Will the Wall Street Protestors’ Movement, Be Absorbed into the Democratic Party?

Robert Reich writing in his blog has this to say on the subject

But if Occupy Wall Street coalesces into something like a real movement, the Democratic Party may have more difficulty digesting it than the GOP has had with the Tea Party.

After all, a big share of both parties’ campaign funds comes from the Street and corporate board rooms. The Street and corporate America also have hordes of public-relations flacks and armies of lobbyists to do their bidding – not to mention the unfathomably deep pockets of the Koch Brothers and Dick Armey’s and Karl Rove’s SuperPACs. Even if the Occupiers have access to some union money, it’s hardly a match.

Yet the real difficulty lies deeper. A little history is helpful here.

In the early decades of the twentieth century, the Democratic Party had no trouble embracing economic populism. It charged the large industrial concentrations of the era – the trusts – with stifling the economy and poisoning democracy. In the 1912 campaign Woodrow Wilson promised to wage “a crusade against powers that have governed us … that have limited our development … that have determined our lives … that have set us in a straightjacket to so as they please.” The struggle to break up the trusts would be, in Wilson’s words, nothing less than a “second struggle for emancipation.”

Reich goes on to analyze the gradual “escape” of the Democratic Party from Populist issues and its transformation into a financial party much like the Republicans. He is, of course, correct – while the movement has some sound bites that seem to the untrained ear to mimic the occasional Democratic politician, the message of the Wall Street Protestors is inimical to the interests of both political parties.

The Republican Party and these Wall Street Protestors are alien to one another but to the Democrats these protestors are only slightly less strange. The Democrats have been selling free market fundamentalism, de-regulation, tax cuts, tax breaks, tax holidays, subsidies, free trade pacts, etc. for years. If that sounds exactly like the Republican Party, it should because it is. The parties vary dramatically on many issues but on the treatment of our financial elites they are both little more than courtiers at the court of the king, the top one percent.

The things that motivate the protestors may from time to time provide the Democrats with useful dialogue for a quick commercial but they haven’t been important to the party apparatus for decades. Once the commercial is cut, the message will be forgotten unless the poll numbers move briskly in which case the line will have a brief second life.

The Democrats are going to do what the Democrats always do, pretend to care. They’ll throw some crumbs to the demonstrators, endorsements, praise, nice op-eds and eventually “proposed” legislation. The legislation will be gradually forgotten, or re-written until there is nothing left or passed in one house to languish in the other. The fix is always in.

When the Democrats care about something like “free” trade deals, it goes right to the top right away. The damn things can annihilate the economic fortunes of millions of Americans but the Democrats vote for them quickly, easily and in almost total lockstep because that is what the “real” Americans, the top one percent want.

A political party built around the protecting the welfare of the bottom 99% of the population is not just a radical idea, for the professional campaigners is simply doesn’t make any sense, by their reasoning, the bottom 99% doesn’t have the kind of money or influence to run elections.

That conventional wisdom is unlikely to change. Campaigns have been run for the interests of the top one percent for decades, and it is no doubt much easier to win with incredible sums of money from a handful of donors, who can be counted upon to give large sums year after year, than it is to actually work an election from point of view of actual human beings.

Is this going to be a turning point in history? I hope so. I don’t see the protestors handing their movement over to the President or anyone else. Identification with either major political party inevitably leads to an absorption of the least controversial elements. It is destructive to the political process to allow such co-option.

Only movements separate from the parties can have a long term effect on the party itself. The reason for this is that parties exist to elect candidates, not to effect change. Thus, we have the spectacle of the Democratic Party developing into a party of professional politicians purchasable virtually at will. To make a party tow the ideological line, you have to beat and humiliate politicians who hold other beliefs. It has to be done outside the party.

