Archive for the 'economy' Category


On flower pots and libraries

Posted on June 30, 2009 by Guest Scrogue under economy, government, society [ Comments: 6 ]

by Jennifer Angliss

My city, like many other municipalities these days, has a bit of a budget crunch. Expenses exceed income and so cuts must be made. One of the first things my city cut was the flower pots that decorate major intersections in the summers. To me, that seems like a reasonable cut. Yes, the flowers are beautiful. But they cost $20,000 per year (including water and labor costs). And at the same time, our library is struggling with its budget and has a hiring freeze, even with several open positions. In my opinion, if you’ve got an underfunded library it’s not wise to spend taxpayer money on flowers.

In the end, the Rotary Club took up the cause and donated money for the planters. Wonderful, I say. We get to keep the flowers without spending very much city money on them. They are still watered and tended by city workers who have been reassigned from jobs like weeding and picking up litter, but the bulk of the expense has been shouldered by the Rotary Club and private citizens.

However, (you knew there was a however coming, right?) I am a bit concerned about the attitudes of my fellow citizens on this. Full Story »


not_that_into_youA modest proposal, perhaps.

It’s been entertaining watching American public “discourse” since the election. (I use that word in its broadest, most ridiculous sense, since nothing that hinges so completely on self-absorption, rank ignorance and pathological dishonesty can be accurately characterized by such a noble word. But indulge me. I’ve been working on my irony lately.)

On the one hand you have conservatives fainting dead away that we’re now in the clutches of a “socialist” president. Never mind that these folks wouldn’t know a real socialist if he was gnawing their balls off. Never mind that most of these folks think “socialist” is the French word for Negro. Never mind that Obama demonstrably is to socialism what Joe the Plumber is to brie-sucking Northeastern intellectualism. As arch-conservative TV pundit Stephen Colbert says, “this is a fact-free zone.”

On the other you have the righteous outrage of the progressosphere, which feels six different kinds of betrayed by a president who promised them the moon and stars and has now left them to what looks like at least a four-year walk of shame. If I might borrow from an old fraternity joke, imagine the following scene from the Oval Office: Full Story »


carboholic

moutaintoppreview2

Appalachia has some of the most impoverished communites in the United States. The entire region is economically depressed as compared to the national average. But coal communities in Appalachia are even worse off than the rest of the region, a fact that runs counter to the idea that coal jobs support local communities. A new study out of the Institute for Health Policy Research at West Virginia University and published in Public Health Reports looked at this discrepency and found that, even using conservative assumptions, the economic costs of coal mining in Appalachian communities far outweighed the benefits from having a coal mine in the community. Full Story »


carboholic

breakaces

Michael Shellenberger is one of environmentalism’s persona non grata de jour. He and Ted Nordhaus founded the Breakthrough Institute in order to push for technological solutions to environmental problems instead of policy solutions that both men have argued are doomed to failure from the word “Go.” This was not exactly a popular thing to say in the halls of Congress or around the water cooler at any number of large environmental organizations dedicated to creating policy solutions.

An analysis of the American Climate and Energy Security Act (ACES) by Shellenberger and Jesse Jenkins, Breakthrough’s Director of Energy and Climate Policy, found that the offset provisions of the legislation are so loose that they essentially make the carbon cap portion of the ACES-defined “cap-and-trade” system almost meaningless. Full Story »


Salaries at newspapers are rising, reports Jennifer Saba of Editor & Publisher, a newspaper industry trade journal. But it’s not necessarily good news for would-be journalists looking to break into an industry beset by revenue problems.

Newspaper wages rose 2.1 percent from 2008 to 2009, reported Ms. Saba, based on the annual Newspaper Compensation Study by the Inland Press Association using data from 400 U.S. and Canadian papers.

