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thinkahol *

Employment and the Minimum Wage-Evidence from Recent State Labor Market Trends | Econom... - 0 views

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    Congress, a number of states, and even some cities will raise or consider raising minimum wages this year. Meanwhile, the economy is suffering what may prove to be the fourth consecutive year of a geographically widespread labor market slump, with most states facing uncertain economic situations. In this environment, the minimum wage becomes more important than ever, as a weaker labor market is unlikely to provide low-wage workers the bargaining power required to negotiate fair wages for their labor. Despite the necessity of a minimum wage that allows low-wage workers to meet basic needs, there is still strong opposition to minimum wage increases, especially from those who don't view the weak labor market as an imperative to raise minimum wages, but rather as a reason to oppose them. In particular, opponents of state-level minimum wage increases claim that these increases are the cause of weak labor markets, especially in the form of high unemployment rates. That argument, however, rests on the simplistic observation that some of the states with high minimum wages also have high unemployment rates. Without more examination, this observation is as useful in understanding state job markets as noting that joblessness has been on the rise in New York since the last time the Yankees won the World Series. It might be true, but it doesn't mean one is causing the other.
thinkahol *

Since 2009, 88 Percent Of Income Growth Went To Corporate Profits, Just One Percent Wen... - 0 views

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    "Between the second quarter of 2009 and the fourth quarter of 2010, real national income in the U.S. increased by $528 billion. Pre-tax corporate profits by themselves had increased by $464 billion while aggregate real wages and salaries rose by only $7 billion or only .1%. Over this six quarter period, corporate profits captured 88% of the growth in real national income while aggregate wages and salaries accounted for only slightly more than 1% of the growth in real national income. …The absence of any positive share of national income growth due to wages and salaries received by American workers during the current economic recovery is historically unprecedented."
peoples movement

YouTube - Domestic Workers United Rally For Bill Of Rights in NYC 4/26/09 - 0 views

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    Every day, 200,000 domestic workers in New York, mostly women of color, make it possible for others to work. But these nannies, elderly caregivers, and housekeepers are excluded from the most basic labor laws (including the National Labor Relations Act), and isolated with no power or leverage to negotiate. They endure long hours, low wages and sometimes emotional and physical abuse. New York State is considering historic legislation that would provide protections to domestic workers for the first time! The New York Domestic Workers Bill of Rights is the first of its kind nationally and will set a precedent for labor standards for domestic workers around the country Stand with domestic workers by calling Albany legislators to help pass the Domestic Workers Bill of Rights! Call Speaker of the Assembly Sheldon Silver at (518)-455-3791 and Senate Majority Leader Malcolm Smith at (518)-455-2701 and say: "My name is __________, and I live in ___________ New York. I'm calling to urge you to help pass the Domestic Workers Bill of Rights Bill numbers A1470/S2311 this legislative session. Tomorrow, hundreds of domestic workers and their supporters will come to Albany for a day of action and education. Please work with them to move the Domestic Workers Bill of Rights to the floor for a vote." Then find your own representatives and let them know you want them to support the Bill of Rights: http://assembly.state.ny.us/mem/ http://www.senate.state.ny.us/senateh... In the wake of the economic crisis, the conditions facing domestic workers have worsened. Facing alarming rates of lay-offs, cut wages and extended hours, without notice, severance pay or any safety net, now more than ever - domestic workers need the Bill of Rights. For 5 years, domestic workers have come together across communities to organize for dignity and respect, and demand the passage of a Domestic Workers Bill of Rights in New York State, which would include: * Notice of termination * Severance pay, sick
thinkahol *

Neoclassical economists and the minimum wage « occasional links & commentary - 0 views

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    Nothing quite makes neoclassical economists go apoplectic than reading or hearing the argument that an increase in the minimum wage doesn't cause unemployment. Just ask David Card and Alan Krueger (here's one example, from Gary Becker).
Bakari Chavanu

