Category Archives: Corruption

Smiling Politicians With Kennedy Haircuts Issue Focus-Group Words

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This is a Seeing the Forest 24-year-anniversary poem. First published at Government Cheese – Chronicling the collapse of democracy because it belonged there.

Fossil-fueled psychopathic planetary pollution. Sew dependence reap profit and power. Smiling politicians with Kennedy haircuts and earnest, rolled-up sleeves issue focus-group words and wet their beaks.

Temperatures ever more extreme. The land becomes brown not green. Smoke from fires clogs our lungs. Species go extinct. Crops won’t grow.

It’s OK both sides do it radical terrorists say it’s wrong. Divisions are stoked and they are conquered.

It will trickle down.

Starmer Bad

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I live in the UK now. Over here Prime Minister Starmer has a new crisis this morning. Starmer appointed Peter Mandelson as Ambassador the the Trump administration, knowing he was an Epstein associate. Then the Epstein files came out and showed that Mandelson was leaking/selling financial secrets to Epstein.

Now further revelations about Epstein/Mandelson look extremely bad. The security vetting process before his appointment had said Peter Mandelson should not get a security clearance and that was overridden. So he got the job anyway and engaged in corruption.

Starmer either knew about the denial of security clearance being overridden or didn’t know about it, so he’s either part of a corrupt project or hasn’t implemented sufficient oversight and control of his government. Either way you can’t have a PM that isn’t fighting corruption or at least making sure it isn’t coming from inside the house.

How Did We Get Here?

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This post first appeared at Government Cheese – Chronicling the collapse of democracy.

Let’s just say the Iran situation calms down, Iran sets up the toll system and the US just … leaves. Then the world has to sit and wonder what Trump does next. It could be literally anything. Back to Greenland? Cuba? Canada? Take the UK?

How did this happen? The disppearance of rule of law, international law, norms … we are now all at the whim of one madman with incredible power. The entire world!

After WWII the world tried to set up some structures to prevent another catastrophe. The US set up the regulatory state to prevent another depression and make people’s lives better. It was all systematically dismantled, piece by piece, with the effort hidden behind a fog of propaganda called “free speech” and based on “making some money.” Now a few people have all of the power and most of the wealth.

Will the world recover and do better next time?

A Progressive Populist Agenda

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Here’s a first stab at some ideas for a post-Trump agenda that would actually be popular with the public.

Democratic “We the People” Government is based on the reality that all human beings are created equal, that they are endowed with certain unalienable Rights. Government therefore must protect and serve the people of the nation and planet by supporting and assisting in making all people’s lives better and supporting an economy that grows prosperity through investment in public goods and sustainable businesses that work for the public good, while always protecting and restoring the environment.

To this end it is in government’s interest to Work With Other Nations in a cooperative effort to accomplish these goals for all humanity. All human beings are created equal, that they are endowed with certain unalienable Rights.

To achieve this from the ruins of the present system:

Vast personal wealth damages society and causes moral harm to the individuals possessing it. Redistribute Extreme Wealth through very high wealth taxes, very high top bracket income tax rate until societal wealth distribution is much “flatter.” (“Get the money from where the money went.”)

Climate Reparations and other reparations where wealth was accumulated through harms, exploitation, fraud, intentional addiction, etc.

Free Public Energy. Provide a baseline amount of free electricity to people and businesses. Transition completely to renewable energy sources such as solar and wind.

Free Mass Transit – Put the word ‘Public’ back in ‘Public Transit’.

Universal Public Healthcare – Finally join the rest of the world.

Free Public Education through college.

Provide a Guaranteed Basic Income as well as guaranteed jobs in public service. Give people who seek jobs the opportunity to do jobs that need to be done.

Corporations exist to serve the public interest. Strictly Regulate Corporations. Reform corporate governance with Board representation by all stakeholders. Diverse – 50% women, racially diverse. Encourage and assist smaller, local businesses. Note- regulations exist for the good of the public, so government will provide funds and assistance toward compliance.

Limit Corporation Profits with excess going to the government (public). The purpose of a corporation is to aggregate private capital to accomplish things the public wants done. Corporate employment should be rewarded according to contribution. Profits from ongoing operations should be reinvested with excess to public. Reward for capital risk and contribution would come from a low rate of taxation of long-term capital gains.

