Saturday, March 30, 2013

An order of men, whose interest is to deceive and oppress the public

There is layer upon layer to the Atlanta public school cheating episode.

But I was struck by one important aspect of the scandal in the NYT's article Ex-Atlanta Schools Chief Charged in Cheating Scandal.

The interests of the Metro Atlanta Chamber of Commerce to help cover up what was really going on:
What made Dr. Hall just about untouchable was her strong ties to local business leaders. Atlanta prides itself in being a progressive Southern city when it comes to education, entrepreneurship and race — and Dr. Hall’s rising test scores were good news on all those fronts. She is an African-American woman who had turned around a mainly poor African-American school district, which would make Atlanta an even more desirable destination for businesses.
And so when Mr. Perdue challenged the test results that underpinned everything — even though he was a conservative Republican businessman — he met strong resistance from the Metro Atlanta Chamber of Commerce.
“There was extensive subtle pressure,” Mr. Perdue said. “They’d say, ‘Do you really think there is anything there? We have to make sure we don’t hurt the city.’ Good friends broke with me over this.”
“I was dumbfounded that the business community would not want the truth,” he said. “These would be the next generation of employees, and companies would be looking at them and wondering why they had graduated and could not do simple skills. Business was insisting on accountability, but they didn’t want real accountability.”
Once the special prosecutors’ report was made public, it did not matter what the business community wanted; the findings were so sensational, there was no turning back.
Business leaders are pushing privatization of our schools because they want their hands on those profits (aka our tax dollars). Its the kind of rent seeking that has been decried by honest Economists since the days of Adam Smith.

The business community is the enemy of quality education--not a group that we should be forming friendly alliances with to "reform education".  We don't need education reform.  We just need to educate our kids.  There is a very big difference.
--------

smith
The proposal of any new law or regulation which comes from [businessmen], ought always to be listened to with great precaution, and ought never to be adopted till after having been long and carefully examined, not only with the most scrupulous, but with the most suspicious attention. It comes from an order of men, whose interest is never exactly the same with that of the public, who have generally an interest to deceive and even to oppress the public, and who accordingly have, upon many occasions, both deceived and oppressed it.
–Adam Smith, An Inquiry into the Nature and Cause of the Wealth of Nations, vol. 1, pt. xi, p.10 (at the conclusion of the chapter)(1776)

Friday, March 29, 2013

Sharp minds as your filter on the world. #FF wrap-up

Okay here is a wrap up of my Follow Friday's for the day.

These folks are all worth following so check them out.  Remember, our world is in information overload.  Tapping into a network of human beings with sharp minds, and organizations run by sharp people, as a filter to process and identify important information is the only way we as individuals can stay educated and informed in an era of decline.


