Can the US Ever Recover from the Trump Era?

by Nomad

There's no question that Trump has left his mark on America. Nobody could argue with that.
As we steel ourselves for horror show election of 2020, it is not too early to reflect on what Trump has already done to America.

The Symptom and the Cause

In terms of US foreign policy alone, this administration has been an utter disaster. Take foreign policy, as Professor of Strategic Studies at Johns Hopkins University, Eliot A. Cohen, observes:

[The] surface-level calm of the last two years should not distract from a building crisis of U.S. foreign policy, of which Trump is both a symptom and a cause. The president has outlined a deeply misguided foreign policy vision that is distrustful of U.S. allies, scornful of international institutions, and indifferent, if not downright hostile, to the liberal international order that the United States has sustained for nearly eight decades.

It goes deeper than upending the world order.

Here's Why Trump's Choice For His Finance Manager Should Make Your Blood Boil

by Nomad

If you -or somebody you know- happened to be one of the thousands of victims of home foreclosure in the wake of the economic meltdown of 2008, here's why Donald Trump's choice for his finance manager, Steven Mnuchin, is a slap in your face.

In fact, all Americans ought to be furious.

Trump's Wall Street Hypocrisy

Days after locking up the Republican presidential nomination in May, Donald Trump named Steven Mnuchin as his national finance chairman.

The press release states that Mnuchin "has previously worked with Mr. Trump in a business capacity and brings his expertise in finance to what will be an extremely successful fundraising operation for the Republican Party." 

In many ways, it was a bewildering and disturbing choice for a candidate who had consistently portrayed himself - to his angry middle-class supporters- as a bitter foe of Wall Street excesses. 

Indeed, Wall Street once trembled at the possibility of Trump getting the nomination. Months before, in September 2015, one political strategist put it like this :

"He has bought into the populist rhetoric that Wall Street is greedy and makes too much money...He sounds more anti-Wall Street than Elizabeth Warren."

That was, of course, before Trump was officially crowned the Republican nominee. After the GOP nomination was sealed up, Trump surprised everybody by jumping in bed with the very people he had castigated.

Goldman, Sachs in the Mnuchin Bloodline

After all, Mnuchin's connections to Wall Street are practically genetic. His father, Robert E. Mnuchin, spent a greater part of three decades on Wall Street at Goldman, Sachs & Company. He was, in fact, one of the pioneers of the institutional equity trading business in the 1960's. Before his retirement in 1990, Robert Mnuchin was "one of the most important figures in the equities business."

(Incidentally, Investopedia cites a crash in equity trading as major factors in two periods of economic decline, the Great Depression of 1929 and the Great Recession of 2008.)

Czar Vladimir: How Putin Wasted Russia's Best Chance for a Liberal Democracy 2 / 3

by Nomad

In Part One of this three-part series, we examined how the fall of the Soviet Union should have provided Russia with its best hope for liberal democracy.

In this part, we will look at how Vladimir Putin's autocratic tendencies and hi use of Russian nationalism was a wrong turn for the nation.

Stability, Nostalgia and Nationalism

In some sense, it was inevitable that Putin would make use of Russian nationalism to unify Russia. In the end, there are only two responses when you lose your empire: Acceptance or something else. 

The "something else" in the Russian case was not gradual acquiescence and recognition that a new way of thinking had to emerge. What happened was a defensive surge in Russian nationalism, a return to stabilizing traditions and conservative values.  After years that threatened to tear the nation apart, Russian citizens yearned for stability and something in return for lost prestige. 

This reaction coincided with the rise of Vladimir Putin who promised security and stability. Former Soviet leader Mikhail Gorbachev credited Putin with having "pulled Russia out of chaos." 

That's probably not inaccurate. It was, however, a stability required some sacrfices when it came to civil liberties, transparency and human rights.

Why University Students are Becoming America's Latest Victims of Homelessness

by Nomad

Although we probably all have a stereotype of the homeless, a closer look often reveals that the victims are not so different than you or me. Here's one example.

