Our guest blogger is Sen. Chris Dodd (D-CT), chairman of the Senate Committee on Banking, Housing, and Urban Affairs.
As you are no doubt aware, Senator Patty Murray (D-WA) and I sent a letter to President Bush a little over a week ago calling for Housing and Urban Development Secretary Alphonso Jackson’s resignation. Earlier today he announced his resignation. While a shift in the Administration at such a critical time is never optimal, I do believe it was the right thing to do.
In this time of economic crisis and instability in the housing market, it is more important than ever that we have a HUD Secretary who is fully committed to addressing the challenges facing our economy. Given that Secretary Jackson is currently the subject of ongoing investigations into alleged misconduct at HUD, it became clear to me over the past few weeks and months that these investigations have been a distraction at a time when the HUD Secretary must devote his undivided attention to helping American homeowners.
Now, more than ever, we need a HUD Secretary who can devote his full energy to solving our nation’s housing crisis. It is my hope that the new HUD Secretary the President appoints will be ready and anxious to tackle the problems in our housing market through collaboration with the Senate Banking Committee and other federal entities. We need all hands on deck to address the problems of the mortgage industry and the Americans whose budgets are being stretched to the limit by rising mortgage payments and cost-of-living increases. New leadership at HUD will help renew our focus on the country’s economic problems, and aid our attempts to restore confidence in the housing market.
Thanks again for the opportunity to share my thoughts with you here today, and I look forward to contributing in the future.
– Chris Dodd
Our guest blogger is James Kvaal, Domestic Policy Advisor at the Center for American Progress Action Fund.
Inside the Beltway, the housing crisis is finally hitting home: the value of Ben Bernanke’s home has fallen by $250,000 in the last few years.
Maybe that’s why Bush officials are finally considering steps to rescue struggling homeowners. According to today’s Washington Post, their idea is to move families into new, more affordable mortgages backed by public funds, similar to proposals from Rep. Barney Frank and the Center for American Progress.
Details aren’t available for a week or longer, and the plan is expected to help far fewer families than the 2 million reached by the Frank plan. Still, it’s an encouraging sign the Bush officials are finally recognizing the need to get beyond conservative ideology.
So when will John McCain get on board? Last week Sen. McCain pleaded with lenders to voluntarily help homeowners – like Bush officials have tried unsuccessfully for more than six months. If he stays on his current schedule, we can expect him a real housing plan sometime around September.
Speaking to the conservative Young America Foundation at George Washington University last Friday, Karl Rove adamantly defended John McCain’s remark that the U.S. should stay in Iraq for 100 years, claiming that McCain’s been taken out of context:
What Senator McCain was talking about was the projection of American power to maintain stability in a dangerous and difficult part of the world. And he was precise and detailed in his explanation.
Watch it:
The conservative establishment has rallied around a similar interpretation of McCain’s “100 years” remark. In the Washington Post last Friday, Charles Krauthammer called the claim that McCain wants to fight in Iraq for 100 years “a dirty lie.” Krauthammer wrote that Iraq would become, like neighboring Kuwait, a place from which the United States currently “projects power and provides stability for the entire Gulf and for the vulnerable U.S. allies that line its shores.”
In this morning’s New York Times, Bill Kristol praised McCain for choosing “to tell Americans the hard and unpopular truths that we’ll be there [in Iraq] for a while, and that there’s no sacrifice-free path to defeating our enemies and securing a lasting peace.”
National Review’s Kathryn Jean Lopez suggested that McCain’s remark was “sensible,” and that the attacks indicate that Democrats “don’t get the war we’re in.”
Of course, the opposite is true. It’s Karl Rove who doesn’t get that we weren’t mired in a German civil war five years after the end of World War II. It’s Charles Krauthammer who doesn’t get that Kuwait is not Iraq, and that if we’d spent years bombing their country and kicking down their doors in the middle of the night, the Kuwaitis would want us to leave, just as the Iraqis do. And it’s John McCain who doesn’t get that his neoconservative vision of using Iraq as a base from which to project U.S. power is a fantasy, because he doesn’t get that any Iraqi government that agrees to a hundred-year U.S. presence in Iraq will never be seen as legitimate by the Iraqi people, and thus will require the presence of U.S. forces to ensure its government. But we already know that “that’s fine” with John McCain.
McCain has tried to explain his 100 years remark by saying that “the war will be over soon“:
…Although the insurgency will go on for years and years and years. But it’ll be handled by the Iraqis not by us. And then we decide what kind of security arrangement we want to have with the Iraqis.
It’s unclear, exactly, how McCain differentiates between “the war” and “the insurgency,” or when he thinks the insurgency will end so that the hundred years of peace will begin.
Today, former Vice President Al Gore and his organization, the Alliance for Climate Protection, launched a $300 million, three-year campaign with the goal of “educating people in the US and around the world that the climate crisis is both urgent and solvable.” The Washington Post reports that the “We” campaign “aims to enlist 10 million volunteers through a combination of network and cable commercials, display ads…and online social networks.” Gore told 60 Minutes he and his wife Tipper had donated the Nobel Peace Prize money and all the profits from his documentary, “An Inconvenient Truth,” to this new campaign.
