Tag: TMC Politics

Cross posted from The Stars Hollow Gazette

In the wake of last week’s off-off year elections, Bill Moyers sat down with Washington correspondent for The Nation, John Nichols, and professor of communications at the University of Illinois, Robert McChesney, to discuss how big money and big media conglomerates are raking in a fortune, influencing elections and undermining democracy

This past Tuesday, special interests pumped big money into promoting or tearing down candidates and ballot initiatives in elections across the country. It was a reprise on a small scale of the $7 billion we saw going into presidential, congressional and judicial races in 2012. To sway the vote, wealthy individuals and corporations bought campaign ads, boosting revenues at a handful of media conglomerates who have a near-monopoly on the airwaves. [..]

“Democracy means rule of the people: one person, one vote,” McChesney says. “Dollarocracy means the rule of the dollars: one dollar, one vote. Those with lots of dollars have lots of power. Those with no dollars have no power.” Nichols tells Moyers: “Dollarocracy has the ability to animate dead ideas. You can take an idea that’s a bad idea, buried by the voters. Dollarocracy can dig it up and that zombie idea will walk among us.”

An Election About GOP Extremism, Unions, Wages and Dollarocracy

by John Nichols, The Nation

Two states will elect governors Tuesday and one of those governors could emerge as a 2016 presidential contender. The nation’s largest city will elect a mayor, as will hundreds of other communities. A minimum-wage hike is on the ballot. So is marijuana legalization. So is the labeling of genetically-modified foods. And Seattle might elect a city council member who promises to open the fight for a $15-an-hour minimum wage.

Forget the silly dodge that says local and state elections don’t tell us anything. They provide measures of how national developments – like the federal government shutdown – are playing politically. They give us a sense of whether the “war on women” is widening the gender gap. They tell us what issues are in play and the extent to which the political debate is evolving.

Cross posted from The Stars Hollow Gazette

Late last month in the midst of the media obsession over the failure of a web site, the Senate Finance Committee called on congress to pass fast-track legislation aimed at smoothing the passage of any future trade deals that would include the Trans-Pacific Partnership Agreement.

Panel Chairman Max Baucus (D-Mont.) and ranking member Orrin Hatch (R-Utah) said during a trade hearing that they are working on crafting trade promotion authority (TPA) legislation and are expecting the Obama administration to work with them toward gaining its approval in Congress.

Baucus said it is time to “pass TPA and do it soon.”

He noted that President Obama has asked Congress to craft legislation and U.S. Trade Representative Michael Froman is encouraging lawmakers to move forward so “it’s time for us to do our part, introduce a bill and do it quickly.” [..]

The hearing’s witnesses placed a high level of importance on completing TPA because it they argued that it will strengthen the negotiating hand of U.S. trade officials who are working on the U.S.-European Union trade deal as well as the Trans-Pacific Partnership (TPP).

The TPP is a 12-nation Asia-Pacific trade agreement that Obama and Froman, along with many of the other negotiators, are aiming to complete by the end of the year.

What does “fast track” mean? I think Charles Pierce summarized it nicely

Sometime very soon, the Congress is likely to pass — with limited, if any debate and no amendments possible — a massive trade deal that was negotiated in secret, and the terms of which remain largely secret, and which, if the past is any kind of prologue, will drop a thousand-pound stink bomb on American jobs.

Debate (theoretically) cannot ever end on Mel Watt and his middling level federal job.

Debate cannot even begin on the Trans-Pacific Partnership.

Check the umpire because somebody’s screwing us.

The umpire is President Barack Obama and his merry band of corporate thieves.

Cross posted from The Stars Hollow Gazette

Primum non nocere, Latin for “first do no harm,” is the fisrt principal precept of medical ethics that all medical students are taught in medical school and is a fundamental principle for emergency medical services around the world. It is part of the oath that physicians take on graduation. It appears that ethical standard was abandoned by military doctors after 9/11 and has continued with the inhumane treatment of detainees and Guantanamo and other black-ops sites around the world. In a report (pdf) from the Task Force on Preserving Medical Professionalism it was concluded that military doctors and psychologists worked with the CIA and the Pentagon to design, enable and participate in torture and cruel, inhumane and degrading treatment

An independent panel of military, ethics, medical, public health, and legal experts today charged that U.S. military and intelligence agencies directed doctors and psychologists working in U.S. military detention centers to violate standard ethical principles and medical standards to avoid infliction of harm. The Task Force on Preserving Medical Professionalism in National Security Detention Centers (see attached) concludes that since September 11, 2001, the Department of Defense (DoD) and CIA improperly demanded that U.S. military and intelligence agency health professionals collaborate in intelligence gathering and security practices in a way that inflicted severe harm on detainees in U.S. custody.

These practices included “designing, participating in, and enabling torture and cruel, inhumane and degrading treatment” of detainees, according to the report. Although the DoD has taken steps to address some of these practices in recent years, including instituting a committee to review medical ethics concerns at Guantanamo Bay Prison, the Task Force says the changed roles for health professionals and anemic ethical standards adopted within the military remain in place.

“The American public has a right to know that the covenant with its physicians to follow professional ethical expectations is firm regardless of where they serve,” said Task Force member Dr. Gerald Thomson, Professor of Medicine Emeritus at Columbia University. “It’s clear that in the name of national security the military trumped that covenant, and physicians were transformed into agents of the military and performed acts that were contrary to medical ethics and practice. We have a responsibility to make sure this never happens again.” [..]

“Abuse of detainees, and health professional participation in this practice, is not behind us as a country,” said Task Force member Leonard Rubenstein, a legal scholar at the Center for Human Rights and Public Health at The Johns Hopkins Bloomberg School of Public Health and the Berman Institute of Bioethics. “Force-feeding by physicians in violation of ethical standards is illustrative of a much broader legacy in which medical professionalism has been undermined.”

Joining Amy Goodman and Juan Gonzalez on Democracy Now! for a discussion of the report are retired brigadier general Dr. Stephen Xenakis, a military psychiatrist who advised the chair of the Joint Chiefs of Staff on military mental health issues, and Leonard Rubenstein, senior scholar at the Johns Hopkins Bloomberg School of Public Health and co-author of the report, “Ethics Abandoned: Medical Professionalism and Detainee Abuse in the ‘War on Terror.’”

The two-year study cites doctors for breaching patient confidentiality and advising interrogators on how to exploit prisoners’ fears and crush their will to resist. The task force is calling for a full investigation of the medical profession’s role in U.S. torture and an overhaul to ensure doctors involved in interrogations follow ethical standards. Both the CIA and the Pentagon have rejected the report’s findings.

