Ralph Nader's Blog, page 43
September 13, 2019
Letter to President Trump 9.10.19
Dear President Trump:
Over the years, millions of dollars’ worth of American flags manufactured in China have been imported to our country and by U.S. firms. These flags come in a standard size and novelty forms composed of various materials. You are imposing tariffs on hundreds of billions of dollars on Chinese imports which may increase prices here to consumers.
Have you exempted imports of American flags from these tariffs? If not, why not? The people need an explanation forthwith.
By the way, are you aware that your authority to impose tariffs unilaterally is being challenged in federal district court in New York City as being unconstitutional? The authority to impose tariffs, declares this serious lawsuit brought by prominent counsel, belongs to the Congress under our Constitution.
Sincerely,
Ralph Nader
September 12, 2019
Big Business Lies Taught a Watchful Donald Trump
By Ralph Nader
September 12, 2019
For avalanche-level lying, deceiving, and misleading, mega-mimic Donald Trump need look no further than the history of the corporate advertising industry and the firms that pay them.
Dissembling is so deeply ingrained in commercial culture that the Federal Trade Commission and the courts don’t challenge exaggerated general claims that they call “puffery.”
Serious corporate deception is a common sales technique. At times it cost consumers more than dollars. It has led to major illness and loss of life.
Take the tobacco industry which used to sell its products in the context of health and facilitating mental concentration. Healthy movie stars and athletes were featured in print and on TV until 1970.
Despite studies showing that sugary soft drinks can damage health, increase obesity, and reduce life expectancy, the industry’s ads still feature healthy, fit families in joyous situations guzzling pop. Fortunately, drinking water has regained its first place position as the most consumed liquid in the U.S.
Whether it is the auto industry’s false inflation of fuel efficiency or the e-cigarette companies deceiving youngsters about vaping, or the food industry selling sugary junk cereals as nutrition for children, or the credit banking companies misleading on interest rates, truth in advertising is oxymoronic.
To counter these “fake ads,” the consumer movement pushed for mandatory labeling on food and other products. The Federal Trade Commission is a chief enforcer against deception in advertising, but it has waxed and waned over the decades. The FTC describes its duties to protect consumers from unfair or deceptive acts or practices as follows:
“In advertising and marketing, the law requires that objective claims be truthful and substantiated. The FTC does not pursue subjective claims or puffery — claims like “this is the best hairspray in the world.” But if there is an objective component to the claim — such as “more consumers prefer our hairspray to any other” or “our hairspray lasts longer than the most popular brands” — then you need to be sure that the claim is not deceptive and that you have adequate substantiation before you make the claim.”
A few times, companies, caught engaging in false advertising, were compelled by the FTC to announce the correction in their forthcoming ads and apologize. Those days are long gone.
Another way consumers fought back is the spectacular success of Dr. Sidney Wolfe and his associates at Public Citizen’s Health Research Group. They researched hundreds of prescription drugs and over the counter medicines and found they were not effective for the purpose for which they are advertised. Relentless publicity on such dynamic mass media as the Phil Donahue Show led to the withdrawal of many of these products, likely saving consumers billions of dollars and protecting them from harmful side-effects (see Pills that Don’t Work).
When large companies are fighting regulation their lies become “clear and present dangers” to innocent people. I recall at a technical conference in the early nineteen sixties, a General Motors engineer warned that seatbelts in cars would tear away the inner organs of motorists from their moorings in sudden decelerations as in collisions. For the longest time, lead, asbestos, and a whole host of chemicals were featured as safe, not just necessary. All false.
Someone should write a book about all the prevarications by leading spokespersons of industry and commerce justifying the slavery of the “inferior races,” arguing against the abolition of child labor in dungeon factories, and predicting that legislating social security would bring on communism.
Interestingly, corporations can lie vigorously and not lose credibility. Artificial corporate personhood comes with immunity from social sanctions that apply to real human beings.
In 1972, The People’s Lobby in California, led by the impressive Ed and Joyce Koupal, qualified an initiative called “The Clean Environment Act.” Corporations threw millions of dollars and made false claims to defeat the Act. Their public relations firm, Whitaker and Baxter, put out a fact sheet reaching millions of voters. The oil companies declared that “lowering the lead content of gasoline would cause automobile engines to fail, resulting in massive congestion and transit breakdowns.” They also claimed that “reducing sulfur oxide emissions from diesel fuel would cause the state’s transportation industry to grind to a haul,” with huge joblessness and “economic chaos.”
Other companies said a “moratorium on nuclear power plant construction” would lead to “widespread unemployment and darkened city streets.” Banning DDT in California would “confront the farmer with economic ruin and produce critical shortages of fruits and vegetables” and more lurid hypotheticals.
The lies worked. Voters turned down the initiative by nearly two to one. All these reforms have since been advanced nationwide with no such disasters.
The media did not distinguish itself by separating the lies from the truth. Later in 1988, the media, led by the Los Angeles Times, did not let the auto insurance industry get away with lies about Prop 103, pushed by a $70 million television/radio buy. Prop 103 won and has saved California motorists over $100 billion according to leading actuary and consumer advocate J. Robert Hunter (see https://www.consumerwatchdog.org/prop-103-california-insurance-reform).
