Bush / GOP

Obama Will Encounter A Changed World, Skeptical Of America's Leadership

Miami - My trip to Chile for the Progressive Goverance Conference was my first trip outside the US since Barack Obama's Inaugration.  I was eager to assess the perception of America in these early days after the terrible Bush Presidency.   I offer some initial impressions from my layover in Miami on the way back to DC: 

The Rest Has Risen, and Want a Seat at the Table - From the end of World War II on America's principal export was our governing model, which I characterize as a committment to democracy, free markets,personal liberty and the rule of law.  With the exception of the Middle East, most regions, governments and people of the world are in the process of adapting some version of this model, of course with varying degrees of success.  The embrace of this model, and what might even be called modernity itself, has helped dozens of countries in eastern Europe and the developing world achieve remarkable growth and societal stability and progress.  To paraphrase Fareed Zakaria, we are witnessing a dramatic rise of the rest, something that FDR and Truman I'm sure dreamed of when they constructed the global architecture that has been so instrumental in ushering in this new era.  And for any American who has traveled to these rising regions in recent years it is an exciting thing to behold.  

But this also means-- and I'm not sure American policy elites have really come to terms with this-- that the management of this global architecture is going to have to change to accomodate these new rising powers.  This sentiment is often voiced in policy circles, but how we actually change organizations like the UN, the World Bank and the IMF - and even make meetings like the G20 less a photo-op and more an actual exchange of ideas among diverse peers - is going to be a true test of America and the Obama Administration.  The days of US-European global leadership are over, and the longer global institutions maintain these overt or implicit arrangements, the less relevant these institutions will be to the rising nations who want - and deserve - a seat at the global table.  

Exporting Chaos -The global financial and economic crisis will end up hastening this new  day in global relations.  What I heard in Chile again and again was that the crisis was an Anglo-American export.  That due to our own recklessness, economic hardship had been exported to a rapidly improving world.  For Americans, this sentiment coming on the heels of Bush's unilateralist foreign policy, leaving many to wonder why our great nation which had for so long exported stability, prosperity and modernity was now in the business of exporting chaos.

Prior to my trip to Chile I had assumed that the American people's utter repudiation of the Republican Party, and their choice of a young inspiring leader would help America regain its proper place as the indispensible nation, the moral, economic and political leader of the world.  But now I am not so sure.  First I'm not so sure the rising powers of the world want to return to a world with a paramount sole superpower.  Their goal is to create a much more multi-polar, distributed and arguably democratic set of power arrangements.  This line of thinking may believe that for America to strongly re-assert itself now could very well block the necessary changes which can result in giving these rising powers a bigger seat at the table, gaining the respect and recognition they want and deserve.  

Second, I think many countries, while admiring of our new President, have a right to wonder about what has happened to that old and virtuous America of previous eras.  The America of this past decade has been a blundering reckless superpower, launching a wildly aggressive invasion of another nation, condoning torture, borrowing and spending imprudently, blocking meaningful action on climate change and now exporting a global economic crisis that is doing significant harm to virtually every society in the world.   The performance of America in the Bush era has rightly given many in the world pause, and there simply is no interest in having that America return to power.  At the G20 and the Summit of the Americas, Barack Obama will confront this new global reality, rising powers deeply skeptical of what America has become, hopeful perhaps about this new President, but no longer content to simply blindly accept the Pax Americana that has governed the world for over 60 years.  

At the end of WWII the American government adopted a strategy to defeat totalitarianism and help the decimated and developing world prosper.  We are today seeing the triumph of that strategy, as an overwhelming majority of nations have chosen a modern path and have seen their people lift themselves up.  But now that they have, a great deal of imagination and hard work will be required to design the next series of strategies to help us manage the affairs of the world, building upon what has been a remarkable era of global progress.  That era will almost certainly see a decrease in American power, something that will be terribly difficult for this nation to accept.  Add this new set of daunting global realities to the already significant set of challenges inherited by our remarkable new President, Barack Obama.

