How Do We Spell Corruption? T-R-U-M-P

Well, I suppose the headline really should read “Trump Administration,” since Trump has managed to assemble a group of people who are both magnificently inept and thoroughly dishonest.

It’s something every day–usually, thanks to the Coronavirus pandemic, buried under the propaganda and disinformation being spewed every day by the buffoon-in-chief.

NBC recently reported on a story first broken by Pro Publica.

On a Tuesday just before Halloween in 2018, a group of federal prosecutors and agents from Texas arrived in Washington. For almost two years, they’d been investigating the opioid dispensing practices of Walmart, the largest company in the world. They had amassed what they viewed as highly damning evidence only to face a major obstacle: top Trump appointees at the Department of Justice.

The opioid crisis was the most pressing public health issue facing the country before the arrival of the current pandemic. What the investigators had uncovered was proof of clearly criminal activity by Walmart–activity that played a significant part in creating and sustaining that crisis.

Opioids dispensed by Walmart pharmacies in Texas had killed customers who had overdosed. The pharmacists who dispensed those opioids had told the company they didn’t want to fill the prescriptions because they were coming from doctors who were running pill mills. They pleaded for help and guidance from Walmart’s corporate office.

Investigators had obtained records of similar cries for help from Walmart pharmacists all over the country: from Maine, North Carolina, Kansas and Washington, and other states. They reported hundreds of thousands of suspicious or inappropriate opioid prescriptions. One Walmart employee warned about a Florida doctor who had a “list of patients from Kentucky that have been visiting pharmacies in all of central Wisconsin recently.” That doctor had sent patients to Walmarts in more than 30 other states.

How did “corporate” respond? By repeatedly forbidding pharmacists from cutting off any doctor. Pharmacists were told to “evaluate each prescription on an individual basis.”  One opioid compliance manager even sent an executive an email (viewed by ProPublica, which confirmed its contents), that Walmart’s focus should be on “driving sales.”

The prosecutor investigating Walmart’s behavior prepared to indict the corporation for violating the Controlled Substances Act.  She had the support of her boss, who also believed the evidence justified what would have been an unprecedented step.(Fortune 500 companies don’t get indicted–gee, I wonder why…)

Before the Texas prosecutors could file their case, however, Walmart escalated concerns to high-ranking officials at the DOJ, who then intervened. Brown was ordered to stand down. On Aug. 31, 2018, Trump officials officially informed Walmart that the DOJ would decline to prosecute the company, according to a letter from Walmart’s lawyer that lays out the chronology of the case.

The Texas prosecutors appealed to higher-ups at DOJ, pointing out that dispensing opioids without a legitimate medical purpose is legally indistinguishable from dealing heroin.

Criminal law says if a person or entity is willfully blind or deliberately ignorant, they are as liable as if they had acted intentionally. Once Walmart’s headquarters knew its pharmacists were raising alarms about suspicious prescriptions, but the compliance department continued to allow — even push — them to fill them, well, that made the company guilty, the Texas prosecutors contended.

This wasn’t a situation where a few employees “went rogue.”  Worse, the company was a repeat offender; seven years earlier, Walmart entered into a settlement with the DEA in which it promised to improve its controls over the abuse of opioid prescriptions.

The DOJ didn’t budge, so prosecutors tried another tactic: criminal charges against individual employees. Trump officials blocked that, too. Then prosecutors tried to bring a civil case, and Trump officials blocked that.

The lengthy story at the link is detailed enough to dispel any doubts about how thoroughly this administration has corrupted the DOJ.

The news of the Walmart investigation comes at a time when the Trump administration is being assailed for legal favoritism and cronyism. Attorney General Bill Barr has inserted himself into multiple investigations of Trump friends and associates. In February, four prosecutors on the case of Roger Stone, a Trump friend and adviser, quit the case in protest after political appointees undercut their sentencing recommendation.

The Trump DOJ has also pulled back on white-collar and corporate investigations and prosecutions. White-collar prosecutions are at a record low. Walmart itself seems to have already benefited from the Trump administration’s approach to corporate misconduct. The company was the subject of a seven-year investigation into bribery allegations in Mexico and around the globe. The Obama administration sought $600 million in fines, according to The New York Times, which broke the story, but failed to reach a resolution with the company. The Trump DOJ settled the charges for $282 million in June 2019.

It certainly pays to have low friends in high places…..

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Speaking Of Paradigm Shift…

I’ve posted before about my theory that we (i.e. all humans) are in a period of paradigm shift–defined as a time when cultures’ previous world-views are undergoing profound change. The result of that shift is that people who see the world through previous lenses and those who have adopted new ways of understanding reality cannot communicate.

Just one example: People who see the world as it is and as it is emerging understand that humans are globally interdependent; folks wedded to an older paradigm cling tightly to nationalism, exclusion and slogans like “America First.”

