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The Rich Get Richer, The Poor Get Poorer

Cross posted from The Stars Hollow Gazette

Paul Krugman wrote about the human tragedy of the economic policy failures of the Obama administration which has prioritized deficit reduction over putting people back to work. The impact of those failures can be seen in New York City where, as reported in the New York Times, the racial wealth gap has widen since the recession:

The Urban Institute study found that the racial wealth gap yawned during the recession, even as the income gap between white Americans and nonwhite Americans remained stable. As of 2010, white families, on average, earned about $2 for every $1 that black and Hispanic families earned, a ratio that has remained roughly constant for the last 30 years. But when it comes to wealth – as measured by assets, like cash savings, homes and retirement accounts, minus debts, like mortgages and credit card balances – white families have far outpaced black and Hispanic ones. Before the recession, non-Hispanic white families, on average, were about four times as wealthy as nonwhite families, according to the Urban Institute’s analysis of Federal Reserve data. By 2010, whites were about six times as wealthy.

   The dollar value of that gap has grown, as well. By the most recent data, the average white family had about $632,000 in wealth, versus $98,000 for black families and $110,000 for Hispanic families.

The two factors that contributed to the gap were the housing downturn and loss of retirement savings that hit black families the hardest due a number of elements: predatory lending in minority neighborhoods; a higher proportion of their wealth invested in the home; higher unemployment rates and lower incomes among blacks; and the need to borrow out of retirement finds in a depressed market, “leaving them out in the cold as the market recovered.”

An article written by the editors of The Nation pointed out this chilling fact:

Here is New York in 2013: a city of dazzling resurrection and official neglect, remarkable wealth and even more remarkable inequality. Despite the popular narrative of a city reborn-after the fiscal crisis of the ’70s, the crack epidemic of the ’80s, the terrorist attack of 2001, the superstorm of 2012-the extraordinary triumph of New York’s existence is tempered by the outrage of that inequality. Here, one of the country’s poorest congressional districts, primarily in the South Bronx, sits less than a mile from one of its wealthiest, which includes Manhattan’s Upper East Side. And here, a billionaire mayor presides over a homelessness crisis so massive that 50,000 men, women and children sleep in shelters each night. More New Yorkers are homeless these days than at any time since the Great Depression.

The numbers tell the story. Between 2000 and 2010, the median income of the city’s eight wealthiest neighborhoods jumped 55 percent, according to the Fiscal Policy Institute. Meanwhile, as the cushy precincts got even cushier, median income dipped 3 percent in middle-income areas and 0.2 percent in the poorest neighborhoods. [..]

The money pouring in at the top of the income brackets has simply pooled there, without trickling down to the bottom or even the middle. This great pooling has occurred as median wages have fallen, the cost of living has increased, and the poverty rate has risen to 21 percent-as high as it was in 1980. As a result, America’s most iconic city now has the same inequality index as Swaziland.

The article goes on to say that this isn’t entirely NYC’s fault with the economic shift over the last thirty years to finance but it also pointed out that Mayor Michael Bloomberg’s policies were a largely contributed to the problem.

[..]  the stewards of New York City-its mayor, legislators and other influencers-could have made choices to counter this trend: “New York City’s government is significant enough in its breadth…that the policy tools exist and the wherewithal exists to do something at the margins to lessen inequality.” The choices, however, that might have corrected some of the skew-within education, economic development, labor rights, poverty policy, budgeting-have largely been ignored in favor of creating a very different model of metropolis. [..]

Bloomberg himself expressed this vision in a March 2012 piece in the Financial Times bearing the title “Cities Must Be Cool, Creative and In Control,” in which he wrote:

For cities to have sustained success, they must compete for the grand prize: intellectual capital and talent.

I have long believed that talent attracts capital far more effectively and consistently than capital attracts talent. The most creative individuals want to live in places that protect personal freedoms, prize diversity and offer an abundance of cultural opportunities.

Then he added, “Economists may not say it this way but the truth of the matter is: being cool counts.” [..]

