Nel's New Day

October 13, 2018

DDT: Weeks 89-90 – Downward Spiral

The past two weeks have dropped the United States into the basement of “rock bottom” with the chance that things will worsen. Serial-liar, beer lover Brett Kavanaugh now sits on the U.S. Supreme Court where his partisan agenda will reward the wealthy and businesses while destroying workers, women, and diversity. Dictator Donald Trump (DDT) wants to take away all rights to protest and calls protesters the “angry left-wing mob.” Republicans who rewarded the violence of the Tea Party for the past decade now claim to be victims of people, primarily women, who march and shout objections. GOP senators rewarded Kavanaugh’s unhinged anger during his last testimony but demand quiet from the people who Kavanaugh will persecute.

Kavanaugh won a life-time confirmation after Sen. Susan Collins (R-ME) “consented,” according to the Wall Street Journal, to his abusive behavior. Her “evidence” against accusations from hundreds of his classmates was a telephone call from Kavanaugh when he said he was innocent. The victors talk about “innocent until proved guilty,” but the hearings were a job interview, not a trial. The only appearance of a trial was questioning of Christine Blasey Ford by the taxpayer-provided, GOP-employed female sex-crimes prosecutor who was set up for a better photo-op to eleven old white male senators on the Judiciary Committee. One justification for Kavanaugh’s protestations was DDT’s vicious false mocking of Ford’s testimony about the night that Kavanaugh sexually assaulted her. Laughter from DDT’s brutish audience echoes in the same way that Ford remembers from her assaulters, Kavanaugh and Mark Judge.

“Women are doing great,” DDT, accused by 19 women of sexual misconduct or extramarital affairs, told reporters by claiming a “scary time for young men.” He obviously meant white men because he has attacked boys of color and failed to help innocent blacks attacked by law enforcement. DDT also restricted the FBI investigation to only nine witnesses, primarily Kavanaugh’s friends. The “doing great” for women means that Kavanaugh’s exoneration will open up more freedom for males to sexually assault women.

DDT hates both protesters and journalists but loves Saudi Arabia, reasons that he has almost nothing to say about the possibility that a large Saudi murder squad killed and dismembered journalist Jamal Khashoggi in its Turkey embassy. For the first eleven days, DDT either ignored the problem about a resident of the United States being killed on foreign ground, saying, “I don’t like hearing about it. And hopefully that will sort itself out.” He justified his indifference with the excuse that he doesn’t want to hurt the deal for Saudi Arabia to buy U.S. arms and that Khashoggi is only a U.S. resident and not a citizen. DDT said he might call Saudi leader Mohammad bin Salman to ask him if he is responsible. Before Khashoggi went to the embassy to get paperwork allowing him to marry his finance, U.S. intel had information about his possible fate but did not warn the reporter that he was in danger.

In a striking coincidence, Turkey just released the Christian pastor Andrew Brunson after convicting him of spying and aiding terrorists. DDT said about the dictatorship that he has continually supported, “We feel much different about Turkey today than we did yesterday.” Evangelicals are very happy. DDT asked Brunson’s wife who she voted for and was delighted when she said she voted for him.  Brunson added that he completed an absentee ballot while he was in prison.

In his determination to be above the law and isolate the United States, DDT withdrew from two international agreements because Iran and the Palestinians complained to the International Court of Justice. Iran argued that U.S. sanctions violated the 1955 Treaty of Amity with its sanctions, and Bolton also withdrew from the 1961 Vienna Convention of Diplomatic Relations after a complaint from Palestine. The administration plans to review with any international agreements with the goal of withdrawing from them.

DDT managed to change the NAFTA trade agreement into the USMCA to give huge advantages to big business and make life less safe for the people of the United States:

  • Lack of food safety.
  • Giveaways to agrochemical industry such as Monsanto and Dow by hiding pesticide safety data.
  • Rise in drug prices for customers with profits for the pharmaceutical industry.
  • Promotion of more pipelines and exports of coal and natural gas to expand fracking in the U.S.
  • Limits on investor-state dispute settlement (ISDS) so that corporations can override environmental protections.
  • Removal of “Buy America” and “Buy Local” laws by giving Canada and Mexico equal access to U.S. government contracts.
  • Additional opportunity for corporations to challenge proposed regulations and repeal existing regulations.
  • Limits inspections of foods allowing the importation of food failing to meet U.S. safety standards.
  • Lack of enforcement mechanisms for workers.
  • Ability of corporations to sue governments if any laws or regulations reduce their profits.