Corporate fibbing pays monetary rewards. Informed consumers, their champions and regulatory agencies at the national, state, and local level must continue to make these companies pay a price, especially over social media. Madison Avenue calls the effect of such pushback “reputational risk.”
September 4, 2019
Chuck Todd, Labor Day, and Getting Serious
By Ralph Nader
September 4, 2019
Labor Day has come and gone. To most people it’s a day off and a splash of sales. The symbolism and meaning that inspired this national holiday back in 1894 has long since dissipated. Labor Day parades are affairs of the past, with very few exceptions, and those that still exist are facing dwindling participation – in the era of Donald the corporatist, no less.
Part of this neglect stems from major unions and their large locals. Labor leaders, year after year, miss the opportunity to speak through the local and national media about what’s on their mind regarding the state of workers today. I have urged labor leaders to develop a media strategy for Labor Day, since it is their one big day to give interviews and submit op-eds. Having major events or demonstrations on the needs of working families would invite coverage.
Even the usual excuse that the corporate press is not that interested goes away on Labor Day. The major labor chiefs just don’t take advantage of this yearly opportunity. That is one reason why over the years, raising the minimum wage; adopting card checks for union-desiring workers; pressing for full Medicare for All; and repealing the notorious, anti-union Taft Hartley Act of 1947 have remained at such low visibility.
On the other hand, the editors and reporters are not exactly reaching out for, say, interviews of Richard Trumka, the former coal miner who rose through the ranks and became the head of the AFL-CIO labor federation in Washington, DC. Trumka vs. Trump has a nice ring to it, but someone has to hit the bell.
This Labor Day, The Washington Post and the New York Times had touching stories of workers in various jobs from a human interest point of view. There was little space devoted to labor policies, labor reforms, worker safety, the persistent private pension crisis, and the huge power imbalance in labor/management relations.
NBC’s Meet the Press, anchored by Chuck Todd, is symptomatic of the media’s indifference to showcasing Labor leaders on Labor Day.
Chuck Todd, the quick witted former citizen organizer, has lost control of his show to his corporate masters in New York City. He cannot even stop them from replacing his show entirely on the few Sundays when the NBC profiteers think there are more profits showing a major tennis, golf, or soccer tournament. My repeated complaints about this blackout to NBC chief, Andrew Lack, or to the corporatist chairman of the Federal Communications Commission, have received no reply.
Obviously, Chuck is working in a tough environment for any self-respecting journalist. But this past Sunday, Meet the Press reached a new low from its beginnings under the news-savvy Lawrence Spivak over 70 years ago. Meet the Press has become a ditto-head to the regular news shows’ saturation coverage. Todd covered Hurricane Dorian and the shootout in Texas, along with whether Joe Biden is too old for the Presidency. Repetitious and dull – he added nothing new for the audience.
The shrinking range of Meet the Press has been going on for some years. It focuses, with other network shows, on questioning politicians or their surrogates – sometimes the same guests on multiple shows – about inconsistencies, gaffes, thoughtless statements, or current political controversies. We don’t need to see yet another round with Trump’s Kellyanne Conway, who plays with Todd’s sharp questions.
The NBC corporate masters tell or signal to Todd who he can invite for his roundtable. He should never have corporatists from the American Enterprise Institute without having people from the Economic Policy Institute, Public Citizen, or Common Cause.
Brit Hume, before he went over to Fox, once told me that the real purpose of the Sunday shows was to let the Washington politicians have their say so they stay off the back of the networks. That was his way of explaining why the questions put to them were not as tough or deep as they could be.
Todd can be a tough questioner, but he is trapped in a cul-de-sac of predictability, trivia, and redundancy that demeans his talents.
Along with the other Sunday morning network news shows, Todd stays away from the all-important civic community – historically and presently the fountainhead for our democratic society. It is hard to name any blessing of America, great or small, that did not start with the work or demands of citizens. Improved civil rights and liberties, safer consumer products, workplace conditions and environments, nuclear arms treaties, and much more began this way. Citizen groups continue as watchdogs, documenting, litigating, lobbying, and pushing the powers that be on behalf of the American people.
In 1966, I was invited on Meet the Press by the legendary Lawrence Spivak to first highlight, on Sunday national TV, what needs to be done about unsafe cars. That helped auto safety action to move faster in Congress. The civic leaders of today are largely shut out from these forums. Civic startups cannot reach larger audiences and shape the politics of the day.
None of this is unknown to Chuck Todd. He has allowed his hands to be tied with golden handcuffs. One can almost sense his impatience with his roundtable guests spouting guarded opinions or conventional speculations suited to their current careers. But Chuck is very polite with them and his interviewees. As he has said, if you really go after these guests, they won’t come back next time. But why such a small pool? There are plenty of other fresh, courageous, accurate voices he can invite “next time.” It’s that his corporate bosses won’t let him.
Todd has much more potential than to continue his increasingly trivialized, though sometimes temporarily sensationalized, role as an anchor of a withering show “brought to you by Boeing.” He should request reassignment or resign for more significant journalistic challenges. He really doesn’t need the money anymore.
