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      Republicans claim Biden $2tn infrastructure plan a partisan tax hike

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      Republicans opposed to Joe Biden’s proposed $2tn infrastructure bill claimed on Sunday that it was effectively a partisan tax hike that allocated too much money to electric vehicles and other environmental initiatives.On CNN’s State of the Union, Mississippi governor Tate Reeves was asked if his state could use some of the $100bn Biden proposes to spend on fixing roads and bridges neglected for decades amid gridlock in Washington and paralyzed public spending.Yes, he said. But.“There’s no doubt that Mississippi could use our fair share of $100bn,” Reeves said. “The problem with this particular plan, though, is although the Biden administration is calling it an infrastructure plan, it looks more like a $2tn tax hike plan, to me. That’s going to lead to significant challenges in our economy, it’s going to lead to a slowing GDP … it’s going to lead to Americans losing significant numbers of jobs.”Biden proposes funding his plan by raising corporate tax rates and making it more difficult for corporations to utilize offshore tax shelters.Reeves had other complaints. While Biden proposes to spend billions on roads and bridges, he said, he also proposes to “spend more than that on the combination of Amtrak [railways] and public transit. And what’s even worse, [Biden’s bill] spends $100bn on clean water, which Mississippi could certainly use, but it spends more than that … to subsidize electric vehicles.“That is a political statement. It’s not a statement on trying to improve our infrastructure in America. And so it looks more like the Green New Deal than it looks like an infrastructure plan.”The Green New Deal is a set of policy priorities championed by prominent progressives including Bernie Sanders and Alexandria Ocasio-Cortez as a way to meet looming environmental challenges while boosting the economy and reducing inequality. It is not enacted law or a formal part of Biden’s policy plans. Nonetheless, Republicans from Donald Trump down have seized on it, claiming it represents a determination to take away gas-guzzling cars and even the right to eat meat.On ABC’s This Week, the Missouri Republican senator Roy Blunt asked: “Why would you pass up the opportunity here to focus on roads, bridges, what’s happening underground, as well as above the ground on infrastructure, broadband, all of which wouldn’t be 40% of this package?“There’s more in the package for charging stations for electric vehicles … than there is for roads, bridges and airports and ports. When people think about infrastructure, they’re thinking about roads, bridges, ports and airports.”The Senate minority leader, Mitch McConnell, said this week he would “fight them every step of the way because I think this is the wrong prescription for America. That package that they’re putting together now, as much as we would like to address infrastructure, is not going to get support from our side.”Democrats could attempt to pass the package using budget reconciliation, a procedure that allows for a simple Senate majority rather than 60 votes. But even if successful it would mean abandoning portions of the plan that do not impact taxes and spending.Biden has repeatedly emphasized the need for bipartisanship. Politicians from both sides have claimed willingness to reach across the aisle.Reeves told CNN he “believes we can come up with a plan” but opposes the tax-funded price-tag. Blunt said it was “very unlikely” Republicans would vote to reverse Trump’s 2017 corporate tax cuts, suggesting instead “new funding sources, figuring out how if you’re going to spend all this money on electric vehicles, which I think is part of the future, we need to figure out how electric vehicles pay for using the system just like gas-powered vehicles have always paid for it with a gas tax.”Pete Buttigieg, Biden’s transportation secretary, vowed to work with Republicans.“I’ve got a lot of respect for Senator Blunt,” he told ABC, “but I’m going to work to try to persuade him that electrical vehicle charging infrastructure is absolutely a core part of how Americans are going to need to get around in the future, and not the distant, far off future, but right now.Asked if it was “a realistic prospect to expect Republicans are going to come around”, Buttigieg said: “I think it can be. I’m having a lot of conversations with Republicans in the House and Senate who have been wanting to do something big on infrastructure for years. We may not agree about every piece of it, but this is one area where the American people absolutely want to see us get it done.”The Republican Mississippi senator Roger Wicker told NBC’s Meet the Press: “I’m all for working with the administration on an infrastructure bill. And let me tell you, I think I can work with Pete Buttigieg. I spoke to him the day he was nominated. We’ve been trading phone messages for the last three or four days in an effort to talk about this bill. I think Pete and I could come up with an infrastructure bill.”But Wicker also brought out the stumbling block to such thoughts of progress.“What the president proposed this week is not an infrastructure bill,” he said. “It’s a huge tax increase, for one thing.” More

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      Don't expect Biden to trumpet lofty aims for his rescue plans – he's simply Mr Fix-it | Robert Reich

