The Pronk Pops Show 879, April 24, 2017, Story 1: The Elites vs. The People Not Nationalism vs. Internationalism — Decline and Fall Of The Socialist Welfare State — Videos — Story 2: President Trump’s Transparent Executive Orders — Videos

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The Pronk Pops Show Podcasts

Pronk Pops Show 879: April 24, 2017

Pronk Pops Show 878: April 21, 2017

Pronk Pops Show 877: April 20, 2017

Pronk Pops Show 876: April 19, 2017

Pronk Pops Show 875: April 18, 2017

Pronk Pops Show 874: April 17, 2017

Pronk Pops Show 873: April 13, 2017

Pronk Pops Show 872: April 12, 2017

Pronk Pops Show 871: April 11, 2017

Pronk Pops Show 870: April 10, 2017

Pronk Pops Show 869: April 7, 2017

Pronk Pops Show 868: April 6, 2017

Pronk Pops Show 867: April 5, 2017

Pronk Pops Show 866: April 3, 2017

Pronk Pops Show 865: March 31, 2017

Pronk Pops Show 864: March 30, 2017

Pronk Pops Show 863: March 29, 2017

Pronk Pops Show 862: March 28, 2017

Pronk Pops Show 861: March 27, 2017

Pronk Pops Show 860: March 24, 2017

Pronk Pops Show 859: March 23, 2017

Pronk Pops Show 858: March 22, 2017

Pronk Pops Show 857: March 21, 2017

Pronk Pops Show 856: March 20, 2017

Pronk Pops Show 855: March 10, 2017

Pronk Pops Show 854: March 9, 2017

Pronk Pops Show 853: March 8, 2017

Pronk Pops Show 852: March 6, 2017

Pronk Pops Show 851: March 3, 2017

Pronk Pops Show 850: March 2, 2017

Pronk Pops Show 849: March 1, 2017

Pronk Pops Show 848: February 28, 2017

Pronk Pops Show 847: February 27, 2017

Pronk Pops Show 846: February 24, 2017

Pronk Pops Show 845: February 23, 2017

Pronk Pops Show 844: February 22, 2017

Pronk Pops Show 843: February 21, 2017

Pronk Pops Show 842: February 20, 2017

Pronk Pops Show 841: February 17, 2017

Pronk Pops Show 840: February 16, 2017

Pronk Pops Show 839: February 15, 2017

Pronk Pops Show 838: February 14, 2017

Pronk Pops Show 837: February 13, 2017

Pronk Pops Show 836: February 10, 2017

Pronk Pops Show 835: February 9, 2017

Pronk Pops Show 834: February 8, 2017

Pronk Pops Show 833: February 7, 2017

Pronk Pops Show 832: February 6, 2017

Pronk Pops Show 831: February 3, 2017

Pronk Pops Show 830: February 2, 2017

Pronk Pops Show 829: February 1, 2017

Pronk Pops Show 828: January 31, 2017

Pronk Pops Show 827: January 30, 2017

Pronk Pops Show 826: January 27, 2017

Pronk Pops Show 825: January 26, 2017

Pronk Pops Show 824: January 25, 2017

Pronk Pops Show 823: January 24, 2017

Pronk Pops Show 822: January 23, 2017

Pronk Pops Show 821: January 20, 2017

Pronk Pops Show 820: January 19, 2017

Pronk Pops Show 819: January 18, 2017

Pronk Pops Show 818: January 17, 2017

Pronk Pops Show 817: January 13, 2017

Pronk Pops Show 816: January 12, 2017

Pronk Pops Show 815: January 11, 2017

Pronk Pops Show 814: January 10, 2017

Pronk Pops Show 813: January 9, 2017

 

Image result for cartoons branco french elections round 1 April 23, 2017

 Image result for the political elitesImage result for cartoons trump executive orders

 

 

 

 

Story 1: The Elites vs. The People  Not Nationalism vs. Internationalism — Videos —

Image result for the ruling class angelo codevilla

Image result for the ruling class angelo codevilla

French election explained: Emmanuel Macron and Marine Le Pen go head to head

Nigel Farage on French election: Don’t write off Le Pen

[Video] Rush Limbaugh: French Election Mirrors U.S. 2016 Vote

As anti-establishment candidates advance, France’s political establishment unites against Le Pen

French election: What would Emmanuel Macron’s presidency mean for Britain? – BBC Newsnight

Published on Apr 24, 2017

Centrist Emmanuel Macron will face far-right leader Marine Le Pen in the second round of the French presidential election.To learn more about the presidential candidate, Evan Davis has met up with Benjamin Griveaux, Mr Macron’s campaign spokesman.

PODCAST: The French Election Results and Their Impact

Why the French Election Is Critical and What We Learn from Emmanuel Macron’s Movement Versus Party

Angelo Codevilla – Does America Have a Ruling Class?

The Revolution of America’s Regime

456. The Iron Fist of the Ruling Class | Angelo Codevilla

1. America’s Ruling Class

2. Has Homeland Security Been a Failure?

3. What’s Wrong with the CIA?

[youtube-https://www.youtube.com/watch?v=NC3eM4ZAYL4]

4. Are We Winning the “War on Terror”?

Who Are America’s Elites? – Ben Shapiro

Clinton’s ‘deplorable’ attack

Clinton ‘Basket of Deplorables’ Remark Draws Fire

Peter O’Toole – The Ruling Class

The Ruling Class (1972)

George Carlin – It’s a Big Club and You Ain’t In It! The American Dream

Image result for chart of parties in france 2017

Image result for chart of parties in france 2017

Official first round result

With 107 of 107 departements counted | At 17:58 CEST
Macron 24.01%
Le Pen 21.3%
Fillon 20.01%
Mélenchon 19.58%
Hamon 6.36%
Dupont-Aignan 4.7%
Lassalle 1.21%
Poutou 1.09%
Asselineau 0.92%
Arthaud 0.64%
Cheminade 0.18%

Marine Le Pen and Emmanuel Macron Advance

For the first time in modern French history, neither candidate is from a major party.

Emmanuel Macron casts his ballot in the first round of French presidential election at a polling station in Le Touquet, France on April 23, 2017.

Emmanuel Macron casts his ballot in the first round of French presidential election at a polling station in Le Touquet, France on April 23, 2017.Eric Feferberg / ReutersYASMEEN SERHANAPR 23, 2017

Macron and Le Pen’s strong showings Sunday, which saw an approximately 77 percent voter turnout (slightly lower than the 79 percent who voted in the first round in 2012), signaled a rebuke of the political establishment that has dominated French politics for decades. Macron launched his centrist party in August 2016 after he quit his role in President François Hollande’s Socialist government, and despite the party’s youth it boasts a quarter of a million members. Meanwhile, Le Pen’s FN secured the most votes it has ever received in its nearly half-century history, surpassing the 18-percent first-round finish it saw in 2012. 
Even Jean-Luc Mélenchon, the far-left candidate who ran under a movement called La France Insoumise, or “Unsubmissive France,” had his strongest performance to date. Though his last-minute surge in the polls wasn’t enough to propel him to the second round, he still managed to claim 19.5 percent of the vote, far surpassing the 11 percent he won during his first presidential bid in 2012.Republican candidate François Fillon also earned 19.5 percent of the vote, tying Mélenchon for third place. The center-right candidate and former prime minister enjoyed a comfortable lead early on in his campaign, but support wavered in January after his candidacy was embroiled by allegations he misused public funds to pay his wife, Penelope, and two of their children for parliamentary work they are alleged not to have performed. Fillon denied any wrongdoing, although the launch of a formal investigation into both him and his wife prompted several of his Republican allies to quit his campaign.Socialist candidate Benoît Hamon, who came in last of the main contenders with 6.2 percent of the vote, also suffered from fissures within his own party. Despite clinching a decisive victory during the January primary, Hamon failed to command the support of Socialist party leaders, many of whom, including former Prime Minister Manuel Valls, endorsed Macron instead. This, paired with the deeply unpopular presidency of Hollande and the competition of similarly far-left Mélenchon, made the ruling party’s poor showing all but certain. The results prompted the losing candidates to urge their supporters to back Macron. Hamon said there was a distinction between a political adversary and an “enemy of the Republic,” referring to Le Pen. Fillon warned that Le Pen would lead France to “ruin.”

 

The advancement of two non-traditional candidates will certainly have an impact on their ability to govern once they make it to the Élysée Palace. In the month following the presidential contest, French voters will return to the polls to elect members of the National Assembly, France’s lower but more powerful house of parliament. This election is particularly important because whoever becomes prime minister almost always comes from the party that controls the chamber and, at present, neither Le Pen’s FN (which claims two of the National Assembly’s 577 seats) or Macron’s En Marche (which claims none) are expected to command a majority. This makes cohabitation, in which the president must share power with the prime minister of a different party, almost certain. Though this power-sharing arrangement is not unprecedented in French political history, as Politico’s Pierre Briançon notes, it has never been a favorable one.

It reduces the head of state to a figurehead, akin to northern European monarchs or ceremonial presidents such as those of Germany or Italy. In those times, the prime minister holds most of the executive powers, save for those governing foreign policy and defense, which the constitution puts specifically in the president’s domain. …It has happened three times in postwar history — first from 1986 to 1988, when Socialist President François Mitterrand had to live with Jacques Chirac as prime minister. From 1993 to 1995, Mitterrand had to deal with another conservative premier, Édouard Balladur. And finally, from 1997 to 2002, President Chirac had to contend with Socialist Prime Minister Lionel Jospin.

Macron and Le Pen now have two weeks ahead of the runoff to court the voters who backed their former competitors, as well as the estimated one-third of French voters who are still undecided. From the recent terrorist attack in Paris to the country’s 10 percent unemployment rate, issues such as security and the economy will likely remain at the forefront of the contest.

https://www.theatlantic.com/news/archive/2017/04/french-election-results-first-round/523965/

Outsiders Emmanuel Macron and Marine Le Pen sweep to victory as France kicks out old guard: Europhile newcomer narrowly wins first vote to take on far-Right’s Madame Frexit for the presidency

  • Far-right leader Marine Le Pen and independent centrist Emmanuel Macron have made it to the second round 
  • 36.7million voted, a turnout of 78.2 per cent; Macron won 23.9 per cent of the vote, Le Pen 21.4 
  • Republican candidate Francois Fillon conceded after initial results showed he achieved 19.5 per cent of vote
  • Far-left leader Jean-Luc Melenchon refused to concede until final results of first-round vote announced
  • France’s Prime Minister, Bernard Cazeneuve, has called on voters to support Macron instead of Le Pen 
  • This is the first time in 60 years none of France’s mainstream parties have entered the second round
  • Riots broke out in Nantes and Paris’ Place de la Bastille – the birthplace of the French Revolution 

French voters turned their backs on the political establishment last night in round one of the presidential election.

Emmanuel Macron – an independent centrist – won first place ahead of National Front leader Marine Le Pen.

The result will have major implications for Britain and its departure from the EU.

Miss Le Pen wants to completely renegotiate France’s relationship with Brussels while Mr Macron wants closer links.

Scroll down for video 

Marine Le Pen

Emmanuel Macron

Marine Le Pen (left) and Emmanuel Macron (right) celebrated the initial results of the polls, which said they both made it to the second round of the election

Le Pen went to greet her supporters after the initial results and said: '‘This is a historic result. The French must take the step for this historic opportunity. This is the first step to drive the French [people] into the Elysee Palace'

Le Pen went to greet her supporters after the initial results and said: ”This is a historic result. The French must take the step for this historic opportunity. This is the first step to drive the French [people] into the Elysee Palace’

Supporters of Le Pen, leader of the French National Front, were seen waving their flags emblazoned with ‘Marine Presidente’ at her election headquarters in Henin-Beaumont, after the inital results were announced

Supporters of French centrist candidate Macron were also seen cheering in delight at the results and waving the French flag

Supporters of French centrist candidate Macron were also seen cheering in delight at the results and waving the French flag

Many people were seen hugging after initial results showed Macron winning 23.9 percent of the vote, beating France's two main parties

Many people were seen hugging after initial results showed Macron winning 23.9 percent of the vote, beating France’s two main parties

According to France’s Interior Ministry, 46 million people voted in the first stage of the elections which knocked the traditional Right and Left parties out of the running for the first time in 60 years.

With 97 per cent of the vote counted, Macron achieved 23.9 per cent, followed by Le Pen on 21.4. A total of 36.7million voted, a turnout of 78.2 per cent.

But it is thought that Le Pen’s chances of winning the second round are limited as supporters for Republican candidate Francois Fillon, who conceded but has gained 19.9 per cent of the votes, will support Macron.

However, far-left leader Jean-Luc Melenchon, who gained 19.6 per cent, refused to concede until the final results of first-round vote were announced. 

Macron took to the stage in Paris earlier, with his wife Brigitte, and urged national unity against Le Pen.

To chants of ‘Macron president!’ and ‘We’re going to win,’ Macron began his speech by paying tribute to his opponents, and praised his supporters for his lightning rise.

He said: ‘We have turned a page in French political history,’ and added he wants to gather ‘the largest possible’ support before May 7.

Macron acknowledged widespread anger at traditional parties and promised ‘new transformations’ in French politics.

At a rally last night, Le Pen told her supporters she is offering ‘the great alternative’ in the presidential race. 

Crowds celebrate as Macron & Le Pen expected go through to next round

She added: 'It is time to liberate the French people from the arrogant [political] elite.' Le Pen was later given a bunch of flowers

She added: ‘It is time to liberate the French people from the arrogant [political] elite.’ Le Pen was later given a bunch of flowers

Le Pen addresses supporters as she goes through to second round
She said: ‘This is a historic result. The French must take the step for this historic opportunity. This is the first step to drive the French [people] into the Elysee Palace.

‘It is time to liberate the French people from the arrogant [political] elite.’

Former favourite Fillon conceded and voiced his support for Macron after initial projections showed he and Melanchon got 19.5 per cent of the vote. 

Shortly afterwards, France’s Prime Minister, Bernard Cazeneuve, also called on voters to support Macron.

The outcome capped an extraordinary few months for a deeply divided France, which saw a campaign full of twists and turns and widespread anger at traditional parties.

It signals a stinging defeat for the Fillon and Socialist Benoit Hamon, meaning neither of France’s mainstream parties will be in the second round for the first time in 60 years.

Macron, a 39-year-old who had never before stood for election and only started his independent centrist movement 12 months ago, will be the overwhelming favourite to win the second round on May 7.

He served as an economy minister under President Francois Hollande, ran without the backing of an established party, forming his own called ‘En Marche!’.

His wife Brigitte is 25 years his senior and taught him at school.

Macron, a 39-year-old who had never before stood for election and only started his independent centrist movement, En Marche!, 12 months ago

Macron, a 39-year-old who had never before stood for election and only started his independent centrist movement, En Marche!, 12 months ago

Macron thanks supporters for campaign that changed French politics

He said he wants to gather 'the largest possible' support before the May 7 runoff. He praised his supporters for a campaign that 'changed the course of our country'

He said he wants to gather ‘the largest possible’ support before the May 7 runoff. He praised his supporters for a campaign that ‘changed the course of our country’

Macron acknowledged widespread anger at traditional parties and promised 'new transformations' in French politics

Macron acknowledged widespread anger at traditional parties and promised ‘new transformations’ in French politics

European Commission President Jean-Claude Juncker congratulated Macron on Sunday and wished the centrist well for the May 7 French presidential runoff against Le Pen.

‘Juncker congratulated Macron on his result in the first round and wished him all the best for the next round,’ Margaritis Schinas said on Twitter.

Underlining broad support for Macron among leaders of the European Union institutions in Brussels, EU foreign policy chief Federica Mogherini from the Italian centre-left added her congratulations to those of Juncker, a centre-right former prime minister of Luxembourg.

‘To see the flags of France and the EU hailing Emmanuel Macron’s result shows hope and the future of our generation,’ tweeted Mogherini, 43, after the 39-year-old Macron’s first-round victory speech to supporters was broadcast on television.

Last night he was congratulated by former Labour MP David Miliband and by former chancellor George Osborne.

Mr Miliband said: ‘Tremendous achievement by Emmanuel Macron. Bulwark against evil forces and tribune for modernization in France and Europe.’

Mr Osborne said: ‘Congratulations to my friend Emmanuel Macron. Proof you can win from the centre. At last the chance for the leadership that France needs.’

Fillon urges supporters to vote for Macron as he concedes

Despite his defeat, supporters for the election candidate far-left leader Jean-Luc Melenchon still cheered for him outside his election headquarters

Despite his defeat, supporters for the election candidate far-left leader Jean-Luc Melenchon still cheered for him outside his election headquarters

Anti-fascist activists clashed with riot police in Paris' Place de la Bastille - the birthplace of the French Revolution

Anti-fascist activists clashed with riot police in Paris’ Place de la Bastille – the birthplace of the French Revolution

Demonstrators in Nantes chanted anti-Le Pen slogans as they showed their opposition to the National Front leader

Demonstrators in Nantes chanted anti-Le Pen slogans as they showed their opposition to the National Front leader

The euro has jumped 2 per cent on Sunday night, to more than 85p ($1.09), after projections showed Macron and Le Pen would go head to head.

Macron has vowed to reinforce France’s commitment to the EU and euro.

Stock markets will next open in Asia before Europe starts trading on Monday morning.

But despite stock markets around the world improving significantly, investors fretted beforehand that another unforseen election outcome could upend the market. In addition, the  presidential race was plagued by controversy.

 Republican candidate Fillon, 63, is accused of embezzling state money by paying his British wife Penelope, 61, as his assistant – despite her allegedly carrying out no work.

Le Pen faces a fraud inquiry, with her chief of staff accused of misusing EU funds while Melenchon, 65, had vowed to pull his country out of Europe and get rid of the euro.

Earlier this evening, Le Pen had security authorities on high alert, with rioting expected across the country in protest due to her election success.

More than 50,000 police and gendarmes were deployed to the 66,000 polling stations for Sunday’s election, which comes after Thursday’s deadly attack on the Champs-Elysees in which a police officer and a gunman were slain.

However, initial election results triggered riots across the country, initially sparked in Paris’ Place du la Bastille, the birthplace of the French Revolution, tonight against the Le Pen’s National Front.

The crowds of young people, some from anarchist and anti-fascist groups, gathered in eastern Paris as results were coming in from Sunday’s first-round vote.

Police fired tear gas to disperse an increasingly rowdy crowd. Riot police surrounded the area.

Protesters have greeted several of Le Pen’s campaign events, angry at her anti-immigration policies and her party, which she has sought to detoxify after a past tainted by racism and anti-Semitism.

There were angry scenes in Nantes in western France, where anti-fascists took to the streets to protest

There were angry scenes in Nantes in western France, where anti-fascists took to the streets to protest

Ballot boxes in Le Port, on the French overseas island of La Reunion were seen locked after the polls closed earlier this evening

Ballot boxes in Le Port, on the French overseas island of La Reunion were seen locked after the polls closed earlier this evening

Two officials were seen tipping out the votes ready to count them ahead of the results, which are expected to be announced within the hour

Two officials were seen tipping out the votes ready to count them ahead of the results, which are expected to be announced within the hour

Le Pen has vowed to offer French voters a referendum to leave the EU and wants to leave the euro, known as Frexit.

Her father, the convicted racist and anti-Semite Jean-Marie Le Pen, won through to the second round of the 2002 presidential election but was then crushed by the conservative Jacques Chirac.

However she faces a similar prospect of defeat when she goes up against Macron in the second round of the next week.

He is widely expected to win the contest against Le Pen.

In France the election took place with the nation on high alert, with the vote taking place just three days after a police officer was gunned down by a Jihadi on the Champs-Elysees in Paris.

In Besancon, eastern France a stolen car was abandoned outside a polling station with the engine running.

A policeman secures the entrance of a polling station as people arrive to vote in the first round of 2017 French presidential election in Henin-Beaumont, France, April 23, 2017

A policeman secures the entrance of a polling station as people arrive to vote in the first round of 2017 French presidential election in Henin-Beaumont, France, April 23, 2017

Policemen stand near a polling station during the first round of 2017 French presidential election in Paris, France

Policemen stand near a polling station during the first round of 2017 French presidential election in Paris, France

Femen activists with masks, including one wearing a mask of Marine Le Pen, top left, are detained as they demonstrate in Henin-Beaumont, northern France, where far-right leader and presidential candidate Le Pen voted during the first round of the French presidential election

Femen activists with masks, including one wearing a mask of Marine Le Pen, top left, are detained as they demonstrate in Henin-Beaumont, northern France, where far-right leader and presidential candidate Le Pen voted during the first round of the French presidential election

Police found a hunting rifle inside the vehicle which had been disguised with stolen number plates.

In Rouen, Normandy, a gunman shot and wounded another man but the incident was classified as ‘non-terror related’.

Two other polling station, in Saint Omer, northern France, were evacuated because of a suspicious vehicle with Dutch number plates.

Ballots were cast in the wake of took place after a series of devastating terror attacks across France, but despite that armed police and soldiers are outlawed from protecting 67,000 French polling stations.

There had been a serious concern that groups including Islamic State would target the election.

However the 50,000 policemen and gendarmes that were only standby along with 7,000 soldiers were not required as the day went on.

The presidential poll is the first to be held during a state of emergency, put in place since the Paris attacks of November 2015.

A Femen activists wearing the mask of Marine le Pen is detained as they demonstrate in Henin Beaumont, northern France

A Femen activists wearing the mask of Marine le Pen is detained as they demonstrate in Henin Beaumont, northern France

TOPLESS demonstrators protests outside French polling station

Voters are choosing between 11 candidates in the most unpredictable contest in decades, and the poll conducted by RTBF suggests just that.

Topless demonstrators from the Femen activist group caused a commotion as they staged a stunt against Le Pen outside a polling station where the far-right presidential candidate was heading to vote.

Around six activists were detained Sunday morning after jumping out of an SUV limo wearing masks of Le Pen and United States President Donald Trump.

Police and security forces quickly forced them into police vans, confiscating their signs.

Le Pen voted at the station shortly after without further disruption.

After nine hours of voting, turnout was 69.4 percent, one of the highest levels in 40 years.

While down slightly on the same point in the 2012 election, an extra hour of voting in smaller towns was expected to take turnout to around 78 to 81 percent.

A Femen activist wearing the mask of U.S President Donald Trump is taken away from the scene near a scrum of photographers 

A Femen activist wearing the mask of U.S President Donald Trump is taken away from the scene near a scrum of photographers

People line up before casting their vote for the first-round presidential election at a polling station in Paris, Sunday, April 23, 2017

People line up before casting their vote for the first-round presidential election at a polling station in Paris, Sunday, April 23, 2017

Outgoing French president Francois Hollande casts his ballot at a polling station in Tulle

Outgoing French president Francois Hollande casts his ballot at a polling station in Tulle (left) as Marine Le Pen emerges from a booth (right)

Outgoing French president Francois Hollande picks up ballot papers before casting his vote at a polling station in Tulle, central France, on April 23, 2017, during the first round of the Presidential election

Outgoing French president Francois Hollande picks up ballot papers before casting his vote at a polling station in Tulle, central France, on April 23, 2017, during the first round of the Presidential election

Former French President and former Head of Les Republicains right wing Party Nicolas Sarkozy (centre) and his wife, the singer Carla Bruni Sarkozy (left) vote in the first round of the 2017 French Presidential Election at the Jean de la Fontaine High School in the 16th arrondissement on April 23, 2017 in Paris, France

Former French President and former Head of Les Republicains right wing Party Nicolas Sarkozy (centre) and his wife, the singer Carla Bruni Sarkozy (left) vote in the first round of the 2017 French Presidential Election at the Jean de la Fontaine High School in the 16th arrondissement on April 23, 2017 in Paris, France

Former French President and former Head of Les Republicains right wing Party Nicolas Sarkozy sweeps the curtain aside as he leaves a voting booth

Former French President and former Head of Les Republicains right wing Party Nicolas Sarkozy sweeps the curtain aside as he leaves a voting booth

Marine Le Pen was today poised for a historic breakthrough in France’s nail-biting presidential race

Marine Le Pen was today poised for a historic breakthrough in France’s nail-biting presidential race

Her campaign has been dominated by anti-Islam and anti-immigration rhetoric and critics said she has used the violence to stoke further hostility.

Defiant voters proclaimed the Paris terrorist attack would not alter their political loyalties in the French presidential elections today, although many feared a surge in support for the National Front.

As citizens flocked to polling stations across the country Parisians told how they would ‘vote with their hearts’ to reject extremist ideas, in the first round of voting to decide the new leader of France.

Mother-of-one Marie-Noelle Liesse told MailOnline she voted for independent centrist Emmanuel Macron to stop Marine Le Pen.

She said: ‘I voted with my heart to stop the extremists, the National Front, from getting into power.

‘The terrorist attack on the Champs Elysee has not affected the way I voted, but I fear it may have influenced some people.

‘I voted for Macron. I believe he is the right candidate to lead France.’

Mrs Liesse, 45, a communications executive, brought her five-year-old son Amant, to the polling station in the central Marais district of Paris.

Marine Le Pen casts her vote in the French presidential elections

French presidential election candidate for the far-right Front National (FN) party, Marine Le Pen casts her ballot in the first round of the French presidential elections in Henin-Beaumont, Northern France, shortly after the commotion

French presidential election candidate for the far-right Front National (FN) party, Marine Le Pen casts her ballot in the first round of the French presidential elections in Henin-Beaumont, Northern France, shortly after the commotion

Centrist candidate Emmanuel Macron waves supporters after casting his vote in the first round of the French presidential election, in le Touquet, northern France, Sunday April 23, 2017

Centrist candidate Emmanuel Macron waves supporters after casting his vote in the first round of the French presidential election, in le Touquet, northern France, Sunday April 23, 2017

People line up before casting their vote for the first-round presidential election at a polling station in Paris, Sunday, April 23, 2017

People line up before casting their vote for the first-round presidential election at a polling station in Paris, Sunday, April 23, 2017

Young professional couple Max Nivoix and Mariam Guedra voted for independent centrist Emmanuel Macron for said they feared the terrorist attack would galvanise support for Marine Le Pen’s National Front.

Mr Nivoix, 28, an industrial products buyer, told MailOnline: ‘I have voted for Macron. I think he is the best candidate to lead France.

‘The terrorist attack last week has not influenced the way I voted. But I fear that people outside of Paris will turn to Le Pen because of it.’

French nationals in the UK casting their votes

Among the 60,000 polling stations to open their doors was the French Consulate in South Kensington, where the bulk of the UK’s French nationals are expected to cast their votes.

According to figures from 2014, there are 400,000 French people living in London, which prompted Boris Johnson to call it France’s sixth biggest city.

At the end of 2013, the Foreign Ministry recorded 1.6million French expats living in the UK, according to The Independent.

Outside of the capital, there are polling stations in Ashford, Brighton, Belfast, Birmingham, Bristol, Leeds, Manchester, Aberdeen, Edinburgh and Glasgow.

 His partner Ms Guedra, 28, an engineer, added: ‘I voted for Emmanuel Macron too. He has the best policies for young people and for the time we live in now.

‘But we are both educated and from the city. I know that old people and people in the countryside are more in favour of Le Pen.’

Flight attendant Baptiste Laurent said he voted for communist-backed firebrand Jean-Luc Melonchon he feared National Front candidate Marine Le Pen could come top in the poll.

Mr Laurent, 39, told MailOnline: ‘I voted for Melonchon because I voted for what I believe in – a more equal society.

‘But I fear that Le Pen could be the biggest winner today.’

Mr Laurent came to the polling station with his 14-month-old daughter Romy.

A primary school teacher also backed communist-backed firebrand Jean-Luc Melonchon but feared a surge of support for Le Pen’s National Front.

Alexandre, 42, told MailOnline: ‘I voted for Melonchon because I support his programme and his socialist policies.

‘But Le Pen will do well in the polls today. She has a strong base of support. And after the terrorist attack she will get more votes. I think she will get through to the second round of voting.’

The second round of voting between the two front runners of today’s poll will take place on Sunday 7 May.

She is locked in a duel with centrist front-runner Emmanuel Macron, 39, a staunch defender of the single market who has told Theresa May he favours a ‘hard Brexit’.

If, as expected, Le Pen and Macron are successful in the first round of voting today, they will face each other in the run-off on May 7.

People line up to vote at a polling station in the first round of 2017 French presidential election in Vaulx-en-Velin, France, April 23, 2017

People line up to vote at a polling station in the first round of 2017 French presidential election in Vaulx-en-Velin, France, April 23, 2017

Brigitte Trogneux casts her ballot next to her husband, French presidential election candidate for the En Marche movement Emmanuel Macron during the first round of the Presidential election at a polling station in Le Touquet

Brigitte Trogneux casts her ballot next to her husband, French presidential election candidate for the En Marche movement Emmanuel Macron during the first round of the Presidential election at a polling station in Le Touquet

But analysts say the battle for the Élysée Palace is by no means a two-horse race.

Le Pen has moved from 22 per cent to 23 per cent in the latest opinion poll while her three rivals have all lost half a percentage point of support.

Macron dropped back to 24.5 per cent, while republican candidate François Fillon and leftist candidate Jean-Luc Mélenchon were back on 19 per cent.