The campaign’s website, wecansolveit.org, includes action alerts, blogger outreach, and the message of a “clean energy economy” fueled by energy efficiency and renewable energy.
The campaign will launch TV advertisements later this week that “will team up offbeat celebrity couples who may not have much in common but share a belief that it is important to address climate change,” including Speaker of the House Nancy Pelosi (D-CA) and former Speaker Newt Gingrich, Al Sharpton and Pat Robertson, and the Dixie Chicks and Toby Keith. Sign up for the campaign, and watch its debut ad:
The Alliance’s spending of $100 million per year on a public advocacy campaign may be without precedent. However, the public is being bombarded with propaganda from the industries whose emissions are causing global warming and thus have the most to lose — or gain — from how the United States regulates greenhouse gas pollution. Here’s a look at what Gore’s campaign is up against:
Our guest blogger is Robert Gordon, a Senior Fellow at the Center for American Progress Action Fund.
In a nice sequel to Bob Novak’s proposal that John McCain cut the payroll tax, Bill Kristol today writes that McCain might “suggest taxing ‘carried interest’* as ordinary income, if only to watch the fur fly among hedge-fund fat cats.”
This is a good idea that conservatives hated less than a year ago. Grover Norquist said “it’s crystal clear” that taxing carried interest “violates the Federal Taxpayer Protection Pledge.” Paul Weyrich called the idea “a huge tax increase.” And the Club for Growth said it was a “tax hike” and a “war on prosperity.”
John McCain has waffled on “no new taxes,” but he has regularly said that he won’t propose any tax hikes. Under the standard conservative definition, this is a tax hike. Yet Kristol is urging him to consider it…. probably because McCain’s true conservative tax plan will be spectacularly unappealing for most voters.
More gymnastics to come.
*Carried interest is the share of profits that is earned by a hedge fund manager without a corresponding ownership stake in the hedge fund. Carried interest is usually the manager’s core compensation, but it is taxed at the lower capital gains rate, not the ordinary income rate.
Today John McCain posted a new television ad featuring his promise of “Middle Class Tax Relief.” Watch it:
Here’s a closer look at the details of McCain’s tax relief plan:
– Provides only 9 percent of its benefits to the bottom 80 percent of taxpayers
– Provides 58 percent of its benefits to the top 1 percent
– Would require, if paid for, massive cuts in benefits for middle-class taxpayers
So…what middle class tax relief!??!
With U.S. forces joining the fight against the Mahdi Army in Baghdad, the Bush administration’s current Iraq policy is to back the Iraqi political faction (led by Prime Minister Nouri al-Maliki and Abd al-Aziz al-Hakim) most closely allied to Iran against the faction of Muqtada al-Sadr. Sadr’s nationalist credentials have proved a difficult hurdle for former exiles Maliki and Hakim, and their parties haven’t been able to establish much political support in Iraq both because of the Iraqi government’s continuing corruption and failure to deliver basic services, and because they are seen as puppets either of Iran or the U.S., or both. The U.S. likes them, though, because they bless the U.S. presence in Iraq. And the U.S. dislikes Sadr because he has, since the 2003 invasion, consistently demanded a U.S. withdrawal.
As to why the Maliki government decided that now was the time to go against Sadr’s loyalists, it might have something to do with Dick Cheney’s visit to Iraq a few weeks ago. Here’s why:
On February 13, after a long, bitter debate, the Iraqi parliament passed a package of three laws dealing with the budget, amnesty for detainees, and a provincial powers law that “paved the way for elections in October.” The legislation was hailed in the U.S. media as a major political breakthrough.
On February 27, Iraq’s three-man presidency council then vetoed the provincial powers legislation, putting a serious crimp in the “political progress” narrative. The person who insisted on the veto was Shia Vice President Abdul Mehdi, a member of ISCI, because his party understood that they were/are not yet in a position to defeat the Sadrists (or Fadhila, a Sadrist offshoot powerful in and around Basra) in elections, and stood to lose big.
On March 17, Cheney made a surprise visit to Iraq, meeting with Maliki and Hakim and stressing political unity.
On March 21, the presidential council reversed its veto of the provincial powers law.
On March 25, Iraqi forces begin moving against Mahdi Army elements in Basra.
Given Maliki’s dependence on the U.S. for the survival of his government, I’m skeptical of claims by the Bush administration that “Maliki decided to launch the offensive without consulting” them. At the risk of offering a conspiracy theory, it’s very possible that, in exchange for withdrawing the veto and giving Bush something which he could present to Americans as “progress in Iraq,” Cheney gave a nod to Maliki and his ISCI allies to try to get by force what they knew they could not get by ballot: Victory against the Sadrists.
That’s not working out so well. The last four days of intense fighting have shown just how tenuous were the successes of the surge, and how dependent these successes were upon the willingness and ability of Muqtada al-Sadr to keep his movement in check.
