Daily Digest - October 3: More Shutdown, Bigger Problems

Oct 3, 2013Rachel Goldfarb

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Republicans Split On Whether To Give Back Pay To Workers Furloughed In Government Shutdown (HuffPo)

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Republicans Split On Whether To Give Back Pay To Workers Furloughed In Government Shutdown (HuffPo)

Sabrina Siddiqui and Dave Jamieson report that while furloughed workers have always received backpay in the past, some Republicans say we might not be able to afford it. That the furloughed employees might not be able to afford rent is apparently irrelevant.

Here's How The Government Shutdown Gets Worse Over Time (Business Insider)

Josh Barro explains the timeline for how things will get worse through the month of October if the government remains shut down. The longer federal workers go without knowing when they will be paid, the more it will affect our economy.

What’s the Fight About? Republicans Struggle to Explain (MSNBC)

Suzy Khimm points out that while the GOP focused on Obamacare in the lead-up to shutdown, that's not what they're talking about today. They've shifted to broader fiscal issues, probably because starting a shutdown over a single law was a dead end.

Shutdown Coverage Fails Americans (AJAM)

Dan Froomkin thinks that by attempting to be fair and balanced in their coverage of the shutdown, journalists have failed in their duties. There's only one party responsible for the shutdown, and attempts at 'balance' conceal that truth.

Why Does the Debt Ceiling Matter? (Economist)

The Economist's daily explainer post tackles the debt ceiling, which doesn't actually involve taking on new debt. Raising the debt ceiling means giving the Treasury permission to let the deficit grow in accordance with other laws Congress has passed.

Why the Shutdown Is Leading to Debt Default; or, What Happens When You Take Hostages Without a Plan (NY Mag)

Jonathan Chait is convinced that Republicans plan to keep the shutdown going up to the debt ceiling deadline. The shutdown isn't giving them enough "hostages" to ensure a win in negotiation, because funding government is now a war.

New on Next New Deal

The Government Shutdown Could Be the Last Gasp of the Reagan-Friedman Agenda

Roosevelt Institute Senior Fellow and Director of the Bernard L. Schwartz Rediscovering Government Initiative Jeff Madrick suggests that the anti-government ideology of the 1970s and 80s is making another attempt to starve out government functions.

The Shutdown Shows the GOP Can't Accept Defeat in the War on Women

Roosevelt Institute Fellow Andrea Flynn argues that by tying their continuing resolution to anti-birth control measures before the shutdown, the GOP shows that they've already forgotten that they lost women in the presidential election by 36 points.

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The Shutdown Shows the GOP Can't Accept Defeat in the War on Women

Oct 2, 2013Andrea Flynn

When the GOP attempts to deny women access to contraception in the lead-up to a government shutdown, it’s hard to see how the party hopes to regain women’s support.

Yesterday the federal government shut down for the first time in two decades due, in part, to the GOP’s growing opposition to contraception. Republicans are intent on rolling back women's rights, and this time they are holding the federal government hostage in an attempt to advance their agenda.

When the GOP attempts to deny women access to contraception in the lead-up to a government shutdown, it’s hard to see how the party hopes to regain women’s support.

Yesterday the federal government shut down for the first time in two decades due, in part, to the GOP’s growing opposition to contraception. Republicans are intent on rolling back women's rights, and this time they are holding the federal government hostage in an attempt to advance their agenda.

With less than a day until the government would shut it doors, House Republicans put forth a spending bill that would enable employers, universities, and health insurance companies to deny coverage for contraception based on moral or religious beliefs. The bill would delay the “contraceptive mandate” – an Affordable Care Act provision that requires coverage of contraceptive and reproductive health services without co-pays – until January 2015. More broadly, the bill would delay the implementation of most ACA provisions for another year and would repeal a tax central to the law’s financing. Of course, delaying the law by a year is simply an attempt to overturn it altogether. Even Mitt Romney, who as Governor of Massachusetts implemented the very health overhaul on which the ACA is modeled, said a delay is the most strategic path to repeal.

