Political Roundtable Cosmic String of Cataclysm - Part V

[hands11]

I don't get any of the logic behind the debt ceiling. Congress appropriates funds and sets the tax rates, not the president. Every bit of that debt is already encoded in budgets that have already passed. If you believe in changing the budget, then change the budget, don't default. It's like me saying to my wife "Our spending is out of control, we need to stick to our budget better. So I'm not going to pay our mortgage". It makes no sense at all.

You make a really good point gesa2. I think the simple explanation for why R's would exercise their authority to restrict additional debt now vs. in the past is that the Fed recently announced that they will double their monthly contribution to stimulus, which will now total $80 Billion per month vs. the previous $40 Billion a month. They are doing so to keep interest rates low and because there are not enough pigeons to finance our long term U.S. debt right now. Congress has no control over the Fed however the President does and he is happy about the Fed's actions. The only way the R's can stop the insanity is to restrict debt by way of their authority over the debt limit.

If the Fed refrained from this stimulus interest rates would skyrocket and all hell would break loose. Instead, they are pushing the "all hell breaks loose" down the road and making a solution to our economic problems that much harder and more costly to achieve.

Pop

You are missing the most powerful economic stimulus of all. Peoples belief that things are getting better. That is what gets people from hording to investing. That makes the GDP go up. That is what ultimately raises asset values. Interest rates need to stay low right now. The housing problem is getting cleaned up more and more all the time. Once that reaches bottom and starts to recover, people will have more wealth again. That will bring in more state revenue. That revenue get invested back into the system. Then with a stronger economy, you can do a combination of growing the economy and trimming spending to lower the debt to GDP more. That is the process are we currently in. Its not happening over night. Its a process. Eventually the economy is healthy enough to absorb allowing interest raise to start going up. Just go look at what happen post WWII when we peaked at 120% debt to GDP.

We took a major major hit when the banks where failing and the equity bubble was busting. This is the softer landing. In time if we keep these policies in place, we will recover more and more until we are in the clear.

What we need to manage is getting through the baby boomers retiring. But that has been the case all along. We know this 25 years ago. And you know what. Clinton left us in great shape to do it. Some other president and party screwed it up. Two wars. Unpaid for tax cuts. Medicaid D. Dept of HLS.

But they are working it out. All hope is not lost. Progress has been made. We are headed in the right direction. Don't worry. Dems will clean up the Rs mess just like they did after Reagan/Bush. They are used to doing that by now.

[popper]

I don't get any of the logic behind the debt ceiling. Congress appropriates funds and sets the tax rates, not the president. Every bit of that debt is already encoded in budgets that have already passed. If you believe in changing the budget, then change the budget, don't default. It's like me saying to my wife "Our spending is out of control, we need to stick to our budget better. So I'm not going to pay our mortgage". It makes no sense at all.

Lol.

Awesome and concise. Send that to the DNC and tell them to use it. You are right. Most people don't understand this and that is how they get fooled when politicians lie to them with messaging that sounds like it makes sense. Obama wants a blank check to spend as much as he wants. lol.. Sounds like a bad thing. I don't want the President to have that power. Only the negotiations on what would get spent already happened when they appropriated it. That was the time to fight about it. Besides, as the economy grows, debt levels will keep going up even if debt to GDP stays the same.

All that is happening is the Rs are trying to get two bits at the Apple. They want what they want and so they are trying to use this as a way to get it. Like Blazing Saddles the movie. If you haven't watch it, there was scene where this black fella, I think he was the sheriff, well he ended up in some old Western white town and they were coming at him. So he points the gun to his head and say, don't move and the N gets it. Then he walked himself out the room with the gun to his head holding himself hostage.

What is funny.. well not funny.. crazy actually .. is that the Rs used the logic of spending and then growing the economy fast enough so that growth would lower the debt to GDP as the core of there platform and economic principle for the last 25 years. Only their spending was in the form of tax cuts that were not paid for. Do people really not understand this ?

Hands, I'm not sure that you understand what's going on. Please see my response to Gesa2 directly preceeding your post. 99% of the country does not understand what the Fed is doing to our economy (with Obama's blessing). If interest rates were allowed to reach their market value our economy would tank overnight and there would be intense pressure on the govt. to reduce spending. What Obama and the Fed are doing is creating a mirage of economic growth financed through the devaluation of our currency. You're a smart guy, surely you can see where this will all end.

[hands11]

People not living in the fake bubble they lived in from 2000-2007 ?

