purchased throughout the US, but the rest of the world thinks the use of expanding rounds on the battlefield is a war crime. The International Criminal Court bars their use, and they are prohibited by a declaration of the Hague Convention (which of course, the US has never ratified).

The US military has authorized hollow-point ammo. Civilian ammosexual proponents of the hollow-point ammo argue that the bullet reduces harm to nearby civilians, since it’s less likely to pass through its intended target or to ricochet. They also say that it’s useful in hunting big game, so the animal can be killed in one hit. Just like it works in 10 year-old grammar school students.

More from the Intercept:

“Salvador Ramos, the 18-year-old gunman in Uvalde, purchased 375 expanding rounds. In 2019, a 21-year-old gunman in El Paso, Texas, bought 1,000 of the same type of bullets for his Walmart rampage. The 20-year-old gunman in the Sandy Hook Elementary School shooting managed to stockpile 1,700 of various rounds, including hollow points.”

None of these purchases raised any flags with ammo retailers.

It cannot be emphasized enough, however, exactly what the AR-15 is: It is a weapon of war. It was made to blow humans apart. It is successful in doing just that. Back in the 1960s during those early field tests, the military learned that the AR-15 excelled at blowing people apart. Let’s give Rod Miller the final word:

“Armed Americans are killing our schoolkids while they study. They routinely kill them by the dozens for various reasons all across our country. Let me repeat that, armed Americans are killing our schoolkids.”

Can we at least ban hollow-point ammo for use by private citizens?

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Which States Are The Best for Working Moms?

The Daily Escape:

Sunrise, Columbia Hills, WA – May 2022 photo by Mitch Schreiber Photography

Each year, WalletHub ranks the best and worst states for working mothers. Below is an overview of their methodology and findings: Women make up nearly half of the US workforce, and nearly 68% of moms with children under age 18 were working in 2021.  That share of the workforce declined during Covid, dropping around 1.3% between Q3 2019 and Q3 2021 (compared to 1.1% for men).

We know that women face an uphill battle in the workplace, with their average hourly wage being just 84% of what men make. They face other non-financial problems as well. Parental leave policies and other childcare support systems vary by state, but the quality of infrastructure — from cost-effective day care to public schools, is far from uniform.

WalletHub compares state performance across 17 metrics to rank the best & worst states. They compared the 50 states and the District of Columbia across three key dimensions: 1) Childcare, 2) Professional Opportunities and 3) Work-Life Balance:

“We evaluated those dimensions using 17 relevant metrics…with their corresponding weights. Each metric was graded on a 100-point scale, with a score of 100 representing the most favorable conditions for working moms. We then determined each state and the District’s weighted average across all metrics to calculate its overall score and used the resulting scores to rank-order our sample.”

WalletHub’s weighted average for the three categories was as follows: Childcare = 40 possible points, Professional Opportunities = 30 possible points, and Work-Life Balance = 30 possible points, totaling 100 points available per state. That translates into the overall total score below. Here are the top 10 US states for working mothers with individual state rankings by category:

It’s very telling that America’s best score was 62.99 out of 100, meaning that all states have a long way to go to make us a nation that supports women and mothers. Wrongo is happy to note that Connecticut is #1 in job opportunities for women. Here are the bottom 10 states:

Note that only California of the bottom 10 states is an urban (and blue) state. It gets killed in the rankings because of its terrible performance on childcare. If you are interested in how your state ranked, you can see an interactive map of all the states here. WalletHub also compared the top and bottom five states across a few of their metrics. Here’s what those rankings show:

According to a recent report, more than 2.3 million American women have dropped out of the labor force since the start of the pandemic. Solving the problems that keep these women out of the workforce should be a focus for all of the states.

This is particularly true for service and front-line workers whose work scheduling can be unpredictable and for many jobs, there is limited flexibility. Companies should do more. They can create more flexible work environments, allowing parents to take short-term time off. They can strive to eliminate schedule unpredictability for hourly workers. Companies can also work to change their culture to better recognize work-life balance.

