Democracy and Corruption

I wrote this in May, June 2017 but it was never published. I’m getting around to posting it now.

How Did Trump Happen To Us?

How did Trump happen to us?

We are experiencing a shock and awe attack. Every single day we face a flood of terrible things being pushed at us so fast that we do not have time to react. Our system and commons and norms and standards and protections and rule of law are rapidly being dismantled. We are overwhelmed, exhausted, our spirits wear down, we don’t know what to do. Worse, the country risks normalization and eventual acceptance of the cruelty and insanity coming from the top.

Will we get out of this? With the nuclear codes in the hands of a crazy, egomaniacal, racist, malignant narcissist, will we live another year? If we’re alive will we be in jail?

Our wonderful American experiment in government of, by and for We the People is at – perhaps is past – a turning point. We formed this country by breaking from a system of government of, by and for wealthy aristocrats when in the course of human events it became necessary to sever those ties and declare that we are all created equal. Our country was tested and endured, the unfinished work was advanced, government of, by and for the people continued. We understood that a great democracy has got to be progressive or it will soon cease to be great or a democracy. We were working toward freedom from want and fear, toward the right to earn enough to provide adequate food and clothing and the right of every business, large and small, to trade in an atmosphere of freedom from unfair competition and domination by monopolies and the right of every family to a decent home, adequate medical and adequate protection from the economic fears of old age, sickness, accident, and unemployment. As we recommitted to the same revolutionary beliefs for which our forebears fought we asked what we can do for our country. We tried to have the wisdom to use that wealth to enrich and elevate our national life, building upward toward a Great Society where people serve not only the needs of the body and the demands of commerce but the desire for beauty and the hunger for community. We looked uneasily on the glaring contrast of poverty and wealth. We pushed and pushed to be free at last, free at last. We thought we saw hope and change at the end of the Rainbow Coalition.

But now… “American carnage” reigns.

Trump didn’t just come from nowhere. This has been a long time coming.

Democracy Off the Rails

How many engines of our democracy have gone off the rails to enable a Trump? How many institutions have been compromised or failed? How many norms and standards have fallen away? How much has rule of law became rule of men and money? How deeply has our trust, confidence and understanding of democracy been corroded?

How did this happen to us?

Trump didn’t just come out of nowhere. The road to Trump goes back a long way. Trump comes out of a steady and intentional undermining of rule of law, norms, equality, civility and democracy.

Trump also comes out of a steady and intentional erosion of trust and confidence in government of, by and for We the People. Trump follows ‘W’ Bush who followed Reagan who followed Nixon. Each began their corruption and undermining of our system where the previous had left off. Each embraced and extended what the previous had done. Each was enabled by the damage and lack of accountability the previous had left behind. (While Carter, Clinton and Obama’s big-money, neo-liberal policies and revolving doors hurt average Americans and undermined faith in our system, they did not attack the system itself.)

But the path of our downfall goes back even farther.

There is a thread from Eisenhower’s “military industrial complex” warning to Trump.

There is a thread from the Tonkin Gulf incident to LBJ’s “credibility gap” during the Vietnam war to Trump.

There is a thread from the public shock after the murders of JFK, MLK and RFK and the shootings of George Wallace and later, Reagan, to Trump.

There is a line from Gerald Ford’s pardon of Nixon, undermining of public trust in equal justice, to Trump.

There is a line from the Powell Memo through the “conservative movement” and 40 years of corporate/billionaire-funded anti-government propaganda to Trump.

There is a line from Buckley v. Valeo through Citizens United to Trump.

There is a line from Reagan killing the Fairness Doctrine to Trump.

There is a line from tax cuts and austerity budget cuts to Trump.

There is a line from acceptance of deregulation and privatization to Trump.

There is a direct line from Gingrich’s list of nasty words to use when describing Democrats to Trump.

There is a direct line from the post-9/11 acceptance of a “state of exception” and never-ending “war on terror” to Trump.

There is a direct line from corporate-written “trade” agreements and the destruction of organized labor to Trump.

There is a very straight line from the decision to bail out (and not prosecute) wealthy bankers instead of helping underwater homeowners and “Main Street” businesses to Trump.

