Why you don't negotiate with extortionists

By Robert Reich
nationofchange.org

As a child I was bullied by bigger boys who threatened to beat me up if I didn’t give them what they wanted. But every time I gave in to their demands their subsequent demands grew larger. First they wanted the change in my pocket. Next it was the dessert in my lunchbox. Then my new Davy Crockett cap. Then the softball and bat I got for my birthday.

Finally I stopped giving in. When the bullies began roughing me up on the playground some older boys came to my rescue and threatened my tormenters with black eyes if they ever touched me again. That ended their extortion racket.

What’s happening in Washington these days may seem far removed from my boyhood memories, but Washington is really just another children’s playground. Its current bullies are right-wing Republicans, now threatening that if they don’t get their way they’ll close down the government and cause the nation to default on its debts.

“The American people don’t want a government shutdown, and they don’t want Obamacare,” House Republican leaders said in a statement over the weekend. “We will do our job and send this bill over, and then it’s up to the Senate to pass it and stop a government showdown.”

Really? The American people don’t want Obamacare as much as I didn’t want my softball and bat.  Okay, maybe not quite as much. But the only settled way we know what the American people want is through the democratic process. And the Affordable Care Act (Obamacare) is the law of the land. A majority of the House and Senate voted for it, the President signed it into law, its constitutionality has been upheld by the Supreme Court, and a majority  of Americans reelected the President after an election battle in which the Affordable Care Act was a central issue.

Moreover, we don’t repeal laws in this country by holding hostage the entire government of the United States.

The bullies are a faction inside the Republican Party – extremists who are threatening more reasonable Republicans with primary challenges if they don’t go along.

And where are the Tea Party extremists getting their dough? From even bigger bullies – a handful of hugely wealthy Americans who are sinking hundreds of millions of dollars into this extortion racket.

They include David and Charles Koch (and their front group, “Americans for Prosperity’);  Peter Thiel, leverage-buyout specialist John Childs, investor Howie Rich, Stephen Jackson of the Stevens Group, and executives of JPMorgan and Goldman Sachs, (all behind the “Club for Growth”); and Crow Holdings’ Harlan Crow, shipping magnate Richard Uihlein, and investment banker Foster Friess; executives of MetLife and Philip Morris, and foundations controlled by the Scaife family (all bankrolling “FreedomWorks.”)

Their game plan is to not just to take over the Republican Party. It’s to take over America. The showdown over the budget and the debt ceiling is a prelude to 2016, when they plan to run Texas Senator Ted Cruz for President. (Cruz, if you haven’t noticed, is busily establishing his creds as the biggest flamer in Washington – orchestrating not only the current extortion but also the purge of reasonable Republicans from the GOP.) Obama and the Democrats must not give in. They shouldn’t even negotiate with extortionists. As I learned the hard way, giving in to bullies just encourages them to escalate their demands. The President began negotiations with the Republican bullies in 2011 when they first threatened to default on the nation’s debt if they didn’t get the spending cuts they wanted. He negotiated again at the end of 2012 when they threatened to go over the fiscal cliff and take the rest of the nation with them if they didn’t get the budget they wanted. Now they want to repeal a law they detest.

If we give in again, what’s next? A coup d’etat?

This article was originally posted on Robert Reich's blog.

What does shutdown mean to investors

This article was written by Edward Jones and provided to the Gazette Blog by local Edward Jones Financial Advisor Chris Walsh.

As you’re well aware, a partial government shutdown began on Oct. 1. No matter what one’s views are on the political issues that led to this event, it’s probably fair to say that a shutdown is not particularly good news, on many fronts. Although essential services will continue, including Social Security and Medicare payments, other governmental functions will be disrupted, and hundreds of thousands of workers will be furloughed. So, as a citizen, you may well have concerns about the shutdown. But how will the shutdown affect you as an investor?

First of all, you may want to take to heart the slogan popularized by the British in World War II: “Keep calm and carry on.” You don’t need to panic, nor do you need to make massive changes to your investment portfolio or even take a “time out” from investing. It’s highly likely that, like all political/economic traumas in the past, this one, too, shall pass.

To gain some perspective, you might be interested in knowing that the current situation is not unique. We’ve had 17 government shutdowns in the past, most recently in 1996. And the overall effect of these shutdowns on the financial markets has not been particularly negative. Stocks dropped during nine of these shutdowns and rose during the other eight. Once the shutdowns ended, the average stock market gain was 2.5% over the following three months and 13.3% over the following 12 months, according to an analysis of the S & P 500 stock market index.

