George Zornick

Emerging Fiscal Cliff Deal Spares Corporations, but Not the Safety Net

George Zornick on December 12, 2012 - 1:07 PM ET

(AP Photo/Susan Walsh)

Meet Five CEOs Who Prove That Lower Corporate Taxes Don't Equal More Hiring

George Zornick on December 11, 2012 - 6:34 PM ET

Corporate tax rates must be lowered in order to create economic growth: this is a key argument made by CEOs and their political allies while they push for a fiscal cliff deal. That was in the Bowles-Simpson plan, and members of Fix the Debt are pushing for that too, along with a territorial tax system.

This desire is deeply held in much of Washington, as explained by Mike Allen and Jim VandeHei in an article for Politico that’s been roundly roasted all day:

But top Republicans and Democrats agree the best thing for the economy in the long term is to simplify the Tax Code, reduce rates and end loopholes—not just for individuals but also for corporations. This is tough, complex stuff, but a consensus is slowly emerging.

Jobs Report Takeaway: Fiscal Cliff Deal Must Address Unemployment

George Zornick on December 7, 2012 - 2:19 PM ET

During the run-up to the election, the monthly jobs reports were relentlessly mined for tidbits that could predict the outcome of the election. These often-esoteric extrapolations got pretty ridiculous—the election wasn’t going to be determined by slight fluctuations in labor force participation.

The Bureau of Labor Statistics report released today, however, carries true political import. As Congress and the White House attempt to hammer out a year-end deal, today’s numbers show that unemployment remains a critical problem, and that recent progress was a little bit too good to be true—so any final deal must provide short-term stimulus and delay any austerity measures.

The top-line looks good: 146,000 jobs added, which exceeded most projections, and a drop in the unemployment rate to 7.7 percent, which is the lowest it’s been since 2007. But a deeper look reveals much more depressing indicators. The labor market shrunk as 350,000 people stopped looking for work, which contributed to the lower unemployment rate. The private sector contributed virtually all of the job growth, and the retail industry was the biggest contributor—good for now, but these are likely retailers amping up for the holiday season, and thus not a reliable hiring engine going forward.

Ad Policy

Why Raising the Eligibility Age is the 'Single Worst Idea' for Medicare Reform

George Zornick on November 29, 2012 - 4:45 PM ET

Most of what’s happening now in the fiscal cliff saga is just posturing—each side is trying to appear open to compromise while at the same time assuring its base that sacred principles will be respected.

But this morning, Politico reported what could be the early contours of an actual deal that’s taking shape behind the scenes. There’s a huge caveat to this story, written by Mike Allen and Jim VandeHei, because it couldn’t be any more vaguely sourced. Allen and VandeHei refer only to “top officials,” “veterans of this budget fight,” and so on, so it’s impossible to discern who is feeding them this information and why.

But assuming for a moment it’s true, there are some details sure to give progressives indigestion. In exchange for Republicans agreeing to tax increases—including rate hikes—on the top two percent of earners, this is what is allegedly being talked about for entitlement reform:

What the CEOs Lobbying on the Fiscal Cliff Really Want

George Zornick on November 28, 2012 - 4:48 PM ET

CEOs from several big corporations meet with House Republican leaders on November 28, 2012, in Washington. Photo courtesy of the Office of the Majority Whip.

A merry band of corporate executives is zig-zagging Washington today, meeting with almost every principal player in the “fiscal cliff” negotiations. The CEOs are meeting with administration officials at the White House, with House Speaker John Boehner, and with House Minority Leader Nancy Pelosi.

Progressives Organize Push for a Strong SEC Chair

George Zornick on November 27, 2012 - 1:02 PM ET

Before Securities and Exchange Commission chair Mary Schapiro announced she would step down, progressives were organizing a campaign to ensure President Obama picks a strong replacement. Now that Schapiro has made it official, those efforts are at a full boil.

CREDO Action launched a petition asking President Obama to “[a]ppoint an S.E.C. chair who will hold Wall Street accountable” which has gained over 41,000 signatures as of this morning. The clear thrust of the petition is that the appointment of a new SEC is a key inflection point in the battle to reform Wall Street—perhaps one of the last big opportunities President Obama will have:

Wall Street has countless well-paid spinmeisters and well funded public relations efforts that have sought to absolve Wall Street crooks of any responsibility for the financial collapse. According to their Orwellian version of history, the people who gambled in the Wall Street casino with taxpayer money didn’t do anything wrong. And according to their vision, the best thing the government can do to get the economy on track is just get out of Wall Street’s way. That would be a dangerous perspective for one of Wall Street’s top cops. Tell President Obama: Appoint a real champion for Wall Street accountability to the S.E.C.

Mary Schapiro's Departure Creates an Opportunity for a Stronger SEC

George Zornick on November 26, 2012 - 5:28 PM ET

Securities and Exchange Commission (SEC) Chair Mary Schapiro. (AP Photo/Charles Dharapak)

Securities and Exchange Commission chairman Mary Schapiro’s departure, expected for months and announced today, creates an opportunity to vigorously pursue a new era at the agency of tough enforcement and the implementation of strong new rules on Wall Street behavior.

Keystone Protesters March on the White House

George Zornick on November 19, 2012 - 1:32 PM ET

Anti-pipeline protesters outside the White House on November 18, 2012. Photo by Nick Myers

by Nick Myers, Nation DC intern

Barney Frank, Ron Paul Pressure Obama on New Marijuana Laws

George Zornick on November 14, 2012 - 1:33 PM ET

Last week, voters in Colorado passed a bill that changed state laws to allow possession of one ounce of marijuana and six plants, while Washington voters changed state laws to allow residents over 21 to purchase up to an ounce of weed from licensed dealers.

The problem, of course, is that federal law still prohibits marijuana possession, and the Obama administration has shown it’s willing and able to raid marijuana operations that have been sanctioned by state law.

It’s not yet clear how the feds will respond to the new laws in Washington and Colorado—the US Attorney’s office in Colorado says it is “reviewing the ballot initiative” and has no comment “at this time.” But Wednesday, two high-profile members of Congress publicly asked the Obama administration to respect the state laws, making them the first members to speak out strongly in support of the local laws.