James Pilant

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Ten Worst American Cities for Murder – from the Star-Telegram

I have criminal justice students and they tend to believe that the cities like Los Angeles or New York are the leaders in murder. Their television induced wisdom is a problem. It disguises the developing geographic picture of crime, and that picture is of the most violent crimes moving more toward the South and Central United States.

The data, in particular the top cities for murder list below, surprises most people. I was shocked by the ranking of Anchorage. I went and had a look at the overall stats and while murder is bad compared to much of the United States, the rate of forcible rape is much, much worse than the rest of the country.

Here you are presented for your information – the top ten –

No. 1 – Detroit

No. 2 – Memphis

No. 3 – Springfield, Ill.

No. 4 – Flint, Mich.

No. 5 – Anchorage, Ak.

No. 6 – Lubbock

No. 7 – Stockton, Calif.

No. 8 – Tallahassee, Fla.

No. 9 – Las Vegas, Nev.

No. 10 – Rockford, Ill.

Read more: http://blogs.star-telegram.com/crime_time/2011/10/which-texas-city-do-you-suppose-made-the-forbes-list-of-most-dangerous-in-the-us.html#ixzz1aGVKxCO7

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The Wall Street Protests – “This has the feel of something very big happening.”

Is ‘Occupy Silicon Valley’ next?

This is an article from Reuters written by Connie Loizos. It is in large part an interview with Paul Saffo, a futurist.   I call your attention to this paragraph. –

Saffo doesn’t know where all of this economic dissatisfaction will lead, but he is worried. “I think there’s a sea change afoot that’s going to sweep over everything the same way,” he says. “I still think there’s a lot of uncertainty, but all my instincts as a forecaster tell me this has the feel of something very big happening. I’m standing on the beach and noticing the water heading back out toward the horizon.”

I feel the same way. It’s possible this is all just smoke and mirrors but I don’t think so.

James Pilant

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Is a New Movement in American Politics Being Born?

I have been thinking about whether or not the Wall Street Protests now spreading nation wide are the beginning of a significant turning point in American history.

I believe the answer is “probably.” I would prefer a ringing “Yes, this is it!” but after the Obama campaign of 2008, I have lost faith in what are supposed to historical turning points. In that case, we elected a leader who promised real change but who turned out to be a pitiful caricature of his promises. I remember reading Will Durant, an essay he wrote after he felt the disappointment of Woodrow Wilson’s Administration. The Progressives, Durant among them, came out and fought for Wilson’s election only to find he had only limited use for them and their policies. He wrote that you can’t place dependence on any one man when you are part of a political movement. I forgot that lesson of history during the 2008 election. I promise I will not be so foolish again.

But this new movement has several things going for it. One is timing. The United States is suffering under a recession which is highly likely to turn into a full scale depression with the big D. The people of this country who are witnessing the day to day collapse of small businesses, they personally out of work or having direct knowledge of their friends and family out of work are not beguiled by the word of record corporate profits. That money does not flow to them and they are well aware of it. (You are aware the bottom 50% of the citizens of our great democracy have 2.5% of the wealth?)

My local paper is replete with stories of how the real estate market has turned or will turn around – all this while a rational person watches housing prices continue to fall. The local real estate captive paper is more useful for training a dog than as a provider of useful information.

Another thing the movement has going for it is the ability to use the new media effectively. I use a desktop computer and that is the end of my desire for electronics. I don’t want to be communicated with all the time. I like my privacy. But these individuals are quite clever with these new devices using them in a manner more advanced than those who advocated change this Spring in the Middle East and China. They have an amazing web presence.

My third and last reason for the movement’s likely success is the international political climate. The neoliberals of the Chicago School of Economics have been driven from South America and their policies found to be the height of madness and lunacy in Ireland and Iceland. The great philosophical adventure of free market absolutism is dying although I am well aware this beast of prey still has teeth to harm the middle class and poor. Their corporate support is unabated and the money they continue to receive from the looney billionaires who feel oppressed will continue. But being repudiated in much of the world is going to cause the movement many problems most of them long term.

