AMERICAN OLIGARCHS CAN’T STAY BEHIND THE CURTAIN

American oligarchs have tried to stay behind the curtain and to distract the public and the mainstream media from their schemes to get richer at the expense of the rest of us. The recent process of funding for the federal government opened the curtain a bit. The greed and power-lust of the oligarchs made their schemes hard to hide.

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As you probably know, Congress just passed a continuing resolution (CR) to fund the federal government for the next three months. The Republicans have made Congress so dysfunctional that is has been unable to pass a normal budget since Clinton was President. Instead, it passes continuing resolutions to fund the government for a relatively short period of time. CRs typically extend previous programs and spending levels without any significant changes. Often this process unfolds with significant drama as a shutdown of the government due to lack of funding looms.

On December 21, 2024, Congress again ran right up to the shutdown deadline before passing a three-month CR. An earlier version of the CR (which had the bipartisan support needed to pass) was scuttled at the last minute by oligarch Elon Musk (and then 13 hours later by president-elect Trump). Musk threatened to fund opposition to any member of Congress who voted for the painstakingly negotiated CR. [1] (Musk, as you probably know is the multi-multi-billionaire who largely funded Trump’s 2024 presidential campaign and that Trump has named to head the “Department of Government Efficiency” (DOGE). DOGE is not a real department, but rather a private advisory group. This means Musk has no accountability and is not covered by any of the ethics or disclosure laws that cover public employees.)

Musk’s opposition to the original CR was supposedly because it spent too much money. He falsely criticized it for including, among other things, a 40% pay raise for Congress (it’s actually 3.8%). However, good journalists have uncovered other motives for his opposition, in part by comparing the CR that finally passed with the one the Musk blocked.

The original CR included a provision that restricted American investments in technology businesses in China. This was a bipartisan measure targeted at keeping sensitive, national-security-related technology such as artificial intelligence (AI) and advanced “quantum” computing capability out of the hands of the Chinese government. However, Musk is investing in businesses in China and wants to build an AI data center there. This investment restriction would have limited Musk’s ability build and profit from his businesses in China. The provision was removed and was not in the final version of the CR that was passed. [2] [3]

Also not included in the final CR was a provision of the original version that would have reined in pharmacy benefit managers. These middlemen for drug sales were supposed to save consumers money but instead have figured out how to negotiate with drug makers and insurance companies to generate huge profits for themselves. (See this previous post for more details.)

Also dropped from the original CR were five provisions to tackle childhood cancer. Although at least some of this funding was approved in separate bills, there was widespread outrage that the victims of the first cuts to government spending driven by Musk were children with cancer.

These are examples of the things that were going on behind the curtain as Musk, Trump, and other Republicans were diverting everyone’s attention with a government funding crisis. This is how the oligarchs will wield their power – cutting funding for children with cancer and increasing what we pay for drugs while letting Musk and other billionaires make money investing in China while transferring sensitive technology there. This is how the rich get richer while the rest of us pay the costs and suffer the consequences. This is how oligarchy becomes a kleptocracy as the powerful use the government to take the public’s money and, directly or indirectly, put it in their own pockets.

This continuing resolution is just one small example of how this happens. More examples will be shared in future posts.

[1] Cox Richardson, H., 12/21/24, “Letters from an American,” (https://heathercoxrichardson.substack.com/p/december-21-2024)

[2] Dayen, D., 12/20/24, “The government is shutting down because Elon Musk has factories in China,” The American Prospect (https://prospect.org/politics/2024-12-20-government-shutting-down-elon-musk-factories-china/)

[3] Kuttner, R., 12/21/24, “How Musk outmaneuvered Trump,” The American Prospect (https://prospect.org/politics/2024-12-21-how-musk-outmaneuvered-trump-government-funding-china/)

THE COMPROMISED MAINSTREAM MEDIA AND ALTERNATIVES

After over a decade of covering Donald Trump, the mainstream media (MSM) still have not figured out how to report on him in a way that provides accurate, important information to the public. Meanwhile, Trump threatens the MSM when they don’t give him the favorable coverage he wants. Unfortunately, the MSM often capitulate to his threats, having lost their courage, moral compass, and integrity. They have become complicit in promoting Trump’s propaganda. Those of us who want to be informed citizens need to find and amplify media that provide essential information and challenge Trump and MAGA lies and policies. The good news is that there are many of them.