The far-Right leader is confident her chances of winning the election’s first round have been strengthened by last week’s terrorist murder of a police officer on the Champs-Élysées

The far-Right leader is confident her chances of winning the election’s first round have been strengthened by last week’s terrorist murder of a police officer on the Champs-Élysées

Experts said a Le Pen victory in the first round could mean cheaper holidays for Brits heading to Europe.

Kathleen Brooks, of City Index Direct, said: ‘I think if Le Pen wins today by a wide enough margin, then the euro will fall significantly, possibly to the lowest levels we’ve seen this year. And a weak euro will initially be great for us as everything will be much cheaper in Europe.’

Le Pen’s father, the convicted racist Jean-Marie Le Pen, caused shockwaves around the world in 2002 when he came second in the first round. He then went on to lose to Jacques Chirac by a landslide of more than 80 per cent.

But Marine Le Pen is convinced she can go one better by positioning herself as the candidate who is toughest on terror.

She had pledged to ‘immediately reinstate border checks’, to expel foreigners and to ban all immigration, whether illegal or not. Supporters include Donald Trump who said the Paris attack would ‘have a big effect on the presidential election’ because the French people ‘will not take much more of this’.

But Prime Minister Cazeneuve accused Le Pen of ‘shamelessly seeking to exploit fear and emotion for exclusively political ends’. Mr Cazeneuve pointed out that Karim Cheurfi, the 39-year-old responsible for the murder of traffic officer Xavier Jugelé, 37, was a born and bred Frenchman.

Le Pen has called for negotiation with Brussels on a new EU, followed by a referendum; extremist mosques closed and priority to French nationals in social housing; and retirement age fixed at 60.

Macron forged a reputation with his ‘Macron Law’, a controversial reform bill that allowed shops to open more often on Sundays. On security, he has said France is paying for the intelligence jobs cuts made when Fillon was PM between 2007 and 2012.

http://www.dailymail.co.uk/news/article-4437156/Leading-candidates-cast-votes-French-election.html#ixzz4fEBy4Ooi

 

Is Macron the EU’s last best hope?

For the French establishment, Sunday’s presidential election came close to a near-death experience. As the Duke of Wellington said of Waterloo, it was a “damn near-run thing.”

Neither candidate of the two major parties that have ruled France since Charles De Gaulle even made it into the runoff, an astonishing repudiation of France’s national elite.

Marine Le Pen of the National Front ran second with 21.5 percent of the vote. Emmanuel Macron of the new party En Marche! won 23.8 percent.

Macron is a heavy favorite on May 7. The Republicans’ Francois Fillon, who got 20 percent, and the Socialists’ Benoit Hamon, who got less than 7 percent, both have urged their supporters to save France by backing Macron.

Ominously for U.S. ties, 61 percent of French voters chose Le Pen, Fillon or radical Socialist Jean-Luc Melenchon. All favor looser ties to America and repairing relations with Vladimir Putin’s Russia.

Le Pen has a mountain to climb to win, but she is clearly the favorite of the president of Russia, and perhaps of the president of the United States. Last week, Donald Trump volunteered:

“She’s the strongest on borders, and she’s the strongest on what’s been going on in France. … Whoever is the toughest on radical Islamic terrorism, and whoever is the toughest at the borders, will do well in the election.”

As an indicator of historic trends in France, Le Pen seems likely to win twice the 18 percent her father, Jean-Marie Le Pen, won in 2002, when he lost in the runoff to Jacques Chirac.

The campaign between now and May 7, however, could make the Trump-Clinton race look like an altarpiece of democratic decorum.

Not only are the differences between the candidates stark, Le Pen has every incentive to attack to solidify her base and lay down a predicate for the future failure of a Macron government.

And Macron is vulnerable. He won because he is fresh, young, 39, and appealed to French youth as the anti-Le Pen. A personification of Robert Redford in “The Candidate.”

But he has no established party behind him to take over the government, and he is an ex-Rothschild banker in a populist environment where bankers are as welcome as hedge-fund managers at a Bernie Sanders rally.

He is a pro-EU, open-borders transnationalist who welcomes new immigrants and suggests that acts of Islamist terrorism may be the price France must pay for a multi-ethnic and multicultural society.

Macron was for a year economic minister to President Francois Hollande who has presided over a 10 percent unemployment rate and a growth rate that is among the most anemic in the entire European Union.

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He is offering corporate tax cuts and a reduction in the size of a government that consumes 56 percent of GDP, and presents himself as the “president of patriots to face the threat of nationalists.”

His campaign is as much “us vs. them” as Le Pen’s.

And elite enthusiasm for Macron seems less rooted in any anticipation of future greatness than in the desperate hope he can save the French establishment from the dreaded prospect of Marine.

But if Macron is the present, who owns the future?

Across Europe, as in France, center-left and center-right parties that have been on the scene since World War II appear to be emptying out like dying churches. The enthusiasm and energy seem to be in the new parties of left and right, of secessionism and nationalism.

The problem for those who believe the populist movements of Europe have passed their apogee, with losses in Holland, Austria and, soon, France, that the fever has broken, is that the causes of the discontent that spawned these parties are growing stronger.

What are those causes?

A growing desire by peoples everywhere to reclaim their national sovereignty and identity, and remain who they are. And the threats to ethnic and national identity are not receding, but growing.

The tide of refugees from the Middle East and Africa has not abated. Weekly, we read of hundreds drowning in sunken boats that tried to reach Europe. Thousands make it. But the assimilation of Third World peoples in Europe is not proceeding. It seems to have halted.

Second-generation Muslims who have lived all their lives in Europe are turning up among the suicide bombers and terrorists.

Fifteen years ago, al-Qaida seemed confined to Afghanistan. Now it is all over the Middle East, as is ISIS, and calls for Islamists in Europe to murder Europeans inundate social media.

As the numbers of native-born Europeans begin to fall, with their anemic fertility rates, will the aging Europeans become more magnanimous toward destitute newcomers who do not speak the national language or assimilate into the national culture, but consume its benefits?

If a referendum were held across Europe today, asking whether the mass migrations from the former colonies of Africa and the Middle East have on balance made Europe a happier and better place to live in in recent decades, what would that secret ballot reveal?

Does Macron really represent the future of France, or is he perhaps one of the last men of yesterday?
 http://www.wnd.com/2017/04/is-macron-the-eus-last-best-hope/#e9TbxGcObXt9Bpu5.99

 

Story 2:  President Trump’s Transparent Executive Orders — Videos — 

Image result for list of trump executive ordersImage result for list of trump executive ordersImage result for list of trump executive ordersImage result for cartoons trump executive ordersImage result for list of trump executive orders

What Are Executive Orders?

President Trump Signs Financial Services Executive Orders

How Trump’s executive order begins to reform the H-1B visa program

Trump’s executive order to help the American worker

President Trump Signs Executive Orders Regarding Trade

What do all of President Trump’s executive orders mean?

[youtube-https://www.youtube.com/watch?v=ov2-KwmkMNQ]

The impact of President Trump’s executive actions

WATCH: President Trump Signs Executive EPA Orders (FNN)

Executive order (United States)

From Wikipedia, the free encyclopedia
“Executive order” redirects here. For other uses, see Executive order (disambiguation). Not to be confused with Presidential proclamation or Presidential memorandum.

Executive orders are orders issued by United States Presidents and directed towards officers and agencies of the Federal government of the United States. Executive orders have the full force of law, based on the authority derived from statute or the Constitution itself. The ability to make such orders is also based on express or implied Acts of Congress that delegate to the President some degree of discretionary power (delegated legislation).[1]

Like both legislative statutes and regulations promulgated by government agencies, executive orders are subject to judicial review and may be overturned if the orders lack support by statute or the Constitution.[2] Major policy initiatives require approval by the legislative branch, but executive orders have significant influence over the internal affairs of government, deciding how and to what degree legislation will be enforced, dealing with emergencies, waging wars, and in general fine-tuning policy choices in the implementation of broad statutes.

Basis in the United States Constitution

The United States Constitution does have a provision that explicitly permits the use of executive orders. The term executive power in Article II, Section 1, Clause 1 of the Constitution is not entirely clear. The term is mentioned as direction to “take Care that the Laws be faithfully executed” and is part of Article II, Section 3, Clause 5. The consequence of failing to comply possibly being removal from office.[3][4]

The U.S. Supreme Court has held[5] that all executive orders from the President of the United States must be supported by the Constitution, whether from a clause granting specific power, or by Congress delegating such to the executive branch.[6] Specifically, such orders must be rooted in Article II of the US Constitution or enacted by the congress in statutes. Attempts to block such orders have been successful at times when such orders exceeded the authority of the president or could be better handled through legislation.[7]

The Office of the Federal Register is responsible for assigning the executive order a sequential number after receipt of the signed original from the White House and printing the text of the executive order in the daily Federal Register and Title 3 of the Code of Federal Regulations.[8]

Other types of orders issued by “the Executive” are generally classified simply as administrative orders rather than executive orders.[9] These are typically the following:

Presidential directives are considered a form of executive order issued by the President of the United States with the advice and consent of a major agency or department found within the executive branch of government.[10]Some types of Presidential directives are the following:

History and use

With the exception of William Henry Harrison, all presidents beginning with George Washington in 1789 have issued orders that in general terms can be described as executive orders. Initially they took no set form. Consequently, such orders varied as to form and substance.[11]

The first executive order was issued by George Washington on June 8, 1789, addressed to the heads of the federal departments, instructing them “to impress me with a full, precise, and distinct general idea of the affairs of the United States” in their fields.[12]

The most famous executive order was by President Abraham Lincoln when he issued the Emancipation Proclamation on January 1, 1863. Political scientist Brian R. Dirck states:

The Emancipation Proclamation was an executive order, itself a rather unusual thing in those days. Executive orders are simply presidential directives issued to agents of the executive department by its boss.[13]

Until the early 1900s, executive orders went mostly unannounced and undocumented, seen only by the agencies to which they were directed. This changed when the Department of State instituted a numbering scheme in 1907, starting retroactively with United States Executive Order 1 issued on October 20, 1862, by President Abraham Lincoln.[14] The documents that later came to be known as “executive orders” apparently gained their name from this order issued by Lincoln, which was captioned “Executive Order Establishing a Provisional Court in Louisiana”.[9] This court functioned during the military occupation of Louisiana during the American Civil War, and Lincoln also used Executive Order 1 to appoint Charles A. Peabody as judge, and to designate the salaries of the court’s officers.[14]

President Truman’s Executive Order 10340 in Youngstown Sheet & Tube Co. v. Sawyer, 343 US 579 (1952) placed all steel mills in the country under federal control. This was found invalid because it attempted to make law, rather than clarify or act to further a law put forth by the Congress or the Constitution. Presidents since this decision have generally been careful to cite which specific laws they are acting under when issuing new executive orders. Likewise, when presidents believe their authority for issuing an executive order stems from within the powers outlined in the Constitution, the order will simply proclaim “under the authority vested in me by the Constitution” instead.

Wars have been fought upon executive order, including the 1999 Kosovo War during Bill Clinton‘s second term in office. However, all such wars have had authorizing resolutions from Congress. The extent to which the president may exercise military power independently of Congress and the scope of the War Powers Resolution remain unresolved constitutional issues, although all presidents since its passage have complied with the terms of the resolution while maintaining that they are not constitutionally required to do so.

President Truman issued 907 executive orders, with 1,081 orders by Theodore Roosevelt, 1,203 orders by Calvin Coolidge, and 1,803 orders by Woodrow Wilson. Franklin D. Roosevelt has the distinction of making a record 3,522 executive orders.

Franklin Roosevelt

Prior to 1932, uncontested executive orders had determined such issues as national mourning on the death of a president, and the lowering of flags to half-staff. President Franklin Roosevelt issued the first of his 3,522 executive orders on March 6, 1933, declaring a bank holiday, forbidding banks to release gold coin or bullion. Executive Order 6102 forbade the hoarding of gold coin, bullion and gold certificates. A further executive order required all newly mined domestic gold be delivered to the Treasury.[15]

By Executive Order 6581, the president created the Export-Import Bank of the United States. On March 7, 1934, he created the National Industrial Recovery Act (Executive Order 6632). On June 29, the president issued Executive Order 6763 “under the authority vested in me by the Constitution”, thereby creating the National Labor Relations Board.

In 1934, while Charles Evans Hughes was Chief Justice of the United States (in the time period known as the Hughes Court), the Court found that the National Industrial Recovery Act (NIRA) was unconstitutional. The president then issued Executive Order 7073 “by virtue of the authority vested in me under the said Emergency Relief Appropriation Act of 1935“, reestablishing the National Emergency Council to administer the functions of the NIRA in carrying out the provisions of the Emergency Relief Appropriations Act. On June 15, he issued Executive Order 7075, which terminated NIRA and replaced it with the Office of Administration of the National Recovery Administration.[16]

In the years that followed, President Roosevelt replaced the outgoing judges with those more in line with his views, ultimately appointing Hugo Black, Stanley Reed, Felix Frankfurter, William O. Douglas, Frank Murphy, Robert H. Jackson and James F. Byrnes to the Court. Historically, only George Washington had equal or greater influence over Supreme Court appointments, choosing all of its original members. Justices Frankfurter, Douglas, Black, and Jackson dramatically checked presidential power by invalidating the executive order at issue in The Steel Seizure Case (i.e., Executive Order 10340). In that case Roosevelt’s successor, President Truman, had ordered private steel production facilities seized in support of the Korean War effort, but the Court held the executive order was not within the power granted to the President by the Constitution.

Table of Presidents using Executive Orders

President Number
issued [15]
Starting with
E.O. number [15]
George Washington 8 n/a
John Adams 1 n/a
Thomas Jefferson 4 n/a
James Madison 1 n/a
James Monroe 1 n/a
John Quincy Adams 3 n/a
Andrew Jackson 12 n/a
Martin van Buren 10 n/a
William Henry Harrison 0 n/a
John Tyler 17 n/a
James K. Polk 18 n/a
Zachary Taylor 5 n/a
Millard Fillmore 12 n/a
Franklin Pierce 35 n/a
James Buchanan 16 n/a
Abraham Lincoln 48
Andrew Johnson 79
Ulysses S. Grant 217
Rutherford B. Hayes 92
James Garfield 6
Chester Arthur 96
Grover Cleveland (first term) 113
Benjamin Harrison 143
Grover Cleveland (second term) 140
William McKinley 185
Theodore Roosevelt 1,081
William Howard Taft 724
Woodrow Wilson 1,803
Warren G. Harding 522
Calvin Coolidge 1,203
Herbert Hoover 968 5075
Franklin D. Roosevelt (~3.05 terms) 3,522 6071
Harry S. Truman 907 9538
Dwight D. Eisenhower 484 10432
John F. Kennedy 214 10914
Lyndon B. Johnson 325 11128
Richard Nixon 346 11452
Gerald R. Ford 169 11798
Jimmy Carter 320 11967
Ronald Reagan 381 12287
George H. W. Bush 166 12668
Bill Clinton[17] 308 12834
George W. Bush[17] 291 13198
Barack Obama[17] 276 13489
Donald Trump (as of April 21, 2017) [18] 25 13765

https://en.wikipedia.org/wiki/Executive_order_(United_States)

Trump has already signed 66 executive actions — here’s what each one does

donald trumpPresident Donald Trump signs the executive order halting immigrants from some Muslim-majority countries from entering the US.Olivier Douliery-Pool/Getty Images

President Donald Trump’s first months in office have been filled with a flurry of action, and he’s just getting started.

The 45th president has signed 66 executive actions so far, with far-reaching effects on Americans’ lives.

There are technically three types of executive actions, which each have different authority and effects, with executive orders holding the most prestige:

  • Executive orders are assigned numbers and published in the federal register, similar to laws passed by Congress, and typically direct members of the executive branch to follow a new policy or directive. Trump has issued 24 orders.
  • Presidential memoranda do not have to be published or numbered (though they can be), and usually delegate tasks that Congress has already assigned the president to members of the executive branch. Trump has issued 22 memoranda.
  • Finally, while some proclamations — like President Abraham Lincoln’s emancipation proclamation — have carried enormous weight, most are ceremonial observances of federal holidays or awareness months. Trump has issued 20 proclamations.

Scholars have typically used the number of executive orders per term to measure how much presidents have exercised their power. George Washington only signed eight his entire time in office, according to the American Presidency Project, while FDR penned over 3,700.

In his two terms, President Barack Obama issued 277 executive orders, a total number on par with his modern predecessors, but the lowest per year average in 120 years. Trump, so far, has signed 24 executive orders in 89 days.

Here’s a quick guide to the executive actions Trump has made so far, what they do, and how Americans have reacted to them:

Executive Order, April 18: ‘Buy American, Hire American’

Executive Order, April 18: 'Buy American, Hire American'

President Donald Trump speaks at Snap-On Tools in Kenosha, Wisconsin on April 18, 2017.Associated Press/Kiichiro Sato

At a tools manufacturer in Wisconsin, Trump signed an order directing federal agencies to review and propose changes to the popular, but controversial H-1B visa program meant to attract skilled foreign labor.

Critics say it’s used by companies to hire cheap, foreign workers in place of Americans, while proponents — including many in the tech industry — say it provides much-needed skilled workers to sectors where companies have struggled to hire Americans.

Trump’s “Buy American, hire American” order also directs federal agencies to maximize the American products they purchase, particularly calling out “steel, iron, aluminum, and cement.”

Read the full text of the order here »

Presidential proclamation, April 14: National Park Week

Presidential proclamation, April 14: National Park Week

White House press secretary Sean Spicer gave Interior Secretary Ryan Zinke the first quarter check of Trump’s salary to the National Park Service as Tyrone Brandyburg, Harpers Ferry National Historical Park Superindendant, looked on during the daily press briefing at the White House on April 3, 2017.Mark Wilson/Getty Images

Trump designated April 15-23, 2017 as National Park Week, during which all 417 sites (59 official “parks”) across the country are free to enter, a move many past presidents have made as well.

The president also donated his first quarter salary to the National Park Service’s American Battlefield Protection Program. Critics were quick to point out that Trump’s $78,333.32 donation could hardly make up for the nearly $2 billion his federal budget proposes cutting from the Interior Department this year.

 

Presidential memorandum, April 12: Delegating terrorist report request

Presidential memorandum, April 12: Delegating terrorist report request

FBI Director James Comey testifies on Capitol Hill in Washington on Jan. 10, 2017, before the Senate Intelligence Committee hearing on Russian Intelligence Activities.AP Photo/Cliff Owen

The 2017 National Defense Authorization Act directs the president to review “known instances since 2011 in which a person has traveled or attempted to travel to a conflict zone in Iraq or Syria from the United States to join or provide material support or resources to a terrorist organization,” and submit a report to Congress.

Trump delegated this responsibility to FBI Director James Comey.

Read the full text of the memo here »

Presidential memorandum, April 11: Signing letter on including Montenegro in NATO

Presidential memorandum, April 11: Signing letter on including Montenegro in NATO

Montenegro’s PM Djukanovic attends a NATO foreign ministers meeting in Brussels.Thomson Reuters

At the end of March, the US Senate voted to include Montenegro’s in NATO, 97 to 2. While Trump called the alliance “obsolete” as recently as January, he said he no longer feels that way, and didn’t veto the small southern European country’s inclusion.

The president has called on members of NATO to pay their fair share, saying the US carries too much financial responsibility for the military stronghold. The addition of Montenegro is likely to irk Russia, however, as it means one more country looks to West instead of staying under the influence of the Kremlin.

Read the full text of the memo indicating Trump’s approval of the Senate’s vote here »

Presidential memorandum, April 8: Notifying Congress of the US Syria strike

Presidential memorandum, April 8: Notifying Congress of the US Syria strike

In this image from video provided by the U.S. Navy, the guided-missile destroyer USS Porter (DDG 78) launches a tomahawk land attack missile in the Mediterranean Sea, Friday, April 7, 2017.Mass Communication Specialist 3rd Class Ford Williams/U.S. Navy via AP

This memo formally informed Congress of Trump’s order to launch a salvo of 59 cruise missiles on Shayrat airfield and nearby military infrastructure controlled by Syrian President Bashar Assad on Friday, in response to a chemical attack that killed at least 80 people in the northwestern part of the country on Tuesday.

Some lawmakers slammed Trump for not getting congressional or UN approval before ordering the strike, as the president’s legal authority for doing so is unclear.

“I acted in the vital national security and foreign policy interests of the United States, pursuant to my constitutional authority to conduct foreign relations and as Commander in Chief and Chief Executive,” Trump said in the memo. “I am providing this report as part of my efforts to keep the Congress fully informed, consistent with the War Powers Resolution.”

Read the full text of the memo here »

5 presidential proclamations, April 3-7: Honoring and drawing awareness

5 presidential proclamations, April 3-7: Honoring and drawing awareness

John Glenn was the first US man to orbit the Earth as part of Project Mercury.NASA

Trump proclaimed various days and weeks in April were in honor of five different causes:

  1. April 2-8, 2017: National Crime Victims’ Rights Week
  2. Honoring the Memory of John Glenn
  3. April 7, 2017: Education and Sharing Day
  4. April 14, 2017: Pan American Day; April 9-15, 2017: Pan American Week
  5. April 9, 2017: National Former Prisoner of War Recognition Day

Read the full text of each proclamation in the links above.

 

Presidential memorandum, April 3: Principles for reforming the draft

Presidential memorandum, April 3: Principles for reforming the draft

The president’s son-in-law and top adviser Jared Kushner talks with Gen. Joseph F. Dunford Jr. during his visit to Iraq with the US military on April 4.Chairman of the Joint Chiefs of Staff/Flickr

The United States has had a volunteer-based military for over four decades, but nearly all American males still have to register for the draft when they turn 18.

In the 2017 National Defense Authorization Act, Congress called on the president to outline his principles for reforming the draft. So in his order, Trump told Congress that the US military should recruit a diverse pool of citizens, and offer them training opportunities that will benefit the armed forces as well as their future employment, in order to “prepare to mitigate an unpredictable global security and national emergency environment.”

Read the full text of the memo here »

2 Executive Orders, March 31: Lowering the trade deficit and collecting import duties

2 Executive Orders, March 31: Lowering the trade deficit and collecting import duties

Vice President Mike Pence tries to stop President Donald Trump as he leaves before signing executive orders regarding trade in the Oval Office on March 31, 2017.AP Photo/Andrew Harnik

Ahead of Trump’s first meeting with Chinese President Xi Jinping, he signed two orders focused on an issue he decried during the campaign: the US trade deficit.

The first order directs the executive branch to produce a country-by-country, product-by-product report on trade deficits in 90 days, in order to figure out how to reduce the $500 billion trade deficit the US had in 2016.

Business Insider’s Pedro Nicolaci da Costa wrote that the order’s plan for a “90-day ‘investigation’ into why the US had trade deficits with specific countries, [was] a quixotic exercise most economists say shows a deep lack of understanding of the workings of international trade.”

The second order seeks to strengthen the US response to its trade laws preventing counterfeit or illegal imports, citing “$2.3 billion in antidumping and countervailing duties” that the government hasn’t collected.

“On a typical day, CBP screens more than 74,000 truck, rail, and sea cargo containers at 328 U.S. ports of entry — with imported goods worth approximately $6.3 billion,” a Department of Homeland Security press release on the order wrote. “In Fiscal Year 2016, CBP seized more than 31,500 of counterfeit shipments and collected more $40 billion in duties, taxes, and fees, making CBP the U.S. government’s second largest source of revenue.”

Read the full text of the deficit order here »

And the full text of the antidumping order here »

Executive Orders, March 31 and February 9: Changing the DOJ order of succession

Executive Orders, March 31 and February 9: Changing the DOJ order of succession

Attorney General Jeff Sessions speaks after being sworn-in in the Oval Office of the White House on February 9, 2017.REUTERS/Kevin Lamarque

On February 9, Trump signed an order establishing a line of succession to lead the US Department of Justice if the attorney general, deputy attorney general, or associate attorney general die, resign, or are otherwise unable to carry on their duties. In order, the US Attorney for the Eastern District of Virginia, the US Attorney for the Northern District of Illinois, and then the US Attorney for the Western District of Missouri will be next in line.

The action reverses an order Obama signed days before leaving office. After Trump fired acting Attorney General Sally Yates for refusing to enforce his first travel ban, he appointed Dana Boente, US attorney for the Eastern District of Virginia, as acting attorney general in her place. This order elevates his position in the order of succession.

Read the full text of the first order here »

On March 31, Trump signed another order reversing this order. The new order of succession after the AG, deputy AG, and associate AG are as follows: US Attorney for the Eastern District of Virginia, US Attorney for the Eastern District of North Carolina, and then the US Attorney for the Northern District of Texas.

Since Attorney General Jeff Sessions recused himself from the DOJ probe into Trump’s associates contacts with Russian operatives, the order of succession will determine who will oversee that investigation. Trump will have to fill the North Carolina post soon, the Palmer Report points out, possibly allowing the president to influence who leads the Russia investigation.

Read the full text of the second order here »

6 presidential proclamations, March 31: Sexual assault awareness and others

6 presidential proclamations, March 31: Sexual assault awareness and others

Jessica Drake (R) was one of several women who accused Donald Trump of past sexual misconduct during the 2016 election.Reuters/Kevork Djansezian

Trump proclaimed April 2, 2017 World Autism Awareness Day, and that the month of April 2017 was in honor of five different causes:

  1. Cancer Control Month
  2. National Child Abuse Prevention Month
  3. National Sexual Assault Awareness and Prevention Month
  4. National Financial Capability Month
  5. National Donate Life Month

Many criticized Trump’s National Sexual Assault Awareness and Prevention Month, in particular, because multiple woman came forward during the campaign and accused Trump of sexual misconduct in the past. He also bragged on a 2005 tape that surfaced in October 2016that he could “grab” women “by the p—y” because “when you’re a star they let you do it.”

A very Ironic Trump Declares “National Sexual Assault Awareness and Prevention Month” http://www.motherjones.com/politics/2017/03/donald-trump-april-national-sexual-assault-awareness-month  via @MotherJones

Photo published for Trump Declares "National Sexual Assault Awareness and Prevention Month"

Trump Declares “National Sexual Assault Awareness and Prevention Month”

The president has been accused of assaulting more than 15 women.

motherjones.com

Trump’s defense of O’Reilly underscores how farcical his proclamation of National Sexual Assault Awareness and Prevention Month is.

Read the full text of each proclamation in the links above.

Executive Order, March 29: Combating the opioid crisis

Executive Order, March 29: Combating the opioid crisis

President Donald Trump shakes hands with New Jersey Gov. Chris Christie at a panel discussion on an opioid and drug abuse in the Roosevelt Room of the White House March 29, 2017 in Washington, DC.Shawn Thew-Pool/Getty Images

This order established the President’s Commission on Combating Drug Addiction and the Opioid Crisis. The commission, headed by New Jersey Gov. Chris Christie, is supposed to report to the president strategies to address the epidemic, which is now killing 30,000 Americans a year.

But many experts said the president’s action is “underwhelming.”

“These people don’t need another damn commission,” an anonymous former Obama administration official who worked on the issue told Politico. “We know what we need to do. … It’s not rocket science.” Business Insider’s Erin Brodwin outlined some strategies that scientists think will work.

Read the full text of the order here »

Executive Order, March 28: Dismantling Obama’s climate change protections

Executive Order, March 28: Dismantling Obama's climate change protections

President Donald Trump, accompanied by Environmental Protection Agency (EPA) Administrator Scott Pruitt, third from left, and Vice President Mike Pence, right, signs an Energy Independence Executive Order, Tuesday, March 28, 2017, at EPA headquarters in Washington with coal and oil executives.AP Photo/Pablo Martinez Monsivais

On the campaign trail, Trump vowed to bring back coal mining jobs and dismantle Obama’s environmental policy, declaring climate change a “hoax.” While coal jobs are unlikely to come back in droves, this executive order makes good on the second promise, directing federal agencies to rescind any existing regulations that “unduly burden the development of domestic energy resources.”

It also rescinds four of Obama’s executive actions, two of his reports, and tells the Environmental Protection Agency to review his landmark Clean Power Plan that would have capped power plant emissions. Since many of Obama’s actions were complex, however, it may take Trump a while to reverse them.

Democrats, environmentalists, and protesters demonstrating outside the White House after Trump signed the order decried the action, declaring it would lead to runaway climate change, while many Republican congressmen applauded the action for promoting energy independence.

Read the full text of the order here »

Executive Order, March 27: Revoking Obama’s fair pay and safe workplaces orders

Executive Order, March 27: Revoking Obama's fair pay and safe workplaces orders

President Barack Obama meets with then-President-elect Donald Trump in the Oval Office of the White House on November 10, 2016.REUTERS/Kevin Lamarque

In 2014, Obama signed an executive order requiring federal government contracts over $500,000 had to go to companies that hadn’t violated labor laws. He signed two more orders making minor clarifications to that original order later that year and in 2016.

Trump’s new order revoking those three orders, and directed federal agencies to review any procedural changes they made because of the orders. When companies bid for federal contracts, they’ll no longer have to disclose if they’ve violated the Fair Labor Standards Act, the Occupational Safety and Health Act, the Migrant and Seasonal Agricultural Worker
Protection Act, or the National Labor Relations Act.

