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Economy

CHARTS: Austerity In Europe Hasn’t Worked

Francois Hollande yesterday successfully ousted Nicolas Sarkozy from the French presidency, winning a run-off election between the two by a vote of 52-48 percent. The Center for American Progress’ Matt Browne noted that Hollande “is a pragmatic progressive who realizes that austerity alone hasn’t worked, and that what Europe needs is a realistic strategy for job creation and economic growth.”

Indeed, the French vote, alongside elections in Greece in which voters abandoned pro-austerity parties in droves in favor of extremists, was a stark reminder that voters have no patience with forced economic sacrifice that isn’t paired with efforts to boost growth and create jobs. And here are three charts showing that the austerity policies adopted by European nations have certainly not delivered. The first, from the Financial Times’ Martin Wolf, shows that austerity goes hand in hand with a contracting economy:

This chart shows that the U.S., which hasn’t embraced austerity, is doing better than both the Eurozone and the austerity happy United Kingdom:

And finally, the Washington Post’s Brad Plumer flags this chart showing that, according to the International Monetary Fund, “Income and employment don’t fully recover even five years after the austerity program is enacted”:

Of course, European leaders are not the only ones slow to learn the lessons that failed austerity is teaching. After all, despite seeing what has happened in Europe following severe budget cuts, American Republicans are still pushing the same medicine.

Health

Heritage Foundation Calls For Moving Families To Private Insurance Plans

The Republican budget proposed by Rep. Paul Ryan (R-WI) would dramatically reduce access to care for millions of Americans by repealing the Affordable Care Act, turning Medicare into a “premium support” system that could make costs skyrocket, and switch the current Medicaid payment plan to a system of insufficient block grants. When it comes to Medicaid, however, not everyone is sure that budget goes far enough.

In an issue brief released last week, the conservative Heritage Foundation called for “transitioning” Americans out of Medicaid and “into more popular private health insurance options.” While the brief praised the block grant proposal from Ryan as an “important change,” it made clear that, in their view, even more action was needed:

The House Republican budget took important steps with regard to Medicaid by calling for the repeal of Obamacare and putting Medicaid on a budget. However, this is just a down payment on what needs to be done. The next—and equally as important—step is to put policies in place that restructure the Medicaid program so that low-income individuals and families are mainstreamed out of Medicaid and into the private health insurance market. In this way, Congress can expand the private insurance market, ensure more robust competition, and secure the kind of care that the vast majority of working Americans have today. At the same time, Congress needs to restore Medicaid to a true safety net program for the most vulnerable in society.

What Heritage did not say in their brief is that Medicaid actually costs less than private insurance. According to Families USA, it costs 20 percent less for Medicaid to cover lower-income Americans than private health insurance plans, which may not cover all the services those people need. And a study from the Kaiser Family Foundation released last week found that the rate of growth in Medicaid spending was actually lower than for private insurance plans.

Ryan’s block grant plan would cut federal spending on Medicaid by a third, dramatically reducing access to care and costing 14 million people access to care. If the Affordable Care Act was repealed, as Heritage and Paul Ryan both call for, the private insurers the brief suggests take over could also deny those people coverage because of a pre-existing condition. Under this plan, the “most vulnerable” Americans Heritage claims to be worried about would suffer.

-Zachary Bernstein

LGBT

New Research Meta-Analysis Makes Compelling Case For Nondiscrimination Protections

Our guest blogger is Crosby Burns, Research Associate for LGBT Progress.

Today the Center for American Progress, the Human Rights Campaign, and the Williams Institute at the UCLA School of Law released a comprehensive database of research documenting the immediate need for federal policies that prohibit discrimination on the basis of sexual orientation and gender identity. This database includes nearly 40 documents totaling 680 pages of research from the ACLU, the Center for American Progress, the Human Rights Campaign, the National Center for Transgender Equality, the National Gay and Lesbian Task Force, Freedom To Work, and the Williams Institute.

The findings of the research contained in this database are consistent and conclusive: LGBT workplace discrimination is a pervasive and persistent problem that requires an immediate solution. Additionally, this research establishes a strong business case for workplace nondiscrimination laws and policies, examines the potential impact of an LGBT nondiscrimination executive order for federal contractors, and highlights strong public and voter support for workplace fairness.

Given these realities, Congress should pass the Employment Non-Discrimination Act and President Obama should sign an executive order requiring federal contractors to have LGBT-inclusive non-discrimination policies. These actions would bring quick relief to the hundreds of thousands of LGBT workers who face employment discrimination in our country today.

Election

The Slurpee Senator: Dick Lugar Gets Last Minute Boost From 7-Eleven

As well-funded super PACs — including the Club for Growth Action, FreedomWorks for America, and the National Rifle Association Political Victory Fund — poured millions of dollars into independent expenditures encouraging Indiana voters to support for State Treasurer Richard Mourdock (R) and against incumbent Sen. Dick Lugar (R) in tomorrow’s Republican primary, one pro-Lugar super PAC cried foul. But their ads decrying out-of-state influence are the height of hypocrisy as they were largely funded also by out-of-state donors.

