Showing posts with label Neoliberalism. Show all posts
Showing posts with label Neoliberalism. Show all posts

Sunday, September 25, 2011

‘Street Heat’ vs. Finance Capital and the Right

Solidarity Time: Young People Occupying

Wall Street Are Standing Up for All of Us

By Carl Davidson
Keep On Keepin' On

The actions of thousands of young people in New York City's financial district, simply calling themselves "Occupy Wall Street," is now entering a second week, with many camping out overnight in the area's parks. How long its will continue and whether its numbers will swell is anyone's guess, but the response of the NYPD in arresting and otherwise restricting them is already banging heads with our First Amendment rights to peacefully assemble.

"At Manhattan's Union Square, police tried to corral the demonstrators using orange plastic netting," reports the Sept 25, 2011 Washington Post. "Some of the arrests were filmed and activists posted the videos online. One video appears to show officers using pepper spray on women who already were cordoned off; another shows officers handcuffing a man after pulling him up off the ground, blood trickling down his face."

Most of the youth are students, but many are also unemployed and underemployed young workers. And a small but important grouping of staffers and activists with NYC's trade unions have also made their way downtown to spend a few hours helping out.

The students certainly have a just cause. While the denizens of Wall Street have bailed themselves out and paid themselves huge bonuses with trillions from the public treasury, these young people are saddled with a degree of crushing debt to pay for their educations that would have been unthinkable 40 years ago. If they manage to graduate, they face a financial burden large enough for a home mortgage-all before they start their first full-time jobs, assuming their lucky enough to find one that pays a living wage.

But these youth and students are fighting for more than their own immediate concerns. They have raised a whole range of demands-Medicare for All, defending social security, for passing the various jobs bills in congress, opposing racism and sexism, ending the wars, and abolition of the death penalty in the wake of the recent unjust execution of Troy Davis.

They are the cutting edge of a new popular front against finance capital.

Young rebels often manifest a moral clarity that awakens and prods the rest of us. Through their direct actions, they become a critical force, holding up a mirror for an entire society to take a look at itself, what it has come to, and what choices lay before it. The historic example is the four young African American students that sat at a lunch counter and ordered a cup of coffee in Greensboro, North Carolina back in 1960.

The Wall Street protests are thus a clarion call to the trade unions and everyone concerned with economic and social justice. While the youth are clearly a critical force here, when all is said and done, they are not the main force. That power resides in labor and in the wider communities. It's in the hands of everyone that's part of an emerging progressive majority for peace and prosperity, everyone that wants a U-Turn against the country's current path to more wars and deeper austerity.

It's time to exercise that power and lend a hand with active solidarity. More actions are in the works, including an occupation and encampment on Freedom Plaza in Washington, DC starting Oct. 6, following the 'Rebuild the Dream' DC conference focused on a renewed labor-community coalition for the 2012 election.

It's going to take more than votes to push back the right wing and its Wall Street allies. It's going to take some serious 'street heat' as well.

 

[Carl Davidson is a national co-chair of Committees of Correspondence for Democracy and Socialism, a national board member of the Solidarity Economy Network, and a member of Steelworker Associates residing in Beaver County, Western PA.

If you like this article, make use of the PayPal button at http://carldavidson.blogspot.com  His books are available at http://stores.lulu.com/changemaker]

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Monday, August 29, 2011

Why Neoliberals Have Trouble Telling the Truth

Media Wars and Manufacturing Consent:

Getting People to Vote Against Themselves

By Carl Davidson
Keep On Keepin' On

"Newt Gingrich: Obama's 'Bureaucratic Socialism' Kills Jobs" is one of many similar headlines appearing on dozens of web-based news portals in this 2012 election season. This one keeps popping up, and I'm getting sick of seeing it.

The reason? It manages to pack several major lies, each of which you could write a book about, into just five words-and hardly an editor anywhere takes a blue pencil to it.

Don't get me wrong. I've got no problem with 'socialism.' My shoot-from-the hip response when someone spits the 'S' word out in a political argument is, "Socialism? I've been a socialist all my life, and proud of it. We should be so lucky as to have some socialism around here. Unfortunately, we're not even close."