Read the full text of the order here »

Presidential memorandum, March 27: Establishing the White House Office of American Innovation

Presidential memorandum, March 27: Establishing the White House Office of American Innovation

President Trump departs the White House in Washington with son-in-law and senior adviser Jared Kushner.Thomson Reuters

Trump established the White House Office of American Innovation, choosing his son-in-law and senior adviser Jared Kushner to lead it. The office will aim to overhaul government functions with ideas from industry.

Business titans Gary Cohn (National Economic Council director), Dina Powell (senior counselor to the president for economic initiatives and deputy national security adviser), Chris Liddell (assistant to the president for strategic initiatives), and Reed Cordish (assistant to the president for intragovernmental and technology initiatives) will also be on the team.

Read the full text of the memo here »

Presidential proclamation, March 24: Greek Independence Day

Presidential proclamation, March 24: Greek Independence Day

President Donald Trump speaks to guests during a Greek Independence Day celebration in the East Room of the White House, on March 24, 2017 in Washington, DC.Mark Wilson/Getty Images

Trump declared March 25, 2017, as Greek Independence Day.

“American patriots built our Republic on the ancient Greeks’ groundbreaking idea that the people should decide their political fates,” the president wrote in the proclamation.

Read the full text here »

2 presidential memoranda, March 23: Declaring an emergency in South Sudan

2 presidential memoranda, March 23: Declaring an emergency in South Sudan

The same day he signed these memoranda, Trump honked the horn of an 18-wheeler truck while meeting with truckers and CEOs on the South Lawn of the White House, Thursday, March 23, 2017.AP Photo/Andrew Harnik

Trump signed two memoranda declaring a national emergency in South Sudan, and notifying Congress that he did so, extending the emergency Obama declared in 2014. One million people there are on the brink of dying from a lack of food.

United Nations officials have called the famine in South Sudan, Nigeria, and Somalia the “world’s largest humanitarian crisis in 70 years.”

Office of Management and Budget Director Mick Mulvaney has said that the president’s proposed budget would “spend less money on people overseas and more money on people back home” and “absolutely” cut programs like those that would aid those starving in South Sudan.

Read the full text of the memos here and here »

Presidential memorandum, March 20: Delegating to Tillerson

Presidential memorandum, March 20: Delegating to Tillerson

President Donald Trump smiles at Secretary of State Rex Tillerson after he was sworn in in the Oval Office of the White House in Washington, Wednesday, Feb. 1, 2017.Associated Perss/Carolyn Kaster

Trump delegated presidential powers in the National Defense Authorization Act to Secretary of State Rex Tillerson. The law doles out funding “for military activities of the Department of Defense, for military construction, and for defense activities of the Department of Energy, to prescribe military personnel strengths.”

Read the full text of the memo here »

Presidential proclamation, March 17: National Poison Prevention Week

Presidential proclamation, March 17: National Poison Prevention Week

President Donald Trump departs the White House with his grandchildren Arabella and Joseph on March 3, 2017.Win McNamee/Getty Images

Trump proclaimed March 19 through March 25, 2017 National Poison Prevention Week in order to encourage Americans to safeguard their homes and protect children from ingesting common household items that may poison them.

Read the full text of the proclamation here »

Presidential memorandum, March 16: A letter to the House of Representatives outlining Trump’s proposed budget

Presidential memorandum, March 16: A letter to the House of Representatives outlining Trump's proposed budget

Winners and losers in Trump’s first budget.Mike Nudelman/Business Insider

Trump sent his first budget to the House of Representatives, requesting an additional $30 billion for the Department of Defense to fight ISIS and $3 billion for the Department of Homeland Security to protect the US border.

To offset the massive defense money, Trump proposes slashing funding for several key federal agencies, dropping budgets for the State Department and the Environmental Protection Agency by almost a third.

Several noteworthy Republican lawmakers signaled they didn’t approve of Trump’s first budget, and Democrats across the board decried the deep spending cuts.

Read the full text of the memorandum here »

Executive Order, March 13: Reorganizing the executive branch

Executive Order, March 13: Reorganizing the executive branch

President Donald Trump’s Cabinet gathers in the Oval Office on March 13, 2017.Donald Trump/Twitter

With the written aim of improving the efficiency of the federal government, Trump signed an order to shake up the executive branch, and “eliminate or reorganize unnecessary or redundant federal agencies” identified in a 180-day review.

It directs Office of Management and Budget Director Mick Mulvaney to review agency head’s proposed plans to reorganize or shrink their departments, and submit a plan to Trump by September 2017 outlining how to streamline the government.

Historians expressed skepticism that Trump would be able to effectively shrink the government, since many past presidents have tried and failed to do so. Critics argued that Trump could use the order to dismantle federal agencies that he or his Cabinet members don’t like.

Read the full text of the order here »

Presidential proclamation, March 6: National Consumer Protection Week

Presidential proclamation, March 6: National Consumer Protection Week

Pool/Getty Images

March 5 through March 11, 2017 was National Consumer Protection Week, Trump proclaimed, which “reminds us of the importance of empowering consumers by helping them to more capably identify and report cyber scams, monitor their online privacy and security, and make well-informed decisions.”

Read the full text of the proclamation here »

Executive Order, March 6: A new travel ban

Executive Order, March 6: A new travel ban

President Donald Trump signs a new temporary travel ban in the Oval Office on March 6, 2017.Sean Spicer/Twitter

Trump’s second go at his controversial travel order bans people from Sudan, Iran, Somalia, Yemen, Syria, and Libya from entering the US for 90 days, and bars all refugees from coming into the country for 120 days, starting March 16.

Existing visa holders will not be subjected to the ban, and religious minorities will no longer get preferential treatment — two details critics took particular issue with in the first ban. The new order removed Iraq from the list of countries, and changed excluding just Syrian refugees to preventing all refugees from entering the US.

Democrats denounced the new order, with Senate Minority Leader Chuck Schumer saying the “watered-down ban is still a ban,” and Democratic National Committee Chair Tom Perez saying “Trump’s obsession with religious discrimination is disgusting, un-American, and outright dangerous.”

Read the full text of the order here »

UPDATE 3/15: US District Judge Derrick Watson put an emergency halt on the revised travelban the day before it would have taken effect, after several states and refugee groups sued in court. Trump vowed to appeal the decision and take the order all the way to the Supreme Court if necessary.

Presidential Memorandum, March 6: Guidance for agencies to implement the new travel ban

Presidential Memorandum, March 6: Guidance for agencies to implement the new travel ban

Secretary of State Rex Tillerson, Attorney General Jeff Sessions, and Homeland Security Secretary John Kelly make statements on Trump’s new travel ban on March 6, 2017.AP Photo/Susan Walsh

This memo instructs the State Department, the Justice Department, and the Department of Homeland Security how to implement Trump’s new travel ban.

It directs the three department heads to enhance the vetting of visa applicants and other immigrants trying to enter the US as they see fit, to release how many visa applicants there were by country, and to submit a report in 180 days detailing the long-term costs of the United States Refugee Admissions Program.

Read the full text of the memorandum here »

3 Presidential proclamations, March 1: National months for women, the American Red Cross, and Irish-Americans

3 Presidential proclamations, March 1: National months for women, the American Red Cross, and Irish-Americans

Donald Trump signs bills to promote women in STEM.Zach Gibson/Getty Images

The president proclaimed March 2017 Women’s History Month, American Red Cross Month, and Irish-American Heritage Month.

Read the full text of the women’s history proclamation here »

And the Red Cross proclamation here »

And the Irish-American proclamation here »

Executive Order, February 28: Promoting Historically Black Colleges and Universities

Executive Order, February 28: Promoting Historically Black Colleges and Universities

Kellyanne Conway, counselor to the president, takes a photo of leaders from Historically Black Colleges and Universities and Trump in the Oval Office.Getty Images

This order established the White House Initiative on Historically Black Colleges and Universities, which will aim to increase private funding of these schools, encourage more students to attend them, and identify ways the executive branch can help these institutions succeed.

Students at some HBCU protested the meeting their leaders attended to witness Trump signing the order, expressing their disapproval of the president in general, and questioning whether the action was “truly a seat at the table” or merely “a photo op.”

Read the full text of the order here »

Executive Order, February 28: Reviewing the ‘Waters of the United States’ rule

Executive Order, February 28: Reviewing the 'Waters of the United States' rule

EPA Administrator Scott Pruitt holds up an EPA cap during his first address to the agency.AP Photo/Susan Walsh

The order directed federal agencies to revise the Clean Water Rule, a major regulation Obama issued in 2015 to clarify what areas are federally protected under the Clean Water Act.

Trump’s EPA Administrator Scott Pruitt called the rule “the greatest blow to private property rights the modern era has seen,” in 2015, and led a multi-state lawsuit against it while he was Oklahoma’s attorney general.

David J. Cooper, an ecologist at Colorado State University, cautioned that repealing the rule wouldn’t settle the confusion about what the federal government can protect under the Clean Water Act, or where.

Read the full text of the order here »

Executive Order, February 24: Enforcing regulatory reform

Executive Order, February 24: Enforcing regulatory reform

President Donald Trump meets with union leaders at the White House.Getty Images

This order creates Regulator Reform Officers within each federal agency who will comb through existing regulations and recommend which ones the administration should repeal. It directs the officers to focus on eliminating regulations that prevent job creation, are outdated, unnecessary, or cost too much.

The act doubles down on Trump’s plan to cut government regulations he says are hampering businesses, but opponents insist are necessary to protect people and the environment. Leaders of 137 nonprofit groups sent a letter to the White House on February 28 telling the president that “Americans did not vote to be exposed to more health, safety, environmental and financial dangers.”

Read the full text of the order here »

Executive Order, February 9: Combating criminal organizations

Executive Order, February 9: Combating criminal organizations

Recaptured drug lord Joaquin “El Chapo” Guzman is escorted by soldiers at the hangar belonging to the office of the Attorney General in Mexico City, Mexico on January 8, 2016.Reuters/Amanda Macias/Business Insider

The order is intended to “thwart” criminal organizations, including “criminal gangs, cartels, racketeering organizations, and other groups engaged in illicit activities.”

The action directs law enforcement to apprehend and prosecute citizens, and deport non-citizens involved in criminal activities including “the illegal smuggling and trafficking of humans, drugs or other substances, wildlife, and weapons,” “corruption, cybercrime, fraud, financial crimes, and intellectual-property theft,” and money laundering

The Secretary of State, Attorney General, Secretary of Homeland Security, and Director of National Intelligence will co-chair a Threat Mitigation Working Group that will identify ways that local, state, federal, and international law enforcement can work together in order to eradicate organized crime.

It also instructs the co-chairs to present the president with a report within 120 days outlining the penetration of criminal organizations into the United States, and recommendations for how to eradicate them.

Read the full text of the order here »

Executive Order, February 9: Reducing crime

Executive Order, February 9: Reducing crime

President Donald Trump speaks during a meeting with county sheriffs in the Roosevelt Room of the White House in Washington, Tuesday, Feb. 7, 2017.AP Photo/Evan Vucci

Following up on his promise to restore “law and order” in America, Trump signed an executive order intended to reduce violent crime in the US, and “comprehensively address illegal immigration, drug trafficking, and violent crime.”

The action directs Attorney General Jeff Sessions to assemble a task force in order to identify new strategies and laws to reduce crime, and to evaluate how well crime data is being collected and leveraged across the country.

Trump has come under fire recently for claiming the national murder rate was at an all-time high, when it has in fact dropped to one of the lowest rates ever, with 2015 merely experiencing a slight uptick from the previous year.

Read the full text of the order here »

Executive Order, February 9: Protecting law enforcement

Executive Order, February 9: Protecting law enforcement

Police break up skirmishes between demonstrators and supporters of then-Republican presidential candidate Donald Trump that broke out after it was announced the rally on March 11, 2016 in Chicago, Illinois would be postponed.Scott Olson/Getty Images

The order seeks to create new laws that will protect law enforcement, and increase the penalties for crimes committed against them.

It also directs the attorney general to review existing federal grant funding programs to law enforcement agencies, and recommend changes to the programs if they don’t adequately protect law enforcement.

The action is likely in response to multiple high-profile police killings over the past year, including a sniper attack that killed five Dallas police officers in July.

Read the full text of the order here »

Executive Order, February 3: Reviewing Wall Street regulations

Executive Order, February 3: Reviewing Wall Street regulations

President Donald Trump signs an executive order rolling back regulations from the 2010 Dodd-Frank law on Wall Street reform on Feb. 3, 2017 in the Oval Office.REUTERS/Kevin Lamarque

Trump signed two actions on Friday that could end up rewriting regulations in the financial industry that Obama and Congress put in place after the 2008 financial crisis.

The executive order sets “Core Principles” of financial regulation declaring that Trump’s administration seeks to empower Americans to make their own financial decisions, prevent taxpayer-funded bailouts, and reduce regulations on Wall Street so US companies can compete globally.

It also directs the Secretary of Treasury to review existing regulations on the financial system, determine whether the Core Principles are being met, and report back to the President in 120 days.

Experts worry that loosening regulations could roll back the Obama administration’s landmark consumer protection reform bill, Dodd-Frank, aimed at reducing risk in the financial system. Sen. Elizabeth Warren, the progressive darling from Massachusetts, led the charge decrying the actions.

Read the full text of the order here »

Presidential Memorandum, February 3: Reviewing the fiduciary duty rule

Presidential Memorandum, February 3: Reviewing the fiduciary duty rule

President Donald Trump signs an executive action in the White House.AP

The memorandum directs the Labor Secretary to review the “fiduciary rule,” another Obama-era law intended to protect Americans’ retirement money from conflicted advice from financial advisers that has long drawn rebuke from Wall Streeters and was scheduled to go into effect in April.

If the secretary finds the rule conflicts with the administration’s Core Principles, adversely affects the retirement industry, or causes increased litigation, then he should recommend revising or repealing the rule.

Democratic lawmakers and 38-million-member retiree nonprofit AARP came out against the action. Read more about Wall Street’s response to the memorandum here »

Read the full text of the memorandum here »

Presidential proclamation, February 2: American Heart Month

Presidential proclamation, February 2: American Heart Month

President Donald Trump and his wife Melania stand for the singing of the National Anthem during his inauguration ceremony at the Capitol on January 20, 2017.REUTERS/Carlos Barria

This ceremonial proclamation invited Americans to wear red on Friday, February 3, 2017 for National Wear Red Day, and followed Congress’ request in 1963 for presidents to annually declare February American Heart Month. The goal is to remember those who have died from heart disease and to improve its prevention, detection, and treatment.

Read the full text of the proclamation here »

Executive Order, January 30: For every new regulation proposed, repeal two existing ones

Executive Order, January 30: For every new regulation proposed, repeal two existing ones

President Donald Trump.Olivier Douliery-Pool/Getty Images

The order states that for every one regulation the executive branch proposes, two must be identified to repeal. It also caps the spending on new regulations for 2017 at $0.

Some environmental groups expressed concern that the order could undo regulations put in place to protect natural resources.

Read the full text here »

Executive Order, January 28: Drain the swamp

Executive Order, January 28: Drain the swamp

Trump’s Cabinet nominees.Skye Gould/Business Insider

The order requires appointees to every executive agency to sign an ethics pledge saying they will never lobby a foreign government and that they won’t do any other lobbying for five years after they leave government.

But it also loosened some ethics restrictions that Obama put in place, decreasing the number of years executive branch employees had to wait since they had last been lobbyists from two years to one.

Read the full text here »

Presidential Memorandum, January 28: Reorganizing the National and Homeland Security Councils

Presidential Memorandum, January 28: Reorganizing the National and Homeland Security Councils

Chief White House strategist Steve Bannon.AP Photo/Gerald Herbert

Trump removed the nation’s top military and intelligence advisers as regular attendees of the National Security Council’s Principals Committee, the interagency forum that deals with policy issues affecting national security.

The executive measure established Trump’s chief strategist, Steve Bannon, as a regular attendee, and disinvited the chairman of the Joint Chiefs of Staff and the Director of National Intelligence to attend only when necessary.

Top Republican lawmakers and national security experts roundly criticized the move, expressing their skepticism that Bannon should be present and alarm that the Joint Chiefs of Staff sometimes wouldn’t be.

Read the full text here »

Presidential Memorandum, January 28: Defeating ISIS

Presidential Memorandum, January 28: Defeating ISIS

Donald Trump at a rally with James Mattis, his pick for defense secretary.AP

Making a point to use the phrase “radical Islamic terrorism” (something Trump criticized Obama for on the campaign trail), Trump directed his administration “to develop a comprehensive plan to defeat ISIS,” drafted within 30 days.

Read the full text here »

Executive Order, January 27: Immigration ban

Executive Order, January 27: Immigration ban

Protesters assemble at John F. Kennedy International Airport in New York, Saturday, Jan. 28, 2017 after earlier in the day two Iraqi refugees were detained while trying to enter the country.Associated Press/Craig Ruttle

In Trump’s most controversial executive action yet, he temporarily barred people from majority-Muslim Iran, Iraq, Libya, Somalia, Sudan, and Yemen from entering the country for 90 days, and Syrians from entering until he decides otherwise.

Federal judges in several states declared the order unconstitutional, releasing hundreds of people who were stuck at US airports in limbo. The White House continues to defend the action, insisting it was “not about religion” but about “protecting our own citizens and border.”

Tens of thousands of people protested the action in cities and airports across the US, company executives came out against the order, and top Republicans split with their president to criticize Trump’s approach.

Read the full text here »

UPDATE: Since the Ninth Circuit Court of Appeals struck down this order on February 9, Trump issued a new order intended to replace this one on March 6.

Presidential Memorandum, January 27: ‘Rebuilding’ the military

Presidential Memorandum, January 27: 'Rebuilding' the military

Marine General James Mattis.US Marine Corps

This action directed Secretary of Defense James Mattis to conduct a readiness review of the US military and Ballistic Missile Defense System, and submit his recommendations to “rebuild” the armed forces.

Read the full text here »

Presidential proclamation, January 26: National School Choice Week

Presidential proclamation, January 26: National School Choice Week

Thousands rally in support of charter schools outside the Capitol in Albany, N.Y., on Tuesday, March 4, 2014.AP Images

Trump proclaimed January 22 through January 28, 2017 as National School Choice Week.

The ceremonial move aimed to encourage people to demand school-voucher programs and charter schools, of which Trump’s Secretary of Education nominee Betsy DeVos is a vocal supporter. Meanwhile, opponents argue that the programs weaken public schools and fund private schools at taxpayers’ expense.

Read the full text here »

Executive Order, January 25: Build the wall

Executive Order, January 25: Build the wall

Supporters of then-Republican presidential candidate Donald Trump chant, “Build that wall,” before a town hall meeting in Rothschild, Wis. on April 2, 2016.Associated Press/Charles Rex Arbogast

Trump outlined his intentions to build a wall along the US border with Mexico, one of his main campaign promises.

The order also directs the immediate detainment and deportation of illegal immigrants, and requires state and federal agencies tally up how much foreign aid they are sending to Mexico within 30 days, and tells the US Customs and Border Protection to hire 5,000 additional border patrol agents.

While Trump has claimed Mexico will pay for the wall, his administration has since softened this pledge, indicating US taxpayers may have to foot the bill, at least at first.

Read the full text here »

Executive Order, January 25: Cutting funding for sanctuary cities

Executive Order, January 25: Cutting funding for sanctuary cities

Lordes Reboyoso, right, yells at a rally outside of City Hall in San Francisco, Wednesday, Jan. 25, 2017.Associated Press/Jeff Chiu

Trump called “sanctuary cities” to comply with federal immigration law or have their federal funding pulled.

The order has prompted a mixture of resistance and support from local lawmakers and police departments in the sanctuary cities, which typically refuse to honor federal requests to detain people on suspicion of violating immigration law even if they were arrested on unrelated charges. The city of San Francisco is already suing Trump, claiming the order is unconstitutional.

Read the full text here »

Executive Order, January 24: Expediting environmental review for infrastructure projects

Executive Order, January 24: Expediting environmental review for infrastructure projects

Then Republican presidential candidate Donald Trump holds a campaign rally.Mark Lyons/Getty Images

The order allows governors or heads of federal agencies to request an infrastructure project be considered “high-priority” so it can be fast-tracked for environmental review.

Trump signed the order as a package infrastructure deal, along with three memoranda on oil pipelines.

Read the full text here »

3 Presidential Memoranda, January 24: Approving pipelines

3 Presidential Memoranda, January 24: Approving pipelines

President Donald Trump looks up while signing an executive action to advance construction of the Keystone XL pipeline at the White House in Washington January 24, 2017.Reuters/Kevin Lamarque

Trump signed three separate memoranda set to expand oil pipelines in the United States, a move immediately decried by Native American tribes, Democrats, and activists.

The first two direct agencies to immediately review and approve construction of the Dakota Access Pipeline and the Keystone XL Pipeline, and the third requires all pipeline materials be built in the US.

While pipeline proponents argue that they transport oil and gas more safely than trains or trucks can, environmentalists say pipelines threaten the contamination of drinking water.

Read the full text of all three memoranda here »

Presidential Memorandum, January 24: Reduce regulations for US manufacturing

Presidential Memorandum, January 24: Reduce regulations for US manufacturing

President-elect Donald Trump talks with workers during a visit to the Carrier factory on Dec. 1, 2016, in Indianapolis, Ind.AP Photo/Evan Vucci

Trump directed his Secretary of Commerce to review how federal regulations affect US manufacturers, with the goal of figuring out how to reduce them as much as possible.

Read the full text here »

Presidential Memorandum, January 23: Reinstating the ‘Mexico City policy’

Presidential Memorandum, January 23: Reinstating the 'Mexico City policy'

Hundreds of thousands of protesters march down Pennsylvania avenue during the Women’s March on Washington January 21, 2017 in Washington, DC to protest newly inaugurated President Donald Trump.Aaron P. Bernstein/Getty Image

The move reinstated a global gag rule that bans American non-governmental organizations working abroad from discussing abortion.

Democratic and Republican presidents have taken turns reinstating it and getting rid of it since Ronald Reagan created the gag order in 1984. The rule, while widely expected, dismayed women’s rights and reproductive health advocates, but encouraged antiabortion activists.

Read the full text here »

Presidential Memorandum, January 23: Hiring Freeze

Presidential Memorandum, January 23: Hiring Freeze

Andy Kiersz/Business Insider

Trump froze all hiring in the executive branch excluding the military, directing no vacancies be filled, in an effort to cut government spending and bloat.

Union leaders called the action “harmful and counterproductive,” saying it would “disrupt government programs and services that benefit everyone.”

Read the full text here »

UPDATE 4/12: The hiring freeze is lifted, but budget director Mick Mulvaney says many jobs will stay unfilled because the Trump administration wants to reduce the federal workforce. The AP reported that the federal government added 2,000 workers in February and January, despite the freeze.

Presidential Memorandum, January 23: Out of the TPP

Presidential Memorandum, January 23: Out of the TPP

A protester holds signs against the TPP during a rally in Lima, Peru.Esteban Felix/AP Photo

This action signaled Trump’s intent to withdraw from the Trans Pacific Partnership, a trade deal that would lower tariffs for 12 countries around the Pacific Rim, including Japan and Mexico but excluding China.

Results were mixed. Sen. Bernie Sanders said he was “glad the Trans-Pacific Partnership is dead and gone,” while Republican Sen. John McCain said withdrawing was a “serious mistake.”

Read the full text here »

Executive Order, January 20: Declaring Trump’s intention to repeal the Affordable Care Act

Executive Order, January 20: Declaring Trump's intention to repeal the Affordable Care Act

Then President-elect Donald Trump meets with Speaker of the House Paul Ryan of Wisconsin on Capitol Hill November 10, 2016.Reuters

One of Trump’s top campaign promises was to repeal and replace the Affordable Care Act, commonly called Obamacare.

His first official act in office was declaring his intention to do so. Congressional Republicans have been working to do just that since their term started January 3, though there was dissent among Republicans over whether or not to complete the repeal process before a replacement plan is finalized and strident Democratic resistance to any repeal of the ACA.

Read the full text here »

UPDATE 3/28: House Speaker Paul Ryan pulled the bill to repeal and replace the ACA, officially called the American Health Care Act, on March 24 after Republicans didn’t have enough votes to pass it. But some members of the GOP are still working on a way to dismantle Obamacare.

Presidential Memorandum, January 20: Reince’s regulatory freeze

Presidential Memorandum, January 20: Reince's regulatory freeze

President-elect Donald Trump and Republican National Committee Chairman Reince Priebus on election night.Mark Wilson/Getty Images

Trump’s Chief of Staff Reince Priebus signed this action, directing agency heads not to send new regulations to the Office of the Federal Register until the administration has leaders in place to approve them.

Obama’s Chief of Staff Rahm Emanuel signed a similar memorandum when he took office in 2009, but as Bloomberg notes, Priebus changed the language from a suggestion to a directive.

The action is partly carried out to make sure the new administration wants to implement any pending regulations the old one was considering. Environmentalists worried if this could mean Trump is about to undo many of Obama’s energy regulations.

http://www.businessinsider.com/trump-executive-orders-memorandum-proclamations-presidential-action-guide-2017-1/#presidential-memorandum-january-20-reinces-regulatory-freeze-50

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The Pronk Pops Show 870, April 10, 2017: Story 1: Will President Trump Boldly Cut Taxes and Spending? — A Competitive Race Towards Lower Taxes And Less Government Spending: Replace All Income Based Taxes (All Income, Capital Gain and Payroll Taxes) With Broad-Based Consumption Tax With A Progressive Tax Prebate ( FairTax 23% Less Prebate or Fair Tax Less 20% Less $1,000 Per Month or $12,000 Per Year Prebate) And Real Cuts of 5% Per Year In Government Spending To Balance The Budget In 8 Years Or Less To Pay For Tax Cuts!) — Cut Taxes and Spending — Videos — Story 2: Stagnating United States Economy — The Great Stagnation –Videos

Posted on April 10, 2017. Filed under: American History, Blogroll, Breaking News, Budgetary Policy, Communications, Congress, Countries, Culture, Currencies, Donald J. Trump, Donald J. Trump, Donald Trump, Donald Trump, Economics, Elections, Employment, Fiscal Policy, Foreign Policy, Free Trade, Government Dependency, Government Spending, History, House of Representatives, Labor Economics, Law, Media, Medicare, Monetary Policy, News, Philosophy, Photos, Politics, Polls, President Trump, Raymond Thomas Pronk, Scandals, Senate, Tax Policy, Taxation, Taxes, Trade Policy, U.S. Dollar, Unemployment, United States of America, Videos, Wealth, Welfare Spending, Wisdom | Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , |

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Story 1: Will President Trump Boldly Cut Taxes and Spending?  — A Competitive Race Towards Lower Taxes And Less Government Spending:  Replace All Income Based Taxes (All Income, Capital Gain and Payroll Taxes) With Broad-Based Consumption Tax With Generous Tax Prebate ( FairTax or Fair Tax Less!) And Real Cuts of  5% Per Year In Government Spending To Balance The Budget In 8 Years Or Less To Pay For Tax Cuts!) — Cut Taxes and Spending — Videos —  

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Donald Trump: Simplify the Tax Code

Donald Trump: I pay as little as possible in taxes

Is Donald Trump serious about tax reform?

Sean Spicer: Trump wants to get tax reform right

Will tax reform really happen by August?

Dan Mitchell Discussing GOP Tax Plan and Corporate Rate Reduction

What Tax Reform Could Look Like Under Donald Trump | Squawk Box | CNBC

#Eakinomics – 4 Key Questions on Dynamic Scoring

What is Dynamic Scoring?

Trump Pushes ‘Major Border Tax’ to Keep Jobs in U.S.

Ryan Unexpectedly Joins Forces With Bannon on Border Tax

Kudlow: Freedom Caucus & Trump’s base is opposed to Border Adjustment Tax

Sen. Perdue: Border Adjustment Tax would “shutdown economic growth”

Sen. Tom Cotton: “I have serious concerns” w/ Border Adjustment Tax

Americans Need a Progressive Consumption Tax

Sen. Strange: “I would not” vote for a Border Adjustment Tax

Milton Friedman – Why Tax Reform Is Impossible

Milton Friedman – Is tax reform possible?

CNBC: Steve Forbes on Border Adjustment Tax – “Don’t Do It” 2.8.17

Meg Whitman: Border Adjustment Tax Will Not Create Jobs | CNBC

Art Laffer: Border tax is a major mistake

Border Tax Fight Is Economists Vs. Everybody Else | Squawk Box | CNBC

Dan Mitchell Discussing GOP Tax Plan and Corporate Rate Reduction

What is a Border Adjustment?

Border Tax: What You Need to Know

Will a border adjustment tax help American businesses?

Will a border adjustment tax kill free trade?

Border adjustment tax political suicide?

Fox Pol:l 73% Want Tax Reform This Year – Cavuto

Could the border tax debate stall tax reform?

Is A Border Adjustment Tax A Good Idea?

