NYT Editorial: Obama’s State of the Union: Inspiring vision for the country

This nation faces huge problems — putting millions of Americans back to work, investing to compete in a 21st-century global economy and wrestling down a long-term budget deficit that threatens everyone’s future.

Ever since the 2010 campaign, we have heard precious little in the way of serious solutions — mostly just smoke-and-mirrors spending cuts from Republicans and their usual clamor for more tax cuts for the wealthy.

Tuesday night’s State of the Union address was President Obama’s chance to rise above that pinched vision, to help Americans understand that while government cannot do everything, it is indispensable in reviving the economy, spurring innovation, educating Americans and keeping them healthy and making the nation competitive globally.

Mr. Obama took on those issues, and the Republicans, squarely. Rebutting their single-minded focus on slashing discretionary domestic spending, Mr. Obama said we have to “stop pretending” that cutting this kind of spending “alone will be enough.”

The speech was a chance for Mr. Obama to talk about the need for government investment in highways and railroads, schools and new, clean-energy industries. And we were encouraged that Mr. Obama set national goals in these areas — 85 percent of the nation’s energy should come from clean energy by 2035; 80 percent of Americans should have access to high-speed rail within 25 years; and 98 percent should have access to high-speed wireless within five years.

These are grand, and expensive, ideas, and it was vital that Mr. Obama talked about the need to pay for new spending.

He proposed eliminating taxpayer subsidies for oil companies, for example, to help pay for his clean-energy initiative. “I don’t know if you’ve noticed,” the president said, “but they’re doing just fine on their own. So instead of subsidizing yesterday’s energy, let’s invest in tomorrow’s.”

Mr. Obama also is calling for extending his proposed three-year freeze on some discretionary programs to five years. The White House said that would create $400 billion in savings over 10 years — a deep cut at a bad time, but far saner than Republican calls to slash spending so deeply that it would surely cripple the recovery.

The White House said Mr. Obama needed to make some proposal like that to remain in the debate. That is likely true. But he also made clear that there is no long-term solution without cutting military spending and mandatory spending on Medicare and Social Security.

He made a strong case for ending the Bush-era tax cuts for the wealthy when they expire in two years. “Before we take money away from our schools or scholarships away from our students, we should ask millionaires to give up their tax break,” he said.

That’s important, but letting high-end tax breaks expire won’t raise enough revenue to pay for needed investments or reduce long-term deficits. Mr. Obama proposed to simplify both the corporate income tax and the personal income tax, but he did not call for raising other taxes. Americans may not want to hear that taxes have to go up, but until Mr. Obama and other political leaders are willing to say so, credible deficit reduction will remain out of reach.

Mr. Obama’s speech offered a welcome contrast to all of the posturing that passes for business in the new Republican-controlled House. On Tuesday, House Republicans pushed through a resolution calling for reducing spending on domestic programs to 2008 levels. In a fragile economy, cutting spending on transportation, education, scientific research, food safety and childhood nutrition will do huge damage.

At times Tuesday night, Mr. Obama was genuinely inspiring with a vision for the country to move forward with confidence and sense of responsibility. Americans need to hear a lot more like that from him.

[Source: NYT]

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Eisenhower’s Warning Still Challenges A Nation

Before President Reagan urged Soviet leader Mikhail Gorbachev to “tear down this wall,” and even before President Kennedy told Americans to ask “what you can do for your country,” President Dwight D. Eisenhower coined his own phrase about “the military-industrial complex.”

That statement, spoken just days before Eisenhower left office in 1961, was his warning to the nation.

At the time, the United States was sitting atop a huge military establishment built from its participation in three major wars. This buildup led Eisenhower to caution against the misplacement of power and influence of the military.

Fifty years later, the United States is engaged in two wars abroad, and some say Eisenhower’s warning still holds true.

A Call For An ‘Alert And Knowledgeable Citizenry’

While some historians have written off Eisenhower’s farewell address as an afterthought, his grandson, David Eisenhower, says it was a speech the president spent months crafting.

“He did know it was going to have an impact,” David Eisenhower tells Weekend All Things Considered host Guy Raz.