Congress still has to approve DDT’s agreement, but Republicans are sure to vote in favor. Sen. Joni Ernst (R-IA)  already praised the bill as a win for Iowans before she said, “We haven’t seen the negotiated texts of the language.” The new treaty’s change to intellectual property agreements came from the Trans-Pacific Partnership (TPP) which DDT dropped during his first week and Ernst hated. Branding is the most important piece of policy to DDT: he hasn’t made any changes to help the United States, but he renamed the agreement.

At the same time as his disastrous performance at the UN when the Assembly laughed at him, DDT got “very excited” about his “new trade agreement” with South Korea, calling it a “brand-new agreement.” It isn’t. President Obama reached the original KORUS agreement in 2012; DDT just revised a few provisions.

Despite the money that big business poured into the stock market from its massive tax cuts, the indexes appeared unstable during the past week. DDT is blaming the increase in interest rates and described the Fed as “crazy,” “loco.” Other problems for the stock market come from China, not only DDT’s tariff war but also the possibility that China is manipulating it currency. Lowering the value of renminbi against the dollar can make exports cheaper after DDT’s tariffs, keeping products less expensive to sell in the U.S. Dollars would then be worth more, causing higher prices of U.S. products in China. DDT hopes to control China so that it will sign a trade agreement favorable to the U.S. Meanwhile, Sen. Lindsey Graham (R-SC) is trying to manipulate DDT by exchanging his raging against Kavanaugh’s opponents with exemption of tariffs on his state’s textile industry.

Last week, DDT sent VP Mike Pence to the Hudson Institute, a conservative U.S. think tank, to attack China for its “predatory” economic practices, military aggression against the U.S., and damaging DDT’s chances for winning the 2020 election. An official said that DDT is creating a “constructive and results oriented” policy toward China. Pence also accused the Chinese of surveilling its citizens, oppressing religious minorities, and spending too much money on the military. A goal of the speech was to convince people that China is behind the election interference, not Russia, although U.S. intel has identified Russia as helping to swing the 2016 presidential election and hacking U.S. voting systems. China strongly disagreed with Pence’s points. DDT may have created a new Cold War without having his name attached.

The disasters of the past two weeks largely covered the news about DDT’s financial corruption and lies regarding his wealth. A 46-page report from the New York Times details DDT’s acquisition of wealth from his father’s attempts to defraud the IRS through giving him money, $1 million by the time he was eight years old—the same amount that he claimed was the only money he got from his father and then repaid it with interest. The “small loan” of $1 million was at least $60.7 million with most of it not repaid. The report indicates that he received $413 million in today’s worth from his father, much of it from tax dodges in the 1990s. DDT’s business dealings constantly failed, and his father constantly bailed him out as well as giving him a stake in a group of apartment buildings that DDT used as collateral for an emergency line of credit.

Voters picked DDT because of his claim to be a highly successful businessman, but in fact he has always been a failure. As for creating jobs with his businesses, he frequently failed to pay the people who worked for him. DDT is both a con and a fraud.

DDT repeatedly says that “the United States is respected again.” Polls show differently, with the steepest drop in Europe and Latin America.

* 70% of people around the world lack confidence in Trump.

* Chinese President Xi Jinping and Russian President Vladimir Putin are both held in higher regard internationally than Trump.

* DDT may have improved in a few countries such as Japan, but he still below President Obama.

*A majority of people in the U.S. think that the U.S. is less respected now than in the past.

* The percentage of Russians confident that DDT will “do the right thing regarding world affairs” plummeted over the last year from 53 percent to 19 percent.

As Brett Kavanaugh spends his first week in office, his disapproval rating is at 51 percent.

June 11, 2015

Trans-Pacific Partnership, A Deal with the Devil

The Trans-Pacific Partnership (TPP) is nearing fruition tomorrow as House Speaker John Boehner (R-OH) has worked hard to make a deal with Minority Leader Nancy Pelosi (D-CA) by dumping the proposed Medicare cuts to pay for workers displaced by the agreement. Boehner’s word on this is worthless because he plans to attach the Medicare cuts to a separate trade “preferences” bill with African countries that is not considered must-pass legislation. Fast-track authority gives the president the authority to negotiate trade agreements and limit Congress to an up-or-down vote on them, with no amendments or filibusters permitted, that requires only fifty-one votes, not sixty, to pass.

Despite President Obama’s furious push to “fast track” the TPP and Pelosi’s caving in on a worthless agreement, a large number of Democrat House members plan to vote against the fast tracking. Even so, the White House thinks is has 19 Democratic votes with others still in play. Thirty GOP House members are “no” or “leaning no” on the vote, according to The Hill’s Whip List.