Nationalize AI. Control & develop it to serve the public interest.

Nationalise or Regulate Social Media and other “network effect” technologies like internet search as public utilities.

Restore the Natural World.

Outlaw Corruption. To ensure government continues to serve the public, we must develop systemic mechanisms and institutions to fight corruption and the influence of other corrupting interests, including anti-democracy ideologies.

Corruption Leads To Corruption Leads To Today

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This post first appeared at Government Cheese – Chronicling the collapse of democracy.

Some time back I listened to Ezra Klein interviewing journalist Anand Giridharadas, The Infrastructure of Jeffrey Epstein’s Power, discussing how the networks Epstein set up worked. It was just so enlightening and I’m still thinking about it, seeing it everywhere…

Of course there were the people, like Trump, who were part of raping young girls, attending the parties, etc.

There were the people who did not engage in the worst but benefitted from the connections Epstein offered. They knew about the worst because he had already been convicted the first time, but they benefitted from the connections and that was what mattered to them.

Earlier than that there were people who saw it happening, knew about the girls and the parties and just thought boys will be boys and laughed. That’s what women and girls were for! It’s just the way it is.

There were lots of people who participated in letting Epstein off that first time. There was the entire crowd at the DOJ who stepped in and took over the prosecution and let him off easy and ordered everyone to keep quiet about it! There were the people who saw this happening and said nothing. This was how things were done and that’s the way it is and if you want your career you’ll keep your mouth shut. And so they kept their mouths shut.

An Entire System Of Corruption

After all, everyone knew that corporate executives and the very wealthy and certain politicians and powerful people like them were above the law. That’s the way it is and if you want to keep your career you’ll sign the NDA and keep your mouth shut.

This was just one part of an entire system of corruption and acceptance of and expectation of corruption built up over the years and it was of a part with the entire system of letting fraudsters and money-launderers and corporate criminals and an entire class of predators get away with harvesting the public for profit. No prosecutions of executives for anything, ever. Polluters. Tax dodgers. Bank executives who crashed the economy with fraud. “Lobbyists” who exist just to pay off politicians. Government regulators who keep their mouths shut and don’t make waves or rock the boat, then leave government and are given lucrative jobs or contracts or “speaking fees” thanking them for their service to the system of corruption.

And a corrupt Supreme Court that has now legalized that system of bribery. Every day that all just got worse and worse until we have what we have now – a King and his family and the fascists around them raking in billions and billions.

The Dirty Hippies Who Refused To Participate In The Corrupt System

What stood out to me was there also were people who were repelled by it and wanted nothing to do with it and refused to benefit from the connections, favors & gifts and other things Epstein was dangling. They told associates to keep away from him and keep him away from anything they had to do with. Those are the ones the Trump admin is going after now because of that, prosecuting, etc. They are the “dirty hippies” who protest and show up at marches. They are the people who try to protect their neighbors from being taken away by masked thugs in unmarked vans.

So I recommend listening to:
The Infrastructure of Jeffrey Epstein’s Power
The journalist Anand Giridharadas examines the power and influence that Jeffrey Epstein brokered and that the latest batch of Epstein files puts on display.

Crypto Crash – The Serious Money Is Betting Trump Will Fail

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This post first appeared at Government Cheese – Chronicling the collapse of democracy

The crypto crash means the “serious money people” are betting that Trump will fail.

When crypto started to become big money serious investors got involved. Serious investors do real analysis and usually know what they’re involved in. Sure, there are the dupes out there who think crypto has real “value.” But the real money in crypto comes from real investors putting millions into it and doing some degree of actual analysis of the risks.

Crypto’s only real use is crime. Its “use case” is ransomware, organized crime, bribery, fraud. With Trump there is the “rug-pull” fraud use case where you “issue” crypto coins, people place bets, and the issuer pulls the rug and cashes out. (Note – When you buy crypto you are giving crypto owners liquidity – backing the ability of criminals to cash out after their ransomware/bribery/whatever score.)

“Investing” in crypto is really just a bet on criming going up.