First of all, Barack Obama is not a socialist. Even back in his more youthful years in Illinois, at best on a good day, he was simply a neo-Keynesian liberal with a few high tech green ideas. Keynesians believe, among other things, that when markets fail, government has the task of being the consumer of last resort, even hiring people directly to build infrastructure and put people to work,

But these days, surrounded by a 'Team of Rivals' largely from Wall Street, Obama has set aside any earlier Keynesian policies he held and has been, wittingly or not, sucked into the black hole of the prevailing neoliberal hegemony.

What's 'Neoliberal hegemony?' That's a shorthand phrase for the current domination of our government by Wall Street finance capital. It simply wants to diminish any government initiatives or programs, except for those that line their own pockets.

Keynesians and others, in and out of government, have opposed the neoliberals. They've advocated a range of reasonable proposals for getting us out of the current crisis-ending the wars, Employee Free Choice Act, Medicare for All, the People's Budget submitted by the Congressional Progressive Caucus, Rep. John Conyer's HR 870 Full Employment Bill-but they all keep getting declared "off the table" by the neoliberals.

On Gingrich's second charge, far from being 'bureaucratic,' Obama, wisely or not, has actually reduced the number of federal employees, and made other cuts that will cause the states to do likewise.

On the third charge, far from 'killing jobs,' Obama's initial proposals regarding employment have actually created a few jobs, but not nearly enough. Why? Because of the real job-killing votes of Gingrich's Republican allies in the House.

It doesn't take a chess champion to figure any of this out. Any decent checker player could make an honest call of the false moves in the 'socialist job killer' gambit of Gingrich and other GOP presidential pretenders running the same rap.

But why distort the truth this way? Newt Gingrich is a smart man. He knows that Keynesianism is designed to keep capitalism going, and that socialism is something quite different and has very little to do with this debate. So why does he keep this 'Big Lie' business up?

It's a smokescreen. At bottom, Gingrich, the GOP and the far right are promoting a grand neoliberal project to repeal the New Deal and the Great Society, the primary past examples of liberal government dealing with market failure.

The right's problem is too many things that came out of those periods had some success and are still popular with a majority of voters-the elderly like Medicare and Social Security, labor likes the Wagner Act and the right to bargain collectively, Blacks and other minorities like the Voting Rights Act, and women like Title Seven. To take them all down, which is what the neoliberal-far right alliance wants, means you have to attack them indirectly, rather than directly.

So how does it work? You have to start with what most people fear most-losing their jobs-and then combine it with the darker demons of our past, such as anti-communism, racism and sexism. Next you mush all your potential adversaries--the socialist left, the liberals and progressives, and the FDR-loving moderates--into one huge combined bogey man. You make it into a hideous package that's going to scare voters into casting ballots against themselves. To put a fancier term on it, it's called manufacturing consent to combine with outright coercive force in getting you to submit to a renewed hegemonic bloc.

That's what Newt is doing here. In short, it's when they get you to think all your neighbors and co-workers are your enemies, while all the guys on Wall Street are your friends. You're going to hear a lot of it over the next year. Don't fall for it.

