Thursday, July 07, 2011

Social Security and Medicare: the radical disconnect

Robert Reich, The Truth About the Federal Budget Deficit That Noone [sic] Is Willing to Tell 12/02/2010:

Rarely before in American history has there been more disconnect between Washington and the rest of the nation. Washington is obsessing about the projected federal budget deficit. Everyone else in America is worried about jobs.
Seven months of bipartisan wailing about the alleged horrors of the deficit and debt, polls do show more people naming that as a problem.

But there is overwhelming support for Social Security and Medicare. And President Obama has come out in opposition to them. And for our Pod Pundits, this counts as "adult" behavior and bravely joining hands and jumping off the cliff together. No, the two images don't make sense together. But neither do our pundits much of the time.

The current fight to save Social Security and Medicare from President Obama's push to cut them illustrates just how true Reich statement is: "Rarely before in American history has there been more disconnect between Washington and the rest of the nation." Except maybe he was being too modest. Never before might be closer to it.

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Obama, who opposes Social Security and Medicare, offers more surrender to the Republicans

President Obama, who opposes Social Security and Medicare, is now signalling to the Republicans that he's taking the threat off the table of using the 14th Amendment as authority to prevent US sovereign debt default if the Congress doesn't raise the debt ceiling: Sam Stein, White House Rules Out Constitutional Option On Debt Ceiling: Report Huffington Post 07/07/2011.

That threat was at least a plausibly legitimate exercise of Executive power, unlike some of the national security claims this White House has made. Now they are taking that off the table, apparently to increase the political momentum for serious cuts in Social Security and Medicare, both programs the President opposes.

Here's the 07/07/2011 PBS Newshour report on the debt-ceiling talks, in which President Obama is proposing cuts to Social Security and Medicare that would represent a major step in phasing out both programs:



I'm sick of this. If any debt-ceiling deal contains cuts to Social Security and Medicare, the Democrats in Congress should vote it down. Period. If the Republicans' friends on Wall Street think that's going to cost them more money than whatever they think they will gain from cutting Social Security and Medicare, let them twist their Republican lackeys' arms and get the vote. For any Democrat to vote for a deal like this is a disgrace.

We shouldn't forget how the Beltway Village austerity brigade of wealthy lobbyists and overpaid media whores see whatever cuts are made as part of the debt-ceiling dealing as only the beginning in a rapid dismantling of Social Security and Medicare. Reliable Establishment pundit Ron Brownstein, whose wife worked for John McCain, write in a June 27 column, The Fiscal Foothill National Journal, before President Obama went public with his own opposition to Social Security and Medicare, "But taxes and entitlements [Social Security and Medicare] are unavoidably the key to stabilizing the long-term debt. That means, whatever happens in the current talks, Washington will need to confront those explosive issues again, probably in 2013."

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We now have a sitting Democratic President that opposes Social Security and Medicare

Major Garrett reports for the National Journal on Debt Ceiling: Social Security Changes on the Table in Debt Talks 07/07/2011:

While the political jousting continues, President Obama and congressional Republicans are moving closer to a multi-tiered deal that would include changes in Social Security benefits, tax reform, increases in various user fees, and large-scale cuts in annual spending, according to numerous sources close to the negotiations.
In the current neoliberal lingo, "tax reform" means temporarily removing some corporate tax loopholes while permanently lowering corporate tax rates.

How did things come to such a sorry pass? The invaluable Gene Lyons relates and important part of the story in The GOP turns its back on Reagan Salon 07/06/2011. Despite the Republicans' obvious intransigence and crackpot radicalism, Obama seems to be desperately holding on to his belief that he compromise his way to some kind of constructive consensus with them. Gene's piece also brings out an important point. Obama's self-image seems to be particularly strong on the idea that he can compromise with conservatives. That helps explains why he's willing to take such self-destructive actions to compromise with Republicans but is more than happy to take a hard line against "the left" in his own Party. And, as of this week, "the left" in American politics now means you support Social Security and Medicare.

Major Garrett continues:

No agreement exists and both sides continue to shadow box even as they move cautiously around the underlying policy and unpredictable political reaction any one or all of these potential shifts might incite. On Social Security, it's unclear if Obama is willing to raise the retirement age or merely [!!!] accept changes in inflation-adjustment calculations that would reduce benefits but not alter the program's basic architecture. Administration officials have said a proposal from Obama's Simpson-Bowles deficit-reduction commission to raise the Social Security income cap are among the ideas being considered if there is a comprehensive deal in the making.

In the nitty-gritty of negotiations, Republicans have made clear to Obama if he wants to spare domestic "investments" funded through discretionary spending he need only embrace structural changes to Social Security or Medicare. Republicans contend altering current benefit schedules would extend solvency for Social Security and put bigger deficit-reduction numbers on the board, giving Obama more room for annual discretionary spending. And both sides are still fighting over how much to cut future defense spending within the context of annual discretionary spending. Democrats want deeper cuts than the GOP and the GOP wants to guard against any legislative bias in favor of defense cuts over non-defense discretionary savings. Like every other issue, much has been discussed and dissected -- but nothing has been agreed to. [my emphasis]
No one should be fooled by the terminological fog. "Chained CPI" is the current hot proposal for Social Security phaseout. It means adjusting the cost-of-living increases so that the older you get, the less money you get. Think of it as Let Grandma Eat Catfood Lite. And since women tend to live longer after 65 than men, it will hit female recipients harder than men. It will seriously hurt both, and will kick down the political dam blocking the Republicans from gutting the program.

Well, at least we know that old ladies in the 80s and 90s will be doing their share of suffering to spare rich Americans the hideous pain of paying taxes to support their country.

Democrats' worst fears about Obama have essentially come true. He refused to prosecute torture crimes and other felonies from the Cheney-Bush Administration, he escalated the war in Afghanistan, started a new war in Libya and makes the most far-ranging claims for Executive power ever. And now he's offering the Republicans his own political head and those of other Democratic candidates on a platter, by offering to cut Social Security and Medicare in ways that begin the actual phaseout of those programs. He didn't see how private-insurance based healthcare reform as a necessary compromise because he couldn't get something like Medicare-for-everyone passed. He saw it as a substitute for Medicare.

