Robert Reich's latest book is "THE SYSTEM: Who Rigged It, How To Fix It." He is Chancellor's Professor of Public Policy at the University of California at Berkeley and Senior Fellow at the Blum Center. He served as Secretary of Labor in the Clinton administration, for which Time Magazine named him one of the 10 most effective cabinet secretaries of the twentieth century. He has written 17 other books, including the best sellers "Aftershock,""The Work of Nations," "Beyond Outrage," and "The Common Good." He is a founding editor of the American Prospect magazine, founder of Inequality Media, a member of the American Academy of Arts and Sciences, and co-creator of the award-winning documentaries "Inequality For All," streamng on YouTube, and "Saving Capitalism," now streaming on Netflix.
Who Rigged It, and How We Fix It
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Why we must restore the idea of the common good to the center of our economics and politics
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A cartoon guide to a political world gone mad and mean

For the Many, Not the Few
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The Next Economy and America's Future
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Beyond Outrage:
What has gone wrong with our economy and our democracy, and how to fix it
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The Transformation of Business, Democracy, and Everyday Life
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Why Liberals Will Win the Battle for America
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A memoir of four years as Secretary of Labor
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The Solutions to the Climate Crisis No One is Talking About
Both our economy and the environment are in crisis. Wealth is concentrated in the hands of a few while the majority of Americans struggle to get by. The climate crisis is worsening inequality, as those who are most economically vulnerable bear the brunt of flooding, fires, and disruptions of supplies of food, water, and power.
At the same time, environmental degradation and climate change are themselves byproducts of widening inequality. The political power of wealthy fossil fuel corporations has stymied action on climate change for decades. Focused only on maximizing their short-term interests, those corporations are becoming even richer and more powerful — while sidelining workers, limiting green innovation, preventing sustainable development, and blocking direct action on our dire climate crisis.
Make no mistake: the simultaneous crisis of inequality and climate is no fluke. Both are the result of decades of deliberate choices made, and policies enacted, by ultra-wealthy and powerful corporations.
We can address both crises by doing four things:
First, create green jobs. Investing in renewable energy could create millions of family sustaining, union jobs and build the infrastructure we need for marginalized communities to access clean water and air. The transition to a renewable energy-powered economy can add 550,000 jobs each year while saving the US economy $78 billion through 2050. In other words, a Green New Deal could turn the climate crisis into an opportunity - one that both addresses the climate emergency and creates a fairer and more equitable society.
Second, stop dirty energy. A massive investment in renewable energy jobs isn’t enough to combat the climate crisis. If we are going to avoid the worst impacts of climate change, we must tackle the problem at its source: Stop digging up and burning more oil, gas, and coal.
The potential carbon emissions from these fossil fuels in the world’s currently developed fields and mines would take us well beyond the 1.5°C increased warming that Nobel Prize winning global scientists tell us the planet can afford. Given this, it’s absurd to allow fossil fuel corporations to start new dirty energy projects.
Even as fossil fuel companies claim to be pivoting toward clean energy, they are planning to invest trillions of dollars in new oil and gas projects that are inconsistent with global commitments to limit climate change. And over half of the industry’s expansion is projected to happen in the United States. Allowing these projects means locking ourselves into carbon emissions we can’t afford now, let alone in the decades to come.
Even if the U.S. were to transition to 100 percent renewable energy today, continuing to dig fossil fuels out of the ground will lead us further into climate crisis. If the U.S. doesn’t stop now, whatever we extract will simply be exported and burned overseas. We will all be affected, but the poorest and most vulnerable among us will bear the brunt of the devastating impacts of climate change.
Third, kick fossil fuel companies out of our politics. For decades, companies like Exxon, Chevron, Shell, and BP have been polluting our democracy by pouring billions of dollars into our politics and bankrolling elected officials to enact policies that protect their profits. The oil and gas industry spent over $103 million on the 2016 federal elections alone. And that’s just what they were required to report: that number doesn’t include the untold amounts of “dark money” they’ve been using to buy-off politicians and corrupt our democracy. The most conservative estimates still put their spending at 10 times that of environmental groups and the renewable energy industry.
