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Elimination of Public Option Threw Consumers to the Insurance Wolves |
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Wednesday, 18 February 2015 09:55 |
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Potter writes: "When members of Congress caved to demands from the insurance industry and ditched their plan to establish a 'public option' health plan, the lawmakers also ditched one of their favorite talking points, that a government-run plan was necessary to 'keep insurers honest.'"
Senator Joe Lieberman. (photo: Cooper/CBS)

Elimination of Public Option Threw Consumers to the Insurance Wolves
By Wendell Potter, The Center for Public Integrity
18 February 15
hen members of Congress caved to demands from the insurance industry and ditched their plan to establish a “public option” health plan, the lawmakers also ditched one of their favorite talking points, that a government-run plan was necessary to “keep insurers honest.”
Getting rid of a government-run insurance option was the industry’s top objective during the health care reform debate. Private insurers set out to persuade President Obama and Congressional leaders that they were trustworthy. Lawmakers were led to believe, for one thing, that insurers could be trusted to offer policies that would continue to give Americans’ access to the doctors they had developed relationships with and wanted to keep. And they were persuaded that insurers wouldn’t think of engaging in bait-and-switch tactics that would leave folks with less coverage than they thought they were buying.
When he was running for president, Obama regularly talked about the need for a public option. That was one reason why many health care reform advocates supported him instead of Hillary Clinton.
He kept insisting on a public option for months after he was elected. He said on July 18, 2009, “Any plan I sign must include an insurance exchange—a one-stop-shopping marketplace where you can compare the benefits, costs and track records of a variety of plans, including a public option to increase competition and keep insurance companies honest...”
Soon after that, though, he began to waffle. It became clear to me as well as public option supporters in Congress that industry lobbyists had gotten to him. In an effort to keep the public option idea alive, House Speaker Nancy Pelosi invited me to testify during a Sept. 16, 2009, meeting of the Democratic Steering and Policy Committee Forum on Health Insurance Reform.
Knowing the industry as I did, I told the committee that if Congress failed to create a public option to compete with private insurers, “the bill it sends to the President might as well be called “The Insurance Industry Profit Protection and Enhancement Act.” Pelosi insisted that Congress had no intention of doing that.
While Pelosi was able to get a bill through the House with a public option provision, she couldn’t control what was happening in the Senate. Although a majority of Senate Democrats supported the public option, the industry knew it only needed one senator who caucused with the Dems to change his mind and kill it.
A senator from Connecticut, the insurance capital of the world, became the industry’s go-to guy. Insurers had spent years investing in Sen. Joe Lieberman, a former Democrat-turned-Independent. During the reform debate, the watchdog group Public Campaign Action Fund, (now called EveryVoice), called Lieberman an “insurance puppet,” noting that insurers had contributed nearly half a million dollars to his campaigns over the years.
The Democrats needed Lieberman’s vote to get reform passed, and insurers knew it. Shortly before the Senate was set to vote on the bill, Lieberman said he would vote for the bill only if the public option was stripped out.
Lieberman accused public option supporters of having an ulterior motive.
“A public option plan is unnecessary,” he told Fox News. “It has been put forward, I’m convinced, by people who really want the government to take over all of health insurance.”
In retrospect, the half a million dollars in campaign contributions might have been the best money the industry ever spent. That’s because the Affordable Care Act, for all the good it has done to expand access to health care, has, as I predicted, protected and enhanced the profits of health insurance companies. As I pointed out last month, health insurers have seen their stock prices double, and in many cases triple, since Obama signed the ACA into law five years ago.
And how trustworthy have those companies been? Not very, in many cases.
Millions of Americans who have signed up for coverage on the Obamacare exchanges are finding out that they will not get any coverage if they continue going to the doctors they’ve been going to for years.
Nowhere is this more of a problem than in New York State. A friend who recently lost both his job and employer-sponsored coverage told me earlier this month that not only were the physician networks of all the New York exchange plans skimpy, not a single exchange plan offered any coverage for out-of-network care. If he and his wife continued to go to their primary care doctors and specialists, and if they continued to take their kids to their pediatricians, they would have to pay for everything out of their own pockets.
