Sunday Reads: Little Big Men

0ebdc95ad82b06d8bea49b4849e78134Good Morning

This post is going to have a theme, can you guess what that is?

Our first “little” big man story, or should I say stories, of the morning…updates on the man from New Jersey, Gov. Chris Christie. The little being in quotes because this dude’s future role in the GOP used to be about as big as his “big and tall” non-wrinkle pleated-front dress slacks. Now he is being booed, yeah…you read that right…booed, and you know for a man like Christie, that has to sting like hell.

Gov. Chris Christie Booed Twice in One Week at Super Bowl Events | Mediaite

3729011e942d087aae0a96f0bd8f00dbFor the second time this week, Governor Chris Christie was met with scattered boos when he took the stage for an event leading up to Sunday’s Super Bowl XLVIII at New Jersey’s MetLife Stadium. The first incident occurred on Monday night, when Christie appeared alongside New York City Mayor Bill de Blasio in Jersey City.

As Al Sharpton, who aired video footage from the event on PoliticsNation Tuesday night said, “It was a dramatic contrast to what we saw three months ago” when he was reelected in a landslide.

No kidding, video at the link.

Well, a lot has happened since the first and second booing. That being the news that Christie knew what was going on with the bridge…as told by former BFF David Wildstein.John Gutmann, 1935

Okay, you know I am joking with the BFF thing right? The NY Times had the story here: Christie Linked to Knowledge of Shut Lanes

Read all the stuff there, I know Dak and Boston Boomer have covered it too.

Then we have the backlash from Christie himself.

Chris Christie attacks N.Y. Times, David Wildstein – Mike Allen and Maggie Haberman – POLITICO.com

New Jersey Gov. Chris Christie, after a low-key initial response to Friday’s explosive allegations about his involvement in a bridge-closing scandal, mounted an aggressive defense late Saturday afternoon, attacking The New York Times and a former political ally in an email to friends and allies obtained by POLITICO.

“Bottom line — David Wildstein will do and say anything to save David Wildstein,” the email from the governor’s office says, referring to the former appointee who reignited the controversy.

30461ca47ed89bcf41c64db627d7fb0dI think the best part of this move from Christie is the title of this email his office sent out:

The subject line of the 700-word email from the governor’s office is: “5 Things You Should Know About The Bombshell That’s Not A Bombshell.” It offers a harshly negative portrayal of Wildstein’s character and judgment.

Sounds like one of those quickie news articles from USA Today.

Read the rest at that link to Politico, I have another link about the email here from TPM, I just wanted to use this picture: Christie Hits Back: Bridge Official Will ‘Say Anything To Save’ Himself

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The full email is below.

Christie Email

This email goes back to an incident in Wildstein’s past…when he was a 16-year-old kid for Christ’s sake.

Geezus….go look at the full email, it is priceless.

Worse Than I Realized by Josh Marshall at TPM:

It speaks for itself that Wildstein is out to save himself. He is not sitting on a reputation for integrity and truth-telling. So the wisdom of doing anything more than saying Wildstein is trying to save himself and lacks credibility is highly questionable. The end product here reads like it’s coming from a team or a person who is flailing and grasping at straws.

If I’m a Republican power player reading this to a get a read on what’s actually happening, what’s likely to happen next week or next month, I think I come away thinking things are considerably worse than I realized.

18f25a5ddcf4c15866f1d40653b3b49fOne more Christie link: Chris Christie should resign if bombshell proves true: Editorial | NJ.com

Forget about the White House in 2016. The question now is whether Gov. Chris Christie can survive as governor.

David Wildstein, the man who ordered the George Washington Bridge lane closures, is now pointing the finger directly at Gov. Chris Christie, saying the governor knew about the lane closures in September when they occurred.

That directly contradicts Christie account at his Jan. 13 press conference when he made this statement: “I had no knowledge of this — of the planning, the execution or anything about it… I first found out about it after it was over.”

If this charge proves true, then the governor must resign or be impeached. Because
that would leave him so drained of credibility that he could not possibly govern effectively. He would owe it to the people of New Jersey to stop the bleeding and quit. And if he should refuse, then the Legislature should open impeachment hearings.

Well, moving on…to another New Jersey little “big” man…Danny DeVito.  Esquire Interview -The Serene Beauty of the Five-Foot Fury of Asbury Park Guy just needed a job, and instead he became Danny DeVito. And the word big is in quotes for Danny because the man is just fucking awesome and bigger than anything you can possibly imagine.

His parents sent him to board at a prep school in the upper-crust suburb of Summit, New Jersey, fifty miles north and inland. He was the baby by more than a decade to two sisters, and as the only boy—the DeVitos had suffered the loss of two children, including a son, years before Danny came along—he was their prince. His father, Daniel Sr., preferred paying tuition to bail money.

“My father was a good man,” DeVito says. “He supported his family. He always worked hard. He had a candy store, a luncheonette kind of thing, when I was born. Then he had a pool hall. That didn’t really do very well. It was small—five tables—and couldn’t really compete. But he loved to play pool.”

One of the classic experiences I had with my father was we drove from Asbury to see a guy named Mr. Blatt. Mr. Blatt had pool tables—probably had other sports equipment, too. I don’t know. All I know is we drove up to New York, I think—November, December—in one of his Oldsmobiles. He always had an Oldsmobile. It was like paradise for a kid going into this place, and he ordered five slate-top four-and-a-half-by-nine tables, which fit—just fit—in the little store he rented. And he picked out the felt, he picked out the balls, the cue balls, the chalk, the counters for the straight pool counters, pill bottles for pill pool. Picked all this stuff out. I was twelve, maybe.”

That’s a big deal for a boy that age.

“Yeah, a real big deal. And on the way home, it started snowing. One of the biggest blizzards that we ever had. And we were stuck without chains, on the way back to the shore, in the middle of it. No cell phones—you’re at the mercy of humanity. And people stopped. Somebody stopped, and they had an extra set of chains and fixed my father up. He never was slow with the duke, my father”—an old-school nod to the timeless practice of greasing the right palm in return for a solid—”so it worked out good.”

Which is a wonderful story, don’t you think?  That made me think of this scene from Throw Momma From the Train:

Please go read the entire interview, it is a great long read. I’ve caught up on lots of It’s Always Sunny in Philadelphia episodes I’ve missed over the years. That is one funny show.

e878a32e5e478ba5a419d16b238b0dc6In other news that seems fitting for something out of the circus, this article by Zach Beauchamp:  The Inside Story Of The Charlatan Who Duped The Nation’s Top Conservatives | ThinkProgress

On New Year’s Eve, I learned FEMA’s “Dirty Little Secret.”

It was the title of a fascinating email, one that had somehow dodged my spam filter. The message was suffused with breathless concern about the Federal Emergency Management Agency’s recent order of “420 million survival meals;” such provisions are apparently “the #1 most critical item in a crisis.” You see, “FEMA knows that if you control the food supply, then you control the people.”

