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Saturday, November 28, 2015

America Has Changed From Democracy to Plutocracy




America Has Changed From Democracy to Plutocracy


frontcov


A plutocracy is government run by the rich, for the rich. In Citizens United v. Federal Election Commission, the U.S. Supreme Court allowed the corporate role in politics to be expanded, wiping away 100 years of law protecting citizens from the large corporate check books. The Supreme Court’s McCutcheon v. Federal Election Commission ruling pushed these boundaries back even further and now there is no limit to funds corporations or billionaires can give to unfairly influence elections.
Back in 2010, Senator John McCain (R-Ariz.) said he was “disappointed by the decision of the Supreme Court and the lifting of the limits on corporate and union contributions.”
Senator John Kerry (D-Mass.), speaking on how to fix this injustice, said “I think we need a constitutional amendment to make it clear, once and for all, that corporations do not have the same free-speech rights as individuals.”
Their concerns are fully justified, as these same large corporations have no loyalty to the U.S. They want “free trade” at all costs—not to export American made goods, but to outsource American jobs. Our jobs are moving to countries with no labor laws or environmental standards. Products once made here are now made at $2 per hour in other countries, then shipped into America with no tariffs or restrictions.
Here, citizens may earn $20 per hour, but with fewer and fewer jobs—as employers move overseas or go out of business—there will be no one left to buy their foreign-made products. Tariffs, which were instrumental in allowing us to become the world’s greatest productive economy, would defend our companies from the predatory practices putting them out of business, but these tariffs are opposed by “free traders” in Washington, who are financially backed by rich multinationalists.
As Senator Bernie Sanders said, “Freedom of speech, in my view, does not mean the freedom to buy the United States government.”
Soon our whole country will be unemployed, as the current recession turns into a depression worse than what our nation experienced in the 1930’s. At least we still had our manufacturing then. By putting protections in place we were able to make a strong comeback. If we don’t act now and bring back fair trade with protective clauses instead of unrestricted, destructive “free trade”, we may never recover.

