- About Us
- Get Involved
- Our Projects
- Affiliated Projects
- Support Us
- Our Building
by Dean Baker
As we passed the fifth anniversary of the peak of the financial crisis this fall, the giant insurance company AIG was prominently featured in the retrospectives. AIG had issued hundreds of billions of dollars of credit default swaps (CDS) on subprime mortgage backed securities. When these mortgage-backed securities failed en masse, AIG didn't have the money to back them up.
This would have forced AIG into bankruptcy. However Lehman had declared bankruptcy the day before and the world was still engulfed in the aftershocks. The Bush administration and the Federal Reserve board decided that they would stop the cascade of failing financial institutions and bail out AIG. As a result, the government agreed to honor all the CDS issued by AIG and effectively became the owner of the company.
by Jack Healy
FOUNTAIN, Colo. — As their children cooed from wheelchairs and rocked softly in their arms, the marijuana migrants of Colorado clasped hands, bowed their heads and said a prayer of cautious thanks.
They thanked God for the dinner of roast turkey and mashed potatoes, for their children and for the marijuana-based serum that has drawn 100 families to Colorado on a desperate pilgrimage to quell the squalls of seizures inside their children’s heads. They have come from Florida and Virginia, South Carolina and New York, lining up to treat their children with a promising but largely untested oil that is considered legal medicine in this cannabis-friendly state.
“Thank you for bringing us together,” said Aaron Lightle, whose wife and 9-year-old daughter, Madeleine, moved here after the girl’s neurologists suggested removing part of her brain to stop her relentless seizures. “In crazy ways, maybe. But hey, we’re here.”
Amen, they said.
by John Atcheson
Within the next few weeks, as the budget and deficit ceiling deadlines come closer, conservatives will start unleashing their five standard economic bogeymen so they can call for austerity budgets. Let’s examine their bogeymen, one by one.
Bogeyman number 1: The deficit is exploding and needs to be reined in.
Fact: The deficit is shrinking. Deficit hawks and austerity mongers raise the specter of debts and deficits as if we were in uncharted territory. In fact, we are, but not the territory they warn about. Within the last year and a half, the US deficit has been shrinking faster than at any time since World War II. In fact, one reason our economic recovery has been so anemic is the collapse of public spending, at a time when banks and corporations are shipping money overseas, playing bingo on Wall Street with our money, and hoarding it for CEO bonuses and other non-productive uses.
by Arun Gupta
As a graduate of New York’s French Culinary Institute and former chef, I’m obsessed with great food. I can remember the first time I tasted chocolate mousse, pine nuts, and avocados. Years, even decades later, I can recall the succulence of fresh prawns on the Pacific coast of Guatemala, and the fiery savoriness of street food in India. All these moments were shared with family or friends, which made them especially memorable. Breaking bread with others is part of what it means to be human, and the act is wrapped up in emotional well-being, especially love.
by George Lakoff
The NY Times has many virtues and some important flaws. Both were evident on the paper's front page this week and there is a lot to be learned by what did and did not appear there.
For decades, Republican conservatives have constructed and carried out extensive, well-planned, long-term communication campaigns to change public discourse and the way the public thinks. It has been done very effectively and, for the most part, not secretly. The NY Times finally began reporting on this effort on Thursday, November 21, 2013 in a fine piece by Jonathan Weisman and Sheryl Gay Stolberg.
The Times reported on the House Republicans' memo on how to attack the Affordable Care Act through a "multilayered sequence assault," gathering stories "through social media letters from constituents, or meeting back home" and a new GOP website. The Times also reported on the "closed door" strategy sessions, going back to last year.
by John Nichols
Florida Congressman Trey Radel, who has wisely determined that he does not want to become an American version of Toronto Mayor Rob Ford, says he will take a leave of absence from the US House of Representatives to address his penchant for cocaine.
“I’m struggling with this disease, but I know that I can overcome it,” explains the conservative Republican.
Fair enough. The congressman wants to finally deal with an addiction problem he says he’s struggled with “on and off for years.” And there is every reason to wish him well as he does so.
But it would be good for Radel and his colleagues to note that he has identified his challenge as a disease, not a bad habit.
by Donna Smith
Ah, the Affordable Care Act. We’ve all been inundated with the stories about the rocky launch of Obamacare's Healthcare.gov website, the policy cancellations that drop people from coverage rather than meet minimum standards required by the ACA, and other issues like the one I have faced with a deeply flawed subsidy/tax credit application process that required a lengthy and intrusive Medicaid application.
Some of these issues were predictable and preventable; others were not.
by Phillip Carter
TODAY, we honor the nation’s 22 million veterans, including more than 2.5 million who served in Iraq, Afghanistan and other fronts in the war against Al Qaeda. But we are turning our backs on hundreds of thousands of veterans who were discharged “under conditions other than honorable” and so do not qualify as veterans under federal law.
Their discharges, which include overly broad categories encompassing everything from administrative discharges for minor misconduct to dishonorable discharges following a court-martial, nevertheless make them ineligible for the health care, employment, housing and education benefits offered by the Department of Veterans Affairs.
Because of the “bad paper” they carry in the form of their discharge certificates, many of these veterans struggle upon leaving the military. And when they falter, the burden for supporting them falls heavily on their local communities because federal agencies cannot, by law, help them.
by George Zornick
Starting Friday, the Supplemental Nutrition Assistance Program will see a $5 billion reduction in funding. This means families of four who rely on food stamps will receive $36 less each month, starting now—a serious blow to struggling families, but also the economy, since every federal dollar spent on food stamps generates $1.74 in economic activity.
This is just a prelude to deeper food stamp cuts likely to come, as Congress debates a five-year farm bill. So it is important to get the political dynamics of Friday’s cut correct. There is a troubling trend among some left-leaning writers to blame the big bad GOP. See for example Jonathan Capehart in the Washington Post: “Oh SNAP, veterans get dissed by the GOP.” But that’s not the entire story.