There is a long, straight and bloodstained line from the racist compromises in our Constitution to the Civil War to Jim Crow to segregation to Trump.

There may be a straight line through all of these to Trump to the end of democratic self-government in the United States of America.

There are so many threads and lines, some of them winding their way to Trump and some of them leading us straight to Trump. There were so few objections and so little resistance as the lines were drawn and followed. These lines eroded rule of law and public trust and norms and standards and institutions.

Our task, all of us, is to expose and sever threads and lines like these.

It’s Not Ideology, It’s Corruption

Trump has exposed us as the frog in gradually warming water that is now near boiling. Do we finally notice the danger?

After more than four decades of corporate- and billionaire-funded anti-government, anti-democracy propaganda blasted at the public, with little response, our democracy is nearly gone. Do we know it yet? Do we fully understand what we have lost?

We are saturated in propaganda instead of information. We are endlessly told that government (decision-making by We the People) is “the problem,” that corporations (decision-making by and for the few) do everything better than government (decision-making by and for the many), that taxes (paying forward the benefits of our education, infrastructure, courts, etc.) are “theft,” that the processes ensuring transparency are “cumbersome,” that regulations (protections) are “job-killing” and that We the People are “moochers” feeding off the “takers” (the wealthy few) if we vote for things to make our lives better (government spending, a.k.a. “pork”).

Why do they do this to us? They do it for the money. It’s not ideology, it’s corruption.

Corruption destroys democracy and our democracy is thoroughly corrupted. Corruption necessarily brings advantage, and the advantaged use their gains to further corrupt the system. The cycle continues until corruption is stopped or kleptocracy perfects. They do it for the money. It’s not ideology, it’s corruption.

We have been the victims of an organized attack on our democracy – a looted carried out for the gain of a few. Organized billionaires and their corporations are intent on undermining and seizing control of our system, for their own personal benefit.  They do it for the money. It’s not ideology, it’s corruption.

After decades of this assault, the money has eroded democracy and society – like water eroding a dam. We don’t see the extent to which our country, our system, our politics, our institutions and even ourselves have been corrupted. We don’t see how many things now are not just rigged but designed to benefit of a wealthy few at the expense of the rest of us. This is corruption masked as ideology.

Our system has become one of one-dollar-one-vote instead of one-person-one-vote. We don’t realize the degree to which we have become passive consumers instead of active citizens, observers instead of participants. We allow pay lanes on the highways for people with more money, instead of HOV lanes for cars with more people. We expect our schools to provide job training instead of education. We allow our system to value efficiency over humanity, competition over cooperation. We work to enrich others as our wages and benefits fall behind. This is not ideology, it’s corruption.

If we did fully realize and feel the extent of what has happened to us we would withdraw our consent of the governed and institute new government, laying its foundation on such principles and organizing its powers in such form most likely to affect our safety and happiness.

But it has happened slowly, the water warms…

Is There a Path Out Of This?

Will our system withstand the attack? We don’t know. Kleptocracy is powerful.

How do we get back to an American system that is of, by and for We the People? If we get out of this, what must we do to make sure it doesn’t happen again?

The first step is restoring our own understanding of democracy. The first three words of our Constitution are, “We the People.” Stand back from the page and those are the only words seen – for a reason. The “founders” were making a point.

We must restore understanding of ourselves as the boss, not the bossed. We must believe again in people, not money. We must believe again in majorities not markets. We must remember that our economy should serve us, not us serve the economy.

We must demand transparency, and not accept secrecy. We must return to understanding our government as the only available countervailing power to that of corporations.

Another step in our restoration is understanding how corruption corrodes democracy. We must understand the depth and effect of corruption on our system and on ourselves.

And then we must commit ourselves to investigating and exposing that corruption. That is our path out of this.

90s-Type Dems Afraid Rush Limbaugh Will Say Something Bad About Them

From 2007: Senate Dems Afraid Rush Limbaugh Will Say Something Bad About Them.

That was when Dems voted to condemn MoveOn.

Remember when Dems were stampeded into defunding ACORN, the organization that registered poor people to vote?

There Are No Real Republican “Deficit Hawks.” Here’s Why.