Normally, I would insert here an affirmation of the obvious, that, yes, the Republicans would be worse than Obama on these issues. But if the Democratic Party under Obama is in the process of completely undoing itself, that becomes almost irrelevant. Obama's path for the Democrats leads to something like late-nineteenth century Germany up to the First World War, in which an authoritarian conservative Party dominated policies and the toothless Parliament mainly provided and outlet for critical grousing about the system. Or maybe like the Habsburg Empire for that same period, in which Parliament was even more of a powerless body.

Ari Melman explains how politically toxic Obama's opposition to Social Security and Medicare are in Democrats to Obama: Don't Cut Social Security and Medicare The Nation:

"I earned capital in the campaign, political capital, and now I intend to spend it," President Bush said after the 2004 election. He used that capital to push for the privatization of Social Security. By the time the fight was over, after both Democrats and Republicans rebelled against his radical scheme, Bush had almost no political capital left. What should have been the high point of the Bush Presidency instead signaled the beginning of the end.

President Obama could soon be facing a similar moment if he decides to put significant cuts to Social Security and Medicare on the table as part of a deal with Republicans to raise the debt ceiling, as the Washington Post and New York Times are reporting. The president and Congressional leaders will meet again at 11 am today to discuss the issue.

Leaders of both parties have agreed that the debt ceiling must be raised to avoid a potential economic catastrophe. Yet the GOP has had the upper hand in this discussion from day one, insisting that any agreement—which everyone assumes is inevitable—includes massive spending cuts. Republicans know they made a huge mistake by voting for Paul Ryan's radical budget plan, which led them to lose a special election in New York’s 26th Congressional district and could lead to many more GOP losses in November 2010. They’ve been begging the White House to give them a lifeline on Medicare. It seems they may get one and then some, with a Democratic president offering to cut two of the signature achievements of his party—not to mention two of the most popular government-run programs in the country — in the midst of a prolonged recession.
I don't know how bad the repercussions of Obama's opposition to Social Security and Medicare will be. No one does for sure. I'm confident that they will be large. And, for the Democratic Party, likely very destructive.

Also from Salon, David Sirota takes a shot at the speculation in If Obama cuts Social Security ... 07/07/2011:

In making this announcement (which formally embraces the concept of Social Security cuts first proposed by Obama's debt commission), the White House has lost all credibility in arguing that its 2012 political problems are the result of unfair expectations, particularly on the left.
Sirota has been predicting such an outcome pretty much since Day One of Obama's Presidency. His commentary, including this one, has carried a definite element of smug cynicism. I still find that element annoying. But a sitting Democratic President coming out in opposition to Social Security and Medicare is a major event in American politics, even though it may look like sensible "adult" behavior to our Pod Pundits in the Beltway Village bubble. It's hard to begrudge Sirota his I-told-you-so-moment right now. Even if his Fargo imagery is unappetizing.

To cite a third Salon piece, Glenn Greenwald, who has been holding fond if mostly fanciful hopes of some sort of left-right realignment around civil-liberties and peace, also comments on Obama's anti-Social Security and anti-Medicare turn in Reports: Obama pushing for cuts to Social Security, Medicare 07/07/2011. Sadly, he's right about this:

It's been bleedingly obvious for some time that the bipartisan D.C. political class and the economic factions that own it have been intent on massive cuts to Social Security and Medicare ... but the combination of deficit hysteria (repeatedly bolstered by Obama) and the manufactured debt ceiling deadline has, by design, created the perfect pretext to enable this now. As one "Democratic official" told the Post: "These moments come along at most once a decade. And it would be a real mistake if we let it pass us by." Naomi Klein's Shock Doctrine is not a GOP-exclusive dynamic.
(Funny, that unusual phrase "bleedingly obvious" sounds entirely normal in the way Glenn uses it.) And he asks the obvious question:

What's particularly revealing in the Social Security/Medicare assault is the political calculation. The President obviously believes that being able to run by having made his own party angry -- I cut entitlement programs long cherished by liberals -- will increase his appeal to independents and restore his image of trans-partisan conciliator that he so covets. But how could it possibly be politically advantageous for a Democratic President to lead the way in slashing programs that have long been the crown jewels of his party, defense of which is the central litmus test for whether someone is even a Democrat? [my emphasis in bold]
Glenn is probably at least a day or two out of date. Defense of Social Security and Medicare is now a distinctive feature of "the left," not of the Obama's Democratic Party.

The ugly reality of US politics today is: we now have a sitting Democratic President that opposes Social Security and Medicare.

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Are we in the post-Obama era?

How does that saying go, prophecy is difficult, especially if it's about the future? Sounds like something John Maynard Keynes said, or should have said.

Still, after seeing that depressing headline yesterday about the Democratic President offering up cuts in Social Security, I'm feeling at the moment like we've entered the post-Obama era. For better or worse. Paul Krugman wrote a week ago in alarm over Obama's performance in the debt-limit negotiations:

Republicans believe, in short, that they’ve got Mr. Obama's number, that he may still live in the White House but that for practical purposes his presidency is already over. It's time — indeed, long past time — for him to prove them wrong.
Things have gotten worse since then.

True, the White House tried to gently backpedal the offer of Social Security cuts, which are effectively the beginning of Social Security phaseout: Obama Aide On Social Security Cut Story: It 'Overshoots The Runway' Huffington Post 07/07/2011. But it was hardly a rousing defense of Social Security against Republican barbarians at the gates:

"The story overshoots the runway," said a senior administration official. "The President said in the State of the Union that he wanted a bipartisan process to strengthen Social Security in a balanced way that preserves the promise of the program and doesn't slash benefits."

"While it is definitely not a driver of the deficit," the official added, "it does need to be strengthened."
The official White House spokesman Jay Carney bravely went on the record with more mealy-mouthing:

"There is no news here," Carney said. "The President has always said that while social security is not a major driver of the deficit, we do need to strengthen the program and the President said in the State of the Union Address that he wanted to work with both parties to do so in a balanced way that preserves the promise of the program and doesn't slash benefits."
Michael Kazin writes in Man Without a Plan: Obama’s Shortsighted View of U.S. Politics Dissent 07/06/2011:

Obama has made little attempt to challenge conventional political wisdom and stand firmly behind those policies and institutions most critical to American liberalism. While his studied pragmatism is preferable to the ideological rigidity of his predecessor, Obama neither tangibly defines "winning the future," much less "hope and change," nor rallies Americans to his opinions and his side. Obama clearly understands that Keynesian stimuli, strict regulation of the financial industry, and decent health care benefits are the only policies, here and abroad, that can stabilize a capitalist economy and boost the morale and life-chances of the populace. But, as long as he refrains from making a strong and repeated case for these and other progressive ideals, Grover Norquist and his pledge-happy disciples will keep filling the vacuum with a dogma Grover Cleveland would have shared. [my emphasis]
But does Obama think "that Keynesian stimuli" and "strict regulation of the financial industry" are necessary policies? By all appearances, he does not. It seems more likely based on his actual record that he essentially thought that stabilizing the financial system in the short-term would be enough to set the confidence fairies flying and fix the rest of what ailed the economy. He was willing to bail out General Motors, as opposed to the Republicans' willingness to let it go under completely to reduce the power of the United Auto Workers Union and to reduce competition to the foreign auto companies based in "red" states like Alabama. But at this point, there is little indication that he has any serious doubts about the cut-the-deficit, Herbert Hoover economics he's overtly advocating.

