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What Went Wrong With Trump And The Media

Mother Jones

There aren’t a lot of people who have not yet been blamed for the election of Donald Trump.

FBI Director James Comey. Vladimir Putin, Jon Stewart, Sean Hannity, Twitter, Facebook, CNN, Hillary Clinton, the DNC, and oh, Donald Trump. There’s a good case to be made for almost every culprit you can imagine, and a tweetstorm or thinkpiece to lay it out.

This is not going to be one of those pieces. As my colleague Kevin Drum writes, “For the most part, people are just blaming all the stuff they already believed in.” But in the flood of emails that have poured into MoJo since the election, many readers have asked us to dive into one issue in particular—the role of media.

And it happens to be an issue we’re obsessed with. We believe that the business model for media in the United States is broken; that if we’re going to have the kind of journalism that democracy requires, we’re going to need different ways of paying for it; and that critical among those will be reader support in many different forms.

So we’re not going to pussyfoot around: By the end of this piece, we hope you’ll invest in our hard-hitting investigative reporting. And if you’re already in for that, you can do it right now. Meanwhile, let’s take a look at where things stand.

We’re preparing to be governed by a man with a record of contempt for truth and transparency, at a time when every potential countervailing force, from the Democratic Party to the courts, is on the ropes. We’re also headed for nearly unmitigated one-party control of the federal government and a growing number of states.

In the past, the Fourth Estate has been essential at moments like this, holding the powerful accountable until the pendulum swings back toward checks and balances. Whether that can happen this time, though, is not so clear. Because this time, the press itself is among the institutions under strain—and that strain may well be part of what made Trump’s ascent possible.

Here’s what played out during the campaign, and is playing out again in the transition: Individual journalists and individual outlets do amazing work under the most difficult circumstances, facing down virulent abuse in person and on social media. But the larger gravitational forces of the industry pull in the opposite direction. Those forces push us toward the lowest common denominator. They reward outrage and affirm anger—and they don’t incentivize digging deep, explaining complex problems, or exposing wrongdoing.

One person who understands this better than most is…Donald Trump. He knew from the get-go that as a celebrity known for saying outrageous stuff, he could call up any show, anytime, and count on being put on the air because he brought the eyeballs. As CBS chairman Les Moonves put it way back in February, his bomb-throwing “may not be good for America, but it’s damn good for CBS.”

Trump could have capitalized on this at any time, but he really hit a perfect-storm moment. Media revenues are under enormous pressure across the board. Newspapers and magazines are battling cheap and free digital competitors. Cable is threatened by cord-cutting. And digital publishers are watching new ad dollars rush over to Facebook and Google.

That made news organizations desperate for eyeballs and content, and Trump gave them both. Airing his interviews, covering his rallies, turning his tweets into posts and his comments into tweets was quick and inexpensive—far less expensive certainly than digging through his business record or analyzing how his campaign has emboldened white nationalists.

When it comes to news, you get what you pay for, and when the answer to that is “zero,” that’s also the value of a lot of what you get in your Facebook feed.

Which brings us to the other part of the perfect storm: social media. Rage (and fear) motivate sharing. Rage-sharing reinforces the beliefs we and our friends already hold, which makes us want to signal those beliefs even more. Each “OMFG, Trump just_______” pushes the button again, and motivates.

And it’s not just media organizations that noticed Trump driving the clicks and shares. A network of bottom-feeders, bots, and outright provocateurs have discovered that you can cash in on ad networks by simply making up fake news stories that will spread wildly on social media. And what a coincidence that we didn’t learn until after the election that Facebook had a way to tamp down fake news, but held back because it was terrified of a conservative backlash. Google likewise waited until after the election to kick fake-news sites out of its ad network; Twitter didn’t crack down on far-right accounts until November 15. That really bodes well for the future decisions of companies that govern our digital life (and know more about each of us than the National Security Agency ever will).

