Audacity, Audacity, Always Audacity: Why Obama and Baucus Should Push for a Carbon Tax

Apr 29, 2013Bo Cutter

A carbon tax would bring long-term rewards, but it will take leaders willing to make short-term sacrifices.

We are at an unacknowledged turning point for the economy and the environment. We could, right now, substantially reduce our debt and deficit projections, take a major step toward a better environment, create a simpler and fairer tax system, make job creation easier, and raise economic growth a bit. For all of these reasons, we could and should adopt a carbon tax.

A carbon tax would bring long-term rewards, but it will take leaders willing to make short-term sacrifices.

We are at an unacknowledged turning point for the economy and the environment. We could, right now, substantially reduce our debt and deficit projections, take a major step toward a better environment, create a simpler and fairer tax system, make job creation easier, and raise economic growth a bit. For all of these reasons, we could and should adopt a carbon tax.

Taking this step depends on two men: President Obama and Senator Max Baucus, chair of the Senate Finance Committee. Both men want to leave an important legacy, and both are in a unique political position: they still possess real political power, but neither will ever face another election. (Obama, of course, is limited to two terms, and Baucus has just announced that he will retire.) Acting together, the two of them could completely change the odds of enacting a carbon tax this year.

Right now, if you ask around, as I have, there are many across the ideological spectrum who agree that a carbon tax would help us solve a lot of problems, but they won't take a public step because they see no leadership support. My own gut feeling is that there would even be energy industry support for a carbon tax. President Obama and Senator Baucus could change this picture by making a carbon tax a priority and building bipartisan support for the project.

Why should we care? Let's look at four issues: federal revenues, the tax system, jobs, and – oh, yeah – the environment.

First, a carbon tax of $20 a ton would raise about $120 billion a year, or $1.2 trillion over a decade. Right now, everyone anywhere near the budget debates is in a convenient and delusional state of mind about revenues. The conventional wisdom is that we either do not need more revenues or they are easy to find. So here are some counter-assertions: (1) despite the right’s imaginations, we are not going to cope with the retirement of the boomers, the doubling of folks on Medicare, and our need for fundamental infrastructure investment without new revenues; (2) despite the speeches the left makes to itself, the problem won't be solved by taxing whomever the left decides is rich; (3) we aren't going to end the home mortgage and charitable deductions. There will come a point when $1 trillion in new revenue over the next decade that actually makes the economy and the world a little better will look pretty interesting, so why not try for it now?

Second, the tax system is a mess and more caught in a state of political gridlock than even the rest of the federal budget. The system is far too complicated, and it probably lowers economic growth and job creation. More practically, raising new revenues from this structure is next to impossible; the 40-year strategy of broadening the base and lowering rates (a strategy I agree with) has played itself out. With the carbon tax's $1 trillion, you could exempt low-income families, reduce the payroll tax, lower overall tax rates, and still bring down the debt and deficit. Sure, there would be fights about how to use the extra revenue, but those are fights the political system is supposed to have.

Third, jobs. We rely way too much on payroll taxes. They are very, very inefficient, and they directly and visibly add to the costs of job creation. Back when the U.S. economy was an unstoppable job machine, these taxes looked as though they were cost-free. Not anymore. I am optimistic about our long-term economic prospects, but I also think the jobs of the future will require much more education and training content than the jobs of the past, and therefore employers will be much more sensitive to other costs, i.e., taxes. Anything sensible we can do to make job creation easier and less costly is a step we should take.

Finally, the environment. A lot has been published recently about climate change and its sensitivity to greenhouse gases. Cutting through all of the models and the uncertainties, the net conclusion is that warming is probably a small bit less sensitive to greenhouse gases than we have thought. Climate change deniers have used this for the obvious purposes. But the actual end conclusions haven't changed much. At current rates, we will put half a trillion more tons of carbon into the atmosphere by 2045 and 1 trillion more by 2080. Because of this the Earth's temperature will probably warm about three-quarters of a degree in the next 30 years and 1.5 degrees over the next 50. (30 years may seem a long time to some of you; from my perspective, it's a blink of an eye away.) And the math keeps suggesting that the earth's sensitivity to extreme events is increasing more rapidly than global warming. So the future may be less hot but more dangerous.

Isn't it worth a small amount of political difficulty and a fairly small tax now to slow down these trends? Everyone in politics talks a lot about political courage – mostly their own. As far as I can tell, political courage normally consists of doing something your supporters love and your opponents hate and then bragging about it. But maybe the two leaders I mentioned at the start will realize that they can afford to change that definition and leave a real legacy.

Roosevelt Institute Senior Fellow Bo Cutter is formerly a managing partner of Warburg Pincus, a major global private equity firm. Recently, he served as the leader of President Obama’s Office of Management and Budget (OMB) transition team. He has also served in senior roles in the White Houses of two Democratic Presidents.

 

Melting Earth image via Shutterstock.com

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Millennials Identify Three Keys to Preventing the Next Superstorm Sandy

Apr 22, 2013Preeya Saikia

Current and future leaders convened at Yale to explore a proactive approach to natural disasters.

Current and future leaders convened at Yale to explore a proactive approach to natural disasters.

It’s been six months since Superstorm Sandy devastated the Northeast, but its impact can still be felt. Recently, members of the Roosevelt Institute | Campus Network held a conference at Yale University to consider the policy implications of the disaster. New Haven Congresswoman Rosa DeLauro set the stage for the conference with a keynote reminding us that “disasters test contracts of citizenship.” This notion was embodied in student presentations on ongoing policy work influenced by actions that governmental and non-governmental agencies took to manage the crisis.

A guiding principle behind these student policies and the speaker presentations: planning efforts for a natural disaster are hardly limited to trouble-shooting the problem when it occurs. As future policymakers, we must have thoughtful disaster plans in place, anticipate factors that contribute to the occurrence of natural disasters, and forecast the ramifications of rebuilding an area after a disaster strikes.  

Preparedness

Sandy was an opportunity for citizens to pull together in the face of adversity. This positive outcome aside, we should not lose sight of why community members had to create ad hoc campaigns in the first place: they were filling gaps in formal disaster relief efforts, some of which still haven’t even been identified. Students advocated for increased efficiency in relief plans to help neglected segments of the population, with one calling for an assessment of the role of civilian first responders in order to understand what public agencies can do to organize this manpower going forward.