In essence, Bloomberg’s is a vision of the city forged primarily around the care and feeding of thought leaders, professionals and strivers-with little concern, and sometimes active contempt, for the ones who do the care and feeding. (In 2011, 400,000 New York workers, many of whom toil in service sector jobs, were not paid enough to hoist themselves out of poverty.) This is a fundamentally two-tier style of urbanism, one in which a cool, creative and well-managed metropolis glitters like something lovely, its radiance drawing attention away from the dimmed surroundings.

Yves Smith at naked capitalism observes:

But you can see more signs of stress even in the more insulated parts of New York City. Retail vacancies are up, even on the well-trafficked shopping streets, the worst since the post-2009 period. More restaurants seem to be taking a hit too, which suggests that non-expense-account diners are cutting back. And if ZIRP-supported NYC is looking a bit less robust, how well can the rest of the country be faring?

h/t to Yves for the video

The rich get richer and the poor get poorer, but ain’t we got fun?

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On This Day In History April 30

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

Click on images to enlarge

April 30 is the 120th day of the year (121st in leap years) in the Gregorian calendar. There are 245 days remaining until the end of the year.

On this day in 1900, Jones dies in a train wreck in Vaughn, Mississippi, while trying to make up time on the Cannonball Express.

John Luther (“Casey”) Jones (March 14, 1863 – April 30, 1900) was an American railroad engineer from Jackson, Tennessee, who worked for the Illinois Central Railroad (IC). On April 30, 1900, he alone was killed when his passenger train, the “Cannonball Express,” collided with a stalled freight train at Vaughan, Mississippi, on a foggy and rainy night.

His dramatic death, trying to stop his train and save lives, made him a hero; he was immortalized in a popular ballad sung by his friend Wallace Saunders, an African American engine wiper for the IC.

Death

On April 29, 1900 Jones was at Poplar Street Station in Memphis, Tennessee, having driven the No. 2 from Canton (with his assigned Engine No. 382 ). Normally, Jones would have stayed in Memphis on a layover; however, he was asked to take the No. 1 back to Canton, as the scheduled engineer (Sam Tate), who held the regular run of Trains No. 1 (known as “The Chicago & New Orleans Limited”, later to become the famous “Panama Limited”) and No. 4 (“The New Orleans Fast Mail”) with his assigned Engine No. 382, had called in sick with cramps. Jones loved challenges and was determined to “get her there on the advertised” time no matter how difficult it looked.

A fast engine, a good fireman (Simeon T. Webb would be the train’s assigned fireman), and a light train were ideal for a record-setting run. Although it was raining, steam trains of that era operated best in damp conditions. However, the weather was quite foggy that night (which reduced visibility), and the run was well-known for its tricky curves. Both conditions would prove deadly later that night.

Normally the No. 1 would depart Memphis at 11:15 PM and arrive in Canton (188 miles to the south) at 4:05 AM the following morning. However, due to the delays with the change in engineers, the No. 1 (with six cars) did not leave Memphis until 12:50 am, 95 minutes behind schedule.

The first section of the run would take Jones from Memphis 100 miles south to Grenada, Mississippi, with an intermediate water stop at Sardis, Mississippi (50 miles into the run), over a new section of light and shaky rails at speeds up to 80 mph (129 km/h). At Senatobia, Mississippi (40 miles into the run) Jones passed through the scene of a prior fatal accident from the previous November. Jones made his water stop at Sardis, then arrived at Grenada for more water, having made up 55 minutes of the 95 minute delay.

Jones made up another 15 minutes in the 25-mile stretch from Grenada to Winona, Mississippi. The following 30-mile stretch (Winona to Durant, Mississippi) had no speed-restricted curves. By the time he got to Durant (155 miles into the run) Jones was almost on time. He was quite happy, saying at one point “Sim, the old girl’s got her dancing slippers on tonight!” as he leaned on the Johnson bar.