Pop. I get what they are doing. That is what the Fed is chartered to do. To take out the highs and lows. They are buying time with the housing mess gets cleaned up. People are still short selling and cleaning up their financial situation. First we bailed out Wall Street. Now they are cleaning up the mess for people which also still affects the banks. It was a hug mess to clean up.

What they are doing now is not so much the problem as what they did under Bush that got up here.

The recession we needed to feel was the one that should have happened under Bush.

Saying the Fed in under the control of the president is MEH. If that is true for one, it is true for all.

[noworriesinmd]

When I went to school, there was a lecture series about the media and America.
The panel came to the conclusion that American's will begin to move around people who share their same beliefs AND they will listen to new broadcasts that reinforce their view of the world. Hmm, almost 10 years later that is what we have.

Personally, I can't stand listening 5 minutes to Chris on MSNBC or Hannity on Fox.
I can't believe how "snarky" Chris is, Saturday mornings. Sometimes I want to throw a chair at the TV because he is such an ass. I feel the same way about 90% of the people on Fox and MSNBC. I hate when people quote those stations. Both stations are full of propaganda and distorted facts twisted to re-imforce a view point that is just slanted enough to be "right", but in actuality is wrong.

I'll take your point that #3 & #4 are subjective.
Personally, I do believe that people will always act in their self interest (basic tenant of economics). Even someone sacrificing their life is doing it for a reason, that I might not understand. No act is selfless, even parenting.

#4, I only added that because I hate how the Federal Gov't is adding more laws to the books. Most laws that you and I are subjected to are state and local laws...not federal. This is starting to change because legislators want to give the appearance of doing something vs solving problems. There is a book I read awhile back that talks about how each of us commits three felonies a day. Did you know one of the biggest contributors to legislative think-tanks is the Private Prison Lobby...think about that.

The debt ceiling vote is a joke. However, I don't like any President picking and choosing what they will and will not do. What they will and will not enforce. After Nixon the Presidency lost a lot of power...however the pendulum is swinging back..... Congress used to have to authorize all spending, the debt celiing was a way to give more leeway to the Executive branch.

I said all the above because everyone wants what they don't have to pay for. People are MAD at Obama because payroll taxes are going back to normal. People are mad because they are being forced to save for retirement & medical expenses in later years. Most people don't realize that Employees/Employeers pay SS/Medicare taxes. I don't even want to talk about Workers Comp. These things are designed to protect all of us in the future. However most American's only care about "today". I believe you fight tooth and nail to prevent any federal program from becoming reality...not because I'm evil, its because it is ripe for abuse. When half of America can't agree on anything, yet something is shoved down the other halves throat and is told "deal with it", that relationship will not last long. A short victory now, causes long term damage in the future.

I've been blessed to have a very successful career and now a fast growing company. I've been able to do things that I could only imagine when I was younger. It came with a price. No partying in my 20's. Working full time through school. Working at night. Many sleepless and long days. I am know reaping the benefits of 20 years worth of work, but it saddens me that American's don't truly understand what is going on. A lot o f people feel entitled. In high school, my freshman year there were over 200 people in my class, by the time I graduated...less than 60 walked the stage.

The Tea party was made into an extremist group. They were given the labels "A war on Women". "Racists", etc...however 90% of the people in that movement just wanted the Gov't to stop spending more than it took in.

The Occupy Movement was also made into an extremist group. "Hippies", "Loosers", when most of the people who supported them saw the unfairness of a system that, for example, pushes PhD's in science and Math though loans...but when you graduate there are few private or academic PhD jobs available..which you have a mortgage in college loans.


Guess what is the most PROFITABLE entity in the world, DOUBLING the profit of the most profitable company in the world..Gazprom. This entity had profits this year of almost 90 BILLION this year....guess who it is..the Fed.

We talk about consolidation of power in Russia and China, when it it happening in the US in front of all of us.

I'm sorry for ranting, but SS/Med/Healthcare/debt ceiling/Presidential Power is all pointing to the lose of power by the people. We cheer symbolic victories instead of solving real problems. When I was younger, I wanted to run for office bad. I did everything I was supposed to do....now I just shake my head and wonder if we are all mad.

[montestewart]

rant all you want, noworriesinmd, that was a good read.

[nate33]

Epic post, noworriesinmd. Nice job summarizing the frustrations of many, including myself.

[Induveca]

Epic post, noworriesinmd. Nice job summarizing the frustrations of many, including myself.

+1

Sounds like we've lived similar adult lives noworriesinmd. The entitlement you speak of literally helped me make my decision to leave the country.