To take one example, Sandy separated many mental health patients from their caretakers and limited their access to medicine. As one student policy pointed out, well-intentioned individuals tried to fill the void, but they lacked the background to handle these situations. Speaker Mary Casey Lockyer, Manager of Disaster Services for Health Services at the Red Cross, explained that while many Red Cross volunteers are registered nurses who have the training to handle mental health issues, they are also over the age of 50. These well-practiced volunteers faced challenges in moving around during the storm due to their advanced age. Her recommendation is for younger people to volunteer with the Red Cross as apprentices to these professionals so that they can be trained and mobilized in the event of another Sandy-sized disaster.

Another student policy in progress identified the asymmetric level of relief available to low-income Americans compared to their wealthier counterparts. In identifying this gap, public agencies can revise disaster plans to incorporate all Americans. Speaker Robert Smuts, Director of Emergency Management in New Haven, stressed that it is critical for public agencies to anticipate what will go wrong and prepare the right units accordingly. In anticipation of Winter Storm Nemo, which brought 34 inches of snow to New Haven, he prepared snow trucks that also had medical supplies and tools to cut down fallen trees.

Preventative Measures

Natural disasters are not entirely preventable, but there are measures that public agencies can adopt to mitigate the level of damage and the frequency with which they occur. Several student policies made the connection between climate change and natural disasters. One Roosevelter investigated the role of weather forecasting in disaster prevention. In her research, she found that America’s forecasting model lags behind Europe’s. This is a critical technical deficiency, since an advanced computer model could alert us to disasters sooner and allow us to build adequate buffers to mitigate damages and limit human suffering by evacuating people from areas that are likely to be devastated.

Another approach to prevent the effects of climate change is to limit the use of fossil fuels that release greenhouse gas emissions. One student policy looked at using solar power towers to harness the sun’s energy in lieu of fossil fuels.

Rebuilding    

If there is one takeaway from the conference, it is that we need to rebuild devastated areas thoughtfully. Speaker James Rausse, President of the American Planning Association’s New York chapter, enlightened us on the reality of overseeing a rebuilding project in Breezy Point. The storm destroyed several businesses, which had repercussions for the local economy. The challenge of rebuilding Breezy Point lies in deciding what ought to be developed and how to finance the project.

Congresswoman DeLauro addressed the challenge of financing rebuilding efforts through a National Infrastructure Bank. This entity would leverage private investments for public projects. The Concourse Fund, a student-run microfinance institution that began in Fordham University, suggested a stock market model for ideas on rebuilding in order to answer the question of “what ought to be developed.” The exchange would provide public officials with the opportunity to review all rebuilding ideas, as well as the cost and effectiveness of these ideas. This would allow them to make sound decisions and justify those choices to the public based on the market results.

Students also contributed their own ideas on what ought to be built, including a suggestion that we create a national park to serve as a buffer between high sea levels and residential communities in the Lower East Side. This would also allow the community to raise revenue from park entrance fees and events.

In order to answer the questions of “what ought to be developed” and “how to finance projects”, the Concourse Fund introduced the idea of retrofitting buildings with green roofs, which limit the fossil fuels that city buildings use for maintenance. As an added advantage, these green roofs would be financed through small business loans from community banks, which would result in active small businesses that stimulate the local economy.

The conference at Yale was an invaluable experience for all who attended. Several of the student presentations led to collaborative brainstorming sessions, which led to partnerships to develop ongoing policy work. Students also connected with speakers to help them develop their policies. Some of these students have already shown interest in showcasing their projects at the Roosevelt Institute’s annual Policy Expo in Washington, D.C., and submitting their final policies for publication in the next edition of the 10 Ideas journal. The conference was a unique opportunity for students to hear from individuals who are active in the Sandy recovery and rebuilding efforts, and it gave current leaders the chance to hear from future leaders in public service.

Preeya Saikia is the Economic Development Policy Director at The City College of New York's Roosevelt Institute | Campus Network.

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Mike Konczal: The BP Trial Could Be Environmental Regulation's Last Stand

Mar 4, 2013

This past weekend, Roosevelt Institute Fellow Mike Konczal joined a panel on MSNBC's Melissa Harris-Perry to discuss the significance of the BP trial and the true cost of the damage caused by the Deepwater Horizon oil spill in 2010. Because of weak laws and regulatory capture, Mike says, the civil court system "is ultimately the last form of regulation we have." But will the punishment, if any, fit the crime?

This past weekend, Roosevelt Institute Fellow Mike Konczal joined a panel on MSNBC's Melissa Harris-Perry to discuss the significance of the BP trial and the true cost of the damage caused by the Deepwater Horizon oil spill in 2010. Because of weak laws and regulatory capture, Mike says, the civil court system "is ultimately the last form of regulation we have." But will the punishment, if any, fit the crime? "It's one thing for them to say, 'There's all these damages and we're going to pay them out.' That's just basic fairness," Mike argues. But "without a serious payout that is punitive and that actually deters future behavior, we're going to see more things like this." Unfortunately, "People will tally up things that they can measure, but human suffering, third-order poverty that has skyrocketed as a result of all this industry collapse, that is very difficult to put a price tag on."

Watch the full video of Mike's appearance below:




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In Sandy's Wake, Millennials Must Take the Lead on Preventing Future Disasters

Mar 1, 2013Melia Ungson

Though Superstorm Sandy is fading from the headlines, we must keep working to help its victims and build a safer future.

Though Superstorm Sandy is fading from the headlines, we must keep working to help its victims and build a safer future.

On October 29, Superstorm Sandy made landfall in New Jersey, leaving damage strewn across the Caribbean in its wake. With a diameter of 820 miles, Sandy was the largest Atlantic tropical storm to date and caused roughly $50 billion in damage, making it the second most costly disaster after Hurricane Katrina. Hospitals were evacuated, the stock exchange was closed for the first time since 1888, levees broke, the New York City subway flooded, power was cut to 8 million homes, and communities were left to cope with property damage and the loss of loved ones. While damage and hardship were widespread, the storm greatly affected the region’s most vulnerable: the poor, the ill, and the elderly.

The storm may be long over, but its effects are still tangible today. To ensure a strong recovery and resilient future, it is essential that people continue to engage, innovate, and take action on issues related to Sandy’s impact and larger implications. As the people who will be grappling with future storms, environmental issues, health impacts, and community vulnerability, Millennials can and must make a considerable contribution in determining how we move forward.

