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Economy

America’s 1 Percent Have 288 Times As Much Wealth As The Median Household

According to a new report by the Economic Policy Institute, the wealthiest 1 percent of American households had a net worth 288 times as large as the median household wealth of $57,000 in 2010. This constitutes a huge increase from 1962, when the ratio was 125-1:

Since 1983, nearly three-quarters of the growth in total household wealth went to the top 5 percent, while the bottom four-fifths of American households saw their wealth decrease:

This is yet another indication of the explosion of income inequality that has occurred over the last few decades, as more and more of the country’s income and wealth traveled to the richest Americans. This is detrimental to America’s economic success because, as EPI explained, “wealth makes it easier for families to invest in education and training, start a small business, or fund retirement.” Wealth also makes it easier to cope in a financial emergency.

NEWS FLASH

‘Pepper Spray Cop’ No Longer Employed At UC Davis | The police officer who became infamous after dousing nonviolent Occupy protesters at UC Davis with pepper spray last November is no longer employed with the university, officials reported yesterday. Lt. John Pike has been on paid leave from UC Davis since the incident occurred last year, but his employment officially ended on Tuesday. Outside reports have designated the pepper spray incident as a “massive failure” on the parts of the university administration and police force, and a federal court ruled earlier this month that UC Davis’ police forces can be held liable for any student injuries that resulted from it. The UC Davis police chief resigned in April.

Economy

Study: Income Inequality Is Tied To Increase In Homicides

In the wake of the tragic shooting at a movie theater in Aurora, CO earlier this month, the nation has been engaged in a dialogue about the best ways to prevent violent crime — including passing stricter gun control legislation, requiring more background checks for firearm purchases, and increasing mental illness reporting. However, one writer at Scientific American suggests that homicides in the U.S. actually stem from a very different kind of source: the nation’s high rates of income inequality.

Eric Michael Johnson cites a study conducted by Harvard’s Ichiro Kawachi that analyzed the homicide rates in each state and the District of Columbia. Kawachi found that as the gap between the rich and the poor rose, the rate of homicide rose along with it:

The results were unambiguous: when income inequality was higher, so was the rate of homicide. Income inequality alone explained 74% of the variance in murder rates and half of the aggravated assaults. However, social capital had an even stronger association and, by itself, accounted for 82% of homicides and 61% of assaults. Other factors such as unemployment, poverty, or number of high school graduates were only weakly associated and alcohol consumption had no connection to violent crime at all. A World Bank sponsored study subsequently confirmed these results on income inequality concluding that, worldwide, homicide and the unequal distribution of resources are inextricably tied.

Income inequality in the U.S. has been rapidly rising since 1979. And an uptick in violent crimes certainly isn’t the only documented negative effect of the widening gulf between the rich and the poor. Studies have already shown that economic disparity has caused a problematic education gap, put an outsized burden on the Social Security program, and stifled the political power of a downtrodden middle class.

Economy

Bank Of America Cancels Foreclosure Auction On Minnesota Home After Occupiers Take Action

Photo by flickr user gilsonrome

Bank of America has decided to renegotiate the terms of a Minnesota homeowner’s mortgage just days before it was scheduled to be auctioned off following a week of action by activists with Occupy Our Homes MN and other groups. Ruby Brown began fighting the foreclosure more than five years ago. She found out last week that the bank had canceled a scheduled sheriff’s auction, according to OccupyOurHomes.org:

After a five-year battle over now-illegal lending practices, a bank error that dropped her from a loan modification program, and a campaign with Occupy Homes MN, north Minneapolis homeowner Ruby Brown has received a mortgage renegotiation from Bank of America, just days before her home was to be auctioned off.

“This is an incredible victory for Ruby, who has been in the struggle for so long. It’s also something that can and should happen for everyone facing the loss of a home right now,” said Susan Kikuchi, an organizer with Occupy Homes MN.

Brown isn’t the only homeowner to face foreclosure over banking errors. Wall Street banks have used fraudulent documents to process foreclosures, illegally foreclosed on members of the military, and foreclosed on homes over small clerical errors. The biggest lenders were subject to a $25 billion mortgage fraud settlement with the federal government and state attorneys general earlier this year.

The victory is the latest in a string of successes for the Occupy Our Homes movement and Occupy Our Homes MN in particular, which has targeted Minneapolis’ hardest-hit neighborhoods and helped numerous homeowners — including the mother of one of its own organizersstave off foreclosure.

Justice

REPORT: NYPD Used Force On Occupy Protests ‘Without Apparent Need Or Justification’ 130 Times

A new report documents the tens of dozens of incidents of alleged police force against Occupy Wall Street protesters between September 2011 and July 2012. The report, conducted by law school clinics, investigates the New York Police Department’s response to the largely peaceful Occupy protests that took place in New York City.