CIA made doctors torture suspected terrorists after 9/11, taskforce finds

by Sarah Boseley, The Guardian

Doctors were asked to torture detainees for intelligence gathering, and unethical practices continue, review concludes

Medical professionals were in effect told that their ethical mantra “first do no harm” did not apply, because they were not treating people who were ill.

The report lays blame primarily on the defence department (DoD) and the CIA, which required their healthcare staff to put aside any scruples in the interests of intelligence gathering and security practices that caused severe harm to detainees, from waterboarding to sleep deprivation and force-feeding.

The two-year review by the 19-member taskforce, Ethics Abandoned: Medical Professionalism and Detainee Abuse in the War on Terror, supported by the Institute on Medicine as a Profession (IMAP) and the Open Society Foundations, says that the DoD termed those involved in interrogation “safety officers” rather than doctors. Doctors and nurses were required to participate in the force-feeding of prisoners on hunger strike, against the rules of the World Medical Association and the American Medical Association. Doctors and psychologists working for the DoD were required to breach patient confidentiality and share what they knew of the prisoner’s physical and psychological condition with interrogators and were used as interrogators themselves. They also failed to comply with recommendations from the army surgeon general on reporting abuse of detainees.

The CIA’s office of medical services played a critical role in advising the justice department that “enhanced interrogation” methods, such as extended sleep deprivation and waterboarding, which are recognised as forms of torture, were medically acceptable. CIA medical personnel were present when waterboarding was taking place, the taskforce says.

US Medical Professionals Were Involved in the Design & Administration of Torture

by Kevin Gosztola, The Dissenter at FDL

At Guantanamo Bay, a policy was implemented to allow interrogators to use “medical and psychological information” on detainees in order to “exploit” weaknesses during interrogations. The International Committee of the Red Cross reported in 2004 that military interrogators were able to freely access detainee medical records. Detainee medical information can be used for “intelligence gathering,” and BSCTs are allowed to perform psychological assessments, which are passed on to interrogators, so long as that information is not used to treat a prisoner inhumanely. The Task Force urges this practice be brought to an end.

The Task Force report addresses the role of medical personnel in force-feedings. It does not accept the Defense Department’s claim that force-feedings are undertaken to save lives. They have been “used commonly, not just in rare instances where a detainee’s life was threatened.” They have been explicitly used to break political protests. And, therefore, all force-feedings should be “prohibited.”

Finally, the report proposes that medical personnel be held accountable for their role in torture or inhumane treatment by further informing the public of the role of medical personnel in what has happened. There should be more “fact-finding and investigations” along with “stronger disciplinary action through state health professional licensing boards.”

It suggests that military and intelligence health professionals be subject to the same civilian disciplinary system as other health professionals because, no matter where they are working, all military and intelligence medical personnel are US physicians and psychologists. [..]

In conclusion, while it is not stated by the Task Force, this failure to hold medical professionals accountable should be understood in the context of the larger issue of impunity for those involved in authorizing and carrying out torture in the “war on terrorism” under President George W. Bush. It has been policy under President Barack Obama to decriminalize torture and not prosecute former Bush administration officials responsible for cruel and inhuman treatment. The administration is also presiding over military commissions at Guantanamo that will not permit evidence of torture to be mentioned in court by the very few defendants that have been granted some modicum of due process after actually being charged with committing crimes.

A 6,300-page report by the Senate intelligence committee details the CIA’s role in torture and likely contains critical details on medical personnel’s role in torture yet it remains secret. The CIA has effectively managed to resist or prevent the release thus far and the Obama administration has not taken the step of ordering that it be released in some form, which has enabled the CIA to continue to escape full responsibility for its role in the torture of prisoners.

Blue Ribbon Task Force Says Army Field Manual on Interrogation Allows Torture, Abuse

by Jeff Kaye, The Dissenter at FDL

A report by a multidisciplinary task force, made up largely of medical professionals, ethicists and legal experts, has called on President Obama to issue an executive order outlawing torture and other abusive techniques currently in use in the military’s Army Field Manual on interrogations. The Task Force, which wrote the report for The Institute on Medicine as a Profession (IMAP) and the Open Society Foundations (OSF), has also called on the Department of Defense to rewrite the Army Field Manual in accordance with such an executive order. [..]

Besides recommending that the Department of Defense (DoD) revise the AFM itself, the Task Force report calls for the United States to “accede to the Optional Protocol to the Convention Against Torture, which requires the creation of an independent domestic monitoring body for the purpose of preventing torture against individuals in custody.”

The recommendation to issue a new executive order on current forms of torture and abuse, and to rewrite the Army Field Manual is one of eight findings and numerous recommendations in the report. The first recommendation was for President Obama to “order a comprehensive investigation of U.S. practices in connection with the detention of suspected terrorists following 9/11 and report the results to Congress and the American people.”

The report continued, “The investigation should include inquiry into the circumstances, roles, and conduct of health professionals in designing, participating in, and enabling torture or cruel, inhuman, or degrading treatment of detainees in interrogation and confinement settings and why there were few if any known reports by health professionals.” In the body of the report, the Task Force indicated the investigation should include an examination of the “highly questionable” and “unexplained” use of the drug mefloquine on all the Guantanamo detainees, something I will examine in more depth in a future article.

Doctors: Force-Feedings at Guantanamo Have Been Used to Break Political Protests, Not Save Lives

by Kevin Gosztola, The Dissenter at FDL

This year at Guantanamo one of the biggest hunger strikes in the history of the facility took place. Lawyers for detainees reported more than 100 prisoners in the prison were at one point participating in the hunger strike, which aimed to call attention to the inhumanity and hopelessness of their indefinite detention. But the hunger strike, an act of protest, was eventually broken through force-feedings that involved medical personnel.  [..]

A prisoner used to be able to control the rate that food was entering his body to limit discomfort. But, “in a major policy change from the past that adds to the coerciveness of force-feeding, the detainee is no longer permitted to control drip rates or order of ingredients during enteral feeding.” The new standard operating procedure states that giving prisoners this kind of control “has had the effect of prolonging the total time spent in the feeding chair and has given the detainee a measure of control over an involuntary process.” Therefore, the Task Force indicates “all elements

of detainee control over flow rate, content of feeding, or location of feeding is now prohibited.”

Furthermore, the Task Force maintains its conclusions are “consistent with decisions of courts reviewing similar practices. The European Court of Human Rights, while stating that force-feeding to save a life may not amount to a violation of laws against torture and cruel, inhuman, or degrading treatment, held that ‘repeated force-feeding, not prompted by valid medical reasons but rather with the aim of forcing the applicant to stop his protest, and performed in a manner which unnecessarily exposed him to great physical pain and humiliation, can only be considered as torture.'”