Communities have proven resilient, with businesses, politicians, utility workers, organizations, and residents uniting to help provide relief and begin rebuilding, but there are still many ongoing struggles and lingering questions. In the immediate aftermath of the storm, there were calls to address climate change and outdated infrastructure, but that sense of urgency has largely subsided. Hospitals are coping with the closure of facilities and an overflow of patients. More than 3,500 families in the region still have no home and others no heat, relying on continued support from FEMA. Those whose flooded homes did withstand the storm face the problem of mold, and homeowners along the coast are worried about the increasing cost of flood insurance. President Obama cited Sandy’s disruptions to economic activity as one reason why the economy shrunk in the last quarter of 2012. Clearly, though Sandy has faded from the headlines, many in the Northeast are still feeling its effects.           

Other communities across the country are similarly grappling with the lasting impact of extreme weather events. Hurricane Katrina hit New Orleans just over seven years ago, and while there has been much progress, people are still coping with its effects. Under half of the pre-Katrina bus routes are running in New Orleans, a third of low-income mothers in the city are still suffering from post-traumatic stress symptoms, and many homes remain abandoned or damaged. Even when Sandy hit the Northeast in October, New Jersey and other parts of the region were still recovering from Hurricane Irene, which made landfall in August 2011. Given this recognition that a storm’s impact lasts long after its landfall, it is particularly important that we continue to monitor recovery and develop innovative solutions in Sandy’s aftermath.

Government, in its capacity as a steward of the common good, has a critical role in leading relief efforts and promoting development strategies that will reduce vulnerability. Many elected officials have embraced this role. Recently, New York Governor Andrew Cuomo proposed purchasing homes that were damaged by Sandy, tearing them down, and maintaining the easily flooded areas as undeveloped land, which would serve as a natural buffer to protect coastal communities. While not yet approved, that program, which would pay residents the pre-storm value of their now damaged homes and offer incentives for others in vulnerable areas to sell and relocate, would cost roughly $400 million and involve approximately 10,000 homes in the 100-year flood plain. However, many elected officials have avoided some of the most difficult questions. This past August, North Carolina’s state legislature passed a law that banned the use of the latest data on sea level rise when planning coastal development, leaving residents along the coast without the long-term strategies that could reduce vulnerability to floods, storms, and rising oceans.

Students and other young people are determined to consider these difficult questions and build on innovative policy solutions. As we approach the six-month mark of Superstorm Sandy in April, Millennials around the Northeast are coming together to examine what has been done and is being done to help affected groups and to consider the best ways to protect our communities in the future. With the state of emergency now in the past, we have a measure of distance and perspective that makes it possible to envision strategies for a more resilient future in addition to ongoing recovery efforts. There are serious concerns that warming oceans may provide fuel for increasingly powerful storms, but climate change isn't the only issue that warrants attention. We must also consider how we prepare and build, how we support the most vulnerable members of our communities, and how we can fairly and effectively respond after a disaster. Many community organizations, decision makers, members of the defense community, and businesses have been eager to engage in this discussion and have proposed changes to emergency response and infrastructure. Millennials, many of whom felt Sandy’s impact, are eager to push this conversation and action forward. If we fail to act today, they are the ones who will be affected by and tasked with addressing these challenges in the years to come. 

Melia Ungson is the Roosevelt Institute | Campus Network's Northeast Regional Coordinator.

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The Time is Right to Create a 21st Century Infrastructure Bank

Feb 20, 2013Georgia Levenson Keohane

President Obama has called for the creation of an infrastructure bank. Congress must follow his lead.

“It's not a bigger government we need,” President Obama said in the State of the Union address, “but a smarter government that sets priorities and invests in broad-based growth.” The creation of a national infrastructure bank is a “smarter government” idea whose time has come.

President Obama has called for the creation of an infrastructure bank. Congress must follow his lead.

“It's not a bigger government we need,” President Obama said in the State of the Union address, “but a smarter government that sets priorities and invests in broad-based growth.” The creation of a national infrastructure bank is a “smarter government” idea whose time has come.

Plans for a national infrastructure bank – one that uses federal funds to incent or leverage even greater investment, public and private, in large-scale public purpose projects – have been percolating since the 1990s. President Obama has long been a champion, and the idea has enjoyed bipartisan support in Congress and backing from the likes of the AFL-CIO and U.S. Chamber of Commerce. Yet we remain stalled in enacting this kind of finance facility, despite the weight of evidence of its potential efficacy and the urgency of the infrastructure (and financing) need. It is time, as the president urged, to put the nation’s interest before party, and to use this kind of public-private partnership to make the investments vital to our economic prosperity.

Arguments in favor of the I-Bank are premised on simple logic. Investments in the infrastructure we require to remain economically competitive – improved roads and bridges, high-speed rail, a new power grid, universal broadband access, renewable energy – will also put people to work. “Smart” use of some of our public dollars via grants, loans, loan guarantees, and other risk-mitigating instruments can encourage or stimulate substantially greater investment in these projects by states, municipalities, and private sector actors. Senators John Kerry, Kay Bailey Hutchison, and Mark Warner estimated that their proposed $10 billion American Infrastructure Financing Authority could unleash an additional $640 billion in infrastructure spending over the course of a decade.

With all this win-win, what explains the delay in actually establishing such a bank? First, given current fiscal constraints, every dollar counts, and even a few budgetary billions that promise significant return on investment may not deliver those returns in this election cycle. Instead, many in Congress prefer to retain prerogative over on what and where investments are made (preferably in their districts) rather than cede allocation decisions to an independent authority. Second, despite the endorsements from pro-business groups like the Chamber of Congress, a number of conservative Republicans have voiced predictable remonstrations: concerns over project selection process (“picking winners”), fear that the investment needs of metropolitan areas will be privileged over those of rural states, and a general (and congenital) preference for state-level decision making.

In fact, states have already taken the lead on creating infrastructure banks, as necessity has bred all kinds of invention. In the U.S., approximately 75 to 85 percent of infrastructure spending is financed by state and local governments, an unsustainable burden for states whose budgets and borrowing capacity have been eviscerated by the global financial crisis. According to the Federal Highway Administration, 32 states have infrastructure banks, and many new entities are taking shape, from Alaska to Virginia. Last year, the New York Works Task Force, headed by Felix Rohatyn (who helped save New York City from bankruptcy in the 1970s) called for the creation of a multibillion-dollar infrastructure bank for the Empire State.

In Chicago, Mayor Rahm Emmanuel, who as President Obama’s chief of staff was actively involved in the White House push for a national infrastructure bank, has created the Chicago Infrastructure Trust (CIT), designed to spur private capital investment in a range of infrastructure projects, including transportation, alternative energy technologies, and telecommunications and broadband access. The CIT will be capitalized by the likes of Citibank and JP Morgan and will fund projects with both debt and equity. The first local I-Bank of its kind, the CIT lies at the heart of Chicago’s new economic growth strategy.

