anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Why Bernie Sanders Will Win in 2020, No Matter Who Gets Elected

Stephen Walt writes that even though Bernie Sanders is out of the presidential race, the time has come for many of the policies that he promoted: Universal Healthcare; Democratic Socialism; Income Redistribution; and Foreign Policy.




anders

Sanders' great leap inward: What his rejection of Obama's worldview means for U.S. foreign policy


Bernie Sanders may have had no foreign policy advisers until this week, but he can justly claim to have proposed one of the boldest and radical foreign policy ideas of the 2016 presidential campaign. In what he describes as the most important speech of his campaign—on Democratic Socialism at Georgetown University in November 2015—Sanders called on the United States to fight terrorism in the same way it waged the Cold War. He said: “We must create an organization like NATO to confront the security threats of the 21st century” and we must “expand our coalition to include Russia and members of the Arab League.”

NATO was created in 1949 to give the United States a way to forward-deploy its forces so they would immediately be entangled in a war if the Soviets attacked Western Europe. The most important feature of NATO was the mutual defense clause, whereby an attack on one would be treated as an attack on all. In a new NATO to fight terrorism, the United States could find itself having to deploy tens of thousands of troops throughout the Middle East to fight ISIS. The United States may even be treaty-bound to use its troops to fight alongside Russia in Chechnya. 

If that sounds very unlike Bernie Sanders, it's because it is. It is clear from the speech that Sanders had very little idea what NATO actually is or why it was founded. He was looking for a way to pass the burden of fighting terrorism on to other nations, particularly Muslim nations. Lacking any clear idea as to how to do this, a formal treaty must have seemed as good a way as any. Sanders would surely say that he meant an alliance without a mutual defense pact and without the United States taking the lead. But such an organization currently exists—it is called the counter-ISIS coalition. Presidents Bush and Obama also both sought ways to deepen cooperation with Russia and Arab countries on terrorism without a formal NATO-style alliance, which led to the situation Sanders decries. In any event, the new NATO served its purpose. Sanders could later claim to have given a speech on foreign policy. The specifics of the idea went un-scrutinized. 

Mind the gap

Bernie Sanders’ foreign policy remains a mystery because he has said so little about it. Unlike Donald Trump, who has been vocal about his foreign policy views for many decades, Sanders has focused his message on inequality and the nefarious influence of big money in politics. Recently though, he has begun to come out of his shell. He regularly invokes his opposition to the Iraq War in an effort to negate Hillary Clinton’s superior experience in foreign policy. Sanders clearly hopes that this vote will enable him to win over many Barack Obama supporters who remain suspicious of Clinton. In recent weeks, some foreign policy experts have sketched out how Sanders could build on Obama’s foreign policy legacy and distinguish himself from Clinton. 

Sanders-Obama is the real foreign policy fault-line in the Democratic Party.

The conventional wisdom of the foreign policy debate in the Democratic Party sees an Obama wing that is skeptical of military intervention and a Clinton wing that is more willing to use American power overseas. This is a paradigm that Sanders would certainly endorse and hope to capitalize on but it is not an apt description of the 2016 divide. There is a reason why Obama has come close to endorsing Clinton and has left no doubt that he sees her as his true heir. The gap between Sanders and Obama is much greater than between Clinton and Obama. Obama is an avowed globalist who looked outward, even as he was campaigning in Iowa in 2007. Sanders is a liberal nationalist who looks inward, not just in his rhetoric but in his policy. 

A Sanders nomination would be a striking repudiation not just of Clinton but of Obama’s worldview and message. Sanders-Obama is the real foreign policy fault-line in the Democratic Party. 

Obama 2008: Looking outward

Obama’s 2008 campaign is now shrouded in mythology. He is often described as unlikely a candidate as Sanders. Forgotten is the fact that weeks after he started, he secured the support of major donors and dozens of foreign policy experts. He was always the favorite of a particular part of the establishment. He was young but he had thought about the world and America’s role in it. In 2005, he hired Samantha Power to be his foreign policy adviser in the Senate. His 2006 book "The Audacity of Hope" had a chapter on foreign policy that culled ideas from think tank row. 