But the folks getting the raises, up to 13 percent for “interactive producers,” are not the people producing the raw content — news stories.
Full Story »

Ain’t no recession in Madrid, apparently

Posted on June 11, 2009 by Bonesparkle under economy, sports [ Comments: 3 ]

The New York Yankees earned some well-deserved criticism in the off-season when they spent a bazillion dollars on CC Sabathia, AJ Burnett and Mark Teixeira and then started charging admission at the new Taj Mahal Yankee Stadium that was so exorbitant that Donald Trump couldn’t afford a seat in the lower deck. Such excess, it was felt, was inappropriate during times of extreme financial hardship such as those the nation is enduring right now.

Well, move over Hank Steinbrenner. Just a few days ago Spanish futbol superpower Real Madrid ponied up a £59M transfer fee to pry Brazilian midfielder Kaka loose from AC Milan. If you don’t have your currency calculator handy, that’s roughly $94M US. And to be clear, that figure does not include salary. That’s just Milan’s take on the deal. The good news is that Kaka’s weekly earnings probably won’t come to more than the GDP of a mid-sized European country. Full Story »


I’d like to thank President Obama for giving me a $400 payroll tax cut. I’d sure like to help out with the economic recovery.

But that tax cut, thanks to 41 consecutive days of gasoline price increases, now amounts to only $150. Figuring my local commuting habits and trips to visit family and friends, I’ll pay about $700 to fill up my little Scion for the rest of the year at the current national average of $2.62 a gallon. I’ll be spending about $250 more at this price than I would if gasoline had remained near the December average of $1.62.

If the price of gasoline rises more (wanna bet?) over summer, I’ll be handing even more of my payroll tax cut to Big Oil.

So why the sharp, 62 percent increase? Why did the “experts” who are supposed to understand gasoline and oil markets get it wrong? Journalists have indeed been telling us the “experts” were wrong and what factors have been driving gasoline prices higher — but not why the “experts” erred in missing those factors.
Full Story »


Four years of college seems an appropriate time for the leavening of the young. They arrive on campus in various states of glee, fear, confusion, and hope. Four years later, many, perhaps even most, walk confidently across a stage to receive a diploma from the college president. Society is thus assured that these young men and women are capable of wisely voting, serving on a jury, and holding down a job.

College is 120 credits: That’s eight semesters at 15 credits per semester, and don’t let the door hit you on the way out. And it’s pricey: For the academic year just ended, public four-year colleges charged for tuition and fees, on average, $6,585 (up 6.4 percent from last year), and private four-year colleges cost $25,143 (up 5.9 percent from last year) for the same. Now add up to $10,000 for room and board. In a recession, that’s tough for many students and their families to afford.

Hence the recent surge in colleges touting three-year degrees. Save money, they promise. Get a head start on life, they say.

Don’t bet on it. Three-year degrees short-change both the student and society.
Full Story »

Keep the hope alive

Posted on June 5, 2009 by Guest Scrogue under Obama administration, economy, education, poverty [ Comments: 2 ]

by Anam

Been a long hard week. All around the college where I work as a benefits coordinator, programs are out of funding for the summer. Financial aid is strained to the breaking point by the influx of new students. Students come flooding in for vocational training designed to switch them out of their now-defunct line of work.

Worker retraining can pay for tuition, but not books. What program offers to pay for childcare? Can I qualify for financial aid if I worked most of last year? I have to stay in school to keep my food stamps; who has grant money? I field a dozen phone calls a day from students trying to find a way out of the current economic situation.

Trying to find a program to help each student is taxing at best and on bad days it is heartbreaking. Our state is broke and our social service safety net gets more threadbare each month. Full Story »


Part eleven in a series

“China is more capitalistic than any capitalist country.”

Amy, an employee at a jewelry booth in Beijing's pearl market, strings together a strand of pearls after striking a bargain with a shopper.
Amy, an employee at a jewelry booth
in Beijing’s pearl market, strings
together a strand of pearls after
striking a bargain with a shopper.

