The housing “recovery” is a total sham

Half million dollar house in Salinas, Californ...

Half million dollar house in Salinas, California under foreclosure. (Photo credit: Wikipedia)

By David Dayen

Out on the alphabet streets in this once-thriving Florida community, the houses are dotted with black mold. Some have buckled roofs. Others are hollowed out by fire, or the wiring has been stripped. Pests and critters have moved in as the people moved out. On some streets, half of the homes feature boards along the windows, and ubiquitous “No Trespassing: No Traspasar” signs in English and Spanish. “Those are to keep the drug sales out,” says my tour guide, Lynn Szymoniak of the nonprofit Housing Justice Foundation. “I’ve been stopped doing these tours, cops have told me, ‘you’re not supposed to be here.’”At one time, these homes were exciting products sold by Option One, Ameriquest, New Century Financial, and other mortgage lenders who sprouted up during the housing bubble, and disappeared just as quickly. The explosion of lending pumped up this community, one of the oldest in South Florida Lake Worth turned 100 this year, and raised property values to improbable heights. Houses that traditionally sold for $75,000 were suddenly going for $250,000 and $300,000. When it all crashed, prices fell 60% and the foreclosures rolled through. In one development called Strawberry Lakes, made up of nice, 2- or 3-bedroom masonry homes on quarter-acre lots, Szymoniak culled through records and found almost 1 in 3 homes in foreclosure. “You can find whole blocks gone here,” she said.While nationally, home prices have bounced back, as analysts delight in what they call a housing recovery, in places like Lake Worth, prices remain buried. There’s not much chance for appreciation when you have reams of abandoned properties in the neighborhood. Lake Worth is one of those places across the country where the foreclosure crisis never ended.

Read More The housing “recovery” is a total sham – Salon.com.

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The Racist Mind

By Rinku Sen

untitledThe verdict in George Zimmerman’s trial caused in me the kind of existential crisis that my optimistic nature is usually able to fend off. In these weeks I have come to understand just how much light exists between the basic assumptions of the racial justice movement and those of most white Americans. A Pew Research Center survey conducted in the week after the verdict revealed a huge gap between black and white attitudes. Just 30 percent of white respondents said they were dissatisfied with the verdict, compared to 86 percent of blacks. The key strategic question for a racial justice movement is whether to focus on growing that 30 percent, or simply to out organize the rest. To figure out an answer, we need to delve into the complicated relationship between explicit racism, unconscious bias, policymaking and culture.

Our legal frameworks are based on punishing explicit racism. Yet the not-explicit kind, what is known among social psychologists as “implicit bias,” also undergirds the punishing policies that make young black men so vulnerable to deadly forms of discrimination. That reality creates a challenge, because it’s much easier to condemn obvious racism than the kind that expresses itself in, say, Juror B37’s statement that Zimmerman could credibly assume Trayvon Martin was “trying to do something bad in the neighborhood.” Implicit bias is the reason why.

In the best-selling book “Thinking, Fast and Slow,” psychologist and economist Daniel Kahneman describes the brain as having two parts, which he calls Systems 1 and 2. System 1 is lightning fast, intuitive and overconfident. It makes many, many judgements, often based on false assumptions. System 1 selectively pulls facts and images to justify those judgements, totally unaware that it is doing so. System 2, however, is slow, methodical, and much less confident, and it only kicks under real pressure.

System 1 is willing to give George Zimmerman’s snap judgements about Trayvon the benefit of the doubt. To make your System 2 kick in and ask, for example, “Do I really need to clutch my bag/call the police/pull out my gun because a black man is walking toward me?” requires a decision, a desire to push System 1 aside. The good news of the Pew poll is it suggests that at least 30 percent of the nation’s white people have moved beyond their System 1s and engaged their System 2s. Several hundred of them are represented in the Tumblr We Are Not Trayvon.

Read More Rinku Sen: The Racist Mind – COLORLINES.

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Why Republicans Want Jobs to Stay Anemic

Robert Reich

Robert Reich (Photo credit: Wikipedia)

By Robert Reich

Job-growth is sputtering. So why, exactly, do regressive Republicans continue to say “no” to every idea for boosting it — even last week’s almost absurdly modest proposal by President Obama to combine corporate tax cuts with increased spending on roads and other public works?

It can’t be because Republicans don’t know what’s happening. The data are indisputable. July’s job growth of 162,000 jobs was the weakest in four months. The average workweek was the shortest in six months. The Bureau of Labor Statistics has also lowered its estimates of hiring during May and June.

It can’t be Republicans really believe further spending cuts will help. They’ve seen the effects of austerity economics on Europe. They know the study they relied on by Carmen Reinhart and Kenneth Rogoff has been debunked. They’re no longer even trying to make the case for austerity.

It could be they just want to continue opposing anything Obama proposes, but that’s beginning to seem like a stretch. Republican leaders and aspiring 2016 presidential candidates are warning against being the “party of ‘no.'” Public support for the GOP continues to plummet.

The real answer, I think, is they and their patrons want unemployment to remain high and job-growth to sputter. Why? Three reasons:

First, high unemployment keeps wages down. Workers who are worried about losing their jobs settle for whatever they can get — which is why hourly earnings keep dropping. The median wage is now 4 percent lower than it was at the start of the recovery. Low wages help boost corporate profits, thereby keeping the regressives’ corporate sponsors happy.

Read More Why Republicans Want Jobs to Stay Anemic | Robert Reich.

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Florida Will Hold Hearings On ‘Stand Your Ground’ This Fall

View of Florida's Historic Capitol with the mo...