After over a decade of covering Donald Trump, the mainstream media (MSM) still have not figured out how to report on him and his Make America Great Again (MAGA) allies in a way that provides accurate, important information to the public. Meanwhile, Trump threatens the MSM when they don’t give him the favorable coverage he wants, including when they fact check his statements. He has threatened to take away the broadcast licenses of TV and radio stations, he has sued MSM outlets for defamation, and lambasts them regularly. Unfortunately, the MSM often capitulate to his threats. For example, the Washington Post and Los Angeles Times blocked publication of editorial endorsements of Vice President Harris in the presidential election. The ABC TV network just paid $15 million to settle a very weak defamation case that no one thinks Trump would have won. Trump’s threats and, for example, his recent suit against the Des Moines Register are media terrorism. Their purpose is to scare the media into giving him flattering coverage and ignoring his lack of veracity. [1]

The result is that the MSM are and have been treating Trump differently than other candidates and politicians. For example, the MSM aren’t hounding Trump for details of his plans for tariffs or for health care reform. He’s been saying for nine years that he’d replace the Affordable Care Act (aka Obamacare) with something better but he still only says he has “a concept” for how to do this. His tariff proposals vary from day-to-day and before the election I didn’t see the MSM asking about or reporting that his tariffs would raise the prices of consumer goods and cause inflation. Yet, the MSM hounded VP Harris for not providing more detail on her economic plans even though she provided far more detail than Trump ever has.

Furthermore, the MSM are and have been ignoring Trump’s threats and actions that undermine democracy. They treated him as a regular presidential candidate and are now treating him as a normal president-elect, despite his unwillingness to accept election results that didn’t go his way and his willingness to undermine free and fair elections. They are ignoring his threats and actions that destroy democratic institutions such as the rule of law and freedom of the press. [2]

As Heather Cox Richardson reported on 12/17/24, “Yesterday, Trump gave his first press conference since the election. It was exactly what Trump’s public performances always are: attention-grabbing threats alongside lies and very little apparent understanding of actual issues. His mix of outrageous and threatening is central to his politics, though: it keeps him central to the media … The uncertainty he creates is key to his power … It keeps everyone off balance and focused on him in anticipation of trouble to come.” [3] A few days earlier she had written, “If there is one major continuity between Trump’s campaign and plans for his administration, it is that his focus on shock and performance, rather than the detailed work of governing, still plays well to the media.” [4]

Despite this consistent Trump modus operandi stretching back more than a decade, the MSM haven’t yet figured out how to report on Trump and his threats, lies, and ignorance in a meaningful way. The MSM seem only to be able to report the clickbait, i.e., his outrageous, obviously attention-grabbing antics. They generally fail to put them in any context or do any fact checking. If anyone else engaged in this kind of behavior, the MSM would skewer them.

The MSM are all huge corporations driven by profit maximization. Given the online world of media today, focusing on clickbait, as opposed to meaningfully reporting news, fits their profit motivation. The MSM have lost their courage, moral compass, and integrity. They have become complicit in promoting Trump’s propaganda. [5]

Those of us who want to be informed citizens need to find and amplify media that provide essential information and challenge Trump and MAGA lies and policies. The good news is that there are many of them. I recommend you pick one or a few for your source(s) of information. Most, if not all, of the media and organizations listed below are non-profits. They are supported by readers and philanthropy, and some by labor unions. Most don’t take corporate money or advertising. I urge you to support whichever one(s) you pick financially if you can. They have been and are crucial to our democracy, and will be especially so over the next four years. Some of them will be attacked and perhaps sued by Trump and his cronies. They will need our moral as well as financial support to stand up to the expected attacks. Their funding bases are miniscule compared to the conservative media that’s supported by rightwing billionaires. With Trump in the White House, progressive and independent media will be in danger. [6]

Here are some alternative media that I read regularly:

Heather Cox Richardson publishes a daily online newsletter, Letters from an American, that covers current political events and provides analysis and context, particularly from an historical perspective.
Robert Hubbell publishes a daily online newsletter, Today’s Edition Newsletter, that covers current political news, providing commentary, particularly from a legal and grassroots political perspective.
Robert Reich publishes a daily online newsletter that provides analysis of current political events.
Common Dreams distributes daily or weekly emails with summaries of and links to its relatively short articles covering current news that is often under-reported by the MSM.
The American Prospect magazine and website is the best and most comprehensive source for progressive policy analysis and proposals, in my humble opinion.
The Nation provides progressive journalism both online and in print.
Mother Jones provides progressive reporting and investigative journalism available in print, online, and via videos and podcasts.
ProPublica does investigative journalism with great depth and breadth; available online.