 

As the vote grows closer, more has been disclosed about the secretive agreement, and none of it is good. While skipping over the details about how the TPP was negotiated by corporations for the benefit of corporations around the world to lower wages and benefits while erasing regulations through blackmailing countries, the following is more information about the TPP—all of it bad.

The House has made the TPP worse than the Senate version after Rep. Paul Ryan (R-WI) successfully attached a new negotiating objective late Tuesday night: it specifically instructs the U.S. trade representative to ignore action on climate change while negotiating future trade deals. Specifically, it “ensure[s] that trade agreements do not require changes to US law or obligate the United States with respect to global warming or climate change.”

The TPP may force privatization of so-called “public” institutions such as the post office, public schools, public roads, public libraries, public parks, public pensions, etc. so that corporations can replace these with profit-making enterprises that send the profits to the wealthy few. The U.S. Trade Representative website says TPP will have “groundbreaking new rules designed to ensure fair competition between state-owned enterprises (SOEs) and private companies.” Also:

“We are also pursuing pioneering rules to ensure that private sector businesses and workers are able to compete on fair terms with SOEs, especially when such SOEs receive significant government backing to engage in commercial activity.

“… Commitments ensuring SOEs act in accordance with commercial considerations and compete fairly, without undue advantages from the governments that own them, while allowing governments to provide support to SOEs that provide public services domestically; and Rules that will provide transparency with respect to the nature of government control over and support for SOEs.”

Corporations are also battling to privatize highways and make public schools into corporate profit centers. Private companies have largely taken over the U.S. prisons to the detriment of everyone. Private prisons contain 6 percent of state prisoners and 16 percent of federal prisoners. Corporations are trying to take over water delivery from publicly-owned municipal systems.

A majority of people in the United States seem to understand the danger of the TPP. According to an International Business Times poll, 62 percent oppose the TPP, and 85 percent of moderate and conservative Republicans oppose it. A top concern is that U.S. workers shouldn’t have to compete with imports made under conditions less costly to employers. Those benefiting from TPP are Philip Morris, fossil fuel companies such as Exxon, financial institutions such as Goldman Sachs, military profiteers such as Halliburton, pharmaceutical companies such as Pfizer—the list of corporations goes on and on.

The legislators who have voted for TPP or plan to vote for the TPP tell naysayers that this trade agreement is different, that it won’t be like all the others—although they most likely have not read the agreement and have no idea what they’re talking about. With past trade agreements almost identical to the proposed TPP, U.S. workers compete with children coerced to work in foreign factories, trafficked and forced labor, and foreign workers so mistreated that they jump to their deaths from factory buildings. U.S. consumers buy products made in collapsing and/or burning buildings that kill thousands of foreign workers. Labor provisions of trade agreements aren’t enforced, and union activists are murdered, tortured, kidnapped, and threatened. The 14 free trade agreements that the United States signed with 20 countries allow filling of complaints for labor violations, but almost no one has done this filing because no one is told about the provisions. Even for the few complains, serious allegations, such as human trafficking and child labor, remain unsettled for years.

The newest leak of the TPP draft reveals that it would block Congressional reforms for lower drug costs and extend the life of patents through “Evergreening,” slight modification of products for new patents. A comparison of drug costs between Canada and the United States shows the exorbitant prices that people on this side of the border pay. Doctors without Borders declared that the TPP could become “the most harmful trade pact ever for access to medicines” in developing countries.

Even if the TPP fails, the U.S. Trade Representative is negotiating for two other, more dangerous deals. The Trans-Atlantic Trade and Investment Partnership (TTIP) would bind the two biggest economies in the world, the United States and the European Union, and the largest agreement, the 51-nation Trade in Services Agreement (TiSA), combines the U.S. and the European Union with 22 other countries scattered throughout the world. TiSA, negotiated for the past two years, would liberalize global trade covering almost 80 percent of the U.S. economy. (TPP will encompass forty per cent of global economic activity.) Like the TPP, it would restrict how governments manage public laws through a regulatory cap and dismantle state-owned enterprises, turning these services over to the private sector. TiSA measures:

  • Limit regulation on service sectors at all levels with “standstill” clauses to freeze regulations in place and prevent future rulemaking for professional licensing and qualifications or technical standards such as staff to patient ratios in hospitals or safety controls on airlines.
  • Make any broken trade barrier irreversible through a “ratchet” clause.
  • Disallow regulations that are “more burdensome than necessary to ensure the quality of the service.”
  • Eliminate restrictions on foreign investments with corporate control.
  • Permit corporations a dispute mechanism giving them money equal to “expected future profits” lost through violations of the regulatory cap.
  • Allow financial services suppliers’ transfer of individual client data out of a TiSA country for processing, regardless of national privacy laws.

