Economy

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  • LGBTQ media highlight repercussions of Trump’s budget proposals

    Blog ››› ››› ALEX MORASH


    Dayanita Ramesh / Media Matters

    News outlets, experts, and health care advocates blasted President Donald Trump’s federal budget proposal that would rip health care away from millions while eliminating key HIV prevention and research programs. If enacted, these cuts would have a disproportionately devastating impact on members of the LGBTQ community, who rely more heavily on Medicaid than the general public does and face higher rates of HIV infection.

    Outcries continue to grow in response to Trump’s federal budget proposal for the 2018 fiscal year. The proposal faced immediate criticism for its unrealistic revenue projections and was branded by critics as a “repugnant grab bag” of cuts to vital anti-poverty and public health programs to pay for part of a massive tax cut for top earners. The latest criticism of Trump’s budget comes from public health experts and LGBTQ media, which are pointing out that its cuts to Medicaid, coupled with harsh reductions in funding of HIV treatment, prevention, and research add up to a reprehensible swipe at the LGBTQ community.

    Cuts to Medicaid would disproportionately affect the LGBTQ community, which faces higher levels of poverty than the public at large. On May 28, NBC Out reported that Trump’s budget would hit the LGBTQ community in several ways. Stephen Forssell, director of George Washington University’s graduate program in LGBTQ health policy, explained that Medicaid is “hugely important” for LGBTQ Americans, who are more likely than others to rely on the program:

    Medicaid is "hugely important" for the LGBTQ community," (sic) Gruberg told NBC Out, noting that 18 percent of lesbian, gay, bisexual and transgender people have Medicaid compared to 8 percent of non-LGBTQ people.

    Gruberg also noted that Medicaid is the "largest source of coverage for people with HIV in the U.S.," adding that "a $1.4 trillion cut to Medicaid over 10 years will be detrimental to the ability of people living with HIV to get the health care they need to survive."

    HIV funding is of great concern for the LGBTQ community and faces steep cuts in the White House’s budget. The Health Resources and Services Administration (HRSA) outlined that the fiscal year 2018 budget would include a $59 million reduction to the Ryan White HIV/AIDS program, including eliminating all its funding for LGBTQ and minority education and HIV prevention. The Ryan White HIV/AIDS program funds health care services for individuals living with HIV as well as public service education programs about the virus. The program is named after an HIV activist who fought for the program’s enactment before tragically passing away just months before it was authorized after battling the virus.

    On May 31, the Washington Blade highlighted the funding cuts to the Ryan White HIV/AIDS program and an additional $186 million in proposed cuts to the Center for Disease Control and Prevention’s (CDC) work on HIV and other sexually transmitted infections (STIs). Doug Wirth, CEO of the nonprofit Amida Care, called Trump’s budget proposal a “cruel and callous attack” on those living with HIV. Advocacy groups argued that the funding cuts would lead to “more suffering” for those living with HIV, and the AIDS Institute criticized the White House’s “severe cuts” while noting that the 19 percent cut to the CDC’s HIV prevention program would set back efforts to eliminate the virus.

    According to the Kaiser Family Foundation, gay and bisexual men represent 2 percent of the American population but make up 56 percent of all Americans living with HIV and 55 percent of all HIV-related deaths in the U.S. The CDC reported that while HIV diagnoses have declined overall in recent years, diagnoses have increased among gay and bisexual men. The CDC found that much of the increase was among men of color and even projected that one out of every two black gay and bisexual men would become infected with the virus during their lives. Currently, gay and bisexual men make up 67 percent of all new HIV infections:

    Trump’s cuts to HIV programs are eerily reminiscent of cuts Vice President Mike Pence imposed on Indiana during his tenure as governor. Pence followed through on right-wing media’s obsession with defunding Planned Parenthood and cut funding to the health care provider ostensibly to reduce abortions, but in doing so actually shut down access to the only HIV testing centers available to many Indiana residents and may have inadvertently caused an HIV epidemic in rural parts of the state. Pence has a long history of supporting right-wing media causes against the LGBTQ community and during the 2016 presidential campaign was called out by MSNBC host Rachel Maddow for statements he made while serving in Congress.

    Trump campaigned as an alleged ally of the LGBTQ community, but community leaders recently slammed his “shameful” refusal to sign a proclamation declaring June LGBTQ Pride month, ending an eight-year tradition. The Trump administration also faced pushback after it announced it would not allow Americans to self-identify as LGBTQ in the 2020 national census.