Democrats are making a terrible mistake fighting the Republican tax cuts by saying they add to the deficit, that they will “blow a hole in the budget,” etc.

Why are Democrats saying this? They are using the “increase deficits” line because they think they can appeal to a few “deficit hawk” Republicans who spent the Obama years complaining about government sending and “deficits.”

It is a mistake for Democrats to think they can “get Republican votes” by mouthing Republican deficit-fear rhetoric without understanding the strategy behind their rhetoric.

Strategy: Republicans Create Deficits, Stoke Deficit Fear, Then Campaign Against Government Spending

Here’s the thing. There are no real Republican “deficit hawks.” Republicans stoke deficit fear, and then say they are opposed to budget deficits. But they always, always increase deficits. On purpose. There’s a reason.

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Why She Lost

I don’t think anyone can point to any particular reason “why she lost.” I think it was ALL the reasons, and it shows why we have to be on top of ALL of them.

Voter suppression, coherent message telling voters how their lives will be better, authenticity so they know you mean it, listening to and appealing to all components and regions of the traditional Dem coalition, outreach to new voters, keeping the other side from rigging things like voting machines and voter registration lists and illegal donations and activities and interference like Russia and Comey, and then delivering for your constituencies in order to help the constituencies AND the next candidate who runs. (Thanks, Obama.)

When you look at the record the Clinton campaign and Obama admin and Democratic party apparatus failed on all of those counts and still got more votes. Imagine the landslide if they’d actually been on top of all of that.

For some Reason The Public Thinks Politicians Side With Corporations

For some reason, the public thinks politicians side with corporations. Imagine that. and they’re looking for politicians who do not.

The LA Timesreports on focus groups with voters, seeing what they think today, in These voters in Arizona are fed up with Democrats, Republicans and, most of all, Trump,

More than two dozen voters gathered in Phoenix this week delivered a bipartisan broadside against President Trump, Republicans and Democrats, dismissing the political class as serving its wealthy benefactors and abandoning everyday Americans.

… The questions largely revolved around views of Trump and Republican efforts to pass healthcare and tax reform measures. Yet in the process, participants voiced strikingly little support for Democrats nor any enthusiasm about using their vote to cast out Republicans next year.

“Democrats are doing something badly wrong,” said one Democratic-leaning voter, saying the party “should have done a better job” last year. “Democrats are flailing.”

“I think the government is totally corrupt,” said an independent voter who leaned toward Democrats in elections but disparaged both sides.

Republicans see Trump and Republicans siding with corporations. Imagine that.

Asked whether Trump sided with regular people or big corporations, nine of 10 in the Republican group said he sided with corporations. All 10 said Republicans in Congress sided with corporations. Two said Democrats sided with ordinary people. Sentiments were not dramatically different in other groups.

“They’re all the same; they’re all puppets,” said one Trump voter.

People saw government bailing out Wall Street and corporations instead of We the People, and aren’t happy,

“People in Arizona and Ohio, all these other groups in other places in the country, thought after the crash that Wall Street and big corporations were made whole again, and they were left behind,” said Patrick McHugh, the executive director of Priorities, who observed the focus groups.

“Trump made a lot of promises to address those issues. He’s now president…. He’s now responsible for fulfilling those promises.”

So people somehow sense that government sides with corporations. People might be uninformed and misinformed, but they by and large aren’t stupid. They can see what’s going on and want something done about it.

Apart from the obvious racism, Trump campaigned on an economic message. There were people who will tell you they “took a chance” and supported Trump because he promised to “drain the swamp” of corruption in government. He said he was already wealthy so he wouldn’t take bribes. He got a lot of votes from people who were fed up.

If there was a consistent criticism of Hillary Clinton it was that she was beholden to corporations, especially Wall Street, and that her paid speeches and supposed support for TPP proved it.

Lots of people supported Bernie Sanders because he obviously was not in the pocket of corporations.

Many Green voters are Greens instead of Democrats because they believe the party has sold out to corporate interests.

I wonder if there is a lesson from this?

Marketing: Trump Repeated A Simple Message

Over and over, Trump repeated a simple message. He repeated it and repeated it and repeated it.

Clinton is corrupt. I will bring the jobs back. I will fix Washington.

What was Clinton’s repeated message? Anyone?