Normally, such paranoid ramblings merit nothing more than a quick delete and a sad shake of the head. But the New Year’s note stood out because of the source. I was being alerted to FEMA’s nefarious plot by no less than National Review, the nation’s most important conservative magazine.

“Please find this special message from our sponsoring advertiser Food4Patriots,” the publication wrote. “This important support affords us the continuing means to provide you with National Review’s distinctly conservative and always exceptional news and commentary. We encourage you to patronize our sponsors.”

Since being added to National Review’s subscriber list, I had received four emails from the venerable publication selling me on Food4Patriots’ plan to “make darn sure your family won’t go hungry or get herded into a FEMA camp” by purchasing the dehydrated food they’re hawking. Indeed, Food4Patriots is deeply ensconced in the conservative movement, placing its ads in both more mainstream outlets (Fox News, Townhall.com) and fringier sites (Glenn Beck’s The Blaze, RedState, WorldNetDaily).

Food4Patriots is a lucrative enterprise. Its parent company, Reboot Marketing, took in $11.8 million in 2012, an astonishing 1,428 percent increase over its 2009 revenue.

But the company’s skyrocketing revenues came on the back of some (arguably) really shady practices. In fact, when I wrote National Review’s editor and publisher to give them a heads up about what I learned about the company, they promptly suspended future Food4Patriots ads.

Oh it is good…fascinating stuff, and it is a long read so go refill that coffee.

843d34af3ec04fdeb8f6e9a6bc6362d8Another link for you, this is an update to something I don’t think we have mentioned on the blog before so first the back story. Sam Bee interviewed Peter Schiff, an asshole CEO. Who goes on to tell Daily Show viewers the ‘mentally retarded’ could work for $2: ‘You’re worth what you’re worth’ | The Raw Story

The investment broker and talk radio host told Daily Show correspondent Samantha Bee that lifting the minimum wage to $10.10 per hour, as President Barack Obama announced he would do by executive order for federal employees, could have devastating effects.

“There’s a law in economics, supply and demand, that you learn in Econ 101, and if you increase the price of something, you decrease the demand,” Schiff said. “The higher you make the minimum wage, the more jobs are going to be destroyed.

The CEO of Euro Pacific Capital argued that government programs, not low wages, were trapping Americans in poverty, and claimed that paying workers twice as much would double the cost of some goods – such as fast-food hamburgers.

“I do like to taste the tears of poverty in my milkshakes,” Bee said.

Schiff said those workers already earn enough.

“Did you ever go into a McDonald’s or Burger King?” he said. “I don’t really eat there, but they don’t seem desperate and hungry to me. They’re young kids, they seem to be enjoying themselves mostly.”

People don’t go hungry in a capitalist economy, Schiff claimed.

“It’s socialism that creates, you know, scarcity, that creates famine,” he said. “In a free market, there’s plenty of food for everybody – especially the poor.”

Schiff argued that eliminating the minimum wage law would allow more people entry to the workforce, and Bee asked him to identify someone whose work might be worth just $2 an hour.

“You know someone that might be? Maybe someone who is – what’s the politically correct word, you know, for mentally retarded,” Schiff said. “I believe in the principles this country was founded on.”

“I’m not going to say that we’re all created equal,” he said. “You’re worth what you’re worth.”

e006fb9d73724c77aad8e8710ad04350Well, the video is something you need to see, it is at the link. Go watch it.

Okay that was crazy, wasn’t it?

Now, check out what the dude is saying now: Investor Peter Schiff digs himself in deeper after ‘Daily Show’ remarks about the ‘retarded’ | The Raw Story

Radio commentator and investment adviser Peter Schiff , who was recently interviewed by The Daily Show’s Samantha Bee for a segment on the minimum wage, is very upset that he has been pilloried for using the not very politically-correct expression “mentally retarded” on air. During the episode, when prodded by Bee to explain who might be willing to work for $2 an hour, Schiff responded,  “You know someone that might be? Maybe someone who is – what’s the politically correct word, you know, for mentally retarded. I believe in the principles this country was founded on.”

Responding to public criticism about his star turn, Schiff has taken to his blog to express his displeasure with The Daily Show by pointing out that that Samantha Bee didn’t assist him with his answer and that he had delivered a four hour long disquisition on the free market and pay rates that somehow didn’t make it onto the half-hour long  satirical news program.

b26982af32a2d9f6a2c98435ffe5c297It is like some kind of canyon he is digging here.

Mr. Schiff  pointed out that  “Of the more than four hours of taped discussion I conducted, the producers chose to only use about 75 seconds of my comments. Of those, my use of the words ‘mentally retarded’ (when Samantha Bee asked me who might be willing to work for $2 per hour – a figure she suggested) has come to define the entire interview.” He then added,  “I just couldn’t remember the politically correct term currently in use (it is “intellectually disabled”). Assuming she knew it, Bee could have prompted me with the correct term, but she chose not to.”

Mr. Schiff then went on to further clarify that there were were two groups who would probably be happy to work for $2 an hour: the more appropriately named ” intellectually disabled”  and  “…unpaid interns who tend to value work experience and connections more than pay. ” He then pointed out that the Daily Show staffer who booked him for the show and attended the interview had  “… been thrilled to start there as an unpaid intern.”

Turning back to the “intellectually disabled”, Mr. Schiff added that if they “…can’t perform work that produces a minimum wage level of output, then no employer seeking to make a profit could afford to pay that person the official minimum wage. ” and that “Many of the jobs they perform may seem mundane to those of normal intelligence, but they are often the most enjoyable and rewarding aspects of the lives of people with intellectual disabilities. I pointed out that if the federal minimum wages were to apply to them, a great many of those opportunities would vanish. Others may disagree, but I believe a job for such a person at $2 per hour is better than no job at all.”

Some of his best friends are retards, oops… “intellectually disabled.” WTF is wrong with these people?

daab3814f86be30205d0781a9a71a933Just a few more links for you today, in dump fashion.

Postal Service Banking: How the USPS Can Save Itself and Help the Poor | New Republic by David Dayen

One of the key messages of tonight’s State of the Union address will be President Obama’s willingness to bypass Congress to create jobs and reduce inequality. As luck would have it, yesterday a new government report detailed an innovation that would preserve one of the largest job creators in the country, save billions of dollars specifically for the poor, and develop the very ladders of opportunity that Obama has championed as of late. What’s more, this could apparently be accomplished without Congressional action, but merely through existing executive prerogatives.

What’s the policy? Letting the U.S. Postal Service (USPS) offer basic banking services to customers, like savings accounts, debit cards and even simple loans. The idea has been kicked around policy circles for years, but now it has a crucial new adherent: the USPS Inspector General, who endorsed the initiative in a comprehensive white paper.