  • Here’s why media should steer clear of Trump’s bogus Paris agreement talking points

    ››› ››› KEVIN KALHOEFER & CRAIG HARRINGTON

    President Donald Trump defended his decision to withdraw the United States from the Paris climate agreement with bogus and easily discredited talking points that have long been touted by right-wing media. Outlets covering Trump’s decision to shirk American climate commitments should avoid repeating the White House’s misinformation.

  • Fox uses “lousy” May jobs report to push Trump's job-killing economic agenda

    Blog ››› ››› ALEX MORASH

    Fox News used the Bureau of Labor Statistics’ (BLS) underwhelming jobs report for the month of May as proof that Congress needs to pass President Donald Trump’s trickle-down economic agenda that, in reality, would strip working- and middle-class Americans of basic public services and hand top income earners a gigantic tax cut.

    On June 2, BLS released its jobs report for May 2017, which estimated the United States added 138,000 new jobs last month while the unemployment rate fell slightly to 4.3 percent. The jobs number fell below economists’ expectations and The Washington Post declared that the report showed that the “job market stumble[d]” last month. While the number of new jobs reported was weaker than expected, The New York Times noted the overall health of the economy was still strong enough for the Federal Reserve to possibly raise interest rates and pointed out that wage growth was up 2.5 percent from this time last year.

    In response to this news, Fox pushed the absurd claim that the report is proof that big business needs Congress to pass Trump’s economic agenda of tax cuts and gutting consumer protections to stoke further economic growth and job creation. During the June 2 edition of Fox News’ Fox & Friends, guest Steve Hilton, host of The Next Revolution, used the jobs report to claim the U.S. was in a “jobs crisis” and needed Trump’s economic agenda to be enacted. On Fox Business’ Varney & Co., host Stuart Varney described the jobs number as “lousy” and “disappointing” while correspondent Ashley Webster claimed the jobs number shows the American economy is “in a holding patterning” that is “waiting on Washington” to act. Fellow Fox Business host Maria Bartiromo added that “what this jobs number tells us is that business is still cautious” and companies are “sitting on cash” because they are “strangled by all of the regulatory environment” and waiting for Congress to pass Trump’s agenda:

    In reality, Trump’s economic agenda has been described as a “repugnant grab bag” of tax cuts for top-income earners that guts funds for Medicaid, children’s health insurance, food assistance, medical research, disease prevention funding, disability insurance, and even college student financial aid while watering down consumer protections to give Wall Street investors a $100 billion windfall. Trump’s budget proposal to slash funding for vital health assistance programs has been described as “ruthless” and would exact a huge human cost from those who lose access to care.

    Far from being a jobs savior, Trump’s economic agenda has faced heavy criticism from economists for relying on “voodoo” economic theories that falsely claim tax cuts will lead to economic growth. Research from the nonpartisan Congressional Research Service and Brookings Institution have found no link between tax cuts and economic growth. Economist Jason Furman has also slammed Trump’s tax cut agenda for proposing to add trillions of dollars to the federal debt in ways that could hamper economic growth. Trump’s tax proposals have been blasted by economists and experts across the political spectrum, who have argued that his restrictive approach to international trade and immigration, if enacted, may actually dampen economic activity. Even Trump’s proposals to reduce supposedly burdensome regulations in the financial industry fly in the face of facts -- Trump has proposed dismantling the Dodd-Frank Act, but the Government Accountability Office concluded in 2016 that Dodd-Frank protections have “contributed to the overall growth and stability in the U.S. economy.”

    Fox figures have attempted to use the monthly jobs report to advance the president’s agenda since he first took office. Fox used the reports to claim unearned victories for the president, and even once used a jobs report described as “weak” to declare it was “the most successful day” of Trump’s presidency. Last month, a Fox Business panel attempted to spin the April jobs report as a reason to pursue Trump’s tax and regulatory policies with no evidence to back up its claims. Next month will likely produce more of the same.

  • MSNBC’s Elise Jordan faceplants while trying to find a silver lining in CBO’s new Trumpcare score

    The House-passed health care bill is arguably worse than the disaster from two months ago

    Blog ››› ››› CRAIG HARRINGTON

    The Congressional Budget Office (CBO) released another estimate of the budgetary and insurance market impacts likely to stem from the American Health Care Act (AHCA) if the version passed earlier this month by House Republicans becomes law. The score was arguably worse than a gruesome estimate first published on March 13, a fact seemingly lost on MSNBC conservative commentator Elise Jordan, who tried to defend the bill and failed.