Thursday, March 21, 2013

Creating a business from bodies of color and the poor

Chris Hedges The Shame of America’s Gulag:
 In 1913 Eastern State Penitentiary, in Philadelphia, discontinued its isolation cages. Prisoners within the U.S. prison system would not be held in isolation again in large numbers until the turmoil of the 1960s and the rise of the anti-war and civil rights movements along with the emergence of radical groups such as the Black Panthers. Trenton State Prison established a management control unit, or isolation unit, in 1975 for political prisoners, mostly black radicals such as Lutalo whom the state wanted to segregate from the wider prison population. Those held in the isolation unit were rarely there because they had violated prison rules; they were there because of their revolutionary beliefs—beliefs the prison authorities feared might resonate with other prisoners. In 1983 the federal prison in Marion, Ill., instituted a permanent lockdown, creating, in essence, a prisonwide “control unit.” By 1994 the Federal Bureau of Prisons, using the Marion model, built its maximum-security prison in Florence, Colo. 
The use of prolonged isolation and sensory deprivation exploded. “Special housing units” were formed for the mentally ill. “Security threat group management units” were formed for those accused of gang activity. “Communications management units” were formed to isolate Muslims labeled as terrorists. Voluntary and involuntary protective custody units were formed. Administrative segregation punishment units were formed to isolate prisoners said to be psychologically troubled. All were established in open violation of the United Nations Convention Against Torture, the U.N.’s International Covenant on Civil and Political Rights, and the International Convention on the Elimination of All Forms of Racial Discrimination. Kerness calls it “the war at home.” And she says it is only the latest variation of the long assault on the poor, especially people of color.
“There are no former Jim Crow systems,” Kerness said. “The transition from slavery toBlack Codes to convict leasing to the Jim Crow laws to the wars on poverty, veterans, youth and political activism in the 1960s has been a seamless evolution of political and social incapacitation of poor people of color. The sophisticated fascism of the practices of stop and frisk, charging people in inner cities with ‘wandering,’ driving and walking while black, ZIP code racism—these and many other de facto practices all serve to keep our prisons full. In a system where 60 percent of those who are imprisoned are people of color, where students of color face harsher punishments in school than their white peers, where 58 percent of African [American] youth … are sent to adult prisons, where women of color are 69 percent more likely to be imprisoned and where offenders of color receive longer sentences, the concept of colorblindness doesn’t exist. The racism around me is palpable.” 
“The 1960s, when the last of the Jim Crow laws were reversed, this whole new set of practices accepted by law enforcement was designed to continue to feed the money-generating prison system, which has neo-slavery at its core,” she said. “Until we deeply recognize that the system’s bottom line is social control and creating a business from bodies of color and the poor, nothing can change.” She noted that more than half of those in the prison system have never physically harmed another person but that “just about all of these people have been harmed themselves.” And not only does the criminal justice sweep up the poor and people of color, but slavery within the prison system is permitted by the 13th Amendment of the U.S. Constitution, which reads: “Neither slavery nor involuntary servitude, except as punishment for crime whereof the party shall have been duly convicted, shall exist within the United States. …” 
This, Kerness said, “is at the core how the labor of slaves was transformed into what people in prison call neo-slavery.” Neo-slavery is an integral part of the prison industrial complex, in which hundreds of thousands of the nation’s prisoners, primarily people of color, are forced to work at involuntary labor for a dollar or less an hour. “If you call the New Jersey Bureau of Tourism you are most likely talking to a prisoner at the Edna Mahan Correctional Institution for Women who is earning 23 cents an hour who has no ability to negotiate working hours or working conditions,” she said.
 “People have said to me that the criminal justice system doesn’t work,” Kerness said. “I’ve come to believe exactly the opposite—that it works perfectly, just as slavery did, as a matter of economic and political policy. How is it that a 15-year-old in Newark who the country labels worthless to the economy, who has no hope of getting a job or affording college, can suddenly generate 20,000 to 30,000 dollars a year once trapped in the criminal justice system? The expansion of prisons, parole, probation, the court and police systems has resulted in an enormous bureaucracy which has been a boon to everyone from architects to food vendors—all with one thing in common, a paycheck earned by keeping human beings in cages. The criminalization of poverty is a lucrative business, and we have replaced the social safety net with a dragnet.”
Prisons are at once hugely expensive—the country has spent some $300 billion on them since 1980—and, as Kerness pointed out, hugely profitable. Prisons function in the same way the military-industrial complex functions. The money is public and the profits are private. “Privatization in the prison industrial complex includes companies, which run prisons for profit while at the same time gleaning profits from forced labor,” she said. “In the state of New Jersey, food and medical services are provided by corporations, which have a profit motive. One recent explosion of private industry is the partnering ofCorrections Corporation of America with the federal government to detain close to 1 million undocumented people. Using public monies to enrich private citizens is the history of capitalism at its most exploitive.”

 Also check out The shock doctrine in Texas prisons

Monday, March 18, 2013

Just in time for the anniversary of the Iraq War...

Hillary Clinton changes the subject.

"I like the gays [now]" is just a much better subject to speak on this week than the less comfortable "I'm partly to blame for the needless war in Iraq"

Saturday, March 16, 2013

Georgia's John Barrow on a list of Democrats to primary.

Not to be unexpected but Georgia's own John Barrow shows up on a list of Democrats who should be primaried.

Voting against raising the minimum wage is not only bad economic policy but is fundamentally against the values that Democrats I know hold and expect from elected Democrats.

On the policy side of that question check out CEPR who has a good assortment of reports and blog posts on why a minimum wage increase is good policy.

On the values/moral side of this question just go to church tomorrow morning or check out some of this guys greatest hits.