Of course, as you’ve no doubt heard, “past performance cannot guarantee future results,” so you shouldn’t necessarily expect the market to turn in similar results once this current shutdown is over. Nonetheless, the history of the market’s performance following government shutdowns does tell us something about the tremendous ability of the financial markets to absorb short-term crises — and then move on.

This isn’t to say that you won’t see some volatility in the days and weeks ahead if the shutdown continues for a while. The financial markets do not like uncertainty, and while some of this uncertainty may already have been “factored in” during the past few weeks, as the possibility of a shutdown increased, we may still see some significant price gyrations. 

Try not to overreact to these price swings, if they do occur. If you feel you must do something with regard to your investments, why not take this opportunity to look over your long-term strategy to make sure it’s still properly aligned with your goals, risk tolerance and time horizon? Over time, your personal situation can change in many ways, so it’s always a good idea to review your investment portfolio, and to make those changes that can help you continue making progress toward your objectives, such as a comfortable retirement.

Furthermore, if we do see some price declines, you may well be presented with the opportunity to buy quality investments at good prices, so stay alert for these possibilities.

Above all else, don’t let the headlines of today scare you away from investing for tomorrow. With patience, discipline and the ability to maintain a long-term perspective in spite of short-term events, you can develop good investment habits that will serve you well for a lifetime.  

Millions flee Obamacare

October 1, 2013

Posted by Andy Borowitz

UNITED STATES (The Borowitz Report)—Millions of Tea Party loyalists fled the United States in the early morning hours today, seeking what one of them called “the American dream of liberty from health care.”

Harland Dorrinson, 47, a tire salesman from Lexington, Kentucky, packed up his family and whatever belongings he could fit into his Chevy Suburban just hours before the health-insurance exchanges opened, joining the Tea Party’s Freedom Caravan with one goal in mind: escape from Obamacare.

“My father didn’t have health care and neither did my father’s father before him,” he said. “I’ll be damned if I’m going to let my children have it.”

But after driving over ten hours to the Canadian border, Mr. Dorrinson was dismayed to learn that America’s northern neighbor had been in the iron grip of health care for decades.

“The border guard was so calm when he told me, as if it was the most normal thing in the world,” he said. “It’s like he was brainwashed by health care.”

Turning away from Canada, Mr. Dorrinson joined a procession of Tea Party cars heading south to Mexico, noting, “They may have drug cartels and narcoterrorism down there, but at least they’ve kept health care out.”

Mr. Dorrinson was halfway to the southern border before he heard through the Tea Party grapevine that Mexico, too, has public health care, as do Great Britain, Japan, Turkey, Spain, Belgium, New Zealand, Slovenia, and dozens of other countries to which he had considered fleeing.

Undaunted, Mr. Dorrinson said he had begun looking into additional countries, like Chad and North Korea, but he expressed astonishment at a world seemingly overrun by health care.

“It turns out that the United States is one of the last countries on earth to get it,” he said. “It makes me proud to be an American.”

Photograph by Joe Raedle/Getty.

Headlines capture huge demand for Obamacare

By Igor Volsky

ThinkProgress / News Investigation

Published: Wednesday 2 October 2013 

nationofchange.org

“A first-day rush ,” “strong early interest ,” “high volume” — those are just some of the words animating Wednesday morning’s headlines about the first day of enrollment in Obamacare’s health care marketplaces.

Though the federal and state based websites experienced glitches and delays, leaving many frustrated, the strong public appetite for obtaining coverage appeared to surprise officials and undermined conservative claims that the public doesn’t know or care about the law.

More than 2.8 million people visited HealthCare.gov and some state-run exchanges also reported millions of logins. New York saw 10 million attempts to reach the site, California reported 5 million visits, 65,000 people visited the Illinois exchange — and submitted 1,100 applications– 78,000 Kentuckians logged on and completed more than 2,900 applications, and 55,000 “went to Colorado’s exchange site.”