To satisfy the trade agreement supporters who want to open up trade in services among the 51 TiSA nations, an international deal, the General Agreement on Trade in Services (GATS), governs these sectors through the World Trade Organization (WTO). TiSA’s goal is to deregulate and privatize services worldwide, even among emerging nations with no input into the agreement. Social, cultural, and even public health goals would be sidelined in favor of a regime that puts corporate profits first. It effectively nullifies the role of democratic governments to operate in the best interest of their constituents.

The love that the GOP, U.S. Chamber of Commerce, Business Roundtable, K Street lobbyists, and giant multinational companies have for the TPP should be a red flag for the dangers of the TPP. Bill Moyers wrote:

“[The TPP] favors CEOs over workers, profits over the environment and corporate power over the rule of law. Small wonder that it was drafted in secret or that Obama, McConnell and Boehner are determined there will be no amendments permitted once it is made public.”

Congressional supporters of the TPP are selling the soul of the United States to the devil.

May 18, 2015

TPP Closer to Passing But No Better Deal

“The president has done an excellent job on [the Trans-Pacific Partnership].” Senate Majority Leader Mitch McConnell made this statement yesterday on This Week. That alone should tell people that the TPP is very wrong for the country. Those touting the wonders of the proposed trade agreement have refused to address its flaws.

Any legislator who reads the highly secret document in the windowless basement room of the Capitol is first stripped of any electronic devices, told they couldn’t take notes, and then strictly forbidden to tell anyone what they’ve read, on threat of prosecution. Sen. Jeff Sessions (R-AL) broke these rules and told members of Congress why they should oppose the proposal.

A major complaint is that the agreement is a “living document,” meaning that the president can change at will after Congress passes the TPP. Sessions is concerned, of course, about what President Obama would do after Congress okays the agreement, but others should be highly concerned about what a GOP president would do to the country through changing the TPP. The first trade representative in the Obama administration, Ambassador Ron Kirk, has said that “if the American people knew what was in this agreement it would never become law.”

President Obama attacked Sen. Elizabeth Warren (D-MA) for her opposition, dismissing her as a “politician.” When the Democrats turned on him for his treatment of her, he softened his approach, but Warren is still speaking about the TPP’s problems.

This morning Warren issued a report of failed trade enforcements, including ones by the current president. He has consistently insisted that the TPP contains robust labor protections and called Warren’s criticisms “dishonest,” “bunk” and “misinformation.” The U.S. consistently fails to enforce any labor protections in trade agreements, according to reports from the non-partisan Government Accountability Office (GAO) as well as the Department of Labor (DOL) and the Department of State. Since Barack Obama became president, the DOL accepted only five claims for labor violations, and the first-ever labor enforcement case too six years to restart after it was originally filed.

Of the 14 U.S. trade agreements with 20 countries, 11 countries continue to perpetrate child labor, forced labor, or other human rights abuses related to labor. The president called a deal with Colombia a “win-win for workers” in 2011, but 105 union activists have been murdered there in the past four years and 1,337 death threats have been issued since the special “Labor Action Plan” was finalized four years ago.

President Obama has said that he has a commitment to bring “the first-ever labor dispute under a free trade agreement”–in Guatemala. Although the AFL-CIO has pushed for action on violations in Guatemala for over six years, the dispute is unresolved, and the country remains one of the most dangerous places in the world for union workers. Seventeen labor activists were murdered there in 2013 and 2014, three of them during a dispute over unpaid back wages.

The Obama Administration predicted that the South Korea Free Trade Agreement would create 70,000 jobs and deliver up to $11 billion in exports. While imports have climbed to over $12 billion, the United States exported $1 billion to Korea. The growing good trade deficit with Korea eliminated over 75,000 jobs in the last three years.

The president touts the TPP as involving 40 percent of global GDP. The United States already represents 22 percent, and existing trade agreements with six TPP partners make up 80 percent of the TPP. Japan, with its 1.2 percent tariff has most of the rest.

GDPThe TPP will also not create “an additional 650,000 jobs,” according to Peter Petri of the Peterson Institute for International Economics. He said, “We don’t believe that trade agreements change the labor force in the long run.” Because the agreement increases copyright and patent protections, prices for drugs, movies and music will increase here and abroad.

