Originally, more than a week ago, it was unclear exactly what was going on in Wisconsin. A new Republican governor, a tea party candidate, was trying to extract concessions from a union. No surprises here. Everyone assumed that Wisconsin, like all other states, was in financial peril. Nothing could be further from the truth. As a matter fact, Wisconsin’s budget was just fine before the governor started giving away tax cuts to businesses. Let’s be clear, business tax cuts do not stimulate the local economy. Business tax cuts make business leaders happy. States hope that happy business leaders will expand their businesses within the state and hire more employees. Past experience has shown us that this is not necessarily the case.
I’ve edited a couple of Rachel Maddow shows to hone down to the crux of the problem. The problem is that unions support Democratic candidates. That’s the problem. If you’re able to break the union, you’re able to break the funding mechanism of Democratic candidates. This is what the crisis/showdown in Wisconsin is all about. Watch the video:
One of the talking points that the right-wing has used during this crisis in Wisconsin was that the union workers were paying almost nothing into their pensions and paying almost nothing for healthcare. That was their argument. They didn’t go the extra step and find out that union workers in Wisconsin get paid less. It would be completely different if union workers in Wisconsin got paid at the same rate as nonunion workers. This would make their total compensation much higher than their private-sector colleagues. Reality tells us that the union workers are receiving less in salary and less in total compensation. So this government giveaway that Republicans are pushing is a crock.
NPR had a discussion on the Diane Rehm’s show with one of the lost democrats in Wisconsin. She agrees with what Errington is saying and that is the reason they are staying out of state. They wanted to bring all this out in the open and let the people of the state see exactly what the governor was trying to push through in 3 days. It was interesting to hear the Federal Government now wants to control the state plans. The congressman in the interview states the feds are not to bail out the states anymore for the pension problems. That they would have to figure it out themselves. It was in interesting interview especially why the democrats are doing what they are doing in Wisconsin.
http://thedianerehmshow.org/shows/2011-02-23/state-public-pension-plans
Utah has 72 million of their state retirement money invested in Iranian companies. The state refuses to sell the investments stating it will cost the fund 1.2 million. Now how is that for a RED state.
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Much of the outrage from labor distracts from the power grab in the gov’s bill that would enable Gov. Walker to award NO BID CONTRACTS – service and service management contracts – by FIAT!
Ergo, watch the KOCH Brothers go after Wisconsin power systems for mgmt. & service only – who wants to own a liability when you just need the authority to rip off customers? Do not be distracted: BILLIONS of dollars are on the line!
It’s the usual Tea Party disconnect between the elected “Tea Party candidate” and the Tea Party followers.
When these rank & file Tea Partiers pack heat at their own town halls, things will change. Not before. They are so badly misled and so distracted.