Daily Clips

Daily Clips: April 28, 2017

Trump’s corporate tax cuts would increase deficit, and therefore are very unlike to pass

The Republican tax cut myth:

It’s worth remembering that the conservative Heritage Foundation made exactly the same argument about the 2001 tax cut that Secretary Mnuchin is making today. It issued a report on April 27, 2001 forecasting that by 2011, federal revenues would be higher with the tax cut than they would have been without it, due to higher economic growth, greater investment, and lower unemployment. In fact, real G.D.P. growth was half of what Heritage predicted and the unemployment rate was 50 percent higher. It predicted that federal revenues would equal $3.3 trillion in 2011 including the effect of the tax cut; revenues actually were $1 trillion less, $2.3 trillion.

American Airlines announces pay raises for pilots and shareholders freak

Trends in absolute income mobility since 1940

US economy has weakest quarterly performance in three years: So…is this still a part of the Obama economy?

Quote of the day:

Mr. Obama, who recently accepted a very lucrative speaking engagement on Wall Street, now looks like just one of the fortunate members of historically depressed minorities who mistake their own upward mobility for collective advance.

Daily Clips: April 27, 2017

Do sweatshops lift workers out of poverty?

For poor countries to develop, we simply do not know of any alternative to industrialization. The sooner that happens, the sooner the world will end extreme poverty. As we look at our results, we are conflicted: We do not want to see workers exposed to hazardous risks, but we also worry that regulating or improving the jobs too much too quickly will keep that industrial boom from happening.

Economists fear tax plan heightens a ‘mountain of debt’

House Republicans have made a move to avert government shutdown — for at least a week

Texas mayor blasted after she says lack of faith in God causes poverty

New Trumpcare plan ‘makes bad bill worse,’ AARP says

Trump’s tax plan is trickle-down fundamentalism:

Experts on the left and right agree there’s no way the White House can cover the cost of those cuts—about $2.4 trillion in lost revenue over 10 years—just by limiting deductions, closing loopholes, or even including dubious revenue raisers like House Speaker Paul Ryan’s border-adjustment tax, which Trump has now ditched. Alas, Trump and his aides are turning to the only argument that politicians can make to justify trickle-down economics: that when the wealthy and corporations pay less in taxes, economic growth surges and make up for the lost revenue.

Daily Clips: April 26, 2017

Tax Cuts Pay for Themselves? Revival of Contested Theory: “Contested”

Obama’s getting paid $400k to speak for a Wall St investment bank: This made me so angry. Here’s a guy that clearly has no bloody clue about how to appeal to a nation that is mired in economic inequality. Maybe now that he’s president he doesn’t care, but if that’s the case, he’s half the man I thought.

Sanders and 21 Democrats introduce bill to raise minimum wage to $15 an hour

The Raise the Wage Act of 2017, which Sanders and Murray will unveil later today, would hike the minimum wage for the first time in a decade, raising it to $9.25 immediately, and inching it up to $15 by 2024, while simultaneously raising the minimum wage for tipped workers.

Why regulators won’t confront big banks

America’s rich get richer and the poor get replaced by robots

The U.S. makes it easy for parents to get college loans—repaying them is another story

Daily Clips: April 25, 2017

Ivanka Trump gets booed, hissed at during Berlin event: There’s some sense in the world.

Seattle home-price hikes lead U.S. again; even century-old homes command top dollar

Washington state relies on a rotten tax system:

The top 1 percent in Washington paid 2.4 percent of their income, which is less than half of the national average, 5.4 percent.

There have been efforts to introduce an income tax, but in recent times they’ve never gotten far.

The idea of a Seattle city income tax on high-income households is going to be an issue in this year’s race for mayor. Current Mayor Ed Murray announced in the first mayoral debate last week that he will send a tax proposal to the City Council.

The grim biology of being poor:

Why do so few make it out of poverty? I can tell you from experience it is not because some have more merit than others. It is because being poor is a high-risk gamble. The asymmetry of outcomes for the poor is so enormous because it is so expensive to be poor. Imagine losing a job because your phone was cut off, or blowing off an exam because you spent the day in the ER dealing with something that preventative care would have avoided completely. Something as simple as that can spark a spiral of adversity almost impossible to recover from. The reality is that when you’re poor, if you make one mistake, you’re done. Everything becomes a sudden-death gamble.

