Archive for the ‘economy’ Category
The continuing discussion about what Gross Domestic Product (GDP) should include in order to more accurately reflect the scope and health of the economy has entered a new and intriguing dimension.
From across the Atlantic comes this question: Why not include prostitution and drugs in GDP calculations, as Italy and the United Kingdom have done? After all, those are economic activities, right?
The U.K.’s Office of National Statistics announced that paying for drugs and sex adds about £10 billion ($16.7 billion) a year to the economy. So, the British government is now including prostitution and narcotics sales in its official GDP statistics.
While illegal activities are a small part of the U.K. economy—only 0.7 percent—according to the government’s estimates, the reason for the inclusion is to harmonize economic reporting across the European Union. Read the rest of this entry »
Matt Ridley, the UK author, journalist and member of the House of Lords, recently asserted in a Wall Street Journal article that the “world’s resources aren’t running out.” Well maybe, sorta. If you are into the mental gymnastics of conservative doublethink.
I could not let his piece pass without providing, shall we say, a different and more intellectually honest (I hope) viewpoint.
He asks: “How many times have you heard that we humans are ‘using up’ the world’s resources, ‘running out’ of oil, ‘reaching the limits’ of the atmosphere’s capacity to cope with pollution or ‘approaching the carrying capacity’ of the land’s ability to support a greater population? The assumption behind all such statements is that there is a fixed amount of stuff—metals, oil, clean air, land—and that we risk exhausting it through our consumption.” Read the rest of this entry »
Welcome to the New Year, same as the old year—in much of corporate America and the Republican Party.
A recent HBR Blog item by Peter Cappelli notes it was not all that long ago that companies worried about whether their employee practices were fair. “One of the functions of human resource departments was to advocate for the interests of employees.”
That was a long time ago in galaxy gar, far away. Shareholder activism as well as court cases sympathetic to shareholder interests have meant that the vast majority of companies pay more attention to maximizing stock prices, often at the expense of their employees. Read the rest of this entry »
As this infographic courtesy of AutoPawn indicates, maybe you can’t have everything—at least not yet.
Guest post by Danielle Nierenberg, co-founder of Food Tank: The Food Think Tank
The United States is one of the world’s biggest users of water: many Americans use as much water as about 900 Kenyans. Water resources in the U.S. are shrinking. In the last five years, water shortages have occurred in almost every part of the country, including the worst drought in at least 25 years that hit 80 percent of the country’s farmland in 2012. Even worse, the damaged land won’t fully recover this year and at least 36 states are expecting local, regional, or statewide water shortages, even without the impact of drought.
The Natural Resources Defense Council expects water scarcity to affect the American South, West, and Midwest the most. Fourteen states in these regions already have “extreme” or “high” risk of water scarcity. Arizona, Florida, Idaho, Nevada, and Texas face the most danger because they are expected to see some of the largest population increases by 2030. Read the rest of this entry »
The short answer is: probably not. There are many reasons to question the wisdom of exporting U.S. coal to Asia through five planned terminals in the Pacific Northwest, including huge health, safety and environmental risks.
But what if the entire underlying economic rationale for this whole exercise—China’s supposed insatiable and never-ending demand for U.S. coal exports—is non-existent? What if that perceived and anticipated market, even if it once existed, is disappearing?
That’s the conclusion of a recent Greenpeace report, “The Myth of China’s Endless Coal Demand: A missing market for US Exports.”
“The US coal industry – reeling from sagging domestic demand, plummeting profits, and tanking stock prices – is desperate for a new market for its wares, and it thinks it has found one in China,” Greenpeace says. “But in reality, the Chinese market for US coal exports may dry up before major new US coal shipments ever reach its ports.” Read the rest of this entry »
The idea that shopping malls—and brick and mortar retail establishments in general—are having a tough time due to the growth of online shopping is not particularly new. It’s getting tougher.
It’s true: America has too many malls, too much retail space in those malls, and vacancy rates are increasing. This is due in large part to stagnant consumer demand, but the major factor is the rise of e-commerce. Read the rest of this entry »
So the election is over and we can breathe a sigh of relief. There’s general agreement that jobs are a priority for the coming months and the Sierra Club Magazine has helpfully illustrated where those jobs might come from. The short article and infographic debunks the fossil fuel industry’s well-heeled insistence about the huge loss of jobs that will occur in a switch to a clean energy economy. It’s just not so, according to the club, and its sees big opportunities in the concentrating solar and solar photovoltaic sectors.
Peter and Maria Hoey did the graphic and the text is by Paul Rauber.
Image: From Sierra’s Grapple page.
This is reproduced from Think Progress, by Igor Volsky. Two things – Syria is Iran’s route to the sea? (Didn’t the Mittster even look at a map while preparing for the debate?) And I really like the picture that Think Progress captured.
Enjoy, or something:
1) “Syria is Iran’s only ally in the Arab world. It’s their route to the sea.” Romney has his geography wrong. Syria doesn’t share a border with Iran and Iran has 1,500 miles of coastline leading to the Arabian Sea. It is also able to reach the Mediterranean via the Suez Canal.
