The Wrong Role Model

Let’s get real: if so-called “Right to Work” laws generated economic growth, Mississippi would be an epicenter of economic activity.

As Brian Howey notes, the current push for Right to Work is simply a continuation of the war on unions Daniels inaugurated soon after he himself was inaugurated; the sorts of jobs Indiana has been trying to grow–life sciences, biotech, etc.–aren’t union jobs anyway. But if we were to take Governor Daniels and Speaker Bosma at their word, their argument boils down to the contention that creating a “good business environment” requires that we be a low-wage,  low tax state.

A story may be instructive: Several years ago, Toyota was negotiating with three such states (all in the south) to locate a new plant. The states in question all had low wage workforces and low taxes; in addition, all were offering tax incentives. Toyota ended up going to Canada, and the economic development officers of the losing states were dumbfounded, because taxes were higher and no incentives were involved. Toyota’s explanation? The workforce was much more highly educated, and thanks to Canada’s “socialized” system, they wouldn’t need to provide healthcare.

When you look at independent research on right-to-work laws (i.e., research not sponsored by/paid for by either unions or Chambers of Commerce), there is absolutely no evidence that such laws affect job growth one way or the other. Once you control for the other factors that affect economic conditions, it appears that the only effect of such laws is to lower wages for both unionized and non-union workers.

The “liberty” argument for right-to-work is that no one should have to join a union in order to work. I agree–and under current law, they don’t. They do have to pay for services rendered by the union that benefit them–that is, their share of the cost of negotiation for wages and working conditions. That’s it. They don’t have to become a member, or support any other activities with which they disagree. The “liberty” argument against right-to-work is that employers should be free to bargain with whomever they choose–that the state should not have the power to dictate an owner’s otherwise lawful workplace policies and arrangements.

If we really want to promote job growth and a healthy economic environment, our focus should be on creating efficient, transparent state government, high-quality public schools, good public services (especially public transportation), and an improved quality of life.

Add in workers who have enough money to spend in the marketplace, and believe me, the employers will come.

Entering the Minefield

The Mind Trust is one of those “do good” organizations that virtually everyone supports. It has spent its relatively brief organizational life doing work that is essentially uncontroversial–studying what sorts of methods work in the classroom, offering Fellowships to good teachers, and reminding the public generally about the importance of education to everything from economic development to quality of life.

Now–as Chef Emeril might say–they are “stepping it up a notch.”

A news release issued this morning introduces a dramatic proposal to restructure and improve Indianapolis Public Schools. In the words of the release, it “describes how by shrinking the central administration of IPS and giving schools more autonomy we could: 

  • send about $200 million more a year to schools without raising taxes,
  • provide high-quality universal pre-kindergarten to all four-year-olds,
  • invest $10 million each year to recruit great teachers and principals and incubate great new schools,
  • empower teachers to innovate in the classroom and reward them for strong results,
  • ensure there is a great school in every IPS neighborhood, and
  • provide parents with dramatically more quality school choices.

It is the boldest urban reform plan in the United States. 

In developing this plan, The Mind Trust engaged local and national experts to analyze high-performing urban public schools across the country and distill the key conditions for their success- autonomy, accountability, and parental choice. Crafted after 18 months of research and design, The Mind Trust’s plan presents a new vision for how IPS and other urban districts could be restructured to create these conditions for all public schools.”

The plan is available online, and deserves a careful reading. There may be provisions that raise red flags–certainly, there will be ample debate and discussion, especially about proposals to turn control over to the Mayor and Council, who have shown little interest in education to date and who have many other responsibilities to discharge. (On the other hand, to suggest–as Matt Tully did this morning–that such a change somehow divests control from the voters is silly; citizens vote in far greater numbers for Mayor and Council than they do for School Board, and I’d be willing to wager a tidy sum that more people can name their Councilor than can identify their School Board representative.)                                                                                                          
There is wide agreement that IPS is failing. Whether this is the plan that will fix it is an open question. But any plan that begins by admitting the obvious–that the current bloated administration is a problem rather than a solution–deserves consideration and support.

Wrong is Wrong

Since the election of Barack Obama, the GOP–aka “the party of no”–has shown impressive discipline, putting party orthodoxy ahead of both the common good and, frequently, sanity. The Democrats, on the other hand, have happily confirmed Will Rogers’ great line: “I’m not a member of any organized political party; I’m a Democrat.” The left wing of the party has pretty constantly criticized the President for not doing more, not doing it more quickly, and not doing what they wanted.