So, I have some hope and a little faith. This may be a turning point in American politics.

James Pilant

Sara Kenigsberg writing in the Huffington Post has a new article:

Occupy Wall Street Protests Ignite Progressive Political Fire In Washington

Leaders at the conference also pressed progressives to focus their energy beyond Obama, highlighting broad dissatisfaction with an administration that has repeatedly derided liberals, dismissing many of the activists present at the conference as “the professional left.” The message from progressive leaders — who included Jones, economist Robert Reich and The Nation publisher Katrina vanden Heuvel, among others — was clear: Neither political party in Washington is listening to working Americans struggling through the worst recession since the Great Depression. Progressives will have to continue hosting events like Occupy Wall Street that bring voters into the streets and pressure political leaders to take action on the jobs crisis. Progressive members of Congress have already taken note, with the Progressive Caucus — the largest alliance of House liberals — endorsing Occupy Wall Street amid the conference cheerleading.

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Why Young Adults Are Walking Away From Church by Christian Piatt

In a column in Huffington Post, Christian Piatt discusses the why behind the exodus of the young from church.

Here’s my favorite paragraph –

Alisa Harris’ memoir, “Raised Right: How I Untangled My Faith from Politics,” reflects on the apparent cultural, spiritual and economic desert time in which we find ourselves. We have witnessed the carnage of a financial system that was intended to perpetually buoy a nation, but whose “invisible hand” has instead crushed the dreams of millions. We’ve watched as the two-headed political serpent attacks itself until it is impotent. We’ve seen religious figures scandalize their institutions empty, as a generation walks away in search of something more relevant to their daily struggle.

Church attendance has fallen dramatically over the last twenty years. In 2005, Protestants represented half those practicing a religion in the United States for the first time.

What’s going on?

I see two trends. The mainline Protestant churches continue to bleed membership. The evangelical movement has hit a wall in recruitment and can neither maintain its growth and or maintain its current numbers. The second trend is new. I suspect that it has a great deal to do with the impact of the political action on a church organization. It is probably a delight to go out and organize precincts handing out conservative literature instead of sitting through a boring sermon, after all, politics is a lot easier than Christianity. But for many the Christian call remains a powerful inducement and a church that acts as a political action committee has little time for gospel issues.

I do not see these trends reversing although I suspect the mainline bleed has to end at some point.

James Pilant

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Free Trade, What a Joke

Beat the Press has a wonderful comment which I print in full below –

Why can’t the NYT just call the trade agreements being sent to the senate “trade” agreements? Why does it feel the need to mislead readers in the headline and several times in the article itself by calling them “free trade” agreements?

These deals do not free all trade. There will still be plenty of protectionist barriers left in place that will make it difficult for doctors, lawyers and other professionals from these countries from working in the United States. Furthermore the deals actually increase protectionism in the areas of patents and copyrights, which is one of their main purposes.

Presumably the NYT approves of these deals which is why it blesses them as “free trade” agreements, but this sort of editorializing should be left to the opinion pages.

He’s absolutely right. Our wonderful corporate press has decided that we must be led by the nose to eat our oatmeal and swallow another free trade deal. The United States will insist that these nations observe our patent and copyright laws however ridiculous they have bccome and in return American corporations will move jobs and money to their countries to escape American law.

Now, if you’re thinking about this, you might say “James, they want to move somewhere with more American law but at the same time with a lot less American law?” Exactly. You see our giant corporate sleaze operation wants other nations to have to protect their intellectual property interests while using them to evade American environmental and labor law.

Some doctrinal looney decided that free trade is always a good thing, and since our media, government and corporate leadership tend to act as a group of not very smart but greedy second graders, we’re going to get shafted again.

