Friday Reads: Liar, Liar, Pants on Fire Edition
Posted: February 10, 2012 Filed under: Environmental Protection, morning reads, unemployment | Tags: fracking, taxing the rich 31 Comments
Bonjour!
I think the season of the political lie is upon us. I have never seen so many tired old tropes being trotted out on TV in all my years of fascination with the bloodsport of politics. I’m going to try to concentrate on folks out there fighting the memes and lies with facts. My first selection is from Baseline Scenario. Simon Johnson explains that unemployment insurance isn’t around to keep lazy people on extended vacations. In the process he takes on the lie that our government is broke.
Fire insurance is mostly sold by the private sector; unemployment insurance is “sold” by the government – because the private sector never performed this role adequately. The original legislative intent, reaffirmed over the years, is clear: Help people to help themselves in the face of shocks beyond their control.
But the severity and depth of our current recession raise an issue on a scale that we have literally not had to confront since the 1930s. What should we do when large numbers of people run out of standard unemployment benefits, much of which are provided at the state level, but still cannot find a job? At the moment, the federal government steps in to provide extended benefits.
In negotiations currently under way, House Republicans propose to cut back dramatically on these benefits, asserting that this will push people back to work and speed the recovery. Does this make sense, or is it bad economics, as well as being mean-spirited?
(For details on the current benefit situation, see this information from California, as well as this on the political background. After a two-month extension of benefits at the end of last year, the terms of continuing it are currently before a House-Senate conference committee.)
The United States has lost more jobs than in any other recession in the last 70 years – and jobs have been slower to return, as this chart shows.
In raw numbers, we lost more than eight million jobs, most of which have not returned. Paul Solman of the PBS NewsHour prefers a measure he calls U-7, which includes “the underemployed and those who want a job but have been out of work so long that the government no longer counts them; this currently stands at 16.9 percent of the workforce (see this story and also, for background, a discussion Paul and I had in the fall on the “shape” of the recovery, in which we rely on the B.L.S. data.)
However you want to count it, the financial crisis of 2008 brought on a jobs disaster — and the scale of this disaster is still with us. We like to say that the recession is “over,” but this just means that the economy is growing again. In no meaningful sense is the jobs crisis over.
Typically in the United States, most people are unemployed for relatively short periods of time, with a lot of movement in and out of unemployment. The fraction of long-term unemployed as a percentage of all unemployed is usually 10 to 15 percent. In the early 1980s, it briefly reached almost 25 percent.
Again, however, our experience since 2008 has been dramatically different – the share of long-term unemployed in total unemployed is close to 45 percent. And it appears to be staying at or near that level for the foreseeable future.
The House Republicans now propose to change many rules under which the federal government provides “extended benefits” to people who have exhausted their state benefits.
In most countries, unemployment insurance is managed primarily by the central government and its agencies – in our federal structure we have preferred, as with other kinds of emergencies (such as natural disasters) to have the states provide the first line of defense, with the federal government providing back-up. It is the federal government that has the strongest ability to borrow at low interest rates; most states are much more strapped for cash.
Do not be deceived by claims that the federal government is “broke,” in the sense that it cannot afford to provide additional support to states and people at this level. This is a myth, pure and simple.
Paul Krugman takes on Charles Murray’s new whine about declining morality in the poor down trodden white folks and how it’s hurting our country. Krugman shows that one of the traditional measures of social problems is teenage pregnancy and it’s way down. So, is violent crime. So what is it that Murray is really complaining about?
Reading Charles Murray and all the commentary about the sources of moral collapse among working-class whites, I’ve had a nagging question: is it really all that bad?
I mean, yes, marriage rates are way down, and labor force participation is down among prime-age men (although not as much as some of the rhetoric might imply), But it’s generally left as an implication that these trends must be causing huge social ills. Are they?
Well, one thing oddly missing in Murray is any discussion of that traditional indicator of social breakdown, teenage pregnancy. You can see why — because it has actually been falling like a stone:
So, is economic stagnation really the result of less church going? I doubt it.