I have read this whole article and I don’t know what to think of it. Dak? Any thoughts?

This op/ed is only here because of the spelling topic of the thing…not the repeal Obamacare stuff…okay. Correct Spelling, Canceled by Phil Kerpen

As an American, I laugh at those archaic British spellings. Colour? Honour? Their inferiourity, if you will, is obvious. Centre? Theatre? Ridiculous. Most of these barbaric forms were corrected in America hundreds of years ago. Yet one galling Britishism is appearing on my computer screen all too frequently of late: “cancelled,” with a gratuitous extra l.

133581 600 Correct Spelling, Canceled cartoons
Randall Enos / Cagle Cartoons

Does something about Obamacare drive otherwise reasonable people to write about health plans being “cancelled” instead of “canceled”? Does the prospect of intrusive government involvement in health care cause us to regress? Is it subconscious deference to British and Canadian expertise at imposing socialized medicine? Whatever the cause, it needs to stop.

f734859e318878ec2ee90f8ac299fbccI don’t know, I usually have to go back and correct my spelling of flavour to flavor. Anyway,

Google’s Ngram feature searches the vast library of books Google has digitized. A search for “traveller” and “traveler” shows the British version remained dominant in America throughout the 19th century, but by 1915 the single l version overtook it and is now dominant. Merriam-Webster even touts “traveler” as an example of a Noah Webster triumph.

It took longer for “canceled” to triumph over “cancelled,” according to Google Ngram. The single l version didn’t take the lead until 1942, and they remained competitive for the next 40 years before “canceled” took the lead for good in 1983. As of 2000, the most recent year covered by the Google data, the now-standard American version was used over 73 percent of the time. The double l monstrosity appeared destined to finally disappear. In 2010, the Associated Press helpfully reminded the world that their style guide says “canceled” has one l.

Yet lately it seems everywhere I look there are American publications going British on this word. It’s baffling. If we are slouching towards a British-style health care system, we should at least spell the canceling of all those health plans in the correct American fashion.

3862148307_6d6daa3819This leads me to a little wordplay: World Wide Words Newsletter: 1 Feb 2014 Give the mitten

Q From Michael Thomas: I was recently working an acrostic puzzle and came upon the clue, “to break up with a loved one”. The answer, which I had never run across, was give the mitten. Could you explain the history of this phrase, please?

A It’s new to me, too, Mr Thomas, as it probably is to readers, since it is now extremely rare. The meaning has often been the one you give (in the American Civil War, a soldier who received a Dear John letter was said to have been given the mitten) but it could also often mean that a woman had rejected a unwelcome admirer out of hand. It occasionally meant that a student had been expelled from college or a workman had got the sack.

It’s known to be at least 170 years old. It has sometimes been taken to be North American, as the examples that were written down first — in the 1840s — are from works by Thomas Chandler Haliburton of Nova Scotia, who had a keen ear for the vocabulary of his times. However, as it is also recorded in Britain and Canada during much of the nineteenth century, it is probably an older British idiom that emigrants had carried abroad. In support of this, at the end of the century, the English Dialect Dictionary noted it as a British regional or dialect expression in the form to send one a mitten, to reject somebody or to cast them off.

Oh why didn’t we know this when Mitt was running for Prez…we could have used that as a slogan. Let’s send Mitt a mitten.  More at the link.

Back to the little big man theme: The Extreme Emotional Life of Völundr the Elf

An illustration of Völundr.Elves have been a fixture in the European mentality for a long time in fairytales and legends and, recently, in the most popular novels and films of our age. In this article, my aim is to determine the function of elves in Old Norse narratives from the thirteenth century by concentrating on the figure of Völundr, the protagonist of Völundarkviða, who to my mind is the most important Old Norse elf. The poem portrays his marriage to a southern swan-maiden who later leaves him. He then retires into solitude, hunting bears, and counting his rings until he is captured and enslaved by the avaricious King Níðuðr. The poem ends with Völundr’s gruesome revenge on the king and his family.

Völundarkviða is the tenth of twenty-nine poems in the Codex Regius ms of the Poetic Edda. Few Eddic poems have suffered less from scholarly neglect: a recent bibliography lists over 100 studies, not counting editions. There are grounds for this attention. To take one, Völundarkviða is usually classified as a heroic rather than mythological poem and shares common characteristics with some of the more ancient heroic poems in the Elder Edda, and yet it stands among the mythological Eddic poems in the manuscript between Þrymskviða and Alvíssmál.

Over the weekend I saw this man was buried with his Harley Davidson, did you see it?

American biker buried ‘riding’ Harley-Davidson in clear box – Americas – World – The Independent

An American biker has made his final journey on his beloved Harley-Davidson and been buried astride the motorbike in a clear box.

It was Bill Standley’s wish to share a grave with the 1967 bike, which took him travelling around 49 out of America’s 50 states.

His body was dressed in full riding gear and positioned on the Harley in a see-through box, which was driven to the cemetery on a trailer before being lowered into the extra-large plot.

Work on the unusual coffin started six years before Mr Standley’s death, aged 82.

He built the plastic casket that would hold him and his motorbike himself with his sons, and bought three burial plots next to his wife.

Damn, talk about taking it with you. There is a video report at the link, if you need to see it. The photo is enough for me.

And finally another twist on our title, but this features little big men and women…

Alrighty then.  Y’all have a wonderful day, and since it is Superbowl Sunday…I guess we’ll see you around the blog later on.  In the meantime, what are you reading about this morning?


Monday Reads: We’re losing the War on Poverty

Good Morning!

Fred Retail Worker WagesI am still stirred up about wage inequality.  It just drives me nuts to watch all these people tramp into stores that pay workers wages they can’t live on with next to nothing in benefits.  I can’t imagine that having more junk is all that important that you have to buy it from owners that treat employees like expendables.  Then, these workers must rely on shrinking government programs. I don’t mind paying taxes for a safety net but having people work at jobs where employers let their benefits come from taxpayers just doesn’t seem right at all.

 You can tell what kind of  post this will be just by seeing wonky graphs that come from Paul Krugman right here at the top.  Then, there is the actual data that puts the U.S. minimum wage into perspective.

As a result of legislative inaction, inflation-adjusted minimum wages in the United States have declined in both absolute and relative terms for most of the past four decades. The high-water mark for the minimum wage was 1968, when it stood at $10.60 an hour in today’s dollars, or 55 percent of the median full-time wage. In contrast, the current federal minimum wage is $7.25 an hour, constituting 37 percent of the median full-time wage. In other words, if we want to get the minimum wage back to 55 percent of the median full-time wage, we would need to raise it to $10.78 an hour.