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Wednesday, July 06, 2011

Obama to Dems: Suicide is painless/It brings on many changes

I really don't know what to make of this. Maybe it's just another sad roadmarker on the way to the Michelle Bachmann Administration.

But if the Democratic Party wanted to advertise it's own suicide, it seems a headline like this would be entirely appropriate: In debt talks, Obama offers Social Security cuts. But that's the headline on a Washington Post news story of 07/06/2011 by Lori Montgomery.

The Democratic Party first emerged as the Democratic-Republican Party and, ironically in retrospect, was known as the Republican Party until Andrew Jackson became its leader. Thomas Jefferson was its first leader, and his Presidency was its first Presidency.

Is this how it's going to exit the historical stage? With a headline that says, "In debt talks, Obama offers Social Security cuts"? Shouldn't we at least have a dignified funeral or something? Or are we all going to be sitting in front of our TV screens four years from now, listening to President Bachmann introduce the mandatory nightly lecture by Christian nationalist "historian" David Barton and thinking, "Gosh, I can still remember when we had a Democratic Party, too"?

It seems such a shame for it to go out this way.

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Obama Administration economics

The man fondly known to liberal bloggers as the Shrill One weighs in one the puzzling question of why Obama keeps talking up Herbert Hoover economics, whose value even to the plutocrats is questionable (Paul Krugman, The Obama-Keynes Mystery 07/06/2011):

... since Obama keeps talking nonsense about economics, at what point do we stop giving him credit for actually knowing better? Maybe at some point we have to accept that he believes what he’s saying.

The question then is why. As I’ve tried to show many times, the facts overwhelmingly refute the anti-Keynes talking points. Neither the invisible bond vigilantes nor the confidence fairy have made an appearance. So why is Obama talking up those talking points?

OK, here’s an unprofessional speculation: maybe it’s personal. Maybe the president just doesn’t like the kind of people who tell him counterintuitive things, who say that the government is not like a family, that it’s not right for the government to tighten its belt when Americans are tightening theirs, that unemployment is not caused by lack of the right skills. Certainly just about all the people who might have tried to make that argument have left the administration or are leaving soon.

And what’s left, I’m afraid, are the Very Serious People. It looks as if those are the people the president feels comfortable with. And that, of course, is a tragedy.
Krugman has actually met with the President on economic issues. And he was unable to persuade Obama of the virtues of well-established economics.

Jamie Galbraith stated the problem a bit more theatrically a couple of months ago (Galbraith on the Irrationality of Regressive Budget Cuts New Deal 2.0 05/19/2011):

The political struggle is over what to cut and what to save, over how to bargain, and not over what to do.

In economic policy, magicians and necromancers have taken charge, brewing a toxic vat of program cuts and deregulation, from which they promise that, somehow, jobs will emerge. Serious people cite serious people on the subject of what serious people permit themselves to think. Meanwhile, the crisis in the country deepens, and hopes for a coherent strategic response to it recede. ...

We are witnessing one of the greatest waves of mass hysteria of all time, the fruits of one of history’s most intense and successful propaganda campaigns.

As a professional economist and one with a background in political work – I was here on Capitol Hill for many years, worked for the Congress – I am impressed. I am even in awe. Practically every avenue of debate has been closed off. And not by argument. Not even, as was the case thirty years ago when a few of us tried to stand in the way of the juggernaut of the Reagan economic policies, not even by the convinced philosophical positions of effective public intellectuals. But rather by endless repetition of the same slogans, repeated and barely detectable changes in the foundation of the argument, and silence in the face of criticism. That there are many economists, experienced people, impeccable credentials, who don’t buy the line, that history and comparative experience contradict it, is a secret to most people. We are hidden in this discussion behind a wall of invisibility.
Yes, the economic discussion is that far off the tracks in the US.

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Tuesday, July 05, 2011

Bobo grumbles about Republicans - and says Democrats are ready to embrace fanaticism!

David "Bobo" Brooks manages to get favorable attention because he occasionally says things that sound sensible. The problem is they typically come immersed in praise from whatever policies the real existing Republican Party are pushing at the moment.

In The Mother of All No-Brainers New York Times 07/04/2011, he has one of those moments:

But we can have no confidence that the Republicans will seize this opportunity. That’s because the Republican Party may no longer be a normal party. Over the past few years, it has been infected by a faction that is more of a psychological protest than a practical, governing alternative.
Sounds like he's recognizing that the Reps are acting loony and irresponsible, right? Especially when he follows it up by saying, "The members of this movement do not accept the logic of compromise, no matter how sweet the terms." He sounds especially heretical when he says, "The members of this movement have no sense of moral decency."

But, as usual, there's less to Bobo's seeming criticism of the Republican Party than one might think from those quotes. He's basically crowing over how the Obama Administration is letting the Republicans slap them around, in pursuit of that postpartisan harmony that always seems to be moving farther and farther into the distant horizon:

Republican leaders have also proved to be effective negotiators. They have been tough and inflexible and forced the Democrats to come to them. The Democrats have agreed to tie budget cuts to the debt ceiling bill. They have agreed not to raise tax rates. They have agreed to a roughly 3-to-1 rate of spending cuts to revenue increases, an astonishing concession.