    On the May 24 edition of MSNBC’s Deadline: White House, correspondent Kasie Hunt spent several minutes detailing the CBO estimate released just minutes earlier, noting that AHCA was estimated to reduce federal deficits by $119 billion through 2026 at the cost of increasing the uninsured population by 23 million. Hunt added that the CBO believes people living with preexisting health conditions would be “ultimately unable to purchase health insurance at premiums that are about what they face under current law” if they lived in states that use a waiver of these existing patient protections built into the AHCA.

    After Hunt concluded her segment by pointing out that the new CBO projections are not “dramatically different” than previous economic estimates, host Nicolle Wallace turned to a panel of guests to discuss possible political fallout for a bill that was already polling as low as 17 percent. Political analyst Dr. Jason Johnson predicted that the health care legislation would prove to be “a death knell for the midterm elections” before Jordan claimed the CBO estimate was “actually better than I expected” because “they do have a substantial savings of $119 billion, and it wasn’t looking that way in previous estimates of the prior plan.” Jordan pitched this report as proof that GOP-led health care reform could at least reduce government spending even if it couldn’t increase insurance coverage.

    Unfortunately for Jordan, she is not convincing anyone. In its March 13 estimate, the CBO predicted the AHCA would kick 24 million people off their health insurance over ten years and reduce deficits by $337 billion. A March 23 estimate also found that a new amendment to AHCA would reduce deficits by $150 billion while still kicking 24 million people off insurance. The May 24 estimate of the version of the AHCA actually passed by the House contains by far the least deficit reduction (just $119 billion over ten years) but still predicts almost the same number of insurance losses.

    More importantly, Jordan is egregiously exaggerating the significance of deficit reductions stemming from the bill. According to the CBO, the U.S. federal government will spend $49.9 trillion through 2026 and accumulate $8.6 trillion in additional deficit under current law, meaning the AHCA results in a meager deficit reduction of just 1.4 percent -- in exchange for virtually doubling the number of uninsured.

    Watch the full segment here:

    *This blog has been updated to clarify the AHCA's impact on long-term federal deficits.

  • Experts point out Trump’s budget “just doesn’t add up”

    White House budget proposal bases its revenue numbers on unrealistically high economic growth projections

    Blog ››› ››› ALEX MORASH

    Experts and journalists have pointed out that President Donald Trump’s budget numbers for the 2018 fiscal year do not add up, as they rely on unrealistic growth expectations. Nonpartisan experts say the gap between the White House’s estimates and the Congressional Budget Office’s is “the largest on record.”

    On May 23, the White House released its full budget proposal, which not only calls for kicking millions of working- and middle-class Americans off vital public assistance programs to make room for gigantic tax cuts for top income earners, but also bases its tax revenue projections on expected annual gross domestic product (GDP) growth of 3 percent by 2020. While right-wing media commentators have repeatedly defended trickle-down economic fantasies that predict unlikely levels of economic growth because of tax cuts for the rich, assuming such growth when determining revenue projections for the federal budget hides the true cost of Trump’s devastating budget plans.

    Experts and journalists quickly noted the absurdity of Trump’s projections in their coverage of the budget request. In a Washington Post blog, former Treasury Secretary Larry Summers, an economist at Harvard University, called the logic of Trump’s growth assumptions “simply ludicrous” and compared it to believing in the tooth fairy. On the May 23 edition of MSNBC Live, economist Jared Bernstein, a senior fellow at the Center on Budget and Policy Priorities (CBPP), told host Ali Velshi that Trump’s budget “does not add up at all” while noting that economic growth “is a function of the growth of the labor supply,” and that’s going to slow as the country grows older. Bernstein compared the chances of Trump’s projections coming true to the chances of a kitchen appliance coming to life to sing and dance, concluding that it is reckless for budget numbers to be “based on on these kinds of fairy tales”:

    On May 23, Vox correspondent Matt Yglesias pointed out that for anyone over 35, annual growth of 3 percent “doesn’t sound outlandish” because it is reminiscent of GDP growth during the 1990s. But Yglesias noted that if the United States did manage today to replicate 1990s-level growth in the labor force, productivity, and capital investment, “even under that rosy scenario” the growth rate would not hit 3 percent:

    In a May 24 column for Vox, economist and former Obama adviser Jason Furman explained in even more detail why 3 percent economic growth was “extremely unlikely,” with a specific focus on the slowing growth of the labor force. Furman also noted that the American economy is already growing faster than other advanced economies around the world, which have struggled to keep pace.

    As FiveThirtyEights Ben Casselman explained, the reason this level of growth is not currently attainable is that during the 1990s, the U.S. saw “rapid growth in its labor force and rapid gains in the productivity of that labor force.” By comparison, the baby boom generation today is retiring, not entering the workforce, which slows labor force growth, and “growth in productivity has slowed to a crawl” as electronic and internet-based technologies from the 1990s have matured.

