News Roundup - Hour 1
http://thedianerehmshow.org/shows/2010-09-17/news-roundup-hour-1
Tea Party candidates make gains in this week's Republican primaries. Some Congressional Democrats split with President Obama over ending tax cuts for high earners. And retail sales are stronger than expected. A panel of journalists joins Diane for analysis of the week's top national news stories.
Guests
Jake Tapper
ABC News senior White House correspondent.
Ruth Marcus
columnist and editorial writer, The Washington Post.
Juan Williams
NPR news analyst, FOX News political analyst, and author of "Enough."
News Roundup Video
The panelists discuss a controversial article by Dinesh D'Souza published earlier this week by Forbes magazine in which the author calls President Obama "the most anti-business president in a generation" and alleges that the president "adopted the cause of anti-colonialism" from his Kenyan father, who left the family when Obama was 2 years old. White House press secretary Robert Gibbs has said the article "represents a new low" and is "lacking in truth and fact:"
The panelists discuss President Obama's appointment of Elizabeth Warren to a special advisory role in creating the new Consumer Financial Protection Bureau:
Comments
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There will be deliberations this week at the Fed on whether to undertake further monetary stimulus. Why hasn't President Obama been effective in getting his nominees appointed to the Board of Governors? I know getting nominees through is tough, but recess appointments are always an option, and this could be his last best chance he has to have any influence whatsoever over economic conditions, given the state of the congress.
The Government is doing what it can to get jobs. People are doing what they can. Do corporations have a responsibility to help and put patriotism ahead of profits in these hard times?
Please comment on the fact that many of the very rich already pay lower taxes by way of reduced capital gains taxes, and the tax cuts apply only to payroll taxes.
In 1981 Ronald Reagan became president, and one of his first actions was to push through congress a tax cut for the wealthy. Seven years later the real estate bubble burst and we had the savings & loan crisis.
In 2001 George W Bush became president, and one of his first actions was to push through congress a tax cut for the wealthy. Seven years later the real estate bubble burst and we have the current economic crisis.
This is not a coincidence. When you give wealthy people more money, they don't go out and buy things or hire people. They already have everything they want. What they do is take the money and invest it where they can get the best return, and real estate is traditionally a good investment, so they start buying real estate. This increased demand leads real estate prices to rise, which encourages more people to invest in this clearly good investment, and prices rise even faster. Finally, the middle class sees what's happening and panics, believing that if they don't buy now they'll never be able to afford a house, and end up borrowing more than they can afford to pay too much for the now overpriced house. Eventually the bubble gets too big and bursts.
The current economic crisis is a direct result of the Bush tax cuts for the wealthy, and until people start learning from history they'll just keep repeating it.
Republicans were polling more favorably than Democrats before the Primaries. Now that voters know which candidates are running, are moderate Republicans and disgruntled Democrats going to vote for the Tea Party candidates? Or is the Tea Party splitting the Republican party and allowing the Democrats a chance at victory?
We have two wars with debt adding up to 2 trillion dollars. Why should any one have their taxes reduced till these wars are ended and this debt is paid in full? We have poverty increasing in the USA and who can pull out the safety nets we created to help these people? Shall I continue with the list? We all have to pay taxes at a rate that will pay our present debt. Reductions in expenses will help, but until we can agree on those decisions, this is not the time to reduce anyone's taxes. We may have to increase them if we really care about our debt reduction.
Some are perjoratively describing as "protectionism" the "Made in America" legislation just passed by the House. What could be wrong with encouraging more U.S. manufacturing? Most of us would love to see more "Made in U.S.A." labels and I'm glad the government is leaning towards this.
Juan Williams says corporations (including the Kochs) are out to undermine Obama. I wish it were that simple. Corporations are out to (have been out to for years, vide Eisenhower) control both parties and through them our governance. Their interests are economic. But they don't hesitate to throw weight behind on social and cultural issues that serve their political ends.
No, it's not only about Obama. He's just the latest and most visible victim.
My question about the tax cuts is: if there is so much need for the cuts for those in the top 2% of earners, where are the millionaire/billionaire's coming out saying "We need a tax cut!"? I doubt the small % those making over $500,000 would have to pay in increased taxes would stop them from spending basically the same way they are currently. I want the Republicans to have to bring out a bunch of people who make that much out and say, "these are the people who need those tax cuts".
Regarding the extension of tax cuts: Nobody likes paying taxes. I would love to keep all of my income as opposed to paying some of it in taxes. But as a rational adult, I understand that I need to contribute money to make the system work. It is ridiculous to think that we can cut everyone's taxes and still have a government that provides for our needs.
Small Business Job Creation
I read and agree with the column by Ruth Marcus published yesterday in the Dallas Morning News. The role of small business in job creation is a myth. She is spot on and there is an emerging realization of both her wisdom and the correctness of this position.