David Eisenhower is the director of the Institute for Public Service at the Annenberg School of Communication and co-authored the book Going Home To Glory: A Memoir of Life with Dwight D. Eisenhower.

It was Eisenhower’s somber words about the military that caught peoples’ attention.

“In the councils of government, we must guard against the acquisition of unwarranted influence, whether sought or unsought, by the military-industrial complex,” he said in his farewell address. “The potential for the disastrous rise of misplaced power exists and will persist.”

Eisenhower’s warning was all the more powerful coming from a five-star general.

“The feeling among Eisenhower’s allies was that Eisenhower had said something that in one way or another would undermine the position of many political allies that he had,” David Eisenhower says.

Those allies worried that Eisenhower’s words would be used against them, particularly as the Vietnam War began. Had the president handed antiwar activists a slogan they could use to oppose the conflict? David Eisenhower contends his grandfather was not concerned with the political fallout.

“I have immersed myself professionally for many years in the Eisenhower papers,” he says. “I know how his mind worked. I know what his habits of expression were. This is Dwight Eisenhower in the farewell address, and he speaks the truth.”

Though most people remember Eisenhower’s speech for its warning about the growing influence of the Pentagon, David Eisenhower says the president had another message.

“Eisenhower’s farewell address, in the final analysis, is about internal threats posed by vested interests to the democratic process,” he says. “But above all, it is addressed to citizens — and about citizenship.”

“Only an alert and knowledgeable citizenry can compel the proper meshing of the huge industrial and military machinery of defense with our peaceful methods and goals,” Eisenhower said in his address.

An Unwelcome Warning

Eisenhower’s message was spot-on, but came too late, says Andrew Bacevich, a retired career officer in the U.S. Army and professor of history and international relations at Boston University.

“I think we should view the speech as an admission of failure on the president’s part,” Bacevich tells Raz, “an acknowledgment that he was unable to curb tendencies that he had recognized, from the very outset of his presidency, were problematic.”

During Eisenhower’s presidency, defense spending accounted for 10 percent of gross domestic product, almost double today’s percentage. But for Eisenhower to pull out the scissors and make cuts to the defense budget would have been declared anathema; the nation was prospering.

“In the 1950s, a guns-and-butter recipe seemingly had worked,” Bacevich says. “We were safe and we were prosperous, so what was not to like?” That’s not the case today, he says.

“We can no longer insist on having both guns and butter,” Bacevich says. “We are compromising the possibility of sustaining genuine prosperity at home.”

As Eisenhower warned, “Every gun that is made, every warship launched, every rocket fired, signifies in the final sense, a theft. The cost of one modern, heavy bomber is this: a modern, brick school in more than 30 cities.”

Just as Eisenhower had trouble convincing Congress to re-examine the role of the U.S. military five decades ago, Bacevich says America’s leadership has similar difficulties today.

“Our political institutions demonstrate an unwillingness, or an inability, to really take on the big questions,” Bacevich says. “And the American people – many of them distracted by all kinds of concerns, like having a job when there’s almost 10-percent unemployment — aren’t paying attention.”

Bacevich insists that its time for Americans to review the belief that the United States needs to maintain a global military presence to safeguard national security. “There was a time, I think, in the Eisenhower era, military presence abroad was useful,” he says. No longer.

“Maintaining U.S. military forces in the so-called ‘Greater Middle East’ doesn’t contribute to stability — it contributes to instability,” Bacevich says. “It increases anti-Americanism. So why persist in the belief that maintaining all these U.S. forces scattered around the globe are necessary?”

If Americans could challenge that assumption, Bacevich says, then maybe it would be possible to have “a different and more modest national security posture that will be more affordable — and still keep the country safe.”

[Source: NPR]

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Arianna Huffington: For our democracy to survive, citizens have to be able to know what our government is really doing

I attend a lot of conferences on media and technology — indeed, they might actually be the biggest growth sector of the media — but the one I attended this past weekend was one of the most fascinating I’ve been to in quite a while. Entitled “A Symposium on WikiLeaks and Internet Freedom,” the one-day event was sponsored by the Personal Democracy Forum and was moderated by the group’s Micah Sifry and Andrew Rasiej.

