NDN Blog

In his address this week, President Barack Obama focused on one of the two major reform measures currently being debated in Congress: Health Care. Facing dual challenges of cutting costs and expanding coverage, Obama had this to say about the necessity of health care reform:

I'm talking about the families I've met whose spiraling premiums and out-of-pocket expenses are pushing them into bankruptcy or forcing them to go without the check-ups or prescriptions they need.  Business owners who fear they’ll be forced to choose between keeping their doors open or covering their workers.  Americans who rightly worry that the ballooning costs of Medicare and Medicaid could lead to fiscal catastrophe down the road.

Simply put, the status quo is broken.  We cannot continue this way.  If we do nothing, everyone’s health care will be put in jeopardy.  Within a decade, we’ll spend one dollar out of every five we earn on health care – and we’ll keep getting less for our money.

That’s why fixing what’s wrong with our health care system is no longer a luxury we hope to achieve – it’s a necessity we cannot postpone any longer.

Watch the whole thing for yourself:

News came yesterday that the bill containing coverage for the line of credit being extending to the IMF is being slowed because some sadly misinformed members of Congress are concerned that the money is, "a bailout that could line the pockets of terrorist regimes around the world." (John Boehner, courtesy of The Hill.) This scare tactic with no basis in reality would be funny, if the IMF money weren't going to be used in large part to maintain stability in fragile countries in the midst of a global economic crisis. Of course, it's that instability in fragile countries that could actually lead to terrorism.

In the spirit of educating on international economics, please find today's economic backgrounder:

• Douglas Alexander Delivers Major Speech on Conflict, Fragility, and Development, 4/27/2009 - Alexander, the United Kingdom's Secretary of State for International Development, argued that governments aiding failed and fragile states must do more than work to support economic growth and provide basic services such as clean water, health and education; they must now "support political institutions and processes -- parliaments, political parties, civil society and the media."

• The Politics of the Bottom Up Go Global by Simon Rosenberg, 4/3/2009 - Rosenberg, reflecting on President Obama's town hall in Strasbourg, writes that Obama has begun the transformation from President of the United States to the paramount leader of the world's peoples.

• Shapiro Speaks on G-20, Need for Global Economic Action, 4/1/2009 - At an NDN event on "The G-20 and Beyond: Challenges Facing the Global Economy," Shapiro delivered wide-ranging comments on the global Great Recession, its causes, and the global leadership necessary to combat it. The event also featured U.S. Rep. Adam Smith, Foreign Policy magazine Editor-in-Chief Dr. Moisés Naím. 

• U.S. Rep Adam Smith at The G-20 Summit and Beyond, 4/1/2009 - Ahead of the G-20 Summit, Smith, a Congressional leader on trade, terrorism, and international development, speaks on international trade and the need for a globally coordinated development strategy.

• The Fallout of the Great Recession for Trade by Dr. Robert Shapiro, 2/11/2009 - Shapiro argues that the world is currently experiencing the economic symptoms of protectionism without actual protectionist measures being put in place, which could have dangerous consequences for the global economy.

• Recovery Without E-verify and Buy American by Simon Rosenberg, 2/10/2009 - Rosenberg advocates for the removal of "Buy American" and E-verify provisions from the stimulus, provisions that will not stimulate the economy and will do more harm than good. 

• The Global Economic Crisis and Future Ambassadorial Appointments by Simon Rosenberg, 11/26/2008 - With the mammoth task of rebuilding international financial architecture and recovering from a global recession awaiting the new President, Rosenberg points out the the ambassadors to the G20 nations will be key members of the economic team.

• Harnessing the Mobile Revolution by Tom Kalil, 10/9/2008 - Tom Kalil, now the Associate Director for Policy of the White House Office of Science and Technology, authored this paper for the New Policy Institute. The paper argued that mobile communications technology can be a powerful tool for addressing some of the greatest challenges of the 21st century.

• The Idea-Based Economy and Globalization: The Real Foundations of American Prosperity in the 21st Century by Dr. Robert Shapiro, 1/23/2008 – In this important paper, NDN Globalization Initiative Chair Dr. Robert Shapiro examines how and why U.S. companies and workers lead the world in developing and applying new intellectual property, and why this leadership in innovation constitutes a critical U.S. advantage in globalization.