August 30, 2019
From Trump Tower to Dictatorial Trump Power Over Law
By Ralph Nader
August 30, 2019
Donald Trump is “dumb as a rock” (to use his phrase) when it comes to the programs and the policies of the federal government agencies over which he is allegedly presiding. However, when it comes to defending and expanding his own political power, Trump is shameless and profoundly cunning.
Trump turns accurate appraisals of himself into accusations that he levies at others. Earlier this month, he questioned whether Joe Biden “is mentally fit to be president.” (Read more here)
But Trump has found way to spread his toxicity beyond his lying tweets. He has carefully developed formidable barricades to shield himself from the gathering storm regarding his countless impeachable offenses and other serious misbehaviors.
Trump’s remarks, decisions, and asides reveal his plans to stay in office. Trump heaps praise and extra funding on the military. In his travels, Trump likewise incessantly praises the police regardless of the local situations. Trump has openly said these constituencies are the core foundation against his adversaries that will keep him in office. His White House will keep the military and the police very well endowed.
He also makes sure that big business is happy with him. Some of the bosses are getting anxious about the uncertainty associated with Trump’s use of tariffs and his caustic remarks about leaders of the countries where U.S. companies do business. However, Trump knows that as long as he cuts corporate taxes; deregulates health, safety, and economic requirements on Wall Street; and continues the crony capitalism of subsidies, handouts, and bailouts; the corporate bosses will continue to pay obeisance to Trump.
Manipulating the mass media is child’s play for Trump. He taunts them about how they have to give him top billing because of the profitable ratings his performances brings them. Some in the mass media, nonetheless, expose his wrongdoing with thorough features. Trump, though irritated, ignores these exposés and repels them like water off a duck’s back. It’s all “fake news,” he shouts. His approval polls, though lower than previous presidents, stay firm. So far Trump has faced no real consequences from the revelations of his misdeeds.
The courts, meanwhile, are Donald’s Trump card for endless delays. Who has been sued as president more than Trump? Over two and a half years into his term, litigation against Trump grinds on. Nobody knows how long these court actions will take, what with Trump’s delay tactics and appeals. The top appeal is to the Supreme Court which he believes is 5 to 4 for him on just about everything relating to runaway presidential power and immunities. Trump has appointed 146 judges while in office, including two Supreme Court justices. Trump’s chosen Supreme Court justices are partisan actors who will suit his purposes nicely—it is as if they came from “central casting” for him. Trump has declared unlimited presidential pardon powers, musing that he could even pardon himself.
Labor unions are another big joke to Trump. As they decline, Trump reminds the pro-Democratic Party union leaders that many of their rank and file members voted for him. A troublingly large minority of union workers—over a third— defected to Trump’s camp in 2016, enough to make the union leaders skittish about seriously confronting him.
That leaves the Congress with which he toys. The Republicans are frightened chickens in a coop, peering out at the insatiable Fox. When they look back at their place in history, they’ll have to squint. Sycophants all, except for the late Rep. Walter Jones and Rep. Justin Amash.
As for the Democrats, Trump is blocking subpoenas and orders for witnesses to testify. Trump is also turning down major demands for documents from several House Congressional Committees. Exercising their constitutional authority to oversee the executive branch, the Committee Chairs are filing one law suit after another. Trump laughs and tells his attorneys to keep stonewalling and appealing—which can mean years. That’s how he operated during his sordid failed business career.
Donald Trump, selected by the Electoral College, is daring the Democrats to impeach him. He knows Democrats are divided and can use the Republican dominated Senate as an excuse for inaction. Of course impeachment is a constitutional duty for the House, not a simple political calculation. It is certainly warranted for the most impeachable president in American history.
Trump is thumbing his nose at Democrats daily, blocking oversight, allocating appropriated funds by executive dictate, brazenly freezing enforcement the laws or revoking regulations that protect the health, safety, and economic wellbeing of the American people, enriching himself through emoluments, and also casting aside the Constitution and the rule of law regarding his military and foreign policy aggressions.
Trump has neutralized our country’s checks and balances and separation of powers, including judicial accountability. He adds to his monarchal presidency by unleashing the Republican Party’s suppression of the vote and other electoral shenanigans.
If the law ever catches up to Trump, he has many toadies who are willing to engage in “wag the dog” distractions. They are his war-hawk on steroids, national security advisor lawless John Bolton and the militaristic Secretary of State Michael Pompeo who travels the world threatening half of it. The new Secretary of Defense, from the Raytheon Corporation, presents no restraint in contrast to his predecessor Jim Mattis, cashiered by Trump.
If Trump wins, America loses. The outcome is up to you in November 2020. Be alert and prepared for tumultuous upheavals should Trump lose by a narrow margin.
August 22, 2019
They Don’t Make Republicans Like the Great Paul Findley Anymore!
By Ralph Nader
August 22, 2019
They don’t make Congressional Republicans like Congressman Paul Findley anymore. Not even close!