These medical professional should not just be barred from practicing medicine anywhere, they should be prosecuted for torture along with all those responsible for the implementation of these programs and policies from both the Bush and Obama administrations.  

Cross posted from The Stars Hollow Gazette

As recounted by relapsed blogger David Dayen, intrepid blogger, economist and former college professor Duncan Black, aka Atrios, became frustrated with stagnating wages over the last ten years that have been putting working class families at risk of being unable to sustain their standard of living past retirement.

(I)n late 2012 he embarked on a sustained crusade, on his blog and in a series of columns for USA Today, to inject a single idea into America’s policy discourse: “We need an across-the-board increase in Social Security retirement benefits of 20 percent or more,” he declared in the opening of a column for USA Today. “We need it to happen right now.”

The proposal was not exactly attuned to the political winds in Washington. Indeed, for anyone inclined to think in terms of counting potential votes in Congress-especially this Congress-the idea of expanding Social Security is the epitome of a political non-starter. Black’s proposal was attuned, however, to a mounting pile of research and demographic data that describes a gathering disaster. The famously large baby boom generation is heading into retirement. Thanks to decades of stagnant wages and the asset collapse of the Great Recession, more than half of American working-class households are at risk of being unable to sustain their standard of living past retirement. To put it even more starkly, according to research by the economists Joelle Saad-Lessler and Teresa Ghilarducci, 49 percent of middle-class workers are on track to be “poor or near poor” after they retire.

There is very little safety net left to break this fall. The labor market for older workers is bleak. Private pensions are largely a thing of the past. Private savings are so far gone that some 25 percent of households with 401(k) and other retirement plans have raided them early to cover expenses, and a growing number of Americans over age 50 find themselves accumulating, not settling, debt. On the whole, 401(k)s have proved a “disaster,” as Black puts it, one that has enriched the financial sector but lashed the country’s retirement security to a volatile stock market-and left 75 percent of Americans nearing retirement age in 2010 with less than $30,000 in their accounts.

What’s left? Social Security. Though it was never meant to be a national retirement system all by itself, that’s increasingly what it has become. For Americans over age 65 in the bottom half of the income distribution, Social Security makes up at least 80 percent of retirement income.

In one of those columns in March of this year, Black used the “three legged stool” metaphor to bolster his argument to expand Social Security:

According to the Pew Research Center, the median household wealth for those aged 65+ is about $170,000. While that sounds like a significant amount of money, as Dean Baker of the Center for Economic and Policy Research pointed out, this is actually a trivial amount of wealth for people with little or no income other than Social Security benefits. Remember that this figure includes housing wealth. Even if it was a bunch of cash in a bank account, it wouldn’t actually provide for a significant supplement to other retirement income, but the reality is that many people have a house and not much else. [..]

Social Security was envisioned as one leg of a three-legged stool of retirement, along with employer pensions and private savings or insurance (though the metaphor itself was devised after its creation). The problem is that two of those legs have shrunk significantly. This is not a stool one can comfortably sit on. This is not a stool most people will be able to sit on at all. The system, as envisioned, is failing.

We can goad and cajole people into saving. We can provide incentives for people to save for their retirement, and penalize them for raiding those funds before they retire. We can subsidize employer contributions to retirement funds.

But we have been doing all of these things for decades, and they haven’t worked. The majority of people nearing retirement will not have sufficient funds to retire with anything resembling economic security and comfort.

Well our frustrated blogging buddy’s idea is at long last taking root. Two Democratic Senators, Tom Harkin of Iowa and Mark Begich of Alaska, have introduced legislation that not only would expand Social Security but strengthen it.

The Strengthening Social Security Act of 2013 would:

• Strengthen Benefits by Reforming the Social Security Benefit Formula: To improve benefits for current and future Social Security beneficiaries, the Act changes the method by which the Social Security Administration calculates Social Security benefits.  This change will boost benefits for all Social Security beneficiaries by approximately $70 per month, but is targeted to help those in the low and middle of the income distribution, for whom Social Security has become an ever greater share of their retirement income.

• Ensure that Cost of Living Adjustments Adequately Reflect the Living Expenses of Retirees: The Act changes the way the Social Security Administration calculates the Cost of Living Adjustments (COLA).  To ensure that benefits better reflect cost increases facing seniors, future COLAs will be based on the Consumer Price Index for the Elderly (CPI-E).  Making this change to Social Security is expected to result in higher COLAs, ensuring that seniors are able to better keep up with the rising costs of essential items, like health care.

• Improve the Long Term Financial Condition of the Trust Fund: Social Security is not in crisis, but does face a long-term deficit.  To help extend the life of the trust fund the Act phases out the current taxable cap of $113,700 so that payroll taxes apply fairly to every dollar of wages.

The legislation has the support of AFL-CIO, AFSCME, the Alliance for Retired Americans, the National Organization for Women (NOW), the National Education Association, Paralyzed Veterans of America, Strengthen Social Security Coalition, Social Security Works, the United Automobile Aerospace & Agricultural Implement Workers of America (UAW), United Steelworkers, MoveOn.org and others.

The Harkin/Begich bill has now been endorsed by Ohio’s Senator Sherrod Brown (D) who has also introduced legislation that would change the cost Of living formula for Social Security to better reflect seniors’ true expenses:

With the introduction of several proposals that would reduce Social Security benefits for seniors by changing the formula used to calculate annual cost-of-living adjustments (COLA), U.S. Sen. Sherrod Brown (D-OH) today joined the National Committee to Preserve Social Security and Medicare (NCPSSM) to announce the Consumer Price Index for Elderly Consumers Act.  The new legislation would change the COLA formula for Social Security to more accurately reflect the expenses of senior citizens. Because of the method by which inflation is calculated, seniors and other Social Security recipients did not receive a COLA in 2010 and 2011, even though the price of prescription drugs, food, energy, and other necessities continued to rise. [..]

Social Security COLAs are calculated using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).  The CPI-W was chosen as the measure of inflation because it was the only measure available at the time the automatic COLA was established in 1972.  The CPI-W measures changes in the prices of goods and services purchased by those who earn more than half their income from clerical or wage occupations.  However, the CPI-W formula only represents about 32 percent of the U.S. population and does not accurately represent the inflation experience of older Americans. According to the Congressional Research Service, between 1982 and 2009, the cost of living under the CPI-W rose at an average rate of 2.9 percent, while the cost of living for seniors-as measured by an experimental CPI-E-rose at a rate of 3.2 percent.