Among the report’s findings were 130 incidents that “warrant investigation by authorities.” “When considered together, a complex mapping of protest suppression emerges,” the authors write. They find 97 times police allegedly used bodily force like striking, punching, shoving, grabbing, kicking, or dragging, and 41 documented cases of alleged weapon use like batons, barricades, horses, pepper spray:

The police response has thus, in some individual cases and considered cumulatively, undermined basic assembly and expression freedoms. At times, it has itself also presented a threat to the safety of New Yorkers.

The Atlantic’s Conor Friedersdorf singles out 14 of the most shocking allegations of NYPD abuse cited in the report.

Since the fall, there have been more than 2,000 arrests at Occupy Wall Street. Photographs of police using rubber bullets, pepper spray, and force at protests around the country gained widespread attention.

NEWS FLASH

NYPD Botched DNA Test Linking Occupy Wall Street to Murder | A leaked story linking Occupy Wall Street to an unsolved murder went viral Wednesday, but it seems the anonymous law enforcement official spoke too soon. The DNA match between the 2004 murder of Juilliard student Sarah Fox and an Occupy Wall Street protest was revealed to be the result of a botched test contaminated by an NYPD employee. The NYPD swabbed the DNA from a heavy chain used to prop open a subway door during a transit protest in Brooklyn, a move that sparked anger from Occupy Wall Street protesters. Ed Needham, a press officer for OWS, told the New York Daily News, “Obviously it’s a terrible murder, but the story here is really the NYPD rubbing for DNA on some chains at a peaceful Occupy Wall Street demonstration.”

Economy

Independent Study Calls Police Response To Occupy Oakland ‘Outdated, Dangerous’

An independent report (PDF) commissioned by the city of Oakland concluded that the crowd-control tactics that the Oakland Police Department used to subdue Occupy protesters last year were “outdated, dangerous, and ineffective.” This report comes on the heels of last month’s report from a different outside monitor that reached the same conclusions.

In its 180-page report, The Frazier Group consulting firm outlined the internal issues plaguing Oakland’s police department, ranging from too much command turnover to limited funds to a lack of compliance with the national standards for police conduct. The consultants concluded that the October 25 clashes between Occupiers and police forces — when police attempted to subdue protesters with rubber bullets, flash grenades, and smoke bombs, injuring an Iraq War veteran in the process — were due to a combination of these factors:

Aircraft accident investigations frequently reveal that airplane crashes are caused by a series of cascading events, not a singular problem. We at Frazier Group feel that this analogy appropriately describes our observations within the Oakland Police Department. Years of diminishing resources, increasing workload and failure to keep pace with national current standards and preferred practices led to the cascading elements resulting in the flawed responses noted during the events of October 25, 2011.

There have also been investigations into the use of excessive force against Occupy protesters in cities other than Oakland. After the infamous pepper spray incident at an Occupy protest at the University of California-Davis, two outside reports also concluded that the police’s use of force was “unreasonable.”

NEWS FLASH

Protesters Challenge JP Morgan Chase CEO: ‘Face The People You Foreclosed On’ | JP Morgan Chase CEO Jamie Dimon is testifying before the Senate Banking Committee today, explaining the trading debacle that caused his bank to lose billions of dollars. Before the hearing could even formally begin, protestors twice interrupted the proceedings. One man initially yelled, “Why don’t you face the people you foreclosed on?” A second group of protesters chanted “Stop foreclosures now!” before being escorted out of the hearing by Capitol Police. Dimon sat emotionless while the protests occurred. Watch it:

Alyssa

ABC’s Paul Lee on the Network’s Formula for Escapist Revenge Shows

ABC Entertainment President Paul Lee has been saying some variation of this since his upfront presentation, but he reinforced it again last week when he said his division had gone back through entertainment history to figure out what themes American audiences might be drawn to during a severe and prolonged economics downturn:

“We thought this was a joke and something we could sell at the upfront” presentation. The network found that in difficult periods such as the Great Depression audiences responded to tales of anger and revenge, romances, screwball comedies, and fairy tales. “Lo and behold when you look at the big shows that worked for us, they were comedies, stories of revenge and fairy tales, which was fascinating to see.” For this fall he’s optimistic about Nashville, The Neighbors, and 666 Park Avenue, which he describes as “a very ABC show, a deeply soapy show but it has a twist.”

The way the network’s actually gone about incorporating those themes into its programming is fascinating. There’s nary a straightforward class-war narrative among them, but a strong sense that the elites in any given show are self-cannibalizing.