As a result, American taxpayers are shelling out $20 billion a year to bankroll oil and gas projects – a huge transfer of wealth to the top. And that doesn’t even include hundreds of billions of dollars of indirect subsidies that cost every United States citizen roughly $2,000 a year. This has to stop.
And we’ve got to stop giving away public lands for oil and gas drilling. In 2018, under Trump, the Interior Department made $1.1 billion selling public land leases to oil and gas companies, an all-time record – triple the previous 2008 record, totaling more than 1.5 million acres for drilling alone, threatening multiple cultural sites and countless wildlife. As recently as last September, the Trump administration opened 1.56 million acres of Alaska’s Arctic National Wildlife Refuge to oil drilling, threatening Indigenous cultural heritage and hundreds of species that call it home.
That’s not all. The ban on exporting crude oil should be reintroduced and extended to other fossil fuels. The ban, in place for 40 years, was lifted in 2015, just days after the signing of the Paris Climate Agreement. After years of campaigning by oil executives, industry heads, and their army of lobbyists, the fossil fuel industry finally got its way.
We can’t wait for these changes to be introduced in 5 or 10 years time — we need them now.
Fourth, require the fossil fuel companies that have profited from environmental injustice compensate the communities they’ve harmed.
As if buying-off our democracy wasn’t enough, these corporations have also deliberately misled the public for years on the amount of damage their products have been causing.
For instance, as early as 1977, Exxon’s own scientists were warning managers that fossil fuel use would warm the planet and cause irreparable damage. In the 1980s, Exxon shut down its internal climate research program and shifted to funding a network of advocacy groups, lobbying arms, and think tanks whose sole purpose was to cloud public discourse and block action on the climate crisis. The five largest oil companies now spend about $197 million a year on ad campaigns claiming they care about the climate — all the while massively increasing their spending on oil and gas extraction.
Meanwhile, millions of Americans, especially poor, Black, Brown, and Indigenous communities, already have to fight to drink clean water and breathe clean air as their communities are devastated by climate-fueled hurricanes, floods, and fires. As of 2015, nearly 21 million people relied on community water systems that violated health-based quality standards.
Going by population, that’s essentially 200 Flint, Michigans, happening all at once. If we continue on our current path, many more communities run the risk of becoming “sacrifice zones,” where citizens are left to survive the toxic aftermath of industrial activity with little, if any, help from the entities responsible for creating it.
Climate denial and rampant pollution are not victimless crimes. Fossil fuel corporations must be held accountable, and be forced to pay for the damage they’ve wrought.
If these solutions sound drastic to you, it’s because they are. They have to be if we have any hope of keeping our planet habitable. The climate crisis is not a far-off apocalyptic nightmare — it is our present day.
Australia’s bushfires wiped out a billion animals, California’s fire season wreaks more havoc every year, and record-setting storms are tearing through our communities like never before.
Scientists tell us we have 10 years left to dramatically reduce emissions. We have no room for meek half-measures wrapped up inside giant handouts to the fossil fuel industry.
We deserve a world without fossil fuels. A world in which workers and communities thrive and our shared climate comes before industry profits. Working together, I know we can make it happen. We have no time to waste.
Donald Trump has just finished the last of his nine post-election “thank you tour” rallies. Why did he do them? And why is he planning further rallies after he becomes president?
One clue is that Trump conducted them only in the states he won. And most attendees appeared to have voted for him – overwhelmingly white, and many wearing Trump hats and T-shirts. When warm-up speakers asked how many had previously attended a Trump rally, most hands went up.
A second clue is that rather than urge followers to bury the hatchet, Trump wound them up. “It’s a movement,” he said in Mobile, playfully telling the crowd that in the run-up to the election, “You people were vicious, violent, screaming, ‘Where’s the wall?’ ‘We want the wall!’ Screaming, ‘Prison!’ ‘Prison!’ ‘Lock her up!’ I mean, you were going crazy. You were nasty and mean and vicious.” He called his followers “wild beasts.”
