Friday News Roundup - Hour 1
http://thedianerehmshow.org/shows/2011-02-18/friday-news-roundup-hour-1
The Fed expects the U.S. economy to grow at 3.9 percent this year. A bipartisan group of senators considers a deficit reduction plan that could trigger new taxes. And protestors converge on the Wisconsin state capital over budget cuts. A panel of journalists joins Diane for analysis of the week's top national news stories.
Guests
John Dickerson
chief political correspondent for Slate.com and CBS political analyst and contributor. Author of "On Her Trail: My Mother, Nancy Dickerson, TV News' First Woman Star."
Susan Page
Washington bureau chief for USA Today.
Jerry Seib
executive Washington editor, The Wall Street Journal.
Related Video
Diane and guests explore Wisconsin's intensifying budget battle which has brought thousands of public employees out to the state capital in protest of Republican Gov. Scott Walker's plan to cut public-worker benefits and pass legislation that would nullify collective-bargaining agreements:
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The crisis in Wisconsin was manufactured. See attached link:
http://m.host.madison.com/mobile/news/opinion/editorial/article_61064e9a...
Thanks, Dave Rathke, DeKalb, IL
Member: WNIJ
Please discuss inalienable humane human rights, or the possibility of life, liberty and happiness for all.
Is it possible to curb the use of the term "entitlements" when discussing the federal budget. I paid into the Social Security System for nearly 50 years and do not feel that my meager monthly allowance is an "entitlement." Despite all the politically motivated concern from the commentariat, the program is fiscally secure. It's long-term solvency can be assured with a few modest changes. Instead of scrapping the system we should be talking about enhancing it in the face of the collapse of private and state pension systems. By the way, why do the proponents of Social Security never address the collapse of my generation's retirement system, privately funded accounts like 401Ks, now derisively referred to a 201Ks?
Democrats have no credibility when it comes to union issues. Look at Obama's campaign contributions and his priorities in the first two year's of his presidency. He's in their pocket.
Walker was elected to address the structural budget challenges. You can't ignore overpaid, ineffective workers and their irrational pension and health care obligations.
Obama is showing no leadership when it comes to budget issues. This is not a surprise and will be considered during the next election cycle.
No one is surprised if unions think things are going too fast. Unions are adept at working at only the slowest pace possible.
Wisconsin is losing population and jobs, unless you work for the state; attracting private sector jobs seems to make sense. It would bring more tax dollars for those union workers!
When the Tea Party was protesting before last election the press was wondering "What has happened to civility?" Now in Wisconsin we have a "Day of Rage" and the protesters are comparing the governor to the dictator Mubarak? Where is the press to condemn this "loss of civility"?
Every level of government is struggling with funding retirement-most are underwater and taking up huge percentages of their budgets. Something has to happen. I live in a nice retirement community in SW Florida and the level of pensions and benefits that teachers, public safety employees, and administrators receive is astonishing to me.
The unions are the problem for states. If you feel your being taken advantage of by working in a government capacity please quit there are many people waiting to take your place. Who do you think you are to not have to adapt to the realities of economics along with everyone else.
I am a local government employee working in the IT department in North Carolina. In the 10 years I have worked here, we have always had to pay 6% towards our pension. We also pay a lot for health insurance. I pay over $8,000 per year for coverage for my wife and two children - before we even go to the doctor. I am surprised that other government workers in other places don't have to pay for their pensions. A private company did a study in 2007 and found we had market benefits and below market pay. We got market adjustments in pay in 2008, putting us right in the middle of the market. We have had years of budget cuts, layoffs, benefit cost increases, training and education cuts, and no raises since 2008. Now we are below market again and people are leaving voluntarily for the private sector. If something does not give, the public will get the government they pay for - all the young, hard working talented people will leave government service.
Note that NC is a "Right to Work" state - unions are very weak here. I am not in any union nor do I know anyone who is in a union. Right to work means that the employer or the employee can end the relationship at any time for any reason.
I am acutely aware there are many people who would be happy to have my job. I work hard to maintain my skill set and do a good job for my employer.
Thanks, Bob
I also feel offense at the use of the term "entitlements" when we never hear of corporate welfare. Mmm....
So America is now apparently a communist country? We all have to earn the same amount of money???? If you earm more than I do, I have the right to demand you get a cut in pay (rather than demanding I get an increase)?
If people don't feel they are paid well enough compared to unionized employees, then they should join a union. That's the point of collective bargaining.
And if the state has billions to give away to their richest residents and businesses, then they have the money to live up to their contractual obligations.
When the state enacted tax cuts, they KNEW they had retirement obligations. They KNEW what the amount of those obligations were. They KNEW how much revenue they would lose to tax cuts.
But now that that has come to pass, the state's response is to back out of their contract and tell people they have no right to collective bargaining?
This is insane.
We hear repeatedly that Social Security is one of the"entitlements" that need to be reformed because they contribute to the deficit. That is a bogus issue manufactured by the doctrinaire opponents of SS. The Social Security system is self funding and is prohibited by statute from borrowing money. It is sound for a quarter century into the future and small adjustments would make it sound until the end of the century. We should confront those who make SS a target with these facts. Other areas may need work, but not Social Security.
