Check It Out for Friday, June 26th

Check It Out on the last Friday in June has these excerpts:

Leo Hindery, Jr. and Leo W. Gerard write at The Nation about a jobless recovery and the manufacturing crisis in the US.

"President Obama just told us that the economic stimulus plan has"already saved or created" 150,000 jobs and that another 450,000 will be"saved or created" by the end of the summer, including 125,000summer-only jobs for students. It's hard for us to see how this will bethe case--we hope it is--but, more important, there's a huge differencebetween a job that is saved and one that is created. Just ask the 30.2million workers who are already unemployed.

"Obama has spoken forcefully about laying a new foundation for theeconomy, one that creates good jobs and rising incomes and that moves usfrom an era of borrow-and-spend to one where we save and invest and areable to produce more at home than we consume. And we agree these are theright goals for the nation. However, we do not believe that the policiesthe administration is pursuing will get us there, nor is theadministration's economic stimulus plan likely to move us towardanything approaching full employment.

"The current jobs crisis is in part a reflection of the misplacedpriorities of previous administrations, which let America'smanufacturing sector decline vis-a-vis our services economy. As aresult, manufacturing industries now represent just 11.5 percent of GDP;the number of people working in manufacturing accounts for only 8.7percent of the jobs in the country; and we have run an average tradedeficit in manufactured goods of more than $500 billion over the pastfive years, all of which contributed to the huge buildup of US debt inrecent years.

"This almost complete neglect of our manufacturing base relative to ourservice sector represents the height of irresponsibility, becausecompared with those in manufacturing, service jobs pay below medianwages, do very little to help America's balance of trade, have a muchsmaller multiplier effect on other parts of the economy and mostly justmove incomes around the country.

"Regrettably, however, some in the Obama administration have extendedthis neglect by essentially taking the position that a job is a job,whether it is in the manufacturing or service sector.

"And it is just as wrong for them to assume that new jobs associated withexported services will make up for past and future manufacturing joblosses, because high-quality service jobs are often dependent on astrong manufacturing sector and thus do not readily substitute for goodmanufacturing jobs.

"Even if the administration does not understand and accept these basicrealities, America's main trade competitors certainly do. Germany, Japanand South Korea are doing everything possible to preserve theirmanufacturing bases during this economic downturn. And China, whichaccounts for 60 percent of the US trade deficit in manufactured goods,is aggressively accelerating its efforts to grow its manufacturingsector."

Jeffrey St. Clair at Counterpunch writes about Obama's used "green" team retreads who are not really green.

"If allof Barack Obama’s airy platitudes about change none were more vaporousthan his platitudes about the environment and within that categoryObama has had little at all to say about matters concerning publiclands and endangered species. He is, it seems, letting his bureaucraticappointments do his talking for him.  So now, five months into hisadministration, Obama’s policy on natural resources is beginning totake shape. It is a disturbingly familiar shape, almost sinister.

"Itall started with the man in the hat, Ken Salazar, Obama’s odd pick tohead the Department of Interior. Odd because Salazar was largelydetested in his own state, Colorado, by environmentalists for hisrepellent coziness with oil barons, the big ranchers and the waterhogs. Odd because Salazar was close friends with the disgraced AlbertoGonzalez, the torturer’s consigliere. Odd because Salazar backed manyof the Bush administration’s most rapacious assaults on the environmentand environmental laws. Odder still because Salazar, in his newposition as guardian of endangered species, had as a senator repeatedlyadvocated the weakening of the Endangered Species Act.

"Salazarnever hid his noxious positions behind a green mantle. Obama certainlyknew what he was buying. And the president could have made a muchdifferent and refreshing choice by picking Rep. Raul Grijalva, theArizona Democrat, a Hispanic, a westerner and a true environmentalistwho had helped to expose the cauldron of corruption inside the BushInterior Department.

"Salazarwasted no time in turning the Interior Department office into a hive ofhis homeboys. This group of lawyers and former colleagues have alreadyearned the nickname the Colorado Mafia, Version Three. It's Version Three becauseColorado Mafia Version One belonged to James Watt and his Loot-the-Westzealots from the Mountain States Legal Fund. The Version Two updatecame in the form of Gale Norton and her own band of fanatics, some ofwhom remain embedded in the Department’s HQ, just down the hall fromSalazar’s office.

"With thisstark profile in mind, it probably comes as no big shock that the manSalazar nominated to head the Fish and Wildlife Service, the agencycharged with protecting native wildlife and enforcing the EndangeredSpecies Act, has viewed those responsibilities with indifference if nothostility. For the past twelve years, Sam Hamilton, whose nomination tohead the agency is now pending before congress, has run the SoutheastRegion of the Fish and Wildlife Service, a swath of the country thathas the dubious distinction of driving more species of wildlife to thebrink of extinction than any other.

“'Under SamHamilton, the Endangered Species Act has become a dead letter,' saysPEER’s Executive Director Jeff Ruch, noting that the White Houseannouncement on Hamilton touted his 'innovative conservation' work.'Apparently, the word ‘no’ is not part of ‘innovative’ in Mr.Hamilton’s lexicon. To end the cycle of Endangered Species Actlawsuits, the Fish and Wildlife Service needs a director who is willingto follow the law and actually implement the Act. Hamilton’s recordsuggests that he will extend the policies of Bush era rather than bringneeded change.'