The Damage From Free Trade Helped Elect Trump

It seems that lots of media/political/business people “on the coasts” don’t get how big a deal trade played in Tuesday’s election.

Sold On Free Trade

In the late 70s the country was told that “protectionism” — protecting wages and key industries and — is bad for the economy and was sold “free trade” as a way to bring prosperity and jobs. “Trade” in this usage meant one and only thing: close a factory here and lay off the workers. Open a factory “there” to make the same goods, bring those goods back here to sell in the same stores to the same customers. It’s called “trade” because now those goods cross a border. The “sell” was that all those laid-off workers would be “freed up” to get better jobs.

Well, they never got better jobs — those were also outsourced or privatized or relabeled as low-wage “contractors” with no protections or benefits. So instead they had their homes foreclosed, their local stores forced out of business and their downtowns boarded up. Local and state tax bases dwindled so schools became terrible, infrastructure crumbled, public services cut and cut and cut. Meanwhile the investor class that pushed this and executive class that managed it pocket the wages these regions used to generate for themselves. (They also got huge tax cuts.)

Entire Regions Bled Dry

In the decades since entire regions have been bled dry of ways to make a living, their cities and towns and downtowns left behind to crumble, their aging former factory workers scrambling for WalMart jobs and turning to opiates for relief.

Take a few days and drive around the regions once known for manufacturing or steel production. See what this kind of “free trade” has done to them,

As you drive from town to town in Michigan and Ohio you see one after another a ring of the “big box” stores and national chain stores around each city. You also see the “brownfields” of rusted-out, closed factories, empty, falling-down buildings. Then you go to the downtown and you see boarded up houses, empty storefronts, deteriorating and deteriorated communities, idle people standing on corners. As you drive into these towns you can just see what is happening in a nutshell.

Bled dry. First by “trade,” then by Wall Street-owned chains and banks then by the Wall Street collapse that sucked away the remaining assets. And then Wall Street got bailed out by their taxes but they didn’t. These regions never got any help from the government, even as they watched the Wall Street types and executives and coastal elites living it up — on their money.

Wall Street was bailed out. But for decades this country allowed entire regions and populations to deteriorate and die, and inequality to soar, and didn’t do a thing about it. No one fixed it.

“I Alone Can Fix It”

Tuesday a lot of righteously angry people with nowhere else to turn got fed up, took things into their own hands and voted for the lying, insulting, women-groping demagogue who promised that he and he alone can fix it. “I am your voice … I alone can fix it.”

Pick a former manufacturing area, and look at how that area voted in Tuesday’s election. Key “swing” states like Pennsylvania, Ohio, Michigan and Wisconsin were hit hard by deindustrialization and little to nothing was done to help the people there. And they voted for Donald Trump because he promised to “fix” it.

Trade Mattered Where The Votes Mattered Most

Andrew Flowers, writing at the FiveThirtyEight polling analysis site in Might Chinese Trade Explain Trump’s Success?

Recent research has indicated that trade with China has been more disruptive than previously thought. MIT economist David Autor and co-authors have documented how rising Chinese imports wreaked havoc on competing U.S. industries. In total, their research found the surge of Chinese trade was responsible for the loss of more than 2 million jobs between 1999 and 2011. But, interestingly — and this is where Trump’s electoral map comes in — it had a concentrated geographic impact. States in the Midwest, Appalachia and the Southeast were where Chinese trade hit hardest. Take a look at these maps showing where the U.S. industries were most exposed…

Click through to see the maps. Flowers then explains, “At first look, this map sort of overlaps with Trump’s success. He has won or is currently leading in several manufacturing-heavy Midwestern states; anti-trade sentiment is rife there.”

Exit polling drives this home. CNN’s exit polls, for example, tell the story:

Rust belt states agree with Trump that trade costs jobs

Donald Trump made trade a key message in his campaign. He promised to bring back the manufacturing jobs that he said were lost to trade deals.

Large shares of voters in key rust belt states key to Hillary Clinton’s electoral map agreed with Trump’s view that trade agreements have hurt American workers. And they overwhelmingly supported the billionaire businessman at the ballot box.