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Friday, July 22, 2011

Unemployment: Lies, Blue Smoke and Mirrors

Lies, Blue Smoke and Mirrors: The Neoliberal-Tea Party Jobs Plan at Work
By Carl Davidson
File this under the ‘Why is Anyone Surprised Dept?’ 
This morning’s Pittsburgh news media lets us know that more and more Pennsylvanians are unemployed. Particularly,  it’s in ‘Unemployment rate up in Pennsylvania’ in the Pittsburgh Business Times by Paul J. Gough.
What’s interesting is how it gets spelled out:
“Pennsylvania’s unemployment rate rose slightly in June as the Commonwealth followed an upward trend of national jobless data that has been rising since the spring.“The state’s unemployment rate was 7.6 percent in June compared to 7.4 percent in May, according to data released Thursday afternoon by the Pennsylvania Department of Labor & Industry. That translated into a net of 2,600 jobs lost to a total 6.3 million people employed in Pennsylvania. Specific data for Pittsburgh won’t be released for several weeks, but unemployment increased in Pittsburgh to 7 percent in May, the most recent month where data is available.“Much of the decreases were due to 7,800 jobs cut in education, health and social services. Also losing jobs were financial (2,000 jobs), leisure and hospitality (1,400 jobs), and professional/business services (1,700 jobs).”
What this means is that our GOP governor’s plan is working as designed. He and others of his ilk are determined to slash government spending on social services and the work force that provides them.  Now if we combine this with taking money from low-income and middle-income workers, and give it to the superrich as tax cuts, we can help the ‘recovery’ of the wealthy by reducing consumer demand from the rest of us.
Now put these two planks together, and you have the GOP-Blue Dog-Tea Party plan for employment, and as we can see, it’s working rather well.
Of course the numbers are going in the opposite direction from what they’ve been claiming will happen. Maybe we just need even more layoffs and even less spendable income at the bottom, and then we’ll really see things take off!
Now Obama’s problem is buying into this. But if he’s going to sell it beyond the business press, it’s going to need a sales team with a lot of lies, blue smoke and mirrors.

The Neoliberal-Tea Party Jobs Plan at Work

By Carl Davidson

File this under the ‘Why is Anyone Surprised Dept?’

This morning’s Pittsburgh news media lets us know that more and more Pennsylvanians are unemployed. Particularly,  it’s in ‘Unemployment rate up in Pennsylvania’ in the Pittsburgh Business Times by Paul J. Gough.

What’s interesting is how it gets spelled out:

“Pennsylvania’s unemployment rate rose slightly in June as the Commonwealth followed an upward trend of national jobless data that has been rising since the spring.


“The state’s unemployment rate was 7.6 percent in June compared to 7.4 percent in May, according to data released Thursday afternoon by the Pennsylvania Department of Labor & Industry. That translated into a net of 2,600 jobs lost to a total 6.3 million people employed in Pennsylvania. Specific data for Pittsburgh won’t be released for several weeks, but unemployment increased in Pittsburgh to 7 percent in May, the most recent month where data is available.
“Much of the decreases were due to 7,800 jobs cut in education, health and social services. Also losing jobs were financial (2,000 jobs), leisure and hospitality (1,400 jobs), and professional/business services (1,700 jobs).”

What this means is that our GOP governor’s plan is working as designed. He and others of his ilk are determined to slash government spending on social services and the work force that provides them.  If we combine this with taking money from low-income and middle-income workers, and give it to the superrich as tax cuts, we can help the ‘recovery’ of the wealthy by reducing consumer demand from the rest of us.

Now put these two planks together, and you have the GOP-Blue Dog-Tea Party plan for employment, and as we can see, it’s working rather well.

Of course the numbers are going in the opposite direction from what they’ve been claiming will happen. Maybe we just need even more layoffs and even less spendable income at the bottom, and then we’ll really see things take off!

Now Obama’s problem is buying into this. But if he’s going to sell it beyond the business press, it’s going to need a sales team with a lot of lies, blue smoke and mirrors.

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Wednesday, July 20, 2011

‘Gang of Six’ and the Neoliberal Deficit Trap

What Happens When You Accept a Neoliberal Frame — or How Obama Joined the ‘Gang of Six’ and Became a Reverse Robin Hood

By Carl Davidson

  1. Only one of the Gang of Six pictured above has done something positive recently, Illinois’s Dick Durbin, when he blurted out that ‘the banks own the place’ in reference to Congress

    Otherwise, this crew just cooked up a deal, under a false flag, that claims the US economy is going to recover by taking from the poor and giving to the rich—and now Obama has signed on to it.

    It all follows from the false frame, that our main problem is ‘deficits.’

    No, there’s plenty of money if you go after it in the right places, and our main problems are lack of jobs, unjust tax codes and the lack of a progressive clean energy and green manufacturing industrial policy.

