Does anyone care if Biden labels Trump the ‘Great MAGA King’ or MAGA ‘the most extreme group in American history’? NO! thumbnail

Does anyone care if Biden labels Trump the ‘Great MAGA King’ or MAGA ‘the most extreme group in American history’? NO!

By Dr. Rich Swier

We have been noticing that Biden and his administration are working to label members of the make America great again (MAGA) movement. Hillary tried that calling the MAGA movement members “deplorables”, which only allowed the movement to solidify, grow and defeat her bid to be president.

Now we have Biden labeling MAGA as an extremist group and Donald J. Trump as the great MAGA king.  Of course the efforts of Hillary and Joe are what is called malinformation or malicious information. Malinformation is “having or showing a desire to cause harm to someone; given to, marked by, or arising from malice or malicious gossip.”

It’s all gossip, a myth, not fact.

It also is disinformation which is “a subset of propaganda and is defined as false information that is spread deliberately to deceive people.”

Trump Media and Technology Group CEO Devin Nunes joined Greg Kelly on Newsmax to discuss the latest about Truth Social and Biden’s MAGA King comment. Watch:

This effort, which only incites Americans who are concerned about inflation, stagflation, the rising costs for food, goods, services and the economy don’t care. What the American people are concerned about is the economy, stupid.

As Daily Wire, on May 6th, 2022 pointed out:

Americans are leaving retirement due to inflation and a tight job market, according to data released last month by job platform Indeed.

According to Bureau of Labor Statistics data, the number of retired seniors surged from 28.3 million in February 2020 to 31.6 million in October 2021, however, higher price levels and other economic challenges are now forcing Americans into “unretirement.”

Now Biden’s policies are causing unretirement. But it gets even worse. Watch this video from CNN:

CNN: A majority of Americans say Biden’s policies have HURT the economy.

“All of this is going to be top of mind for voters.” pic.twitter.com/ibDqjgmgVi

— RNC Research (@RNCResearch) May 6, 2022

Americans blame Biden for their economic struggles.

  • 66% of Americans disapprove of Biden’s handling of the economy.
  • 64% disapprove of Biden’s handling of helping the middle class.
  • 81% of Americans feel the government is doing too little to reduce inflation.

Again, as Bill Clinton said, “It’s the economy stupid.”

Name calling doesn’t put food on the table, gasoline in cars or baby formula on store shelves. But Biden’s Build Back Better has taken away things that the American people care about most — Their Economic Well Being.

As Jason A Brown wrote,

Whatever you think of Trump, good or bad, the one thing that you can say about the 45th President is that he was pragmatic when it came to solving a problem. He did not make political calculations to determine what direction he would go.  That’s why he frequently upset people on in both parties.  He wasn’t trying to appease anyone, and was always looking for the most practical, efficient solution.  Most politicians are not capable of this.  That is what set Trump apart and that’s why there was bipartisan hate for him.

So, call Trump and the 79 million Americans that voted for him and the make America great again movement what you want. It is not and will not change people’s minds because they are struggling to make ends meet.

Their anger and frustration will be exacted upon Biden, his administration and the Democrat Party on Tuesday, November 8th, 2022.

Mark my words, its the economy, stupid.

©Dr. Rich Swier. All rights reserved.

The Renewed Politicization of the Federal Reserve thumbnail

The Renewed Politicization of the Federal Reserve

By Thomas L. Hogan

Economic research shows that monetary policy works best when conducted by an independent central bank. After Fed chairs in the 1960s and ‘70s caved to pressure from American Presidents, those who followed sought, at least to some degree, to reestablish the Fed’s independence. Until now, that is.

Since 2019, the Fed has politicized its activities in virtually every way: through its monetary policy goals, the use of its enhanced balance sheet, its regulatory actions, and its emergency lending activities. Each of these changes has pushed the Fed further from being an effective and independent central bank toward becoming a purely political institution, which prevents it from choosing the best policies for Americans and the US economy.

Monetary Policy: “Inclusive” Employment and (Flexible) Average Inflation Targeting

Fed officials, including current Chair Jerome Powell, have acknowledged that monetary policy is a broad tool that cannot be used to address the problems of racial and income inequality. Despite this admission, however, the Fed has injected the issue of inequality into its monetary policy goals.

In August of 2020, the Fed rewrote its statement of goals and strategy to emphasize employment ahead of inflation. The new language described the maximum employment goal as “a broad-based and inclusive goal that is not directly measurable.” Chair Powell cited racial differences in unemployment rates as a motivation for the change. This shifted the Fed’s goal from focusing on the best outcome for most Americans to a purely discretionary target, which the Fed admits is impossible to measure.

At the same time, the new objectives stated that the Fed would target a rate of two percent inflation averaged over time, giving Fed officials greater ability to deviate from the prescribed rate of two percent annual inflation. Moreover, Fed officials have since revealed that they only intend to seek an average of two percent when it has previously been below target. When inflation is above target, in contrast, the Fed will allow it to remain so and will not bring it down enough to return to the previous price-level trend.

Taken together, these two changes relax the traditional constraints on the Fed’s ability to engage in overly-expansionary monetary policy. When warned that the policy is too loose, they can point to their expanded employment goal to justify the policy. Then, when inflation rises above two percent, they can claim that it is temporary and will not affect the average rate of inflation in the future.

The irony is that such an approach would likely produce exactly the opposite of what is intended. To the extent that emphasizing maximum employment (in the broader sense) and ignoring temporary periods of above-average inflation results in overly-expansionary monetary policy, it risks recessionary corrections and even lower employment than would have occurred had the Fed stuck with its previous policy.

In early 2021, for example, Chairman Powell testified that the Fed planned to keep its interest rate targets near zero until the economy reached maximum employment, a policy it maintained throughout 2021 despite record inflation. Powell now says the US labor market is “unsustainably hot,” but the Fed has taken only minimal action to calm the labor market or bring down inflation. Many commentators are already expressing concerns about a looming recession.

Balance Sheet Activities: Fiscal Accommodation

Through the use of large-scale asset purchases (LSAPs), also known as quantitative easing (QE), the Fed has massively expanded its balance sheet from less than $1 trillion in 2008 to almost $9 trillion today. While the federal government increased fiscal spending by $5 trillion in response to the Coronavirus pandemic, the Fed bought up more than $3.4 trillion in Treasury securities since 2019, effectively monetizing a large portion of the fiscal deficit.

While some economists applauded the Fed’s fiscal accommodation, debt monetization is not a prudent action of a responsible central bank. Those that engage in such activities encourage profligate spending by their fiscal authorities, which often ends up in fiscal default. Such massive purchases of Treasury securities were enabled by the Fed’s enlarged balance sheet and would not have been possible in the pre-2008 system.

Emergency lending: Everyone Gets a bailout!

One traditional function of central banks is that they act as emergency lenders in times of financial crises. Although the Fed’s 2008 emergency lending deviated from the rules of the classical lender of last resort, former Fed Chairs Bernanke and Yellen respected the limits of the Fed’s authority as understood by economists and stated in the Federal Reserve Act.

Not so for Jerome Powell. Despite the fact that 2019 was not a case of “unusual and exigent” circumstances in terms of bank failures or shortages of financial liquidity, the Fed initiated a variety of emergency lending facilities beyond those of the 2008 crisis. The Fed lent to non-financial companies and state and local governments, which former Fed chairs said it should never do.

These actions disturb the efficient allocation of capital in the financial system and further heighten the Fed’s political profile.

Regulation: Climate and Industrial Policies

Bank regulators have increasingly used their regulatory powers to discourage banks from supporting politically unpopular industries, such as oil and gas, firearms, and medical marijuana. These punitive measures often take the form of discretionary enforcement actions, which lack the transparency and immutability of rules passed through the regulatory process.

Fed regulators have now turned their sights to climate change and the supposed threat it poses to US banks. The Fed subjects banks to “climate stress tests” and has joined international central banks’ Network for Greening the Financial System (NGFS), whose stated goal is to “support the transition toward a sustainable economy.” While these changes are ostensibly made in the name of limiting banks’ risk exposure, their result in practice will be to harm the US economy by preventing banks from lending for specific purposes such as the production of energy and fossil fuels.

The Fed’s Politics Threatens Its Independence

Fed officials have gone beyond policy discretion into overt political activism. President of the Minneapolis Federal Reserve Bank Neel Kashkari has been reprimanded by Senator Pat Toomey for his recent political actions. In 2020, former New York Fed President Bill Dudley argued that “Fed officials should consider how their decisions will affect the political outcome” by potentially withholding monetary accommodation in order to prevent the re-election of President Donald Trump. Such actions reveal these officials to be political opportunists rather than independent central bankers.

Independent central banks tend to deliver better monetary policy. But independence can only be maintained by focusing on the narrow goals assigned by Congress. By straying from its mandate, Fed officials have chosen to base their decisions on politics rather than on sound economics.

*****

This article was published by AIER, American Institute for Economic Research, and is reproduced with permission.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

How Government Created the Baby Formula Shortage—and a Black Market for ‘Unapproved’ European Imports thumbnail

How Government Created the Baby Formula Shortage—and a Black Market for ‘Unapproved’ European Imports

By Foundation for Economic Education (FEE)

As Christina Szalinski reported in the New York Times, “baby formula is one of the most tightly regulated food products in the US.”


As many know, the US is confronting a shortage in baby formula that has grown quite serious. What started as complaints on Twitter of “out of stock” messages on Amazon purchases has turned into a national panic.

CBS News reports that at retailers across the country, some 40 percent of the top-selling baby formula products were out of stock as of late April, according to an analysis from Datasembly.

“This is a shocking number that you don’t see for other categories,” Ben Reich, CEO of Datasembly, told the news network.

The story got enough traction to finally get the attention of the White House.

On Monday, Press Secretary Jen Psaki said the government is doing its best to address the shortage, noting that manufacturers say they’re producing at full capacity following a product recall by the Food and Drug Administration (FDA).

“Ensuring the availability is also a priority for the FDA and they’re working around the clock to address any possible shortage,” Psaki said.

Psaki is not wrong that the product recall has made the baby formula shortage worse.

As Eric Boehm pointed out at Reason, part of the shortage stems from a suspected bacterial outbreak at an Abbott plant in Michigan, which prompted the recall of three major brands of powdered formula. Matters were made worse when the plant was subsequently shut down for FDA inspection.