Now imagine that, on top of that, your brain is wired to multiply the subjective experience of stress by 10. The result is a profound focus on short-term thinking. To those outsiders who, by fortune of birth, have never known the calculus of poverty, the poor seem to make sub-optimal decisions time and time again. But the choices made by the poor are supremely rational choices under the circumstances. Pondering optimal, long-term decisions is a liability when you have 48 hours of food left. Stress takes on a whole new meaning—and try as you might, it’s hard to shake.

Cuomo’s college plan is less than ideal:

The plan seems less revolutionary, however, when we remember that CUNY charged no tuition at all until 1976. And Cuomo’s progressive cred disappears when we remember that he has, until now, fought to raise tuition rather than cut it. Tuition is 30 percent higher today than it was when Cuomo took office, thanks to what he championed as “rational tuition.” In fact, only last year, he proposed slashing CUNY’s budget by $485 million, about one-third.

Daily Clips: April 24, 2017

How ideologues use grade-school economics to distort the minimum wage:

The United States has the lowest minimum wage, as a proportion of average wages, of any advanced economy—one reason for our wide gap between rich and poor. But according to economism, raising the minimum wage would only backfire and harm poor people.

U.S. Chamber of Commerce Chief expects basic NAFTA deal by mid-2018

Republicans want to muzzle database of consumer complaints

Want to rescue rural America? Bust monopolies

It is a myth that the economic challenges that rural and small-town America face are caused by forces largely outside our control, like globalization or improvements in technology. We have the ability to help restore competition and economic vibrancy in rural America and beyond. The government has the authority to ensure markets are once again open and competitive so that communities have a chance to shape their own economic destinies. The question is whether we will recognize the error of our ways and put taking on monopolies high on the economic agenda — for rural and small-town America, and for everyone who wants to ensure our country can once again be the land of opportunity.

Watch: Bill Nye rips CNN for treating climate change like theater instead of science

Daily Clips: April 21, 2017

Trump tax plan to rely on future US growth to fund cuts

Republicans believe major tax reform would drive annual U.S. economic growth above 3 percent. But if anticipated improvement fails to materialize, the strategy could rob the Treasury of tax revenue and saddle the economy with bigger deficits and higher debt burdens.

Bill Nye Saves the World brings us an updated, unapologetically political science guy

Does the government subsidize low-wage employers?

America is regressing into a developing nation for most people

Seattle Mayor Ed Murray proposes income tax for city’s ‘high-end’ households

The end of men? Not in the retail sector

Daily Clips: April 20, 2017

Happy 4/20. Here’s a quote from Carl Sagan:

The illegality of cannabis is outrageous, an impediment to full utilization of a drug which helps produce the serenity and insight, sensitivity and fellowship so desperately needed in this increasingly mad and dangerous world.

Blacks and whites use pot at about the same rate, but blacks get arrested for pot possession a lot more

A new high: 61 percent of Americans believe weed should be legalized

Nobel Prize-Winning Economist: We’re Headed for Oligarchy

Pesticide maker tries to kill risk study

The jobless economy

Why has growth been so slow? This too is a topic in itself but there are several reasons.

One, popular among mainstream economists, is that very deep recessions, like the 2008–9 affair, have historically left deep scars that make recovery slow and difficult. Another, less orthodox, way of interpreting those “scars” is that a very deep recession is itself a sign of serious structural problems beyond the normal ups and downs of capitalist economies.

Daily Clips: April 19, 2017

After using n-word in front of black colleagues, Fla. state senator faces calls to resign

New election analysis: Yes, it really was blatant racism that gave us President Donald Trump

Sean McElwee, a policy analyst for Demos and a frequent contributor to Salon, published a statistical analysis last week, based on data collected by the American National Election Studies, that demonstrates clearly that racism, rather than economic insecurity, was the primary factor that helped push Trump over the top.

Fighting child poverty with a universal child allowance

It might seem naive that a universal child allowance could be adopted this year. But with support from both sides of the aisle, it is now a viable policy alternative.

Cary Moon is running for Seattle mayor

What Trump’s H-1B visa executive order actually does