A February report by the International Crisis Group correctly predicted this outcome:
The U.S. response [to Sadr’s cease-fire]– to continue attacking and arresting Sadrist militants, including some who are not militia members; arm a Shiite tribal counterforce in the south to roll back Sadrist territorial gains; and throw its lot in with Muqtada’s nemesis, ISCI – is understandable but short-sighted. The Sadrist movement, its present difficulties aside, remains a deeply entrenched, popular mass movement of young, poor and disenfranchised Shiites. It still controls key areas of the capital, as well as several southern cities; even now, its principal strongholds are virtually unassailable. Despite intensified U.S. military operations and stepped up Iraqi involvement, it is fanciful to expect the Mahdi Army’s defeat. Instead, heightened pressure is likely to trigger both fierce Sadrist resistance in Baghdad and an escalating intra-Shiite civil war in the south.
Despite Bush’s praise for Prime Minister Maliki’s “bold decision…to go after the illegal groups in Basra,” presenting this as “the Iraqi government against sectarian militias,” is wrong. This is another episode in an intra-sectarian conflict that has gone on since 2003, with different Shiite militias competing for the spoils on behalf their respective political machines.
As Eric Martin points out, despite Maliki’s claim that his goal is to rid Basra of militias, Iraqi security forces have focused on one militia: The Mahdi Army. ISCI’s militia, the Badr Organization, (which was founded in Iran and trained by the Iranian Revolutionary Guard Corps) has largely incorporated itself into the Iraqi Security Forces, and has elements acting independently as well as under the aegis of the Iraqi state, both of which are fighting together in Basra against the Mahdi Army. This is clearly a(nother) misguided attempt to crush Sadr, and, it seems likely that, as in previous episodes, he will win simply by not losing.
UPDATE: Ilan Goldenberg is skeptical of the Cheney Theory, pointing to the Washington Post’s note that “Maliki decided to launch the offensive without consulting his U.S. allies, according to administration officials.” Ilan writes:
Still, the reason I don’t buy this theory is that the timing makes no sense whatsoever from a domestic political perspective. If there was a quid pro quo, the Bush Administration would have asked for a waiting period until after the Petraeus Crocker testimony. Why go with such a high risk operation a week before the progress report to Congress? Makes no sense. This Administration is pretty incompetent about a lot of things, but for the most part they seem to understand political timing.
Eric Martin is skeptical of Goldenberg’s skepticism and writes:
It is…entirely possible that the adminstration official quoted in the article was telling the truth…as she/he knew it. There has been a perculiar pattern of secrecy within the Bush administration (not just vis-a-vis outsiders) such that the Secretary of State might be pursuing some policy without telling the Secretary of Defense or Vice President, and vice versa (with the POTUS included on a need to know basis - which is rarer than it should be).
Our guest blogger is James Kvaal, Domestic Policy Advisor at the Center for American Progress Action Fund.
Later today, Sen. John McCain (R-AZ) will visit the Petroleum Club of Denver to pick up a stack of cash for his presidential campaign. He should get a warm welcome from the oil and gas executives who show up.
The centerpiece of Sen. McCain’s plan to stimulate the economy — actually, the whole plan — is large tax cuts for corporations. It would deliver $3.8 billion in tax cuts to the five largest American oil companies, according to an analysis released today by the Center for American Progress Action Fund.

The analysis only looked at one of the McCain corporate tax breaks: the proposal to cut the top corporate tax rate from 35 percent to 25 percent. Read the whole analysis here.
Tonight Sen. John McCain (R-AZ) is flying into Denver to scrounge up cash at a $25,000 apiece “roundtable” followed by a $1000-a-head ($2300 with a “Photo Opportunity”) fundraiser at the Denver Petroleum Club. McCain’s choice of venue is singularly appropriate, as his campaign is being funded and run by Big Oil lobbyists. As global warming, skyrocketing oil prices, and a failing economy create an interlinked energy crisis, McCain has repeatedly failed to put the people’s interests before those of the fossil-energy industry.
Since launching his campaign for president, Sen. McCain has talked tough about Big Oil but has been funded by their petro-dollars. In a 2007 Iowa speech, McCain described his “energy strategy” for America, with “straight talk” about “petro-dictators,” big oil subsidies, and energy lobbyists:
As President, I’ll propose a national energy strategy that will amount to a declaration of independence from the risk bred by our reliance on petro-dictators and our vulnerability to the troubled politics of the lands they rule. That strategy won’t be another grab bag of handouts to this or that industry and a full employment act for lobbyists. Yes, that means no ethanol subsidies. But it also means no rifle-shot tax breaks for big oil.
But is candidate McCain himself reliant on Big Oil? Since first running for the Senate in 1986, John McCain has received at least $549,712 from the oil and gas industry. More than half — $291,685 — has come in the last two years. Moreover, John McCain’s own campaign is a “full employment act for lobbyists” who rely on “petro-dictators.”