A national infrastructure bank could learn from these local experiments. Private sector investment is not a panacea; it only lends itself to projects that can generate sufficient revenue, often in the form of user fees, like tolls on roads, to attract commercial capital. Sometimes, particularly when municipalities sell off assets, there can be unintended consequences to privatization. In 2008, Chicago Mayor Richard Daley famously leased the city’s parking meters to a private consortium for a handsome up-front fee of $1.15 billion. However, subsequent valuations of the future parking meter revenues put them at approximately $11.6 billion over 75 years – money that will accrue to the private investors, not to the city for things like education, libraries, or transportation.

A number of important new studies draw on these local experiments and best practices from around the world, including those of the European Investment Bank, which was established in 1958 and attracts a wide range of investors. Emilia Istrate and Robert Puentes note that 30 countries have specialized public-private partnership (PPP) units within their governments to promote this kind of cross-sector work. They suggest that, in addition to a national I-Bank, such an office could be housed within the Office of Management and Budget and could support state and local governments with their infrastructure investments. The idea is not to supplant or crowd out state or local investment efforts. As William Galston and Korin Davis point out, a national I-Bank would facilitate regional projects that span multiple states or those that promote goals that are truly national in scope, such as renewable energy development, a seamless power grid, or multimodal freight transport.

This would not be the first time we have looked to public-private partnership for massive infrastructure modernization and job creation. Franklin Delano Roosevelt’s New Deal included public-private ventures like the Tennessee Valley Authority, which FDR described as “a corporation clothed with the power of government but possessed of the flexibility and initiative of a private enterprise.” Obama’s New Deal – Keynes meets leveraged finance – would draw on this tradition of cross-sector collaboration with an eye toward our 21st century economic needs.

Calls for greater infrastructure investment have been amplified in recent months by events like hurricane Sandy, which underscore the urgency – and often regional and national nature – of the need. Polls from Lazard and the Rockefeller Foundation, among others, show that the vast majority of Americans, despite valid privatization concerns, are supportive of a mix of infrastructure finance that includes private sector capital, particularly if it is in lieu of further budget cuts or tax increases. The president and Congress must seize the moment: the time is right for a significant public-private investment in our nation’s future.

Georgia Levenson Keohane is a Fellow at the Roosevelt Institute and the author of Social Entrepreneurship for the 21st Century: Innovation Across the Nonprofit, Private, and Public Sectors.

 

Infrastructure image via Shutterstock.com.

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The Inaugural Address and a Vision of America

Jan 28, 2013Bo Cutter

President Obama's second inaugural had soaring language but fell short of a transformational vision of the future.

President Obama's second inaugural had soaring language but fell short of a transformational vision of the future.

Inaugural addresses are poetry and vision. They are not about governing and programs. Judged this way, President Obama's second inaugural speech was wonderful poetry. The president excels at these big set pieces and he delivers them magnificently. In these moments he is magnetic, and it would take a very crabbed spirit not to acknowledge this. To quote Newt Gingrich, it was a good speech. But the vision of America in the speech is disappointing -- not because it is wrong, but because it isn't sufficiently penetrating and insightful. It is far too incomplete. It does not rise to the quality of his mind or of his poetry.

Some thoughts about the president's speech itself before expanding on my concerns about the president's vision:

The headline instant analysis of the speech all said this was a defiantly progressive statement. Maybe history will see it that way, but I doubt it. This was a very, very conventional restatement of progressive thought and values. It can only be thought of as some sort of signature statement because of how far toward the right debate in Washington shifted after the arrival of the Tea Party.  

I'm not a "progressive" in today's terms, but nevertheless I'd argue that the values the president emphasized have become conventional because they are right. And after a completely unedifying and at times ugly presidential campaign, and then a really dispiriting congressional lame duck session, some of these values needed to be reasserted. We do face problems requiring government and collective action, as the president discussed. The nation is not divided neatly into givers and takers as Governor Romney believes. Equal opportunity for every American ought not to be a question we debate. And even in the middle of a bitter immigration dispute about who are or can become Americans, we have to act decently. We ought to be able to resolve our immigration problem without seemingly taking delight in making good and decent men and women miserable, even if they are here "illegally."

I even found the president's statement of support for Medicaid, Medicare, and Social Security completely traditional and unexceptional. The statement that "The commitments we make to each other – through Medicare, and Medicaid, and Social Security – these things do not sap our initiative; they strengthen us" is hardly a call to the barricades. Who out there expected the president, after winning a second term, to say anything differently? Who put the odds very high above zero that the president would suddenly acknowledge that Paul Ryan was right after all?

And I'm delighted that the president finally returned to climate change -- although it is very, very late. I'll acknowledge a high degree of self-interest here. I chair Resources for the Future, a 65-year-old economic think tank that is one of the world's leading centers of thought on climate, energy, and the environment. I believe there are more and less effective ways to approach climate and environmental issues, but I think the problems are real and have to be addressed. It is depressing that much of the Republican Party -- once again never missing a chance to miss a chance -- has decided, immediately after the president's speech, that the whole climate issue is a ruse, part of a deviously clever plot by the president to expand the regulatory state. I guess I'm glad for the human species that there are climate deniers like Holman Jenkins and George Will who are so awesomely smart that with 1,000 words and a few anecdotes they can disprove a quarter century of climate science. But I don't take a word of any of this as serious commentary. Since we are, right now, trashing the planet, I hope forging a long-term creative approach to this central question is how the president chooses to be transformational.

But this brings me to the incompleteness of the president's vision. America is a great deal more -- and is entering times more challenging -- than today's conventional progressive vision suggests or the president said in his speech. I'd underline three subjects the president left out: change, business and economic growth, and our decentralized society.

To start with, we are facing immense simultaneous changes in our economy, the world economy, technology, the diversity of our population, the nature of work, and our environment. Any vision you choose to have about America has to be put in the context of these changes.

But we are experiencing a very low rate of economic growth, and we cannot cope with these big changes unless our economic growth rate rises. The only way that can really happen is through business and the private sector. We have the most dynamic and innovative private sector in the world. Unless it stays that way, as a nation we won't be able to afford all of that collective action the president wants. However, the president never mentions the private sector and it seems conspicuously excluded from his insistence that we have to work together. To have the only mention of the private sector focus exclusively on rules and regulations just isn't remotely appropriate.

More broadly, we have the richest and most diverse civil society in the world, strong state and local governments, and an ethos that is insistently individualistic and decentralized. These are mostly strengths. Big government and big companies really do have a strong tendency to take all of the air out of the room, to homogenize everything, and to relentlessly oppose innovation and change. It is our decentralization and diversity that makes us a uniquely dynamic nation.