Crypto’s price went up and up because the real money made bets that Trump is going to be able to keep the crime racket going, even increasing it. They also believed the US government would step in and back it, buying up billions and maintaining its liquidity. A bet on crypto was a bet on Trump’s success at imposing a mafia state on the world.

So by pulling out and crashing the price, the “prediction market” of crypto – the big players – are betting that Trumpism isn’t going to succeed.

The Real AI Question: Who Benefits?

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Here’s a different question about AI. Suppose it does what is promised, and does greatly increase productivity, and does bring all kinds of benefits. Who will gain from that? Will those benefits be shared? Will there be 3-day workweeks of 6 hours a day? 6-week vacations?

How Did Trade Work Out For Us?

Think about how it worked out with trade. Economists will explain that trade brings all kinds of benefits. One huge benefit was supposed to come from moving the worst jobs to places where people really need work, so the labor force is freed up to take on higher-level, higher-paid work, and the people on the other side of the trade border who needed jobs now have jobs. Over time this moves around the world lifting everyone. The same was supposed to be true about other benefits and gains from trade.

Democracies Would Make Sure Benefits Were Shared

But the economists assumed that everyone would benefit because democracies would make sure everyone shared those benefits. Why else would a democracy allow factories to close and imports to replace goods made at home? Why else would a democracy allow jobs to be sent away?

What Really Happened?

What really happened? The democracies were “captured” and instead of protecting the public government power protected the few at the top who had done the capturing. Jobs were moved out, factories were closed, and people were just laid off (too bad so sad here’s some Oxycontin). Unions were broken. Entire “rust belt” regions were utterly devastated. The middle class was forced downwards, while income and wealth shifted upward.

Here Comes AI

So now AI threatens to accelerate those changes. Democracy is gone and we all know the gains from AI won’t be shared. Instead AI will be used to force more and more people out of work, their wages instead going to a top few. This will further increase centralized power and wealth at the very top.

There Can Be Only One

This increasing concentration will accelerate and become a winner-take-all game. The oligarchs all understand this process of concentration, and are racing to be the winner in the AI race — to be the one person who gets it all. Literally all.

Hence the massive investment into AI we are seeing. Hence the bubble. It’s like nothing else matters.

Nothing Else Matters

It doesn’t matter to the massively-wealthy what happens when the bubble bursts. They understand this is about being the ONE person in control of what happens and who won’t be destroyed. They even say it – if AI becomes superintelligent they want to be the ONE person controlling that. And the current “system” is set up – by them – to let that happen.

That’s why they have rigged the system to keep We the People from stopping them.

American Manufacturing Was Sold Off For Profit

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China didn’t “take” America’s manufacturing jobs, greedy American investors and executives sold America’s farm and ate the seed corn. Same in the UK.

Paul Waldman writes about woodworking tools, in A Trump Tariff Case Study: Can the U.S. Again Be the Power Tool King? at The New Republic.

My DeWalt 20-volt cordless drill/driver combo set is a beaut—powerful, smooth, comfortable in the hand, and not too expensive; I got it on sale for about a hundred bucks. It’s also a tribute to the wonders of the transnational supply chain, its components traversing the earth before they came together and found their way to my door. The drill and driver were made in Mexico, but their batteries were made in China, as were the battery charger and the handy tote bag that came with it. DeWalt, a brand familiar to every woodworker and DIY enthusiast, is a division of Stanley Black & Decker, a global conglomerate headquartered in Connecticut that owns brands including Craftsman, Porter-Cable, Bostitch, and many others.

He writes about how tools once made in the US by American companies are now made elsewhere by international companies, why this is, and what it might take to bring the factories back. He nails it, just spot-on: Manufacturing ecosystems, the cost of bringing it back, the jobs that were good in the past. “(M)any started as American companies but are now part of multinational corporations.” “Unfortunately, there are serious impediments to achieving reindustrialization on a large scale, and Trump’s policies are just about the worst way to go about it.” “We could rebuild those manufacturing ecosystems in the U.S., but we can’t just wish it into existence.” “In fact, this entire debate seems animated by a vision of a bygone time.”

Yep, he nails it. And, as we all know, it’s not just woodworking tools. It’s the same story for … everything.