The past few years have been an exercise in Republican tenacity as the party attempts to sink Obama's landmark domestic policy achievement. The fact that Obama won a second term in a decisive victory and that the U.S. Congress passed Obamacare into law and the U.S. Supreme Court deemed it constitutional is apparently meaningless.  

The GOP, hijacked by the right wing of its party, is redefining what it means to lose. Elizabeth Warren said it best on Sunday:

In a democracy, hostage tactics are the last resort for those who can’t win fights through elections, can’t win fights in Congress, can’t win fights for the presidency, and can’t win their fights in the courts. For this right wing minority, hostage-taking is all they have left: a last gasp for those who cannot cope with the realities of our democracy.

Since 2010, Republicans have voted 43 times to overturn the ACA. They have challenged the contraceptive mandate ad nauseam, have protested the employer mandate, and at the state level have refused to participate in the Medicaid expansion that would extend benefits to millions of uninsured, low-income individuals.

And President Obama, to the consternation of some on the left, has made concessions in hopes of advancing his overall agenda. Earlier this year, he compromised on the contraceptive mandate by enabling a broader group of self-defined faith-based organizations to qualify for a religious exemption, creating an accommodation where employees of those organizations can obtain full family planning coverage directly from insurance companies. He has responded to complaints from business lobbyists by agreeing to delay the employer mandate until 2015. (That provision requires employers with more than 50 full-time employees to offer affordable coverage for their workers, including children up to age 26.)

Republicans emphatically insist they are acting in the best interest of the American people. They aren’t. The ACA is good for women and for the entire nation. It has already expanded contraceptive coverage to millions of women, and within the next three years, approximately 13 million more uninsured women will be able to access affordable family planning and reproductive health services. The law will enable the majority of American women to access annual well-woman visits, screenings for cancer and STDs, maternal health care, emergency contraception, and pregnancy testing and counseling. Because of the ACA, individuals with pre-existing conditions will be able to get coverage and gender discrimination by insurance providers will be illegal. This law represents the most significant advancement in women’s reproductive health in nearly a century.

The unfolding debacle goes hand in hand with the reasons the GOP lost the women's vote in 2012 and is partly why they will not seize it back any time in the near future. Earlier this year, I wrote about the party’s self-reflective autopsy examining why and how Democrats carried the women’s vote by 36 points in the presidential election. They blamed their loss on a failed communications strategy but found little to be objectionable in the substance of their arguments. This week’s shutdown starkly illustrates the GOP’s inability to accept that the majority of Americans do not share their vision for the nation.

It’s becoming increasingly impossible for the GOP to argue that they care much at all about the women’s vote. Afterall, 69 percent of Republican women reported being opposed to a government shutdown, and 67 percent of registered voters believe that all workers should be allowed to access health care services regardless of their employer’s beliefs. And it turns out the only place contraception is controversial is in the halls of Congress; it is nearly universally accepted and used by Americans.

The GOP likes to say the "war on women" is a Democratic canard used to manipulate women at the voting booth. If only that were the case.

Andrea Flynn is a Fellow at the Roosevelt Institute. She researches and writes about access to reproductive health care in the United States. You can follow her on Twitter @dreaflynn.

 

Pills and calendar banner image via Shutterstock.com

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Daily Digest - October 2: Partisanship Shouldn't Hurt the Party

Oct 2, 2013Rachel Goldfarb

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What We Need to Fix Congress: More Partisanship (TNR)

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What We Need to Fix Congress: More Partisanship (TNR)

Roosevelt Institute Senior Fellow Mark Schmitt argues that the Republican party is actually acting in a strongly non-partisan manner right now. A focus on individual power over party power created the divides within the GOP that are fueling the shutdown.

Just What Are the Republicans Thinking? (Atlantic Wire)

Philip Bump looks at four possible rationalizations that Republicans may have used when they cast votes leading to the shutdown. None of these frames quite hold up as logical under scrutiny, probably because there's nothing logical happening here.

House GOP Pushes Piecemeal Approach as Democrats Stand Firm (NYT)

Jonathan Weisman reports that the GOP plans to push piece-by-piece spending bills today, funding just a few non-essential programs. Maybe they think that voters will stop blaming Republicans for the shutdown if the National Zoo's panda cam comes back online.