Brown’s legislation would formalize a Consumer Price Index for the Elderly (CPI-E). The CPI-E would take into account seniors’ specific consumption habits, including increased prescription drug and energy costs, and would be used to determine the COLA for Social Security benefits.

It is time for President Barack Obama and congressional Democrats start acting like progressives and back both the Harkin/Begich and Brown bill. The president and the Democratic leadership should remove Social Security as a bargaining chip from the faux debt/deficit austerity negotiations and start protecting some of our most vulnerable citizens.

You can support the Strengthen Social Security Act (S.567) by signing this petition

Thanks, Atrios.

Cross posted from The Stars Hollow Gazette

“Yes, I believe it is in the nation’s best interest to put all the phone records into a lockbox that we could search.”

   –Keith B. Alexander, September 2013

The New York Times has revealed new details about how the National Security Agency is spying on targets ranging from the United Nations to foreign governments to global text messages. We are joined by New York Times reporter Scott Shane, who reports that the NSA has emerged “as an electronic omnivore of staggering capabilities, eavesdropping and hacking its way around the world to strip governments and other targets of their secrets, all the while enforcing the utmost secrecy about its own operations.” The Times article reveals how the NSA intercepted the talking points of U.N. Secretary-General Ban Ki-moon ahead of a meeting with President Obama in April and mounted a major eavesdropping effort focused on the United Nations Climate Change Conference in Bali in 2007. The Times also reveals the existence of an NSA database called Dishfire that “stores years of text messages from around the world, just in case.” Another NSA program called Tracfin “accumulates gigabytes of credit card purchases.”

As U.S. Weighs Spying Changes, Officials Say Data Sweeps Must Continue

by David E. Sanger, The New York Times

The Obama administration has told allies and lawmakers it is considering reining in a variety of National Security Agency practices overseas, including holding White House reviews of the world leaders the agency is monitoring, forging a new accord with Germany for a closer intelligence relationship and minimizing collection on some foreigners.

But for now, President Obama and his top advisers have concluded that there is no workable alternative to the bulk collection of huge quantities of “metadata,” including records of all telephone calls made inside the United States.

Instead, the administration has hinted it may hold that information for only three years instead of five while it seeks new technologies that would permit it to search the records of telephone and Internet companies, rather than collect the data in bulk in government computers. Gen. Keith B. Alexander, the director of the N.S.A., has told industry officials that developing the new technology would take at least three years.

NSA official cites ‘stop and frisk’ in effort to explain searches of phone records

by Ali Watkins, McClatchy Washington Bureau

The general counsel of the National Security Agency on Monday compared the agency’s telephone metadata collection program to the highly controversial “stop-and-frisk” practice used by law enforcement officers, saying the agency uses that same standard to choose which phone numbers to query in its database.

“It’s effectively the same standard as stop-and-frisk,” Rajesh De said in an attempt to explain the evidentiary use of “reasonable and articulable suspicion” to identify which phone numbers to target from the agency’s huge database of stored cellphone records.

De made the comment during a rare hearing of an obscure government body, the Privacy and Civil Liberties Oversight Board, which Congress created in 2004 to oversee the government’s expanded intelligence collection operations but which until Monday had never held a substantive hearing. [..]

The comparison was the latest in questionable analogies that intelligence officials have used in an effort to explain the agency’s metadata collection programs since former defense contractor Edward Snowden revealed their existence in June.

Intelligence officials, for example, have said repeatedly that the collection of hundreds of millions of phone records allows them to build a haystack in which to find a needle, apparently missing the irony that “finding a needle in a haystack” is an expression meant to convey that a task is all but impossible.

NSA’s Path to Totalitarianism

by Norman Pollack, Counterpunch

The New York Times, a recipient, along with the Guardian, of Snowden’s disclosures about the illegal activities of Obama and USG, is breaking out, as now, of its reticence about the nation’s profound disregard of constitutional principles AND its related policies of global hegemony at all costs-here Scott Shane’s lengthy article (3 Nov.), “No Morsel Too Miniscule for All-Consuming N.S.A.”  NSA to all intents and purposes appears as a “rogue” organization, extremism in the putative service of liberty, except that the designation is a way of distracting attention, and removing accountability, from its authorization and mission at the highest levels-call it, licensed roguery, official (with Obama’s eyes supposedly averted).  Or better, call it, stripped of all cosmetics, the unerring mark of a Police State, itself become identical  with Fortress America, the National-Security State.

Eavesdropping on foreign leaders speaks to an arrogance of power, in which the US claims for itself every right, unilaterally, to script both sides of the foreign dialogue as well as micromanage to its own advantage the rhythm and content of global events, from regional trade partnerships to the use of military force in shoring up alliance systems against a host of enemies, some terrorist groups to be sure, but, using that as pretext, mounting counterrevolution globally against alternative modes, notably, socialist, of modernization: autonomous national and/or radical aspirations seeking distance from US market penetration, the tarnished necklace of its worldwide military bases and CIA stations, and not least, the ideological saturation (assisted by IMF and World Bank applications of pressure) of market fundamentalism, the property right, unrestricted capital flows, and the honor of serving American industry with the lowest possible labor costs, as meanwhile we see the financialization of capitalism here and the gutting of the manufacturing base.

Eavesdropping, of course, is the polite term for control freak, which translates, in the realm of power politics, into societal desperation to employ any and all means for staying on top, cyber-strategies of disruption as well as information-gathering, campaigns of disinformation, CIA-JSOC paramilitary programs of regime change, and, upping the ante, as here, learning every move in advance of foreign leaders, the better-take no chances, take no prisoners-to orchestrate world politics in our favor.

Cross posted from The Stars Hollow Gazette

‘Oligarchic tendencies’: Study finds only the wealthy get represented in the Senate

Members of the U.S. Senate do not respond equally to the views of all their constituents, according to research to be published in Political Research Quarterly next month. Senators overall represent their wealthiest constituents, while those on bottom of the economic rung are neglected. [..]

The study used data from the 2004 National Annenberg Election Survey to compare constituents’ political opinion to the voting behavior of their Senators in the 107th through 111th Congresses. With more than 90,000 respondents, the NAES is the largest public opinion survey conducted during presidential elections.

In all of the five Congresses examined, the voting records of Senators were consistently aligned with the opinions of their wealthiest constituents. The opinions of lower-class constituents, however, never appeared to influence the Senators’ voting behavior.

The neglect of lower income groups was a bipartisan affair. Democrats were not any more responsive to the poor than Republicans. [..]

Contrary to popular opinion, it was Democrats – not Republicans – who were more responsive to upper-class opinion in the 111th Congress.

Cross posted from The Stars Hollow Gazette

President Barack Obama is pushing approval of The Trans-Pacific Partnership by the end of the year.

