News Releases

G7’s Minimal Corporate Tax Proposal; Case for a Financial Transaction Tax

A group of economists and others have just released a letter to the G7 urging the adoption of a Financial Transaction Tax, see PDF.

The letter states: “We believe that a global FTT would eventually raise substantial revenue for many countries, including for the G7. But given the emergency situation in poor countries right now, our focus here is on them. Given the dominance of G7 financial markets, a G7-wide FTT could quickly start to provide at least $50 billion a year of emergency finance to fund vital public works and longer-term investments in developing countries, especially struggling young democracies.”

The signers include James S. Henry, global justice fellow at Yale and senior advisor, Tax Justice Network, who organized the letter; James K. Galbraith professor of economics at the  Lyndon B. Johnson School of Public Affairs, The University of Texas at Austin; Sarah Anderson, Global Economy Project director at Inequality.org co-editor, Institute for Policy Studies; Pedro Biscay, former director, Central Bank of Argentina Buenos Aires; Ralph Nader, consumer advocate; William K. Black, associate professor of economics and law, University of Missouri-KC; Patrick Bond, professor of government, University of the Western Cape Cape Town, South Africa.

The signers write that while they “applaud the G7’s support for a minimum global corporate income tax (CIT) rate for multinational corporations,” the G7’s “current proposals would do little for poorer countries. Indeed, they would actually reinforce the unfair bias of international tax rules in favor of the richest countries, which host most of these corporations. If this were the only collective tax reform that the G7 undertakes right now, therefore, a huge opportunity will be missed — the chance to help developing countries recover from this historic tax injustice as well from as the pandemic, and to help finance public investments and advance the cause of international tax justice.”

The group suggests a very small tax: “a 0.1 percent transactions tax on all stock trades, paid for by investors located anywhere in the world who transact through G7 public exchanges.”

Still, substantial funds could be raised: “In 2020, for example, NewYork’s top two exchanges, the NYSE and the NASDQ, registered nearly $60 trillion in trades, nearly half the total volume of the world’s 85 stock exchanges.”

They add that to the “extent that the FTT does ‘pinch’ certain high-frequency traders, this may actually be a good thing. It enables G7 countries themselves to tackle ‘the finance curse,’ the bloated, unproductive and extractive part of high finance. It promotes longer-term investing and discourages casino-like stock speculation. …

“This nearly-perfect tax could channel $billions from a few hundred thousand wealthy folks at the top to tens of millions of people at the very bottom, whose very lives may depend on it. The FTT is so minimal and frictionless that it is not even noticed by most of those who pay it. It is hardly perceptible at all, especially compared with, say, New York City’s 8.875 percent retail sales tax or Europe’s double-digit VAT taxes. But in the right hands and if well spent, the positive impacts of all this tax revenue on the reduction of human suffering will be very perceptible. …

“FTTs also dramatically boost financial transparency and help to combat money laundering and corruption — as Kenya recently discovered when its new FTT surfaced a huge amount of ‘funny money’ washing through Nairobi’s stock exchange.”

Available for interviews:

JAMES HENRY, jsh11963@gmail.com@submergingmkt
Henry is Global Justice Fellow at Yale University, senior advisor to the Tax Justice Network and managing director at the Sag Harbor Group.

Relatives of Chicago Police Victims Oppose Ex-Mayor Rahm Emanuel as Ambassador to Japan

Victims and relatives of victims of police brutality in Chicago while Rahm Emanuel was mayor released a joint statement Thursday against the reported plan by President Biden to nominate Emanuel as the U.S. ambassador to Japan.

“During his eight years in office, Emanuel displayed contempt for communities of color,” says the statement. “He showed callous disregard for terrible losses suffered by the families of those who were killed or brutalized by officers of the Chicago Police Department.”

The 28 signers of the statement declared: “The possibility that Rahm Emanuel will become the U.S. ambassador to Japan is abhorrent to those of us who continue to mourn the loss of our loved ones due to police violence that he aided and abetted as mayor of Chicago. … No president who is truly serious about stopping brutality and murders by police would nominate Rahm Emanuel for an important government post. …. Rahm Emanuel became a symbol of lethal disrespect for Black lives. Making him a U.S. ambassador would make the U.S. government a similar symbol.”

Emanuel was mayor of Chicago from 2011 to 2019.

Five of the signers are willing to talk to journalists:

They are reachable via DELMARIE COBB, dlcobb@thepublicityworks.net

DOROTHY HOLMES
Holmes is the mother of Ronald “Ronnie Man” Johnson, who was shot in the back by CPD the same week that Laquan McDonald was killed in 2014. Video featuring Ms. Holmes is being released today. She says: “Rahm Emanuel covered up the murder of my son.”

AREWA KAREN WINTERS
Winters is the aunt of Pierre Loury, killed by CPD in April 2016. Pierre was shot in the back as he was climbing a fence fleeing from the police. Video featuring Ms. Winters is being released today.