Border Adjustment Tax: Trump’s MAGA Ace

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Dan Mitchell Fretting about GOP Border-Adjustable Tax Plan

FairTax: Fire Up Our Economic Engine (Official HD)

Pence on the Fair Tax

Freedom from the IRS! – FairTax Explained in Details

The FairTax: It’s Time

Dan Mitchell explains the fair tax

Six Reasons Why the Capital Gains Tax Should Be Abolished

Is America’s Tax System Fair?

Sen. Moran Discusses FairTax Legislation on U.S. Senate Floor

What’s Killing the American Dream?

Robert Wolf: Border adjustment not going to happen

Paul Ryan on why he’s confident about tax reform

1/26/17 Border Adjustment Taxes, Tax Reform & Trade: Panel 1

1/26/17 Border Adjustment Taxes, Tax Reform and Trade: Panel 2 Part 2

Border Tax Adjustment and Corporate Tax Reforms: Panel 1

Border Tax Adjustment and Corporate Tax Reforms: Panel 2

Breaking Down The Republican Plan For A Border Tax | CNBC

Harvard Professor: Trump’s Border Tax ‘Misunderstood’

Making Sense Of The 20 Percent Tax Proposal | Morning Joe | MSNBC

Proposed Tax Package A Dramatic Cut Even With A Border Tax?

Treasury Secretary Steve Mnuchin On Tax Reform, Growth, Border Tax, China (Full) | Squawk Box | CNBC

Wilbur Ross On Border Tax: Something Will Be Found To Fill Trillion-Dollar Hole | Squawk Box | CNBC

Trump ditches tax reform plan he campaigned on and considers series of new options – including payroll tax cut in bid to woo Democrats

  • Trump had campaigned on rapid tax reform and a so-called border adjustment tax, which would effectively levy a duty on imports 
  • Now all options are back on the table as he tries to have a reform plan which will get Republican support 
  • There are signs the president will be willing to work with Democrats too as White House officials hold ‘listening sessions’ with the opposition 
  • One plan being considered is a cut in the payroll tax, which would benefit middle-earners and could garner Democratic support 

President Donald Trump has scrapped the tax plan he campaigned on and is going back to the drawing board in a search for Republican consensus behind legislation to overhaul the U.S. tax system.

The administration’s first attempt to write legislation is in its early stages and the White House has kept much of it under wraps. But it has already sprouted the consideration of a series of unorthodox proposals including a drastic cut to the payroll tax, aimed at appealing to Democrats.

Some view the search for new options as a result of Trump’s refusal to set clear parameters for his plan and his exceedingly challenging endgame: reducing tax rates enough to spur faster growth without blowing up the budget deficit.

Administration officials say it’s now unlikely that a tax overhaul will meet the August deadline set by Treasury Secretary Steve Mnuchin.

Off plan: Donald Trump is abandoning the tax overhaul he campaigned on 

Off plan: Donald Trump is abandoning the tax overhaul he campaigned on

Tough deadline: Steven Mnuchin, the Treasury Secretary who was at the table when Trump was briefed on the Syria missile strikes, had set an the August deadline for tax reform

Tough deadline: Steven Mnuchin, the Treasury Secretary who was at the table when Trump was briefed on the Syria missile strikes, had set an the August deadline for tax reform

But the ambitious pace to figure out a plan reflects Trump’s haste to move quickly past a bruising failure to broker a compromise within his own party on how to replace the health insurance law enacted under President Barack Obama.

The White House is trying to learn the lessons from health care. Rather than accepting a bill written by the lawmakers, White House officials are taking a more active role.

Administration officials have signaled that they want to pass tax legislation with only Republican votes, yet they’ve also held listening sessions with House Democrats.

White House aides say the goal is to cut tax rates sharply enough to improve the economic picture in depressed rural and industrial pockets of the country where many Trump voters live.

But the administration so far has swatted down alternative ways for raising revenues, such as a carbon tax, to offset lower rates.

Trump, who brands himself as a deal-maker, has not said which trade-offs he might accept and he has remained noncommittal on the leading blueprint, from Rep. Kevin Brady, chairman of the Ways and Means Committee.

Brady, a Republican from Texas, has proposed a border adjustment system, which would eliminate corporate deductions on imports, to raise $1 trillion over 10 years that could fund lower corporate tax rates.

But that possibility has rankled retailers who say it would lead to higher prices and threaten millions of jobs, while some lawmakers have worried that the system would violate World Trade Organization rules.

Brady has said he intends to amend the blueprint but has not spelled out how he would do so.

Other options are being shopped on Capitol Hill.

One circulating this past week would change the House Republican plan to eliminate much of the payroll tax and cut corporate tax rates. This would require a new dedicated funding source for Social Security.

The change, proposed by a GOP lobbyist with close ties to the Trump administration, would transform Brady’s plan on imports into something closer to a value-added tax by also eliminating the deduction of labor expenses.

This would bring it in line with WTO rules and generate an additional $12 trillion over 10 years, according to budget estimates.

Those additional revenues could then enable the end of the 12.4 percent payroll tax, split evenly between employers and employees, that funds Social Security, while keeping the health insurance payroll tax in place.

This approach would give a worker earning $60,000 a year an additional $3,720 in take-home pay, a possible win that lawmakers could highlight back in their districts even though it would involve changing the funding mechanism for Social Security, according to the lobbyist, who asked for anonymity to discuss the proposal without disrupting early negotiations.

Although some billed this as a bipartisan solution, and President Barack Obama did temporarily cut the payroll tax after the Great Recession, others note it probably would run into firm opposition from Democrats who are loathe to be seen as undermining Social Security.

The White House would not comment on the plan, but said a value-added tax based on consumption is not under consideration ‘as of now,’ according to a White House statement.

The lack of detail about how to significantly rewrite tax laws for the first time in 30 years may provide Trump some time to build consensus among Republicans. But without Trump laying down his hand, lawmakers appear reluctant to back a plan that will likely stir controversy.

How will markets react? Stocks rallied after the election on the promise of lower taxes and fewer regulations, but the Dow has dipped 1.2 percent over the past month

How will markets react? Stocks rallied after the election on the promise of lower taxes and fewer regulations, but the Dow has dipped 1.2 percent over the past month

Stock markets take a hit after Trump’s healthcare defeat

‘Because there are trade-offs, congressmen need cover from the president to withstand the lobbyists and constituents who are going to complain,’ said Bill Gale, an economist at the Brookings Institution who worked at the White House Council of Economic Advisers during President George H.W. Bush’s administration.

The Trump administration appears to have shut out the economists who helped assemble one of his campaign’s tax overhaul plans, which independent analyses show would have increased the budget deficit.

‘It’s a little frustrating that they feel they have to write a new tax plan when they have a tax plan,’ said Steven Moore, an economist at the conservative Heritage Foundation who helped formulate tax policy for the Trump campaign.

Rob Portman, the Republican senator from Ohio, a member of the Senate Finance Committee, said that all of the trial balloons surfacing in public don’t represent the work that’s being done behind the scenes.

‘It’s not really what’s going on,’ Portman said. ‘What’s going on is they’re working with on various ideas.’

Investors are beginning to show some doubts that Trump can deliver. Stocks rallied after his election on the promise of lower taxes and fewer regulations, but the Dow Jones Industrial Average has dipped 1.2 percent over the past month as the path for health care and tax revisions has become muddied.

‘The White House is going to need its own clear direction, or it’s going to need to defer to Congress, but saying that your plan is forthcoming and then not producing a plan kind of puts everything in stasis,’ said Alan Cole, an economist at the conservative Tax Foundation.

http://www.dailymail.co.uk/news/article-4396916/Trump-taxes-President-scraps-tax-plan-timetable-threatened.html#ixzz4dsZ74tNb
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Why the Border Adjustment Tax Should Be Killed

The BAT is a bad idea. There are far better ways to shrink the federal budget deficit.

March 18, 2017

“Anytime I hear border adjustment, I don’t love it,” Donald Trump told The Wall Street Journal shortly before his inauguration, noting that the proposed border adjustment tax was “too complicated.”

Trump isn’t always right when he makes off-the-cuff remarks such as that, but this time he was. The proposed border adjustment tax is so complicated that even its advocates can’t agree on how its disruptive effects on the U.S. economy will play out, and there’s nothing to love about that. The BAT is a bad idea, and it should be scrapped. And while taking it off the table will bring more red ink to the federal budget, there are better ways to stanch the bleeding than subjecting the economy to the trauma of a BAT.

Despite protestations to the contrary, the border adjustment levy is a tax hike embedded in the program of tax reductions that House Republicans put forward last June under the rubric of “A Better Way.” It’s there, presumably, to help offset the effect of the administration’s planned cuts, since the Republicans’ stated aim is to keep those cuts revenue-neutral. Barron’s fully supports the goal of not adding to deficits that, before too long, will be running above $1 trillion a year, given repeated warnings from the nonpartisan Congressional Budget Office about the risk of a financial crisis, due to exploding debt.

The attraction of a BAT is that it could generate an estimated $100 billion a year in revenue. There may be reasons to challenge that estimate, but we’ll accept it for now. There are, however, better ways to slash the fiscal deficit by $100 billion a year than the Better Way plan, and most fall under the heading of spending cuts.

President Trump has spoken about “waste, fraud, and abuse” in “every agency” of the federal government. Indeed, he promised that “we will cut so much, your head will spin.” He should therefore find plenty to love in our proposed reductions in spending. Just for starters, if all corporate welfare were cut from the budget, as much as $100 billion a year could be saved, about matching the total expected from the BAT.

The president also favors slashing the top rate on corporate income to 15% from 35%. Barron’s has proposed a more modest cut, to 22% (“Cut the Top U.S. Corporate Tax Rate to 22%,” Nov. 26, 2016). The Republican package calls for a reduction to 20%, which is close enough to our original proposal and which we believe should boost revenue rather than shrink it.

A list of potential cuts and revenue enhancements, totaling $200 billion, is in the table at the bottom of this page.

THE BETTER WAY PLAN, as noted, would reduce the top federal tax rate on corporate profits to 20% from 35%—which is all to the good. The proposed tax cut would not only be revenue-neutral; it would probably be revenue-enhancing.

In a study released this month by the London-based Centre for Policy Studies, analyst Daniel Mahoney traces the effect on revenue from Britain’s cuts in the corporate tax rate over a 34-year period. According to his calculations, the take from the corporate tax has added three-tenths of a percentage point annually to gross domestic product since rates were slashed.

Similarly, last year, in calling for a maximum U.S. rate of 22%, we traced the significant decline in the average top rate on corporate income for 19 countries in the Organization for Economic Cooperation and Development, which includes the U.S. and the United Kingdom. Over 33 years, their average tax take as a share of GDP rose six-tenths of a percentage point.

While that might not sound like much, every tenth of a percentage point of U.S. nominal GDP is worth $18.9 billion. So if revenue from the corporate tax rises by, say, three-tenths of a percentage point, to 2.5%—a conservative guess—that increase would translate into a bonus of nearly $57 billion a year in revenue. That alone gets us more than halfway to the $100 billion value of a BAT.

The idea of a revenue-enhancing cut in the corporate income tax was put forward in 1978, when economist Arthur Laffer was first cited as arguing that some rate decreases could generate enough added economic growth that the government wouldn’t lose revenue over the long run—and might, in fact, even gain revenue. Laffer also noted that most tax hikes generate less revenue than a conventional “static” analysis indicates, and that most tax cuts lose less.

Laffer’s “dynamic” analysis covered all of the behavioral changes likely to result from a cut. To begin with, if the tax collector claims a lower share of income, there is an incentive to produce more income. Second, a lower rate means there’s less incentive to spend time and effort avoiding the tax.

Corporations don’t pay taxes; only people do. And there is a tendency to forget that if a corporation nets more profits as a result of a lower tax, those funds will soon take the form of salaries, dividends, and capital gains, and will be taxed in those forms.

The second factor, less tax avoidance, applies with special force to a rollback of corporate taxes. As we noted last year, bringing down the top rate to 22% from 35% would dramatically reduce corporate flight to low-tax jurisdictions in the rest of the world.

Following the publication of our article, the CBO released a study confirming that U.S corporate tax rates are among the highest in the world. Among the Group of 20 countries—including Japan, China, Russia, Germany, France, Canada, and the U.K.—the U.S. is No. 1, 3, and 4, respectively, in “top statutory corporate tax rate,” “average corporate tax rate,” and “effective corporate tax rate.” The Better Way plan would narrow this gap significantly and make the U.S. more competitive.

But when it comes to the Better Way plan for cutting tax rates on personal income, Barron’s believes that there would be a loss of revenue even after taking into account behavioral changes. The revenue reduction from the proposed personal income-tax cuts has been estimated, on a static basis, at an average of $98 billion a year. We can assume that dynamic losses would run 10% less, or $88 billion, mainly because lower taxes are likely to encourage people to work.

Still, $88 billion a year is a huge loss of revenue. Barron’s proposes that the Better Way plan consider splitting the difference and going halfway on the tax cut, thus saving $44 billion.

THE REVENUE-ENHANCING corporate tax cut would include a special kicker in the form of the border adjustment tax. The BAT would deny corporations the ability to deduct the cost of imports from their taxable income, while all income earned from exports would be exempt from the 20% levy.

This means that companies selling imported goods in the domestic market would be taxed on the sale’s full proceeds—not just on the profit earned—which could more than offset the gains from the corporate tax reduction. At the same time, as noted, there would be no tax on the sale of exports.

The GOP’s Big Three Key players in the border adjustment tax debate: Senate Majority Leader Mitch McConnell, above, and House Speaker Paul Ryan and President Donald Trump, below. McConnell has said that he hasn’t made up his mind about the levy. Alex Wong/Getty Images

The BAT would bring uncertainty and disruption to the U.S. economy, making it hard to predict whether it really would raise $100 billion annually in revenue. The basic idea is that, because the U.S. imports more than it exports, the export exemption would be more than offset by hitting imports hard. Regardless of how it shakes out, the value of the transactions affected by the BAT is huge.

The U.S. trade deficit—the difference between exports and imports—ran at just 3.4% of real GDP in 2016, much lower than the 5.5% peak of 2005. But the actual gross flows of exports and imports are much larger than the difference between the two flows. Exports last year were valued at $2.2 trillion, or 12.8% of real GDP, and imports at $2.7 trillion, or 16.2% (see chart). Given those magnitudes, the tax plan is likely to require massive readjustments throughout the economy.

That’s why major importers, like Wal-Mart Stores, are objecting—and why exporters are clearly pleased. As you might expect, then, the BAT is pitting exporters against importers, creating needless discord at a time when the country is surely suffering from more discord than it can handle.

THE POSITION PAPER for the Better Way asserts that by “exempting exports and taxing imports,” the BAT does “not” consist of the “addition of a new tax.” But of course, the BAT’s designers know that imports normally exceed exports by about $500 billion a year. Apply a back-of-the-envelope 20% to that $500 billion, and you get the hoped-for $100 billion in revenue. So the maneuver of “exempting exports and taxing imports” certainly looks and sounds like a new tax.

The Better Way statement also argues that there is an imbalance in the tax treatment of imports and exports that the BAT must remedy. “In the absence of border adjustments,” it states, “exports from the United States implicitly bear the cost of the U.S. income tax, while imports do not bear any federal income tax cost. This amounts to a self-imposed unilateral penalty on American exports and a self-imposed unilateral subsidy for U.S. imports.”

Ryan strongly supports the tax. Chip Somodevilla/Getty Images

But all other countries impose this “implicit cost” on exports through their own corporate income tax. And since the Better Way would slash America’s top rate to 20%, this implicit cost would finally become competitive with that of other nations.

Some supporters of the BAT like it precisely because it would help exports and penalize imports. The mercantilist view of economics implicit in that aim was discredited in Adam Smith’s 1776 treatise, The Wealth of Nations. And apart from the massive dislocations that will occur if imports shrink, this calls into question whether the projected $100 billion a year in revenue is realistic. As Alan Greenspan once wisely said, “Whatever you tax, you get less of.”

Then again, whether we really will get fewer imports depends a lot on the exchange value of the dollar. Other supporters of the BAT predict that the dollar will respond by appreciating against other currencies, conforming to the dictates of textbook fundamentals. If the dollar appreciates enough, the advantage to exporters and disadvantage to importers will be nullified. Without getting into the technicalities of how all this would work, we concede that it is all quite possible.

But as currency analysts and traders can tell you, exchange rates are subject to all kinds of forces and can spend long periods flouting textbook fundamentals. So whether the dollar will really strengthen in response to the BAT is anyone’s guess. But even if it does, a much stronger greenback would bring other disruptions. American investors with holdings denominated in foreign currencies would take a huge hit. And America’s tourist industries, which are already hurting from what the Los Angeles Times has called a “Trump slump,” would be hurt even more, as the cost of traveling to the States jumps.

There are other questions. Would the World Trade Organization challenge the BAT? Might our trading partners respond in ways that would be unfavorable to us? The border adjustment tax is an experiment in Rube Goldberg economics that the U.S. can do without.

SINCE REVENUE NEUTRALITY is the goal of the Better Way package, what about making up for the $100 billion a year in revenue that the border adjustment tax is supposed to generate?

Whether this tax really will raise as much as $100 billion depends on how imports and exports respond, which is hard to predict. Also, the reduction in the corporate income tax would probably be revenue-enhancing and could generate more than $50 billion in annual revenue.

The president has declared that “anytime I hear border adjustment, I don’t love it” and has voiced concern that it’s overly complicated. Michael Reynolds/Getty Images

We note that the full title of the House Republican plan is “A Better Way: Our Vision for a Confident America,” which leaves room for a vision that includes cost-cutting, along with tax-cutting.

It’s actually possible to reduce outlays by as much as $8.6 trillion over the next 10 years, as we pointed out in Barron’s Prescription for U.S. Economic Growth” (Dec. 24, 2016).

That discussion revealed much low-hanging fruit. For example, the Medicare system is rife with “improper payments,” which Medicare itself estimates at 11% of its spending in 2016. That’s probably a low estimate, because those who get improperly paid tend to keep these payments hidden. Barron’s calculated that if the improper-payment rate could be halved, it would save more than $400 billion over 10 years.

That would contribute $40 billion a year to the $100 billion shortfall from forgoing the BAT. To that we add $65 billion, and perhaps as much as $100 billion, by eliminating corporate welfare.

The Better Way statement properly criticizes the tax code for being “littered with hundreds of preferences and subsidies that pick winners and losers” and “direct resources to politically favored interests.” Spending on corporate welfare is another form of subsidy that picks winners and losers and directs funds to politically favored interests.

IN A 2012 PAPER, “Corporate Welfare in the Federal Budget,” the Cato Institute identified nearly $100 billion worth of yearly spending on corporate handouts, broadly defined, that could be ended. At Barron’s request, Cato senior fellow Chris Edwards updated the scoring on just 10 of the institute’s 40 categories of corporate welfare and came up with $66 billion in potential cuts.

High on Edwards’ list: farm subsidy programs, which redistribute taxpayer money to relatively rich agribusinesses and landowners. That the farm industry receives subsidies makes about as much sense as channeling funds to the restaurant industry, which could well be riskier than farming, based on its high failure rate. This form of corporate welfare goes back to the Great Depression of the 1930s. But whatever argument might have been made for it then hardly applies today, with the yearly tab currently at $25 billion.

Also on the corporate welfare list: pork-barrel handouts administered by the Department of Housing and Urban Development, totaling $13 billion, which go under the heading of “community development,” and which distribute funds to such recipients as museums, recreational facilities, and parking lots. Whatever one may think about the worthiness of these projects, they are better left to states and localities.

Another $10 billion could be saved by abolishing the Universal Service Fund, through which the Federal Communications Commission subsidizes telecommunications companies, among others. A creation of the Telecommunications Act of 1996, this attempt to pick winners and losers is more unnecessary than ever in this dynamic and competitive industry.

PRESIDENT TRUMP PROMISED to “drain the swamp” of Washington’s special interests. One route toward that admirable goal would be to cut corporate welfare. Trump should repeat his objections to a border adjustment tax that would favor the interests of some businesses over others. He can help make U.S. corporations great again by weaning them off subsidies and reducing their tax burdens.

http://www.barrons.com/articles/why-the-border-adjustment-tax-should-be-killed-1489814286

Concerns About The ‘Border Adjustable’ Tax Plan From The House GOP, Part I

The Republicans in the House of Representatives, led by Ways & Means Chairman Kevin Brady and Speaker Paul Ryan, have proposed a “Better Way” tax plan that has many very desirable features.

And there are many other provisions that would reduce penalties on work, saving, investment, and entrepreneurship. No, it’s not quite a flat tax, which is the gold standard of tax reform, but it is a very pro-growth initiative worthy of praise.

That being said, there is a feature of the plan that merits closer inspection. The plan would radically change the structure of business taxation by imposing a 20 percent tax on all imports and providing a special exemption for all export-related income. This approach, known as “border adjustability,” is part of the plan to create a “destination-based cash flow tax” (DBCFT).

When I spoke about the Better Way plan at the Heritage Foundation last month, I highlighted the good features of the plan in the first few minutes of my brief remarks, but raised my concerns about the DBCFT in my final few minutes.

Allow me to elaborate on those comments with five specific worries about the proposal.

Concern #1: Is the DBCFT protectionist?

It certainly sounds protectionist. Here’s how the Financial Times described the plan.

The border tax adjustment would work by denying US companies their current ability to deduct import costs from their taxable income, meaning companies selling imported products would effectively be taxed on the full value of the sale rather than just the profit. Export revenues, meanwhile, would be excluded from company tax bases, giving net exporters the equivalent of a subsidy that would make them big beneficiaries of the change.

Charles Lane of the Washington Post explains how it works.

…the DBCFT would impose a flat 20 percent tax only on earnings from sales of output consumed within the United States… It gets complicated, but the upshot is that the cost of imported supplies would no longer be deductible from taxable income, while all revenue from exports would be. This would be a huge incentive to import less and export more, significant change indeed for an economy deeply dependent on global supply chains.

That certainly sounds protectionist as well. A tax on imports and a special exemption for exports.

But proponents say there’s no protectionism because the tax is neutral if the benchmark is where products are consumed rather than where income is earned. Moreover, they claim exchange rates will adjust to offset the impact of the tax changes. Here’s how Lane explains the issue.

…the greenback would have to rise 25 percent to offset what would be a new 20 percent tax on imported inputs — propelling the U.S. currency to its highest level on record. The international consequences of that are unforeseeable, but unlikely to be totally benign for everyone. Bear in mind that many other countries — China comes to mind — can and will manipulate exchange rates to protect their own short-term interests.

For what it’s worth, I accept the argument that the dollar will rise in value, thus blunting the protectionist impact of border adjustability. It would remain to be seen, though, how quickly or how completely the value of the dollar would change.

Concern #2: Is the DBCFT compliant with WTO obligations?

The United States is part of the World Trade Organization (WTO) and we have ratified various agreements designed to liberalize world trade. This is great for the global economy, but it might not be good news for the Better Way plan because WTO rules only allow border adjustability for indirect taxes like a credit-invoice value-added tax. The DBCFT, by contrast, is a version of a corporate income tax, which is a direct tax.

The column by Charles Lane explains one of the specific problems.

Trading partners could also challenge the GOP plan as a discriminatory subsidy at the World Trade Organization. That’s because it includes a deduction for wages paid by U.S.-located firms, importers and exporters alike — a break that would obviously not be available to competitors abroad.

Advocates argue that the DBCFT is a consumption-base tax, like a VAT. And since credit-invoice VATs are border adjustable, they assert their plan also should get the same treatment. But the WTO rules say that only “indirect” taxes are eligible for border adjustability. The New York Times reports that the WTO therefore would almost surely reject the plan.

Michael Graetz, a tax expert at the Columbia Law School, said he doubted that argument would prevail in Geneva. “W.T.O. lawyers do not take the view that things that look the same economically are acceptable,” Mr. Graetz said.

A story in the Wall Street Journal considers the potential for an adverse ruling from the World Trade Organization.

Even though it’s economically similar to, and probably better than, the value-added taxes (VATs) many other countries use, it may be illegal under World Trade Organization rules. An international clash over taxes is something the world can ill afford when protectionist sentiment is already running high. …The controversy is over whether border adjustability discriminates against trade partners. …the WTO operates not according to economics but trade treaties, which generally treat tax exemptions on exports as illegal unless they are consumption taxes, such as the VAT. …the U.S. has lost similar disputes before. In 1971 it introduced a tax break for exporters that, despite several revamps, the WTO ruled illegal in 2002.

And a Washington Post editorial is similarly concerned.

Republicans are going to have to figure out how to make such a huge de facto shift in the U.S. tax treatment of imports compliant with international trade law. In its current iteration, the proposal would allow corporations to deduct the costs of wages paid within this country — a nice reward for hiring Americans and paying them well, which for complex reasons could be construed as a discriminatory subsidy under existing World Trade Organization doctrine.

Concern #3: Is the DBCFT a stepping stone to a VAT?

If the plan is adopted, it will be challenged. And if it is challenged, it presumably will be rejected by the WTO. At that point, we would be in uncharted territory.

Would that force the folks in Washington to entirely rewrite the tax system? Would they be more surgical and just repeal border adjustability? Would they ignore the WTO, which would give other nations the right to impose tariffs on American exports?

One worrisome option is that they might simply turn the DBCFT into a subtraction-method value-added tax (VAT) by tweaking the law so that employers no longer could deduct  expenses for labor compensation. This change would be seen as more likely to get approval from the WTO since credit-invoice VATs are border adjustable.

This possibility is already being discussed. The Wall Street Journal story about the WTO issue points out that there is a relatively simple way of making the DBCFT fit within America’s trade obligations, and that’s to turn it into a value-added tax.

One way to avoid such a confrontation would be to revise the cash flow tax to make it a de facto VAT.

The Economistshares this assessment.

…unless America switches to a full-fledged VAT, border adjustability may also be judged to breach World Trade Organisation rules.

Steve Forbes is blunt about this possibility.

One tax initiative that should be strangled before it sees the light of day is to give a tax rebate to exporters and to impose taxes on imports. …It’s a bad idea. Why do we want to make American consumers pay more for products while subsidizing foreign buyers? It also could put us on the slippery slope to our own VAT.

And that’s not a slope we want to be on. Unless the income tax is fully repealed (sadly not an option), a VAT would be a recipe for turning America into a European-style welfare state.

Concern #4: Does the DBCFT undermine tax competition and give politicians more ability to increase tax burdens?

Alan Auerbach, an academic from California who previously was an adviser for John Kerry and also worked at the Joint Committee on Taxation when Democrats controlled Capitol Hill, is the main advocate of a DBCFT (the New York Timeswrote that he is the “principal intellectual champion” of the idea).

He wrote a paper several years ago for the Center for American Progress, a hard-left group closely associated with Hillary Clinton. Auerbach explicitly argued that this new tax scheme is good because politicians no longer would feel any pressure to lower tax rates.

This…alternative treatment of international transactions that would relieve the international pressure to reduce rates while attracting foreign business activity to the United States. It addresses concerns about the effect of rising international competition for multinational business operations on the sustainability of the current corporate tax system. With rising international capital flows, multinational corporations, and cross-border investment, countries’ tax rates and tax structures are of increasing importance. Indeed, part of the explanation for declining corporate tax rates abroad is competition among countries for business activity. …my proposed reforms…builds on the [Obama] Administration’s approach…and alleviates the pressure to reduce the corporate tax rate.

This is very troubling. Tax competition is a very valuable liberalizing force in the world economy. It partially offsets the public choice pressures on politicians to over-tax and over-spend. If governments no longer had to worry that taxable activity could escape across national borders, they would boost tax rates and engage in more class warfare.

Also, it’s worth noting that the so-called Marketplace Fairness Act, which is designed to undermine tax competition and create a sales tax cartel among American states, uses the same “destination-based” model as the DBCFT.

Concern #5: Does the DBCFT create needless conflict and division among supporters of tax reform?

As I pointed out in my remarks at the Heritage Foundation, there’s normally near-unanimous support from the business community for pro-growth tax reforms.

That’s not the case with the DBCFT.

The Washington Examiner reports on the divisions in the business community.

Major retailers are skeptical of the House Republican plan to revamp the tax code, fearing that the GOP call to border-adjust corporate taxes could harm them even if they win a significant cut to their tax rate. As a result, retailers, oil refiners and other industries that import goods to sell in the U.S. could provide a major obstacle to the Republican effort to reform taxes. …The effect of the border adjustment, retailers fear, would be that the goods they import to sell to consumers would face a 20 percent mark-up, one that would force retailers like Walmart, the Home Depot and Sears…to raise prices and lose customers.

A story from CNBC highlights why retailers are so concerned.

…retailers are nervous. Very nervous. …About 95 percent of clothing and shoes sold in the U.S. are manufactured overseas, which means imports make up a vast majority of many U.S. retailers’ merchandise. …If the GOP plan were adopted as it’s currently laid out, Gap pays 20 percent corporate tax on the $5 profit from the sweater, or $1. Plus, 20 percent tax on the $80 cost it paid for that sweater from the overseas supplier, or $16. That means the tax goes from $1.75 to $17 for that sweater, more than three times the profit on that sweater. Talk about a hit to margins. …Retailers certainly aren’t taking a lot of comfort in the economic theory of dollar appreciation. …the tax reform plan will dilute specialty retailers’ earnings by an average of 132 percent. …Athletic manufacturers could take a 40 percent earnings hit… Gap, Carter’s , Urban Outfitters , Fossil and Under Armour are most at risk under the plan.