I would add that the housing bubble of the last two decades was a major contributer to the small business job creation phenomonon as most contractors, sub contractors, and realtors were small businesses whose employment numbers have evaporated and will not soon come back.
Tim in Texas
A government of the people, by the people and for the people. Why are citizens called irrational if they demand less governmental spending while politicians are described as "showing leadership" by continuing to spend money the citizens don't have on the government itself. This discussion would be better placed if your guests were discussing bloated federal budgets, multiple multi-million dollar junkets and federal hiring gone wild. I have yet to hear one of your guests even suggest that we could reduce the size of the federal government nor have they commented on the money the federal government wastes. Diane, who do you really think is irrational here? The citizens who want responsive and responsible governement or the politicians who seem to care only for themselves?
I would like someone to explain why a high top income tax rate discourages employment when payroll is fully deductible. To try to explain, suppose we had a 100% income tax rate. If the choice were payroll or not payroll, a business owner would lose to taxes every dollar not spent on payroll. Why does a higher incoem tax rate discourage employment?
The tea-party is a teenager. It colluded with the last administration's policies. To use the car crash analogy; they drove the car off he road and there is no way to get it out the ditch gracefully. The car needs repair, the road and the guardrail, too. That takes money, in this case the government. When you've done something wrong the rules of the house need to change. The teenager doesn't like the new rules and doesn't like using their own money to help with repairs.
Further, parents cannot concern themselves with being liked. Respect for others and hard consequences will create respect later when they grow up. History will show the moves to pull the economy out of the ditch were/are painful BUT necessary!
Win or lose in November, do the right thing!
I've been trying to understand how people are expecting to fix in 2 years what took 8 years to create. We got into 2 wars without ever paying for it. The Bush tax cuts should have been rescinded as soon as the war began. It seems to me the current economic crises, in addition to war debt, has more to do with what happened in the banks and Wall Street under the prior administration. There isn't an immediate solution. Where do the unrealistic expectations come from?
In response to the problems, we get the tea party which doesn't have any substance or solutions to problems. Just rhetoric about how we need to "bring America back." Back to what? Pre civil rights? Before we had a president of color?
What happened to ration and reason?
"Condemned"?
It's interesting that, while commenting on Dinesh D'Souza's ridiculous article, Jake Tapper said that the Obama Administration has done things that warrant condemnation. I'd like to know what actions Mr Tapper thinks should be condemned.
I certainly hope that Gingrich's statements remove him from any future consideration as a potential guest on Diane's show.
And just what kind of funny furrin name is "Dinesh D'Souza" anyway?
Regards,
Brian Lupiani (a good Amurrcan name!)
Pretty much every time these issues get discussed, the conversation gets to the point where Diane and the guests throw up their hands and ask "How could this happen?" Almost every time, I mumble aloud: "Fox."
I wish we could hear more condemnation of the deliberate use of our (our!) airwaves to spread falsehoods -- whether about the CBO's stats, the president's religion and birthplace, or just about any other major issue. Why is it verboten to point a angry finger at irresponsible "news" networks?
Late to the broadcast but need to point out that
a) MOST European college students believe 9/11 was an "inside show."
b) Michael Moore is NOT a journalist; he is a film-maker.
c) My take on the midterm election 2010: people almost always return to abusive relationships. Usually because the abusive party promises to do better. But the Republicans haven't.
NPR would have the public believe they are “fair and balanced” – but the truth is they are more radical on the left than Fox could ever imagine to be on the right. At least the majority of Americans are center right. This will be made extremely clear this coming November. God Bless America.
First, I am far from Republican and far from Democrat. I personally believe, considering the number of them who have been indicted/thrown out/in prison, etc, that they if those political parties were held up to the same candle as any other organization in this country--they would not stand the anti-trust/racketeering test and would be considered a criminal syndicate.
That said, how is it so many people forget American history? The Great Depression occurred approx. 150 yrs after this country was founded. Since FDR established the Regulators, each economic meltdown has occurred in half the time the prior one occurred. Political corruption has done nothing but increase and across sectors the regulators have FAILED to do their jobs:
Education
Pharmaceuticals
Banking
SEC
Energy
This corruption is draining our economy of its resources and the resources of the poor people being discussed. The answer is far from adding more regulation. The answer is in stopping these 2 criminal organizations, their regulators and their lobbyists/political donors from bilking this country's coffers.
Lets not forget the slow but steady growth of our economy while on the gold standard vs the inflation and spiked growth of a fiat economy adding to the plight of wages for the poor not keeping up with price, let alone the ability to invest.
Its like putting Republicans and Democrats in charge of election law and then asking why there isn't a viable option to those 2 criminal organizations.
