“In a remarkable illustration of the power of lobbying in Washington, a study released last week found that a single tax break in 2004 earned companies $220 for every dollar they spent on the issue — a 22,000 percent rate of return on their investment.” A new study by three University of Kansas profs tries to quantify exactly the amount of lucre generated by the lobbyists and influence-peddlers aswarm in Washington for their employers. And the answer? A whole lot. “The paper…examined the impact of a one-time tax break approved by Congress in 2004 that allowed multinational corporations to ‘repatriate’ profits earned overseas, effectively reducing their tax rate on the money from 35 percent to 5.25 percent. More than 800 companies took advantage of the legislation, saving an estimated $100 billion in the process.” [Hattip: Tim C. and Marginal Revolution.]
Tag: Congress
Prisoners of our Own Device.
“‘The commission could be the most ambitious attempt to re-examine and reform the criminal justice system since the 1960s,’ said Mark Mauer, executive director of the Sentencing Project, a nonprofit group that supports reducing incarceration rates. ‘It is a huge undertaking,’ he said.” As he promised a few months ago, Sen. Jim Webb begins the push for a bipartisan commission on prison reform. (Webb’s effort drew particular kudos from Salon‘s Glenn Greenwald this morning.)
Speaking of which, count me among the many (like Greenwald) who found Obama’s glib answer on drug decriminalization during the online town hall the other day to be too smug and snickering by half. People are spending their lives in prison for basically harmless behavior that he — and countless other tsk-tsking political elites — engaged in. That’s not really something to chuckle about.
That being said, it’s obvious that, with everything else going on, Obama has nowhere near the political capital he would need to deal with this sort of thing right now, even if he does possess the inclination. But, Webb’s proposed commission might be exactly the sort of body that could grant Obama the cover he needs to get serious about drug and prison reform. In fact, other than punting on a popular issue like social security, which prison reform emphatically isn’t, that’s pretty much the sole purpose of a bipartisan commission.
Update: In very related news, NY Gov. David Paterson announces a deal has been struck to soften NY’s draconian Rockefeller drug laws and get rid of many mandatory minimums. “‘Since 1973, New York has had the harshest drug laws in the country, and they have simply not worked,’ Paterson said Friday in a radio interview.”
Stimpak Applied.
“We have begun the essential work of keeping the American Dream alive in our time. Now, I don’t want to pretend that today marks the end of our economic problems. Nor does it constitute all of what we’re going to have to do to turn our economy around. But today does mark the beginning of the end…The American Recovery and Reinvestment Act that I will sign today — a plan that meets the principles I laid out in January — is the most sweeping economic recovery package in our history.” Back in Denver for the day, President Obama signs the ARRA economic stimulus bill into law. [Remarks.] “‘We have done more in 30 days to advance the cause of health-care reform than this country has done in an entire decade,’ Obama said, prompting a standing ovation.“
As with the initial versions, the final bill passed without a single GOP vote in the House and only three Republicans — Snowe, Collins, Specter — in the Senate. Y’know, it’s bad enough that these situationally-ethical jokers stand in the way of what obviously needs to be done to get our economy moving again. (I don’t remember any calls for spending restraint, or any worries about pork, in the flush times when Boss DeLay was running the show, or when both Reagan and Dubya were ratcheting up the deficit to all hell.) But, it offends the senses to have to listen to the aggressively stupid talking points Republicans tend to trot out these days. For example, the party’s new leader, Michael Steele: “Not in the history of mankind has the government ever created a job.” (The armed services notwithstanding, who does he think the runs the government? Elves? Hey, Mr. Steele, look down — we call those roads.) Or consider South Carolina Sen. Jim DeMint: “This is not a stimulus bill. It’s just a spending bill.” Econ 101: A stimulus bill is a spending bill. (They do in fact teach this in SC — I can attest to it.)
Worse still, the national newsmedia has been failing miserably in their coverage of the stimulus battle, by continually enabling these Republicans to spout their inanities without comment. It reminds me of Paul Begala’s “Neil Armstrong Principle,” which I heard him break down on Charlie Rose a few months back: “If John McCain and Sarah Palin were to say the moon was made of green cheese, we can be certain that Barack Obama and Joe Biden would pounce on it, and point out it’s actually made of rock. And you just know the headline in the paper the next day would read: ‘CANDIDATES CLASH ON LUNAR LANDSCAPE.’” Too true.
Well, at least the durned thing passed. I’m sure the bill has its problems, not the least that it was transformed and watered down in an attempt to placate a bunch of Republicans who were never in a million years going to vote for it anyway. Perhaps, when we move forward now, we can focus on writing good policy that will get this economy and our country moving again, rather than catering to the whims of the naysayers, political opportunists, and/or flat-earth morons that comprise today’s GOP.
The Whole Truth, and Nothing But.
“Rather than vengeance, we need a fair-minded pursuit of what actually happened.” Judiciary Committee chairman Senator Patrick Leahy calls for a “truth commission” to investigate Dubya-era abuses. “‘We need to be able to read the page before we turn the page,’ Leahy said. ‘We need to come to a shared understanding of the failures of the recent past.” Ok, sounds grand…but perhaps we should stop perpetuating those abuses while we’re at it.
All Your Base Are Belong to Us.
Fine, We’ll Do It Without You.
“‘There will be people in districts all over the country that will wonder why, when there’s a good bill to get the economy moving again, we still seem to be playing political gotcha,’ White House press secretary Robert Gibbs said in an interview.” Well, so much for the post-partisan era. Despite several attempts at across-the-aisle diplomacy by the new administration, the House passes President Obama’s stimulus bill 244-188 without a single Republican vote. Sigh.