In his 22 years in Congress (1960 – 1982), Paul Findley achieved a sterling record for fundamental positions, proposals and breakthroughs that revealed a great man, pure and simple. He never stopped learning and applying his knowledge to advance the right course of action, regardless of political party, ideology or pressure from various groups.
Findley, a courteous, kindly, ex-World War II navy veteran passed away earlier this month at the age of 98 in his home town of Jacksonville, Illinois. The District he represented was the one Abraham Lincoln was elected from for his one term in the House of Representatives. Findley was a student of Lincoln’s life, and embraced Lincoln’s view that “a politician should be willing to reject outmoded ways of thinking that no longer fit the times.”
Findley was a thoughtful, studious legislator with a superb sense of justice. He was an early civil rights champion. His opposition to runaway Presidential war-making was reflected in his leading support for the War Powers Act of 1973, though he wanted stronger curbs on the White House’s unilateral militarism.
Having been a journalist and owner of a small-town newspaper – the Pike Press, before going to Congress in 1960, Findley used his writing skills to explain issues regarding agricultural policies, a foreign policy of diplomacy and peace, and nuclear arms controls. He was an outspoken early opponent of the Vietnam War and a critic of the Pentagon’s chronically wasteful spending. He was not a “press-release” legislator, staking out his opinions and leaving it at that. He worked hard and smart to lead, to persuade, to get down to the minute details of coalition-building, lawmaking and legislating.
Back in Jacksonville, after his Congressional career ended in 1982, Findley wrote books and articles and lectured around the country. He courageously defended Americans of the Islamic faith, after 9/11, from bias, exclusion and intimidation. He did his civic duties with local associations. He also started the Lucille Findley Educational Foundation, in memory of his beloved wife – an Army nurse – he met in war-time Guam. They had two children. He always found time to be helpful, to serve others both locally and nationally. He also played tennis daily into his mid-eighties.
Findley possessed more than a streak of mid-west populism. Agricultural subsidies disproportionally going to a few wealthy landowners upset him greatly. He got through the House, after years of rejection, and over the objections of the Republican leadership, a $20,000 yearly limit of such subsidies per farm. The measure failed in the Senate.
Once again, in 1973, he bucked his Party and introduced an impeachment resolution against Nixon’s vice president Spiro Agnew, who later resigned in disgrace over a bribery scandal.
It was Findley’s interest in U.S. policies and operations in the Middle East, following his 1973 successful effort to obtain the release of a constituent from South Yemen that showed his moral courage, his belief in dialogue between adversaries and his commitment to the treatment of all people with dignity and respect. It also led to his defeat by Democrat Richard J. Durbin, now Illinois’s senior Senator.
Findley learned that the dispossessed and occupied Palestinian people were being treated unfairly and deprived of their human rights and self-determination. He visited refugee camps in the region. He met with Yasser Arafat, head of the Palestine Liberation Organization (PLO), and he urged peaceful diplomatic resolution of that conflict. For this sensible, though rare outreach by a Congressional lawmaker, he earned the immense enmity of U.S. partisans of the Israeli government. How dare he speak out on behalf of Palestinians, even though, he continued to vote for foreign aid to a prosperous militarily advanced Israeli superpower?
As the New York Times reported: “He became convinced that the influential pro-Israel lobby known as Aipac, the American Israel Public Affairs Committee, had a stranglehold on American politicians that prevented the establishment of a Palestinian state and prevented rational dealings with Arab leaders in general.”
AIPAC activists, nationally and with their local affiliates, openly mobilized to defeat Findley in the 1980 election. They failed to do so. In 1982, they tried again, helping his Democratic opponent, Richard Durbin, to end Findley’s Congressional career by a margin of less than 1500 votes. AIPAC took credit for the win, raising over 80 percent of Durbin’s $750,000 in campaign funds from around the country. AIPAC’s executive director told a gathering in Texas: “We beat the odds and defeated Findley.”
Three years later, in 1985, Findley wrote and published his bold book “They Dare to Speak Out,” that described his efforts at peaceful advocacy for a two-state solution, which is now supported by many Israelis and Jewish Americans. In his book, he profiled other Americans who dared to speak out, and who endured intimidating slander and ostracism. Findley’s documentation of the suppression of their freedom of speech was an early precursor of what is going on now.
It was acceptable for the early patriots to boycott British tea, for civil rights leaders to boycott certain businesses in the South, for opponents of South Africa’s apartheid to launch a worldwide economic boycott. But some state governments impose sanctions on their contractors if they merely speak out in favor of the call to boycott, divest and sanction Israel’s illegal and brutal occupation of Palestine and its millions of Palestinians. (Today, Palestine is only twenty two percent the size of the original Palestine).
Findley wrote his autobiography in 2011. But it will take a fuller biography to place this modest lawmaker/public citizen, and wager of peace over unlawful wars and rampant militarism, in the conforming context of his times. His career contrasts with the present big business, Wall Street over Main Street, militaristic GOP and shows that the Republican Party didn’t always demand rigid unanimity.
To his credit, Senator Durbin eulogized Paul Findley, as “An exceptional public servant and friend.” He added that the man he defeated was “an elected official who showed exceptional courage in tackling the age old controversies in the Middle East.”