I couldn't stomach paying for many of the programs which enable this logic......

[popper]

As long as the electorate continues to reward such irresponsible behavior there is little hope for our economic future.


Tuesday marks the 1,350th day since the Senate passed a budget. The law requires Congress to pass a budget every year, on the grounds that Americans deserve to know how the government plans to spend the trillions of taxpayer dollars it collects, along with dollars it borrows at the taxpayers' expense. But Majority Leader Harry Reid, who last allowed a budget through the Senate in April 2009, has ignored the law since then.

There's no mystery why. The budget passed by large Democratic majorities in the first months of the Obama administration had hugely elevated levels of spending in it. By not passing a new spending plan since, Reid has in effect made those levels the new budgetary baseline. Congress has kept the government going with continuing resolutions based on the last budget signed into law.

While Reid has forbidden action, the House has passed budgets as required. Senate Democrats have been highly critical of those budgets, designed by House Budget Committee Chairman Paul Ryan. But under Reid's leadership, Democrats have steadfastly refused to come up with a plan of their own.


http://washingtonexaminer.com/byron-yor ... OxG628zO8B

[Induveca]

Here's an interesting reality of modern manufacturing that American lawmakers/voters aren't realizing for the most part....

Have a guy I know down here in Dominican Republic. He has been very successful manufacturing over the past 30 years, both in the US and overseas. He sold his old company, which was almost 100% overseas manufacturing, moved back to the US for early retirement in 2009.

One year later, and had a new idea and decided he was going to manufacture in the US. Old US partners jumped aboard again, and they went to setup shop in Georgia or a few other southern states. The cost was unheard of, it would have cost him nearly 2000% more to operate in the US, and he would turn out 1/3 of the products vs his old overseas shops. This was basic assembly, he would have had to purchase the components in Asia. That would add even more time. In his overseas shops, it was built and assembled in one factory.

He saw it through for about 9 months, tried to make it work via state and federal tax cuts and got it down to around 6x the cost of doing business in the Caribbean through promised tax cuts and grants. He was willing to go about it purely to stay in the US.

Here's where it all changed. When it was time to acquire strategic partners in the area of patents, and seed funding (you never spend your own money with a great idea), the business, as all businesses do these days immediately had multiple non-Americans in the fold (mostly EU). They all told him he was sitting on a gold mine, but not if he manufactured in the USA. Tax breaks change, governments change, well-meaning mayors/governors change. Basically his 1400% reduction in costs were non-existent. They were empty promises, best case scenario half of them would come through and at odd times. Basing a business off of these financials was suicide. The business was very sound, but the variable of manufacturing in America on such a large scale was foolish with global economic realities.

Despite his good intentions, once a certain amount of equity was given up and a board formed....the company relocated manufacturing overseas. It's hard to attract equity/board members when you're pitch is "I want to stay home and will spend 600% more to do so). He's now back in the Caribbean, and business thriving. He's on pace to do over 1 billion dollars in revenue this year alone. He goes back to Georgia twice a month for 4 days to see some family and shop.

Here's the best (and worst) part. His largest customer is the US Government.

[DCZards]

Indu, I'd be interested in knowing what the higher US costs were the result of...health and safety regs, environmental regs, employee salaries and benefits, all of the above?

And, yes, elected officials and tax laws do change. Democracy is messy and sometimes unpredictable.

[Induveca]

Indu, I'd be interested in knowing what the higher US costs were the result of...health and safety regs, environmental regs, employee salaries and benefits, all of the above?

And, yes, elected officials and tax laws do change. Democracy is messy and sometimes unpredictable.

Salary, land, facilities, parts, shipping, HR, transportation, utilities, taxes, union involvement, government bribes are far less. No need to pay 100-200,000 dollars yearly to DC lobbyists.

For instance, the Dominican Republic gives tax free status to foreign companies and company owners operating out of free zones. They do it to create manufacturing jobs for the local population...it also acts as a sort of
technical university.

It has worked very well, I'm working with former factory workers turned business owners 25 years after implementing the program.

So no taxes, 3500-7000 a year salary per employee vs 25000-40000. Land is free, vs a 3 million dollar facility outside Atlanta. No interview process, literally have tens of thousands of experienced employees here ready to manufacture who appreciate the free zone jobs.

Our workforce education is certainly worse, but it doesn't take a liberal arts
degree to slap mechanical parts together.

Final nail in the coffin is there is a very friendly government here if you network enough, and it's centralized in one city. Easier to grease the wheels if you need favors.