At Durant he received new orders to take to the siding at Goodman, Mississippi (eight miles south of Durant, and 163 miles into the run) and wait for the No. 2 passenger train to pass, and then continue on to Vaughan. His orders also instructed him that he was to meet passenger train No. 26 at Vaughan (15 miles south of Goodman, and 178 miles into the run); however, No. 26 was a local passenger train in two sections and would be in the siding, so he would have priority over it. Jones pulled out of Goodman, only five minutes behind schedule, and with 25 miles of fast track ahead Jones doubtless felt that he had a good chance to make it to Canton by 4:05 AM “on the advertised”.

But the stage was being set for a tragic wreck at Vaughan. The stopped double-header freight train No. 83 (located to the north and headed south) and the stopped long freight train No. 72 (located to the south and headed north) were both in the passing track to the east of the main line but there were more cars than the track could hold, forcing some of them to overlap onto the main line above the north end of the switch. The northbound local passenger train No. 26 had arrived from Canton earlier which had required a “saw by” in order for it to get to the “house track” west of the main line. The saw by maneuver for No. 26 required that No. 83 back up and allow No. 72 to move northward and pull its overlapping cars off the south end, allowing No. 26 to gain access to the house track. But this left four cars overlapping above the north end of the switch and on the main line right in Jones’ path. As a second saw by was being prepared to let Jones pass, an air hose broke on No. 72, locking its brakes and leaving the last four cars of No. 83 on the main line.

Meanwhile, Jones was almost back on schedule, running at about 75 miles per hour toward Vaughan, unaware of the danger ahead, since he was traveling through a 1.5-mile left-hand curve which blocked his view. Webb’s view from the left side of the train was better, and he was first to see the red lights of the caboose on the main line. “Oh my Lord, there’s something on the main line!” he yelled to Jones. Jones quickly yelled back “Jump Sim, jump!” to Webb, who crouched down and jumped about 300 feet before impact and was knocked unconscious. The last thing Webb heard when he jumped was the long, piercing scream of the whistle as Jones tried to warn anyone still in the freight train looming ahead. He was only two minutes behind schedule about this time.

Jones reversed the throttle and slammed the airbrakes into emergency stop, but “Ole 382” quickly plowed through a wooden caboose, a car load of hay, another of corn and half way through a car of timber before leaving the track. He had amazingly reduced his speed from about 75 miles per hour to about 35 miles per hour when he impacted with a deafening crunch of steel against steel and splintering wood. Because Jones stayed on board to slow the train, he no doubt saved the passengers from serious injury and death (Jones himself was the only fatality of the collision). His watch was found to be stopped at the time of impact which was 3:52 AM on April 30, 1900. Popular legend holds that when his body was pulled from the wreckage of his train near the twisted rail his hands still clutched the whistle cord and the brake. A stretcher was brought from the baggage car on No. 1 and crewmen of the other trains carried his body to the depot ½-mile away.

They Hate Us For What We Are Doing

Cross posted from The Stars Hollow Gazette

The High Cost of Government Secrecy

Columnist Glenn Greenwald explains what the Boston bombings and U.S. drone attacks have in common, and how secrecy leads to abuse of government power.

“Should we change or radically alter or dismantle our standard protocols of justice in the name of terrorism? That’s been the debate we’ve been having since the September 11th attack,” Greenwald tells Bill. “We can do what we’ve been doing, which is become a more closed society, authorize the government to read our emails, listen in our telephone calls, put people in prison without charges, enact laws that make it easier for the government to do those sorts of things. Or we can try and understand why it is that people want to come here and do that.” [..]

“There certainly are cases where the United States has very recklessly killed civilians,” he tells Bill. “So at some point, when a government engages in behavior year after year after year after year, that continues to kill innocent people in a very foreseeable way, and continues to do that, in my mind that reaches a level of recklessness that is very similar to intentional killing.”



Transcript can be read here

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Happy Birthday, Willie

Singer, song writer, poet, author and activist Willie Nelson is 80 today, or maybe tomorrow

The singer whose birthday is Monday or Tuesday – Nelson says April 29, the state of Texas claims April 30 – occupies a unique space in America’s cultural memory. A walking bag of contradictions, he wears his hair long in braids and has a penchant for pot smoking, yet remains arguably conservative country music’s greatest songwriter. He’s accepted by left and right, black and white and is instantly recognizable to a majority of Americans.

