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How You Can Tell When the Deficit is a Problem



A Lot More Important Than the Federal Deficit.

A few days ago, I was stuck in the car for a long drive. Because of the complete absence of progressive talk from Orlando’s airwaves, I had no real choice but to listen to the nasal maundering of Mark Levin on the radio. Levin was very upset about the federal deficit.

Interestingly, Levin was a high-level appointee in the Reagan Administration. Dick Cheney, who was Reagan’s Defense Secretary and later the Vice President, said 10 years ago that “Reagan proved deficits don’t matter.”

I must concede that it is rather difficult to reconcile the conflicting statements of these two gentlemen, Messrs. Levin and Cheney. Evidently, they believe deficits are a terrible tragedy when a Democrat is President, and a wonderful gift when a Republican is President.

There has got to be a more objective standard than that.

Here’s one: the federal deficit is a problem when long-term interest rates are high, and not much of a problem when long-term interest rates are low. The Federal Reserve dictates short-term interest rates, but long-term rates still are, pretty much, set by the market, in its usual ruthless fashion. (Which is why James Carville said that after he dies, he “want[s] to come back as the bond market. You can intimidate everybody.”)

When long-term interest rates are high, a federal deficit competes against and “crowds out” private borrowing and investment. When long-term interest rates are low, the federal deficit is not taking away from borrowing by the private sector. On the contrary, the federal deficit is acting as a needed boost to aggregate demand in the economy, an action also known as “fiscal policy.” When the economy is slack, every dollar of reduction in federal spending takes three or four dollars off of our gross national product.

So, by that test, where are we? Well, as I explained last week, long-term U.S. interest rates are at their lowest in history. So what does that tell you about the deficit?

Sorry – I didn’t mention that there was going to be a quiz.

When Ronald Reagan was President, long-term interest rates sometimes exceeded 15% – ten times as high as long-term interest rates today. The market was screaming at the top of its lungs that the Reagan deficit was too high. And today? Silence.

Look around the world. The ten-year note in Greece yields a little less than 30%. Pakistan, 13%. Portugal and Venezuela, 12%. In those countries, the bond market is shouting, “Cut that out!”

Not here.

Thanks to all the deficit-mongering by Mark Levin, Rush Limbaugh, Fox “News,” etc., a lot of Americans are scared by the federal deficit. The advice from Democratic pollsters is to go along with this hand-wringing. But there is an alternative: Explain to the American people when a federal deficit is bad, and when it is not.

Like I just did.

Courage,

Alan Grayson

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Pelosi – House Dems and Congress in the Newsroom JUNE 2012


During LGBT Pride Month, we celebrate how far we’ve come in the fight for civil rights, we pledge to keep working to ensure our nation lives up to the American ideal of equality, our heritage and our hope.

Since the dark days of the Stonewall riots more than four decades ago, millions of Americans have joined the struggle for equal protection under the law; the right to life, liberty, and the pursuit of happiness; respect and dignity for all Americans.

Despite setbacks and obstacles along the way, we have made progress.

Just in recent years, in Congress we passed a fully-inclusive hate crimes law and made historic investments in HIV/AIDS treatment, research, and prevention. The discriminatory “Don’t Ask, Don’t Tell” policy took its rightful place in the dustbin of history. President Obama made it the policy of his administration to no longer defend the shameful Defense of Marriage Act in court.

And we all witnessed history just last month when the President of the United States spoke out in favor of marriage rights for LGBT couples. We look forward to the day when all American families are treated equally in the eyes of the law.

But more must be done. We must keep up the charge for an end to discrimination in all its forms — in the workplace, in schools, in government, and in our laws. We must protect and preserve the rights of all Americans, regardless of sexual orientation.

This LGBT Pride Month, let’s recommit to building a future of freedom, liberty, and progress for LGBT Americans and all Americans.

Thank you.

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 May 17, 2012 by

Democratic Leader Nancy Pelosi spoke on the House floor today in opposition to House Republican’s obstruction of consideration of the McGovern Amendment in the Defense Authorization bill which simply adopts the withdrawal timeline signed by President Obama and Afghan President Karzai earlier this month.

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May 16, 2012 by

Leader Pelosi on the House floor speaking strongly against H.R. 4970, the House GOP version of the Violence Against Women Act (VAWA) Reauthorization. The GOP bill is a partisan bill that provides far fewer protections for domestic violence victims than the strong, bipartisan Senate-passed bill.

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May 10, 2012 by

Leader Pelosi floor speech against House Republican bill to begin implementing their out-of-touch budget for special interests. This GOP reconciliation bill slashes vital services — and the middle class, seniors, women and children will pay the price.

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Apr 27, 2012 by

Leader Pelosi urging House Republicans to act to prevent student loan interest rates from doubling by ending subsidies to Big Oil rather than furthering their assault on women’s health.