I’ve considered much of this criticism unfair–often it has been the result of not understanding the constraints imposed by Separation of Powers, or the magnitude of the economic threat he inherited. Other complaints have had more merit–contrary to Republican rhetoric, for example, Obama has often seemed too willing to compromise, too reluctant to play hard-ball. But by far the most serious criticism has been his acceptance of Bush-era infringements on civil liberties.

This is a man who taught Constitutional law, a man who stood up for the rule of law as a Senator and who said all the right things as a candidate. It was a relief, after 8 years of a profoundly lawless administration, to cast a vote for someone who could be expected to respect Constitutional limits. That expectation has proved illusory, and Obama’s embrace of Bush-era surveillance measures has been painfully disappointing.

The recent announcement that the President would not veto the current Defense bill , however, is worse. While much of the bill is uncontroversial,  its counterterrorism section states that the entire world, including American soil, is a battlefield in the war on terror, and that the U.S. military thus has the authority to arrest and indefinitely detain anyone, even citizens, suspected of aiding terrorists.

I can’t think of anything more profoundly unAmerican.

It’s bad enough that large numbers of Congressmen and Senators support this assault on the Constitution and the rule of law. For Obama–who clearly knows better–to sign it is simply inexcusable.  Laura Murphy, the longtime head of the ACLU’s Washington office, said it best:

“If President Obama signs this bill, it will damage both his legacy and American’s reputation for upholding the rule of law. The last time Congress passed indefinite detention legislation was during the McCarthy era and President Truman had the courage to veto that bill. We hope that the president will consider the long view of history before codifying indefinite detention without charge or trial.”

In ordinary times, when we had two responsible political parties, the loyal opposition would provide a corrective to Executive Branch over-reaching. The saddest thing about the farce that is our current political environment is that no such counterbalance exists; indeed, the major movers of this appalling provision include Lindsay Graham and the ever-angrier John McCain. The same GOP that contests the power of the White House to reform health care evidently has no problem handing over the power to arrest and indefinitely detain American citizens.

We can only hope the Supreme Court remains sufficiently “activist” to invalidate this incredibly unAmerican measure.

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Pants on Fire

The interminable GOP debates continue to offer entertainment, if not enlightenment. Michelle Bachmann continues to display total ignorance of the Middle East (as Pierre Atlas notes, she clearly has no clue that there are differences between the Shia and Sunni–but then, she has little comprehension of the US Constitution, either). And in the most recent debate, Mitt Romney claimed that Obama’s policies have been the most costly of any President–a clear “liar, liar, pants on fire” statement that may have played well to the debate audience, but is wildly untrue.

As a helpful graph in the New York Times makes clear, George W. Bush’s “policies” cost 5.07 trillion dollars. Obama’s, by contrast, have cost 1.44 trillion.

But what is more revealing by far is what that money bought. Bush waged wars he didn’t pay for–one of which was an unnecessary and ruinous war of choice. Obama’s spending was primarily on the stimulus–to prevent the economic depression that Bush’s policies would otherwise have ushered in–and health care reform. And if the health economists I know are correct, the initial costs of health care reform will eventually be recouped as the reforms force efficiencies and savings in our patchwork, bloated “system.”

Faced with the stark differences between the two administrations, I can understand why Romney might duck the issue entirely. But he is apparently unable to refrain from pandering–even at the expense of the truth.

Commentators continue to puzzle over the “anyone but Romney” attitude of the Republican base. It may have something to do with this pandering, which is painfully obvious. The current base wants authentically crazy, not just pretend.

I Guess It Isn’t the Money….

Dispatches from the Culture Wars reports:

“By employing a plethora of tax-dodging techniques, 30 multi-million dollar American corporations expended more money lobbying Congress than they paid in federal income taxes between 2008 and 2010, ultimately spending approximately $400,000 every day — including weekends — during that three-year period to lobby lawmakers and influence political elections, according to a new report from the non-partisan Public Campaign.

Despite a growing federal deficit and the widespread economic stability that has swept the U.S since 2008, the companies in question managed to accumulate profits of $164 billion between 2008 and 2010, while receiving combined tax rebates totaling almost $11 billion. Moreover, Public Campaign reports these companies spent about $476 million during the same period to lobby the U.S. Congress, as well as another $22 million on federal campaigns, while in some instances laying off employees and increasing executive compensation.”

To put these numbers in perspective, these corporations spent three times as much lobbying for preferential treatment as they paid in taxes.

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