Robert Reich

Robert B. Reich, a co-founder of The American Prospect, is a Professor of Public Policy at the Goldman School of Public Policy at the University of California at Berkeley. His website can be found here and his blog can be found here.

Recent Articles

The Wrong War

The Financial Times Like generals preparing to fight the old war, the world's central bankers are still obsessed with inflation. They should be looking forward to the real enemy: deflation. Look around the world and what you see are identical policies in favour of trimming public spending, cutting debt, raising interest rates and squeezing money supply. Euroland has made deficit reduction the ticket to admission. The International Monetary Fund still screams "austerity!" at any hint that capital may flee a developing nation. And in the US, the Delphic and venerable Alan Greenspan, the US Federal Reserve chairman, told the Senate banking committee last month that the Fed would continue to evaluate "whether the full extent of the policy easings undertaken last fall to address the seizing-up of financial markets remains appropriate as those disturbances abate". Translated: If we do anything over the next few months, it will be to raise short-term interest rates. The US bond market...

Democrats Are Falling Into the Austerity Trap

Broadcast August 24, 2001 The butcher metaphors of modern management are back: cutting out the fat, slicing to the bone, getting leaner and meaner. Well, all this butchering may slow the slide of stock prices, but it's not a way to build long-term competitive strengths. The fact is, the key competitive assets of most companies these days is their people, not their machines or plants or even their patents, but their employees. Their employees' intellectual capital, knowledge about the companies' products, services and technologies. Their employees social capital, relations they built up over the years with clients and customers. And inside the company, relationships among employees who've become a team. And beyond the intellectual and social capital is what might be called trust capital, the sense among employees that the company will be there for them when times are tough, so that employees are willing to go the extra mile, make that extra commitment because they feel loyal to the...

Surplus Silliness

The Wall Street Journal The Congressional Budget Office, in a report released yesterday, says the government will be forced to take $9 billion from the so-called Social Security surplus in fiscal year 2001 to make ends meet. The news undoubtedly will elicit a new round of fancy-dance explanations from the Bush administration for how it plans to avoid dipping into the Social Security surplus next year, and will add more fuel to the Democrats' charge that the president's tax cut has put Social Security in jeopardy. Expect the decible level to grow when Congress returns to Washington and both sides go to battle over the 2002 budget. Numbers Racket No one ever said political rhetoric over economic policy would edify the public, but we have reached a new low. The plain fact is that the economy has slowed faster than anyone predicted, and so tax receipts are shrinking faster than anyone projected. This is the mirror image of what happened when the economy grew faster than anyone imagined,...

Pandemonium

A s more Americans become disengaged from politics, America's political class has declared civil war. The 2000 election is a case in point. Prior to election day, it was dull, lifeless, and tightly scripted. The candidates fulminated over their differing versions of prescription drug benefits. Half of America's eligible voters didn't even bother voting. After election day, all hell broke loose. Americans didn't suddenly become more fiercely partisan. It was politicians and party loyalists who did, because there was no longer a script. Neither candidate had much to lose by escalating the post-election battle into a no-holds-barred civil war, and each had everything to gain if he won. Politics was exposed for what it has become--a power grab. One result: More exciting television. Pandemonium is a great spectator sport. Far larger numbers of Americans tuned in after election day than before. Chris Matthews told me his ratings were twice as high. CNN and Fox News reached new records...

You can't have it both ways, Al…

The London Observer Al Gore is finally on a roll. But where will it take him? This past week he's been telling Americans 'we've got to put you first' and not 'the ones with connections, the ones with wealth, the ones with power above and beyond what the average family has in this country'. He's for the people, while 'the other side' is for the powerful. It's good old-fashioned hell-fire-and-brimstone political rhetoric. During the Thirties, Franklin D. Roosevelt condemned the 'economic royalists' - America's big businesses that, he said, were stomping on average Americans. In 1912, progressive Republican Teddy Roosevelt blamed the 'malefactors of great wealth' for subjugating the 'little man' of America. In the 1890s, prairie populist William Jennings Bryan (who almost made it to the White House) railed at the bankers and other 'powerful interests' who were 'bankrupting' hard-working people. But this kind of talk hasn't been heard from a Democratic Presidential candidate since the...

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