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Friday, January 4, 2008
The Logic of Bloomberg
Skepticism is erupting in the national papers in respect of our enthusiasm for a presidential run by Mayor Bloomberg. The Wall Street Journal yesterday, in a lead editorial, said it wasn't aware of any cause or idea that Mr. Bloomberg represents that the main parties have ignored, and asked, "which of the 50 states would Mr. Bloomberg be able to win to deny one of his competitors an electoral college majority?" On the Web site of Commentary, Dan Fish wrote, "What I can't understand is why the NY Sun has been flogging this frivolous idea. The Sun presents itself as a platform for a serious non-leftist view of events, offering opinion and news from what could generally be described as a neoconservative perspective . . . On almost every issue, however, Bloomberg offers nothing but establishment-left orthodoxy, even if it is a leftism of the corporate-friendly Schumer-Dodd-Corzine-Feinstein variety."
Let us offer some answers by gently referring our friends at the Wall Street Journal to their own editorial page. There, in an opinion article published November 1, 2006, under the byline of one Michael Bloomberg, New York's mayor wrote, "The total value of securities class-action lawsuits in the U.S. has skyrocketed in recent years, to $9.6 billion in 2005 from $150 million in 1997. The U.K. and other nations have laws that far more effectively discourage frivolous suits. It may be time to revisit the best way to reduce frivolous lawsuits without eliminating meritorious ones." In another opinion article, published on the Journal's editorial page on May 24, 2006, Mr. Bloomberg wrote that immigration is the "critical domestic issue" of the decade, and he wrote of the need for an immigration policy that will support economic growth by increasing the number of visas for immigrant workers."
Seems to us that neither the Democrats nor the Republicans this season are running on a pro-growth platform on immigration and tort reform of the sort that Mr. Bloomberg sketched in the Wall Street Journal and that the Journal's own editorial columns have championed for decades. If Senator McCain emerges as the Republican nominee things may be different, but Governors Huckabee and Romney and even Mayor Giuliani, who had as mayor been one of the most eloquent advocates of immigration, have turned needlessly against a pro-growth immigration policy in the primary season. The Democrats seem uncomfortable discussing the issue. The Democrats and Republicans in Washington failed to pass an immigration bill, a default that Mr. Bloomberg's pollster Douglas Schoen writes in his forthcoming book, "Declaring Independence," "would give a third-party candidate an advantage in the southwestern states as well as Florida, California, and Texas with their large immigrant populations."
As for civil litigation reform, the Democrats, and not only Senator Edwards, are captives of the trial lawyer lobby. But can you think of a Republican presidential candidate who has been speaking out about the issue or airing television commercials on it or building a mandate for change on it or even writing, as Mr. Bloomberg did, an opinion piece for the Wall Street Journal about it? Even if Mr. Bloomberg has his streaks of liberalism — as he does — his ability to finance his own campaign independently of the trial lawyers money machine is no small matter.
These two issues — pro-growth immigration policies and reining in frivolous securities litigation — are important elements of what one might call the neoconservative case for a Bloomberg candidacy. But they aren't the only legs of that case. Mr. Bloomberg's New York Police Department has taken an aggressive stance against Islamic extremist terrorism, launching undercover sting operations. He and his famous police commissioner, Ray Kelly, have done so with markedly little swagger, while quietly breasting condemnation from leftists posing as civil libertarians as well as some Arab-American and Muslim groups. The mayor denied antiwar protesters Central Park during the Republican National Convention and then arrested them en masse when they became disruptive.
Mr. Bloomberg, by the way, stood up for President Bush's nominee to be ambassador at the United Nations, John Bolton, against Democratic opposition, calling the opposition to Mr. Bolton "an outrage," "a disgrace," and "a cheap political stunt." Said the mayor, "I think countries like America and Israel will suffer because they won't have John Bolton there." And he did this even while courting the United Nations to stay in New York. Mr. Bloomberg backed Mr. Bush against attempts by Democrats in Congress to announce a timeline for withdrawal in Iraq, calling such legislative efforts "untenable" and irresponsible. He has resisted attempts to water down the work requirements in Mayor Giuliani's welfare reform. He has imposed counter-terror bag, package, and briefcase searches in the subways, fighting off a lawsuit by the New York Civil Liberties Union.