And here’s another article from the Washington Examiner that explains why folks in the energy industry are concerned.

…the border adjustment would raise costs for refiners that import oil. In turn, that could raise prices for consumers. The border adjustment would amount to a $10-a-barrel tax on imported crude oil, raising costs for drivers buying gasoline by up to 25 cents a gallon, the energy analyst group PIRA Energy Group warned this week. The report warned of a “potential huge impact across the petroleum industry,” even while noting that the tax reform plan faces many obstacles to passage.

Concern #6: What happens when other nations adopt their versions of a DBCFT?

Advocates of the DBCFT plausibly argue that if the WTO somehow approves their plan, then other nations will almost certainly copy the new American system.

That will be a significant blow to tax competition, which would be very bad news for the global economy.

But is also has negative implications for the fight to protect America from a VAT. The main selling point for advocates of the DBCFT is that we need a border-adjustable tax to offset the supposed advantage that other nations have because of border-adjustable VATs (both Paul Krugman and I agree that this is nonsense, but it still manages to be persuasive for some people).

So what happens when other nations turn their corporate income taxes into DBCFTs, which presumably will happen? We’re than back where we started and misguided people will say we need our own VAT to balance out the VATs in other nations.

The bottom line is that a DBCFT is not the answer to America’s wretched business tax system. There are simply too many risks associated with this proposal. I’ll elaborate tomorrow in Part II and also explain some good ways of pursuing tax reform without a DBCFT.

https://www.forbes.com/sites/danielmitchell/2017/01/03/concerns-about-theborder-adjustable-tax-plan-from-the-house-gop-part-i/2/#1edd1775d9e8

MAR 27,2017

Chairman Brady Acknowledges “Valid Concerns” About the Border Adjustment Tax Harming U.S. Businesses

Post by Freedom Partners

After months of insisting that a trillion-dollar Border Adjustment Tax (BAT) on American consumers is the best and only way to achieve pro-growth tax reform without adding to the deficit, Ways and Means Chairman Kevin Brady acknowledged that importers fearful of the new tax have “valid concerns.”

The proposed BAT from House Republicans would mean a new 20 percent tax on everything imported into the U.S., raising up to $1.2 trillion of new government revenue in the form of higher prices, shouldered by consumers. In effect, the regressive tax could undercut positive economic outcomes from lower rates and a simplified tax code through tax reform.

According to Chairman Brady, House Republicans need to “make sure that we allay the valid concerns of those that are importing today,” CNBC reports.

 Freedom Partners Vice President of Policy Nathan Nascimento issued the following statement:

“Some of the ‘valid concerns’ that Chairman Brady acknowledges include a devastating new trillion-dollar tax hike, higher costs on everyday goods, fewer jobs, and less economic opportunity. We hope to work with the administration and Congress to get pro-growth tax reform done, but a 20 percent tax hike on all imports would only undermine the point of tax reform – which is to provide much-needed relief for taxpayers and the economy. A massive tax hike on all imports is bad policy, and Americans deserve a better plan that can unite lawmakers in both the House and Senate behind comprehensive tax reform.”

U.S. manufacturers would be threatened by increased complexity and disruptions to supply chains, resulting in increased costs, fewer sales, and job loss. “Anytime I hear border adjustment, I don’t love it … And it’s too complicated,” President Donald Trump told The Wall Street Journal earlier this year.

Americans for Prosperity has already identified more than $2 trillion in wasteful spending, unnecessary programs, and corporate welfare that ought to be eliminated before any new tax on U.S. consumers. Freedom Partners and its coalition allies support the efforts of Congress and the administration to bring comprehensive tax reform to reality in a way that protects all Americans from a massive tax hike.

READ: Border Adjustment Tax Myth vs. Fact

U.S. Businesses Facing Massive Tax Increases Under A Border-Adjusted Tax System Have “Valid Concerns”

Wall Street Journal: “Some Retailers And Other Big Importers … Warn Of Tax Bills That Would Exceed Profits, Forcing Them To Pass Costs To Consumers. ”Cody Lusk, president of the American International Automobile Dealers Association, says his members are shocked that a Republican Congress is proposing a 20% tax on imports.” (Richard Rubin, “GOP Plan To Overhaul Tax Code Gets Held Up At The Border,” Wall Street Journal, 2/7/17)

LUSK: “We view this as a very, very serious potential blow to the auto sector and the economy.” (Richard Rubin, “GOP Plan To Overhaul Tax Code Gets Held Up At The Border,” Wall Street Journal, 2/7/17)

Financial Times: Border Tax Threatens To Devastate Importers Through Soaring Tax Bills. “Yet for Mr. Woldenberg the hope has turned to horror. Republicans are still promising the most sweeping changes since the Reagan reforms of 1986. But the only firm proposal on the table — from the House of Representatives — threatens to devastate his 150-person business because it includes a 20 per cent tax on imports … The problem for Mr. Woldenberg is that his goods come from China — 98 per cent of the products he sells in the US are imported. US factories could not produce them with the same low costs and specialized skills, he says. So he would have no choice but to pay the import levy. He estimates it would send his tax bill soaring to 165 per cent of earnings.” (Barney Jopson, Sam Fleming & Shawn Donnan, “Trump And The Tax Plan Threatening To Split Corporate America,” Financial Times, 2/13/17)

RICK WOLDENBERG: “To preserve cash flow I [would have to] raise my prices by a third, expect volume to go down by 40 per cent, and fire one out of five people.” (Barney Jopson, Sam Fleming & Shawn Donnan, “Trump And The Tax Plan Threatening To Split Corporate America,” Financial Times, 2/13/17)

RBC Capital Markets: Major Retailers Would Face Tax Bills That Exceed Their Operating Profits. “Major retailers like Wal-Mart, Best Buy, Costco and Dollar Tree would face tax bills that exceed their operating profits under House Republicans’ plans to create a ‘border adjustable’ business tax, RBC Capital Markets said. The investment bank sided with retailers in a debate over the proposal, saying in a research note it would have a ‘seriously adverse’ impact on them. ‘If the US moves to a border-adjusted tax system, most of our retailers would be forced to raise prices (and revenues) or meaningfully change their import/domestic sourcing mix, or their earnings would be materially reduced,’ it said.” (Brian Faler, “RBC Capital Markets: GOP Border-Adjustment Plan Bad For Retailers,” POLITICO Pro, 12/12/16)

POLITICO: “Retailers Fear Massive Tax Increases Under House Republican Tax Plan” “Many retailers fear that, even with Republicans promising to slash the corporate tax rate, they will still face big tax increases that in some cases will exceed their profits. On high alert over the proposal, retailers have begun a big lobbying campaign on the Hill, warning lawmakers and their aides that any tax hikes will get passed on to their constituents in the form of higher prices.” (Brian Faler, “Retailers Fear Massive Tax Increases Under House Republican Tax Plan,” POLITICO, 11/23/16)

The National Retail Federation Warns That A Border Tax Could Shut Businesses Down Completely. “‘Our members have told us that the import tax could be as high as five times their profits,’ said David French, chief lobbyist for the National Retail Federation. ‘I don’t know how viable some retailers would be in the face of this import tax.’” (Brian Faler, “Retailers Fear Massive Tax Increases Under House Republican Tax Plan,” POLITICO, 11/23/16)

POLITICO Pro: “Some Of The Biggest Losers Would Be Retailers Like Walmart, Best Buy And Home Depot That Import Massive Amounts Of Goods And Materials On Which They Would Suddenly Have To Pay Taxes.” “The border adjustment plan would affect individual companies differently, depending in part on how much they import and export. Some of the biggest losers would be retailers like Walmart, Best Buy and Home Depot that import massive amounts of goods and materials on which they would suddenly have to pay taxes.” (Brian Faler, “Some Companies May Never Pay Taxes Under Border-Adjustment Tax Plan,” POLITICO Pro, 1/9/17)

Axios: Cowen Research Released A Study Highlighting Some Of The Big Name Companies That Will Be Hurt By The Border Adjustments High Tax Hikes. “Cowen Research published a report Thursday that estimates the effect of the reform plan, and other planned measures, like eliminating the deductibility of interest and a headline corporate tax cut, on different industries and companies. Here are some of the big-name firms Cowen says will be hurt by reform: 1. Apple: The world’s largest company would see its tax bill jump because it won’t be able to deduct the expense of assembly abroad. 2. Constellation Brands: The largest beer importer in America will not be able to expense the cost of goods it brings across the border, like its Corona brand. 3. Gap: Between 50% and 80% of the retailer’s cost of the goods its sells comes from abroad. Walmart: 4. Walmart’s low margins means that it may not be able to survive a tax hike on imported goods without raising prices. 5. Target: Will suffer from the same conundrum as Walmart, but will be worse off since less of its revenue comes from domestically-sourced groceries. J.C. Penney: The department store has high debt loads, and interest on debt will not be deductible under the Republican plan. (Christopher Matthews, “These Companies Will Be Hit Hardest By GOP Tax Reform,” Axios, 1/27/17)

Border Adjustment Tax Would Result In Higher Costs For Hard-Working Families

Christian Science Monitor: Border Tax Could Raise Car Prices By Thousands Of Dollars. “Michigan-based Baum & Associates says that a border tax–one that applies not only to vehicles imported from factories abroad but also to foreign-made vehicle parts–could increase sticker prices by as much as $17,000 … Most increases would be smaller, but still very substantial. Volvo, for example, would need to up its prices by more than $7,500 to accommodate a border tax. Volkswagen wouldn’t be far behind, with increases of around $6,800. Even Detroit brands would see price upticks: Ford’s would climb $285, and General Motors’ would rise by nearly $1,000. Fiat Chrysler would have to boost prices by closer to $2,000.” (Richard Read, “How Trump’s Border Tax Could Raise Car Prices By Thousands Of Dollars,Christian Science Monitor, 2/8/17)

Auto Sales Would Plummet Under A Border Adjustment Tax. “A report from UBS Securities says that the higher car prices would slash U.S. auto sales by about 2 million vehicles per year. That would more than erase the increased capacity and almost certainly result in layoffs.” (Richard Read, “How Trump’s Border Tax Could Raise Car Prices By Thousands Of Dollars,Christian Science Monitor, 2/8/17)

More Than A Hundred American Businesses Are Opposing The Republican Border Tax: “Don’t Make Hard-Working Families Pay More On Essential Products.” “Nike, Rite Aid, The Gap, Best Buy and Abercrombie & Fitch have joined a new advocacy group aimed at killing House Republicans’ plans to create a border adjustable business tax. They are some of the more than 100 companies and trade associations behind Americans for Affordable Products, an organization launched today that is pushing lawmakers to dump a plan to begin taxing imports as part of a broader tax-code rewrite. The groups, which rely on imports, fear the House Republican plan will mean huge tax increase even as Republicans promise to simultaneously slash the corporate tax rate … Other well-known companies joining the effort include Target, Walmart, QVC, Petco, AutoZone, Macy’s and Levi Strauss.” (Brian Faler, “Border Adjustment Tax Opponents Launch New Group Targeting GOP Proposal,” Politico, 2/01/17)

“A Sweeping Tax Reform Proposal Meant To Boost U.S. Manufacturing Faces Mounting Pressure From Industries That Rely Heavily On Imported Goods …” “A sweeping tax reform proposal meant to boost U.S. manufacturing faces mounting pressure from industries that rely heavily on imported goods as President-elect Donald Trump and congressional Republicans work to finalize new tax legislation. As Republican members of the House of Representatives tax committee prepared to discuss tax reform this week, the panel received a letter from 81 industry groups rejecting the proposal known as ‘border adjustability.’ A lynchpin of the House Republican ‘Better Way’ agenda and viewed favorably by Trump’s team, the policy would help manufacturers by exempting export revenues from corporate taxes. But it would tax imports, hitting import-dependent industries.” (David Morgan, “U.S. Tax Reform Proposal On Border Trade Faces Growing Opposition,” Reuters, 12/15/16)

“Companies That Rely On Global Supply Chains Would Face Huge Business Challenges Caused By Increased Taxes And Increased Cost Of Goods.” “In a Dec. 13 letter to House Ways and Means Chairman Kevin Brady and incoming top Democrat Richard Neal, groups representing the auto and retailing industries, among others, said: ‘Companies that rely on global supply chains would face huge business challenges caused by increased taxes and increased cost of goods.’ They warned of ‘reductions in employment, reduced capital investments and higher prices for consumers’ as potential consequences.” (David Morgan, “U.S. Tax Reform Proposal On Border Trade Faces Growing Opposition,” Reuters, 12/15/16)

CNBC: Coach CEO Victor Luis Acknowledged That “Any Border Tax Will Lead To Higher Prices For The Consumer.” “If we see this border adjustment in an economy where 70 percent of GDP is driven by consumption that is driven on imports, any border tax will lead to higher prices for the consumer … That’s just a reality that we’ll have to face if it comes to that.” (Rachel Cao, “Coach CEO: Any Border Tax Will Lead To Higher Prices For The Consumer,” CNBC, 1/31/17)

National Retail Federation: The Border Adjustment Tax Could Cost The Average Family $1,700 In Just The First Year. “The imposition of a ‘border adjustment tax,’ a key provision of a pending House tax reform proposal, would end up seriously harming U.S. consumers. NRF analysis indicates that this plan could cost the average family $1,700 in the first year alone if the border adjustment provision is enacted. While economic theory suggests that trade flow of imports and exports would balance out over the long run due to offsetting exchange rate and price adjustments, there is no consensus as to the degree or the timing of these adjustments. In the near term, consumers would be left to pick up the significant tab while hoping that the economic theory proves out.” (Mark Mathews, “Border Adjustment Tax Would Cost American Households Up To $1,700 In First Year Alone,” National Retail Federation, 2/3/17)

NRF: Annual Family’s Savings Could Be Wiped Out By Nearly A Third. “For the average family, 27 percent of their savings (income after taxes and expenditures) could evaporate with the cost increases caused by the border tax.” (Mark Mathews, “Border Adjustment Tax Would Cost American Households Up To $1,700 In First Year Alone,” National Retail Federation, 2/3/17)

  • “Unmarried adults without children currently have only $443 left over annually after taxes and expenditures. If the border adjustment tax were enacted, they could see an $836 increase in costs — nearly 200 percent higher than their annual savings.”
  • “One-parent households, which are already in the red, could see an additional $1,000 added to their debt burden as they do what they can to make ends meet. Their apparel and footwear bills would increase by $271
  • “The average family (married with children) could see their apparel costs (including shoes) increase by $437 a year.”
  • “Single people could see their annual gasoline bills rise by $189, a whopping 43 percent of their annual average savings.”
  • “Married couples with children could see their annual gasoline bill could increase by over $400.”

CNBC: “The Republicans’ Plan To Enact A Border Adjustment Tax Will Leave Consumers Digging Deeper Into Their Pockets,” Increasing The Price Of Everyday Goods Like Clothes And Shoes By 20 Percent. “It will force consumers to pay as much as 20 percent more for the products they need. Gasoline is estimated to go up as much as 35 cents a gallon,’ said ‘Americans for Affordable Products’ advisor Brian Dodge … ‘Common household goods, apparel, things that people count on every day, pajamas, will cost more and really just so a certain, select group of corporations can avoid paying taxes forever. We think that’s bad policy…” (Michelle Fox, “Consumers Could See 20% Price Hike With Border Adjustment Tax, Retail Group Says,” CNBC, 2//17)

Economists And Analysts Weigh-In Against Border Adjustments

Dan Mitchell, Cato Institute: “I’ve Never Understood Why Politicians Think It’s A Good Idea To Have Higher Taxes On What Americans Consume And Lower Taxes On What Foreigners Consume.” (Dan Mitchell, “A Remarkably Good And Reasonably Bold Tax Reform Plan From House Republicans,” International Liberty, 6/25/16)

President Of The New York Fed Bill Dudley: “… There Could Be A Lot Of Unintended Consequences.” “Another prominent critic of a ‘border adjustment tax’ emerged Tuesday: the president of the New York Federal Reserve. Bill Dudley was asked by Macy’s CEO Terry Lundgren at a meeting of the National Retail Federation trade group what he thinks of the idea of a border adjustment tax, which involves taxing imports at 20 percent, while making U.S. exports tax-free. … ‘I think that it will lead to a lot of changes in the value of the dollar, the price of imported goods in the U.S., and I’m not sure that would all happen very smoothly,’ Dudley said. ‘I also think there could be a lot of unintended consequences.’” (Michelle Caruso-Cabrera, “NY Fed’s Dudley Sees ‘A Lot Of Unintended Consequences’ From Border-Tax Plan,” CNBC, 1/17/17)

Stephen Moore, Heritage Foundation: Border Tax Unlikely To Be Enacted. “A Heritage Foundation economist who advised President Trump’s campaign said he doubts a proposal from House Republicans to tax imports and exempt exports will gain traction.” (Naomi Jagoda, “Trump Campaign Adviser: Border Tax Unlikely To Be Enacted,” The Hill, 2/7/17)

MOORE: “I think it’s a distraction.” (Naomi Jagoda, “Trump Campaign Adviser: Border Tax Unlikely To Be Enacted,” The Hill, 2/7/17)

Steve Forbes: Border Adjustment Amounts To “Sneaky, Anti-Consumer Tax.” “This levy will cost American consumers at least a trillion dollars over the next ten years …  Prices for everyday items, such as socks, shoes and household appliances, will go up. So will tech devices like the iPad, not to mention automobiles and trucks. Gasoline? Millions of Americans will pay an additional 30 cents or more per gallon at the pump. Lower-income and struggling middle-class Americans will get hit the hardest.” (Steve Forbes, “OMG! House Republicans Are Preparing To Hit Consumers With A Horrible New Tax That Will Harm Trump And Hurt The Economy,” Forbes, 1/11/17)

POLITICO Pro: “Trump Adviser Larry Kudlow Slams Border-Adjustment Tax Plans.” “An economic adviser to President-elect Donald Trump slammed plans to create a so-called border adjustable business tax, and predicted it could kill efforts to overhaul the tax code. The House Republican proposal is overly complicated …  said Larry Kudlow, who helped write Trump’s tax-reform plans.” (Brian Faler, “Trump Adviser Larry Kudlow Slams Border-Adjustment Tax Plans,” POLITICO Pro, 1/12/17)

KUDLOW: “That is an exercise in government planning and complexity that I believe is doomed to fail … I think the whole corporate tax reform, which is the most important pro-growth measure, will go down the drain over this … There’s a problem that exists, but this is not the right solution …” (Brian Faler, “Trump Adviser Larry Kudlow Slams Border-Adjustment Tax Plans,” POLITICO Pro, 1/12/17)

KUDLOW: “GOP’s Border Adjustment Tax Is ‘Voodoo Economics” “President-elect Donald Trump is correct to criticize the House Republican plan to tax cross-border trade … said Larry Kudlow, who served as a senior economic adviser to Trump’s campaign…’I hate to say this, but it’s ‘voodoo economics’” (R. Williams, “Larry Kudlow: GOP’s Border Adjustment Tax Is ‘Voodoo Economics,” Newsmax, 1/17/17)

https://freedompartners.org/latest-news/chairman-brady-acknowledges-valid-concerns-border-adjustment-tax-harming-u-s-businesses/

Concerns about the”Border Adjustable” Tax Plan from the House GOP, Part II

I wrote yesterday to praise the Better Way tax plan put forth by House Republicans, but I added a very important caveat: The “destination-based” nature of the revised corporate income tax could be a poison pill for reform.

I listed five concerns about a so-called destination-based cash flow tax (DBCFT), most notably my concerns that it would undermine tax competition (folks on the left think it creates a “race to the bottom” when governments have to compete with each other) and also that it could (because of international trade treaties) be an inadvertent stepping stone for a government-expanding value-added tax.

Brian Garst of the Center for Freedom and Prosperity has just authored a new study on the DBCFT. Here’s his summary description of the tax.

The DBCFT would be a new type of corporate income tax that disallows any deductions for imports while also exempting export-related revenue from taxation. This mercantilist system is based on the same “destination” principle as European value-added taxes, which means that it is explicitly designed to preclude tax competition.

Since CF&P was created to protect and promote tax competition, you won’t be surprised to learn that the DBCFT’s anti-tax competition structure is a primary objection to this new tax.

First, the DBCFT is likely to grow government in the long-run due to its weakening of international tax competition and the loss of its disciplinary impact on political behavior. … Tax competition works because assets are mobile. This provides pressure on politicians to keep rates from climbing too high. When the tax base shifts heavily toward immobile economic activity, such competition is dramatically weakened. This is cited as a benefit of the tax by those seeking higher and more progressive rates. …Alan Auerbach, touts that the DBCFT “alleviates the pressure to reduce the corporate tax rate,” and that it would “alter fundamentally the terms of international tax competition.” This raises the obvious question—would those businesses and economists that favor the DBCFT at a 20% rate be so supportive at a higher rate?

Brian also shares my concern that the plan may morph into a VAT if the WTO ultimately decides that is violates trade rules.

Second, the DBCFT almost certainly violates World Trade Organization commitments. …Unfortunately, it is quite possible that lawmakers will try to “fix” the tax by making it into an actual value-added tax rather than something that is merely based on the same anti-tax competition principles as European-style VATs. …the close similarity of the VAT and the DBCFT is worrisome… Before VATs were widely adopted, European nations featured similar levels of government spending as the United States… Feeding at least in part off the easy revenue generate by their VATs, European nations grew much more drastically over the last half century than the United States and now feature higher burdens of government spending. The lack of a VAT-like revenue engine in the U.S. constrained efforts to put the United States on a similar trajectory as European nations.

And if you’re wondering why a VAT would be a bad idea, here’s a chart from Brian’s paper showing how the burden of government spending in Europe increased once that tax was imposed.

In the new report, Brian elaborates on the downsides of a VAT.

If the DBCFT turns into a subtraction-method VAT, its costs would be further hidden from taxpayers. Workers would not easily understand that their employers were paying a big VAT withholding tax (in addition to withholding for income tax). This makes it easier for politicians to raise rates in the future. …Keep in mind that European nations have corporate income tax systems in addition to their onerous VAT regimes.

And he points out that those who support the DBCFT for protectionist reasons will be disappointed at the final outcome.

…if other nations were to follow suit and adopt a destination-based system as proponents suggest, it will mean more taxes on U.S. exports. Due to the resulting decline in competitive downward pressure on tax rates, the long-run result would be higher tax burdens across the board and a worse global economic environment.

Brian concludes with some advice for Republicans.

Lawmakers should always consider what is likely to happen once the other side eventually returns to power, especially when they embark upon politically risky endeavors… In this case, left-leaning politicians would see the DBCFT not as something to be undone, but as a jumping off point for new and higher taxes. A highly probable outcome is that the United States’ corporate tax environment becomes more like that of Europe, consisting of both consumption and income taxes. The long-run consequences will thus be the opposite of what today’s lawmakers hope to achieve. Instead of a less destructive tax code, the eventual result could be bigger government, higher taxes, and slower economic growth.

Amen.

My concern with the DBCFT is partly based on theoretical objections, but what really motivates me is that I don’t want to accidentally or inadvertently help statists expand the size and scope of government. And that will happen if we undermine tax competition and/or set in motion events that could lead to a value-added tax.

Let’s close with three hopefully helpful observations.

Helpful Reminder #1: Congressional supporters want a destination-based system as a “pay for” to help finance pro-growth tax reforms, but they should keep in mind that leftists want a destination-based system for bad reasons.

Based on dozens of conversations, I think it’s fair to say that the supporters of the Better Way plan don’t have strong feelings for destination-based taxation as an economic principle. Instead, they simply chose that approach because it is projected to generate $1.2 trillion of revenue and they want to use that money to “pay for” the good tax cuts in the overall plan.

That’s a legitimate choice. But they also should keep in mind why other people prefer that approach. Folks on the left want a destination-based tax system because they don’t like tax competition. They understand that tax competition restrains the ability of governments to over-tax and over-spend. Governments in Europe chose destination-based value-added taxes to prevent consumers from being able to buy goods and services where VAT rates are lower. In other words, to neuter tax competition. Some state governments with high sales taxes in the United States are pushing a destination-based system for sales taxes because they want to hinder consumers from buying goods and services from states with low (or no) sales taxes. Again, their goal is to cripple tax competition.

Something else to keep in mind is that leftist supporters of the DBCFT also presumably see the plan as being a big step toward achieving a value-added tax, which they support as the most effective way of enabling bigger government in the United States.

Helpful Reminder #2: Choosing the right tax base (i.e., taxing income only one time, otherwise known as a consumption-base system) does not require choosing a destination-based approach.

The proponents of the Better Way plan want a “consumption-base” tax. This is a worthy goal. After all, that principle means a system where economic activity is taxed only one time. But that choice is completely independent of the decision whether the tax system should be “origin-based” or “destination-based.”

The gold standard of tax reform has always been the Hall-Rabushka flat tax, which is a consumption-base tax because there is no double taxation of income that is saved and invested. It also is an “origin-based” tax because economic activity is taxed (only one time!) where income is earned rather than where income is consumed.

The bottom line is that you can have the right tax base with either an origin-based system or a destination-based system.

Helpful Reminder #3: The good reforms of the Better Way plan can be achieved without the downside risks of a destination-based tax system.

The Tax Foundation, even in rare instances when I disagree with its conclusions, always does very good work. And they are the go-to place for estimates of how policy changes will affect tax receipts and the economy. Here is a chart with their estimates of the revenue impact of various changes to business taxation in the Better Way plan. As you can see, the switch to a destination-based system (“border adjustment”) pulls in about $1.2 trillion over 10 years. And you can also see all the good reforms (expensing, rate reduction, etc) that are being financed with the various “pay fors” in the plan.

I am constantly asked how the numbers can work if “border adjustment” is removed from the plan. That’s a very fair question.

But there are lots of potential answers, including:

  • Make a virtue out of necessity by reducing government revenue by $1.2 trillion.
  • Reduce the growth of government spending to generate offsetting savings.
  • Find other “pay fors” in the tax code (my first choice would be the healthcare exclusion).
  • Reduce the size of the tax cuts in the Better Way plan by $1.2 trillion.

I’m not pretending that any of these options are politically easy. If they were, the drafters of the Better Way plan probably would have picked them already. But I am suggesting that any of those options would be better than adopting a destination-based system for business taxation.

Ultimately, the debate over the DBCFT is about how different people assess political risks. House Republicans advocating the plan want good things, and they obviously think the downside risks in the future are outweighed by the ability to finance a larger level of good tax reforms today. Skeptics appreciate that those proponents want good policy, but we worry about the long-run consequences of changes that may (especially when the left sooner or late regains control) enable bigger government.

P.S. This is not the first time that advocates of good policy have bickered with each other. During the 2016 nomination battle, Rand Paul and Ted Cruz proposed tax reform plans that fixed many of the bad problems in the tax code. But they financed some of those changes by including value-added taxes in their plans. In the short run, either plan would have been much better than the current system. But I was critical because I worried that the inclusion of VATs would eventually give statists a tool to further increase the burden of government.

https://www.cato.org/blog/concerns-about-theborder-adjustable-tax-plan-house-gop-part-ii

THE CORNER THE ONE AND ONLY. Speaker Ryan’s Use of Reporters’ Recorders to Explain His Border Tax Was Cute — But Misleading

Faced with growing opposition to their border-adjustment tax, congressional Republicans are nonetheless on the offensive trying to sell it. I have expressed my many reasons for opposing the tax, including my disbelief that Republicans would support a massive tax increase alongside what is otherwise a pro-growth tax reform. While they oppose tax increases to pay for spending increases in other contexts and usually make the case that spending increases should be paid for by spending cuts, Republicans continue to push for this massive new source of revenue, in spite of the distortions it would introduce.

Until now, supporters of the tax have used many questionable arguments. For instance, they claim we shouldn’t worry about the protectionist aspect of a tax that imposes a 20 percent rate to imports but exempts exports under the hope that the U.S. dollar will adjust fully and quickly. However, there are reasons to believe that while the U.S. currency will adjust, it won’t adjust fully (Federal Reserve Board chairwoman Janet Yellen is only the latest one to stress that point), it won’t adjust as quickly as they claim (especially if the tax is challenged under the World Trade Organization as the Europeans have warned is going to be the case), and it won’t result in unicorns and rainbows.

But the latest misguided statements about the border-adjustment tax comes from House speaker Paul Ryan — who ought to know better. During a press conference last week, he repeated the claim that United States was at a disadvantage because other countries’ exports are exempted from taxes while U.S. goods aren’t. [Ryan] noted that most other countries already border-adjust their taxes and tax goods based on whether they were consumed in their jurisdiction.

That comment is bound to confuse reporters because, as Mr. Ryan must know, no other country border-adjusts their corporate income tax. They border-adjust their Value Added Tax. Conflating the two is misleading, to say the least.