International comparisons also show how out of line our current policy is: the United States has the third lowest minimum wage relative to the median of all Organization for Economic Cooperation and Development countries. This erosion of the minimum wage has been an important contributor to wage inequality, especially for women. While there is some disagreement about exact magnitudes, the evidence suggests that around half of the increase in inequality in the bottom half of the wage distribution since 1979 was a result of falling real minimum wages. And unlike inequality that stems from factors like technological change, this growth in inequality was clearly avoidable. All we had to do to prevent it was index the minimum wage to the cost of living.

Of course, we don’t inflation adjust the minimum wage.  Also, there are more and more good jobs that are being restructured down so employers can get away with not paying a living wage too. Here’s an example of why so many workers in the US cannot even survive–much less get ahead–in most jobs.  This example is from the Seattle area even though the analysis can be found in The New Yorker.  The author is interested in the topic because of the activism that followed.

In 2005, Alaska Airlines fired nearly five hundred union baggage handlers in Seattle and replaced them with contractors. The old workers earned about thirteen dollars an hour; the new ones made around nine. The restructuring was a common episode in America’s recent experience of inequality. In the decade after 2000, Seattle’s median household income rose by a third, lifted by the stock-vested, Tumi-toting travellers of its tech economy. But at the bottom of the wage scale earnings flattened.

Sea-Tac, the airport serving the Seattle-Tacoma area, lies within SeaTac, a city flecked by poverty. Its population of twenty-seven thousand includes Latino, Somali, and South Asian immigrants. Earlier this year, residents, aided by outside labor organizers, put forward a ballot initiative, Proposition 1, to raise the local minimum wage for some airport and hotel workers, including baggage handlers. The reformers did not aim incrementally: they proposed fifteen dollars an hour, which would be the highest minimum wage in the country, by almost fifty per cent. A ballot initiative so audacious would normally have little chance of becoming law, but Proposition 1 polled well, and by the summer it had turned SeaTac into a carnival of electoral competition. Business groups and labor activists spent almost two million dollars on television ads, mailings, and door knocking—about three hundred dollars per eventual voter. (Alaska Airlines wrote the biggest check for the no side.) On November 5th, SeaTac-ians spoke: yes, by a margin of just seventy-seven votes, out of six thousand cast. A reversal after a recount is still possible.

In any event, SeaTac has proved that the sources of surprise in American politics since the Great Recession are not limited to Tea Party rabble-rousing. The grassroots left, which seemed scattered and demoralized after the Occupy movement fizzled, has revived itself this year—with help from union money and professional canvassers—by rallying voters around the argument that anyone who works full time ought not to be at risk of poverty

Indeed there are many states that now have state minimum wages higher than the federal minimum wage. Here’s why according to minimum wageARINDRAJIT DUBE–an economist–who I quoted above on how inflation has compromised the federal minimum wage.

These patterns show up in recent survey data as well, as over three-quarters of Americans, including a solid majority of Republicans, say they support raising the minimum wage to either $9 or $10.10an hour. It is therefore not a surprise that when they have been given a choice, voters in red and blue states alike have consistently supported, by wide margins, initiatives to raise the minimum wage. In 2004, 71 percent of Florida voters opted to raise and inflation-index the minimum wage, which today stands at $7.79 per hour. That same year, 68 percent of Nevadans voted to raise and index their minimum wage, which is now $8.25 for employees without health benefits. Since 1998, 10 states have put minimum wage increases on the ballot; voters have approved them every time.

But the popularity of minimum wages has not translated into legislative success on the federal level. Interest group pressure — especially from the restaurant lobby — has been one factor. Ironically, the very popularity of minimum wages may also have contributed to the failure to automatically index the minimum wage to inflation: Democratic legislators often prefer to increase the wage themselves since it allows them to win more political points. While 11 states currently index the minimum wage, only one, Vermont, did so legislatively; the rest were through ballot measures.

Protesters across the country are targeting employers like Walmart. Walmart is a huge example of a company where workers are so poor they rely on government safety net programs.  Workers want full time hours, benefits, and a living wage. This example is from the Detroit area.

Across the nation Friday, protesters came out in support of increasing the minimum wage and they chose Walmart stores as their target.

In Macomb County, a loud rally was held outside the retailer’s Sterling Heights location.

WWJ’s Pat Sweeting spoke with local Market Manager Bernie Dave. He says wages vary according to shift, location and competition within the market.

“It’s over minimum wage … entry-level is over minimum wage and then based on experience there are obviously different pay scales and different pay rates,” Dave said.

Minimum Wage Wal Mart Protest (5) PSweetingProtesters charge the majority of Walmart employees earn minimum wage; taking home less than $25,000 a year.

After handing-over a petition bearing hundreds of signatures, protesters continued their rally shouting “D-15.”

Ricardo Jackson of the service Employees International Union explains: “We are fighting for the rightful benefits that we deserve … Fifteen dollars an hour, and a union and we want if now … and we’re going to keep fighting till we break their backs and get what we deserve,” he said.

We have seen a lot of right wing populism in the tea party wing of the Republican Party recently. Are we about to see a left wing version now that will gain ground in the Democratic Party? The increasing call from both sides of the aisle to gut popular New Deal Programs–like Social Security–at a time when so many ordinary Americans are really hurting is creating a new dialogue on the nation’s priorities. The beltway’s priorities come from the donor class and people every where are very frustrated. Senator Elizabeth Warren has established herself as an important voice in the fight to maintain our legacy entitlement programs. We paid for them and we deserve the benefits they provide.

The left’s influence will be on display in coming weeks when a high-profile congressional committee formed after the government shutdown faces a deadline to forge a budget agreement. Under strong pressure from liberals, the panel has effectively abandoned discussion of a “grand bargain” agreement partly because it probably would involve cuts to Social Security.

“The absolute last thing we should do in 2013 — at the very moment that Social Security has become the principal lifeline for millions of our seniors — is allow the program to begin to be dismantled inch by inch,” Warren said recently on the Senate floor, announcing her support for a bill that would expand the program.

Liberals say Social Security is one example of how Democrats are likely to face sustained pressure in coming months to move in a more populist direction on a host of issues.

“The first Obama administration was focused too much on saving the banks and Wall Street,” said Sen. Tom Harkin (D-Iowa), a liberal who is retiring after four decades in Congress. “There’s going to be a big populist push on whoever’s running for office to espouse these kinds of progressive policies.”

I watch all of these things with intense interest as an economist and some one concerned about social justice. The  appalling amount of income inequality in this country is creating a situation where more and more people are being left to less and less.  However, Fear NOT!  The richest of the rich are paying money to live in luxury shanty towns so they can pretend to be poor. Yes, talk about things I wish weren’t true.  This takes real gall.

Emoya Luxury Hotel and Spa created a fake shanty town so that its wealthy clientele can pretend to slum it “within  the safe 473986-f0edbafc-5ae8-11e3-8eb9-1c57f26bd260environment of a private game reserve.”