[DCZards]

Salary, land, facilities, parts, shipping, HR, transportation, utilities, taxes, union involvement, government bribes are far less. No need to pay 100-200,000 dollars yearly to DC lobbyists.

For instance, the Dominican Republic gives tax free status to foreign companies and company owners operating out of free zones. They do it to create manufacturing jobs for the local population...it also acts as a sort of
technical university.

Final nail in the coffin is there is a very friendly government here if you network enough, and it's centralized in one city. Easier to grease the wheels if you need favors.

The cost of doing business in the US is no doubt much higher than it is in the Dominican Republic. It's always going to be that way. Pretty much everything here in the US is more expensive and, in most instances, of a higher quality.

The US has high standards as it relates to workers' rights, environmental protection, workplace health and safety, child labor, wages and benefits, retirement/healthcare security, etc. And, as problematic (and expensive) as these standards may be, I think most Americans wouldn't have it any other way. It's part of our "social compact."

I'm convinced that the US can--and will--maintain these core values even as we work our way out of these difficult economic times. The last thing I would want to see us do is to try to compete with a country like DR in what would essentially be a race to the bottom.

Oh, and that "very friendly government" that creates opportunities for "networking and greasing the wheels." I believe that's called corruption and bribery.

[Induveca]

Salary, land, facilities, parts, shipping, HR, transportation, utilities, taxes, union involvement, government bribes are far less. No need to pay 100-200,000 dollars yearly to DC lobbyists.

For instance, the Dominican Republic gives tax free status to foreign companies and company owners operating out of free zones. They do it to create manufacturing jobs for the local population...it also acts as a sort of
technical university.

Final nail in the coffin is there is a very friendly government here if you network enough, and it's centralized in one city. Easier to grease the wheels if you need favors.

The cost of doing business in the US is no doubt much higher than it is in the Dominican Republic. It's always going to be that way. Pretty much everything here in the US is more expensive and, in most instances, of a higher quality.

The US has high standards as it relates to workers' rights, environmental protection, workplace health and safety, child labor, wages and benefits, retirement/healthcare security, etc. And, as problematic (and expensive) as these standards may be, I think most Americans wouldn't have it any other way. It's part of our "social compact."

I'm convinced that the US can--and will--maintain these core values even as we work our way out of these difficult economic times. The last thing I would want to see us do is to try to compete with a country like DR in what would essentially be a race to the bottom.

Oh, and that "very friendly government" that creates opportunities for "networking and greasing the wheels." I believe that's called corruption and bribery.

Zards, I agree 100% with what you said. But I've bribed everyone in DC as well. DC is equally corrupt.

I've seen lobbyists and high ranking officials accept trips / cash / car financing to get things done in DC. Lobbyists are more than happy to get money where it needs to go, and magically whatever you needed passed gets passed.

As my father told me (when peso was 6 to 1 US dollar) a government bribe in DR is 100 pesos, Venezuela 100 dollars, USA 10,000 dollars.

Still holds true. Befriend powerful lobbyists and you'll see how corrupt the US is......

[Zonkerbl]

U.S. lost its comparative advantage in light manufacturing years ago. Don't know what this story tells us.

We are mildly competitive in high tech manufacturing, but only just. We are good at airplanes, software, financial advice, administrating far-flung international corporations, and inventing new stuff.

The folks who are researching ways to use genomic information to cure cancer are located here. Transgenic animal research is done here. Biologically engineered crops were invented here.

Not everything we invent is going to be manufactured here. Ipods are manufactured in China, and virtually all 3G cellphones are imported. We get the royalties and license fees -- not a lot, granted.

Yes, the U.S. is a lousy place to manufacture things. We have a set of policies that says if you are going to provide manufacturing jobs here, they have to be safe and clean and high paying. So we don't have that many manufacturing jobs here.

So all the really good jobs are in high tech industries requiring a fairly advanced degree. That means there are no particularly good jobs for high school grads, and precious few good jobs for bachelors.

So... you can go two ways with that. Try and win a race to the bottom with China, or invest more in education and create good, safe, clean, high paying high tech jobs that we have a competitive advantage in.

And that's a bipartisan issue. Both the Dems and the Republicans want this. Since it requires investment in soft, icky, bleeding heart liberal things like education rather than missiles, I kind of trust the Dems to do it right. But business folks have been lobbying for better higher education since I've been in the biz, which includes 8 years working with Republicans.