Senator Durbin could not say this about a single Republican in either the Senate or the House today, nor of over 95 percent of the Democrats.
August 21, 2019
Statement on Ex-Illinois Governor Rod Blagojevich
President Trump declared his likely intention to commute the staggering 14 year sentence ex-Illinois Governor, Rod Blagojevich is serving for playing politics with a pending Senatorial choice to fill president-elect Obama’s seat. Blagojevich never received a bribe or kickback for his wire-tapped boastfulness about his power to choose the next Senator. Nine state Governors convicted of much more serious, criminal charges served jail terms much shorter than the time Blagojevich has already served – seven and a half years. Prominent people are calling on Trump to resist advisers urging him to retract. Trump does and says many wrong things and almost never reverses. Now, when he is ready to do something right about prosecutorial abuse and a “hanging judge,” he is wobbling and showing weakness. Sad.
See: Rod Blagojevich Fact Sheet
-Ralph Nader
August 14, 2019
With the Boeing 737 MAX Grounded, Top Boeing Bosses Must Testify Before Congress Now
By Ralph Nader
August 14, 2019
Two Boeing 737 MAX crashes, one in Indonesia last October and one in Ethiopia this past March, took a combined 346 lives. Steady scrutiny by the media reported internal company leaks and gave voice to sidelined ex-Boeing engineers and aerospace safety specialists. These experts have revealed that Boeing’s executives are responsible because they chose to use an unstable structural design and faulty software. These decisions left the flying public, the pilots, the airlines, and the FAA in the dark, to varying degrees.
Yet Congressional Committees, which announced investigations months ago, still have not called on Dennis Muilenburg, the CEO of Boeing, or any member of Boeing’s Board of Directors to testify.
Given the worldwide emergency grounding of all 400 or so MAX aircraft and the peril to crews and airline passengers, why are the Senate and House Committees holding back? House Committee Chairman, Rep. Peter DeFazio (D-OR) wants to carefully prepare for such action after the staff goes through the much delayed transmission of documents from Boeing. Meanwhile, Senate Committee Chair Senator Roger Wicker (R-MS) deferred to Boeing’s request to put off their testimony before Congress until the Indonesian government puts out its report on the Lion Air disaster, presumably sometime in October.
Meanwhile, just about everybody in the airline industry, the Department of Transportation, the National Transportation Safety Board, the Justice Department (with its criminal probe), the transport unions, the consumer groups such as Flyers Rights, and the flying public are anxious to see top Boeing officials in the witness chair under oath answering important questions.
It is not as if Boeing lobbyists are absent. The giant company has been everywhere in Washington, D.C. getting its way for years in Congress, with NASA, the Department of Defense, and of course, the hapless, understaffed FAA. Boeing gives campaign donations to about some 330 members of Congress.
Corporate CEOs hate to testify before Congress under oath when they are in hot water. CEOs from the tobacco, drug, auto, banking, insurance, and Silicon Valley industries have all dragged their feet to avoid testifying. Eventually they all had to show up in public on Capitol Hill.
The Boeing case involves a more imminent danger. The company and its “captured” FAA want to unground the MAX as fast as possible and to get more new MAXs, under order, to the airlines.
This haste is all the more reason why Congress has to pick up the pace, regardless of “MAX Mitch” McConnell, the Kentucky dictator of the Senate who is a ward of the Boeing complex and its campaign cash. If the 737 MAX is ever allowed to fly again, with its shaky software fixes, glitches, and stitches, the pressure will build on members of Congress to go soft on the company. They will be told not to alarm millions of passengers and unsettle the airline industry with persistent doubts about the plane’s prone-to-stall and other serious safety hazards from overautomation and sloppy construction, already documented in The New York Times, the Seattle Times, and other solid media reporting.
With investigations underway at civil aviation agencies all over the world, and a grand jury operating in the U.S. looking into criminal negligence, this is no time for Congress to take its time in laying open the fullest truths and facts in public. Bear in mind, apart from the civil tort law suits, all other investigations are not being conducted in public.
There is a growing consensus by impartial specialists that after many iterations of the Boeing 737 series, beginning with the 737-100 in 1967, the much larger, more elaborate Boeing 737 MAX must be seen as a new aircraft requiring full certification. Certainly that is the view of some members of Chairman DeFazio’s committee and Chairman David Price’s House Subcommittee on Appropriations which holds the keys to funding a much larger FAA budget to do its job as a regulator, not as a deregulator that abdicates to Boeing.
Moreover, retired airline Captain Chesley Sullenberger, in his brilliant testimony before DeFazio on June 19th, called for full simulator training for pilots before they fly the MAX on scheduled routes (read Captain Sullenberger’s full statement here).
In a precise letter to the Secretary of Transportation, Elaine Chao and the acting and incoming heads of the FAA (Daniel Elwell and Stephen Dickson respectively), dozens of families and friends of the victims from many countries asked for full recertification and mandatory simulator training before any decision is made about the 737 MAX. Currently 737 MAX pilots are only given an hour of iPad training—a clearly insufficient measure and an affront to safety (see more here). The letter, which was sent on August 7, 2019, also called for the resignation of Ali Bahrami, the abdicator in charge of safety at the FAA.