Sunday, November 1, 2015

5 billionaires who are making life miserable for ordinary Americans


SALON



5 billionaires who are making life miserable for ordinary Americans

Nothing like using your immense fortune to stick it to the little guy VIDEO



TOPICS: VIDEO, ALTERNET, TOM PERKINS, BILLIONAIRES, 1 PERCENT, 
5 billionaires who are making life miserable for ordinary AmericansTom Perkins (Credit: Bloomberg TV)
This article originally appeared on AlterNet.
AlterNetHere is how it works these days: You start hearing about a big, national problem and then it becomes a drumbeat. First there are a few articles and columns mentioning that such-and-such is a problem. Then a number of articles appear, then a “study” from a “think tank” confirms the problem and sounds the alarm about how terrible it is, and then just as the issue seems to be the only thing you are hearing about a solution is presented. Of course, the solution always involves taking something away from you and giving it to some company or industry standing in front of a billionaire or three. The right question to start asking when you hear about these “problems” is which billionaire is driving this.
Here are five-plus examples of billionaires who use their money to try to get us to think what they want us to think in order to enact a right-wing economic agenda.
1) Pete Peterson’s deficit/debt scare campaign and his ongoing effort to gut Social Security and other entitlements. Leading every list of billionaires pushing an issue is billionaire Pete Peterson and his forever war on government doing things to make our lives better, especially Social Security. Peterson leads the list because of reports of his pledge to spend $1 billion on his pet issue.
Have you ever heard anywhere that the budget deficit and national debt are a problem? You can’t pick up a newspaper or magazine, turn on the radio or TV, or listen to any politician from the so-called “center” to the far right without hearing that, and the reason is Pete Peterson and his money.
Peterson and his money are a big part of the backing for the Concord Coalition, Fix the Debt, The Can Kicks Back, the Comeback America Initiative, the Committee for a Responsible Federal Budget, the Moment of Truth Project, the Committee for Economic Development, America Speaks plus contributions to many other groups. As Michael Hiltzik worded it in Unmasking the most influential billionaire in U.S. politics at the LA Times, “The shame of Washington… comes from the fact that almost every organization promoting the grand fiscal bargain in which those programs will be on the table has accepted, somewhere and somehow, money from Pete Peterson.”
Sourcewatch’s Fix the Debt portal contains much more information on this big-money influence campaign, including this graphic: 
Last week one of Peterson’s deficit-scare groups was in the news. The Can Kicks Back is an organization named after the narrative that not cutting Social Security is just kicking the debt can down the road. They claim this is because there is a generational war where older people are living high on the hog and younger people will have to pay for this. The group tries to make legislators think younger people want them to cut Social Security, etc. using astroturf videos, Twitter posts, etc.
Well, the Peterson spigot seems to have dried up. The anti-debt group is… wait for it… in debt. All of that astroturf hype about younger people demanding Social Security cuts? When the Peterson money ran out, the urgency went away.
Here’s the thing about this massively funded deficit-debt scare the country has been put through. Getting people whipped up about budget shortfalls (when raising taxes on the rich or cutting the bloated military budget are off the table) necessarily leads to certain conclusions that benefit a wealthy few. It leads people to believe that our government should cut back on the things it does to make our lives better—also called “government spending.”
Meanwhile the country’s real deficit problem is our trade deficit, especially with China. The trade deficit is the measure of jobs and factories moving out of the country. Fixing this deficit just happens to create jobs, lift wages and repair our economy.
If you are hearing about how terrible the budget deficit is and how it is so important that we all make sacrifices in order to bring that deficit down, it’s Pete Peterson ‘s money talking. Too bad there is no billionaire pushing us to fix the trade deficit.
2) Billionaire John D. Arnold’s attack on public-employee pensions. Have you heard that the biggest problem facing our states, counties and cities is the bloated, lavish, insane level of money that goes to public-employee pensions? Of course you have, and that’s partly thanks to billionaire John Arnold. Arnold got his start at Enron trading natural gas derivatives. After Enron he used his Enron money to form an energy-trading hedge fund. Now he is using his fortune to fund various philanthropic causes, including helping to keep Head Start running when Republicans recently shut down the government. Unfortunately he has also dedicated part of his fortune to gutting public-employee pensions.
In a September report for the Institute for America’s Future, the Plot Against Pensions (which has excerpts posted on Salon), David Sirota showed how the Pew Charitable Trusts was working in partnership with (and funded by) Arnold. The findings in Sirota’s report include:
  • Conservative activists are manufacturing the perception of a public pension crisis in order to both slash modest retiree benefits and preserve expensive corporate subsidies and tax breaks.
  • The Pew Charitable Trusts and the Laura and John Arnold Foundation are working together in states across the country to focus the debate over pensions primarily on slashing retiree benefits rather than on raising public revenues.
Then last week, in The Wolf of Sesame Street: Revealing the secret corruption inside PBS’s news division at PandoDaily, Sirota revealed how PBS’ WNET had solicited Arnold to fund a two-year series of “news” shows named “The Pension Peril” that would promote cutting the pensions of public employees. In this story, Sirota wrote:
“In recent years, Arnold has been using massive contributions to  politiciansSuper PACsballot initiative effortsthink tanks and local front groups to finance a nationwide political campaign aimed at slashing public employees’ retirement benefits. His foundation which backs his efforts  employs top Republican political operativesincluding the former chief of staff to GOP House Majority Leader Dick Armey (TX). According to its own promotional materials, the Arnold Foundation is pushinglawmakers in states across the country “to stop promising a (retirement) benefit” to public employees.”
WNET severed the relationship. According to the New York Times, “WNET, the New York City public television broadcaster, said on Friday that it would return a $3.5 million grant it received to sponsor an ambitious project on public pensions in the face of charges that it solicited inappropriate underwriting for the series.”
To its credit the Times’ story gave full credit to Sirota’s reporting,
“Earlier, after a critical report on Wednesday by David Sirota on the website PandoDaily, WNET officials said they were comfortable with the foundation’s funding. Mr. Sirota sharply criticized WNET for accepting the Arnold Foundation money because John Arnold, a former hedge fund manager, has financially backed efforts to persuade municipalities to cut public employee pension benefits.”
Note that Arnold allies are pushing a ballot initiative in California to gut public-employee pensions.
P.S. A while back I also took a look at the campaign to turn the public against public employees. In Discover The Network Out To Crush Our Public Workers I looked at some of the names behind the network of “institutes” and “policy centers” and what I called “cookie-cutter think tanks” that were issuing “reports” that basically claimed that the world would end if we didn’t “reform” (gut) the pensions and other compensation of public employees and stop them from being allowed to organize unions. Tracing through the directors of the various “institutes” and “pulling the threads” of partner organizations they listed, I found that many or most of the strings lead back to Wall Street. I wrote then:
“These corporate/conservative organizations are very good at manipulating the media and public opinion — it is their purpose. Their “experts” are well paid and always available to talk to reporters, appear on TV and radio shows and write articles and opinion pieces for newspapers, blogs and for their network of similar organizations. Their “reports’ and “studies” reach the conclusions that fit the strategy, and are crafted to sound just right. And there are so many of them! The result is development of “conventional wisdom” about what is going on in our society. This is why that conventional wisdom more and more reflects the corporate/conservative line.”
Of course, getting these things enacted often runs up against a troublesome problem: democracy. There are still places where voters have enough of a say to block some of the things the billionaires are demanding. But never fear, there are a few billionaires working on fixing that pesky democracy problem, too.
3) Charles Munger Jr. (near-billionaire and son of a billionaire) bankrolled California’s Proposition 20 in 2010 to create a “citizens redistricting committee” that took the process of drawing political districts out of the hands of California’s politicians. Munger and many Republicans believed this would immediately turn the state over to the Republicans because the districts were “ gerrymandered”—rigged—to have a majority of “safe” Democratic-voting districts.
Prop. 20 passed, but it didn’t work out the way Munger and Republicans had hoped, not by a long shot. The earlier Democratic gerrymandering process had been “too clever by half.” To make sure Democrats would have a guaranteed majority in the legislature they drew up districts in a way that moved Republican voters into a minority of “safe” Republican districts. The problem with this is that it takes a two-thirds vote in the legislature to pass a budget, and Democrats had rigged the system in a way that left Republicans with just over one-third control. So year after year Republicans blocked everything, demanding big tax breaks for corporations as a ransom for passing anything that helped any actual people. (Why does that sound familiar?)
It turns out that fair redistricting is a gift to citizen control and democracy. After the citizens commission got rid of the gerrymander, voters kicked out enough Republicans to give Democrats two-thirds contro. Prop 30  increased taxes on the wealthy, while also bumping up the sales tax . Now the state has a budget surplus, schools are starting to get re-funded, infrastructure is starting to get repaired and things are getting done again.
Other Munger-financed propositions include Proposition 32, a failed attempt to keep unions from being involved in politics and Proposition 14, which passed and gave California an “open primary” which keeps political parties from being able to choose their own candidates—instead the top two vote-getters in the primary go into the general election regardless of party.
4) Billionaire Tom Perkins laid out his own solution to the democracy problem the other day in an interview at the Commonwealth Club INFORUM in San Francisco, saying, “The Tom Perkins system is: You don’t get to vote unless you pay a dollar of taxes,” Perkins said. “But what I really think is, it should be like a corporation. You pay a million dollars in taxes, you get a million votes. How’s that?”
There you go: one-dollar-one-vote plutocracy vs one-person-one-vote democracy is now openly part of the public discussion. Think Progress’ Igor Volsky explained how Perkins’ idea is “already in the works.”
“The nation’s growing gap between the rich and poor has become a full-blown crisis, with the top 1 percent of families experienced a 278 percent increase in their real after-tax income from 1979 to 2007, while families in the middle 60 percent saw an increase of less than 40 percent. A large body of research suggests that high inequality leads to lower levels of representative democracy and a higher probability of revolution, as poorer citizens become convinced that the government is only serving and representing the interests of the rich.
Wealthy people’s disproportionate impact on democracy also has the effect of perpetuating income inequality. During the 2012 elections, “the top 0.01 percent of campaign donors — one percent of the one percent — contributed more than 40 percent of all the money spent in the 2012 elections,” compared to 15 percent in 1980. Harvard economics professor Edward L. Glaeser argues that as the rich become richer and secure more political influence, they support policies that make them wealthier at the expense of everyone else.”
But wait, there’s more. Conservatives really are advocating migrating to a plutocracy. The conservative National Review’s Kevin D. Williamson argues that progressive taxation in which the wealthy are asked to pay more than others sets a precedent that should apply to votes. He writes, “If our political liabilities — taxes — should be as a matter of justice proportional to our income, then why shouldn’t our political input be likewise proportionate? Why should proportionality be the rule in one context and not the other? The leap from ‘No taxation without representation’ to ‘proportional taxation with proportional representation’ is not a very dramatic one.”
5+) Silicon Valley billionaires Steve Jobs, Eric Schmidt and others pushing low wages for people who work for them.
Speaking of Silicon Valley billionaires…did you think billionaires were in favor of “free markets” and such? Well, it turns out not so much. In one (more) example of billionaires rigging the free market for their own gain, a lawsuit alleges that the top executives of Apple, Google, Intel, LucasFilm, Pixar, Adobe and others conspired to set up a scheme to drive down the pay of executives, engineers and others. The class-action lawsuit was filed on behalf of more than 100,000 employees and claims that around $9 billion was stolen from these employees in the 2000s. eBay and Intuit are involved in a similar suit. See Pando’s The Techtopus: How Silicon Valley’s most celebrated CEOs conspired to drive down 100,000 tech engineers’ wages.