– McCain’s Senior Adviser Lobbies For Foreign Oil Interests. Charlie Black (lobbying firm: BKSH), McCain’s senior campaign adviser, is a registered lobbyist for two Russian oil companies — Yukos Oil and Occidental International Corporation — and his lobbying firm was hired in 2005 by the China National Off-Shore Oil Corporation. [Roll Call 7/18/05, Senate Lobbying Disclosure Records]
– McCain’s “Consigliere” a Top Lobbyist for Saudi Arabia. Former Texas representative Tom Loeffler (The Loeffler Group), a top Bush fundraiser now in charge of McCain’s fundraising efforts, received approximately $900,000 a year from the Saudis to lobby Congress and “arrange meetings between Saudi officials and such senior Bush administration officials as Karl Rove.” [DNC 4/23/07]
– McCain’s Campaign Liaison to Congress a Million-Dollar Big-Oil Lobbyist. John Green (Ogilvy Government Relations) — the “full-time liaison between McCain’s presidential campaign and Republicans in the House and the Senate” — has made over $7.6 million dollars since 1999 lobbying for petro-industry giants such as Amerada-Hess, Chevron Texaco, the American Petroleum Institute, Reliant Energy, PJM Interconnection and First Energy. [Politico 3/4/08, Senate Lobbying Disclosure Records]
– Fossil Fuel Lobbyists Everywhere in the McCain Campaign. Susan Nelson, McCain’s National Finance Chair worked at the Loeffler Group for Saudi Arabia. Frank Donatelli, McCain’s RNC liaison to the Republican Party, has lobbied for ExxonMobil, Dominion, and Eastman Chemical. Jerry Kilgore, co-chairman of McCain’s Virginia campaign, has lobbied for Shell Oil and coal company Alpha Natural Resources. [Washington Post 3/12/08, O’Dwyer’s 8/9/06, Media Matters 2/26/08, Senate Lobbying Disclosure Records]
Although Candidate McCain may have made a “declaration of independence” on the campaign trail, Senator McCain’s own actions have kept “rifle-shot tax breaks for big oil” and “reliance on petro-dictators” as the law of the land.
– McCain Voted Against Reducing Dependence on Foreign Oil. In 2005, McCain voted against legislation calling on the President to submit a plan to reduce foreign petroleum imports by 40 percent. [Senate Roll Call Vote #140, 6/16/05; DNC 6/22/07]
– Candidate McCain’s “Zero” For Energy Future, Billions For Big Oil. Since launching his campaign for president in 2007, Sen. McCain has skipped out on every key environmental vote the Senate has considered, earning him a zero on the League of Conservation Voters scorecard this session. In one such instance, his absence killed the rollback of billions of dollars in oil subsidies for renewable energy investment. [LCV 2008]
– McCain’s Absence Allows GOP to Filibuster Oil-For-Renewables. By a roll call vote of 59-40 on December 13, 2007, Senate Democrats failed to muster the 60 votes needed to prevent a filibuster threatened by Republicans of compromise energy legislation with an oil-for-renewable tax package. The tax package rolled back $12.7 billion in tax breaks on the oil and gas industry to invest in renewable energy tax credits. Sen. John McCain, on the campaign trail, was the one senator not voting. [CQ 12/12/07] [Vote #425 12/13/07]
Having failed to act to roll back subsidies for Big Oil as a senator, McCain now has unveiled a tax plan which would provide an even greater “grab bag of handouts” to industry. As Wendy Norris at Colorado Confidential asks, “[W]ould a McCain presidency simply reprise the oil-and-gas-friendly Bush Administration for another four years?”
Our guest blogger is Robert Gordon, a Senior Fellow at the Center for American Progress Action Fund.
For years, columnist Robert Novak has supported Republican efforts to eliminate the estate tax and “attack double taxation of corporate income.” He has embraced the argument of Social Security privatizers that an unchanged program requires borrowing “as far as the eye can see.”
That was then. In today’s column, Novak pushes Senator John McCain to embrace a cut in the “regressive payroll tax” as “an opportunity to reach out beyond top-bracket taxpayers, big business and high finance.” Social Security now has “enough money” to sustain the cut in revenue.
Has Bob Novak converted to the “populist, class warfare” worldview? Does he now support the CAP tax plan? Senator McCain already has pretty much the agenda that Novak used to support. Sen. McCain is “attacking the double taxation of corporate income” by pushing reductions in corporate taxes. He is supporting Social Security privatization.
Novak probably knows what he is doing. The Bush-McCain-Norquist agenda will not sell come November. So Novak is trying to make space for Senator McCain to change his mind on taxes. Again.
Responding to John McCain’s foreign policy address yesterday, the country’s three biggest newspapers appear to have accepted at face value McCain’s newfound commitment to international cooperation.
McCain, in Foreign Policy Talk, Turns His Back on Unilateralism
McCain Outlines Foreign Policy: In Speech, He Vows Collaborative Approach
McCain stresses cooperation in L.A. speech on foreign policy
Last night, in an interview with Sen. Lindsey Graham (R-SC), CNN host Campbell Brown claimed McCain’s world view was “very different” from President Bush on a lot of issues.
But even Graham wouldn’t go so far as Brown. When asked how McCain’s worldview differs from Bush’s, Graham offered that there was no difference. “I don’t think I can describe it different than a person,” he said. Watch it:
Here are a few recent McCain quotes that didn’t fit the press’s narrative and therefore didn’t make it into the stories: “I’m sorry to tell you, there’s going to be other wars. We will never surrender but there will be other wars.” “Make it a hundred [years in Iraq]…We’ve been in South Korea …That would be fine with me.” “Bomb bomb bomb, bomb bomb Iran.”