Democrats Should Reject a "Clean" CR (Slate)

Matt Yglesias suggests that now that government has shutdown, the Democrats should insist on a continuing resolution that increases the debt ceiling, or abolishes it all together. We don't need to go through this again in just two weeks.

U.S. Shutdown Has Other Nations Confused and Concerned (BBC News)

Anthony Zurcher explains why the international community is just so confused by what's happening in the U.S. right now. Almost no other country has a system of governance that makes a shutdown possible - which might be a good idea.

Shutdown Will Cost U.S. Economy $300 Million a Day, IHS Says (Bloomberg)

Jeanna Smialek and Ian Katz explain an assortment of estimates on the cost of the shutdown. There are losses to GDP, furloughed workers cutting spending, and slowed consumer confidence - not to mention market fluctuations.

The Ethic of Marginal Value (Jacobin)

Peter Frase challenges the common idea that labor follows, and should follow, standard models of supply and demand. Labor is not just another good, because labor is people, which requires separating the right to a basic standard of living from the labor a person does.

New on Next New Deal

Challenging the 'New Normal' of Violence in the U.S.

Roosevelt Institute | Campus Network Senior Fellow for Equal Justice Erik Lampmann argues for our ability to change the culture of violence in the U.S. He thinks that the progressive movement can take this on, and in fact has already started a lot of work that can be seen as anti-violence.

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Daily Digest - October 1: Welcome to the Shutdown

Oct 1, 2013Rachel Goldfarb

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Shutdown: The Last-Minute Tactics That Failed (MSNBC)

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Shutdown: The Last-Minute Tactics That Failed (MSNBC)

Suzy Khimm and Benjy Sarlin discuss how Congress failed to move their negotiations forward last night. Boehner has finally proposed a conference, something that Senate Democrats have called for almost as often as the House votes to repeal Obamacare.

The U.S. Government Has Shut Down: Does That Mean the Tea Party Won? (Quartz)

Tim Fernholz suggests that there is a win for the right here: the clean continuing resolution that is being discussed would maintain spending at current austerity levels, obscuring arguments on whether the budget should include more stimulus spending.

48 Ways a Government Shutdown Will Screw You Over (MoJo)

Tim Murphy's list includes everyone from furloughed Federal staffers and people on food assistance to ponies and trees. This comprehensive list shows just how much the federal government does that most Americans aren't paying attention to until a shutdown.

Here is Every Previous Government Shutdown, Why They Happened and How They Ended (WaPo)

Dylan Matthews lays out the history of government shutdowns since modern congressional budgeting began. Highlights include the 1977 "Abortion Shutdown III: Dark of the Moon," the 1982 "Let Them Eat Shutdown," and the 1987 "I Think You're a Contra."

How a Debt-Ceiling Crisis Could Become a Financial Crisis (NYT)

Annie Lowrey says that if the U.S. government goes into default, it could cause another financial crisis. The Treasury would be causing the crisis this time, so all the failsafe tools it developed with the Fed might not work properly.

Fixing Exorbitant CEO Pay: All is Not Lost (Fortune)

Eleanor Bloxham argues that today there is a better chance to change CEO compensation practices then there has been in a decade. Dodd-Frank provisions on CEO pay are starting to take effect, and other proposals would make even greater changes.

New on Next New Deal

President Obama's Best Move is to Force a Government Shutdown

Yesterday, Roosevelt Institute Senior Fellow Bo Cutter proposed that forcing a shutdown would be the most politically expedient option for the President. Today, we get to see if his predictions regarding how the shutdown will play out come true.

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Daily Digest - September 26: Watch Out for Default

Sep 26, 2013Rachel Goldfarb

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Default Notes (NYT)

Paul Krugman is concerned by the seeming non-response from markets to the possibility of a government default in mid-October. Shouldn't big business be worrying about the possibility of another recession, cuts to Federal spending, and a plunging dollar?