Ryan continued:

The Speaker picked up two reporters’ recorders to give an example of how goods are taxed currently. He suggested one was American-made and the other was Japanese-made. Early on, he dropped one of the recorders, saying “oops” and receiving laughter from the reporters. “Here’s what Japan does when they make this tape recorder: When they send it for export they take the tax off of it, and then it comes to America and it’s not taxed, and it comes through to compete against our good, which was taxed. Theirs was untaxed twice,” Ryan said. “When America makes something, like a tape recorder, we tax it, and then we send it to Japan. As it enters Japan it’s taxed again, to compete against their tape recorder,” he continued. “So we are doing it to ourselves. We are hurting our manufacturing and jobs. We are putting a bias against making things in America in the tax code. . . . That is why we think this is very important. This is good manufacturing policy.”

Oh boy, where do I begin? First, it is true that U.S. companies are at a disadvantage but it is not because of other countries’ tax codes. It is because our corporate-income-tax system has the highest rate of all OECD countries and because, unlike most of our competitors, it taxes U.S. companies’ profits no matter where they are earned in the world. The solution to this disadvantage is to reduce the rates and move to a territorial system. Oh, and by the way, unlike what Ryan and other proponents of a border-adjustment tax would like you to believe, you do not need to move to an expansive destination-based-cash-flow tax to have a territorial tax.

Now let me address the cute tape-recorder example used by the speaker. It is totally misleading because it conflates foreign countries corporate tax and VAT taxes and it paints a picture that is incorrect. For instance, he claims that Japanese exports are exempt from taxes. No, Japanese products exported to the U.S. are exempt from the Japanese VAT but the Japanese company is still paying U.S. corporate tax on its U.S. profits. And you know what? In that sense, the Japanese export is treated exactly like the U.S. goods sold in the U.S. In other words, the playing field is even! I repeat: Japanese goods in the U.S. are taxed like U.S. goods in the U.S.

How about U.S. exports in Japan? Well, it gets hit by the Japanese VAT in Japan and by the Japanese corporate tax but so are Japanese goods sold in Japan. Again, the only disadvantage faced by U.S. companies selling tape recorders abroad comes from the U.S. tax system, which requires that income earned in Japan be taxed by Uncle Sam at 35 percent after benefiting from a tax credit for tax paid in Japan. If the U.S. company decides to keep its Japanese income outside the U.S., the U.S. rate won’t apply.

Dan Mitchell explains why the VAT doesn’t change the terms of trade in this video.

Finally, economists have debunked the idea implied by the speaker that foreign VATs give an advantage to foreign exports — and therefor boost foreign exports. It is simply not true. It follows that imposing a border-adjustment tax in the U.S. will not boost U.S. exports either. Period.

Let me summarize this for you:

  • No, other countries do not border-adjust their corporate income tax.
  • Comparing other countries’ VATs and our corporate tax is problematic to say the least.
  • No, foreign exports sold in the U.S. do not have an advantage over U.S. goods sold in the U.S. Foreign VATs do not boost foreign exports.
  • A border tax in the U.S. will not boost our exports but it will hurt consumers and many U.S. retailers.
  • The disadvantage faced by U.S. companies exporting goods abroad comes from the terrible worldwide tax and high rates of the U.S. tax regime, not from other countries’ tax system.
  • The way to fix the U.S. disadvantage is not to create a new expansive tax that would penalize imports in the U.S. — including imports for the benefit of U.S. domestic companies — and would penalize U.S. consumers.
  • The solution is to reform our corporate-tax rate by lowering the rate and moving to an origin-based territorial-tax regime. http://www.nationalreview.com/corner/445034/paul-ryan-border-adjustment-tax-mistake

Who’s Afraid of a Big BAT Tax?

The Border Adjustment Tax, a proposal favored by House Speaker Paul Ryan, has aroused serious opposition from Republican senators.

Joshua Roberts / Reuters

Donald Trump is feeling good about taxes. In his gonzo press conference last Thursday, he assured Americans that “very historic tax reform” is absolutely on track and is going to be—wait for it!—“big league.” The week before, he told a bunch of airline CEOs that “big league” reform was “way head of schedule” and that his people would be announcing something “phenomenal” in “two or three weeks.” And at his Orlando pep rally this past weekend, he gushed about his idea for a punitive 35 percent border tax on products manufactured overseas. The magic is happening, people. And soon America’s tax code will be the best, most beautiful in the world.

But here’s the thing. What Trump doesn’t know about the legislative process could overflow the pool at Mar-a Lago. And when it comes to tax reform, even minor changes make Congress lose its mind. Weird fault lines appear, and the next thing you know, warring factions have painted their faces blue and vowed to die on the blood-soaked battlefield before allowing this marginal rate to change or that loophole to close.

Such drama has, in fact, already begun over the proposal percolating in the House. At issue: a provision known as the border adjustment tax—let’s call it BAT—which, shrunk to its essence, incentivizes domestic manufacturing by slapping a 20 percent levy on imports, while making U.S. companies’ export-revenues tax deductible.

BAT fans—most notably House Speaker Paul Ryan and Ways and Means Chairman Kevin Brady—pitch the provision as an economically elegant twofer: an America-First measure that discourages companies from moving operations overseas while creating a revenue stream ($1 trillion every decade or so) that allows the overall corporate tax rate to be slashed.

Opponents—most vocally Senators David Perdue and Tom Cotton—argue that a BAT is another grubby government cash grab that will ultimately hurt consumers when, say, Walmart has to jack up the prices of underwear, bananas, and Playstations. In a February 8 letter to colleagues, Perdue, who spent four decades in the business world, charged that the BAT is “regressive, hammers consumers, and shuts down economic growth.”Thus the battle lines are drawn. And, make no mistake, this will not be some bush-league, penny-ante skirmish. Behind the legislative factions are amassing some of the heaviest hitters in corporate America, ready to spend millions to sway debate on behalf of their team.Roughly speaking, companies that do a lot of exporting dig the BAT (think: Boeing, Merck, and Dow Chemical) while import-dependent retailers (including Target, Nike, and, yes, Walmart) fear it will destroy their bottom lines. The oil industry isn’t feeling much BAT love either. The Koch brothers want it dead, like, yesterday.At this point, anti-BATers have an edge. Why? Partly, because the provision is super complicated and almost impossible to explain in terms that don’t sound like something a coven of economists vomited up. Ask BAT fans why the provision won’t, in fact, hurt retailers or consumers, and you’re instantly hip-deep in talk of currency revaluation, purchasing power, and territorial taxation. Last Wednesday, one day after Paul Ryan tried to educate Senate Republicans on the wonders of BAT at their weekly policy lunch, Tom Cotton (who represents Walmart’s home state of Arkansas) snarked on the Senate floor, “Some ideas are so stupid only an intellectual could believe them.”
This is in no way to suggest that the pro-BAT arguments are wrong. They simply don’t push the same buttons as anti-BAT warnings that Congress is poised to screw consumers in order to fund big tax cuts for corporations.For the past few weeks, in fact, an anti-BAT coalition called Americans for Affordable Products has been busy hawking this exact message. “This is a consumer tax—a means by which House Republicans are paying for other tax deductions,” asserted AAP member Brian Dodge. “It’s not about America First. It’s not a trade-deficit reduction tool. It is a pay-for.”AAP is lobbying lawmakers and staffers and doing public outreach. Last Wednesday, it dispatched eight CEOs to chat with Trump and Vice President Pence. “We view our job as leading a large education campaign,” said Dodge. “We believe the more that lawmakers understand about this proposal, the less inclined they’ll be to support it.”Of course, BAT fans are gearing up as well and promise to be equally aggressive. The day after the AAP roll out, the American Made Coalition launched, with an eye toward helping Ryan’s office spread the good word. “It takes time to educate both policy makers and businesses on what’s on the table,” said Brian Reardon, an adviser to the group.There is no place for subtlety in this war. Part of BAT supporters’ argument is that, without the provision, tax overhaul will implode altogether. Message: Get on board or kiss your once-in-a-lifetime reform opportunity good-bye.It’s a question of Senate math. To pass with a simple majority (and avoid a filibuster by Democrats), the GOP’s plan must go through under the procedure known as reconciliation. But to qualify for reconciliation, the package–which slashes both corporate and upper-bracket taxes–cannot blow a hole in the long-term budget. Without the $1 trillion in revenues from BAT, say advocates, there’s no way that hole can be plugged.“This is the only way at these rates and keeping things revenue neutral,” insisted a senior Republican aide. There is no other viable option. Period. End of story.But anti-BATers are eyeing a different Senate equation. To amass even a simple majority of votes, the BAT can lose only two of the 52 Republican members. (Unless Democrats cross the aisle, of course.) In addition to Cotton’s and Perdue’s open hostility, Senators John Boozman, Mike Rounds, John Cornyn, Tim Scott, and Mike Lee have all expressed reservations. “I have real concerns that this piece of the House blueprint will cause more disruption than necessary,” Lee said. “Will the dollar suddenly shoot up by 20 percent? Will U.S. manufacturers have to redo their international supply chains? These are all open questions.”

With the provision’s Senate prospects iffy, there’s less incentive for House conservatives to support something that smells even faintly like a tax. Both the current chairman of the Freedom Caucus, Mark Meadows, and the former chairman, Jim Jordan, have said they’d like reform done without a BAT.

“My reasoning is very basic,” Jordan told me. “Why in the world would we want to add another revenue stream?” You can debate the impact on exchange rates and purchasing power all day, said Jordan, but that doesn’t address many conservatives’ core objection. “We come at it from fundamental perspective,” he said. “The idea that you’re going to add an entirely new tax is a big problem.”

(BAT fans, for the record, dispute that this is a new tax. It is, they insist, replacing the existing system with an entirely new, far superior one that must be looked at, as Reardon put it, “holistically.”)

The only thing everyone can agree on is that this will be a long, ugly fight. If Trump drops his tariff idea and embraces BAT, it could boost the cause. But even then, he’d need to do major arm-twisting to get Senate skeptics on board (especially with the likes of Walmart and the Kochs twisting the other arm.) Like it or not, this is what the political big leagues are like: slow, messy, and infuriating.

The up side for Trump: He’ll have time to throw a lot more pep rallies on this topic before anything gets decided.

https://www.theatlantic.com/politics/archive/2017/02/border-adjustment-tax-congress/517287/

The Internal Revenue Service has recently released new data on individual income taxes for calendar year 2014, showing the number of taxpayers, adjusted gross income, and income tax shares by income percentiles.[1]

The data demonstrates that the U.S. individual income tax continues to be very progressive, borne mainly by the highest income earners.

  • In 2014, 139.6 million taxpayers reported earning $9.71 trillion in adjusted gross income and paid $1.37 trillion in individual income taxes.
  • The share of income earned by the top 1 percent of taxpayers rose to 20.6 percent in 2014. Their share of federal individual income taxes also rose, to 39.5 percent.
  • In 2014, the top 50 percent of all taxpayers paid 97.3 percent of all individual income taxes while the bottom 50 percent paid the remaining 2.7 percent.
  • The top 1 percent paid a greater share of individual income taxes (39.5 percent) than the bottom 90 percent combined (29.1 percent).
  • The top 1 percent of taxpayers paid a 27.1 percent individual income tax rate, which is more than seven times higher than taxpayers in the bottom 50 percent (3.5 percent).

Reported Income and Taxes Paid Both Increased Significantly in 2014

Taxpayers reported $9.71 trillion in adjusted gross income (AGI) on 139.5 million tax returns in 2014. Total AGI grew by $675 billion from the previous year’s levels. There were 1.2 million more returns filed in 2014 than in 2013, meaning that average AGI rose by $4,252 per return, or 6.5 percent.

Meanwhile, taxpayers paid $1.37 trillion in individual income taxes in 2014, an 11.5 percent increase from taxes paid in the previous year. The average individual income tax rate for all taxpayers rose from 13.64 percent to 14.16 percent. Moreover, the average tax rate increased for all income groups, except for the top 0.1 percent of taxpayers, whose average rate decreased from 27.91 percent to 27.67 percent.

The most likely explanation behind the higher tax rates in 2014 is a phenomenon known as “real bracket creep.” [2] As incomes rise, households are pushed into higher tax brackets, and are subject to higher overall tax rates on their income. On the other hand, the likely reason why the top 0.1 percent of households saw a slightly lower tax rate in 2014 is because a higher portion of their income consisted of long-term capital gains, which are subject to lower tax rates.[3]

The share of income earned by the top 1 percent rose to 20.58 percent of total AGI, up from 19.04 percent in 2013. The share of the income tax burden for the top 1 percent also rose, from 37.80 percent in 2013 to 39.48 percent in 2014.

Top 1% Top 5% Top 10% Top 25% Top 50% Bottom 50% All Taxpayers
Table 1. Summary of Federal Income Tax Data, 2014
Number of Returns 1,395,620 6,978,102 13,956,203 34,890,509 69,781,017 69,781,017 139,562,034
Adjusted Gross Income ($ millions) $1,997,819 $3,490,867 $4,583,416 $6,690,287 $8,614,544 $1,094,119 $9,708,663
Share of Total Adjusted Gross Income 20.58% 35.96% 47.21% 68.91% 88.73% 11.27% 100.00%
Income Taxes Paid ($ millions) $542,640 $824,153 $974,124 $1,192,679 $1,336,637 $37,740 $1,374,379
Share of Total Income Taxes Paid 39.48% 59.97% 70.88% 86.78% 97.25% 2.75% 100.00%
Income Split Point $465,626 $188,996 $133,445 $77,714 $38,173
Average Tax Rate 27.16% 23.61% 21.25% 17.83% 15.52% 3.45% 14.16%
 Note: Does not include dependent filers

High-Income Americans Paid the Majority of Federal Taxes

In 2014, the bottom 50 percent of taxpayers (those with AGIs below $38,173) earned 11.27 percent of total AGI. This group of taxpayers paid approximately $38 billion in taxes, or 2.75 percent of all income taxes in 2014.

In contrast, the top 1 percent of all taxpayers (taxpayers with AGIs of $465,626 and above) earned 20.58 percent of all AGI in 2014, but paid 39.48 percent of all federal income taxes.

In 2014, the top 1 percent of taxpayers accounted for more income taxes paid than the bottom 90 percent combined. The top 1 percent of taxpayers paid $543 billion, or 39.48 percent of all income taxes, while the bottom 90 percent paid $400 billion, or 29.12 percent of all income taxes.

Figure 1.

High-Income Taxpayers Pay the Highest Average Tax Rates

The 2014 IRS data shows that taxpayers with higher incomes pay much higher average individual income tax rates than lower-income taxpayers.[4]

The bottom 50 percent of taxpayers (taxpayers with AGIs below $38,173) faced an average income tax rate of 3.45 percent. As household income increases, the IRS data shows that average income tax rates rise. For example, taxpayers with AGIs between the 10th and 5th percentile ($133,445 and $188,996) pay an average rate of 13.7 percent – almost four times the rate paid by those in the bottom 50 percent.

The top 1 percent of taxpayers (AGI of $465,626 and above) paid the highest effective income tax rate, at 27.2 percent, 7.9 times the rate faced by the bottom 50 percent of taxpayers.

Figure 2.

Taxpayers at the very top of the income distribution, the top 0.1 percent (with AGIs over $2.14 million), paid an even higher average tax rate, of 27.7 percent.