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      Joe Biden is embarking on the biggest government initiative in more than a half-century, “unlike anything we have seen or done since we built the interstate highway system and the space race decades go”, he says.But when it comes to details, it sounds as boring as fixing the plumbing.“Under the American Jobs Plan, 100% of our nation’s lead pipes and service lines will be replaced – so every child in America can turn on the faucet or fountain and drink clean water,” the president tweeted.Can you imagine Donald Trump tweeting about repairing lead pipes?Biden is excited about rebuilding America’s “infrastructure”, a word he uses constantly although it could be the dullest term in all of public policy.The old unwritten rule was that if a president wants to do something really big, he has to justify it as critical to national defense or else summon the nation’s conscience.Dwight Eisenhower’s National Interstate and Defense Highway Act was designed to “permit quick evacuation of target areas” in case of nuclear attack and get munitions quickly from city to city. Of course, in subsequent years it proved indispensable to America’s economic growth.America’s huge investment in higher education in the late 1950s was spurred by the Soviets’ Sputnik satellite. The official purpose of the National Defense Education Act was to “insure trained manpower of sufficient quality and quantity to meet the national defense needs of the United States”.John F Kennedy launched the race to the moon in 1962 so that space wouldn’t be “governed by a hostile flag of conquest”.Two years later, Lyndon Johnson’s “unconditional war on poverty” drew on the conscience of America reeling from Kennedy’s assassination.But Biden is not arousing the nation against a foreign power – not even China figures prominently as a foil – nor is he basing his plans on lofty appeals to national greatness or public morality.“I got elected to solve problems,” he says, simply. He’s Mr Fix-it.The first of these problems was a pandemic that has killed hundreds of thousands of Americans – Biden carries a card in his pocket with the exact number – and its ensuing economic hardship.In response, Congress passed Biden’s $1.9tn American Rescue Plan – the most important parts of which aren’t $1,400 checks now being mailed to millions of Americans but $3,600 checks a child paid to low-income families, which will cut child poverty by half.Now comes his $2tn American Jobs Plan, which doesn’t just fund roads and bridges but a vast number of things the nation has neglected for years: schools, affordable housing, in-home care, access to broadband, basic research, renewable energy and the transition to a non-fossil economy.Why isn’t Biden trumpeting these initiatives for what they are – huge public investments in the environment, the working-class and poor – instead of rescue checks and road repairs? Why not stir America with a vision of what the nation can be if it exchanges fraudulent trickle-down economics for genuine bottom-up innovation and growth?Even the official titles of his initiatives – Rescue Plan, Jobs Plan and soon-to-be-unveiled Family Plan – are anodyne, like plumbing blueprints.The reason is that Biden wants Americans to feel confident he’s taking care of the biggest problems but doesn’t want to create much of a stir. The country is so bitterly and angrily divided that any stir is likely to stir up vitriol.Talk too much about combating climate change and lose everyone whose livelihood depends on fossil fuels or who doesn’t regard climate change as an existential threat. Focus on cutting child poverty and lose everyone who thinks welfare causes dependency. Talk too much about critical technologies and lose those who think the government shouldn’t be picking winners.[embedded content]Rescue checks and road repairs may be boring but they’re hugely popular. Sixty-one per cent of Americans support the American Rescue Plan, including 59% of Republicans. More than 80% support increased funding for highway construction, bridge repair and expanded access to broadband.Biden has made it all so bland that congressional Republicans and their business backers have nothing to criticize except his proposal to pay for the repairs by raising taxes on corporations, which most Americans support.This is smart politics. Biden is embarking on a huge and long-overdue repair job on the physical and human underpinnings of the nation while managing to keep most of a bitterly divided country with him. It may not be seen as glamorous work, but when you’re knee-deep in muck, it’s hard to argue with a plumber. More

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      in US Politics

      US Capitol: police officer and suspect dead after vehicle rams barrier – live

      by

      Key events

      Show

      5.07pm EDT
      17:07

      Biden orders White House flags at half staff

      5.01pm EDT
      17:01

      Today so far

      4.41pm EDT
      16:41

      Major League Baseball pulls All-Star Game from Georgia over voting law

      4.26pm EDT
      16:26

      Pelosi mourns killed USCP officer as ‘a martyr for our democracy’

      4.20pm EDT
      16:20

      USCP identifies killed officer as William ‘Billy’ Evans

      3.20pm EDT
      15:20

      USCP lifts Capitol lockdown after car attack

      2.53pm EDT
      14:53

      Police: ‘It does not appear to be terrorism related’

      Live feed

      Show

      5.49pm EDT
      17:49

      Alejandro Mayorkas, the secretary of the homeland security, has released a statement in response to the attack at the Capitol this afternoon.
      “My thoughts and prayers go out to the family, friends, and colleagues of the U.S. Capitol Police Officer who lost his life today protecting the very symbol of our democracy,” Mayorkas said.
      “There is still much to be determined about this attack and DHS offers its full support to Capitol Police and DC Mayor Bowser.”
      USCP has identified the officer killed in the attack as William “Billy” Evans, an 18-year veteran of the force.