But don’t worry, even though the “Shanty Town” has intricately designed, colorful iron shacks, outdoor bathrooms, and battery operated radios, things aren’t too realistic for comfort. “This is the only Shanty Town in the world equipped with under-floor heating and wireless internet access!” its website boasts.

And it’s also listed as ideal for team building exercises or theme parties. Because nothing is more festive than pretending to pinch pennies while spending a third of the median South African monthly income in one night.

Poverty tourism, also known as “poorism,” isn’t unheard of.  There have been various “reality” tours through the slums of Mumbai and Rio de Janeiro’s favelas for years.

While the merits of visiting a real shanty town, as if it were a museum exhibit or a wildlife reserve, is certainly up for moral debate, pretending to have the experience without ever having to set eyes on people who are actually suffering is a whole different kind of tone deaf.

They still drive buses over the canal so tourists can gawk at the empty lower 9th ward and the few houses built by celebrity charity.  This kind of shock and awe tourism is just awesomely insensitive.  It’s just too bad that the least all of this could do is put money into poor neighborhoods.  That never seems to happen,

Speaking of insensitive uber rich people, remember the Romney campaign?  This story ought to have every economist who has read the empirical research on the impact of minimum wages doing a face palm.  Yes, you are so worthless that you’d never ever get an opportunity to work if it wasn’t on the cheap.

CNN contributor Kevin Madden, a former advisor and spokesperson for Mitt Romney (R), said on Sunday that Congress should not raise the minimum wage because it would deny people the “opportunity to grab that bottom rung of the economic ladder.”

During a panel segment on CNN’s State of the Union, host Candy Crowley observed that there was a “seriousness” to the recent protests at companies like Walmart and President Barack Obama’s call to raise the minimum wage.

Democratic strategist Donna Brazile pointed out that many Walmart employees were forced to rely on food stamps and other federal benefits because they were not paid a living wage.

“The idea that someone could work hard full time and still be below the poverty level or near it and needing federal assistance seems wrong to a lot of people,” Crowley noted.

“The question here is economic opportunity and how we address it,” Madden remarked. “Oftentimes when you have the federal government or others step in and they start to raise the minimum wage, what happens is you take away or reduce some people’s opportunity to grab that bottom rung of the economic ladder, to get the opportunity and skills that you need to move up that economic ladder.”

“They’re still not high paying jobs though,” Crowley pressed.

Madden argued that there needed to be “greater economic opportunity across the spectrum of the economy” instead of just focusing on raising wages for the poorest Americans.

I am not even sure I want to know what he means by ‘greater economic opportunity”.  I’m visualizing sharecropping and indentured servitude frankly.

So, you can see I spent an entire blog post on one topic.  I’m relying on you to help us cover some other areas.  This subject is just one I feel passionate about.

What’s on your reading and blogging list today?


Saturday Reads: A Mixed Bag of Stupid, Crazy and Sad, with Some Awesome Thrown In

MezenzevDenis_Mad_hatter_tea_party

Good Morning!!

Did you hear about how Tennessee Republican Rep. Marsh Blackburn tried to argue against President Obama’s proposal to increase the minimum wage and then index it to inflation–and then ended up demonstrating why the increase is desperately needed? She claimed that we need to lower the minimum wage to help young kids get into the work force–the way it was back in the late 1960s or early 1970s when she got her first job in Mississippi and the minimum wage was $2.15.

Quoted at Think Progress:

BLACKBURN: What we’re hearing from moms and from school teachers is that there needs to be a lower entry level, so that you can get 16-, 17-, 18-year-olds into the process. Chuck, I remember my first job, when I was working in a retail store, down there, growing up in Laurel, Mississippi. I was making like $2.15 an hour. And I was taught how to responsibly handle those customer interactions. And I appreciated that opportunity.

Too bad Blackburn forgot (or didn’t know) that $2.15 was worth a hell of lot more in 1968 than it is in 2013.

Blackburn was born in 1952, so she likely took that retail job at some point between 1968 and 1970. And according to the Bureau of Labor Statistics’ inflation calculator, the $2.15 an hour Blackburn made then is worth somewhere between $12.72 and $14.18 an hour in today’s dollars, depending on which year she started.

At that time, the minimum wage was $1.60, equivalent to $10.56 in today’s terms. Today’s minimum wage is equivalent to just $1.10 an hour in 1968 dollars, meaning the teenage Blackburn managed to enter the workforce making almost double the wage she now says is keeping teenagers out of the workforce.

These poor math-challenged Republicans just can’t help themselves. They’re stuck on stupid.

Yesterday Dakinikat posted about Elizabeth Warren’s questioning of bank regulators during her first appearance at a Banking, Housing and Urban Affairs Committee hearing. Oh my, the big bankers are freaking out about it. From HuffPo:

Sen. Elizabeth Warren’s (D-Mass.) meeting with bank regulators Thursday left bankers reeling, after she questioned why regulators had not prosecuted a bank since the financial crisis.

At one point, Warren asked why the book value of big banks was lower, when most corporations trade above book value, saying there could be only two reasons for it.

“One would be because nobody believes that the banks’ books are honest,” she said. “Second, would be that nobody believes that the banks are really manageable. That is, if they are too complex either for their own institutions to manage them or for the regulators to manage them.”

That set off angry responses to Politico’s Morning Money. “While Senator Warren had every right to ask pointed questions at today’s Senate Banking Committee hearing, her claim that ‘nobody believes’ that bank books are honest is just plain wrong,” a “top executive” emailed the financial newsletter. “Perhaps someone ought to remind the Senator that the campaign is over and she should act accordingly if she wants to be taken seriously.”

So if she wants to be “taken seriously,” she should act like a doormat and let bankers walk all over her?

During the hearing, Warren asked why ordinary people often faced prosecution while banks do not.

“You know, I just want to note on this. There are district attorneys and U.S. attorneys who are out there every day squeezing ordinary citizens on sometimes very thin grounds. And taking them to trial in order to make an example, as they put it. I’m really concerned that too big to fail has become too big for trial,” she said. “That just seems wrong to me.”

Like the Aaron Swartz prosecution, for example?

According to an article in the Washington Post this morning, the proposed new assault weapons ban isn’t likely to be particularly effective: Latest try at new assault weapons ban would exempt more than 2,200 specific firearms

Congress’ latest crack at a new assault weapons ban would protect more than 2,200 specific firearms, including a semi-automatic rifle that is nearly identical to one of the guns used in the bloodiest shootout in FBI history.

One model of that firearm, the Ruger .223 caliber Mini-14, is on the proposed list to be banned, while a different model of the same gun is on a list of exempted firearms in legislation the Senate is considering. The gun that would be protected from the ban has fixed physical features and can’t be folded to be more compact. Yet the two firearms are equally deadly.

“What a joke,” said former FBI agent John Hanlon, who survived the 1986 shootout in Miami. He was shot in the head, hand, groin and hip with a Ruger Mini-14 that had a folding stock. Two FBI agents died and five others were wounded.

