Showing posts with label Paul Krugman. Show all posts
Showing posts with label Paul Krugman. Show all posts

December 31, 2007

Paul Krugman: Corporate America's War on Unions - Obama and Edwards

By Paul Krugman, The New York Times. Posted December 27, 2007.

The U.S. labor movement isn't dying a natural death: corporations and politicians are helping.

Once upon a time, back when America had a strong middle class, it also had a strong union movement.

These two facts were connected. Unions negotiated good wages and benefits for their workers, gains that often ended up being matched even by nonunion employers. They also provided an important counterbalance to the political influence of corporations and the economic elite.
Today, however, the American union movement is a shadow of its former self, except among government workers. In 1973, almost a quarter of private-sector employees were union members, but last year the figure was down to a mere 7.4 percent.

Yet unions still matter politically. And right now they're at the heart of a nasty political scuffle among Democrats. Before I get to that, however, let's talk about what happened to American labor over the last 35 years.

It's often assumed that the U.S. labor movement died a natural death, that it was made obsolete by globalization and technological change. But what really happened is that beginning in the 1970s, corporate America, which had previously had a largely cooperative relationship with unions, in effect declared war on organized labor.

Don't take my word for it; read Business Week, which published an article in 2002 titled "How Wal-Mart Keeps Unions at Bay." The article explained that "over the past two decades, Corporate America has perfected its ability to fend off labor groups." It then described the tactics -- some legal, some illegal, all involving a healthy dose of intimidation -- that Wal-Mart and other giant firms use to block organizing drives.

These hardball tactics have been enabled by a political environment that has been deeply hostile to organized labor, both because politicians favored employers' interests and because conservatives sought to weaken the Democratic Party. "We're going to crush labor as a political entity," Grover Norquist, the anti-tax activist, once declared.

But the times may be changing. A newly energized progressive movement seems to be on the ascendant, and unions are a key part of that movement. Most notably, the Service Employees International Union has played a key role in pushing for health care reform. And unions will be an important force in the Democrats' favor in next year's election.

Or maybe not -- which brings us to the latest from Iowa.

Whoever receives the Democratic presidential nomination will receive labor's support in the general election. Meanwhile, however, unions are supporting favored candidates. Hillary Clinton -- who for a time seemed the clear front-runner -- has received the most union support. John Edwards, whose populist message resonates with labor, has also received considerable labor support.

But Barack Obama, though he has a solid pro-labor voting record, has not -- in part, perhaps, because his message of "a new kind of politics" that will transcend bitter partisanship doesn't make much sense to union leaders who know, from the experience of confronting corporations and their political allies head on, that partisanship isn't going away anytime soon.

O.K., that's politics. But now Mr. Obama has lashed out at Mr. Edwards because two 527s -- independent groups that are allowed to support candidates, but are legally forbidden from coordinating directly with their campaigns -- are running ads on his rival's behalf. They are, Mr. Obama says, representative of the kind of "special interests" that "have too much influence in Washington."

The thing, though, is that both of these 527s represent union groups -- in the case of the larger group, local branches of the S.E.I.U. who consider Mr. Edwards the strongest candidate on health reform. So Mr. Obama's attack raises a couple of questions.

First, does it make sense, in the current political and economic environment, for Democrats to lump unions in with corporate groups as examples of the special interests we need to stand up to?

Second, is Mr. Obama saying that if nominated, he'd be willing to run without support from labor 527s, which might be crucial to the Democrats? If not, how does he avoid having his own current words used against him by the Republican nominee?

Part of what happened here, I think, is that Mr. Obama, looking for a stick with which to beat an opponent who has lately acquired some momentum, either carelessly or cynically failed to think about how his rhetoric would affect the eventual ability of the Democratic nominee, whoever he or she is, to campaign effectively. In this sense, his latest gambit resembles his previous echoing of G.O.P. talking points on Social Security.

Beyond that, the episode illustrates what's wrong with campaigning on generalities about political transformation and trying to avoid sounding partisan.

It may be partisan to say that a 527 run by labor unions supporting health care reform isn't the same thing as a 527 run by insurance companies opposing it. But it's also the simple truth.

AlterNet is making this material available in accordance with Title 17 U.S.C. Section 107: This article is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes.

August 12, 2007

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August 12, 2007 at 10:54:19

Whither the Stock Markets . a Response to Paul Krugman.

by Virginia Simson Page 1 of 2 page(s)

http://www.opednews.com




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Paul Krugman of the New York Times is vastly incorrect. and what is horrifying is that his remarks are wafting about the so-called progressive internet under the auspics of truthout.com.

So here is my tuppence on all that.

We are at the point whereby producing ARMS is the only industry left standing. The war industry is the Cutting Edge.

The reason for the bailout is LIQUIDITY; but liquidity to deliver the vastly expanding new arms production cycle and the new rush to MINING to produce ever more materials to produce ARMAMENTS .. that is why the price of URANIUM is soaring! More nukes, more computer (they call it high tech) generated target systems!! All this started with THATCHER, who killed the entire UK economy under her WAY TOO LONG reign. She was the tool of arms manufacturere and GUN RUNNERS for a very long period of time.

Henry the K was right “in there” then and is right in there NOW (Just came back from Moscow and will soon be in DC this fall pushing the SPP, Security and Prosperity Protocol to CONGress) -- trying to consolidate all the resources of the world for the elite. We are watching (in horror) as the SPP is put into place and ALL of Canada’s and Mexico’s resources are laid at the feet of the US WARMONGERS. No coup d’etat necessary; it is already fait accompli .. these ruling individuals have long known how to bail themselves out.

The war for the Arctic is ON, the nukes are being moved into the Arctic region DAILY.