EMMETT FARMER
Farmer is the father of Flint Farmer, killed in June 2011. Police officer Gildardo Sierra shot him in the back three times as he lay on the ground. He didn’t have a weapon. Sierra was involved in multiple shootings as an officer.

KENYATTA BRAND
Brand is the sister of Rekia Boyd, who was killed by off-duty officer Dante Servin in 2012. Servin was drinking, then driving when he saw young people in the park. He shot at one of the young men, killing Rekia. State’s attorney Anita Alvarez undercharged him — manslaughter instead of first or second degree murder — and then the judge pronounced a mistrial instead of requiring the state to charge him correctly.

MARTINEZ SUTTON
Sutton is the brother of Rekia Boyd.

Expert: NATO Expansion Cause of Conflict with Russia

DAVID GIBBS, dgibbs@email.arizona.edu
Gibbs is a professor of history at the University of Arizona who has written extensively on NATO.

He said today: “As we approach the 2021 NATO Summit meeting, it is worth recalling how much the alliance has weakened world security since the end of the Cold War, by inflaming relations with Russia. It is often forgotten that the cause of the current conflict arose from a 1990 U.S. promise that NATO would never be expanded into the former communist states of Eastern Europe. Not ‘one inch to the East,’ Russian leaders were promised by the U.S. Secretary of State at the time, James Baker. Despite this promise, NATO soon expanded into Eastern Europe, eventually placing the alliance up against Russia’s borders. The present-day U.S.-Russian conflict is the direct result of this expansion.”

Peru Election Crisis?

Reuters reports: “Peruvian socialist Pedro Castillo widened his lead against right-wing rival Keiko Fujimori in the country’s presidential vote on Monday, but she said she will not concede yet and alleged ‘irregularities,’ although without showing much proof.” Reuters also reports: “Peru’s presidential election vote count ticked closer to the end on Tuesday, but a slender margin between the two polarized candidates, contested ballots and accusations of fraud mean the winner may take a lot longer to confirm.”

FRANCESCA EMANUELE, [currently in Peru] emanuelefrancesca@gmail.com
Emanuele is a Peruvian sociologist, born and raised in the province of Ica, four hours from Lima. She is currently a research assistant at American University in Washington, D.C., where she is pursuing doctoral studies in Anthropology. For the past 15 years, her articles have been published in numerous Peruvian newspapers. She is currently a regular columnist for the progressive Peruvian publication, Wayka. Prior to academia, Francesca was the correspondent for Telesur in Washington D.C., and a communications director for the Peru-based non-profit Promsex, which advocates for LGTBI rights and women’s reproductive rights. Her most recent piece in English, on the coup in Bolivia, was published by the magazine Red Pepper.

Democratic Socialists of America and Progressive International have been publishing statements about the elections. Both are in Peru as electoral observers.

How Worker Co-Ops Weathered COVID-19 by Prioritizing People Over Profits

JAISAL NOOR, jaisal@therealnews.com, @JaisalNoor
Noor, a senior reporter at Real News Network, just released a 26-minute documentary that explores how worker-owners at eight cooperative run businesses weathered the pandemic, “Worker cooperatives prove your job doesn’t have to be hell.” Noor recently appeared on Means TV and Hill TV’s “Rising” to discuss his findings.

“Pandemic profiteers increased their wealth by over $1.6 trillion dollars during the pandemic, while frontline workers risked their lives for low pay and dangerous working conditions,” Noor said. “Retail online giant Amazon even unveiled a ‘therapy box‘ for workers experiencing stress from high workloads and unreasonable expectations. Meanwhile, the small but growing sector of worker-run cooperatives is demonstrating another way is possible: workplaces that operate democratically and share profits. Because the workers are the owners, they aren’t going to sacrifice themselves for profit,” Noor said. As the Biden administration talks of wanting to “Build Back Better,” Noor explores the lessons learned from eight cooperative businesses in four states.

Noor added: “Worker cooperatives distribute decision-making power, profits and risk. Data indicates that during the pandemic, worker cooperatives were less likely to lay off staff and often pivoted their business models so they could continue to operate while protecting their workers and the public. The country’s largest co-op, Cooperative Home Care Associates, partnered with textile cooperatives to provide their workers with PPE while other home care agencies frequently failed to do so. Baltimore’s majority Black-owned Taharka Brothers Ice Cream lost 70 percent of their revenue during the lockdown, but quickly recovered by shifting to a home-delivery model. And a growing number of businesses that closed during the pandemic are reopening as worker-cooperatives, which have proved to be a more sustainable model.”