Half of Michigan’s electorate feel trade takes away jobs, and these folks supported Trump by a 57% to 36% split. The 31% who think it creates jobs backed Clinton by a 65% to 31% margin.

In Ohio, 47% of voters say trade hurts workers, and they lined up for Trump by a more than 2-to-1 margin. The 46% who say it creates jobs or has no effect strongly backed Clinton.

And in Pennsylvania, 53% of the electorate agree that trade is bad for jobs. Some 62% supported Trump, while 34% backed Clinton. Among the 35% who feel trade is a job creator, Clinton was the favored candidate by more than a 2-to-1 margin.

Trump Talked Trade From The First Day To The Last

Trump saw this and used it to propel his candidacy. Trump’s very first speech, announcing his candidacy, talked about trade — a lot.

“That’s right – a lot of people up there can’t get jobs. They can’t get jobs because there are no jobs because China has our jobs and Mexico has our jobs. They all have our jobs.

[. . .] I’m going to tell you a couple of stories about trade, because I’m totally against the trade bill for a number of reasons.

… Free trade can be wonderful if you have smart people. But we have people that are stupid. We have people that aren’t smart, and we have people that are controlled by special interests and it’s just not going to work.

He went on to tell those stories. And more. There’s much, much more about trade in that first speech. From that moment on in his campaign, he continued to talk about trade, in almost every speech, in the debates, and then in his final “closing argument.”

Trump’s final ad displays a picture of Bill Clinton and the word NAFTA as Trump says, “The political establishment that is trying to stop us is the same group responsible for our disastrous trade deals…” Then, as a deserted factory is displayed:

“The political establishment is responsible for the destruction of our factories and our jobs as they flee to Mexico, China and other countries all around the world. The global power structure that is responsible for the economic decisions that have robbed our working class, stripped our country of its wealth and put that money into the pockets of a handful of large corporations and political entities.”

There’s no question about it: Trump used trade to propel himself to power.

Not Just Trump And Not Just Here

This is going on around the world. Elite “neoliberal” economic policies are driving inequality while wiping out the middle class and entire regions. Right-wing politicians are taking advantage of the distress and offering scapegoats, using xenophobia and racism to gain political power — just like Trump did.

Trump’s surprise win echoes the surprise win of Brexit — Britain’s vote to exit from the European Union. That vote was driven largely by the economic damage that EU’s open border and free trade policies were doing to the British working-class.

Glenn Greenwald writes about this at the Intercept, in Democrats, Trump, and the Ongoing, Dangerous Refusal to Learn the Lesson of Brexit,

The indisputable fact is that prevailing institutions of authority in the West, for decades, have relentlessly and with complete indifference stomped on the economic welfare and social security of hundreds of millions of people. While elite circles gorged themselves on globalism, free trade, Wall Street casino-gambling, and endless wars (wars that enriched the perpetrators and sent the poorest and most marginalized to bear all their burdens), they completely ignored the victims of their gluttony, except when those victims piped up a bit too much — when they caused a ruckus — and were then scornfully condemned as troglodytes who were the deserved losers in the glorious, global game of meritocracy.

That message was heard loud and clear. The institutions and elite factions that have spent years mocking, maligning, and pillaging large portions of the population — all while compiling their own long record of failure and corruption and destruction — are now shocked that their dictates and decrees go unheeded. But human beings are not going to follow and obey the exact people they most blame for their suffering. They’re going to do exactly the opposite: purposely defy them and try to impose punishment in retaliation. Their instruments for retaliation are Brexit and Trump. Those are their agents, dispatched on a mission of destruction: aimed at a system and culture that they regard, not without reason, as rife with corruption and, above all else, contempt for them and their welfare.

As Abraham Lincoln once said, You can ignore the economic damage that neoliberal economic and trade policies are doing to all the people some of the time, and ignore the economic damage that neoliberal economic and trade policies are doing to some of the people all the time, but you cannot ignore the economic damage that neoliberal economic and trade policies are doing to all the people all of the time.

And here we are, with Trump soon to become President of the United States. Great. Just great.

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This post originally appeared at Campaign for America’s Future (CAF) at their Blog for OurFuture. I am a Fellow with CAF. Sign up here for the CAF daily summary and/or for the Progressive Breakfast.

