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Economy

Obama Stimulus Created The Equivalent Of 12 Hoover Dams

The idea that President Obama’s stimulus package failed is a favorite Republican canard, even as economic consensus and actual fact prove the oft-repeated statement that “the stimulus didn’t work” false. Nevertheless, Republicans and conservative commentators continue to recycle this myth.

The latest example is conservative columnist Charles Krauthammer, who today published a column in which he blasts the stimulus as a failed policy. Krauthammer’s evidence for that failure is that the American Recovery and Reinvestment Act, as the stimulus is properly known, didn’t generate a project as big as the Hoover Dam:

First, the $831 billion stimulus that was going to “reinvest” in America and bring unemployment below 6 percent. We know about the unemployment. And the investment? Obama loves to cite great federal projects such as the Hoover Dam and the interstate highway system. Fine. Name one thing of any note created by Obama’s Niagara of borrowed money. A modernized electric grid? Ports dredged to receive the larger ships soon to traverse a widened Panama Canal? Nothing of the sort. Solyndra, anyone?

Krauthammer is right that Obama’s stimulus bill didn’t create a Hoover Dam. Instead, it created the equivalent of a dozen Hoover Dams.

The maximum output of the Hoover Dam is about 2 gigawatts of electricity. The increase in U.S. wind-power output under the Obama administration so far has been 25 gigawatts — 12 times as much as produced by the dam. Under normal wind conditions, that’s enough to power over 6 million more homes with renewable, environmentally-friendly energy. That explosion in wind-power didn’t happen by chance: as Michael Grunwald points out in a Time column today, it was “the Obama stimulus bill that revived the wind industry and the rest of the clean-tech sector from a near-death experience.”

Under Obama, the United States has doubled its annual wind power output to 50 gigawatts, thanks in large part to the stimulus bill, enabling us to keep pace with China, the world’s wind power leader.

Krauthammer only asked for “one thing of note,” but Grunwald has more just on the clean energy tip, which was only a fraction of the overall stimulus effort: “The stimulus has financed the world’s largest wind farm, a half dozen of the world’s largest solar farms, the nation’s first refineries for advanced biofuels, a new battery industry for electric vehicles, unprecedented investments in cleaner coal and a smarter electric grid, and over 15,000 additional clean-energy projects.”

As far as the right’s repeated insistence that the stimulus didn’t work, that’s false too.

NEWS FLASH

Scott Brown Says Opponent Should Pay For State To Comply With Federal Voting Law | Two days after likening a voting rights group’s successful legal effort to make Massachusetts to remedy its non-compliance with federal voter registration law to a conspiracy to elect his Democratic opponent, Sen. Scott Brown (R-MA) has taken his complaining to a new level. Today, he released a statement demanding that Democratic nominee Elizabeth Warren “immediately reimburse the state for the cost of this mailing and stop playing politics with the taxpayers’ money.” After several groups sued Massachusetts for its failure to offer some citizens applying for state benefits the chance to register to vote — as is required by the 1993 National Voter Registration Act — the state agreed to contact, by mail, 477,944 welfare recipients who might also have been denied their right to be offered a chance to register to vote and give them that chance now. Warren’s campaign dubbed Brown’s demand a “ridiculous political stunt.”

NEWS FLASH

Report: Single Adults Without Children Will Benefit Most From Medicaid Expansion | Single, childless adults would benefit the most from the Affordable Care Act’s Medicaid expansion, according to a new report from Urban Institute and the Robert Wood Johnson Foundation. Based on their research, 82 percent of people who would be newly eligible for Medicaid do not have dependent children. If every state participated in the Medicaid expansion, 15 million people would benefit, but several Republican governors say they will opt out of it. Here are the report’s estimates of who could benefit:

7.8 million people under age 35 and 2 million near elderly adults between the ages of 55 and 64, and 53 percent are male
2.7 million are parents who are living with their dependent children
– 55 percent are white, while 19 percent are Hispanic and another 19 percent are black

Climate Progress

Video: Chronicling The Extreme 2012 Drought

by Peter Sinclair, via Climate Change and the Media

A basketball metaphor illustrating changing stats pairs with analyses from a range of experts and independent commentaries in a Yale Forum video capturing the stresses of the summer’s weather anomalies across the U.S.:

“Oh the weather outside is frightful.”

You can forget about the next line … chances of snow are nil for most of the United States for the next several months.

It’s the first line of the second verse that might be a bit more relevant, though not very comforting: “It doesn’t show signs of stopping.”

Holiday carolers and those behind the “Let it snow, Let it snow, Let it snow” lyrics could not have had the nation’s 2012 spring and summer in mind when they penned those words.

But the wildfires plaguing much of the nation’s west … the wilting and widespread droughts across much of the country’s “Grain Belt”… the blistering high temperatures across wide swaths of the country — all those play out in The Yale Forum‘s new video, “2012 Drought Update.”

The eight-and-one-half minute video couples historical footage with contemporary clips and news segments. In one of the latter, for instance, NBC anchor Brian Williams opens the network’s flagship news program with the words: “It’s now official. We are living in one of the worst droughts of the past 100 years.”