    On May 24, The Washington Post’s Ana Swanson also looked at how realistic Trump’s growth projections would be with regard to labor force growth after Mick Mulvaney, director of the Office of Management and Budget, told reporters that much of the growth could come from getting the 6 million Americans marginally attached to the workforce to be fully employed. Yet, as Swanson noted, adding 6 million workers to the 160 million Americans already in the labor force would generate only 2 percent growth.

    Trump’s budget projections were not just debunked for lacking numbers based in reality; CBPP pointed out the historic gap between the White House’s economic growth projections and those of the nonpartisan Congressional Budget Office (CBO). According to a May 22 CBPP blog post, Trump’s budget proposal projects $3 trillion less in deficit accumulation using its 3 percent growth model than it would using the CBO’s less optimistic economic forecasting. The difference is even more striking because, as CBPP pointed out, the gap between the White House’s proposal and CBO forecasting is “the largest on record”:

  • Fox News can’t believe 44 million Americans qualify for food assistance

    The number of food stamp recipients is roughly equal to the number of people living in poverty, far below number who qualify for assistance

    Blog ››› ››› CRAIG HARRINGTON

    Fox News contributors and hosts defended President Donald Trump’s draconian budget request for fiscal year 2018 by coalescing around a talking point also voiced by the White House that spending cuts for nutrition assistance programs are justified because of their gut feeling that too many people are using them. In the real world, the number of food stamp recipients is roughly equal to the number of Americans living in poverty, which has remained elevated since the last recession ended.

    During a May 23 press conference discussing Trump’s budget request, NBC News correspondent Peter Alexander asked Mick Mulvaney, the director of the Office of Management and Budget (OMB), to defend the president’s decision to cut programs like Social Security and Medicaid that he had promised to protect during the campaign. Mulvaney falsely claimed that no person who “really needs” assistance will be removed from the programs, and turned to Trump’s proposed new restrictions to the Supplemental Nutrition Assistance Program (SNAP), commonly known as “food stamps,” as an example. Mulvaney noted that the number of SNAP recipients “spiked during the recession” to over 42 million and complained that it remains high today “eight years removed from the end of the recession.” Mulvaney ended his remark by wondering “why is the number still that high?”:

    Mulvaney’s unfounded gut feeling that the number of people receiving SNAP benefits is too high was endlessly reiterated by Fox News and Fox Business personalities who have a long track record of attacking the program. On the May 22 edition of America’s News Headquarters, contributor Mercedes Schlapp bemoaned the so-called “entitlement mentality” of Americans who might oppose unnecessary cuts to food assistance. Later that day, on Your World with Neil Cavuto, host Cavuto complained the number of SNAP recipients has “ballooned to over 44 million today” (it’s actually 42 million), baselessly suggesting it was “not sustainable,” while conservative columnist Carrie Sheffield falsely claimed that federal food assistance has “crowded out the private sector.”

    Fox returned to the complaint on May 23, dedicating time on Fox Business’ Cavuto: Coast to Coast and Risk & Reward to the same talking point that 44 million SNAP recipients seemed like too many and therefore the program must be cut. On Making Money with Charles Payne, host Payne and guest Liz Peek falsely argued that food assistance programs are meant only to be “emergency programs” while lamenting the number of users. During that day’s edition of Your World, Cavuto returned again to his complaint about the number of people enrolled in SNAP, remarking that if 44 million Americans are really in need of food assistance “we’re Mozambique, we’re not America.” Moments later, Cavuto was joined by Rep. Jim Jordan (R-OH), who defended adding new restrictions to food assistance programs and agreed with Cavuto’s characterization that there is no way so many people truly qualify for assistance.

    Contrary to this misleading characterization, the number of SNAP recipients is actually lower than the number of people who qualify for the program and is roughly equal to the number of people living in poverty (see graph below). One would expect the number of SNAP beneficiaries to largely mirror the number of Americans living in poverty because the program is available, with some restrictions, for individuals earning up to 130 percent of the federal poverty level.