Roger Perkins of Cooper Industries told us that early on our trip. You’d have to see it to believe it, perhaps—but I’ve seen that firsthand several times on the trip, most dramatically at the silk and pearl markets. It happens on the scale of global companies, too.

“China is pragmatic,” says John Chen of Prometric, a company that specializes in testing and surveying. “When it wants to be capitalistic, it’s capitalistic. When it wants to be communist, it’ll be communist.

Chen likens China’s approach to situational management: different situations require different management approaches.

China needs the influx of cash that capitalism provides in order to continue to fuel its burgeoning economy. But at times, the country’s top-down dictatorial style allows things to get done that otherwise couldn’t happen in a democracy.

“India, for instance, is the most democratic country in the world,” Chen points out by way of example. “Everything gets debated to death and nothing ever gets done.”
Full Story »


“A TOP TEN LIST? Really? Are you fucking kidding me, Cargo? You do not appear to have the qualifications to make such a list, what with your lack of tooth gaps and, well, jeez. I mean, you? A Top Ten list? Gawd. You must be out of mate–OW!”

No.

As the American Dream™ continues to gnaw on every last bit of exposed flesh it can pick from our flailing limbs, it will no doubt, for many of us, also eat those debt-strangled, rapidly depreciating havens of dirty secrets, personal failure and indoor allergens known as parcels of real estate.

It will eventually, after a judicial process, a waiting period and probably more judicial processes, send a henchman or three to, at long last, relieve you of the burdens of homeownership and shelter.

But, come on. People in any line of work are nonetheless good, hard-working people too! They know just as well as anybody that remembers what it’s like to be employed in recent memory that work sucks and is hard, and comic relief can get us through even the toughest of times.

Accordingly, when the Evicto Man comes to summon you to your shiny new life as a spent munition in America’s War on Prosperity, here are the:

TOP TEN ADVISORIES FOR YOUR FRIENDLY FORECLOSURE EVICTION REPRESENTATIVE!

Full Story »


This year large metropolitan newspapers have folded in Seattle, Denver, and Tucson. More will likely follow. Journalists at the Post-Intelligencer, the Rocky Mountain News, and the Citizen joined the 10,000 print newsies downsized or bought out from print newsrooms over the past few decade. Media pundits (including me) cluck-cluck incessantly over these democracy-wrenching signs of the impending journalistic apocalypse.

But readers in those cities still have print options for newspapers providing some local news.

Not so in the mountain town of Carbondale, Colo., whose population about equals its elevation. The Valley Journal, founded in 1975, had its plug pulled in March, reports DeeDee Correll of the Center for Rural Affairs. The 6,000 residents had no other sources of local news.

Their solution: Publish a newspaper themselves.
Full Story »


Our friend Lee Camp is at it again:

YouTube Preview Image

Full Story »


carboholic

cbostudy

The Congressional Budget Office (CBO) is well known for producing strictly non-partisan, tightly controlled and pretty conservative (as in careful not to overreach) economic forecasts for the effects of legislation on the national economy. These forecasts are usually quantitative in nature, giving dollar estimates for costs, benefits, savings, growth, and so on. Which is one of the reasons why last week’s release of the CBOs Potential Impacts of Climate Change in the United States was relatively unusual - it’s remarkably quantitative for a body whose products are usually numbers.

Perhaps more unusual, however, is the fact that the CBO produced the summary in the first place. Scientific summaries are usually the domain of the National Academies, NOAA, NASA, et al, not the budget office. But this time Senator Jeff Bingaman (D-NM), Chairman of the Senate Energy and Natural Resources Committee, requested that the CBO produce “an overview of the current understanding of the impacts of climate change in the United States,” with an emphasis on the uncertainties surrounding those impacts and the policy difficulties that fall out of the difficulties. Full Story »


Gerg wasn’t a monster, they insisted.