Moreover, many important Democrats are open to a truly large budget deal. President Obama has a strong incentive to reach a deal so he can campaign in 2012 as a moderate. The Senate majority leader, Harry Reid, has talked about supporting a debt reduction measure of $3 trillion or even $4 trillion if the Republicans meet him part way. There are Democrats in the White House and elsewhere who would be willing to accept Medicare cuts if the Republicans would be willing to increase revenues.
Why should the Republicans compromise when the Democrats are cheerfully agreeing to enact cuts that will slow an already weak economy and damage the interest of the Democratic Party's core constituencies? That way, the Republicans get some of the cuts they want, then they can campaign against the Democrats for making the cuts and because the economy is getting worse. They are right to think that's an awesome prospect. Bobo's right that it isn't a responsible attitude in a larger sense. But how is today's Republican Party more of a wrecker party than it has been for the last two decades? Because today more of their activists like to dress up in colonial-era costumes?

Here's the downright laughable part of Bobo's little analysis:

Over the past week, Democrats have stopped making concessions. They are coming to the conclusion that if the Republicans are fanatics then they better be fanatics, too.
We've got Democratic elder statesman Bill Clinton out there at the Aspen Institute get-together (Aspen Ideas Festival) telling Obama to hang tough in these negotiations - by agreeing to make a bunch of cuts without the Republicans agreeing to anything. Oh, and Bill thinks corporate tax rates are too high! (Alexander Eichler, Bill Clinton: Lower The Corporate Tax Rate For Debt-Ceiling Deal Huffington Post 07/05/2011) The latter is a current Republican ploy: eliminate "loopholes" in exchange for lower tax rates; the loopholes can then be quietly re-established in following years.

And the Obama Administration is offering cuts to Medicare and even bigger cuts to Medicaid, to show that liberals are willing to deny health care to poor people, too (Robert Pear, Administration Offers Health Care Cuts as Part of Budget Negotiations New York Times 07/04/2011).

Yeah, those Dems are embracing fanaticism, aren't they? Shoot, before you know it they'll be putting up red hammer-and-sickle flags at the National Cathedral!

It's never been a question whether the Republicans will raise the debt ceiling. The Administration's decision to bargain with the Reps over it was a conscious decision to enact foolish cuts in the middle of a protracted economic slump in line with the Herbert Hoover economics the elites of both parties embrace today. The real default danger is that now that they have seen how badly the Obama Administration can be played, the Reps will push their brinkmanship too far and some of the financial speculators will really start freaking out and do some actual damage to the financial system. Coupled with repercussions from the Greek debt crisis, which could go south any time, it could cost some of the Republicans' patrons big bucks.

By the way, it's this prospect Bobo is addressing when he says, "The members of this movement have no sense of moral decency." Search and see if you can find any place Bobo made such a direct statement of condemnation of the Cheney-Bush torture program.

Bobo's column gives some ideological cover to the few Republicans in the House who will eventually have to vote for the debt ceiling adjustment. And it lets him score a few "sensible conservative" points. Still, this is the guy who gushed over the Ryan Plan as marvelous example of Republican seriousness and adult behavior. That would be the crackpot Ryan plan that doesn't hold together under even modest scrutiny. What Bobo says of Tea Party economics is also true of the Ryan Plan he greeted with such enthusiasm: "The members of this movement have no economic theory worthy of the name."

And when Michele Bachmann wins the Republican nomination, Bobo will be there on the PBS Newshour telling us with his studied calm, contemplative tone, explaining how she has matured as a candidate and has skillfully appealed to the Tea Party/Christian Right constituency while rejecting some of the more foolish ideas of those un-serious Reps he's discussing in his column.

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Monday, July 04, 2011

Europe now snivelling before the rating agencies

The rating agencies Standard & Poor's, Moody's and Finch are all threatening to rate Greece as having defaulted if the next installment of the European rescue plan goes through: Debt Renewal May Trigger Default: Rating Agency Issues Greek Rescue Plan Warning Spiegel International 07/04/2011.

After their spectacularly sorry record in the lead-up to the financial crisis of 2008, it's a matter of no small wonderment that anyone gives the slightest attention to what the ratings agencies say.

But the pooh-bahs of the European Troika (EU Commission, IMF, European Central Bank) apparently do. I agree with the scornful tone Cerstin Gammelin uses in Die Panik vor dem Fallbeil Süddeutsche Zeitung 04.07.2011. It's a pitiful sight to see the countries of the EU sitting around trembling about what the rating agencies might say. Aside from having rotten records, they are not disinterested parties. The EU should tell the rating agencies to go blow and adopt a realistic solution that addresses the real problem, which is that Greece has a level of debt it's never going to repay. Recognizing that and requiring creditors to take reasonable shares of the losses is what needs to be done.

The European Union is supposed to be a democratic institution. And they are going to let the likes of Standard and Poor's lead them around by the nose? Gammelin writes, "Das kleine Griechenland steht plötzlich da als Symbol für den Untergang der mächtigen EU. Das ist absurd." ("Little Greece suddenly stands there as the symbol for the demise of the might EU. That is absurd.")

It really is absurd. Europe and the Troika need to start dealing with reality, and fast. The proper response to the rating agencies on this would be, "bite me." Or the German, "Lech mich doch." Either works.

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Jerry Brown's July 4 proclamation

California Gov. Jerry Brown lent his distinctive voice to the routine July 4th proclamation this year:

On July 2nd, 1776, in the midst of the Revolutionary War, the Second Continental Congress approved a resolution of independence, drafted by delegate Richard Henry Lee of Virginia, which gave force of law to our separation from the colonial power of Great Britain. Two days later, this resolution was made public in the form of the Declaration of Independence, whose primary author was Thomas Jefferson. Each year since then, we have celebrated the fourth day of July as Independence Day, the birthday of the United States of America.

The famous principles enshrined in the Declaration of Independence are not only the foundation of our country’s freedom: they have become a global standard for the liberty and autonomy of all peoples. As we participate in "Fourth of July" traditions from midday barbecues to evening pyrotechnics, I urge all Californians to remember the convictions of our forebears that led us to form a new nation, the courage of those who fought to make and keep us independent, and the great work that lies ahead as we strive to fulfill the American dream of freedom and equality for all.
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Saturday, July 02, 2011

Various items on "DSK" (Dominique Strauss-Kahn)

Bmaz at FDL writes about the state of the case as of Saturday in DSK Case Collapse: Lawyers, Phone Calls & Money the S*** Hits The Fan 07/02/2011. I checked back at my one post where I discussed the Strauss-Kahn case, Dominique Strauss-Kahn's arrest and the IMF's political direction 05/17/2011, and was relieved to see I didn't say anything that I'm embarrassed about now. My focus there was on the potential implications of his departure from the IMF. And I still say that the American press coverage I've seen passed over the IMF policy implications pretty lightly. I also posted a video of a debate between Naomi Wolf and Maureen Tkacik on thorny issues raised by the case and its larger context. Wolf's reservations about whether due process was being observed by the law and whether the press was being sufficiently careful are particilarly notable in light of the latest developments.

