With the federal income tax deadline looming next week, people can expect Tea Partiers and others to moan and shout about giving some of their money for the common good. If those tax protestors really wanted to make an impact, though, they’d focus on making sure large corporations pay their fair share.
In the first of three debates for Ohio’s seat in the U.S.
Senate, Democratic incumbent Sherrod Brown and Republican challenger Josh
Mandel agreed on little and clashed on a lot. Each candidate mostly focused on the opposing candidate's record, but the debate today did move to substantial differences in policy at some
The debate started with opening statements from a noticeably feisty Brown, who criticized Mandel for calling his vote for the auto bailout “un-American.” On the other side of the aisle, Mandel began his opening statement with a joke about shaving before he turns 36. The joke was the last time either of the men spoke with a light heart.
The candidates blasted each other mostly for their records. Mandel touted Ohio's and the nation’s higher unemployment rate since Brown took office in 2006, energy prices and the U.S. debt. He also said the Senate had not passed a budget in three years, although Congress has actually passed budget resolutions in that time.
Brown fired back with claims Mandel had filled the state treasurer’s office with cronies. He also criticized Mandel for running for four different political offices in seven years. In his closing statement, Brown said Mandel is “too concerned about running for his next job” to be trusted.
On substance, Brown and Mandel criticized just about everything about each other. Brown claimed Mandel signed away his “right to think” by agreeing to lobbyist Grover Norquist’s pledge to not raise taxes while in office. He said the pledge makes it so if Mandel does take office, he’ll never be able to close tax loopholes for big corporations.
Mandel defended the pledge by saying, “I’m proud to stand
for lower taxes in our state and lower taxes in our country.” He added, “I will
do everything I can to advocate for lower taxes across the board for the middle
class and job creators as well.”
The term “job creators” is typically used in politics to reference wealthy Americans, who Republicans claim create jobs through the theory of trickle-down economics. The economic theory states that wealthy Americans will hire more lower-class Americans if they have more money and freedom, essentially creating a trickle-down effect on wealth from the rich to the poor. Although Republicans still tout the theory, some economists, including Nobel Prize winner Paul Krugman, say the financial crisis of 2008 and the deregulation that led to it prove trickle-down economics do not work.
The candidates also debated their positions on the auto bailout. Mandel said he would not have voted for the auto bailout if he was in the Senate in 2009. In his defense, he cited the experience of Delphi workers, who lost part of their pensions as part of the deal auto companies made with workers after the federal bailout. Mandel then said, “I’m not a bailout senator. He’s the bailout senator.”
Brown responded by saying, “These are real jobs and real people.” He then cited examples of people helped by the growing auto industry. Brown’s arguments are backed by economic data, which has repeatedly credited the growing auto industry for the nation’s growing economy. In the first quarter of 2012, the auto industry was credited for half of the nation’s economic growth.
When he was asked about higher education, Brown established the key difference between the candidates in terms of economic policy. Brown said his policies in favor of government investment in higher education are about supporting the middle class to create growth that starts in the middle and spreads out, while Mandel supports tax cuts that emphasize a trickle-down approach. Mandel did not deny the claims, and instead blamed Brown’s policies for the high unemployment rate and debt issues.
The men continued to show similar contrasts on the budget, taxes and economy throughout the entire debate, but there seemed to be some common ground regarding energy independence. When the topic came to hydraulic fracturing — or “fracking” — Brown said becoming energy independent would have to involve all possible energy sources. In substance, Mandel agreed, although he also praised fracking regulations recently passed by the Ohio legislature and Gov. John Kasich.
As far as energy issues go, the agreement stopped there. When Brown was asked about President Barack Obama's alleged “war on coal,” Brown said there was no war on coal and claimed there are more coal jobs and coal produced in Ohio than there were five years ago. Mandel disagreed and claimed there is a war on coal. He added if Obama is the general in the war on coal, Brown is Obama's “lieutenant.” Brown previously supported federal regulations on mercury that some in the coal industry, including the Ohio Coal Association, claim will force coal-fired power plants to shut down. The regulations go into effect in 2015.
On abortion, Mandel proudly claimed he was pro-life, while Brown said, “Unlike Josh Mandel, I trust Ohio women to make their own health care decisions.” Brown also criticized Mandel for not establishing exceptions for rape, incest and the health of the mother in his anti-abortion stance.
Many more issues, from term limits to Middle Eastern culture, were covered in the debate. The candidates drew sharp contrasts in all these areas with Brown typically holding the liberal position and Mandel typically holding the conservative position. But despite the feisty language and deep policy contrasts, when the debate ended, the candidates smiled, shook hands and patted each other on the back. They will meet again in Columbus on Thursday and Cincinnati on Oct. 25.