The last part of the perfect storm was—is—the evisceration of newsrooms. There are, give or take, 40 percent fewer journalists in America than there were a decade ago, and there are about to be even fewer as companies cut back dramatically post-election. Univision is shedding more than 200 jobs, many of them at millennial-aimed Fusion; the Guardian is in the process of reducing its US newsroom by 30 percent, the Wall Street Journal is trimming positions and consolidating sections, and the New York Times has said it has a newsroom downsizing coming in January.

For those journalists who remain, the pressure will only increase—to bring eyeballs, but also avoid offense. Because while big media companies feed on controversy, they are terrified of being targets of controversy themselves. They built big audiences and revenue streams on a style of journalism that avoids any semblance of a point of view, so as not to drive any part of the audience away. Trump’s attacks on journalists as biased are designed to reinforce that fear. That’s one reason why for much of the campaign his lies weren’t called out, his falsehoods weren’t fact-checked—because that would have appeared like injecting a point of view.

Grim, right? Here’s another link where you can support our work during these challenging times with a monthly or one-time gift (along with a Harvard study showing that the act of giving may promote happiness).

In the end, political journalism is deeply conservative—not in the partisan sense, but in the sense of being invested in institutions, ways of doing things, and the foundational belief that the system works and destructive forces will be neutralized in due time. That was what made it hard to imagine a Trump win, or to recognize Bernie Sanders’ movement as more than the usual protest candidacy.

And it’s what now is driving coverage inexorably toward normalization. Already, public radio hosts banter as they inform us that Steve Bannon, a man who ran an openly race-baiting website, has become the senior White House strategist; already People, just weeks after publishing a harrowing article about its own writer’s experience of being assaulted by Trump, has compiled “27 Photos of Ivanka Trump’s Family That Are Way Too Cute.”

Demagogues are dependent on a compliant media. It is the air they breathe, the fuel they run on. They rely on it to legitimize their lies and give their bombast a veneer of respectability. They deploy it to bestow favors and mete out punishment. And they will not abide disrespect from the press, because it’s contagious.

Peter Thiel, the Silicon Valley billionaire and Trump champion, showed one way of punishing journalists when he spent millions on the lawsuit that shut down Gawker. (Mother Jones was a target of similar litigation—though we won.) There will be many other opportunities, from rewriting transparency laws like the Freedom of Information Act to defunding the Corporation for Public Broadcasting. (So in addition to supporting Mother Jones with a monthly or one-time gift, consider pitching in for your local public media station.)

We need an alternative—and we need it now.

Back to where we started: The business model is broken when it comes to ensuring the kind of journalism democracy requires. In the uncertain, dangerous times ahead, we’ll need something better, and a lot of it.

We’ll need media that doesn’t have to bargain for access or worry about backlash.

We’ll need media that isn’t dependent on giving bigots a platform. (CNN announced that it expects to make $600 million this year—even as it, too, cuts its workforce by 10 percent—in large part thanks to election coverage that had many high moments, but also employed paid Trump operative Corey Lewandowski.)

We’ll need media that doesn’t sell out its own for political ends. (Remember when Fox News’ Megyn Kelly had to “make up” with Trump after nearly a year of bullying and threats?)

We’ll need reporters who can chase after what is shaping up to be cronyism and corruption of epic proportions, and who can stand up to the intimidation that is bound to ensue.

We’ll need a business model that—to circle all the way back to Les Moonves—isn’t dependent on pumping up the eyeballs at any cost.

That’s what we are determined to build here at MoJo.

We don’t claim to have all the answers on where things go from here. But we know a free, fearless press is an essential part of it, and that means doubling down on the investigative reporting that readers like you have demanded, and supported, for 40 years.

Instead of focusing on the controversies that Trump and other politicians spoon-feed the press (over here, five candidates for secretary of state! No here, a fresh Twitter rant against the New York Times!), we’ll dig into the stories they want to keep secret. We’ll go after the unprecedented conflicts of interest and corruption wherever they arise. (These, as you well know, are not limited to either party.)

We’ll expose the danger to vulnerable communities like immigrants and religious minorities, while also exploring how people are organizing and fighting back. We’ll listen to people whose voices aren’t heard enough—including the working-class people who voted for Trump because he promised them better times. And we will ask you, our readers, what else is important to cover now—your input is key as we all find our way in this new landscape.