The Newest Demographic

In this month's Rolling Stone, Rebecca Nathanson writes that our nation's best and brightest are quickly becoming casualties to homelessness. (see link below)

Last year, more than 56,000 students identified as homeless on the Free Application for Federal Student Aid, or FAFSA, form. But the real number of homeless students is almost certainly higher:

As remarkable and disappointing as that figure might seem, that number doesn't include those students who are ineligible to qualify as homeless because the lack of proof, (such as verification from a shelter.)

Additionally, the figure also doesn't represent the large number of college students whose living arrangements are unstable and insecure. To be sure that's a different form of homelessness, which may mean sleeping in one's car, a campus library or being a guest with friends.

The Browder Affair and the Death of Russian Economic Reform 1/3

by Nomad

Here's a three-part post on the investor who led a crusade to clean up corrupt newly-privatized companies in Russia. The Browder affair ended up leading to an international crisis, the death of one man, another man in fear for his life. 

Meet William Browder, once the head of a London-based investment fund called  Hermitage Capital Management. In his prime, Browder became the poster child for a new kind of investor, one that was ready to seize the moment and jump into the emerging Russian market.  At one time, it was considered where bold investors went.

Today, Browder is  reportedly in fear of being kidnapped by Russian criminal syndicates working with the Kremlin. His story may sound like a thriller novel but it also serves as a warning to any foreign investor thinking about doing business in Russia. 

The Backstory

The story William Browder, it has been said, reads like a real-life LeCarre novel. It is, in fact, much more than that. In many ways, the Browder case reflects everything that went wrong with the hope and promise of Russia in the post-Soviet era. 

Browder is, without question, a complex character. It's in his genes. He is the grandson of Wichita-born Earl Browder. (Another biography made for film) Earl was certainly a man of strong political beliefs when to be a Communist was a dangerous thing to be.

During World War I Browder served time in federal prison as a conscientious objector to conscription and the war. Later he became a union organizer and later in 1927 went to Moscow, married a Russian woman named Raissa. Afterward, upon his return to the US, Earl became the head of the Communist Party in the United States.

Around 1933, Earl was already warning.

"There is little doubt that Hitler will rearm Germany and, with the help of the Western capitalist powers, unleash war against the Soviet Union."

Felix Browder, Earl's son, and father of the subject of this story became a noted Princeton mathematician.
From those roots, Earl's grandson, William Browder, drew his impeccable credentials as a hybrid communist-capitalist for the post-Soviet age.

Russian Governor Decides Banning a Word is One Way to Deal with Economy in Free Fall

by Nomad

When you happen to live in a country where the media is under the near-absolute control of the government, how would you know with utter certainty that your motherland is in the middle of a major crisis? 
It's all very simple, comrade.

An Inconvenient Moment 

An article in Russia Today provides us with the answer to the question above. While the world's news media are using words like "free-fall" and "meltdown" to describe the present state of the Russian economy, some officials inside the country have found a novel way to control the discussion:

Authorities in the Central Russia’s Kaluga Region have banned the use of the word ‘crisis’ in public and the measure is already helping to attract investors, according to the local governor.

The governor of Kaluga Oblast, Anatoly Artamonov, told the Russian News Service  

“It is possible that the crisis exists, but we forbid the use of this word.”

Artamonov preferred to use the term  "an inconvenient moment" to describe the historic crash of the Russian currency, which, despite all efforts by the Central Bank, has plunged more than 20% in just one day.

A Nation Adrift: Studies Confirm The Slow Sinking of the US Middle Class

by Nomad

Due to economic policies of going back 30 years, studies show, the American middle-class is withering on the vine. While the US may still be the richest country in the world, that wealth has not trickled down to the middle class at all, compared to other nations. The effects of this shrinkage of the middle class could spell big trouble in America's future. 

Falling Behind

Most of us have known for quite some time now but a New York Times article has recently confirms the fact. According to an analysis of the numbers based on surveys reviewing the last 35 years, figures show that across the lower- and middle-income tiers, citizens of other advanced countries have received considerably larger raises over the last three decades.
In other words, the impact of income inequality based on flawed policy is driving Middle-class families to the point of extinction.