Capitalism's Self-inflicted Apocalypse - 0 views

  •  The present economic crisis, however, has convinced even some prominent free-marketeers that something is gravely amiss. Truth be told, capitalism has yet to come to terms with several historical forces that cause it endless trouble: democracy, prosperity, and capitalism itself, the very entities that capitalist rulers claim to be fostering.
  • Some eighty  years ago Supreme Court Justice Louis Brandeis commented, “We can have democracy in this country, or we can have great wealth concentrated in the hands of a few, but we can’t have both.” Moneyed interests have been opponents not proponents of democracy.
  • In the early days of the Republic the rich and well-born imposed property qualifications for voting and officeholding. They opposed the direct election of candidates (note, their Electoral College is still with us). And for decades they resisted extending the franchise to less favored groups such as propertyless working men, immigrants, racial minorities, and women.
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  • The conservative plutocracy also seeks to rollback democracy’s social gains, such as public education, affordable housing, health care, collective bargaining, a living wage, safe work conditions, a non-toxic sustainable environment; the right to privacy, the separation of church and state, freedom from compulsory pregnancy, and the right to marry any consenting adult of one’s own choosing.
  • About a century ago, US labor leader Eugene Victor Debs was thrown into jail during a strike. Sitting in his cell he could not escape the conclusion that in disputes between two private interests, capital and labor, the state was not a neutral arbiter. The force of the state--with its police, militia, courts, and laws—was unequivocally on the side of the company bosses.
  • Any nation that is not “investor friendly,” that attempts to use its land, labor, capital, natural resources, and markets in a self-developing manner, outside  the dominion of transnational corporate hegemony, runs the risk of being demonized and targeted as “a threat to U.S. national security.”
  • Most of the world is capitalist, and most of the world is neither prosperous nor particularly democratic. One need only think of capitalist Nigeria, capitalist Indonesia, capitalist Thailand, capitalist Haiti, capitalist Colombia, capitalist Pakistan, capitalist South Africa, capitalist Latvia, and various other members of the Free World--more accurately, the Free Market World.
  • Corporate investors prefer poor populations. The poorer you are, the harder you will work—for less. The poorer you are, the less equipped you are to defend yourself against the abuses of wealth.
  • In the corporate world of “free-trade,” the number of billionaires is increasing faster than ever while the number of people living in poverty is growing at a faster rate than the world’s population. Poverty spreads as wealth accumulates.
  • To the extent that life is bearable under the present U.S. economic order, it is because millions of people have waged bitter class struggles to advance their living standards and their rights as citizens, bringing  some measure of humanity to an otherwise heartless politico-economic order.
  • There is a third function of the capitalist state seldom mentioned. It consists of preventing the capitalist system from devouring itself.  Consider the core contradiction Karl Marx pointed to: the tendency toward overproduction and market crisis. An economy dedicated to speedups and wage cuts, to making workers produce more and more for less and less, is always in danger of a crash. To maximize profits, wages must be kept down. But someone has to buy the goods and services being produced. For that, wages must be kept up. There is a chronic tendency—as we are seeing today—toward overproduction of private sector goods and services and underconsumption of necessities by the working populace. 
  • Instead of trying to make money by the arduous task of producing and marketing goods and services, the marauders tap directly into the money streams of the economy itself. During the 1990s we witnessed the collapse of an entire economy in Argentina when unchecked free marketeers stripped enterprises, pocketed vast sums, and left the country’s productive capacity in shambles. The Argentine state, gorged on a heavy diet of free-market ideology, faltered in its function of saving capitalism from the capitalists.
  • These thieves were caught and convicted. Does that not show capitalism’s self-correcting capacity? Not really. The prosecution of such malfeasance— in any case coming too late—was a product of democracy’s accountability and transparency, not capitalism’s. Of itself the free market is an amoral system, with no strictures save caveat emptor.
  • Perhaps the premiere brigand was Bernard Madoff. Described as “a longstanding leader in the financial services industry,” Madoff ran a fraudulent fund that raked in $50 billion from wealthy investors, paying them back “with money that wasn’t there,” as he himself put it. The plutocracy devours its own children.
  • The classic laissez-faire theory is even more preposterous than Greenspan made it.  In fact, the theory claims that everyone should pursue their own selfish interests without restraint.
  • Capitalism breeds the venal perpetrators, and rewards the most unscrupulous among them.  The crimes and crises are not irrational departures from a rational system, but the converse: they are the rational outcomes of a basically irrational and amoral system.
  • Worse still, the ensuing multi-billion dollar government bailouts are themselves being turned into an opportunity for pillage. Not only does the state fail to regulate, it becomes itself a source of plunder, pulling vast sums from the federal money machine, leaving the taxpayers to bleed.
  • But the 2008-09 “rescue operation” offered a record feed at the public trough. More than $350 billion was dished out by a right-wing lame-duck Secretary of the Treasury to the biggest banks and financial houses without oversight--not to mention the more than $4 trillion that has come from the Federal Reserve.  Most of the banks, including JPMorgan Chase and Bank of New York Mellon, stated that they had no intention of letting anyone know where the money was going.
  • In sum, free-market corporate capitalism is by its nature a disaster waiting to happen.
  • If the paladins of Corporate America want to know what really threatens “our way of life,” it is their way of life, their boundless way of pilfering their own system, destroying the very foundation on which they stand, the very community on which they so lavishly feed.
Bakari Chavanu