James Pilant

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Richard Eskow Explains the Central Demand of the Wall Street Protests – SANITY

Richard Eskow has written an article describing the Wall Street Protestors’ demands in one word – Sanity. Here’s a small sample from the article –

Here’s Occupy Wall Street’s “One Demand”: Sanity

Here’s how insane this country has become. You can find “liberal” pundits and leaders from both parties on every channel who will condemn American homeowners as morally bankrupt and unworthy of help. But the banks they trusted, who sold them mortgages on the false promise that real estate values would rise forever, and who then when on a crime spree, walked away free. And their CEOs are broacast and quoted as they were legitimate, mainstream American voices.

That’s insane.

While the middle class dies and the ranks of the poor swell, this country is talking about cutting the government’s spending. While one home in four is underwater, this country’s worried about the financial health of banks. While we fight two unnecessary wars, war criminals like Dick Cheney are given television platforms as if they were simply representing a different political point of view.

That’s insane.

I find these words compelling. I was reading the news when I came across an article in which Dick Cheney suggested that Barack Obama owed the previous administration an apology for criticizing their abandonment of civilized rules and their willingness to torture suspects. That is the world we live in, a place where we have prosecuted and executed a Japanese during the Second World War for waterboarding Americans but have no historical memory to realize it is a war crime. Currently the new media treats things like war crimes as matters of opinion, not facts based on law.

He’s quite right about the media finding certain points of view unpalatable. If tea party republicans threaten to destroy the credit of the United States it cannot be just their fault but the fault of both parties because that is the media narrative – both sides are corrupt and incompetent, a plague on both their houses. My loathing for the ineffectual Democratic Party can be noted by any reader but I can’t help but notice that in earlier debt ceiling votes the Democrats had no held the country as hostage. However, this simple fact could not be mentioned in media accounts because both sides “must” by definition be at fault.

It’s time for sanity, for reliance on the facts and a willingness to speak them. No she said – he said narrative, in which a media personality with the brain power of a small flower explains the horse race elements of a policy dispute but a real discussion in which the impact on Americans of the middle class are honestly discussed.

We can live in a world where things make sense, where justice matters and the media has a legitimate role to play in the political discussion that does no involve false equivalencies.

I strongly sympathize with the Wall Street Protestors. There is going to be a lot more of this. This is just the beginning. Those that make fun of the American Spring are out of touch with America and history.

History is in motion, not with the tired policies of our current place holder in the White House but with the disaffected and the unemployed, those that know the system no longer works.

James Pilant

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Ethics Roundup, October Second, 2011

I have four entries in the Ethics Roundup this week. I hope you enjoy them.

James Pilant

1. The Ethics Sage has a new post out called –

Deloitte Sued for $7.6 Billion, Accused of Missing Fraud

Steven Mintz writing as the Ethics Sage is appropriately outraged. Let me quote his concluding paragraph –

Are auditors finally going to be held accountable for their role in the financial meltdown? Time will tell but there can be no doubt some must have missed the red flags and, more important, ignored the changing business model and risks inherent in dealing with financial instruments such as sub-prime mortgages and credit default swaps. Auditors are supposed to understand the environment in which their clients operate and use that knowledge and related risk assessment to determine proper audit procedures. It appears that Deloitte failed to do so and there may be other cases waiting in the wings.

2. Chris MacDonald writing in the Business Ethics Blog has a new post called –

Corporations as “People” vs. Corporations as “Persons.”

In this essay, Professor MacDonald explains corporate personhood in its two very different forms.

3. Lauren Bloom writing in her blog, deals with the downside of Henry Ford‘s creations.

Entitled – It’s amazing what can happen in 103 years.

Here’s my favorite paragraph –

Now, just a little over a century later, Americans take for granted the right to cross our country in the comfort of their automobiles, and we can make trips in hours that used to take days. That’s the good news. The not-so-good news is that our nation is crisscrossed with roads and bridges that require regular repair, millions are killed or injured annually in autmobile accidents, our cars are eating up the ozone layer with their toxic emissions, Americans drive instead of walking and, as a result, suffer from record levels of obesity and associated diseases, and traffic jams have become a daily nightmare. (Living in a city that’s earned the dubious distinction of having the worst traffic in America, I should know.)