Monday, June 22, 2015

Forget the 1%: It is the 0.01% who are really getting ahead in America







Free exchange

Forget the 1%

It is the 0.01% who are really getting ahead in America



AMONG the most controversial of Thomas Piketty’s arguments in his bestselling analysis of inequality, “Capital in the Twenty-First Century”, is that wealth is increasingly concentrated in the hands of the very rich. Rising wealth inequality could presage the return of an 18th century inheritance society, in which marrying an heir is a surer route to riches than starting a company. Critics question the premise: Chris Giles, the economics editor of the Financial Times, argued earlier this year that Mr Piketty’s data were both thin and faulty. Yet a new paper suggests that, in America at least, inequality in wealth is approaching record levels.*

Earlier studies of American wealth have tended to show only small increases in inequality in recent decades. A 2004 study of estate-tax data by Wojciech Kopczuk of Columbia University and Emmanuel Saez of the University of California, Berkeley, found an almost imperceptible rise in the share of wealth held by the top 1% of families, from about 19% in 1976 to 21% in 2000. A more recent investigation of the Federal Reserve’s data on consumer finances, by Edward Wolff of New York University showed a continued but gentle increase in inequality into the 2000s. Mr Piketty’s book, which drew on this previous work, showed similarly modest rises in wealth inequality in America.


A new paper by Mr Saez and Gabriel Zucman of the London School of Economics reckons past estimates badly underestimated the share of wealth belonging to the very rich. It uses a richer variety of sources than prior studies, including detailed data on personal income taxes (which the authors mine for figures on capital income) and property tax, which they check against Fed data on aggregate wealth. The authors note that not every potential source of error can be accounted for; tax avoidance strategies, for instance, could cause either an overestimation of the wealth share of the rich (if they classify labour income as capital income in order to take advantage of lower rates) or an underestimation (if they intentionally seek out lower yielding investments for their tax advantages). Yet they believe their estimates represent an improvement over past attempts.

The results are enough to make Mr Piketty blush. The authors examine the share of total wealth held by the bottom 90% of families relative to those at the very top. Because the bottom half of all families almost always has no net wealth, the share of wealth held by the bottom 90% is an effective measure of “middle class” wealth, or that held by those from the 50th to the 90th percentile. In the late 1920s the bottom 90% held just 16% of America’s wealth—considerably less than that held by the top 0.1%, which controlled a quarter of total wealth just before the crash of 1929. From the beginning of the Depression until the end of the second world war, the middle class’s share of total wealth rose steadily, thanks largely to collapsing wealth among richer households. Thereafter the middle class’s share grew along with national wealth thanks to broader equity ownership, middle-class income growth and rising rates of home-ownership. The expansion of tax breaks for retirement savings also helped. By the early 1980s the share of household wealth held by the middle class rose to 36%—roughly four times the share controlled by the top 0.1%.


Track wealth distribution decade-by-decade with our interactive inequality "swing-o-meter"
 
From the early 1980s, however, these trends have reversed. The ratio of household wealth to national income has risen back toward the level of the 1920s, but the share in the hands of middle-class families has tumbled (see chart). Tepid growth in middle-class incomes is partly to blame; real incomes for the top 1% of families grew 3.4% a year from 1986-2012 while those for the bottom 90% grew 0.7%. But Messrs Saez and Zucman reckon the main cause of falling middle-class net worth is soaring debt. Rising home values did little to raise middle-class wealth since mortgage debt also soared. The recession battered home prices but left the debt untouched, further squeezing middle-class wealth.

The really, really rich get much, much richer

On the other side of the spectrum, the fortunes of the wealthy have grown, especially at the very top. The 16,000 families making up the richest 0.01%, with an average net worth of $371m, now control 11.2% of total wealth—back to the 1916 share, which is the highest on record. Those down the distribution have not done quite so well: the top 0.1% (consisting of 160,000 families worth $73m on average) hold 22% of America’s wealth, just shy of the 1929 peak—and exactly the same share as the bottom 90% of the population. Meanwhile the share of wealth held by families from the 90th to the 99th percentile has actually fallen over the last decade, though not by as much as the net worth of the bottom 90%.
The outsize fortunes of the few would not be too worrying were they largely the product of entrepreneurial activity: riches amassed by hardworking billionaires who are as likely as not to give their bounty away through philanthropy. Messrs Saez and Zucman find some evidence for this dynamic. Wealthy families are younger than they were a generation or two ago, and they earn a larger share of the country’s income from labour: 3.1% in 2012 versus less than 0.5% prior to 1970.

Yet one should not yet rule out the return of Mr Piketty’s “patrimonial capitalism”. The club of young rich includes not only Mark Zuckerbergs, the authors argue, but also Paris Hiltons: young heirs to previously accumulated fortunes. What’s more, the share of labour income earned by the top 0.1% appears to have peaked in 2000. In recent years the proportion of the wealth of the very rich held in the form of shares has levelled off, while that held in bonds has risen. Since the fortunes of most entrepreneurs are tied up in the stock of the firms that they found, these shifts hint that America’s biggest fortunes may be starting to have less to do with building businesses, just as Mr Piketty warned.

*Studies cited in this article

"Top wealth shares in the United States, 1916-2000: Evidence from estate tax returns", by Wojciech Kopczuk and Emmanuel Saez, National Tax Journal, June 2004.

"Recent trends in household wealth in the United States: Rising debt and the middle-class squeeze—an update to 2007", by Edward Wolff, Levy Economics Institute Working Paper, March 2010.

"Wealth inequality in the United States since 1913: Evidence from capitalized income tax data", by Emmanuel Saez and Gabriel Zucman, National Bureau of Economics Research Working Paper, October 2014.

How the Stinking Rich Ate the Economy



The Atlantic


Business



How the Stinking Rich Ate the Economy


Income inequality is accelerating fastest at the top. Who are the 0.1%?