On the other side of the country, California Insurance Commissioner Dave Jones last month issued an emergency regulation after getting a flood of calls from folks who said health insurers had duped them.
"Californians and California businesses deserve better than what they have gotten from most health insurers and HMOs,” Jones said at the time. “Health insurers' medical provider directories have been inaccurate, misleading consumers into signing up with a health insurer for access to a doctor, specialist, or hospital only to learn that these medical providers are not actually a part of the health insurer's network.”
The problems people are facing are not limited to New York and California, as Elizabeth Rosenthal reported last week in a New York Times article headlined, “Insured, but Not Covered.”
Would a public option have kept insurers more honest? Thanks to Big Money from Big Insurance—and Joe Lieberman—we’ll never know.

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Don't Mess With Texas: The Immigration Debate Takes a Turn |
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Written by <a href="index.php?option=com_comprofiler&task=userProfile&user=11104"><span class="small">Charles Pierce, Esquire</span></a>
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Tuesday, 17 February 2015 14:22 |
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Pierce writes: "Texas had blocked implementation of the president's executive order on immigration."
Viridiana Carrizales and Jose Patino react during a watch party for President Obama's speech on immigration in 2014. (photo: David Wallace/The Republic/AP)

Don't Mess With Texas: The Immigration Debate Takes a Turn
By Charles Pierce, Esquire
17 February 15
his morning was the first morning in a while that I haven't had to move the Great Climate Change Hoax around on my front walk, or chop it up at the end of my driveway. So, I luxuriated in front of the TV, watching an animal documentary from Africa on the Smithsonian Channel. It was about predators and prey, which is what all animal documentaries are about, now that I think about it. Anyway, at one point, there was remarkable footage of a Gaboon viper, sliding silently through the ground clutter of a dense forest. Its camouflage was so perfect that its motion across the jungle floor easily could be mistaken for merely a stirring of the wind among the leaves. This likely would be the last mistake you would make, by the way. The Gaboon viper can grow to be seven-feet long. Its fangs can be as long as two inches and, unlike many venomous snakes, the Gaboon hangs on after the initial bite, injecting more venom. It will kill your ass, basically, although snake fanciers point out that it is an unusually sluggish and docile specimen to keep in your home. If you're, you know, really nuts.
(Does it have its own website? These are the Intertoobz. Of course it has its own website, and that is Your Number 1 Source For Gaboon Information. Something has to be that, I guess.)
While I was watching the Gaboon viper stalk something or other through the underbrush, I got a news alert that a federal judge in where-the-fk-else? Texas had blocked implementation of the president's executive order on immigration. Judge Andrew Hanen, an appointee out of the late departed Avignon Presidency, stayed the order in a decision that reads more like an audition for Fox And Friends than it does a serious judicial ruling.
"Once these services are provided," Hanen wrote in a 123-page ruling, "there will be no effective way of putting the toothpaste back in the tube should the plaintiffs ultimately prevail."
The lives of five million people are toothpaste that has to be put back in the tube. This battle now will groan on and on, and five million lives will be disrupted and rendered insecure. The president may not act on his lawful authority unless he's sure his actions can survive every level of a loaded federal judicial system. Hanen, as it turns out, has been a real prize on this issue ever since C-Plus Augustus appointed him to the seat he now holds.
Yet despite the fact that Judge Hanen had no apparent jurisdiction over the mother, the daughter, or the settlement agreement, Hanen issued a 10-page "order" expressing his disagreement with the government's decision not to bring criminal charges against the mother. "There is nothing in this settlement," he complains, "that prohibits the [federal government] from arresting" the mother. Or, barring that, "from at least initiating deportation proceedings." Indeed, he characterizes the government's decision to reunite the undocumented mother and child without charges or the threat of deportation as turning "participat[ing] in and complet[ing] the mission of a criminal conspiracy." The government's decision to allow mother and child to remain in the United States without criminal charges, according to Hanen, is "both dangerous and unconscionable."