      5.44pm EDT
      17:44

      After two deadly attacks on the US Capitol mere months apart, questions are being raised about whether security measures, which were enhanced after Jan. 6, are extensive enough, Vox reports.
      A review of the security released last month found that the Capitol Police are “understaffed, insufficiently equipped, and inadequately trained” to defend the nation’s seat of government from future attacks.
      In a 15-page draft report, commissioned by House Speaker Nancy Pelosi, retired Army Lt. Gen Russel Honoré called for adding 854 officers, including 424 to specialize in intelligence, dignitary protection, and operational planning.
      He also recommended additional fencing, specifically barriers that are “easily erected and deconstructed.”

      Scott Taylor 7 News I-Team
      (@ScottTaylorTV)
      More of my interview with former @FBI agent Brad Garrett about today’s attack at the U.S. Capitol. @BradInvestigate tells me the current threat is too high not to add more security at the Capitol. @7NewsDC pic.twitter.com/xQSQFoW56n

      April 2, 2021

      Roughly 4-miles of 7-foot-high “non-scalable” metal fencing was set up around the Capitol complex following the Jan. 6 riot but it was taken down in March, according to Vox.
      Rep. Tim Ryan told reporters today that new permanent additions to security are being considered by lawmakers. “We’ll be reviewing everything, at this point, including the fencing,” he said, emphasizing that there are still many unknowns about today’s incident
      “We can’t get too far ahead of ourselves without knowing that we have the ability to protect the Capitol, to harden the Capitol,” he added.

      5.07pm EDT
      17:07

      Biden orders White House flags at half staff

      Gabrielle Canon here, signing in from the west coast to take you through the Friday afternoon news.
      President Biden has issued a statement on today’s violent attack at the US Capitol that resulted in the death of Officer William Evens and left another US Capitol police officer injured.
      “We know what a difficult time this has been for the Capitol, everyone who works there, and those who protect it,” Biden said in the statement, after expressing his condolences to Evans’ family. His death is the second line-of-duty death this year for the Capitol police, who also lost an officer during the Jan. 6 attack, and the 7th in the agency’s history, according to the Associated Press.
      Here is Biden’s full statement:

      Jill and I were heartbroken to learn of the violent attack at a security checkpoint on the U.S. Capitol grounds, which killed Officer William Evans of the U.S. Capitol Police, and left a fellow officer fighting for his life. We send our heartfelt condolences to Officer Evans’ family, and everyone grieving his loss. We know what a difficult time this has been for the Capitol, everyone who works there, and those who protect it.
      I have been receiving ongoing briefings from my Homeland Security Advisor, and will be getting further updates as the investigation proceeds.
      I want to express the nation’s gratitude to the Capitol Police, the National Guard Immediate Response Force, and others who quickly responded to this attack. As we mourn the loss of yet another courageous Capitol Police officer, I have ordered that the White House flags be lowered to half-mast.

      Updated
      at 5.16pm EDT

      5.01pm EDT
      17:01

      Today so far

      That’s it from me on this sad day in Washington. My west coast colleague, Gabrielle Canon, will take over the blog for the next few hours.
      Here’s where the day stands so far:

      US Capitol Police officer William “Billy” Evans was killed after a car rammed through a security barrier at the Capitol this afternoon. The acting USCP chief, Yogananda Pittman, said a suspect attempted to drive through the barrier and then exited his car wielding a knife. The suspect lunged at the two officers present, and at least one of the officers opened fire on the man, who later died of his injuries.
      The Capitol attack did not appear to be terrorism-related, the acting chief of the Metropolitan Police Department of DC said. At an afternoon press conference, acting MPD chief Robert Contee said it did not appear the Capitol was under active threat. The lockdown at the Capitol was lifted soon afterwards.
      Nancy Pelosi mourned Evans as “a martyr for our democracy”. The House speaker said in a statement, “Today, once again, these heroes risked their lives to protect our Capitol and our Country, with the same extraordinary selflessness and spirit of service seen on January 6. On behalf of the entire House, we are profoundly grateful.” A spokesperson for Pelosi also said the Capitol flags will be lowered to half-staff in honor of Evans.
      The Major League Baseball All-Star Game is being moved out of Georgia over the state’s new voting law. The law, which Republican Governor Brian Kemp signed late last month, restricts access to voting, and it has been widely criticized by Democrats and voting rights activists.
      Fully vaccinated Americans can travel without quarantining, the Centers for Disease Control and Prevention said. According to the CDC’s newest guidelines, vaccinated individuals can travel without getting tested for coronavirus or quarantining after their return. The agency said such travel is low-risk for those who have been vaccinated.

