"Morning Briefing: July 8, 2011"
In an op-ed published in the Jakarta Globe, Brookings Institution researchers Laurence Chandy and Geoffrey Gertz note that 70 million people annually are escaping global poverty, a gain that has been little-noticed. The researchers note, however, that most of these gains are being experienced in China and emerging economies, not in countries in the African or Latin American continents.
As President Obama presses to reduce the deficit by closing tax loopholes, “a small but powerful group” of jet manufacturers and users are fighting to protect their corporate jet tax breaks. These industry officials have contributed millions to lawmakers from both parties over the years, and have launched an effective counterattack to Democrats’ attempt to use it as a symbol of a tax system skewed toward helping the rich.
A bipartisan group of senators announced Thursday that they have reached an agreement to end ethanol subsidies. Sens. Dianne Feinstein (D-CA), Amy Klobuchar (D-MN), and John Thune’s (R-SD) plan would take effect at the end of July, saving $2 billion over the rest of the year. The group wants to attach the plan to the debt-reduction package that is currently being negotiated.
Treasury officials are discussing ways in which they could avoid default if Congress fails to raise the debt ceiling, even as Treasury Secretary Tim Geithner says there are no contingency plans if the limit is not raised. Among the options they are studying is whether the government can delay or prioritize payments and if the Constitution allows Treasury to continue to issue debt without raising the limit.
The White House will propose new steps on gun safety in the next several weeks, six months after the shooting of Rep. Gabrielle Giffords (D-AZ). The proposal is “not expected to involve legislation” or take on banning assault weapons, but “could include executive action to strengthen the background check system.”
“The map of Africa will be redrawn” tomorrow when southern Sudan becomes an independent nation after years of civil war that culminated in a U.S.-backed peace treaty and independence referendum. Many questions remain — including how to fully demarcate the border and divide oil revenue — but U.S. Ambassador to the U.N. Susan Rice called it “a remarkable [moment] nonetheless.”
Yesterday evening, Texas put to death a Mexican man despite pleas from the White House to stop the execution — a potential violation of international law. The Supreme Court denied a stay of execution, after defense lawyers argued Humberto Leal was denied help from his home country that could have helped him avoid the death penalty. In his last minutes, Leal apologized for raping a killing a teenage girl in 1994, and said “Viva Mexico!”
Leaders of the House Congressional Progressive Caucus yesterday sent a letter to President Obama demanding that there be no cuts to Social Security or Medicare in a debt ceiling deal. The lawmakers also called for tax increases on the very rich. “Tax breaks benefiting the very richest Americans should be eliminated as part of this deal,” they wrote.
And finally: Presidential candidate Tim Pawlenty revealed his love of Lady Gaga yesterday, but Center for American Progress President and CEO John Podesta may prefer “Friday” singer Rebecca Black, telling the Campus Progress conference this week, “Politics is not easy, but it is fun. It doesn’t matter if your issue is marriage equality or reproductive freedom or creating jobs or getting Rebecca Black back on YouTube.”