There are dozens like Hanen out there, moving silently within the judicial underbrush, their camouflage nearly perfect, invisible until the strike and deadly when they do. This is the long project of the conservative legal movement and its adjuncts among the various intellectual chop-shops financed by the seemingly endless battalions of corporate sugar daddies and mommas. You really have to admire the thoroughness and the stealth with which they have pulled it off, just as you can admire the beauty of the Gaboon's camouflage until, of course, you step on one and he bites you and your leg swells up and you die.
That Hanen is as full of shit as the Christmas goose should go without saying, but we'll say it, anyway. The discretion of both prosecutors and of the executive branch in deciding the merits and ultimate value of what cases they choose to pursue is well established in law, especially in U.S. v. Armstrong, a decision handed down by that hippie chief justice, the late William Rehnquist. (In that case, the appellant defendants were arguing that they had been targeted in a drug sting because they were black. This, of course, left them virtually no chance with Rehnquist, but, by ruling against them on the grounds of "Racism? What racism?", he also pretty much said the government can prosecute whoever it wants, or not prosecute whoever it wants. History will have its little jokes.) But Hanen, basically, is saying that the exercise of that prerogative is denied to this president in this case because the judicial system is now so larded with Hanen's ideological soulmates that the case is bound to run into another one of them sooner or later and then what will we do? Hanen's point strikes me as not dissimilar to the argument made by Antonin (Short Time) Scalia in Bush v. Gore in which Short Time justified the involvement of the Supreme Court in the 2000 election by saying the ongoing controversy was unfair to George W. Bush. There obviously will be an appeal, but the movement among the dead and dying leaves remains ominous.

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FOCUS | President Gollum's 'Precious' Secrets |
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Tuesday, 17 February 2015 12:19 |
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Parry writes: "Obama's presidency has been one of the most opaque and deceptive in modern history."
A scene from 'The Lord of the Rings' film. (photo: New Line Cinema/AP)

President Gollum's 'Precious' Secrets
By Robert Parry, Consortium News
17 February 15
Despite promises of “openness,” President Obama has treated information that could inform American democracy like Tolkien’s character Gollum coveted his “precious” ring. Obama is keeping for himself analyses that could change how the public sees the crises in Syria and Ukraine, writes Robert Parry.
resident Barack Obama promised a “transparent” administration, reviving democracy by letting Americans see into the inner workings of their government as much as possible, an implicit criticism of the excessive secrecy of his predecessor, George W. Bush. But instead Obama’s presidency has been one of the most opaque and deceptive in modern history.
Not only has Obama continued to wrap the carry-over anti-terrorism wars in maximum secrecy but he has taken unprecedented steps to shut down leaks by prosecuting whistleblowers who talk to the press. And, he has left standing his administration’s misleading rushes to judgment on key issues after U.S. intelligence analysts have refined or reversed the first impressions.
Whether on the Syrian sarin attack in 2013 or pivotal incidents in the Ukraine crisis – who was behind the sniper attacks in Kiev last Feb. 20 and who shot down Malaysia Airlines Flight 17 last July 17 – Obama has withheld evidence developed by U.S. government analysts rather than undercut the propaganda value of the initial accusations.
In the sarin incident, Secretary of State John Kerry and others rushed to blame President Bashar al-Assad’s government – bringing the U.S. military to the brink of war – and similarly the State Department exploited the two most iconic events of the Ukraine crisis by blaming then-President Viktor Yanukovych for the sniper killings and Russia and ethnic Russian rebels for shooting down MH-17 killing all 298 people onboard.
After the State Department had squeezed out the propaganda value of those accusations, U.S. intelligence analysts came to more detailed conclusions with their findings conflicting with the hasty finger-pointing after the events. But instead of refining or correcting the record, the Obama administration typically went silent, leaving the initial impressions in place even when the President knew better.
In the context of Ukraine, I asked one senior administration official about this behavior and he responded that Russia held most of the advantages there by nature of proximity and history but that one advantage the United States wielded was “information warfare” – and it made no sense to surrender that edge by withdrawing accusations that had put Russian President Vladimir Putin on the defensive.
Thus, in this Orwellian world that seems to have swallowed America’s major institutions, what mattered most was how “information” – including false or misleading propaganda – could be deployed for geopolitical purposes even if it also involved deceiving the U.S. public. Or, one might say, especially if it deceived the U.S. public.