Appendix

Year Total Top 0.1% Top 1% Top
5%
Between
5% & 10%
Top 10% Between 10% & 25% Top 25% Between 25% & 50% Top 50% Bottom 50%
Table 2. Number of Federal Individual Income Tax Returns Filed 1980–2014 (Thousands)
Source: Internal Revenue Service.
1980 93,239 932 4,662 4,662 9,324 13,986 23,310 23,310 46,619 46,619
1981 94,587 946 4,729 4,729 9,459 14,188 23,647 23,647 47,293 47,293
1982 94,426 944 4,721 4,721 9,443 14,164 23,607 23,607 47,213 47,213
1983 95,331 953 4,767 4,767 9,533 14,300 23,833 23,833 47,665 47,665
1984 98,436 984 4,922 4,922 9,844 14,765 24,609 24,609 49,218 49,219
1985 100,625 1,006 5,031 5,031 10,063 15,094 25,156 25,156 50,313 50,313
1986 102,088 1,021 5,104 5,104 10,209 15,313 25,522 25,522 51,044 51,044
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 106,155 1,062 5,308 5,308 10,615 15,923 26,539 26,539 53,077 53,077
1988 108,873 1,089 5,444 5,444 10,887 16,331 27,218 27,218 54,436 54,436
1989 111,313 1,113 5,566 5,566 11,131 16,697 27,828 27,828 55,656 55,656
1990 112,812 1,128 5,641 5,641 11,281 16,922 28,203 28,203 56,406 56,406
1991 113,804 1,138 5,690 5,690 11,380 17,071 28,451 28,451 56,902 56,902
1992 112,653 1,127 5,633 5,633 11,265 16,898 28,163 28,163 56,326 56,326
1993 113,681 1,137 5,684 5,684 11,368 17,052 28,420 28,420 56,841 56,841
1994 114,990 1,150 5,749 5,749 11,499 17,248 28,747 28,747 57,495 57,495
1995 117,274 1,173 5,864 5,864 11,727 17,591 29,319 29,319 58,637 58,637
1996 119,442 1,194 5,972 5,972 11,944 17,916 29,860 29,860 59,721 59,721
1997 121,503 1,215 6,075 6,075 12,150 18,225 30,376 30,376 60,752 60,752
1998 123,776 1,238 6,189 6,189 12,378 18,566 30,944 30,944 61,888 61,888
1999 126,009 1,260 6,300 6,300 12,601 18,901 31,502 31,502 63,004 63,004
2000 128,227 1,282 6,411 6,411 12,823 19,234 32,057 32,057 64,114 64,114
The IRS changed methodology, so data above and below this line not strictly comparable
2001 119,371 119 1,194 5,969 5,969 11,937 17,906 29,843 29,843 59,685 59,685
2002 119,851 120 1,199 5,993 5,993 11,985 17,978 29,963 29,963 59,925 59,925
2003 120,759 121 1,208 6,038 6,038 12,076 18,114 30,190 30,190 60,379 60,379
2004 122,510 123 1,225 6,125 6,125 12,251 18,376 30,627 30,627 61,255 61,255
2005 124,673 125 1,247 6,234 6,234 12,467 18,701 31,168 31,168 62,337 62,337
2006 128,441 128 1,284 6,422 6,422 12,844 19,266 32,110 32,110 64,221 64,221
2007 132,655 133 1,327 6,633 6,633 13,265 19,898 33,164 33,164 66,327 66,327
2008 132,892 133 1,329 6,645 6,645 13,289 19,934 33,223 33,223 66,446 66,446
2009 132,620 133 1,326 6,631 6,631 13,262 19,893 33,155 33,155 66,310 66,310
2010 135,033 135 1,350 6,752 6,752 13,503 20,255 33,758 33,758 67,517 67,517
2011 136,586 137 1,366 6,829 6,829 13,659 20,488 34,146 34,146 68,293 68,293
2012 136,080 136 1,361 6,804 6,804 13,608 20,412 34,020 34,020 68,040 68,040
2013 138,313 138 1,383 6,916 6,916 13,831 20,747 34,578 34,578 69,157 69,157
2014 139,562 140 1,396 6,978 6,978 13,956 20,934 34,891 34,891 69,781 69,781
Year Total Top 0.1% Top 1% Top 5% Between 5% & 10% Top 10% Between 10% & 25% Top 25% Between 25% & 50% Top 50% Bottom 50%
Table 3. Adjusted Gross Income of Taxpayers in Various Income Brackets, 1980–2014 ($Billions)
Source: Internal Revenue Service.
1980 $1,627 $138 $342 $181 $523 $400 $922 $417 $1,339 $288
1981 $1,791 $149 $372 $201 $573 $442 $1,015 $458 $1,473 $318
1982 $1,876 $167 $398 $207 $605 $460 $1,065 $478 $1,544 $332
1983 $1,970 $183 $428 $217 $646 $481 $1,127 $498 $1,625 $344
1984 $2,173 $210 $482 $240 $723 $528 $1,251 $543 $1,794 $379
1985 $2,344 $235 $531 $260 $791 $567 $1,359 $580 $1,939 $405
1986 $2,524 $285 $608 $278 $887 $604 $1,490 $613 $2,104 $421
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 $2,814 $347 $722 $316 $1,038 $671 $1,709 $664 $2,374 $440
1988 $3,124 $474 $891 $342 $1,233 $718 $1,951 $707 $2,658 $466
1989 $3,299 $468 $918 $368 $1,287 $768 $2,054 $751 $2,805 $494
1990 $3,451 $483 $953 $385 $1,338 $806 $2,144 $788 $2,933 $519
1991 $3,516 $457 $943 $400 $1,343 $832 $2,175 $809 $2,984 $532
1992 $3,681 $524 $1,031 $413 $1,444 $856 $2,299 $832 $3,131 $549
1993 $3,776 $521 $1,048 $426 $1,474 $883 $2,358 $854 $3,212 $563
1994 $3,961 $547 $1,103 $449 $1,552 $929 $2,481 $890 $3,371 $590
1995 $4,245 $620 $1,223 $482 $1,705 $985 $2,690 $938 $3,628 $617
1996 $4,591 $737 $1,394 $515 $1,909 $1,043 $2,953 $992 $3,944 $646
1997 $5,023 $873 $1,597 $554 $2,151 $1,116 $3,268 $1,060 $4,328 $695
1998 $5,469 $1,010 $1,797 $597 $2,394 $1,196 $3,590 $1,132 $4,721 $748
1999 $5,909 $1,153 $2,012 $641 $2,653 $1,274 $3,927 $1,199 $5,126 $783
2000 $6,424 $1,337 $2,267 $688 $2,955 $1,358 $4,314 $1,276 $5,590 $834
The IRS changed methodology, so data above and below this line not strictly comparable
2001 $6,116 $492 $1,065 $1,934 $666 $2,600 $1,334 $3,933 $1,302 $5,235 $881
2002 $5,982 $421 $960 $1,812 $660 $2,472 $1,339 $3,812 $1,303 $5,115 $867
2003 $6,157 $466 $1,030 $1,908 $679 $2,587 $1,375 $3,962 $1,325 $5,287 $870
2004 $6,735 $615 $1,279 $2,243 $725 $2,968 $1,455 $4,423 $1,403 $5,826 $908
2005 $7,366 $784 $1,561 $2,623 $778 $3,401 $1,540 $4,940 $1,473 $6,413 $953
2006 $7,970 $895 $1,761 $2,918 $841 $3,760 $1,652 $5,412 $1,568 $6,980 $990
2007 $8,622 $1,030 $1,971 $3,223 $905 $4,128 $1,770 $5,898 $1,673 $7,571 $1,051
2008 $8,206 $826 $1,657 $2,868 $905 $3,773 $1,782 $5,555 $1,673 $7,228 $978
2009 $7,579 $602 $1,305 $2,439 $878 $3,317 $1,740 $5,058 $1,620 $6,678 $900
2010 $8,040 $743 $1,517 $2,716 $915 $3,631 $1,800 $5,431 $1,665 $7,096 $944
2011 $8,317 $737 $1,556 $2,819 $956 $3,775 $1,866 $5,641 $1,716 $7,357 $961
2012 $9,042 $1,017 $1,977 $3,331 $997 $4,328 $1,934 $6,262 $1,776 $8,038 $1,004
2013 $9,034 $816 $1,720 $3,109 $1,034 $4,143 $2,008 $6,152 $1,844 $7,996 $1,038
2014 $9,709 $986 $1,998 $3,491 $1,093 $4,583 $2,107 $6,690 $1,924 $8,615 $1,094
Year Total Top 0.1% Top 1% Top 5% Between 5% & 10% Top 10% Between 10% & 25% Top 25% Between 25% & 50% Top 50% Bottom 50%
Table 4. Total Income Tax after Credits, 1980–2014 ($Billions)
Source: Internal Revenue Service.
1980 $249 $47 $92 $31 $123 $59 $182 $50 $232 $18
1981 $282 $50 $99 $36 $135 $69 $204 $57 $261 $21
1982 $276 $53 $100 $34 $134 $66 $200 $56 $256 $20
1983 $272 $55 $101 $34 $135 $64 $199 $54 $252 $19
1984 $297 $63 $113 $37 $150 $68 $219 $57 $276 $22
1985 $322 $70 $125 $41 $166 $73 $238 $60 $299 $23
1986 $367 $94 $156 $44 $201 $78 $279 $64 $343 $24
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 $369 $92 $160 $46 $205 $79 $284 $63 $347 $22
1988 $413 $114 $188 $48 $236 $85 $321 $68 $389 $24
1989 $433 $109 $190 $51 $241 $93 $334 $73 $408 $25
1990 $447 $112 $195 $52 $248 $97 $344 $77 $421 $26
1991 $448 $111 $194 $56 $250 $96 $347 $77 $424 $25
1992 $476 $131 $218 $58 $276 $97 $374 $78 $452 $24
1993 $503 $146 $238 $60 $298 $101 $399 $80 $479 $24
1994 $535 $154 $254 $64 $318 $108 $425 $84 $509 $25
1995 $588 $178 $288 $70 $357 $115 $473 $88 $561 $27
1996 $658 $213 $335 $76 $411 $124 $535 $95 $630 $28
1997 $727 $241 $377 $82 $460 $134 $594 $102 $696 $31
1998 $788 $274 $425 $88 $513 $139 $652 $103 $755 $33
1999 $877 $317 $486 $97 $583 $150 $733 $109 $842 $35
2000 $981 $367 $554 $106 $660 $164 $824 $118 $942 $38
The IRS changed methodology, so data above and below this line not strictly comparable
2001 $885 $139 $294 $462 $101 $564 $158 $722 $120 $842 $43
2002 $794 $120 $263 $420 $93 $513 $143 $657 $104 $761 $33
2003 $746 $115 $251 $399 $85 $484 $133 $617 $98 $715 $30
2004 $829 $142 $301 $467 $91 $558 $137 $695 $102 $797 $32
2005 $932 $176 $361 $549 $98 $647 $145 $793 $106 $898 $33
2006 $1,020 $196 $402 $607 $108 $715 $157 $872 $113 $986 $35
2007 $1,112 $221 $443 $666 $117 $783 $170 $953 $122 $1,075 $37
2008 $1,029 $187 $386 $597 $115 $712 $168 $880 $117 $997 $32
2009 $863 $146 $314 $502 $101 $604 $146 $749 $93 $842 $21
2010 $949 $170 $355 $561 $110 $670 $156 $827 $100 $927 $22
2011 $1,043 $168 $366 $589 $123 $712 $181 $893 $120 $1,012 $30
2012 $1,185 $220 $451 $699 $133 $831 $193 $1,024 $128 $1,152 $33
2013 $1,232 $228 $466 $721 $139 $860 $203 $1,063 $135 $1,198 $34
2014 $1,374 $273 $543 $824 $150 $974 $219 $1,193 $144 $1,337 $38
Year Total Top 0.1% Top 1% Top 5% Between 5% & 10% Top 10% Between 10% & 25% Top 25% Between 25% & 50% Top 50% Bottom 50%
Table 5. Adjusted Gross Income Shares, 1980–2014 (percent of total AGI earned by each group)
Source: Internal Revenue Service.
1980 100% 8.46% 21.01% 11.12% 32.13% 24.57% 56.70% 25.62% 82.32% 17.68%
1981 100% 8.30% 20.78% 11.20% 31.98% 24.69% 56.67% 25.59% 82.25% 17.75%
1982 100% 8.91% 21.23% 11.03% 32.26% 24.53% 56.79% 25.50% 82.29% 17.71%
1983 100% 9.29% 21.74% 11.04% 32.78% 24.44% 57.22% 25.30% 82.52% 17.48%
1984 100% 9.66% 22.19% 11.06% 33.25% 24.31% 57.56% 25.00% 82.56% 17.44%
1985 100% 10.03% 22.67% 11.10% 33.77% 24.21% 57.97% 24.77% 82.74% 17.26%
1986 100% 11.30% 24.11% 11.02% 35.12% 23.92% 59.04% 24.30% 83.34% 16.66%
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 100% 12.32% 25.67% 11.23% 36.90% 23.85% 60.75% 23.62% 84.37% 15.63%
1988 100% 15.16% 28.51% 10.94% 39.45% 22.99% 62.44% 22.63% 85.07% 14.93%
1989 100% 14.19% 27.84% 11.16% 39.00% 23.28% 62.28% 22.76% 85.04% 14.96%
1990 100% 14.00% 27.62% 11.15% 38.77% 23.36% 62.13% 22.84% 84.97% 15.03%
1991 100% 12.99% 26.83% 11.37% 38.20% 23.65% 61.85% 23.01% 84.87% 15.13%
1992 100% 14.23% 28.01% 11.21% 39.23% 23.25% 62.47% 22.61% 85.08% 14.92%
1993 100% 13.79% 27.76% 11.29% 39.05% 23.40% 62.45% 22.63% 85.08% 14.92%
1994 100% 13.80% 27.85% 11.34% 39.19% 23.45% 62.64% 22.48% 85.11% 14.89%
1995 100% 14.60% 28.81% 11.35% 40.16% 23.21% 63.37% 22.09% 85.46% 14.54%
1996 100% 16.04% 30.36% 11.23% 41.59% 22.73% 64.32% 21.60% 85.92% 14.08%
1997 100% 17.38% 31.79% 11.03% 42.83% 22.22% 65.05% 21.11% 86.16% 13.84%
1998 100% 18.47% 32.85% 10.92% 43.77% 21.87% 65.63% 20.69% 86.33% 13.67%
1999 100% 19.51% 34.04% 10.85% 44.89% 21.57% 66.46% 20.29% 86.75% 13.25%
2000 100% 20.81% 35.30% 10.71% 46.01% 21.15% 67.15% 19.86% 87.01% 12.99%
The IRS changed methodology, so data above and below this line not strictly comparable
2001 100% 8.05% 17.41% 31.61% 10.89% 42.50% 21.80% 64.31% 21.29% 85.60% 14.40%
2002 100% 7.04% 16.05% 30.29% 11.04% 41.33% 22.39% 63.71% 21.79% 85.50% 14.50%
2003 100% 7.56% 16.73% 30.99% 11.03% 42.01% 22.33% 64.34% 21.52% 85.87% 14.13%
2004 100% 9.14% 18.99% 33.31% 10.77% 44.07% 21.60% 65.68% 20.83% 86.51% 13.49%
2005 100% 10.64% 21.19% 35.61% 10.56% 46.17% 20.90% 67.07% 19.99% 87.06% 12.94%
2006 100% 11.23% 22.10% 36.62% 10.56% 47.17% 20.73% 67.91% 19.68% 87.58% 12.42%
2007 100% 11.95% 22.86% 37.39% 10.49% 47.88% 20.53% 68.41% 19.40% 87.81% 12.19%
2008 100% 10.06% 20.19% 34.95% 11.03% 45.98% 21.71% 67.69% 20.39% 88.08% 11.92%
2009 100% 7.94% 17.21% 32.18% 11.59% 43.77% 22.96% 66.74% 21.38% 88.12% 11.88%
2010 100% 9.24% 18.87% 33.78% 11.38% 45.17% 22.38% 67.55% 20.71% 88.26% 11.74%
2011 100% 8.86% 18.70% 33.89% 11.50% 45.39% 22.43% 67.82% 20.63% 88.45% 11.55%
2012 100% 11.25% 21.86% 36.84% 11.03% 47.87% 21.39% 69.25% 19.64% 88.90% 11.10%
2013 100% 9.03% 19.04% 34.42% 11.45% 45.87% 22.23% 68.10% 20.41% 88.51% 11.49%
2014 100% 10.16% 20.58% 35.96% 11.25% 47.21% 21.70% 68.91% 19.82% 88.73% 11.27%
Year Total Top 0.1% Top 1% Top 5% Between 5% & 10% Top 10% Between 10% & 25% Top 25% Between 25% & 50% Top 50% Bottom 50%
Table 6. Total Income Tax Shares, 1980–2014 (percent of federal income tax paid by each group)
Source: Internal Revenue Service.
1980 100% 19.05% 36.84% 12.44% 49.28% 23.74% 73.02% 19.93% 92.95% 7.05%
1981 100% 17.58% 35.06% 12.90% 47.96% 24.33% 72.29% 20.26% 92.55% 7.45%
1982 100% 19.03% 36.13% 12.45% 48.59% 23.91% 72.50% 20.15% 92.65% 7.35%
1983 100% 20.32% 37.26% 12.44% 49.71% 23.39% 73.10% 19.73% 92.83% 7.17%
1984 100% 21.12% 37.98% 12.58% 50.56% 22.92% 73.49% 19.16% 92.65% 7.35%
1985 100% 21.81% 38.78% 12.67% 51.46% 22.60% 74.06% 18.77% 92.83% 7.17%
1986 100% 25.75% 42.57% 12.12% 54.69% 21.33% 76.02% 17.52% 93.54% 6.46%
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 100% 24.81% 43.26% 12.35% 55.61% 21.31% 76.92% 17.02% 93.93% 6.07%
1988 100% 27.58% 45.62% 11.66% 57.28% 20.57% 77.84% 16.44% 94.28% 5.72%
1989 100% 25.24% 43.94% 11.85% 55.78% 21.44% 77.22% 16.94% 94.17% 5.83%
1990 100% 25.13% 43.64% 11.73% 55.36% 21.66% 77.02% 17.16% 94.19% 5.81%
1991 100% 24.82% 43.38% 12.45% 55.82% 21.46% 77.29% 17.23% 94.52% 5.48%
1992 100% 27.54% 45.88% 12.12% 58.01% 20.47% 78.48% 16.46% 94.94% 5.06%
1993 100% 29.01% 47.36% 11.88% 59.24% 20.03% 79.27% 15.92% 95.19% 4.81%
1994 100% 28.86% 47.52% 11.93% 59.45% 20.10% 79.55% 15.68% 95.23% 4.77%
1995 100% 30.26% 48.91% 11.84% 60.75% 19.62% 80.36% 15.03% 95.39% 4.61%
1996 100% 32.31% 50.97% 11.54% 62.51% 18.80% 81.32% 14.36% 95.68% 4.32%
1997 100% 33.17% 51.87% 11.33% 63.20% 18.47% 81.67% 14.05% 95.72% 4.28%
1998 100% 34.75% 53.84% 11.20% 65.04% 17.65% 82.69% 13.10% 95.79% 4.21%
1999 100% 36.18% 55.45% 11.00% 66.45% 17.09% 83.54% 12.46% 96.00% 4.00%
2000 100% 37.42% 56.47% 10.86% 67.33% 16.68% 84.01% 12.08% 96.09% 3.91%
The IRS changed methodology, so data above and below this line not strictly comparable
2001 100% 15.68% 33.22% 52.24% 11.44% 63.68% 17.88% 81.56% 13.54% 95.10% 4.90%
2002 100% 15.09% 33.09% 52.86% 11.77% 64.63% 18.04% 82.67% 13.12% 95.79% 4.21%
2003 100% 15.37% 33.69% 53.54% 11.35% 64.89% 17.87% 82.76% 13.17% 95.93% 4.07%
2004 100% 17.12% 36.28% 56.35% 10.96% 67.30% 16.52% 83.82% 12.31% 96.13% 3.87%
2005 100% 18.91% 38.78% 58.93% 10.52% 69.46% 15.61% 85.07% 11.35% 96.41% 3.59%
2006 100% 19.24% 39.36% 59.49% 10.59% 70.08% 15.41% 85.49% 11.10% 96.59% 3.41%
2007 100% 19.84% 39.81% 59.90% 10.51% 70.41% 15.30% 85.71% 10.93% 96.64% 3.36%
2008 100% 18.20% 37.51% 58.06% 11.14% 69.20% 16.37% 85.57% 11.33% 96.90% 3.10%
2009 100% 16.91% 36.34% 58.17% 11.72% 69.89% 16.85% 86.74% 10.80% 97.54% 2.46%
2010 100% 17.88% 37.38% 59.07% 11.55% 70.62% 16.49% 87.11% 10.53% 97.64% 2.36%
2011 100% 16.14% 35.06% 56.49% 11.77% 68.26% 17.36% 85.62% 11.50% 97.11% 2.89%
2012 100% 18.60% 38.09% 58.95% 11.22% 70.17% 16.25% 86.42% 10.80% 97.22% 2.78%
2013 100% 18.48% 37.80% 58.55% 11.25% 69.80% 16.47% 86.27% 10.94% 97.22% 2.78%
2014 100% 19.85% 39.48% 59.97% 10.91% 70.88% 15.90% 86.78% 10.47% 97.25% 2.75%
Year Total Top 1% Top 5% Top 10% Top 25% Top 50%
Table 7. Dollar Cut-Off, 1980–2014 (Minimum AGI for Tax Returns to Fall into Various Percentiles; Thresholds Not Adjusted for Inflation)
1980 $80,580 $43,792 $35,070 $23,606 $12,936
1981 $85,428 $47,845 $38,283 $25,655 $14,000
1982 $89,388 $49,284 $39,676 $27,027 $14,539
1983 $93,512 $51,553 $41,222 $27,827 $15,044
1984 $100,889 $55,423 $43,956 $29,360 $15,998
1985 $108,134 $58,883 $46,322 $30,928 $16,688
1986 $118,818 $62,377 $48,656 $32,242 $17,302
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 $139,289 $68,414 $52,921 $33,983 $17,768
1988 $157,136 $72,735 $55,437 $35,398 $18,367
1989 $163,869 $76,933 $58,263 $36,839 $18,993
1990 $167,421 $79,064 $60,287 $38,080 $19,767
1991 $170,139 $81,720 $61,944 $38,929 $20,097
1992 $181,904 $85,103 $64,457 $40,378 $20,803
1993 $185,715 $87,386 $66,077 $41,210 $21,179
1994 $195,726 $91,226 $68,753 $42,742 $21,802
1995 $209,406 $96,221 $72,094 $44,207 $22,344
1996 $227,546 $101,141 $74,986 $45,757 $23,174
1997 $250,736 $108,048 $79,212 $48,173 $24,393
1998 $269,496 $114,729 $83,220 $50,607 $25,491
1999 $293,415 $120,846 $87,682 $52,965 $26,415
2000 $313,469 $128,336 $92,144 $55,225 $27,682
The IRS changed methodology, so data above and below this line not strictly comparable
2001 $1,393,718 $306,635 $132,082 $96,151 $59,026 $31,418
2002 $1,245,352 $296,194 $130,750 $95,699 $59,066 $31,299
2003 $1,317,088 $305,939 $133,741 $97,470 $59,896 $31,447
2004 $1,617,918 $339,993 $140,758 $101,838 $62,794 $32,622
2005 $1,938,175 $379,261 $149,216 $106,864 $64,821 $33,484
2006 $2,124,625 $402,603 $157,390 $112,016 $67,291 $34,417
2007 $2,251,017 $426,439 $164,883 $116,396 $69,559 $35,541
2008 $1,867,652 $392,513 $163,512 $116,813 $69,813 $35,340
2009 $1,469,393 $351,968 $157,342 $114,181 $68,216 $34,156
2010 $1,634,386 $369,691 $161,579 $116,623 $69,126 $34,338
2011 $1,717,675 $388,905 $167,728 $120,136 $70,492 $34,823
2012 $2,161,175 $434,682 $175,817 $125,195 $73,354 $36,055
2013 $1,860,848 $428,713 $179,760 $127,695 $74,955 $36,841
2014 $2,136,762 $465,626 $188,996 $133,445 $77,714 $38,173
Source: Internal Revenue Service.
Year Total Top 0.1% Top 1% Top 5% Between 5% & 10% Top 10% Between 10% & 25% Top 25% Between 25% & 50% Top 50% Bottom 50%
Table 8. Average Tax Rate, 1980–2014 (Percent of AGI Paid in Income Taxes)
Source: Internal Revenue Service.
1980 15.31% 34.47% 26.85% 17.13% 23.49% 14.80% 19.72% 11.91% 17.29% 6.10%
1981 15.76% 33.37% 26.59% 18.16% 23.64% 15.53% 20.11% 12.48% 17.73% 6.62%
1982 14.72% 31.43% 25.05% 16.61% 22.17% 14.35% 18.79% 11.63% 16.57% 6.10%
1983 13.79% 30.18% 23.64% 15.54% 20.91% 13.20% 17.62% 10.76% 15.52% 5.66%
1984 13.68% 29.92% 23.42% 15.57% 20.81% 12.90% 17.47% 10.48% 15.35% 5.77%
1985 13.73% 29.86% 23.50% 15.69% 20.93% 12.83% 17.55% 10.41% 15.41% 5.70%
1986 14.54% 33.13% 25.68% 15.99% 22.64% 12.97% 18.72% 10.48% 16.32% 5.63%
The Tax Reform Act of 1986 changed the definition of AGI, so data above and below this line not strictly comparable
1987 13.12% 26.41% 22.10% 14.43% 19.77% 11.71% 16.61% 9.45% 14.60% 5.09%
1988 13.21% 24.04% 21.14% 14.07% 19.18% 11.82% 16.47% 9.60% 14.64% 5.06%
1989 13.12% 23.34% 20.71% 13.93% 18.77% 12.08% 16.27% 9.77% 14.53% 5.11%
1990 12.95% 23.25% 20.46% 13.63% 18.50% 12.01% 16.06% 9.73% 14.36% 5.01%
1991 12.75% 24.37% 20.62% 13.96% 18.63% 11.57% 15.93% 9.55% 14.20% 4.62%
1992 12.94% 25.05% 21.19% 13.99% 19.13% 11.39% 16.25% 9.42% 14.44% 4.39%
1993 13.32% 28.01% 22.71% 14.01% 20.20% 11.40% 16.90% 9.37% 14.90% 4.29%
1994 13.50% 28.23% 23.04% 14.20% 20.48% 11.57% 17.15% 9.42% 15.11% 4.32%
1995 13.86% 28.73% 23.53% 14.46% 20.97% 11.71% 17.58% 9.43% 15.47% 4.39%
1996 14.34% 28.87% 24.07% 14.74% 21.55% 11.86% 18.12% 9.53% 15.96% 4.40%
1997 14.48% 27.64% 23.62% 14.87% 21.36% 12.04% 18.18% 9.63% 16.09% 4.48%
1998 14.42% 27.12% 23.63% 14.79% 21.42% 11.63% 18.16% 9.12% 16.00% 4.44%
1999 14.85% 27.53% 24.18% 15.06% 21.98% 11.76% 18.66% 9.12% 16.43% 4.48%
2000 15.26% 27.45% 24.42% 15.48% 22.34% 12.04% 19.09% 9.28% 16.86% 4.60%
The IRS changed methodology, so data above and below this line not strictly comparable
2001 14.47% 28.17% 27.60% 23.91% 15.20% 21.68% 11.87% 18.35% 9.20% 16.08% 4.92%
2002 13.28% 28.48% 27.37% 23.17% 14.15% 20.76% 10.70% 17.23% 8.00% 14.87% 3.86%
2003 12.11% 24.60% 24.38% 20.92% 12.46% 18.70% 9.69% 15.57% 7.41% 13.53% 3.49%
2004 12.31% 23.06% 23.52% 20.83% 12.53% 18.80% 9.41% 15.71% 7.27% 13.68% 3.53%
2005 12.65% 22.48% 23.15% 20.93% 12.61% 19.03% 9.45% 16.04% 7.18% 14.01% 3.51%
2006 12.80% 21.94% 22.80% 20.80% 12.84% 19.02% 9.52% 16.12% 7.22% 14.12% 3.51%
2007 12.90% 21.42% 22.46% 20.66% 12.92% 18.96% 9.61% 16.16% 7.27% 14.19% 3.56%
2008 12.54% 22.67% 23.29% 20.83% 12.66% 18.87% 9.45% 15.85% 6.97% 13.79% 3.26%
2009 11.39% 24.28% 24.05% 20.59% 11.53% 18.19% 8.36% 14.81% 5.76% 12.61% 2.35%
2010 11.81% 22.84% 23.39% 20.64% 11.98% 18.46% 8.70% 15.22% 6.01% 13.06% 2.37%
2011 12.54% 22.82% 23.50% 20.89% 12.83% 18.85% 9.70% 15.82% 6.98% 13.76% 3.13%
2012 13.11% 21.67% 22.83% 20.97% 13.33% 19.21% 9.96% 16.35% 7.21% 14.33% 3.28%
2013 13.64% 27.91% 27.08% 23.20% 13.40% 20.75% 10.11% 17.28% 7.31% 14.98% 3.30%
2014 14.16% 27.67% 27.16% 23.61% 13.73% 21.25% 10.37% 17.83% 7.48% 15.52% 3.45%
  1. For data prior to 2001, all tax returns that have a positive AGI are included, even those that do not have a positive income tax liability. For data from 2001 forward, returns with negative AGI are also included, but dependent returns are excluded.
  2. Income tax after credits (the measure of “income taxes paid” above) does not account for the refundable portion of EITC. If it were included, the tax share of the top income groups would be higher. The refundable portion is classified as a spending program by the Office of Management and Budget and therefore is not included by the IRS in these figures.
  3. The only tax analyzed here is the federal individual income tax, which is responsible for more than 25 percent of the nation’s taxes paid (at all levels of government). Federal income taxes are much more progressive than federal payroll taxes, which are responsible for about 20 percent of all taxes paid (at all levels of government), and are more progressive than most state and local taxes.
  4. AGI is a fairly narrow income concept and does not include income items like government transfers (except for the portion of Social Security benefits that is taxed), the value of employer-provided health insurance, underreported or unreported income (most notably that of sole proprietors), income derived from municipal bond interest, net imputed rental income, and others.
  5. The unit of analysis here is that of the tax return. In the figures prior to 2001, some dependent returns are included. Under other units of analysis (like the Treasury Department’s Family Economic Unit), these returns would likely be paired with parents’ returns.
  6. These figures represent the legal incidence of the income tax. Most distributional tables (such as those from CBO, Tax Policy Center, Citizens for Tax Justice, the Treasury Department, and JCT) assume that the entire economic incidence of personal income taxes falls on the income earner.

[1] Individual Income Tax Rates and Tax Shares, Internal Revenue Service Statistics of Income, http://www.irs.gov/uac/SOI-Tax-Stats-Individual-Income-Tax-Rates-and-Tax-Shares.

[2] See Congressional Budget Office, The Budget and Economic Outlook: 2017 to 2027, Jan. 2017, https://www.cbo.gov/sites/default/files/115th-congress-2017-2018/reports/52370-outlook.pdf.

[3] There is strong reason to believe that capital gains realizations were unusually depressed in 2013, due to the increase in the top capital gains tax rate from 15 percent to 23.8 percent. In 2013, capital gains accounted for 26.6 percent of the income of taxpayers with over $1 million in AGI received, compared to 31.7 percent in 2014 (these calculations apply for net capital gains reported on Schedule D). Table 1.4, Publication 1304, “Individual Income Tax Returns 2014,” Internal Revenue Service, https://www.irs.gov/uac/soi-tax-stats-individual-income-tax-returns-publication-1304-complete-report.

[4] Here, “average income tax rate” is defined as income taxes paid divided by adjusted gross income.

https://taxfoundation.org/summary-latest-federal-income-tax-data-2016-update/

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National Income and Product Accounts
Gross Domestic Product: Fourth Quarter and Annual 2016 (Third Estimate)
Corporate Profits: Fourth Quarter and Annual 2016
Real gross domestic product (GDP) increased at an annual rate of 2.1 percent in the fourth quarter of
2016 (table 1), according to the "third" estimate released by the Bureau of Economic Analysis. In the
third quarter of 2016, real GDP increased 3.5 percent.

The GDP estimate released today is based on more complete source data than were available for the
"second" estimate issued last month.  In the second estimate, the increase in real GDP was 1.9 percent.
With this third estimate for the fourth quarter, the general picture of economic growth remains largely
the same; personal consumption expenditures (PCE) increased more than previously estimated (see
"Updates to GDP" on page 2).

Real GDP: Percent Change from Preceding Quarter
Real gross domestic income (GDI) increased 1.0 percent in the fourth quarter, compared with an
increase of 5.0 percent in the third. The average of real GDP and real GDI, a supplemental measure of
U.S. economic activity that equally weights GDP and GDI, increased 1.5 percent in the fourth quarter,
compared with an increase of 4.3 percent in the third quarter (table 1).

The increase in real GDP in the fourth quarter reflected positive contributions from PCE, private
inventory investment, residential fixed investment, nonresidential fixed investment, and state and local
government spending that were partly offset by negative contributions from exports and federal
government spending. Imports, which are a subtraction in the calculation of GDP, increased (table 2).

The deceleration in real GDP in the fourth quarter reflected downturns in exports and in federal
government spending, an acceleration in imports, and a deceleration in nonresidential fixed investment
that were partly offset by accelerations in private inventory investment and in PCE, and upturns in
residential fixed investment and in state and local government spending.

Current-dollar GDP increased 4.2 percent, or $194.1 billion, in the fourth quarter to a level of $18,869.4
billion. In the third quarter, current-dollar GDP increased 5.0 percent, or $225.2 billion (table 1 and
table 3).

The price index for gross domestic purchases increased 2.0 percent in the fourth quarter, compared
with an increase of 1.5 percent in the third quarter (table 4). The PCE price index increased 2.0 percent,
compared with an increase of 1.5 percent. Excluding food and energy prices, the PCE price index
increased 1.3 percent, compared with an increase of 1.7 percent (appendix table A).


Updates to GDP

The upward revision to the percent change in real GDP primarily reflected upward revisions to PCE and
to private inventory investment that were partly offset by downward revisions to nonresidential fixed
investment and to exports. Imports, which are a subtraction in the calculation of GDP, were revised
upward. For more information, see the Technical Note. For information on updates to GDP, see the
"Additional Information" section that follows.

                                       Advance Estimate          Second Estimate            Third Estimate

                                                     (Percent change from preceding quarter)
Real GDP                                     1.9                       1.9                       2.1
Current-dollar GDP                           4.0                       3.9                       4.2
Real GDI                                     ---                       ---                       1.0
Average of Real GDP and Real GDI             ---                       ---                       1.5
Gross domestic purchases price index         2.0                       1.9                       2.0
PCE price index                              2.2                       1.9                       2.0


2016 GDP

Real GDP increased 1.6 percent in 2016 (that is, from the 2015 annual level to the 2016 annual level),
compared with an increase of 2.6 percent in 2015 (table 1).

The increase in real GDP in 2016 reflected positive contributions from PCE, residential fixed investment,
state and local government spending, exports, and federal government spending that were partly offset
by negative contributions from private inventory investment and nonresidential fixed investment.
Imports, which are a subtraction in the calculation of GDP, increased (table 2).

The deceleration in real GDP from 2015 to 2016 reflected downturns in private inventory investment
and in nonresidential fixed investment and decelerations in PCE, in residential fixed investment, and in
state and local government spending that were partly offset by a deceleration in imports and
accelerations in federal government spending and in exports.

Current-dollar GDP increased 3.0 percent, or $532.5 billion, in 2016 to a level of $18,569.1 billion,
compared with an increase of 3.7 percent, or $643.5 billion, in 2015 (table 1 and table 3).

Real GDI increased 1.6 percent in 2016, compared with an increase of 2.5 percent in 2015 (table 1).

The price index for gross domestic purchases increased 1.0 percent in 2016, compared with an increase
of 0.4 percent in 2015 (table 4).

During 2016 (that is, measured from the fourth quarter of 2015 to the fourth quarter of 2016), real GDP
increased 2.0 percent, compared with an increase of 1.9 percent during 2015.  The price index for gross
domestic purchases increased 1.5 percent during 2016, compared with an increase of 0.4 percent during
2015.  Real GDI increased 1.9 percent during 2016, compared with an increase of 1.5 percent during
2015 (table 7).


Corporate Profits (table 12)

Profits from current production (corporate profits with inventory valuation adjustment and capital
consumption adjustment) increased $11.2 billion in the fourth quarter of 2016, compared with an
increase of $117.8 billion in the third quarter.

Profits of domestic financial corporations increased $26.5 billion in the fourth quarter, compared with
an increase of $50.1 billion in the third. Profits of domestic nonfinancial corporations decreased $60.4
billion, in contrast to an increase of $66.4 billion. The estimate of nonfinancial corporate profits in the
fourth quarter was reduced by a $4.95 billion ($19.8 billion at an annual rate) settlement between a U.S.
subsidiary of Volkswagen and the federal and state governments. For more information, see the FAQ,
"What are the effects of the Volkswagen buyback deal on GDP and the national accounts?”. The
rest-of-the-world component of profits increased $45.1 billion, compared with an increase of $1.3 billion.
This measure is calculated as the difference between receipts from the rest of the world and payments to
the rest of the world. In the fourth quarter, receipts increased $9.1 billion, and payments decreased
$36.0 billion.

In 2016, profits from current production decreased $2.3 billion, compared with a decrease of $64.0
billion in 2015. Profits of domestic financial corporations increased $20.5 billion, compared with an
increase of $8.5 billion. Profits of domestic nonfinancial corporations decreased $47.0 billion, compared
with a decrease of $47.3 billion. The rest-of-the-world component of profits increased $24.3 billion, in
contrast to a decrease of $25.2 billion.


                                      *          *          *
                           Next release:  April 28, 2017 at 8:30 A.M. EDT
                   Gross Domestic Product:  First Quarter 2017 (Advance Estimate)




                                       Additional Information

Resources

Additional Resources available at www.bea.gov:
•	Stay informed about BEA developments by reading the BEA blog, signing up for BEA’s email
        subscription service, or following BEA on Twitter @BEA_News.
•	Historical time series for these estimates can be accessed in BEA’s Interactive Data Application.
•	Access BEA data by registering for BEA’s Data Application Programming Interface (API).
•	For more on BEA’s statistics, see our monthly online journal, the Survey of Current Business.
•	BEA's news release scheduleNIPA Handbook:  Concepts and Methods of the U.S. National Income and Product Accounts

Definitions

Gross domestic product (GDP) is the value of the goods and services produced by the nation’s economy
less the value of the goods and services used up in production. GDP is also equal to the sum of personal
consumption expenditures, gross private domestic investment, net exports of goods and services, and
government consumption expenditures and gross investment.

Gross domestic income (GDI) is the sum of incomes earned and costs incurred in the production of GDP.
In national economic accounting, GDP and GDI are conceptually equal. In practice, GDP and GDI differ
because they are constructed using largely independent source data. Real GDI is calculated by deflating
gross domestic income using the GDP price index as the deflator, and is therefore conceptually
equivalent to real GDP.

Current-dollar estimates are valued in the prices of the period when the transactions occurred—that is,
at “market value.” Also referred to as “nominal estimates” or as “current-price estimates.”
Real values are inflation-adjusted estimates—that is, estimates that exclude the effects of price changes.
The gross domestic purchases price index measures the prices of final goods and services purchased by
U.S. residents.

The personal consumption expenditure price index measures the prices paid for the goods and services
purchased by, or on the behalf of, “persons.”

Profits from current production, referred to as corporate profits with inventory valuation adjustment
(IVA) and capital consumption adjustment (CCAdj) in the NIPAs, is a measure of the net income of
corporations before deducting income taxes that is consistent with the value of goods and services
measured in GDP. The IVA and CCAdj are adjustments that convert inventory withdrawals and
depreciation of fixed assets reported on a tax-return, historical-cost basis to the current-cost economic
measures used in the national income and product accounts.

For more definitions, see the Glossary: National Income and Product Accounts.


Statistical conventions

Annual rates. Quarterly values are expressed at seasonally-adjusted annual rates (SAAR), unless
otherwise specified. Dollar changes are calculated as the difference between these SAAR values. For
detail, see the FAQ “Why does BEA publish estimates at annual rates?”

Percent changes in quarterly series are calculated from unrounded data and are displayed at annual
rates, unless otherwise specified. For details, see the FAQ “How is average annual growth calculated?”

Quantities and prices. Quantities, or “real” volume measures, and prices are expressed as index
numbers with a specified reference year equal to 100 (currently 2009). Quantity and price indexes are
calculated using a Fisher-chained weighted formula that incorporates weights from two adjacent
periods (quarters for quarterly data and annuals for annual data). “Real” dollar series are calculated by
multiplying the published quantity index by the current dollar value in the reference year (2009) and
then dividing by 100. Percent changes calculated from real quantity indexes and chained-dollar levels
are conceptually the same; any differences are due to rounding.

Chained-dollar values are not additive because the relative weights for a given period differ from those
of the reference year. In tables that display chained-dollar values, a “residual” line shows the difference
between the sum of detailed chained-dollar series and its corresponding aggregate.


Updates to GDP

BEA releases three vintages of the current quarterly estimate for GDP:  "Advance" estimates are
released near the end of the first month following the end of the quarter and are based on source data
that are incomplete or subject to further revision by the source agency; “second” and “third” estimates
are released near the end of the second and third months, respectively, and are based on more detailed
and more comprehensive data as they become available.

Annual and comprehensive updates are typically released in late July. Annual updates generally cover at
least the 3 most recent calendar years (and their associated quarters) and incorporate newly available
major annual source data as well as some changes in methods and definitions to improve the accounts.
Comprehensive (or benchmark) updates are carried out at about 5-year intervals and incorporate major
periodic source data, as well as major conceptual improvements.
The table below shows the average revisions to the quarterly percent changes in real GDP between
different estimate vintages, without regard to sign.

Vintage                               Average Revision Without Regard to Sign
                                         (percentage points, annual rates)
Advance to second                                     0.5
Advance to third                                      0.6
Second to third                                       0.2
Advance to latest                                     1.1
Note - Based on estimates from 1993 through 2015. For more information on GDP updates, see Revision
Information on the BEA Web site.

The larger average revision from the advance to the latest estimate reflects the fact that periodic
comprehensive updates include major statistical and methodological improvements.

Unlike GDP, an advance current quarterly estimate of GDI is not released because data on domestic
profits and on net interest of domestic industries are not available. For fourth quarter estimates, these
data are not available until the third estimate.

https://www.bea.gov/newsreleases/national/gdp/gdpnewsrelease.htm 

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President Donald Trump Full Press Conference Addresses Ties to Russia, Leaks, and “Fake News” 2/16

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Sorry media — this press conference played very different with Trump’s supporters

 Far from dead, he was positively exuberant. His performance at a marathon press conference was a must-see-tv spectacle as he mixed serious policy talk with stand-up comedy and took repeated pleasure in whacking his favorite pinata, the “dishonest media.”