The numbers, based on surveys conducted over the past 35 years, offer some of the most detailed publicly available comparisons for different income groups in different countries over time. They suggest that most American families are paying a steep price for high and rising income inequality.

Hardly startling news, of course, but the proof is fairly conclusive when compared to other countries. 
If studies are anything to go by, then it isn't that America overall is being poorer, only that the middle-class is withering away. The top half of the income scale is still wealthier than any other nation. Indeed, when it comes to global economic growth, America is still a powerhouse, but that's not the problem. The problem is the middle class is clearly not benefiting. 

While America might remain the most wealthy country in the world, the actual distribution of that wealth has changed considerably since our parents' day. As a New York Times article explained:

With a big share of recent income gains in this country flowing to a relatively small slice of high-earning households, most Americans are not keeping pace with their counterparts around the world.

And a comparison of nations makes pretty grim reading. While median income has risen in other countries, in the US, adjusting for inflation, median income per capita has remained virtually unchanged since 2000.

The same measure, by comparison, rose about 20 percent in Britain between 2000 and 2010 and 14 percent in the Netherlands. Median income also rose 20 percent in Canada between 2000 and 2010, to the equivalent of $18,700. Other income surveys, conducted by government agencies, suggest that since 2010 pay in Canada has risen faster than pay in the United States and is now most likely higher. Pay in several European countries has also risen faster since 2010 than it has in the United States.

The cause of the decline are obvious but that doesn't mean they are easy to fix. There will be no quick fixes. It will take compromise and concerted effort to reverse the trend. 

That's something that seems to be in short supply in Washington.  

Of Coaches and Presidents: How the Corporatization of Universities Destroys Higher Education

by Nomad

Here's an info-graphic that blew my mind- which isn't all that easy to blow anymore.

The accompanying article explains:

Based on data drawn from media reports and state salary databases, the ranks of the highest-paid active public employees include 27 football coaches, 13 basketball coaches, one hockey coach, and 10 dorks who aren't even in charge of a team.

However, the writer cautions about jumping to conclusions. The salaries are generally drawn from money made from sporting events, rather than from the taxpayers. The rebuttal often heard when it comes to coaching salaries is that the system pays for itself.

Nevertheless, you should still be concerned.

The Incredible Hoax of Reaganomics- Trickle-Down 2/3

by Nomad

In Part One of this series, we looked at David Stockman, Reagan's budget adviser and his candid assessment back of Reagan's application of supply-side economics, better known as the trickle-down theory. Now let's take a look at the intellectual origins of the idea.

Plutocracy is abhorrent to a republic; it is more despotic than monarchy, more heartless than aristocracy, more selfish than bureaucracy. It preys upon the nation in time of peace and conspires against it in the hour of its calamity.

Horse and Sparrow Theory

History is sometimes a fickle thing. Often it remembers those who should probably be forgotten while forgetting those who, for one reason or another, deserve our lasting appreciation.

William Jennings Bryan is one of those people who was quite popular in his time but has now been largely consigned to unread records. However, not unlike his contemporary, Teddy Roosevelt, Bryan’s words and thoughts, once considered fixed to a particular time and particular circumstance of American history, seem to be suddenly just as apt in our own times.

Born in 1860 in Salem, Illinois, Bryan was a gifted orator of his day and as an American political figure,, ran three times for president in the liberal wing of the Democratic Party. Bryan never won the presidency but eventually became Woodrow Wilson’s Secretary of State in 1913. 

His name is familiar in some circles because of his role in the famous Scope’s “Monkey Trial” in which he argued against the teaching of evolution in public school. Although he was left humiliated after being called to the stand himself to defend religion against science, Bryan, in fact, he won the case; the teacher was found guilty of breaking the law but the verdict was later overturned on a technicality. For that to be his only claim to fame is a pity. He appears to have much to say to our present age.