I once again turned the station when you let your talking heads recite the republican talking points. 'Entitlements are the problem,' 'the union people shouldn't be protected,' etc., etc. Maybe you don't need social security but I do. I paid for my parents generation, and I also paid into mine. Now I am being told to suck it up. I'm not the problem. But, as long as no one questions the obscene bonuses of the wall street billionaires, the Koch brothers, and the ownership of the American government we are going to continue to lose out. However, if PBS is going to continue to be the mouthpiece for corporate america what good are you? I hope they do pull your damned funding. You brought it on yourselves kissing up to corporate money.
Wisconsin is the national story writ small. The GOP just cut taxes and now they want public employees to close the gap -- and they are using the "crisis" to bust the unions. The Bush administration cut taxes over and over, started two unfunded wars and averted its eyes while Wall Street crashed the economy -- ruining the pension funds of private and public workers alike while opening huge budget deficits across the country. Now they want ordinary workers to pay for the crisis with pension and health care cuts. This is how you destroy a middle class country.
Want to know why the police, firefighters, and state troopers were left out of the union busting legislation by Gov. Scott Walker? According to Rachel Maddow, their unions gave hefty contributions to Walker's campaign coffers last fall, unlike the others. Not political?
In re: making all these cuts: How about raising taxes on the wealthy? How about redoing the income tax code to close loopholes which allow the wealthy and big corporations to avoid paying taxes? From Ann Arbor, MI
The Wisconsin governor has made up a fiscal crisis to break the unions. Why when we are all victims of a still in process slow motion bank robbery is the media focusing on the benefits and pensions of middle class 50K a year American workers and ignoring the plutocrats gaming the system with crony capitalism and golden parachutes.
The republicans budget in Congress and Wisconsin effort to eliminate collective bargaining goes after working people. Public workers make 20 t0 30 percent less than similar jobs in the private sector. Yes, some reform of pensions may be in order. But not eliminating the right to organize and represent working people which is what Wisconsin is trying to do. The bigger issue is that taxes to support community needs are the lowest they have been in this country for over 40 years. Yet republicans and wealthy corporate leaders want to make this recession into a way to reduce taxes further and reduce support to the rest of us. Corporate profits have never been higher, yet they have not put those profits back into job creation, supporting their workers pensions, or improving conditions for their workers. Instead corporate leaders have taken higher salaries and shown themselves to be selfish. Corporate leaders should instead be working to find ways to support long term stability of government budgets. Well functioning government is one of the key foundations for a healthy economy, strong educational opportunities and public safety.
Let’s call this thing for what it is. The Governor’s proposal is a cynical political attempt to destroy the nation's public employee unions. It is funded and driven by the rich who have engineered huge tax cuts for themselves that are at the core of the nation’s budget difficulties. It feeds on the fabricated prejudice against teachers and other public employees expressed by other posts. Two principles need to be reestablished. First public employees are workers who deserve the right of collective bargaining like other workers. Second public employees provide necessary and valuable services to their communities and this nation Third many of these workers have advanced educational degrees and/or certification and their education, skills, experience, and service deserves to be fairly compensated
Until the job market collapsed a couple years ago, it was easy to tell how well public sector employees compared to the prviate sector. All you had to do was look at the number of applicants for job openings.
Diane actually had to quiz her panel whether she, or they, expressed any anti-union sentiments? Come on. Pro union bias is the only bias countenanced by NPR.
One thing I don't understand is why would anyone want to cut pay/benefits for teachers when these are the people we are entrusting to do so much for our children? If we value the children, we should make sure that we offer competitive salaries in order not to lose the best and brightest to the private sector!
Good morning, Dianne, thanks for your show, I just donated to NPR for the first time, glad to support the public good you and your guests provide. Could your guests comment on the frequently-heard argument that “when people and businesses need to tighten their belts in a recession, the government should also tighten its belts.” I understand the need for government to demonstrate concern for citizens’ hardship, but what exactly is the relationship between a recessed economy and public services? Do we as a public actually think that because there is a recession we ought to have less public safety and less education? If businesses face lowered sales forecasts, it makes sense for them to reduce some costs and lay people off. But does anyone think that in a recession we actually need less public safety or education?
Chris in Alexandria, VA
Attack on public workers ... please.
Look at public worker employment numbers. It's been non-stop growth with no relationship to tax revenues or the condition of the economy.
Gee, what a surprise, public employee unions got great contracts from the legislators they were raising money for and contributing money to...
You hit the nail on the head.
In 2008, the New York Times discovered that 1 in 4 of the largest US corporations regularly pay no income tax.
GE made $10.8 BILLION in net profit and got a tax return (a "tax benefit") of $1.1 BILLION. Paid for by you and me and all those teachers in WI.