Friday, March 15, 2013

The Evils of Socialized Medicine... would be seen as an improvement in the US

Aaron Carroll over at The Incidental Economist takes a look at the data on the British National Health Care system and notices the story the media is missing (Burying the lede when talking about the NHS):
So the UK enjoys a great health service but not great health, a puzzle that the conference participants never fully tackled. One who tried was Liam Donaldson, the former chief medical officer. “I think it strains credibility to say we have a world class service,” he said in response to Osborn’s presentation. “I don’t think it is.”
When I first read that, I thought that the NHS must be making tradeoffs. The system is dirt cheap. They’re kicking butt in access. It’s not surprising that quality might suffer. But then I got to thinking. They’re “second worst” now in terms of amenable mortality? Who’s the worst?
NHS story
This kind of stuff drives me a little crazy. I have no idea if anyone in the US will cover this story. If they do, however, I bet it will be along the lines of the title. Sure, the UK does well in terms of access, but their outcomes are terrible. Do you want that to happen here? 
What will be missed is the fact that the outcomes are, perhaps, terrible, but they are worse here. So “would I want that to happen here”? If you mean that we could spend less than half of what we do on health care, see access improve massively, and see our outcomes go from worst to second worst? I could live with that.
For the record, using 2010 data, the UK would have moved up a spot. The US would still be last.
The US health care system is in shambles.  It is probably the most inefficient health system in the industrialized world.  But the challenge is there are massive amounts of excess profits being made at your expense.   Its called rent seeking and the majority of professionals within the the US health care system are guilty of it in some form or fashion.

Who has been spending the most money lobbying politicians to capture as much profit through bending the rules to their wishes?  Why the health care industry!  Pharma/Healthcare/HMO, the total lobby dollars spent between 1998 and 2012 was $5.3 billion



For those who like to fixate on the deficit health care costs is the culprit and a major role in why costs are so high is that there is so much excess profits going to 1%'ers within the health care industry.

The solution to long term fiscal issues the US faces are solely about health care costs.

The Center for Economic and Policy Research has a really cool Health Care Budget Deficit Calculator so you can see what would happen to our long term fiscal outlook if our health care costs were in line with other industrialized nations who have found ways to provide higher quality care much cheaper cost.

Sadly the media is covering Health Care "reform" plans such as Paul Ryan's as ways to save money when in fact that are ineficitent ways to increase the cost of Government provided health care via forcing people into less efficient private health care providers; not to mention throwing large numbers of those currently able to tap in to medicaid out in the cold..  Remember my point above about rent seeking?  Yeah, the Ayn Rand acolyte Paul Ryan is a huge champion of wasting tax payer dollars with the single goal of handing it to private sector businessmen for profits.  Dean Baker and David Rosnick talk about this in a paper they wrote last year (Representative Ryan’s Trillion Medicare Waste Tax)
“The Ryan plan does nothing to control private-sector waste in health care costs,” said David Rosnick, an author of the report.  “As a result of the waste in the private system, beneficiaries will end up paying substantially more for Medicare, in effect paying a hefty new tax on their health care.” 
The report, “Representative Ryan’s $30 Trillion Medicare Waste Tax,” documents the potential effects of replacing Medicare with a system of vouchers or premium supports and raising the age of eligibility from 65 to 67 as suggested in the Ryan plan
Keep in mind the conservative efforts to defund ObamaCare and not pass expansion of Mediciad in Republican controlled states is quite litterally a death warrent on Americans.