In April 2007, a full 18 months before the election, Obama gave a revealing interview to The New York TimesDavid Brooks in which he spoke about the influence that American theologian Reinhold Niebuhr had on his foreign policy. Niebuhr was a seminal figure in U.S. diplomatic thinking during the Cold War and is credited with developing the most sophisticated critique of American idealism. Obama said that Niebuhr provided:

“the compelling idea that there’s serious evil in the world, and hardship and pain. And we should be humble and modest in our belief we can eliminate those things. But we shouldn’t use that as an excuse for cynicism and inaction. I take away...the sense we have to make these efforts knowing they are hard, and not swinging from naïve idealism to bitter realism.”

Some of these themes would reappear in his extraordinary speech in Oslo in 2010 on receiving the Nobel Peace Prize. 

Throughout the 2008 campaign, Obama spoke about reviving American leadership and presenting a new face to the world. In his announcement speech in Springfield in 2007, Obama said “ultimate victory against our enemies will come only by rebuilding our alliances and exporting those ideals that bring hope and opportunity to millions around the globe.” In his acceptance speech in Chicago, he spoke to “those watching tonight from beyond our shores”. “Our stories are singular,” he said, “but our destiny is shared and a new dawn of American leadership is at hand.” 

Obama’s challenge in office, and the challenge of progressives after the Iraq War, was to develop a foreign policy that remained faithful to his internationalist ideals while resisting calls for large-scale military interventions. In this, his record was mixed. The Middle East stands out as a major failure but he had successes elsewhere. He helped rescue the international financial system, he deepened U.S. engagement in Asia, he negotiated several trade deals, and he secured a controversial nuclear deal with Iran. Throughout, he articulated a case for a liberal brand of American exceptionalism and for continued U.S. global leadership. 

Sanders 2016: Drawing inward

That is now at risk, not just by the prospect of a Trump presidency but also from within the Democratic primary. Sanders has had remarkable success with a campaign message that is entirely inwardly focused. Read his speeches, whether at Georgetown or on the stump, and you will see a sharp change of tone from Obama of 2008. Gone are the passages on a new era of American global leadership. Gone are the messages for people beyond these shores. Gone is the optimism about America’s global role. Gone too is the sense that the United States, flawed as it is, has a positive and indispensable role to play in upholding the international order. 

Rhetorically, Sanders is deeply pessimistic about the United States and its role in the world. For Sanders, America is not getting better—it’s getting worse, including on Obama’s watch. And, woe betide those who think that America can be any more successful abroad. In his Georgetown speech, he said that the first element of his foreign policy would be an acknowledgement of how America gets it wrong so frequently. In addition to the Iraq War, he mentioned the toppling of Mossadegh in Iran in 1953, of Arbenz in Guatemala in 1954, of Goulart in Brazil in 1964, and of Allende in Chile in 1973. 

[Sanders] offered no examples of how the United States has made the world a better place.

Apart from the ham-fisted description of NATO, he offered no examples of how the United States has made the world a better place. The toppling of foreign leaders is not, for him, even partially balanced out by successes in promoting democracy in Chile in 1987 or in Eastern Europe in the early 1990s, or in Indonesia in 1998. He did not mention the Kosovo intervention in 1999, which he actually supported at the time. The speech was not without irony however. Sanders organized the domestic section, on democratic socialism, around Franklin Delano Roosevelt’s 1944 State of the Union speech but made no mention of FDR’s heroic—and frequently risky—efforts to win the war and the post-war world.

As the campaign has progressed, Sanders has been pressed on what he would do if he were to be elected president. He said in a February Democratic debate that the “key doctrine of the Sanders administration would be no, we cannot continue to do it alone, we need to work in coalition.” The very idea that a Democratic candidate could make the unilateralist charge against Obama, one of the most multilateral presidents in modern American history, is itself remarkable and rather implausible. 

The very idea that a Democratic candidate could make the unilateralist charge against Obama, one of the most multilateral presidents in modern American history, is itself remarkable and rather implausible.

But this has not deterred Sanders. He has repeatedly argued that the Obama administration has not done enough to get Muslim nations to fight ISIS. At Georgetown he declared, “We need a commitment from these [Muslim] countries that the fight against ISIS takes precedence over the religious and ideological differences that hamper the kind of cooperation we desperately need.” Quite how Sanders would accomplish this was left unsaid. The reason ISIS is difficult to defeat is because Muslim nations see other challenges, particularly the sectarian struggle with Iran, as a much greater threat to their vital interests. 