Many decisions are coming up for the FAA and Boeing. The FAA would be very foolish to unground the 737 MAX just for U.S. airspace without the counterparts in North America, Europe, Asia, South America, and Africa concurring.
As for Boeing, the company cannot afford another one or two crashes attributed to continued indifference to longstanding aerodynamic standards of stability. The issue for Boeing’s celebrity, minimally experienced Board of Directors is how long it will tolerate Boeing’s management that, over the judgement of its best engineers, has brought the company to its present predicament.
How long before the Securities and Exchange Commission or the Department of Transportation or the Congress and the betrayed airlines themselves call for the resignation of both officers and the Board and, end the career conflict of interest these failed incumbents have with the future well-being of the Boeing Corporation itself?
August 7, 2019
Big Pharma: Gouges, Casualties, and the Congressional Remedy!
By Ralph Nader
August 7, 2019
The Congress can overturn the abuses of Big Pharma and its “pay or die,” subsidized business model for its drugs.
Big Pharma’s trail of greed, power, and cruelty gets worse every year. Its products and practices take hundreds of thousands of lives in the U.S. from over-prescriptions, lethal combinations of prescriptions, ineffective or contaminated drugs, and dangerous side-effects.
The biggest drug dealers in the U.S. operate legally. Their names are emblazoned in ads and promotions everywhere. Who hasn’t heard of Eli Lilly, Merck, Pfizer, and Novartis? Big Pharma revenues and profits have skyrocketed. In 2017, the U.S. consumers spent $333.4 billion on prescription drugs.
There are no price controls on drugs in the U.S. as there are in most countries in the world. Senator Bernie Sanders just took a bus tour to a Canadian pharmacy where insulin cost patients one tenth of what it costs them in the U.S. Yet, remarkably, drug companies, charted and operating in the U.S., charge Americans the highest prices in the world. This is despite the freebies our business-indentured government lavishes on Big Pharma. The FDA weakly regulates drugs, which are supposed to be both safe and effective, before they can be sold. Who funds this FDA effort? The drug industry itself— required by a law it has learned to love.
The Big Pharma lobby doesn’t always get what it craves. In the nineteen seventies, Dr. Sidney Wolfe, director of Public Citizen’s Health Research Group, produced two paperbacks for a wide television audience (e.g. he appeared on the Phil Donahue Show). They were titled, Pills That Don’t Work and Over-the-Counter Pills that Don’t Work. Because of Dr. Wolfe’s tireless efforts, hundreds of different pills were removed from the market, saving consumers billions of dollars and sparing them the side-effects.
Big Pharma’s greatest strength is its hold over Congress. That is where it gets its huge bundle of subsidies and monopolistic privileges. During the first term of George W. Bush, the drug companies got the Republicans and some spineless Democrats to forbid Medicare from negotiating volume discounts with the drug companies, as the Pentagon and VA have done for years. Big Pharma had over 1,200 lobbyists swarming over Capitol Hill to get these handcuffs on Uncle Sam. Lobbyists combined with campaign cash donated by Pharma industry players sealed the deal.
Your Congressional representatives gave the drug giants much in return: Lucrative tax credits to pay Big Pharma to do what they should do anyway—engage in research and development. Drug companies are profitable recipients of taxpayer-funded government research on developing new drugs – and then given monopolies that enable them to impose sky-high prices, even when the purchaser is the very government that funded the invention of the new drugs in the first place.
The drug industry has also made sure there are no price controls on their drugs—whether gifted to them by NIH or developed by drug companies internally. The absence of price controls accounts for new “blockbuster drugs” going for $100,000, or higher, per patient per year. Many drug prices generally increase faster than inflation.
Greed is infinite for Big Pharma. In addition to tax credits, free drug R&D (compliments of the federal government), and no price restraints, the drug companies have moved much production to China and India. No antibiotics are manufactured in the U.S.—a clear national security risk to which the Pentagon and Trump should pay heed. Two new books, China Rx and Bottle of Poison, document the safety risks of poorly inspected labs in those countries exuding pills into your bodies without your minds being told of “country of origin” on the label.
The great hands-on humanitarian organization Doctors Without Borders, operating in 70 countries often under dangerous armed conflicts, lists “Six Things Big Pharma Doesn’t Want You to Know,” in its recent alert letter.
They are:
Costs of developing new medicines are exaggerated tenfold or more.
You’re paying twice for your medicines—first as taxpayers and second as consumers or through your government programs.
Drug companies are not that good at innovation. About two thirds of new drugs (called “me-too drugs”) are no better, and may be riskier, than the ones already in pharmacies. But they are advertised as special.
Monopoly patents are extended by clever lawyers to block more affordable generic versions. This maneuver is called “ever greening.”
Pharma bullies low and middle income countries like South Africa, Thailand, Brazil, Colombia, and Malaysia that try to curb its rapaciousness. These drug companies use trade rules and the U.S. government towards their brutal goals.