We are a very complicated mosaic and much more of it should be celebrated than the president chose to in his speech. I wish he had put his insistence on the timeless quality of the values he underlined in the context both of the need to retain the dynamism of American society and the American economy and in the context of the immense changes we are facing. How to keep these values fresh in the midst of the changes we have to navigate -- that's a topic made for a second inaugural.

Finally, a brief specific point. The president said, "[W]e reject the belief that America must choose between caring for the generation that built this country and investing in the generation that will build its future." Great. But that's exactly the choice we are making now, and there is no sign we are changing. Our national government is already mostly about defense, transfer payments to the elderly, and the cost of our (growing) debt. On current trends we will spend all of our tax revenues on those three functions in the year 2020. And the president's speech was decidedly lukewarm about resolving the state of our fiscal health. If I were in the generation that "will build America's future," I'd be gratified by the sentiment and all, but I'd worry a lot more about the numbers.

Roosevelt Institute Senior Fellow Bo Cutter is formerly a managing partner of Warburg Pincus, a major global private equity firm. Recently, he served as the leader of President Obama’s Office of Management and Budget (OMB) transition team. He has also served in senior roles in the White Houses of two Democratic Presidents.

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Two Inaugurals, Two Messages: From Mushiness to a Clear, Progressive Vision

Jan 22, 2013Richard Kirsch

President Obama's second inaugural moved past a vague message of compromise and charted a progressive course toward the future.

Four years ago, I stood in the cold listening to President Obama’s first inaugural address. I remember it leaving me cold. This year, in the warmth of my den, the president’s clear projection of progressive values as core American values warmed my heart.

President Obama's second inaugural moved past a vague message of compromise and charted a progressive course toward the future.

Four years ago, I stood in the cold listening to President Obama’s first inaugural address. I remember it leaving me cold. This year, in the warmth of my den, the president’s clear projection of progressive values as core American values warmed my heart.

I just looked back at Obama’s first inaugural address to see why I found it so disappointing. The speech starts by acknowledging the crisis of 2008, with the economy collapsing and war raging. As required, the president says that America is up to the challenge. The address includes a short list of progressive points on the economy, climate change, and the role of government. But these are interspersed with acknowledgments of the validity of conservative arguments. There is no unifying, values-based narrative or vision.

What a difference from yesterday's address, which starts with the promise of the Declaration of Independence – we are created equal in the pursuit of life, liberty and happiness – and then unabashedly extends that to the struggle for civil rights, which Obama has often shied away from being seen as championing. He grounds our 200-year history “through blood drawn by lash, and blood drawn by sword," reminding us that "no union…could survive half-slave, and half-free.”

From there, the president charges directly to the historic role of government in building our physical and human capital. And unlike four years ago – when he first trumpeted the role of free markets and then noted the need for regulation – he says unambiguously, “Together, we discovered that a free market only thrives when there are rules to ensure competition and fair play” and that “a great nation must care for the vulnerable and protect people from life’s worst hazards and misfortunes.”

Even when the president recognizes values shared by progressives and conservatives – skepticism that about central authority and the importance of initiative and personal responsibility – he quickly affirms that “preserving our individual freedoms ultimately requires collective action.” To meet the future, the president says, will take the kind of things government does – educate children, invest in infrastructure – declaring, “Now more than ever, we must do these things together, as one nation and one people.”

From there he makes it clear that our economic success is undermined when “a few do very well and growing many barely make it.” Instead, "America’s prosperity must rest upon the broad shoulders of a rising middle class. We know that America thrives when every person can find independence and pride in their work, when the wages of honest labor will liberate families from the brink of hardship.”

Obama then begins to build a bridge linking the dignity of the individual with the collective, which he expands as his address progresses. The first span of the bridge is to connect the prospects of a “little girl born into the bleakest poverty” with freedom and equality “not just in the eyes of God, but also in our own.” He continues to build the bridge, insisting that in updating government programs, we should aim to “reward the effort and determination of every single American.” He then makes it clear that this includes keeping the “commitments we make to each other through Medicare and Medicaid and Social Security,” which “strengthen us” and “do not make us a nation of takers. They free us to take the risks that make this nation great.”

The president then puts forth a values-based linkage of government's role in tackling climate change, refuting climate deniers and linking addressing climate change to our “economic vitality” and natural “national treasure.”

Reaching to a preacher’s eloquence, the president affirms that he is not leaving anyone behind in our national journey. The cadences of “our mothers and daughters can earn a living equal to their efforts," “our gay brothers and sisters are treated like anyone else under the law,” “no citizen is forced to wait for hours to exercise the right to vote,” “immigrants who still see America as a land of opportunity,” and “children from the streets of Detroit to the hills of Appalachia to the quiet lanes of Newtown” resound with the voice and spirit of Dr. King. The president has built a bridge that links individual initiative and responsibility to oneself and each other with a values-driven role of government that unites our diversity on the American journey.

Progressives need to pay close attention to another bridge Barack Obama has built here. He has integrated often separate strains: identity politics and the politics of government playing a key role in building an economy based on equal opportunity. The more we link those, the more we will create a story about America that commands a lasting majority.

No progressive story of America would be complete without putting movement at its core, which the president does forcefully in his alliterative embracing of “Seneca Falls and Selma and Stonewall.” Notably, these reminders come at the end of his discussion of our role in the world, as he links American movements to Dr. King’s proclamation that our individual freedom is inextricably bound to the freedom of every soul on earth.

He doesn’t leave the call for action in the past. His concluding paragraphs clarify that “You and I, as citizens, have the power to set this country’s course.”

The president will need lots of help setting that course over the next four years; surely he’ll be tested to keep to it himself. Our job is to do everything we can to assist him.

Richard Kirsch is a Senior Fellow at the Roosevelt Institute, a Senior Adviser to USAction, and the author of Fighting for Our Health. He was National Campaign Manager of Health Care for America Now during the legislative battle to pass reform.

 

Sign post image via Shutterstock.com.

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Where Sandy Meets the Election: Tackling Climate Change in a Second Term

Nov 13, 2012Hannah Locke

As part of the "Millennial Priorities for the First 100 Days" series,

When Hurricane Sandy decimated the East Coast, laying waste to coastal towns, flooding main streets, and shutting down power for 8 million people, the U.S.’s 40-year inaction on climate change slapped us in the face. If there was ever a wake-up call, this is it. We can no longer afford to argue whether or not global climate change will affect us. It can, it will, and it already has.