This month’s “This Is Not Cool” video shows NASA scientist James Hansen early and later cautioning about risks of “extreme droughts” in the nation’s breadbasket, such as those now commanding headlines. It captures Illinois Governor Pat Quinn warning of “the driest time” and “the hottest weather” in his state’s history. West Lafayette, Indiana, newscasters express concerns about the growing percentage of the nation officially designated as being in a “drought condition.”

‘It’s not looking good for corn’

NOAA climate scientist Tom Karl tells a national television audience that scientists increasingly “can actually say with some confidence that these events would not have been as strong or as intense if it were not for the greenhouse gases I the atmosphere.”

And a Michigan State University crop and soil scientist, Phil Robertson, cautions that “it’s certainly not looking good for corn.” Robertson advises that genetics and new planting strategies might help the agricultural community cope with chronic changes in weather. But it’s the variability of longer heat waves and hard-to-predict seasonal droughts — more difficult to predict and having more critical effects on crops — that Robertson says might pose particular challenges.

The video — which points to a 118 degrees F day in June in Norton Dam, Kansas — uses a basketball metaphor to illustrate how a warmer atmosphere has “raised the floor …. all plays are starting from a higher level.” Making for more slam dunks and illustrating how “the stats have begun to change.”

But they’re not of the crowd-pleasing variety. And no one is rooting for more of the kinds of slam dunks Midwest farmers are trying to defend against in the summer of 2012.

Peter Sinclair runs the Climate Crock of the Week blog. This piece was originally published at the Yale Forum on Climate Change and the Media and was reprinted with permission.

Security

First Prayer Service Held At Murfreesboro Mosque In Tennessee

The Islamic Center of Murfreesboro in Tennessee officially opened today after a long legal battle with local residents who filed a lawsuit to prevent the mosque from being built. Residents claimed that Islam is not a religion but a “seditious cult” and that the Islamic center was set on imposing Sharia law. After a state judge shut down construction, a federal judge last month granted a request for an emergency order that would allow the center to open.

The Islamic center held its first prayer service today (photo courtesy of the Tennessean):

Aside from the legal battles, mosque officials also had to endure, as one local reporter put it, “vandalism, some racist comments and even a number of bomb threats.”

But the Islamophobic backlash failed to deter the local Muslim community and its allies. “There is no conflict in being a good Muslim and being a good American. There is no conflict being a good Jew and a good American. There is no conflict in being a good Christian and a good American,” said mosque Imam Ossama Bahloul, “Let this building be a sign of that.”

Reporter Bob Smietana said that between 400 and 500 were in attendance. “The new place is packed,” he said according to a live blog at the Tennesseean.

“Some people said this is something you can no do as a community. Well we did it,” Ossama Bahloul said.

Economy

Republican Congressional Nominee: ‘All Those People On Wall Street Need To Be Investigated And Prosecuted’

A Republican congressional nominee in Michigan has called not just for investigations into Wall Street bankers, but prosecutions as well.

Kerry Bentivolio, who earned the Republican nomination in Michigan’s 11th congressional district on Tuesday following former Rep. Thad McCotter’s (R-MI) sudden resignation, detailed a surprising agenda for the financial sector during a radio interview late last year. Appearing on the Market Ticker show on October 17, 2011, Bentivolio told host Karl Denninger that Wall Street bankers “need to be investigated and prosecuted,” calling them “probably the biggest problem we have in this country.”

HOST: We talked about everything else, but [Gary Johnson] just would not say those people who committed these frauds and did these things, they need to go to jail.

BENTIVOLIO: On my Facebook page, go to a comment, I said, all those people on Wall Street need to be investigated and prosecuted. And those people outside protesting…[mic cuts out]. I think that says it all right there. The people on Wall Street, I think they’re probably the biggest problem we have in this country.

Listen to it:

That desired scrutiny would make Bentivolio unique as a Republican, given that some of potential colleagues have attempted to gut Wall Street reforms and even asked the banks for alternatives to the Dodd-Frank Wall Street Reform Act signed by President Obama in 2010. Rep. Spencer Bachus (R-AL), for instance, has said that he feels Washington’s role is to “serve the banks.”

Bentivolio’s nomination comes the same week that the Justice Department wrapped up a year-long investigation into mortgage abuses perpetrated by Goldman Sachs without pressing any charges. Goldman isn’t unique: Wall Street’s biggest banks have received miniscule slaps on the wrist to settle fraud charges that resulted from the financial crisis.

Justice

Better Know A Right-Wing Attack Group: American Future Fund

American Future Fund logoPart five of ThinkProgress’ profiles of right-wing groups that are taking advantage of the Citizens United ruling to flood the airways with independent attack ads. See Part 1, Part 2, Part 3 and Part 4.

American Future Fund is a tax-exempt 501(c)(4) organization.

Founded in 2007 by Nick Ryan, a longtime aide to former George W. Bush Office of Management and Budget ex-Rep. Jim Nussle (R-IA), and a consultant for Rick Santorum’s 2012 campaign, AFF says it aims to “provide Americans with a conservative and free market viewpoint to have a mechanism to communicate and advocate on the issues that most interest and concern them.”