      Gabrielle will have more coming up, so stay tuned.

      4.41pm EDT
      16:41

      Major League Baseball pulls All-Star Game from Georgia over voting law

      The Guardian’s Sam Levine reports:
      Major League Baseball will not hold the annual All-Star Game in Atlanta this year after Georgia passed a new law that makes it significantly harder to vote.
      The announcement is perhaps the most consequential action taken since Georgia governor Brian Kemp, a Republican, signed the measure into law. Delta Airlines and Coca-Cola spoke out against the bill this week, but faced criticism for not doing so earlier, when their influence could have had a significant impact on the legislation.
      “I have decided that the best way to demonstrate our values as a sport is by relocating this year’s All-Star Game and MLB draft,” Rob Manfred, the league’s commissioner, said in a statement. “Major League Baseball fundamentally supports voting rights for all Americans and opposes restrictions to the ballot box.”
      The Georgia law implements new requirements for mail-in voting, a process voters in the state used in record numbers without evidence of fraud in 2020.

      4.26pm EDT
      16:26

      Pelosi mourns killed USCP officer as ‘a martyr for our democracy’

      House speaker Nancy Pelosi has released a statement mourning the loss of US Capitol Police Officer William “Billy” Evans in this afternoon’s attack.
      “Today, America’s heart has been broken by the tragic and heroic death of one of our Capitol Police heroes: Officer William Evans. He is a martyr for our democracy,” the Democratic speaker said.
      “Members of Congress, staff and Capitol workers, and indeed all Americans are united in appreciation for the courage of the U.S. Capitol Police. Today, once again, these heroes risked their lives to protect our Capitol and our Country, with the same extraordinary selflessness and spirit of service seen on January 6. On behalf of the entire House, we are profoundly grateful.”
      Pelosi pledged that Congress was ready to “assist law enforcement with a swift and comprehensive investigation into this heinous attack”.
      “May we always remember the heroism of those who have given their lives to defend our Democracy,” the speaker said. “May it be a comfort to the family of Officer Evans that so many mourn with them and pray for them at this sad time.”

      4.20pm EDT
      16:20

      USCP identifies killed officer as William ‘Billy’ Evans

      The US Capitol Police has identified the officer who was killed in the attack this afternoon as William “Billy” Evans.
      “It is with profound sadness that I share the news of the passing of Officer William ‘Billy’ Evans this afternoon from injuries he sustained following an attack at the North Barricade by a lone assailant,” USCP acting chief Yogananda Pittman said in a statement.

      U.S. Capitol Police
      (@CapitolPolice)
      Statement on the Loss of USCP Colleague Officer William “Billy” Evans: https://t.co/JMAEbTcbAp pic.twitter.com/DPvkAv5ptO

      April 2, 2021

      Pittman noted Evans, who succumbed to his injuries after being struck by a car that rammed through a security barrier, had been a member of the USCP force for 18 years.
      “He began his USCP service on March 7, 2003, and was a member of the Capitol Division’s First Responder’s Unit,” Pittman said. “Please keep Officer Evans and his family in your thoughts and prayers.”

      4.17pm EDT
      16:17

      Senator Brian Schatz, a Democrat of Hawaii, offered his thoughts to the US Capitol Police, after an officer died in the attack this afternoon.
      “Being a Capitol Police officer has never been more difficult or more stressful. All the love and comfort in the world to them and their family members,” Schatz said on Twitter.

      Brian Schatz
      (@brianschatz)
      Being a Capitol Police officer has never been more difficult or more stressful. All the love and comfort in the world to them and their family members.

      April 2, 2021

      This is the second line-of-duty death for the USCP since January, when Officer Brian Sicknick succumbed to his injuries from the Capitol insurrection.
      Prior to 2021, a total of four USCP officers had died in the line of duty in the entire history of the force, according to the USCP website.

      4.06pm EDT
      16:06

      Martin Pengelly

      The House and Senate are not in session but some elected officials and staff were in the building on Friday, as a car rammed a security barrier on the grounds.
      Ro Khanna, a Democratic representative from California, spoke to CNN from his car, where he said officers had told him to go after he came back to the Capitol from going out for lunch.
      “It’s really sad,” he said. “Once the barriers were removed we were moving back to some sense of normalcy, but this just shows the level of risk there still is.
      “I can’t imagine saying that going to the United States Capitol to represent your constituents is actually a dangerous thing.”