Contrary to yesterday’s attempt to recast himself as a responsible multilateralist, John McCain has consistently defended the Bush Doctrine. He has surrounded himself with the same people who advocated that doctrine. His foreign policy approach has been called “more hawkish than Bush.” His record speaks for itself, and it’s a shame that America’s most popular newspapers would allow one speech to divert them from McCain’s career-long advocacy of militaristic foreign policy.
Today, Sen. John McCain (R-AZ) made his first major foreign policy address since clinching his party’s nomination. Claiming to be a “realistic idealist” McCain laid claim to many of the traditions of liberal internationalism, referencing Harry Truman and John F. Kennedy in pledging to “work very hard and very creatively to build new foundations for a stable and enduring peace“:
I believe it is possible in our time to make the world we live in another, better, more peaceful place, where our interests and those of our allies are more secure, and American ideals that are transforming the world, the principles of free people and free markets, advance even farther than they have. […]
America must be a model citizen if we want others to look to us as a model.
If you think this sounds familiar, you’re right. George W. Bush made many of these same noises about freedom and democracy, such as this from his 2003 State of the Union:
Americans are a resolute people who have risen to every test of our time. Adversity has revealed the character of our country, to the world and to ourselves. America is a strong nation, and honorable in the use of our strength. We exercise power without conquest, and we sacrifice for the liberty of strangers.
Americans are a free people, who know that freedom is the right of every person and the future of every nation. The liberty we prize is not America’s gift to the world, it is God’s gift to humanity.
….right before he hauled off and invaded Iraq. There’s no reason to believe that McCain will behave any differently, especially since many of the neoconservative ideologues who advocated Bush’s disastrous Iraq misadventure are now advising McCain. We don’t have to imagine what a John McCain foreign policy might look like, we’ve seen it.
At the Swampland blog, Joe Klein praised Sen. McCain’s foreign policy speech today as “a quantum leap toward sanity and away from the prevailing idiocy of the Bush Administration,” singling out the passage below:
There is such a thing as international good citizenship. We need to be good stewards of our planet and join with other nations to help preserve our common home. The risks of global warming have no borders. We and the other nations of the world must get serious about substantially reducing greenhouse gas emissions in the coming years or we will hand off a much-diminished world to our grandchildren. We need a successor to the Kyoto Treaty, a cap-and-trade system that delivers the necessary environmental impact in an economically responsible manner. We Americans must lead by example and encourage the participation of the rest of the world, including most importantly, the developing economic powerhouses of China and India.
Klein evidently did not hear Bush when he addressed the Washington International Renewable Energy Conference three weeks ago:
[L]isten, let me start first by telling you that America has got to change its habits. . . But we’re dependent upon oil, and so as our economy grows, it’s going to create more demand for oil — same with China, same with India, same with other growing countries. . . I’ve come today to tell you that America is the kind of country that when they see a problem, we address it head-on. I’ve set a great goal for our country, and that is to reduce our dependence on oil by investing in technologies that will produce abundant supplies of clean and renewable energy, and at the same time show the world that we’re good stewards of the environment. . . . The United States is serious about confronting climate change, and the strategies I just laid out for you are an integral part of dealing with climate change. Should there be an international agreement? Yes, there should be, and we support it.
In the strict physical sense of a “quantum leap,” Joe Klein is quite accurate. McCain’s words represent a shift of infinitesimal scale from Bush’s own.
In a speech this morning at the U.S. Chamber of Commerce, Treasury Secretary Henry Paulson forced conservatives everywhere to take a long, hard look in the mirror.
As Paulson laid out his prognosis for America’s mortgage crisis and last week’s disaster on Wall Street, he tossed aside the dogmatic, decades-long conservative tradition of promoting market deregulation:
”This latest episode has highlighted that the world has changed as has the role of other nonbank financial institutions and the interconnectedness among all financial institutions,” Paulson said. ”These changes require us all to think more broadly about the regulatory and supervisory framework that is consistent with the promotion and maintenance of financial stability,” he added.
While some conservatives grasp the failures of deregulation, John McCain wants more of it. In McCain’s major housing crisis speech last Tuesday, he continued to highlight an inadequate plan to resolve the problems on Wall Street by making this assertion:
“Our financial market approach should include encouraging increased capital in financial institutions by removing regulatory, accounting and tax impediments to raising capital.”
Perhaps McCain’s archaic logic comes from his advisers (as we all know that McCain is no expert on the economy). Paul Krugman rightly notes that “his chief economic adviser is former Senator Phil Gramm, a fervent advocate of financial deregulation.” “I’d argue that aside from Alan Greenspan, nobody did as much as Mr. Gramm to make this crisis possible,” Krugman writes.
In his major foreign policy address today, McCain promised to listen to the “wisdom and knowledge” of others when making foreign policy decisions. To underscore his point, he quoted the Declaration of Independence’s statement of “decent respect to the opinions of mankind.” Watch it:
Interestingly, it seems that, at least as far as McCain was concerned, this “respect” did not extend to overwhelming worldwide opinion in 2003, which was strongly against the U.S. invasion of Iraq. (Nor does it apparently extend now to the opinions of McCain’s fellow Americans, a majority of whom oppose the Iraq war and believe it should never have been fought.)