Simply saying that the president can will other countries to act contrary to what they see as their vital interests is about as plausible as Trump persuading Mexico to pay for his wall. Clinton has repeatedly recognized the challenges associated with persuading Muslim countries to take on more of the anti-ISIS fight, but Sanders has just doubled down on his charge against Obama. “I’ll be dammed,” he told CNN, “if the kids of Vermont have to defend the Royal Saudi family” and take the lead in the fight against ISIS, even if is just with air power. 

On economic policy, Sanders offers an even more radical departure from Obama’s legacy. Sanders has opposed all U.S. trade agreements throughout his political career, including General Agreement on Tariffs and Trade (GATT), the North American Free Trade Agreement (NAFTA), the Central American Free Trade Agreement (CAFTA), and the Trans-Pacific Partnership (TPP). In 2005, he sponsored a bill calling on the United States to withdraw from the World Trade Organization. He has called for tariffs to prevent American industry from investing in China, Vietnam, and Mexico. He was the only Democrat to vote against the Import-Export Bank and he opposed the expansion of the H1-B visa program for high-skilled workers. 

He has offered no positive vision for the world economy and sees it as a zero sum game—either American workers’ win or other nations do. Obama indulged in anti-trade rhetoric, as has Clinton, in the heat of a primary campaign, but Sanders is different. He has consistently sought to disengage from the global economy—the same one that Obama did so much to save in 2009. This is no small matter. As the global economy flirts with recession and a new crisis, this time originating in China, the rest of the world is asking if America can continue to lead or if it is all tapped out. 

He has consistently sought to disengage from the global economy.

A President Sanders would not try to destroy America’s alliances like Donald Trump or leave the Middle East entirely like Rand Paul. But, he would surely try to hide from the world and tend to matters at home. He will be immediately tested by allies and adversaries alike as they try to find the limits of his commitments. All presidents are tested of course—especially those, including Obama and Clinton, who promise to focus on the home front— but they usually try to respond in a resolute way to dispel the concerns. Obama sent additional troops to Afghanistan in 2009, for example. Sanders will probably resist the pressure and focus on his domestic agenda, thus exacerbating foreign crises. He would surely feel a sense of betrayal as America’s allies failed to take up what he considered to be a fair share of the burden. 

America in the world?

2016 is a very different world than 2008. Then, Obama and Democrats saw a world that was full of opportunity, despite the financial crisis and wars in Iraq and Afghanistan. They believed the United States could offer a new face, and a new form of leadership, to the world. When we look back on 2016, it will surely be the year when the United States and much of the rest of the world faced a choice about whether to look outward or turn inward. It is not just the Republican and Democratic primary. Britain will vote on June 23 whether to leave the European Union. Germany and much of the rest of Europe will decide whether to close its borders to refugees.

When we look back on 2016, it will surely be the year when the United States and much of the rest of the world faced a choice about whether to look outward or turn inward.

Of all these tests, the biggest by far is in the United States. Republican and Democratic foreign policy populism is different, of course. Trump and his supporters are both terrified by threats from overseas and determined to lash out as viciously as possible against anything and everything associated with them. To his great credit, Sanders has not peddled fear of the other. His supporters are not frightened by the world. But they are disappointed in it and largely agnostic about what happens outside the United States. The left used to be inherently internationalist, but today Sanders sees no opportunity to lead, only risks of becoming embroiled in someone else’s problems. Sanders will not tear down the liberal international order but he does want to avoid doing much to uphold it. 

Sanders, his aspiring advisers, and much of the media have an interest in situating his foreign policy worldview within the Obama-Clinton paradigm but it is simply not consistent with what he is saying or with what he has done in the very recent past (never mind decades ago). Obama and Clinton obviously differ on some elements on U.S. foreign policy. It is not about large-scale invasions, as is commonly thought. Clinton is not about to send tens of thousands of ground troops to Syria. Rather, she tends to favor small-scale action early on in a conflict to tip the balance while Obama is extremely cautious about a slippery slope. Clinton also tends to see world politics more in terms of power politics while Obama often speaks as if we are headed toward a post-national, more global system. But this all pales in comparison to fundamental questions about whether the United States ought to be engaged in the world, not just militarily but also economically. Obama was elected on a platform of renewing American leadership in the world. He will soon find out if Democrats want to stay on the broad path he set.

Authors

       




anders

1,000,000 of Our Neighbors at Risk: Improving Retirement Security for Marylanders

Increasingly, many Marylanders are unprepared for retirement.