The biggest hypocrisy of the anti-abortion movement and the Supreme Court’s apparent decision on abortion is that the Justices and the Republicans are willing to go to the mat to protect the unborn, but that commitment mysteriously vanishes once a child exits the womb.

In many cases, these same zealots are actively hostile to programs that would benefit children.

Parenthood is humankind’s most important job; but there’s no internship, no training program, no handbook. You dive into it and are expected to figure things out on your own. It’s true that parents should bear the responsibility and costs of raising a child, but, government intervention should be available, depending on local conditions and income levels. Some parents simply need help.

At a time when Republicans and the Supreme Court seem to be willing to discount the value of women in our society, it’s important that we battle their views on the economic front as well as on the political front.

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Monday Wake Up Call – April 18, 2022

The Daily Escape:

Sunset, Sequoia Lake, CA – April 2022 photo by An Pham

Today is tax day, and Wrongo will get his in on time. But the question of how America deals with its taxing is rightly under scrutiny. Blog reader Ottho H. commented on Wrongo’s Sunday post about the IRS:

“To me it’s an enduring mystery, and a source of anger and disgust, why Congress starves the IRS…. Doubling the IRS budget (by, say, $12B per year) seems like the best and most “sure thing” ROI the gov’t can make….To the extent that the “starve or defund the IRS” movement is due to lobbies and Congressmen out to protect and further enrich the already rich, then at least that should be made more transparent to the public. This is a no-brainer cause that I can get behind.”

The IRS is chronically underfunded. Government data show that millionaires and billionaires are rarely audited, while lower-income families are disproportionately targeted (five times more likely) for enforcement actions. The agency is severely understaffed. It works with outdated technology, meaning that any paper returns must first be transcribed into a computer. It also means hundreds of billions of dollars in taxes go uncollected.

The answer to so many of the IRS’s woes: antiquated tech systems, congested phone lines, threadbare enforcement –  is more funding. It’s one of the few federal agencies that would generate a large and nearly immediate return on investment if it could spend more.

But many Republicans don’t want to fix it. Yesterday’s WaPo article quoted Sen. Rick Scott (R-FL):

“This additional money for the IRS to target all Americans is absolutely wrong…It will target our families, it’s going to target our small businesses, and it’s going to go after them to get them to pay more money.”

And Sen. Todd Young (R-IN) about how new IRS funding would be used:

“We know that most of this $80 billion will be used to enhance the ability of the IRS to target middle Americans…”

The Economist says that the IRS entered this tax season with a backlog of 24 million returns, 20 times worse than normal. At the end of this tax season, it will be nearly two years late in processing many of our returns:

“Spending [at] the agency has declined by nearly 20% since 2010. At the same time, the number of tax returns has increased by 20%. The backbone of the system, a nationwide taxpayer database, is built on top of a 1960s computer language rarely taught in schools.”

The IRS is in the process of hiring 10,000 workers to help clear the backlogs, but the biggest challenge is retaining their senior auditors. About a fifth of agency staff are eligible for retirement. Many have already left as a result of Covid, and they were exactly the kind of people needed to maintain the agency’s enforcement efforts.

The Economist says that the IRS audited 0.3% of corporate tax returns filed in 2018, down from 1.6% in 2010. The number this year may be even lower. They quote Charles Rettig, IRS Commissioner, as estimating that the government loses about $1 trillion in tax revenues annually because of cheating.

Even if new funding is appropriated, it will take time to re-build the agency. Money that is appropriated now for that purpose would be spent over the course of the next fiscal year (which ends on 9/30/2023) and the effects of those reforms probably wouldn’t start to show in the statistics until then.

It’s always been easier to destroy than it is to build. Credit the GOP for understanding this truth.

Time for the Republicans in Congress to wake up! No one likes paying taxes. Even for those who recognize that there’s a societal gain when we all pay them, filing our tax returns is a hassle. It’s time we had a better funded agency that could return the enforcement efforts back toward the richest corporations and wealthy individuals first.

