Fix economic inequality? — Yes, we can.

If there’s one thing Joseph Stiglitz wants to say about inequality, it’s that it has been a choice, not an unexpected, unfortunate economic outcome. That’s unnerving, but it also means that citizens and politicians have the opportunity to fix the problem before it gets worse.

In his new book, Rewriting the Rules of the American Economy: An Agenda for Growth and Shared Prosperity, Stiglitz, a Nobel-prize winning economist, professor at Columbia University, and the chief economist at the Roosevelt Institute, asks the question “Can the rules of America’s economy be rewritten to benefit everyone—not just the wealthy?” The answer, he insists, is yes.

Stiglitz describes the current situation as “a stark picture of a world gone wrong”: He notes that 91 percent of all income growth between 2009 and 2012 was enjoyed by the wealthiest 1 percent of Americans. In the first half of the book, Stiglitz focuses on the practices and policies that have gotten the country to this point. It is a familiar story: The demise of labor unions, the increasing financialization of the economy, and the lack of wealth-building opportunities in minority communities have made the rich richer while leaving everyone else to flounder. He lists off a bevy of other contributors too: weak wages, ineffective regulation and federal oversight, and a focus on short-term versus long-term growth, which embodies a preference for rewarding shareholders over workers and consumers.

Stiglitz also notes that despite advancements in technology, which should — in theory — increase efficiency and lower costs, consumers are paying more in fees for financial services, which enriches big banks and companies while siphoning money out of the middle class. All of these things, he says, have created a society with a gaping hole, not only in its economic makeup, but in its morality.

Stiglitz spends the latter portion of the book laying out how to fix things. Like his primer on how inequality came to be, the solutions cover everything from fiscal policy to corporate boardrooms to retirement savings. His overview doesn’t prioritize pragmatism: A solution that only involves overhauling the few things that everyone agrees need to be overhauled is no solution at all, he argues.

Instead, he swings for the fences, suggesting a massive revision in the way the U.S. economy does business. First up is the attempt to tame what is called rent-seeking—the practice of increasing wealth by taking it from others rather than generating any actual economic activity. Lobbying, for example, allows large companies to spend money influencing laws and regulations in their favor, but lobbying itself isn’t helpful for the economy besides creating a small number of jobs in Washington; it produces nothing but helps an already rich and influential group grow more rich and more influential. Stiglitz suggests that reducing rent-seeking is critical to reining in inequality, especially when it comes to complex issues such as housing prices, patents, and the power that large corporations wield.

RTFA for an outline of recommendations from Joe Stiglitz. Nothing you haven’t heard of – or who is affected the most. The rich and powerful who own Congress and your state government.

Read his book. Get your butt in gear to avail yourself of what little political power you have. It’s sad that our only choice – at the moment – is removing power from the evil of two lessers. Kick Republicans and Blue Dog Democrats out of office. Elect liberal and progressive Democrats. Fight to get them to adopt an electoral platform based on a complete overhaul of our tax system, a reform of our education system focussed on standards from students to teachers and administrators, rejuvenating infrastructure.

It ain’t going to happen from the top down. That will be the promise from both political parties. Crap propaganda. We need to shovel away the opportunists who chose political life for profit and power. That’s as much hard work as anything else.

Beancounters in Congress say don’t worry about bridges and roads

Version 2
Pickup truck crashed into collapse of Interstate 10 bridge

All traffic along a major freeway connecting California and Arizona was blocked indefinitely when a bridge over a desert wash collapsed during heavy rain, and the roadway in the opposite direction suffered severe damage…

The collapse Sunday of Interstate 10 in southeastern California left one driver injured, stranded numerous motorists and complicated travel for countless others for what officials warned could be a long time.

The closure will force drivers seeking to use I-10 to travel between California and Arizona to go hundreds of miles out of their way.

The rains came amid a second day of showers and thunderstorms in southern and central California that were setting rainfall records in what is usually a dry month. Forecasters expected scattered rain through Monday as the remnants of a tropical storm off Baja California continued to push north…

One driver had to be rescued from a pickup that crashed in the collapse and was taken to a hospital with moderate injuries…

Hundreds of other cars were stranded immediately after the collapse, but the California Highway Patrol worked to divert them and it wasn’t clear if any remained, Kasinga said…

Saturday’s rainfall broke records in at least 11 locations, including five places that had the most rain ever recorded on any day in July, said National Weather Service meteorologist Joe Sirard.

July is typically the driest month of the year in Southern California. Because of that, Saturday’s 0.36 inch of rain in downtown Los Angeles exceeded the 0.24 inch recorded July 14, 1886, which had been the wettest July day in nearly 130 years.