Bernie Sanders Flirted With 100% Marginal Tax on the Rich, Maximum Wage - Bloomberg Pol... - 0 views

  • “No. That's not 90 percent of your income, you know? That's the marginal.”
    • Bakari Chavanu
       
      Marginal tax is simply the amount of tax paid on an additional dollar of income. As income rises, so does the tax rate. This is different than a flat tax rate where you pay the same rate of tax no matter what your income level is.
  • Sanders is described as wanting to “make it illegal to amass more wealth than a human family could use in a lifetime.” He would do that, the article said, with “a 100 percent tax on incomes above this level ($ one million per year)” and “would recycle this money for the public need.”
  • he still had the issue on his mind while serving in the House in 1992, entering into the Congressional Record a Los Angeles Times op-ed written by Sam Pizzigati, the author of The Maximum Wage. In that piece, Pizzigati details President Franklin Delano Roosevelt’s proposal for a “100% war supertax,”
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  • Pizzigati noted that there’s been momentum in recent years to cap executive salaries and bonuses but that “Sanders saw the importance of thinking about that much earlier than everybody else.”
  • Benjamin Spock, who advocated capping incomes and inheritances. Spock believed that “not only should every family of four receive a minimum income of $6,500 annually but the wealthy should be entitled to a maximum income of $50,000 and a minimum annual inheritance of $55,000,” according to a Burlington Free Press article from September of that year.
thinkahol *

Progressives and the Ron Paul fallacies - Salon.com - 0 views

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    The candidate supported by progressives - President Obama - himself holds heinous views on a slew of critical issues and himself has done heinous things with the power he has been vested. He has slaughtered civilians - Muslim children by the dozens - not once or twice, but continuously in numerous nations with drones, cluster bombs and other forms of attack. He has sought to overturn a global ban on cluster bombs. He has institutionalized the power of Presidents - in secret and with no checks - to target American citizens for assassination-by-CIA, far from any battlefield. He has waged an unprecedented war against whistleblowers, the protection of which was once a liberal shibboleth. He rendered permanently irrelevant the War Powers Resolution, a crown jewel in the list of post-Vietnam liberal accomplishments, and thus enshrined the power of Presidents to wage war even in the face of a Congressional vote against it. His obsession with secrecy is so extreme that it has become darkly laughable in its manifestations, and he even worked to amend the Freedom of Information Act (another crown jewel of liberal legislative successes) when compliance became inconvenient.
thinkahol *