The WikiLeaks story is an ever-shifting one — witness the latest twists of the Air Force blocking its personnel from accessing more than 25 news sites that have posted material released by WikiLeaks, and the shocking treatment of Bradley Manning, the U.S. Army private accused of being the source of the leaks.

One of the problems with the WikiLeaks story is that there has been way too much conflating going on, as Katrin Verclas pointed out at the symposium. So some serious unconflating (disconflating?) is in order.

I see four main aspects to the story. The first important aspect of the revelations is… the revelations.

Too much of the coverage has been meta — focusing on questions about whether the leaks were justified, while too little has dealt with the details of what has actually been revealed and what those revelations say about the wisdom of our ongoing effort in Afghanistan. There’s a reason why the administration is so upset about these leaks.

True, there hasn’t been one smoking-gun, bombshell revelation — but that’s certainly not to say the cables haven’t been revealing. What there has been instead is more of the consistent drip, drip, drip of damning details we keep getting about the war. Details that belie the upbeat talk the administration wants us to believe. The effect is cumulative — not unlike mercury poisoning.

It’s notable that the latest leaks came out the same week President Obama went to Afghanistan for his surprise visit to the troops — and made a speech about how we are “succeeding” and “making important progress” and bound to “prevail.”

The WikiLeaks cables present quite a different picture. What emerges is one reality (the real one) colliding with another (the official one). We see smart, good-faith diplomats and foreign service personnel trying to make the truth on the ground match up to the one the administration has proclaimed to the public. The cables show the widening disconnect. It’s like a foreign policy Ponzi scheme — this one fueled not by the public’s money, but the public’s acquiescence.

The cables show that the administration has been cooking the books. And what’s scandalous is not the actions of the diplomats doing their best to minimize the damage from our policies, but the policies themselves. Of course, we’ve known about them, but the cables provide another opportunity to see the truth behind the spin — so it’s no wonder the administration has reacted so hysterically to them.

The second aspect of the story — the one that was the focus of the symposium — is the changing relationship to government that technology has made possible.

Back in the year 2007, B.W. (Before WikiLeaks), the president waxed lyrical about government and the internet: “We have to use technology to open up our democracy. It’s no coincidence that one of the most secretive administrations in our history has favored special interest and pursued policy that could not stand up to the sunlight.”

At that moment he was, of course, busy building an internet framework that would play an important part in his becoming the head of the next administration. Not long after the election, in announcing his “Transparency and Open Government” policy, the president proclaimed: “Transparency promotes accountability and provides information for citizens about what their Government is doing. Information maintained by the Federal Government is a national asset.”

Cut to a few years later. Now that he’s defending a reality that doesn’t match up to, well, reality, he’s suddenly not so keen on the people having a chance to access this “national asset.”

Even more wikironic are the statements by his Secretary of State who, less than a year ago, was lecturing other nations about the value of an unfettered and free internet. Given her description of the WikiLeaks as “an attack on America’s foreign policy interests” that have put in danger “innocent people,” her comments take on a whole different light. Some highlights:

In authoritarian countries, information networks are helping people discover new facts and making governments more accountable… technologies with the potential to open up access to government and promote transparency can also be hijacked by governments to crush dissent and deny human rights… As in the dictatorships of the past, governments are targeting independent thinkers who use these tools.
Now “making government accountable” is, as White House spokesman Robert Gibbs put it, a “reckless and dangerous action.”

And the government isn’t stopping at shameless demagoguery, hypocrisy, and fear-mongering — it’s putting its words into action. According to The Hill, this week the House Judiciary Committee will conduct open hearings into whether WikiLeaks has somehow violated the Espionage Act of 1917.

What’s more, ABC News reports that Assange’s lawyers are hearing that U.S. indictments could be forthcoming: “The American people themselves have been put at risk by these actions that are, I believe, arrogant, misguided and ultimately not helpful in any way,” said Attorney General Eric Holder. “We have a very serious, active, ongoing investigation that is criminal in nature. I authorized just last week a number of things to be done so that we can hopefully get to the bottom of this and hold people accountable… as they should be.”