      3.50pm EDT
      15:50

      Noah Green, a 25-year-old man from Indiana, is the suspect who rammed through a Capitol security checkpoint in his car this afternoon, according to NBC News.

      Tom Winter
      (@Tom_Winter)
      BREAKING / NBC News: Multiple senior law enforcement officials briefed on the investigation say Noah Green, 25 year old male, from Indiana is the person who attacked the Capitol today. Reported by @PeteWilliamsNBC @jonathan4ny and myself.

      April 2, 2021

      US Capitol Police has said the suspect exited the vehicle wielding a knife and was then shot by at least one of the officers present. He later succumbed to his injuries and died.

      3.45pm EDT
      15:45

      The US Capitol Police has provided the latest information on the attack that occurred this afternoon.
      According to USCP, a man in a blue sedan charged a security barrier at the Capitol, striking two officers. The man then exited the vehicle with a knife and ran toward the officers.
      At least one of the officers drew their weapon and shot the suspect, who succumbed to his injuries about 30 minutes later. One of the USCP officers who was hit by the car also died of his injuries.

      U.S. Capitol Police
      (@CapitolPolice)
      UPDATE: Here is the latest information. pic.twitter.com/GOVaMv8EXk

      April 2, 2021

      3.31pm EDT
      15:31

      Senate majority leader Chuck Schumer said he was “heartbroken” for the US Capitol Police officer who was killed today, after a car rammed through a security barrier.
      “I’m praying for the officer injured and his family. We’re in their debt,” the Democratic leader said on Twitter. “We thank the Capitol Police, National Guard, & first responders for all they do to protect the Capitol and those inside.”

      Chuck Schumer
      (@SenSchumer)
      I’m heartbroken for the officer killed today defending our Capitol and for his family. I’m praying for the officer injured and his family.We’re in their debtWe thank the Capitol Police, National Guard, & first responders for all they do to protect the Capitol and those inside

      April 2, 2021

      3.20pm EDT
      15:20

      USCP lifts Capitol lockdown after car attack

      The US Capitol Police has lifted the lockdown on the Capitol grounds, about two hours after a car rammed a security barrier and injured two USCP officers, killing one of them.
      But the police force noted the area immediately surrounding the attack site is still under restricted access as officials continue to process the scene.

      U.S. Capitol Police
      (@CapitolPolice)
      The USCP has cleared the external security threat incident located at all of the U.S. Capitol Campus buildings, however the area around the crime scene will continue to be restricted and individuals should follow police direction. pic.twitter.com/6SXr5WJmcE

      April 2, 2021

      Updated
      at 3.21pm EDT More

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      in US Politics

      'Opportunity is coming': Joe Biden celebrates latest jobs report – video

      by

      Joe Biden has encouraged Americans to ‘buckle down’ as coronavirus cases rise but he was optimistic on the state of the economy and celebrated the latest jobs report.
      The US economy added 916,000 jobs last month according to the report which Biden credited to the resiliency of the American people and his administration’s new economic vision

      US politics – live updates More

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      in US Politics

      The Guardian view on the US infrastructure plan: Joe Biden's bold bet | Editorial

      by

      President Joe Biden is governing like a man in a hurry. Three weeks ago, he persuaded the US Congress to pass his $1.9tn Covid stimulus package. This week, he began the task of building congressional support for an even larger jobs and infrastructure renewal plan. The package is worth at least another $2tn. It involves massive investment in transport, housing and commercial buildings, green jobs, social care and much else besides. Further spending plans on “human infrastructure” – in the shape of aid to the poor, to parents and to women – are expected in a few weeks’ time. The total cost may end up close to £4tn.This week’s package involves several bold bets whose outcomes should be closely watched in America and beyond. Mr Biden’s central proposition is that the federal government can resume the activist role in economic growth that it played in the mid-20th century under leaders from Franklin Roosevelt to Richard Nixon. This comes with a second twist, that the activist role can deliver tens of thousands of well-paid and unionised climate change and clean-technology jobs, rather than those that involve pouring concrete or boosting fossil fuel consumption. Wrapped into this is a third gamble, that the United States can take on and defeat China and other Asian economies to become a global leader in the semiconductor, electric battery and electric vehicle industries.Spending of $213bn on energy-efficient housing and construction, and of $174bn on electric vehicle incentives are the centrepieces of the package. Given that the US is the planet’s second largest fossil fuel emitter, these are the right priorities. Whether they go far enough is more doubtful. In a country with more than 276m vehicles, the planned 500,000 vehicle charger points by 2030 will not go far, for example. But improved high-speed broadband in rural and urban America is desperately needed, not least to reduce inequality. More traditional infrastructure projects such as roads and bridges, rail and disaster resilience are part of the package. Airports, on the other hand, come low down the pecking order.The president is also making a big gamble on taxation. Unlike the stimulus package, the new spending will be paid for by new corporate taxes and taxes on the wealthy, not by new borrowing. Eight years of planned new spending will demand 15 years’ worth of new taxes, the White House says. Mr Biden plans to raise corporate tax rates from 21% to 28%. This falls well short of the 35% rate that was slashed by Donald Trump in 2017. The top rate of income tax is expected to rise from 37% to 39.6%, precisely reversing a Trump cut. Even so, Mr Biden’s initiative offers a huge ideological and fiscal challenge to the small state, low tax orthodoxies that have shaped politics in the US and beyond since the Ronald Reagan era 40 years ago.Partly for that reason, Mr Biden faces an even tougher road in getting Congress to back him. While many Democrats say that the plan does not go far enough, others cavil at its size and implications. With wafer-thin Democratic majorities in both houses, and the Republican party obdurate in its opposition, the president is unlikely to get his way without concessions on both wings.If this suggests an ultimately doomed effort to re-energise bipartisan politics in an era of ideological confrontation, it is important at the same time to recognise the historic nature of the president’s basic proposition. Mr Biden may be acting like a man who is aware his congressional base may not outlast 2022. But he is also trying to show that government is still capable of doing big things, and even of proving that democratic capitalism can work. More