Like few other music stars, his image has grown to represent more than the notes he’s played or the lyrics he’s written. Like Elvis Presley, Johnny Cash or Frank Sinatra, he’s become a figurehead for a uniquely American way of thinking. He represents the outlaw and the maverick. If Elvis was all about the pelvis and the sexual revolution, Nelson is American independence: the raised middle finger tossed with a twinkle in the eye.

Willie’s activism has brought attention to such causes as small farmers, organizing Farm Aid in 1985 along with Neil Young and John Mellencamp that still raises money for small family farmers.

He is also the co-chair of the National Organization for the Reform of Marijuana Laws (NORML) advisory board that supports its legalization, regulation and taxation.

Willie’s activism doesn’t end there. He has support and invested in biodiesal, the better treatment for horses and the LGBT movement calling for the repeal of the Defense of Marriage Act (DOMA).

In 2008, Willie was interviewed by Amy Goodman at Democracy Now!. Here is an excerpt from that hour long interview

“One person carrying a message can change the world.”

Happy Birthday, Willie, and many more.

On This Day In History April 29

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

April 28 is the 118th day of the year (119th in leap years) in the Gregorian calendar. There are 247 days remaining until the end of the year.

On this day, two events occurred involving the South Pacific. Separated by 158 years, one was a mutiny, the other a grand adventure.

Apr 28, 1789: Mutiny on the HMS Bounty Mutiny on the Bounty: The mutiny  was led by Fletcher Christian against the commanding officer, William Bligh. The sailors were attracted to the idyllic life on the Pacific island, and repelled by the alleged cruelty of their captain. Captain Bligh and 18 sailors were set a drift in the South Pacific, near the island of Tonga. Christian along with some of the mutineers and native Tahitians eventually settled on Pitcairn Island an uninhabited volcanic island about 1000 miles south of Tahiti. The mutineers who remained behind on Tahiti were eventually arrested and returned to England where three were hanged. The British never found Christian and the others. Captain Bligh and the 18 others eventually arrived in Timor.

Years later on 1808. am American whaling vessel discovered the colony of women and children led by the sole surviving mutineer, John Adams. The Bounty had been stripped and burned. Christian and the other 8 mutineers were dead. Adams was eventually granted amnesty and remained the patriarch of Pitcairn Island until his death in 1829.

1947 Thor Heyerdahl and five crew mates set out from Peru on the Kon-Tiki to prove that Peruvian natives could have settled Polynesia. His crew of six fellow Norwegians set sail from Peru on a raft constructed from balsa logs and other materials that were indigenous to the region at the time of the Spanish Conquistadors. After 101 days crossing over 400 miles they crashed into a reef at Raroia  in the Tuamotu Islands on August 7, 1947. Heyerdahl’s book, “The Kon-Tiki Expedition: By Raft Across the South Seas”, became a best seller, the documentary won an Academy Award in 1951. The original raft is on display in the Kon-Tiki Museum in Oslo. Heyerdahl died April 18, 2002 in Italy.

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On This Day In History April 28

Cross posted from The Stars Hollow Gazette

This is your morning Open Thread. Pour your favorite beverage and review the past and comment on the future.

Find the past “On This Day in History” here.

April 28 is the 118th day of the year (119th in leap years) in the Gregorian calendar. There are 247 days remaining until the end of the year.

On this day, two events occurred involving the South Pacific. Separated by 158 years, one was a mutiny, the other a grand adventure.

Apr 28, 1789: Mutiny on the HMS Bounty Mutiny on the Bounty: The mutiny  was led by Fletcher Christian against the commanding officer, William Bligh. The sailors were attracted to the idyllic life on the Pacific island, and repelled by the alleged cruelty of their captain. Captain Bligh and 18 sailors were set a drift in the South Pacific, near the island of Tonga. Christian along with some of the mutineers and native Tahitians eventually settled on Pitcairn Island an uninhabited volcanic island about 1000 miles south of Tahiti. The mutineers who remained behind on Tahiti were eventually arrested and returned to England where three were hanged. The British never found Christian and the others. Captain Bligh and the 18 others eventually arrived in Timor.