The Myth of 'American Exceptionalism' Implodes | CommonDreams.org - 0 views

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    One aspect of "American exceptionalism" was always economic. US workers, so the story went, enjoyed a rising level of real wages that afforded their families a rising standard of living. Ever harder work paid off in rising consumption. The rich got richer faster than the middle and poor, but almost no one got poorer. Nearly all citizens felt "middle class". A profitable US capitalism kept running ahead of labor supply. So, it kept raising wages to attract waves of immigration and to retain employees, across the 19th century until the 1970s.
Joe La Fleur

Obama Campaign Wages War on Troops : Political Outcast - 0 views

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    OBAMA TRYING TO BLOCK SERVICE MEMBERS VOTES
Sarah Eeee

Income Inequality and the 'Superstar Effect' - NYTimes.com - 0 views

  • Yet the increasingly outsize rewards accruing to the nation’s elite clutch of superstars threaten to gum up this incentive mechanism. If only a very lucky few can aspire to a big reward, most workers are likely to conclude that it is not worth the effort to try.
  • It is true that the nation grew quite fast as inequality soared over the last three decades. Since 1980, the country’s gross domestic product per person has increased about 69 percent, even as the share of income accruing to the richest 1 percent of the population jumped to 36 percent from 22 percent. But the economy grew even faster — 83 percent per capita — from 1951 to 1980, when inequality declined when measured as the share of national income going to the very top of the population.
  • The cost for this tonic seems to be a drastic decline in Americans’ economic mobility. Since 1980, the weekly wage of the average worker on the factory floor has increased little more than 3 percent, after inflation. The United States is the rich country with the most skewed income distribution. According to the Organization for Economic Cooperation and Development, the average earnings of the richest 10 percent of Americans are 16 times those for the 10 percent at the bottom of the pile. That compares with a multiple of 8 in Britain and 5 in Sweden.
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  • Not coincidentally, Americans are less economically mobile than people in other developed countries. There is a 42 percent chance that the son of an American man in the bottom fifth of the income distribution will be stuck in the same economic slot. The equivalent odds for a British man are 30 percent, and 25 percent for a Swede.
  • Just as technology gave pop stars a bigger fan base that could buy their CDs, download their singles and snap up their concert tickets, the combination of information technology and deregulation gave bankers an unprecedented opportunity to reap huge rewards. Investors piled into the top-rated funds that generated the highest returns. Rewards flowed in abundance to the most “productive” financiers, those that took the bigger risks and generated the biggest profits. Finance wasn’t always so richly paid. Financiers had a great time in the early decades of the 20th century: from 1909 to the mid-1930s, they typically made about 50 percent to 60 percent more than workers in other industries. But the stock market collapse of 1929 and the Great Depression changed all that. In 1934, corporate profits in the financial sector shrank to $236 million, one-eighth what they were five years earlier. Wages followed. From 1950 through about 1980, bankers and insurers made only 10 percent more than workers outside of finance, on average.
  • Then, in the 1980s, the Reagan administration unleashed a surge of deregulation. By 1999, the Glass-Steagall Act lay repealed. Banks could commingle with insurance companies at will. Ceilings on interest rates vanished. Banks could open branches anywhere. Unsurprisingly, the most highly educated returned to banking and finance. By 2005, the share of workers in the finance industry with a college education exceeded that of other industries by nearly 20 percentage points. By 2006, pay in the financial sector was again 70 percent higher than wages elsewhere in the private sector. A third of the 2009 Princeton graduates who got jobs after graduation went into finance; 6.3 percent took jobs in government.
  • Then the financial industry blew up, taking out a good chunk of the world economy. Finance will not be tamed by tweaking the way bankers are paid. But bankers’ pay could be structured to discourage wanton risk taking
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    (Part 2 of 2 - see first part below) What impact do the incredible salaries of superstars have on the rest of us? What has changed, technologically and socially, to precipitate these inequities? This article also offers a brief look at the relationship between income inequality and economic growth, comparing the US throughout its history and the US vis a vis several European countries.
thinkahol *