Still, one could be reasonably suspicious of the idea that a single contamination could upend the entire US baby formula market. And for good reason.

A closer look at US trade and regulatory policies reveals the government itself is primarily responsible for the baby formula shortage.

There is a baby formula shortage in the United States of America. This is a public health crisis. pic.twitter.com/s1fImGGBem

— Jason D. Meister 🇺🇸 (@jason_meister) May 9, 2022

The share of baby formula out of stock across the U.S. hit 40% on April 24, according to Datasembly. That’s up from 29% in March. https://t.co/Q7m0NZYHva

— NBC News (@NBCNews) May 10, 2022

Few may realize it, but baby formula is one of the most regulated food products in America. That’s not me saying it, but the New York Times.

As Christina Szalinski reported in March 2021, “baby formula is one of the most tightly regulated food products in the US, with the Food and Drug Administration (FDA) dictating the nutrients and vitamins, and setting strict rules about how formula is produced, packaged, and labeled.”

Despite these regulations—more likely, because of them—many American parents buy “unapproved” European formula even though, Szalinski notes, it’s technically against the law.

“There are large Facebook groups devoted to European formulas, where parents share spreadsheets and detailed notes on ingredients and how these formulas compare to their US counterparts,” she notes. “Some caregivers report choosing them because European brands offer certain formula options (like those made from goat’s milk or milk from pasture-raised cows), which are rare or nonexistent in an FDA-regulated form in the US. Others seek out European brands because of the perception that the formulas are of higher quality and that European formula regulations are stricter.”

On this black(ish) market, it turns out Americans are willing to pay big bucks for European formula. Szalinski says that on one website selling EU baby formula, you’ll find German imports that run roughly $26 for a 400-gram box, which is about quadruple the price of the top US baby formulas recommended by the Times.

At times, these nefarious black market imports have resulted in high profile busts, like in April 2021 when US Customs and Border Protection agents in Philadelphia seized 588 cases of baby formula (value: $30,000) that violated the FDA’s “import safety regulations.”

Some may contend that the FDA is simply keeping Americans and their babies safe—which is no doubt what regulators want you to believe—but this overlooks an inconvenient fact: despite the FDA’s efforts, Americans are consuming vast amounts of black market baby formula, and the children are doing just fine.

We have high tariffs (technically tariff rate quotas but whatever) on infant formula, of course. https://t.co/M3XKKf9F7J

— Scott Lincicome (@scottlincicome) May 5, 2022

The government’s regulatory war on baby formula imports isn’t the only way it has contributed to the baby formula shortage, however. Tariffs have also played a role. As Cato scholar Scott Lincicome pointed out on Twitter, the US government imposes a stiff levy on baby formula (technically a “tariff rate quota”) that amounts to 18 percent.

There’s general agreement among economists that tariffs create market distortions that harm domestic consumers over time, and there’s every reason to believe these taxes on imports have made it more difficult for Americans to access baby formula during this shortage (and hit their pocketbooks, too).

If the Biden administration is serious about addressing the baby formula, they’d forget about “working around the clock” and simply abolish the protectionist policies and regulations that are making it more difficult to purchase formula.

Some may contend that this would result in more foreign imports of baby formula of “questionable” quality, but it’s a mistake to believe that bureaucrats in Washington, DC (or anywhere else for that matter) have the “proper” formula that meets some universal standard.

Indeed, as Szalinski points out in her Times article, though the EU and the US both require a bunch of the same vitamins and minerals in baby formula, there are some striking differences as well, particularly in iron content and DHA (an omega-3 fatty acid).

Because the EU requires high levels of DHA, something that isn’t required at all in the US, nearly all American baby formulas fail to meet the EU standard.

“Currently, the only US formula that would meet the EU’s requirements for DHA is the new infant formula Bobbie,” writes Szalinski. “As a self-described ‘European-style’ formula, Bobbie is marketed as an FDA-regulated alternative to European formulas.”

Bureaucrats in DC no doubt will tell you their formula is the correct and healthy one, while bureaucrats in the EU almost certainly would contend they have the right mixture of ingredients.

This invites an important question: who actually has the best baby formula for infants, the EU or the US?

Many may think they know, but the economist Thomas Sowell reminds us this is the wrong question.

“The most basic question is not what is best, but who shall decide what is best,” Sowell says.

What Sowell was getting at is that consumers with skin in the game must ultimately decide what product or service is best for them, and government attempts to regulate that choice invariably make it more difficult for consumers to get the best product at the best price.

This is why the economist Ludwig von Mises noted that consumers—not politicians, CEOs, or bureaucrats—are the true captains of the economic ship in a free market.

“The real bosses, in the capitalist system of market economy, are the consumers,” Mises wrote in his book Bureaucracy. “They, by their buying and by their abstention from buying, decide who should own the capital and run the plants. They determine what should be produced and in what quantity and quality. Their attitudes result either in profit or in loss for the enterpriser.”

The baby formula shortage is the latest example that shows most people in Washington, DC need to crack open some Mises and stop trying to provide “solutions” to markets.

AUTHOR

Jon Miltimore

Jonathan Miltimore is the Managing Editor of FEE.org. His writing/reporting has been the subject of articles in TIME magazine, The Wall Street Journal, CNN, Forbes, Fox News, and the Star Tribune. Bylines: Newsweek, The Washington Times, MSN.com, The Washington Examiner, The Daily Caller, The Federalist, the Epoch Times.

EDITORS NOTE: This FEE column is republished with permission. ©All rights reserved.

The Homeless Election Battle thumbnail

The Homeless Election Battle

By Bruce Bialosky

When I had the opportunity to engage one of the major candidates for Mayor of Los Angeles, I stated there are only two issues in the race.  The first being proper funding and use of the police and the second being the Homeless.  The candidate agreed with me and the issues for the June 7th election were defined.

Karen Bass announced her candidacy soon thereafter and took the lead in the polls.  She released with great fanfare her own detailed policy on Homelessness.  The policy is linked here https://karenbass.com/policies/homelessness/.  I contacted her campaign to query them on what they had proposed, but they were fearful of answering legitimate questions from journalists who were not from sycophantic press outlets.

Their proposed plan left open significant items, to which I asked the following questions:

  1. The city, county, and state have been spending extensively on this issue. How specifically does your plan differ from what has been done in the last few years?
  2. Mayor Garcetti committed close to a billion dollars for the current fiscal year. Can you tell us how much has been spent by the city on the homeless issue during the last four years of the Garcetti administration?
  3. Most if not all of us would like to know who Ms. Bass has in mind as the Homeless Chief since this is a critical issue in Los Angeles, so who would that be?
  4. The plan calls for ending street encampments in the first year of her term. How exactly are you planning to clear all the encampments which appear more like MASH units moving from property to property?
  5. I am working on a homeless issue that involves city, county, and state land. I am getting the runaround about who is responsible to do what.  Specifically, how do you plan to remedy this as residents do not care whose land it is within the city’s confines?  What is your response?
  6. You state that 50% of the homeless are either mentally ill or on drugs. How did you derive that figure?
  7. You cite that 59% of homelessness is because of economic issues. Where did you get that figure?
  8. Are you saying that these people are gainfully employed or employable and just cannot afford housing? If so, how many homeless are currently employed as a percentage?  How many go to work each day?
  9. I have had discussions with people on the front lines of the homeless issue and have been told a significant percentage of people who are homeless in the Los Angeles area are transplants. In other words, they moved here because of the weather and particularly the government benefits provided.  Your plan did not address this issue.  Did the studies you cited address this issue? Why should the residents of Los Angeles pay for the costs of extensive housing, medical and other benefits to homeless people who relocate from other urban areas?

The candidates talk about how they are going to cure the homeless problem, but rarely speak of the ongoing costs.  They certainly do not delve into how many of these people are not Los Angeles residents which brings to question why the people of Los Angeles are bearing the cost.  People do not realize that the current combined budget for Los Angeles City and County is about $1.5 billion.  That is a stunning figure which is enlarged by the amount the State of California is pouring into the problem.

The question the Bass Campaign does not want to answer is why they believe these figures — that 59% of homelessness is due to economic issues and not drugs or mental illness.  Multiple workers have told me most of the people they relocate off properties where the Homeless are squatting want to stay where they are.  In the case I dealt with in Studio City, some moved elsewhere while others just relocated to adjacent sites where their removal from the area was delayed for another few months.

Then Rick Caruso jumped in with his tough-guy campaign claiming he can solve the problem: https://carusocan.com/issues/homelessness/.  His plan does not answer the same questions — again how much he is spending of our money housing people who are not even from this area.  Building housing units without curing these people of their drug use and properly medicating them for mental health challenges is a waste.  At least Caruso’s campaign consultant who drafted his plan does not perpetuate the lie that these people are homeless due to economic issues, but even their figure of how many are on the streets because of economic issues is far too high.

One highly placed source tried to help me access where this money is being spent in the city of Los Angeles.  We found it was impossible to obtain the details even for highly placed city officials.

Candidates like Joe Buscaino, Kevin de Leon, and Mike Feuer need to tell us what their plans are and whether they are going to continue draining the wallets of local residents as elected officials have in the recent past with negative results.

We need answers unless you want the crime, harassment, squalor, and other despicable effects of this homeless issue to go on for another decade or more.

******

This article was published by FlashReport and is reproduced with permission from the author.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

Cultural Traits and Work Ethic: Human Capital Matters

By Lipton Matthews

Editors’ Note: This essay could well be expanded as a theme to explore further because it is that important. If you are an employer or even have had work done around the house by outside contractors, you likely have discovered that for many younger workers the American work ethic is in decline. People often do not show up on time, have incredible imaginations for creating reasons for their tardiness, often don’t communicate well, know little of what they are doing, spend a great deal of time on their phone, quit without notice, and often feel a text message one hour before they go on duty is sufficient. The Wall Street Journal reported on May 6, in a front-page article, that many workers accept jobs, but don’t show up for duty! They vanish before they even start. We thought perhaps our personal observations might be just an older person making the proverbial cranky condemnation of the problems of the next generation. But it is not. In our conversations with business people, we hear the same thing all the time. It is harder and harder, especially since the government started sending checks to anyone who could fog a mirror, to find and maintain reliable help. One manager at Dollar Store recently was fired because he said he would hire Baby Boomers only because younger workers just didn’t have good work habits. We understand the frustration, but what is the cause? Is it a lack of parenting, protecting people from the consequences of their own actions through government benefits, schools without standards, perpetual adolescence through video games, handing out trophies for “participation”, and raising a bunch of snowflakes who would rather pout than engage? Likely, it is all of the above. What should not be in dispute is that it is happening, and if America does not want to turn into a third-world country, attitudes among the young need to change. Ironically, it is people from third-world countries that often work the hardest. They seem happy to be adopting American attitudes, and succeeding, while young Americans adopt third-world attitudes. Maybe it is because they chose to come here. Maybe is it because they have seen privation and our kids are spoiled. It is not a question of origin, but one of attitude about the importance of work. It is a topic that needs much more discussion.  But to the author’s point, there is a direct connection between economic success and traits such as grit, dependability, and responsibility. One can be very bright, but without the traits of a good work ethic, one can become just another intelligent person… you would not want to hire.