For the Obama administration, it appears that accountability is a one-way street. When he had the chance to bring the principle of accountability to our wars in Afghanistan and Iraq, and investigate how we got into them, the president passed. As John Perry Barlow tweeted, “We have reached a point in our history where lies are protected speech and the truth is criminal.”

Any process of real accountability, would, of course, also include the key role the press played in bringing us the war in Iraq. Jay Rosen, one of the participants in the symposium, wrote a brilliant essay entitled “From Judith Miller to Julian Assange.” He writes:

For the portion of the American press that still looks to Watergate and the Pentagon Papers for inspiration, and that considers itself a check on state power, the hour of its greatest humiliation can, I think, be located with some precision: it happened on Sunday, September 8, 2002.
That was when the New York Times published Judith Miller and Michael Gordon’s breathless, spoon-fed — and ultimately inaccurate — account of Iraqi attempts to buy aluminum tubes to produce fuel for a nuclear bomb.

Miller’s after-the-facts-proved-wrong response, as quoted in a Michael Massing piece in the New York Review of Books, was: “My job isn’t to assess the government’s information and be an independent intelligence analyst myself. My job is to tell readers of The New York Times what the government thought about Iraq’s arsenal.”

In other words, her job is to tell citizens what their government is saying, not, as Obama called for in his transparency initiative, what their government is doing. As Jay Rosen put it:

Today it is recognized at the Times and in the journalism world that Judy Miller was a bad actor who did a lot of damage and had to go. But it has never been recognized that secrecy was itself a bad actor in the events that led to the collapse, that it did a lot of damage, and parts of it might have to go. Our press has never come to terms with the ways in which it got itself on the wrong side of secrecy as the national security state swelled in size after September 11th.
And in the WikiLeaks case, much of media has again found itself on the wrong side of secrecy — and so much of the reporting about WikiLeaks has served to obscure, to conflate, to mislead.

For instance, how many stories have you heard or read about all the cables being “dumped” in “indiscriminate” ways with no attempt to “vet” and “redact” the stories first. In truth, only just over 1,200 of the 250,000 cables have been released, and WikiLeaks is now publishing only those cables vetted and redacted by their media partners, which includes the New York Times here and the Guardian in England.

The establishment media may be part of the media, but they’re also part of the establishment. And they’re circling the wagons. One method they’re using, as Andrew Rasiej put it after the symposium, is to conflate the secrecy that governments use to operate and the secrecy that is used to hide the truth and allow governments to mislead us.

Nobody, including WikiLeaks, is promoting the idea that government should exist in total transparency, or that, for instance, all government meetings should be live-streamed and cameras placed around the White House like a DC-based spin-off of Big Brother.

Assange himself would not disagree. “Secrecy is important for many things,” he told Time‘s Richard Stengel. “We keep secret the identity of our sources, as an example, take great pains to do it.” At the same time, however, secrecy “shouldn’t be used to cover up abuses.”

But the government’s legitimate need for secrecy is very different from the government’s desire to get away with hiding the truth. Conflating the two is dangerously unhealthy for a democracy. And this is why it’s especially important to look at what WikiLeaks is actually doing, as distinct from what its critics claim it’s doing.

And this is why it’s also important to look at the fact that even though the cables are being published in mainstream outlets like the Times, the information first went to WikiLeaks. “You’ve heard of voting with your feet?” Rosen said during the symposium. “The sources are voting with their leaks. If they trusted the newspapers more, they would be going to the newspapers.”

Our democracy’s need for accountability transcends left and right divisions. Over at American Conservative magazine, Jack Hunter penned “The Conservative Case for WikiLeaks,” writing:

Decentralizing government power, limiting it, and challenging it was the Founders’ intent and these have always been core conservative principles. Conservatives should prefer an explosion of whistleblower groups like WikiLeaks to a federal government powerful enough to take them down. Government officials who now attack WikiLeaks don’t fear national endangerment, they fear personal embarrassment. And while scores of conservatives have long promised to undermine or challenge the current monstrosity in Washington, D.C., it is now an organization not recognizably conservative that best undermines the political establishment and challenges its very foundations.
It is not, as Simon Jenkins put it in the Guardian, the job of the media to protect the powerful from embarrassment. As I said at the symposium, its job is to play the role of the little boy in The Emperor’s New Clothes — brave enough to point out what nobody else is willing to say.