Most of the arguments supporting the TPP cite improved trade, but the agreement backers ignore imports, and thus the rapidly increasing trade deficit. Another favorite argument is “containing China.” Either China can join the TPP because the agreement is a “living document,” or it can import goods into TPP countries with no tariffs without following any TPP regulations.

Robert Reich wrote, “[The TPP is] being sold as a way to boost the U.S. economy, expand exports, and contain China’s widening economic influence, [but] the biggest beneficiaries would be giant American-based global corporations, along with their executives and major shareholders.” He further explains how worker protections are unenforceable, as he discovered when he was Secretary of Labor and asked to implement NAFTA. It also won’t help U.S. exports because it does nothing to prevent other nations from manipulating their currencies to boost exports. Sen. Rob Portman (R-OH) is trying to fix that problem with amendment, but the TPP is a “living document.”

Warren also talked about the danger of trade agreements to the Dodd-Frank Act designed to protect consumers. Major financial institutions have lobbied hard for the Transatlantic Trade and Investment Partnership (TTIP), a proposed trade deal between the United States and the European Union, and strongly support the TPP.

The TPP may keep the Federal Reserve from imposing separate liquidity requirements on foreign banks that force banks to have a certain level of assets they can sell off in case of a crisis. Agreements could also change the Dodd-Frank compliance rules on derivatives that currently protect people from another recession. U.S. banks could reincorporate outside the country to avoid regulations. The TTIP also has a provision to evaluate bank regulations on trade impact instead of financial stability, again avoiding reforms. President Obama might not allow this, but President Jeb Bush would definitely put benefits to banks above those to individuals.

Supporters of TPP consistently declare that U.S. law can’t be changed without congressional action, but trade agreements automatically make laws for anyone dealing with corporations outside the United States. Many companies are moving to other countries to avoid U.S. law. Dodd-Frank would require 60 votes in the Senate to be repealed; the trade agreement is a much easier route for a GOP president. In addition to Dodd-Frank, environmental and labor regulations can be at risk through the same fast-track process.

Opposition to the TPP comes from legislators such as Sens. Harry Reid (D-NV), Warren, and Bernie Sanders (I-VT) as well as most Democrats in the House. These people are not isolationists; they support workers, the environment, net neutrality, and human rights.

The Apple Corporation is a classic example of the predatory companies that have designed the TPP. Apple’s overseas untaxed cash, now about $157 billion, is expected to be $200 billion within two years. Cheap construction of their products overseas makes enormous profits for the company. A 16 GB iPhone 6 costs about $200 to manufacture, but without an expensive phone contact with a wireless carrier such as Verizon or AT&T, the product sells for at least $650.

GOP presidential candidate Sen. Rand Paul (R-KY) has praised Apple for its job creation of over one million jobs in the United States. Apple, however, has 66,000 employees in the U.S., half of them retail store workers. The company pays their full-time retail “specialists” less than $30,000 a year while earning $600,000 profit for each one: employees generate $20 in profits for each $1 they are paid.

Laborers at Chinese factories such as Foxconn suffer from low wages, forced overtime, safety hazards, abuse, and increased production quotas. They worked 15 hours a day for ten weeks without a day off before the iPhone 6 launch in late 2014. These problems and others, such as locked fire exits, are reminiscent of the U.S. a century ago.

According to leaked documents, the TPP drops the tariff, bringing far more profits to Apple, Nike, and other huge corporations while destroying the middle class in the U.S. That’s why McConnell approves of the president’s “excellent job” and pushes for the TPP to pass the Senate this week. TPP will destroy the U.S. ability to set regulations, allow corporations to control U.S. law through international tribunals, further eradicate the middle class, outsource more jobs, and block manufacturing in the United States. And McConnell says that no one in Congress is going home until it passes.

March 31, 2015

Stop the TPP

Fast Track in Congress means that the legislative branch gives the executive branch the power to make agreements without any debate or filibuster to provide transparency about any of the issues of the agreement. The highly conservative members of Congress, who want to sue President Obama for taking too much authority in perfectly legal executive orders, wants to let him adopt disastrous trade agreements, at this time the Trans-Pacific Partnership (TPP). Fast Track gave the U.S. the job-killing wage-flattening North American Free Trade Agreement (NAFTA) and the World Trade Organization (WTO) through offshoring U.S. jobs to low-wage countries. It also takes away the nation’s non-trade policies for safe food, a clean environment, affordable medicines, financial stability and more.