Countries are in an economic arms race to surpass competitors by accelerating levels of human capital. It is crucial that schools and universities not only graduate students with relevant certificates but also people with the appropriate skills to make a useful contribution to the knowledge economy. The failure of employees to maximize value by applying their skills will result in businesses becoming saddled with liabilities because an inefficient employee is an expense.

Indeed, human capital is a key ingredient for achieving growth, but we should appreciate that human capital is conduced by an intricate interplay of social traits. Being a student entails challenges of completing difficult assignments and graduating on time, so naturally, there is a selection for people who are higher in conscientiousness and patience. Possessing the potential to succeed in school and business is irrelevant when a work ethic is nonexistent.

Primarily because life is challenging, work ethic builds resilience; hence people who are easily perturbed by difficulties will easily quit and never actualize their potential. In school and in business, we are compelled to navigate hostile environments by managing complicated personalities. Without grit, entrepreneurs are bound to fail, since on the path to success they will encounter naysayers and bureaucrats aiming to derail their progress. If prospective entrepreneurs were intimidated by regulations, then we would not be enjoying the fruits of their labor.

Likewise, students contend with arrogant lecturers, incompetent peers, and mindless administrators. But when success is the only option, one must literally overcome the storm. People with laser focus are undaunted by the obstacles because they can conceptualize the long-term outcomes of their labor. On the other hand, since traits that induce performance are not equally distributed, obviously, some people will be deficient in social skills that enable success.

Another harrowing reality is that due to the unequal distribution of success-inducing traits, some characteristics are more abundant in certain countries relative to others. East AsiansAmericans, and Germans are known for an insane work ethic that’s not replicated in most places. Although there is a resurgence of interest in the relationship between culture and economic development, economists rarely identify culture as a direct barrier to the acquisition of human capital.

Researchers have observed differences in how people value time by classifying countries as having either a clock culture or an event culture. In the latter, people are unlikely to place a premium on time, whereas in the former, there is greater reverence for time rather than celebrating the event. Event cultures are usually less productive than time cultures since time cultures minimize waste by using time efficiently. 

The case of Jamaica adroitly illustrates how culture retards development. For instance, in Jamaica there is so little respect for time that people have created the concept of Jamaican time, thereby indicating that attendants should budget for tardiness. Now, for many in Jamaica being fashionably late is just another feature of Jamaican society, yet it has serious economic consequences. One avenue for young people to accumulate human capital is to learn a trade; however, professional institutions are unwilling to entertain tardy behavior; consequently, some young people are unable to keep a job because they lack the discipline to arrive on time.

Once, a young woman revealed to me that she was dismissed for arriving late on three consecutive occasions despite being warned. Even though she was warned, this young woman admitted that she was late because she had to eat her breakfast. If eating breakfast was so important to her, then she should have gotten up earlier to have her meal to allow her to arrive on time. Such dismissals deprive young people of the opportunity to improve themselves; however, unfortunately, many people attribute these dismissals to the grumpiness of managers. Even worse is that the subpar performance of the Jamaican worker is so glaring that Jamaicans are known for saying that one Chinese employee can muster the tasks of five Jamaicans.

Employers often complain that Jamaican workers will show up to do work on a site for the day, but you won’t see them for the rest of the week. So, to correct human capital deficiencies, some in the Jamaican private sector like Paul B. Scott are suggesting that the country import human capital from abroad:

There is little capacity on the supply side to effectively execute what needs to be done to fulfil the potential capacity of Jamaica. If you want another 10,000 hotel rooms or increase BPO (business process outsourcing) or have factories relocated here, then on the supply side, the labor front must be addressed.

Training the population would be an alternative in a different environment, but when natives are unresponsive to training and working, such recommendations raise serious problems.

Displacement automatically breeds resentment, yet the reality is that if Jamaican culture fails to evolve, then natives will be displaced. The decline of pork-barrel politics in Europe and modernization in Japan and Singapore indicate that people can mature if they elect leaders capable of reforming culture and institutions. Jamaica has immense potential, and it would be quite sad for its people to perish due to a lack of knowledge and visionless leadership.

*****

This article was published by the Mises Institute and is reproduced with permission.

Disney hasn’t found itself in this much trouble since 1941 thumbnail

Disney hasn’t found itself in this much trouble since 1941

By MercatorNet – Navigating Modern Complexities

The family-friendly, controversy-averse Walt Disney Co. has walked into the buzz saw of the American culture wars, version 2022.


In April, officials at Disney objected to a Florida law prohibiting instruction in sexual orientation and gender identity in kindergarten through third grade. Florida Gov. Ron DeSantis responded by signing a bill revoking Disney’s self-governing status, a unique arrangement in which the company operated like an independent fiefdom within the state.

Traditionally, the custodians of one of Hollywood’s most reliable cash machines have been careful to sidestep political minefields that might remind customers of a realm outside the Magic Kingdom. Better to wallow with Scrooge McDuck in the Money Bin than be caught in the crosshairs of Fox News chyrons.

Only once before has the Disney brand gotten so entangled in a public relations briar patch – in 1941, when the original iteration of the company was confronted by an internal revolt that pitted the founding visionary against his pen-and-ink scriveners.

The characters in the showdown were as colorful as any drawn on the studio’s animation cels: union activists, gangsters, communists and anti-communists, and, not least, Walt Disney himself, who, dropping his avuncular persona, played a long game of political hardball and slow-burn payback.

Workers grumble as Disney’s star soars

Even then, Walt Disney inspired a special kind of awe around Hollywood.

Billy Wilkerson, editor of The Hollywood Reporter, declared Disney “the only real genius in this business” in the Dec. 17, 1937, issue of the periodical.

Disney was hailed as the father of the first sound cartoon, “Steamboat Willie” (1928); the first Technicolor cartoon, “Flowers and Trees” (1932); and the first feature-length cartoon, “Snow White and the Seven Dwarfs” (1937).

“Snow White” marked the beginning of the extraordinary creative streak – “Pinocchio” and “Fantasia” in 1940, “Dumbo” the following year and 1942’s “Bambi” – on which the Disney mythos would be built forever.

In 1940, Disney plowed the profits from “Snow White” into a state-of-the-art animation studio in Burbank, California, where the comfort of his workers, so he said, was a high priority.

“One of Walt Disney’s greatest wishes has always been that his employees could work in ideal surroundings,” read an advertisement in the Oct. 10, 1940, issue of The Hollywood Reporter. “The dean of animated cartoons realizes that a happy personnel turns out the best work.”

But even by the standards of exploitative Hollywood shop floors, Disney animators were overworked and underpaid. Forced to hunch over a drawing board for 10 hours a day, they had no desire to whistle while they worked. Instead, they wanted a strong union to negotiate on their behalf. Disney didn’t want any of it.

The animators opted to be represented by the confrontational Screen Cartoonists Guild rather than the pro-management “company union,” the American Society of Screen Cartoonists.

“Disney cartoonists make less than house painters,” charged the guild. “The girls are the lowest paid in the entire cartoon field. They earn from $16 to $20 a week, with very few earning as high as $22.50.” The guild demanded a 40-hour, five-day work week, severance pay, paid vacation and a minimum wage scale ranging from $18 a week for apprentices to $250 for cartoon directors.

To go nose to nose with Disney in the negotiations, the Screen Cartoonists Guild chose Herbert Sorrell of the Motion Picture Painters, Local 644, a longtime thorn in the side of studio management.

Sorrell was a broad-shouldered union man of the old-school variety. A former heavyweight prize fighter, he was not afraid to mix it up on the picket line with cops and strikebreakers.

Sorrell’s footwork in the boxing ring – not to mention the brass knuckles he carried – came in handy. In the 1930s, labor organizing in Hollywood could be more hazardous than stunt work. Many studio heads had already cut sweetheart deals with the mobbed-up trade unions, notably the International Alliance of Theatrical and Stage Employees, run by a Chicago-schooled gangster named Willie Bioff.

Animators put down their pens

On May 28, 1941, the Screen Cartoonists Guild called a strike, and hundreds of animators walked out on Disney.

Brazenly violating Disney’s copyright, the strikers repurposed Disney characters into pro-union spokesmen and paraded outside theaters playing Disney films.

There are no strings on me!” exclaimed Pinocchio in one placard. The slogans were as clever as the visuals: “Snow White and 700 Dwarfs,” “3 Years College, 2 Years Art School, 5 Years Animation Equals 1 Hamburger Stand” and “Are We Mice or Men?

Disney was enraged. He claimed that Sorrell had threatened to turn the Burbank studio into a “dust bowl” unless he caved to the strikers’ demands.

Behind the scenes, Disney offered the SCG a deal brokered by the gangster Willie Bioff.

Disney then placed ads in the trade press saying he had made generous offers to “your leaders” – that would be Bioff – and had acceded to most of the strikers’ demands.

“I am positively convinced that Communistic agitation, leadership and activities have brought about this strike, and has persuaded you to reject this fair and equitable settlement,” Disney said.

“Dear Walt,” Sorrell retorted, “Willie Bioff is not our leader. Present your terms to OUR elected leaders, so that they may be presented to us and there should be no difficulty in quickly settling our differences.”

Eventually, the feds, in the person of the National Labor Relations Board, intervened. On July 29, after 62 days of rage on both sides, Disney settled – through clenched teeth. Disney and the Screen Cartoonists Guild squabbled intermittently until the end of the year, but Sorrell had won on the big points: better wages, job security and a “closed shop,” which requires union membership as a condition for employment.