Perhaps a little history lesson is in order. Journey with me, if you will, back to 1993, the last time a new Democratic president tried to work with this same crew of jokers on a new, recession-busting economic plan. As you may remember, Clinton’s 1993 budget also passed the House and Senate without a single GOP vote. Let’s see what the Republicans had to say back then (courtesy of some old, off-line research of mine):
Dick Armey (who, btw, made an embarrassment of himself on national television last night): “This bill would grow the Government…shrink the economy” and “will mean fewer jobs for ordinary Americans.” [Congressional Record, 8/5/93]
Newt Gingrich: The bill will “kill jobs and lead to a recession” that would “force people off of work and onto unemployment and will actually increase the deficit.” [Houston Chronicle, 8/7/93, 1993; AJC, 8/6/93]
Bob Dole: The bill “would take America in the wrong direction.” [WP, 8/4/93]
Ronald Reagan (yes, they wheeled him out with talking points): The bill will “only cause the deficit to increase and will likely wreck any hopes for economic recovery.” [“Just Say No to Clinton’s Package,” NYT op-ed, 8/3/93]
Rush Limbaugh: True to form, the GOP’s poster boy bet the DNC $1 million on the air that three of the following five things would happen by 1996: 1. The deficit would grow. 2. Unemployment would rise. 3. Inflation would swell. 4. Interest rates would surge. 5. The President’s approval rating would fall below 45 percent. [ James McTague, “Off to the Races,” Barron’s, 3/18/96]
Well, I’m sure I don’t need to remind you of the untold economic devastation that was the remainder of the Clinton years. (If you’re keeping score, Rush went 0-for-5, and never paid up.) As it turns out, just as with Boehner this time around, the GOP had decided beforehand they weren’t going to vote for any Clinton bill. As Bob Woodward notes in The Agenda (p. 109), Dole told Clinton this three weeks before the bill was even proposed.
Then as now, the modern Republican party doesn’t seem to understand the first thing about basic economics (their right-wing dogma precludes any grasp of Keynesianism, I guess.) They don’t seem to “get” rudimentary American history. (I’ve seen so many dumb things written about Herbert Hoover and the 1937 “Roosevelt recession” — which was caused by spending cuts and fiscal retrenchment by the FDR admininstration, not “over-regulation” — by right-wingers of late that it’s hard to even know where to begin.)They don’t seem to understand basic politics. (The American people have obviously voted for action, and a path away from Dubyanomics. Getting in the way of this bill won’t “reboot” their party in any way, shape, or form.) At this point, it’s an open question whether they can distinguish their asses from their elbows.
So…can we please stop spoon-feeding these guys now? The GOP has proven yet again that they’re not looking to play ball. If they want to be on the wrong side of the problem as usual, let them. It’s useless to spend any more time bending over backwards to accommodate their lousy, discredited ideas and inchoate, faith-based economic beliefs. It’s time to move on.
The Lion in Winter.
“So many of you have been with me in the happiest days and the hardest days. Together we have known success and seen setbacks, victory and defeat. But we have never lost our belief that we are all called to a better country and a newer world. And I pledge to you — I pledge to you that I will be there next January on the floor of the United States Senate when we begin the great test.” You made it, Teddy. Here’s hoping the news concerning Senator Kennedy coming out of the Capitol right now isn’t as dire as it sounds.
Update: CNN is reporting that Senator Byrd, who also left the event for medical reasons, is ok.
Update 2: He’s ok. “‘After testing, we believe the incident was brought on by simple fatigue,’ Dr. Edward Aulisi, chairman of neurosurgery at Washington Hospital Center said in a statement released by the senator’s office. ‘He will remain … overnight for observation, and will be released in the morning.’“
Obama: Give Peace a Chance.
“‘I’m here tonight to say a few words about an American hero I have come to know very well and admire very much — Sen. John McCain. And then, according to the rules agreed to by both parties, John will have approximately 30 seconds to make a rebuttal.'” Now here’s a prez worth hugging…On the eve of his inauguration, Sen. Obama publicly makes nice with his former adversary, John McCain.
And, apparently it’s not just for show: According to the NYT, the president-elect has been trying to forge a bond with McCain (and his No. 2, Lindsey Graham) since soon after the election. “Mr. Obama arrived for their Chicago meeting on Nov. 16 with several well-researched proposals to collaborate on involving some of Mr. McCain’s favorite causes, including a commission to cut ‘corporate welfare,’ curbing waste in military procurement and an overhaul of immigration rules.“
Hey, rapprochement is good, bipartisanship is good. And working Senators McCain and Graham (and, I’d presume Maine’s moderates, Snowe and Collins) is simply smart politics. Still, when push inevitably comes to shove on Iraq, health care, and a host of other issues, hopefully the president-elect will remember to dance with who brung him.
No More Torturing Words.
“Waterboarding is torture.” True story. In his confirmation hearings before the Senate, Obama’s nominee for Attorney General, Eric Holder, states the obvious. Then again, it’s been several years since the obvious had a seat anywhere near the table at OAG, so this is cause for rejoicing. As Sen. Dick Durbin put it, ““In three words, the world changed.“
A Farewell to “Sen. Oddball.”
“I always let the other fellow have my way.” Sen. Claiborne Pell (D-RI), 1918-2009. “[H]e was best known for his sponsorship of the 1972 program that has helped 54 million low-income and moderate-income students attend college. He also sponsored the legislation that founded the National Endowment for the Arts and Humanities.”