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      Win the Amazon union fight and we can usher in a new Progressive Era | Robert Reich

      by

      The most dramatic change in American capitalism over the last half-century has been the emergence of corporate behemoths like Amazon and the shrinkage of labor unions. The resulting imbalance has spawned near-record inequalities of income and wealth, corruption of democracy by big money and the abandonment of the working class.All this is coming to a head in several ways.Over the next eight days, Amazon faces a union vote at its warehouse in Bessemer, Alabama. If successful, it would be Amazon’s first US-based union in its nearly 27-year history.Conditions in Amazon warehouses would please Kim Jong-un – strict production quotas, 10-hour workdays with only two half-hour breaks, unsafe procedures, arbitrary firings “and they track our every move”, Jennifer Bates, a worker at Bessemer, told the Senate budget committee on Wednesday.To thwart the union drive, Amazon has required Bessemer workers to attend anti-union meetings, warned workers they’d have to pay union dues (wrong – Alabama is a “right-to-work” state that bars mandatory dues), and intimidated and harassed organizers.Why is Amazon abusing its workers?The power shift can be reversed – but only with stronger labor laws, tougher trade deals and a commitment to antitrustThe company isn’t exactly hard-up. It’s the most profitable firm in America. Its executive chairman and largest shareholder, Jeff Bezos, is the richest man in the world, holding more wealth than the bottom 39% of Americans put together.Amazon is abusing workers because it can.Fifty years ago, General Motors was the largest employer in America. The typical GM worker earned $35 an hour in today’s dollars and had a major say over working conditions. Today’s largest employers are Amazon and Walmart, each paying about $15 an hour and treating workers like cattle.The typical GM worker wasn’t “worth” more than twice today’s Amazon or Walmart worker and didn’t have more valuable insights about how work should be organized. The difference is GM workers a half-century ago had a strong union, summoning the collective bargaining power of more than a third of the entire American workforce.By contrast, today’s Amazon and Walmart workers are on their own. And because only 6.4% of America’s private-sector workers are unionized, there’s little collective pressure on Amazon or Walmart to treat their workers any better.Fifty years ago, “big labor” had enough political clout to ensure labor laws were enforced and that the government pushed giant firms like GM to sustain the middle class.Today, organized labor’s political clout is minuscule by comparison. The biggest political players are giant corporations like Amazon. And what have they done with their muscle? Encouraged “right-to-work” laws, diluted federal labor protections and kept the National Labor Relations Board understaffed and overburdened.They’ve also impelled government to lower their taxes (Amazon paid zero federal taxes in 2018); extorted states to provide them tax breaks as condition for locating facilities there (Amazon is a champion at this game); bullied cities where they’re headquartered (Amazon forced Seattle to back down on a plan to tax big corporations to pay for homeless shelters); and wangled trade treaties allowing them to outsource so many jobs that blue-collar workers in America have little choice but to take low-paying, high-stress warehouse and delivery gigs.Oh, and they’ve neutered antitrust laws, which in an earlier era would have had companies like Amazon in their crosshairs.This decades-long power shift – the emergence of corporate leviathans and the demise of labor unions – has resulted in a massive upward redistribution of income and wealth. The richest 0.1% of Americans now has almost as much wealth as the bottom 90% together.Corporate profits account for a growing share of the total economy and wages a declining share, with multi-billionaire executives and investors like Bezos taking home the lion’s share.The power shift can be reversed – but only with stronger labor laws, tougher trade deals and a renewed commitment to antitrust.The Biden administration and congressional Democrats appear willing. The House has just passed the toughest labor reforms in more than a generation. Biden’s new trade representative, Katherine Tai, promises trade deals will protect American workers rather than exporters. And Biden is putting trustbusters in critical positions at the Federal Trade Commission and in the White House.I’d like to think America is at a tipping point similar to where it was some 120 years ago, when the ravages and excesses of the Gilded Age precipitated what became known as the Progressive Era. Then, reformers reversed the course of American capitalism for the next 70 years, making it work for the many rather than the few.Today’s progressive activists – in Washington, at Amazon’s Bessemer warehouse and elsewhere around the nation – may be on the verge of doing the same. More

