The Obama White House is waffling on the public option and making piecemeal deals with providers, as hospitals now agree to sacrifice $155 billion over 10 years toward the cost of insuring 47 million Americans without coverage.
With the Administration conceding it "won't draw a line in the sand" and citing the Bush prescription-drug benefit in 2003 as a precedent, real health care reform is receding into a politics-as-usual charade to give the illusion of Change while making marginal improvements.
Now, the catch phrase is "trigger mechanism" that would let a public plan come into play when "competition was judged to be lacking," an evasion of breathtaking vagueness.
With Ted Kennedy on the sidelines, the Senate Health, Education, Labor and Pensions Committee is weakened in its efforts to push for an immediate public plan, but rhetoric is still strong.
Sen. Chuck Schumer is emoting: "If it's not there on day one, those of us who support a public option have a real problem with it."
Not exactly "We have just begun to fight," but with true reform approaching critical condition, the vital signs are growing weaker. Those who want to rage against the dying of the light had better make their voices heard soon.
Showing posts with label Sen. Chuck Schumer. Show all posts
Showing posts with label Sen. Chuck Schumer. Show all posts
Tuesday, July 07, 2009
Friday, January 23, 2009
Bad Banks, Worse Choices
The attempt to save the banking system is looking more and more like a suicide mission for the US government as estimates of bad loans rise above $3 trillion.
* Losses may reach $3.6 trillion, according to New York University Professor Nouriel Roubini, who predicted last year’s economic crisis. “If that’s true," he says. "it means the US banking system is effectively insolvent because it starts with a capital of $1.4 trillion. This is a systemic banking crisis.”
*At confirmation hearings for the new Treasury Secretary, Sen. Chuck Schumer reveals that Wall Street sources tell him that, if the government wants to clean out all the toxic assets from the financial system, it will cost $3-4 trillion dollars..
*Financier George Soros criticizes the "bad bank" solution of taking troubled assets off balance sheets.
Such measures, he says, would provide "artificial life support for the banks at considerable expense to the taxpayer, but would not put the banks in a position to resume lending at competitive rates."
He argues instead for "partially nationalizing" banks, which "would inflict great pain on a broad segment of the population--not only on bank shareholders but also on the beneficiaries of pension funds" but "would clear the air and restart the economy."
For non-economists, this has the makings of a headache-inducing debate in the coming weeks. When Congressional politicians (pace John Boehner) get into it, there will be a lot of garbage talk about socialism, free markets, tax cuts, etc--all of it beside the point as the financial system teeters at the edge of an abyss.
If President Obama's economic team decides to try for long-range answers rather than Paulsonish quick fixes, it's going to take all his eloquence to get the public and legislative support needed to start on them.
* Losses may reach $3.6 trillion, according to New York University Professor Nouriel Roubini, who predicted last year’s economic crisis. “If that’s true," he says. "it means the US banking system is effectively insolvent because it starts with a capital of $1.4 trillion. This is a systemic banking crisis.”
*At confirmation hearings for the new Treasury Secretary, Sen. Chuck Schumer reveals that Wall Street sources tell him that, if the government wants to clean out all the toxic assets from the financial system, it will cost $3-4 trillion dollars..
*Financier George Soros criticizes the "bad bank" solution of taking troubled assets off balance sheets.
Such measures, he says, would provide "artificial life support for the banks at considerable expense to the taxpayer, but would not put the banks in a position to resume lending at competitive rates."
He argues instead for "partially nationalizing" banks, which "would inflict great pain on a broad segment of the population--not only on bank shareholders but also on the beneficiaries of pension funds" but "would clear the air and restart the economy."
For non-economists, this has the makings of a headache-inducing debate in the coming weeks. When Congressional politicians (pace John Boehner) get into it, there will be a lot of garbage talk about socialism, free markets, tax cuts, etc--all of it beside the point as the financial system teeters at the edge of an abyss.
If President Obama's economic team decides to try for long-range answers rather than Paulsonish quick fixes, it's going to take all his eloquence to get the public and legislative support needed to start on them.
Thursday, September 25, 2008
$700 Billion or Bust? Why?
The nagging questions are how the Bush Treasury Department arrived at that sacrosanct figure, why it's not negotiable and what's wrong with authorizing it in installments.
Sen. Chuck Schumer, who comes from a tradition of never buying retail when there's an alternative, asked Henry Paulson why it would not make sense to put $150 or so billion into the markets and see what happens but got a bristling rebuke:
"I think that would be a grave mistake," Paulson answered. "This is about market confidence and the tools to do the job," he added, insisting he needed the full amount to deal with unanticipated contingencies.