A third clue: Rather than shift from campaigning to governing, Trump’s post-election rallies were almost identical to the rallies he held when he was a candidate – the same format, identical pledges (“We will build a great wall!”), and same condemnations of the “dishonest” media. They also elicited many of the same audience responses, such as “Lock her up! Lock her up!”
And rather than use the rallies to forgive those who criticized him during the campaign, he employed them to settle scores — criticizing politicians who opposed his candidacy, like Ohio Governor John Kasich; blasting media personalities who predicted he would lose, such as CNN’s John King; and mocking opponents, such as Evan McMullin, the Republican who campaigned against him as an independent in Utah.
Trump vows to continue these rallies after he becomes president. As he told the crowd in Mobile, “They’re saying, ‘As president, he shouldn’t be doing rallies.’ But I think we should, right? We’ve done everything else the opposite. This is the way you get an honest word out.”
“Get an honest word out?” There’s the real tipoff.
Like his non-stop tweets, Trump’s purpose in holding these rallies is to connect directly with a large and enthusiastic base of followers who will believe what he says – and thereby reject facts from mainstream media, policy analysts, government agencies that collect data, and the scientific community.
During his just-completed “thank-you tour,” Trump repeatedly claimed, for example, that the murder rate in the United States is the largest it’s been in 45 years. In fact, it’s near a 50-year low, according to the FBI.
He also repeatedly said he won the election by a “landslide,” when in fact he lost the
popular vote by 2.8 million votes – over five times Al Gore’s margin over
George W. Bush in 2000.
And he repeatedly asserted that the election was marred by “massive voting fraud,” when in fact there has been no evidence of voting fraud at all (unless you consider the possibility that Russia hacked into our voting systems – which Trump dismisses).
A democracy depends on truth. Trump’s claims that the murder rate is soaring may elicit support for policies such as harsher policing and sentencing – the opposite of what we need. His assertions that he won by a landslide may give him a mandate he doesn’t deserve. His claims of “massive voter fraud” could legitimize further efforts to suppress votes through rigid ID and other requirements.
If repeatedly told Muslims are the enemy, the public may support efforts to monitor them and their places of worship inside America, or even to confine them. If told that tide of undocumented immigrants is rising (in fact, it’s been falling), the public could get behind draconian policies to keep them out.
If told to ignore scientific evidence of climate change, the public may reject efforts to reverse it. If told to disregard CIA reports of Russian tampering with our elections, the public could become less vigilant about future tampering.
In short, the rallies and tweets give Trump an unprecedented platform for telling Big Lies without fear of contradiction – and therefore for advancing whatever agenda he wishes.
It’s no coincidence that Trump continues to denigrate the media, and hasn’t held a news conference since July.
A president intent on developing a base of enthusiastic supporters who believe bald-faced lies poses a clear threat to American democracy. This is how tyranny begins.
TAKE BACK THE SENATE!
Amid all the focus on the presidential race it’s also important to keep in mind Democrats have a fighting chance to take back the Senate in November. There are at least 12 races in play. Win five, and Democrats are in control regardless of the outcome of the presidential election.
Many of of the Democrats on the ballot this year are progressives who have been fighting to raise the minimum wage, expand Social Security, provide paid sick leave and paid parental leave. Many are women and people of color who will make the Senate look more like the rest of America.
Win five of these races and we’d have a chance for a Supreme Court that would prioritize the rights and needs of average Americans rather than big corporations and overturn Citizens United!
Win five of these races and we’d put Senate oversight of the government back into the hands of people who care that government actually works.
We’d strengthen the ranks of progressives like Elizabeth Warren, Bernie Sanders, Jeff Merkley, Sherrod Brown, and others – who we are counting on in the fight to get big money out of politics, reduce income and wealth inequality, confront devastating climate change, and push a progressive foreign policy.