To help our Congress Critters wake up, watch and listen to Mavis Staples perform “Love and Trust” from her album “Live in London”, recorded in 2018 at London’s Union Chapel. She’s joined by Jump Bluesman Rick Holmstrom on his Telecaster:

Sample Lyric:

The simplest things can be the hardest to do
Can’t find what you’re looking for even when it’s looking for you
The judge and criminal, the sinner and the priest
Got something in common, bring em all to their knees

[Chorus]
Do what you can, do what you must
Everybody’s trying to find the love and trust
I walk the line, I walk it for us
See me out here tryin’ to find some love and trust
(Love and trust)
(Love and trust)

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Saturday Soother – April 2, 2022

The Daily Escape:

The Devil’s Churn, Yachats, OR – 2022 photo by Bobbie Shots Photography

The war in Ukraine has brought with it a difficult information environment. We’ve had a hard time sorting the facts from the misinformation. When Biden said in his State of the Union that Russia is “isolated from the world,” that wasn’t exactly misinformation. But it wasn’t exactly true since much of the rest of the world doesn’t see it our way.

The sanctions on Russia are limited largely to the EU and NATO members plus a few other close allies like Australia, Japan, and South Korea. Other countries are much more open to continuing to trade with Russia. That was demonstrated this week by Russian Foreign Minister Sergei Lavrov’s visits to India and China.

China and India have refused to condemn Russia’s invasion outright. Both abstained from voting on UN resolutions demanding Moscow immediately stop its attack on Ukraine. At that vote in March, 144 countries condemned the invasion, but few world leaders other than those in the West have openly criticized Vladimir Putin since then.

After visiting China, where Beijing reiterated that its relationship (which is now even more vital for Russia due to the sanctions) “has no limits”, Lavrov traveled to India. US Commerce Secretary Gina Raimondo criticized India for discussing a rupee-ruble trade arrangement with Russia, which could undermine Western sanctions:

“Now is the time to stand on the right side of history, and to stand with the United States and dozens of other countries, standing up for freedom, democracy and sovereignty with the Ukrainian people, and not funding and fueling and aiding President Putin’s war,”

Visiting India is quite fashionable just now. Earlier this month, leaders from Japan and Australia held summits with their Indian counterparts. And this week, diplomats from Germany and the European Union are visiting Delhi. Lavrov’s visit coincides with a visit by Britain’s Foreign Secretary Liz Truss.

Russia has been critical to India’s increased weapons procurement. In 2018, it signed a $5 billion weapons deal with Russia for air defense missile systems. Some Western estimates say that 50% of India’s military equipment now comes from Russia.

Meanwhile, despite US pressure to increase oil production, the OPEC countries are standing by their deal with Russia. Reuters reported that when asked about Russia’s war with Ukraine at the OPEC meetings, Saudi Energy Minister Prince Abdulaziz bin Salman said that when they hold meetings:

“….everybody leaves his politics at the door”.

Japan also announced that it isn’t pulling out of the Sakhalin-1 offshore oil joint venture it has with Russia. Japanese officials have stressed since Russia’s invasion of Ukraine that the Sakhalin-1 project is crucial for Japan’s energy security.

Everyone knows that Russia is a top global exporter of energy, weapons, and wheat, so many countries are trying to say that Putin’s War isn’t their fight. These nations are all concerned about possible boomerang effects of Russian sanctions on their own economies.

Other nations including Brazil, Pakistan, and South Africa, are also staying on the sidelines.

The US spin is that these countries are actively undermining the effort to bring Russia to heel in Ukraine, but each of them has economic reasons for trying to steer a middle course on the conflict. Americans may see that as morally reprehensible, but they see it as enlightened self-interest.

Enough about geopolitics and whether countries should back the US play with Russia. It’s time for our Saturday Soother, where we try to forget about why Republicans are against capping the price for Insulin.

Or why they seem to be suddenly against what they’re calling “sportsball”. Apparently sports have become so woke that NBA, NFL and college teams are doing things like having woke slogans on their uniforms. That’s making Republicans like Ben Shapiro feel like he’s lost his safe space.

That won’t stop Wrongo and Ms. Right from watching both the men’s and women’s Final Four basketball championships this weekend.

Anyway, it’s time to let go of the internet and find a safe space of our own for a little relaxation. Let’s start by brewing up a mug of Big Trouble coffee ($16/12oz.) from Durham, NC’s Counter Culture Coffee.