So’s who telling you this .. certainly not the mainstream, lamestream media . They, the owners of these megoliths, have THEIR dollars riding on more development!! Watch very carefully the ascent of MINING STOCKS .. or miss it if you just care to focus very narrowly on what is happening. The real news is in the mining newsletters these days!!

Below are some quotes from the elites true mouthpiece too, Paul Krugman ... and my responses.

I attended a closed-door briefing given by a senior Federal Reserve official, who laid out the grim state of the markets. “What can we do about it?” asked one participant. “Pray,” replied the Fed official.

See, that is EXACTLY what they would tell YOU to do .. they would not suggest that halting mining activity would be a good idea if we are all to save our skins, and that is what it is down to now. Ho hum. Let's swarm the indigenous for more of their resources .. and get the governments in there protecting Big Business interests. It's worked for 500 years, hasn't it? You won't see any Big Player praying, they're waiting on their next dividend cheques. Profits are bigger than ever.

assured investors that everything would be all right. And the panic subsided.

The panic for WHO? People who want to keep eating and working in SAFETY have plenty to be panicking about. In a few months try to get a job without an ID . and ID provided by employers! but issued by governments. Sound like fascism to YOU?

right now we’re suffering from a serious shortage of saviors. And that’s too bad, because we might need one.

Really? Are we not ALL the messiah now? I mean seriously folks, there are OTHER problems besides Bush’s lack of credibility, his ability to morph into a Yale/Harvard MBA notwithstanding .. it’s the fracturization of all opposition to warmongering that is really the problem. We are forced to “attack” from many, many different fronts .. economic, political, social, physical (everything really is falling apart and Big Pharma and the insurance co.’s race for profits makes real health nearly impossible) .. and getting the Big Picture is nearly impossible.

This $130.2 billion dollar bailout is just something that hinders more people grasping what IS going for a bit longer, but the ruling elite has known for a long time. The last BIG BAILOUT was on 9/12/2000 (ring any bells) when $86 billion was pumped into the economy. Ca$h is pretty easy to print, iffen the presses don’t fall apart while its being printed. The Fed Reserve and the ECB have long known THAT.

liquidity has dried up. That is, markets in stuff that is normally traded all the time - in particular, financial instruments backed by home mortgages - have shut down because there are no buyers.

Oh, the liquidity IS there .. for armament manufacturers and the governmets that need to pay THEM. Have a look around and see just how high the price tags on these weapons systems are, now much it is going to cost us all to have THEM control us with RFIDs, eyeball scanning, surveillance cameras, and on and on … there are vast vast vast sums of money to made off the byproducts of WAR .. including paying people to do psyops, counterintel pro activities .. and those companies (which include Checkpoint, the mercenary Blackwater, KBR, Halliburton, the Carlyle Group, and on and on)are doing right well thank you! Just as Exxon Mobil is making a KILLING keeping all them jets fueled, the military bases heated and doing VERY well at that; the last Q4 profits for them were the highest posted in human history! WOW!

What does this have to do with the collapse of the housing bubble? Well, folks, they mortgaged America to make it possible to keep issuing all those lovely Treasury bills and the dopey yuppies in the Great White States, just keep coming up with new structures to deliver the ca$h to create ever new and wonderful manufacturing plants for ARMAMENTS and running think tanks to figure out how to control everyone who disagrees with the utter control of weapons producers. There’s a “new kid” on the block; it’s the huge huge plant making every type of weapon, figuring out how to build a nuclear perimeter around everyone and control all the neighbors down the block, each one ratting out the other!! Have a gander over and take a look at say, for instance, the ever growing Raytheon ...

This could turn out to be nothing more than a brief scare. At worst, however, it could cause a chain reaction of debt defaults.

In my opinion, this could be the GREATEST thing that ever happened. Hard on many many folks short term, very freeing in the LONG term. But with the profit system firmly in place, who’s paying attention? This PANIC is an opportunity for folks to finally grasp the picture, a real walk around the “neighborhood” is obviously the next step … I don’t think anyone is going to like what they see, EVEN IF their neighbors and family are working for some "defense" conglomorate.. It’s SCARY …

The ruling elite whose biggest profits come from the ARMAMENTS INDUSTRY feel themselves flexible and liquid enough to keep investing in production of war materials .. that's where it's at for them.

The origins of the current crunch lie in the financial follies of the last few years, which in retrospect were as irrational

They were not irrational at all. The rationale being “do whatever it takes to keep the war industry going .. these ‘dupes’ will never “get” it . “
and they didn’t . .
and most still don’t.

Obviously, the House of Saud, the Bushes, Henry K, PM Brown (who controlled the UK purse strings for YEARS), BAE and a host of others clearly saw the rationality of what was going on and encouraged it every bit of the way. You can bet your last dollar they will continue to back the war machine, too! They have a PLAN, and it’s not benefit you or I in most cases.

investors also snapped up high-yield corporate debt, a k a junk bonds, driving the spread between junk bond yields and U.S. Treasuries down to record lows.

Well, yeah, of COURSE they did . and the smart money now has moved onto mining stocks or if they haven’t, “well, that’s their loss” is the REAL thinking on the part of the ruling elite controlling the war industry. They’re redecorating THEIR homes with new fixtures in Moscow, in London, in DC and NYC, in Argentina, whrever their fancy takes them and their huge sense of ENTITLEMENT takes them .. and as the "landlords" in our global city . they are throwing US, and other inconvenient “useless eaters” out.

Progressives need a very fast course in REAL PEOPLEnomics very very fast.

Write your local paper NOW to show them we are not all duped and ask that their financial "gurus" who write stop printing misinformation as they parrot one another. It probably do any good, but it might help YOU feel better as the US empire gets away with financial murder too .....

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