Unanticipated? That's an apt description of the entire mess that his Treasury Department was slow to recognize but now claims with absolute certitude that it knows how to clean up, but only if taxpayers commit an enormous amount to a lame-duck Administration, no questions asked.
But, to the credit of Congress, members are not responding meekly to the pre-election panic this time as they did to the 2002 resolution to invade Iraq, but are negotiating for oversight and transparency, executive pay limits and equity interest on taxpayers’ behalf as well as a provision to allow bankruptcy judges to revise mortgage terms.
Their constituents should be urging them to adjust the price tag too to keep from tying the hands of the new President and Congress by giving away the store now.
This morning, President Bush will be trying to make his last sale in office to Barack Obama and John McCain but, to the credit of both, there are signs that they won't buy in whole-heartedly.
Paulson has no sure way of knowing how much is needed to calm the credit markets but, like his leader, is stubbornly arguing that he should be the Decider, even though he will be long gone if and when he turns out to be wrong.
Sen. Chuck Schumer, who comes from a tradition of never buying retail when there's an alternative, asked Henry Paulson why it would not make sense to put $150 or so billion into the markets and see what happens but got a bristling rebuke:
"I think that would be a grave mistake," Paulson answered. "This is about market confidence and the tools to do the job," he added, insisting he needed the full amount to deal with unanticipated contingencies.
Unanticipated? That's an apt description of the entire mess that his Treasury Department was slow to recognize but now claims with absolute certitude that it knows how to clean up, but only if taxpayers commit an enormous amount to a lame-duck Administration, no questions asked.
But, to the credit of Congress, members are not responding meekly to the pre-election panic this time as they did to the 2002 resolution to invade Iraq, but are negotiating for oversight and transparency, executive pay limits and equity interest on taxpayers’ behalf as well as a provision to allow bankruptcy judges to revise mortgage terms.
Their constituents should be urging them to adjust the price tag too to keep from tying the hands of the new President and Congress by giving away the store now.
This morning, President Bush will be trying to make his last sale in office to Barack Obama and John McCain but, to the credit of both, there are signs that they won't buy in whole-heartedly.
Paulson has no sure way of knowing how much is needed to calm the credit markets but, like his leader, is stubbornly arguing that he should be the Decider, even though he will be long gone if and when he turns out to be wrong.
Tuesday, November 06, 2007
Making Do With Mukasey
An old saying, "The perfect is the worst enemy of the good enough," comes to mind in the Senate struggle over the nomination of Michael Mukasey to replace Alberto Gonzales as Attorney General.
As the best choice we are likely to get from the Bush thugs who trashed the Justice Department, his confirmation would make more sense than holding it up with a prolonged debate over the legality of torture. That question can be settled by a Congressional vote to ban it.
Sen. Chuck Schumer, in a New York Times Op Ed today, points out, "There is virtually universal agreement, even from those who oppose Judge Mukasey, that he would do a good job in turning the department around."
Schumer adds: "Judge Mukasey’s refusal to state that waterboarding is illegal was unsatisfactory to me and many other members of the Senate Judiciary Committee. But Congress is now considering--and I hope we will soon pass-- a law that would explicitly ban the use of waterboarding and other abusive interrogation techniques. And I am confident that Judge Mukasey would enforce that law."
As compromises go, this is far from the worst in recent memory. At the risk of re-opening old wounds, we might recall the purists who voted for Ralph Nader over Al Gore in 2000 and gave us George Bush and this mess, among so many others.
As the best choice we are likely to get from the Bush thugs who trashed the Justice Department, his confirmation would make more sense than holding it up with a prolonged debate over the legality of torture. That question can be settled by a Congressional vote to ban it.
Sen. Chuck Schumer, in a New York Times Op Ed today, points out, "There is virtually universal agreement, even from those who oppose Judge Mukasey, that he would do a good job in turning the department around."
Schumer adds: "Judge Mukasey’s refusal to state that waterboarding is illegal was unsatisfactory to me and many other members of the Senate Judiciary Committee. But Congress is now considering--and I hope we will soon pass-- a law that would explicitly ban the use of waterboarding and other abusive interrogation techniques. And I am confident that Judge Mukasey would enforce that law."
As compromises go, this is far from the worst in recent memory. At the risk of re-opening old wounds, we might recall the purists who voted for Ralph Nader over Al Gore in 2000 and gave us George Bush and this mess, among so many others.
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