The US has the broadest range of retirement savings options in the world. There are thousands of retirement products offered. But most Marylanders don’t use them.

The need is growing. The Baby Boomers are the largest generation in history. They will live longer in retirement than any generation in history.

But – financially – many are not prepared. Many have virtually no retirement savings: more than a third those within ten years of retirement age have saved less than $10,000. $10,000 invested and spent over the average person’s retirement works out to about $1,000 of income per year. Even with Social Security, that’s not much to live on.

Fears about retirement are the #1 economic concern. Many Marylanders know they’re unprepared – and they’re worried about it. Concerns about retirement security are now more broadly based than the cost of health care, fear of job loss or other economic concerns – and have been for over a decade.3 Those concerns have grown since the financial crisis, even though the stock market has recovered. Many know they’ll have to defer retirement—and many fear they will never be able to afford to retire at all.

The key to retirement saving is having a retirement plan and contributing to it every paycheck. But many businesses, including most smaller businesses, don’t offer retirement plans. As a result 1,000,000 Marylanders working in private businesses across the State don’t have a retirement plan. There are, of course, individual retirement accounts (IRAs) -- but almost no one uses them who didn’t get access through an employer-based plan via payroll deduction.

Having a plan is essential, but not a panacea. Even when plans are available, many employees don’t join. Many who do contribute and save less than they need to meet their own goals. Even with plans, many will need to save more.

The challenge continues at retirement, because most of these plans are paid out in a single lump sum payment—few plans offer reliable retirement income for life that traditional pensions do. Since most retirees do not consult financial advisors and are not financial experts themselves, some who live longer than average or are unlucky in their investments will find that they haven’t saved enough and will exhaust their savings.

They will, of course, have Social Security. That’s why it’s so important that Social Security be both preserved and strengthened. But the average monthly benefit in Maryland is about $1,300 and for most people Social Security covers only a fraction of their basic needs in retirement. Most Marylanders will need additional income from retirement savings – and the State of Maryland can help them get it.

Other states and other governments are making it easier for people to save and for private employers to help them do it. Maryland should, too. Acting now will save Maryland taxpayers millions in the future.

California, Massachusetts, and Illinois have already enacted legislation. Illinois created a new program that requires employers who have no retirement plan to automatically enroll their employees in a state-created program. Massachusetts authorized a program for uncovered employees of non-profits. California created a board to plan and propose program similar to that in Illinois. Similar legislation is being or has been introduced in some fifteen other states – states all across the country with varying political orientations, populations, and economic bases.

Although there are many variations under consideration, these programs generally provide for an automatic payroll deduction of a set amount unless the employee opts out. Funds are to be invested professionally and may be pooled to achieve higher returns and lower costs. Those who cannot or do not want to make complex financial decisions are not required to do so – their contributions are placed automatically into a reliable fund or set of funds.

In order to ensure that employers – many of whom are small businesses – can participate in a program, it must be designed to help them avoid significant disruption, expense or administrative burden. This can be accomplished by enabling employers to use current payroll processes to help their employees to build retirement security, without requiring employers to make contributions themselves.

If Maryland doesn’t act now, Maryland taxpayers will face higher costs for decades to come.

These plans are designed to be self-sustaining: their operating costs are paid for by plan contributions and the State would not assume any obligations. In practice, however, these plans will end up saving taxpayer funds: If Maryland doesn’t act now, Maryland taxpayers will face higher costs for decades to come, as retirees are forced to turn to State assistance instead of living on their own savings.

There are many ways to improve retirement security. The key is for businesses to help their employees save, without becoming overburdened themselves.

Task Force is not recommending any one approach, but strongly recommends that Maryland join other states, by developing and implementing a plan that helps Marylanders have more secure retirements.We recommend development of a specific state-based program that meets Maryland’s needs from the options discussed in our report.

We Can Do Better: Principles for Improving Marylanders’ Retirement

In developing that program, we recommend the following principles as guidelines:

Make it easier for all Marylanders to save for retirement.