Hoosiers for Jobs (formerly Hoosiers for Economic Growth & Jobs) has spent at least $175,000 on mailings and television ads in support of Lugar. Two spots by the group attack efforts by outside groups to “buy the election.” One ad, ironically called “Hypocrites,” attacks the Wall Street Club for Growth’s support of Mourdock as a “D.C. special interest bailout of his campaign.” The other, “Not for Sale,” says the Club is “trying to buy our Senate seat by spending millions of dollars of secret Wall Street money” attacking Lugar.

Watch “Hypocrites”:

Watch “Not for Sale”:

But, as the Center for Public Integrity notes, more than two-thirds of the donations reported to date by Hoosiers for Jobs come from outside of Indiana. The group’s filings reveal that through April 18, it received $170,000. Just $55,000 of that came from Hoosiers, whom the group claims to represent.

Who did fund the misnamed “Hoosiers for Jobs?” Former lobbyist Roy Pfautch of St. Louis, Missouri donated $50,000, Swift Boat funder Sam Fox of St. Louis gave $25,000, and the Dallas-based 7-Eleven Inc. kicked in $25,000.

Why is the convenience store franchise helping Lugar? He “understands our issues,” a spokesperson told the CPI. Lugar also supported the Slurpee-seller in a congressional battle against banks, and his daughter-in-law is a lobbyist for a trade association tied to the omnipresent retailer.

As Super PACs spend more and more on statewide and congressional races, voters should take their messages with a shaker of salt. After all, the TV ads calling out out-of-state funding and hypocrisy may well be paid for by out-of-state hypocrites.

NEWS FLASH

GOP Senate Candidate Rick Berg Doesn’t Know The Minimum Wage | When a voter recently asked Rep. Rick Berg (R-ND), who is running for Senate in the state, what the minimum wage is, it took the congressman and his staff several awkward moments to determine that they didn’t know. “Hmmm,” Berg says, before turning to someone else and saying, “This guy would know.” That guy did not know, but they realize it was the same as the federal minimum wage. Unfortunately, they didn’t know what that was either (for the record, it’s $7.25 an hour). The state Democratic party released this video of the exchange today:

Justice

Federal Judges Toss Out 76 Class Actions Thanks To Last Year’s Biggest SCOTUS Giveaway To Corporate America

About one year ago, the Supreme Court handed down its most significant pro-corporate decision since Citizens United — a decision which empowered corporations to force their workers and consumers to completely sign away their ability to hold the corporation accountable in a class action lawsuit. As the New York Times reports, this case, AT&T v. Concepcion, has now been invoked at least 76 times to stop a class action from moving forward.

As ThinkProgress explained a year ago when Concepcion was handed down, the practical impact of this decision is that corporations have almost free reign to illegally nickel and dime their workers and consumers out of a few dollars at a time:

Imagine that your cell phone company cheated you out of just $30. Would you sue? Bear in mind that filing a lawsuit will require you to spend hour upon hour filing out forms and drafting complaints and dealing with legal codes that you probably know little about. Of course you can always hire a lawyer, but your lawyer’s hourly fee will eat up all of the $30 you stand to win in just a few minutes. In other words, you, like just about everyone else in the world who is scammed out of just a few dollars, you will probably give the lawsuit a pass.

Fortunately, there is a solution to this problem — the class action lawsuit. If your cell phone company cheated you and you alone, you’re out of luck. But if they systematically scammed thousands of their customers out of the same $30 — nickel and diming their way to huge profits — the law allows all of you to join together into a class action lawsuit and make sure that the company is held accountable.

That is, of course, until [now].

The significant number of suits dismissed thanks to Concepcion confirms that corporate America is already taking advantage of the gift the Court’s conservative justices gave them last year. In one of those cases, for example, a group of U.S. servicemembers who allegedly were illegally required to pay a few hundred dollars each by the Nissan car company were denied their ability to join together in a class action.

Climate Progress

‘Hug The Monster’: Why So Many Climate Scientists Have Stopped Downplaying the Climate Threat

Journalist Bill Blakemore has a great piece on ABC’s website:

‘Hug the Monster’ for Realistic Hope in Global Warming (or How to Transform Your Fearful Inner Climate).

He offers advice to journalists in covering climate change — and advice to the rest of us in a world captured by denial.

The piece helps dispel the myth that climate scientists have long been overhyping climate impacts — when everyone who actually follows climate science and talks to any significant number of climate scientists knows that the reverse is true. As Blakemore writes:

Established scientists, community and government leaders and journalists, as they describe the disruptions, suffering and destruction that manmade global warming is already producing, with far worse in the offing if humanity doesn’t somehow control it, are starting to allow themselves publicly to use terms like “calamity,” “catastrophe”, and “risk to the collective civilization”….