• The New Landscape of Globalization: The Real Foundations of American Prosperity in the 21st Century by Dr. Robert Shapiro, 6/20/2007 – Shapiro offers this forward-looking paper on the current state of globalization and how America can thrive in this new economic era.

In case you haven't seen it, take a look at GM's new ad.

Also, Simon had this to say about some of America's great, but now imperiled, brands.

With General Motors filing for bankruptcy this morning, and the federal government taking a 60 percent stake in the company, NDN offers some recent thinking on the American automobile industry.

• Fuel Economy in Context by Michael Moynihan, 5/19/2009 - Moynihan welcomes the Administration's steps on fuel economy, but points out that CAFE standards are imprecise tools that must be viewed as part of a larger series of complex policies.

• Here in the Real World They're Shutting Detroit Down by Morely Winograd and Mike Hais, 4/30/2009 - NDN Fellow Winograd and Hais pont out that GM's problems come at a time when the inherent tension between the investor class and the country's manufacturing sector have never been greater.

• Should We Try to Save the Damaged Brands? by Simon Rosenberg, 4/30/2009 - Rosenberg asks if these mainstay, now troubled American brands - AIG, Chrysler, Citi, GM - can be saved by being propped up by the government or if their brands are permanently insolvent.

• The Administration Goes Out on a Limb for GM -- and the Rest of Us by Robert Shapiro, 4/29/2009 - Shapiro says that the Obama Administration's plans for General Motors are a dismal idea, except for all the alternatives.

• China, the World's Largest Car Market and the Future of the Electric Car by Michael Moynihan, 4/10/2009 - Moynihan argues that a robust American auto industry is crucial for the US to compete with China in the growing electric car market.

• Carbonomics by Michael Moynihan, 4/2/2009 - Moynihan looks at the connection between pricing carbon and the future of the American automobile industry.

• Cars, Banks and the Future of the Clean Economy by Michael Moynihan, 3/31/2009 - Moynihan argues that to rebuild the economy we need more engineering and less financial engineering.

• Lessons from Detroit: 10 Years Later, the Overhaul of the Domestic Auto Industry and Its Parallels with the Republicans' Problem by Morely Winograd and Mike Hais, 3/30/2009 - Winograd and Hais find the similarities between Detroit's failure to change and the Republican Party's woes.

• Sympathy for the Car Guys by Michael Moynihan, 12/5/2008 - Moynihan compares Capitol Hill's treatment of Wall Street CEOs to that of the automakers.

• If Detroit Goes Down, Will It Take the Economy -- and the GOP -- With It? by Robert Shapiro, 11/19/2008 - Shapiro argues that the Bush Administration's mismanagement of the economic crisis has driven the auto industry into an impossible situation.

Even as GM files for bankruptcy, the economy has faded to the background, with the nomination of Judge Sotomayor taking up most of the oxygen in the political media this week. That said, it is crucial that we continue our focus on the economy and the struggle of everyday people. We have lately seen, with the automakers, climate and energy legislation, and a variety of other economic initiatives, policy coming to what might be considered a bad solution - except for all the alternatives. As was recently said about everyday in the Treasury Department: it seems like there are no good choices right now, only less-bad ones. On top of the lack of good ideas, the Republican party has chosen to make itself irrelevant, opting for its failed race-based playbook and no new ideas.

• Conservative Republicans "Just Say No" Approach Shortchanges Critical Economic, Sotomayor Debates by Dr. Robert J. Shapiro, 5/28/2009 - Shapiro points out the the Republican approach to Sotomayor is the same as their approach to the economy - just saying no. The effects are the same as well: more political problems for a decimated party and a worse-off country.

• Fuel Economy in Context by Michael Moynihan, 5/19/2009 - Moynihan welcomes the Administration's steps on fuel economy, but points out that CAFE standards are imprecise tools that must be viewed as part of a larger series of complex policies.