Disney’s revenge

To Disney, though, this wasn’t just a dispute between management and labor. It was oedipal rebellion against the father in his own house.

In October 1947, Disney got his chance for revenge when he testified before the House Committee on Un-American Activities, which was investigating Hollywood for alleged communist subversion in motion picture content and within the ranks of organized labor.

Disney was called as a friendly witness, and friendly he was: While waiting to testify, he good-naturedly sketched pictures of Donald Duck and Mickey Mouse for the children of the committee members.

At the witness table, Disney emphasized that while today “everyone in my studio is 100% American,” the percentage had not always been so high. He named the name that had stuck in his craw since 1941. “A delegation of my boys, my artists, came to me and told me that Mr. Herbert Sorrell … was trying to take them over,” Disney said. Sorrell and his cohorts, charged Disney, “are communists,” though admittedly, “no one has any way of proving those things.”

Proven or not, Disney’s allegations were career-killers. Many of the activist cartoonists of 1941 fell victim to Hollywood’s notorious blacklist era, when hundreds of workers on both sides of the screen were rendered persona non grata at the studios for their political affinities.

As a result, the Screen Cartoonists Guild softened its tone. In 1952, it voted to become affiliated with the firmly anti-communist International Alliance of Theatrical and Stage Employees – Bioff’s former outfit. As for Sorrell, he was hounded by charges of communist sympathies and ultimately barred from a leadership position in his own union.

Disney, you know about. After venting before the House Committee on Un-American Activities, he navigated the company back to the 50-yard line of America’s culture wars. There the entertainment conglomerate stayed – until recently, when it wandered off Disney World into the swampland of Florida politics.

This article is republished from The Conversation under a Creative Commons license. Read the original article.

AUTHOR

Thomas Doherty

A cultural historian with a special interest in Hollywood cinema, Thomas Doherty is a professor of American Studies at Brandeis University. He is an associate editor for the film magazine Cineaste and… More by Thomas Doherty

EDITORS NOTE: This MercatorNet column is republished with permission. ©All rights reserved.

Gasoline & Diesel Prices Spike to New WTF Records, But Don’t Blame Crude Oil thumbnail

Gasoline & Diesel Prices Spike to New WTF Records, But Don’t Blame Crude Oil

By Wolf Richter

Predictions a few weeks ago of peak gasoline prices have been obviated by the inflationary mindset.

The average price of all grades of gasoline at the pump spiked to a record $4.33 per gallon on Monday, May 9, the third week in a row of increases, and was up 46% from a year ago, edging past the prior record of Monday, March 14 ($4.32), according to the US Energy Department’s EIA late Monday, based on its surveys of gas stations conducted during the day.

Gasoline price increases slap consumers directly in the face every time they get gas, and the classic ways of hiding price increases – such as making gallons smaller (shrinkflation) – would be illegal.

Adjusted for CPI inflation, it’s still not a record. In July 2008, gasoline at $4.11 would amount to $5.37 a gallon in today’s dollars. Long way to go, baby.

Back then, demand destruction rippling out of the Financial Crisis and the Great Recession toppled the price spike. We’re not there yet either – but the Fed has started to work on it.

Gasoline futures have been breathtakingly volatile since February, with huge spikes and drops, that led to a new record on Friday, but on Monday, they fell from that record (chart via Investing.com):

The average retail price of No. 2 highway diesel spiked to a record $5.62 a gallon at the pump on Monday, the EIA reported late Monday. Year-over-year, the price of diesel has spiked by 76%!

*****

Continue reading this article at Wolf Street.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

Biden’s Orwellian “Truth Ministry” thumbnail

Biden’s Orwellian “Truth Ministry”

By Peter Murphy

Challenging economic times are bringing out the worst in the Biden administration, which has turned desperate to the point of overtly undermining the First Amendment rights of those with whom they disagree. This pernicious trend has been acute in the climate change and Covid issues, and it is accelerating.

The Biden administration’s creation of a “Disinformation Governance Board” in the Department of Homeland Security (DHS) has made a modern-day reality in the United States stranger than fiction. Indeed, this Board will serve as a real-life “Ministry of Truth” as described by author George Orwell in his famous book1984.

Incredibly, in a recent agency bulletin entitled, the Terrorism Threat to the U.S. Homeland, the DHS subjectively describes terrorism to include “an online environment filled with false or misleading narratives and conspiracy theories and other forms of mis- dis- and mal-information (MDM).”

Yes, Biden DHS bureaucrats really wrote that, including the “MDM” acronym that now belongs in the same category as the 911 attacks.

The new director of this Board, a woman named Nina Jankowicz, makes this story more bizarre to the point of parody. The Biden White House and DHS surely saw the same cringe-worthy videos we viewed, including the one of Ms. Jankowicz embarrassing herself by imitating “Mary Poppins” – yet they appointed her anyway. The fact that her recent past also has been one of partisan dishonesty in advancing the Russia collusion hoax and other false narratives confirms the whole initiative is a political farce and dangerous.

If President Joe Biden and his insidious bureaucracy prevail with this blatant assault on freedom of speech, the First Amendment will become a dead letter since this abridgment will not stop with expression.

Freedom of the press has long become mostly a joke, with the major networks and media outlets willingly transforming themselves into propaganda arms of the Biden administration (and Obama’s previously). That’s not just the malicious Joy Reid or buffoonish Brian Stelter on cable news. That also means you, Nora O’Donnell, David Muir, and Lester Holt; the New York Times, Jeff Bezos’ Washington Post, and other once-serious news journals. They willingly manipulate objective news and science to favor the Biden agenda in Washington, especially by skewing climate change realities – or ignoring facts and science that question that agenda.

There remains a substantial non-conformist media and Internet presence of alternative news and opinion. But for how long when a federal department with “security” in its title takes aim? And what of the other First Amendment freedoms of assembly and religion?

If the Biden administration’s overt attack on freedom of speech is not defunded and stopped, other freedoms will fall like dominos. Already, houses of worship across the country were forcibly closed under the guise of public health during the height of Covid-19. It can happen again.

Politicians and their government speech police trying to curtail the rights and freedom of individuals as a means of preserving and increasing their own power. Perpetuating a false climate change narrative – that humanity itself faces an imminent and existential threat – is a primary way government officials expand their power to direct the economy and society.

Accordingly, dissenters of the man-made global warming narratives must be censored and silenced, especially as the economy spirals downward.

The Biden policies to raise the cost of energy at the gas pump and to heat and cool your home were deliberate and designed to force the nation onto so-called “renewable” wind and solar projects and electric vehicles. But the public is increasingly fed up with higher gas prices and their ripple effect on skyrocketing grocery bills and every other commodity and service.

With inflation running at 8.5 percent in the last 12 months and likely climbing to double-digits, the Biden administration’s climate narrative and accompanying anti-energy policies are becoming way more difficult to inflict on the public.

Rather than take concrete steps to ease inflation by expanding domestic energy production and scaling back on massive new government spending, the administration is raising the stakes by making unprecedented attempts at societal control with the creation of its own Truth Ministry.

Never mind that the President of the United States has the largest bully pulpit in the world. Except, our 79-year-old chief executive can barely read what is scrolled in front of him, much less articulate a coherent response to a simple question, including from pliant media.

And forget the fact that the president’s spokespersons, including daily fabulist Jen Psaki and every cabinet member, can advance a political and media narrative.

Evidently, they’ve determined that their own speech is not enough for them to retain government power to fulfill socialist fantasies for the nation. Contrary narratives and pushback from the public – especially on climate policy – must be combatted by any means necessary.

President Biden’s Disinformation Governance Board is anathema to the U.S. Constitution and has no place in a free society with guaranteed inalienable rights. The Board’s brazen existence and purpose to censor opposing voices and squash dissent make it a threat to the liberty of all Americans, regardless of one’s views of climate change or any other political issue.

*****

This article was published by CFACT, Committee for a Constructive Tomorrow and is reproduced with permission.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

State of the American Debt Slaves: Borrowing More to Buy Less due to Raging Inflation thumbnail

State of the American Debt Slaves: Borrowing More to Buy Less due to Raging Inflation

By Wolf Richter

Credit card balances up 3.0% from March 2019, but CPI inflation up 13%, LOL. Auto sales plunged, but auto loans jumped. You guessed it, ridiculous price increases.

Credit card balances ticked up 1.9% in March from February, not seasonally adjusted, to $1.036 trillion, according to the Federal Reserve today. Compared to three years ago, March 2019, the last March before the pandemic, this was up by only 3.0%.

In other words, credit card balances are now just 3% higher than there were three years ago, after three years of inflation, including raging inflation for the past 12 months that increased the prices of nearly everything that consumers buy with their credit cards.

Over the three years, during which credit card balances rose a total of 3%, CPI inflation jumped by 13%. In other words, even credit card borrowing cannot keep up with this raging inflation, LOL, and that their credit card debts, the most onerously expensive debt, are growing more slowly than inflation over the long term is for once a good thing for the American debt slaves:

Note in the chart above how consumers paid down their credit cards and other revolving credit during the first 12 months of the pandemic, and then they started charging again, gradually getting back to where they’d been on a nominal basis, but never catching up with inflation and a “real” basis.

Seasonal adjustments galore.

Consumer spending is very seasonal, and so is the usage of credit cards. Balances peak in December every year and fall off in January and February. Massive seasonal adjustments are used to smooth this out. In March, these seasonal adjustments added $62 billion to the revolving credit balance and pushed the figure up to $1.097 trillion, seasonally adjusted, up by 2.9% from February.

This chart shows the actual revolving credit balances (red line) and the seasonally adjusted revolving credit balances (green line):

Auto loans and leases in the first quarter – this is quarterly data, not monthly – jumped by 1.6% from Q4 and by 7.6% year-over-year, to a record 1.34 trillion, according to the Federal Reserve today.

*****

Continue reading this article at Wolf Street.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

Governments Giveth and Taketh Away thumbnail

Governments Giveth and Taketh Away

By Jeffrey Tucker

The jobs report this morning seemed like good news (3.6% unemployment) until you look at the details: “The U.S. labor force shrank by 363,000 people in April from a month earlier, the Labor Department said Friday. The labor force participation rate, or the share of American adults working or looking for a job, ticked down to 62.2% in April from 62.4% in March.”