    But neoliberal finance capital has suckered our political class, with some exceptions, into its false framework.  Once you accept the notion that there’s no money, that deficits can’t be corrected without cuts, and that tax cuts create jobs in a down economy, you’re on the road to perdition. Jobs are created by increasing demand, and these measures just decreased demand from both consumers and government. Ask your local deficit hawks to explain how decreased demand creates more jobs, and then try to keep from laughing out loud before they finish.

    The ‘exceptions’ just noted in our political class are the 70+ votes in the Congressional Progressive Caucus, and the real solution to the crisis is in the ‘Peoples Budget’ they have promoted to counter both the White House and the GOP-far right alliance. Be sure to help them win in 2012, and to their ranks.

    Progressive Democrats of America is the main group supporting the good guys here, speaking truth to power and calling mass meetings locally around left-progressive solitions. Go to http://pdamerica.org and hook up. We need to grow its size tenfold.

    Source: pdamerica.org

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Thursday, September 24, 2009

Pittsburgh G20 Diaries: Day Two

pointpark

Photo: USW Blue-Green Rally at G20 for Green Jobs, Clean Energy


Union Teach-Ins, a Nobel Laureate
Ninja Turtles and Steel City Rockers

By Carl Davidson
Beaver County Blue

One of the first things you see entering Pittsburgh from the Fort Pitt Bridge is that the United Steel Workers, headquartered in this working-class town, are determined to deliver a strong message to the G20 bigwigs.

“Jobs, Good Jobs, Greens Jobs Now!’ declared the huge five-story-tall banner draped from the top of the even taller USW headquarters building that faces the Golden Triangle and its hotels. Despite squads of militarized police, some in their Ninja turtle outfits, no one anywhere near the downtown area can miss it.

Today I’m headed for the day-long ‘Teach-In on Human Rights, Global Justice and the G20’ organized by the USW at their 4th floor conference center. Later in the afternoon on this gray, drizzly and humid Sept 23 day, I plan to hear Nobel Laureate Joseph Stiglitz speak in the low-income Hill District, and attend a labor-environmentalist rally and concert featuring local politicians and rockers.

The street heat protests are planned for the last two days, Thursday and Friday, Sept 24-25. So far, the police have been going out of their way with petty harassment of out-of-town protestors—getting permits mixed up, trying to stop a Free Food bus, challenging small encampments. Some Green Peace people get busted today for hanging a huge banner on one of the bridges, but arrests and scuffles so far are minor.

I arrived early, just in time for the freshly brewed coffee and wide array of muffins and pastries that will load my blood sugar and won’t help my waistline—but who can resist? The TV cameras are there, and the room is filling up with union people and activists from near and far. The press is focused on Richard Trumka, the new president of the AFL-CIO who’s very popular here in Western Pennsylvania. He came from the coal mining area about 40 miles south of the city, where he started as a leader of the United Mine Workers of America.

“I’ve been given the job of ‘framing’ the discussion here today,” Trumka began, but warns us he won’t be around for criticism if he doesn’t do a good job. He’s got to take off early and meet with the top labor leaders from the other 20 or so countries here for the G20 event.

Trumka gave us a big picture. “From 1946 to 1976, the productivity of the American worker and our wages rose together and nearly doubled. But from the late 1970s, and especially after Ronald Reagan, things changed. Our productivity continued to rise, but our wages stagnated, and now are declining.” He followed with a good definition of neoliberalism, urging us to use and understand the term, and how it produced the cycle of consumer debt and the financial bubbles leading to the recent crash.

The neoliberals of both parties, he continued, have tried to put labor and its allies “in a policy box with six sides”—labor ‘flexibility,’ shareholder value primacy, globalization/ off shoring, ‘personal’ responsibility over all, small government to a fault, and economic ‘stability,’ meaning austerity for us. He explained the hidden trap and fallacy in each one of these.

“We make it, and they take it, that’s what it boils down to on wealth creation,” Trumka concluded, noting that it was unacceptable. Labor wasn’t about to be imprisoned in the box defined by neoliberalism, but was going to break out of it. It was clear that the new AFL-CIO chieftain was sharp as a tack, well-versed in political economy, and not about to be easily bamboozled by anyone.