U.S. Trade Representative Michael Froman said on Tuesday that world trade ministers may discuss the U.S.-proposed Trans-Pacific Partnership (TPP) on the sidelines of a World Trade Organization meeting that starts on December 3, with a goal of reaching a deal by year-end.

But several outstanding issues remain, he told reporters at the Asia-Pacific Economic Cooperation (APEC) summit on the Indonesian island of Bali, citing issues ranging from intellectual property to state-owned enterprises, labor and the environment. The WTO meeting will also be held on Bali.

The three-year-old TPP talks, now involving 12 nations, are aimed at establishing a free-trade bloc that would stretch from Vietnam to Chile to Japan, encompassing 800 million people, about a third of world trade and nearly 40 percent of the global economy.

A major goal of the Obama administration, the TPP would tear down trade barriers in areas such as government procurement and set standards for workers’ rights, environmental protection and intellectual property rights.

In actuality, the TPP has little to do with free trade. In a thirty minute interview with Bill Moyers, investment banking expert Yves Smith who runs the blog naked capitalism and economist Dean Baker, co-director of the Center for Economic and Policy Research discuss the real agenda of the agreement.

A US-led trade deal is currently being negotiated that could increase the price of prescription drugs, weaken financial regulations and even allow partner countries to challenge American laws. But few know its substance.

The pact, the Trans-Pacific Partnership (TPP), is deliberately shrouded in secrecy, a trade deal powerful people, including President Obama, don’t want you to know about. More than 130 members of Congress have asked the White House for greater transparency about the negotiations and were essentially told to go fly a kite. While most of us are in the dark about the contents of the deal, which Obama aims to seal by year end, corporate lobbyists are in the know about what it contains.

How the Trans-Pacific Partnership Would Roll Back the Financial Regulations Needed to Avoid Another Crisis

by Expose the TPP

   The TPP would ban capital controls, an essential policy tool to counter destabilizing flows of speculative money. Even the International Monetary Fund has recently endorsed capital controls as legitimate for mitigating or preventing financial crises.

   The TPP would prohibit taxes on Wall Street speculation. That means that there would be no hope of passing proposals like the Robin Hood Tax, which would impose a tiny tax on Wall Street transactions to tamp down speculation-fueled volatility while generating hundreds of billions of dollars’ worth of revenue for social, health, or environmental causes.

   The TPP would empower financial firms to directly attack these government policies in foreign tribunals, and demand taxpayer compensation for policies they claim undermine their expected future profits.

The Trans-Pacific Partnership: A Trade Agreement for Protectionists

By Dean Baker, Center for Economic and Policy Research

There are many other areas where we could envision freer trade bringing real gains to the bulk of the population. However this is not what the TPP is about. The TPP is about crafting rules that will favor big business at the expense of the rest of the population in both the United States and in other countries.

For example, we can expect to see limits on the ability of national and sub-national governments to impose environmental restrictions, such requirements that companies engaging in fracking disclose the list of chemicals they use. There may also be limits on the extent to which governments can restrict the sale of genetically modified foods, with rules on labeling. And, the TPP may prevent governments from imposing restraints on financial firms that would prevent the sort of abuses that we saw during the run-up of the housing bubble.

The world has benefited from the opening of trade over the last four decades. But this opening has been selective so that, at least in the United States, most of the gains have gone to those at the top. It is possible to design trade deals that benefit the population as a whole, but not when corporate interests are literally the negotiators at the table. Rather than being about advancing free trade, the TPP is the answer to the question: “how can we make the rich richer?

Another Reason to Hate TPP: It Gives Big Content New Tools to Undermine Sane Digital Rights Policies

by Corynne McSherry and Maira Sutton, Electronic Freedom Foundation

Like the rest of the TPP, we only know what has been leaked. Based on that, it seems the negotiators are poised to give private corporations new tools to undermine national sovereignty and democratic processes. Specifically, TPP would give multinational companies the power to sue countries over laws that that might diminish the value of their company or cut into their expected future profits.

The provision that gives them this power is called “investor-state dispute settlement” (or ISDS for short). The policy was originally intended to ensure that investments in developing countries were not illegally expropriated by “rogue” governments, thereby encouraging foreign investment. But what began as a remedy to a specific problem has since been co-opted to serve very different purposes. Under investor-state, if a regulation gets in the way of a foreign investor’s ability to profit from its investment, the investor can sue a country for monetary damages based on both alleged lost profits and “expected future profits.” There are no monetary limits to the potential award.

Apparently a country’s own courts can’t be trusted to administer this kind of lawsuit, so investor-state also requires the creation of a new court. It would be comprised of three private-sector attorneys who take turns being judge and/or corporate advocate.

So the poem starts that commemorates the Gun Powder Plot of 1605 and  Guy Fawkes, a member of the Gunpowder Plot, was arrested while guarding explosives the plotters had placed beneath the House of Lords. That night has been celebrated in England on November 5th as Guy Fawkes Night ever since with bonfires and masks inspired by Guy Fawkes’ image. The holiday, the poem and, especially, the mask was made popular again by the 2006 motion picture “V for Vendetta.” Set in the future, “V” is an anonymous masked revolutionary working to destroy the fascist, totalitarian government with  elaborate, violent, and intentionally theatrical campaign that kills the leaders of the government and inspires the people to take back self-rule.

The mask was adopted by the group Anonymous whose members wore the mask during a 2008 protest of the Church of Scientology. The group has been called “freedom fighters,” “digital Robin Hoods,” “a cyber lynch-mob” and  “cyber terrorists.” Whatever you call them they were named of Time‘s “100 most influential people in the world for 2012.

It also became a symbol of the Occupy Wall Street movement that raised the awareness of the world to social and economic inequality, greed, corruption and the undue influence of corporations on government, especially Wall Street. Their slogan “We Are the 99%” became the probably the best known phrase of the last 2 years and the mask one of the most recognized symbols of the movement next to the dancer on the Wall Street bull.

This Guy Fawkes Day is being remembered by #OWS and Anonymous with day long protests and actions around the world with a call to action to the people to take back their self rule from the corrupt governments and corporations. Battered and scarred, they are still here but the time for revolution is ripening. The lion sleeps no more

Greetings world. We are anonymous. We are the people.

Governments of the world: take this message as your last will and testament. The game is officially over. Social media has given birth to something new. Now it’s time to set the record straight. This video is intended as that spark that gets delivered straight into the hearts and minds of the world. This video is an idea – a shared idea – so listen very carefully and make sure you are sitting down.