The devastation of the lockdowns is still with us: a demoralized workforce, women with kids slow to come back due to a childcare shortage, men having scaled back their professional ambitions to live off savings and accumulate debt, plus a general disruption of the liturgy of life that has not fixed itself. 

As for this week’s GDP numbers, we all surely know that the “GDP” means almost nothing, except that it means everything. More specifically, it is a purely technical measure, easily distorted by crazy inclusions and exclusions. On the other hand, the data reporting alone has a huge psychological effect on markets and investor sentiment. One more quarter and the recession will be officially declared.

Two things about that. 1) If we get a second quarter in negative numbers, absolutely everyone in mainstream financial media will be united in messaging that this is purely a technical and very mild recession if it is a recession at all. They will be out in full force to dial back the worry and panic. 2) It is more correct to say that we are actually entering into the third year of an authentic recession. We just don’t see it in official data, due to wild government spending and money printing.

There are, however, some pieces of data that government cannot hide. Let’s look at the latest punch in the chops: real disposable personal income. This is the stuff that people actually care about, unlike GDP. because it directly affects their lives. Here we see the biggest shell game in the modern history of government fiscal and monetary policy. 

It shows that: we were rich! And then suddenly we were not. They gave us lots of money! Then they took it all away by taking away a huge slice of the purchasing power of that money. If there is a case for mass outrage, this is it. Sadly, most people cannot figure this out. It is opaque and the lines of cause and effect are too complicated for the TikTok generation.

We know what happened now, thanks to reporting from March. This is a beautiful yet terrifying picture of trickery and robbery. 

Now let’s flow the data a bit differently, looking at percentage change year over year. You can see here how suddenly all of this caught up with everyone. The valley mirrors the peak almost exactly.

And guess what? Inflation is still rocking in real-time, right now running 11% according to the data tracker at Truflation (which I’ve come to trust). That’s a very slight pullback from a month ago but nothing to celebrate. And there’s every indication that this problem will get worse over the summer. So you can take a ruler and plop it on the downturn in the above chart and draw a line.

Here is a perfect picture of why so many among the not-ridiculously-rich are now seething in anger. They sense prosperity draining away. They are spending and adding debt like there’s no tomorrow. And that’s because there are widespread expectations that tomorrow is going to be much worse. 

Consumer confidence is right now lower than it was during the depth of lockdowns. And this is because the policy has done nothing to repair the grotesque damage and much to make it worse.

And Yet the Flowers Bloom

Spring has bloomed all over the country and people are out and about rediscovering the meaning and beauty of life. It’s a happy time that masks deep hurt and depression. In the South and most of the West, apart from crazy California, there are no masks to be seen.

In the Northeast, there are still some sad sacks out and about wearing masks, perhaps 5-10% of the population that is still very confused. They got vaccinated and boosted and maybe boosted again and still got Covid. They mask up because they don’t want to get it again, completely oblivious to the reality that natural infection is protective, while the mask is not. 

The truth is that public health messaging for two years has been nothing but obfuscation and duplicity. As a result, we lost many souls and people lost their minds too.

Still, it’s great that the pandemic is officially declared to be over. But we might ask why. It’s true that seroprevalence studies show 60% of the population has contracted and overcome covid. Another way to say that: the kabuki dance of two years achieved nothing except perhaps to delay the inevitable.

The real reason for the declaration of the pandemic’s end is partly political. The DNC has discovered through its polling that it faces an absolutely political calamity in November. The party is flying into action, doing its best to dramatically change the public mood.

The CDC went along and changed the color-coding on its inflection map and is ever more saying that infections don’t matter, only deaths. We are now in another seasonal downturn, so it works out.

This leaves open the possibility of a complete repeat of the hysteria starting after November, depending on the outcome of the midterms. The ruling class has now full confidence that it can turn on panic and turn it off in a matter of weeks, with just the right messaging. Will anyone believe them next time? Maybe… 

Meanwhile, spring has sprung, the flowers look sweet, and people are glad for a return to normalcy, no matter how degraded it is relative to three years ago. If governments would leave the markets alone, recovery could be real. But there is almost no chance of that, regardless of who takes control of the machinery of the state starting in November.

There are so many lessons to learn from this remarkable episode in history, among which is that when the government seems to be giving you something for free – stuffing your bank account full of money you did nothing to get – it is likely buying some time to make you pay dearly for it later.

*****

This article was published by the Brownstone Institute and is reproduced with permission.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

SCHOEN: Americans Are Sounding The Alarm Over Big Tech thumbnail

SCHOEN: Americans Are Sounding The Alarm Over Big Tech

By The Daily Caller

Elon Musk’s Twitter acquisition — which can be summed up as the world’s wealthiest person buying one of the most powerful social media and news platforms — underscores one of the big problems with Big Tech.

In the absence of modernized anti-trust and anti-monopoly laws, Big Tech companies in the U.S. have amassed far too much economic and political control over society, and especially over the news and publishing industries.

The power at Big Tech companies  with respect to their management of sites like Facebook News and Google News – is held by a few individuals who are often times more motivated by a desire to turn profits and promote their own ideology or world view, rather than by a genuine desire to guarantee a free and diverse press.

Due to Big Tech’s market manipulation in the news and publishing industries, thousands of local and smaller news operators — including many conservative publications — have been forced to shutter their doors in recent years.

This forsakes the First Amendment to the U.S. Constitution, and thus, is a threat to our democracy.

Importantly, new survey research shows that the American public recognizes this threat, and wants their elected officials to act on it.

New polling by Schoen Cooperman Research — conducted among a representative sample of U.S. adults and commissioned by News Media Alliance — reveals widespread concern surrounding Big Tech’s power and manipulative practices, as well as strong support for reforms to rein in these monopolies.

Notably, strong majorities of Americans are concerned about the economic and political power of Big Tech companies (74%) and are supportive of increased government regulations on Big Tech companies in order to curb their economic and political power (63%).

With respect to news and publishing specifically, nearly 4-in-5 Americans are concerned that Big Tech companies have too much power over these industries (79%) and manipulate these industries for their own gain (78%).

To that end, three-in-four Americans agree that “Big Tech’s monopoly over the news and publishing industries is a threat to the free press and unfair to publishers, especially to small and local outlets.” (76%)

In addition to being broadly concerned about this problem, Americans are supportive of Congress taking action to restore fairness, balance, and freedom to the press.

Respondents were asked about a specific piece of legislation proposed in Congress known as the Journalism, Competition, and Preservation Act (JCPA). The JCPA would provide a legal basis for news publishers to negotiate fair terms for use of their content by Big Tech companies — and thus, would demonstrably curb the economic and political power of these companies.

Remarkably, 7-in-10 Americans support Congress passing the JCPA (70%) and believe it is important for Congress to pass the JCPA (64%) after reading a brief description of the bill. And by a four-to-one margin, U.S. adults would be more likely, rather than less likely, to back a candidate for Congress who supported the JCPA.

In my experience as a professional pollster who has worked in opinion research for over four decades, it is rare for an issue or piece of legislation to garner this level of public support.

Our findings present a clear call-to-action to Congress, and elected officials in both parties now have a mandate from the public to rein in Big Tech by pursuing the JCPA or similar reforms.

Moreover, the very survival of American democracy is contingent on our leaders safeguarding free speech and ensuring a fair economy.

Congress must fulfill its duty by passing legislation like the Journalism Competition and Preservation Act into law.

AUTHOR

DOUGLAS SCHOEN

Contributor. Douglas E. Schoen is a Democratic pollster and strategist. He is the author of “The Political Fix: Changing the Game of American Democracy, From the Grass Roots to the White House.” The views and opinions expressed in this commentary are those of the author and do not reflect the official position of the Daily Caller News Foundation.

RELATED ARTICLE: THAYER: We Need To Rein In Big Tech, Not The EU

EDITORS NOTE: This Daily Caller Column is republished with permission. ©All rights reserved. Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. For licensing opportunities of our original content, please contact licensing@dailycallernewsfoundation.org.

Biden’s Economy Sends Americans Into ‘Unretirement’ thumbnail

Biden’s Economy Sends Americans Into ‘Unretirement’

By The Geller Report

Disaster! And what does President Biden do as Americans suffer? He hides in Delaware. Shame on the mainstream media for manipulating millions of Americans into voting for this clown. #Trump2024!

Newt Gingrich: Food prices are going to go up all summer on a worldwide basis. pic.twitter.com/v659HisNbH

— Laura Ingraham (@IngrahamAngle) May 6, 2022

Americans blame Biden for their economic struggles

66% of Americans disapprove of Biden’s handling of the economy

64% disapprove of Biden’s handling of helping the middle class

81% of Americans feel the government is doing too little to reduce inflationhttps://t.co/Krue5zCUe7

— GOP (@GOP) May 6, 2022

CNN: A majority of Americans say Biden’s policies have HURT the economy.

“All of this is going to be top of mind for voters.” pic.twitter.com/ibDqjgmgVi

— RNC Research (@RNCResearch) May 6, 2022

Biden’s Economy Sends Americans Into ‘Unretirement’

By Daily Wire, May 6, 2022

Americans are leaving retirement due to inflation and a tight job market, according to data released last month by job platform Indeed.

According to Bureau of Labor Statistics data, the number of retired seniors surged from 28.3 million in February 2020 to 31.6 million in October 2021, however, higher price levels and other economic challenges are now forcing Americans into “unretirement.”

RELATED ARTICLE: New Survey Finds Trump Trouncing Biden In 2024 Rematch By Double Digits

EDITORS NOTE: This Geller Report column is republished with permission. ©All rights reserved.

Quick note: We cannot do this without your support. Fact. Our work is made possible by you and only you. We receive no grants, government handouts, or major funding.

Tech giants are shutting us down. You know this. Twitter, LinkedIn, Google Adsense, Pinterest permanently banned us. Facebook, Google search et al have shadow-banned, suspended and deleted us from your news feeds. They are disappearing us. But we are here.

Subscribe to Geller Report newsletter here— it’s free and it’s essential NOW when informed decision making and opinion is essential to America’s survival. Share our posts on your social channels and with your email contacts. Fight the great fight.

Follow Pamela Geller on Gettr. I am there. click here.

Follow Pamela Geller on Trump’s social media platform, Truth Social. It’s open and free.