The documentary, which Noor produced with support from Solutions Journalism Network, also explores the limitations of employing the cooperative model in the U.S.’s corporate capitalist system. “While cities like Baltimore offered Amazon billions in incentives in exchange for building a headquarters, it has invested a fraction of that in local worker co-ops. Banks also typically don’t lend to co-ops, so a network of revolving loan funds across the country has been created to fund worker co-ops, and provide workers with technical assistance to help create sustainable business models. None of the 60 worker co-ops that work with Seed Commons’ revolving loan fund closed permanently during the pandemic.”

The documentary is licensed through Creative Commons and can be republished and excerpted with attribution to The Real News Network; additional segments are available here.

Biden $750 Billion Pentagon Budget Called “Excessive”

The Biden administration, in a “Friday news dump,” released its Pentagon budget late last week.

WILLIAM HARTUNG, whartung@internationalpolicy.org
Hartung is director of the Arms and Security Program at the Center for International Policy.

Following the release of the budget, he said: “At over $750 billion, the Biden administration’s proposal for spending on the Pentagon and related work on nuclear weapons at the Department of Energy is both excessive and misguided. At a time when the greatest challenges to human lives and livelihoods stem from threats like pandemics and climate change, sustaining Pentagon spending at over three quarters of a trillion dollars a year is both bad budgeting and bad security policy.”

Hartung’s recent pieces include “Memorial Day Can’t Obscure Biden’s Excessive Pentagon Budget” for The National Interest and “Two Weapons That Shouldn’t Be In The Pentagon’s New Budget” for Forbes.

He added: “Continued spending on unnecessary weapons systems like a new Intercontinental Ballistic Missile ($2.6 billion) and the troubled F-35 combat aircraft ($12 billion) represent budgetary and policy malpractice, diverting billions of dollars from other urgent national priorities. …

“The identification of China as a ‘pacing challenge is not an adequate justification for current, exorbitant levels of spending. The challenge posed by China is primarily political and economic, not military. And the United States already spends nearly three times on its military what China does, and has 13 times as many nuclear warheads in its stockpile.”

Is a Network of Donors Neutralizing Peace Activism?

DAVE LINDORFF, dlindorff@gmail.com
Lindorff is an investigative journalist who just wrote the piece “Peace-washing: Is a network of major donors neutralizing activism in the peace movement?” for Salon.

He writes: “Consider the liberal response to the Biden transition team floating Michèle Flournoy’s name as a potential secretary of defense. Instead of outrage at the idea of someone who had spent the previous four years helping arms contractors win business with the Trump Pentagon and who is an advocate for tough, even aggressive stances towards Russia, China and Iran, we saw an open letter of support signed by 29 key people active in the peace and arms-control arena. Signatories included Joe Cirincione, former president for 12 years of the Ploughshares Fund, along with Tom Collina, Michelle Dover and Emma Belcher of that same well-endowed grant-offering organization. They were joined by the likes of Tom Countryman and Daryl Kimball of the Arms Control Association, Rachel Bronson of the Bulletin of Atomic Scientists, Ilan Goldenberg of the Center for New American Security, Joan Rohlfing of the Nuclear Threat Initiative and others. …

“Interestingly though, while serious opposition coalesced among anti-militarism, anti-revolving-door people and groups in the Flournoy case, her WestExec Advisors co-founder Antony Blinken, nominated as secretary of state, sailed through his nomination and hearing process. This despite Blinken’s record as an enthusiastic interventionist while serving in the Obama administration as deputy national security advisor and later as deputy secretary of state, and despite his profiting off his connections as a WestExec adviser to arms makers after leaving office.”

MATTHEW HOH, matthew_hoh@riseup.net
Hoh is a senior fellow at the Center for International Policy. Until his resignation five years ago, he was a board member of Council for a Livable World, one of the larger national security/arms control organizations in the Peace and Security Funders Group (PSFG). Hoh tells Lindorff that while he has no inside information about the funding policies of the funding consortium or its members, “The assumption that the big peace and national security funding groups are taming the peace movement is a correct one.”

He explains: “When you have a bunch of organizations in a group like that, and some of them are really mainstream vanilla like Open Society, you’re going to see the whole organization and its member groups moderate their positions and their funding policies to the lowest denominator. These big groups, especially the ones that also act as holding pens for people in the foreign policy area who have to leave government employment when a Republican administration comes in, and use them as references when looking for government jobs under a new Democratic administration like this one, don’t want to be funding groups that mount protests in House or Senate committee hearings or try to arrest [former Nixon Secretary of State] Henry Kissinger for war crimes.”

Hoh says he recalls comments being made while he was at CLW about organizations receiving grants needing to “ease up” on their rhetoric or protest actions, but doesn’t recall that kind of conversation moving beyond CLW to the collective PSFG membership. But he also says, “I think the issue of putting pressure on activist groups has deepened over the last 10 years.” He adds, “The best evidence that there is pressure on activists to tone down is the way you’re finding so few leaders of groups that get funding from PSFG member organizations willing to speak for this article on the record.”

