Robert Whitcomb: Flexible City Planning; Seeking Startups; Single Payer Will Prevail

Robert Whitcomb, Columnist

Robert Whitcomb: Flexible City Planning; Seeking Startups; Single Payer Will Prevail

Robert Whitcomb
"We go in withering July

To ply the hard incessant hoe;
Panting beneath the brazen sky
We sweat and grumble, but we go."


--  Ruth Pitter, “The Diehards’’

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Boston’s new master plan, called “Imagine 2030’’ is refreshingly flexible. It encourages improvements in accessibility and interconnectivity across the city through more reliable public transportation,  better education and  more recreational resources. However, it leaves many of the details and decisions  to private-sector organizations and individuals, with city government acting more as referee and cheerleader and improvements promoted more through economic incentives than through regulations.

Providence officials would do well to study the Boston approach.

 

It’s not a heavily top-down government-run “urban-renewal’’ approach of the wrecking-ball-and-bulldozer sort that did so much damage in many old American cities in the ‘50s and ‘60s. Rather it takes more of a Jane Jacobs (author of The Death and Life of Great American Cities) stance – treating the city as an immensely complicated organism with vibrant and open neighborhoods and walkability as key strengths.

 

The plan has a couple of powerful forces behind it: One is that cities in general are on the upswing; suburbs have lost a lot of their allure. Another is that Greater Boston’s great research and innovation machine, lubricated by its famed higher-education sector and its roles as a major financial center and the capital of New England, will probably keep running indefinitely to pay for the improvements. Let’s hope that more of that money washes down to Providence.

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Wexford's proposed campus
Best of luck to Social Enterprise Greenhouse, a Providence-based local-business accelerator.

 

The Providence region, between the huge dynamos of Boston and New York, has long lagged in business startups. But progress has been made in the past few years. While Rhode Island has only one well-known angel investment firm – Cherrystone Angel Group -- the state is increasingly on the radar in Boston, one of America’s venture-capital centers. Particularly attractive are the Ocean State’s lower costs, its natural and manmade beauty (well, not everywhere) and, in particular, colleges doing  important research and innovation. The state-backed Slater Technology Fund, for its part, provides limited amounts of funding to tech startups.

 

Cambridge Innovation Center’s plan to expand into the new Wexford Science and Technology Center in downtown Providence may help a lot. Kudos to Governor Raimondo’s administration for helping to bring it in.

 

Obviously it also would help if Providence again became more of a big-company headquarters town again, to provide another source of money for local entrepreneurs.

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I think that many, perhaps most Rhode Islanders would be happy to pay a few more dollars  in taxes to hire more people to pick  up the trash strewn along so many roadsides. And clean off the graffiti, too. People going to the National Governors Conference last week must have noticed the squalor, including on the streets near the beautiful State House. Crummy advertising! More attention to catching and prosecuting the people who make this mess would also be appreciated.

 

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I have noticed over the years Providence police officers’ habit of keeping their engines running when they leave  their cruisers to get a coffee or something else. Presumably they want the air conditioning or heat to be at exactly their desired level when they return. They often leave the engines running for long stretches. I guess they don’t care because they don’t pay for the gasoline. But this is polluting, even in the air that Providence’s finest breathe, and a waste of public money. It really ought to stop.

 

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Harvard
The bureaucrats at Harvard University want to ban most private social clubs for students at Harvard College – “final clubs’’(the most socio-economic “elite’’ organizations), fraternities, sororities and the like, alleging that they undermine an idea of “diversity’’ and foment discrimination. The bureaucrats would bar students who take part in these organizations from holding leadership positions at Harvard or getting recommendations for scholarships.

 

This attack on freedom of association (a sibling of freedom of speech) and on the ability to form close and lasting friendships will probably succeed:  After all, being a Harvard student is not obligatory. And, I might add, there are many other colleges where you’d get a considerably better undergraduate education than at Harvard.