President Obama's Weekly Address

President Obama used his video this week to address the flooding in Minnesota and the Dakotas, and to highlight the themes of effective government combined with individual service and responsibility. First, Obama detailed what his Administration is doing to respond to the crisis:

Even as we face an economic crisis which demands our constant focus, forces of nature can also intervene in ways that create other crises to which we must respond – and respond urgently. For the people of North and South Dakota and Minnesota who live along rivers spilling over their banks, this is one such moment.

Rivers and streams throughout the region have flooded or are at risk of flooding. The cities of Fargo and neighboring Moorhead are vulnerable as the waters of the Red River have risen. Thousands of homes and businesses are threatened.

That is why, on Tuesday, I granted a major disaster declaration request for the State of North Dakota and ordered federal support into the region to help state and local officials respond to the flooding. This was followed by an emergency declaration for the State of Minnesota. And we are also keeping close watch on the situation in South Dakota as it develops.

The Department of Homeland Security and the Federal Emergency Management Agency continue to coordinate the federal response. Homeland Security Secretary Janet Napolitano is helping to oversee federal efforts and she remains in close contact with state officials. Acting FEMA administrator Nancy Ward has been in the region since yesterday to meet with folks on the ground and survey the area herself.

In addition, The U.S. Army Corps of Engineers is assisting in the emergency construction of levees. The Coast Guard is aiding in search and rescue efforts while the Department of Defense is helping to move people and supplies. Members of the National Guard have been activated and are on the scene as well.

This response is in sharp relief with President Bush's inept or indifferent handling of Katrina. It definitively shows that our current President can, in fact, walk and chew gum at the same time, despite the suggestion of many Republicans that he shouldn't be talking or thinking about anything except the economy.

His response should also put to rest the fear of some white Americans, particularly in Appalachia and the deep south, who didn't vote for Obama because they feared he would "favor Blacks over Whites" (see chart for African-American concentration in Minnesota and the Dakotas). This, again, provides sharp contrast with President Bush, who Kanye West famously said "didn't care about black people" after Katrina. At the time, many in the media mocked this statement, but under President Bush, who has now moved from the ranch that Karl Rove had him buy so he could seem more folksy to an all-white gated community in Texas, the wealth gap between whites and African Americans widened to the point where African-American families, on average, now own just one TENTH of the wealth of a typical white family. So much for the "post-racial society" we keep hearing about.

The President also used his address this week to speak about the power of inidividual service, calling the relief effort

...a reminder of what we can achieve when Americans come together to serve their communities. All across the nation, there are men, women and young people who have answered that call, and millions of other who would like to. Whether it’s helping to reduce the energy we use, cleaning up a neighborhood park, tutoring in a local school, or volunteering in countless other ways, individual citizens can make a big difference. 

That is why I’m so happy that legislation passed the Senate this week and the House last week to provide more opportunities for Americans to serve their communities and the country.

The bipartisan Senate bill was sponsored by Senator Orrin Hatch and Senator Ted Kennedy, a leader who embodies the spirit of public service, and I am looking forward to signing this important measure into law.

This echoes many of the themes that NDN fellows Morley Winograd and Mike Hais have discussed recently on this blog, showing yet again that we are entering a new, civic era of American politics.

Watch the video of President Obama's address below:

Brooks Unloads on Republicans, Rep. Kingston Proves His Point

David Brooks today hammers the Republican Party for its wholly inadequate response to the Great Recession and to President Barack Obama's plans for economic recovery:

The Democratic response to the economic crisis has its problems, but let’s face it, the current Republican response is totally misguided. The House minority leader, John Boehner, has called for a federal spending freeze for the rest of the year. In other words, after a decade of profligacy, the Republicans have decided to demand a rigid fiscal straitjacket at the one moment in the past 70 years when it is completely inappropriate.
The G.O.P. leaders have adopted a posture that allows the Democrats to make all the proposals while all the Republicans can say is “no.” They’ve apparently decided that it’s easier to repeat the familiar talking points than actually think through a response to the extraordinary crisis at hand.