This is the news report from PBS Newshour, In Strauss-Kahn Case, All Eyes on Accuser's Statements 07/01/2011:



As I noted in that May post, Strauss-Kahn is clearly an arrogant prick. And it's important to note that, as of this writing, his accuser has not withdraw her rape accusation nor has the prosecutor withdrawn the charges. And the fact that the accuser may also be an unsavory character doesn't mean her accusation shouldn't be taken seriously. Clearly, the New York District Attorney's office did take it very seriously.

But, as bmaz describes, the rape case looks like it's going up in smoke:

It is not often you see the total implosion of a major criminal case in quite such a spectacular fashion as we have witnessed with the Dominique Strauss-Kahn (DSK) case in the last 24 plus hours. As I said Thursday night when the news first broke of the evidentiary infirmities in relation to the putative victim were first made public in the New York Times; there is simply no way for the prosecution to recover, the criminal case is dead toast.

Today, the letter from the Manhattan DA’s Office to DSK’s attorneys detailing the Brady material disclosures gutting their victim’s credibility was made public. It is, to say the least, shocking. But what has transpired since then has been nothing short of stunning.

As expected, DSK had his release conditions modified to OR (own recognizance) and all restrictions, save for not leaving the United States, removed. If you do not think that is a crystal clear sign of just how much trouble the prosecution is in, then you do not know criminal trial law.
Well, I don't know criminal trial law on any specialized level. But what Jim Dwyer and Michael Wilson report in Strauss-Kahn Accuser's Call Alarmed Prosecutors New York Times 07/01/2011 indicates that not only is her credibility as a witness in question in a general way. There is also at least one piece of evidence, from a call she made to an acquaintance in prison the day after the alleged attack that was recorded, that directly relates to her credibility on the specific allegation. The PBS Newshour report above also mentions a serious oddity about her initial account of the incident under oath to the grand jury. The prosecution has not yet dropped the charges of rape and sexual assault. Bmaz speculates that dropping the charges could come as early as next week. But the case is still pending as of now.

Laura Rozen in Lawyer for alleged victim in DSK case lashes out at DA, says victim will come forward The Envoy 07/01/2011 writes, "'Law & Order' could not have produced a script with more dramatic turnarounds."

Digby, whose has been piercingly critical of our Pod Pundits' obsession with stories involving sex and powerful people, recalls in DSK: with friends like these ... Hullabaloo 07/01/2011 the dubious quality of the public support he received from the for-some-reason-famous philosopher Bernard Henri Levy: "With friends like Bernard Henri Levy, DSK is lucky he didn't get life in prison. Let's just say his [Levy's] defense [of Strauss-Kahn] was what made me tend to believe the charges."

Robert Kuttner has generally had some decent commentary on the case, including this piece which commenting on how unions help protect members from employer retaliation in reporting a sexual assault in situation like this one in Union Maid The American Prospect Online 06/06/2011.

But Kuttner took some flak for this post, Applying Occam's Razor to Strauss-Kahn The American Prospect Online 06/30/2011. He addresses the criticisms here: Postscript on DSK The American Prospect Online 06/30/2011.

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Friday, July 01, 2011

Greek debt crisis: risk for the euro, risks for the EU - but how much risk for the creditor banks?

Joschka Fischer, the former German Foreign Minister and former Green Party leader, has long been a hardline "pro-Europe" figure, meaning he very much supported the EU and its development into a more politically integrated union. His profession of dismay at the state of the EU doesn't represent "crocodile tears." He sees it a genuine problem for peace and democracy. And a major failure of German leadership. The Greek debt crisis is currently the Damocles sword hanging over the Union. In Does Europe Have a Death Wish? Project Syndicate 06/27/2011, he writes:

The crisis was always about much more than Greece: a disorderly insolvency there would threaten to pull other economies on the EU's southern periphery, including some very big ones, into the fiscal abyss, along with major European banks and insurers. That could plunge the global economy into another financial crisis, delivering a shock equivalent to the autumn of 2008. It would also mean a eurozone failure that would not leave the Common Market unharmed.

For the first time in its history, the very continuance of the European project is at stake. And yet the behavior of the EU and its most important member states has been irresolute and dithering, owing to national egotism and a breathtaking absence of leadership.
And he makes a central point that should be emphasized in every news article on the topic of the Greek crisis right now, though it isn't (my emphasis):

Everyone knows that Greece will be unable to work its way out of crisis without massive debt relief. The only question is whether the country’s debt restructuring will be orderly and controlled or chaotic and contagious.
And that debt relief will have to include writeoffs of some significant portion of the Greek debt, meaning the creditors will have to recognize that portion as uncollectable.

It's not entirely clear what Fischer is suggesting here:

It is certainly right, in principle, to argue that the banks should participate in financing the resolution of the debt crisis. But it makes little sense to insist on it as long as losses by banks that remain "too big to fail" could trigger a renewed financial crisis. Any chance to make this work would have required overhauling the financial system early in 2009, but that opportunity was largely wasted.
I read this as his saying that recognizing reality and writing off the bad debts from Greece would put some major financial European financial institutions underwater, i.e., bankrupt. And that he doesn't trust the current governments of France and Germany to handle it in a sensible way.

Simon Johnson (Europe's Naked Banks Project Syndicate 06/24/2011) describes the political situation on covering banks' bad debts this way:

Big European banks will not actually default on their debts – the governments of Germany, France, and Italy have made it clear that their banks are too big to fail. And Germany and France – though perhaps not Italy – have enough fiscal firepower to support their banks as needed.

But no European politician would really want to put serious money on the line for the likes of Deutsche Bank or BNP Paribas; governments will not force recapitalization using public funds. Nor do politicians care to order banks to raise more capital from private sources – this would be too embarrassing for all involved, because it would expose the full extent of the folly so far.
But whether the banks are forced to eat their actual bad debts, the governments are going to wind up paying a significant portion of the bill for the cleanup. And in fact what they are doing now to stave off default by Greece is shifting more and more of the downside risk to governments and the European Central Bank, also a governmental institution of the EU, and offering only upside opportunity to private banks. Stefan Kaiser lays this out in more detail in Wen die Griechen-Rettung reich macht Spiegel Online 07.01.2011. This explains the core idea:

Da ist zunächst einmal die schöngerechnete Summe von 3,2 Milliarden Euro. Von wirklich privaten Gläubigern, die man eigentlich rannehmen wollte, kommt davon höchstens die Hälfte. Den Rest steuert der Staat bei.