 

To become good citizens, and leaders, students would do well to know people in as wide a range of society as possible. But they also need to be able to form bonds within smaller groups for the loyalty and mutual understanding people need. And if you’re  compelled to be “friends’’ with everyone, you’re friends with no one.

 

Harvard College graduates will seek to join or form such groups when they move into the real world. Imperial Harvard will not succeed in transforming human nature.

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Last week, President Trump met with people from a curious mix of companies in part of his Made in America campaign (which doesn’t apply to Trump Organization branded products). The New England companies included, according to Fox News:

 

Connecticut: Sikorsky

 

“Aircraft manufacturer Sikorsky, a division of Lockheed Martin, is known for its production of the Black Hawk helicopter. Sikorsky claims to have built ‘the world’s first practical flight helicopter,’ in 1939.’’

Maine: Hinckley Yachts

 

“What began as a company that built boats for local fisherman in Maine, Hinckley is now a world-renowned builder of premium boats between 29 to 79 feet long.’’

 

Massachusetts: St. Pierre Manufacturing

 

“St. Pierre Manufacturing makes horseshoes and tire chains. It was founded in 1920, inspired by Henry St. Pierre whose car got stuck in the mud when he was driving to a nearby village.’’

New Hampshire: Cider Belly Doughnuts

 

“Located on Moulton Farm, …this company is praised for its fresh, homemade cider doughnuts.’’.

Rhode Island: Narragansett Brewing Company

 

Narragansett Brewery
“The Narragansett Brewing Company is the fifth largest lager beer brewery in New England. The company was founded in 1888 by six local businessmen and produced it first beer in 1890.’’

Vermont: Dubie Family Maple

 

“Located in the heart of Vermont’s Maple Country, this family-owned-and-operated company has been producing Pure Vermont Maple Syrup for 14 years.’’

 

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Many readers have heard about the sociopath Donald Trump’s previously undisclosed second  private talk with Vladimir Putin at the recent G20 conference. Many probably didn't know that Trump didn’t have with him an American translator – an extraordinary situation!  They only used Putin’s translator. I’m sure that’s because Trump didn’t want anyone to testify later on what they talked about.

 

I suspect that in the chat, the Kremlin’s thug-in-chief reminded Trump, with perhaps only a wink, of the dirt that he has on our corrupt president and the vast sums that have gone into the Mafia-like enterprise called “The Trump Organization.’’

 

It is chilling that the Electoral College has delivered the Executive Branch to a family and their retainers who are effectively mobsters and in thrall to a foreign dictator.

 

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Single payer?
Since the current  version of the Republican Party is most passionate about making the plutocracy richer, with tax cuts the preferred vehicle – it’s not surprising that  many of its leaders hate the Affordable Care Act. That’s because it put new taxes on the affluent to help pay to expand health-care coverage. To be fair, I should also note that many Republicans on principle don't think that the government should have any role in health care. Rather, they would leave it all to the “magic of the market’’ and the kindness of families.

 

But the rich folks who own the party and run it for their own benefit might consider the long-term effects of opposition to helping the poor and middle class – social disorder and a less prosperous nation.  A growing impoverished underclass does not bode well for America’s future.

 

The Affordable Care Act, while far from perfect, was meant to do a little leveling of the playing field by trying to ensure that poorer people had broad access to healthcare and not just hospital emergency rooms, whence the rest of us indirectly get the bill through taxes to help reimburse hospitals for providing  mandatory “free care’’ to anyone who shows up.

 

For years, the nonrich have seen their inflation-adjusted wages drop as more and more of the country’s wealth has gone into dividends and other investment income instead of into wages. At the same time, senior executives of for-profit and “nonprofit” (i.e., not taxed) enterprises have gotten ever more astronomical compensation. (This very much includes health care: Look at hospital executives’ salaries!).

 

And company senior execs and boards have ditched defined-benefit pensions for their employees in favor of much less reliable defined-contribution vehicles,  such as 401(k)s, even as employers have cut way back on how much they contribute to cover employee health-insurance costs.