As part of the "Millennial Priorities for the First 100 Days" series,

When Hurricane Sandy decimated the East Coast, laying waste to coastal towns, flooding main streets, and shutting down power for 8 million people, the U.S.’s 40-year inaction on climate change slapped us in the face. If there was ever a wake-up call, this is it. We can no longer afford to argue whether or not global climate change will affect us. It can, it will, and it already has.

With our climate at a crossroads, I call upon newly re-elected President Obama to take necessary, bold action. We must prepare ourselves for the effects of the climate change we’ve already committed and, most importantly, we must revolutionize the way we operate. The Millennial generation will not accept the status quo, and we will not watch the newly re-elected Congress and president squander the viability of our future resources. We demand that our future not be short-changed for the political profits of today.

Our wealth as a nation blinded us to the destabilization already suffered by the majority of the world. We are no longer exempt—our tax base won’t stop the rising seas, our fortunes won’t halt the positive feedback cycles undermining our agricultural, aquacultural, and economic systems.

But our collective action can. We must, as a nation, commit to reinvesting our time, energy, and financial resources in building an economy that does not sacrifice the ecological stability of the planet. This means admitting that the dinosaur industries that currently dominate our economy aren’t sustainable economically, socially, or environmentally. This means that we must not fear the enormity of the task at hand—we need not only to overhaul our fossil fuel addiction, but also to challenge our Western perceptions of development.

This is not to say we are powerless. We remain the most innovative, well-funded, and resource-rich country in the world. We possess in our communities leaders who envision an equitable future and a private sector with all of the inventive thinking to construct efficient ways of delivering clean energy. We have bountiful prairies, mountains, watersheds, and coastal shores that, if protected and managed properly, could easily provide for the country.

Here are the first steps President Obama can take to a pragmatic, equitable future:

1) Dismantle inequitable subsidies: Oil, coal, and corn subsidies mean that market prices reflect a higher supply than is realistic. Subsidies also fuel colossally inefficient systems that waste precious natural resources and disconnect the consumer from the producer. Stripping subsidies away from large industries will provide incentives both in the private sector (in the research and development of cleaner, more reliable forms of energy and agriculture) and in the consumer households (by encouraging efficiency and empowering consumer choice). Taxpayer money, currently used for subsidizing these industries may be used to finance grid overhaul, public education programs, retrofitting efforts in older cities, off-shore wind farms, etc. President Obama’s administration should work with legislative allies to deconstruct antiquated subsidies in order to better invest in an economy of the future.

2) Reinvest in cities and public infrastructure: By reinvesting in efficient public transport and inner-city education programs, as well as restructuring tax and utility systems to reward high-density communities, cities could become beacons of sustainability. The strongest model of sustainability promotes environmental, social, and economic sustainability equally—we must be careful not to disenfranchise current communities for the sake of old models of environmentalism. Ground-up, neighborhood-based movements utilizing community strengths to tackle community weaknesses combat social and environmental inequities. Urban agriculture, watershed management, and diverse economies are proven steps in the movement toward sustainable cities. President Obama must support energy policies and infrastructure reform that would allow for state and local governments to exercise creativity and innovation.

3) Create jobs through sustainable energy systems: Climate change has been wrongly, and successfully, framed as a choice between the abstract “environment” and the concrete impact of the “economy.” But by reinvesting in long-term, renewable, clean energy (wind, geothermal, sun, cellulosic ethanol), the United States can create high-paying, steady employment while reducing the environmental health costs commonly associated with fossil fuel industries. Why remove a mountain for minimal amounts of coal at the high cost of community health when you can install wind turbines, protect the water, air, and land of the local community, and promote long-term job stability?

4) Ban the XL Keystone Pipeline: Allison Rich investigated the claims of the pipeline’s proponents and found that the proposed project makes no sense economically, socially, or environmentally. None of the profits would stay here. The construction jobs are menial and short-term, a band-aid economic solution to a country that needs economic surgery. We’d get all the pollution but not a drop of the profits.

5) Introduce cap and trade legislation to regulate greenhouse gases: A market of transferable pollution permits with expiration dates would distribute a limited amount of permits (potentially through lottery or auction). The number of permits would originally be determined not by current use, but by what the acceptable amount of pollution is that proves least disruptive. In our case, the number of permits would need to be radically low—I suggest a moderate amount at first, allowing approximately 60 percent of current amount of GHG pollution, with expiration dates. The private sector would be forced to invest in research and development of more efficient, less wasteful practices, and dinosaur industries (those that could not survive without cheap fossil fuels) would give way to more sustainable consumption patterns.

6) Assume responsibility: In order for any of these crucial steps to be taken, we must first recognize the following: The science is indisputable. Hurricane Sandy is only the beginning. As a resource-rich and wealthy country, we’ve been living in a falsely cushioned world. Per capita, we are the most impactful society on this planet. It is our responsibility to quit our selfish behavior. The president should make a public statement regarding not only our disproportionate role in catalyzing climate change, but also our determination to become a more environmentally equitable country.

We’ve waited long enough. We’ve elected you, Mr. President. Now let’s get to work.

Hannah Locke is the Senior Fellow in Energy & the Environment for the Roosevelt Institute | Campus Networkn and a senior environmental studies and biological sciences double major at Goucher College.

 

Barack Obama image via Shutterstock.com.

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The Green Side of the Fiscal Cliff

Nov 13, 2012Wilson Parker

As part of the "Millennial Priorities for the First 100 Days" series, a call to tackle the budget and climate change at the same time.

As part of the "Millennial Priorities for the First 100 Days" series, a call to tackle the budget and climate change at the same time.

On last Tuesday night, a triumphant President Obama thanked supporters in Chicago. “We know in our hearts,” he said, “that for the United States of America, the best is yet to come.” But as the elation of the moment subsided, many supporters undoubtedly began to ask a simple question: how? What is President Obama going to do in the next four years to move “the task of perfecting our union” forward?

For supporters who were listening closely, the text of his speech contained some answers to that question. In the next two months, President Obama and Congress will face the automatic series of spending cuts and tax increases that has been dubbed the “fiscal cliff,” a sudden package of austerity that, according to a report from Congressional Budget Office, is likely to send us into a double dip recession, causing GDP growth to plummet to -0.5 percent and sending unemployment over 9 percent.

In perhaps the most important line of his speech – “We want our children to live in an America that isn't burdened by debt, that isn't weakened by inequality, that isn't threatened by the destructive power of a warming planet” – President Obama gave us some clue as to how he intends to avert the fiscal cliff and articulated his administration’s greatest challenges and ambitions. With these words, Obama may be tacitly endorsing an idea that has been floating around in DC policy circles for some time: addressing the fiscal cliff by, among other things, implementing a carbon tax.