2) “And what I’m afraid of is we’ve watched over the past year or so [in Syria], first the president saying, well we’ll let the U.N. deal with it…. Then it went to the Russians and said, let’s see if you can do something.” While Russia and China have vetoed multiple resolutions at the U.N. Security Council on Syria, the United States has also been working through the Friends of Syria group and other allies in the region. Obama’s approach “would essentially give U.S. nods of approval to arms transfers from Arab nations to some Syrian opposition fighters.”
3) “Former chief of the — Joint Chiefs of Staff said that — Admiral Mullen said that our debt is the biggest national security threat we face. This — we have weakened our economy. We need a strong economy. We need to have as well a strong military.” If Romney is worried about the national debt, why does he want to increase military spending from 3.5 percent of GDP to 4 percent? This amounts to a $2.1 trillion increase over a ten year period that the military says it does not need and Romney has no plan to pay for it.
4) “[W]hen — when the students took to the streets in Tehran and the people there protested, the Green Revolution occurred, for the president to be silent I thought was an enormous mistake.” Obama spoke out about the Revolution on June 15, 2009, just two days after post-election demonstrations began in Iran, condemning the Iranian government’s hard-handed crackdown on Iranian activists. He then reiterated his comments a day later in another press conference. Iranian activists have agreed with Obama’s approach.
5) “And when it comes to our economy here at home, I know what it takes to create 12 million new jobs and rising take-home pay.” The Washington Post’s in-house fact checker tore Romney’s claim that he will create 12 million jobs to shreds. The Post wrote that the “‘new math’” in Romney’s plan “doesn’t add up.” In awarding the claim four Pinocchios — the most untrue possible rating, the Post expressed incredulity at the fact Romney would personally stand behind such a flawed, baseless claim.
6) “[W]e are going to have North American energy independence. We’re going to do it by taking full advantage of oil, coal, gas, nuclear and our renewables.” Romney would actually eliminate the fuel efficiency standards that are moving the United States towards energy independence, even though his campaign plan relies on these rules to meet his goals.
7) “[W]e’re going to have to have training programs that work for our workers.” Paul Ryan’s budget, which Romney has fully endorsed, calls for spending 33 percent less on “Education, training, employment, and social services” than Obama’s budget.
9) “Well, Republicans and Democrats came together on a bipartisan basis to put in place education principles that focused on having great teachers in the classroom.” Education experts have faint praise for his proposals while he was governor. “His impact was inconsequential,” said Glen Koocher, executive director of the Massachusetts Association of School Committees. “People viewed his proposals as political talking points, and no one took Romney seriously.”
10) “So I’d get rid of [Obamacare] from day one. To the extent humanly possible, we get that out.” Romney cannot unilaterally eliminate a bill passed by Congress and his plan to grant states waivers may also be a non-starter.
11) “Number two, we take some programs that we are doing to keep, like Medicaid, which is a program for the poor.” Medicaid isn’t just a program for the poor. While it provides health coverage for “millions of low-income children and families who lack access to the private health insurance system,” it also offers “insurance to millions of people with chronic illnesses or disabilities” and is “the nation’s largest source of coverage for long-term care, covering more than two-thirds of all nursing home residents.” Medicaid is also a key source of coverage for pregnant women.
12) “[W]e’ll take [Medicaid] for the poor and we give it to the states to run because states run these programs more efficiently.” A Congressional Budget Office analysis of Paul Ryan’s proposal to block grant Medicaid found that if federal spending for Medicaid decreased, “states would face significant challenges in achieving sufficient cost savings through efficiencies to mitigate the loss of federal funding.” As a result, enrollees could “face more limited access to care,” higher out-of-pocket costs, and “providers could face more uncompensated care as beneficiaries lost coverage for certain benefits or lost coverage altogether.”
13) “Our Navy is old — excuse me, our Navy is smaller now than at any time since 1917…That, in my view, is making — is making our future less certain and less secure. The U.S. Navy is smaller than it was in 1917, but it is not making America less secure. The navy has actually grown in the sheer number of ships under Obama and Romney’s plans to increase shipbuilding is unrealistic. As one historian told PolitiFact, counting the number of ships or aircraft “is not a good measurement of defense strength because their capabilities have increased dramatically in recent decades.” Romney’s comparison “doesn’t pass ‘the giggle test,’” he said.
14) “And then the president began what I have called an apology tour, of going to various nations in the Middle East and criticizing America. I think they looked at that and saw weakness.” Obama never embarked on an “apology tour.”
15) “And I think that when the president said he was going to create daylight between ourselves and Israel, that they noticed that as well.” They haven’t noticed because it’s not true. Israeli Deputy Prime Minister and Defense Minister Ehud Barak told CNN, “President Obama is doing . . . more than anything that I can remember in the past [in regard to our security].” “When I look at the record of President Obama concerning the major issues, security, I think it’s a highly satisfactory record, from an Israeli point of view,” said Israeli President Shimon Peres.