Below is a sample of the headlines from across the country: 

CONNECTICUT: Health Care Plans Begin: 28,000-Plus Go Online To State Marketplace [Hartford Courant]

GEORGIA: Enrollment Sites Are Swamped On First Day [The Augusta Chronicle]

IDAHO: Idaho Health Exchange Launches With Few Hiccups [Idaho Statesman]

INDIANA: Insurance Marketplace Draws Strong Early Interest [Journal and Courier]

KENTUCKY: Kynect Opens To High Demand [The Courier-Journal]

MAINE: Insurance Marketplace Opens To Flood Of Interest [Bangor Daily News] 

DELAWARE: Off And Running In New Market: Website Overwhelmed On First Day Of Access [The News Journal]

MICHIGAN: Insurance Exchange Debut Draws Millions [The Detroit News]

NEW MEXICO: Obamacare: Plenty Of Interest, A Bevy Of Computer Snags [Carlsbad Current-Argus]

COLORADO: Heavy Traffic Slows Health Website On Debut Day [The Durango Herald]

FLORIDA: Website Are Overwhelmed As Many Log On, But Optimism Is Voiced [Tampa Bay Times]

ARIZONA: Health Markets Swamped On Day 1 [The Arizona Republic]

CALIFORNIA: Millions Try To Enroll [The Bakersfield Californian]

CALIFORNIA: Healthcare Exchange Off To Busy Start [Los Angeles Times] 

ALABAMA: State Insurance Marketplace Swamped With Consumer Interest [The Anniston Star]

RHODE ISLAND: Strong Interest On First Day Of R.I. Exchange [The Providence Journal]

SOUTH CAROLINA Health Insurance Website Overwhelmed On First Day [The State]

VIRGINIA: Markets Open For Business [Daily News-Record]

WISCONSIN: Insurance Exchanges Slowed By Demand [Green Bay Press-Gazette]

WISCONSIN: Wis. Residents Flood Exchanges [Stevens Point Journal]

OHIO: High Volume, Glitches Mark ACA’s First Day [Dayton Daily News]

PENNSYLVANIA: A First-Day Rush On Health Care [The Philadelphia Inquirer]

NEW YORK: Overloaded Website Delays Health Exchange Enrollment [The Epoch Times]

NORTH CAROLINA: Heavy Demand Stymies Health Care Law Rollout [The Fayetteville Observer]

TEXAS: Texans Sign Up Through Exchange [The Brownsville Herald] 

Officials charged with implementing the law don’t expect the visits to immediately translate into sign-ups, pointing to the experience in Massachusetts, where uninsured people visited the website multiple times before eventually enrolling in health care reform. Enrollment will be open until March 31, though the uninsured have to sign-up by Dec. 15 to receive coverage on Jan. 1.

California: Tea Party Free Zone

Comedian Bill Maher explains why California is thriving. (photo: HBO)

By Bill Maher, Reader Supported News

28 September 13

 

ew Rule: Conservatives who love to brag about American exceptionalism must come here to California, and see it in person. And then they should be afraid -- very afraid. Because while the rest of the country is beset by stories of right-wing takeovers in places like North Carolina, Texas and Wisconsin, California is going in the opposite direction and creating the kind of modern, liberal nation the country as a whole can only dream about. And not only can't the rest of the country stop us -- we're going to drag you along with us.

It wasn't that long ago that pundits were calling California a failed state and saying it was ungovernable. But in 2010, when other states were busy electing whatever Tea Partier claimed to hate government the most, we elected a guy who actually liked it, Jerry Brown.

Since then, everything Republicans say can't or won't work -- gun control, immigration reform, high-speed rail -- California is making work. And everything conservatives claim will unravel the fabric of our society -- universal healthcare, higher taxes on the rich, gay marriage, medical marijuana -- has only made California stronger. And all we had to do to accomplish that was vote out every single Republican. Without a Republican governor and without a legislature being cock-blocked by Republicans, a $27 billion deficit was turned into a surplus, continuing the proud American tradition of Republicans blowing a huge hole in the budget and then Democrats coming in and cleaning it up.

How was Governor Moonbeam able to do this? It's amazing, really.

We did something economists call cutting spending AND raising taxes. I know, it sounds like some crazy science fiction story, but you see, here in California, we're not just gluten-free and soy-free and peanut-free, we're Tea Party free! Virginia could do it, too, but they're too busy forcing ultrasounds on women who want abortions. Texas could, but they don't because they're too busy putting Jesus in the science textbooks. Meanwhile their state is so broke they want to replace paved roads with gravel. I thought we had this road-paving thing licked in the 1930s, but not in Texas. But hey, in Dallas you can carry a rifle into a Chuck E. Cheese, cause that's freedom. Which is great, but it wasn't so great when that unregulated fertilizer plant in Waco blew up. In California, when things blow up, it's because we're making a Jason Statham movie.