"If a $100,000-a-year household thinks itself to be middle class," the neoconservative writer Irving Kristol once wrote, "then it is middle class." This sentiment is widely held, but it makes no mathematical sense. Any family whose income exceeds that of 90 percent of all other families cannot sensibly be called anything but rich. To believe otherwise would oblige you to judge your child mediocre when his teacher gives him an A.

But within the top decile distinctions are nonetheless worth making.

-- The Rich, defined as the top 10 percent, which today means everyone making $109,000 or more, increased their share of national income during the Great Divergence from about one third (34 percent) to nearly one half (48 percent).

-- The top 5 percent (Basically, Undeniably, Really, and Stinking Rich; today, everybody making at least $153,000) increased their share from 23 to 37 percent.

-- The top 1 percent (Undeniably, Really, and Stinking Rich; today, everybody making at least $368,000) more than doubled their share of the national income from 10 to 21 percent.

-- The top 0.1 percent (Really and Stinking Rich; today, everybody making at least $1.7 million) tripled their share of the national income to 10 percent.
-- The top 0.01 percent (the Stinking Rich; today, everybody making at least $9.1 million) nearly quadrupled their share of income during the Great Divergence, from 1.4 to 5 percent.

Notice a pattern? The richer you are, the faster you expand your slice of your country's income. Or as Emmanuel Saez put it to me, "The [inequality] phenomenon is more extreme the further you go up in the distribution," and it's "very strong once you pass that threshold of the top 1 percent."

WHO ARE THE STINKING RICH?

The Great Divergence is a dramatic departure from the status quo that prevailed in the United States from the end of World War II through the early 1980s.
Although top income shares are rising in many developed countries, nowhere are they rising as fast as in the United States. Also, nowhere (except Argentina) have top income shares reached the same high level as in the United States. Indeed, if you update income share for America's one-percenters to 2008, the United States pulls slightly ahead of Argentina--not that this is a competition any sensible country would want to win.

Who is it exactly who got rich?

A 2010 study by Jon Bakija, Adam Cole, and Bradley Heim, economists at Williams College, the U.S. Treasury, and Indiana University, respectively, found that among the Really and Stinking Rich -- the top 0.1 percent, who currently make at least $1.7 million -- 43 percent were executives, managers, and supervisors at nonfinancial firms, and 18 percent were financiers. Together they accounted for the majority. The professions next in line were law (7 percent), medicine (6 percent), and real estate (4 percent).

American chief executives typically get paid two to three times what their European counterparts earn. Such pay levels were not the norm during most of the twentieth century. Pay for top executives declined steeply during World War II, increased gradually from the mid-1940s to the mid-1970s, and then took off like a rocket during the 1980s and 1990s. In 1973, a survey of large companies in the United States found that chief executives were paid twenty-seven times more than the average worker. By 2005 that had risen to 262 times.

The 43 percent of the Really and Stinking Rich who run America's nonfinancial corporations were very significant players in the Great Divergence. No other occupational group had a larger membership among the top 0.1 percent. But, incredibly, the quadrupling of chief executives' pay during the 1990s wasn't enough to increase this group's presence among the Really and Stinking Rich once the run-up in top income shares began. Proportionally, its membership actually diminished slightly, from 48 percent in 1979 to percent to 43 percent in 2005.

The group to watch -- the group that expanded its share of the top earners' pie -- was the nation's financiers. Back in 1979, the financial sector represented only 11 percent of the Really and Stinking Rich. By 2005, financiers represented 18 percent. In their 2010 book 13 Bankers, Simon Johnson, an economist at MIT's Sloan School of Management, and James Kwak, a former consultant at McKinsey and Company, describe the financial sector's astonishing growth over three decades through mergers and expansions into new businesses.
Between 1980 and 2000, the assets held by commercial banks, securities firms, and the securitizations they created grew from [the equivalent of] 55 percent of GDP to [the equivalent of] 95 percent ... The growth was faster still for the largest banks. Between 1990 and 1999, the ten largest bank holding companies' share of all bank assets grew from 26 percent to 45 percent, and their share of all deposits doubled from 17 percent to 34 percent.
In effect, Wall Street ate the economy.

Excerpted from The Great Divergence by Timothy Noah, published by Bloomsbury Press, 2012.

Meet the 0.01 Percent: War Profiteers



Huffpost Politics




Meet the 0.01 Percent: War Profiteers

Posted: Updated:
There's the top 1% of wealthy Americans (bankers, oil tycoons, hedge fund managers) and there's the top 0.01% of wealthy Americans: the military contractor CEOs.

If you've been following the War Costs campaign, you already know that these corporations are bad bosses, bad job creators and bad stewards of taxpayer dollars. What you may not know is that the huge amount of money these companies' CEOs make off of war and your tax dollars places them squarely at the top of the gang of corrupt superrich choking our democracy. These CEOs want you to believe the massive war budget is about security -- it's not. The lobbying they're doing to keep the war budget intact at the expense of the social safety net is purely about their greed.

In many areas, including yearly CEO salary and in dollars spent corrupting Congress, these companies are far greater offenders than even the big banks like JP Morgan Chase or Bank of America.


Egregious Military Contractor CEO pay

The top 0.01% of earners make at least $9.14 million per year, a rarefied strata of income that includes defense company CEOs and Wall Street bank chieftains alike. But a deeper dive demonstrates how defense companies outpace the big banks' knack for enriching themselves at the expense of everyone else.

Military Contractor CEO Pay in 2010
Just to put that in context, consider how these annual payoffs compare to the people we're used to thinking of as poster children for the top 1 percent:

Financial Sector CEO Pay in 2010
Considering how they stack up to financial sector heads, war industry CEOs aren't just members of the 1%; they're the super-elite among them, the one-hundredth of a percent.

Lobbying Domination

Disgusted by the overwhelming corporate influence in Congress? Look no further than the big military contractor companies, whose flagship companies spend enough on lobbying to dwarf even financial sector titans.

War Industry Lobbying Expenditures for 2010
  • Lockheed Martin: $12.7 million.
  • Northrop Grumman: $15.7 million.
  • Boeing: $17.89 million.

  • Again, just to provide some context, here are the same lobbying totals for some of the most recognized names in the financial sector.

    Financial Sector Lobbying in 2010

    The war industry gets away with blowing our money on job-killing spending because it can bend Congress to its whim. In the process, the industry is like a vacuum sucking up brain power and engineering resources that could and would establish and grow entirely new wholesome industries. It's no surprise that Americans confront a 9.1% unemployment rate and an under-employment rate flirting with 20 percent this year.