In the nineteen nineties, a small group of consumer advocates led by Jamie Love, Bill Haddad, and Robert Weissman persuaded Cipla, an Indian drug firm, and Ministries of Public Health to lower the price of AIDS medicines from $10,000 per patient per year price down to $300 (now under $100). The U.S. drug companies were quite willing to let millions die because they couldn’t pay.
Big Pharma always says they have to have large profits to pay for R&D and innovation. Really? Why then do they spend far more on stock buybacks (one of the metrics for executive compensation), on marketing and advertising than on R&D? Dr. Wolfe exposed this malarkey years ago.
Yet exposure has not stopped the worsening behavior of Big Pharma. Good books by Katharine Greider (The Big Fix) and Dr. Marcia Angell (The Truth About the Drug Companies) are devastating critiques of Big Pharma’s practices. Despite this, the books reach small audiences and are brushed off by the drug giants. Big Pharma is able to ignore these books because it controls most of Congress—candidates rely heavily on the industry for campaign budgets.
But the American people outnumber the drug companies and only the people can actually vote come election time. Focused voters mean more to politicians than campaign money. The August recess for Congress means your lawmakers are back home having personal meetings. Visit them and make known your demands against the “pay or die” industry. Tell them your own stories.
Or better yet, make them come to your town meetings. Remember: “It’s your Congress, people!”
One galvanizing move by an enlightened billionaire could establish a 20 person advocacy group on drug pricing, focusing on Congress and mobilizing citizens back home. Its effect would be decisive for taming the drug industry’s gouging. Any takers: if so contact Public Citizen at medsaccess@citizen.org.
August 2, 2019
Trump’s Effective Intimidation of the Powerful Federal Reserve
By Ralph Nader
August 2, 2019
The Federal Reserve (the Fed) – the United States’ version of a Central Bank – is a strange duck. It is the U.S. government’s most powerful regulatory agency. It, after all, regulates money and interest rates. Yet, its budget comes entirely from the banking industry and relationships with the financial industry. So Congress, which appropriates money for all other federal agencies, has little leverage over the Fed’s operations.
This independence – except from the big banks – is by design, when the Fed was devised by President Woodrow Wilson over one hundred years ago. The Fed, a secretive, private government inside a public government presents problems for a democratic society. The alternative was deemed worse by its boosters, allowing “politics” to determine the Fed’s Board of Governors decisions.
It is as if the Federal Reserve/banking complex does not deal with political power by its own definition. The Fed entrenches the power of the banks without accountability inside Washington. Ask Republicans in Congress whether they generally oppose government regulation of a business and most will say “yes.” Ask whether they want to deregulate the Federal Reserve and they will say “Of course not.” Somebody has to assure monetary stability.
But the Fed’s announced quarter of a percent cut in interest rates, which were already low by historical standards at 2.25 to 2.50 levels, will affect people, beyond abstract monetary theories. Tens of millions of Americans who rely on income from their savings accounts and money market accounts will receive less money. Some will jump into the high flying stock market, presumably to get more income and introduce real risk to their principal.
The $2.9 trillion Social Security trust fund will receive less income from lower yielding Treasury Bonds. That’s not good for seniors. It is also really bad for pension funds, not to mention the returns on certain life insurance policies.
The Fed mumbled something about the trade war and a recent small decline in manufacturing indices as reasons to head off trouble.
But companies are piling up idle capital without knowing what to do with it other than to spend trillions of dollars on unproductive stock buybacks. There is no shortage of capital. Lowering the interest rate will just encourage more unnecessary corporate debt, with its deductible interest payments, instead of corporations using their available equity.
Venerable business columnist Allan Sloan does not think that a quarter-point cut by the Fed “will generate job-creating investments in the United States by companies that are uncertain about the future because of trade wars, threatened trade wars, interrupted supply chains and other actual and potential instabilities”(See Allan Sloan’s article here).
Sloan gave other cogent reasons against a Fed interest rate cut, while conceding that it might help borrowers. That assumes gouging lenders (pay day loans, auto loans, credit card charges) pass the savings along.
Conventional critics of the Fed’s cut this week point to already low interest rates and what they call a hefty economy, modest inflation, and a low unemployment rate.
Some former Fed governors called out the Fed for not clearly and specifically explaining its decision to cut rates. As former Fed Governor and Deputy Secretary of the Treasury, Sarah Bloom Raskin, said: “The Fed has really had a bit of a communications blunder… If Americans don’t understand exactly what is happening and why, they may think that Chairman Jerome Powell is caving into presidential bullying.”
No kidding. Trump has been pounding the Fed and threatening to take away Chairman Powell’s Chair for months. He is demanding sharp reductions in interest rates. He renewed his denunciation after the Fed’s quarter of a percent cut this week, tweeting that it was nowhere near enough!
Presidents almost never do this publicly to the Fed. But Trump, the failed gambling czar knows better. Intimidation through the mass media again and again works for Trump.
Although the Fed wanted to resist his pressure, hey, why take greater chances with crazy Donald? Instead, they threw him a bone.