California isn't perfect, but it is in our nature from being on the new coast to be up for trying new things -- and maybe that's why the right wingers are always hoping we fail. On the campaign trail last year, Mitt Romney warned that if we didn't follow his conservative path, "America is going to become like Greece, or... Spain, or Italy, or... California." And that was a big laugh line with Mormons, because Greece, Spain and Italy have some art and poetry and theatre, but nothing like Salt Lake City. Yes, Mitt sure hates California, which is why he moved to San Diego. To the house with the car elevator.

What conservatives fear about California being a petri dish for the liberal agenda is well-founded. For example, as Obamacare gets implemented here much more successfully than predicted, the movement to just go all the way to a single payer system is gathering steam. It actually passed the legislature twice, but was vetoed by Schwarzenegger, who argued it didn't go far enough to cover the children of that natural, beautiful love between a man and a cleaning lady.

In lots of areas, California seems to have decided not to wait around for the knuckle-draggers and the selfish libertarian states to get on board. They can mock "European style democracies" all they want, we are building one here, and people like it -- the same way when Americans come back from a vacation in Europe they all say the same thing: "Wow, you can see titties on the beach!" But they also remark on the clean air, the modern, first world infrastructure, the functioning social safety net, and bread that doesn't taste like powdered glue. And they wonder, "Why can't we get that here?" Unless they're Republicans, in which case they wonder, "How can people live like that?"

Well, swallow hard, guys, because California is eventually going to make all Americans live like that. Why? Because we're huge. The 12th largest economy in the world, the fifth largest agricultural exporter in the world, and of course number one in laser vaginal rejuvenation. There's 40 million of us -- so, for example, when California set a high mileage standard for any car sold in this state, Detroit had to make more fuel-efficient cars; we're just too big a slice of the market, and it would be too expensive to make one car for us, and another for shit-kickers who want something that runs on coal.

It's so ironic -- the two things conservatives love the most, the free market and states rights -- are the two things that are going to bend this country into California's image as a socialist fagtopia. Maybe our constipated Congress can't pass gun control laws, but we just did. Lots of 'em. Because we don't give a shit about the NRA. Out here that stands for "Nuts, Racists, and Assholes." So while the rest of America is debating whether it's a good idea to allow guns in bars or a great idea to allow guns in bars, California is about to ban lead bullets. Which is a no-brainer, because bullets don't need lead, and lead kills birds and gets into the food supply of people who hunt their own food. Which explains why Ted Nugent is such a raving lunatic.

While other state governments are working with Jesus to make abortion more miserable -- because otherwise women would use it for weight loss -- California is making it easier. We actually have a guy dancing on the street corner dressed as the Statue of Liberty spinning a big arrow that says, "Abortions!" And a new law will even let nurse practitioners perform abortions. And dog groomers can aid assisted suicides by Skype.

California was the first state to legalize medical marijuana, our minimum wage is almost three dollars higher than the national rate, and in 10 years a third of our electricity will come from renewable energy and 15 percent of our cars will be electric.

And while Republicans in the rest of the country are threatening to deport every immigrant not named Ted Cruz, California just OK'd driver's licenses for undocumented aliens. That's right, we're letting them drive cars -- just like white people! You Red Staters may ask, "How come they're lettin' Meskins drive?" Well, it's because they have to get to their jobs. You see, here in California we're embracing the modern world -- we can't be worrying about all the nonsense that keeps Fox News viewers up at night when they should be in bed adjusting their sleep apnea mask. Our state motto is, "We're Too Busy for Your Bullshit."

The bottom line is that we are moving the country's largest economy into a place where we can all be health-insured, clean air-breathin', gay-married, immigrant-friendly citizens who don't get shot all the time. And my message to the rest of America is: do not resist. Kneel before Zod! California has been setting the trends in America for decades, from Silicon Valley to silicone tits, and it's not going to stop now. We say jump -- you say, "Please sell me new exercise clothes for jumping." We said put cilantro in food, and dammit, you did, you put cilantro in food, even though neither one of us knows what it is. Almond milk? We just had some extra almonds and thought we'd fuck with you. The enormous earlobe hole? You're welcome. We also invented the genius bar, where the kid with the enormous earlobe hole takes your MacBook in the back and fills it with animal pornography.