4. Josephson on Business Ethics and Leadership has a fascinating article up on doctors’ conflicts of interest.

Dollars for Docs – How Industry Dollars Reach Your Doctors.

Best paragraph –

Even though such payments are legal, most medical policymakers agree that they are not ethical.  Special trips, meals, and “educational opportunities” are very common strategies that companies use to create stronger bonds with their clients, and to achieve the basic goal of any business — to sell more. In most industries, such gift-giving doesn’t raise any particular ethical red flags. But in medicine, the person getting the gifts isn’t the person taking the drugs. The person taking the drugs is you. And if your doctor has prescribed you that drug when a different drug – or no drug at all – might be the better choice, then it’s likely you’d want to know about it.

 

 

 

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California breaks from 50-state probe into mortgage lenders – via Los Angeles Times

This is very good news. The five major banks had been negotiating for a very broad immunity from their crimes during these last years of foreclosure. As I have pointed out many times before – here, here and here, signing false affidavits is a crime not a mistake. The banks were falsely swearing before a judge that the documents had been examined and everything was in order so that the cases could go forward. But by simply having a nobody sign a document they insured that people who owned their own homes and people that were up on the payments would be thrown out as well as those in default. That’s the idea behind affidavits, that we avoid injustice. The banks want immunity for having done these things.

The Obama Administration wants a quick settlement and no doubt is looking for “look forward, not back” scenario. I am too. I am looking forward to the day when I look back on the Obama years as an American aberration like the pet rock craze or maybe cabbage patch dolls.

The California Attorney General refuses to go along with the broad immunity agreement and wants more for the citizens of California so cruelly stolen from by these mortgage holders.  Justice has a small victory today.

James Pilant

From the Los Angeles Times

California breaks from 50-state probe into mortgage lenders

California Atty. Gen. Kamala Harris will no longer take part in a national foreclosure probe of some of the nation’s biggest banks, which are accused of pervasive misconduct in dealing with troubled homeowners.

Harris removed herself from talks by a coalition of state attorneys general and federal agencies investigating abusive foreclosure practices because the nation’s five largest mortgage servicers were not offering California homeowners relief commensurate to what people in the state had suffered, Harris told The Times on Friday.

The big banks were also demanding to be granted overly broad immunity from legal claims that could potentially derail further investigations into Wall Street’s role in the mortgage meltdown, Harris said.

“It has been  a process of negotiating and sitting at a table in good faith, but ultimately I have decided that we have to go our own course and take an independent path. And that decision is because we need to bring relief to Californians that is equal to the pain California experienced, and what is being negotiated now is insufficient,” Harris told The Times in an interview.

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Income Inequality Squeezes the Middle Class [via Beat the Press]

Inflation adjusted percentage increase in mean...
Image via Wikipedia

I couldn’t agree more. There is less of the pie for the poor and middle class. No matter what your talents and your willingness to work, how do you compete with a system that distributes income upward toward those who already have the money? Income inequality continues to squeeze the middle class perhaps eventually into its disappearance.

James Pilant

This brief comment is from a posting on Beat the Press entitled –

If Millennials Do Worse Than Their Parents, It Will Be Because Bill Gates‘ Kids Have All the Money

The Washington Post had a column by a millennial columnist complaining about the lack of opportunity. It is striking that the column never once mentioned income inequality.

There is no doubt that millennials will on average be far wealthier than their parents. Output per hour has roughly doubled over the last three decades, meaning that the real wage could be almost twice as high today as it was in 1980. Insofar as the typical millennial is not seeing the benefits of this productivity growth it is due to the fact that so much income has been redistributed upwards, not the result of any generational dynamics.

 

Here’s some more from Mother Jones, the New York Times, and Slate.

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