  • 1,2 Milliarden Euro sollen die sogenannten Bad Banks tragen, also Abwicklungsanstalten der WestLB und Hypo Real Estate (HRE) . Beide Institute gehören ohnehin dem Staat, und für die Verluste ihrer Bad Banks kommt der Steuerzahler auf.
  • Die restlichen zwei Milliarden Euro teilen sich die deutschen Geschäftsbanken und die Versicherer. Doch auch hier kommt längst nicht alles Geld aus privaten Kassen. Bei den Banken etwa gehören die staatliche Landesbank Baden-Württemberg (LBBW) und die immer noch teilverstaatlichte Commerzbank zu den größten Zahlern.
  • Wirklich private Beiträge in relevanter Höhe dürften nur die Deutsche Bank , die DZ Bank sowie die Versicherungskonzerne Allianz und Munich Re leisten.
Without translating it word by word, is that German banks will be contribute €3.2 billion (euros) to the next European rescue package for Greece. But of that amount, €1.2 billion will be from the German government's "bad bank" accounts, consisting of bad loans from WestLB and Hypo Real Estate that the government is resolving. Of the private bank and insurance company participants on the other €2.0 billion, some of that is from banks partly owned by the government, including Landesbank Baden-Württemberg and Commerzbank.

None of the "participation" is in the form of forgiveness of portions of the debt principal. It takes the form of agreeing to roll over the debt on maturity to new debt. But even for the purely private participants, that new debt is a sweetheart deal. The banks are effectively insured by the government from losses. But if the loans pay off at a higher rate than currently expected, the banks get the profit. This is yet another example of how governments regarding banks as too big to fail creates "moral hazard," further encouraging private banks to take bad risks.

This is the opposite of a what a democratic institution like the EU should be doing: imposing brutal cuts on the Greek people and spending the public funds of other EU countries in rescue actions that hold private creditors harmless and saddle the public with their losses. Fischer is right. The handling of the current debt crisis has been a horrible failure of European leadership.

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Political anti-Semitism in Germany, 1871-1914 (5 of 5): the SPD and anti-Semitism

Paul Massing, Rehearsal for Destruction: A Study of Political Anti-Semitism in Imperial Germany (1949)
SPD leader Wilhelm Liebknecht (1826-1900)
The combination of the SPD's view of contemporary anti-Semitism as an ugly side-product of capitalism, their notion that it would fade away with the growth of working-class solidarity and the eventual achievement of socialism, and the receding of anti-Semitic politics and activism after 1895 made them misjudge the potential political power of anti-Semitism. Massing notes that after the 1905 Revolution in Russia, pogroms against Jews took place there:

The brutality with which the government put down the revolution, and the white terror and pogroms that followed in its wake, were not taken as an object lesson by the German Socialists. They felt, like most Western Europeans, that terroristic anti-Semitism was inconceivable anywhere but in the barbarous world of Czarist reaction. Pogroms belonged to the dark Middle Ages which in Russia extended into the present but which had definitely become past history in Germany. The Social Democrats shared this conviction with the Liberals and with most Conservatives. In Germany, not even a professional anti-Semite would have dared any longer to instigate physical violence against Jews. The worst mob demonstrations in the eighties and nineties had not approximated anything like a Russian pogrom. Meanwhile ten years had passed which had extinguished even these memories. The use of physical violence against the Jews was only possible among "backward," "uncivilized," "ignorant" masses, spurred on by ruthless tyrants. (p. 196)
"Racial" anti-Semite Max Liebermann von Sonnenberg (1848-1911)
He quotes the Party's leader, August Bebel from 1906 condemning anti-Semitic outbreaks in Russia and affirming the view that such a problem was not to be expected in Germany:

The Russian government favors anti-Semitism because it is anxious to divert the hatred of the masses from its own foul and corrupt system of government and from the representatives of this system, the corrupt civil service. ... And since the Jews in Russia, intellectuals and proletarians, participated in extraordinary number in the revolutionary movement, the Russian government had an additional reason for having hatred of Jews incited by its agents and for provoking massacres and butcheries the like of which have happened so far only under oriental despotisms. Anti-Semitism which by its very nature can appeal only to the basest drives and instincts of a backward stratum of society, expresses the moral depravity of the groups that accept it. It is comforting [to know] that in Germany it will never have a chance to exert a decisive influence upon the life of state and society. [p. 197; Massing’s emphasis]
Massing then observes that even though that final sentence sounds "preposterous" after the experience of the Third Reich, at the time it "expressed the conviction of the German people at large."

In response to the pogroms in Russia and the generally unfavorable condition of Jews in eastern Europe, especially compared to their situation in Germany and Austria, the Zionist movement began to win adherents. Its popularity was greatest among eastern European Jews. But some Jews in the SPD’s reform wing expressed active sympathy for Zionism, doubting the Party’s official position that the development of capitalism would make class considerations override religious or pseudo-racial prejudices against Jews as Jews. The SPD’s official position was opposed to Zionism, regarding it as an unrealistic response to a problem they believed was fundamentally rooted in the social processes affecting peasants and the lower middle class under capitalist condition, and one that would disappear as a matter of course under socialism.
"Racial" anti-Semite Wilhelm Marr (1819-1904)
This approach meant that the SPD tended to downplay the manifestations of anti-Semitism in Germany during the 1895-1914 period. But he also argues that not only Party leades but rank-and-file supporters understood anti-Semitism as being an ideology hostile to the needs of the working class. And he notes:

Indeed, quite a number of Jews were attracted to the party despite the economic and cultural barrier of class. The Jewish Social Democrats were mostly intellectuals, businessmen, and salaried employees, with hardly any manual workers among them. The reasons that prompted middle-class Jews to expose themselves to additional hostility by joining the Social Democrats must have been strong. Material considerations, as a rule, cannot have entered into their decision. To be known as a voter, member, or even active supporter of the Social Democratic Party was in imperial Germany no boon to anyone's career, and less so to a Jew's. Besides, Jewish intellectuals who joined and worked for the revolutionary party often jeopardized their social relations and damaged their standing in the Jewish community, particularly in small towns. Apparently in the world of socialist labor individual Jews could experience the equality which German society denied to the Jewish group. (p. 202)

He sums up the strengths and the weaknesses in the SPD's approach to anti-Semitism this way:

In theory and practice socialist labor was opposed to anti-Semitism. The Socialists never wavered in their stand against all attempts to deprive Jews of their civil rights. They treated with contempt the anti-Semitic agitators and the groups behind them. They never gave in to the temptation - considerable at times - to gain followers by making concessions to anti-Jewish prejudice. From the rise of the socialist labor movement in the 1860's to the time of its defeat by National Socialism, the statements of the labor leaders, the resolutions carried in party conventions, the methods of coping with the situations created by political anti-Semitism, testify to its unswerving opposition to any kind of discrimination against Jews.