During a press conference call today after the speech, McCain’s foreign policy adviser Randy Scheunemann was asked about disconnect between the “respect to the opinions of mankind” and McCain’s heedless support for the invasion of Iraq. Scheunemann simply replied that McCain was “interested in looking forward, not backward.”
McCain expressed similar sentiment in the speech, in reference to the fact that Al Qaeda did not exist in Iraq before the U.S. invaded and occupied the country:
Whether they [Al Qaeda] were there [in Iraq] before is immaterial, al Qaeda is in Iraq now, as it is in the borderlands between Pakistan and Afghanistan, in Somalia, and in Indonesia. If we withdraw prematurely from Iraq, al Qaeda in Iraq will survive, proclaim victory and continue to provoke sectarian tensions that, while they have been subdued by the success of the surge, still exist, as various factions of Sunni and Shi’a have yet to move beyond their ancient hatreds, and are ripe for provocation by al Qaeda. Civil war in Iraq could easily descend into genocide, and destabilize the entire region as neighboring powers come to the aid of their favored factions. I believe a reckless and premature withdrawal would be a terrible defeat for our security interests and our values.
It’s understandable that this is a conversation that McCain does not want to have, but it is certainly not immaterial whether al Qaeda was in Iraq before the U.S. invaded. On the contrary, it is essential to understanding why the Iraq invasion was a bad foreign policy decision born of poor judgment and a lack of real knowledge and understanding of the region.
Almost all of the things that McCain predicts will result from a U.S. withdrawal have, in fact, occurred as a result of the invasion and occupation of Iraq: Al Qaeda survived in Afghanistan and Pakistan (and then entered Iraq to provoke sectarian tensions), and tens of thousands of Iraqis have lost their lives in a civil war in which Iraq’s neighbors have come to the aid of their favored factions.
The reckless and ill-considered invasion of Iraq has turned out to be a terrible defeat for our security interests and our values, and much of the next president’s term will be concerned with trying to clean up that mess. John McCain doesn’t really seem to grasp how that mess was made, or that the mess even exists.
In October of last year, the administration of Kansas Gov. Kathleen Sebelius (D) denied permits for two new coal-fired plants in her state because the greenhouse gases such coal plants would emit constitute a threat to the environment and public health. Last Friday, she also vetoed a legislative attempt to reverse the decision. Opponents of the veto claimed “the decision is costing the state jobs and economic investment” and warned of “higher electric bills for Western Kansas,” where the plants were proposed.
But a landmark report released yesterday by an esteemed financial research firm finds that, in fact, Sebelius has been acting in her state’s best economic interests.
Innovest Strategic Value Advisors finds that Sunflower Electric Power Corporation, the company whose proposal was denied, failed to account for the effects of the likely regulation of carbon dioxide on the cost of coal-fired electricity when it sought to build two 700 MW coal plants in Holcomb, Kansas:
Innovest examined the economics of the transaction and determined that under the most plausible regulatory scenarios the decision to build new coal generating capacity will put Sunflower Electric’s ratepayers – who in this particular case are the actual owners – at significant risk. The report concludes that Sunflower’s management has not adequately addressed the competitive and financial risks associated with climate change in deciding to pursue the expansion of its Holcomb Station power plant.
Sunflower was remiss in not considering that federal legislation that places a price on carbon emissions is extremely likely, considering the bipartisan support and strong international pressure for such action.
The report compares the economics of coal plants versus natural gas plants, which have a considerably smaller carbon footprint, and concludes:
In general, this analysis demonstrate that gas is the more financially sound choice for the construction of baseload generating capacity in all scenarios except 100% free allocation [to power companies] of carbon allowances.
The report also notes that western Kansas has “among the nation’s most abundant wind resources” and that the cost of wind power has plummeted 80% in the last 20 years.
The Center for American Progress plan for a low-carbon economy explains how a carbon-cap system with full auctioning of permits and broad investment in renewable energy and energy efficiency is the right choice.
(HT: David Sassoon at SolveClimate)
Our guest blogger is James Kvaal, Domestic Policy Advisor at the Center for American Progress Action Fund.
If you’re in Generation X, don’t give up hope — Social Security is not going bust. That’s news from the annual report from the Social Security and Medicare trustees.
The latest projection is that Social Security will pay full benefits for more than 30 years. After 2041, it will pay only 78 percent of promised benefits. The projection for the long-run shortfall has fallen 10 percent since last year.
The report is an important reminder that the program is not in a crisis. While we need reforms to extend the life of Social Security, we do not need to panic and adopt massive benefit cuts. And the last thing we need is the radical step of privatization — as George Bush and John McCain want -– that would cut benefits and shorten the program’s life.
Instead, we can save Social Security by setting the right priorities. Its deficit projected into the infinite future is 1.1 percent of the economy — about the same size as John McCain’s tax plan. Saving Social Security would be a better use of resources than a $2 trillion tax plan that delivers 58 percent of its benefits to the top 1 percent of taxpayers.
