How Obama Saved Capitalism and Lost the Midterms

By TIMOTHY EGAN
NEW YORK TIMES

If I were one of the big corporate donors who bankrolled the Republican tide that carried into office more than 50 new Republicans in the House, I would be wary of what you just bought.

For no matter your view of President Obama, he effectively saved capitalism. And for that, he paid a terrible political price.

Suppose you had $100,000 to invest on the day Barack Obama was inaugurated. Why bet on a liberal Democrat? Here’s why: the presidency of George W. Bush produced the worst stock market decline of any president in history. The net worth of American households collapsed as Bush slipped away. And if you needed a loan to buy a house or stay in business, private sector borrowing was dead when he handed over power.

As of election day, Nov. 2, 2010, your $100,000 was worth about $177,000 if invested strictly in the NASDAQ average for the entirety of the Obama administration, and $148,000 if bet on the Standard & Poors 500 major companies. This works out to returns of 77 percent and 48 percent.

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They thought the party would last forever …

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I REMEMBER, SO I’M VOTING

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V and his family go trick or treating

V gets ready to go trick or treating in Glen Park

V gets ready to go trick or treating in Glen Park, San Francisco

V drives his family to trick or treat fun in Glen Park

V drives his family to trick or treat fun in Glen Park, San Francisco

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My New Custom Giants Shirt

my new giants shirt

Create your own!

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SOLUTIONS: Alternative Banking

We’re starting a new SOLUTIONS series on CIO! to highlight alternative practices and proposals for creating a healthy and life sustaining future for all.

One major step is to bank with a financial institution that will invest in social, environmental, and economic justice. These include “ethical banks” and credit unions (credit unions are different from banks in that they’re member-owned rather than shareholder-owned and focus on local communities).

Below are three alternatives to the big banks (Bank of America, Chase, Wells Fargo etc):

RSF Social Finance (Based in San Francisco)

Wainwright Bank (Based in Boston)

New Resource Bank (Based in San Francisco)

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The Ten Biggest American Cities That Are Running Out Of Water

24/7 Wall St


Some parts of the United States have begun to run low on water. That is probably not much of a surprise to people who live in the arid parts of America that have had water shortages for decades or even centuries. No one who has been to the Badlands in South Dakota would expect to be able to grow crops there.

The water problem is worse than most people realize, particularly in several large cities which are occasionally low on water now and almost certainly face  shortfalls  in a few years. This is particularly true if the change in global weather patterns substantially alters rainfall amounts in some areas of the US.

24/7 Wall St. looked at an October, 2010 report on water risk by environmental research and sustainability group, Ceres. We also considered a comprehensive July, 2010 report from the National Resources Defense Council which mapped areas at high risk of water shortage conflict. 24/7 Wall St also did its own analysis of water supply and consumption in America’s largest cities, and focused on the thirty largest metropolitan areas. One goal was to identify potential conflicts in  regions which might have disputed rights over large supplies of water and the battles that could arise from these disputes.  And, 24/7 Wall St. examined geographic areas which have already been plagued by drought and water shortages off and on.

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Voter Intimidation At McDonald’s: Employees Told That, Unless Republicans Win, They Won’t Get Raises Or Benefits

By Amanda Terkel
HUFFINGTON POST

WASHINGTON — There may be something rotten at McDonald’s — and it’s not a year-old Happy Meal.

The owner of a franchise in Canton, Ohio enclosed a handbill in employees’ paychecks that threatened lower wages and benefits if Republicans don’t win on Tuesday.

“As the election season is here we wanted you to know which candidates will help our business grow in the future,” reads the letter. “As you know, the better our business does it enables us to invest in our people and our restaurants. If the right people are elected we will be able to continue with raises and benefits at or above our present levels. If others are elected, we will not. As always, who you vote for is completely your personal decision and many factors go into your decision.”

The note ends with a list of candidates McDonald’s believes “will help our business move forward.” It names Republicans John Kasich for governor, Rob Portman for Senate, and Jim Renacci for Congress. With the letter was a biography of Renacci.

“The handbill endorses candidates who have in essence pledged to roll back the minimum wage and eviscerate the safety net that protects the most vulnerable members of our workforce,” said Attorney Allen Schulman of Canton law firm Schulman Zimmerman & Associates, which received the documents from an employer who stepped forward. “But it’s more than that. When a corporation like McDonald’s intimidates its employees into voting a specific way, it violates both state and federal election law. It’s no surprise to anyone that Ohio is a battleground state in this election, and for a multinational corporation like McDonald’s to threaten employees like this is morally and legally wrong. This despicable corporate conduct is the logical extension of the Citizens United decision, which has unleashed corporate arrogance and abuse.”

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Prison Economics Help Drive Ariz. Immigration Law

By Laura Sullivan
NPR

Last year, two men showed up in Benson, Ariz., a small desert town 60 miles from the Mexico border, offering a deal.

Glenn Nichols, the Benson city manager, remembers the pitch.

“The gentleman that’s the main thrust of this thing has a huge turquoise ring on his finger,” Nichols said. “He’s a great big huge guy and I equated him to a car salesman.”

What he was selling was a prison for women and children who were illegal immigrants.

“They talk [about] how positive this was going to be for the community,” Nichols said, “the amount of money that we would realize from each prisoner on a daily rate.”

But Nichols wasn’t buying. He asked them how would they possibly keep a prison full for years — decades even — with illegal immigrants?

“They talked like they didn’t have any doubt they could fill it,” Nichols said.

That’s because prison companies like this one had a plan — a new business model to lock up illegal immigrants. And the plan became Arizona’s immigration law.

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Halliburton’s Return: Oil Spill Puts Symbol Of Cronyism And Corruption Back In The News

By Dan Froomkin
HUFFINGTON POST

It seems increasingly likely that when investigators determine the precise cause of the oil-rig explosion that threatens to poison huge swaths of the Gulf of Mexico, what they’ll conclude is that something went catastrophically wrong with the work done by Halliburton.

BP owns the well, and Transocean Ltd. owns the drilling rig, but Halliburton was the subcontractor in charge of sealing the bottom of the well. At two Senate hearings Tuesday, executives from Halliburton, BP and Transocean will be furiously blaming each other for the diaster.

For Halliburton, it’s just the latest in a seemingly endless series of brushes with notoriety.

During the Bush years, Halliburton was so omnipresent that its very name became synonymous with crony capitalism and the corrupt intersection between government and the military-industrial complex — particularly when oil and/or big money were involved.

The company most famously reaped huge profits by bilking the government on billion-dollar sweetheart contracts to support a war in Iraq that its former chairman, Dick Cheney, helped lead the nation into as vice president.

Under just one of the deals, as the Washington Post reported in 2006, “Halliburton had exclusive rights to provide the military with a wide range of work that included keeping soldiers around the world fed, sheltered and in communication with friends and family back home. Government audits turned up more than $1 billion in questionable costs. Whistle-blowers told how the company charged $45 per case of soda, double-billed on meals and allowed troops to bathe in contaminated water.”

There were also multiple allegations that while in Iraq, the company sanctioned sexual violence against women employees. Jamie Leigh Jones, a 20-year old Texas woman, was drugged, stripped, beaten and gang-raped by her co-workers on her fourth day in country — after which Halliburton put her under guard in a shipping container for 24 hours with no food or water and warned her that if she left Iraq for medical treatment, she’d be out of a job.

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