Now grab a seat by a south-facing window and listen to the late Julian Bream play “The Miller’s Dance” from Manuel de Falla’s ballet. “The Three-Cornered Hat”. This performance was filmed in La Posada del Potro in CĂłrdoba, Spain in 1985. Bream was one of the most distinguished classical guitarists of the 20th century. He also played a significant role in reviving interest in the lute:

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Monday Wake Up Call – March 7, 2022

The Daily Escape:

Watson Lake, near Prescott, AZ –  February 2022 photo by Steve Matten

Last week, the Labor Department released its monthly Nonfarm payroll report. It showed strong hiring, and a substantial decrease in unemployment. Employment rose by 678,000 in February, the unemployment rate fell to 3.8%, wages rose by just 1 cent to $31.58 per hour, although wages have risen 5.1% over the past 12 months.

We still have 2.1 million fewer jobs (1.4%) than we had in February 2020 just before the start of the pandemic. At the average rate of jobs growth for the past 6 months, it’s about 4 more months before we get back to where we were. From Krugman:

“…what people are actually experiencing in their daily lives is a very strong job market. For example, according to the latest survey from the Conference Board, 53.8% of consumers said that jobs were “plentiful,” a near-record, while only 11.8% said that jobs were hard to get.”

More from Krugman:

“Yet the public doesn’t believe it. According to a new survey by Navigator Research, only 19% of Americans believe that the US economy is experiencing more job growth than usual, while 35% say that it is experiencing more job losses than usual.”

Pandemic unemployment peaked in April 2020 at 14.7%. Back then, Congress was afraid of the country entering another depression, or at best a recession similar to 2008. Congress decided to prop up the economy through a fiscal stimulus called the first CARES Act. Many politicians have talked about how the CARES Act was the financial jolt that has caused inflation to spike.

You probably didn’t realize just how large that unemployment aid was. When unemployment benefits were at their peak in June 2020, the government pushed $1.395 trillion dollars out to the unemployed. Here’s a chart from the St. Louis Fed that shows how fast and how high that cash injection into the economy moved:

Today, these unemployment payments have shrunk by 98% to $26.7 billion. So where in our economy did that $1.4 trillion go? It went primarily to goods purchased locally at Mom & Pop stores and supermarkets. It also went to the big box stores like Walmart, Costco, and Target. It went to Amazon and hundreds of online retailers. At the Mansion of Wrong, it also went to Peloton.  And it went to online services, like Netflix and online education.

Americans spent less than usual on services, so we saw huge job losses in the services sector. Statista reports that we are still short 3.75 million jobs in the services sector and less than .5 million in manufacturing. Leisure and hospitality account for 1.38 million of the total, while losses in education, health services and government also remain high.

Much of today’s inflation is the result of this trillion-dollar unemployment stimulus. Barry Ritholtz interviewed Rebecca Patterson, Director of Investment Research at Bridgewater Associates. She described how the one-two punch of monetary and fiscal stimulus led to a “Demand Shock” where demand for durable goods overwhelmed what manufacturers could supply. She says that while global manufacturers ramped up production by 5% above pre-pandemic levels, demand for those same goods rose by 20%. This is a large part of the inflation spike we’re experiencing, and why the Fed has called it a “transitory” problem.

America’s response to the pandemic reminds us that the way our government responds to crises brings different impacts to different parts of our society.

The Federal Reserve’s expansionary monetary stimulus since 2008 has primarily benefited corporations and the well-off who could buy ever more expensive assets with very cheap money. Fiscal stimulus like the CARES Act and like the new infrastructure bill mostly benefit the bottom 50% of the country: low-wage labor, the unemployed, and the middle class.

So the economy is doing just fine for the top 10% and the upper middle class. But people who make minimum wage aren’t flying to Barcelona this year. They’re not eating at high-end restaurants. When they shop, it isn’t at boutiques. They continue to split financial hairs trying to figure out how to feed their kids and keep a roof over their heads, because rents are rising everywhere in the US and the price of food is going out of sight.

