End Seniority to Help Depolarize Congress

PPI Senior Fellow Anne Kim explains how to de-polarize Congress over at Roll Call:

In the last several months, the Washington policy world has begun a necessary and constructive debate over how to “de-polarize” the nation’s politics. Scholars Thomas Mann and Norman Ornstein, for example, have made a compelling case for a suite of structural improvements to the political system, including redistricting and campaign finance reform.

But while most proposals have looked to fix the political system in the big picture, another place to look to reform might be Congress’ internal workings as well. In particular, Congress should consider scrapping seniority as the basis for deciding committee chairmanships, especially in the House where individual members have much less power than in the Senate.

Aside from leadership, committee chairs are among the most powerful members of Congress. They decide the legislative agenda, broker deals over major bills and shepherd them through Congress. They wield enormous influence over their colleagues and command prodigious fundraising ability.

Read the entire article HERE.

Election Watch: Romney’s Referendum and Obama’s Future

June 5 represented the rare moment when a down-ballot contest almost completely eclipsed the presidential race, with the Wisconsin recall election blotting out the sun for several days. As you know by now, Scott Walker survived the recall effort by a solid 53-46 margin. Democrats did manage to recall a Republican state senator, and achieve control of the chamber—though that accomplishment was mainly symbolic, since the legislature is out of session until after the November elections.

The vast spin-a-thon over the results has focused on three main issues: money, meaning, and national implications.

Continue reading “Election Watch: Romney’s Referendum and Obama’s Future”

The Forgotten Communitarian

PPI President Will Marshal explains why Bill Clinton’s contributions to restoring the language of civic obligation are so frequently overlooked over at Democracy:

“In “Restoring the Language of Obligation,” [Issue #24] James Kloppenberg laments “the ignorance of most Americans about the centrality of the concept of obligation in American history.” Yet there’s a gaping hole in his own synopsis of that history—the 1990s, when civic themes re-entered the nation’s political discourse in a big way”

“Invocations of civic duty and the disinterested pursuit of the common good were touchstones of American politics from colonial days until around the 1970s, says Kloppenberg, when liberals “traded the language of duties for the language of rights.” He argues persuasively that the ensuing fixation with rights talk and identity politics sped the unraveling of the New Deal coalition, and, by eroding more expansive notions of social solidarity, abetted the rise of Ronald Reagan’s anti-government populism.”

“But there his recap ends, skipping the striking period of civic ferment that followed. In politics, for example, Bill Clinton and the “New Democrats” consciously sought to reclaim the civic-republican tradition. Concepts like mutual obligation, community, and national service, and balancing citizens’ rights with their responsibilities, were central to the nation’s political conversation in the 1990s, and even migrated abroad via the “third way” dialogue between Clinton, Tony Blair, and other center-left political leaders.”

Read the entire article HERE.

Online Petitions Distract Congress From Real Issues

Anne Kim, PPI Managing Director of Policy and Strategy, explains how online petitions distract Congress from real issues over at U.S. News:

“Recently, Congress finally wrapped up weeks of heated debate over the survival of the Export-Import bank—a tiny, independent, and once-obscure agency that involves just 2 percent of U.S. exports.”

“The sudden spotlight on the once-incognito Export-Import bank is in part about election year politics; there aren’t enough teapots to hold the tempests politicos seem to brew daily. But credit also goes to a cottage industry of special interests organizations that make a living serving up “issues” as red meat for their memberships (and coincidentally as vehicles for their fundraising).”

“The campaign to end Export-Import Bank, for example, was one of several national petition drives being peddled by the right-leaning National Taxpayers Union. (The organization’s home page invites visitors to “Donate,” “Shop,” or “Take Action,” in that order, and the merchandise includes such books as How to Fight Property Taxes available for $9.95.) It was also a top legislative priority for the lobbying arm of the conservative Family Research Council, FRC Action, which prospective members can join for just $25, as well as a “key vote” for the Club for Growth.”

Read the entire op-ed HERE.

The Forgotten Communitarian

PPI President Will Marshal explains why Bill Clinton’s contributions to restoring the language of civic obligation are so frequently overlooked over at Democracy:

“In “Restoring the Language of Obligation,” [Issue #24] James Kloppenberg laments “the ignorance of most Americans about the centrality of the concept of obligation in American history.” Yet there’s a gaping hole in his own synopsis of that history—the 1990s, when civic themes re-entered the nation’s political discourse in a big way”

“Invocations of civic duty and the disinterested pursuit of the common good were touchstones of American politics from colonial days until around the 1970s, says Kloppenberg, when liberals “traded the language of duties for the language of rights.” He argues persuasively that the ensuing fixation with rights talk and identity politics sped the unraveling of the New Deal coalition, and, by eroding more expansive notions of social solidarity, abetted the rise of Ronald Reagan’s anti-government populism.”