    Want to know where all the money went that could be putting people back to work or keeping U.S. manufacturing industries competitive? The war industry CEOs dumped lobbying cash on Congress and diverted all that wealth to their private bank accounts.

    Striking a blow for democracy

    The war contractors' iron grip on the wealth and politics of our country has caught the attention of our friends at Occupy Wall Street, who are targeting war profiteers in its draft list of demands with a call to bring home "all military personnel at all non-essential bases" and to end the "Military Industrial Complex's goal of perpetual war for profit."

    We're allies of the Occupy movement, which swells from the 99%'s disgust and dysfunction with our system. A democracy for and of the people that favors the 0.01% at the expense of the 99.99% of us is no democracy at all.
    We here at Brave New Foundation and the War Costs campaign have been inspired by the incredible work of the Occupy movement, so we created our latest video to help push this critical piece of their message: war for profit has to end. We're asking viewers to share our video with their local Occupy groups and organize a guerrilla screening at an Occupy protest in your city.

    The Occupy protests have a lot to teach us, and the leaderless movement is at minimum an indictment of our political system. They've stopped whispering, and we've all started shouting.

    Occupy your city and show this video to your community.

Saturday, April 11, 2015

The Worst Lie of All: Calling Evil Good





Matthew Continetti: Calling Evil Good

I have never before encountered a more evil force in American politics than the Kochs and their ilk. Never.

Since March 2009 I have been researching the funding patterns of the right wing and their activity with regard to the tea party movements, how they move money through Republican establishment organizations, and the impact of their investment in organizations and publications intended to legitimize ideas that work against the interests of 99% of the citizens of this country. I'm not alone. Many others are also digging deep. AlterNet. Think Progress.

My reasons for searching and paying attention go beyond ideology. Regardless of what their views are, emergency sirens sound when I consider exactly how much control two people and one corporation have over right-wing politics. It transcends ideology. It's anti-democracy. In my travels I've found the same information that many others have found but which always seems to languish in the shadows of the Internet.

Influence is held in the hands of the very few, and right now the Koch brothers hold the reins. Consider this list, created in 2004. It lists every organization that has received funding from the Koch Family Foundations. Then it was $120 million. Fast forward to 2010, where they spent millions we know about, and more millions we don't. For 2012, they've pledged $49 million toward a goal of $88 million.

All of this to say one thing: The Koch threat isn't just to liberal politics. It is a threat to the very democracy we treasure in this country. And like Glenn Greenwald, I view them as the most dangerous type of ideologue: the True Believer. True Believers are dangerous because they don't have any goal other than to make all of us True Believers. They proselytize free markets the way evangelicals preach Jesus. And when those same free markets fail? They facepalm and admit shock that perhaps there is a flaw in their flawless philosophy, then go right back to preaching and selling the free market gospel like it's God's word in the flesh.

News flash for the Koch devotees: Markets are not people. Not yet. They don't breathe, eat, cry, love, hate. They do, however, determine the future of people who are at their mercy. It's one thing to control markets like Koch and a few others do. It's entirely another to be at their mercy.

I would still have a job that I adored, but for capricious markets and their puppetmasters. Which is why when I read nonsense like this Weekly Standard Koch Brothers Rehab Piece by Matthew Continetti, I get angry. Really angry. And when I read self-pitying, whinging comments like the one I'm about to quote from a man who wouldn't know what it's like to have your livelihood and your self-respect ripped away in ten minutes' time, I get angrier.

Forget the facts, folks. Charles and David Koch are just bewildered and overwhelmed rich men who cannot for the life of them understand how the left can be so oblivious to the good free markets can do for the world and every individual in the United States who has a set of bootstraps and a pair of arms to use to yank on them.
The left’s inability to understand where the Kochs were coming from puzzled Charles and David. Wasn’t it obvious that small government and free markets resulted in a better world? “Why don’t we teach in schools things that make society more prosperous, and more peaceful, and people will respect each other more? It’s a strange thing, isn’t it?” said Charles. “It’s unbelievable how they distort what your message is!” said David. The Kochs thought their aim was to increase the standard of living for everyone. The way to do this, they believed, was by applying to society the same methods that had grown their company.
Small governments and free markets resulted in a better world? Really? Was it big government that allowed Wall Street to run amok and gamble away people's retirement savings in markets they knew were doomed to fail? What society does David Koch mean when he says "teach in schools things that make society more prosperous"? Surely he doesn't mean this one, because the facts speak otherwise. This society is NOT more prosperous, though Mr. Koch certainly has prospered. What the Kochs do is corrupt government, then blame it for screwing the rest of us.

This world is not better because Koch pollutes it while denying there might be even an iota of truth in climate change science.

This world is not better because our children's educations are being raped and sold to the "free markets" so we can create yet another "market" which will put "prosperity" ahead of education.

This world is not better because Koch Industries put millions into propaganda campaigns to convince people to act against their own interests in order to further Charles and David's "prosperity".

This world is not better because the faith in "free markets" brought the entire world economy to the brink of ruin.

This world is not better because David and Charles Koch think it's better for people to die after losing everything because they were unfortunate enough to be uninsured and sick at the same time.

So what "better world" is it that Mr. Koch sees? I want to see that world too. Instead what I see are people like me, who are educated, motivated, intelligent and have a strong work ethic unable to find work. Why can't we find work? Well, the 'markets' are flooded right now with lots of young people looking for work, and when the markets write the rules, they're written to maximize profits. That means people like me won't find a job until the "market" has eaten its fill of the younger generation.

Commentary like this makes my head explode:
The raw emotions and mindless smears left employees of Koch Industries hurt and befuddled. They kept searching for an answer. It was as if the universe had turned upside down. “All of us are given something, some more than others, and it’s up to us to build on it,” said Koch Minerals executive Steve Tatum. “Charles and David did. They built on what they inherited from their family. Hopefully, I have too. And I inherited nothing but a little help with college.
“What doesn’t seem right is when a person works to get through college, gets a degree, works for 25 years to become successful—and now you’re the bad guy,” Tatum said. “And I think, that’s the American dream, isn’t it?”
I'll leave you all to parse the first part about Charles and David building on their inherited money. But that second comment? The one about it not being right when a person works their way through college, gets a degree, yadayada? Yeah. Well, here's my counter-question: What doesn't seem right is when a person works to get through college, build a business, is a faithful employee for years and years, has a strong work ethic, pays their taxes, tries to raise their family and gets kicked in the teeth by those "free markets." That doesn't seem quite right either.