Jonathan Chait takes on another right wing lie. That’s the one about how the job creators pay so much in taxes they are really down trodden billionaires! Veronique de Rugy doesn’t stand a chance.
De Rugy wrote a column centered around the claim that the United States has a more progressive tax system than any other advanced country, and as her sole piece of evidence cited the fact that rich people pay a higher share of the tax burden in the U.S. than in other countries. I wrote a response, noting that this reasoning is completely idiotic. Rich Americans pay a bigger share of the tax burden because they earn a bigger share of the income, not because the U.S. tax code is more progressive.
De Rugy’s reply is an incoherent collection of hand-waving that does not come close to addressing this very simple and fatal flaw with her claim. She introduces a series of other fallacies, like conflating the marginal tax rate (the percentage tax you pay on your last dollar) with the total tax rate (the overall percentage of your income paid in tax), using “income tax” as a stand-in for total taxes, and trying to broaden the debate into a bigger philosophical dispute. But it’s not a philosophical dispute. It’s a simple case of her making up false claims based on extremely elementary errors.
And this is why I am forced to be so mean. There are just a lot of people out there exerting significant influence over the political debate who are totally unqualified. The dilemma is especially acute in the political economic field, where wealthy right-wingers have pumped so much money to subsidize the field of pro-rich people polemics that the demand for competent defenders of letting rich people keep as much of their money as possible vastly outstrips the supply. Hence the intellectual marketplace for arguments that we should tax rich people less is glutted with hackery.
No discussion of reprehensible lies would be complete with out Santorum and without the numerous conspiracy theories and untruths told about the concerns of environmentalists. Don’t you know, science professors just want to get rich so they make up shit about climate change and fracking?
The LeRoy High School Outbreak: “Conversion Disorder” or Environmental Contaminants?
Posted: January 30, 2012 Filed under: health, Media, medicine | Tags: conversion disorder, environmental contaminants, environmental toxins, fracking, Health, hydraulic fracturing, LeRoy NY high school, natural gas wells, neurology, PANDAS, psychiatry, psychology, tics, Tourette's-like symptoms, verbal outbursts 29 CommentsI know everyone has already heard about the outbreak of tics and verbal outbursts (described in the media as “Tourette’s-like symptoms”) in the small town of LeRoy, New York. I thought I’d pull together some information on the case anyway. I have been skeptical about the diagnoses that have been publicized (“conversion disorder” and “mass hysteria”) since I first heard about it.
The media descriptions of conversion disorder haven’t been particularly accurate or helpful, and now that school and county officials are trying to limit investigations into environmental causes for the outbreak, I’m even more suspicious that these symptoms may be caused by exposure to toxins in the environment.
The LeRoy students began having symptoms in September of last year, meaning they have continued for about four months. Here’s a description of the symptoms from CBS News:
Last fall, 12 teenage girls from LeRoy Junior-Senior High School – located in a town about an hour outside of Buffalo, N.Y. – began to show symptoms similar to those of Tourette’s syndrome, including painful shaking and jerking their necks….
The condition was so bad for at least one of the girls that she has yet to return to school. School and state officials investigated the outbreak and school building for several months, and concluded no known environmental substances or infectious agents were found that could have caused the symptoms in the teens.
Dr. Laszlo Mechtler of the Dent Neurologic Institute in Amherst, NY, has seen a number of the girls and has diagnosed them with “conversion disorder,” which is really just more politically correct name for what Sigmund Freud called hysteria. The term is drawn from the Greek word for “uterus,” and of course mostly females receive the diagnosis. Mechler is claiming the symptoms are a result of stress and the students who are affected may have are unconsciously acting out their anxieties through physical symptoms. He’s calling it “mass hysteria,” because a number of girls reported similar symptoms.
Mechtler said today that the media hype is just making the symptoms worse and that students who have kept to themselves have improved while those who went to the media got worse; and now that the national media is focused on the situation, those who had improved are now having increased symptoms.