When the press trades truth for access, it is WikiLeaks that acts like the little boy. “Power,” wrote Jenkins, “loathes truth revealed. When the public interest is undermined by the lies and paranoia of power, it is disclosure that takes sanity by the scruff of its neck and sets it back on its feet.”

A final aspect of the story is Julian Assange himself. Is he a visionary? Is he an anarchist? Is he a jerk? This is fun speculation, but why does it have an impact on the value of the WikiLeaks revelations?

Of course, it’s not terribly surprising that those who are made uncomfortable by the discrepancy between what the leaked cables show and what our government claims would rather make this all about the psychological makeup of Assange. But doing so is a virtual admission that they have nothing tangible with which to counter the reality exposed by WikiLeaks.

Maybe Assange “often acts without completely thinking through every repercussion of his actions,” writes Slate‘s Jack Shafer. “But if you want to dismiss him just because he’s a seething jerk, there are about 2,000 journalists I’d like you to meet.”

Whether Assange is a world-class jerk or not, this is bigger than Assange — and will continue whether or not he continues to be a central player in it. In fact, there is already an offshoot site soon to be launched, called Openleaks, which will be run by veterans of WikiLeaks.

And I doubt this will be the only offshoot. So as interesting as the Assange saga is, and I’m sure there will be books and movies recounting Assange’s personal tale, this is not about one man. Nor is it about one site, though the precedent of allowing the government to shut it down is very important.

It is about our future. For our democracy to survive, citizens have to be able to know what our government is really doing. We can’t change course if we don’t have accurate information about where we really are. Whether this comes from a website or a newspaper or both doesn’t matter.

But if our government is successful in its efforts to shut down this new avenue of accountability, it will have done our country far more damage than what it claims is being done by WikiLeaks.

via HuffingtonPost.com

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Michael Moore: Why I’m Posting Bail Money for Julian Assange

Yesterday, in the Westminster Magistrates Court in London, the lawyers for WikiLeaks co-founder Julian Assange presented to the judge a document from me stating that I have put up $20,000 of my own money to help bail Mr. Assange out of jail.

Furthermore, I am publicly offering the assistance of my website, my servers, my domain names and anything else I can do to keep WikiLeaks alive and thriving as it continues its work to expose the crimes that were concocted in secret and carried out in our name and with our tax dollars.

We were taken to war in Iraq on a lie. Hundreds of thousands are now dead. Just imagine if the men who planned this war crime back in 2002 had had a WikiLeaks to deal with. They might not have been able to pull it off. The only reason they thought they could get away with it was because they had a guaranteed cloak of secrecy. That guarantee has now been ripped from them, and I hope they are never able to operate in secret again.

So why is WikiLeaks, after performing such an important public service, under such vicious attack? Because they have outed and embarrassed those who have covered up the truth. The assault on them has been over the top:

- Sen. Joe Lieberman says WikiLeaks “has violated the Espionage Act.”

The New Yorker‘s George Packer calls Assange “super-secretive, thin-skinned, [and] megalomaniacal.”

- Sarah Palin claims he’s “an anti-American operative with blood on his hands” whom we should pursue “with the same urgency we pursue al Qaeda and Taliban leaders.”

- Democrat Bob Beckel (Walter Mondale’s 1984 campaign manager) said about Assange on Fox: “A dead man can’t leak stuff … there’s only one way to do it: illegally shoot the son of a bitch.”

- Republican Mary Matalin says “he’s a psychopath, a sociopath … He’s a terrorist.”

- Rep. Peter A. King calls WikiLeaks a “terrorist organization.”

And indeed they are! They exist to terrorize the liars and warmongers who have brought ruin to our nation and to others. Perhaps the next war won’t be so easy because the tables have been turned — and now it’s Big Brother who’s being watched … by us!