Years later on 1808. am American whaling vessel discovered the colony of women and children led by the sole surviving mutineer, John Adams. The Bounty had been stripped and burned. Christian and the other 8 mutineers were dead. Adams was eventually granted amnesty and remained the patriarch of Pitcairn Island until his death in 1829.

1947 Thor Heyerdahl and five crew mates set out from Peru on the Kon-Tiki to prove that Peruvian natives could have settled Polynesia. His crew of six fellow Norwegians set sail from Peru on a raft constructed from balsa logs and other materials that were indigenous to the region at the time of the Spanish Conquistadors. After 101 days crossing over 400 miles they crashed into a reef at Raroia  in the Tuamotu Islands on August 7, 1947. Heyerdahl’s book, “The Kon-Tiki Expedition: By Raft Across the South Seas”, became a best seller, the documentary won an Academy Award in 1951. The original raft is on display in the Kon-Tiki Museum in Oslo. Heyerdahl died April 18, 2002 in Italy.

CISPA IS Dead, For Now

Cross posted from The Stars Hollow Gazette

CISPA Kitty photo blog_cispacat_zps96b502e5.jpgThe Senate will not vote on the Cyber Intelligence Sharing and Protection Act, CISPA, that was passed by the House last week.

Sen. Jay Rockefeller (D-W.V.), who is chairman of the Senate Commerce Committee, “believes that information sharing is a key component of cybersecurity legislation, but the Senate will not take up CISPA,” a committee staffer told HuffPost.

A staffer for the Senate Intelligence Committee said the committee also is working on an information-sharing bill and will not take up CISPA.

“We are currently drafting a bipartisan information sharing bill and will proceed as soon as we come to an agreement,” Sen. Dianne Feinstein (D-Calif.), chairwoman of the Senate Intelligence Committee, said in a statement Thursday.

CISPA Is ‘Dead for Now,’ Thanks to a Left-Right Coalition for Online Privacy

by John Nichols, The Nation

What brings the most seriously libertarian Republican in the US House, Michigan’s Justin Amash, together with Congressional Progressive Caucus co-chair Keith Ellison, D-Minnesota?

What unites long-time Ronald Reagan aide Dana Rohrabacher, R-California, with liberal firebrand Alan Grayson, D-Florida?

What gets steadily conservative former House Judiciary Committee chair James Sensenbrenner, R-Wisconsin, together with progressive former House Judiciary Committee chair John Conyers Jr., D-Michigan?

The Fourth Amendment to the Constitution, which has for 222 years promised that “the right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause, supported by Oath or affirmation, and particularly describing the place to be searched, and the persons or things to be seized.”

That’s an old commitment that members of Congress swear an oath to uphold. [..]

CISPA actually won 288 “yes” votes in the House, but the 127 “no” votes-coming from principled members on both sides of the aisle-sent a strong message to the more deliberative Senate. In combination with a grassroots campaign spearheaded by tech-savvy privacy activists and a threatened veto by President Obama, the bipartisan House opposition appears to have convinced Senate leaders have signaled that they plan to put the legislation on hold. The American Civil Liberties Union on Thursday suggestion that CISPA looks to be “dead for now.”

ACLU: CISPA Is Dead (For Now)

By Jason Koebler, US News

The Senate will not take up the controversial cybersecurity bill, is drafting separate legislation

“I think it’s dead for now,” says Michelle Richardson, legislative council with the ACLU. “CISPA is too controversial, it’s too expansive, it’s just not the same sort of program contemplated by the Senate last year. We’re pleased to hear the Senate will probably pick up where it left off last year.”

That’s not to say Congress won’t pass any cybersecurity legislation this year. Both Rockefeller and President Obama want to give American companies additional tools to fight back against cyberattacks from domestic and foreign hackers.

But cybersecurity legislation in the Senate, such as the Cybersecurity and American Cyber Competitiveness Act of 2013, has greater privacy protections than CISPA does. Richardson says that bill makes it clear that companies would have to “pull out sensitive data [about citizens]” before companies send it to the government and also puts the program under “unequivocal civilian control,” something CISPA author Rep. Mike Rogers, R-Mich., was unwilling to do.