The bill propopsed by CA Sen. Diane Feinstein

…would ban 157 specific firearms designed for military and law enforcement use and exempt others made for hunting purposes. It also would ban ammunition magazines that hold more than 10 rounds.

Yet there are firearms that would be protected under Feinstein’s proposal that can take large capacity magazines like the ones used in mass shootings that enable a gunman to fire dozens of rounds of ammunition without reloading.

Feinstein said in a written response to questions from The Associated Press that the list of more than 2,200 exempted firearms was designed to “make crystal clear” that the bill would not affect hunting and sporting weapons.

Sigh…

A couple of days ago, Molly Ball of The Atlantic tried to figure out why 22 conservative Republicans voted against the Violence Against Women Act when do so has the effect of making Republicans “look bad.”

Surely Republicans, whatever you may think of them, are not actually in favor of violence against women. But if they’re going to absorb all this terrible publicity, they must have significant substantive objections to the legislation in question, right?

If you say so, Molly. I think they’re just plain mean and stupid.

The objections can be grouped in two broadly ideological areas — that the law is an unnecessary overreach by the federal government, and that it represents a “feminist” attack on family values. “The ideological foundations of the law are flawed and have led to an inability to help victims effectively,” Christina Villegas, a visiting fellow at the conservative Independent Women’s Forum and adjunct professor of political science at Cal State San Bernadino, told me.

VAWA, Villegas said, is premised on the theory that violence against women is a product of sexism and patriarchy — “men’s desire to keep women down” and the sexes’ unequal social status. But research shows that such violence has many sources, from substance abuse to marital conflict, according to Villegas. “VAWA provides so much funding [based on this model] that could be so much more effective if it focused on the proven causes of violence,” she said.

And so on, you can read the rest at the link. But what Ball’s straight-faced reporting of conservative objections to the bill really demonstrates is that their excuses are just cover for the simple truth that a lot of Republicans think that protecting them from rape, murder, and beatings by husbands and boyfriends violates men’s “rights.” As Amanda Marcotte wrote in her response to Ball’s piece, Republicans “have issues.”

WTF?!

WTF?!

Molly Ball of the Atlantic decided to delve into why it is that Republicans have caved into conservative pressure groups who oppose the Violence Against Women Act. The reasons that conservatives gave her were, she had to admit, shallow and idiotic and, if she delved in deeper (the claim that VAWA is making domestic violence worse is simply not true), straight up dishonest, but she didn’t make the obvious leap and realize that perhaps conservatives oppose VAWA because they are misogynist, and that all the excuses they give are attempts to deflect people from seeing the obvious.

But in case you are still struggling to accept that straight-up misogyny might be driving the fight against VAWA, consider this: Talking Points Memo discovered the conservative super-PAC and advocacy group [that] has been behind the push against VAWA. You don’t have to dig very deep to discover that their reasons are blunt force misogyny:

In a blog post, FreedomWorks criticized the cost of the legislation — $660 million — and pointed out that domestic violence is “already illegal in all 50 states.” It added: “Supporters of the VAWA portray women as helpless victims – this is the kind of attitude that is setting women back.”

Well what do you know? Freedom Works again. Marcotte continues:

In other words, the solution to domestic violence is to simply refuse to label a woman whose partner is beating her a “victim”. Got it. I’m curious if FreedomWorks is willing to expand this attitude towards other crimes. Mugged? Well, it’s disempowering and bad for you to call you a “victim”—god forbid!—so let’s just say you’re generous to people who wield guns and call it a day. FreedomWorks also claims that simply having laws on the books banning domestic violence is enough—as long as we formally say we’re against it, we don’t need to do anything silly like make sure the laws are enforced by directing resources to them. They also make the facetious claim that feminists are demanding that men be thrown in jail for merely yelling at women. It’s an amazing show of minimizing domestic violence, pretending that it’s just couples fighting, and seeking any way possible to make sure that abusive men aren’t held accountable.

And from the annals of rape culture, Alternet reports on “How police treat rape in America.”

In some of the most disturbing and sickening news of the day, New York state police have decided that a 15-year-old girl who was sexually assaulted by three boys was in fact not sexually assaulted because both she and the boys are mentally handicapped.

In May of last year, three boys attacked a 15-year-old mentally challenged student at Martin De Porres Academy, a school for students with special needs in Long Island. According to the police report, one of the boys repeatedly banged her head against the table while the other two forced her to give them oral sex and then tried to have forcible anal sex with her. In interviews with the police, the girl explained how she repeatedly said “no” and “stop” but that the boys continued to assault her. When she came home from school that day, her mother noticed that she had blood on her underwear.

But when the police learned that the alleged rapists were also mentally challenged, they withdrew the charges.

The department’s spokesperson told the New York Daily News , “It was more of a consensual situation with their mental capabilities.”

Of course, head-banging, blood and repeated pleas to “stop” are never consensual situations–regardless of the IQ level of the attackers. But, in this case, the police department is even further off target. As the family’s lawyer explained, the girl has an IQ of about 50 points, which puts her below the cognitive functioning level to consent to sex at all.

Here’s another outrageous child abuse story from the Smoking Gun: FBI: Man Slapped Crying Toddler On Delta Flight

After demanding that the mother of a crying toddler “shut that nigger baby up,” a male passenger allegedly slapped the 19-month-old across the face as a flight prepared to land in Atlanta last Friday evening, The Smoking Gun has learned.

The shocking February 8 incident aboard Delta Airlines Flight 721 resulted in Joe Rickey Hundley, 60, being charged with simple assault, according to a U.S. District Court affidavit. Hundley…is president of an aircraft parts manufacturer headquartered in Hayden, Idaho.

Can you believe that? I guess the FBI got involved because this may be a hate crime.

As detailed by FBI Agent Daron Cheney, Hundley was traveling to Atlanta from Minneapolis in seat 28A on the MD-90 twin-engine jet. He was seated next to Jessica Bennett, who shared seat 28B with her son Jonah.

Bennett, 33, told investigators that the “aircraft was in final descent” to Hartsfield-Jackson International Airport when her child “started to cry due to the altitude change.” Bennett added that she “was trying to get [her son] to stop crying, but he continued.”

At this point, Bennett recalled, Hundley used the racial epithet as he told her to shut the child up. He then allegedly “turned around and slapped” the toddler in the face “with an open hand, which caused the juvenile victim to scream even louder.” The slap, Bennett said, “caused a scratch below [the child’s] right eye.”

Thanks to Dakinikat for alerting me to this story.

And thanks to JJ for this one from The Guardian UK: Every meteorite fall [that we know about] on earth mapped. Please go check it out. The known incidents go all the way back to 2,300 BC!

Those are my recommendations for today. What’s on your reading and blogging list? I look forward to clicking on your links!


Friday Reads: Life’s Labor Lost

lll Good Morning!