    For much of the program’s history, the number of people who actually participated in the federal food assistance program was far less than the number who struggled with poverty and the number who potentially qualified for assistance. That began to change during the Bush and Obama administrations, when technological improvements and a bipartisan effort to tackle stigma helped get more deserving families and individuals enrolled in the program. Rates of waste, fraud, and abuse in the system have actually fallen as participation increased and, according to a November 2016 report from the Department of Agriculture, which administers the program, the gap between the number of Americans who qualify for assistance and the number who receive it has been narrowing for years:

  • Some of the best media take downs of Trump’s “repugnant grab bag” of a budget

    ››› ››› ALEX MORASH

    On May 23, President Donald Trump released his vision for the fiscal year 2018 federal budget titled, “A New Foundation for American Greatness,” which called for deep cuts to Medicaid, Social Security Disability Insurance (SSDI), student loan assistance, and anti-poverty programs geared toward working- and middle-class Americans while providing gargantuan tax cuts for top income earners and increasing military spending. As details of the budget began to surface in the lead up to the announcement, Media Matters identified some of the best take downs from journalists and experts hammering the proposal for its “ruthless” cuts.

  • Media fell for Trump's spin that cutting Social Security isn't really a cut to Social Security

    Trump promised not to touch Social Security during the campaign, but some reporters reframed that broken promise for him

    Blog ››› ››› CRAIG HARRINGTON


    Sarah Wasko / Media Matters

    A number of usually reliable reporters were duped by White House spin that President Donald Trump’s draconian budget proposal for fiscal year 2018 to slash spending for Social Security Disability Insurance (SSDI) was not a violation of his major campaign pledge to protect Social Security from cuts.

    During his June 16, 2015, announcement to run for president, Trump clearly and unequivocally promised that if he was elected, he would “save Medicare, Medicaid, and Social Security without cuts.” Trump’s campaign declaration fit previous statements he made in the run-up to his announcement, wherein he claimed he was “the only [Republican] who won’t cut Social Security” and stated “I am going to save Social Security without any cuts.” Trump even hit then-presidential candidate Mike Huckabee for copying his call to safeguard Social Security with “no cuts” and later reiterated his promise to “save” the program while attacking former presidential candidate and current member of Trump’s cabinet Ben Carson:

    After Trump’s repeated statements that he would not cut Social Security, the White House’s decision to include significant cuts to SSDI in its 2018 budget request represents a broken campaign promise. Some journalists -- including Washington Post reporter Philip Bump, Los Angeles Times columnist Michael Hiltzik, and NBC News reporter Benjy Sarlin -- caught on to what was actually being proposed, and Vox’s Dylan Matthews stated that these cuts clearly break “a crucial campaign promise.” Yet, despite this, several other journalists fell for the White House’s misleading spin.

    In the midst of an otherwise brutal recap of Trump’s budget, HuffPost reporter Arthur Delaney claimed “the document mostly honors Trump’s unorthodox campaign promise not to cut Social Security or Medicare” before actually quoting Mick Mulvaney, the director of the Office of Management and Budget, as he expounded on proposed cuts to “disability insurance.”* In her write-up of the budget that detailed the profound impact it will have on low-income communities, New York Times reporter Yamiche Alcindor noted that Trump “would cut access to disability payments through Social Security” but casually added “the main function of Social Security — retirement income — would flow unimpeded.” New York Times reporter Julie Hirschfeld Davis included similar misleading language in her report on the budget, arguing, “The blueprint also steers clear of changing Social Security’s retirement program or Medicare” and promoting the administration’s claim that Trump’s promise to protect “retirement” was intact.

    Washington Post reporters Damian Paletta and Robert Costa also fell for the White House’s misdirection gambit, writing of the president’s campaign rhetoric: “Trump insisted that they could not cut retirement benefits for Social Security.” NPR reporter Scott Horsley also detailed the “significant cuts to social safety net programs” while promoting the Trump administration’s spin that the campaign promise was merely to “preserve” the “Social Security retirement program.” Axios reporter Jonathan Swan managed to write a review of Trump’s budget that committed both sins; first claiming that the Trump budget fulfilled “his campaign promise” not to touch Social Security and later claiming that it merely would not affect retirees**:

    ORIGINAL: President Trump's 2018 budget proposal on Tuesday won't reform Social Security or Medicare — in line with his campaign promise — but it will make serious cuts to other entitlement programs. A source with direct knowledge tells me the Trump budget will save $1.7 trillion on the mandatory side over the next ten years.

    CURRENT: President Trump's 2018 budget proposal on Tuesday won't cut Social Security payments to retirees or Medicare, but it will make serious cuts to other entitlement programs. A source with direct knowledge tells me the Trump budget will save $1.7 trillion on the mandatory side over the next ten years.

    *The HuffPost report was corrected after pressure from readers and disability advocates to include the word “mostly.” The original post did not include that conditional language and incorrectly stated “the document honors Trump’s unorthodox campaign promise not to cut Social Security or Medicare.”

    **The Axios report was changed after its initial publication but no editor’s note or correction was added to indicate the revision. Media Matters had criticized the original language of the article in a May 22 blog.