The Billionaires (Koch brothers) Bankrolling the Tea Party
http://www.nytimes.com/2010/08/29/opinion/29rich.html?src=me&ref=general
The primary funding sources for the Tea Party are Oil Industry funded conservative groups:
“Americans for Prosperity”, “FreedomWorks”, “Cato Institute”, “American Enterprise institute” and the “Heritage foundation”.
which receive substantial funding from Exxon Mobil, ChevronTexaco and David Koch of Koch Industries, the largest privately-held energy company in the country, and the conservative Koch Family Foundations. Koch industries are responsible for hundreds of Oil spills spread over multiple states.
The billionaire brothers who are waging a war against Obama.
http://www.newyorker.com/reporting/2010/08/30/100830fa_fact_mayer
“Charles Lewis, the founder of the Center for Public Integrity, a nonpartisan watchdog group, said, “The Kochs… have a pattern of lawbreaking, political manipulation, and obfuscation. I’ve been in Washington since Watergate, and I’ve never seen anything like it. They are the Standard Oil of our times.””
The Tea Party is fighting for what's best for Wall Street Criminals, for Oil and Coal Industry Criminal negligence resulting in Deaths and Pollution, and the Policies that allow them to continue doing so Without Oversight or Regulation.
The Tea Party has a Clear Allegiance: The Rich, Oil and Coal and their ability to Pollute and Poison and dodge taxes at Public Expense while they rake in the profits.
Interesting, Lissa. Whether they're right or wrong, those European college students see a glaring truth about America that we haven't seen in ourselves: We have become a very self-destructive nation. We've looked for our enemies in Afghanistan and Iraq; but they're right here at home.
c) Probably true and probably part of the self-destructive trajectory.
I'm curious how a staunchly libertarian organization is considered a "conservative group"?
Every President throughout current history has said he will cut Government spending. Ronald Reagan at the beginning of his first term actually tried to cut the Federal Budget 10% across the board. His Cabinet came back and said it could not be done (for a plethora of reasons) and Reagan rescinded the action. It's a fallacy that money can be squeezed out of our bureaucracy. Congress passes laws that must be followed and it takes people to do it. The problem must be attacked by Congress cutting programs and agencies - like the DoD, CIA, FBI, IRS, etc.
Congress cut??
Why isn’t the Tea Party organizing and demonstrating against Industries causing the Deaths and Lost Livelihoods of Millions of Americans? Why aren't they protesting Lack of Regulation against Wall Street, Oil and Coal companies that are Killing People and caused the Financial Devastation of Millions of Americans? Why aren't they protesting against BP and Halliburton's Gross Negligence in the destruction of Multi-Billion dollar Tourism and Commercial Fishing Industries in the Gulf Coast Oil disaster?
Because the Companies Responsible is who Started, Fund and Direct Tea Party actions.
@ ejowens:
Could it be because they're funding candidates who espouse the most regressive, intrusive, anti-libertarian positions ever seen against a woman's right to bodily integrity? Rachel Maddow listed the Republican senate candidates who've proudly declared that they would have the government treat as criminals women who do not want to bear children conceived in incest or rape. That doesn't fit very well with any libertarian ideology I've ever heard of.
You have PhD Economist that can’t agree on the best way forward, but high school grads seem to know what to do. I once heard it said that Americans are over opinionated, under educated and overweight. Sometimes I’m close to agreeing.
What I see in all this is the chickens coming home to roost. The dark side of capitalism, the dirty benefits of globalization and the results of illegal immigration combined with political warfare.
Don’t get me wrong, capitalism, globalization, immigration and political dissention are not inherently bad. But in the current incarnation of these, the American working class, democrat, republican, independent, libertarian.... are getting screwed!
It looks like over the last 40 years the folks at the helm were not clever enough to bring us into the future while protecting our position or didn’t care about what the future looked like for the blue collar worker.
I just want to say that Ruth Marcus's statement of opprobrium against executive end-runs on advice and consent deserves more discussion than has been joined.
I would open by congratulating her.
I am saddened to hear/ read this article by unesh d'souza; I greatly admired his book WHAT’S SO GREAT ABOUT CHRISTIANITY; now, I must read/ hear his works with caution, he is not the scholar I thought he was.
tarascon shows great maturity and excellent comprehension. I'm glad to be on his team. He's especially right about " two Parties in a pod." I expect Elizabeth Warren will get frustrated and resign within 6 months.
We are being offered two alternatives:
D- Reward supposed job creation by large small business people
R-Reward non-existent job creation by the wealthiest 3% while shrinking emergency aid and entitlements
When a baby wants to be read a book
the immature mother offers him candy or cartoons
You'd think the People would get wise to being treated like babies