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Default Notes (NYT)

Paul Krugman is concerned by the seeming non-response from markets to the possibility of a government default in mid-October. Shouldn't big business be worrying about the possibility of another recession, cuts to Federal spending, and a plunging dollar?

You Really Ought to Be More Terrified of the Debt Ceiling (The Atlantic)

Derek Thompson points out that while a shutdown would have predictable effects, we have no idea what will happen if Congress fails to raise the debt ceiling. It's unclear if there's even a way for the government to prioritize payments in such a situation.

How One Stroke of the Pen Could Lift Wages for Millions (MSNBC)

Ned Resnikoff presents two possible executive orders that would raise the low wages of two million federally contracted workers. Many of these workers in DC are striking again, this time rallying outside the White House.

Thousands of Grocery Workers Vote on Strike Authorization (The Nation)

Allison Kilkenny reports on a United Food and Commercial Workers vote this week that could lead to strikes if contract negotiations with major grocery chains break down. The biggest concern is health insurance for part-time workers who are union members.

Some Public Companies are Divulging More Details About Their Political Contributions (WaPo)

Dina ElBoghdady reports that due to mounting pressure from shareholders and threats of lawsuits, some large publicly traded companies are starting to disclose more of their political donations. The SEC is deciding whether to step in and mandate such disclosures.

Insight: Wal-Mart 'Made in America' drive follows suppliers' lead (Reuters)

Jessica Wohl and James B. Kelleher argue that for all the stars-and-stripes PR, Walmart's decision to buy more American-made goods is all business. U.S. made products have lower shipping costs and no tariffs, which improves the mega-retailer's bottom line.

SEC Wins Big Fine From JPMorgan but Execs Skate Free (ProPublica)

Jesse Eisinger argues that even though JPMorgan is paying a large settlement for its wrongdoing in the London Whale case, the public still loses. Unless the Volcker Rule is written with serious disclosure requirements, executives will continue to be in the clear.

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Daily Digest - September 24: The Financial Reform Slowdown

Sep 24, 2013Rachel Goldfarb

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How Washington Caved to Wall Street (TIME)

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How Washington Caved to Wall Street (TIME)

Roosevelt Institute Chief Economist Joseph Stiglitz argues that Wall Street lobbyists have managed to essentially halt financial reform in the U.S. Banks and the administration are working side-by-side to convince Americans that the financial sector is working safely, but that's just not true.

Shutdown vs. Default: The Relative Impact (NYT)

Annie Lowrey compares the possible impending results of government inaction. There's already a plan in place for a shutdown, which would keep things orderly; with no plans for public default, the impact would be messier and far more expensive.

The Day after Shutdown (TAP)

Jonathan Bernstein explains how the bargaining table changes if we hit a government shutdown on September 30. He thinks that if it comes to that, the Democrats will come out on top - but the far right will maintain that they could have won if the GOP had just held out longer.

The House Republicans’ Dangerous New Constitutional Doctrine: Repealing Laws by De-Funding Them (Robert Reich)

Robert Reich points out the unconstitutionality of the current Republican strategy. The Affordable Care Act passed both houses of Congress and was signed into law; if the GOP wants to repeal it, they need to pass a repeal, not refuse to fund it.

How Walmart Got Government Support, Despite Union Pleas (Salon)

Josh Eidelson reports that unions used every connection they had to try to stop White House events promoting Walmart, to no avail. Hiring veterans doesn't make Walmart a good employer, and selling healthy food doesn't make it good for communities.

The Idiocy of Crowds (Reuters)

Felix Salmon argues that under new laws that allow for equity crowdfunding, which just went into effect, start-ups that failed to get investors in traditional ways will seek "dumb money" that doesn't know better. He sees a future full of lawsuits.

Does the Fed Have a Communication Problem, Or Do Markets Have a Listening Problem? (WaPo)

Neil Irwin suggests that monetary policy is communications, and today we get more information from the Fed then ever before. That view of the inner workings of the Fed means that markets are more aware of how difficult it is to make long-term plans.