Boehner tells us to not get cancer for a year

September 29, 2013

Posted by Andy Borowitz

WASHINGTON (The Borowitz Report)—In a special Sunday radio address, House Speaker John Boehner (R-Ohio) delivered a health tip to the American people, advising them to delay getting cancer for a year.

“We’re involved in a high-stakes fight over our freedom from centralized government control of our lives,” said Mr. Boehner, speaking on behalf of his House colleagues. “You can do your part by delaying getting cancer.”

He added that heart disease, emphysema, and diabetes were among a laundry list of conditions that would be “patriotic to avoid for a year.”

“If you delay getting any of these things for the next twelve months, together we will win this fight,” he said.

In closing, he reassured the American people that during the government shutdown, members of Congress’ health benefits will remain intact: “We want to be in tip-top shape to continue to do the excellent job we’re doing for you.”

Photograph by J. Scott Applewhite/AP.

Social Security generates $30 billion in AZ alone

Over $29.8 Billion in Economic Activity,

Supports 202,000 Jobs in Arizona

AARP Study Quantifies Social Security Benefits’

Critical Contributions to National, State Economies

WASHINGTON, D.C. – A new study from the AARP Public Policy Institute calculates that each dollar paid to Social Security beneficiaries in Arizona generates two dollars in spending by individuals and businesses, adding over $29.8 billion in total economic output to the Arizona economy – and about $1.4 trillion to the national economy – in 2012.

The report also finds that $15.9 billion paid in Social Security benefits in 2012 helped Arizonans keep or find more than 202,000 jobs.

Social Security’s Impact on the National Economy details the powerful multiplier effect created when Social Security recipients spend their benefits and the companies which receive those dollars spend their profits and pay their employees, who in turn spend their wages. The report provides both national and state-level data.

AARP volunteers and staff in Arizona will be visiting the district offices of Arizona’s Members of Congress this week to deliver the report, along with petitions representing tens of thousands of Arizonans who are concerned about proposals to cut Social Security benefits by adopting the chained CPI in any budget or deficit reduction deal.

“This report by the AARP Public Policy Institute tells us that any adjustments Washington makes to Social Security will have a big effect on people of all ages, businesses and our economy,” said AARP Arizona State Director David Mitchell.  “That’s why AARP is fighting the chained CPI and calling for a national conversation about the future of Social Security – so those who paid into the system can have a voice in the debate and so future generations of Americans can get the benefits they’ve earned.”

Social Security benefit payments in 2012 supported more than $370 billion in salaries, wages and compensation for workers across the country.  Of the more than nine million jobs supported by Social Security spending, about four million were in just ten industries. Nationally, the largest employment impacts were seen in the food services, real estate, health care and retail industries.

In addition to illustrating Social Security’s vital role in supporting national and local economies, jobs and workers’ incomes, this report reiterates the importance of Social Security as a vital source of income for millions of Americans. Social Security benefits keep 22 million people out of poverty, including more than 15 million older Americans, and serve as the foundation of a secure retirement for millions more. Over 820,000 Arizonans receive Social Security benefits.

Social Security’s Impact on the National Economy uses an economic modeling system known as IMPLAN to calculate the multiplier effect and trace the impact of Social Security spending through the national and state economies. View the full report and details on methodology here:

http://www.aarp.org/work/social-security/info-09-2013/social-security-impact-on-the-national-economy-AARP-ppi-econ-sec.html

Additional resources are available at www.aarp.org/socialsecurity and www.earnedasay.org.

AARP is a nonprofit, nonpartisan organization, with a membership of more than 37 million, that helps people turn their goals and dreams into real possibilities, strengthens communities and fights for the issues that matter most to families such as healthcare, employment and income security, retirement planning, affordable utilities and protection from financial abuse. We advocate for individuals in the marketplace by selecting products and services of high quality and value to carry the AARP name as well as help our members obtain discounts on a wide range of products, travel, and services.  A trusted source for lifestyle tips, news and educational information, AARP produces AARP The Magazine, the world's largest circulation magazine; AARP Bulletin; www.aarp.org; AARP TV & Radio; AARP Books; and AARP en Español, a Spanish-language website addressing the interests and needs of Hispanics. AARP does not endorse candidates for public office or make contributions to political campaigns or candidates.  The AARP Foundation is an affiliated charity that provides security, protection, and empowerment to older persons in need with support from thousands of volunteers, donors, and sponsors. AARP has staffed offices in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. Learn more at www.aarp.org.