Bank of America paid billions to its top executives, but managed to get a tax return of $1.9 BILLION. Paid for by you and me and all those teachers in WI
The extension of the Bush tax cuts for the wealthy means the Walton family (owners of Wal-Mart) gets a tax break of $30 BILLION. Paid for by you and me and the teachers in WI.
Cabelas reported at least one year where they made more money from "incentives" (ie, corporate welfare paid for by you and me and the teachers in WI) than they earned from sales.
This list could go on all day. When will we stop fighting each other over crumbs and allowing ourselves to be divided and conquered. If a state enters a contract and KNOWS that they have a debt obligation to pay, the state should NOT be handing out massive tax cuts and "incentives". It's like quitting your job and then complaining that you can't pay a mortgage you've had for 10 years.
We working people need to learn to know our enemies. And our fellow middle-class workers are NOT the enemy. They are the backbone of our country and without their incomes and spending, our ecomony will tank.
Regarding the deficit, why is it that when the Bush tax cuts were installed, the argument pushed was that "it's our money and we deserve it back" (surplus). Now that 911, Homeland Security, Two Wars, Rx Drug coverage, Wall St. bailout, etc have been put on the credit card, why are tax rate increases not seen as "it's our debt, we need to pay it back". At the very least, the wealthy, who have actually done very well under these circumstances, should step up and volunteer to help out.
Warren Buffet and Bill Gates haves said as much. Where are all the Patriots?
Michigan State workers will be next on the chopping block. The legislature and Republican governors have taken every possible concession they can get from us, and still want more. Those hired after 3/31/97 are not elligible for a pension- they get a 401k with a small percentage match. We have averaged 0 to 1% wage increases for the past 15+ years, but only by paying higher and higher copays on our insurance. We have done furlough days, "banked leave time"- hours off instead of pay. Our 10/1/10 raise of 3% (bargained for 3 years ago- 0%-1%-3% raises) was taken back two weeks later by the legislature; we now pay a 3% contribution toward "retirement health care". Now our new Governor wants us to pay 20% of our health care instead of 10%. And then the right sounds the mantra that government workers are so, so overpaid. I guess if you say it enough times, people think it's true.
It was interesting to hear that the content of Scott Brown's book is embargoed until (iirc) Monday (21 Feb.). The BBC World Service (via some local US FM stations) had a lead item about its content a day or two ago.
There's a very interesting article by Eric Boehlert about how Fox News makes up stories; imho, it's essential reading. See mediamatters.org/blog/201102100007
I recall hearing, in passing, about some sort of financial instruments (hedge funds, maybe ?) in which (I assume, tax-free) deals total in the $[hundreds of trillions] (annually?) -- that's not billions, trillions. Apologies for all the punctuation...
I hope the Republicans aren't so fanatical that, in order to discredit Pres. Obama, they are willing to destroy the reliability of the $US worldwide and by doing so plunge the world into a hideous depression.
I contributed to Social Security throughout my working life, and had to retire at 62; my skills were outdated. My annual income is equivalent to a few seconds of what's being spent on our two wars, and, referring to those financial instruments, the time interval is probably in the millisecond range.
A very astute person dear to me is urging me to get and read Griftopia by Matt Taibbi. (Sovereign Wealth Funds, iirc).
We truly live in a kleptocracy. If we have not been witnessing (and living amidst) a war on the middle class, then, what is it?
Do we have a national epidemic of retarded emotional development?
One symptom is that we want services, but are not willing to pay taxes to get those services -- make that wanting something for, well, not quite nothing.
A friend says "the USA is becoming a third-world country just as fast as our little feet can carry us". Repeated evidence is disheartening; Wisconsin is only the latest instance.
Incredible that there are still defined-benefit pension systems. In the defined-contribution systems common throughout industry your retirement money is in an account that belongs to you. No one can touch it but you, or your heirs if you die.
To those who said that the state governments entered into these pension agreements voluntarily, yes, but it is easy to spend someone else's money. The principle-agent problem is much worse in the case of taxpayers (a subset of voters) and their government. If a company were to make irresponsible pension commitments and go bankrupt, the damage would be limited to the shareholders' holdings (unless the company is politically influential like GM). Governments can forcibly extract higher taxes from their taxpayers. Of course, they can always move, which Californians are indeed doing.
I'd like those that read this comment list to critique the conversation this morning. I was very disappointed. What did you think and why?
There is rarely concentration on solutions on the DR Show. This morning Social Security was blamed for our deficit without explanation. There was no emphasis on the details in Wisconsin. I still do not understand how Wisconsin will save money this fiscal year by passing this bill. Or how it will necessarily save money in the future with angry union employees. I also question the legality of simply eliminating a union's right to collectively bargain. There were also many more events this week that should have been mentioned if not discussed.
Basically I did not feel that this was a very enlightening conversation and that this is becoming more and more common on the DR show.
What did you think?
Yes davidbaltimore they do tend to reiterate the Oligarchial talking points, don't they. Diane can be forgiven because of her age and ingrained habit, but the others are licking their meal tickets. That's not journalism, but cronyism. If the public were informed and not preached to the fascists in Wisconsin would be broken by people who care about community.