The storm brought weekend flash floods and power outages and turned Los Angeles County’s typically packed coast into empty stretches of sand when the threat of lightning forced authorities to close 70 miles of beaches.

Rebuilding, repairing infrastructure across the nation was a non-starter when President Obama and his economics advisors suggested the process in his first term. He could have suggested the sun rise in the East and Congressional Republicans would have opposed the concept. The amalgam of racism, contempt for working people, fear of science and real change has kept the Republican Party tightly bunched into a herd of cattle stupidity for several years, now.

Ayup. No problems from climate change either. As long as you have sufficient money to relocate to a McMansion further inland – on a mountain top – with no fire danger.

Renewables exceed 20% of Germany’s energy production

In the wake of the Fukushima Daiichi nuclear disaster, tens of thousands of German citizens took to the streets calling for the phase out of atomic energy. In May, the German government bowed to public pressure and unveiled its plan to shut down the country’s 17 nuclear power plants by 2021 – with the possibility that three will continue operating until 2022 if the transition to renewable energy doesn’t go as quickly as hoped.

Providing some hope that Germany will achieve its ambitious goals, Spiegel Online International has quoted a newly released…report that says, for the first time, renewable sources accounted for more than 20 percent of the country’s electricity generation…

According to the report, renewable energy sources provided 18.3 percent of total demand in 2010, but the first six months of 2011 saw that figure rise to 20.8 percent, while Germany’s total usage remained steady from 2010 at 275.5 billion kilowatt hours…

Of the 57.3 billion kWh provided by renewable sources in the first six months of 2011, wind power was the dominant source supplying 20.7 billion kWh (7.5 percent of total production), followed by biomass with 15.4 billion kWh (5.6 percent), photovoltaic solar with 9.6 billion kWh (3.5 percent), hydroelectric with 9.1 billion kWh (3.3 percent, and waste and other sources providing 2.2 billion kWh (0.8 percent).

Solar power saw the biggest jump, increasing by 76 percent over 2010 with the BDEW citing the reduction in the price of photovoltaic installations as a result of increased competition and the decision of the federal government not to cut subsidies for private solar-power generation as initially planned as the main reasons for the increase.

“Because of the volume of new photovoltaic installations and the amount of sun during the spring, solar energy knocked hydroelectric from third place for the first time,” said the BDEW.

Two points worth making. First – the economies of scale really play well with photo-voltaics. It’s a technology where small but noticeable advances are being made in both cost of production and efficiencies of energy production. Second – German voters are already sophisticated enough to ignore the hypocrisy of fossil fuel facility builders who whine about continued subsidies. Fact is – all fossil fuel plants rely on taxpayer subsidy for construction. There’s little difference in passing along subsidies to consumers with home installations.

I spent most of the past half-century as an advocate for nuclear power generation. From early days working in the field, it was clear that properly-run there was no need for safety concerns. Over that time the only disasters which have occurred were the result of bureaucratic malingering. Which can happen in any industry. The difference being that falling-down stupid about safety with nuclear power can be fatal on a large scale.

More important, we’ve just about reached the point where the cost of production of electricity via photo-voltaics matches the cost of construction and production of nuclear facilities. That will continue to diminish while the opposite happens with nuclear projects. And there will never be shutdown dangers associated with natural disasters using photo-voltaics.

Catholics pray for Jews to convert – WTF?

On Good Friday, two days before Easter, a prayer titled “Let us Pray for the Conversion of the Jews” was recited in Latin by traditionalist Catholic congregations in Italy, plus 16 sections of the Society of Saint Pius.

The ultra-conservative society, whose excommunication was lifted by Pope Benedict XVI last year, has yet to be fully reintegrated into the Catholic Church, because of its refusal to accept the reforms of the Second Vatican Council…

The reissuing of traditionalist liturgies is the responsibility of the formerly independent Ecclesia Dei Commission, which was incorporated into Cardinal William Levada’s Congregation for the Doctrine of the Faith (known until 1908 as the Inquisition) during the fallout from the Bishop Richard Williamson Holocaust-denying affair. Under the present papacy, the network of internal communications seems to be functioning at an even slower pace than before the changes were made…

A Vatican spokesmen told The Jerusalem Post that “the printing of this title was an error which will be rectified”; however, considering that the expensive new edition was made available only a month ago, the correction may be long in coming.

Some of these lame excuses were worn out a half-century ago. Can’t they blame it on Socialism or race-mixing or something?