Carbon pricing schemes have been wildly popular among progressive policy experts for a long time. For instance, the Center for American Progress included such a scheme in a 2007 report entitled “Capturing the Energy Opportunity,” which was published as part of an economic plan for the next administration. The report concluded that “once businesses have to factor the cost of emitting CO2 (and other greenhouse gases) into their bottom lines, the power of the marketplace will start to push toward efficiency, low-carbon fuels, [and] renewable energy.” (“The Price is Right” also discusses the budgetary and economic effects of carbon pricing.) But a carbon price is finally beginning to enjoy support on both sides of the aisle. Even Grover Norquist is now amenable to a carbon tax in lieu of letting income tax cuts expireIn a brilliant summary of this idea, the Washington Post’s Ezra Klein writes:

Let’s say you believe there is a 20 percent chance that global warming is anything other than a hoax. In that case, you are indifferent to carbon, with only a slight concern that the stuff might be catastrophic. But you are not indifferent to work and income, which everyone wants more of. So given a choice between taxing work and income on one hand, or taxing carbon on the other, the preference is clear: Tax carbon, especially as part of a deal to lower overall tax rates.

Some conservative groups and economists have already made this argument. Martin Feldstein, who was the top economist in Ronald Reagan’s administration, proposed a carbon tax in the Wall Street Journal back in 1992. When the American Enterprise Institute, a conservative think tank, had to submit a deficit-reduction plan as part of the Peter G. Peterson Foundation’s 2011 Fiscal Summit Solutions Initiative, the four scholars in charge of the project included a $26-per-ton carbon tax in order “to address environmental concerns in a more market-friendly manner.” Gregory Mankiw, a Harvard economist who advises Mitt Romney’s campaign team, has written that there is “broad consensus” among wonks for a global carbon tax.

That’s what makes this idea so exciting. Klein described this idea as “just a dream,” but now that the president has identified debt and global warming as top priorities – and, tellingly, mentioned them together in the same sentence – this dream is that much closer to becoming a reality. There are still many, many obstacles to a plan like this being adopted. But with the reelection of the president, progressives who hope for action on climate change and the debt now have reason for some cautious optimism.

In addition to debt and climate change, President Obama also identified the equally damaging but far more insidious problem of being “weakened by income inequality.” As challenging as climate change and the national debt are, policy solutions are available: if you want a balanced budget, raise taxes and/or cut spending (but not in a recession!); if you want less climate change, emit less carbon by creating a disincentive. Addressing income inequality, however, requires having a serious conversation about the role of government in our society and, indeed, the nature of our society itself. In a fantastic op-ed for the New York Times, Chrystia Freeland explains what could happen in a society that does not address severe income inequality: “the 1 percent pulls away from everyone else and pursues an economic, political and social agenda that will increase that gap even further — ultimately destroying the open system that made America rich and allowed its 1 percent to thrive in the first place.”

President Obama has already made some progress, most notably by repairing the gaping hole in our social safety net that allowed more than 40 million Americans to go without health insurance. In his speech and on the campaign trail, he has signaled that he is willing to fight for better schools for children of all backgrounds and a tax code that asks the wealthy to pay their fair share. But those commitments have yet to be turned from rhetoric into reality.

Ultimately, Barack Obama will be remembered as a good president if he can solve our nation’s obvious problems: the wars in Iraq and Afghanistan, the lack of access to affordable healthcare, climate change, and the national debt. But he will be remembered as a great president if, like his forebears Franklin Roosevelt and (yes) Ronald Reagan, his ideas succeed in transforming and reforming the role government plays in our society.

Wilson Parker is a member of the Roosevelt Institute | Campus Network's chapter at UNC Chapel Hill, where he is studying economics. He serves as the co-director of the chapter's Economic Policy Center.

 

Barack Obama image via Shutterstock.com.

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Did the Vice Presidential Candidates Have Anything to Say to Millennials?

Oct 12, 2012

The debate was certainly heated, but did it offer any solutions to the next generation? Members and staff from the Roosevelt Institute | Campus Network and Pipeline weigh in.

Grant Ferowich, Roosevelt Institute | Campus Network, Wake Forest

The debate was certainly heated, but did it offer any solutions to the next generation? Members and staff from the Roosevelt Institute | Campus Network and Pipeline weigh in.

Grant Ferowich, Roosevelt Institute | Campus Network, Wake Forest

As Paul Ryan and Mitt Romney stated in consecutive debates, one message is clear: they stand for a strong(er) military. Indeed, Paul Ryan’s supposedly ruthless and draconian Budget Plan actually increases defense spending by 20 percent. The budget-minded Republicans apparently have a tainted perception of foreign policy. Since the end of the Cold War, the percentage of our national budget devoted to security has hardly changed. We are in an arms race with ourselves.

Despite attempts to reassure citizens with promises of security and protection, it seems that the Republican mindset fails to grasp that a bigger military means a bigger government. Furthermore, as the Simpson-Bowles Bipartisan Deficit Reduction plan notes, our nation cannot afford to be the world’s police. Currently, the U.S. spends more money on the military than the next 15 countries combined. This includes China, Russia, and the U.K., and the list goes on. It simply is not coherent for the Millennial Generation to accept a platform that promises to cut Pell Grants in half while increasing the size of a bloated military. And we of course must not forget the warning of General Dwight D. Eisenhower: “The problem in defense is how far you can go without destroying from within what you are trying to defend from without.”

Dante Barry, Roosevelt Institute | Campus Network Chapter Services and Summer Academy Coordinator

We still got the standard talking points from both Vice President Joe Biden and from Congressman Paul Ryan, and we are still without answers to issues like education, immigration, money in politics, and so forth. I was disheartened to also not hear much for young people, despite Ryan's disconcerting remarks about Social Security. Politically, Vice President Biden did what President Obama should have done last week, though it was an unsuccessful appeal to undecided voters, similarly to last week's presidential debate with an aggressive Romney. I'm glad that we were able to see a well moderated debate that challenged both vice presidential candidates on their actions and their stances. 