Senate Majority Leader Mitch McConnell (R-KY) wants the Senate Finance Committee to approve a Fast Track bill “very quickly after we come back” from the Easter recess on April 13. A key player is usually progressive Sen. Ron Wyden (D-OR) who, for reasons unknown, strongly supports passing the Fast Track authority. Rep. Paul Ryan (R-WI) wants the Fast Track passed before Japanese Prime Minister Shinzo Abe addresses a joint session of Congress in late April.

Last week, Sen. Elizabeth Warren (D-MA) met with House Democrats to talk about the damage TPP would do to the people of this country after Wikileaks further revealed the expansion of corporate power to supercede U.S. laws that now protect the environment, consumers, and public health. WikiLeaks explained that TPP lets firms “sue” governments to get taxpayer compensation for loss of “expected future profits.” The New York Times reported that the TPP “giv[es] greater priority to protecting corporate interests than promoting free trade and competition that benefits consumers.”

According to Warren, the seemingly benign title Investor-State Dispute Settlement (ISDS) would allow foreign companies to challenge U.S. laws—and potentially to pick up huge payouts from taxpayers — without ever stepping foot in a U.S. court. For example, a foreign company that makes a banned toxic chemical added to gasoline could pass by the U.S. courts and move on to an international panel. The ruling could not be challenged in U.S. courts even if the panel demands U.S. taxpayers to pay billions of dollars in damages. Panels would not be required to have independent judges; they can be corporate lawyers. In 2012, one panel ordered Ecuador to pay Occidental Petroleum $2.3 billion for expropriating oil drilling rights.

These courts were set up after World War II when investors worried about putting their money into small developing countries with undependable legal systems. The TPP, however, is with many well-developed countries such as Australia and Japan, whose courts would also be pre-empted. Companies can also purchase political-risk insurance.

History shows the increasing problem of ISDS cases: fewer than 100 claims were made worldwide between 1959 to 2002, but 2012 saw 58 cases in just that year. A French company sued Egypt because Egypt raised its minimum wage, a Swedish company sued Germany because Germany decided to phase out nuclear power, and a Dutch company sued the Czech Republic because the Czechs didn’t bail out a bank that the company partially owned. Philip Morris is suing Uruguay from implementing new tobacco regulations. With TPP, about 9,000 foreign-owned firms operating in the United States could bring cases against governments, and more than 18,000 companies based in the United States would gain new powers to go after the other 11 countries in the accord.

Rep. Loretta Sanchez (D-CA) wrote in an op-ed, “It’s a bad deal for American workers.” Sen. Sherrod Brown (D-Ohio) said, “Members of Congress and their staff have an easier time accessing national security documents than proposed trade deals, but if I were negotiating this deal I suppose I wouldn’t want people to see it either.”

The TPP also allows corporations to fight limitations and exceptions to intellectual property rights such as copyrights and patents. Included are the provisions that allowed Eli Lilly to sue for $500 million because of Canada’s termination of patent extensions for medicines developed in the 1970s. Beyond that, it states that private companies can challenge “the cancellation or nullification of such [intellectual property] rights,” as well as “exceptions to such rights.”

Although a theory is that workers in all nations will benefit from bigger markets and more trade, a large portion of trade is done by multinational companies that have different interests from national corporations. Multinationals profit even if U.S. workers suffer, which is why these companies report their profits in or ship their jobs to countries with the lowest standards. The corporate movement of jobs overseas drives down wages in the U.S.; workers here will be forced to compete with workers in Vietnam who have no rights to organize in protest of wages that are under 60 cents an hour.

Corporate-defined trade rules have resulted in huge trade deficits, more than $8 trillion since 2000, and trade deficits cost jobs. Low trade tariffs allow current trade treaties to focus less on tariffs and more on “harmonizing regulations” for investors, “an excuse for corporations to institute a race to the bottom” according to Katrina vanden Heuvel. Trade agreements support corporate interests while trampling on the U.S. people. Drug companies are protected from introducing generic drugs, agribusiness is protected for its GMO food, and Wall Street is protected from regulations against secret derivatives.

Another provision among the 29 chapters of the TPP is that the U.S. government must treat bids from any TPP country in the same way as they treat U.S. companies. Tax dollars will no longer support U.S. communities, and taxpayers will be forced to send them money overseas, negating a 1934 law to give preference to U.S. corporations. With TPP, Chinese state-owned enterprise firms in Vietnam would have to be treated the same as a U.S. company and be awarded government contracts. Schools will no longer be allowed to “Buy Local” if a multinational company has a lower bid.