Same In The UK

It’s the same here in the UK as well. Jaguar/Land Rover are now owned by an Indian company. Trains, water, Royal Mail, British Petroleum (BP), British Telecom (BT) and many other iconic, privatized “British” brands are no longer British-owned. All were sold off to international “investor” conglomerates so a few already-wealthy people could get even more wealthy, under an economic “ideology” (free markets) that was really just a cover story for selling the farm and eating the seed corn. And the public, struggling to get by, now flails around hoping Trump (and here, the Trumpy Reform party) will make good on his promise to “fix it.”

China Did Not “Take” Those Industries

“China” (generic term for “somewhere else”) didn’t “take” those industries. American and British “investors” and executives did that – literally sold out their countries – enabled by US/UK governments run by politicians elected with money that those executives and “investors” took out of their companies to buy the politicians, so they could personally obtain great wealth. They did it because they wanted cheap labor and a way around the pollution and worker safety rules that democracies insist on.

“China” understood what they were seeing and planned and executed a strategy to build their industrial base – as a country. They set up manufacturing zones and put in place everything needed — from local financing, to a modern power grid, to roads, to training centers, to supply chains, to places for workers to come live. Everything.

It was a “public/private partnership” between American executives and the Chinese government. Those exectives also took that ecosystem apart in the US, piece by piece, and it can’t easily be put back together. They sent away the “institutional memory” and “ecosystem” of supply chains and training centers… much like how the Trumpers are now doing the same to the US government itself.

Beyond Neoliberalism

Last week I stepped back into a past life and attended the opening of the “Beyond Neoliberalism” conference (https://beyond-neoliberalism.org/) because it was literally right down the street here in Cambridge UK. Oddly America-centric (and attended by lots of Americans I used to know) it began with a rousing 2.5 hour panel discussion (mostly Americans) on Industrial Policy under Biden. They said a lot of the things you nailed down in your piece.

Biden tried with his IRA to the extent the “system” would let him. Obama tried in tiny ways with his Smart Manufacturing “hub” concept, setting up labs – like a sensor testing lab in Lorain, Ohio around community colleges that would train people to work in the labs, etc. Same with a 3-D printing hub in Youngstown.

They tried. They failed. Now the US has Trump and likely soon the UK will have Farage.

Trump Isn’t The Collapse, Trump Is A Consequence Of The Collapse

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This post first appeared at Government Cheese – Chronicling the collapse of democracy.

People say America and its democracy are being collapsed by Trump. I have come to believe that what we have been calling “late-stage capitalism” was a system that had already collapsed.

Trump isn’t the collapse, Trump is the consequence of the collapse.

The Rule of Law had departed some time ago. The Constitutional system was nonfunctional. The economic system was rigged. The political system benefited only the wealthy and their corporations. That was collapse.

Accountability had long ago disappeared. (A pardon for Nixon? What?) Executives at corporations are never prosecuted. Instead the company itself would be fined – as if companies are sentient entities that can make decisions and do things. White-collar criminals were rarely prosecuted. This is how Trump was able to even be on the scene in the first place to run for office, instead of imprisoned for sex crimes, money laundering, fraud, etc.

The collapse was how Reagan was able to get away with the deal with Iran, and the later Iran/Contra deal.

The collapse was how the Supreme Court was able to make Bush president.

The collapse was how the Iraq War happened.

The collapse was how the climate crisis came about in the first place, how the companies were allowed to continue to put carbon into the air after scientists warned us of the harm it was causing, and how the executives at the companies that caused it got rich instead of being prosecuted.

The collapse was how tax cuts for the rich & corporations, with budget cuts for things government does to make people’s lives better happened.

The collapse was how no bankers were prosecuted for fraud after the financial collapse, and Wall Street but not the public was bailed out.

Rule of Law and accountability had long since disappeared from the United States. That was the collapse.

This wasn’t “late stage capitalism,” it was collapse.

People called these things “late stage capitalism.” This wasn’t late stage capitalism at all. We were already living with the collapse of the Constitutional system, the collapse of Rule of Law, the collapse of accountability. It was corruption taking over. It had been happening for decades.