  • Access: Every Marylander should have access to an automatic payroll deduction retirement savings plan through their employer. People who are self-employed or unemployed should be able to make contributions at the same time that they pay their State taxes.
  • Simplicity: People should have access to simple, low cost retirement savings plans that make enrollment automatic (auto-enrollment), that don’t require complex investment and savings decisions by providing low-cost automatic (default) options, and that enable savers to grow their saving rate over time through auto-escalation.
  • Portability: They must be able to keep their retirement savings plan when they change jobs. Individuals should never be forced out of a plan because they change or lose their jobs. Workers should have the choice of keeping their existing retirement savings in the plan when they move to another employer or consolidating their retirement savings by moving it to another retirement plan.
  • Choice: Of course, they should have the ability to change the amount that they save, change their investments, move to another plan, or stop saving entirely.

Make it easier for private employers to help their employees save.

  • Since most of the companies who do not offer a retirement plan are smaller businesses, it’s essential that they aren’t forced to take on significant additional financial, administrative or regulatory burdens.
  • Employers should be able to use their current payroll processes to quickly and easily forward employee contributions to a savings plan without assuming significant additional legal or fiduciary responsibilities or taking on significant additional cost.
  • Employer contributions should not be required, but should be permitted if allowed by federal law.
  • Consumer protection, disclosure, and other protections are essential, but these and other regulatory responsibilities should be undertaken by the program itself and not imposed on businesses.

Make it easier for Marylanders to get reliable retirement income for life.

When people retire, they no longer have a paycheck that provides reliable monthly income. They should be able to have a reliable monthly income stream from their retirement savings, too. Retirees should not have to worry about how much their retirement income might be or how long their pension will last if, like half of Americans, they live longer than average.

Investments should be low cost, provide good value, and be professionally managed.

Any program should be self-sustaining. Maryland should help Marylanders save for retirement without risking the State’s credit. It should cover its own operating costs without relying on taxpayer funding or risking the State’s credit by creating contingent liabilities.

Downloads

Publication: The Maryland Governor’s Task Force to Ensure Retirement Security for All Marylanders
      
 
 




anders

What Sanders gets right and wrong about Denmark


The support for Bernie Sanders among young people has stirred a debate about the merits of the American style of a market economy versus the European version, and particularly the Nordic version of capitalism seen in Denmark.

Of course, the chances that Sanders will actually become president are remote and the chances of his enacting his program, if he were to become president, are even more remote. Still, the debate is an interesting one. David Brooks (writing in his New York Times column February 12, 2016) says that Denmark and similar economies in Europe are stagnant and lack the dynamism of America. Sanders’ supporters wrote in response, pointing to the strengths of Denmark: the absence of extreme poverty, the guaranty of good quality health care, and the availability of free college education.

Denmark gets a lot of things right. It provides universal health care of high quality at only a fraction of the cost of the U.S. system. Health outcomes are at least as good as in the United States with Danish wait-times similar to those we have here and infant mortality much lower. Denmark also does well in its primary and secondary education and in its labor market programs. They use tough love on those who are out of work, providing generous income support and training, but if they do not find a job or accept one that is found for them, the unemployed lose their benefits. The Danish “flexicurity” system is much admired because it combines a flexible labor market with income security. People are not guaranteed to keep the job they are in, but they are pretty much guaranteed that they can have a job.

Brooks is correct in pointing to the negative impact of very high tax rates on work. In the Nordic economies and in Germany, the employment rate is high but people work a lot fewer hours than workers in the U.S. On average, employed workers work 1,788 hours a year in the U.S. and only 1,438 in Denmark, and even less in Germany at 1,363, according to the OECD. Of course the Europeans are choosing to work shorter hours, but that choice is made in the face of very high taxes. Consider a busy professional couple in Denmark who want a renovation done to their home. They take home only a fraction of their salary after paying taxes and then they pay a plumber or an electrician to work on their house, and each of these tradespeople gets to keep only a fraction of what they charge for their services. The couple may find it is better to forget about the renovation, or hire people off the books to avoid the prohibitive double taxation.

In terms of innovation, Europe does not have the equivalent of Silicon Valley or the innovation hubs around Cambridge, Massachusetts, or the National Institutes of Health in Maryland. These creative centers generate innovations made in the U.S. that spread around the world and benefit everyone. Denmark is too small to sustain such centers by itself, but the problem extends to Europe more broadly, where policymakers struggle to match American innovation. Brooks is also correct about the danger of universal free college education. Those who graduate from four-year colleges will usually be in the upper half of the income distribution and should not expect to get a free ride from taxpayers who are making far less themselves. At the same time, creating broad financial support to allow children from low-income families to attend college while avoiding crippling debts is absolutely the right policy.