A few years ago, this reporter heard a prominent climate and environment scientist speaking at a large but off-the-record conference of experts and policy makers from around the world who had gathered at Harvard University’s Kennedy School….

He told us that he and most other climate scientists often simply didn’t want to speak openly about what they were learning about how disruptive and frightening the changes of manmade global warming were clearly going to be for “fear of paralyzing the public.”

That speaker now has an influential job in the Obama administration.

Climate scientists have been consistently downplaying and underestimating the risks for three main reasons. First, their models tended to ignore the  myriad amplifying carbon cycle feedbacks that we now know are kicking in (such as the defrosting tundra).

Second, they never imagined that the nations of the world would completely ignore their warnings, that we would knowingly choose catastrophe. So until recently they hardly ever seriously considered or modeled the do-nothing scenario, which is a tripling (820 ppm) or quadrupling (1100 ppm) of preindustrial levels of carbon dioxide over the next hundred years or so. In the last 2 or 3 years, however, the literature in this area has exploded and the picture it paints is not pretty (see “An Illustrated Guide to the Science of Global Warming Impacts: How We Know Inaction Is the Gravest Threat Humanity Faces“).

Third, as Blakemore (and others) have noted, the overwhelming majority of climate scientists are generally reticent and cautious in stating results — all the more so in this case out of the mistaken fear that an accurate diagnosis would somehow make action less likely. Yes, it’d be like a doctor telling a two-pack-a-day patient with early-stage emphysema that their cough is really not that big a deal, but would they please quit smoking anyway. We live in a world, however, where anyone who tries to explain what the science suggests is likely to happen if we keep doing nothing is attacked as an alarmist by conservatives, disinformers, and their enablers in the media.

Back in 2005, the physicist Mark Bowen wrote about glaciologist Lonnie Thompson: “Scientists have an annoying habit of backing off when they’re asked to make a plain statement, and climatologists tend to be worse than most.”

The good news, if you can call it that, is that the climate situation has become so dire that even the most reticent climatologists are starting to speak more bluntly. By the end of 2010, Thompson was writing:

Climatologists, like other scientists, tend to be a stolid group. We are not given to theatrical rantings about falling skies. Most of us are far more comfortable in our laboratories or gathering data in the field than we are giving interviews to journalists or speaking before Congressional committees. Why then are climatologists speaking out about the dangers of global warming? The answer is that virtually all of us are now convinced that global warming poses a clear and present danger to civilization.

Blakemore points out some other climate scientists who are starting to speak out:

Read more

LGBT

We Are Now Beginning Our Descent: Delta Sides With Anti-Gay Donohue, Withdraws Ads From The Daily Show

Delta Airlines is siding with an organization that compares pro-choice groups to Nazis and shuns adoption if the parents happen to be gay.

Today, the airline company confirmed that it will stop advertising on the Daily Show after the far-right anti-gay Catholic League, headed up by Bill Donohue, took issue with a graphic used on the Daily Show that showed a manger between a woman’s legs.

The Catholic League and its president have called the comedian’s joke “hate speech.” They have made no comments or attempts to apologize, however, for their own hateful speech which includes blaming gay people for pedophilia in the Catholic Church, saying that HHS Sec. Kathleen Sebelius was no better than an anti-semite, or claiming that a lesbian’s children aren’t her own because they are adopted.

NEWS FLASH

AP: CIA Breaks Up Plot To Blow Up U.S.-Bound Airliner | The AP is reporting that the CIA has thwarted “an ambitious” plot in Yemen by al Qaeda to blow up a U.S.-bound airliner around the anniversary of Osama bin Laden’s death. The plot reportedly “involved an upgrade of the underwear bomb that failed to detonate aboard a jetliner over Detroit on Christmas 2009.” The AP says it “learned about the thwarted plot last week but agreed to White House and CIA requests not to publish it immediately because the sensitive intelligence operation was still under way.”

NEWS FLASH

Tuscon Shooting Hero: Darrell Issa Ignores ‘Pathetically Weak Gun Laws’ | For more than a year, Rep. Darrell Issa (R-CA) has tried to exploit the very real tragedy that emerged from several botched gun running operations along the Mexican border in an attempt to bring down Attorney General Eric Holder — even though the operations began under George W. Bush. While Issa’s shown plenty of interest in exploiting tragedy for political gain, however, he’s shown precious little interest in actually preventing future gun deaths. In a letter to Issa, Patricia Maisch, one of the heroes of the tragic mass shooting that nearly killed former Rep. Gabrielle Giffords (D-AZ), laments Issa’s misdirected efforts: “[I] wish you had used some of your obvious passion, intelligence and commitment to insist that that the committee address the pathetically weak gun laws that are one of the real causes of Agent Terry’s death, one of the real causes of another 31,000 American deaths every year, and one of the real causes of 15,000 Mexican murders!”

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