An estimated 3,000 people attended today’s latest “Tea Party” protest at Fountain Square, this time commemorating Tax Day, and a CityBeat writer and photographer were there to capture the event in all of its sordid glory. [See the photo slideshow here.]
With one week left until the next “Tea Party” event, more organizations are jumping on the protest bandwagon.
The Occupy Wall Street movement plans to occupy Sawyer Point this Saturday from 11 a.m. to 11:30 p.m., one of several protests planned in other cities since the protest over corporate money in politics began more than three weeks ago in New York. (UPDATE: The protest has been moved to Lytle Park due to an already scheduled event at Sawyer Point.)
The Cincinnati Enquirer did its usual muckraking on the subject, determining that the movement's “goals are vague” and then linking to a story quoting a member of the movement describing its goals quite succinctly:
City Council is considering increasing cab fares prior to the World Choir Games in July as part of an overhaul of the city’s taxi industry. During a Rules and Government Operations Committee meeting Monday, Councilman Wendell Young described the industry as having little regulation and often undesirable experiences, The Enquirer reports. Council last spring removed a city rule that made it illegal to hail a cab. Among the recommendations expected to be made are the standardization of rates, an increase in the number of permanent taxi stands and the visible display of a Customer Bill of Rights.
The two men hired to beat a Columbia Tusculum man over a property dispute admitted in court yesterday to having been paid by Robert Fritzsch to whoop on Tom Nies Jr. The beaters will avoid jail time in exchange for testifying against Fritzsch. The beating was allegedly a retaliation after a court ordered the removal of Fritzsch's addition to his home that blocked the river view of Nies' house.
Robert Chase is a member of Ohio’s oil and gas commission, in addition to operating a private consulting firm that deals with many of the private companies interested in making mass money off the state’s drilling leases. The Ohio Ethics Commission this week warned Chase that such consulting work could present a conflict of interest, though Chase says he’s not surprised and that he knows what his ethical responsibilities are.
NBC has picked up a
sitcom set in Cincinnati starring Anne Heche, who reportedly plays an
Indian Hill housewife who believes she can channel God after
surviving an accident involving nearly choking on a sandwich (with
humorous results?). The show, which will have a 13-episode first season, is titled Save Me.
The Obama administration might be hinting at considering same-sex marriage rights during a second term, but the folks down in North Carolina are having none of it: A state constitutional amendment to ban gay marriage and civil unions is on today’s ballot, despite the existence of a state statute that already outlaws it.
Meanwhile, the Obama administration is busting Mitt Romney up for choosing not to address a woman’s suggestion that Obama should be tried for treason.
During an event near Cleveland yesterday, a woman asked Romney if he thinks President Obama is "operating outside the structure of our Constitution," and "should be tried for treason."
Romney did not respond to the treason comment, but instead criticized Obama's recent comments on the Supreme Court -- drawing a rebuke from the Obama campaign.
Romney says he doesn’t correct all the questions that are asked of him and that he obviously doesn’t believe Obama should be tried for treason. USA Today pointed out that the incident is similar to one that occurred during the 2008 election, which John McCain handled quite differently:
It was one of the defining moments of the 2008 presidential campaign: A woman at a rally for Republican John McCain, while asking McCain a question, called Democratic contender Barack Obama "an Arab" who couldn't be trusted.
McCain took the microphone and said, "No ma'am. He's a decent family man ... who I just happen to have disagreements with on fundamental issues." McCain's response symbolized his discomfort with the volatile crowds he was seeing as his campaign faded during the final days of the 2008 race.
A study suggests that fighting obesity will necessitate a broader approach than blaming the individual, likely involving schools, workplaces, health care providers and fast-food restaurants.
Yahoo CEO Scott Thompson has apologized for pretending to have a degree in computer science. Thompson says he’ll update his resume but has no plans to step down.
The U.S. could make a $1.5 billion profit on its bailout of insurance company American International Group, Inc. At least that’s what the Government Accountability Office says.
cars have received their permits in Nevada. What's next? Drive down every single street in America and photographing it?
This week’s issue of CityBeat profiles three of the candidates in the hotly contested race for Ohio’s 1st Congressional District seat. Not surprisingly, two of the candidates are claiming that the other misrepresented or distorted his views.
The campaign of Republican incumbent Steve Chabot took umbrage at a paraphrased statement from his Democratic challenger, Steve Driehaus, that pertained to housing issues. It read, “Worse, Chabot hasn’t proposed any legislation that would help the wave of foreclosures and resulting blight that has swept the West Side over the past few years.”