Whatever the story is, we won’t be held back by timidity or fear of controversy. The only thing that limits us are the resources we have to hire reporters, send them into the field, and give them the time and job security they need to go deep.

That’s where your tax-deductible monthly or one-time donation makes all the difference. (So does subscribing to our magazine, giving a gift subscription—we have some great holiday savings going on—or signing up for our newsletters.) A full 70 percent of Mother Jones’ revenue comes from reader support. It’s the core of the business model we think will be critical to saving watchdog journalism. And many of you agree: Since the election we’ve been seeing unprecedented support from readers who have flocked to our site to read, subscribe, donate, and share their thoughts about where we need to go from here.

And let’s take one more step. While it’s critically important to shore up independent reporting, you’re going to want to take action in other ways too. Here are some things we’re thinking about as we head toward the holidays.

Many of you will talk—and listen—to people you disagree with, to understand where they’re coming from and maybe find the tiniest sliver of common ground. Arlie Hochschild did that in our cover story about Trump voters, and she saw many of the trends others in the media missed. Some of you might want to try to open up your Facebook feeds to people you differ with; we put together a list of tools to get out of your “filter bubbles.” And one of our editors, James West, has started a project where he’s friending all the Trump supporters he interviewed this year. He’ll tell their stories as that evolves.

Finally, we’re remembering to be thankful—not least, to you. Mother Jones as you know it today is the result of a big, risky bet at a moment not unlike this one—2006, when we were looking at media that had failed to challenge a war-mongering government’s lies and a digital news landscape where hot takes had overtaken original reporting. We asked you, our readers, to help us counter that trend, to build a 24/7 digital operation and a newsroom to go after the big stories of the day. And you did.

Ten years later, at a moment of even more radical upheaval, many of you have told us that you want to be part of a movement that builds a bigger, stronger independent journalism scene. Thanks to you, we are ready.

MoJo will need to be stronger, more agile, and even more fearless in an environment that’s growing more dangerous to journalism and democracy. Let’s go.

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What Went Wrong With Trump And The Media

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Friday Cat Blogging – 18 November 2016

Mother Jones

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Guess who’s getting a Presidential Medal of Freedom? Hopper! Well, Hopper’s namesake anyway, Adm. Grace Hopper:

Rear Admiral Grace Hopper, known as “Amazing Grace” and “the first lady of software,” was at the forefront of computers and programming development from the 1940s through the 1980s. Hopper’s work helped make coding languages more practical and accessible, and she created the first compiler, which translates source code from one language into another.1

It’s a posthumous award, but Adm. Hopper is now right up there with Vin Scully and Newton “Television Is A Vast Wasteland” Minow. Naturally, this means that the furry version of Hopper is the star of this week’s catblogging. She is trying her best to look visionary.

1Meh. I guess that’s close enough. No need to get pedantic here.

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Friday Cat Blogging – 18 November 2016

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Beaks, Bones and Bird Songs – Roger Lederer

READ GREEN WITH E-BOOKS

Beaks, Bones and Bird Songs
How the Struggle for Survival Has Shaped Birds and Their Behavior
Roger Lederer

Genre: Nature

Price: $1.99

Publish Date: June 22, 2016

Publisher: Timber Press

Seller: Workman Publishing Co., Inc.


“Reveals the strange and wondrous adaptations birds rely on to get by.” —National Audubon Society When we see a bird flying from branch to branch happily chirping, it is easy to imagine they lead a simple life of freedom, flight, and feathers. What we don’t see is the arduous, life-threatening challenges they face at every moment.&#xa0; Beaks, Bones, and&#xa0;Bird Songs guides the reader through the myriad, and often almost miraculous, things that birds do every day to merely stay alive. Like the goldfinch, which manages extreme weather changes by doubling the density of its plumage in winter. Or urban birds, which&#xa0;navigate traffic through a keen understanding of posted speed limits. In engaging and accessible prose, Roger Lederer shares how and why birds use their sensory abilities to see ultraviolet, find food without seeing it, fly thousands of miles without stopping, change their songs in noisy cities, navigate by smell, and much more.