Research for Lindorff’s article was funded by a grant from the ExposeFacts program of the Institute for Public Accuracy.

Colombia: La Resistencia

FORREST HYLTON, [currently in Brazil] forresthylton@gmail.com
Hylton teaches history and politics at the Universidad Nacional de Colombia-Medellín. He just wrote the piece “La Resistencia” for the London Review of Books.

He writes: “Long one of Latin America’s most conservative countries, Colombia is undergoing a sea change. The second general strike in as many years evolved rapidly into a nationwide urban insurrection. ‘La Resistencia’ has endured for a month in the teeth of ferocious repression. …

“Soon after the protests started on 28 April, the proposed tax reform package that had triggered the strike was withdrawn, proposed healthcare reforms died in committee, and the finance minister and the foreign minister were forced to step down. There were (toothless) calls for dialogue and de-escalation from the international community. Yet the overwhelmingly non-violent protests have continued, as has the government’s response using deadly force.

Ninis (young people without education or job prospects) from urban peripheries have been the leading force on the barricades and they have faced the brunt of police terror — some of it captured on cell phone videos, including sexual assault, torture and murder — in Bogotá, Medellín, Pereira, Cartago, Buga, Tuluá, Cali, Popayán, Pasto, Bucaramanga and Barranquilla. They and their families account for perhaps half the population, and on the rare occasions they are interviewed, they say things like: ‘We have no future because they have taken everything from us, even fear. We have nothing left to lose.’ This was already true before Covid-19 hit, but lack of basic income support during the pandemic has made daily life impossible.”

Facebook Collaboration with Israeli Military “Beyond Outrageous”

NADIM NASHIF, nadim@7amleh.org@7amleh
DANI NOBLE, via Sonya Meyerson-Knox, sonya@jewishvoiceforpeace.org, @jvplive
Nashif, a Palestinian living in Haifa, is co-founder of 7amleh (pronounced Hamleh), the Arab Center for the Advancement of Social Media, a non-profit organization that advocates for Palestinian digital rights. Nobel is campaign organizer for Jewish Voice for Peace.

The two groups are signers of a letter generated by the new initiative FacebookWeNeedToTalk.org along with a host of other groups including Access Now, the Center for Constitutional Rights, Fight for the Future and BDS France:

“As Palestinian residents defend their homes in Jerusalem from forced dispossession by the Israeli government and state-sanctioned Zionist settler groups, their calls for support have received widespread international attention — inspiring social media campaigns and mass protests around the world. This international outcry only grew after the Israeli military attacked Ramadan worshippers at al-Aqsa mosque and started brutally bombing Palestinian civilians in the Gaza Strip …

“Facebook executives’ decision at this moment to directly collaborate with Israeli Defense and Justice Minister Gantz on content moderation, without appropriate parity of government engagement until prompted by civil society, is beyond outrageous. …

“In addition, the numerous reports of removal or chilling of political speech that several of our organizations have received over the past two weeks, combined with the report released by 7amleh last week [‘The Attacks on Palestinian Digital Rights,’ PDF] that includes 429 reported incidents from Instagram and Facebook, raise concerns about Facebook’s relationship with the Israeli Ministry of Justice’s extra-legal Cyber Unit. The fact that since May 6 there has been widespread removal of Palestinians’ content or supportive content (including removal of content and deactivation of accounts or pages based on Community Standards violations, as well as the mass removal of Instagram stories) that after review have been restored for lack of any violation, indicates that Facebook is perhaps voluntarily agreeing to takedowns recommended by the Israeli Cyber Unit. This unclear relationship between Facebook and the Israeli Cyber Unit is concerning, as it is not subject to any formal governmental or legal process.”

“Ceasefire” Does Not Mean Israeli Violence Has Stopped

SAREE MAKDISI, makdisi@humnet.ucla.edu, @sareemakdisi
Makdisi’s books include Palestine Inside Out: An Everyday Occupation. He is professor of English and comparative literature at UCLA. His pieces include “Apartheid” for Critical Inquiry. He recently wrote the piece “The Nakba Is Now” for The Nation.

He said: “Israel is not dropping bombs. But it is still besieging Gaza; still smothering Palestinian life in the West Bank and East Jerusalem; still repressing its second-class Palestinian citizens; still violently barring the refugees’ right of return. This racial violence must also end.

“Israeli police on both sides of the 1947-67 line are raiding Palestinian homes and dragging people off to dungeons. The line distinguishing ‘Israel’ from ‘the occupied territories’ is meaningless: the same racial violence grips both sides of the line.

“A ceasefire in Palestine means we’re back to the slow suffocation of apartheid and brutal military occupation. As Dickens said in a different context, it’s like being drowned by drops, stung to death by single bees. Slow violence, everyday occupation, is still violence.”

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