Waging Another Unconstitutional War - 0 views

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    The meticulous Harvard Law Review editors should be rolling over in their footnotes. The recidivist violations of constitutional and statutory requirements by their celebrated predecessor at that journal - Barack Obama - have reached Orwellian dimensions in the war against Libya.
thinkahol *

We Stand With the Majority of Americans: Human Needs, Not Corporate Greed | October 2011 - 0 views

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    A large majority of the American people consistently support the following agenda: Tax the rich and corporations End the wars, bring the troops home, cut military spending Protect the social safety net, strengthen Social Security and improved Medicare for all End corporate welfare for oil companies and other big business interests Transition to a clean energy economy, reverse environmental degradation Protect worker rights including collective bargaining, create jobs and raise wages Get money out of politics
thinkahol *

A cycle of stupidity - Glenn Greenwald - Salon.com - 0 views

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    RNC Chairman Michael Steele today lashed out at President Obama by saying: "if he's such a student of history, has he not understood that you know that's the one thing you don't do, is engage in a land war in Afghanistan?" Of course it's absurd for Steele to voice that criticism without mentioning that it is his own Party which started that war and waged it for 8 years -- as well as the fact that virtually every Congressional member of his Party continues to support the war -- but Steele was right in the substance of what he said. In response, look at this truly repellent and classically Rovian statement issued by the DNC condemning Steele:
thinkahol *

Robert Reich (The Root of Economic Fragility and Political Anger) - 0 views

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    Missing from almost all discussion of America's dizzying rate of unemployment is the brute fact that hourly wages of people with jobs have been dropping, adjusted for inflation. Average weekly earnings rose a bit this spring only because the typical worker put in more hours, but June's decline in average hours pushed weekly paychecks down at an annualized rate of 4.5 percent.
thinkahol *

FDL Book Salon Welcomes Bruce Fein, American Empire Before the Fall | Book Salon - 0 views

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    There's no doubting the conservative bona fides of Bruce Fein. A high-level Justice Department lawyer in the Reagan administration in the 1980s and previously a resident scholar with the Heritage Foundation, he is a long-time advocate for uncompromising right-wing political principles. Yet paradoxically, Fein has been, and remains, one of the most eloquent and incisive political voices over the last decade. He was one of the earliest and most emphatic critics of Bush and Cheney's radical abuses of executive power. Two weeks after The New York Times revealed in December, 2005, that Bush had ordered the NSA to illegally eavesdrop on Americans without the warrants required by law, Fein used his column in the right-wing Washington Times to warn that "Mr. Bush has adamantly refused to acknowledge any constitutional limitations on his power to wage war indefinitely"; to scorn as "war powers nonsense" the theories assembled "to defend Mr.
thinkahol *

Op-Ed Contributor - How to End the Great Recession - NYTimes.com - 0 views

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    To fix the U.S. economy, we must finally deal with wage inequality.
thinkahol *