On Revenge, there are minor upstarts, like assistant Ashley and con man Tyler, who hope to make their way into the upper echelons of Hamptons society, but they’re concerned with preserving that millieu so they can enjoy it. The real threats to upper-class solidarity come from within. Amanda Clarke’s family was destroyed by a conspiracy among her father’s friends to frame him for laundering money for a terrorist organization, when it was actually his neighbors who were guilty—their privilege is founded on the kind of transactions they publicly condemn as noxious. As Amanda, in the guise of Emily Thorne, begins exacting revenge on the people who ruined her life, she finds that some of her enemies, despite their past experience, are still eager to get involved in complex financial schemes, and she uses that propensity against them. When the men of the Clarkes’ circle aren’t making money in a way that carries an inherent risk of dreadful downfall, the women are tearing each other apart: Victoria Greyson, the matriarch of Emily’s stretch of beach is a harpy who doesn’t seem happy unless she has her talons buried deep in the flesh of someone else’s happiness. This is a paradise constructed from rusting siding and rotten struts, dresses sewn from moth-eaten silk. Why wage class war when the system will tear itself to pieces?

The story in Once Upon a Time is similarly a clash of elites, rather than a pure struggle between the powerful and the powerless. In this fairy tale universe, the evil queen’s become Regina, the mayor of a small New England town, and while she clashes with the sheriff Emma Swan (who happens to be the biological mother of the Mayor’s adopted child), the real struggle seems to between her and Mr. Gold, the city’s largest industrialist, and in another world, Rumplestiltskin. In this world and the one they left behind, they’ve pitted different kinds of power against each other: whether elected or anointed, Regina wields the power of the state, while Gold’s control of commerce gives him extraordinary power over the life of the town even after he’s stripped of his magical abilities. The fight between Regina and Emma is vicious and personal, given that the stakes are custody of the child the former raised and the latter bore, and it’s fun to see Emma come into herself as a hero. But the real battle seems to be between Regina and Mr. Gold—their preoccupation with each other alternately harms the people around them and creates space for them to live their lives.

From what I’ve seen, fall show 666 Park Avenue appears to be the same way, a show that takes as its premise that a group of hugely rich New Yorkers got that way because they made a deal with the devil. These shows have in common the idea that while elites can have feelings, they bear some sort of blood taint, and that their power is based in inherently unstable forces or structures. It’s the perfect concept for audiences that feels powerless but frustrated by their circumstances, that wants to see a comeuppance for the architects of their misfortunes but would like to see someone execute them.

Economy

VIDEO: U.S. Marshals Evict D.C. Woman Despite Occupy Protests

More than three dozen activists attempted to prevent a court-ordered eviction in Washington D.C. this morning before being forcefully removed from the property by U.S. Marshals. The activists, who are affiliated with Occupy Our Homes DC, were attempting to stave off the eviction on behalf Dawn Butler, a D.C. resident who has lived at her home for more than six years.

Activists assembled outside the home around 8 a.m.; D.C. Metro Police and U.S. Marshals arrived shortly thereafter. Metro Police warned protesters that they would be subject to arrest after multiple warnings if they didn’t leave the property. Less than an hour later, a half-dozen U.S. Marshals walked to where the protesters were sitting and announced that they would carry out the eviction. When protesters sitting on the home’s front walkway refused to leave, the Marshals began forcefully removing them, dragging some across the sidewalk and others down the front stairs.

After nearly a half-hour, the Marshals reached the front door of the home, where multiple activists tied themselves to milk crates and the door to prevent entry. The Marshals, again using brute force, yanked the protesters away, ripping half of the home’s front door away with them. Marshals tossed one protester over the side of the home’s front porch, sending him sprawling onto his back in the neighbor’s yard and prompting shouts of, “Shame! Shame!” from the activists. Watch it:

At that point, an eviction crew entered the home and removed all of Butler’s belongings, stacking them on the sidewalk. Activists planned to use a moving truck to take Butler’s possessions to storage.

The home went into foreclosure more than two years ago, and Butler, who rents the home, was facing eviction from JP Morgan Chase. Butler challenged the eviction on the grounds that she was denied her right to first refusal when she and her mother attempted to buy the home in 2010. Both Butlers said they received no response from JP Morgan when they submitted a bid for the home.

The court granted Butler a stay from eviction on April 2, but issued an order for eviction Monday. Butler returned to court this morning seeking another stay.

“They’re taking homes just for no reason. They haven’t given us a reason,” Butler said today. “It’s hell. Hell on earth.”

“In this case, the court ruled that the lease was not valid,” JP Morgan Chase said in an official statement. “The tenant had no legal right to remain in the property.”

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