by Eric Martin
Republican Governor Arnold Schwarzenegger gave a speech yesterday defending a recently passed California law setting emissions standards/targets that, in many ways, shocked me deeply. The reason for my surprise (pleasant at that) is that Schwarzenegger spoke some truths that are rarely uttered by mainstream politicians - and even less frequently by politicians on the right side of the spectrum.
He took on, full bore and without pulled punches, the corrupting influence of money in politics; the fact that the greedy self-interest of powerful factions often overwhelms the public good; the many external costs associated with our dependence on fossil fuels (which are almost never taken into account when calculating the costs of environmental regulations); and the fact that our dependency on oil warps our foreign policy decisions.
His speech is a long-overdue thing of beauty:
I want to talk about the corruption of the democratic process, and about forces willing to sabotage this country's economic future for private gain.
I want to talk about Texas oil interests that have descended up on California to overturn a Californian environmental law. and then assume that they've done the dirty work thanks to millions of dollars of scare tactic advertising.[...]
There's a great drama, there is a great struggle playing out here in California right now that the rest of the world doesn't pay much attention to and knows very little about. And that's why I'm here today to put the spotlight on this very important issue. [...]
Oil companies like Valero and Tesoro and Frontier are blatantly trying to manipulate the will of the people and the good.[...]
The effort is similar to the conspiracy hatched among oil companies in the 1920s to get rid of light rail systems. Then, the companies bought up the easements for light rail systems in 45 cities and then systematically dismantled them. [...]
Today Valero and Tesoro and others involved are involved in a conspiracy, but not in a criminal conspiracy, but clearly in a cynical one. They are not seeking to buy rail systems, but to buy votes this time. Yet the motivation is the same which is self-serving greed.
2/3 of Californians approve our state law to reduce carbon dioxide emissions. But you know who the two most prominent opponents are?...Valero and Tesoro, also two of the state's top polluters. They're behind an initiative on the November ballot called Proposition 23, which would suspend our law to reduce greenhouse gas emissions. But in reality, because of the fine print when it comes to unemployment, they really don't want to just suspend it, they want to kill this initiative, they want to kill our laws. [...]
...And while they're not creating a shell company, they are creating a shell argument that this is about saving jobs. Does anyone really believe that these companies that out of the goodness of their black oil hearts are spending millions and millions of dollars to protect jobs? This is like Eva Braun writing a kosher cookbook -- it's not about jobs at all, ladies and gentlemen, it's about their ability to pollute and thus protect their profits. [...]
Those who seek to overturn our carbon reduction law say that the green-tech future is too costly. Another excuse, great, great excuse, huh?
But here's what they don't want to tell you. the cost calculations doesn't include the increased of cost doing business their way, the old way. They don't include the cost of rising oil prices as the developing world demands more and more oil.
They don't include the costs of job losses that is rising oil prices will force.
They don't include the costs of hundreds of billions of dollars in tax breaks that have gotten and continued to get.
They don't include the costs of pollution that are already causing -- the cost, for instance, to hundreds of thousands of Americans who die every year from smog-related diseases.
They don't include also the cost of 6.5 million hospital visits a year for smog-related illnesses.
They don't include the cost of the NEXT War over Oil. And believe me, eventually it will come as we become more and more dependent on Oil. I mean, I think that we have had enough wars in the Middle East because of Oil.
Don't you think so? [emphasis added]
The bolded parts really do bear emphasizing: Wealthy interests in this nation (and elsewhere, obviously) have in the past, are currently, and will continue to, manipulate the political process to enrich themselves - usually at the expense of the common good. That is a simple, obvious and undeniable fact.
Which is part of why it is so maddening that any talk about making the tax code even slightly more progressive (or eliminating hedge fund loopholes and corporate welfare) receives such push back from people that should know better, and whose interests would be better served by a slight tilt toward the middle class - especially following an era during which the Bush administration's heavy hand placed was placed firmly on the scales in favor of the uber-wealthy.
There was in the past, is now, and will continue to be, a class war being waged in this country, only popular discourse has perverted its contours, its winners and its ongoing losers. The wealthiest Americans are not under siege any more than the oil industry is looking out for the jobs of Californians. They are not operating under onerous tax burdens (in fact, the wealthiest among us pay a lower effective rate than the working stiffs) any more than the oil industry is operating under environmental regulations that make profits unattainable.
They are not on the verge of Going Galt, and if they wanted to, they wouldn't be able to find a stable, advanced, Western liberal democracy with friendlier tax codes.
The numbers tell the story about which classes are winning and, surprise, it's not the all powerful middle and lower classes:
The income gap between the richest and poorest Americans grew last year to its widest amount on record as young adults and children in particular struggled to stay afloat in the recession.
The top-earning 20 percent of Americans — those making more than $100,000 each year — received 49.4 percent of all income generated in the United States, compared with the 3.4 percent earned by those below the poverty line, according to newly released census figures. That ratio of 14.5-to-1 was an increase from 13.6 in 2008 and nearly double a low of 7.69 in 1968.
A different measure, the international Gini index, found United States income inequality at its highest level since the Census Bureau began tracking household income in 1967. The United States also has the greatest disparity among Western industrialized nations.
At the top, the wealthiest 5 percent of Americans, who earn more than $180,000, added slightly to their annual incomes last year, census data show. Families at the $50,000 median level slipped lower.
Such gaping disparaties in wealth are not only bad for a consumer-oriented economy (hard to keep consumption churning when the vast majority of consumers don't have the means to consume), but it is bad for democracy as well (with the means to affect political decisions increasingly reserved for an ever-smaller cluster of extremely wealth interests).
The dynamic surrounding the fight over Proposition 23 that Schwarzenegger describes is a microcosm, not an outlier.
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