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Beaks, Bones and Bird Songs – Roger Lederer

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A Bipartisan Campaign Finance Reform Bill?

Mother Jones

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Has the moon turned blue? Has Hell frozen over? Could there actually be a bipartisan campaign finance reform bill in this of all years?

OK, it’s far from the kind of sweeping change that backers of a constitutional amendment to overturn Citizens United want. And it’s a long way from public financing for congressional elections. But supporters of Rep. Paul Gosar’s Stop Foreign Donations Affecting Our Elections Act are billing it as an important sign that Democrats and Republicans can find ways to work together on an issue that has long been hyper-partisan.

Gosar, an Arizonan who belongs to the staunchly conservative House Freedom Caucus, has rounded up 81 co-sponsors for his bill, including 30 Democrats. They run the political gamut from political giant-killer Dave Brat, who defeated House Majority Leader Eric Cantor (R-VA) by running to his right in a primary, to Rep. Alcee Hastings (D-FL), whom the nonpartisan GovTrack ranks among the most liberal members of the US House. Two Democrats who are running for Senate in their respective states, Ann Kirkpatrick of Arizona and Tammy Duckworth of Illinois, also have signed on.

The bill is also supported by all nine members of the House Administration Committee, which is charged with clearing the legislation for floor action. “I work it,”grins Gosar, a loose-limbed 57-year-old with a boyish fetlock, explaining how a lawmaker of his strong ideological bent (he made headlines for boycotting Pope Francis’ speech to Congress) managed to put together such a diverse coalition. He’s hoping for a House vote soon.

What Gosar describes as a “commonsense bill”would require federal candidates who accept political donations by credit card to verify the donor’s identity by obtaining the credit card verification code (the three- or four-digit number that most commercial vendors already insist on having with a purchase), as well as the card’s billing address.

Because that information currently is not required, “it leaves the door wide open”to violations of campaign law, including illegal contributions from foreign donors, according to John Pudner, a former Republican political consultant whose last gig was managing the Brat campaign that unseated Cantor. He has since started a conservative campaign finance reform group called Take Back Our Republic.

At a forum this summer sponsored by Federal Election Commissioner Ellen Weintraub, Pudner described a scenario that would enable donors to violate both the federal limits on campaign donations and the prohibition on foreign donors by using the same credit card over and over to make contributions under the $200 limit above which the FEC requires names and addresses of the donors.

“If I was an unscrupulous political consultant and didn’t care about foreign law, I’d set up a room full of people, retype over and over the credit card number, $200 a pop,”Pudner said. “That avenue is there and so easy.”Does Pudner actually believe it’s happening? “The longer you have a loophole like this, the more likely it is to be abused,”he said.

Part of the appeal of Gosar’s bill for some Republicans is that it can be cast as a poke at President Barack Obama, whose 2008 and 2012 campaigns pulled in millions in small donations, some from unverified credit cards. Pudner, who says he has spoken with Obama campaign veterans about the measure, doesn’t think the president’s team was trying to violate the law, calling the loophole an “unintended consequence”of Obama’s aggressive fundraising strategy.

This year, Pudner said, both Hillary Clinton’s and Donald Trump’s campaigns are verifying the identities of credit card donors but Bernie Sanders — whose spokesman scoffed at Gosar’s bill as “a solution in search of a problem”— did not. A 2012 report by the conservative Government Accountability Institute found nearly half the members of Congress are not verifying credit card donations.

Longtime campaign finance advocates have pointed out that there are many other ways for illegal foreign contributions to find their ways into the political system, either through the “dark money”groups that, because of their 501(c)4 status, don’t report donors, or legally, through the US subsidiaries of foreign-owned companies.

But Pudner — who says his group gets financial backing from both conservative activists and foundations, such as the Stuart Family Fund, as well as more traditional campaign finance reform funders such as the Rockefeller Brothers and the Democracy Fund — argues that the Gosar measure represents an important first step to recognizing that, as he said at the FEC forum, “there’s real grounds for agreement”between conservatives and liberals on some campaign finance reform measures.