How Corporations Buy Congress | BuzzFlash.org - 0 views

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    With the November elections quickly approaching, the majority of  Americans will be thinking one thing: "Who cares?" This apathy isn't due  to ignorance, as some accuse. Rather, working people's disinterest in  the two party system implies intelligence: millions of people understand  that both the Democrats and Republicans will not represent their  interests in Congress.  This begs the question: Whom does the two party system work for? The  answer was recently given by the mainstream The New York Times, who  gave the nation an insiders peek on how corporations "lobby" (buy)  congressmen. The article explains how giant corporations - from  Wall-mart to weapons manufacturers - are planning on shifting their  hiring practices for lobbyists, from Democratic to Republican  ex-congressmen in preparation for the Republicans gaining seats in the  upcoming November elections: "Lobbyists, political consultants and recruiters all say that the  going rate for Republicans - particularly current and former House staff  members - has risen significantly in just the last few weeks, with  salaries beginning at $300,000 and going as high as $1million for  private sector [corporate lobbyist] positions." (September 9, 2010) Congressmen who have recently retired make the perfect lobbyists:  they still have good friends in Congress, with many of these friends  owing them political favors; they have connections to foreign Presidents  and Kings; and they also have celebrity status that gives good PR to  the corporations. Often, these congressmen have done favors for the corporation that  is now hiring them, meaning, that the corporations are rewarding the  congressmen for services rendered while in office, offering them million  dollar lobbyist jobs (or seats on the corporate board of directors)  that requires little to no work.  The same New York Times article revealed that the pay for 13,000  lobbyists currently bribing Congress is a combined $3.5 bil
thinkahol *

t r u t h o u t | Memories of Hope in the Age of Disposability - 0 views

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    Any rigorous conception of youth must take into account the inescapable intersection of the personal, social, political and pedagogical embodied by young people. Beneath the abstract codifying of youth around the discourses of law, medicine, psychology, employment, education and marketing statistics, there is the lived experience of being young. For me, youth invokes a repository of memories fueled by my own journey through an adult world, which largely seemed to be in the way, a world held together by a web of disciplinary practices and restrictions that appeared at the time more oppressive than liberating. Lacking the security of a middle-class childhood, my friends and I seemed suspended in a society that neither accorded us a voice nor guaranteed economic independence. Identity didn't come easy in my neighborhood. It was painfully clear to all of us that our identities were constructed out of daily battles waged around masculinity, the ability to mediate a terrain fraught with violence and the need to find an anchor through which to negotiate a culture in which life was fast and short-lived. I grew up amid the motion and force of mostly working-class male bodies - bodies asserting their physical strength as one of the few resources over which we had control.
thinkahol *

Teacher Layoffs and War | CommonDreams.org - 0 views

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    Our  government's perverse definition of "national security" was on  display again this summer. By large majorities, the U.S. Congress  approved a so-called emergency appropriation of $33.5 billion to  escalate the war in Afghanistan-adding to the more than $1 trillion  that the United States has already spent waging wars in Afghanistan  and Iraq.
thinkahol *

GMF - The Copenhagen Consensus: Reading Adam Smith in Denmark - 0 views

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    Adam Smith observed in 1776 that economies work best when governments keep their clumsy thumbs off the free market's "invisible hand." Two generations later, in 1817, the British economist David Ricardo extended Smith's insights to global trade. Just as market forces lead to the right price and quantity of products domestically, Ricardo argued, free foreign trade optimizes economic outcomes internationally. Reading Adam Smith in Copenhagen -- the center of the small, open, and highly successful Danish economy -- is a kind of out-of-body experience. On the one hand, the Danes are passionate free traders. They score well in the ratings constructed by pro-market organizations. The World Economic Forum's Global Competitiveness Index ranks Denmark third, just behind the United States and Switzerland. Denmark's financial markets are clean and transparent, its barriers to imports minimal, its labor markets the most flexible in Europe, its multinational corporations dynamic and largely unmolested by industrial policies, and its unemployment rate of 2.8 percent the second lowest in the OECD (the Organization for Economic Cooperation and Development). On the other hand, Denmark spends about 50 percent of its GDP on public outlays and has the world's second-highest tax rate, after Sweden; strong trade unions; and one of the world's most equal income distributions. For the half of GDP that they pay in taxes, the Danes get not just universal health insurance but also generous child-care and family-leave arrangements, unemployment compensation that typically covers around 95 percent of lost wages, free higher education, secure pensions in old age, and the world's most creative system of worker retraining. Does Denmark have some secret formula that combines the best of Adam Smith with the best of the welfare state? Is there something culturally unique about the open-minded Danes? Can a model like the Danish one survive as a social democratic island in a turbulent sea of globali
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