Jamie Johnson, heir to the Johnson & Johnson fortune and now a blogger at Vanity Fair, made a documentary in 2006 about the differences between the very wealthy and the rest of us called The One Percent. If you haven't seen it, I highly recommend it. You won't necessarily come away knowing more than you did before you watched it, but it's the attitude of that 1% -- the utter separation from the reality the rest of us live in -- that stands out. The resistance of his family and the financial advisers behind them is almost comical, but the attitudes are simply out of touch with what it's like for everyone else. One of the finest moments is when Milton Friedman rises up and calls the young heir to the Johnson and Johnson fortune a socialist who's afraid to admit it.

It's easy to point to bootstraps when yours were inherited, after all.
To Charles, the call for bigger government was egalitarianism run amok. Liberals, he thought, fetishized equality of condition at the expense of personal liberty. “They cannot stand that some people are better off than others,” Charles said. “I think part of it fits Mencken’s definition of a Puritan: someone that’s miserable because he knows that someone, somewhere, is enjoying himself. He cannot stand that. And I think they all slept through Economics 101.”
He has this so wrong. Let me clear it up. I don't care that some have more than others. I care that some have more than others because they took it out of my bank account and my hard work. That's what I care about. I care about Wall Street moguls taking home big fat bonuses while the Dow Industrial-Military Complex sits on trillions and leaves people without work, without prospects, without hope, and without self-respect.

Here's a proposal for Charles and David. How about if they live for a year without their billions, just like the rest of us? How about they find out what it's like to be told over and over and over again that you're not hired even though you know you were as qualified as the guy who got the job? How about if they subject themselves to the whim of the markets, the uncertainty of not knowing whether they'll have a home tomorrow or food to eat? Perhaps they should try scratching out a living without any government in a world with no regulation where the food they dig out of the dumpster might be contaminated with chemical pollutants because the industrial customer who used that dumpster last didn't care to be careful about how they disposed of toxins. Perhaps they should try it before they condemn liberals as people who are miserable because someone else is enjoying themselves.

Perhaps Charles and David should put their grandchildren in public schools (along with the little DeVos children) and see how teachers struggle with no budget, no supplies, larger class sizes, more children with problems, and a test looming at the end of each year that stresses children to their breaking point while proving nothing other than that there's a market for test writers and scantron forms.

Until they've done these things, until they've shed their silver spoons and ideological turtle shells, Continetti can write apologetics all day long and it won't change a thing. They are an evil force in today's politics, feeding evil men with evil ambitions, and they should be called evil every single chance we get until they figure out how ignorant and out of touch they are. Which will be about the time hell freezes over and the cows come home, I'm sure.

Make no mistake. The Kochs are not the only billionaires who perpetrate this evil. Back in Clinton's day, it was Scaife and the Tobacco Puppets. They're all part of the same group, but the Kochs have chosen to put themselves at the front as the evangelists of the New Free Market Ayn Rand/John Birch Society. By that choice, they receive the bulk of my criticism, but no one is exempt. If you don't know how the other 99% lives, don't bother trying to tell us what's wrong with our thinking.

Now that I've ranted, one question lingers. How do we counter their message and their money before it's too late?

Copyright 2011 Crooks and Liars

Thursday, April 9, 2015

5 signs America is devolving into a plutocracy


SALON



5 signs America is devolving into a plutocracy

 

One-percent elections. Congressional gridlock. An increasingly demobilized public. Our democracy is on life support





 
5 signs America is devolving into a plutocracy  
 
 
 
 
This piece originally appeared on TomDispatch
 
Have you ever undertaken some task you felt less than qualified for, but knew that someone needed to do? Consider this piece my version of that, and let me put what I do understand about it in a nutshell: based on developments in our post-9/11 world, we could be watching the birth of a new American political system and way of governing for which, as yet, we have no name.

And here’s what I find strange: the evidence of this, however inchoate, is all around us and yet it’s as if we can’t bear to take it in or make sense of it or even say that it might be so.

Let me make my case, however minimally, based on five areas in which at least the faint outlines of that new system seem to be emerging: political campaigns and elections; the privatization of Washington through the marriage of the corporation and the state; the de-legitimization of our traditional system of governance; the empowerment of the national security state as an untouchable fourth branch of government; and the demobilization of “we the people.”

Whatever this may add up to, it seems to be based, at least in part, on the increasing concentration of wealth and power in a new plutocratic class and in that ever-expanding national security state. Certainly, something out of the ordinary is underway, and yet its birth pangs, while widely reported, are generally categorized as aspects of an exceedingly familiar American system somewhat in disarray.

1. 1% Elections

Check out the news about the 2016 presidential election and you’ll quickly feel a sense of been-there, done-that. As a start, the two names most associated with it, Bush and Clinton, couldn’t be more familiar, highlighting as they do the curiously dynastic quality of recent presidential contests.  (If a Bush or Clinton should win in 2016 and again in 2020, a member of one of those families will have controlled the presidency for 28 of the last 36 years.)

Take, for instance, “Why 2016 Is Likely to Become a Close Race,” a recent piece Nate Cohn wrote for my hometown paper.  A noted election statistician, Cohn points out that, despite Hillary Clinton’s historically staggering lead in Democratic primary polls (and lack of serious challengers), she could lose the general election.  He bases this on what we know about her polling popularity from the Monica Lewinsky moment of the 1990s to the present.  Cohn assures readers that Hillary will not “be a Democratic Eisenhower, a popular, senior statesperson who cruises to an easy victory.”  It’s the sort of comparison that offers a certain implicit reassurance about the near future.  (No, Virginia, we haven’t left the world of politics in which former general and president Dwight D. Eisenhower can still be a touchstone.)

Cohn may be right when it comes to Hillary’s electability, but this is not Dwight D. Eisenhower’s or even Al Gore’s America. If you want a measure of that, consider this year’s primaries. I mean, of course, the 2015 ones. Once upon a time, the campaign season started with candidates flocking to Iowa and New Hampshire early in the election year to establish their bona fides among party voters. These days, however, those are already late primaries.

The early primaries, the ones that count, take place among a small group of millionaires andbillionaires, a new caste flush with cash who will personally, or through complex networks of funders, pour multi-millions of dollars into the campaigns of candidates of their choice.  So the early primaries — this year mainly a Republican affair — are taking place in resort spots like Las Vegas, Rancho Mirage, California, and Sea Island, Georgia, as has been widely reported. These “contests” involve groveling politicians appearing at the beck and call of the rich and powerful, and so reflect our new 1% electoral system. (The main pro-Hillary super PAC, for instance, is aiming for a kitty of $500 million heading into 2016, while the Koch brothers network has already promised to drop almost $1 billion into the coming campaign season, doubling their efforts in the last presidential election year.)