• The Courage, Cunning and Shortcomings of the Administration's Health Care Plans by Dr. Robert J. Shapiro, 5/14/2009 - The Administration’s health care focus, goals and priorities are right in the ways that matter. Now they need to provide a more detailed blueprint of how they intend to reach those goals and achieve those priorities.

• Cap and Market This Year by Michael Moynihan, 5/14/2009 - Moynihan argues that those who care about enacting serious climate change legislation should embrace the compromise on permit allowances, as Waxman-Markey is the only bill with the chance of passing this year.

• The Economic Conversation Enters a New Phase: Putting Consumers Front and Center Now by Simon Rosenberg, Huffington Post, 5/14/09 - Rosenberg writes that the Administration's turn in the national economic conversation from the plight of big institutions and the financial system to what is perhaps the most important part of the story of the Great Recession still is not adequately understood - the weakened state of the American consumer prior to the recent recession and financial collapse.

• Should We Try to Save the Damaged Brands? by Simon Rosenberg, 4/30/2009 - Rosenberg asks if these mainstay, now troubled American brands - AIG, Chrysler, Citi, GM - can be saved by being propped up by the government or if their brands are permanently insolvent.
• Spend? Save? The debate continues by Simon Rosenberg, 2/11/2009 - Building on a previous post, Rosenberg follows the growing debate about whether American families should be focusing on saving.

• The Utter Bankruptcy of Today's Republican Party by Simon Rosenberg, 1/28/09 - Rosenberg argues that Republican opposition to the economic recovery package represents the ideological bankruptcy of the party.
• A Stimulus for the Long Run by Simon Rosenberg and Dr. Robert Shapiro, 11/14/2008 – This important essay lays out the now widely agreed-upon argument that the upcoming economic stimulus package must include investments in the basic elements of growth for the next decade, including elements that create a low-carbon, energy-efficient economy.

• Making the Struggle of Every Day People the Central Focus of the National Debate by Simon Rosenberg, 8/17/2008 - As the 2008 presidential campaign entered a crucial phase, Rosenberg argued that political leaders must focus on raising the wages and incomes of Americans.

NDN's Dr. Rob Shapiro recently discussed on how the Great Recession has created protectionism without passing any protectionist laws. In today's Wall Street Journal, British Prime Minister Gordon Brown writes to American audience, arguing that, "The collapse of global trade is the most immediate issue we face. We must show once again our determination to fight back." An excerpt:

The simple truth is that trade is the most serious casualty of the global financial crisis, with a vicious circle emerging of falls in exports leading to falls in production and rising job losses leading to further falls in consumer demand, exports, etc. We used to think that the countries most affected by the global financial crisis would be those with the largest financial sectors. But it has become increasingly clear that the countries hardest hit are those most reliant on exports.

...

Developing countries have been particularly hard hit as a result of declining world trade and falling commodity prices. Some 100 million more people are in poverty as a result of the crisis. All the progress we have made to reduce poverty is in danger of being wiped out.

Just a few months ago, the WTO forecast global trade to fall by 9% in 2009. In simple terms, a banking crisis has become a trade crisis.

There can be no recovery in the global economy without a revival of world trade. Trade was the driver of postwar recovery in Japan, Germany, the rest of Europe and the U.S., and the engine of growth in Asia in recent decades. We must ensure that a revival of world trade leads the global economy once again out of recession.

More here.

As readers of the blog probably know, NDN has long advocated a proposal from our own Dr. Robert Shapiro that would offer free computer training to all Americans through the nation's community colleges. House Democratic Caucus Chair John Larson recently offered a bill based on that proposal - H.R. 2060, The Community College Technology Access Act of 2009.