On the 5th of November 2013, Anonymous call for a day of global civil disobedience. This time we target all government facilities across the globe. Calling all free thinkers: the time for civil disobedience is now. This time it also seems unions from around the world are supporting this action. The lion sleeps no more. Ask yourself this: where will you be when we make history? November 5th, 2013. Worldwide. Now it’s a vendetta. Now it’s personal. Now it’s time to occupy everywhere. It’s time to throw everything we have at November 5th. It’s time to relight the flame of protest until our demands are met. Now it’s time for our brothers and sisters of the awakening to take to the streets. Austerity means war.

Here’s to the dreamers, the one’s that stand for human freedom, the Occupiers, the people that change things. It’s about solidarity, but more than that, it’s about the people, the people we meet, the people of the world standing together for a common goal. Concerned by numerous ecological and social problems, we stand united. As long as there are young and idealist people that share the views of ultimate human freedom, there will always be hope for the world.

We are anonymous. We are legion. We do not forgive. We do not forget. On November 5th, 2013: EXPECT US.

To find a march near you go to The Million Mask March World Event to find a city.

Cross posted from The Stars Hollow Gazette

“We don’t have a domestic spying program.” That was the statement made by President Barack Obama on the “Jay Leno Show” on August 6, 2013 in the aftermath of the revelations by whistleblower Edward Snowden. We know now that there was no truth in that. We know, through the NSA program called “PRISM,” the NSA had been collecting internet data since 2007, including encrypted communications, from the tech giants, such as Google, Yahoo and Verizon, under Section 702 of the FISA Amendments Act of 2008. That’s the one that Obama said he would filibuster, then voted for with the promise of fixing it later.

The latest revelation is the NSA went beyond PRISM’s front door approach and behind the back of Google and Yahooo to infiltrate links to their data centers world wide. This newest document from Edward Snowden’s stash of NSA files exposed a program called MUSCULAR that was jointly operated with the NSA’s British counterpart, GCHQ. As it was reported by  Barton Gellman and Ashkan Soltani at The Washington Post, through this program they secretly broke into the main communication links that connect Yahoo and Google around the world enabling them to “collect at will from hundreds of millions of user accounts, many of them belonging to Americans.

According to a top-secret accounting dated Jan. 9, 2013, the NSA’s acquisitions directorate sends millions of records every day from internal Yahoo and Google networks to data warehouses at the agency’s headquarters at Fort Meade, Md. In the preceding 30 days, the report said, field collectors had processed and sent back 181,280,466 new records – including “metadata,” which would indicate who sent or received e-mails and when, as well as content such as text, audio and video.

The NSA’s principal tool to exploit the data links is a project called MUSCULAR, operated jointly with the agency’s British counterpart, the Government Communications Headquarters . From undisclosed interception points, the NSA and the GCHQ are copying entire data flows across fiber-optic cables that carry information among the data centers of the Silicon Valley giants. [..]

Intercepting communications overseas has clear advantages for the NSA, with looser restrictions and less oversight. NSA documents about the effort refer directly to “full take,” “bulk access” and “high volume” operations on Yahoo and Google networks. Such large-scale collection of Internet content would be illegal in the United States, but the operations take place overseas, where the NSA is allowed to presume that anyone using a foreign data link is a foreigner.

Outside U.S. territory, statutory restrictions on surveillance seldom apply and the FISC has no jurisdiction. Senate Intelligence Committee Chairman Dianne Feinstein (D-Calif.) has acknowledged that Congress conducts little oversight of intelligence-gathering under the presidential authority of Executive Order 12333, which defines the basic powers and responsibilities of the intelligence agencies.

Needless to say the news that the NSA can collect information sent by fibre optic cable between the two tech giants infuriated them:

In a statement, Google’s chief legal officer, David Drummond, said the company was “outraged” by the latest revelations.

“We have long been concerned about the possibility of this kind of snooping, which is why we have continued to extend encryption across more and more Google services and links, especially the links in the slide,” he said.

“We do not provide any government, including the US government, with access to our systems. We are outraged at the lengths to which the government seems to have gone to intercept data from our private fiber networks, and it underscores the need for urgent reform.”

Yahoo said: “We have strict controls in place to protect the security of our data centers, and we have not given access to our data centers to the NSA or to any other government agency.”

It was this slide from the NSA presentation on “Google Cloud Exploitation,” that caused two engineers with close ties to Google exploded in profanity when they saw the drawing.

Click on image to enlarge.

The tech giants are now calling for real reforms of the NSA. In a letter sent to the Senate Intelligence Committee, chaired by Senator Dianne Feinstein (D-CA), they called for passage of the USA Freedom Act  a bill sponsored by Democrat senator Patrick Leahy and Republican congressman James Sensenbrenner that would end the bulk collection of data from millions of Americans and set up a privacy advocate to monitor the Fisa court, which oversees the NSA’s US activities.

“Recent disclosures regarding surveillance activity raise important concerns in the United States and abroad. The volume and complexity of the information that has been disclosed in recent months has created significant confusion here and around the world, making it more difficult to identify appropriate policy prescriptions,” the letter states.

“Our companies have consistently made clear that we only respond to legal demands for customer and user information that are targeted and specific.

“Allowing companies to be transparent about the number and nature of requests will help the public better understand the facts about the government’s authority to compel technology companies to disclose user data and how technology companies respond to the targeted legal demands we receive,” they write. [..]

“We urge the administration to work with Congress in addressing these critical reforms that would provide much needed transparency and help rebuild the trust of Internet users around the world,” the letter said.

The lack of credibility that this administration and congress has on this issue is eclipsed only by the enormity of the Grand Canyon. The sham House Intelligence Committee led by chief NSA apologist Rep. Mike Rogers featured inveterate liars NSA boss General Keith Alexander and Director of National Intelligence James Clapper, along with  Deputy Attorney General James Cole and number 2 guy at NSA Chris Inglis who were tossed easy questions. When push back from Democratic committee members came, Rogers interrupted, incredibly suggesting that they should just shut up if they’re going to say they weren’t informed:

(Rep. Adam) Schiff quite reasonably, appeared to take offense to this, and challenged Rogers, asking for more details as to when and how the Committee was told about spying on foreign leaders. Rogers without actually answering the question kept “warning” other members not to say something about this. Schiff broke in again (with Rogers trying to stop him from talking) to ask if the Committee was directly informed about this or if it was just a giant data dump of information that he would have had to go through carefully to find out who they were spying on. Rogers again refused to answer the question, and again hinted that those who put in the “effort” would have known about this — and then flat out cut off Schiff [..]

So we are now supposed to trust the liars?