Remarks made by the pastor who conducts Trump’s weekly bible study (and boy, would I like to be a fly on the wall in one of those!) are an excellent illustration of the wide gap–the abyss, really–between old and new realities.

According to the Intercept

The minister who hosts a weekly bible study session for President Trump’s Cabinet has an opinion about the origins of the coronavirus. According to Ralph Drollinger, it’s just another form of God’s wrath in response to an increasingly progressive nation.

“Relative to the coronavirus pandemic crisis, this is not God’s abandonment wrath nor His cataclysmic wrath, rather it is sowing and reaping wrath,” Drollinger wrote in a series of posts. “A biblically astute evaluation of the situation strongly suggests that America and other countries of the world are reaping what China has sown due to their leaders’ recklessness and lack of candor and transparency.”

Drollinger didn’t leave it at that; he also blamed the “religion of environmentalism” and people who express a “proclivity toward lesbianism and homosexuality,” and claimed that such persons have  infiltrated “high positions in our government, our educational system, our media and our entertainment industry” and “are largely responsible for God’s consequential wrath on our nation.”

Granted, Drollinger’s worldview–like that of Mike Pence–is hardly representative of today’s  American society. (Trump, as best I can tell, doesn’t have a worldview;  he has only a Trumpview.) Drollinger, Pence, DeVos and most others in the administration–along with the cult that supports them– are extreme examples of the eras when humans explained everything they didn’t understand or couldn’t control as “God’s will.”

America’s mainstream has been inching toward a very different approach, one that respects science, empirical evidence and human agency. It recognizes that there is still much that we don’t know, much that we cannot answer or control (see: pandemics), but has confidence that with additional study and information, humans will eventually be able to answer the unanswered questions and control more of our common destiny.

The current Coronavirus pandemic may speed up the shift from reflexive attribution of everything we fail to understand to this or that deity, and toward adoption of a very different cultural and intellectual framework.

I thought about that possibility when I read a New Yorker article about Estonia, of all places. Estonia is evidently coping with the pandemic admirably.

Estonia may be the nation best prepared for the consequences of the pandemic, both economically and socially. As my colleague Nathan Heller has written, its economy is bound to tech, its government is digital, and most services in the country either are or can be provided electronically—in fact, it’s nearly impossible to overstate the extent of Estonian digitization. People vote online and use digital prescriptions; a single piece of I.D. securely stores each Estonian’s personal information, including health, tax, and police records; one can even establish residency and begin paying taxes in the country digitally—effectively immigrating online. Estonians say that only three kinds of interaction with the state require a person’s physical presence: marriage, the transfer of property, and divorce. In some cases, births had to be registered in person, but this requirement has been suspended because of the coronavirus pandemic. Ninety-nine per cent of households have broadband Internet connections, and the education system is a world leader in developing and using electronic technologies. In other words, the prospect of having to work, study, and shop online may not require the sort of readjustment in Estonia as many people face elsewhere.

I don’t mean to suggest that digitizing society is a “new worldview.” it isn’t. But it is evidence of a society that accepts change and educates for it. And acceptance of and adaptation to change definitely is a very different approach to life than that adopted by people like the Reverend and other Trump supporters, characterized by resentment of change, blaming bad fortune on the  “other,” and insisting that bigotry is “God’s will.”

Transitions are always bumpy, but the sooner Americans abandon the Trumper’s paradigm, the better.

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Gameplaying While Americans Were Dying

I rarely refer to Mitch McConnell without adding the entirely appropriate descriptor “most evil man in America.” There are probably people even more reprehensible, but so long as McConnell holds his current position in the Senate, he has an unequalled ability to indulge his consistently despicable instincts–to use that position to corrupt government institutions in service of money and power with no regard for the collateral effects on American lives.

By himself, the lunatic buffoon in the White House would be unable to inflict the widespread damage that McConnell aids and abets.

The New York Times, along with numerous other publications, has been reporting on Congressional efforts that preceded the critical emergency legislation intended to avert at least some of the  consequences of the Coronavirus pandemic.  A bill has finally passed, but the path to its enactment tells us everything we need to know about Mitch McConnell and today’s Republicans.

Speaking of that path…Once the nation’s businesses were mostly shut down, the Democratic House passed a bailout bill almost immediately, and sent it to the Senate–which delayed consideration because Mitch had given the Senate the weekend off..

According to several media outlets, when McConnell and the GOP did draft a bill, it contained no guaranteed aid to state governments, despite the fact that economists tell us that state aid is one of the most effective forms of economic stimulus, and among other things, it allowed corporations to continue laying off and firing people while they were taking bailout dollars. That isn’t just patently unfair– it would be likely to cause unemployment to rise, although a major purpose of a bailout is to prevent precisely that.

