Crony capitalism is a bipartisan endeavor. The Dems often get dinged pretty hard because they are particularly inclined toward mixing business and politics (and make no bones about it), but the Republicans love to do the the crony pony too.
25% down. “Below average credit,” but which is below average because of $300 in unpaid parking tickets. Additionally Moore is a famous economist who could never walk away from a property. And he can’t get a loan? That just seems weird. I used to look at (insurance not mortgage) risk for a living and Moore sounds like an excellent risk to me.
No doubt unpaid tickets weigh heavily in credit scores because they supposedly reflect some sort of “moral” issue. I used to look at credit models pretty closely. They can be extremely arbitrary and often make little sense at all for people who fall outside of employment/housing/money management norms.
Saying that there are times when you just have to pay the bastards, even if they are in the government of DC (I assume that is likely.) and they don’t deserve a dime. I can relate to that. Many of us can. (Especially those of us who drive in Washington DC.)
Yeah, I’d say that about sums this story up. Magic Pony Economics (MPE) in real life.
It is admirable that this business owner wants to pay his people more. I respect that deeply. He didn’t even have to, yet. But the reality is that a minimum wage which is mandated (as it soon will be in Cali) which is far out of line with what the market will pay for a wage only results in disaster. One can not just wish something to be.
On the one hand it sort of makes sense. The government would just be paying fines to itself. On the other hand a fine taken from the budget of the EPA which then goes directly to the Treasury does seem pretty reasonable to me.
And consider if Koch Industries had done this what would have happened?
There is little which is “progressive” about “progressive politics.”
The “progressive” ethos celebrates the nomenklatura, the government bureaucratic class, which is enriched. Interestingly also in this country the tendency is to enrich the big companies (and their managers) with close ties to the government. The rest of society, and particularly the middle class is tossed aside. In the “progressive” world there is little time for such bourgeois values as liberty, property rights, economic freedom, privacy, and self determination.
No, there are the managed and the managers. That’s it. As such “progressive” politics tends to favor those who do not think for themselves and don’t want to, and those for whom power is an end.
Free markets in contrast, with free prices, allow organic economic growth and wealth creation. It is from the wellspring of the free human mind that true PROGRESS comes. Free minds are not a priority however for “progressives.” Compliance and conformity are what are valued. Entrepreneurs are trouble makers. Free thinkers are to be considered with suspicion. Innovation is a headache.
If one is not born into wealth the very best shot one has to die with wealth and perhaps some security for one’s family is in a free society and a free market based economy. If you develop skills, hustle, are smart about the deployment of limited resources one has a chance to do something extraordinary, to actually progress.
In a “progressive” society the only thing which progresses usually is the rate of human decline.
What is the “welfare cliff?” Why is it important?
Mr Reich generally needs to be taken with a grain of salt. He has been, and as far as I know, continues to be fundamentally wrong on the most important economic questions. Saying that, he has flashes of insight on political issues, and here’s one.
Of course we issue the standard disclaimers with this piece that we do with many of the folks we choose to feature here who we feel are too enamored with the state.
That he still can’t grasp (or is frankly willing to admit) that for the most part this country should thank its lucky stars for the TEA Party and the mini-revolt of 2009 is a big flaw in his argument. Another one is that he says that the TEA Party promoted “outright racism.” (I almost didn’t run his piece because of this chunk of baloney. A few memes promoted in the Huffington Post don’t count. I was there. I never saw it. Ever. I’m betting Reich didn’t attend many rallies.)
And yet another myth he promotes is the idea of some kind of post-World War 2 golden age of government. That is just a flat out misunderstanding of the situation.
In 1964, Americans agreed by 64% to 29% that government was run for the benefit of all the people. By 2012, the response had reversed, with voters saying by 79% to 19% that government was “run by a few big interests looking after themselves.”
This may be true but this is because before the information revolution the average person didn’t understand how the game, the government game, was played. It is, and has always been played for powerful interests. It’s just that we know it now. It was because Americans were basically ignorant (through no fault of their own) that 64% of people thought government was run for the benefit of the people.
They may have THOUGHT it was. But it wasn’t.
We woke up. Mr. Reich hasn’t. At least on this very important point.
So why run his piece?
This is a long fight and getting rid of the Export-Import Bank is just the beginning. A battle in a larger war to reduce the size and scope of government and to reduce the power of the current crony capitalist system. It will be a slog. Blood will be lost. But make sure most of the blood comes from the cronies and not from those who strive for a reasonably honest government and economy.
This reminds me of another article which we ran years ago about Apple. The article was also from Politico and basically amounted to a warning to the profitable company – “Throw some money to the lobbyists, or else.”
This article isn’t as heavy handed, indeed it may be a straight report, not a threat.
But that some of these newer, more innovative food companies are not “paying to play” clearly irks some within the Washington political class.
As we’ve argued many times before, arbitrarily raising the minimum wage, particularly to a level which is far above the real wage rate is an idiotic move. It creates unemployment for low wage earners, and in many cases for the people who formerly employed low wage earners. A “living wage” sounds nice. It sells to economically unsophisticated people. But a job doesn’t suddenly become “worth” more just because the government declares that it is. One can not revoke gravity. Likewise one can not revoke supply and demand.
Magic is not real, no matter what the politicians say.
This is an old article, but given the current debate it is worthy of a post.
If you don’t define it you can’t stop money from flowing to it. Which is the point.
Seems obvious to many of us but still there are many who don’t understand that liberty leads to greater human actualization. This actualization leads to a more satisfying life generally.
An interesting and somewhat desperate statement on corruption from a fan big government in Salon.
Thing is, as we say often, government is inherently corrupt. One can’t just get “good people” into office and then things will change. Government must itself be reduced.
Yes this means that many big modern liberal dreams must be abandoned.
I do not write this flippantly. I understand that this would constitute a political sea change.
It’s the same party with 2 wings. The Washington Crony Party. If one can fleece the taxpayer it will be done, Republican, Democrat, whatever, so long as money is funneled to the narrow interests which fund your campaigns.
The Republican Party, though it has a free market wing which is young and growing is still dominated by the older big government crony Republicans. How long that generation can hold on, and how much damage they will create to the economy is anyone’s guess.
Good on ya Uber.
If you can make it, and beat the cronies in New York, you can make it anywhere. Take that cabbie cronies.
Of course Bill deBlasio is still going to try to make Uber pay for part of the Subway system. We’ll see about that. Right now the mayor is huddled up in Gracie Mansion licking his wounds and wondering how he got beaten so badly.
And that is a very good thing for New Yorkers. The longer he’s in the fetal position the better.
Uber Chief Executive Officer Travis Kalanick has said he wants to refashion the car-booking company into a sort of politician to fight against the taxicab industry. Kalanick should get the confetti ready because Uber just won perhaps its biggest campaign yet. New York City Mayor Bill de Blasio backed down on a plan to stall the growth of Uber and similar ride-hailing apps.
Buried within the mounds of tweets, retweets, newspaper editorials, insulting app “features,” television commercials and press releases, a lot of stats have been thrown around by both camps in the hopes of swaying New Yorkers. Here are eight of the most cited numbers that helped shape the debate, and eventually tilted the campaign in Uber’s favor.