No Cop-outs, No Bailouts – SOTU Response

Last night I joined millions of my fellow Americans in watching President Obama’s State of the Union Address. much of the speech deserves our applause and appreciation. I am proud to join the President in honoring the SEALs who took down Osama Bin Laden and just yesterday saved an American hostage. Their incredible strength and resolve to protect this nation make us all proud to be Americans. Indeed, all of our fighting men and women, along with all military veterans deserve our utmost gratitude. Along with our Commander-in-Chief, I am honored to thank each and every one of them for their service to us all. Moreover, the President twice specifically mentioned the importance of bringing jobs and manufacturing back to Ohio. I could not agree more. We in the Second District, having the state’s highest unemployment rate, must work together to bring jobs back to Southern Ohio. The best way to do this is by strategically encouraging the private sector in ways that are prudent and fiscally responsible. But job growth is only one side of the economic problem. In order to have an economy that works for all Americans, we must have a taxation system that works for all Americans. This means fair taxation for Main Street Ohioans. I strongly support the “Buffet Rule” that would require all millionaires to pay a tax rate of at least 30%, rather than the rate of some wealthy individuals who pay less than 15%. I hope these revenues are used to decrease the tax burden of the middle class, to reduce our national debt, and to fund worthwhile job creation initiatives. However our problems cannot be solved by raising revenues alone. Congress must aggressively cut spending and reduce government intervention in many areas to ensure the fiscal security of our nation. Finally I want to address the critical issue of energy reform. Production of American energy has been a hallmark of Southern Ohio for generations. After an economic downturn and the collapse of Southern Ohio’s energy production infrastructure, we must restore the integrity of this vital industry in our regionMy specific energy production plan for this region will soon be released here. We cannot do so by throwing good money after bad but by fundamentally reengineering the way in which we encourage energy production. This must include education, innovation, and stimulation of our power producing entities. Our president was right in saying that these are neither Republican problems nor Democratic problems but American problems. And we must find solutions that are neither Republican nor Democratic but American.  I look forward to working with you as your Congressman and throughout this campaign to accomplish these truly critical goals.
Yours in Solidarity,
David Krikorian

Oppose PIPA and SOPA

Today is a critical day for all who value internet freedom and the future of American innovation. Millions of Americans, including the creators of Google, Wikipedia, WordPress and others are gathering to protest two upcoming intellectual property bills in the Congress. I am proud to stand in solidarity with these innovators along with lawmakers and fellow citizens to oppose this wrong-headed legislation entitled PIPA and SOPA.

The Protect Intellectual Property Act (PIPA) in the House of Representatives and the Stop Online Piracy Act (SOPA) in the Senate would ask American companies to censor other websites if the government suspects a violation of intellectual property law. While well-intentioned by those who support them, these bills would unquestionably impede our most valuable means of information exchange and stymie the creators of America’s upcoming new enterprises. While online piracy is certainly a problem that needs to be fixed, these bills are simply not the right solutions for the country.

All those who want more freedom and less wasteful regulation should oppose this legislation.  If I were your Representative to Congress I would vote against PIPA.

Banking on a Big Change

CityBeat published an article yesterday on my idea for a Public Bank of Ohio titled Banking on a Big Change.  People are interested in this outside-the-box idea and what it would mean for Ohio’s economy.

       from CityBeat:

    “(We’re) just starting to do research on the viability of an entity (Bank of   Ohio) like that,” Palmer says. “Obviously, it’s something new, creative and       interesting but I want to talk to my board about it more later this week.”  –   Robert Palmer, CEO of the Ohio Community Bankers Association

     read the CityBeat article

There are several good conservative and liberal reasons to support a Public Bank of Ohio (PBO) several of which I have outlined previously.  From my perspective one of the best is that the PBO will enable Ohio to invest in itself and in the process, build a more vibrant and responsible banking system.

Along those lines, perhaps some of you have noticed a common thread running through both the Tea Party and Occupy Wall Street movements.  You will find people in each camp decrying crony capitalism, bank bailouts, lax regulators too cozy with industry and of course, a Federal Reserve system that has done an incredibly good job of inflating asset bubbles and debasing the purchasing power of the dollar.  Perhaps you saw this piece about the 13% rise in the cost of a Thanksgiving dinner this year?

Now imagine if OWS and the Tea Party could set aside their differences and focus on the opportunity to make real structural change in America?

I will continue to advocate for the Public Bank of Ohio with industry and political leaders and will update you periodically on the progress.

The Public Bank of Ohio

By:  David Krikorian

The global financial crisis continues to inflict economic damage to the State of Ohio. Despite massive monetary inflation by the Federal Reserve via the money-center banking system, our economy continues to stagnate. The decline in overall lending by money-center banks is a major drag on economic activity, particularly in the small business sector.

When credit started drying up in 2008, many larger Ohio banks called in their loans and lines of credit with companies they had been lending to for years. The resulting loss of credit, despite historically low interest rates, culminated in lower tax revenues and higher unemployment, straining state and local finances.

A Public Bank of Ohio (PBO) would alleviate the squeeze on credit, greasing the gears of capitalism for small business, the engine of economic growth. Tax receipts would increase, without raising tax rates, while unemployment would decrease. Businesses would feel confident in hiring workers if they had reliable access to credit from a banking system that won’t put the squeeze on them again in the future.