[noworriesinmd]

I have to agree that the US is somewhat corrupt.
Money = Access. Anyone who tells you differently does not have enough money.

Did you know you can meet and get your picture taken with ANY President for a fee?
I know because I attended a DNC function, last year, where I was told I could if I met certain goals.
Every politician is available. You might not be able to sway their opinion, but you HAVE access which someone in the Projects does not have. We all heard about fundraisers during the election, everyone there...was there because they PAID.

I bleed Red, White, and Blue. For all our imperfections, there is no place on this planet I'd rather be a citizen of...but all politicians can be met for a fee, because elections cost money.


That said, read up on 3D printing. Manufacturing as we know it will exponentially change in 10 years.
Manufacturing jobs will go back to the US to higher paid workers....the difference is that you'll only need 10% of the workforce you have now.

China and other countries are great for "just in time" manufacturing, but transportation costs are high.
With 3D printing, in the future, you'll be able to manufacturer parts onsite with the part being given to you via software code.

[popper]

U.S. lost its comparative advantage in light manufacturing years ago. Don't know what this story tells us.

We are mildly competitive in high tech manufacturing, but only just. We are good at airplanes, software, financial advice, administrating far-flung international corporations, and inventing new stuff.

The folks who are researching ways to use genomic information to cure cancer are located here. Transgenic animal research is done here. Biologically engineered crops were invented here.

Not everything we invent is going to be manufactured here. Ipods are manufactured in China, and virtually all 3G cellphones are imported. We get the royalties and license fees -- not a lot, granted.

Yes, the U.S. is a lousy place to manufacture things. We have a set of policies that says if you are going to provide manufacturing jobs here, they have to be safe and clean and high paying. So we don't have that many manufacturing jobs here.



So all the really good jobs are in high tech industries requiring a fairly advanced degree. That means there are no particularly good jobs for high school grads, and precious few good jobs for bachelors.

So... you can go two ways with that. Try and win a race to the bottom with China, or invest more in education and create good, safe, clean, high paying high tech jobs that we have a competitive advantage in.

And that's a bipartisan issue. Both the Dems and the Republicans want this. Since it requires investment in soft, icky, bleeding heart liberal things like education rather than missiles, I kind of trust the Dems to do it right. But business folks have been lobbying for better higher education since I've been in the biz, which includes 8 years working with Republicans.

Zonk - Why do you trust the Dems to do education right? Didn't Dems produce "Waiting for Superman" which documented Dem's complicity in the failure of urban public education? Aren't almost all Dem controlled urban school districts in trouble (while spending more per pupil than everywhere else)? Don't the teacher's unions call the shots in these districts and aren't the needs of students subordinated to those of the unions and their political puppets. At least this is the case made by Dems in their documentary, "Waiting for Superman".

[Zonkerbl]

Popper -- correlation does not imply causality. Democrat controlled districts are largely urban, so I'm sure gasoline prices are higher in Democratically controlled areas -- is that somehow the Dems fault?

Urban areas are also where the poor performing schools are, where you have to spend more on subsidized school lunches and more teachers have to teach ESL. Republicans are the party for rich people, so it's meaningless that dollar for dollar education spending is more effective in Republican areas.

I'm not talking about grade school education -- that's a local issue. Feds can't do anything about that (except screw it up with idiot things like no child left behind). I'm talking about graduate level education, making grants and fellowships available for foreign students to come to the US and study, easing visa requirements to make it easier for us to poach high quality tech students from other countries.

[DCZards]

Zonk - Why do you trust the Dems to do education right? Didn't Dems produce "Waiting for Superman" which documented Dem's complicity in the failure of urban public education? Aren't almost all Dem controlled urban school districts in trouble (while spending more per pupil than everywhere else)? Don't the teacher's unions call the shots in these districts and aren't the needs of students subordinated to those of the unions and their political puppets. At least this is the case made by Dems in their documentary, "Waiting for Superman".

Pop, I don't know where you get the impression that "Dems" produced "Waiting for Superman." I believe it was produced by a single wealthy individual and/or a group of individuals. Some of them may have been Dems (and some of them may have been Repubs or Independents). It's a stretch to say it was produced by Dems.

It's a myth that urban schools spend more per pupil than school districts elsewhere. A comparison between what's spent per pupil in Wash., DC and what's spent in, say, Fairfax County would prove that. In fact, the real tragedy with our public school system, imo, is the outrageous inequity in facilities, programs, staffing, etc. between inner city schools and those schools in suburbia.