A Democratic Senate would also give us a line of defense, a countervailing power in budget showdowns, foreign policy lock downs, and threatened government shutdowns.
If Hillary Clinton becomes president, a Democratic Senate will help push her positive agenda, and hold her accountable if she veers away from it. If Donald Trump becomes president – well, let’s just say we’ll need a Democratic Senate more than ever.
So please remember what’s at stake. And Vote on November 8th!
As extreme weather marked by tornadoes and flooding continues to sweep across Texas, Gov. Greg Abbott has requested – and President Obama has granted – federal help.
I don’t begrudge Texas billions of dollars in disaster relief. After all, we’re all part of America. When some of us are in need, we all have a duty to respond.
But the flow of federal money poses a bit of awkwardness for the Lone Star State.
After all, just over a month ago hundreds of Texans decided that a pending Navy Seal/Green Beret joint training exercise was really an excuse to take over the state and impose martial law. And they claimed the Federal Emergency Management Agency was erecting prison camps, readying Walmart stores as processing centers for political prisoners.
There are nut cases everywhere, but Texas’s governor, Greg Abbott added to that particular outpouring of paranoia by ordering the Texas State Guard to monitor the military exercise. “It is important that Texans know their safety, constitutional rights, private property rights and civil liberties will not be infringed upon,” he said. In other words, he’d protect Texans from this federal plot.
Now, Abbott wants federal money. And the Federal Emergency Management Agency is gearing up for a major role in the cleanup – including places like Bastrop, Texas, where the Bastrop State Park dam failed – and where, just five weeks ago, a U.S. Army colonel trying to explain the pending military exercise was shouted down by hundreds of self-described patriots shouting “liar!”
Texans dislike the federal government even more than most other Americans do. According to a February poll conducted by the University of Texas and the Texas Tribune, only 23 percent of Texans view the federal government favorably, while 57 percent view it unfavorably, including more than a third who hold a “very unfavorable” view.
Texas dislikes the federal government so much that eight of its congressional representatives, along with Senator Ted Cruz, opposed disaster relief for the victims of Hurricane Sandy – adding to the awkwardness of their lobbying for the federal relief now heading Texas’s way.
Yet even before the current floods, Texas had received more disaster relief than any other state, according to a study by the Center for American Progress. That’s not simply because the state is so large. It’s also because Texas is particularly vulnerable to extreme weather – tornadoes on the plains, hurricanes in the Gulf, flooding across its middle and south.
Given this, you might also think Texas would take climate change especially seriously. But here again, there’s cognitive dissonance between what the state needs and how its officials act.
Among Texas’s infamous climate-change deniers is Lamar Smith, chairman of the House Committee on Science, Space, and Technology, who dismissed last year’s report by the United Nations’ Intergovernmental Panel on Climate Change as “more political than scientific,“ and the White House report on the urgency of addressing climate change as designed “to frighten Americans.”
Smith is still at it. His committee just slashed by more than 20 percent NASA’s spending on Earth science, which includes climate change.
It’s of course possible that Texas’s current record rainfalls – the National Weather Service reports that the downpour in May alone was enough to put the entire state under eight inches of water – has nothing to do with the kind of extreme weather we’re witnessing elsewhere in the nation, such as the West’s current drought, the North’s record winter snowfall, and flooding elsewhere.
But you’d have to be nuts not to be at least curious about such a connection, and its relationship to the carbon dioxide humans have been spewing into the atmosphere.
Consider also the consequences for the public’s health. Several deaths in Texas have been linked to the extreme weather. Many Texans have been injured by it, directly or indirectly. Poor residents are in particular peril because they live in areas prone to flooding or in flimsy houses and trailers that can be washed or blown away.
What’s Texas’s response? Texas officials continue to turn down federal funds to expand Medicaid under the Affordable Care Act, thereby denying insurance to more than 1 million people and preventing the state from receiving an estimated $100 billion in federal cash over the next decade.
I don’t want to pick on Texas. Its officials are not alone in hating the federal government, denying climate change, and refusing to insure its poor.