July 26, 2019
Only Civic Driven Voter Turnout can Defeat Tweeter Trump
By Ralph Nader
July 26, 2019
Does the Democratic Party know how to defeat the foul-mouthed, bigoted, self-enriching crony capitalist Donald Trump? Trump pretends to be a populist. In reality he does the bidding of Wall Street instead of Main Street and weakens or repeals governmental health and safety programs.
Defeating corrupt, disgraceful, disastrous Donald should be easy. He is, on many documented fronts, the worst and most indictable president in U.S. history. Moreover, Trump is personally obscene and is a walking tortfeasor against women. He is a politician who doesn’t read and doesn’t think. He doesn’t know anything about government and doesn’t care about the rule of law. All he seems to know how to do is stoke the war machine with taxpayer dollars and shut down law enforcement agencies designed to protect the health, safety, and economic well-being of citizens from today’s Big Business robber barons.
Dumb as he is on the matters of public policies, Trump is a cunning schemer and a master of deflection. For Trump, every day is a reality show, in which he must dominate the news cycle with his destructive, personal politics of distraction. The mass media, looking for ratings and readers, can’t get off its Trump high. He even taunts them with this conceit.
In our autocratic two-party duopoly, the country is left with the anemic, corporatized Democratic Party establishment to save the country. Every day the Democratic National Committee (DNC) feverishly calls big donors. Most candidates are addicted to the narcotic of campaign money and think their pathetic political consultants will solve their electoral problems.
Then there are the twenty or so Democratic presidential candidates exhausting themselves by trying to stand out from one another while fitting into the straightjacket of the DNC’s rules and debate format. Some are advancing major changes and reforms, such as Elizabeth Warren and Bernie Sanders. The DNC apparatchiks, however, would rather have Joe Biden. Even so, some party bosses worry that his age, gaffes, and past record could make him a Hillary redux, should his current makeover not stick.
None of the presidential candidates are taking on Trump directly. A few glancing ripostes, sure, but most Democratic candidates think attacking Trump is a distraction from their proposals for America. They don’t seem to be listening to viewpoints such as those stated by Ana Maria Archila, of the Center for Popular Democracy: “Don’t just condemn the racism and the language but use it as an opportunity to argue for a vision of the country in which we can all be included.” In reality, the Democratic candidates all fear taking Trump on daily in this way, because of his intimidating personal smear tactics supinely reported by the mass media, which rarely allows rebuttals to Trump’s trash talking.
Now comes the possible crucial third factor in the race. Well-funded, vigorous voter turnout drives in ten states that are driven exclusively by the civic community. Freed of the shackles of the serial loser DNC, this independent civic drive can easily turn the tide in these key electoral swing states. Based on past elections, there will be 120 million non-voters in 2020. Bringing out 10 million non-voters in states like Florida, Pennsylvania, Ohio, Michigan, Wisconsin, Missouri, Arizona, Colorado, and Montana could swamp Trump, who is stuck with greasing his minority base of frenzied supporters. Getting out the voters who stayed home four years ago is also a priority.
An independent civic initiative, funded by small and large donations, can also jettison the Republican control of the Senate and end the Republican stacking of the federal judiciary with corporate right-wing ideologues. The DNC can help ensure a Democratic Senate by convincing some tractionless presidential candidates to return to their states and run for the Senate. Governor Steve Bullock of Montana will be more valuable in the Senate than clinging to the debate stage.
Then there is the prospect of Trump defeating himself. He never recognizes any boundaries and is convinced that he can get away with anything because he always has. He is a repulsive loud-mouth and has been a serial fugitive from justice since his years as a shady businessman.
Trump knows that the Democrats don’t want to get down in the mud with him. So he makes the mud their quicksand, with the media dittoheads replaying his reality TV show monologues. If there are any Democratic Party activists who know how to goad Trump regularly, they had better step forward. The sum of Trump’s electoral strategy is lying by the hour, creating false scenarios, false achievements, and phony promises conveyed by relentless intimidation. His Achilles heel is being goaded by mockery and accusations symmetrical to what he is dishing out. That’s the way overreaching bullies are brought down.
His vanities are the roadmap. He is sensitive to charges of having a “low-IQ,” of his presidency being characterized as a “disaster,” of being anything other than “a stable genius,” of being nicknamed, of having a snarling visage with unattractive bulging body parts, of being a racist, a tool of Wall Street, wasteful of taxpayers’ money, and of not creating infrastructures, jobs he promised. The Trump presidency has brought us the first ever reduction of life expectancy in the U.S., the stagnation of wages, and an avalanche of cancerous particulates into the water and air of our country. Including his coal country base!
He gives his crowds verbal “red meat,” while giving Washington away to the big bankers and the “greed hounds” of big business. He is a flatterer and flummoxer of people who let their emotions displace what is best for the communities where they live, work, and raise their children. People are being battered by record-breaking intense heat, storms, floods, tornados, droughts, and Trump tells them the climate crisis is a hoax. All while his programs worsen the situation.
It is time to persuade a large majority of voters that Trump is the Fake President destroying the best in America and bringing out the worst. But he has to be directly confronted on all fronts. No more free rides for the Tweeter.
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