I'm pleased to inform you that H.R. 2060 is recieving strong, bipartsian support in the House. Here are the 25 cosponsors:

Rep Bordallo, Madeleine Z. [GU] - 4/23/2009
Rep Castle, Michael N. [DE] - 4/27/2009
Rep Costello, Jerry F. [IL-12] - 4/27/2009
Rep Edwards, Donna F. [MD-4] - 4/23/2009
Rep Ehlers, Vernon J. [MI-3] - 4/23/2009
Rep Grayson, Alan [FL-8] - 4/27/2009
Rep Hare, Phil [IL-17] - 4/23/2009
Rep Himes, James A. [CT-4] - 4/23/2009
Rep Honda, Michael M. [CA-15] - 4/23/2009
Rep Kennedy, Patrick J. [RI-1] - 4/28/2009
Rep Kilpatrick, Carolyn C. [MI-13] - 4/23/2009
Rep Markey, Betsy [CO-4] - 4/23/2009
Rep Matsui, Doris O. [CA-5] - 4/23/2009
Rep McGovern, James P. [MA-3] - 4/23/2009
Rep Miller, Brad [NC-13] - 4/23/2009
Rep Murphy, Patrick J. [PA-8] - 4/23/2009
Rep Napolitano, Grace F. [CA-38] - 4/23/2009
Rep Polis, Jared [CO-2] - 5/6/2009
Rep Reyes, Silvestre [TX-16] - 5/4/2009
Rep Ros-Lehtinen, Ileana [FL-18] - 5/18/2009
Rep Ross, Mike [AR-4] - 4/23/2009
Rep Sablan, Gregorio [MP] - 4/23/2009
Rep Sestak, Joe [PA-7] - 4/23/2009
Rep Smith, Adam [WA-9] - 4/23/2009
Rep Wu, David [OR-1] - 4/23/2009

Urge your member (or boss) to get on board with H.R. 2060 - it's key to creating a 21st century economy.

This week, the White House release results of the "stress tests" and President Obama presented a vision for retraining the American workforce. NDN is pleased to present a number of recommended pieces on rebuilding the financial system, the American workforce, the housing market, and a number of other important items on America's economic future.

• Short Sales and the Market Meltdown by Dr. Robert Shapiro, 5/7/2009 - Reflecting on a recent speaking engagement with SEC commissioners, Shapiro argues for additional regulation of short sales.

• Obama: Upgrade Worker Skills Through Community Colleges by Jake Berliner, 5/5/2009 - In a recent interview, President Obama advocated using the nation's community colleges as a resource for worker IT training, an NDN proposal that Rep. John Larson introduced as legislation.

• Should We Try to Save the Damaged Brands? by Simon Rosenberg, 4/30/2009 - Rosenberg asks if these mainstay, now troubled American brands - AIG, Chrysler, Citi, GM - can be saved by being propped up by the government or if their brands are permanently insolvent.

• The Administration Goes Out on a Limb for GM -- and the Rest of Us by Dr. Robert Shapiro, 4/29/2009 - Shapiro says that the Obama Administration's plans for General Motors are a dismal idea, except for all the alternatives.

• The Housing Crisis and Our National Attititudes Toward Saving by Dr. Robert Shapiro, 4/17/2009 – Shapiro observes that, as a result of the burst of the housing bubble, the Millennial generation will likely be more interested in saving than investing in homes.

• Time to Face the Facts: The Economy Probably Won’t Get Better For Quite a While by Dr. Robert Shapiro, 4/9/2009 – Shapiro's most recent economic analysis says that the economy could be stuck in the Great Recession for long period of time, and that a v-shaped recovery is unlikely.

• Carbonomics by Michael Moynihan, 4/2/2009 - Moynihan looks at the connection between pricing carbon and the future of the American automobile industry.

• Spend? Save? The debate continues by Simon Rosenberg, 2/11/2009 - Building on a previous post, Rosenberg follows the growing debate about whether American families should be focusing on saving.

• The Utter Bankruptcy of Today's Republican Party by Simon Rosenberg, 1/28/09 - Rosenberg argues that Republican opposition to the economic recovery package represents the ideological bankruptcy of the party.

• The Global Economic Crisis and Future Ambassadorial Appointments by Simon Rosenberg, 11/26/2008 - With the mammoth task of rebuilding international financial architecture and recovering from a global recession awaiting the new President, Rosenberg points out the the ambassadors to the G20 nations will be key members of the economic team.

• A Stimulus for the Long Run by Simon Rosenberg and Dr. Robert Shapiro, 11/14/2008 – This important essay lays out the now widely agreed-upon argument that the upcoming economic stimulus package must include investments in the basic elements of growth for the next decade, including elements that create a low-carbon, energy-efficient economy.