‘Perception Management’
This attitude toward manipulating rather than informing the American people has a long and grim history. For instance, President Lyndon Johnson won congressional support for his disastrous Vietnam War escalation by citing the Tonkin Gulf incident, a false claim about North Vietnamese aggression which has since been debunked but still is used historically by the Defense Department to justify the millions killed in that conflict.
After the U.S. defeat in Vietnam, President Ronald Reagan set up inter-agency task forces devoted to the concept of “perception management,” essentially how to get the American people to “kick the Vietnam Syndrome” and get back into line behind U.S. military interventions abroad, a CIA-inspired campaign that proved stunningly successful. [See Consortiumnews.com’s “The Victory of ‘Perception Management.’”]
Last decade, the American people got their perceptions managed once more regarding Iraq’s non-existent WMD, leading to another catastrophic war which continues to spread chaos and death across the Middle East to this day. One might think that with that bloody history, President Obama would want to fulfill his promises of “transparency.”
According to a memorandum instructing Executive Branch department heads, Obama wrote: “My Administration is committed to creating an unprecedented level of openness in Government. We will work together to ensure the public trust and establish a system of transparency, public participation, and collaboration. Openness will strengthen our democracy and promote efficiency and effectiveness in Government.”
Instead, Obama has clamped down more than ever on openness and transparency, including the prosecution of more government whistleblowers than all the previous presidents combined and sitting on U.S. intelligence reports that would change how Americans understand major international crises.
By and large, Obama has continued the excessive secrecy of President George W. Bush, including withholding from the American people 28 pages of the 2002 congressional investigation into the 9/11 attack that relate to Saudi financing for al-Qaeda terrorists.
Obama also has refused to give the U.S. public access to the updated intelligence analyses of more current crises, including the near American military entry into the Syrian civil war in 2013 and the potential nuclear showdown with Russia over Ukraine in 2014. So, even when American lives are being put at risk by rushes to judgment, Obama doesn’t believe that the people have a right to know the facts.
The Pathology of Secrecy
I spoke with one person who has known Obama since he was a senator from Illinois who suggested the President is fearful that if he does release these secrets and some negative consequences result that he’ll be blamed. In order words, Obama in practice is too scared to live up to his commitment about “transparency.”
Another less generous explanation is that Obama is at heart an elitist who likes to surround himself with secrets but doesn’t want to share them with common citizens who are best treated like the proverbial mushrooms kept in the dark and fertilized.
Or put differently, Obama is like the character Gollum in J.R.R. Tolkien’s The Lord of the Rings series who is entranced by the power of the One Ring and obsessively pursues it, what he calls “my Precious.” In that analogy, Obama can’t part with his precious secrets despite his promises to the American people about government openness.
Surely, Obama does get warnings against letting the public in on what the U.S. government knows about pivotal events. Government bureaucrats can always find reasons to keep information secret. But presidents have the ultimate say in what is kept secret and what is released.
And, except for a flurry of disclosures immediately after taking office, including Bush’s legal memos justifying torture, Obama has done less about opening up the federal government’s archives than many recent presidents. For instance, President Bill Clinton declassified Cold War-era files on U.S. participation in Guatemala’s decades of brutal repression.
Obama has shown less enthusiasm for giving Americans back their history. More importantly, however, Obama has withheld crucial information about current crises, such as the Syrian sarin attack and events that drove the Ukrainian civil war. [See Consortiumnews.com’s “The Collapsing Syria-Sarin Case” and “The Danger of an MH-17 Cold Case.”]
In both areas, his administration rushed to judgment based on fragmentary information and – as more detailed data became available challenging the earlier claims – Obama clamped down on what the American people were allowed to hear.
Much like the Tonkin Gulf case, war hawks in the U.S. government found the misimpressions useful, so they didn’t want to correct the record. All the better to get an edge on foreign “adversaries” and manage the perceptions of the American people.
And, for whatever his reasons, President Obama couldn’t let go of his “Precious.”

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How Trade Deals Boost the Top 1% and Bust the Rest |
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Tuesday, 17 February 2015 09:21 |
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Reich writes: "Suppose that by enacting a particular law we'd increase the U.S. Gross Domestic Product. But almost all that growth would go to the richest 1 percent."
