Trump's Amerika: "A Toxic Mix Of Senseless Cruelty And Corporate Greed"

The private-prison industry stands to make a fortune from Trump's immigration crackdown. This toxic mix of senseless cruelty and corporate greed means big profits.

Thinking Beyond The Conventional

We are regularly told, both by governments and their corporate confederates, that these are tough times, and that only patience and a freer hand for business will bring about eventual relief. To the seasoned observer, such a prescription is utter nonsense, of course. Neither an expansion in good-paying jobs nor a contraction of the income gap has occurred under that roadmap.

The fact is there are solutions to many of the problems we face today, whether it be climate change, the grinding poverty that so many contend with, or the sad plight of our native peoples, to name but three. Yet these solutions, while well-known and well-researched, always seem just over the next horizon, never to be realized.

Consider the matter of the guaranteed annual income, which I have written about previously on this blog. A recent piece by Glen Hodgson and Hugh Segal suggests the time is right for such a program, especially since countries in Europe are giving it serious consideration.

How does a guaranteed annual income system work? Basic income support would be delivered as a tax credit (or transfer), administered as part of the income tax system. Existing social welfare programs could be streamlined into this single universal system, thereby reducing public administration and intervention. Earned income for GAI recipients could be taxed at low marginal rates, thereby lowering the existing “welfare wall” of high marginal tax rates for welfare recipients who try to break out of welfare by working and providing a stronger incentive for recipients to work and increase their income.

The benefits of such a program would be many: poverty reduction, better health outcomes, greater labour force engagement, etc. And to top it all off, it would likely save money since it would replace the siloed benefit programs that currently exist, thereby significantly reducing administrative costs.

Even if you don't believe that a guaranteed annual income would be cost effective, there are other untapped sources of revenue that could fill the gaps and do much, much more. One of those sources is a form of the Tobin Tax, a tax on financial transactions.

The New York Times writes:

A financial transaction tax — a per-trade charge on the buying and selling of stocks, bonds and derivatives — is an idea whose time has finally come.

A well-designed financial transaction tax — one that applies a tiny tax rate to an array of transactions and is split between buyers and sellers — would be a progressive way to raise substantial revenue without damaging the markets. A new study by researchers at the nonpartisan Tax Policy Center has found that a 0.1 percent tax rate could bring in $66 billion a year, with 40 percent coming from the top 1 percent of income earners and 75 percent from the top 20 percent. As the rate rises, however, traders would most likely curtail their activity. The tax could bring in $76 billion a year if it was set at 0.3 percent, but above that rate, trading would probably decrease and the total revenue raised would start to fall.

As the editorial points out, it is already being applied in a limited number of countries:

There are already financial transaction taxes in Britain, Switzerland and South Korea as well as in Hong Kong and other developed markets and emerging nations, generally at rates of 0.1 percent to 0.5 percent on stock transfers. In addition, 10 countries in the European Union, including Germany and France, have agreed to apply a common financial transaction tax starting in 2017, though relentless lobbying by investment banks and hedge funds threatens to delay and even derail the effort.

That last sentence, of course, epitomizes the main obstacle to implementation, the opposition of the moneyed forces who seem to see any taxation as a capitulation to some kind of socialist scheme. Unfortunately, those forces seem to almost always have the ear of government.

So despite the propaganda, there are ways to bridge the yawning gulf that separates those who have a lot, and those who have little. Don't let anyone tell you otherwise.

UPDATED:A Shameful Indifference

By now we have all seen the terrible image of the drowned three-year-old Syrian refugee on the shores near a Turkish resort. The juxtaposition couldn't be any more telling of desperation confronting world indifference.

What perhaps isn't as widely known is the fact that the boy, Aylan, and his bother and mother, Galip and Rehan Kurdin who also drowned, were rejected for emigration to Canada:

Canadian legislator Fin Donnelly told The Canadian Press that he had submitted a request on behalf on the boys’ aunt, Teema Kurdi, who had wanted to bring the family to Canada, but her request was turned down by Canadian immigration officials. Teema Kurdi, based in the Vancouver area, is the sister of the drowned boys’ father Abdullah, who survived.

Fin Donnelly, who is running for re-election in Port Moody-Coquitlam said he delivered a letter on behalf of Teema Kurdi, Abdullah’s sister, to Citizenship and Immigration Minister Chris Alexander in March but that the sponsorship request was not approved.

Exactly what is our responsibility in an humanitarian crisis of unprecedented proportions?

In today's Star, Tony Burman ponders that very question, and asks why so little is being said about it during our current election campaign:

In recent weeks, the approach by Canada’s political class, led by its major political parties, seems to be based on a 21st-century notion about this country — that this worldwide refugee crisis really doesn’t involve Canada directly, and really doesn’t matter to Canadians.

With the crisis worsening by the day, it is time for this to end. We need to increase pressure on our politicians in this election campaign to push this issue aggressively to the fore.

Burman reminds us that historically, indifference has not been the Canadian way:

In recent decades, Canada’s doors were wide open to thousands of refugees. Since the 1970s, 6,000 Ugandan Asians fleeing Idi Amin’s regime, 13,000 Chilean refugees escaping the dictatorship of Gen. Augusto Pinochet, 20,000 Jewish refugees from the former Soviet Union, as well as 18,000 Iraqis, 3,300 Haitians and many, many others were all welcomed to Canada.

There was also, of course, the dramatic response by Canadians in 1979-80 to the flood of refugees trying to escape communist Vietnam.

The government’s initial commitment was to settle 500 Vietnamese, but through the actions of private sponsors, community and civic groups, that number eventually grew to more than 60,000.

Contrast that with our current regime:

In spite of promises to accept 10,000 Syrian refugees over the next three years, the Canadian government has been criticized by refugee groups as being laggard in what it actually delivers. In the past three years, only 1,300 Syrian refugees have been admitted. According to the UN, Canada has dropped from the fifth-highest refugee recipient in 2000 to the ranking of 15th last year.

Defending and spinning the indefensible has become the only remaining skill-set of the once promising Chris Alexander, our Citizenship and Immigration minister, who, during his appearance on Power and Politics yesterday, was effectively eviscerated by host Rosie Barton, especially near the end of the panel:



If you don't have time to watch the video, BuzzFeed has a summary of the dustup.

It is easy, and perhaps only human nature, to regard this crisis as something occurring 'over there.' Many of us may find it difficult to get emotionally involved in the plight of people we do not know or do not identify with. But that's ultimately beside the point. Whether we acknowledge in our hearts or only in our minds, there is but one conclusion to be drawn: each country, including ours, has a moral and ethical responsibility to help these unfortunate people who, by virtue of the birth lottery, were not born into the advantages that we enjoy but have in no way earned.

UPDATE: it appears that Chris Alexander has entered into damage-control mode:

Immigration Minister Chris Alexander dropped campaign plans Thursday to rush to Ottawa and deal with the fallout of Canada’s rejection of a request to take in the Syrian family whose mother and two young sons drowned this week trying to get to Europe.

“I am meeting with officials to ascertain both the facts of the case of the Kurdi family and to receive an update on the migrant crisis,” Alexander said in an emailed statement.

Too little, too late, some might say.