Other sources that I use on occasion include The Guardian, The Economic Policy Institute, The Center on Budget and Policy Priorities, the Brennan Center for Justice, Open Secrets (on money in elections), Slate, and The Atlantic. Inequality Media makes short videos that are informative, yet entertaining and easy to understand, on current news and explanations of how our economy and democracy works or should work.

[1] Hubbell, R. B., 12/18/24, “Standing on principle … even when it costs votes,” Today’s Edition Newsletter (https://roberthubbell.substack.com/p/standing-on-principle-even-when-it)

[2] Reich, R., 11/29/24, “Where to find the truth?” Robert Reich blog (https://robertreich.substack.com/p/weaponized-lies)

[3] Cox Richardson, H., 12/17/24, “Letters from an American,” (https://heathercoxrichardson.substack.com/p/december-17-2024)

[4] Cox Richardson, H., 12/13/24, “Letters from an American,” (https://heathercoxrichardson.substack.com/p/december-13-2024)

[5] Hubbell, R. B., 12/16/24, “Look up at the night sky more often,” Today’s Edition Newsletter (https://roberthubbell.substack.com/p/look-up-at-the-night-sky-more-often)

[6] Hartmann, T., 11/24/24, “Will Trump’s return coincide with the death of progressive media?” Common Dreams (https://www.commondreams.org/opinion/progressive-media-trump)

BILLIONAIRES ARE RUNNING AND ROBBING OUR COUNTRY

The U.S. is now a plutocracy, an oligarchy, and arguably a kleptocracy. The estimated wealth of Trump’s cabinet nominees is at least $350 billion. There is every reason to believe that Trump and his wealthy appointees and supporters will benefit financially from actions of Trump and his administration. The only real question is how much they will benefit and how much it will cost the American public. Journalism, including investigative journalism, that won’t be intimidated will be crucial to exposing and publicizing the kleptocracy, the malfeasance, and the lies of Trump and his cronies.

The U.S. national government is now clearly a plutocracy, i.e., a government of the wealthy, an oligarchy, i.e., a government of a small group of generally wealthy businessmen, and arguably a kleptocracy, i.e., a society or system ruled by people who use their power to steal their country’s resources.

The estimated wealth of Trump’s cabinet nominees is at least $350 billion. President-elect Trump himself is probably a billionaire, although there is no reliable figure and Trump has lied about his wealth and the value of his properties on multiple occasions. The figure for his cabinet does not include Elon Musk (wealth of about $400 billion) and Vivek Ramaswamy (wealth of over $1 billion) who are not members of the cabinet but informal advisers for Trump’s supposed efforts to reduce government spending and increase efficiency. For the sake of comparison, the total net worth of President Biden’s cabinet was about $118 million. [1] Trump’s cabinet is roughly 3,000 times wealthier! Trump has also nominated other billionaires for government positions, from ambassadors to the NASA administrator.

Elon Musk spent at least $250 million to help get Trump elected. He contributed $238 million to the America Political Action Committee (PAC), which was dedicated to electing Trump. Musk also supported Trump through free advertising and messaging on his social media platform X, as well as by campaigning for him personally. Recent election financial disclosures reveal that Elon Musk was the sole and secret funder of the $20 million “RBG PAC.” It was created so close to election day that it avoided having to file any disclosure before the election. It paid for advertising claiming that Trump has the same position on abortion as the late Supreme Court Justice Ruth Bader Ginsberg. This is a blatantly false claim as Ginsburg supported the right to abortion as established by the Supreme Court’s 1973 Roe v. Wade decision. Trump, on the other hand, has bragged about justices he appointed overturning that decision. The RBG PAC ads also promised that Trump would not support a national abortion ban, however, this varies based on when, where, and who asks Trump. [2]

Trump is also getting support from other billionaires who are pledging cooperation in furthering his agenda and policies. For example, Mark Zuckerberg (wealth of about $220 billion), majority owner of Meta (parent of Facebook, Instagram, etc.), has contributed $1 million to Trump’s inaugural fund. Jeff Bezos (wealth of about $245 billion), majority owner of Amazon and The Washington Post, has also contributed $1 million to Trump’s inaugural fund. In addition, Amazon will livestream the inauguration for free, an in-kind contribution worth roughly $1 million. Marc Benioff (wealth of about $12 billion), owner of Time magazine, named Trump Time’s Man of the Year and wrote “We look forward to working together to advance American success and prosperity for everyone.” [3]