 

All this has severely hurt the purchasing power of average Americans, which is one reason that GDP growth has generally been very low, or worse, since about 2001, when George W. Bush and friends pushed through massive tax cuts for the rich – i.e., for themselves.

 

The plutocrats who now run Washington might consider that a healthy country is a more productive than one with millions of untreated or under-treated  people. America has the worst health outcomes in the West  despite its great wealth (albeit wealth that’s increasingly concentrated). That and the increasing likelihood of mass social disorder as more and more Americans realize how much the system is rigged against them might get the attention of America’s increasingly sequestered rich. It would be to their interest to back universal health care and yes, a rise in the federal minimum wage.

 

By the way, some conservatives have gloated about a University of Washington study that seemed to suggest that Seattle’s raising its minimum wage to $15 an hour has hurt the local economy. In fact, the data were analyzed inaccurately. Seattle is the fastest growing big city in the nation and has a 2.6 percent unemployment rate. Further, jobs in food service, where much of the debate about the minimum wage has been concentrated, continue to grow at a rate far exceeding the nation’s. One reason: More people have more money to buy stuff in the Seattle area.

 

America is not overtaxed. It’s  somewhat undertaxed, as seen in our crumbling infrastructure and frayed social services. That is, it’s undertaxed compared to what most Americans say they want in public services and infrastructure and what most developed nations see as essential public investments to remain competitive. God knows, we’ve let our infrastructure fall apart.

 

Consider that the Organization  for Economic Cooperation and Development ranked the U.S. as fourth lowest in overall tax burden at 25.9 percent, considerably less than the average of 34.2 percent for the 35 nations in the OECD. And because of tax-avoidance laws that favor the wealthy, some very rich Americans  pay very little.

 

Our tax laws give a great deal of preference to investment over wage and salaried work. The idea is that such incentives encourage risk taking and innovation but in fact these investments are mostly in old stock in existing companies, not in startups.

 

None of this is to suggest that corporate income taxes should be raised. Indeed such taxes should eliminated. They cause great inefficiencies within companies and fuel corruption in Washington as corporate lobbyists jockey to manipulate the tax code to the best advantage of the companies.

 

So how to make healthcare work in America? The first thing is to accept that the most equitable and cost-efficient system is single payer –“Medicare for All’’. So we should extend Medicare to everyone to cover important treatment. For less important stuff, people can buy supplemental insurance in the private sector, as in Europe. Medicare’s administrative overhead is 2 percent, private insurance companies’ over 20 percent – gotta pay  insurance execs their  multimillion-dollar salaries and put out all those ads. And of course the shareholders need to be taken care of, too.

 

You’d also have to address the cost issue by letting the new and expanded Medicare negotiate with drug companies to get  lower prices.

 

 

Health & Human Services Secretary Tom Price, M.D.,  a fox in the henhouse, wouldn't like that; he made piles of money by investing as a congressman in health-related companies.  A recent example from The Wall Street Journal: “ProPublica reported that on the same day his stockbroker bought him up to $90,000 of stock in six pharmaceutical companies, Price arranged to call a top U.S. health official, seeking to scuttle a controversial rule that could have hurt the firms’ profits and driven down their share prices.’’  Honest people are rare in the Trump orbit and seemingly nonexistent in the inner Trump mafia of family and retainers.

 

 

Extending Medicare to all would presumably mean higher taxes but it  also would mean that Americans would not get stuck with private insurers’ astronomical premiums.  Overall, they’d pay less than they’re paying now. And it would all be much, much simpler to deal with than the current red-tape-upholstered private-sector insurance labyrinth/nightmare.  Of course, among the people who would  pay higher taxes are U.S. physicians, who are by far the highest paid in the world, and too many of whom have become far more interested in maximizing their already high incomes than in their patients, and ditto hospital executives.  The size of their compensation, along with sky-high U.S. drug prices, are major reasons why American health care is so much more expensive than health care in the rest of the Developed World – and with crummy medical outcomes to boot.