Lisa Jordan of the USW took the podium as Trumka headed for his G20 meetings. “I can’t help but report what I saw driving in here yesterday and today,” she said. “A long caravan of paddy wagons, and for what? Just waiting to arrest us and scare other people away. She added that the USW would stand up to it at the rally tonight, and especially at the large ‘People’s March’ on Friday. She urged a large steelworker turnout from the locals. “We want to see a sea of our banners, so bring out our people and every local banner you can get.”

Jordon outlined the upcoming speakers and breakout sessions at six different roundtable spots on the floor—topics included labor in Latin America, the corporate agenda, the WTO, anti-sweatshop legislation, race, gender and globalization, and several others.

I picked one on economic development battles in the Pittsburgh region. The town I’m from, Aliquippa in Beaver County, is one of the hardest hit in the area and matches the ‘boarded up communities’ phrase in the session’s description.

Barney Oursler of Pittsburgh United leads us off with an account of Pittsburgh’s contrasting areas of downtown glitter, which extends along the high-tech corridor out to the airport, with the grime of neglected neighborhoods and depressed river valley mill towns. “What’s the first word that comes to mind when you hear the word ‘development?’ he asks. “Profits, big ones,” someone answers.” “That’s exactly right,” he says, “and more often than not, it’s the elites that benefit, not the rest of us.”

The case in point offered several times over the day is the Pittsburgh Penguins demanding $750 million from the city for a new stadium, and getting it. The main opposition came from ‘One Hill,” a coalition of mainly African American groups in the Hill District, which both the new stadium site and is targeted for gentrification. One Hill fought the Penguins corporate core for restrictions on expansion and a community benefits accord. They got a deal worth $10 million, but the battle goes on.

“We have a different problem,” I interjected. “We have no development even to demand a piece of in Aliquippa, and we used to be the home of one of the world’s largest steel mills.” I went on to briefly describe some local discussions about opening a closed hospital as part of our larger battle for ‘Medicare for All, Healthcare not Warfare, ‘ as well as some discussion we started around rebuilding locks and dams on the local rivers for green barge transport and green energy infrastructure. Steffi Domike of the USW Associates staff picks up on the latter point. “The Pittsburgh plateau is a good region for wind farms, but we’d have to modernize the energy grid to get the most from it.” We agreed to follow up with more discussion on the implied projects in the weeks ahead.

One thing is quite clear about the Steelworkers. They are very serious, from President Leo Gerard’s speeches down to the brochures in the lobby, about getting beyond traditional business unionism and fighting for a major green industrial policy and new structural reforms to get out of the economic crisis. Moreover, they want to do it in a way that benefits the entire working class. This is why they are putting resources behind the Blue-Green alliance with environmentalists and the ‘Green for All’ projects associated with Van Jones and his inner city youth programs. The steelworkers know they can’t do it alone, and need all the allies they can muster. What the union is doing during the G20 week is only incidental to this broader effort.

Two videos were also highlights of the teach-in. A short version of “The Battle of Seattle” was previewed, showing labor’s role in the anti-WTO global justice demonstrations going back ten years. Leo Gerard, now USW president, who appeared in the film, told those who just watched it that the union had bought up a good number of the two-DVD versions and combined it with a number of educational tools. “We’ll make in available to you for showing in your local groups or at house meetings. All we ask is that you have people sign in, and send us the lists.”

The other video was on the super-exploitation of workers in Bangla Desh, and show horrific scenes of the harsh conditions at sites deconstructing old merchant freighters for salvaged metals. “This goes beyond abuse of workers,” said Charlie Kernaghan of the National Labor Committee. “This is murder at the hands of these bosses.”

As the afternoon sessions drew to a close, a group of us got a ride up to the Monumental Baptist Church in The Hill district. Literally near the top of the hill near the center of downtown Pittsburgh, the 100-year-old African American church, with a long legacy of involvement in social justice causes, had offered its grounds for a ‘Tent City’ of out-of-town protestors.