Ever since the Supreme Court opened up the ultimate floodgates with its 2010 Citizens United decision, each subsequent election has seen record-breaking amounts of money donated and spent. The 2012 presidential campaign was the first $2 billion election; campaign 2016 is expected to hit the $5 billion mark without breaking a sweat.  By comparison, according to Burton Abrams and Russell Settle in their study, “The Effect of Broadcasting on Political Campaign Spending,” Republicans and Democrats spent just under $13 million combined in 1956 when Eisenhower won his second term.

In the meantime, it’s still true that the 2016 primaries will involve actual voters, as will the election that follows. The previous election season, the midterms of 2014, cost almost $4 billion, a record despite the number of small donors continuing to drop. It also represented the lowest midterm voter turnout since World War II. (See: demobilization of the public, below — and add in the demobilization of the Democrats as a real party, the breaking of organized labor, the fragmenting of the Republican Party, and the return of voter suppression laws visibly meant to limit the franchise.) It hardly matters just what the flood of new money does in such elections, when you can feel the weight of inequality bearing down on the whole process in a way that is pushing us somewhere new.

2. The Privatization of the State (or the U.S. as a Prospective Third-World Nation)

In the recent coverage of the Hillary Clinton email flap, you can find endless references to the Clintons of yore in wink-wink, you-know-how-they-are-style reporting; and yes, she did delete a lot of emails; and yes, it’s an election year coming and, as everyone points out, the Republicans are going to do their best to keep the email issue alive until hell freezes over, etc., etc.  Again, the coverage, while eyeball gluing, is in a you’ve-seen-it-all-before, you’ll-see-it-all-again-mode.
However, you haven’t seen it all before. The most striking aspect of this little brouhaha lies in what’s most obvious but least highlighted.  An American secretary of state chose to set up her own private, safeguarded email system for doing government work; that is, she chose to privatize her communications.  If this were Cairo, it might not warrant a second thought.  But it didn’t happen in some third-world state.  It was the act of a key official of the planet’s reigning (or thrashing) superpower, which — even if it wasn’t the first time such a thing had ever occurred — should be taken as a tiny symptom of something that couldn’t be larger or, in the long stretch of history, newer: the ongoing privatization of the American state, or at least the national security part of it.
Though the marriage of the state and the corporation has a pre-history, the full-scale arrival of the warrior corporation only occurred after 9/11.  Someday, that will undoubtedly be seen as a seminal moment in the formation of whatever may be coming in this country.  Only 13 years later, there is no part of the war state that has not experienced major forms of privatization.  The U.S. military could no longer go to war without its crony corporationsdoing KP and guard duty, delivering the mail, building the bases, and being involved in just about all of its activities, including training the militaries of foreign allies and even fighting.  Such warrior corporations are now involved in every aspect of the national security state, including torturedrone strikes, and — to the tune of hundreds of thousands of contract employees like Edward Snowden — intelligence gathering and spying.  You name it and, in these years, it’s been at least partly privatized.

All you have to do is read reporter James Risen’s recent book, Pay Any Price, on how the global war on terror was fought in Washington, and you know that privatization has brought something else with it: corruption, scams, and the gaming of the system for profits of a sort that might normally be associated with a typical third-world kleptocracy.  And all of this, a new world being born, was reflected in a tiny way in Hillary Clinton’s very personal decision about her emails.

Though it’s a subject I know so much less about, this kind of privatization (and the corruption that goes with it) is undoubtedly underway in the non-war-making, non-security-projecting part of the American state as well.

3. The De-legitimization of Congress and the Presidency


On a third front, American “confidence” in the three classic check-and-balance branches of government, as measured by polling outfits, continues to fall.  In 2014, Americans expressing a “great deal of confidence” in the Supreme Court hit a new low of 23%; in the presidency, it was 11%, and in Congress a bottom-scraping 5%.  (The military, on the other hand, registers at 50%.)  The figures for “hardly any confidence at all” are respectively 20%, 44%, and more than 50%.  All are in or near record-breaking territory for the last four decades.

It seems fair to say that in recent years Congress has been engaged in a process of delegitimizing itself.  Where that body once had the genuine power to declare war, for example, it is now “debating” in a desultory fashion an “authorization” for a war against the Islamic State in Syria, Iraq, and possibly elsewhere that has already been underway for eight months and whose course, it seems, will be essentially unaltered, whether Congress authorizes it or not.

What would President Harry Truman, who once famously ran a presidential campaign against a “do-nothing” Congress, have to say about a body that truly can do just about nothing?  Or rather, to give the Republican war hawks in that new Congress their due, not quite nothing.  They are proving capable of acting effectively to delegitimize the presidency as well.  House Majority Leader John Boehner’s invitation to Israeli Prime Minister Benjamin Netanyahu to undercut the president’s Iranian nuclear negotiations and the lettersigned by 47 Republican senators and directed to the Iranian ayatollahs are striking examples of this.  They are visibly meant to tear down an “imperial presidency” that Republicans gloried in not so long ago.

The radical nature of that letter, not as an act of state but of its de-legitimization, was noted even in Iran, where fundamentalist Supreme Leader Ali Khamenei proclaimed it “a sign of a decline in political ethics and the destruction of the American establishment from within.” Here, however, the letter is either being covered as a singularly extreme one-off act (“treason!”) or, as Jon Stewart did on “The Daily Show,” as part of a repetitive tit-for-tat between Democrats and Republicans over who controls foreign policy.  It is, in fact, neither.  It represents part of a growing pattern in which Congress becomes an ever less effective body, except in its willingness to take on and potentially take out the presidency.

In the twenty-first century, all that “small government” Republicans and “big government” Democrats can agree on is offering essentially unconditional support to the military and the national security state.  The Republican Party — its various factions increasingly at each other’s throats almost as often as at those of the Democrats — seems reasonably united solely on issues of war-making and security.  As for the Democrats, an unpopular administration, facing constant attack by those who loath President Obama, has kept its footing in part by allying with and fusing with the national security state.  A president who came into office rejecting torture and promoting sunshine and transparency in government has, in the course of six-plus years, come to identify himself almost totally with the U.S. military, the CIA, the NSA, and the like.  While it has launched an unprecedented campaign against whistleblowers and leakers (as well as sunshine and transparency), the Obama White House has proved a powerful enabler of, but also remarkably dependent upon, that state-within-a-state, a strange fate for “the imperial presidency.”