WikiLeaks deserves our thanks for shining a huge spotlight on all this. But some in the corporate-owned press have dismissed the importance of WikiLeaks (“they’ve released little that’s new!”) or have painted them as simple anarchists (“WikiLeaks just releases everything without any editorial control!”). WikiLeaks exists, in part, because the mainstream media has failed to live up to its responsibility. The corporate owners have decimated newsrooms, making it impossible for good journalists to do their job. There’s no time or money anymore for investigative journalism. Simply put, investors don’t want those stories exposed. They like their secrets kept … as secrets.

I ask you to imagine how much different our world would be if WikiLeaks had existed 10 years ago. Take a look at this photo. That’s Mr. Bush about to be handed a “secret” document on August 6th, 2001. Its heading read: “Bin Ladin Determined To Strike in US.” And on those pages it said the FBI had discovered “patterns of suspicious activity in this country consistent with preparations for hijackings.” Mr. Bush decided to ignore it and went fishing for the next four weeks.

But if that document had been leaked, how would you or I have reacted? What would Congress or the FAA have done? Was there not a greater chance that someone, somewhere would have done something if all of us knew about bin Laden’s impending attack using hijacked planes?

But back then only a few people had access to that document. Because the secret was kept, a flight school instructor in San Diego who noticed that two Saudi students took no interest in takeoffs or landings, did nothing. Had he read about the bin Laden threat in the paper, might he have called the FBI? (Please read this essay by former FBI Agent Coleen Rowley, Time’s 2002 co-Person of the Year, about her belief that had WikiLeaks been around in 2001, 9/11 might have been prevented.)

Or what if the public in 2003 had been able to read “secret” memos from Dick Cheney as he pressured the CIA to give him the “facts” he wanted in order to build his false case for war? If a WikiLeaks had revealed at that time that there were, in fact, no weapons of mass destruction, do you think that the war would have been launched — or rather, wouldn’t there have been calls for Cheney’s arrest?

Openness, transparency — these are among the few weapons the citizenry has to protect itself from the powerful and the corrupt. What if within days of August 4th, 1964 — after the Pentagon had made up the lie that our ship was attacked by the North Vietnamese in the Gulf of Tonkin — there had been a WikiLeaks to tell the American people that the whole thing was made up? I guess 58,000 of our soldiers (and 2 million Vietnamese) might be alive today.

Instead, secrets killed them.

For those of you who think it’s wrong to support Julian Assange because of the sexual assault allegations he’s being held for, all I ask is that you not be naive about how the government works when it decides to go after its prey. Please — never, ever believe the “official story.” And regardless of Assange’s guilt or innocence (see the strange nature of the allegations here), this man has the right to have bail posted and to defend himself. I have joined with filmmakers Ken Loach and John Pilger and writer Jemima Khan in putting up the bail money — and we hope the judge will accept this and grant his release today.

Might WikiLeaks cause some unintended harm to diplomatic negotiations and U.S. interests around the world? Perhaps. But that’s the price you pay when you and your government take us into a war based on a lie. Your punishment for misbehaving is that someone has to turn on all the lights in the room so that we can see what you’re up to. You simply can’t be trusted. So every cable, every email you write is now fair game. Sorry, but you brought this upon yourself. No one can hide from the truth now. No one can plot the next Big Lie if they know that they might be exposed.

And that is the best thing that WikiLeaks has done. WikiLeaks, God bless them, will save lives as a result of their actions. And any of you who join me in supporting them are committing a true act of patriotism. Period.

I stand today in absentia with Julian Assange in London and I ask the judge to grant him his release. I am willing to guarantee his return to court with the bail money I have wired to said court. I will not allow this injustice to continue unchallenged.

P.S. You can read the statement I filed today in the London court here.

P.P.S. If you’re reading this in London, please go support Julian Assange and WikiLeaks at ademonstration at 1 PM today, Tuesday the 14th, in front of the Westminster court.