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      Biden swings by Pennsylvania in Covid relief tour and promises ‘more help’

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      Sign up for the Guardian’s First Thing newsletterJoe Biden stopped by a unionized, Black-owned flooring company in the battleground state of Pennsylvania on Tuesday to highlight how the provisions of his $1.9tn coronavirus relief package will help lift small businesses hurt by the pandemic, part of a cross-country campaign to promote the first major legislative achievement of his presidency.During his visit to Smith Flooring Inc, located in the Philadelphia suburb of Chester, Biden said the sweeping new law was a “big deal” and promised the owners: “More help is on the way – for real.”“We’re gonna be paying our employees,” James Smith, who co-owns the business with his wife, Kristin Smith, said of their plan for the relief checks. “We’ve been paying them. Since the first run of PPP, we decided we wanted to take that money and not lay anyone off. We put everybody in a group and said, ‘Look, we’re gonna do this for you as a team, we’re gonna get through this together.’”Biden’s visit to Smith Flooring, in a state he clawed back from Donald Trump in 2020, was his first stop on the White House’s “Help is Here” tour and comes a day after Biden announced that his administration was on track to mark two key milestones in the coming days: delivering 100m Covid vaccinations since his inauguration – far outpacing his initial promise to administer those doses in his first 100 days – and distributing 100m stimulus checks to Americans.The tour includes Biden, Kamala Harris and their spouses, Jill Biden and Doug Emhoff. Later this week, Biden and the vice-president will visit Georgia, another swing state that he narrowly won in 2020.During the visit, Biden explained how his plan would help small businesses like Smith Flooring, which saw its revenue fall by roughly 20% during the pandemic, according to the White House. The flooring company recently qualified for a federal Payment Protection Program (PPP) loan under an action taken by the president targeting businesses with 20 or fewer employees.Biden’s plan, one of the largest emergency aid packages ever enacted, will provide $1,400 direct payments to most Americans, send $350bn in aid to state, local and tribal governments, dramatically expand the child tax credit and spend tens of billions of dollars to accelerate Covid-19 vaccine distribution and testing.“Shots in arms and money in pockets,” Biden said in brief remarks on Tuesday. “That’s important. The American Rescue Plan is already doing what it was designed to do: make a difference in people’s everyday lives.“We’re just getting started.”Alawi Mohamed, the owner of a commercial strip in Chester, said the first loan given in last year’s coronavirus relief package had helped him stay afloat, but he was hoping Biden’s plan would give him a much-needed boost.“Everybody got affected by Covid-19. When they shut down everything, we got affected big time. Nobody was around and people were actually staying home,” he said. Now he said, he is “back to business, gradually, but everything came out good”.Also on Tuesday, Biden introduced Gene Sperling, a longtime Democratic policy aide, to oversee the implementation of the $1.9tn package.Democrats are increasingly confident that the stimulus package will boost their prospects in 2022, when they will attempt to keep their slim majorities in both chambers of Congress despite a long history of the president’s party losing seats during the congressional midterm elections.Every Democrat except one House member voted for the bill while Republicans unified against it.Republicans have attacked the plan as bloated, filled with liberal priorities that run far afield of the coronavirus response. But Democrats argue that the package will lift the nation from the dual crisis by rushing immediate aid to those hit hardest by the economic downturn and help ensure a more even recovery. They also say it will go further to tackle deep-seated economic inequalities, halving child poverty and expanding financial aid for families squeezed by job loss and school closures.Polling has consistently found that Americans favor Biden’s stimulus plan. According to a new CNN/SSRS poll released this week, 61% of Americans approve of the coronavirus relief package, while 37% oppose it.Haunted by their lashing in the 2010 midterms, Democrats now believe that they didn’t do enough to promote their sweeping stimulus package, shepherded by the new Obama administration and passed by Democratic majorities in response to the financial collapse.The House speaker, Nancy Pelosi, has touted the package as among the most consequential bills of her decades-long career, putting it on par with the Affordable Care Act. In a letter to colleagues after the bill was signed, she urged members to hold tele-town halls and send informational literature to constituents to explain how the bill could benefit them and their families.“We want to avoid a situation where people are unaware of what they’re entitled to,” Harris said during her visit to a culinary academy in Las Vegas on Monday. “It’s not selling it – it literally is letting people know their rights. Think of it more as a public education campaign.” More