Remember, YOU make the work possible. If you can, please contribute to Geller Report.

Sweden Finally Gets Some Recognition thumbnail

Sweden Finally Gets Some Recognition

By Neland Nobel

During the recent government panic over Covid, almost all governments in one form or another used “lockdown”, or the quarantining of the healthy, in order to stop the spread of the disease. This was a first in history because usually, isolating the sick or the especially vulnerable was the strategy.

The result was severe economic distortion including soaring debt, rising inflation, and completely tangled supply chains. We will all be lucky if a global depression can be avoided as a consequence of these flawed policies.  Starvation in the Third World is a real possibility.

But even simply on the basis of healthcare outcomes, growing evidence shows it was a terrible mistake. This includes no better fatality rates, a bulge in health problems from those who could not seek treatment for other ailments and conditions, soaring mental health issues including drug and alcohol abuse, catastrophic disruption of schooling and the lives of children, and the severe diminution of personal liberty.

In the early phases of the pandemic, given the unknown nature of the virus from China, and the severe response China had to a pandemic that they likely were more knowledgeable about than other nations, it would be charitable to give governmental officials some latitude. They simply did not know what they were dealing with and copied China.

Computer models vastly exaggerated the possible fatalities. It also seemed to feed into the needs of Progressives to control every aspect of life, kind of a dry run for their coming “lockdown” to save the world from “climate change.”

There was widespread fear that hospitals would collapse under the weight of the infected.

As more information began to become available, it appeared many of these measures did little good and in fact did substantial harm. Some countries, continued harsh measures, while others began to relax the regulations.

Within the US, typically states and cities run by Democrats continued severe measures and while Republican states, used a lighter touch. It soon became clear that outcomes were no better, and sometimes worse, in states with harsh lockdown policies. Yet, advocates of harsh lockdown decided to follow only the “science” that supported their policies.

This caused a further divide politically in the U.S., with die-hard lockdown politicians seeming to revel in their newly found power to abuse civil liberties, while Republicans began to protest, refused to comply, and mock the excesses of others.

It divided families and friends as well. One group seems forever terrified and wanted to force others to embrace their fears by forcing others to vaccinate, wear masks, and curtail group activities.

Others calculated their own risk and tried as best to go on with their lives within the restrictions.

The vaccinated and boosted members of societies began to get the virus and spread the virus. If this was a vaccine in the traditional sense, it seemed quite ineffectual. Even President Trump, ever eager to brag about “Operation Warp Speed”, began to have doubts about the role he played in all of this.

But, we could have had mass vaccination without lockdown.

Even today, it is not uncommon to see people wearing masks alone while walking outside or riding in a car. It is hard to recall any period in U.S. history where such fear gripped a large segment of the population. The mask became a talisman to ward off evil spirits, it would seem.

To vaccinate very young children, who have virtually no chance of dying from the virus, but yet run the considerable risk of adverse reactions, still continues to be promoted.

Among nations, really only one pursued fundamentally a different strategy. It was generally to protect the vulnerable elderly while leaving younger citizens with lower risk to make their own calculations of risk.

We highlighted this experience in multiple articles to our readers as we found their approach much more balanced and their results really no worse than severe lockdown states.

The country, of course, was Sweden.

Sweden generally has designed a mixed economy, high taxes, generous state-provided benefits, and open immigration, while allowing considerable room for enterprise and personal freedom.

It does not exactly fit the description of a government that would pursue this lighter touch to the pandemic. But English-style democracies like Australia and New Zealand were among the most dictatorial, while quasi-socialist Sweden took another route.

Yet Sweden was constantly mocked for its approach. You just don’t stand apart from a good bureaucratic stampede.

To date, little press has been given to the remarkable difference in Sweden. Perhaps, this is because the information is so embarrassing to the more popular harsh lockdown politicians around the world.

We are proud that at The Prickly Pear, we repeatedly tried to call attention to the Swedish approach with multiple articles.

That is why it is perhaps an encouraging signal that a reckoning is coming for the harsh lockdown crowd with the publication in the Washington Monthly, of a major article on Sweden, and an analysis of all the terrible unintended consequences that followed in the U.S. from harsh lockdown policies.

The Washington Monthly is not known for being particularly conservative and its readership is Beltway elites. That makes their piece on this subject all the more revelatory. This is not a fringe publication, but rather one popular in the corridors of political power, the same corridors that produced awful lockdown policies.

Here are a few snippets from What Sweden Got Right About Covid :

But Sweden seems to have been right. Countries that took the severe route to stem the virus might want to look at the evidence found in a little-known 2021 report by the Kaiser Family Foundation. The researchers found that among 11 wealthy peer nations, Sweden was the only one with no excess mortality among individuals under 75. None, zero, zip.

That’s not to say that Sweden had no deaths from COVID. It did. But it appears to have avoided the collateral damage that lockdowns wreaked in other countries. The Kaiser study wisely looked at excess mortality, rather than the more commonly used metric of COVID deaths. This means that researchers examined mortality rates from all causes of death in the 11 countries before the pandemic and compared those rates to mortality from all causes during the pandemic. If a country averaged 1 million deaths per year before the pandemic but had 1.3 million deaths in 2020, excess mortality would be 30 percent.

There are several reasons to use excess mortality rather than COVID deaths to compare countries. The rate of COVID deaths ignores regional and national differences. For example, the desperately poor Central African Republic has a very low rate of fatalities from COVID. But that’s because it has an average life expectancy of 53. People in their 70s are 3,000-fold more susceptible than children to dying of COVID, and even people in their 20s to 50s are far less likely to die than the elderly. So, it’s no surprise that the Central African Republic has a low COVID mortality rate despite its poverty and poor medical care. The U.S., by contrast, with its large elderly population (and general ill-health compared to most wealthy countries), was fertile soil for the coronavirus.

Excess mortality is the smart, objective standard. It includes all deaths, whether from COVID, the indirect effects of COVID (such as people avoiding the hospital during a heart attack), or the side effects of lockdowns. And it gets rid of the problem of underlying differences among countries, allowing a direct comparison of their performance during COVID.”

They go on to say:

Even among the elderly, Sweden’s excess mortality in 2020 was lower than that in the U.S., Belgium, Switzerland, the U.K., the Netherlands, Austria, and France. Canada, Germany, and Australia had lower rates than Sweden among people over the age of 70—probably because Sweden failed to limit nursing home visits at the very beginning of the pandemic.

The U.S., by contrast, had the highest excess mortality rate among all 11 countries in the Kaiser study. We also had a stunning number of COVID deaths—more than 1 million. Our lousy rate is probably due to multiple factors, says Jay Bhattacharya, a professor of medicine at Stanford University and senior fellow at the Stanford Institute for Economic Policy Research. Our underlying health is worse than most wealthy countries because of our wide wealth gap, high rates of poverty and obesity, spotty access to high-quality health care for the poor, and an aging population.”

There is much to be learned about this whole Covid affair. Where did it come from? Why did governments react the way they did, even as information came in contradicting their policy? Why did so many people abandon their freedom and responsibility for their own lives? What role did the media play in spreading irrational fear? Will any of our leaders ever be held accountable for their decisions? Where were the checks and balances in our American system?

Maybe the process of self-examination can now begin because a beltway publication is now willing to talk about it. Let’s face it, our leaders, our press, and our medical establishment failed us terribly.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

No Increase in Flight Cancellations After CDC Mask Mandate Lifted, Data Show thumbnail

No Increase in Flight Cancellations After CDC Mask Mandate Lifted, Data Show

By Foundation for Economic Education (FEE)

Data suggest that fears of widespread cancellation of flights in the wake of the CDC mask mandate being lifted are baseless, thankfully.


It’s been two week since a federal court threw out the CDC’s transport mask mandate, to the glee of some and the outrage of others.

While many people—including flight attendants and passengers on planes—celebrated the court’s decision, others predicted the move would have dire consequences.

CBS News, for example, reported that European airlines were forced to “cancel hundreds of flights as they grapple with coronavirus-related staffing shortages weeks after they ditched rules requiring passengers and staff to mask up in the air.”

The news agency noted that UK airlines alone canceled 769 flights in total between March 31 and April 7 because of a shortage of flight crews due to illness. CBS quoted Eric Feigl-Ding, an epidemiologist and health economist, who said such outbreaks were needless and predictable.

“It’s very clear that the airline industry is particularly vulnerable, and this creates a cascading effect on society more than, say, a restaurant closing would,” Feigl-Ding said. “This is critical infrastructure and these are essential employees, and we’re endangering our economy. Stopping COVID is good for our economy, ‘letting it rip’ is the exact opposite.”

SO DAMN PREDICTABLE—UK 🇬🇧 govt drops restrictions, airlines like @easyJet drops masks… and less than 2 weeks later… huge spike in pilots and flight attendants out sick with #COVID19 unable to work, and 120 flights cancelled! Airline CEOs asked for this. https://t.co/zVOc2g2KzS pic.twitter.com/YWD7XIOodl

— Eric Feigl-Ding (@DrEricDing) April 4, 2022

Few would disagree with Feigl-Ding that airlines are important infrastructure, but his claim that mask mandates are crucial to their success bears scrutiny.

First, it’s worth noting that the 769 UK flights canceled between March 31 and April accounted for just 4 percent of those flights, which means that 96 percent went off without a hitch. Even more importantly, a single airline—EasyJet—accounted for roughly 40 percent of the canceled flights.

This suggests the UK’s numbers were skewed to a large extent by a single outbreak that disrupted many flights. Whether a mask mandate would have prevented this outbreak from occurring is impossible to know. But what we do know is that similar cancellations—much larger ones, in fact—occurred when mask mandates were still in place, so the idea that such mandates can prevent cancellations is simply not true.

We also have fresh data on cancellations of US flights since the CDC’s mask mandate was lifted. One astute Twitter user analyzed the data, which can be found here, and pointed out that in the two weeks since the CDC’s mask order was struck on April 18, there was no widespread cancellation of flights.