Even if the Senate gets something done, Rogers and other CISPA supporters will likely have to compromise more than they’ve been willing to over the past year as Obama has made it clear he will veto legislation that doesn’t have more privacy protections.

CISPA Is Dead. Now Let’s Do a Cybersecurity Bill Right

by Julian Sanchez, Wired

Americans have grown so accustomed to hearing about the problem of “balancing privacy and security” that it sometimes feels as though the two are always and forever in conflict – that an initiative to improve security can’t possibly be very effective unless it’s invading privacy. Yet the conflict is often illusory: A cybersecurity law could easily be drafted that would accomplish all the goals of both tech companies and privacy groups without raising any serious civil liberties problems.

Few object to what technology companies and the government say they want to do in practice: pool data about the activity patterns of hacker-controlled “botnets,” or the digital signatures of new viruses and other malware. This information poses few risks to the privacy of ordinary users. Yet CISPA didn’t authorize only this kind of narrowly limited information sharing. Instead, it gave companies blanket immunity for feeding the government vaguely-defined “threat indicators” – anything from users’ online habits to the contents of private e-mails – creating a broad loophole in all federal and state privacy laws and even in private contracts and user agreements.

Given that recent experience has shown companies shielded by secrecy often err on the side of oversharing with the government, that loophole was a key concern. So why the gap between what the law permits and its supporters’ aims?

It’s a principle wonks call tech neutrality. Nobody wants to write a bill that refers too specifically to the information needed to protect current networks (like “Internet Protocol addresses” or “Netflow logs”) since technological evolution would render such language obsolete over time.

What We Now Know

In this week’s segment of “What We Know Now,” Up’s new host Steve Kornacki the human element in how our clothes are made and the collapse of the garment factory in Bangladesh that killed 340 people. His guest Starlee Kine, contributor to “This American Life;” Ed Cox, chairman of the NY Republican State Comittee; former Rep. Nan Hayworth, (R-NY); and Timothy Naftali, former Director of the Nixon Presidential Library discuss what they have learned this week

Bangladesh factory collapse: police detain owners, as death toll exceeds 350

by Syed Zain Al-Mahmood in Dhaka for The Guardian

Reports of workers being ordered to Rana Plaza building on day before collapse despite cracks appearing and jolts being felt

Police in Bangladesh have detained two factory owners for criminal negligence over the deaths of at least 352 workers at an eight-storey building that collapsed on Wednesday – a day after warnings had been given that it was unsafe.

Two engineers who had been involved in issuing building permits for the Rana Plaza complex in Savar, just north of Dhaka, were also being held. The owner of the building was being sought by police, who have put border authorities on alert and arrested his wife in an attempt to bring him out of hiding.

On Saturday around 30 survivors were found and police say that as many as 900 people remain missing, trapped dead and alive under the twisted steel and concrete, through which rescue teams were still searching last night using electric drills, shovels, crowbars and their bare hands. Anger at the collapse has sparked days of protests and clashes, with police on Saturday using teargas, water cannon and rubber bullets on demonstrators who burned cars.

French Gay Marriage Bill Approved By France’s Parliament

from Huffington Post

Gay marriage has been legalised by the French parliament on Tuesday after weeks of divisive national debate on the issue.

The Socialist-majority assembly passed the measure by a large margin of 331-225.

Despite large and vocal public protests against same-sex marriage, polls suggest 55-60% of the public are in favour, reports the BBC.

And Then There Were Ten

by Dorothy J. Samuels, The New York Times

Rhode Island’s Senate – including all five Republican members – voted 26-12 on Wednesday in favor of legislation to allow same-sex couples to marry. Once Gov. Lincoln Chafee signs the bill, which is expected to happen next week, marriage equality will be the law in every New England state (Rhode Island plus Massachusetts, Connecticut, Vermont, New Hampshire, and Maine) – a meaningful victory for civil rights and a proud distinction for the region.

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