Paul Krugman noted that the GOP’s bill also denied “aid to many nonprofit institutions like nursing homes and group homes for the disabled.”

McConnell’s  bill did virtually nothing  to safeguard November’s election. It gave wealthier Americans more relief than poorer ones. It would have bailed out corporations without  requiring that money they received be used to pay workers, and without prohibiting its use for stock buy-backs.

Worst of all–the “cherry” on the top of McConnell’s corrupt sundae–the bill included a $425 billion fund for businesses that Treasury Secretary Steven Mnuchin could “do basically whatever he’d like with,” as Amanda Fischer of the Washington Center for Equitable Growth explained. The bill established the fund with no oversight provisions. Not only would the $425 billion essentially be a slush fund for a thoroughly corrupt administration, the bill would have allowed Mnuchin to delay reporting distributions for six months.

As Paul Krugman wrote, in a column titled “Adding Insult to Illness,”

If you want a quick summary of the state of play over fiscal stimulus legislation, here it is: Republicans insist that we should fight a plague with trickle-down economics and crony capitalism. Democrats, for some reason, don’t agree, and think we should focus on directly helping Americans in need.

Krugman had particularly harsh words for the Mnuchin “slush fund.”  As he noted, it would be difficult to justify giving that much unrestricted money to any administration. Krugman found it “almost inconceivable” that anyone would propose giving the demonstrably corrupt Trump administration the authority to help its friends and punish those it considers enemies.

Remember, we’ve had more than three years to watch this administration in action. We’ve seen Trump refuse to disclose anything about his financial interests, amid abundant evidence that he is profiting at the public’s expense. Trump’s trade war has been notable for the way in which favored companies somehow manage to get tariff exemptions while others are denied. And as you read this, Trump is refusing to use his authority to require production of essential medical gear.

So it would be totally out of character for this administration to allocate huge sums fairly and in the public interest.

Cronyism aside, there’s also the issue of competence. Why would you give vast discretionary power to a team that utterly botched the response to the coronavirus because Trump didn’t want to hear bad news? Why would you place economic recovery efforts in the hands of people who were assuring us just weeks ago that the virus was contained and the economy was “holding up nicely”?

Only someone a thoroughly evil as McConnell could look into the cameras with a straight face and complain that– by refusing to go along with this travesty–the Democrats were delaying relief to struggling Americans.

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Yang Was Right

The Guardian recently ran a headline that made me chuckle: “California Mayor Has Tried Universal Basic Income. His advice to Trump: Go Big.” The chuckle wasn’t due to the California Mayor’s conclusions about Universal Basic Income (UBI); it was a response to the demonstrably ridiculous idea that Trump would take advice from anyone about anything.

As federal lawmakers continued to squabble over the form of the zillion-dollar intervention(s) that are clearly required if we are to have any chance at all to avert a depression, the Mayor of Stockton, California was the latest to sing the praises of a UBI–the proposal that formed the centerpiece of Andrew Yang’s Presidential campaign.

Stockton launched a basic income experiment last year, and Michael Tubbs, Stockton’s mayor, has become an ardent advocate of providing direct cash assistance to people.

The idea of providing a universal basic income to citizens is not new, but it has found new supporters in recent years, as some tech industry leaders have embraced “UBI” as a possible response to rising inequality and a growing number of American jobs lost to automation. The Facebook co-founder Chris Hughes is among the proponents of the policy; the Economic Security Project, which he co-chairs, is helping fund basic income experiments in Stockton and elsewhere.

Stockton is just the latest in a global string of experiments with no-strings cash assistance. Results of those experiments have been extremely positive, as is the early data from this one, according to the academic researchers  running the evaluation of the program.

“If you give people free cash, how do they spend it? They’re very rational about it, and they make great decisions,” said Stacia Martin-West, an assistant professor at the University of Tennessee College of Social Work and one of the lead researchers.

Labor leader Andrew Stern has pointed out that, with a UBI, in contrast to welfare, there’s no phase-out, no marriage penalties, no people falsifying information. And support for the concept isn’t limited to progressives. Milton Friedman famously proposed a “negative income tax,” and F.A. Hayek, the libertarian economist, wrote “There is no reason why in a free society government should not assure to all, protection against severe deprivation in the form of an assured minimum income, or a floor below which nobody need descend.”

In 2016, Samuel Hammond of the libertarian Niskanen Center, noted the “ideal” key features of a UBI: its unconditional structure avoids creating poverty traps; it sets a minimum income floor, it raises worker bargaining power without wage or price controls; it decouples benefits from a particular workplace or jurisdiction; since it’s cash, it respects a diversity of needs and values; and it simplifies and streamlines a complex web of bureaucracy, eliminating rent seeking and other sources of inefficiency.