The Reality Of This Election Is Trump Or Clinton

The reality of this election is that this year two choices for president, and only two choices. Either Donald Trump or Hillary Clinton will become president.

And this election is entirely about Donald Trump. You are either for him or against him, period. There is just no way around it.

Trump will have the keys to the FBI, NSA and Department of Justice. Imagine Chris Christie as Atty General and Rudolph Giuliani as Director of National Intelligence. Maybe Newt Gingrich running the FBI. Imagine Trump with the NSA surveillance apparatus under his control. All rubber-stamped by a Republican Congress. He’s already talked about firing all the generals, imagine what happens to the rest of government. our government will become entirely a support-Trump operation — not unlike how Putin runs Russia. Do you think you’ll be safe?

Trump promises a “deportation force” that will round up Muslim and Latino families — and do what with them? Black, Jewish and “mixed-race” families obviously are in line to be on that “Skittles” list. What happens to the rights of Gays and political “politically correct” opponents? His crowds chant “lock them up” about the news media. No, if you are someone who is reading this you won’t be safe if Trump wins.

If you think this is a just exaggerated talk or a joke, everyone also thought it was a joke that Trump could win the Republican nomination, or be anywhere close to becoming President. Yet he did and he is.

This is serious shit. Bernie Sanders is traveling around the country right now to spread this message:

“The stakes are much too high. This is not a personality contest. You are not voting for the senior class president at the local high school. You are voting for the most important public official in the world. The differences between Secretary Clinton and Donald Trump are day and night.”

If you do not want Donald Trump to become president you have to vote for Hillary Clinton. If you do not vote FOR Clinton you are voting to allow Trump to become president, period. You might not be able to stand Clinton, but you have to decide if you want Trump to be president, with all the consequences that brings. Because that is what it could mean if you do not show up and vote for Clinton.

My very first blog post ever was this July, 2002 post: Ralph Nader is a Scab,

In the union movement we learned the hard way that the only way to fight the moneyed interests is to stick together. It’s called SOLIDARITY. It’s what “union” MEANS.

When unions are in a fight the members stick together, and those crossing the lines are called “scabs”.

In the 2000 election it was the usual fragile Democratic coalition fighting the usual moneyed interests. Ralph Nader broke the solidarity, divided the coalition, and lost us the election. Ralph Nader is a scab.

Even if you are in a “safe” state you still have to vote for either Trump or Clinton. Not voting for Clinton to “send a message” keeps her “numbers” down nationally which, if things are close elsewhere could leave Trump with more votes nationally but lose the electoral college — like what happened to Gore. If that happens it encourages Trump’s neo-Nazi followers to take up arms.

In 2000 people voted for Ralph Nader to “send a message.” Solidarity was broken and Bush became president. No message was received and nothing was done about climate for 8 years, hundreds of thousands of Iraqis were killed in an illegal war that brought lasting chaos to the Middle East. And our economy was ruined. A Trump win promises far, far worse consequences.

Watch Out For The Coming Corporate Tax-Break Trickery

One of the biggest fights coming up in the newly elected Congress next year will be “corporate tax reform.”

If you follow policy news you’ve been hearing that Congress wants to “reform” corporate taxes (again). When you hear talk of “reform” from our corporate-captured Congress it means you need to run as fast as you can — and organize. The way they use the word, it always means give them more and We, the People get less.

Senator Schumer Talking About Massive Break On Taxes Corporations Already Owe

Senator Chuck Schumer (D-Wall Street) might be Senate Majority Leader after the election. In a Tuesday CNBC interview he said he is hoping to work with Republican House Speaker Paul “Gut the Government” Ryan on “some kind of international tax reform tied to a large infrastructure program.” In the interview Schumer said:

If you can get overseas money to come back here, even if it’s at a lower rate than the 35 it now comes back at, and you can use that money for a major constructive purpose such as infrastructure, if you did an infrastructure bank, for instance, you could get $100 billion in equity in the bank and get a trillion dollars of infrastructure.