Trump, his nominees, and his supporters are trying to avoid (or ignore) disclosures and conflict of interest laws whenever they can. For example, Musk and Ramaswamy are informal advisers to Trump, which means they avoid requirements for financial and conflict of interest disclosures that would be required if they were in an official position. Trump’s inaugural committee has refused to sign the traditional agreement that would provide some government funding for inaugural activities but would require disclosures of and limits on private contributions. Therefore, it is a slush fund for Trump’s benefit that allows unlimited, secret donations. [4] If that isn’t corrupt, I don’t know what is. Zuckerberg, Bezos, and others have voluntarily disclosed their contributions, which implies that they want to be known and visible in their support for Trump. Contributions to the inaugural committee are efforts to curry favor with Trump with the hope of benefits for contributors’ businesses and financial interests.

There is every reason to believe that Trump and his wealthy appointees and supporters will benefit financially from actions of Trump and his administration. For example, both Bezos and Musk have multi-billion contracts with government agencies. During his first administration, Trump benefited financially from foreign officials and others currying his favor staying at his hotels and golf courses. The Secret Service detail protecting Trump paid to stay at his hotels and golf courses when he was in the vicinity and, apparently paid exorbitant rates at least sometimes. Jared Kushner, Trump’s son-in-law and Middle East envoy in Trump’s first administration, got billions from Saudi Arabia for his new venture capital firm shortly after leaving his government role.

Kleptocracy has been growing in the U.S. since the 1980s. Trickle-down economics, i.e., tax cuts for wealthy individuals and corporations that supposedly will trickle-down benefits for everyone, has been ascendent among Republicans since the 1980s. It is kleptocracy because the benefits have never trickled-down to everyday Americans, while the wealth of the rich has grown tremendously. The economic well-being and security of the middle and lower classes have actually declined. Meanwhile, the tax cuts have eliminated the government revenue needed to maintain infrastructure, support valuable government programs, and provide a safety net.

The only real question is how much they all – including Trump, his appointees, and the many who will be currying his favor – will benefit and how much it will cost the American public. There will be costs for taxpayers for direct government spending that may be exorbitant or unwarranted. There will be costs for consumers from increased prices of products, for example from failure to regulate prices (such as for drugs), from junk fees, and from tariffs. And there will be costs for workers, for example from less overtime pay, lower wages (due to failure to regulate employers and increase the minimum wage), and less safe working conditions.

Trump and his cronies are oligarchs, i.e., very rich business people with a great deal of political influence. American oligarchs’ influence has been growing since the 1980s and has reached a new level with Trump. In many cases, they are individuals who have benefited quite directly from government actions, such as deregulation and/or the privatization of what had been or should be government functions (e.g., banking and finance, Medicare and other parts of the health care system, education through private voucher programs, space-based activities, etc.).

Journalism, including investigative journalism, that won’t be intimidated will be crucial to exposing and publicizing the kleptocracy, the malfeasance, and the lies of Trump and his cronies. As we have seen, Trump and company will lie to cover up failures and undesirable outcomes, as well as to put the blame elsewhere. They will make blameless people scapegoats and use demagoguery to get their supporters to blame the wrong people and causes for problems.

The mainstream American media have not done a good job, to say the least, of exposing the lies and false promises of Trump and his minions. For example, how much reporting was there before the election that Trump’s proposed tariffs would increase prices for American consumers and cause inflation to spike upwards?

My next post will share sources of information that won’t be intimidated and do excellent investigative reporting.

[1] Richardson, H. C.. 12/4/24, “Letter from an American,” (https://heathercoxrichardson.substack.com/p/december-4-2024)

[2] Richardson, H. C.. 12/5/24, “Letter from an American,” (https://heathercoxrichardson.substack.com/p/december-5-2024)

[3] Hubbell, R.B., 12/13/24, “The billionaire boys club surrenders in advance,” (https://roberthubbell.substack.com/p/the-billionaire-boys-club-surrenders)

[4] Richardson, H. C.. 12/13/24, “Letter from an American,” (https://heathercoxrichardson.substack.com/p/december-13-2024)