If the Republicans wanted to do the country some good, they’d embrace an entirely different approach.

If Republicans were to treat this like a genuine emergency, with initiative-grabbing approaches, they may not get their plans enacted, but voters would at least give them another look. Do I expect them to shift course in this manner? Not really.

Instead of offering reasonable policy choices, Republicans argue that we shouldn't do anything other than try to change a couple banking rules to restore lending. This, and many of Brooks' proposals, shows a deep misunderstanding about the causes of the Great Recession. There were fundamental problems in the American economy long before the financial meltdown, including the stagnation of wages and incomes for everyday Americans, despite strong productivity and GDP growth. This wage-productivity gap had never been seen before in American economics, and, unless policymakers move to create a 21st century economy, recovery will not come the way we'd like. This necessitates, unlike Brooks argues, bold action to restructure much of what was not working.

As an example of the backwards response that Republicans are exhibiting on the economy, enjoy U.S. Rep. Jack Kingston of Georgia on Morning Joe:

Honestly, I’m not sure which part of his argument is more ridiculous, that the President can't walk and chew gum at the same time or that E-verify is more important to economic recovery than building a 21st century economy.

Monday Buzz: GOP's Grief, Millennials' Mettle, More

NDN hit the airwaves (or cable or satellite signals, in this case) in force this week. Rob went on Fox News to talk about the budget, and laid an economic smackdown on John Kasich, former GOP Congressman and Chairman of the House Budget Committee. Check it out:

In addition to his appearance on Fox, Rob had a great article published in the Huffington Post this week. 

Simon also went on MSNBC's News Today with Norah O'Donnell to discuss the Republican Party's lack of credible leadership:

Finally, NDN Fellow Morley Winograd was featured in an article in the Houston Chronicle and the Dallas Morning News. From the article, by Gregory Rodriguez:

...Morley Winograd, coauthor of Millennial Makeover: MySpace, YouTube and the Future of American Politics, has no such concerns. "This is not an embittered and cynical generation," he said. "Although they did tend to be protected as children, they were also taught to compete and to perform. This will only make them more determined."

GOP Economic Policy as an Exercise in Grief Management: Denial, Anger & Rush Limbaugh

The leaders of the Republican Party, reeling from their painful string of defeats, seem stuck in two of the classic stages of grief, denial and anger. This week, Rush Limbaugh replaced Bobby Jindal as the leading and most colorful example. Limbaugh may seem like too easy a target, since talk radio always tends toward hyperbole. Nonetheless, the essence of the message from the presumptively addled Mr. Limbaugh is that Americans would be better off if the President’s economy program failed. Even if their homes slip into foreclosure and their kids have to drop out of college, American families would at least escape the degradations of “socialism” or, as another popular conservative pundit put it, “left fascism” (that’s from the hard-right blogger and historian, Ron Radosh).

The rhetorical excesses of talk radio and the Web would hardly be noteworthy, if the same strain of non-thinking didn’t also dominate the Republican Party’s current economic positions. Let’s set the stage: of the three natural sources of demand in a market economy, consumers have stopped spending, businesses have stopped investing, and exports have fallen off the proverbial cliff. That leaves government stimulus as the only possible source of new demand to at least slow the accelerating downward momentum of the economy and most of the people in it. Perhaps the best explanation, then, for why every Republican in the House and all but three GOP senators voted “no!” on the President’s stimulus is, well, denial and anger.

To be sure, economic ideology almost certainly plays a role here, too, on top of their denial (about the consequences) and anger (about no longer calling the shots). This came through vividly at a conference I attended earlier this week for the National Chamber Foundation. My panel was asked to talk about whether the Administration’s plans foreshadowed a permanent change in the relationship between the public and private sectors. Set aside the fact that the leaders of the central private institutions in this drama, big finance, have begged Washington to amend that relationship long enough to preserve their jobs and the assets of their bond holders. 