The group’s president, Sandra Greiner, is also a Republican Iowa state senator.

AFF’s original seed money came from Iowa ethanol executive Bruce L. Rastetter, according to the New York Times.

Sample AFF ad:

Affiliates:

NEWS FLASH

Black Pastors Front Group Profits Off Hate Groups | The so-called Coalition of African American Pastors (CAAP) is a group that exists solely to oppose marriage equality on behalf of black religious leaders, though it boasts only a dozen visible members. Today, USA Today called out the organization for the front group that it is, noting its multiple anti-gay connections. Its head, Rev. Bill Owens, who compares marriage equality to child molestation, has been deemed the National Organization for Marriage’s “Religious Liaison,” meaning he’s probably profiting just like fellow black pastor Bishop Harry Jackson. Another anti-gay group, the American Principles Project, pays for CAAP’s use of a public relations firm. Hate groups like the Family Research Council and American Family Association lent CAAP $26,000 in 2004. It’s becoming crystal clear that the group only exists to foster the wedge between African-Americans and the LGBT community established in NOM’s strategy memos.

(HT: Holy Bullies and Headless Monsters.)

Climate Progress

Fuel Efficiency Is Powering Job Growth In The U.S. Automotive Sector

by Roland Hwang, via NRDC’s Switchboard

A review of the latest government jobs data reveals an indisputable fact: the U.S. auto industry is making a remarkable recovery. While not the only reason as our new report demonstrates, there is also little doubt that higher fuel efficiency is playing a critical role in the auto industry’s revitalization.

Since June 2009, when the auto industry hit bottom, the U.S. auto industry has grown by 236,600 jobs.  Manufacturing of motor vehicles and parts has grown by 165,100 jobs, or 26.4 percent, easily outpacing the recovery of the economy as a whole (see Chart 1 below).  Recovery is so strong in three largest auto states, Michigan, Ohio, and Indiana, that auto jobs directly accounts for an astounding 38 percent of the total jobs added in those states, or 66,300 jobs, since the auto industry hit bottom in June 2009 (see Chart 2 below).

Vehicle sales are up greatly year-over-year (see chart 3 below), and it is sales of fuel efficient vehicles that are driving overall sales growth as consumers rank fuel efficiency as their top priority in seeking a new vehicle.  In fact, the first half of 2012 set an all-time fuel efficiency record for new passenger vehicles sold in the U.S. at 23.8 mpg (see chart 4 below).

But unlike other periods of high fuel prices, consumers aren’t forced to purchase smaller vehicles to get higher fuel economy. Mainstream passenger sedans are getting to be more efficient than ever before as automakers compete to claim the “most efficient” title for that segment, and consumers and autoworkers win every time.

The fuel economy imperative is powering investments and job growth in the three largest auto states, Michigan, Ohio, and Indiana (see chart 4 below).  As mentioned above, 66,300 jobs have been added since the auto industry hit bottom in June 2009.

Automakers and suppliers are adding shifts to keep up with demand for the popular Chevy Cruze in Ohio and gearing up to build hot-selling hybrids in Indiana. Meanwhile, Michiganders are building Chevy Volts and Sonics while the state becomes a hotbed of electric vehicle and battery technology innovation.

In addition, there are many more indirect jobs the industry also supports that are creating opportunities for workers, companies and communities. Auto industry economists estimate that there are about four additional jobs created for each auto manufacturing job added, a calculation that is well-dramatized by a Bloomberg News report about how building the new fuel-efficient Dodge Dart is revitalizing a city in Illinois. When first, second and third shifts are added to produce vehicles or parts at a manufacturing plant, the benefits reverberate throughout the local community in jobs, local tax revenues, and indirect economic activity. Read more

Election

After Voting To Protect Oil Subsidies, Rep. Joe Walsh Applauds Ending Oil Subsidies

Battling for reelection in a new left-leaning district, Rep. Joe Walsh (R-IL) identified oil subsidies as one area where lawmakers can trip government spending, during a town hall in Elk Grove Wednesday.

“Get rid of subsidies for the big oil companies if you want. Do it,” Walsh declared to loud applause, calling the move “important”:

WALSH: You can do anything you want to. Bring our boys and girls home from Afghanistan, that’s what I want to do. Do it. Get rid of the federal Department of Education. That’s what I want to do. Do it. [Applause] Get rid of subsidies for the big oil companies if you want. Do it. [Applause] You can go on down the line and nail all of these things — and they’re important — but they’re billions. When it comes to Medicare, Medicaid, Social Security, we’re talking about trillions.

Watch it:

Of course, Walsh doesn’t have to just pontificate on the issue. He is one of 535 people in the country whose job it is to decide whether taxpayers continue to give oil companies $4 billion in subsidies every year. And when he had the opportunity to vote on the matter last year, he took the opposite position, voting in sync with House Republican colleagues to protect oil company subsidies.

Walsh didn’t mention this vote when skewering the subsidies in front of constituents, however, leaving the impression that he supported ending handouts to oil companies.

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