New on Next New Deal

The Next Real Fight for Obamacare Will Be in 2014

Roosevelt Institute Senior Fellow Richard Kirsch argues that leading up to the 2014 elections, Democrats must organize the beneficiaries of the Affordable Care Act to be its spokespeople. Those stories will sell Obamacare - and Democrats - to the voters.

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Why New York is Home to So Many of the Working Poor, in Graphs

Sep 16, 2013Nell Abernathy

The Bernard L. Schwartz Rediscovering Government Initiative is trying to understand how New York got so unequal. And we're looking for solutions.

The Bernard L. Schwartz Rediscovering Government Initiative is trying to understand how New York got so unequal. And we're looking for solutions.

So what is behind this big shift toward income inequality in New York? Income trends in the city represent an amplified version of our national problems: low-wage jobs without benefits are replacing middle-wage jobs that could support families. Nationwide, middle-wage jobs constituted 60 percent of the jobs lost during the Great Recession and only 22 percent of those regained during recovery, according to analysis from Roosevelt Institute’s Annette Bernhardt at NELP. Meanwhile, low-wage jobs made up only 21 percent of recession job losses and 58 percent of jobs gained since.

The national trend started well before the Great Recession.

And in New York, it’s been the same, but worse. A 2012 report from the Federal Reserve found that middle-income jobs comprised 67 percent of employment in downstate New York in the 1980s, but by 2010, that number fell to 55.8 percent.

Top that off with the fact that for the last decade, wages have risen for the top 5 percent and stagnated or fallen for middle- and low-income workers, and you begin to see the currents driving our inequality crisis.

Why is this happening? Technology? Wall Street? Policy? Education?

We’ll explore those questions and potential solutions at our upcoming panel, "Inequality in New York: The Next Mayor’s Challenge."

Nell Abernathy is the Program Manager for the Roosevelt Institute's Bernard L. Schwartz Rediscovering Government Initiative.

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The 2 Train Travels Between New York's "Two Cities"

Sep 13, 2013Nell Abernathy

New York City is as starkly divided along economic lines as it is connected by its famous subway lines.  The Roosevelt Institute is looking for solutions.

New York City is as starkly divided along economic lines as it is connected by its famous subway lines.  The Roosevelt Institute is looking for solutions.

Another fun/depressing/informative infographic on New York City’s stunning wealth divide: Back in April, before the election was heating up, the good people at The New Yorker plotted the diverging extremes in median income of New York neighborhoods along the subway lines. It turns out you can actually ride the 2 train from prosperity to poverty.

The neighborhood surrounding the 2 train Chambers Street stop in Tribeca  has a median income of $205,192 and is among the city's wealthiest.

Fourteen miles further north, around the East 180th Street stop in the Bronx, median income is $13,750. For those who think income is irrelevant as long as you can access the American dream, opportunities aren't so great up there, either.

 Come learn about solutions from the experts at our September 24 event, "Inequality in New York: the Next Mayor’s Challenge."

Nell Abernathy is the Program Manager for the Roosevelt Institute's Bernard L. Schwartz Rediscovering Government Initiative.

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Three Graphs That Show Why Inequality Matters in the New York City Mayoral Race

Sep 11, 2013Nell Abernathy

The New York City primary results show that the issue of rising inequality is striking a chord with voters. Here's why.

The results are in and two (or three) candidates are one step closer to Gracie Mansion. What we know for certain is that along with winning international attention and prime seats at Yankee Stadium, New York’s next mayor will inherit a city that is more unequal in terms of income than any other major city in America.

The increasing polarization of wealth in New York has been a hot topic and served as the campaign centerpiece for one of yesterday’s big winners, Bill de Blasio. We are trying to resist pointing out that experts like our own Jeff Madrick were talking about this problem even before the drum circles of Zuccotti Park, but we’re happy that the city’s Sierra Leone-like inequality is at last making headlines.

Because we know that we can do better, and we hope our next mayor will at least try, the Roosevelt Institute’s Bernard L. Schwartz Rediscovering Government Initiative is taking a look back at some of the most compelling charts and graphs to surface on the long road to Election Day.