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      Bidenomics beats Reaganomics and I should know – I saw Clintonomics fail | Robert Reich

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      A quarter-century ago, I and other members of Bill Clinton’s cabinet urged him to reject the Republican proposal to end welfare. It was too punitive, we said, subjecting poor Americans to deep and abiding poverty. But Clinton’s political advisers warned that unless he went along, he would jeopardize his reelection.That was the end of welfare as we knew it. As Clinton boasted in his State of the Union address to Congress that year: “The era of big government is over.”Until Thursday, that is. Joe Biden signed into law the biggest expansion of government assistance since the 1960s – a guaranteed income for most families with children, raising the maximum benefit by up to 80% per child.As Biden put it in his address to the nation, as if answering Clinton: “The government isn’t some foreign force in a distant capital. No, it’s us, all of us, we the people.”As a senator, Biden supported Clinton’s 1996 welfare restrictions, as did most Americans. What happened between then and now? Three big things.First, Covid. The pandemic has been a national wake-up call on the fragility of middle-class incomes. The deep Covid recession has revealed the harsh consequences of most Americans living paycheck to paycheck.For years, Republicans used welfare to drive a wedge between the white working middle class and the poor. Ronald Reagan portrayed black, inner-city mothers as freeloaders and con artists, repeatedly referring to “a woman in Chicago” as the “welfare queen”.Trump replaced economic Reaganism with narcissistic grievances, claims of voter fraud and cultural paranoiaStarting in the 1970s, women had streamed into paid work in order to prop up family incomes decimated by the decline in male factory jobs. These families were particularly susceptible to the Republican message. Why should “they” get help for not working when “we” get no help, and we work?By the time Clinton campaigned for president, “ending welfare as we knew it” had become a talisman of so-called New Democrats, even though there was little or no evidence that welfare benefits discouraged the unemployed from taking jobs. (In Britain, enlarged child benefits actually increased employment among single mothers.)Yet when Covid hit, a new reality became painfully clear: public assistance was no longer just for “them”. It was needed by all of “us”.The second big thing was Donald Trump. He exploited racism, to be sure, but also replaced economic Reaganism with narcissistic grievances, claims of voter fraud and cultural paranoia stretching from Dr Seuss to Mr Potato Head.Trump obliterated concerns about government give-aways. The Cares Act, which he signed into law at the end of March 2020, gave most Americans checks of $1,200 (to which he calculatedly attached his name). When this proved enormously popular, he demanded the next round of stimulus checks be $2,000.But Trump’s biggest give-away was the GOP’s $1.9tn 2018 tax cut, under which benefits went overwhelmingly to the top 20%. Despite promises of higher wages for everyone else, nothing trickled down. Meanwhile, during the pandemic, America’s 660 billionaires – major beneficiaries of the tax cut – became $1.3tn wealthier, enough to give every American a $3,900 check and still be as rich as they were before the pandemic.The third big thing is the breadth of Biden’s plan. Under it, more than 93% of the nation’s children – 69 million – receive benefits. Incomes of Americans in the lowest quintile will increase by 20%; those in the second-lowest, 9%; those in the middle, 6%.Rather than pit the working middle class against the poor, this unites them. Some 76% of Americans supported the bill, including 63% of low-income Republicans (a quarter of all Republican voters). Younger conservatives are particularly supportive, presumably because people under 50 have felt the brunt of the four-decade slowdown in real wage growth.Given all this, it’s amazing that zero Republican members of Congress voted for it, while 278 voted for Trump’s tax cuts for corporations and the rich.The political lesson is that today’s Democrats – who enjoy popular vote majorities in presidential elections (having won seven of the past eight) – can gain political majorities by raising the wages of both middle class and poor voters, while fighting Republican efforts to suppress the votes of likely Democrats.The economic lesson is that Reaganomics is officially dead. For years, conservative economists argued that tax cuts for the rich create job-creating investments, while assistance to the poor creates dependency. Rubbish.Bidenomics is exactly the reverse: Give cash to the bottom two-thirds and their purchasing power will drive growth for everyone. This is far more plausible. We’ll learn how much in coming months. More