 

Cross posted from The Stars Hollow Gazette

Former constitutional lawyer and columnist on civil liberties and U.S. national security issues for The Guardian, Glenn Greenwald joined Democracy Now!‘s Amy Goodman to discuss how US spying in out allies has become an institutionalized obsession with surveillance.

The spat over U.S. spying on Germany grew over the weekend following reports the National Security Agency has monitored the phone calls of Chancellor Angela Merkel since as early as 2002, before she even came to office. The NSA also spied on Merkel’s predecessor, Gerhard Schroeder, after he refused to support the Iraq War. NSA staffers working out of the U.S. embassy in Berlin reportedly sent their findings directly to the White House. The German tabloid Bild also reports President Obama was made aware of Merkel’s phone tap in 2010, contradicting his apparent claim to her last week that he would have stopped the spying had he known. In another new disclosure, the Spanish newspaper El Mundo reports today the NSA tracked some 60 million calls in Spain over the course of a month last year. A delegation of German and French lawmakers are now in Washington to press for answers on the allegations of U.S. spying in their home countries.

Jay Ackroyd at Eschaton thought this part of the lengthy interview deserved to be highlighted:

    So, for the top national security official in the United States to go to the Senate and lie to their faces and deny that the NSA is doing exactly that which our reporting proved that the NSA was in fact doing is plainly a crime, and of course he should be prosecuted, and would be prosecuted if we lived under anything resembling the rule of law, where everybody is held and treated equally under the law, regardless of position or prestige. Of course, we don’t have that kind of system, which is why no Wall Street executives have been prosecuted, no top-level Bush officials were prosecuted for torture or warrantless eavesdropping, and why James Clapper hasn’t been prosecuted despite telling an overt lie to Congress. And what’s even more amazing, though, Amy, is that not only has James Clapper not been prosecuted, he hasn’t even lost his job. He’s still the director of national intelligence many months after his lie was revealed, because there is no accountability for the top-level people in Washington.

   And the final thing to say about that is, there’s all kinds of American journalists who love to go on television and accuse Edward Snowden of committing all these grave and horrible crimes. They’re so brave when it comes to declaring Edward Snowden to be a criminal and calling for [inaudible]. Not one of them has ever gone on television and said, “James Clapper committed crimes, and he ought to be prosecuted.” The question that you just asked journalistically is such an important and obvious one, yet not-none of the David Gregorys or Jeffrey Toobins or all these American journalists who fancy themselves as aggressive, tough reporters, would ever dare utter the idea that James Clapper ought to be arrested or prosecuted for the crimes that he committed, because they’re there to serve those interests and not to challenge or be adversarial to them.

Jay also pointed out e-mail exchange between Glenn and Bill Keller, the former executive editor of The New York Times, in an op-ed by Keller.

Is Glenn Greenwald the Future of News?

by Bill Keller

Much of the speculation about the future of news focuses on the business model: How will we generate the revenues to pay the people who gather and disseminate the news? But the disruptive power of the Internet raises other profound questions about what journalism is becoming, about its essential character and values. This week’s column is a conversation – a (mostly) civil argument – between two very different views of how journalism fulfills its mission.

Glenn Greenwald broke what is probably the year’s biggest news story, Edward Snowden’s revelations of the vast surveillance apparatus constructed by the National Security Agency. He has also been an outspoken critic of the kind of journalism practiced at places like The New York Times, and an advocate of a more activist, more partisan kind of journalism. Earlier this month he announced he was joining a new journalistic venture, backed by eBay billionaire Pierre Omidyar, who has promised to invest $250 million and to “throw out all the old rules.” I invited Greenwald to join me in an online exchange about what, exactly, that means.

It’s long but worth the read.  

Cross posted from The Stars Hollow Gazette

Who Buys the Spies? The Hidden Corporate Cash Behind America’s Out-of-Control National Surveillance State

by Thomas Ferguson, Paul Jorgensen, and Jie Chen

Democratic leaders are full-fledged players in the national surveillance state, right along with Republicans.

Long before President Obama kicked off his 2008 campaign, many Americans took it for granted that George W. Bush’s vast, sprawling national security apparatus needed to be reined in. For Democrats, many independents, and constitutional experts of various persuasions, Vice President Dick Cheney’s notorious doctrine of the “unitary executive” (which holds that the President controls the entire executive branch), was the ultimate statement of the imperial presidency. It was the royal road to easy (or no) warrants for wiretaps, sweeping assertions of the government’s right to classify information secret, and arbitrary presidential power. When Mitt Romney embraced the neoconservatives in the 2012 primaries, supporters of the President often cited the need to avoid a return to the bad old days of the Bush-Cheney-Rumsfeld National Security State as a compelling reason for favoring his reelection. Reelect President Obama, they argued, or Big Brother might be back.

But that’s not how this movie turned out: The 2012 election proved to be a post-modern thriller, in which the main characters everyone thought they knew abruptly turned into their opposites and the plot thickened just when you thought it was over.[..]

As the storm over surveillance broke, we were completing a statistical analysis of campaign contributions in 2012, using an entirely new dataset that we constructed from the raw material provided by the Federal Election Commission and the Internal Revenues Service (which compiles contributions from so-called “527”s).  In light of what has transpired, our quantitative analysis of presidential election funding invites closer scrutiny, particularly of the finding that we had already settled upon as perhaps most important:  In sharp contrast to endlessly repeated claims that big business was deeply suspicious of the President, our statistical results show that a large and powerful bloc of  “industries of the future” – telecommunications, high tech, computers, and software – showed essentially equal or higher percentages of support for the President in 2012 than they did for Romney [..]

But the point that our findings document is perhaps most instructive of all. Many of the firms and industries at the heart of this Orwellian creation have strong ties to the Democrats. Bush and Cheney may have invented it, but national Democratic leaders are full-fledged players in this 21st century National Surveillance State and the interest group pressures that now help to sustain its defenders in Washington work just as powerfully on Democrats as on Republicans.

Party Competition and Industrial Structure in the 2012 Elections

Key Findings:

   

• Existing data sources used for studies of campaign finance have a variety of serious flaws.
• As a result, the degree to which major parties’ presidential candidates depend on very large donors has been underestimated and the role small donors play exaggerated.
• The relation between the money split between the parties and the proportion of votes received by their candidates in House and Senate races appears to be quite straightforward.
• Firms and executives in industries strongly affected by proposed regulations limiting greenhouse gas emissions heavily backed Mitt Romney. So did much, but not all, of finance.
• President Obama’s support within big business was broader than hitherto recognized. His level of support from firms in telecommunications and software was very strong indeed, sometimes equaling or exceeding Romney’s. Many firms and sectors most involved in the recent controversies over surveillance were among the President’s strongest supporters.
• Republican candidates showed sharply different levels of contributions from small donors; President Obama’s campaign, while heavily dependent on large donors, attracted more support from small donors than did his Republican opponent.
• Big business support for Tea Party candidates for Congress was substantial, but well below levels for more mainstream Republicans. Many of the same sectors that strongly supported Romney also backed Tea Party candidates. Backing for Tea Party candidates by Too Big To Fail banks ran above the average of business as a whole by every measure.