And I certainly don’t want to suggest all Texans are implicated. Obviously, many thoughtful and reasonable people reside there.
Yet Texans have elected people who seem not to have a clue. Indeed, Texas has done more in recent years to institutionalize irrationality than almost anywhere else in America – thereby imposing a huge burden on its citizens.
How many natural disasters will it take for the Lone Star State to wake up to the disaster of its elected officials?
Out with 2014, In with 2015, and Up with People
We’ve made progress this year – raising the minimum wage in dozens of states and cities, providing equal marriage rights in a majority of states, limiting carbon emissions. But there’s far more to do.
The economy looks like it’s improving but most Americans are still stuck in recession, and almost all the economic gains are still going to the top. The only way we can have an economy that works for the many, not the few, is to get big money out of politics – so the rules of the economic game aren’t biased in favor of big corporations, Wall Street, and the rich. And to get more people fighting for equal opportunity and shared prosperity.
But many Americans have become so cynical about politics they no longer even bother to vote. Turnout in the 2014 midterm elections was the lowest in decades. This is exactly what the moneyed interests want. If we give up on politics we give up on democracy, and they can take over all of it.
Never underestimate what we can, and will, accomplish together. Organizing. Mobilizing. Energizing. Making a ruckus.
Here’s to your and yours for a great 2015.
According to reports, one of the first acts of the Republican congress will be to fire Doug Elmendorf, current director of the non-partisan Congressional Budget Office, because he won’t use “dynamic scoring” for his economic projections.
Dynamic scoring is the magical-mystery math Republicans have been pushing since they came up with supply-side “trickle-down” economics.
It’s based on the belief that cutting taxes unleashes economic growth and thereby produces additional government revenue. Supposedly the added revenue more than makes up for what’s lost when Congress hands out the tax cuts.
Dynamic scoring would make it easier to enact tax cuts for the wealthy and corporations, because the tax cuts wouldn’t look as if they increased the budget deficit.
Incoming House Ways and Means Chairman Paul Ryan (R-Wis.) calls it “reality-based scoring,” but it’s actually magical scoring – which is why Elmendorf, as well as all previous CBO directors have rejected it.
Few economic theories have been as thoroughly tested in the real world as supply-side economics, and so notoriously failed.
Ronald Reagan cut the top income tax rate from 70 percent to 28 percent and ended up nearly doubling the national debt. His first budget director, David Stockman, later confessed he dealt with embarrassing questions about future deficits with “magic asterisks” in the budgets submitted to Congress. The Congressional Budget Office didn’t buy them.
George W. Bush inherited a budget surplus from Bill Clinton but then slashed taxes, mostly on the rich. The CBO found that the Bush tax cuts reduced revenues by $3 trillion.
Yet Republicans don’t want to admit supply-side economics is hokum. As a result, they’ve never had much love for the truth-tellers at the Congressional Budget Office.
In 2011, when briefly leading the race for the Republican presidential nomination, Newt Gingrich called the CBO “a reactionary socialist institution which does not believe in economic growth, does not believe in innovation and does not believe in data that has not been internally generated.”
The CBO has continued to be a truth-telling thorn in the Republican’s side.
The budget plan Paul Ryan came up with in 2012 – likely to be a harbinger of what’s to come from the Republican congress – slashed Medicaid, cut taxes on the rich and on corporations, and replaced Medicare with a less well-funded voucher plan.
Ryan claimed these measures would reduce the deficit. The Congressional Budget Office disagreed.
Ryan persevered. His 2013 and 2014 budget proposals were similarly filled with magic asterisks. The CBO still wasn’t impressed.
Yet it’s one thing to cling to magical-mystery thinking when you have only one house of Congress. It’s another when you’re running the whole shebang.
Now that Elmendorf is on the way out, presumably to be replaced by someone willing to tell Ryan and other Republicans what they’d like to hear, the way has been cleared for all the magic they can muster.
In this as in other domains of public policy, Republicans have not shown a particular affinity for facts.