"Over atthe Agriculture Department Obama made a similarly cynical pick when hechose former Iowa governor Tom Vilsak to head the agency that overseesthe national forests. Vilsak resides to the right of Salazar and notjust in the sitting arrangement at Cabinet meetings. He is apost-Harken Iowa Democrat, which means he’s essentially a Republicanwho believes in evolution six days a week. (He leaves such Midwesternheresies at the door on Sundays.) Think Earl Butz—minus the racistsense of humor (as far as we know).

"Vilsakis a creature of industrial agriculture, a brusque advocate for thecorporate titans that have laid waste the farmbelt: Monsanto, ArcherDaniels Midland and Cargill. As administrations come and go, thesecompanies only tighten their stranglehold, poisoning the prairies,spreading their clones and frankencrops, sucking up the Oglallaaquifer, scalping topsoil and driving the small farmers under. It couldhave been different. Obama might have opted for change by selecting WesJackson of the Land Institute, food historian Michael Pollan or RogerJohnson, president of the National Farmers Union. Instead he opted forthe old guard, a man with a test tube in one hand and Stihl chainsaw inthe other.

"Through aquirk of bureaucratic categorization, the Department of Agriculture isalso in charge of the national forests. At 190 million acres, thenational forests constitute the largest block of public lands and serveas the principal reservoir of biotic diversity and wilderness on thecontinent. They have also been under a near constant state of siegesince the Reagan era: from clearcuts, mining operations, ORV morons,ski resorts and cattle and sheep grazing.

"So nowVilsak has given the boot to Gail Kimbell, Bush’s compliant chief, andreplaced her with a 32-year veteran of the agency named Tom Tidwell.Those were 32 of the darkest years in the Forest Service's longhistory, years darkened by a perpetual blizzard of sawdust. You willsearch Google in vain for any evidence that during the forest-bangingyears of the Bush administration, when Tidwell served as RegionalForester for the Northern Rockies, this man ever once stood up toKimbell or her puppetmaster Mark Rey, who went from being the timberindustry’s top lobbyist to Bush’s Undersecretary of Agriculture incharge of the national forests.

"Tidwell’sappointment received near unanimous plaudits, from timber companies,ORV user groups, mining firms and, yes, the Wilderness Society. Here’sthe assessment of Cliff Roady director the Montana Forest ProductsAssociation, a timber industry lobby outfit: 'His appointment keepsthings on a fairly steady course. He reported to Gail Kimbell, and theyworked together really well. He’s somebody we’d look forward to workingwith.'

"On theenvironment, the transition between Bush and Obama has beendisturbingly smooth when it should have been decisively abrupt."

William Greider weighs in with an article in The Nation via Alternet about Obama's false financial reform being nothing more than smooth talk and fuzzy plans:

"The most disturbing thing about Barack Obama's call for financialreform was the way in which the president falsified our predicament. Hetried to make it sound as though everyone was implicated in thefinancial breakdown and therefore no one was really to blame. "Aculture of irresponsibility took root from Wall Street to Washington toMain Street," Obama explained. "And a regulatory system basicallycrafted in the wake of a 20th century economic crisis -- the GreatDepression -- was overwhelmed by the speed, scope and sophistication ofa 21st century global economy."

"That is not what happened, to putit charitably. Unlike some other presidents, Obama is much toointelligent not to know this. The regulatory system was not overwhelmedby historic forces. It was systematically gutted and dismantled by thegovernment in Washington at the behest of the banking interests. IfObama wants details, he can consult his economic advisors --Summers-Geithner -- who participated directly as accomplices inunwinding the prudential rules and regulations. Cheers were led by theFederal Reserve with heavy lifting by both political parties.

"The president's benign version of events reminds me of what compliantpoliticians and opinion leaders said after the war in Iraq they hadendorsed turned disastrous. "Hey, we were all fooled." If Obama were totell the truth now about what went wrong in the financial system, hewould face a far larger political problem trying to clean up the mess.Instead, he has opted for smooth talk and some fuzzy reforms thateffectively evade the nasty complexities of our situation. He might getaway with this in the short run. Congress doesn't much want to face themusic either. But Obama's so-called reform is literally "kicking thecan down the road," as he likes to say about other problems. In thelong run, it will haunt the country because it fails to confront thetrue nature of the disorders.

"The essence of what's missing in the Obama plan is the presence of hardrules -- the classic quality of laws that command private behavior byprescribing "thou shalt" or 'thou shalt not." Drawing up concreteprohibitions and commandments is obviously a tougher challenge becauseit requires deeper understanding of the dysfunctional qualities in thefinancial system. You cannot design organic reforms until youunderstand what really led to the breakdown. Since the government hasavoided that kind of serious examination, the limp response is to turnthese explosive issues over to expert regulators -- the same expertswho failed to see the trouble coming."

 

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