Republican members of Congress have fought everything that President Obama has supported—except the TPP Fast Track. That should raise a huge red flag for anyone who supports the rights of 90 percent of the U.S. people. For the past decade of TPP negotiations, the members of Congress, along with everyone else in the United States, have been refused access to TPP meetings and drafts of the agreement. The only information about TPP comes from leaks such as those revealed by Wikileaks. Yet 566 advisory group members, 480 of them representing industry groups or trade associations, are welcome to see and comment on the proposals. The few other participants are from 20 labor unions, three or four environmental groups, one consumer group, and two family farm groups.

U.S. workers are not the only people suffering from past trade agreements providing the prototype for TPP. Sister Simone Campbell, famous for her “nuns on the bus” movement to reverse income inequality, has written about the havoc wreaked by NAFTA, leading to a 60-percent increase in undocumented migrants from Mexico into the United States. This influx was followed by more undocumented migrants trying to cross the U.S. border from Central America after growing drug violence. In the United States, the 63 percent of workers without a college degree lost 12.2 percent of their wages since NATA took effect. According to the Government Accountability Office, labor provisions like the ones in TPP have failed to stop even the most severe labor abuses.

While appearing to be a great deal for huge corporations that are already taking money from the country in subsidies and unpaid taxes, the benefit for individuals, according to Peterson Institute for International Economics, would be one quarter—that’s $.25—a day. The pro-TPP study projects a 0.13-percent increase to the GDP by 2025, half of what Apple’s iPhone 5 did by itself.

If the TPP is so wonderful for the country, why is everything about it cloaked in secrecy? It’s so secret that people voting to approve it aren’t allowed access to information about it, yet they’re pushing for it sight unseen. The same people who think that the UN will destroy the United States are fighting to have international control by corporations.

My other question is why Wyden supports it. His constituents are so upset about his push to pass the TPP that they are floating the possibility of opposition to the extremely popular senator in the upcoming election. He owes Oregon and the people of the United States an explanation.

Moveon.org has a petition for people who oppose the TPP.

January 22, 2015

Stop the Trans-Pacific Partnership Trade Agreement

President Obama’s State of the Union speech earlier this week rated higher than his previous ones with 81 percent of the 31.7 viewers having a very or somewhat positive opinion and only 18 percent reacting negatively. Watchers’ confidence that the president’s policies “will move the country in the right direction” increased 15 percentage points from a pre-speech survey to 72 percent. The high point of the speech for many people happened after Republicans interrupted it with applause when the president said, “I have no more campaigns to run.” He responded, “I know, because I won both of them.” Democrats applauded, and Republicans whined about how nasty the president was.

On their website, House Republicans omitted a couple of the president’s statements.  some of the president’s statements. One was his saying that GOP tried to avoid discussion of climate change by saying that they are “not scientists,” and the other, the president’s statement about torture:

“As Americans, we respect human dignity, even when we’re threatened, which is why I’ve prohibited torture, and worked to make sure our use of new technology like drones is properly constrained. It’s why we speak out against the deplorable anti-Semitism that has resurfaced in certain parts of the world.”

In his response to the president, Sen. Ted Cruz (R-TX) showed himself not yet ready for prime time when he interrupted his own speech about a minute into it by muttering, “Ah, lemme start again.” The video was pulled from YouTube but is available here.

The president’s one clinker in his speech was his support of the Trans-Pacific Partnership, the biggest trade deal in history with countries from Chile to Japan representing 792 million people and 40 percent of the world economy. It was worked out by lobbyists from the nation’s biggest corporations and banks with no participation from the U.S. public.People should know how bad this secret deal by the support from Republicans and rejection of Democrats.

The U.S. chose free trade, opening borders to products made overseas, after World War II to raise living standards and create different jobs. In the last few decades, the win-win situation of free trade skewed the payoff from trade agreements to those at the top. With low tariffs, negotiations are more concerned with protections for intellectual property while decreasing labor laws, financial regulations, and rules for health, safety, and the environment. Big Business still wants free trade while extending their trademarks, copyrights, and patents abroad and protecting their global franchise agreements, securities, and loans. With those rights, they want to stop interference with their profits by doing away with protection for consumers, workers, small investors, and the environment.

Leaks from the TPP proposal show it gives stronger patent protections for pharmaceutical industry to delay cheaper generic versions of drugs. Global corporations will gain an international tribunal of private attorneys, outside any nation’s legal system, who can order compensation for any “unjust expropriation” of foreign assets. The same tribunal can order compensation for any lost profits from a nation’s regulations. Right now, Philip Morris is using this provision against Uruguay in a bilateral trade treaty between that country and Switzerland; the corporation claims that their profits are unfairly diminished by Uruguay’s strong anti-smoking regulations. The year 2012 saw nearly sixty cases in which Big Business sued governments, most of them by U.S. companies trying to undo regulations in different countries.