• Accelerating the Development of a 21st Century Economy: Investing in Clean Infrastructure by Michael Moynihan, 10/18/2008 – NDN Green Project Director Michael Moynihan outlines a strategy for investing in clean infrastructure that will help create long-term prosperity.

• Back to Basics: The Treasury Plan Won't Work by Dr. Robert Shapiro, 9/24/2008 - As the financial crisis unfolded and the Bush Administration offered its response, Shapiro argued that, while major action was needed, the Treasury's plan would be ineffective.

• Keep People in Their Homes by Simon Rosenberg and Dr. Robert Shapiro, 9/23/2008 – At the beginning of the financial collapse, NDN offered this narrative-shaping essay and campaign on the economic need to stabilize the housing market.

• Making the Struggle of Every Day People the Central Focus of the National Debate by Simon Rosenberg, 8/17/2008 - As the 2008 presidential campaign entered a crucial phase, Rosenberg argued that political leaders must focus on raising the wages and incomes of Americans.

In the now oft-quoted and talked about David Leonhardt interview of President Barack Obama in this weekend's edition of the New York Times Sunday Magazine, Obama made an argument about worker skills that we here at NDN quite enjoyed:

I think everybody needs enough post-high-school training that they are competent in fields that require technical expertise, because it’s very hard to imagine getting a job that pays a living wage without that — or it’s very hard at least to envision a steady job in the absence of that.

And so to the extent that we can upgrade not only our high schools but also our community colleges to provide a sound technical basis for being able to perform complicated tasks in a 21st-century economy, then I think that not only is that good for the individuals, but that’s going to be critical for the economy as a whole.

NDN couldn't agree more. In fact, just two weeks ago, House Democratic Caucus Chairman John Larson introduced H.R. 2060, The Community College Technology Access Act of 2009, which is based on a paper written in 2007 by NDN Globalization Initiative Chair Dr. Robert Shapiro called Tapping the Resources of America’s Community Colleges: A Modest Proposal to Provide Universal Computer Training. The legislation offers free computer training to all Americans through the already existing infrastructure of the nation's approximately 1,200 community colleges.

President Obama has a long track record of supporting such proposals. During the presidential campaign, then-Senator Obama endorsed the idea as part of his platform, and we're pleased to see that the idea of community colleges as a crucial resource for improving worker skills is in his agenda for creating economic prosperity.

This proposal is part of a broader argument that NDN has been making for some time, that in the globalized, interconnected, technology-dense 21st century economy, facility with and connectivity to the global communications network is central to the life success of any worker or child. The 21st century economy is idea-based, in that most of the value of the large companies at the center of U.S. economy is now determined not by their physical assets, but by their intellectual property. Thriving in such an economy requires 21st century skills.

This argument is expounded upon in a paper written by NDN President Simon Rosenberg and Alec Ross, then with the One Economy and now a Senior Advisor on Innovation to Secretary of State Hillary Clinton, that would put A Laptop in Every Backpack of American sixth graders. Additionally, Tom Kalil, now Associate Director for Policy of the White House Office of Science and Technology, continued this narrative, authoring a paper entitled, Harnessing the Mobile Revolution, for NDN’s affiliate, the New Policy Institute. This paper argued that the explosive growth of mobile communications can be a powerful tool for addressing some of the most critical economic, political, and social challenges of the 21st century.

Stay tuned to NDN's Globalization Initiative for additional work on 21st century skills and technology. We believe, just as President Obama started to spell out in his recent interview, that tapping the resources of America's community colleges, putting a laptop in every backpack, and ultimately connecting all Americans and the rest of the world to the global communications network can and must be a hallmark of the economic agenda going forward.

In is weekly YouTube address, President Barack Obama explains what the federal government is doing to combat the spread of H1N1 and why they are doing it.

Obama also notes the very Web 2.0 steps the White House is taking to keep the American people informed about the spreak of H1N1. These very practical applications of social networking and twitter have been a great way to demonstrate the applicability of these new political tools to governing. Good information is key to both combatting the spread of disease and avoiding panic about it.