So I guess we should all STFU and leave poor little LeRoy alone, then?
Lots more after the jump. Read the rest of this entry »
The only thing worse than running out of oil
Posted: December 22, 2011 Filed under: Climate Change, Psychopaths in charge | Tags: energy, fracking, gas, independence, oil 17 CommentsIs not running out of oil.
This headline today is not good news: Does shale oil boom mean U.S. energy independence is near?
Neither is this one that the US has a “200-year-supply” of coal. Nor these about all the fuel available in the Marcellus Shale, or the Canadian tar sands, or the Green River oil shale.
At this point it’s obvious to the meanest intelligence that burning fossil fuels adds greenhouse gases to the atmosphere, which causes climate change, which causes floods, fire, famine, pestilence, and war. It will kill billions of humans. I’ll repeat that. It will kill us. And I do mean “us.” Anybody who thinks they’ll be unaffected by the social consequences of global disasters is too dumb to last long in the hard new world. We are committing suicide.
We’re doing it right now. Not tomorrow. Not if things get worse. All we have to do is keep on doing what we’re doing.
Can I tell you a secret? Apparently, a lot of people don’t know this. Earth is the only planet we have.
Greenhouse gases are a gun pointed at our own heads. We have pulled the trigger.
But now comes the only good news: Planets work very slowly. The bullet has decades to travel. It’s already been traveling for about two centuries. Who knows how much more time we have? Probably minutes, but at least we’re not dead yet. If we did it very fast, we could move our heads out of the way.
Instead people write pleased headlines that more ways have been found to keep the bullet on track.
The whole species is headed for a Darwin Award. Except in this case it’ll be the planet whose survival is improved after we eliminate ourselves in an extraordinarily idiotic manner.
Crossposted from Acid Test
Friday Reads
Posted: August 26, 2011 Filed under: 2012 presidential campaign, Economy, Environment, Environmental Protection, morning reads, U.S. Economy, unemployment | Tags: bernanke, fiscal policy, fracking, Mitt Romney, monetary policy, Oil companies guilty of killing birds 29 Comments
good morning!
We’ve talked about the earthquake in Virginia some. This is one of the most interesting op eds I’ve seen for some time and it’s written by Dr. Stuart Jeanne Bramhall who is actually a psychologist but has done some research on the subject. She argues that fracking in neaby West Virginia could’ve been responsible for the unusual and unusually large quake. I know there’s a lot of controversy about fracking but I had no idea it could cause earthquakes. Actually, fracking itself doesn’t, its another step in the process and it’s happened before in Arkansas.
According to geologists, it isn’t the fracking itself that is linked to earthquakes, but the re-injection of waste salt water (as much as 3 million gallons per well) deep into rock beds.
Braxton County West Virginia (160 miles from Mineral) has experienced a rash of freak earthquakes (eight in 2010) since fracking operations started there several years ago. According to geologists fracking also caused an outbreak of thousands of minor earthquakes in Arkansas (as many as two dozen in a single day). It’s also linked to freak earthquakes in Texas, western New York, Oklahoma and Blackpool, England (which had never recorded an earthquake before).
Industry scientists deny the link to earthquakes, arguing that energy companies have been fracking for nearly sixty years. However it’s only a dozen years ago that “slick-water fracks” were introduced. This form of fracking uses huge amounts of water mixed with sand and dozens of toxic chemicals like benzene, all of which is injected under extreme pressure to shatter the underground rock reservoir and release gas trapped in the rock pores. Not only does the practice utilize millions of gallons of freshwater per frack (taken from lakes, rivers, or municipal water supplies), the toxic chemicals mixed in the water to make it “slick” endanger groundwater aquifers and threaten to pollute nearby water-wells.
Horizontal drilling and multi-stage fracking (which extend fractures across several kilometres) were introduced in 2004.
The op ed provides links and information on the the related research and information on the prior quake experience in Arkansas.