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Ron Paul: Wikileaks Reveals U.S. Government’s Delusional Foreign Policy

“We should view the Wikileaks controversy in the larger context of American foreign policy. Rather than worry about the disclosure of embarrassing secrets, we should focus on our delusional foreign policy. We are kidding ourselves when we believe spying, intrigue, and outright military intervention can maintain our international status as a superpower while our domestic economy crumbles in an orgy of debt and monetary debasement.”

> Read full article

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Stewart To GOP: No More Using 9/11 For Political Gain Until First Responders Bill Is Passed

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Olbermann: Obama turned his back on his base.

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The downfall has begun. Two-party system. All is going as planned.

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GOP Plan for the Future: Fuck the future. Get rich now.

NYtimes.com: WASHINGTON — President Obama on Tuesday defended his tentative deal with Republicans to extend the Bush-era tax cuts at all income levels for the next two years, saying in a news conference that a protracted political fight would be a “bad deal for the economy. And it would be a bad deal for the American people.”

With many Democrats, especially liberals, angered by his concession to Republicans, Mr. Obama used his time before the cameras to highlight the concessions he got in tax cuts for lower-income workers, additional aid for the long-term unemployed and investment incentives for all businesses. He called the American people “hostages” who were facing “harm” unless he had negotiated.Congressional Democratic leaders have so far refused to endorse the agreement. In a statement on Tuesday, House Speaker Nancy Pelosi reiterated her position that continuing the lower tax rates for the highest-income Americans would not help the economy and would increase the deficit. And she pointedly declined to support the plan, saying only that she would continue to meet with colleagues and hold discussions with Mr. Obama.
…..
Some Republicans are expected to vote against the plan because the entire $900 billion cost would be borrowed and added to the deficit. Party leaders on both sides began canvassing to see where the votes would be.

Resistance is expected to be fiercest in the House, where Ms. Pelosi planned to discuss the proposed agreement with rank-and-file lawmakers later in the day.

“The tax proposal announced by the president clearly presents the differences between Democrats and Republicans,” Ms. Pelosi said in her statement. “Any provision must be judged by two criteria: does it create jobs to grow our economy and does it add to the deficit?

“The Democratic provisions will create jobs and help 155 million workers through tax cuts for the middle class, helping working families who are struggling and growing the economy. The Republican demands would provide tax cuts to the millionaires and billionaires, fail to create jobs and increase the deficit.”

She continued: “To add insult to injury, the Republican estate tax proposal would help only 39,000 of America’s richest families, while adding about $25 billion more to the deficit.Republicans have held the middle class hostage for provisions that benefit only the wealthiest 3 percent, do not create jobs, and add tens of billions of dollars to the deficit.”

> Continue article

Maybe too many GOPers got sucked into the 2012 end-of-the-world thing. Or they’re just being their usual greedy selves.

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Ben Bernanke: Income Inequality Is ‘Creating Two Societies’

Federal Reserve Chairman Ben Bernanke believes the growing income gap is “creating two societies” in America.

The central bank chief weighed in on income inequality during an interview Sunday with “60 Minutes” reporter Scott Pelley:

Pelley: The gap between rich and poor in this country has never been greater. In fact we have the biggest income disparity gap of any industrialized country in the world. And I wonder where you think that’s taking America.
Bernanke: It’s a very bad development. It’s creating two societies. And it’s based very much, I think, on educational differences. The unemployment rate we’ve been talking about. If you’re a college graduate, unemployment is 5 percent. If you’re a high school graduate, it’s 10 percent or more. It’s a very big difference. It leads to an unequal society, and a society which doesn’t have the cohesion that we’d like to see.”
In September, new Census figures showed that the income gap between America’s richest and poorest was the widest on record.

“The top-earning 20 percent of Americans – those making more than $100,000 each year – received 49.4 percent of all income generated in the U.S., compared with the 3.4 percent earned by those below the poverty line,” according to The Associated Press.

The topics of income inequality and public education have followed Bernanke in a personal way since he began his tenure as the leader of the nation’s central bank.

In 2009, Bernanke’s boyhood home was sold at foreclosure and the junior high school he attended became so dilapidated and worn down, that a student decided to write to Congress and ask for help.

> Continue at Huffington Post

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