Where urban districts do spend more, it's usually because it cost a whole lot more to educate low-income, ill-prepared kids than it costs to educate kids from wealthy communities whose parents are able to contribute to their education---both in and out of school.

Teacher unions don't run school districts. Mayors, superintendents, school boards and other elected officials do.

If you look behind the curtain, you’ll see that “Waiting for Superman” was produced and supported by a bunch of folks who want to privatize ALL schools so that they can get their greedy hands on the money in public education. Very few of them really are concerned about the quality of education in urban schools.

[popper]

Popper -- correlation does not imply causality. Democrat controlled districts are largely urban, so I'm sure gasoline prices are higher in Democratically controlled areas -- is that somehow the Dems fault?

Urban areas are also where the poor performing schools are, where you have to spend more on subsidized school lunches and more teachers have to teach ESL. Republicans are the party for rich people, so it's meaningless that dollar for dollar education spending is more effective in Republican areas.

I'm not talking about grade school education -- that's a local issue. Feds can't do anything about that (except screw it up with idiot things like no child left behind). I'm talking about graduate level education, making grants and fellowships available for foreign students to come to the US and study, easing visa requirements to make it easier for us to poach high quality tech students from other countries.

Good points that I agree with Zonk except the comment that R's are the party of the rich. It's true that some R's and most conservatives support the notion that we should live within our means. They/we also support the notion that children benefit from two parent households. There are many other common sense things I could mention but bottom line - I sincerely believe that our country would be much better off if conservative policies were implemented. I understand that you and many others disagree with those policies but their potential efficacy has nothing to do with being rich and poor.

What irks the hell out of me is that in the latest cliff agreement those damn hedge fund managers and people like Buffet, Romney and Soros got off scott free in regard to tax increases. Both parties colluded to ensure that their major donors felt no pain. Disgusting bit of self-serving political machinations.



d

[popper]

Zonk - Why do you trust the Dems to do education right? Didn't Dems produce "Waiting for Superman" which documented Dem's complicity in the failure of urban public education? Aren't almost all Dem controlled urban school districts in trouble (while spending more per pupil than everywhere else)? Don't the teacher's unions call the shots in these districts and aren't the needs of students subordinated to those of the unions and their political puppets. At least this is the case made by Dems in their documentary, "Waiting for Superman".

Pop, I don't know where you get the impression that "Dems" produced "Waiting for Superman." I believe it was produced by a single wealthy individual and/or a group of individuals. Some of them may have been Dems (and some of them may have been Repubs or Independents). It's a stretch to say it was produced by Dems.

It's a myth that urban schools spend more per pupil than school districts elsewhere. A comparison between what's spent per pupil in Wash., DC and what's spent in, say, Fairfax County would prove that. In fact, the real tragedy with our public school system, imo, is the outrageous inequity in facilities, programs, staffing, etc. between inner city schools and those schools in suburbia.

Where urban districts do spend more, it's usually because it cost a whole lot more to educate low-income, ill-prepared kids than it costs to educate kids from wealthy communities whose parents are able to contribute to their education---both in and out of school.

Teacher unions don't run school districts. Mayors, superintendents, school boards and other elected officials do.

If you look behind the curtain, you’ll see that “Waiting for Superman” was produced and supported by a bunch of folks who want to privatize ALL schools so that they can get their greedy hands on the money in public education. Very few of them really are concerned about the quality of education in urban schools.

DCZ - I thought I read that it was a handful of liberals that produced the documentary and were surprised with their findings. Maybe I'm wrong. I'll try to do some more research to find out for sure.

Your point about lousy facilities in urban schools is well taken as is your point about greater student needs compared to suburban districts.

Following data from the Census Bureau (as reported by CNN) on 2010 per pupil spending.

Highest per-pupil spending
Washington, D.C. - $18,667
New York - $18,618
New Jersey - $16,841
Alaska - $15,783
Vermont - $15,274
Wyoming - $15,169
Connecticut - $14,906
Massachusetts - $14,350
Maryland - $13,738
Rhode Island - $13,699

Lowest per-pupil spending
Utah - $6,064
Idaho - $7,106
Arizona - $7,848
Oklahoma - $7,896
Tennessee - $8,065
Mississippi - $8,119
North Carolina - $8,409
Nevada - $8,483
Florida –$8,741
Texas - $8,746

http://schoolsofthought.blogs.cnn.com/2 ... education/

Your point that teacher unions don't run school districts but that Superintendents and Mayors and Councils do is correct except that teacher unions in urban districts run Superintendents, Mayors and Councils.