Katie Fox, Chabot’s spokeswoman, noted the congressman addressed the foreclosure and mortgage crisis by passing a bill in December in a compromise with U.S. Rep. John Conyers (D-Mich.) that gave bankruptcy judges the discretion to modify the value of a mortgage to the true market price and to adjust the interest rate. It applied only to debtors who file for Chapter 13 bankruptcy and lack the income to pay their expenses, according to The Hill newspaper.
The Driehaus campaign responded by pointing out the statement referred to Chabot’s entire 14-year period in office, and specifically stated that the mortgage crisis was causing blight on Cincinnati’s West Side for years before Chabot acted.
Meanwhile, Driehaus also is criticizing TV commercials that Chabot and the national Republican Party are airing that allege Driehaus hasn’t taken a stance on the $850 billion Wall Street bailout plan approved recently by Congress. Chabot opposed the plan.
Driehaus says he’s made it clear he would’ve reluctantly voted for the plan had he been in Congress. “We had to do something, but I think it’s ridiculous that pork spending was put into this bill,” he said. “It would be irresponsible for Congress to allow the financial markets to fail.”
Further, Driehaus criticizes local republicans for waging a whisper campaign alleging that he doesn’t support Barack Obama, the Democratic Party’s presidential nominee. Some West Side residents perceive Obama as too liberal for their tastes. Driehaus has appeared at events with Obama, and his Web site features a photograph of him with the Illinois senator.
Not everyone’s convinced of Driehaus’ sincerity, though. Democrat Eric Wilson, an outspoken Obama supporter who’s running for the seat as an independent write-in candidate, said, “I know the political games. You go to the West Side of town and don’t mention Obama’s name at appearances.”
— Kevin Osborne
For a full hour Thursday night, Democratic incumbent Sherrod Brown and Republican challenger Josh Mandel continued their feisty fight for Ohio’s U.S. Senate seat. For the most part, the debate centered on the candidates’ records and personal attacks, with policy specifics spewing out in between.
Apparently, the barrage of attacks is not what the candidates had in mind before the debate started. Throughout the debate, both candidates asked for substance, not attacks. At one point, Brown said, “I appreciate this clash of ideas. That’s what this debate should be about.” At another point, Mandel said, “We need less attacking, and we need more policy ideas to put people back to work.”
These comments came well into the debate. By that time, Mandel had criticized Brown for “Washington speak” so many times that an exasperated Brown quipped, “I don’t get this. Every answer is about Washington speak.”
Brown also launched his own attacks, which focused on Mandel’s dishonesty on the campaign trail, which previously earned Mandel a “Pants on Fire” crown from Cleveland’s The Plain Dealer, and Mandel, who is also Ohio’s treasurer, missing state treasurer meetings to run for political office.
But Ohioans have seen enough of the attacks in the hundreds of campaign ads that have bombarded the state in the past year. Voters probably want to hear more about how each candidate will affect them, and the candidates gave enough details to get some idea of where each of them will go.
On economic issues, Brown established the key difference between the two candidates’ economic policies: Mandel, like most of his Republican colleagues, believes in the trickle-down theory. The economic theory says when the rich grow, they can create jobs by hiring more employees and expanding businesses. In other words, proponents of the theory believe the success of the rich “trickles down” to the middle class and poor through more job opportunities. Belief in this theory is also why most Republicans call the wealthy “job creators.” Under the trickle-down theory, the wealthy are deregulated and get tax cuts so it’s easier for them to create jobs.
On the other hand, Brown says he supports a middle-out approach, which focuses on policies that target the middle class. That is how sustainable employment and growth are attained, according to Brown. Under the middle-out approach, tax cuts and spending policies target the middle class, and the wealthy own a higher tax burden to support government programs.
Some economists, like left-leaning Nobel laureate Paul Krugman, say the trickle-down theory should have been put to rest with the financial crisis of 2008. After all, deregulation is now credited with being the primary cause of 2008’s economic crisis. In that context, more deregulation seems like a bad idea.
Still, Brown’s contrast to Mandel holds true. Brown has
repeatedly called for higher taxes on the rich. In the debate, he touted his
support for the auto bailout and once again mocked Mandel’s promise to not
raise any taxes. These are policies that do end up benefiting the middle class
more than the wealthy. The auto bailout in particular has been credited with
saving thousands of middle-class jobs.
On the other side, Mandel told debate watchers to go to his website and then offered some quick talking points: simplify the tax code, end Wall Street bailouts and use Ohio’s natural gas and oil resources “in a responsible way.” How Mandel wants to simplify the tax code is the issue. On his website, Mandel says he supports “a flatter, fairer income tax with only one or two brackets, eliminating almost all of the credits, exemptions and loopholes.” A study by five leading economists suggests a flat tax model would greatly benefit the wealthy and actually hurt the well-being of the middle class and poor. That matches with the trickle-down economic theory.