Though Gosar hardly sounds ready to jump aboard the get-big-money-out-of-politics bandwagon (“a well-educated electorate is very important,”he said), the congressman doesn’t disagree.

“Who knows? I mean start on the things you agree on and go from there,”he said. “To be honest, you take baby steps. You crawl before you walk and you walk before you run.”

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A Bipartisan Campaign Finance Reform Bill?

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Those Freedom Kids Who Performed at a Donald Trump Rally Are About to Sue Him

Mother Jones

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Back in January, a trio of young girls known as the “USA Freedom Kids” performed at a Donald Trump rally in Pensacola, Florida. The routine, which involved the girls whirling in flashy American-flag dresses and singing a song that denounced the other presidential candidates as sworn enemies, was roundly mocked on social media, where viewers likened the video to performances honoring North Korean dictator Kim Jong-un.

Now Jeff Popick, the creator behind the patriotic trio and father of the youngest member in the group, says he plans to sue Trump, alleging his campaign violated several verbal agreements and subsequently stiffed the group of proper monetary compensation.

From the Washington Post:

It started in Pensacola. When Popick first reached out to the Trump campaign about performing, he spoke with various people including former campaign manager Corey Lewandowski. His understanding from the campaign was that the Kids would make two appearances in Florida, where Popick lives. The first event didn’t come to fruition, and Popick says he asked for $2,500 in payment for the second performance, in Pensacola. The campaign made a counter-offer: How about a table where the group could pre-sell albums?

According to Popick, no table ever showed up—and the incident was the first of a series of broken promises and unreturned phone calls that went on all the way to the Republican National Convention in Cleveland. There, Trump’s team allegedly offered Popick a consolation prize and promised that the girls could perform because of all the previous disappointments. That performance never materialized either and now he says he’s planning to file suit. He wouldn’t specify how much he’d sue for, but he explained that it wasn’t a “billion-dollar lawsuit” and suggested a performance at a Trump venue similar to the RNC one could also work.

“He might still be the best candidate as president of the United States—or not,” Popick told the Post.

Popick’s experience fits squarely with the narrative of many others who say they were ripped off by the real estate magnate for a variety of broken contracts. For more, head to our regular feature “The Trump Files.

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Those Freedom Kids Who Performed at a Donald Trump Rally Are About to Sue Him

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Should We Allow Nonprofits to Endorse Candidates?

Mother Jones

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I work for a 501(c)(3) nonprofit, so I’m keenly aware that I’m not allowed to endorse candidates. That mean y’all will just have to guess who I’m voting for in November. I apologize for having to keep you in such suspense.

Until recently, though, I had no idea why non-profits weren’t allowed to endorse candidates. Then I began hearing about the “Johnson Amendment” from Donald Trump. Obviously someone put a bug in his ear, and he’s been repeating it like a mantra for weeks now. So what’s this all about?

The “Johnson Amendment,” as the 1954 law is often called, is a U.S. tax code rule preventing tax-exempt organizations, such as churches and educational institutions, from endorsing political candidates. At the time, then-Senator Lyndon B. Johnson was running for re-election, and he and other members of Congress pushed the amendment to stop support for their political opponents’ campaigns, George Washington University law professor Robert Tuttle has explained. Many have also argued the amendment served to stop black churches from organizing to support the civil rights movement.

“All section 501(c)(3) organizations are absolutely prohibited from directly or indirectly participating in, or intervening in, any political campaign on behalf of (or in opposition to) any candidate for elective public office,” the IRS explains of the rule on its website. “Violating this prohibition may result in denial or revocation of tax-exempt status and the imposition of certain excise taxes.”

There you go. So why has Trump suddenly decided this is a threat to democracy? You can probably guess: because conservative churches want to endorse Republican candidates and give them lots of money without losing their tax-exempt status. Jerry Falwell Jr. explains:

In recent years, religious liberty group the Alliance Defending Freedom has advocated for its repeal, arguing that the law is unconstitutional and lets the IRS “tell pastors what they can and cannot preach,” and “aims to censor your sermon.”…“This is something that could make a difference with Christian voters in the fall,” Falwell says. “It is almost as important for Christians as the appointment of Supreme Court justices.”