Richard Kirsch wrote a good post a few days ago over at the Next New Deal about the thousands of Americans Paul Ryan and his Republican friends are proposing be killed Paul Ryan’s Budget Would Kill Health Insurance Programs – and Thousands of Americans:
I have trouble with putting policy glosses on proposals that would deny health care coverage to millions of people and make care much more expensive to millions more. Because when more people lack health coverage, more people die. And when health costs prevent people from getting the care they need, they get more seriously ill.
How many people are we talking about? Estimates of the number of people who will die because they are uninsured vary, from about 500 to 1,000 for every one million who lack coverage. Repealing Obamacare would block promised coverage for 32 million people, so that would mean somewhere from 16,000 to 32,000 each year who will die prematurely. Of course, since some Republican governors and legislatures are not implementing the expansion of Medicaid coverage in their states, some of those deaths are already on their hands.
Which leads us to the Ryan plan for slashing Medicaid. He replaces a program that now entitles low-income people to health coverage with a block grant to states to spend however they want on health care for the poor. The federal government would save money by decreasing what it pays to state governments and states would get to do the dirty work of cutting people’s health care. That will mean fewer people on the program, higher out-of-pocket costs, or a reduction in coverage of medically necessary care. And more people dying who would have lived if they had kept their previous health coverage.
In cutting Medicaid, Ryan is fulfilling the biggest concern that Republican governors say they have when they consider expanding Medicaid under Obamacare. A typical remark came from Arizona Governor Jan Brewer: “As I weighed this decision, I was troubled by the possibility that a future President and Congress may take steps to reduce federal matching rates, leaving states with a greater and greater share of health costs over time.”
Everyone is familiar by now with Ryan’s proposal to replace Medicare with vouchers to buy private insurance. The Ryan voucher plan is not about controlling health care costs; instead, it is intended to shift costs from the federal government to the seniors and the disabled who are covered by Medicare. When people can’t afford the care they need – and the CBO reported that the first Ryan voucher plan would have doubled the already high cost of health care to seniors – they will get sicker.
The parts of Obamacare that Ryan doesn’t repeal underscore his cynicism. Ryan would keep the $716 billion in Medicare spending reductions over a decade, which he railed against when he was running for vice president. In his debate with Joe Biden, Ryan called the Medicare changes a “piggybank” for Obamacare, which would cause hospitals and nursing homes to close and lead to seniors losing benefits. None of this is true, as Biden pointed out. So now Ryan is using that $716 billion in savings to help him reach his goal of balancing the federal budget instead of what those savings were intended for: increasing Medicare benefits under Obamacare and expanding coverage to millions of Americans.
Remarkably, Ryan also keeps the other tax increases in Obamacare, some $1 trillion raised mostly from upper income taxpayers and various medical providers and insurers. Ryan is using money raised to provide life-saving health coverage to millions of people, taxes he and other Republicans railed against, to meet his fantasy target of balancing the budget in 10 years.
I’ve grown tired of providing a veneer of respectability to people in power – people with good health insurance, coverage that provides them with access to the best medical care, and pays most of their bills – who deny their constituents a basic human right. Governors and state legislatures who won’t expand Medicaid even though the federal government will pay virtually all of the cost. Members of Congress whose health coverage is largely paid for by their constituents who still make political hay by demagoging against Obamacare.
Fortunately for those whose lives are at risk, the Ryan budget is dead on arrival. But the debate about how to make the promise of Obamacare real is only just the beginning. States will continue to debate whether to expand Medicaid. And when Obamacare’s major provisions kick-in next January, there will be a new round of debates about whether families can afford the new coverage and whether employers and government should do more or less to assure that people get covered. What will not end is the real consequences in each of those decisions for people’s lives. 
Its sad that conservatives have taken to trying to de-fund and destroy the health reform ideas that conservatives came up, rallied behind, and tried to implement for a number of years.  It wasn't until that radically sane neoliberal conservative Barrack Obama got his hands on their plan and actually got it passed that they decided killing Americans  was far more important than any intellectual integrity they might have for their old pet projects (RIP RomneyCare).

By the by if you are looking to learn more about the nuts and bolts of the Affordable Care Act and the history behind its origins you should check out Inside National Health Reform (California/Milbank Books on Health and the Public) which sits, well used, and quite close to my desk, in the study upstairs.

Monday, March 11, 2013

Reducing poverty and providing good health care---on the evils of Government.

Public programs lifted 40 million people out of poverty in 2011, including almost 9 million children.


Is this one of the evils of Government that Republicans keep speaking of?

Arloc Sherman with the Center on Budget and Policy Priorities has more (Why Deficit Reduction Must Protect Effective Low-Income Programs):
In addition, Medicaid provided access to affordable health care to more than 60 million people in 2009; thanks to Medicaid and the Children’s Health Insurance Program (CHIP), children are much less likely to be uninsured than adults.
Some leading researchers in the field have conducted a comprehensive review of the available research and data on how safety net programs affect poverty.  They found that the safety net lowers the poverty rate by about 14 percentage points (even after accounting for any potential negative effects on work incentives, which the research finds to be small).  In other words, one of every seven Americans would be poor without the safety net.  That translates into more than 40 million people.
Policymakers can make some money-saving changes in programs for low- and moderate-income individuals or families without unduly burdening those populations.  But the achievable savings through greater efficiencies in means-tested programs are modest.  In particular, the largest means-tested program — Medicaid — already provides health care coverage at a substantially lower cost per beneficiary than private coverage.
Hmmm... decreasing poverty and more efficient cost-effective health care than the private sector?  Truly evil...

No wonder big businesses in the health care sector hate Government spending--Government is providing a better product and rent seeking businessmen are terrified their customers will find out and demand some of the cost effective health care themselves.