Two weeks (!) since the airline mask mandate was lifted. Experts insisted there would be widespread cancellations due to staff illness. Cancellation rates of major US airlines so far today:

United 0%

American 0%

Southwest 0%

Delta 0%

JetBlue 0%

Allegiant 0%

Frontier 1%

Alaska 7%

— Eric (@The_OtherET) May 2, 2022

On the contrary, the four largest airlines in the US—American Airlines, United Airlines, Delta Air Lines, and Southwest Airlines—all had a cancellation rate of 0 percent, as did JetBlue and Allegian. Frontier Airlines, meanwhile, had a cancellation rate of 1 percent, and Alaska Airlines had a cancellation rate of 7 percent. (Since the publication of the tweet, Alaska’s cancellation rate has fallen to 4 percent, and Delta’s has increased to 1 percent.)

The total number of canceled flights within, into, or out of the US in the past two weeks currently stands at 72—about 0.15 percent of the roughly 45,000 flights the FAA (Federal Aviation Administration) oversees each day, on average.

To be sure, we’re still in a pandemic, at least in the sense that many people are still getting COVID-19, still getting sick, and still dying. This means that we can expect there will be times when flights are interrupted by spikes of illness.

That said, so far the data suggest that fears of widespread cancellation of flights in the wake of the mask mandate being lifted are baseless, thankfully.

In many ways, this should not surprise us.

Even mask champions like The New York Times have come around to the idea that cloth masks are not very effective against Covid, which is why many scientists have long doubted their efficacy. (And even if cloth masks are effective, are we really supposed to just overlook the fact that there’s a period of time on flights when patrons just remove them to eat and drink, which hardly seems like an effective virus containment strategy?)

None of this is to say masking isn’t or can’t be effective. Perhaps it is. But I think we have an abundance of evidence that shows mask mandates are not effective, and the absence of a surge in flight cancellations following the striking down of the mask mandate is one more piece of that evidentiary record.

I was an early mask adopter — & they make intuitive sense — but a growing body of evidence shows that mask mandates don’t appear to make much difference at the community level. pic.twitter.com/wnfBUKcZuM

— Liz Highleyman (@LizHighleyman) April 13, 2022

All of this brings to mind a crucial lesson of economics. The Nobel Prize-winning economist Milton Friedman once observed that one of the biggest problems of the modern world is how we assess public policy.

“One of the great mistakes is to judge policies and programs by their intentions rather than their results,” Friedman noted.

There’s no better example of Friedman’s adage, I think, than masks, which became a symbol of supporting “the common good,” which is why so many people publicly vowed to continue wearing them even after the CDC policy requiring them on transportation was struck down.

Tho it’s not mandatory and it’s a pain, I’m masking it for my flight today. For myself, for others. pic.twitter.com/spbl2jySsc

— Ron Howard (@RealRonHoward) April 22, 2022

Wearing my mask no matter what non-scientists tell me I can do. pic.twitter.com/qel4mAG9H5

— Valerie Jarrett (@ValerieJarrett) April 19, 2022

If people wish to continue wearing masks to show they’re not “selfish” or because they believe it will protect them, they are of course perfectly free to do so. That’s the beauty of choice.

But how much pain could have been avoided during this pandemic if only we’d embraced the freedom of choice from the beginning, instead of succumbing to fear?

This article was adapted from an issue of the FEE Daily email newsletter. Click here to sign up and get free-market news and analysis like this in your inbox every weekday.

AUTHOR

Jon Miltimore

Jonathan Miltimore is the Managing Editor of FEE.org. His writing/reporting has been the subject of articles in TIME magazine, The Wall Street Journal, CNN, Forbes, Fox News, and the Star Tribune. Bylines: Newsweek, The Washington Times, MSN.com, The Washington Examiner, The Daily Caller, The Federalist, the Epoch Times.

RELATED TWEET:

1200 people died during the Pfizer vaccine trials and they still approved it. Time to end this debacle. It’s over. Calling all whistle blowers save yourself while you still have time.

— Theo Fleury (@TheoFleury14) May 7, 2022

EDITORS NOTE: This FEE column is republished with permission. ©All rights reserved.

Made in America Series: North Arrow Coffee Company – Veteran Owned thumbnail

Made in America Series: North Arrow Coffee Company – Veteran Owned

By 2ndvote .com

Here at 2ndVote we always advocate for the three pillars of shopping your values; shop local whenever possible, shop the highest 2ndVote score whenever possible, and shop American whenever possible. American production has been outsourced overseas for the sake of labor costs, sometimes even using slave labor, for far too long. It is high time that we as Americans demand that the goods and services we purchase are made by Americans, for Americans, in AMERICA!

That’s why we at 2ndVote endorse a product Made-in-America every week. This weekly message features various products that have been verified to be 100% American produced so that 2ndVote shoppers can better support American economic independence. It should be noted that while any products or companies featured in this series have been vetted for being American-made, there is not a guarantee that all such companies have been scored by 2ndVote at the time of publication.

This week’s featured Made-in-America product is the Cold Brew No. 13 coffee from North Arrow Coffee Company:

North Arrow is a veteran-owned business founded by close friends who share a tremendous love for God, family, and coffee. They also donate at least 15% of all sales to help end abortion, which we think is pretty great. While the beans are farmed in South America (no where else in the lower 48 would suffice for that), but the rest of the magic is done in Temecula, California.


Check them out here for a 10% discount! 

Or use code 2NDVOTE10 when checking out.


The best way to make positive change in the world of woke businesses is to vote with your wallet, so remember: shop local, shop the highest score possible, and shop American! 2ndVote is not paid for this feature.

EDITORS NOTE: This 2ndVote column is republished with permission. ©All rights reserved.

Elon Musk To Serve As CEO Of Twitter thumbnail

Elon Musk To Serve As CEO Of Twitter

By The Geller Report

Maybe Pamela Geller will be reinstated. We shall see.

Elon Musk set to become temporary CEO of Twitter: report

By Summer Lane, RSBN, May 5, 2022

Elon Musk, the billionaire CEO of Tesla and SpaceX, is reportedly set to serve as the interim CEO of Twitter when his purchase of the social media platform for $44 billion is completed, sources told CNBC.

There has been rampant speculation regarding who would take over Twitter as CEO in light of reports that Musk was allegedly planning to clean house at the company shortly after entering a deal to acquire it.

This comes days after Reuters reported that Musk may be appointing a new CEO to take the place of Parag Agrawal.

However, if Musk himself steps in to take control of the company, major changes could come to the platform sooner rather than later.

According to the CNBC report, a SEC filing on Thursday confirmed that the billionaire investor had secured the necessary funds in equity, $7.4 billion, to begin his purchase of Twitter.

Musk hints at changes coming for Twitter users and government or commercial entities.

After the Twitter deal was announced last week, Musk stated that he intends to make Twitter a place where “matters vital to the future of humanity are debated.” He also shared, “Twitter has tremendous potential – I look forward to working with the company and the community of users to unlock it.”

Musk’s purchase of Twitter has been met with excitement by proponents of free speech on Twitter, while others have threatened to leave the platform. On Wednesday, Musk hinted that there might be financial changes coming down the line for certain Twitter users. “Twitter will always be free for casual users,” he stated in a tweet, “but maybe a slight cost for commercial/government users.”

RELATED TWEET:

If Twitter acquisition completes, company will be super focused on hardcore software engineering, design, infosec & server hardware https://t.co/m2HseK0TXl

— Elon Musk (@elonmusk) May 6, 2022

EDITORS NOTE: This Geller Report is republished with permission. All rights reserved. Follow Pamela Geller on Trump’s social media platform, Truth Social.

Arizona to Widen Interstate 10 thumbnail

Arizona to Widen Interstate 10

By Tom Joyce

In a long-fought win for local officials, Arizona will soon widen a portion of Interstate 10.

The state is investing $400 million to widen the road due to the passage of Senate Bill 1239. Arizona Governor Doug Ducey signed the bill into law on Wednesday.

“In the State of the State, we promised that we would invest more dollars to get the I-10 completion leap-frogged to the front of the priority list. Today, we’re delivering on that promise,” Ducey said on Wednesday. “This legislation ensures that everyone in Arizona can get to their destination safely and quickly, even as our state continues to grow. We’re not going to have the endless traffic jams you see in cities like Los Angeles, where men and women are stuck in their cars for hours every day.”

The bill addresses what’s known as the Wild Horse Pass Corridor. It’s a segment between Chandler and Casa Grande that only has two lanes of traffic; the route connects Phoenix and Tucson, the two largest cities in the state.

This bill widens the 26-mile segment on I-10 from two lanes to three.

State Sen. T.J. Shope, R-Coolidge, was the bill’s original sponsor.

“I-10 between Phoenix and Tucson is a major artery for our state’s residents and commerce,” he said. “Many Casa Grande and Coolidge residents use I-10 to commute to Phoenix for work. This expansion alleviates the pressure on our commuters and our businesses. I was elated when Governor Ducey committed in January to prioritizing this project and I’m glad he’s delivering on that promise.”

Additionally, the bill will extend High Occupancy Vehicle lanes and replace the Gila River Bridge, among other infrastructure upgrades.

The project is set to begin in 2023 and conclude in 2026.

The total cost of the infrastructure upgrades will cost just under $1 billion. Of that, about $700 million will come from state funding.

*****

This article was published by The Center Square and is reproduced with permission.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

‘Ludicrous’: Buttigieg Watches As Manchin Throws Cold Water On Biden’s EV Dreams thumbnail

‘Ludicrous’: Buttigieg Watches As Manchin Throws Cold Water On Biden’s EV Dreams

By Thomas Catenacci

Democratic West Virginia Sen. Joe Manchin slammed the Biden administration’s lofty electric vehicle (EV) plans as “ludicrous,” saying the U.S. should first address root issues.

Manchin expressed concerns that the administration was focusing too much on electric vehicle incentives rather than shoring up the domestic battery and critical mineral supply chains, during a Senate Appropriations Committee hearing by Transportation Secretary Pete Buttigieg on Thursday [4/28.22]. He noted that China, which controls the vast majority of global critical mineral mining and refining needed for renewable energy tech, could use its leverage over the U.S. for geopolitical reasons.

There’s a waiting list for EVs right now with the fuel price at $4,” Manchin told Buttigieg. “But they still want us to throw $5,000 or $7,000 or $12,000 credit to buy an electric vehicle.” (RELATED: Ford Reports Devastating Losses Thanks To Electric Vehicle Gamble)

“It makes no sense to me whatsoever when supply and demand — we can’t produce the product for the people who want it and we’re still going to pay them to take it? It’s absolutely ludicrous in my mind,” he continued. “But I’m thinking we are getting ourselves tangled in a situation that we’re not going to be able to supply … everything that’s going to be needed for this product.”