“But there his recap ends, skipping the striking period of civic ferment that followed. In politics, for example, Bill Clinton and the “New Democrats” consciously sought to reclaim the civic-republican tradition. Concepts like mutual obligation, community, and national service, and balancing citizens’ rights with their responsibilities, were central to the nation’s political conversation in the 1990s, and even migrated abroad via the “third way” dialogue between Clinton, Tony Blair, and other center-left political leaders.”

Read the entire article HERE.

The Net Roots, the Super Rich, and the Ugly, Endless Election

PPI Executive Director Lindsay Lewis explains the outsized and damaging influence of both the super rich and net roots activists over at The Daily Beast:

“The Wisconsin brag-and-blame games have begun. Democrats wasted no time dismissing Gov. Scott Walker’s recall win as proof that the big out-of-state money trumped local sentiment, while Republicans are still fuming about labor’s national push to oust him. ”

“Both sides are right.”

“The people of Wisconsin have been merely pawns in the new era of nonstop nationalized campaigning. Election Day is now just the pause between quarters in a campaign game that never ends. The battle over Walker had very little to do with Oshkosh, Madison, or Milwaukee. The U-Hauls, vans, and flights leaving town now like the Ringling Brothers Circus packing up its tent poles en route to the next town—while Wisconsinites are left with the elephant dung to clean up.”

Read the entire op-ed HERE.

Election Watch: The Republicans Gain Momentum

Mitt Romney crossed the 1,144 delegate threshold to officially claim the GOP presidential nomination via Texas’ May 29 primary. As planned, his campaign launched an attack on the president’s fiscal and economic policies, focusing initially on “failed stimulus projects” and then featuring a surprise visit by the candidate to the site of the bankrupt Solyndra facility, which received a $535 million “clean energy” loan guarantee from the DoE.

But the Romney “pivot” was overshadowed by bad publicity from his strangely timed, May 29 Las Vegas fundraiser, starring Donald Trump (at Trump’s Vegas hotel). The “Trump” made it vastly worse by releasing a barrage of statements reopening the Obama birth certificate “issue.” The big question today is whether the latest not-so-good news on the economic front—a BLS May “jobs report” showing a downward revision of the last two months’ jobs gains and an underwhelming 69,000 new jobs for May—will dominate the presidential campaign for the period just ahead.

Continue reading “Election Watch: The Republicans Gain Momentum”

Keep Drug Bill Pro-Innovation

PPI believes in the importance of smart regulation as part of a well-functioning economy. But we’ve also repeatedly advocated that regulation and legislation should aim to boost innovation, not get in its way.

Unfortunately, not all politicians in DC have gotten the message. Over the next couple of days Congress will be voting to reauthorize the Prescription Drug User Fee Act (PDUFA), which speeds up the process of reviewing new drugs by using fees collected from manufacturers.

On net, this is a pro-innovation bill which is strongly worth supporting. But it’s worth noting that one amendment, submitted by Senator Bernie Sanders (I-VT), would gratuitously undercut the incentives for innovation. The amendment, as I read it, would take away marketing exclusivity for a drug if a company was found guilty of any one of a long list of criminal or civil violations related to the drug, including illegal marketing.

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Start-up 2.0: Another Welcome Boost for Entrepreneurs

Last month, Congress and the president passed major legislation (the Jumpstart Our Business Startups (JOBS) Act) aimed at making it easier for start-ups and small businesses to gain better access to capital. It was one of the few bills passed in the last year that wasn’t born out of crisis or in the shadow of a looming government shutdown.

This week, a bipartisan group of Senators has introduced a summer sequel worth watching in what they’ve dubbed “Startup Act 2.0.” This legislation would take one more big step in giving young businesses three crucial ingredients for success: talent, time and money.

Talent. Perhaps the most ambitious and creative proposal put forward by this group—Sens. Jerry Moran (R-Kan.), Mark Warner (D-VA.), Marco Rubio (R-Fla.) and Chris Coons (D-Del.)—is the creation of “STEM visas” for foreign students who come to America and earn advanced degrees in math or science, and “entrepreneur visas” for legal immigrants who start their own companies.