David Weinberger, Roosevelt Institute | Pipeline, New York

While it was clear to me that Vice President Biden was able to give the more articulate, level-headed, and progressive vision for America's future last night, he could have been a bit stronger. It's great that both campaigns claim to be fighting for a "fair shot" for the middle class. Indeed, the Obama administration has made some valiant efforts to bring quality education, health care, and other social and economic services to the middle class. But the administration has also made significant progress in ensuring that all Americans, regardless of background or location, have access to the environmental services that underpin public health and economic opportunity. Low- and middle-income Americans don't have a fair shot without clean air, clean water, and access to clean and affordable energy resources. The Obama administration's environmental record is by no means an environmentalist's dream, but the air, water, and climate standards issued under it have been essential--and uncelebrated--components of the recovery. The American economy is nothing without the people who drive it, and that means that we must continue to invest in sustaining healthy communities. Environmental standards and green job investments are not points on the president's record to run away from. The Obama campaign should embrace these accomplishments as linchpins in his recovery effort. By separating the president's environmental record from his economic recovery agenda, the campaign is opening itself up to misguided accusations that the administration has sacrificed economic goals for investments in what Congressman Ryan claims is a failed green jobs program. I'll take a solar installation job and clean water over asthma and a Medicare voucher any day.

Naomi Ahsan, Roosevelt Institute | Campus Network, University of Rochester

My greatest disappointment last night was the lack of detail on Ryan's too-good-to-be-true budget. Twenty-seven days out from an election that everyone says is about the economy, we still don't have any specifics on the proposed tax cuts. Reducing potential revenues is the opposite of paying down a debt. We do know that austerity for our social insurance programs is going to materially increase Americans' suffering. Ryan confirmed tonight that he and Romney don't understand America's struggle. It's not just about saving money and having more to spend. It's also about having a healthy economy with jobs, mobility, and the nurturing of research, education, and entrepreneurship. I do applaud the attention to American foreign policy, which historically and regrettably lacks democratic character in representing American opinions and respecting global humanitarian needs. 

Mawish Raza, Roosevelt Institute | Pipeline, University of Maryland

Vice President Joe Biden and Congressman Paul Ryan not only surprised viewers with a gripping, emotional debate, but one that was surprisingly stimulated by substance. Regardless of my personal views, both candidates presented the issues and represented their views through meaningful content. Unlike the enthusiasm, or lack thereof, during the first round of presidential debates last week, both exuded exhilaration throughout the course of the debate, from Vice President Biden’s sarcastic expressions to Congressman Ryan’s searing comebacks. Moderator Martha Raddatz also played the role of an actual moderator by pressing relevant, controversial issues, such as the war in Afghanistan, abortion, and the role of religion in policy. When discussing the tragic loss of Ambassador Stevens and the Obama administration’s reaction to the recent Middle East protests, Congressman Ryan indicated that the appropriate response to a tumultuous minority faction would have been to dismiss the film entirely and only deplore the violence that resulted. With all respect, Mr. Congressman, the glaring problem with this hard power approach -- which would apply to all international affairs -- is that it fails to create a relationship and dialogue with the resentful populations. Mr. Congressman, you probably didn’t notice, but during this misguided "Muslim rage," there were other protests going on in regions such as Cairo -- led by students occupying the American University of Cairo -- for high tuition rates. Following this was a protest by doctors, also in Cairo. This is what the Arab Spring seemed to have missed and what the Romney-Ryan campaign has blatantly ignored. By simply reducing an entire region to the heinous crimes committed by an extremely small, misrepresenting faction, we are encouraging the anti-western sentiment that caused the loss of Ambassador Stevens, continues to influence the ayatollah's negation, and triggers terrorist organizations to keep targeting American civilians. We should not defend these individuals and organizations that jeopardize and endanger our security and react aggressively. At the same time, rather than aggressively imposing our political standards and values on another culture through the presence of our military, we need to create dialogue and conversation that will stabilize a longer-lasting framework. When honoring the loss of a dearly departed diplomat, it is only just to continue the mission and values that he worked so hard to develop in Libya.

 

Tahsin Chowdhury, Roosevelt Institute | Campus Network, CCNY

The vice presidential debate between Joe Biden and Paul Ryan was indeed entertaining, and it was pleasant to see my peers who are not usually politically active to engage in a political discussion through social media. Some people were tweeting/writing statuses about Joe Biden’s use of the word “malarkey” and his laughter, and others were focused on more substantive issues. I had some issues with both candidates and their performance in the debate.

While Joe Biden was substantively the stronger candidate, consistently disproving Paul Ryan’s statements and aggressively standing his ground, it should not go unnoticed that he presented a degree of unprofessionalism in the debate. While Paul Ryan was making his arguments, Vice President Biden consistently interrupted with an argument and trying to disprove his opponent. My “left wing New York" peers were the first to criticize Mitt Romney about interrupting President Obama, but were reluctant to disagree with Joe Biden’s same tendencies. The same happened with my Romney supporter peers except vice versa. This double standard and stubborn bias is unproductive for American “political growth” of the youth and it’s sad to see that people’s objective approaches to a political discussion are waning in numbers. Joe Biden was also inaccurate on one of his statements about the fact the U.S. Embassy that was attacked in Libya did not request more diplomatic security personnel. Many journalistic sources claim they have. While I do not believe Joe Biden bluntly lied, I believe he is inaccurate and this was most likely an internal management flaw within the intelligence community. It does take government a lot of clearance to get from one end to the other. Vice President Biden should have cleared this information with his staff before the debate.That was a lack of responsibility from his end.

Paul Ryan had difficulty criticizing the opposition on foreign policy. When asked about how he’ll increase spending on the defense budget, he denied he said that and made the attempt to justify/fabricate what he said. Biden justified reallocation of defense funds elsewhere in the government by saying that America is ending its wars abroad slowly and money may not be well spent if such funding remains. Paul Ryan attempted to justify adding more to the budget by saying “we need more security” when we clearly spend more money on defense than all the other countries combined. He stumbled on the question of “what’s our current national security threat” and displayed utter weakness of his grasp of the topic. With regards to Afghanistan, they both tended to agree. However, Paul Ryan made the attempt to disagree, which showed weakness. Vice President Biden did a powerful job maintaining the argument that U.S. military was successful in training Afghani security forces.

Democrats and Republicans switched places from the first debate in the sense that Vice President Biden was playing offense and Paul Ryan was playing defense with a weak offense. He maintained accuracy of substance -- for the most part, that is -- and that makes him the “winner” in common wisdom. I look forward to the debate on foreign policy. It will be difficult for Mitt Romney to criticize President Obama on the topic, because much was accomplished in Obama’s four-year term as president: Osama Bin Laden was assassinated, Muammar Gadhafi was murdered and Libya “liberated,” Egypt democratized, and American interests in Southeast Asia were reaffirmed. And Obama continued many Bush policies while affirming the Iraq and Afghanistan troop withdrawal.

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