4. The Rise of the National Security State as the Fourth Branch of Government

One “branch” of government is, however, visibly on the rise and rapidly gaining independence from just about any kind of oversight.  Its ability to enact its wishes with almost no opposition in Washington is a striking feature of our moment.  But while the symptoms of this process are regularly reported, the overall phenomenon — the creation of ade facto fourth branch of government — gets remarkably little attention.  In the war on terror era, the national security state has come into its own.  Its growth has been phenomenal.  Though it’s seldom pointed out, it should be considered remarkable that in this period we gained a second full-scale “defense department,” the Department of Homeland Security, and that it and the Pentagon have become even more entrenched, each surrounded by its own growing “complex” of private corporations, lobbyists, and allied politicians.  The militarization of the country has, in these years, proceeded apace.

Meanwhile, the duplication to be found in the U.S. Intelligence Community with its 17 major agencies and outfits is staggering.  Its growing ability to surveil and spy on a global scale, including on its own citizens, puts the totalitarian states of the twentieth century to shame.  That the various parts of the national security state can act in just about any fashion without fear of accountability in a court of law is by now too obvious to belabor.  As wealth has traveled upwards in American society in ways not seen since the first Gilded Age, so taxpayer dollars have migrated into the national security state in an almost plutocratic fashion.
New reports regularly surface about the further activities of parts of that state.  In recent weeks, for instance, we learned from Jeremy Scahill and Josh Begley of the Intercept that the CIA has spent years trying to break the encryption on Apple iPhones and iPads; it has, that is, been aggressively seeking to attack an all-American corporation (even if significant parts of its production process are actually in China).  Meanwhile, Devlin Barrett of the Wall Street Journal reported that the CIA, an agency barred from domestic spying operations of any sort, has been helping the U.S. Marshals Service (part of the Justice Department) create an airborne digital dragnet on American cell phones.  Planes flying out of five U.S. cities carry a form of technology that “mimics a cellphone tower.” This technology, developed and tested in distant American war zones and now brought to “the homeland,” is just part of the ongoing militarization of the country from its borders to its police forces.  And there’s hardly been a week since Edward Snowden first released crucial NSA documents in June 2013 when such “advances” haven’t been in the news.

News also regularly bubbles up about the further expansion, reorganization, and upgrading of parts of the intelligence world, the sorts of reports that have become the barely noticed background hum of our lives.  Recently, for instance, Director John Brennan announced a major reorganization of the CIA meant to break down the classic separation between spies and analysts at the Agency, while creating a new Directorate of Digital Innovation responsible for, among other things, cyberwarfare and cyberespionage.  At about the same time, according to the New York Times, the Center for Strategic Counterterrorism Communications, an obscure State Department agency, was given a new and expansive role in coordinating “all the existing attempts at countermessaging [against online propaganda by terror outfits like the Islamic State] by much larger federal departments, including the Pentagon, Homeland Security and intelligence agencies.”

This sort of thing is par for the course in an era in which the national security state has only grown stronger, endlessly elaborating, duplicating, and overlapping the various parts of its increasingly labyrinthine structure.  And keep in mind that, in a structure that has fought hardto keep what it’s doing cloaked in secrecy, there is so much more that we don’t know.  Still, we should know enough to realize that this ongoing process reflects something new in our American world (even if no one cares to notice).

5. The Demobilization of the American People

In The Age of Acquiescence, a new book about America’s two Gilded Ages, Steve Fraser asks why it was that, in the nineteenth century, another period of plutocratic excesses, concentration of wealth and inequality, buying of politicians, and attempts to demobilize the public, Americans took to the streets with such determination and in remarkable numbers over long periods of time to protest their treatment, and stayed there even when the brute power of the state was called out against them.  In our own moment, Fraser wonders, why has the silence of the public in the face of similar developments been so striking?

After all, a grim new American system is arising before our eyes.  Everything we once learned in the civics textbooks of our childhoods about how our government works now seems askew, while the growth of poverty, the flatlining of wages, the rise of the .01%, the collapse of labor, and the militarization of society are all evident.

The process of demobilizing the public certainly began with the military.  It was initially a response to the disruptive and rebellious draftees of the Vietnam-era.  In 1973, at the stroke of a presidential pen, the citizen’s army was declared no more, the raising of new recruits was turned over to advertising agencies (a preview of the privatization of the state to come), and the public was sent home, never again to meddle in military affairs.  Since 2001, that form of demobilization has been etched in stone and transformed into a way of life in the name of the “safety” and “security” of the public.

Since then, “we the people” have made ourselves felt in only three disparate ways: from the left in the Occupy movement, which, with its slogans about the 1% and the 99%, put the issue of growing economic inequality on the map of American consciousness; from the right, in the Tea Party movement, a complex expression of discontent backed and at least partially funded by right-wing operatives and billionaires, and aimed at the de-legitimization of the “nanny state”; and the recent round of post-Ferguson protests spurred at least in part by the militarization of the police in black and brown communities around the country.

The Birth of a New System

Otherwise, a moment of increasing extremity has also been a moment of — to use Fraser’s word — “acquiescence.”  Someday, we’ll assumedly understand far better how this all came to be.  In the meantime, let me be as clear as I can be about something that seems murky indeed: this period doesn’t represent a version, no matter how perverse or extreme, of politics as usual; nor is the 2016 campaign an election as usual; nor are we experiencing Washington as usual.  Put together our 1% elections, the privatization of our government, the de-legitimization of Congress and the presidency, as well as the empowerment of the national security state and the U.S. military, and add in the demobilization of the American public (in the name of protecting us from terrorism), and you have something like a new ballgame.

While significant planning has been involved in all of this, there may be no ruling pattern or design.  Much of it may be happening in a purely seat-of-the-pants fashion.  In response, there has been no urge to officially declare that something new is afoot, let alone convene a new constitutional convention.  Still, don’t for a second think that the American political system isn’t being rewritten on the run by interested parties in Congress, our present crop of billionaires, corporate interests, lobbyists, the Pentagon, and the officials of the national security state.
Out of the chaos of this prolonged moment and inside the shell of the old system, a new culture, a new kind of politics, a new kind of governance is being born right before our eyes. Call it what you want. But call it something. Stop pretending it’s not happening.
Tom Engelhardt, co-founder of the American Empire Project, runs the Nation Institute's TomDispatch.com. His latest book, "Shadow Government: Surveillance, Secret Wars, and a Global Security State in a Single-Superpower World" (Haymarket Books), has just been published.