Economist, professor, author and political commentator Robert Reich. (photo: Richard Morgenstein)

How Trade Deals Boost the Top 1% and Bust the Rest
By Robert Reich, Robert Reich's Blog
17 February 15
The ability to get health insurance independently from full-time jobs has empowered workers, evidence shows
uppose that by enacting a particular law we’d increase the U.S.Gross Domestic Product. But almost all that growth would go to the richest 1percent.
The rest of us could buy some products cheaper than before. But those gains would be offset by losses of jobs and wages.
This is pretty much what “free trade” has brought us over the last two decades.
I used to believe in trade agreements. That was before the wages of most Americans stagnated and a relative few at the top captured just about all the economic gains.
Recent trade agreements have been wins for big corporations and Wall Street, along with their executives and major shareholders. They get better access to foreign markets and billions of consumers.
They also get better protection for their intellectual property – patents, trademarks, and copyrights. And for their overseas factories, equipment, and financial assets.
But those deals haven’t been wins for most Americans.
The fact is, trade agreements are no longer really about trade. Worldwide tariffs are already low. Big American corporations no longer make many products in the United States for export abroad.
The biggest things big American corporations sell overseas are ideas, designs, franchises, brands, engineering solutions, instructions, and software.
Google, Apple, Uber, Facebook, Walmart, McDonalds, Microsoft, and Pfizer, for example, are making huge profits all over the world.
But those profits don’t depend on American labor — apart from a tiny group of managers, designers, and researchers in the U.S.
To the extent big American-based corporations any longer make stuff for export, they make most of it abroad and then export it from there, for sale all over the world — including for sale back here in the United States.
The Apple iPhone is assembled in China from components made in Japan, Singapore, and a half-dozen other locales. The only things coming from the U.S. are designs and instructions from a handful of engineers and managers in California.
Apple even stows most of its profits outside the U.S. so it doesn’t have to pay American taxes on them.
This is why big American companies are less interested than they once were in opening other countries to goods exported from the United States and made by American workers.
They’re more interested in making sure other countries don’t run off with their patented designs and trademarks. Or restrict where they can put and shift their profits.
In fact, today’s “trade agreements” should really be called “global corporate agreements” because they’re mostly about protecting the assets and profits of these global corporations rather than increasing American jobs and wages. The deals don’t even guard against currency manipulation by other nations.
According to Economic Policy Institute, the North American Free Trade Act cost U.S. workers almost 700,000 jobs, thereby pushing down American wages.
Since the passage of the Korea–U.S. Free Trade Agreement, America’s trade deficit with Korea has grown more than 80 percent, equivalent to a loss of more than 70,000 additional U.S. jobs.
The U.S. goods trade deficit with China increased $23.9 billion last year, to $342.6 billion. Again, the ultimate result has been to keep U.S. wages down.
The old-style trade agreements of the 1960s and 1970s increased worldwide demand for products made by American workers, and thereby helped push up American wages.
The new-style global corporate agreements mainly enhance corporate and financial profits, and push down wages.
That’s why big corporations and Wall Street are so enthusiastic about the upcoming Trans Pacific Partnership – the giant deal among countries responsible for 40 percent of the global economy.
That deal would give giant corporations even more patent protection overseas. It would also guard their overseas profits.
And it would allow them to challenge any nation’s health, safety, and environmental laws that stand in the way of their profits – including our own.
The Administration calls the Trans Pacific Partnership a key part of its “strategy to make U.S. engagement in the Asia-Pacific region a top priority.”
Translated: The White House thinks it will help the U.S. contain China’s power and influence.
But it will make giant U.S. global corporations even more powerful and influential.
White House strategists seem to think such corporations are accountable to the U.S. government. Wrong. At most, they’re answerable to their shareholders, who demand high share prices whatever that requires.
I’ve seen first-hand how effective Wall Street and big corporations are at wielding influence — using lobbyists, campaign donations, and subtle promises of future jobs to get the global deals they want.
Global deals like the Trans Pacific Partnership will boost the profits of Wall Street and big corporations, and make the richest 1 percent even richer.
But they’ll bust the rest of America.

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