The U.S. is an exceptional country with a dynamic and successful economy. Europe would profit from copying the innovation culture of America. American capital markets, notwithstanding the financial crisis, are much more efficient than those in Europe and offer financial support and mentoring to start-up companies. Going the other way, America could learn about ways to retrain workers and avoid the desperate poverty that afflicts too many of our citizens. We could learn about the benefits of negotiating for lower prices from doctors, hospitals and drug companies. Whoever wins the White House should be secure in their belief about America’s strengths and vitality, while admitting that we can learn from what other countries do well.


Editor's note: This piece originally appeared in Inside Sources

Publication: Inside Sources
Image Source: © Dominick Reuter / Reuters
      
 
 




anders

Using Crowd-Sourced Mapping to Improve Representation and Detect Gerrymanders in Ohio


Analysis of dozens of publicly created redistricting plans shows that map-making technology can improve political representation and detect a gerrymander.  In 2012, President Obama won the vote in Ohio by three percentage points, while Republicans held a 13-to-5 majority in Ohio’s delegation to the U.S. House. After redistricting in 2013, Republicans held 12 of Ohio’s House seats while Democrats held four. As is typical in these races, few were competitive; the average margin of victory was 32 points. Is this simply a result of demography, the need to create a majority-minority district, and the constraints traditional redistricting principles impose on election lines—or did the legislature intend to create a gerrymander?

Crowd-Sourced Redistricting Maps

In the Ohio elections, we have a new source of information that opens a window into the legislature’s choice: Large numbers of publicly created redistricting plans.

During the last round of redistricting, across the country thousands of people in over a dozen states created hundreds of legal redistricting plans. Advances in information technology and the engagement of grassroots reform groups made these changes possible. To promote these efforts we created the DistrictBuilder open redistricting platform and many of these groups used this tool to create their plans.

Over the last several years, we have used the trove of information produced by public redistricting to gain insight into the politics of representation. In previous work that analyzed public redistricting in Virginia[1], and in Florida[2], we discovered that members of the public are capable of creating legal redistricting plans that outperform those maps created by legislatures in a number of ways.

Public redistricting in Ohio shows something new—the likely motives of the legislature. This can be seen through using information visualization methods to show the ways in which redistricting goals can be balanced (or traded-off) in Ohio , revealing the particular trade-offs made by the legislature.

The figure below, from our new research paper[3], shows 21 plots—each of which compares legislative and publicly-created plans using a pair of scores—altogether covering seven different traditional and representational criteria. A tiny ‘A’ shows the adopted plan. The top-right corner of each mini-plot shows the best theoretically possible score. When examined by itself, the legislative plan meets a few criteria: it minimizes population deviation, creates an expected majority-minority seat, and creates a substantial majority of districts that would theoretically be competitive in an open-seat race in which the statewide vote was evenly split.

Figure 1: Pairwise Congressional Score Comparisons (Scatterplots) - Standardized Scores

In previous rounds of redistricting, empirical analysis would stop here—unless experts were called in to draw alternative plans in litigation. However, the large number of public plans now available allows us to see other options, plans the legislature could readily have created had it desired to do so. Comparison of the adopted plans and public plans reveal the weakness of the legislature’s choice. Members of the public were able to find plans that soundly beat the legislative plan on almost every pair of criteria, including competitive districts.

So why was the adopted plan chosen? Information visualization can help here, as well, but we need to add another criterion—partisan advantage:

Pareto Frontier: Standard Criteria vs. Democratic Surplus

When we visualize the number of expected Democratic seats that was likely to result from each plan, and compare this to the other score, we can see that the adopted plan is the best at something— producing Republican seats.

Was Ohio gerrymandered? Applying our proposed gerrymandering detection method, the adopted plans stands in high contrast to the public sample of plans, even if the overall competition scoring formula is slightly biased towards the Democrats, as strongly biased towards the Republicans on any measure of partisan fairness. Moreover analyzing the tradeoffs among redistricting criteria illuminate empirically demonstrates what is often suspected, but is typically impossible to demonstrate—that had the legislature desired to improve any good-government criterion—it could have done so, simply by sacrificing some partisan advantage. In light of this new body of evidence, the political intent of the legislature is clearly displayed.