When Schumer says “at a lower rate” he is talking about a “tax holiday” allowing corporations to pay less than the 35% tax rate they owe (minus deductions for taxes already paid overseas) on some $2.5 trillion of profits they have stashed in “overseas” tax havens. These corporations owe around $720 billion or so on those profits. So rewarding them for tax dodging with a lower tax rate means handing them up to hundreds of billions of dollars that the country needs for schools, health care and yes, infrastructure repair.

These tax-dodging, multinational corporations used schemes and tax havens to dodge paying taxes they owe. Meanwhile other corporations — usually smaller, domestic companies — paid their taxes. This gave the multinational corporations that used schemes and tax havens to dodge paying their taxes an advantage over the honest, domestic companies that did pay their taxes.

So why should Congress reward tax-dodging, multinational corporations by letting them keep some of the taxes they dodged, thereby punishing the domestic corporations that did the right thing for the country? See if you can guess why. (Hint: the tax-dodging corporations have “captured” Congress using a portion of that money.)

Revenue Neutral?

The corporations are also trying to sell “tax reform.” This “reform” is really just another huge corporate tax cut that is explained as a “revenue neutral” deal to “cut corporate tax loopholes” and use the resulting revenue to cut the corporate tax rate. The term “revenue neutral” means the tax revenue coming to the government stays the same. “Revenue neutral” sounds like a good deal but in reality it’s just a trick. It means taxes go up for some companies but way, way down for others. Guess which companies lose out. (Hint: it won’t be the giant multinational corporations that have captured Congress.)

The top corporate tax rate used to be 52 percent. Under Reagan it was 46 percent. Then Congress “reformed” taxes and dropped the rate to just 35 percent. Corporations used to shoulder 32 percent of the total tax burden. It has fallen to only 10 percent of the burden. That is a drop of two-thirds. See if you can guess who pays that two-thirds difference. (Hint: it isn’t corporations or their wealthy owners. It is cuts to schools, infrastructure, health care and all the things that used to make our lives better. This is one part of the economic squeeze everyone feels.)

On top of that they are also trying to sell a scheme that lets them off the hook for profits made outside of the country. See if you can guess how fast every corporation moves its profit centers and production out of the country if that passes. (Hint: every single corporation will move every job, factory, profit center etc out of the country if that passes.)

What Budget Deficit And Debt?

Our country has a budget deficit and a large debt caused by tax cuts and wars. The current hysteria over deficits is driven by corporate-and-billionaire-funded PR “think tanks” that pump out propaganda and hysteria 24/7/4/12. Can you guess what 24/7/4/12 means? (Hint: 24 hours, 7 days, 4 weeks, 12 months of the year.)

With a budget deficit and a large debt the fact is that a “revenue neutral” tax reform for corporations who have already had their tax rates cut and cut and cut is the very last thing the country needs to do. What we need to do instead is close that loophole that lets giant, multinational corporations hide $2.5 trillion in profits in “overseas” tax shelters, and make them pay the $720 billion or so of taxes they owe now, plus the $90-100 billion or so of taxes they will dodge every year after. Period.

Revenue neutral, Schumerutral. Just make these giant, tax-dodging, multinational corporations pay what they owe. Don’t reward them for tax-dodging. And restore the 52% corporate tax rate instead of cutting it even further.

PS Take a look at this Fact Sheet: Corporate Tax Rates from Americans for Tax Fairness.

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This post originally appeared at Campaign for America’s Future (CAF) at their Blog for OurFuture. I am a Fellow with CAF. Sign up here for the CAF daily summary and/or for the Progressive Breakfast.

President Tells Congress TPP Is Coming Their Way. What Will Clinton Do?

One day after presidential candidate Hillary Clinton strongly underscored her opposition to the Trans-Pacific Partnership in a speech in Detroit, President Obama officially started the clock on a lame-duck congressional vote on that agreement.

Politico has the story, headlined “Obama puts Congress on notice: TPP is coming“:

The White House put Congress on notice Friday morning that it will be sending lawmakers a bill to implement President Barack Obama’s landmark Trans-Pacific Partnership agreement — a move intended to infuse new energy into efforts to ratify the flatlining trade pact.

The submission of the draft Statement of Administration Action establishes a 30-day minimum before the administration can present the legislation, but it is unlikely to do so amid the heated rhetoric of a presidential campaign that has depicted free trade deals as major job killers.

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