He was big. He was temperamental. He was covered in green fur and didn’t wear pants. He was ever demanding. His face changed color, shape and expression depending on who was looking at him. Everybody loved Gerg, and Gerg loved everybody, but not in that genuine, heartfelt way — more like a golddigger cherishes her trophy husband, or a cheerleader loves the ugly friend she keeps around to look better in front of guys. But the support was strong, the words as heartfelt as they could sound, and the dubious sincerity of it all was easily drowned out with more wide smiles and more pairs of outstretched arms.

Gerg was, indeed, the town’s beloved mascot. On top of it all, he was always hungry. Full Story »


You’re a coalition of multinational corporations. Imagine this deal: Invest $1 in lobbying. Get a return on investment of $220. Save $100 billion on taxes, too. Nice, eh?

That’s the conclusion of three University of Kansas professors who undertook an empirical analysis of the American Jobs Creation Act of 2004 to study rates of return for money spent on lobbying, reported The Washington Post in an April 12 story by Dan Eggen.

This law — this shady excuse for a law with a name only charlatans could love — allowed companies that had earned profits overseas to inexpensively bring that money back into the States. The customary tax rate on such profits was 35 percent. But this elegantly named process — repatriation of profits — gave companies a one-time chance four years ago to haul the money home, paying only 5.25 percent.

The act was a tax holiday sought by a coalition of companies, primarily big pharmaceutical and high-technology corporations, all because they sought to pay little or no taxes on profits generated overseas — and they concocted a successful scheme to pull it off.
Full Story »

FDIC screws community banks

Posted on May 2, 2009 by Brian Angliss under United States, business, economy, government [ Comments: 13 ]

fdiclogoThe Federal Deposit Insurance Corporation (FDIC), the very organization created to guarantee deposits against bank runs and failures, is instead about to guarantee that their services are in greater demand. They’re doing this by requiring all banks, large and small, to pay a one time charge of 20 cents per $100 of deposits (aka 20 “basis points”). In the process, this unbudgeted expense will likely cause some otherwise stable and profitable smaller banks to fail while larger banks, with the assistance of federal TARP funds, will likely be able to survive. Full Story »


newtS&R has been following Newt Gingrich’s lies about energy and climate since last year when he pushed the “Drill Here. Drill Now. Pay Less.” lie in response to last summer’s oil price woes. On Friday, Gingrich appeared as a minority witness, on a panel all by himself, before the House Energy and Commerce Committee - Subcommittee on Energy and the Environment hearings on the Waxman-Markey American Clean Energy and Security Act of 2009 (ACES). S&R has reviewed Gingrich’s prepared remarks for today’s hearing and has determined that Gingrich is still up to his old tricks of lying to Congress and the American people. Full Story »


Part two in a series

How did it happen? Why did it happen? There’s simply no way to measure how many hours have devoted to these questions in the ten years and four days since Eric Harris and Dylan Klebold opened fire at Columbine High School, and while we don’t (and never will) have all the answers, we do have some of them. Obviously a good bit of the discussion focuses on the individuals themselves, and other analyses cast a broader net, examining the social factors that shaped the individuals. In a way, the question we’re still debating perhaps boils down to nature vs. nurture. Were Harris and Klebold Natural Born Killers? Or are they better understood as by-products of deeper social trends and dynamics?

The answer is probably “All of the above,” but we can’t simply check C and be on our merry, uncritical way. Full Story »


At the moment, it’s a bad time to be a political fundraiser. The deep pockets of corporate and other donors normally counted on to keep the election money machine well-oiled have suddenly gone shallow.

According to Paul Kane and Chris Cillizza of The Washington Post, donations are down — way down. Consider the first two months of 2005, 2007, and 2009: $48.8 million in ‘05; $41.6 million in ‘07; and a paltry $30.7 million this year. That’s expected, write the Post reporters, in the early months of odd-numbered years after presidential or mid-term contests.

It’s known as “donor fatigue.” It’s particularly bad at the moment because so many candidates dunned so many donors in an election year that saw the presidential election cost more than a billion dollars.
Full Story »

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