On the other hand, socialist labor was indifferent, if not actually hostile, toward all efforts to preserve and revitalize autonomous Jewish religious, cultural, or national traditions. Marxism, its guiding philosophy, had as little use for the Jewish religion as it did for the Christian. Eager to have the processes of industrial society do their work of obliterating cultural differences, socialist labor could see no more than an obsolete religious heritage in the beliefs of orthodox Jewry and had even less sympathy for conscious attempts to revive the Jewish nation.

Little attention has been paid in nonsocialist literature to the work of enlightenment and education which German socialism carried on among its followers. The Socialists, on the other hand, have done little in the way of critically reevaluating this work. [As of 1949.] (p. 151)
Massing's book doesn’t trace the historical threads of these anti-Semitic trends into the First World War and beyond. He occasionally makes reference to some similar development in the time of the Nazi movement. But he mostly concentrates on describing the events in the political context as the major players understood them at the time. His analysis does throw light on some of the psychological and sociological factors at work in anti-Semitic appeals. But its main value is in giving a clear definition of the most notable political anti-Semitism movements from the time of German unification in 1871 to the First World War and how they were situated in the social and political conflicts of the time.

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Is "false consciousness" meaningful in politics? And what does Clarence Thomas have to do with it?

This article from former British Labour Member of Parliament David Marquand, Why the left is losing the crisis New Statesman 11/25/2010, has some valuable observation about how the embrace of neoliberalism (the "free market" Washington Consensus so beloved of the International Monetary Fund for developing nations in the 1990s) has placed center-left parties in Europe in the position of losing ground in a serious way to the right. And this in the midst of a depression, in which the right is advocating Herbert Hoover economics, known as the "Treasury view" in Britain.

But somehow he felt the need to qualify his polemic against austerity economics by "punching a hippie," in the form of griping about the faults of Marxism:

The ancient Marxist myth of false consciousness dies hard on the left. It says that, if hitherto left voters swing to the right, it is because they have been led astray by racists or demagogues, or because they have been seduced by false promises, or both: in short, because they don't understand what their true interests are. Unfortunately for its purveyors, the myth does not stand up. There was plenty of false consciousness around, but its chief repositories were the leaders of the social-democratic left, not the voters who deserted them. The deserting voters sensed that the statist paradigm in which their erstwhile leaders were trapped was a busted flush: that, as the American political economist Charles Lindblom once put it, the central state consists of "strong thumbs and no fingers" and those strong thumbs were no longer enough to induce lasting change.
I have no idea what that last metaphor about the thumbs and the fingers and the "central state" is supposed to mean.

But the argument that "the left" foolishly looks down on voters who don't agree with them as people who "don't understand what their true interests are" is a favorite theme of American conservatives. It's a stock feature of rightwing verbal populism. George Wallace in the 1960s sneered in his speeches against "pointy-headed intellectuals" and perfessers who ride bicycles. Sarah Palin and Michelle Bachmann regularly remind their fans of who the libruls and the "lamestream media" look down on the Real Americans.

There's also a highbrow version of the same argument popular among neoconservatives. I don't know that Christopher Lasch was ever considered a a neoconservative. But his version of the argument in introduction to his The True and Only Heaven: Progress and Its Critics (1991) makes a case with which neocons would feel comfortable. In the preceding pages, he has made it clear that he is discussing "the left" as everyone from self-identifying Marxists to Democratic Party liberals:

The left had no quarrel with the future, I discovered, but only with the backward, benighted, or simply misguided opponents of progress whose blind resistance might prevent the future from arriving on schedule. It was the belief in progress ... that explained the left's curious mixture of complacency and paranoia. Their confidence in being on the winning side of history made progressive people unbearably smug and superior, but they felt isolated and beleaguered in their own country, since it was so much less progressive than they were. After all, the political culture of the United States remained notoriously backward - no labor party, no socialist tradition, no great capital city like London or Paris, where politicians and civil servants mingled with artists and intellectuals and encountered advanced ideas in cafés and drawing rooms. In America, the divorce between politics and thought had always found geographical expression in the distance between Washington and New York; and the culture of Washington itself, for that matter, seemed light-years ahead of the vast hinterland beyond the Alleghenies - the land of the Yahoo, the John Birch Society, and the Ku Klux Klan. [my emphasis]
That's how you do a highbrow mocking of the pointy-headed perfessers riding bicycles.

This comes from the last years of Lasch's life and career. And by this time, he had clearly embraced some rightwing perspectives. As we see in that excerpt. And, like my puzzlement at Marchand's metaphor, it's hard for me to even guess what real-world entities might have some correspondence to those Lasch is mocking. "In America, the divorce between politics and thought had always found geographical expression in the distance between Washington and New York"? Say what? And for that matter, what the heck is a "drawing room," really? Have you ever known anyone who had a part of their house they called a "drawing room"?

Okay, that's my own little bit of mockery. But, honestly, looking at the political scene during the Reagan and the Old Man Bush Administrations, who is he talking about here? Walter Mondale? Michael Dukakis? Bill Clinton? Al Gore? Please. One would have to look very hard in The Nation or The Progressive to find articles that expressed such a viewpoint. It might be marginally easier to find in the New York Review of Books. But it certainly was not the attitide of the broad group he takes as "the left."