As for the electoral college math, it's pretty simple. Mr. Bloomberg takes his home state of New York (31 electoral votes). He takes his original home state of Massachusetts, where his mother still lives, and which will understand Mr. Bloomberg as a William Weld, liberal on social issues but tough on crime and spending type (12 electoral votes). He takes Florida, to which his daughter has ties and which has 27 electoral votes; he does it on his immigration stance, support from elderly Jewish voters in Broward and Palm Beach counties, and a surprise endorsement from Governor Jeb Bush, who has worked with Mr. Bloomberg — and his education chancellor, Joel Klein — on education issues. He takes California, with its 55 electoral votes, on the strength of an endorsement from independent-minded Governor Schwarzenegger.
It wouldn't surprise us were Mr. Bloomberg able to pick up New Jersey, with its 15 electoral votes, on the strength of the spillover of his reputation as a New York mayor across the Hudson. He picks up Connecticut and its seven electoral votes on the strength of an endorsement from Senator Lieberman and more spillover from the New York press and broadcast market. He picks up Pennsylvania, with 21 electoral votes, on the strength of an endorsement from Senator Specter and strong support in the Philadelphia Main Line suburbs. He picks up the new technology belt of Virginia (13), Washington state (11), Georgia (15) and North Carolina (15), on the strength of his accomplishments as a technology entrepreneur. He picks up Minnesota (10), which elected an independent, Jesse Ventura, as governor a few years back.
Texas's 34 electoral votes, on the basis of the immigration issue and the tech belt around Austin — and the endorsement of Ross Perot — would bring Mr. Bloomberg to a total of 266. Arizona and its 10 electoral votes put Mr. Bloomberg over the top on the strength of Mr. Bloomberg's choice of Senator McCain as his running mate (a match made by Henry Kissinger) after Mr. McCain loses the Republican presidential nomination to Governor Huckabee. And that doesn't even take into account Maine, Colorado, or Tennessee, all of which are winnable for Mr. Bloomberg.
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This may be overly rosy, even improbable, but it's no more improbable than the prospects of the other candidates who've been mauling each other in the cornfields of Iowa. We have not endorsed Mr. Bloomberg, just encouraged him to run, and we can see elements to admire in many of the candidates on the Republican side, particularly Mayor Giuliani and Governor Romney, if one can get past their pandering at the moment on immigration, and Senator McCain, if one can get past his assault on the First Amendment via a law that bears his name and regulates campaign speech.
No newspaper in this country has criticized Mr. Bloomberg more bluntly than has this one — when we've thought he was wrong. And we certainly disagree with him on a number of issues, from taxes to guns to federal judges. His comment this week that America needs to "rebuild the relationships that the country has around the world or used to have" is ill-informed and a cheap shot in the wake of the warm visits Mr. Bush has recently had from the newly elected pro-American leaders of France and Germany. But many of those laughing at the prospect of a Bloomberg presidential run also found unlikely the idea that a self-financed Republican who had never before held public office could be elected mayor of heavily Democratic New York City and then be re-elected in a landslide. And they may look at Mr. Bloomberg's prospects differently if the alternative to him running is the two-way contest the Iowans are mooting between Governor Huckabee and Senator Obama.
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3 comments:
This is kind of bs on your part. John Edwards supports extended legal immigration and so does Clinton. Ah but Obama supports the natural talent and energy of Americans and his platform supports nurturing those seeds. As for tort reform that is hardly an important issue except for the guilty parties. The courts do a very good job of throwing out non-meritorious claims. Its built into the system. Bloomberg is not logical so how can you write of his logic. His logic is to support his company's business as seen in everything he has quote done for New York City. All of "his" accomplishments have supported his company's customers and nothing more. How else can a 2Billion dollar business soar to 30 Billion in only a couple of years? He sells insider information and terminals to insiders. His position as Mayor unethically qualifies everything he does as sheer product placement. Education? Last I read he really has only accomplished division. Its clear he owns the media in New York City. Too bad he owns this blog too.