At the panel, a well-turned-out executive from a major private equity company (and former Bush Treasury official) laid out what once could have been the reasonable conservative position -- stimulus weighted to tax cuts, a banking rescue that avoids taking over anybody (or dictating anybody’s compensation), and tax-based measures to reduce foreclosures. As a matter of economics, he got his targets right, even if his approaches are weaker than those favored by the Administration. But at least his response suggested that he wants the economy to recover, regardless of who gets the credit. 

Not so from the other member of the panel, Brian Westbury, who on top of being an economist with a Midwestern financial advisory is also the economics editor of the American Spectator and a frequent writer for the Wall Street Journal. He provided an economic-cum-ideological gloss for the denial and anger expressed by the flamboyantly-frustrated Mr. Limbaugh. Westbury’s prescription was no stimulus, no banking rescue and no program for foreclosures. The only constructive government action he could imagine was to jettison current “mark-to-market” rules. Those rules say that the balance sheets of banks and public companies have to reflect the actual market value of their assets and liabilities. So, for example, when a mortgage-backed security goes bust, you have to write down its value while preserving the liability of the money borrowed to purchase it and still owed. 

In this view, none of what seems so important to the rest of us -- collapsing demand, investment and trade, huge job losses, rising bankruptcies -- matters for government policy.  The only thing Washington should do here is to change how the financial losses from these events are reported. This isn’t economics; it’s a prescription that follows from a hard-edged ideological view that government can do nothing of value for an economy, regardless of conditions.   

Unhappily, this cramped understanding isn’t limited to the pages of the American Spectator and the Wall Street Journal op-ed page. Bobby Jindal put the Republican Party on record for much the same view in his awkward response to the President’s address to Congress. He even cited the colossal inadequacies of the Bush Administration’s response to Katrina as proof that the private sector is always the best answer to any problem or catastrophe -- even if it’s under water at the time.

I honestly can’t believe that they’re really so dull-witted. A better explanation for Jindal and Limbaugh, along with commentators like Westbury and Radosh, is that they’re still grappling with the grief of losing the support of the American people -- and the power that came with it. They’re stuck in denial and anger. And that’s a very bad position from which to consider the best policies for a nation and world economy in crisis.   

Leonhardt: Story of the Great Recession Not Nearly Written

Across the upper five percent of America, there's some sense that this Great Recession, as NDN's Dr. Robert Shapiro labeled it in December, just isn't really that bad. Sure, stocks are taking a hit and the financial sector is hurting, but we've been there before. In the New York Times, David Leonhardt lays out how bad this Great Recession really is, and who it has hurt the most, to this point.

What does the worst recession in a generation look like?

It is both deep and broad. Every state in the country, with the exception of a band stretching from the Dakotas down to Texas, is now shedding jobs at a rapid pace. And even that band has recently begun to suffer, because of the sharp fall in both oil and crop prices.

Unlike the last two recessions — earlier this decade and in the early 1990s — this one is causing much more job loss among the less educated than among college graduates. Those earlier recessions introduced the country to the concept of mass white-collar layoffs. The brunt of the layoffs in this recession is falling on construction workers, hotel workers, retail workers and others without a four-year degree.

The Great Recession of 2008 (and beyond) is hurting men more than women. It is hurting homeowners and investors more than renters or retirees who rely on Social Security checks. It is hurting Latinos more than any other ethnic group.

Leonhardt tells us that could all soon change:

You often hear that recessions exact the biggest price on the most vulnerable workers. And that’s true about this recession, at least for the moment. But it isn't the whole story. Just look at Wall Street, where a generation-long bubble seems to lose a bit more air every day.

In the long run, this Great Recession may end up afflicting the comfortable more than the afflicted.

He points out that the collapse of the financial sector will hurt the wealthy and ultimately lead to a smaller Wall Street. (The same dynamic will ultimately help young families, allowing them to buy into the financial and housing markets at the bottom.) Government policy will reduce inequality. And, most importantly for expanding the economic pie, the nation's unemployed will turn to education, if they can. Community colleges are already feeling budget crunches across the country, especially in the areas where they’re most needed.