Add to this the interest rate hikes we know are coming, and things aren’t getting better for the lower middle class or people in poverty.

The discussion of the impact that fiscal stimulus had on our labor market isn’t finished. No one really knows why so many people haven’t returned to work, despite the roaring economy.

Time to wake up America! Some Americans are going through hard times. Clearly, people in Ukraine are facing terror that is much worse than here at home. Maybe this cover of Neil Young’s “Harvest Moon” by The Brothers Comatose with AJ Lee can bring a momentary comfort in this age of discomfort:

Watch it, you won’t be disappointed.

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Monday Wake Up Call – January 31, 2022

The Daily Escape:

Mount Saint Nicholas, Glacier NP, MT – January 2022 photo by Jack Bell Photography

Anyone else thinking that our national party bus is about to stall out in the slow lane on America’s Boulevard of Broken Dreams?

Here’s an under-the-radar story: In 2020, the Trump administration hatched a plan to gradually transition traditional Medicare over to private firms. It’s called Direct Contracting (DC) and is operated by Direct Contracting Entities (DCEs). Currently, there are 53 of them in Phase One of an experimental program operated by the Centers for Medicare and Medicaid Services (CMS).

Under the program, the DCEs receive a fixed amount of money annually to cover care for each traditional Medicare enrollee whose primary care doctor (or group) has signed up with that DCE. The DCEs must pay for all of the care of those people assigned to them. To date, the CMS has auto-assigned hundreds of thousands of people to DCEs.

Since no one on Medicare has voluntarily signed up to work with a DCE, it’s unlikely they know of, nor understand what’s happening. And the CMS doesn’t require DCEs to tell people that they have the right to opt-out.

The idea behind DCEs is to shift a portion of the financial risk of the elderly’s medical care away from traditional Medicare by capping the payments to a third party that’s responsible to pay for it. This is the latest in many efforts by CMS and Congress to control the rising costs of healthcare.

Wrongo and Ms. Right have recently noticed a blizzard of direct mail offers to convert our traditional Medicare to an all-in insurance program. It’s probable that some of these are from DCEs.

The anticipated advantage of the DCE experiment is that Medicare’s out-of-pocket costs will be capped. The DCEs contract with CMS is for an agreed-upon annual payment. They have to pay for care and also make a profit based on that fixed revenue amount from the government. In addition to the normal profits from providing services, DCEs can keep as much as 40% of the money they don’t spend on care.

But there’s no such thing as a free lunch, and it seems to Wrongo that this creates yet another financial incentive to deny otherwise necessary treatments. It’s possible that the DCEs could pay doctors to steer patients away from specialty care. This means that someone enrolled in a DCE has reason to worry that their primary care doctor might limit their access to more costly care.

Direct contracting is supposed to be a pilot program, yet Medicare has no plans to limit the number of people it enrolls in these new plans. Instead, Medicare has announced plans to enroll 100% of traditional Medicare members into DCE-like programs by 2030.

Congress did not authorize the wholesale overhaul of traditional Medicare, so why is this happening? And so far, the Biden administration appears to be willing to continue playing Trump’s cards.

Many of the DCEs are owned by Private Equity (PE) firms. It doesn’t take a chess master to see that the PE firms will ultimately sell out to the insurance industry. And it wouldn’t be a big leap from that to fully privatize Medicare.

Time to wake up America! Did we elect Biden to privatize Medicare? The word “privatize” should scare the hell out of Americans. But unfortunately they’ve been fooled into believing that by some magic miracle of economics, it’s to their benefit.

To help you wake up, today we spend a few minutes with Neil Young. Wrongo appreciates Neil Young saying he wanted his music removed from Spotify if Joe Rogan is allowed to continue spewing his anti-Vaxx trash there.

This was an easy business decision for Spotify. They picked the popular podcaster Rogan with the $100 million-plus exclusive deal, over the cranky 76-year-old rocker whose last gold album was nearly two decades ago. Someone who hasn’t been on the Billboard charts since 1982.

Joni Mitchell and Dave Grohl have now said they will follow Young in leaving Spotify.