Hammond’s point about worker bargaining power is especially important. Today’s work
environment is characterized by vestigial unions and the growth of the “gig economy.” Employee bargaining power has eroded; wages  have been effectively stagnant for years, despite significant growth in productivity. In 2018, Pew Research reported that “today’s real average wage (that is, the wage after accounting for inflation) has about the same purchasing power it did 40 years ago. And what wage gains there have been have mostly flowed to the highest-paid tier of workers.”

If the U.S. had a UBI and single payer health coverage, workers would have the freedom to leave abusive employers, unsafe work conditions, and uncompetitive pay scales. A UBI might not level the playing field–but it would sure reduce the tilt.

It is also worth noting that a UBI would have much the same positive effect on economic growth as a higher minimum wage. When poor people get money, they spend it, increasing demand.

This is all, of course, pie in the sky so long as we have a self-absorbed, monumentally ignorant, mentally-ill President, and a Republican Senate led by the irredeemably  corrupt Mitch McConnell. It remains to be seen how the Coronavirus pandemic will affect November’s election, but if these men–representing the utter detritus of humanity–are still in office in January, the lack of a rational social-safety net will be the least of our problems.

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Endorsing Warrenism

Wil Wilkinson had an interesting column in The New York Times a while back.His general thesis is pretty well summarized in this paragraph:

Democrats are hungry for reform, not revolution. To oust Mr. Trump and especially to govern effectively, Democrats need a fighting creed that avoids both Mr. Biden’s blinkered complacency and Mr. Sanders’s quixotic hand-waving. She may be gone from the race, but Elizabeth Warren has a plan for that. Democrats should pick up the fallen flag of Warren-ism and run.

Wilkinson points to the uncomfortable truths that sentient Americans now recognize–our government is increasingly corrupt, and that corruption isn’t confined to the Trump crime syndicate ensconced at the White House.  It has been building for many years.

A self-reinforcing spiral of regulatory capture, self-dealing and influence-peddling has led to intensely concentrated power that is at once economic and political. That concentrated power has rigged the rules that define the structure of America’s democracy and economy to the advantage of the powerful at the expense of ordinary Americans. This has deprived us of our most vital means of collective self-defense: meaningful democratic control over the institutions that shape our lives. Unless we fight to unrig the system, millions of us will continue to live and die on the terms of unaccountable power.

Wilkinson notes that while Warren’s “I have a plan” approach is seen as less revolutionary than Bernie’s inflexible socialism, it is for that very reason more threatening to the plutocrats who benefit from our systemic distortions, because it’s much more realistic about the way things actually work– the political and economic incentives that ultimately determine who gets what and how much.

I personally support what Wilkinson calls “Warrenism”–especially her hostility to the gerrymandering, voter-ID laws, felon disenfranchisement and the filibuster that rig the system and make a mockery of equal representation.

Warrenism grasps what many other Democrats (like Mr. Biden) don’t: Liberalism is on the ropes because it became complacent about power. We liberals got ahead of ourselves and began to take the institutions of inclusive, liberal-democratic capitalism for granted — despite the fact that our first serious strides toward full democratic equality were taken well within living memory. The collapse of Communism made us think we’d won for good, and we became fixated on tweaks to liberal institutions to enhance economic efficiency or make them better conform to academic ideals of distributive justice rather than tackling their deep-seated structural and procedural flaws.

Read that paragraph again, because it identifies our greatest challenge: our inability as citizens to recognize the dangers of complacency, and our obligation to consistently participate in the political process. No political contest is ever won or lost for good. Apathy is always dangerous, not least because when people finally wake up to the mischief done to democracy while they were “checked out,” they too often respond by over-reacting (what we used to call “throwing the baby out with the bathwater.”)

That’s why I hope Elizabeth Warren stays in the Senate, where she has been so effective and can move that body (hopefully, under new leadership) in the right direction. I know many fans want to see her as Vice-Presidential candidate, but as John Nance Garner reportedly said,” being Vice-President isn’t worth a bucket of warm spit.”

Elizabeth Warren’s great talent is her ability to offer studied and calibrated solutions to the complex structural problems that bedevil us. She has produced what Wilkinson calls a “tough-minded agenda for returning control to the democratic citizenry,” and he says that while we are arguing among ourselves about whether the rise of populist nationalism is due to economic or racial anxieties (or both), whether we need a universal basic income,  or whether the fine print of Bernie’s Medicare for All Plan is the best way to achieve universal health care, we haven’t been doing the most important thing–“rallying for a dogfight.”

The fat cats who currently benefit from our structural distortions won’t simply retreat from the field, even if–as I fervently hope– there is a massive “blue wave.” It’s important to know where we want to go–but it is equally, if not more, important to have a plan for getting there.

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