I think I’ve mentioned that I’m not a labor economist.  I’m a financial economist.  However, it’s hard to get through any econ program with out learning something about the labor markets given that it’s one of the most basic of all markets.   I wanted to talk about the increased minimum wage proposal in the President’s SOTU address.

You’ll probably hear quite a bit about how minimum wages create unemployment.  This is true under specific conditions.  The minimum wage must be below the going wage or what we call the equilibrium or clearing wage so that it is ‘binding’  or actually creating an excess supply of job seekers for that wage and less jobs than would be available at the clearing wage. You can look at the graph of the US below and see that in many states, the proposed Obama increase to the minimum wage is lower than the going wage in many states.  The poorest states–mostly in the south and middle of the country–are the ones with the lower wages.

However, the basic 101 econ labor market conditions, assumptions and model are very simplistic.  All of these things impact the outcome and can determine if the minimum wage increase creates any excess workers.    Labor economists that look at the real world have found some additional things about minimum wages that suggest that minimum wage can benefit the economy at large and unemployment at large.  They can also help create efficiencies in unexpected places, which is always good for markets.

I’m going to try to give you some background from the popular press, scholarly articles, and a conservative magazine where economists explain why increasing the minimum wage can be good for the economy.  Actually, there’s so much good rationale that even Walmart lobbies congress for increases. That probably will surprise you, but it’s pretty simple.  Minimum wage workers are Walmart shoppers.  Giving them more income turns them into customers. They don’t have any leftover money so they basically spend all they get.  This is good for Walmart.  This isn’t true for richer folks.  They tend to sit on their money and it goes to places that can take time to work through our economy if it actually goes to our economy and not some place else entirely.

So, let me first start with a New Yorker article called “The Case for a Higher Minimum Wage”.  This is, of course, not the scholarly arguments. However, there’s some good background information in the article to get us situated with the stylized facts. Unlike House Republicans and Joe Scarborough,  people that actually want to know abut things rather than opine through their bungholes love them some stylized facts.

While the labor economists and econometricians are still arguing about which of their many studies can be relied upon, there are quite a few things about minimum wages, and their impact on the economy, that we know for sure. Taken together, these things amply justify raising the minimum wage, as President Obama called for in his State of the Union address.

The first statement we can make without fear of contradiction is that, at $7.25 an hour, the current minimum wage is pretty low. In nominal dollars, it’s gone up quite a bit over the past twenty-five years. In 1978, it was $2.65; in 1991, it was $4.25. But these figures don’t take into account rising prices, which eat away at purchasing power. After adjusting for inflation, the minimum wage is about $3.30 less than it was in 1968. Back then—forty-five years ago—the minimum wage was $10.56 an hour, according to a very useful chart from CNNMoney.

We also know that the U.S. minimum wage is low compared to its counterparts in other advanced countries. In France and Ireland, for example, the minimum remuneration level is more than eleven dollars an hour. Even in Great Britain, which is usually regarded as a country with a flexible, U.S.-style labor market, it is close to ten dollars an hour. Another informative chart, this one from Business Insider, shows that the U.S. minimum wage is comparable to ones in places like Greece, Spain, and Slovenia—countries where G.D.P. per capita and labor productivity are markedly lower than here in the United States. We have an advanced economy but a middle-level minimum wage.

A second important and (largely) undisputed finding is that there is no obvious link between the minimum wage and the love's labour's sketch copyunemployment rate. During the nineteen sixties, when the minimum wage was raised sharply, unemployment rates were sharply lower than they were in the nineteen eighties, when the real value of the minimum wage fell dramatically. If you look across the states, some of which set a minimum wage above the federal minimum, you can’t see any sign of higher rates leading to higher unemployment. In Nevada, where the national minimum of $7.25 an hour applies, the jobless rate is 10.2 per cent. In Vermont, where the minimum wage is $8.60 an hour, the unemployment rate is 5.1 per cent. What these figures tell us is that other factors, such as the overall state of the economy and how local industries are doing, matter a lot more for employment than the level of the minimum wage does.

There are, in fact, many things that impact how the level of the minimum wage will impact an economy. Some economists have found that a “properly functioning minimum wage” can actually improve labor flows in a market.  Lee & Saez (2010) show under which conditions this can happen. This link goes to a theoretical paper so if calculus is not you’re thing, you may want to take my word for it. I’m going to show you the technical result as well as the authors’ story that is much more intuitive so you get an idea of how economists look at these things. This is from the paper’s introduction and conclusion which are the parts without the calculus!!

We show that a binding minimum wage is desirable as long as the government values redistribution from high-to low-wage workers, the demand elasticity of low-skilled labor is finite, the supply elasticity of low-skilled labor is positive, and most importantly, that the unemployment induced by the minimum wage is efficient, i.e. unemployment hits workers with the lowest surplus first. The intuition is extremely simple: starting from the competitive equilibrium, a small binding minimum wage has a first order effect on distribution but only a second order effect on efficiency as only marginal workers initially lose their job.

This is from the employer’s view point.  It basically says they let go of their worst employees first so they really don’t lose much.  Also, it implies it’s probably not a large number that are released.  The problem is that this doesn’t really look at the increased number of people that might enter the work force to get at the higher wage.  This is part of the excess worker phenomenon as  people that wouldn’t be in the market for the lower wage will enter the market if the wage is higher.  Therefore, more people will be looking for jobs than there will be jobs available.  However, this isn’t as big of a problem as job losers for society as a general rule.  It just makes the numbers appear worse.

The second part of the paper considers the more realistic case where the government also uses taxes and transfers for redistribution. In our model, we abstract from the hours of work decision and focus only on the job choice and work participation decisions. Such a model can capture both participation decisions (the extensive margin) as well as decisions whereby individuals can choose higher paying occupations by exerting more effort (the intensive margin). In that context, the government observes only earnings, but not the utility work costs incurred by individuals.1

In such a model, we show that a minimum wage is desirable if unemployment induced by the minimum wage is efficient and the government values redistribution toward low-skilled workers. The intuition for this result is the following. A binding minimum wage enhances the effectiveness of transfers to low-skilled workers as it prevents low-skilled wages from falling through incidence e ffects. Theoretically, the minimum wage under efficient rationing sorts individuals into employment and unemployment based on their unobservable cost of work. Thus, the minimum wage partially reveals costs of work in a way that the tax system cannot.

This is an interesting result since it basically says that it’s a more efficient way of giving poorer folks incomes by keeping the most efficient ones in the labor force instead of being unemployed and relying on government programs.  Their model argues that a minimum wage efficiently rations ‘out of work’ benefits.  So, in this case, yes it creates some unemployment, but generally this means the workers who are the most ‘deserving’ of the job stay in the job and those that aren’t can fall into the safety net and be retrained or schooled to improve their prospects.