This afternoon, the church had also opened its sanctuary for a speech by Joseph Stiglitz, economist and Nobel laureate. A former top insider with the World Bank, Stiglitz was fired from that body for exposing and speaking out against the disastrous impact of its policies in many parts of the world. When combined with his critique of the Obama administration’s more dubious concessions and Wall Street bailouts, he has gained rock star status among global justice activists.

stigliz

After an introduction by John Nichols of The Nation, Stiglitz made a small concession to the G20 by noting that adding a few countries was better than the G8, but still, some 170 countries around the world were on the outside of these deliberations.

“But make no mistake about what going on here,” he warned. “Even if we had waged war on many of these countries, we could not have done as much damage in many parts of the world as that done by indirectly by the policies of these global powers. The question is not whether we have to change our ways, but how, and by how much.”

The claim that the global recession was over was simply not true, Stiglitz went on, especially given growing unemployment. “Nor is it likely to end anytime soon. They’re simply deploying money in the wrong direction, bailing out the giant banks rather than a greater job-creating stimulus. What has happened to the banks that were supposedly ‘too big to fail?’ They’ve only gotten bigger, and their lobbyists are still thwarting needed regulation.”

Leo Gerard of the USW was next up and picked up where Stiglitz left off. “Pay attention to this number, 30 million!” he told the crowd. That’s the true number of unemployed in this country. That’s what you get when you add up those looking for jobs, those working part time when they want more, and those who have given up, what they call the ‘labor reserve.’ You can tell be my accent that I’m a Canadian, and to give you some idea of the scale, 30 million is a greater number than every human being in my native country.”

“We need jobs,” Gerard continued, “we need good jobs, and we need green jobs. What make a good job? It’s a UNION job that can support a family, and we need a second stimulus to create them and a financial transaction tax on Wall Street speculation to pay for it all.”

Emira Woods of the Institute for Policy Studies and a native of Liberia brought the voice of the third world to the discussion. “What the G20 powers do,” she explained, “is prevent the poor countries to act in their own interests and determine their own future.” She stressed the need for ‘people power’ to bring change.

Carl Redwood Jr. brought it all back to the realities of Pittsburgh. Speaking for the Hill District Consensus Group, he told the story of the battle over the Penguin stadium to this crowd, where the problems just outside the church’s doors were staring everyone in the face.

We gathered up our crew a little early to head back downtown in time for the rally in Point Park. Out on the sidewalk, Redmond came up and said, “Hey, Aliquippa guy! I heard you at the union hall earlier.” He tells me he was a reader of the Guardian back in the 1970s, when I was a writer there. We agree to stay in touch around the Green Jobs and Health Care campaigns. Making new connections is what these activities are all about.

We wind our way down the wet streets. It’s drizzling again, and still hot and humid. At a light, a UPS truck pulls up beside us, with side doors open. ‘Where is everyone?” he laughs, noting that it’s rush hour and the only crowds you see are batches of cops on every other corner. “It’s like Sunday afternoon with a Steelers game on!”

Point State Park is a large and pleasant open space at the tip of the ‘Golden Triangle,’ the site of the historic fort at the forks of the Ohio. Here the Monongahela and the Allegheny rivers come together to form what the French explorers called “La Belle Riviere, or beautiful river, their translation of the Iroquois and Seneca word ‘Ohio,’ meaning roughly the same thing.

This night, however, it had a split personality. Part of it was fenced off and occupied by militarized police and the Secret Service, wanting it as a command center for the same reason the French and British armies did more than 200 years ago: it’s a strategic location. The other part was a huge double stage with a terrific sound system and giant video screen. The Steelworkers, the Sierra Club and Al Gore’s climate change group had gone all out to claim at least part of the space to deliver their message to the G20.

The question of the moment was whether the weather and oppressive police presence would prevent a crowd from forming. As I enter the area divided off for the rally, a youth street theater group was putting on a performance in front of a long line of cops in their new camouflage gear. The kids were having fun, while those in uniform tried to look stern. Inside, people were surveying the literature tables, food stands and cheering on the local opening bands. There were only 500 or so there, but once the speakers got going and more musicians warmed up, the crowd quickly grew to about 5000—enough to make it a success, given the circumstances.

