President Obama Suffering From Lack Of Common Sense?

Original Article

He just . Doesn't. Get it.

by andrewj54

Thu Dec 16, 2010 at 02:06:53 AM PST

"I want to dispel any notion we want to inhibit your success,” President Obama told 20 CEOs this morning, according to a source in the room. “We want to be boosters because when you do well, America does well."

Really,  Mr. President?  I'll get into specifics below the jump, but in case you hadn't noticed:  while it's a very GOOD time to be a CORPORATE CEO (corporate earnings are at record highs), it's a BAD time to be a working American.   A very bad time.

Let's take a look.

This is from the incomparable Digby, who quotes it from HuffPo:

Wall Street banks are on pace to pay out some $143 billion in compensation for 2010, just shy of their record year of 2007. But given the widespread layoffs of mid-level employees as a result of the financial crisis, average compensation set a record. At the top six banks, compensation rose 10 percent over 2007.

And then there are all the other corporations (this is from the AFL-CIO):

Chief executives at the nation’s largest corporations received $9.25 million in average total compensation in 2009, according to the AFL-CIO’s analysis of available pay data from 292 companies in the Standard & Poor’s 500 index. Although average total compensation for these CEOs declined 9 percent from the previous year, executive retirement benefits increased 23 percent.

Contrary to what the President said, even though everything is coming up money for the CEO's, things look a little differently for middle-class Americans:

¶The typical American household made less money last year than the typical household made a full decade ago.

¶To me, that’s the big news from the Census Bureau’s annual report on income, poverty and health insurance, which was released this morning. Median household fell to $50,303 last year, from $52,163 in 2007. In 1998, median income was $51,295. All these numbers are adjusted for inflation.

¶In the four decades that the Census Bureau has been tracking household income, there has never before been a full decade in which median income failed to rise. (The previous record was seven years, ending in 1985.) Other Census data suggest that it also never happened between the late 1940s and the late 1960s. So it doesn’t seem to have happened since at least the 1930s.

Mr. President,  I hope you are not so out of touch or naive as to actually believe the sunshine you were blowing up the asses of the CEOs today.  If you truly think that "when [the CEOs] do well, America does well", then I have a Magical Elixir of Bipartisanship to sell you.  If you were lying to the CEOs to make them feel better, that's a little less discouraging, in one way, but in another way, it isn't.  If you really are aware of how well they are doing and how hard things are for everyone else, then why are you cozying up to them?  You think that if you tell them that you like them, you really like them, they are suddenly going to throw a lot of money at hiring American workers that they otherwise wouldn't have thrown?  They really aren't that into you, Mr. President.  They are only going to hire if they are sure it will mean more money for them.  Otherwise?  They'll sit on the their money or give it to your opponents.

It was famously written that there is a season to everything.  The season for bipartisanship is over.  The season for treating corporate America with kid gloves is over.  So what season is it?

Fight, or fail. 

It really is that simple.

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The Older Unemployed and Social Security Reform

 

Original Article

The Older Unemployed and Social Security Reform

by Forgiven       Wed Dec 15, 2010

But that does not seem to matter, not for her and not for a growing number of people in their 50s and 60s who desperately want or need to work to pay for retirement and who are starting to worry that they may be discarded from the work force — forever...Of the 14.9 million unemployed, more than 2.2 million are 55 or older. Nearly half of them have been unemployed six months or longer, according to the Labor Department. The unemployment rate in the group — 7.3 percent — is at a record, more than double what it was at the beginning of the latest recession. - New York Times

One of the least covered issues facing this country is the growing number of older workers who are now unemployed and who because of it have gone through their savings, investments, and retirement accounts and who may never become employed again. Many of these workers had planned to retire with their savings and retirement accounts to supplement their Social Security and now they will have to rely entirely on the government for their retirement and medical needs. While this is a tragedy in and of itself, the real calamity is that not only will these people be old and poor but they have become the means by which the wealthy has decided to balance the budget. The really sad thing is that many of them will also be highly in debt and will spend their golden years struggling to survive.

As a nation we have decided that our best years are behind us and we are determined to repeat them especially the "Gilded Age". If the wealthy and the wing-nuts have their way not only will there be no retirement accounts for many but there will also be little if any Social Security to sustain them. Folks this isn’t about class warfare, this isn’t about being envious or hating on the rich, and this isn’t even about taxes, this is about what is the fundamental character of this country. Many of these workers through no fault of their own have found themselves unemployed through downsizing and the "great recession" created by the same folks who want to displace them from the only thing that will separate them from elderly poverty the likes of which we haven’t seen since prior to Social Security.

The insidiousness of what the wealthy are trying to do with Social Security reform is that they recognize that not only is America getting older, but also the aged are going to have fewer resources. Prior to the real estate bubble crashing many of these workers had already racked up tremendous debt using their homes as credit cards which they will be carry into retirement. This environment will cause many people to have to continue to work beyond retirement and thus increasing the pressure to extend the retirement age for Social Security. I suppose the thinking will be since they can’t afford to retire anyway we may as well hold off on their government checks. The unfortunate aspect of all of this is that the wealthy through their minions have convinced a number of Americans to believe that these programs have become obsolete and a waste of taxpayer money. The main impetus of this strategy is to blame the poor and the elderly mantra casting them as lazy and a drain on society.

These were the same folks who lambasted this administration for "pulling the plug" on grandma during the healthcare reform debate. I guess they want the elderly to live, but only in poverty. The strategy is the same in all of their proposals. They fight for the unborn until they are born then they are on their own. They refuse to provide for their education, to stabilize their families, or offer a pathway out of poverty besides their bumper sticker rhetoric. It is obvious they see the writing on the wall and realize that in order to address the long-term structural problems of this nation revenues will have to be increased so in their usual preemptive fashion they are laying the groundwork to minimize their portion or to shift those obligations to others. It is becoming painfully clear that reducing spending will not be enough but I guess they have adopted a scorched earth policy to squeeze as much from the most vulnerable as they can before we even begin to discuss increasing revenues.

I predict in the coming years that poverty amongst the elderly will increase dramatically as they watch their investments being looted, their homes being devalued, and their pensions disappear. These won’t be people who were marginally involved in our economic system but people who had worked hard and played by the rules but who have become expendable like so many before them. These people will be the collateral damage of globalization and free trade. Those who have profited from these strategies will continue to obstruct and demonize any policies to help those they have sacrificed for their own gain. We can continue to ignore the coming catastrophe by clinging to the fear and uncertainty being propagated by the wealthy or we can take a cue from our European brethren and demand that the system begin to work for the 98% for whom it no longer does.

If we refuse to act then many of our parents and relatives who have been replaced way before their time will become the new faces of poverty. Millions of workers will be too young for retirement and too old to work in a shrinking job market. They will have no healthcare, no savings, and plenty of debt as they float in this purgatory of not knowing what their future will hold. In this backdrop the true character of America will emerge and to be honest I am not sure what that character will be. The more I read comments from folks extolling the virtues of giving the wealthy more the less hopeful I am for the future.

"You know, if I listened to him [Michael Dukakis] long enough, I would be convinced we're in an economic downturn and people are homeless and going without food and medical attention and that we've got to do something about the unemployed." - Ronald Reagan
The Disputed Truth

 

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