 

Given the power of insurance and some other health-care sector lobbyists in Washington, it will of course be very difficult to move to single payer. But I believe that the current hybrid “system’’ will eventually collapse.

 

The Obama administration, fearful of taking on the insurance companies, included  many originally GOP ideas in the Affordable Care Act. This included the individual mandate to buy insurance, whose aim was to get as many people as possible onto the ACA insurance exchanges in order to create a healthy risk pool, with  young healthy people with few claims offsetting the cost of the  heavy claims of older, sicker ones.

 

But the penalty for not buying insurance has been too laughably small to get an adequate number of younger, healthier people into the pool. Meanwhile, Republican threats to destroy the insurance exchanges by killing subsidies to insurers (“cost-sharing’’) for covering poorer people, have led insurers in some places to leave the exchanges. Funny how so many folks with cars who complain about having to buy health  insurance forget that buying car insurance is mandatory.

 

When we go to single payer the country will become more productive and stable as many more Americans can go about their business without worrying whether they will lose their health care. This will be good news even for the rich enjoying concierge care.  And certainly for employers, all of whom could finally escape the  Developed World’s worst health-insurance “system’’.

 

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An example of why the Democratic Party has problems in many places is Oregon’s new abortion law, which will make all insurers in the state cover abortions for pretty much any reason and at no cost to the women having them. The only organizations that can get an exemption from what will be America’s most enthusiastic abortion-rights law are nonprofits whose main purpose is “the inculcation of religious value’’ and serving and employing those who share their religious beliefs.

 

Previous law made abortion readily available in Oregon. This one goes a bit too far on this very difficult and sensitive matter.

 

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Maureen Callahan, in her New York Post column, had an entertaining piece that said: “For anyone still wondering why Middle America’s so angry, just take a look at the guest list for the annual bash thrown by Washington Post heiress Lally Weymouth, currently the paper’s senior associate editor, in the Hamptons last week.

 

“It was full of politicians and power brokers — the ones who pantomime outrage daily, accusing the other side of crushing the little guy, sure that the same voter will never guess that behind closed doors, they all get along.

 

Ivanka Trump
“Ivanka Trump and Jared Kushner partied with billionaire Democratic donor George Soros, who rubbed shoulders with billionaire GOP donor David Koch.

 

“Chuck Schumer and Kellyanne Conway were there. So were Democratic Rep. Carolyn Maloney, Ronald Lauder, Carl Icahn, Joel Klein, Cathie Black, reporters Steve Clemons and Maria Bartiromo, columnists Richard Cohen and Margaret Carlson, Secretary of Commerce Wilbur Ross and Secretary of Transportation Elaine Chao, Ray Kelly, Bill Bratton and Steven Spielberg.

 

“Oh, and Lally’s uncle, former Gov. and Sen. Bob Graham, and cousin Gwen Graham, who’s currently running for her dad’s old job as Florida’s governor.

 

“Weymouth’s party is the latest reminder that for all the bruising rhetoric, the constant polls showing a deeply divided America and the most polarizing president in history, our battle isn’t red vs. blue, right vs. left: It’s about the 1% vs. the rest of us. They laugh as we take their political theater for real.

 

“’If you believe any of these people care about you, you are mistaken,’’ Samuel Ronan {a Democratic congressional candidate in Ohio} tweeted. “The Hamptons might as well [be] another planet.”

 

Actually, some, perhaps most of those people do care about you in an abstract or even idealistic way.  Some (not the Trumps) give a lot of money to charity. They’d even like to help you a bit, albeit not if it means any decline in their status. But as the segmentation of American society by wealth/class accelerates they’ll find fewer and fewer ways to talk to you and find out what you’re feeling.

 

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Robert Finch’s new book, The Outer Beach: A Thousand-Mile Walk on Cape Cod’s Atlantic Shore, is an often stirring stroll through the geological, meteorological, zoological, botanical and human aspects of this sometimes wild, sometimes gentle  and always haunting strip of glacial debris.


 


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