Trump is just a consequence of that collapse.

In 2017’s Democracy and Corruption I wrote about “democracy off the rails” and democracy “corroded,” not realizing Trump was only possible was because the collapse had already happened.

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.

They say these things happen slowly, then all at once. The collapse was happening for decades, then all at once with Trump.

China Didn’t Take American Jobs

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Trump says other countries took advantage of the US. He says they “took” manufacturing and jobs from the US. This is just not what happened.

American Companies Did This

American democracy gave workers good wages and protections. It passed laws restricting the ability of companies to pollute.

“Investors” and executives running Amereican companies wanted more money. They wanted bigger profits, and saw America’s unions and resulting good wages and benefits as obstacles to greater profits – for themselves. They saw democracy’s protections and regulations and pollution controls as obstacles to greater profits – for themselves.

American investors and exeucites found a way around the borders of American democracy. The companies moved manufacturing to lowest-common-denominator places: lowest wages, minimal protection of workers, low regulation, allowing pollution etc. American companies did this, not evil foreign plots to take American jobs and companies.

The weaknesses of American democracy allowed American companies to move jobs out of the US. Those companies used this as a lever to force wages, taxes and regulations down INSIDE the US. This is a lot of what led to the inequality the US has now.

And they used the great profits to buy politicians who moved American democracy out of their way.

Foreigners didn’t do this to the US, American companies were allowed to do this.

THAT is what needs fixing. The weakness of American democracy, allowing government to be controlled by wealthy interests did this. The only way to undo this is to fully restore American democracy.

Healthcare CEO Killed

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United Healthcare apparently was the worst of the insurance companies for profiting from systematically denying claims. You pay an insurance company to cover you if you get sick, then when you get sick they refuse to cover you. As Bernie said about Wall Street, the business model is fraud. Except Wall Street takes away your house and life savings. Health insurance companies take away your health and sometimes your life.

These companies continue to be allowed, even encouraged to operate this way. Everyone knows this is because they pay politicians to do nothing that might keep the profits rolling in. Everyone knows this.

Top executives who pay politicians have impunity. Everyone saw this with Wall Street, when not one Wall Street executive was prosecuted after financial fraud caused the 2008 crash. (The ‘W’ administration got more than 2600 convictions of bankers for the S&L Crisis and 1706 bankers went to prison.)

Even when government is obviously and visibly absolutely corrupted, and refuses to prosecute the most horrific, egregious crimes, giving citizens no justice and no recourse, it remains wrong to “take the law into your own hands.” 

Even when the entire system is corrupted and everyone sees executives enriching themselves at the expense of the public and the planet, and “public servants” refusing to do anything about it and then when they leave “public services” they get lavishly compensated “jobs” or “consulting fees” “speaking fees” or “book advances” or other methods of payoff, it still is wrong to “take the law into your own hands.”

HOWEVER,
When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the Laws of Nature and of Nature’s God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation.

We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable Rights, that among these are Life, Liberty and the pursuit of Happiness.–That to secure these rights, Governments are instituted among Men, deriving their just powers from the consent of the governed, –That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness.

PS Trump SAID he was that, but he ain’t that.

Campaign Donations Should Be ‘Secret Santa’

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Campaign “donations” to fund politics are necessarily and obviously corrupting. Massive amounts are “donated” with the clear expectation of receiving something in return. Normally that is called “bribery” but the corrupt recipients of the bribes call it “free speech.”

And everyone knows this. Everyone sees the political finance system as corrupt. Everyone.

“Public financing” is one proposed solution. Campaign donations would be banned. Government finances political campaigns. But aside from the complexity of such a system, there are legitimate “free speech” arguments that people should be able to support candidates and parties they favor.

Secret Santa Donations

Here is an alternative that preserves “free speech.” Set up a “Secret Santa” system that prevents recipients from knowing where donations come from. You want to help a candidate or party? Fine! Sure, give all you can. But don’t expect anything in return because they won’t know where the money came from!

The point of a Secret Santa donation system is to stop the obvious bribery. So of course for this to work it must be difficult and illegal for donors to tell who they donated to and how much they gave, and for the candidates or parties to find out where money comes from.