Climate change? It’s not happening, they say. And even if it is happening, humans aren’t responsible. (Almost all scientists studying the issue find it’s occurring and humans are the major cause.)
Widening inequality? Not occurring, they say. Even though the data show otherwise, they claim the measurements are wrong.
Voting fraud? Happening all over the country, they say, which is why voter IDs and other limits on voting are necessary. Even though there’s no evidence to back up their claim (the best evidence shows no more than 31 credible incidents of fraud out of a billion ballots cast), they continue to assert it.
Evolution? Just a theory, they say. Even though all reputable scientists support it, many Republicans at the state level say it shouldn’t be taught without also presenting the view found in the Bible.
Weapons of mass destruction in Iraq? America’s use of torture? The George W. Bush administration and its allies in Congress weren’t overly interested in the facts.
The pattern seems to be: if you don’t like the facts, make them up.
Or have your benefactors finance “think tanks” filled with hired guns who will tell the public what you and your patrons want them to say.
If all else fails, fire your own experts who tell the truth, and replace them with people who will pronounce falsehoods.
There’s one big problem with this strategy, though. Legislation based on lies often causes the public to be harmed.
Not even “truthiness,” as Stephen Colbert once called it, is an adequate substitute for the whole truth.
The “fiscal cliff” is a a metaphor for a government that no longer responds to the biggest challenges we face because it’s paralyzed by intransigent Republicans, obsessed by the federal budget deficit, and overwhelmed by big money from corporations, Wall Street, and billionaires.
If we had a functional government America would address three “cliffs” posing far larger dangers to us than the fiscal one:
The child poverty cliff.
Between 2007 and 2011, the percentage of American school-age children living in poor households grew from 17 to 21%. Last year, according to the Agriculture Department, nearly 1 in 4 young children lived in a family that had difficulty affording sufficient food at some point in the year.
Yet federal programs to help children and lower-income families – food stamps, aid for poor school districts, Pell grants, child health care, child nutrition, pre- and post-natal care, and Medicaid – are being targeted by the Republican right. Over 60 percent of the cuts in the GOP’s most recent budget came out of these programs.
Even if these programs are preserved, they don’t go nearly far enough. But the Obama Administration doesn’t talk about reducing poverty in America. It talks only about preserving the middle class.
Yet unless we focus on better schools, better health, and improved conditions for these poor kids and their families, in a few years America will have a significant population of under-educated and desperate adults.
The baby-boomer healthcare cliff.
Healthcare costs are already 18% of GDP. Between now and 2030, when 76 million boomers join the ranks of the elderly, those costs will soar. This is the principal reason why the federal budget deficit is projected to grow.
The Affordable Care Act offers a start but it isn’t nearly adequate to limit these rising costs. The President and the Democrats have to lead the way in using Medicare and Medicaid’s bargaining power over providers to get lower costs and to move from a fee-for-service system to a fee-for-healthy outcomes system of healthcare.
But we can’t avoid the fact we have the most expensive and least effective system of health care in the world that’s spending 30 percent more on paperwork and administration than on keeping people healthy. The real healthcare cliff can only be avoided if we adopt a single-payer healthcare system.
The environmental cliff.
Global emissions of carbon dioxide jumped 3 percent in 2011 and are expected to jump another 2.6 percent this year according to scientists, putting the human race perilously close to the tipping point when ice caps irretrievably melt, sea-levels rise, and amount of available cropland in the world becomes dangerously small.
Yet Republicans (and their patrons, such as Charles and David Koch) continue to deny climate change. And the Administration is no longer pushing for a cap-and-trade system or a carbon tax.
Yet unless we act to reduce carbon emissions, other major emitters won’t do so. The only binding pact so far is the Kyoto Protocol, which the U.S. never joined. And we’re taking no leadership at the international climate talks now taking place in Qatar.
Yes, America does face a cliff – not a fiscal cliff but a set of precipices we’ll tumble over because the GOP’s obsession over government’s size and spending has obscured them. And Democrats so far haven’t been able or willing to sound the real alarms.