Mitt Romney lost his cool last night in a New Hampshire Town Meeting. The dust-up was over Romney’s support of a balanced budget amendment which is basically anathema to economists. You can watch the video and the resultant hair malfunction that results. Also, interesting to note is Mediate’s use of the word “former” in front of front runner.
Former GOP presidential frontrunner Mitt Romney got into a heated exchange with a voter at a New Hampshire town hall event Wednesday over his support for a balanced budget amendment, and by the mainstream media’s selective standards, lost his cool when she tried to engage him. In clips played on MSNBC’s The Daily Rundownthis morning, Romney certainly appeared angry by those standards, and the full exchange, while slightly less damning, demonstrated a marked contrast with how President Obamadealt with an aggressive questioner recently.
The snippets that MSNBC played, of Romney snippily asking the town hall attendee to let him answer her question, were obviously designed to show the candidate as impatient and besieged, but placing them in context doesn’t change things all that much. Romney aggressively interrupts the woman’s calm, if rambling, question by asking her, “Did somebody in the room say that we don’t need any government?”
When she tries to engage his question, calling the balanced budget amendment “irresponsible,” he interrupts her again, abruptly asking, “Do you have a question, and let me answer your question.”
“Yes, how do you think the government can not provide funds for the people, its citizens?”
Romney begins to answer the question, and from there, you can’t hear what the woman is saying, but Romney reacts angrily to her attempts to follow up, saying, “You had your turn madam, now let me have mine!”
Frum Forum mentions the number of economists that think a double dip recession is inevitable. I want to bring this up now so that when you hear the villagers say most economists didn’t think that it was going to happen that you’ll see that a lot–if not most–of us do think that. Also, note that the majority of us have been saying that the Federal government has been doing the wrong Fiscal Policy things since about 2007 too. Paul Krugman mentions that the fiscal policy response has just been gunning for another recession tool.
At this point the entire advanced world is doing exactly what basic macroeconomics says it shouldn’t be doing: slashing spending in the face of high unemployment, slow growth, and a liquidity trap. It’s a global 1937. And if the result is another recession, the witch-doctors will just demand more bleeding.
Yup, the austerity demons will undoubtedly howl for more budget cuts and more tax cuts for the unjob creators.
The U.N., U.S. and NATO have unfroze Libyan assets so the transitional government can provide critical humanitarian aid to the Libyan People. This news comes from the US State Department.
The UN Security Council’s Libya Sanctions Committee approved a U.S. proposal to unfreeze $1.5 billion of Libyan assets to be used to provide critical humanitarian and other assistance to the Libyan people. The U.S. request to unfreeze Libyan assets is divided into three key portions:
Transfers to International Humanitarian Organizations (up to $500 million):
- Up to $120 million will be transferred quickly to meet unfulfilled United Nations Appeal requests responding to the needs of the Libyan people (including critical assistance to displaced Libyans). Up to $380 million will be used for the revised UN Appeals for Libya and other humanitarian needs as they are identified by the UN or other international or humanitarian organizations.
Transfers to suppliers for fuel and other goods for strictly civilian purposes (up to $500 million):
- Up to $500 million will be used to pay for fuel costs for strictly civilian needs (e.g., hospitals, electricity and desalinization) and for other humanitarian purchases.
Transfers to the Temporary Financial Mechanism established by the Contact Group to assist the Libyan people (up to $500 million):
- Up to $400 million will be used for providing key social services, including education and health. Up to $100 million will be used to address food and other humanitarian needs.
The United States crafted this proposal in close coordination with the Transitional National Council, as they assessed the needs of the Libyan people throughout the country. It responds to humanitarian concerns in a diversified way that prioritizes key needs. The United States will work urgently with the Transitional National Council to facilitate the release of these funds within days.
The President of the AFL-CIO continues his harsh criticism of President Obama. This should be interesting since labor unions provide a lot of GOTV work for elections at all levels.
The most powerful union official in the country offered reporters his harshest critique of President Obama to date Thursday, questioning Obama’s policy and strategic decisions, and claiming he aligned himself with the Tea Party in the debt limit fight.