From James Parrott, at the Fiscal Policy Institute, who will be a panelist at our upcoming forum on inequality:

The top 1 percent are capturing a growing portion of the nation’s economy, and nowhere is that trend more pronounced than in New York.

The top 1 percent, in fact, pay less than their fair share of the tax burden:

Meanwhile, the poverty rate in New York City continues to rise: 

We will be back tomorrow with more infographics. To learn more about potential solutions to our growing wealth gap, join us for our panel discussion on Tuesday, September 24:

Inequality in New York: The Next Mayor’s Challenge

September 24, 2013

6:00 p.m. cocktail reception

6:30 – 8:00 p.m. panel discussion

Roosevelt House, Public Policy Institute at Hunter College

49 East 65th Street

New York, NY 10065

Nell Abernathy is the Program Manager for the Roosevelt Institute's Bernard L. Schwartz Rediscovering Government Initiative.

The New York City primary results show that the issue of rising inequality is striking a chord with voters. Here's why.

The results are in and two (or three) candidates are one step closer to Gracie Mansion. What we know for certain is that along with winning international attention and prime seats at Yankee Stadium, New York’s next mayor will inherit a city that is more unequal in terms of income than any other major city in America.

The increasing polarization of wealth in New York has been a hot topic and served as the campaign centerpiece for one of yesterday’s big winners, Bill de Blasio. We are trying to resist pointing out that experts like our own Jeff Madrick were talking about this problem even before the drum circles of Zuccotti Park, but we’re happy that the city’s Sierra Leone-like inequality is at last making headlines.

Because we know that we can do better, and we hope our next mayor will at least try, the Roosevelt Institute’s Bernard L. Schwartz Rediscovering Government Initiative is taking a look back at some of the most compelling charts and graphs to surface on the long road to Election Day.

From James Parrott, at the Fiscal Policy Institute, who will be a panelist at our upcoming forum on inequality:

The top 1 percent are capturing a growing portion of the nation’s economy, and nowhere is that trend more pronounced than in New York.

The top 1 percent, in fact, pay less than their fair share of the tax burden:

Meanwhile, the poverty rate in New York City continues to rise: 

We will be back tomorrow with more infographics. To learn more about potential solutions to our growing wealth gap, join us for our panel discussion on Tuesday, September 24:

Inequality in New York: The Next Mayor’s Challenge



September 24, 2013



6:00 p.m. cocktail reception



6:30 – 8:00 p.m. panel discussion



Roosevelt House, Public Policy Institute at Hunter College



49 East 65th Street



New York, NY 10065

Nell Abernathy is the Program Manager for the Roosevelt Institute's Bernard L. Schwartz Rediscovering Government Initiative.

 

New York City skyline image via Shutterstock.com

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Policy Note: Will Crowdfunding Kickstart an Investment Revolution?

Sep 5, 2013

Download the policy note (PDF) by Georgia Levenson Keohane

In a new policy note, Roosevelt Institute Fellow Georgia Levenson Keohane examines the policy and political implications of peer-to-peer financing. In recent years, crowdfunding has emerged as a financing model that allows smaller funders to invest in projects and organizations in their early stages – particularly those that would otherwise struggle to obtain capital. Peer-to-peer funding experiments first emerged in the nonprofit sector, but have since expanded to the realms of for-profit investment and political activism.

Download the policy note (PDF) by Georgia Levenson Keohane

In a new policy note, Roosevelt Institute Fellow Georgia Levenson Keohane examines the policy and political implications of peer-to-peer financing. In recent years, crowdfunding has emerged as a financing model that allows smaller funders to invest in projects and organizations in their early stages – particularly those that would otherwise struggle to obtain capital. Peer-to-peer funding experiments first emerged in the nonprofit sector, but have since expanded to the realms of for-profit investment and political activism. The proliferation of crowdfunding models and uses requires a nuanced policy response, one that balances the imperative to support the growth of small businesses and new jobs with safeguards for investor protection.

Read the policy note: "Will Crowdfunding Kickstart an Investment Revolution?" by Roosevelt Institute Fellow Georgia Levenson Keohane.

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