My first thought about this is that it would provide yet another avenue for big money in politics. I can imagine rich donors setting up, say, the Church of the Divine Supply Siders and then funneling millions of dollars in dark money through it. Fun!

On the other hand, in a world of Super PACs and Citizens United, why bother? They can already do this easily enough, just as churches can set up “action committees” that are legally separate and can endorse away.

I’d genuinely like to hear more about this. Within whatever framework of campaign finance law we happen to have, is there any special reason that nonprofits shouldn’t be able to endorse, organize, and spend money on behalf of a candidate? I have to admit that no really good reason comes to mind. Am I missing something?

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Should We Allow Nonprofits to Endorse Candidates?

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Musing on Meat as Two Bulls Enjoy Brief Pre-Slaughter Freedom

Some meaty thoughts arise as two bulls bound for a slaughterhouse briefly roamed West Baltimore. Originally from:  Musing on Meat as Two Bulls Enjoy Brief Pre-Slaughter Freedom ; ; ;

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Musing on Meat as Two Bulls Enjoy Brief Pre-Slaughter Freedom

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Ted Cruz Says Building Trump’s Wall Is Like Fighting Slavery and Jim Crow

Mother Jones

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In a primetime address to the Republican National Convention Wednesday, Ted Cruz compared GOP efforts to restrict immigration to the civil rights movement’s fight against Jim Crow laws. But the Texas senator was loudly booed by Donald Trump supporters in the convention hall when it became clear that he was not going to endorse the man who beat him for the Republican presidential nomination. Instead, Cruz encouraged his audience to “vote your conscience, vote for candidates up and down the ticket who you trust to defend our freedom and to be faithful to the Constitution.”

“We deserve leaders who stand for principle, unite us all behind shared values, cast aside anger for love,” Cruz said, in what many considered the first campaign speech of his likely 2020 presidential campaign. “That is the standard we should expect, from everybody.”

Rather than directly back Trump—who mocked his wife Heidi’s looks during the primary campaign and once suggested Cruz’s dad was complicit in the Kennedy assassination—Cruz used his prime-time slot to outline his vision of freedom.

“Freedom means free speech, not politically correct safe spaces,” he said, taking a shot at progressive college campus activists. He rattled off a series of other bullet points—religious freedom, the right to bear arms, school vouchers, and repealing Obamacare. Each of those freedoms are typical conservative talking points that the party’s nominee rarely mentions. Although Cruz’s speech focused less on social conservative issues than it might have in years past, he included a call for Washington to stay out of defining issues like marriage.

But Cruz made sure to endorse parts of Trump’s platform as well. He cited the success of the United Kingdom’s recent Brexit vote as indicative of a growing populist wave. “We deserve an immigration system that puts America first and, yes, builds a wall to keep us safe, that stops admitting ISIS terrorists as refugees,” Cruz said. “We deserve trade policies that put the interests of American farmers and manufacturing jobs over the global interests funding the lobbyists.” Cruz had never previously campaigned as an economic protectionist.

Even as he adopted aspects of the current nominee’s most controversial proposals, Cruz was careful to couch his political fight in the context of historical struggles. “Together we passed the Civil Rights Act, and together we fought to eliminate Jim Crow laws,” he said. “Those were fights for freedom, and so is this.”

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Ted Cruz Says Building Trump’s Wall Is Like Fighting Slavery and Jim Crow

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Obama’s Red Line in the South China Sea: Scarborough Shoal

Mother Jones

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In light of today’s sweeping decision at the Hague denying China’s claim to various islands and reefs in the South China Sea, this is an interesting tidbit from the Financial Times:

US President Barack Obama in March delivered a stark admonition to Xi Jinping over the South China Sea, warning the Chinese leader of serious consequences if China reclaimed land at Scarborough Shoal, one of the most dangerous flashpoints in Asia.

….Following the meeting in Washington, China withdrew its ships from the area….“The signalling from the US side was that this was serious,” said a former official. “There was an accumulation of pieces … the conclusion was that the People’s Liberation Army was advocating action. It wasn’t necessarily indicators that Xi himself had made any decisions, but there was the feeling that it was on his desk and coming to him for a decision.”