One of the primary results of a paper by Dube et al (2o12) is estimating the decrease of what we call “churning” or what you probably know as job-hopping. This behavior costs employers a lot of money since the initial employment and training periods can be expensive for even the lowest wager earners.  Reducing churning means less of these expenses overall and basically coverage of the increased wage. So, in this case, the minimum wage makes the employer think about the total wage bill and not just the portion related to hourly work.

state-minimum-wages

Here’s one of the more interesting set of arguments from the conservative point of view.  This is the idea that by providing a good working wage at the bottom wage earners, you stop the problem of a potential ‘college graduate’ bubble.  Since the majority of jobs in this country still don’t require a college degree, people will be more likely to work jobs and not over-educate themselves. The author also argues that the kinds of jobs that tend to be minimum wage jobs are not out-sourceable so improving the lot of these folks improves a lot more than just the people in the jobs.  Minimum wage jobs tend to be service jobs and the benefits of the incomes and the jobs themselves will stay in the country regardless of the higher wage. We again see the argument that most economists make about ‘trickle-up’ economics.  Giving more income to the lowest wage earners actually creates a stimulus because they spend their money and there are a lot of them.

Although the direct financial benefits to working-class Americans and our economy as a whole are the primary justifications for the proposal, there are a number of subsidiary benefits as well, ranging across both economic and non-economic areas.

First, the net dollar transfers through the labor market in this proposal would generally be from higher to lower income strata, and lower-income individuals tend to pay a much larger fraction of their income in payroll and sales taxes. Thus, a large boost in working-class wages would obviously have a very positive impact on the financial health of Social Security, Medicare and other government programs funded directly from the paycheck. Meanwhile, increased sales tax collections would improve the dismal fiscal picture for state and local governments, and the public school systems they finance.

A final argument for using a minimum wage is that even though it tends to be less efficient and more costly than just supplementing the incomes of low income earners, it tends to be politically easier to get an increase through congress than a subsidy.

Does raising it improve the plight of the worst off, at a reasonable price?

A lot depends on your definitions, but economist Adam Ozimek makes a smart point. According to a 2007 study by the CBO, an increase in the minimum wage to $7.25, like that eventually passed that year, would increase wages by $11 billion, of which $1.6 billion went to poor families.

By contrast, increasing the Earned Income Tax Credit for large families (as happened in the stimulus bill) and for single people would cost $2.4 billion, of which $1.4 billion would go to poor families. The EITC option costs one fifth as much to society but does about as much good for poor families. That suggests that if you want to help families escape poverty, wage subsidies are a more cost-effective option than the minimum wage.

Oddly enough, the conservatives are less interested in the net savings, than the process of doing this, so they prefer minimum wage increases to the EITC option.  This means Boehner should be happier than he is with this proposal.

Furthermore, as large portions of the working-poor became much less poor, the payout of the existing Federal Earned Income Tax Credit (EITC) would be sharply reduced. Although popular among politicians, the EITC is a classic example of economic special interests privatizing profits while socializing costs: employers receive the full benefits of their low-wage workforce while a substantial fraction of the wage expense is pushed onto the taxpayers. Private companies should fund their own payrolls rather than rely upon substantial government subsidies, which produce major distortions in market signals.

So, I hopefully didn’t overwhelm you with too much stuff over coffee, but I would like to remind you that this is basically the mornings read post. So, since I’ve run out of space, it’s now your turn to share the other things. Oh, and it’s okay to ask questions or tell me that something confuses you.  I’m assuming you’re not a labor economist either.  Again, there’s a lot of controversy and a lot of different circumstances and assumptions around all these models.  But, it should let you know that increasing the minimum wage can be good policy for a variety of reasons even though it might impact the number of people looking for or working at those jobs.

What’s on your reading and blogging list today?


North Dakota Senate Candidate Rick Berg: Todd Akin on Steroids

North Dakota Senate candidate Rick Berg

Rick Berg is currently the at-large Representative for North Dakota, and is running for the Senate seat held by retiring Senator Kent Conrad. Yesterday evening, Buzzfeed reported that in 2007, when Berg was a state representative, he voted for a bill that would make abortion a “Class AA felony,” punishable by life in prison without parole. This penalty would be applied to a woman who obtained and abortion and anyone who helped her do so. Here’s the relevant text from Think Progress:

A new section to chapter 12.1-16 of the North Dakota Century Code is created and enacted as follows:

Intentional termination of human life – Preborn children. A person is guilty of a class AA felony if the person intentionally destroys or terminates the life of a preborn child. A person that knowingly administers to, prescribes for, procures for, or sells to any pregnant individual any medicine, drug, device, or other substance with the specific intent of causing or abetting the termination of a preborn child is guilty of a class AA felony. A person that intentionally or knowingly aids, abets, facilitates, solicits, or incites a person to intentionally destroy or terminate the life of a preborn child is guilt of a class C felony. For purposes of this section, “preborn child” includes a human being from the moment of fertilization until the moment of birth.

The bill contains a separate section that says that a doctor who “provides health care” to a pregnant woman must “make every effort” to save both mother and fetus. If there is “accidental or unintentional injury” during this care, the doctor is not guilty of homicide. But the bill doesn’t specify whether the health care could include an abortion or whether the women who sought the abortion would still be considered a murderer.

According to Think Progress,

Berg was quick to denounce the comments of a fellow Senate Candidate, Rep. Todd Akin (R-MO), when he claimed that a woman couldn’t get pregnant from “legitimate rape.” Berg called the statement “insulting and reprehensible,” and “condemn[ed] them in the strongest terms possible.”

But like vice presidential candidate Paul Ryan, Berg didn’t indicate to the media that he essentially agrees with Akin that a woman who is impregnated through rape or incest should be forced to carry the perpetrator’s child against their will.  I was somewhat shocked to learn that Rick Berg’s wife is a primary care doctor.

But the most shocking part of this story is that Rick Berg was given a brief speaking role at last week’s Republican National Convention. From the Bismark Tribune:

North Dakota Republican U.S. Senate candidate Rick Berg got a few moments in the spotlight at the Republican National Convention on Tuesday.

The Republican congressman spoke for two minutes about North Dakota’s low unemployment, job growth and state budget surplus. He says North Dakota provides a contrast to the sluggish national economy.

Berg says North Dakota doesn’t “burden our job creators with red tape” and that people “trust the individual, not big government.”

Here’s Ed Schultz talking about Berg, who is a millionaire, and admitted he didn’t know what the minimum wage is.

North Dakota Senate Candidate Heidi Heitkamp

Fortunately, Berg has a Democratic opponent, former North Dakota Attorney General Heidi Heitkamp. In a poll taken in late July, Heitkamp was leading Berg by 6 points. Unfortunately, it’s not clear what Heitkamp’s views on abortion rights. I’ve posted a video of her below. She sounds fairly conservative, but she would obviously be far better than Rick Berg!

Here’s her website.