Read “Party Competition and Industrial Structure in the 2012 Elections: Who’s Really Driving the Taxi to the Dark Side?” (pdf), by Thomas Ferguson, Paul Jorgensen, and Jie Chen.

Professor of Political Science at the University of Massachusetts and a Senior Fellow of the Roosevelt Institute, Thomas Ferguson discusses the finding of the study with Real New Networks Jaisal Noor.

As Yves Smith at naked capitalism noted this is a good explanation why “Obama started looking more stressed than usual around the time of the Snowden revelations.”

Cross posted from The Stars Hollow Gazette

The recent news of a thirteen billion dollar settlement agreed to by JP Morgan with the Justice Department to resolve an array of crisis-related mortgage cases may seems like a large chunk of change but in the grand scheme of the banks assets and the losses to the global economy its a drop in the bucket. JP Morgan’s current assets are valued at $$2.25 trillion and the losses to Americans alone is estimated at $22 trillion. Meanwhile, papers like The Wall Street Journal and The New York Post, both owned by Rupert Murdock, are calling the settlement “a shakedown” and “robbery.”

There are a lot of questions about the details of the settlement that Dimon personally helped negotiate with Attorney General Eric Holder in private meetings, cutting the deal without admission of any wrong doing. The New York Times‘ assistant business and financial editor, Gretchen Morgenson commented about this unusual special treatment to Bill Moyers in an interview on Moyers & Company

   BILL MOYERS: Do you find it remarkable – Jamie Dimon asking for a personal meeting with the Attorney General, Eric Holder to decide, in private, on a penalty?…

   GRETCHEN MORGENSON: It seems unusual to me and it does smack of favoritism, special treatment. It certainly was unusual I would say for Eric Holder, the Attorney General of the United States of America, to have a personal meeting with someone that his office is negotiating a settlement with. That raised eyebrows with me. I know I would not be able to get that meeting if I asked – and if I implored.

   I think it really sends a signal, also which is disturbing that again – two sets of rules in America. There’s one set for the people who are in positions of power, certainly in the financial world – one set of rules perhaps for them. And one set for the rest of us. I really don’t understand why Eric Holder would not have decided that it was the optics just didn’t look that good for him to meet with Jamie Dimon, but maybe there is something behind it that I don’t know.

At Democracy Now!, Yves Smith, the proprietress at naked capitalism, sat down with Amy Goodman to discuss the deal and how it is being misreported.

A $13 Billion Reminder of What’s Wrong

by Gretchen Morgansen, The New york Times

t was the deal of the week – a possible $13 billion settlement between JPMorgan Chase and the Justice Department to resolve an array of crisis-related mortgage cases.

While arguments over the deal’s terms and numbers are to be expected, the discussion so far has seemed to miss its significance as a teaching moment. This possible settlement once again depicts the extensive and damaging behavior that led to the 2008 crisis and its aftermath. For those with short memories, the deal is a refresher course in how far-off the rails our largest financial institutions veered in the years leading up to the mess.

It also stands as a reminder that not enough has been done to fix the flawed incentives in our sprawling and powerful financial system. This applies to both the private sector – the mighty banks – and their supposed minders, the regulators.

The Ridiculous “Jamie Dimon as Victim” Meme on the Pending JP Morgan Mortgage Settlement

by Yves Smith, naked capitalism

Nothing like having a credulous, leak-dependent media to carry your messages.

There’s been a remarkable hue and cry about the pending JP Morgan settlement, as if the amount is somehow too high. As we’ve discussed repeatedly, the director of financial stability for the Bank of England, Andrew Haldane, already ascertained that a mere 1/20th of low-end estimate of what the banks ought to pay for all the damage they did would wipe our their market capitalization. So even if you think JP Morgan is only half as culpable as other banks (a point we will debunk in a post tomorrow) it would only be half as dead.

In other words, Dimon and all his crew should thank their lucky stars that they got off so well and didn’t have their banks turned into utilities. But that moment passed, so now we are haggling over price with ingrates.

Nobody Should Shed a Tear for JP Morgan Chase

by Matt Taibbi. Rollingstone

A lot of people all over the world are having opinions now about the ostensibly gigantic $13 billion settlement Jamie Dimon and JP Morgan Chase have entered into with the government.

The general consensus from most observers in the finance sector is that this superficially high-dollar settlement – worth about half a year’s profits for Chase – is an unconscionable Marxist appropriation. It’s been called a “robbery” and a “shakedown,” in which red Obama and his evil henchman Eric Holder confiscated cash from a successful bank, as The Wall Street Journal wrote, “for no other reason than because they can and because they want to appease their left-wing populist allies.”

Look, there’s no denying that this is a lot of money. It’s the biggest settlement in the history of government settlements, and it’s just one company to boot. But this has been in the works for a long time, and it’s been in the works for a reason. This whole thing, lest anyone forget, has its genesis in a couple of state Attorneys General (including New York’s Eric Schneiderman and Delaware’s Beau Biden) not wanting to sign off on any deal with the banks that didn’t also address the root causes of the crisis, in particular the mass fraud surrounding the sale and production of subprime mortgage securities.

The cost of the financial crisis hits Americans harder than banks

by Heidi Moore, The Guardian

As you rise up the financial ladder, the consequences of the financial crisis are increasingly arbitrary

What’s the real cost of a financial crisis? Apparently, it depends on who’s paying.

If you’re Jamie Dimon, the CEO of JP Morgan Chase, or Brian Moynihan, the CEO of Bank of America, it’s a price your $2tn bank can easily afford to make trouble go away.

If you’re a homeowner, it’s a price that has rendered your past five years a struggle of financial anxiety. If you’re an American, it’s a price that has resulted in a recession and recovery characterized by historically high poverty – with 42 million Americans on food stamps – and historically low rates of Americans working, with only 63% of the population gainfully employed.

As you rise up the financial ladder, the consequences of the financial crisis are increasingly arbitrary. The Department of Justice is looking for scalps – finally, after five years of drowsy hibernation – but some banks are whining about merely getting haircuts.

This week, two mortgage-crisis settlements hit the news: one potential and one official. The idea of a $13bn rumored fine to JP Morgan and an $848m fine to Bank of America would indicate two things.