A Public Bank would generate substantial income for the state and help insulate Ohio’s economy from global financial volatility and Wall Street greed.
PBO Proposal- Read on

USEC, Solyndra and Political Hope-ium

By David Krikorian

The timing of the Solyndra bankruptcy scandal may prove critical to several companies with pending loan guarantee requests including USEC, Inc. of Piketon, OH, 90 miles east of Cincinnati.

The unfolding spectacle surrounding bankrupt solar technology company Solyndra is focusing critical analysis on the Department of Energy loan program which provided a $535 million dollar loan gauruntee to the California-based private company, including some frank discussion on whether or not the federal government should even be in the business of picking and choosing private company winners & losers.

Hope-ium?

A Jobs Plan for Ohio (and how to pay for it)

by David Krikorian

Ohio’s “official” unemployment rate is 9%, with one out of every seven citizens of the state currently receiving food stamp assistance. The overall health of Ohio’s economy, like that of the Nation, is sliding from bad to worse. Despite massive federal monetary and fiscal stimulus programs we find ourselves mired in the toughest economic environment since the Great Depression. As the country awaits the next “jobs plan” from Washington, which will get bottled up in party politics, Ohioans must take action now to build a better future with a strong foundation of low unemployment and a cleaner environment.

Sitting on a Mountain of Jobs

Much of eastern Ohio sits on top of a huge natural energy resource known as the Marcellus shale formation. This geological bonanza contains enough natural gas reserves to power our state for several decades. New supply from emerging shale gas locations around the country will keep prices low for years into the future.

Ohio currently generates nearly two-thirds of its electric power from a network of coal-fired power plants around the state. These plants produce tremendous amounts of toxic emissions greatly affecting the quality of life of many Ohioans. New Environmental Protection Agency regulations, designed to reduce power plant emissions, are scheduled to take effect in the near future. Politicians in Washington have criticized the new EPA health regulations as “job killers” while power utility companies have warned they will result in higher electric rates. Some plant operators like Duke Energy, have decided to shut older coal plants when the new regulations come into effect rather than spend the money to upgrade existing plants with costly pollution control equipment. Electric rates will increase over time if more plants are closed.

Real Jobs for Ohio

Two Parties? False Choice.

The American political system has been dominated by two major political parties for most of its history.  In the legislative branch this occurs due to a combination of first-past-the-post elections (where the plurality winner takes all) and gerrymandered districts.  The major parties heavily push the idea of ‘strategic voting’- that ‘voting for a third option is voting for the other guy’.  This is a false choice.

Patriotic citizens should shield themselves from these arguments.  When presented with a corrupt incumbent and a weak or corrupt challenger, those citizens who believe in better government should choose the candidate they feel would best suit their interests.

The best candidate for the job is not going to be the individuals backed by corporate and special interest money.  The best candidate is a person with an unshakable will and a belief in his or her community.  The person you vote for should be someone you can be proud of- someone who serves with honor and who looks out for the interests of the American citizen and not the interests of Goldman Sachs or a lobbying firm.

There are good representatives in both parties.  There are men and women serving their nation honorably in both the Democratic and the Republican party.  But in many cases the choices given by the Democrat and the Republican party leaders and special interest groups are plain unacceptable.  When presented with two bad choices it is important to remember that there are sometimes other options.  American democracy is not ‘pick one of two’- it is ‘pick the best person for the job’.

False Choices

Food Stamp Facts

RLW will be doing a series of posts in the coming weeks related to Ohio’s Food Stamp program as well as solutions to the economic conditions which cause these programs to have high use rates.  This post is a snapshot of the program as of May 2011, the latest month with released statistics.

Much like the rest of the nation, Ohio is a state where the recession hit hard and recovery never came for the majority of the population.  Nowhere is this more evident than in the “Food and Nutrition Services” count, also known as Food Stamps.  While unemployment and jobless numbers are more frequently mentioned in media, when the unemployed and jobless run out of unemployment insurance and tap out their savings many end up on this program.

Food Stamp Facts

Straw Poll

On August 13th the Iowa Republican party hosted its first ‘dry run’ event of the 2012 presidential primary season.  The Ames Straw Poll kicks off the real beginning of the Republican primaries and acts as a fundraiser for the Iowa Republican Party as well as a chance for would-be candidates to show their ability to muster support.

This year something surprising happened.  While Michelle Bachmann took the top spot as expected, Congressman Ron Paul came in a close second.  This piece of news hasn’t and won’t make big headlines in corporate media.  In fact, only Jon Stewart of the Daily Show seems to be chiming in on this fact. Straw Poll

The Financial Crisis and What it means for You

By: David Krikorian

You may be wondering what the heck is going on in the financial markets and perhaps more importantly how it may affect you and what you may want to do about it. Major changes are happening from a financial and economic perspective, bigger than anything we’ve experienced in generations.  Many Americans are angry with the situation and very disappointed in our political leaders at the state and federal levels.

The US Dollar has been the worlds’ Reserve Currency since the end of World War II. That means that trade between countries, until recently, was conducted in dollars.  China and Russia have already dropped the greenback for trade between those two countries. For decades oil has been priced in dollars everywhere in the world.  The dollar is a fiat currency, it has no real value other than as a medium of exchange. The Federal Reserve in essence can create as much as it wants out of thin air which makes the ones you have in your pocket worth a whole lot less at the store.

Read More