Let’s watch and listen to Neil Young playing “Hey Hey, My My” at Farm Aid in Champaign, Illinois on September, 1985. Young is a co-founder and board member of Farm Aid, along with Willie Nelson and John Mellencamp:

Neil won’t burn out or fade away.

Sample Lyric:
Out of the blue
and into the black
You pay for this,
but they give you that
And once you’re gone,
you can’t come back
When you’re out of the blue
and into the black.

“You pay for this, and they give you that”. Listen up Medicare!

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Monday Wake Up Call – November 15, 2021

The Daily Escape:

Autumn, Seven Lakes Basin, OR – October 2021 photo by Valledweller33

With Congress’s dancing around (and not passing) Biden’s social welfare bill, we’re now to the point where there are less than 20 days until the government’s funding runs out in early December. There are other issues that must be dealt with as well. The federal debt limit needs to be raised. The National Defense Authorization Act must be passed.

The Democrats and Biden are entering yet another critical time. Wrongo wrote about this two months ago, and since then, just about the only thing that Congress accomplished was passing the infrastructure bill. That wasn’t chump change, but the 2021 legislative calendar has only three weeks left to accomplish a long list of must-pass items.

But this is far from the only concern for Dems. With the 2022 mid-terms looming, they need to take a careful look at their policies on immigration, crime, and inflation. These will all be issues that Republicans use against them at election time. The Dems response is usually to deny that an issue is a problem for them, or for the country.

The Dems start by saying there’s nothing to the problem. They reframe it as a different and more complex issue, and say that the White House is already on top of it. This is what Ruy Texeira calls the Fox News Fallacy.

“This is the idea that if Fox News…criticizes the Democrats for X then there must be absolutely nothing to X and the job of Democrats is to assert that loudly and often. The problem is that an issue is not necessarily completely invalid just because Fox News mentions it. That depends on the issue.”

If there’s something to the issue and persuadable voters have real concerns, Democrats won’t assuage those concerns simply by embracing their Fox News Fallacy of denial and deflection. Texeira offers a few examples including the debate over CRT, border security, and crime:

“Start with crime. Initially dismissed as simply an artifact of the Covid shutdown that was being vastly exaggerated by Fox News and the like for their nefarious purposes, it is now apparent that the spike in violent crime is quite real and that voters are very, very concerned about it.”

Clearly this includes the Democrats’ traditional base of Black and Hispanic voters. A Pew poll found that Black and Hispanic Democrats are significantly more likely than white Democrats to favor more local police funding.

This is more of the disconnect that Wrongo wrote about last week. Democrats need to deal with how their pet issues may play differently to different parts of their coalition. As blog reader D. Price said in comments, we assume that our liberal values and the language we use to frame those values must fall on others’ ears just like it does on ours. He points out that Dems need to listen more and take seriously the different perspectives in the Democratic coalition.

Some Democrats, like NYCs mayor-elect Eric Adams, openly highlight their commitment to cracking down on crime and criminals. Consider a recent NBC poll that shows Republicans are favored over Democrats on the crime issue by 22 points.

And in heavily Black Detroit, a USA Today/Suffolk University//Detroit Free Press poll found that Detroit residents, by an overwhelming 9-1, say they would feel safer with more cops on the street, not fewer. On a list of eight concerns, police reform ranked last, at 4%.

The poll also found a significant racial divide on the question. Black residents ranked crime at the top of their list of concerns: 24% cited public safety, and just 3% named police reform, while White residents were only slightly more concerned about police reform than public safety, 12% compared with 10%.

Democrats have to stop saying that they suck at messaging, as if there’s nothing that can be done about it. They must create messaging that emphasizes what Americans have in common and their right not just to economic prosperity but to public safety, secure borders and a world-class (and maybe) non-ideological education for their children.

That’s much more likely to work than simply denying that these issues are problems.

Time to wake up Democrats! There’s no time to lose. Despite the messaging from DC that all will be fine in the mid-terms if the Dems just pass a few pieces of legislation, their problems are much deeper. To help them wake up, listen and watch Della Mae, an all-woman American bluegrass band perform their 2021 tune, “The Way It Was Before“.