The West Virginia lawmaker then asked Buttigieg if the Department of Transportation shared his concerns about EV shortages and credits.

“We are following this closely and I think it’s a great example of one of the areas of manufacturing capacity that we’ve got to do more of right here on American soil,” Buttigieg responded. “If you look at the timelines that the physicists have laid out on climate, some of them can — in terms of our action and our need to rise to the challenge — could arguably be measured in months rather than years at this point.”

“So, we feel a sense of enormous urgency to accelerate not just the uptake of electric vehicles, but, as you note, their production and our productive capacity for them,” he added.

Buttigieg didn’t address Manchin’s concerns about the EV credit included in President Joe Biden’s Build Back Better Act.

U.S. consumers in the market for an EV must wait up to 18 months to receive their purchase depending on the desired model. Several popular Tesla EVs, for example, have wait times stretching into late 2023.

The Build Back Better Act includes an up to $12,500 tax credit for purchases of electric vehicles made with union labor using American batteries. EVs made in non-union shops would offer consumers much smaller credits.

Biden has promised that 50% of new vehicle sales in the U.S. will be emissions-free by 2030 and every addition to the federal government’s 600,000-vehicle fleet will be electric by 2035.

*****

This article was published by The Daily Caller News Foundation and is reproduced with permission.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

Prices Continue to Rise, Exceeding Fed Projections thumbnail

Prices Continue to Rise, Exceeding Fed Projections

By William Luther

New data from the Bureau of Economic Analysis shows that prices continue to rise at breakneck speed—and much faster than the Federal Reserve has projected. The Personal Consumption Expenditures Price Index (PCEPI), which is the Fed’s preferred measure, grew at a continuously compounding annual rate of 6.3 percent from March 2021 to March 2022, up from 6.1 percent in the previous month.

Prices have grown 4.0 percent per year since January 2020, just prior to the pandemic. If the Fed had instead delivered 2-percent inflation over this period, prices would be 4.6 percentage points lower today.

Figure 1. Price Level and 2-percent Growth Path

The surge in prices has caught most households off-guard. Perhaps more surprisingly, it has caught Fed officials off-guard, as well. Federal Open Market Committee members have consistently under projected inflation since December 2020. The median FOMC member projections for inflation, which the Fed reports in its quarterly Summary of Economic Projections, are presented in Table 1. In December 2020, the median FOMC member projected inflation would be just 1.9 percent in 2022. The projection climbed to 2.6 percent by December 2021. In March 2022, when the Fed released its most recent Summary of Economic Projections, the median FOMC member projected prices would grow 4.3 percent this year.

Median Inflation Projection

Projection Date 2021 2022 2023 2024 Longer run
December 2020 1.8 1.9 2.0 2.0
March 2021 2.4 2.0 2.1 2.0
June 2021 3.4 2.1 2.2 2.0
September 2021 4.2 2.2 2.2 2.1 2.0
December 2021 5.3 2.6 2.3 2.1 2.0
March 2022 4.3 2.7 2.3 2.0
Table 1. Median FOMC Member Projections for Inflation

Yet, even the most recent revision appears to be insufficient. Forecasts of the price level based on FOMC member projections, which Morgan Timman and I produce for our Monthly Inflation Report, are presented in Figure 2 along with the price level. Prices are currently 0.8 percentage points higher than they would be if they were in line with the median FOMC member projection made in March. They are currently on track to grow 7.1 percent this year.

Figure 2. Price Level and Forecasts Based On FOMC Member Projections

Although Fed officials have revised up their projections for inflation considerably, they have not meaningfully changed their course of policy from what was announced last December. It is now clear that those plans were made with very optimistic projections of inflation in mind. Those projections have since been shown to significantly underestimate the extent of the problem. If the Fed were committed to bringing down inflation over the same time horizon, it would have no choice but to increase the speed or intensity of its plan to tighten. That it has not done so reveals that it is unlikely to bring inflation down as quickly as it previously suggested. Indeed, its most recent projections reflect this. The Fed now projects inflation at 2.7 percent in 2023 and 2.3 percent in 2024, up from the 2.3 and 2.1 percent projections made back in December.

The Fed seems resolved to see inflation climb further. I expect FOMC members will revise their projections of inflation again in June. They should revise their course of action, to bring inflation down as planned, instead.

*****

This article was published by AIER, American Institute for Economic Research, and is reproduced with permission.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.

No Comfort in a Correct Prediction thumbnail

No Comfort in a Correct Prediction

By Neland Nobel

Trying to guess what the economy and the financial markets will do occupies an entire industry. And, within that industry of financial services, opinions vary greatly. That makes the job of prediction even more difficult because so many bright people have such diametrically different points of view. Which set of views is correct?

Having come from that industry, and maintaining a keen interest in the economy, we have shared our opinions with you, the readers of The Prickly Pear. Matters of personal finance should be of interest to all of us, especially when going into difficult times.

We have suggested in a series of articles, that many negative trends have been forming and that 2022 would be a “risk-off” year. Among these are: monetary and fiscal tightening, a flattening or inversion of the yield curve, serious inflation, an oil price shock, a food price shock, China is going back into lockdown making supply chains worse, a seriously overvalued stock and real estate markets, a vicious bear market in bonds, a complete breakdown of law and order at the Southern border and in dozens of major cities, overall excessive debt, a war that likely is just the opening battle in a broader conflict, an unwinding of the Bretton-Woods era monetary arrangements, dreadful political leadership, and environmental extremism that paralyzes rational policy responses. Whew!

The Democrat’s response to the inflation they have unleashed is to raise taxes! Either you get skewered with high inflation (a hidden regressive tax) or you get skewered with a direct tax on whatever income your can earn. Screwing the public seems to be the best Democrats can give us in policy options.

These are all important trends, each of which standing alone, would spell trouble. Rarely have we seen quite so many problems link arms and confront us at the same time.  For that and other reasons, we suggested that the classic 60-40 approach taken by most money managers would not work, as both stock and bonds would be declining at the same time.

These fundamental macro events and now being joined by technical deterioration within the stock market, such as busted long-term trend lines and the penetration of long-term moving averages.  Margin debt appears to have peaked out, internal divergences have formed, and price momentum is turning negative.  Defensive areas of the market are now outperforming growth.  Historically speaking, these are not good signs.

In short, the “wealth effect” of an ever-rising market may have gone into reverse gear.

We suggested that 2022 would be a difficult year for investors and the economy which would justify investors taking serious steps to de-risk their portfolios.

A recent headline in Market Watch was that stocks have had the worst opening for the year since 1939. It gives us little comfort to report that most of our predictions seem to be playing out. We mention them not to brag but only to catch your attention and ask you to enter these on the credit side of the ledger, to balance out the eventual errors that we will surely commit.

We have been correct to warn you of a “risk-off” year.  Did you take action to reduce risk?

But if we did not get your attention before, we hope we have the credibility to have it now.

Things are getting worse.  You need to have a discussion with your financial advisor if you have not already done so.

There are tangible signs the economy is weakening, even beyond the surprisingly weak GDP numbers for the first quarter.  This is coming even earlier than we expected.

Demand for home mortgages is falling.

Consumer sentiment is growing sour.

Industrial production is slumping and the demand for trucking is slipping.

Some stock market indices such as the broad Russell 2000 and the NASDAQ Composite  have fallen somewhat below the necessary level to label the market “bearish.”

The damage to stocks is more than the averages suggest.  Something close to 45% of all stocks on the NASDAQ are down more than 50%.  ARKK, the techno-laden ETF run by the now-famous Cathy Wood is down 70%.  Darlings of the lockdown like Peleton and Zoom have also lost about 70%.

The global bond market has crashed, wiping out over so far about $8 Trillion.

There has been a severe decline in the Japanese Yen to a 20-year low (the third-largest economy) and the Chinese Yuan is wavering.

Are we starting a round of competitive currency devaluations and beggar-thy-neighbor policies like the 1930s?

In summary, a number of markets are in trouble, the economy is in trouble, and real estate looks frothy and vulnerable.

The FED runs a high risk of policy error, which is jamming up interest rates with the economy already weakening.  That potentially could make things worse. To flip flop again, and reverse course, would signal they are not serious about inflation.  The FED has painted itself into a corner and there is no painless way out.

There are certainly some positive things going on, that is for sure.  Elon Musk buying Twitter is one. But the preponderance of data and market action suggests that recession is now a higher probability than before.

The one silver lining in all this is that most people will rightly blame the Democrats for wild inflation in food and fuel and, the wreckage in their 401ks. A feckless foreign policy encouraged Russia and likely China to take advantage of our weakness.  Biden, supposedly an experienced operator in the US Senate for years, seems incapable of compromising with reasonable opposition.

Actually, he seems incapable of uttering a coherent sentence.  Behind him of course,  is the cackling and vacuous Kamala Harris, the woman of color and imbecility.

We could be moving into a political leadership vacuum.

Aggravating the problem, they both peddle the lie that opponents to their socialist and racist initiatives are “white nationalists” that is a security threat to the very existence of the Republic.  And now, we have the Department of Homeland Security forming a board to oversee “truth”.  It is straight out of Orwell and scary as hell.

With this twisted view of reality, political compromise to address the many problems we face is likely impossible.  After all, you can’t negotiate with terrorists like Republicans, can you?  And, why would Republicans in their right mind wish to deal with people who have labeled them white supremacists? Well, there is the one lady from Wyoming…

Only after a thorough drubbing of Democrats in the mid-term elections, is political consensus likely.  But the election will likely be too late to reverse many of these trends from wreaking damage to household and corporate net worth.

As we have stated previously.  We will be very lucky to dodge a recession and bear market.  Don’t leave your financial planning to luck alone.

TAKE ACTION

America is now aware of the Department of Homeland Security’s new ‘Disinformation Governance Board’. DHS Secretary Alejandro Mayorkas called disinformation a “threat” that needs to be addressed with federal law enforcement power. (Is it coincidental that Elon Musk will shortly take Twitter private and re-establish a free speech platform in America?)

This new DHS office is the Biden Speech Police and represents an existential threat to our First Amendment and our Republic. Please click the adjacent red TAKE ACTION link for the resources to inform your Senators and Representatives about this unconstitutional and tyrannical assault on American Free Speech and our fierce rejection of it.