Continue reading “Start-up 2.0: Another Welcome Boost for Entrepreneurs”

Republican War On Economic Data is Anti-Business and Anti-Growth

The House Republicans appear to be conducting a war on economic data. They seem to think that defunding data collection is all gain and no loss.

In fact, the anti-data Republicans are really anti-business and anti-growth. Government spending on economic data collection should be thought of as fully equivalent to investment in long-lasting infrastructure. When we build highways or airports, we expect them to be used by the private sector for economically-valuable activities. Highways facilitate the sale and use of automobiles, the construction of homes, the transportation of goods. Airports make air transportation possible, fostering all sorts of jobs and growth.

Just like spending on highways and airports, government investment in economic data collection provides a long-lasting boost to private sector economic activity and to private sector growth. To give one very simple example: Political polling would be much more expensive and less accurate if the pollsters did not have access to government economic and demographic data. The government data enables the pollers to make sure their sample correctly represents the actual population.

Continue reading “Republican War On Economic Data is Anti-Business and Anti-Growth”

Election Watch: The Growing Impact of Super-PACS

This week’s major down-ballot contest was in Nebraska’s Republican Senate primary, where State Senator Deb Fischer came from far behind to beat the long-time front-runner, Attorney General Jon Bruning, along with “movement conservative” favorite, State Treasurer Don Stenberg.

Despite some media treatment of the outcome as another “conservative insurgent” victory over an “establishment moderate,” it’s not at all clear that ideology had much to do with Fischer’s victory. A late PPP survey (which very accurately predicted the outcome) showed Fischer drawing support from all ideological elements of the GOP, and benefitting from a loud and expensive Bruning-Stenberg slugfest that mainly focused on Bruning’s ethics and possible vulnerability against Democrat Bob Kerrey.

Continue reading “Election Watch: The Growing Impact of Super-PACS”

PPI Battleground Home Values Index: Home Values Tick Upward

We have had a bevy of economic and political “events” in the last six months that have focused on stabilizing home prices. The President’s efforts on refinancing are starting to pay dividends, and the major settlement between the attorneys general with five of the biggest mortgage servicers offered some order to a market process that previously bordered on chaos. Money from the settlement has started to flow to the states, even though there is a looming concern that some of those funds are being used to close budgetary holes instead of helping families.

This past week, the National Association of Realtors held their Mid-Year Legislative Meetings and on Tuesday, PPI helped to assemble a panel of experts to discuss on-the-ground issues and upcoming housing issues.

The government’s role in the future of housing and current regulatory uncertainty was the most discussed topic. All panelists agreed that Fannie Mae and Freddie Mac aren’t going anywhere anytime soon and their future existence, in whatever version they take, would be necessary for a 30-year fixed rate mortgage, which is currently 95% of all loans being made.

Continue reading “PPI Battleground Home Values Index: Home Values Tick Upward”

Stop the Uncertainty Surrounding Ex-Im Bank

Late yesterday marked a formal end to the two-year debate on whether the Export-Import Bank (Ex-Im), the U.S. export credit agency, deserves to live to see another day. (It does.) What was once a routine process for Ex-Im reauthorization was held back by congressional charges of corporate welfare by the Tea Party. But while the decision to reauthorize the Bank for another two and a half years is good, the fact that it took so long is not: at this rate negotiations for the next round will have to begin before this legislation is finalized. That is a heavy drain on congressional and Ex-Im Bank resources. One has to ask, is there a way to avoid the same extended debate next time around?

Yes, with a little more clarity on why two-year long ideological attacks on Ex-Im creates uncertainty that hurts U.S. companies and detracts from Ex-Im’s effectiveness. As someone who worked at the Bank for almost three years, I’d like to offer some of that clarity.

Continue reading “Stop the Uncertainty Surrounding Ex-Im Bank”

Dropbox, Google Drive, and the Consumer Price Index

I was looking at the April CPI this morning, and I got to thinking about Dropbox. I use Dropbox literally 25-50 times a day.  I’m working on a file on my Apple laptop, save it to the Dropbox folder,  and I can be sure that the same file will show up on my PC when I get home.

Dropbox costs me nothing for 2.5 GB worth of storage. More important, I’m getting a valuable service for nothing.

Now comes along Google Drive, which supposedly functions much the same way, and offers 5 GB of storage.  Now, I’m not going to switch any time soon because Dropbox is working fine for me. But a reasonable interpretation here is that the “price” of seamless online storage has fallen.

Continue reading “Dropbox, Google Drive, and the Consumer Price Index”