Sample lyric:

I left my home and rolled the dice
Followed the promise of a better life
Now I work at the factory
On the third shift while my kids sleep
They say our job’s a necessity they turn the lock and hide the keys
They call us heroes on the killing floor but a day off is something that I can’t afford


We can’t go back to the way it was before
While some profit off the ones who just endure
We all know what’s broken won’t get fixed by wishin and hopin
We can’t just go back to the way it was before

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Saturday Soother – November 13, 2021

The Daily Escape:

Coral Pink Sand Dunes State Park, UT – November 2021 photo by Byron Jones

This week’s Veteran’s Day apparently isn’t finished with Wrongo just yet. It’s important to remember that when the US war in Afghanistan ended in August after nearly 20 years, there were both hard and soft costs that had been paid, and much that remains to be paid.

The Pentagon reports the hard costs of our Afghanistan adventure to be $825 billion. However, the “Costs of War” project at Brown University estimates those costs at $2.313 trillion. But it gets worse: They estimate the costs of all US post-9/11 war spending at $8 trillion, including future obligations for veterans’ care and the cost of borrowing on the associated federal debt for roughly 30 years. They also estimate the human costs of the “global war on terror” at 900,000 deaths.

Those are all truly staggering numbers.

And Congress is now considering next fiscal year’s military budget. Defense One is covering this so you don’t have to. They’re saying that the proposed 2022 defense budget will be another bipartisan effort by the old-timers in the House and Senate to add more money than was asked for into the pot. And it’s part of a long history of hiding flimsy arguments behind dramatic rhetoric: (parenthesis by Wrongo)

“This year, both the Senate Armed Services Committee (SASC) and House Armed Services Committee (HASC) have displayed a similar unwillingness to distinguish between needs and wants in their versions of the National Defense Authorization Act, which recommend adding $25 billion and $24 billion, respectively, to President Biden’s recommended $715 billion Pentagon budget.”

More:

“It is difficult to imagine how either the SASC or HASC could convincingly demonstrate the necessity of such military spending increases when none of the most urgent crises facing the United States today have military solutions. Furthermore, the credibility of both the Pentagon and Congress on this subject is, to put it mildly, underwhelming: one has an extensive history of budgetary boondoggles, and the other is openly cozy with the U.S. arms industry.”

Defense One says that the most frustrating aspect isn’t the exorbitant amounts, but the lack of any substantive strategic justification for the increased spending by either Chamber. In specific, Defense One argues that  there’s been no effort to demonstrate that the Senate’s billions are funding needs instead of simply political wants.

Remember this is from Defense One, a stalwart defender of America’s military.

We shouldn’t assume legislators think carefully about the public’s interest when crafting the defense budget. Over the years, the defense budget process is driven partly by what the administration and the Pentagon ask for, and by what the defense industry wants for its bottom line. (Full disclosure, Wrongo holds a significant number of shares in a large defense contracting firm.)

US military spending in 2020 was $778 billion. The next closest nation was China, at $252 billion. In third place was India at $72.9 billion. Another perspective is to compare what we spent to fight in Vietnam to the costs of our Apollo moon landing. Apollo 11 got to the moon in July of 1969. That feat cost the US about $25.8 billion.

During the same era, it’s estimated that the Vietnam War cost the US $141 billion over 14 years. That means that we spent about as much in two years in Vietnam as we spent on the entire space race!

When we think about accountability for the costs of the Pentagon, we should remember that the Pentagon has never passed an outside expense audit. Waste is endemic; and the Pentagon simply fabricates numbers, but receives nearly zero pushback from Congress.

There’s so much corruption in the halls of Congress that we will never know how little we could spend on defense. Maybe we should just make some deep cuts to the defense budget and force real strategic decision-making down their throats.

Enough! It’s Saturday, and we need to take a break from trying to figure out whether Steve Bannon or Kyle Rittenhouse will ever go to jail. It’s time for our Saturday Soother.