~ politics petitions pollution and pop culture

All Women Need Access to Birth Control without Co-pays


National Women's Law Center - My Health Is Not Up for Debate: Protect Reproductive Health
 
 
     
  Your Voice is Crucial  
     
   
     
  Tell HHS all women deserve access to birth control without a co-pay!  
     
  Take Action  
     

Forty-seven years ago today, the Supreme Court’s landmark decision in Griswold v. Connecticut established a right to use contraceptives without interference from the state. It’s hard to believe that nearly a half century later, politicians are still trying to erect barriers to women’s access to affordable birth control.

Tell the Department of Health and Human Services that all women, no matter where they work or go to school, need access to birth control without co-pays or burdensome obstacles.

Last summer, we secured a big victory when all FDA-approved contraceptives were added to the list of preventive health services that all new health insurance plans must cover without a co-pay or deductible. Unfortunately, 335,000 houses of worship received an exemption from the requirement, leaving their female employees without access to this critical benefit.

Now the Department of Health and Human Services (HHS) has proposed an “accommodation” for other religiously affiliated organizations, which would shift the responsibility of providing contraceptive coverage without cost sharing to the insurance companies. HHS is asking for comments and we must make sure that any “accommodation” does not put additional hurdles in the path of women seeking contraception. Employees of religiously affiliated organizations must have access to contraception to the same extent as employees of other organizations and companies.

It’s critical that your voice be heard — submit your comments to HHS today and say that all women must be able to obtain contraceptive coverage without co-pays in the simplest way possible, no matter where they work or go to school.

It’s only by raising our voices together that we can protect women’s health. Thank you for all you do.

Sincerely,
 
Judy Waxman   Judy Waxman
Vice President for Health and Reproductive Rights
National Women’s Law
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Youtube – Korean Americans – Women’s Health – President Obama


President Obama calls on Congress to pass the bipartisan, paid-for ideas that he proposed last year to put construction workers back to work upgrading our roads and bridges, teachers back in the classroom educating our kids and police and firefighters back on the job keeping our communities safe, and addresses the state of the economy, including the situation in Europe, which continues to pose headwinds to our recovery here at home. June 8, 2012.More

 

President Obama calls on Congress to stop interest rates from doubling on student loans, and discusses his Administration’s initiatives to keep college affordable for students and their families. June 7, 2012.More
 
 
 

This week, the President traveled to Honeywell International in Minnesota, to highlight efforts to help veterans find good paying jobs, urged Congress to support the Paycheck Fairness Act and to not let interest rates double on student loans on July 1st. That’s June 1st to June 7th or “Roll up our sleeves and never quit.”More
 
 
 
U.S. Secretary of Health & Human Services, Kathleen Sebelius, senior White House Officials, and a diverse array of media, organizations, groups and stakeholders engage in an open dialogue about women’s health care and the Affordable Care Act. June 7, 2012.More
 
 
 

The White House Office of Public Engagement and The Council of Korean Americans host a briefing for Korean American community leaders to discuss issues of importance to the Korean American community, including foreign policy, immigration, human rights, small business, education, civil rights, and trade. June 7, 2012.More
 

The White House Office of Public Engagement and The Council of Korean Americans host a briefing for Korean American community leaders to discuss issues of importance to the Korean American community, including foreign policy, immigration, human rights, small business, education, civil rights, and trade. June 7, 2012.More
 
 
~ politics petitions pollution and pop culture

a message from AL Franken … Repeal DOMA


Hear that sound? That’s momentum — our fight for marriage equality is building steam.

We knew the Defense of Marriage Act was discriminatory. We knew it was wrong. But an appeals court in Boston just ruled that it’s unconstitutional, too.

Meanwhile, in the wake of President Obama’s endorsement of same-sex marriage, polls show that more and more Americans are ready for a country where the law treats all loving, committed relationships equally.

And here in Minnesota, surveys show that we have a great chance to defeat an anti-equality constitutional amendment — a victory that would be the first of its kind if we can pull it off.

This is the perfect time to help us keep building momentum by signing on to my petition to overturn the Defense of Marriage Act —   click here to add your name today!

We still have a long way to go. Change is hard — even without right-wing groups spending lots of money to stop it from happening. We’re fighting uphill — here in Minnesota and around the country.

But the momentum is on our side. It’s just a matter of time before we end marriage discrimination in America. Well, time and hard work.

A generation from now, marriage equality will be the law of the land. And you’ll be able to look back on this moment and know that you helped to build momentum in this fight — that, because of you, America is a fairer country.

Click here to help me fight for marriage equality today!

Thanks,

Al

P.S.: My ‘extra ask in the P.S.’ is even more important when we’re fighting for equality. Join in the fight to end DOMA today.