View of Florida’s Historic Capitol with the modern Florida State Capitol in the background. (Photo credit: State Library and Archives of Florida)

By Jeff Spross

Will Weatherford, the Republican speaker of Florida’s House of Representatives, revealed on Friday that the state’s legislature will hold hearings on its infamous “Stand Your Ground” laws sometime this fall. While the announcement came buried in one sentence of a defensive opinion piece published this past Thursday in the Tampa Tribune, Reuters nonetheless characterized it as “the biggest concession yet by the state’s Republican leaders to protesters’ demands for a top-to-bottom review of the law.”

Florida’s “Stand Your Ground” law came in for widespread public criticism after the shooting death of Trayvon Martin and the recent acquittal of George Zimmerman on murder and manslaughter charges for the killing. Some version of the law has been passed by legislatures in 22 states, and it’s been defended as a “human right” by the National Rifle Association — which helped draft and disseminate the laws along with the American Legislative Exchange Council. Meanwhile, Sen. John McCain (R-AZ), Attorney General Eric Holder, and President Obama himself have said “Stand Your Ground” laws need to be re-examined in the wake of the Zimmerman verdict.

Read More  Florida Will Hold Hearings On ‘Stand Your Ground’ This Fall | ThinkProgress.

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The Payday Playbook: How High Cost Lenders Fight to Stay Legal

English: Author: swanksalot URL: http://www.fl...

Front Window of a financial institution in Illinois which offers payday loans. (Photo credit: Wikipedia)

By Paul Kiel

As the Rev. Susan McCann stood outside a public library in Springfield, Mo., last year, she did her best to persuade passers-by to sign an initiative to ban high-cost payday loans. But it was difficult to keep her composure, she remembers. A man was shouting in her face.

He and several others had been paid to try to prevent people from signing. “Every time I tried to speak to somebody,” she recalls, “they would scream, ‘Liar! Liar! Liar! Don’t listen to her!’”

Such confrontations, repeated across the state, exposed something that rarely comes into view so vividly: the high-cost lending industry’s ferocious effort to stay legal and stay in business.

Outrage over payday loans, which trap millions of Americans in debt and are the best-known type of high-cost loans, has led to dozens of state laws aimed at stamping out abuses. But the industry has proved extremely resilient. In at least 39 states, lenders offering payday or other loans still charge annual rates of 100 percent or more. Sometimes, rates exceed 1,000 percent.

Last year, activists in Missouri launched a ballot initiative to cap the rate for loans at 36 percent. The story of the ensuing fight illuminates the industry’s tactics, which included lobbying state legislators and contributing lavishly to their campaigns; a vigorous and, opponents charge, underhanded campaign to derail the ballot initiative; and a sophisticated and well-funded outreach effort designed to convince African-Americans to support high-cost lending.

Read More The Payday Playbook: How High Cost Lenders Fight to Stay Legal – ProPublica.

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Fear

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Angelus Domini

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Analysis: Pope Francis’ New Direction For The Church

Visita Papa Brasil - Jul 2013

Visita Papa Brasil – Jul 2013 (Photo credit: Semilla Luz)

By Philip Pullella

Some say his trip last week to Brazil, capped by a Mass for 3 million on Copacabana Beach, and the 80-minute, unfiltered news conference on the plane back to Rome, were the real start of Pope Francis’s pontificate.

During the flight, he fielded 21 questions on subjects ranging from scandals at the Vatican bank to women in the Church to why he carries his own briefcase. But perhaps the comments that revealed most about the type of Church he envisions came in response to a question about gays in the Vatican.

“If a person is gay and seeks God and has good will, who am I to judge?” he said, pointing out that the Church’s Catechism says homosexuals should not be marginalized, and should be treated with respect and integrated into society.

It was the first time any pope had uttered the word ‘gay’ in public – using it five times – and was another sign that he has his ear closer to the ground than his predecessor Benedict, whom he succeeded as head of the world’s 1.2 billion Catholics in March.

It also chimed with the Church precept of “loving the sinner and hating the sin”, a notion not always evident in Benedict’s pronouncements; a 2005 document he approved said homosexual tendencies were “objectively disordered”, and in a 2010 book he described homosexuality as “one of the miseries” of the Church.

Read More Analysis: Pope Francis’ New Direction For The Church.

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Pope Francis the merciful

By Rev. James Martin S.J.

Vatican PopeI found it amusing that the biggest news from World Youth Day in Rio de Janeiro was not that Pope Francis attracted 3.7 million people to his Sunday Mass on Copacabana Beach (inevitably nicknamed “Popacabana” for the week). Nor was it the pope’s dramatic speech before an enthusiastic crowd in Rio’s Varginha slum, where he affirmed the Catholic Church’s stance on combating poverty, deploying terms like “social justice,” “economic inequalities” and “solidarity.” Nor was it even when his motorcade took a wrong turn and ended up on a crowded street, with the papal car suddenly swamped by well-wishers.

No, the worldwide headline-grabber was the pope’s off-the-cuff comment during what one reporter friend told me was an “insane” (in the best possible way) news conference on the flight back to Rome. Despite some turbulence, Pope Francis expertly fielded questions for 82 minutes. And in response to a question about a supposed “gay lobby” in the church, he answered:

“There is so much being written about the gay lobby. I have yet to meet anyone who introduces himself at the Vatican with a ‘gay card.’ . . . If a gay person is searching for God with goodwill, who am I to judge them?”

The pope also said, “The Catechism of the church expresses this beautifully . . .” And here he paused to ask his press spokesman, the Rev. Federico Lombardi, for the right word. “They should not be marginalized.”

The pope’s comments were noteworthy not only because he spoke about gays and lesbians in a way not traditionally done by most church leaders, but because he emphasized a Gospel teaching that may become the touchstone of his papacy: mercy.

Read More Pope Francis the merciful – The Washington Post.

 

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Strength

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