With TPP’s “minimum standards” affecting financial regulations in a trade deal, a country could be ordered to pay an international bank if the government doesn’t bail out the failing institution. An example is the $200 million cost against the Czech Republic in 2006. TPP rules could also “curtail certain limitations on the size or the operations of financial firms,” according to a letter that three Senators sent U.S. Trade Representative Michael Froman about their objections to his delegation’s provisions. The TPP could also stop any future financial transaction taxes.

Because the TPP lets Big Business eliminate all laws and regulations that threaten their profits, foreign subsidiaries of U.S.-based corporations can destroy regulations in the United States and take compensation from any laws that protect people from unsafe products or unhealthy foods, fraudulent securities or predatory lending, unsafe working conditions, and toxic emissions.

In his speech, the president claimed that the TPP will increase U.S. exports in its competition with China. The same agreement, however, lets U.S. corporations outsource even more jobs abroad. President Obama wants the TPP to be on “fast track” (aka Trade Promotion Authority) because he then gets the constitutional trade and legislative writing authority from the Congress. It prevents amendments and debates on any trade deal that the president negotiates.

At the end of the last century, NAFTA was supposed to be a boon to the United States. Instead it lost almost 700,000 jobs (60.8 percent in manufacturing), expanded inequality, degraded the environment, and destroyed Mexican agriculture. Permanent Normal Trade Relations with China lost over 2.7 million jobs in the U.S., and the Korea Free Trade Agreement destroyed another 70,000 jobs. The most recent South Korean trade pact has lost jobs and expanded U.S. trade deficits.

Proposed trade agreements such as TPP, the Transatlantic Trade and Investment Partnership (TTIP), and the Trade in Services Agreement (TISA) promise the same result. The TTIP agreement with Europe would drive the United States into the same horror of austerity as the EU. Like TTP, Big Business designed its further deregulation of economic, financial, health, labor, safety, privacy, and environmental protections to weaken labor and government. Yet the most optimistic projection of the trade agreement’s impact is a one-time increase of 0.1 percent of GDP.

Sen. Bernie Sanders has provided more ways that the TPP could hurt working families:

Outsourcing even more jobs overseas: More than 130,000 jobs would go to Vietnam and Japan alone. Also disappearing from the U.S. would be many of these service sector jobs in outsource call centers; computer programming; engineering; accounting; and medical diagnostic jobs. More manufacturing jobs would vanish because the TPP provides special benefits to firms that offshore jobs and reduces risks associated with operating in low-wage countries.

Benefiting and expanding Wall Street at everyone else’s expense and financial instability: TPP would stop governments from imposing “capital controls” to avoid financial crises. There can be no financial speculation tax to limit huge transfers of speculative capital in and out of countries responsible for the Asian financial crisis in the 1990s.

Threatening wages, benefits, and collective bargaining: Workers in the U.S. will be competing with those in Vietnam where the minimum wage is 56 cents per hour. 

Undermining environmental protection: Pending claims worth over $14 billion have been filed in other countries on the basis that regulations, mostly environmental, negatively impact future profits. International tribunals will bypass domestic courts to decide these cases.

Ending “Buy America” laws: TPP requires equal access to foreign corporations for competition in contracting with the government. Even companies with horrible human rights records must receive government contracts paid by U.S. taxpayers.

Rewarding authoritarian regimes: The TPP would give all countries, even those that violate basic international standards for human rights, duty-free access to the U.S. market. The Sony hackings could not be reported under TPP rules.

The TPP has no expiration date. It can be repealed only with the consensus of all the countries that agree to it. Other countries, such as China, can also join the TPP in the future.

Two weeks ago, Sanders asked Michael Froman, the chief trade representative for the U.S., to submit the full text of the proposed TPP.  At this time, Congress can assess the proposal only through a few leaked documents. If Froman turns down Sanders’ request, he has asked for the legal basis for a denial. Sanders also plans to introduce a bill requiring that the contents of any trade agreement being negotiated by the U.S. would be made public with the request of any member of Congress.

If the TPP were good for people of the U.S. , it wouldn’t be secret. ISIL is less of a threat to the people of the United States than the proposed trade agreements are. All we can hope for is that the Republicans hate President Obama so much that they won’t give him anything he wants even if the GOP might support it.

[More horrifying information about TPP is available here. And here.]

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