Our guest blogger is Andrew Jakabovics, Associate Director for the Economic Mobility Program at the Center for American Progress Action Fund.
McCain’s much-hyped speech today on the nation’s current economic woes turned out to be much ado about nothing. His largely superficial descriptions of the nature and origins of the housing and credit crises demonstrate that McCain is a straight talker only when he says he knows nothing about economics.
His only proposal to address the current problems homeowners are facing is to get mortgage lenders to pledge to help cash-strapped, but credit-worthy, customers. He must have been out on the campaign trail last August when President Bush announced the Hope Now Alliance, which is a coalition of mortgage lenders and servicers that agreed to do just that. Unfortunately, the Hope Now Alliance’s track record is poor. Participants have not demonstrated the ability (or, some would argue, the willingness) to make widespread, substantive changes to mortgages that would result in sustainable payments for borrowers. McCain is pushing an ineffective policy six months late.
McCain claims he is open to new proposals that provide no bailouts to investors or speculators, but he made no mention of either Sen. Chris Dodd (D-CT) or Rep. Barney Frank’s (D-MA) proposals to address the current crisis, which meet the universally accepted no bailout criterion. A true straight talker would acknowledge that there are serious legislative vehicles in Congress to address the current crisis and state his position on them either in his current role as Senator from the deeply impacted state of Arizona or in his aspiring role as president.
In a presentation yesterday at the American Enterprise Institute, escalation architect Frederick Kagan repeated his claim that sectarian cleansing has not affected the drop in violence in Iraq. Kagan called it a “myth”:
The bad news from this perspective is that the sectarian areas of Iraq is still mixed. The good news is that the sectarian areas of Iraq are still mixed. And there is a myth out there that the violence has fallen because all of the cleansing is done. That is absolutely not the case.
Watch it:
Kagan makes the same claim in his new report, “Iraq: The Way Ahead“:
One of the persistent myths about the reasons for the success of coalition efforts in 2007 is that the killing stopped because the sectarian cleansing was completed. This myth is absolutely false. Baghdad remains a mixed city. The traditionally Sunni neighborhoods of Adhamiya, Mansour, and Rashid remain predominantly Sunni, and Shiite enclaves in East Rashid remain Shiite. Shia have moved into some parts of the Sunni neighborhoods, and many sub-districts within neighborhoods that had been mixed are now much more homogeneous. But the key components of a mixed Baghdad remain.
Kagan’s claim is contested by major news organizations and the U.S. military’s own data. In December 2007, the Washington Post published the maps below, comparing the sectarian make-up of Baghdad’s neighborhoods in April 2006 and November 2007, and revealing the transformation of the city resulting from sectarian cleansing:

The Post’s distribution of sectarian enclaves corresponds closely with these graphs, provided by Multi-National Force-Iraq (MNF-I), that chart sectarian violence in Baghdad between July 2006 and July 2007, which is the period in which the U.S. military escalation, also known as the Baghdad Security Plan, took place.
The August 2007 National Intelligence Estimate on Iraq also rebuts Kagan’s mythmaking. One of the NIE’s judgements was that where some “conflict levels have diminished,” it was due to sectarian “separation.”
Kagan’s view is also challenged by Joe Christoff of the Government Accountability Office, who stated in congressional testimony in October 2007 that sectarian cleansing was “an important consideration in even assessing the overall security situation in Iraq”:
We look at the attack data going down, but it’s not taking into consideration that there might be fewer attacks because you have ethnically cleansed neighborhoods, particularly in the Baghdad area. […]
It’s produced 2.2. million refugees that have left, it’s produced two million internally displaced persons within the country as well.
In August 2007, the Iraqi Red Crescent Organization indicated that “the total number of internally displaced Iraqis [had] more than doubled, to 1.1 million from 499,000″ since the surge started in February. Center for American Progress Iraq analyst Brian Katulis estimated that Baghdad, which once used to be a 65 percent Sunni majority city, “is now 75 percent Shia.”
Kagan’s claim that Baghdad “remains a mixed city,” severely understates both the drastic transformation of the city’s sectarian make-up and the suffering that attended that transformation. It also casually ignores the fact that one of the most intense and violent periods of sectarian cleansing took place under the aegis of the military escalation Kagan now claims credit for.
On the David Strom Show on March 22, Americans for Tax Reform head Grover Norquist angrily attacked the Energy Independence and Security Act of 2007, signed into law in December by President Bush to slowly raise fuel economy standards to 35 MPG by 2020. Norquist alleged that these standards are killing 2,000 people each year:
The government itself has calculated that around 2000 people a year are killed because of those CAFÉ standards and our cheerful government has just voted to increase them, to make cars lighter, smaller. And more people will die. I mean 2,000 people a year die because the environmentalists think that you should be in a smaller car because it offends their sensitivities that you’re using gasoline.