“This is a moment that working people and quite frankly history will judge President Obama on his presidency; will he commit all his energy and focus on bold solutions on the job crisis or will he continue to work with the Tea Party to offer cuts to middle class programs like Social Security all the while pretending the deficit is where our economic problems really lie,” AFL-CIO President Richard Trumka told reporters at a breakfast roundtable hosted by the Christian Science Monitor.
Trumka dismissed Obama’s recent job creation proposals — an extended payroll tax cut, patent reform, free trade deals — as “nibbly things that aren’t going to make a difference,” and said the AFL-CIO might sit out the Democratic convention if he and the party don’t get serious.
“If they don’t have a jobs program I think we’d better use our money doing other things,” Trumka said.
The editors of Bloomberg are down on monetary policy and are asking for more relevant fiscal policy in this op ed: The U.S. Needs a Jobs Policy, Not More Cheap Money. Well, at least some body gets it. The Federal Government can create jobs. Some one just needs to get the President to believe that and fight for it.
While the Fed can only print money, the government has the power to create jobs directly. And jobs are what the economy needs now, to break the chain in which high unemployment, weak consumer demand and low business confidence reinforce one another. Bloomberg View has laid out some of the best options available for a national jobs policy:
— Public-works spending can lift demand and put people to work in capital-intensive industries such as construction.
— A tax credit for companies that increase their headcount can encourage hesitant employers to hire at minimal cost to taxpayers.
— Programs that pay the wages of new hires as they gain on-the-job training can efficiently target the long-term unemployed.
— Allowing the unemployed to collect benefits while starting up new businesses can prompt older, better-educated people to create their own opportunities.
— For some entry-level jobs, scrapping the reporting of criminal records on applications can help qualified workers get a foot in the door and stay out of prison.
— And to make the spending more palatable to congressional opponents, President Barack Obama could offer to cut some of the red tape holding back hiring and economic growth, such as the outdated Davis-Bacon Act, which artificially raises the cost of public-works projects.
Altogether, a meaningful jobs package might cost taxpayers more than $200 billion over a couple years. To provide the government the leeway it needs to support the economy in the short term, it’s crucial that the congressional supercommittee, which must find $1.5 trillion in deficit reduction over the next 10 years, recommend a combination of new revenue, spending cuts, tax reforms and entitlement changes that would put the government’s long-term finances on a sustainable path.
Whatever Bernanke says today, he can’t rescue the economy alone
Yup. But, we’ve been talking about that here for a long time. I feel a bit blue in the face, do you?
So, here’s some news from North Dakota where seven oil companies are charged with killing birds.
Seven oil companies have been charged in federal court with illegally killing 28 migratory birds in Williams County.
Slawson Exploration Company of Kansas, ConocoPhillips Company, Petro Hunt, LLC and Newfield Production Company, all of Texas, Brigham Oil and Gas, LP of Williston, Continental Resources, Inc. of Oklahoma, Fidelity Exploration and Production Company of Colorado face charges of violating the Migratory Bird Treaty Act.
Most of the dead birds were found in un-netted oil reserve pits in May. An employee of one company alerted the Fish and Wildlife service to some of the dead birds. Others were found by inspectors.
In one case, an oil spill leaked into a nearby wetland, where several ducks died as a result of exposure to the oil.
The U.S. Fish and Wildlife Service says netting is the most effective way of keeping birds from entering waste pits.
The maximum sentence they face is six months in federal prison and a $15,000 fine.
So corporations have all these people rights now, how do we get them into prison for those six months? Perhaps Uncle Clarence Thomas has a suggestion?
What’s on your reading and blogging list today?
UPDATE:
Via Corrente and Lambert/DC Blogger:
Update on Susie at Suburban Guerilla
Susie was taken to the hospital early this morning for a possible heart attack and is being kept there for observation and testing until tomorrow morning.






Recent Comments