There seems to be, amongst conservatives in Congress and the Rick Santellis of the world, a sense that the Great Recession just isn't that bad. They shout "Moral Hazard" as we try and stabilize the housing market, and they cry about deficits that didn't matter to them when the last Administration launch an optional war and ideological tax cuts. But Leonhardt tells us that they're about to start feeling it.

And, even if they aren't big fans of some of the President's plans, let's hope they can work with him to do the one thing we know will grow the economy for everyone in the long term – build a 21st century education system to create the workforce for the next great expansion.

Monday Buzz: Goodbye Gregg, Globalization, and More

On Friday, I posted some of our recent breakthroughs in the media, including Morley Winograd and Mike Hais's piece in the National Journal and Simon's commentary on Judd Gregg's withdrawal in the Huffington Post, the Economist, the Guardian, the Washington Post, and the Hill. That commentary picked up more steam over the weekend, appearing in Gather and even the Spanish-language Sendero de Peje. From the original Huffington Post feature piece:

During the Clinton administration, Judd Gregg fought hard to deny the Commerce Secretary the ability to use the latest techniques to ensure the most accurate Census count. The goal of this effort was to make it harder for the Census to count minorities, young people and the poor, groups the Republicans do not view as part of their coalition.

Rob's last blog post was also picked up by Reuters and internationally syndicated, appearing in papers worldwide. From the Reuters article:

Some economists argue globalisation, in the sense of the increasing integration of different countries in the world economy, is the cause, acting as a transmission belt from one suffering economy to the next.

"With globalisation, the world can suffer the central cost of protectionism -- a deep fall in trade -- without passing any new laws or regulations," Robert Shapiro, head of progressive think tank NDN's globalisation initiative, said in a blog.

...

"The crux of it is that as the share of what the world produces that's traded across borders rises -- 18 percent of worldwide GDP was traded in 1990, compared to 30 percent in 2006 -- a serious recession in a few large places moves quickly around the world, driving down global trade," said Shapiro of NDN, a former undersecretary in the U.S. Commerce Department.

In other words weak demand in one country increasingly affects others because they are more dependent on exports.

Friday Buzz: Judging Judd, Millennial Tremors, More

Simon's commentary on Senator Judd Gregg's surprise withdrawal of his nomination for Commerce Secretary yesterday was featured in the Huffington Post, the Economist, the Guardian, the Washington Post, and the Hill. From the Economist:

Simon Rosenberg, a Democratic strategist, cheers the news because Mr Gregg had opposed a census reform that might have counted more minority voters, and the census is typically under the Department of Commerce's purview (although this would have been changed had Mr Gregg served).

From Michael Tomasky of the Guardian:

So Gregg was mad, apparently, but there's a back story here. Simon Rosenberg of the Democratic-leaning group NDN, and a former Clinton White House staffer, wrote on his blog:

During the Clinton Administration, Judd Gregg fought hard to deny the Commerce Secretary the ability to use the latest techniques to ensure the most accurate Census count. The goal of this effort was to make it harder for the Census to count minorities, young people and the poor, groups the Republicans do not view as part of their coalition.

And from Chris Cillizza's "The Fix" in the Washington Post:

"The longer the Washington Republican Party holds on to old plays from an old political playbook, fighting a popular Democratic President and a whole new set of 21st century political realities, the more likely they are to suffer in the eyes of the American people," predicted Simon Rosenberg, the head of NDN, a progressive think tank.

NDN Fellows Morley Winograd and Mike Hais were also quoted in a great National Journal piece by Ron Brownstein, "Millennial Tremors" (which would also be a sweet name for the 5th sequel). From the National Journal article:

Generational comparisons can simplify, but early indications are that Millennials may balance idealism and pragmatism better than either Baby Boomers (who have favored the former, at times to self-righteous extremes) or Generation X-ers (who have often had trouble rising above self-interest). Morley Winograd and Michael Hais, fellows at the Democratic advocacy group NDN and co-authors of the perceptive book Millennial Makeover, say that Millennials display the group-oriented values of a "civic generation" like the fabled "GI Generation" that surmounted the Depression and won World War II. Civic generations (a phrase originated by authors William Strauss and Neil Howe) tend to favor "inclusive solutions" that "accomplish results without ... ideological argument," Winograd says.