However, when politics and technology mix, beware of Kranzberg’s first law: “Technology is neither good nor bad; nor is it neutral.”[4] Indeed there is an unexpected and hopeful lesson on reform revealed by the public participation that was enabled by new technology. The public plans show that, in Ohio, it is possible to improve the expected competitiveness, and to improve compliance with traditional districting principles such as county integrity, without threatening majority-minority districts simply by reducing partisan advantage—this is a tradeoff we should gladly accept.



[1] Altman M, McDonald MP. A Half-Century of Virginia Redistricting Battles: Shifting from Rural Malapportionment to Voting Rights to Public Participation. Richmond Law Review [Internet]. 2013;43(1):771-831.

[2] Altman M, McDonald M. Paradoxes Of Political Reform: Congressional Redistricting In Florida. In: Jigsaw Puzzle Politics in the Sunshine State. University Press of Florida; 2014.

[3] Altman, Micah and McDonald, Michael P., Redistricting by Formula: An Ohio Reform Experiment (June 3, 2014). Available at SSRN: http://ssrn.com/abstract=2450645

[4] Kranzberg, Melvin (1986) Technology and History: "Kranzberg's Laws", Technology and Culture, Vol. 27, No. 3, pp. 544-560.

Image Source: © Jonathan Ernst / Reuters
      
 
 




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India post – a subsidiary of the Ministry of Communications – stepped in to help the residents of Madh Island, after a report in mid-day highlighted their plight regarding cash. They had been plagued by dysfunctional ATMs since the national lockdown was announced due to the COVID-19 pandemic. But very few transactions were successful, since most residents didn't have their active mobile numbers linked to their Aadhaar cards — which is a must for availing the service.

After reading mid-day's April 26 report, India Post sent a team of three postmen to the area on Monday, to provide door-to-door cash withdrawal services — at no extra charge — via their mobile phones. Using their government-authorised mobile phones, these postmen helped residents withdraw money from their bank accounts and handed the cash to them—provided their bank accounts and active mobile phone numbers were linked to their Aadhaar accounts. Although a handful of residents were able to carry out successful transactions, a majority of residents could not avail the service since either their active phone numbers were not linked to their Aadhaar cards or their bank accounts.

One postman = 1 micro ATM
Speaking to mid-day, Saranya U, senior superintendent of Post Office of Mumbai North Division (under whose jurisdiction Madh Island falls), said that each of the postmen deployed for this service is equipped with government-approved mobile phones that are pre-loaded with the India Post Payment Bank (IPPB), as well as a biometric scan device that can be connected to the mobile phone. "For us, each postman acts like a micro ATM. Using their mobile phones, each of them could enable people to withdraw up to R50,000 from their bank accounts," she said. This limit was extended from R10,000 to R50,000 in the light of the COVID-19 situation.

She explained that a person had to simply run their biometric fingerprint scan through the device connected to the postman's mobile phone (Aadhaar requires thumbprints to cross-confirm). "If a bank account has been linked to the Aadhaar account, then money can be withdrawn from that account. The person's current active mobile number is also required since an OTP will be sent to it. Another step also includes authenticity confirmation from UIDAI," she said.

If all these criteria are fulfilled, people can withdraw money from the comfort of their homes. "However, we were able to distribute only R11,000 in total because most people either don't have their Aadhaar or active mobile numbers linked to their bank accounts. We carried out a total of 25 transactions, but only 4 of them were successful," said Saranya, adding that India Post's door-to-door cash withdrawal service is more popular in rural areas.

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India Post also reached out to Manisha Suryavanshi, a resident who is disabled with polio in a leg, and was mentioned in the mid-day report. "I was surprised to see them. They ran me through the entire process… and I got the amount instantly in my hands. I also received a debit message on my mobile phone…it was easy and we were not charged for the service," she said.

4
No. of successful transactions

25
No. of total transactions attempted

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Even though he is disturbed by the suffering of people, Rahane looked at the positive side of the lockdown. "First of all, definitely this is a sad thing, which is happening. But, looking at the positive side, I'm getting time to spend with my daughter and family. My daughter is six-and-a-half months old, I'm lucky to be with her," the right-handed batsman said. He also said that batting legend Sachin Tendulkar, Rahul Dravid and tennis ace Roger Federer are his role models and meeting the multiple-time Grandslam champion at the 2015 Australian Open was a fanboy moment for him.

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