….China has come under criticism for building man-made islands in recent years, but the US saw Scarborough as more strategically significant given its proximity to the coast of the Philippines, which has a mutual defence treaty with the US. Some officials worried that China could install radar and missiles on Scarborough. Along with facilities in the Paracel and Spratly Islands, that would help China create a strategic triangle, which would enable the policing of any air defence identification zone in the South China Sea.

At the moment, China reclaims land at various spots in the South China Sea, and everyone complains but nobody does anything about it. Likewise, we operate reconnaissance flights and perform Freedom of Navigation exercises, and China complains but doesn’t do anything about it. Basically, both sides can do whatever they want because neither side wants to start a war over it. This pretty obviously favors China at the moment, since they have the resources for large-scale reclamation projects and just enough of a navy to protect them. We have a considerably bigger navy, but it’s unlikely the American public would show much support for a shooting war with China to protect a rock out in the middle of nowhere. All China really has to do is wait a while for us to get bored, and then keep on building.

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Obama’s Red Line in the South China Sea: Scarborough Shoal

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The Corrections Corporation of America, by the Numbers

Mother Jones

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Read Mother Jones reporter Shane Bauer’s firsthand account of his four months spent working as a guard at a corporate-run prison in Louisiana.

The Corrections Corporation of America launched the era of private prisons in 1983, when it opened a immigration detention center in an former motel in Houston, Texas. Today the Nashville-based company houses more than 66,000 inmates, making it the country’s second-largest private prison company. In 2015, it reported $1.9 billion in revenue and made more than $221 million in net income—more than $3,300 for each prisoner in its care. More on CCA’s operations:

Where CCA operates

CCA runs 61 facilities across the United States.

These include 34 state prisons, 14 federal prisons, 9 immigration detention centers, and 4 jails.
It owns 50 of these sites.
38 hold men, 2 hold women, 20 hold both sexes, and 1 holds women and children.
17 are in Texas, 7 are in Tennessee, and 6 are in Arizona.

No vacancy

CCA and other prison companies have written “occupancy guarantees” into their contracts, requiring states to pay a fee if they cannot provide a certain number of inmates. Winn Correctional Center was guaranteed to be 96 percent full.

Who owns CCA?

CCA’S biggest investor: The Vanguard Group, the country’s second-largest money management firm, holds 14 percent of CCA stock, valued at $447 million as of late 2015.

Notable company figures:

Thurgood Marshall Jr.: CCA board member, lawyer, and son of the first African American Supreme Court justice.
Charles Overby: CCA board member and former CEO of the Freedom Forum, a foundation that promotes press freedoms.
C. Michael Jacobi: CCA board member and chairman of gunmaker Sturm Ruger.
Harley Lappin: CCA’s chief corrections officer and former director of the Federal Bureau of Prisons.

CCA stock price, 1997-2016

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Getting out of prisons

A divestment movement targeting private-prison companies has convinced some major investors to cash in their CCA stocks. Some recent divestments and their estimated values:

Pershing Square Capital Management: $196 million
Systematic Financial Management: $93 million
General Electric: $54 million

“Frankly, we’re delighted to have a greater share of investors who are thoughtful about our business, can tell the difference between rhetoric and reality.” —CCA spokesman commenting on the University of California’s decision to divest in 2015.

CCA in court

CCA told shareholders it faced $4.2 million in liabilities related to lawsuits in 2015, but it said no pending cases would seriously affect its bottom line.

CCA will not disclose details about the lawsuits it faces. But data on more than 1,200 cases obtained by Prison Legal News offers a snapshot of the types of civil cases commonly filed against the company by its prisoners and employees.

Subjects of lawsuits filed against CCA

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Prisoners filed 82 percent of the more than 1,000 federal civil cases naming CCA as a defendant between 2010 and 2015. Federal prisoner suits against CCA have fallen since they peaked in 2000, perhaps due to a 1996 federal law that made it more difficult for inmates to sue prisons.

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The Corrections Corporation of America, by the Numbers

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