Listen here:
Norquist seems to be referring to the 2002 National Academies report Effectiveness and Impact of Corporate Average Fuel Economy (CAFE) Standards, which states, “[A]ll but two members of the committee concluded that the downweighting and downsizing that occurred in the late 1970s and early 1980s, some of which was due to CAFE standards, probably resulted in an additional 1,300 to 2,600 traffic fatalities in 1993.” The report explains the reasoning:
Although many general indicators of motor vehicle travel safety improved during [the 1970s and early 1980s] (e.g., the fatality rate per vehicle mile traveled), the preponderance of evidence indicates that this downsizing of the vehicle fleet resulted in a hidden safety cost, namely, travel safety would have improved even more had vehicles not been downsized. . . When asked about the potential use of lighter material to allow weight reduction without safety-related size reductions, … industry representatives did not expect that they could avoid reducing vehicle size if substantial reductions in vehicle weight were made. . . The committee recognizes that automakers’ responses could be biased in this regard.
However, the blistering minority dissent in that very same report points out several fallacies in the reasoning and concludes:
The relationships between vehicle weight and safety are complex and not measurable with any reasonable degree of certainty at present. The relationship of fuel economy to safety is even more tenuous.
Evidently, Norquist is more concerned by hypothetically projected deaths in an alternate universe where Detroit adopts safety instruments like air bags and rollover standards without kicking and screaming, than he is by the very real casualties to our economy, our soldiers, our nation, and our planet caused by our addiction to fossil fuels.
The American people, regardless of party, overwhelmingly recognize that higher fuel standards spur technological innovation and improve our lives.
Transcript: More »
Today, Sen. John McCain (R-AZ) is scheduled to give a speech to the Orange County Hispanic Small Business Roundtable in California. In his prepared remarks, McCain promises to offer “some straight talk” on the nation’s economic woes, promising to “evaluate everything” in order to help Americans. But what are his ideas to solve the crisis? From his speech:
– “[I]t is time to convene a meeting of the nation’s accounting professionals to discuss the current mark to market accounting systems.”
– “We should also convene a meeting of the nation’s top mortgage lenders.” (Note to McCain: The Bush administration already tried this approach, and it failed.)
– “I am prepared to examine new proposals and evaluate them.”
That’s right — a year after other leaders began calling for action on the mortgage crisis, McCain is calling for two meetings and is willing to study other ideas. But the time for meetings and studies passed long ago.
While others sought to prevent the emerging credit crisis, McCain has sat on his hands. In fact, on Feb. 17, McCain told ABC’s This Week that a government fund “to help borrowers who are facing foreclosure on their homes” isn’t necessary.
Both House Financial Services Committee Chairman Barney Frank (D-MA) and Senate Banking Committee Chairman Chris Dodd (D-CT) have already unveiled serious legislative proposals to stabilize the shaky housing market. Either McCain is oblivious to these plans, or he has already decided that he’s not going to bother to “examine” and “evaluate” them.
McCain has consistently voted against mortgage protections and other steps to help consumers fight unfair credit terms. A look at his record:
– McCain voted against discouraging predatory lending practices. In 2005, McCain voted against an amendment prohibiting law-breaking high-cost predatory mortgage lenders from collecting funds from homeowners who are forced into bankruptcy court. [S. 256, 3/03/05]
– McCain failed to vote on bill to overhaul mortgage lending practices of FHA. In 2007, McCain failed to vote on passage of a bill that would overhaul the mortgage lending practices of the Federal Housing Administration (FHA). The bill would reduce the required minimum down payment for an FHA-insured loan and simplify its calculation, requiring a flat 1.5 percent of the appraised value of the home. [S. 2338, 12/14/07]
–- McCain failed to sign on to the Predatory Lending Consumer Protection Act. In 2003, McCain failed to add his name to this legislation, which was intended to “protect consumers against predatory practices.” The bill, which was endorsed by a host of civil rights and housing advocates, including the U.S. Conference of Mayors, ACORN, and the Consumer Federation of America. [S. 1928, 11/21/03]
– McCain failed to sign on to Truth in Lending Act. Less than four months ago, McCain failed to sign on to this bipartisan initiative providing protection to consumers taking out home mortgage loans. Among other measures, it was designed to “establish new lending standards to ensure that loans are affordable and fair.” McCain also refused to co-sponsor this legislation in the 107th Congress as well. [S. 2452, 12/12/2007]
McCain’s primary solution to dealing with the flailing economy? Waiting it out. Also on ABC’s This Week on Feb. 17, when asked whether he was “open to helping homeowners,” McCain replied, “I am open to helping homeowners. I would rely to a large degree on the situation of time.”
Our guest blogger is Nina Hachigian, a Senior Vice President at the Center for American Progress Action Fund.
Tibetans are all peaceloving Buddhist monks and the Chinese government instantly quashes all organized dissent. Even though the events of the past two weeks do not fit neatly into these mental slots, Beijing will not be able to convince the western world otherwise unless it changes its Tibet policy quickly and dramatically.
According to the LA Times, Tibetans randomly and savagely beat and killed Chinese “solely on the basis of their ethnicity.” Gangs of Tibetans burned and destroyed Han and Muslim owned shops. The Chinese authorities held back at first — making the situation much worse — and then they used lethal force to stop the violence, firing live ammunition into crowds of people and beating suspects, by some accounts. Eventually, China sent in enough police and equipment to take on Russia.
The resentment that triggered the riots is Beijing¹s doing, and Beijing ultimately has to ac