A young speaker started off the rally. "Thomas Jefferson said that every generation needs a new revolution," said Alex Loorz of Kid vs. Global Warming. He noted that some adults weren’t worried about the worst effects of climate change because it was 50 years away. But in 50 years, he said, "my generation won't be dead, and neither will our grandchildren, but if we don't act now, it is my generation that is going to pay for it."

State Senator Jim Ferlo also welcomed everyone, stressing the need for a large and unified movement. “We need a powerful force to counter these pinheaded pundits in the media who want to cater to all this nonsense coming from the right wing!”

Next Joe Grushecky and the House Rockers, a local band, really got the crowd fired up. They gave us a very polished mix of Springsteen tunes with their own original numbers full of steel city grit and energy. They would be followed later by Big Head Todd and the Monsters.

Leo Gerard took center stage for the USW the third time this day, but was still in good form. “A wind turbine is made of 200 tons of steel and 8,000 parts," he shouted out, and this crowd knew exactly what he meant. "Imagine what we could do if we could turn not just this country's jobs, but the world's jobs green. Imagine if we had the will!” PA Governor Ed Rendell followed him on the stage, and likewise committed to green and clean energy innovation on the state level.

A number of local Democrats have got the Steelworkers message, and it was evident at this event. Only a new industrial policy with major structural reform is going to create jobs on a scale needed to rescue Pennsylvania and the rest of the Rust Belt. Only political will combined with street heat could challenge the G20. But a good number also are still dragging their feet, captured by the Blue Dogs and bowing to the neoliberal anti-government tirades of the far right. This is going to be a critical battleground in the months ahead.

I caught a few tunes from Big Head Todd, and then headed back to Beaver County for the night. The next two days will put the spotlight on battlegrounds of a different sort, in the streets with the police and in the realm of public opinion over what is really going on behind the closed door deliberations of the G20. Stay tuned!

[Carl Davidson is a writer for Beaver County Blue. He is also a national co-chair of the Committees of Correspondence for Democracy and Socialism and a national board member of the US Solidarity Economy Network. He is author, along with Jerry Harris, of 'Cyberradicalism: A New Left for a Global Age.' If you like this article, make use of the PayPal button at http://carldavidson.blogspot.com] ]

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Tuesday, October 07, 2008

The Neoliberals Don't Have a Clue


Will Cutting
Taxes Really
Create Jobs Here?


By Carl Davidson

Every morning I take a look at Townhall.com to see what's on the minds of conservatives and the far right.

This morning, Lawrence Kudlow, host of CNBC’s “Kudlow & Company,” as well as a columnist and economics editor for National Review Online, was warning McCain to stick to jobs and growth in the debates, and set aside the 'guilt by association' attacks. He says:

"The financial crisis and economic downturn clearly have buried Sen. McCain in recent weeks. Some of McCain's supporters think he can turn the page on the economy Tuesday night and instead attack Obama on character and qualifications. That doesn't seem realistic.

" The recession economy and the financial crunch are front and center. Folks are asking: Can I get a loan? Will I have a job? Can I keep my house? Unfortunately, Sen. McCain's message overemphasizes government spending cuts, almost to the exclusion of stimulative and expansive tax cuts. This just doesn't seem like the right time for a government spending freeze, at least to the exclusion of other pro-growth policy levers. Sounds like too much root canal. More like Bob Dole than Ronald Reagan."

This shows he's on Planet Earth at least, but I posted a short reply, asking him 'Create Jobs Where? Here's the text:



Cutting taxes may indeed give corporations or venture capitalist more funds to invest in job creation, but what makes you think they would use it to create jobs HERE, and in areas where they're needed HERE, rather than for a higher return in, say, Malaysia?

As the neoliberals who gutted the mills here in Western PA put it, 'our job is to make money, not steel,' so they left us in the lurch to take their newly acquired funds and went off speculating in oil futures.

Creating jobs HERE requires green industrial policy with government guiding investment with both carrot and stick, and Obama is the only one talking up that program. Nice try, but no cigar. We've all learned a thing or two about markets, and to work well, they need an intelligent hand, as well as an invisible one.
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