With a soaking rain in Connecticut today, we’re limited to indoor sports. Most of our fall clean-up is still ahead, but today, let’s grab a seat by the window and listen to pianist Max Richter’s “Mercy” with Richter on piano and Mari Samuelsen on violin. Richter originally wrote the piece 10 years ago for violinist Hillary Hahn. For Richter, “Mercy” places the need for mercy and compassion firmly within our view:

 

 

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Monday Wake Up Call – October 25, 2021

The Daily Escape:

Anza-Borrego Desert SP, Borrego Springs CA – October 2021 photo by Anthony Pilny.

According to Politico, Joe Biden hosted Sen. Joe Manchin (D-WVA) in Delaware on Sunday, where Biden was spending the weekend. They’re trying to find common ground on the Biden social spending plan. Senate Majority Leader Schumer also attended.

As of now, nothing has been released about the substance of the meeting, or whether they’ve made any progress towards bringing a revised bill forward in the Senate.

The meeting comes at a critical time for Biden, who is seeking to clinch a deal with both Manchin and Sen. Kyrsten Sinema (D-AZ) on his social spending plan this week. And it has to happen soon. Democrats have to pass something, or they risk being as dysfunctional as the press says they are.

The Progressive Caucus had a plan: the social spending bill passes the Senate via Reconciliation, and then the infrastructure bill passes in the House. Both pass in lock step. Now, if both stay linked, both could easily fail. Is the House Progressive Caucus prepared to sink the infrastructure bill? We’ll soon find out.

The Democratic House and Senate caucuses have been largely behind the president’s agenda, but that’s been obscured by Manchin’s and Sinema’s foot dragging. The cruel fact is that without substantive movement by both Senators, they could be on the verge of killing Biden’s signature programs.

Why Manchin is doing this is easy to see. He is the only Democrat holding statewide office in West Virginia, as well as the only Democrat in West Virginia’s congressional delegation. He won reelection in 2018 by just 19,400 votes. According to FiveThirtyEight, Manchin has voted with Biden 100% of the time up to May 2021, but now his constituents are pressuring him to leave the Democrats, and he’s feeling the heat.

Sinema also has a strong Democratic voting record. However, there isn’t a reliable view of what would bring Krysten Sinema to vote for the social spending bill, although she did vote to bring the Freedom to Vote Act forward for debate. Arizona is in the midst of demographic change that may insure a durable Democratic majority, but Sinema doesn’t appear to be near the center of where the Arizona Democrats are heading.

The Democrats’ problem with these two Senators also highlights that zero Republicans are willing to defect from Mitch McConnell’s anti-Biden position. It has been at least a decade since there was a credible possibility of Republicans crossing the aisle in these circumstances.

Fifty seats +1 in the Senate was never going to be a position of political strength for Democrats, and they’re lucky to have avoided being in the minority in both Houses after the 2020 elections. Biden needs both Senators to stop obstructing, and to stand with the Party, although Sinema may be a one-term Senator, she will hold the seat until January 2025.

In the past, Manchin and Sinema would have gotten some extra money or projects for their states, the bill would have passed, and we would have moved on to talking about something else. But it’s been clear from the start that isn’t Manchin’s and Sinema’s game.

Manchin is wealthy. He’ll be 77 at the end of his current term. Fear of an investigation into his coal holdings might motivate him to think differently about his vote. Sinema is new to politics, and seems not to be looking towards her re-election, but to a future on the corporate gravy train.

Given Manchin’s and Sinema’s intransigence, there may be no political endgame available for Biden. Without a compromise, they could cost Biden a second term.

It is now completely clear that the entire US political system is corrupt and sclerotic, broken from top to bottom, and it has been for decades. Political reform needs to happen, but the crux of the current problem is that the Democratic Party’s leadership must change also. If that were to happen, a Trumpist wave could end democracy as we know it long before a new Democratic Party leadership could secure a working majority.

It’s time to wake up Democrats! Take a small win now, and then work to reform the Party. Losing seats in the 2022 Mid-terms can’t be an option.

To help you wake up, listen to Maria Muldaur sing a brand new tune, “Vaccinated and I’m Ready for Love”, released this month:

Muldaur is an American folk-blues singer probably best known for her 1974 hit song “Midnight at the Oasis“. This is bluesy and fun!

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