16) “And — and — we should not have wasted these four years to the extent they — they continue to be able to spin these centrifuges and get that much closer.” Obama hasn’t wasted time on Iran. In July 2012, Obama signed into law the most effective sanctions ever put into place against Iran, targeting the country’s oil and financial sectors. These sanctions were imposed unilaterally by the U.S. and come in addition to the four rounds of sanctions the UN has enacted since 2006. Israeli Defense Minister Ehud Barak called the sanctions “very effective,” and Romney has said he would continue them if elected.
17) “I would tighten those sanctions. I would say that ships that carry Iranian oil, can’t come into our ports. I imagine the E.U. would agree with us as well.” Almost no Iranian oil has come into the United States since Ronald Reagan signed an executive order in 1987 banning all U.S. imports from Iran. The nation received a small amount of oil from Iran after the first Gulf War, in 1991.
18) “I see jihadists continuing to spread, whether they’re rising or just about the same level, hard to precisely measure, but it’s clear they’re there. They’re very strong.” Obama’s policies appear to have gravely weakened al Qaeda Central, the lead arm of the organization in Pakistan and Afghanistan principally responsible for 9/11.
19) “It’s not government investments that makes businesses grow and hire people.” The Romney campaign routinely touts government military spending as a way to create jobs and boost businesses.
20) “My plan to get the [auto] industry on its feet when it was in real trouble was not to start writing checks. It was President Bush that wrote the first checks. I disagree with that. I said they need — these [auto] companies need to go through a managed bankruptcy.” Romney’s plan for the auto bailout would have ensured the collapse of the auto industry. In his editorial titled “Let Detroit Go Bankrupt,” Romney advocated for letting the private sector finance the bankruptcy of General Motors and Chrysler. Auto insiders, however, have said that plan was “reckless” and “pure fantasy.”
21) “Research is great. Providing funding to universities and think tanks is great. But investing in companies? Absolutely not.” Ryan’s plan, which Romney has endorsed, “could cut spending on non-defence-related research and development by 5%, or $3.2 billion, below the fiscal-year 2012 budget, according to the American Association for the Advancement of Science. Over the long term, Ryan’s small-government approach would shrink funding for research and development to historically small sizes.”
22) “One is a path represented by the president, which at the end of four years would mean we’d have $20 trillion in debt heading towards Greece.” The U.S. is not headed down a path like that of Greece. Greece, contrary to popular belief, had a revenue problem rather than a spending problem. While its spending was high compared to US standards — 50.4 percent of GDP compared to 38 percent of GDP in the US — its spending was average among European nations. As CAP’s Michael Linden and Sabina Dewan note, “Over the past 10 years, Greece has consistently spent less, as a share of GDP, than the European Union as a whole.” However, it generated less that 40 percent of GDP from revenue — one of the lowest rates in the EU.
23) “I was in a state where my legislature was 87 percent Democrat. I learned how to get along on the other side of the aisle.” Given Romney’s 844 vetoes as governor, Massachusetts legislators dispute this claim. As the New York Times has noted, “The big-ticket items that Mr. Romney proposed when he entered office in January 2003 went largely unrealized, and some that were achieved turned out to have a comparatively minor impact.”
24) “We should key our foreign aid, our direct foreign investment, and that of our friends, we should coordinate it to make sure that we — we push back and give them more economic development.” Romney’s website promises to “Reduce Foreign Aid — Savings: $100 Million.” “Stop borrowing money from countries that oppose America’s interests in order to give it back to them in the form of foreign aid,” it says. In November of 2011, Romney said he would start foreign aid for every country “at zero” and call on them to make their case for U.S. financial assistance.
Something? Anything? Listening to the debates one might think climate change was not an economic, health, safety and security issue worthy of discussion.
It’s really disheartening, but it’s also a pure calculation – apparently both sides believe that there are few if any votes in numbers that matter by talking about climate change, especially in the swing states where the final battles are occurring.
It’s also startling, and historic. Brad Johnson, campaign manager of Forecast the Facts and ClimateSilence.org: “For the first time since 1984, the presidential and vice presidential debates have ignored the threat of climate change. President Barack Obama, Vice President Joe Biden, Governor Mitt Romney, and Representative Paul Ryan have failed to debate the greatest challenge of our time. Climate change threatens us all: the candidates’ silence threatens to seal our fate.”
In the second debate President Obama and Mitt Romney extolled the virtues of coal and natural gas during a sequence on the high cost of gasoline, but they neglected to mention the costs of climate change now and for future generations by relying so heavily on gasoline and fossil fuels for energy, especially “clean” coal. (This just in – there is no such thing as clean coal.)
In the third debate the focus was on foreign policy, a perfect opportunity to weigh-in on the dangers to security and the environment coming from reliance on oil from the most volatile region in the world, which happens to sit on most of the globe’s oil reserves. But no.
The connection between foreign policy, peace, energy, economic and environmental security is real and needs to be addressed – the candidates’ silence on this is dumbfounding and cynical.
[Image: TV screenshot]