NDN Event, Thur Feb 19th: Making the Case for Passing Immigration Reform This Year

On Thursday, February 19, from 11:30 a.m. to 1 p.m., please join NDN and a strong group of thoughtful presenters as we make the case for why Congress can, and should, pass Comprehensive Immigration Reform this year.

The panel will feature Simon Rosenberg of NDN, Rick Johnson of Lake Research, Pete Brodnitz of the Benenson Strategy Group, Janet Murguia of National Council of La Raza (NCLR), and Frank Sharry of America's Voice. Andres Ramirez, NDN Vice President for Hispanic Programs, will moderate the discussion. Lunch will be served at the NDN offices at 729 15th St, NW, between H Street and New York Avenue.  Please click here to RSVP. More information on the panelists is below: 

Simon Rosenberg is President of NDN, a leading progressive think tank and advocacy organization. Rosenberg has worked in national politics and the media world for more than 20 years. He started his career in network television, as a writer and producer at ABC News for five years, before working on the Dukakis and Clinton presidential campaigns. He has been a leader in creating a 21st century progressive movement, an influential champion of a new and more modern agenda for the nation, and an innovator in helping progressives use new tools and media to communicate with rapidly growing demographic groups such as Hispanics and Millennials.

Rick Johnson is a Vice President at Lake Research Partners, where he has designed, conducted and analyzed public opinion research for a number of clients. In addition, he has worked with candidates at all levels of the political process. Johnson joined LRP in 2004 after working for General Mills in Minneapolis and also has worked as an independent consultant providing distribution and competitive intelligence research to European confections companies, for Market Facts (now Synovate) creating new market research tools, managing their diary business and managing their joint ventures, and for the Gallup Organization.

Pete Brodnitz is a Principal at Benenson Strategy Group. Brodnitz brings almost two decades of research experience to his clients, ranging from heads of state on three continents to domestic political work at all levels (from nationwide to municipal and state legislative), to Fortune 500 corporate research and work with non-profits.  Brodnitz has also conducted polling for Democratic-leaning issue advocacy groups such as the New Democratic Network (NDN), the Third Way Foundation, the Brookings Institution and the Service Employees International Union (SEIU), as well corporate clients such as Google.org, Microsoft, Novartis, ESPN, and TIAA-CREF. 

Janet Murguía has become a key figure among the next generation of leaders in the Latino community. Since January 1, 2005, she has served as the President and Chief Executive Officer of the National Council of La Raza (NCLR), the largest national Hispanic civil rights and advocacy organization in the United States.  Murguía's public service, which began as legislative counsel to former Kansas Congressman Jim Slattery, then in the White House from 1994 to 2000, ultimately serving as deputy assistant to President Clinton, is complemented by her extensive political experience having served as deputy campaign manager and director of constituency outreach for the Gore/Lieberman presidential campaign.

Frank Sharry is Founder and Executive Director of America's Voice, an organization he created to focus on communications and media as part of a renewed effort to win comprehensive immigration reform. Prior to heading America's Voice, Frank served as Executive Director of the National Immigration Forum for 17 years. The Forum, based in Washington D.C., is one of the nation's premier immigration policy organizations, and has been at the center of every major legislative and policy debate related to immigration for the past quarter of a century.

Immigration and the Economy: Start-ups vs. Bailout, Greencards vs. Greenbacks

"Dear America, please remember how you got to be the wealthiest country in history. It wasn't through protectionism, or state-owned banks or fearing free trade. No, the formula was very simple: build this really flexible, really open economy, tolerate creative destruction so dead capital is quickly redeployed to better ideas and companies, pour into it the most diverse, smart and energetic immigrants from every corner of the world and then stir and repeat, stir and repeat, stir and repeat, stir and repeat."

A New York Times op-ed today by Tom Friedman - quoted above - brings up some interesting points.  Enjoy

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