Another suggestion on Mandel’s website says, “Help job creators. Reduce capital gains and corporate taxes, and allow for a small business income deduction.” The small business portion would help some in the middle class, but an analysis from The Washington Post found 80 percent of capital gains incomes benefit 5 percent of Americans and half of all capital gains have gone to the top 0.1 percent of Americans. So a capital gains tax cut would, again, match the trickle-down economic theory.
What all this means is on economic issues the choice of candidates depends mostly on what economic theory a voter believes. Brown believes in focusing economic policies that target the middle class, while Mandel mostly supports policies that generally support what he calls “job creators” — or the wealthy.
On partisanship, both sides once again threw out different ideas. Although he was asked for three ideas, Brown only gave one: fix the filibuster. The filibuster is a U.S. Senate procedure that allows 41 out of 100 senators to indefinitely halt any laws. The only way to break the filibuster is by having a supermajority of 60 senators — a rarity in American politics. Brown said if this rule was removed, a lot more could get done in Congress.
Mandel had different ideas for stopping partisan gridlock in Washington, D.C. He touted his support for No Budget, No Pay, which would require members of Congress to pass a budget in order to get paid. He also expressed his support for term limits, saying lifelong politicians only add to the partisanship in Congress. Then, in a strange twist, Mandel’s last suggestion was to stop bailouts, which has nothing to do with partisanship or gridlock in Congress.
Then came Obamacare. Brown said he was “proud” of his vote and continued supporting the law, citing the millions of Americans it will insure. Meanwhile, Mandel responded to the Obamacare question by saying, “The federal government takeover of health care is not the answer.”
The fact of the matter is Obamacare is not a “government
takeover of health care.” Far from it. The plan doesn’t even have a public
option that would allow Americans to buy into a public, nonprofit insurance
pool — an idea that actually has majority support in the U.S. Instead,
Obamacare is a series of complicated reforms to the health insurance industry.
There are way too many reforms to list, but the most basic
effect of Obamacare is that more people will be insured. That’s right, in the
supposed “government takeover of health care,” insurance companies actually gain
more customers. That’s the whole point of the individual mandate and the many
subsidies in Obamacare that try to make insurance affordable for all Americans.
Mandel made another misleading claim when he said Obamacare “stole” from Medicare, with the implication that the cuts hurt seniors utilizing the program. It is true Obamacare cuts Medicare spending, but the cuts target waste and payments to hospitals and insurers. It does not directly cut benefits.
The one area with little disagreement also happened to be the one area with the most misleading: China. It’s not a new trend for politicians to attack China. The Asian country has become the scapegoat for all economic problems in the U.S. But in this election cycle, politicians have brandished a new line to attack China: currency manipulation. This, as Ohioans have likely heard dozens of times, is why jobs are leaving Ohio and why the amount of manufacturing jobs has dropped in the U.S. In fact, if politicians are taken at their word, it’s probably the entire reason the U.S. economy is in a bad spot.
In the Brown-Mandel debate, Brown repeatedly pointed to his currency manipulation bill, which he claims would put an end to Chinese currency manipulation. Mandel also made references to getting tough on China’s currency manipulation.
One problem: China is no longer manipulating its currency. There is no doubt China greatly massaged its currency in the past to gain an unfair advantage, but those days are over, says Joseph Gagnon, an economist focused on trade and currency manipulation. Gagnon argues the problem with currency manipulation is no longer a problem with China; it’s a problem with Malaysia, the Philippines, Singapore, South Korea, Switzerland and Saudi Arabia. If the U.S. wants to crack down on currency manipulation, those countries should be the targets, not China, he argues.
In other words, if currency manipulation is a problem, Mandel was right when he said that countries other than China need to be targeted. To Brown’s credit, his currency manipulation bill targets any country engaging in currency manipulation, not just China. The problem seems to be the misleading campaign rhetoric, not proposed policy.
The debate went on to cover many more issues. Just like the first debate, Brown typically took the liberal position and Mandel typically took the conservative position on social issues like gay rights and abortion. Both touted vague support for small businesses. Each candidate claimed to support military bases in Ohio, although Mandel specified he wants bases in Europe closed down to save money. As far as debates go, the contrast could not be any clearer, and the candidates disagreed on nearly every issue.
The final debate between the two U.S. Senate candidates will take place in Cincinnati on Oct. 25.
U.S. Rep. Steve Driehaus, about two months into his new job representing Ohio's 1st District, is one of 18 Democratic members of the House Financial Services Committee to send a letter to the CEO of Northern Trust in Chicago warning him to stop spending federal TARP bank bailout money on golf tournaments, parties and posh hotels. Committee Chairman Barney Frank initiated the letter to "insist" that the CEO "immediately return to the federal government the equivalent of what Northern Trust frittered away on these lavish events."