This reply is to VenusNewYork,
Tort reform is incredibly important. For most small doctor's offices, malpractice insurance is their single largest expense, more than their commercial property lease or mortgage. These aren't bad doctors, these are all doctors. Doctors that have never had a single accusation made against them. These prices are then passed on to patients, who's own medical insurance then goes up. It's a vicious cycle. These costs are just passed on to the consumer in every way. It's not just doctors, it's every kind of company. A whole industry has evolved around agressive trial lawyers that make boatloads of money for merely threatening a company with a big lawsuit. Most companies will try to settle even if they are completely innocent of anything. Big lawsuits suck money, moral and resoruces out of a company, not to mention all the time from Sr. Management taken away from their responsibilities. The hidden costs of these lawsuits is staggering. Even when the accused is completely innocent. It is also far too easy to sue individuals. Many people who are victims of lawsuits, even when found innocent, go bankrupt. Frivilous litigation is used as a weapon to extort money from people to settle cases simply because a settlement cost less money than a trial. And even when money isn't the issue, it is time. When someone is sued, it takes up all their time. People lose their jobs, marriages and families get ripped apart. I've been the victim of frivilous litigation. It doesn't just take all your money, it destroys years of your life. Our legal system is completely screwed.
Mike Bloomberg has been brilliant in his reform of the city's educational system.
He did what everyone said could not be done: He brought all five boroughs of the New York public school system under the direct management of the mayor's office, renegotiated the Teachers Union contracts to accept merit based pay raises, acceptance of standardized testing of students to rate teachers' performance and the ability to terminate teachers who did not perform. Part of the school budget is now allocated based upon the each schools' performance as well, the most improved schools receiving more funds. As a consequence, underperforming teachers are being weeded out of the system, competition has been introduced as teachers compete for raises and schools compete for funds. Since taking office, high school standardized academic scores in the city are up 30% and drop out rates are down 15%. And due to merit based pay, the average income for teachers in up 35% as well.
As for the increased value of his company, and hence his net worth, this has nothing to do with his company, per se. It is an industry trend. Some other media companies have been bought and sold in the past few years, and the valuation of one company is based upon the selling price of other similar companies. The recent acquisition of the Wall Street Journal by News Corp had a big impact on the restated valuation of Bloomberg LP, especially as Mike may soon put his 68% stake in the company on the market, and could spark a bidding war between such entities as New Corp, MicroSoft and Google. This makes Bloomberg LP suddenly a hot property, driving up its value and consequently Mike's net worth.
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To Okie,
Thank you for giving this article wider distribution. Anything to help elect Michael Bloomberg to president.
When we post a comment in a blog do we continue our campaign for some candidate or do we actually try to achieve some authenticity in our post?
What you say about the education endeavours of Michael Bloomberg are as yet unproven. Did you miss that there is much division and dissent within the school system? As for the results of the children's scores clearly you demonstrate interpretation as opposed to reality. They scored lower than the national average and New York City put vastly more money into the pilot than the national average? Mr. Bloomberg's Hope to Educate is still unproven and indeed being challenged.
Aren't libraries a great way to educate people very cheaply? Yet for six years Michael Bloomberg vastly reduced the branch library services in the areas of New York City that need them the most, Bushwick and the Bronx. He can find $1.2 million fast for those who have their head stuck in the sub-prime trough but he can't find that kind of money for the branch libraries. He had a donor's intent mandate from Andrew Carnegie to honor to manage the branch libraries instead he chose to sell them off to his friends as hotels for rich people. Oh of course NYPL gets the credit because Mr. Bloomberg let them. This selling off is Michael Bloomberg's educational policy.
And why is it that the poor and middle class are worse off than they were before Michael Bloomberg? Why is it that a doctor starting out pays $1700 a month for a 200 square foot apartment in the ABC city part of Manhattan? Why do I pay $1695 a month to live in the ghetto in an apartment filled with cigarette smoke, and electrical pipes outside the wall, rusted bathtub; i.e. no renovations. I live in one of the highest crime areas of New York City and its in Manhattan.
As days have passed I've found that the Democratic party candidates cannot speak my language. Nor can the Republican party? And certainly not Michael Bloomberg. They are all about BIG Money and little about how America is going to start producing and stop recklessly consuming more than it can pay for. Mr. Bloomberg's congested New York that is caused by rigged money making traffic lights and construction blocked streets is an example of recklessly consuming more than it can pay for.
I disagree with your assessment of Michael Bloomberg's business. He is an information source for Wall Street and in everything he has done for "the City" the effect has been for them.
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