Here Lasch explicitly embraces on of the favorite themes of conservatives, segregationists - and also the now-defunct Democratic Leadership Council (DLC):

The conviction that most Americans remained politically incorrigible - ultranationalistic in foreign policy, racist in their dealings with blacks and other minorities, authoritarian in their attitudes toward women and children - helps to explain why liberals relied so heavily on the courts and the federal bureaucracy to engineer reforms that might have failed to command popular support if they had been openly debated. The great liberal victories - desegregation, affirmative action, legislative reapportionment, legalized abortion - were won largely in the courts, not in Congress, in the state legislatures, or at the polls. Instead of seeking to create a popular consensus behind these reforms, liberals pursued their objectives by indirect methods, fearing that popular attitudes remained unreconstructed. The trauma of McCarthyism, the long and bitter resistance to desegregation in the South, and the continued resistance to federal spending (unless it could be justified on military grounds) all seemed to confirm liberals in the belief that the ordinary American had never been a liberal and was unlikely to become one. [my emphasis]
Lasch was considered a serious intellectual, and I don't mean "Serious" in the contemporary sense of embracing Beltway Village conventional wisdom. But this stuff was downright tendentious. Liberals were very aware that only a minority of the US public self-identified in polls as "liberal." But, then as now, on major policy issues, clear majorities and pluralities poll as supporting liberal positions on policy issues.

Now, real live liberals and progressives today do make the argument that in some cases, notably abortion rights, that advocates have become complacent about mobilizing political support for their causes, in part because the legal rulings were favorable to the cause in question. Yes, Brown v Board of Education ruled that public school segregation was unconstitutional. But the Civil Right Acts of 1964 and the Voting Rights Act of 1965 were enacted by, uh, Congress. Lasch's argument is nothing but his version of the endless segregationist whine about the alleged tyranny of the courts.

That he was making this argument against "the left" in a book published in 1991 has an especially ironic sound today. The biggest judicial controversy of the Bush I Administration (1989-1993) was the nomination of Clarence Thomas to the Supreme Court. The federal courts have since become heavily dominated by Republicans. The Supreme Court decisions in Bush v. Gore (Rehnquist Court, 2000) and Citizen's United (Roberts Court, 2010) were blatantly partisan and anti-democratic, and rank with the Dred Scott and Plessy v. Ferguson decisions as some of the very worst in the entire Court's history.

Today's Republicans have no problem with using the federal courts for blatantly partisan and ideological purposes, enacting in reality a mirror-image of the false claims the segregationists always made against desegregation decisions. The Cheney-Bush Administration had all their Supreme Court nominees vetted through the crassly ideological and partisan Federalist Society. Clarence Thomas is currently receiving well-deserved criticism for his overtly partisan associations and the big money his wife takes from partisan conservative groups; she has herself been a prominent Tea Party activist. On Thomas' ethical challenges, see Mike McIntire, Friendship of Justice and Magnate Puts Focus on Ethics New York Times 06/18/2011; Digby's Today's Court is just another political player Hullabaloo 06/19/2011; and, Ian Millhiser, Clarence Thomas Decided Three Cases Where AEI Filed A Brief After AEI Gave Him A $15,000 Gift Think Progress 06/21/2011. Digby observes:

I think the Court sees itself as an explicitly political branch now and any attack on Thomas is done in that light. Bush vs Gore was a watershed --- the idea that the Court was above crass political considerations (even if it often wasn't) was fully abandoned and there's no going back. (Recall that Chief Justice Roberts worked on the Bush recount.)
To gripe about how "the left" relies too much on the courts to achieve their goals is a bad joke in today's judicial reality in the US.

Oh, and one of the three cases referenced in Ian Millhiser's piece is Parents Involved in Community Schools v. Seattle School District No. 1 (2007), a school desegregation case. Thomas filed a concurring opinion emphasizing what sounds like his opposition to the federal courts allowing any school desegregation plan that was anything but a one-time remedy for previous legally imposed (de jure) segregation in that school district. Justice Robert's opinion for the Court at the end cites Brown v. Board of Education as banning the recognition of race in a plan to alleviate actual (de facto) racial discrimination. The opinion didn't reverse Brown explicitly. It's safe to say it stood the Brown ruling on its head.

Justice Breyer, in a dissent joined by the other three dissenting Justices, said:

The plurality pays inadequate attention to this law, to past opinions’ rationales, their language, and the contexts in which they arise. As a result, it reverses course and reaches the wrong conclusion. In doing so, it distorts precedent, it misapplies the relevant constitutional principles, it announces legal rules that will obstruct efforts by state and local governments to deal effectively with the growing resegregation of public schools, it threatens to substitute for present calm a disruptive round of race-related litigation, and it undermines Brown's promise of integrated primary and secondary education that local communities have sought to make a reality. [my emphasis]
The ruling banned a desegregation plan that was adopted by the school district on its own initiative, not as a result of court orders. But remember, it's "the left" who wants to use the courts to impose their political views!

Justice Stevens filed his own separate dissent describing memorably the cynicism of the majority's reasoning:

There is a cruel irony in THE CHIEF JUSTICE'S reliance on our decision in Brown v. Board of Education, 349 U. S. 294 (1955). The first sentence in the concluding paragraph of his opinion states: "Before Brown, schoolchildren were told where they could and could not go to school based on the color of their skin." Ante, at 40. This sentence reminds me of Anatole France's observation: "[T]he majestic equality of the la[w], forbid[s] rich and poor alike to sleep under bridges, to beg in the streets, and to steal their bread." THE CHIEF JUSTICE fails to note that it was only black schoolchildren who were so ordered; indeed, the history books do not tell stories of white children struggling to attend black schools. In this and other ways, THE CHIEF JUSTICE rewrites the history of one of this Court's most important decisions. Compare ante, at 39 ("history will be heard"), with Brewer v. Quarterman, 550 U. S. ___, ___ (2007) (slip op., at 11) (ROBERTS, C. J., dissenting) ("It is a familiar adage that history is written by the victors").
All this is a long way of saying that Marquand's argument about "the left" and "false consciousness" is a whopping red herring. Every political party, like every sales person in any business, tries to convince those to whom it's marketing itself that it better represents their interests than the alternative (voting for another party, not buying the product). In other words, it assumes that the skepticism or indecision of the targeted customer toward the party marketing itself in a political campaign is a form of "false consciousness," which the campaigner seeks to change.

In other words, in the context used by Marquand and by Lasch, the argument simply takes ordinary political persuasion and tries to paint it as elitist arrogance on the part of "the left." I don't know if there's any way for it to be meaningfully measured. But I'm guessing that the notion that people are too stupid too understand their own real interest is far more often expressed by the Tea Party types groups than by "the left." At least that's the only place I recall hearing it lately.

But in the context of electoral political activity, it's a silly play on the concept of the most elementary political marketing.

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