“Russia is a ruse,” he insisted, before finally saying under questioning he was not aware of anyone on his campaign having contact with Russian officials.

Trump’s detractors immediately panned the show as madness, but they missed the method behind it and proved they still don’t understand his appeal. Facing his first crisis in the Oval Office, he was unbowed in demonstrating his bare-knuckled intention to fight back.

He did it his way. Certainly no other president, and few politicians at any level in any time, would dare put on a show like that.

In front of cameras, and using the assembled press corps as props, he conducted a televised revival meeting to remind his supporters that he is still the man they elected. Ticking off a lengthy list of executive orders and other actions he has taken, he displayed serious fealty to his campaign promises.

Trump goes on marathon rant against the media

Sure, sentences didn’t always end on the same topic they started with, and his claim to have won the election by the largest electoral college margin since Ronald Reagan wasn’t close to true.

Fair points, but so what? Fact-checkers didn’t elect him, nor did voters who were happy with the status quo.

Trump, first, last and always, matches the mood of the discontented. Like them, he is a bull looking for a china shop. That’s his ace in the hole and he played it almost to perfection.

The immediate impact of his performance is likely to calm some of the jitters among Republicans in congress and supporters elsewhere, especially after the beating he took in the last few days.

On Monday night, Trump suddenly removed Gen. Michael Flynn, his national security adviser, over circumstances that still are not entirely clear. And on Wednesday, his nominee for Secretary of Labor, Andrew Puzder, withdrew after Republicans said he didn’t have the votes to be confirmed.

Combined with courts blocking his immigration and refugee order, unflattering leaks of confidential material from intelligence agencies and numerous demands for investigations into any Russian connections, Trump’s fast start suddenly hit a wall.

Just three weeks into his term, Democrats, in and out of the media, smelled blood. Many already were going for the kill.

They won’t get it, at least now. Trump bought himself time yesterday.

Yet those determined to bring him down won’t give up, and the insidious leaks of secret material suggest some opponents are members of the permanent government who are willing to use their position and the media to undermine him.

Indeed, the most serious leaks seem to vindicate a warning that Democratic Sen. Chuck Schumer made in early January after Trump criticized leaders of the spook agencies.

“Let me tell you, you take on the intelligence community, they have six ways from Sunday at getting back at you,” Schumer told an interviewer. “So even for a practical, supposedly hard-nosed businessman, he’s being really dumb to do this.”

That incredible statement reflects what a dangerous game rogue agents are playing. The world is on fire yet the president is the target of partisan revenge in his own government. It’s a scandal and it’s outrageous, but it’s a fact that Trump must confront.

Finding the leakers and prosecuting them, which he promises to do, is part of the solution.

rAnother part comes Saturday, when Trump takes his solo act to Florida for a massive public rally. It’s smart for him to get out of Washington and soak in the enthusiasm of the populist movement he leads.

He should do it regularly, and also hold smaller, town-hall style forums where ordinary citizens can ask him questions in more intimate settings. Any way he can speak directly to the American people and hear from them democratizes his presidency and reduces the power of big biased media and the Washington establishment.

Yet the only sure and lasting way to keep ahead of the lynch mob is by producing results. Success will be Trump’s savior.

And nothing says success like jobs, jobs, jobs. Getting the economy to reach lift-off speed is essential so it can deliver the good-paying jobs and prosperity that he promised and the nation needs.

While Republican honchos in congress say they’re getting ready to move on tax cuts and replacing ObamaCare, nothing will happen without presidential leadership. That means Trump’s fate is in his own hands and he must keep himself and his White House team focused on delivering an economic revival.

If he does that, the lynch mob will be left holding an empty rope.

http://nypost.com/2017/02/16/sorry-media-this-press-conference-played-very-different-with-trumps-supporters/

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The Pronk Pops Show 836, February 10, 2017, Story 1: When Will Congress Reign In An Overreaching Judiciary Branch Giving Political Opinions Not Legal Opinions — Long Overdue —  Videos — Story 2: No Visas To Travel To United States If You Cannot Pass a Vigorous Vetting and Background Check Period — Videos — Story 3: American People Support President Trump — Videos

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Story 1: When Will Congress Reign In An Overreaching Judiciary Branch Giving Political Opinions Not Legal Opinions — Long Overdue —  Videos

Article 3, Section 2

Section 2 – The Text
The judicial Power shall extend to all Cases, in Law and Equity, arising under this Constitution, the Laws of the United States, and Treaties made, or which shall be made, under their Authority;—to all Cases affecting Ambassadors, other public Ministers and Consuls;—to all Cases of admiralty and maritime Jurisdiction;—to Controversies to which the United States shall be a Party;—to Controversies between two or more States;—[between a State and Citizens of another State;-]8 between citizens of different States;—between Citizens of the same State claiming Lands under Grants of different States [and between a State, or the Citizens thereof;—and foreign States, Citizens or Subjects.]9

In all Cases affecting Ambassadors, other public Ministers and Consuls, and those in which a State shall be Party, the supreme Court shall have original Jurisdiction. In all other Cases before mentioned, the supreme Court shall have appellate Jurisdiction, both as to Law and Fact, with such Exceptions, and under such Regulations as the Congress shall make.

The Trial of all Crimes, except in Cases of Impeachment, shall be by Jury; and such Trial shall be held in the State where the said Crimes shall have been committed; but when not committed within any State, the Trial shall be at such Place or Places as the Congress may by Law have directed.

8. Modified by Amendment XI.

9. Modified by Amendment XI.

Section 2 – The Meaning
The federal courts will decide arguments over how to interpret the Constitution, all laws passed by Congress, and our nation’s rights and responsibilities in agreements with other nations. In addition, federal courts can hear disputes that may arise between states, between citizens of different states, and between states and the federal government.

In 1803, in the case of Marbury v. Madison, the Supreme Court, in an opinion written by Chief Justice John Marshall, interpreted Article III and Article VI to give the federal courts final say over the meaning of the federal Constitution and federal laws and the power to order state and federal officials to comply with its rulings. The federal courts can make decisions only on cases that are brought to them by a person who is actually affected by the law. Federal courts are not allowed to create cases on their own, even if they believe a law is unconstitutional, nor are they allowed to rule on hypothetical scenarios.

Almost all federal cases start in federal district courts, where motions are decided and trials held. The cases are then heard on appeal by the federal courts of appeal and then by the Supreme Court if four justices of the nine-member court decide to hear the case. Congress can limit the power of the appeals courts by changing the rules about which cases can be appealed. State cases that involve an issue of federal law can also be heard by the Supreme Court after the highest court in the state rules (or refuses to rule) in the case. The Supreme Court accepts only a small number of cases for review, typically around 80 cases each year. In a small number of lawsuits — those involving ambassadors, public ministers and consuls, or where a state is a party — the Supreme Court is the first court to hear the case.

The federal courts also have final say over guilt or innocence in federal criminal cases. A defendant in a criminal case, except impeachment, has a right to have his or her case heard by a jury in the state where the crime occurred.

http://www.annenbergclassroom.org/page/article-iii-section-2

The White House
Office of the Press Secretary
For Immediate Release

Presidential Proclamation–Suspension of Entry as Immigrants and Nonimmigrants of Persons Who Participate in Serious Human Rights and Humanitarian Law Violations and Other Abuses

SUSPENSION OF ENTRY AS IMMIGRANTS AND NONIMMIGRANTS OF PERSONS WHO PARTICIPATE IN SERIOUS HUMAN RIGHTS AND HUMANITARIAN LAW VIOLATIONS AND OTHER ABUSES

BY THE PRESIDENT OF THE UNITED STATES OF AMERICA

A PROCLAMATION

The United States enduring commitment to respect for human rights and humanitarian law requires that its Government be able to ensure that the United States does not become a safe haven for serious violators of human rights and humanitarian law and those who engage in other related abuses.  Universal respect for human rights and humanitarian law and the prevention of atrocities internationally promotes U.S. values and fundamental U.S. interests in helping secure peace, deter aggression, promote the rule of law, combat crime and corruption, strengthen democracies, and prevent humanitarian crises around the globe.  I therefore have determined that it is in the interests of the United States to take action to restrict the international travel and to suspend the entry into the United States, as immigrants or nonimmigrants, of certain persons who have engaged in the acts outlined in section 1 of this proclamation.

NOW, THEREFORE, I, BARACK OBAMA, by the authority vested in me as President by the Constitution and the laws of the United States of America, including section 212(f) of the Immigration and Nationality Act of 1952, as amended (8 U.S.C. 1182(f)), and section 301 of title 3, United States Code, hereby find that the unrestricted immigrant and nonimmigrant entry into the United States of persons described in section 1 of this proclamation would be detrimental to the interests of the United States.  I therefore hereby proclaim that:

Section 1.  The entry into the United States, as immigrants or nonimmigrants, of the following persons is hereby suspended:

(a)  Any alien who planned, ordered, assisted, aided and abetted, committed or otherwise participated in, including through command responsibility, widespread or systematic violence against any civilian population based in whole or in part on race; color; descent; sex; disability; membership in an indigenous group; language; religion; political opinion; national origin; ethnicity; membership in a particular social group; birth; or sexual orientation or gender identity, or who attempted or conspired to do so.

(b)  Any alien who planned, ordered, assisted, aided and abetted, committed or otherwise participated in, including through command responsibility, war crimes, crimes against humanity or other serious violations of human rights, or who attempted or conspired to do so.

Sec. 2.  Section 1 of this proclamation shall not apply with respect to any person otherwise covered by section 1 where the entry of such person would not harm the foreign relations interests of the United States.

Sec. 3.  The Secretary of State, or the Secretary’s designee, in his or her sole discretion, shall identify persons covered by section 1 of this proclamation, pursuant to such standards and procedures as the Secretary may establish.

Sec. 4.  The Secretary of State shall have responsibility for implementing this proclamation pursuant to such procedures as the Secretary, in consultation with the Secretary of Homeland Security, may establish.

Sec. 5.  For any person whose entry is otherwise suspended under this proclamation entry will be denied, unless the Secretary of State determines that the particular entry of such person would be in the interests of the United States.  In exercising such authority, the Secretary of State shall consult the Secretary of Homeland Security on matters related to admissibility or inadmissibility within the authority of the Secretary of Homeland Security.

Sec. 6.  Nothing in this proclamation shall be construed to derogate from United States Government obligations under applicable international agreements, or to suspend entry based solely on an alien’s ideology, opinions, or beliefs, or based solely on expression that would be considered protected under U.S. interpretations of international agreements to which the United States is a party.  Nothing in this proclamation shall be construed to limit the authority of the United States to admit or to suspend entry of particular individuals into the United States under the Immigration and Nationality Act (8 U.S.C. 1101 et seq.) or under any other provision of U.S. law.

Sec. 7.  This proclamation is not intended to, and does not, create any right or benefit, substantive or procedural, enforceable at law or in equity by any party against the United States, its departments, agencies, or entities, its officers, employees, or agents, or any other person.

Sec. 8.  This proclamation is effective immediately and shall remain in effect until such time as the Secretary of State determines that it is no longer necessary and should be terminated, either in whole or in part.  Any such termination shall become effective upon publication in the Federal Register.

IN WITNESS WHEREOF, I have hereunto set my hand this fourth day of August, in the year of our Lord two thousand eleven, and of the Independence of the United States of America the two hundred and thirty-sixth.

BARACK OBAMA

https://obamawhitehouse.archives.gov/the-press-office/2011/08/04/presidential-proclamation-suspension-entry-immigrants-and-nonimmigrants-

President Trump, at the Pentagon on Friday, signed an executive order titled “Protecting the Nation From Foreign Terrorist Entry Into the United States.” Credit Stephen Crowley/The New York Times

President Trump signed an executive order on Friday titled “Protecting the Nation From Foreign Terrorist Entry Into the United States.” Following is the language of that order, as supplied by the White House.

By the authority vested in me as President by the Constitution and laws of the United States of America, including the Immigration and Nationality Act (INA), 8 U.S.C. 1101 et seq., and section 301 of title 3, United States Code, and to protect the American people from terrorist attacks by foreign nationals admitted to the United States, it is hereby ordered as follows:

Section 1. Purpose. The visa-issuance process plays a crucial role in detecting individuals with terrorist ties and stopping them from entering the United States. Perhaps in no instance was that more apparent than the terrorist attacks of September 11, 2001, when State Department policy prevented consular officers from properly scrutinizing the visa applications of several of the 19 foreign nationals who went on to murder nearly 3,000 Americans. And while the visa-issuance process was reviewed and amended after the September 11 attacks to better detect would-be terrorists from receiving visas, these measures did not stop attacks by foreign nationals who were admitted to the United States.

Numerous foreign-born individuals have been convicted or implicated in terrorism-related crimes since September 11, 2001, including foreign nationals who entered the United States after receiving visitor, student, or employment visas, or who entered through the United States refugee resettlement program. Deteriorating conditions in certain countries due to war, strife, disaster, and civil unrest increase the likelihood that terrorists will use any means possible to enter the United States. The United States must be vigilant during the visa-issuance process to ensure that those approved for admission do not intend to harm Americans and that they have no ties to terrorism.

Sec. 2. Policy. It is the policy of the United States to protect its citizens from foreign nationals who intend to commit terrorist attacks in the United States; and to prevent the admission of foreign nationals who intend to exploit United States immigration laws for malevolent purposes.

Sec. 3. Suspension of Issuance of Visas and Other Immigration Benefits to Nationals of Countries of Particular Concern. (a) The Secretary of Homeland Security, in consultation with the Secretary of State and the Director of National Intelligence, shall immediately conduct a review to determine the information needed from any country to adjudicate any visa, admission, or other benefit under the INA (adjudications) in order to determine that the individual seeking the benefit is who the individual claims to be and is not a security or public-safety threat.

(b) The Secretary of Homeland Security, in consultation with the Secretary of State and the Director of National Intelligence, shall submit to the President a report on the results of the review described in subsection (a) of this section, including the Secretary of Homeland Security’s determination of the information needed for adjudications and a list of countries that do not provide adequate information, within 30 days of the date of this order. The Secretary of Homeland Security shall provide a copy of the report to the Secretary of State and the Director of National Intelligence.

(c) To temporarily reduce investigative burdens on relevant agencies during the review period described in subsection (a) of this section, to ensure the proper review and maximum utilization of available resources for the screening of foreign nationals, and to ensure that adequate standards are established to prevent infiltration by foreign terrorists or criminals, pursuant to section 212(f) of the INA, 8 U.S.C. 1182(f), I hereby proclaim that the immigrant and nonimmigrant entry into the United States of aliens from countries referred to in section 217(a)(12) of the INA, 8 U.S.C. 1187(a)(12), would be detrimental to the interests of the United States, and I hereby suspend entry into the United States, as immigrants and nonimmigrants, of such persons for 90 days from the date of this order (excluding those foreign nationals traveling on diplomatic visas, North Atlantic Treaty Organization visas, C-2 visas for travel to the United Nations, and G-1, G-2, G-3, and G-4 visas).

(d) Immediately upon receipt of the report described in subsection (b) of this section regarding the information needed for adjudications, the Secretary of State shall request all foreign governments that do not supply such information to start providing such information regarding their nationals within 60 days of notification.

(e) After the 60-day period described in subsection (d) of this section expires, the Secretary of Homeland Security, in consultation with the Secretary of State, shall submit to the President a list of countries recommended for inclusion on a Presidential proclamation that would prohibit the entry of foreign nationals (excluding those foreign nationals traveling on diplomatic visas, North Atlantic Treaty Organization visas, C-2 visas for travel to the United Nations, and G-1, G-2, G-3, and G-4 visas) from countries that do not provide the information requested pursuant to subsection (d) of this section until compliance occurs.

(f) At any point after submitting the list described in subsection (e) of this section, the Secretary of State or the Secretary of Homeland Security may submit to the President the names of any additional countries recommended for similar treatment.

(g) Notwithstanding a suspension pursuant to subsection (c) of this section or pursuant to a Presidential proclamation described in subsection (e) of this section, the Secretaries of State and Homeland Security may, on a case-by-case basis, and when in the national interest, issue visas or other immigration benefits to nationals of countries for which visas and benefits are otherwise blocked.

(h) The Secretaries of State and Homeland Security shall submit to the President a joint report on the progress in implementing this orderwithin 30 days of the date of this order, a second report within 60 daysof the date of this order, a third report within 90 days of the date of this order, and a fourth report within 120 days of the date of this order.

Sec. 4. Implementing Uniform Screening Standards for All Immigration Programs. (a) The Secretary of State, the Secretary of Homeland Security, the Director of National Intelligence, and the Director of the Federal Bureau of Investigation shall implement a program, as part of the adjudication process for immigration benefits, to identify individuals seeking to enter the United States on a fraudulent basis with the intent to cause harm, or who are at risk of causing harm subsequent to their admission. This program will include the development of a uniform screening standard and procedure, such as in-person interviews; a database of identity documents proffered by applicants to ensure that duplicate documents are not used by multiple applicants; amended application forms that include questions aimed at identifying fraudulent answers and malicious intent; a mechanism to ensure that the applicant is who the applicant claims to be; a process to evaluate the applicant’s likelihood of becoming a positively contributing member of society and the applicant’s ability to make contributions to the national interest; and a mechanism to assess whether or not the applicant has the intent to commit criminal or terrorist acts after entering the United States.

(b) The Secretary of Homeland Security, in conjunction with the Secretary of State, the Director of National Intelligence, and the Director of the Federal Bureau of Investigation, shall submit to the President an initial report on the progress of this directive within 60 days of the date of this order, a second report within 100 days of the date of this order, and a third report within 200 days of the date of this order.

Sec. 5. Realignment of the U.S. Refugee Admissions Program for Fiscal Year 2017. (a) The Secretary of State shall suspend the U.S. Refugee Admissions Program (USRAP) for 120 days. During the 120-day period, the Secretary of State, in conjunction with the Secretary of Homeland Security and in consultation with the Director of National Intelligence, shall review the USRAP application and adjudication process to determine what additional procedures should be taken to ensure that those approved for refugee admission do not pose a threat to the security and welfare of the United States, and shall implement such additional procedures. Refugee applicants who are already in the USRAP process may be admitted upon the initiation and completion of these revised procedures. Upon the date that is 120 days after the date of this order, the Secretary of State shall resume USRAP admissions only for nationals of countries for which the Secretary of State, the Secretary of Homeland Security, and the Director of National Intelligence have jointly determined that such additional procedures are adequate to ensure the security and welfare of the United States.

(b) Upon the resumption of USRAP admissions, the Secretary of State, in consultation with the Secretary of Homeland Security, is further directed to make changes, to the extent permitted by law, to prioritize refugee claims made by individuals on the basis of religious-based persecution, provided that the religion of the individual is a minority religion in the individual’s country of nationality. Where necessary and appropriate, the Secretaries of State and Homeland Security shall recommend legislation to the President that would assist with such prioritization.

Image result for cartoons branco 9th circuit 2017

Image result for cartoons branco 9th circuit 2017

Image result for cartoons 9th circuit

“They’re immature“ Donald Trump attacks judges blocking his Muslim ban

Published on Feb 10, 2017

Trump to federal judges: Even a ‘bad high school student’ would rule in my favour. Trump Says Travel Ban ‘Done For The Security Of Our Nation’

US President Donald Trump speaks to members of the law enforcement at the Major Cities Chiefs Association (MCCA) Winter Conference in Washington, U.S., February 8, 2017.

US President Donald Trump sought to lend his own legal argument for his executive order banning travel from certain Muslim-majority countries on Wednesday, discounting a legal challenge to the order as anti-security.

Contending that a US President has wide powers to control who comes into the country, Trump said that even a “bad high school student” would rule in his favour, CNN reported.

“This isn’t just me. This is for Obama, for Ronald Reagan, for the President. This was done, very importantly, for security,” Trump said.

“It was done for the security of our nation, for the security of our citizens, so people don’t come in who are going to do us harm. That is why is was done. It couldn’t have been written more precisely,” he said.

Trump said his executive order was “written beautifully” and fully within the bounds of US statute.

“We’re in an area that, let’s just say, they’re interpreting things differently than probably 100 per cent of people in this room,” Trump told a group of major city police officers and sheriffs in Washington.

“We want security,” Trump said.

On Tuesday evening, a federal appeals court heard arguments in the legal battle over the travel ban. The California-based Ninth Circuit Court of Appeals will decide soon whether to reinstate the executive order.

The top legal officials in 16 states, including Pennsylvania and Iowa which voted for Trump, filed a memorandum in support of efforts to halt the travel ban.

The state attorneys general from these states argued that they have standing as the executive order inflicts harm on states, including disruption at state universities and medical institutions.

President Donald Trump is asserting that he had the right to enact his travel ban, saying it was “done for the security of our nation.”

Speaking to the Washington, D.C. conference of the Major Cities Chiefs Association, which represents sheriffs and heads of large police forces around the country, the president said the order was written “beautifully” and was within his executive authority.

“A bad high school student would understand this,” he said of the ban. “It’s as plain as you can have it and I was a good student. I understand things, I comprehend things very well.”

Trump said one of the reasons he was elected president was “because of law and order and security.”

“I think it’s a sad day. I think our security is at risk today and it will be at risk until such time as we are entitled and get what we are entitled to,” he said.

Trump also read parts of his order aloud, saying it allows the chief executive the ability to suspend the “entry of all aliens or of any class of aliens” into the country, CBS News reported.

“You can suspend, you can put restrictions, you can do whatever you want,” he said. “You’re the chiefs, you’re the sheriffs, you understand this.”

The 9th U.S. Circuit Court of Appeals is weighing the appeal of Trump’s executive order on immigration, including a temporary travel ban on those from seven Muslim-majority countries.

The appeals court challenged the administration’s claim that the ban was motivated by terrorism fears, but it also questioned an attorney’s argument that it unconstitutionally targeted Muslims.

While awaiting a decision, Trump said “courts seem to be so political.”

“They are interpreting things differently than probably 100 percent of people in this room,” the president said. “I never want to call a court biased, so I won’t call it biased.”

He added “it would be so great for our justice system if they would be able to read a statement and do what’s right.”

Earlier Wednesday morning, the president tweeted: “If the U.S. does not win this case as it so obviously should, we can never have the security and safety to which we are entitled. Politics!”

DID THE 9th CIRCUIT COURT IGNORE THE LAW?

Will Trump rewrite the immigration order?

Alan Dershowitz on immigration ban: Trump has to write a new order

Kellyanne Conway Confident in Legal Merits of Executive Order:’We Will Prevail’

What legal avenue is left for the Trump administration?

Legal showdown over Trump’s immigration order continues

Judge Napolitano Says These Appeal Judges HAVE NO RIGHT to Override The President

Judge Napolitano to Trump: Rescind the executive order, issue a new one

Krauthammer: Court’s decision on Trump’s order ‘disgraceful’

Source: White House not likely to appeal 9th Circuit ruling

Muslim activist explains why she supports extreme vetting

“Slouching Towards Gomorrah” with Robert Bork

A Conversation with Judge Robert H. Bork 6-26-07

Uploaded on Apr 21, 2011

As part of our 25th Anniversary celebration the Federalist Society presented a full-day Conference on June 26, 2007, honoring Judge Robert H. Bork and his contributions to the law. The conference luncheon featured this conversation between Judge Bork and Judge A. Raymond Randolph of the United States Court of Appeals, District of Columbia Circuit.

–Judge Robert H. Bork, Former Judge, U.S. Court of Appeals, District of Columbia
–Judge A. Raymond Randolph, U.S. Court of Appeals, District of Columbia Circuit
–Introduction: Hon. Theodore B. Olson, Gibson, Dunn, & Crutcher and former U.S. Solicitor General

The Mayflower Hotel,
Washington, DC

Pat Buchanan on The Laura Ingraham Show (2/10/2017)

Trump Must Break Judicial Power

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1 Star2 Stars3 Stars4 Stars5 Stars Votes: 4.60 Stars!

By Patrick J. Buchanan

“Disheartening and demoralizing,” wailed Judge Neil Gorsuch of President Trump’s comments about the judges seeking to overturn his 90-day ban on travel to the U.S. from the Greater Middle East war zones.

What a wimp. Did our future justice break down crying like Sen. Chuck Schumer? Sorry, this is not Antonin Scalia. And just what horrible thing had our president said?

A “so-called judge” blocked the travel ban, said Trump. And the arguments in court, where 9th Circuit appellate judges were hearing the government’s appeal, were “disgraceful.” “A bad student in high school would have understood the arguments better.”

Did the president disparage a couple of judges? Yep.

Yet compare his remarks to the tweeted screeds of Elizabeth Warren after her Senate colleague, Jeff Sessions, was confirmed as attorney general.

Sessions, said Warren, represents “radical hatred.” And if he makes “the tiniest attempt to bring his racism, sexism & bigotry” into the Department of Justice, “all of us” will pile on.

Now this is hate speech. And it validates Majority Leader Mitch McConnell’s decision to use Senate rules to shut her down.

These episodes reveal much about America 2017.

They reflect, first, the poisoned character of our politics. The language of Warren — that Sessions is stepped in “racism, sexism & bigotry” echoes the ugliest slander of the Hillary Clinton campaign, where she used similar words to describe Trump’s “deplorables.”

Such language, reflecting as it does the beliefs of one-half of America about the other, rules out any rapprochement in America’s social or political life. This is pre-civil war language.

For how do you sit down and work alongside people you believe to be crypto-Nazis, Klansmen and fascists? Apparently, you don’t. Rather, you vilify them, riot against them, deny them the right to speak or to be heard.

And such conduct is becoming common on campuses today.

As for Trump’s disparagement of the judges, only someone ignorant of history can view that as frightening.

Have something to say about this column?
Visit Pat’s FaceBook page and post your comments….

Thomas Jefferson not only refused to enforce the Alien & Sedition Acts of President John Adams, his party impeached Supreme Court Justice Samuel Chase who had presided over one of the trials.

Jackson defied Chief Justice John Marshall’s prohibition against moving the Cherokees out of Georgia to west of the Mississippi, where, according to the Harvard resume of Sen. Warren, one of them bundled fruitfully with one of her ancestors, making her part Cherokee.

When Chief Justice Roger Taney declared that President Abraham Lincoln’s suspension of the writ of habeas corpus violated the Constitution, Lincoln considered sending U.S. troops to arrest the chief justice.

FDR proposed adding six justices to emasculate a Supreme Court of the “nine old men” he reviled for having declared some New Deal schemes unconstitutional.

President Eisenhower called his Supreme Court choices Earl Warren and William Brennan two of the “worst mistakes” he made as president. History bears Ike out. And here we come to the heart of the matter.

Whether the rollout of the president’s temporary travel ban was ill-prepared or not, and whether one agrees or not about which nations or people should be subjected to extreme vetting, the president’s authority in the matter of protecting the borders and keeping out those he sees as potentially dangerous is universally conceded.

That a district judge would overrule the president of the United States on a matter of border security in wartime is absurd.

When politicians don black robes and seize powers they do not have, they should be called out for what they are — usurpers and petty tyrants. And if there is a cause upon which the populist right should unite, it is that elected representatives and executives make the laws and rule the nation. Not judges, and not justices.

Indeed, one of the mightiest forces that has birthed the new populism that imperils the establishment is that unelected justices like Warren and Brennan, and their progeny on the bench, have remade our country without the consent of the governed — and with never having been smacked down by Congress or the president.

Consider. Secularist justices de-Christianized our country. They invented new rights for vicious criminals as though criminal justice were a game. They tore our country apart with idiotic busing orders to achieve racial balance in public schools. They turned over centuries of tradition and hundreds of state, local and federal laws to discover that the rights to an abortion and same-sex marriage were there in Madison’s Constitution all along. We just couldn’t see them.

Trump has warned the judges that if they block his travel ban, and this results in preventable acts of terror on American soil, they will be held accountable. As rightly they should.

Meanwhile, Trump’s White House should use the arrogant and incompetent conduct of these federal judges to make the case not only for creating a new Supreme Court, but for Congress to start using Article III, Section 2, of the Constitution — to restrict the jurisdiction of the Supreme Court, and to reclaim its stolen powers.

A clipping of the court’s wings is long overdue.

http://buchanan.org/blog/trump-must-break-judicial-power-126521

Today in Conservative Media: The 9th Circuit Court’s Dangerous

By Jacob Brogan

634133704-president-donald-trump-listens-as-he-meets-with-county
Conservative outlets are torn on whether Donald Trump should appeal the court’s decision.

Andrew Harrer – Pool/Getty Images

170106_Logo_Conservative_Media5

A daily roundup of the biggest stories in right-wing media.

Late Thursday, the U.S. Court of Appeals for the 9th Circuit upheld a nationwide injunction against Donald Trump’s immigration executive order. Conservative media outlets were largely unified in their frustration, deriding the court’s supposedly liberal tendencies, attributing the decision to political motivations rather than legal ones, and expressing grave concern about national security. A statement from National Review’s editors captured the general tone: “The Ninth Circuit’s decision against President Trump’s immigration order is worse than wrong. It is dangerous.”

Breitbart offered one vision of what those dangers might entail, writing that the judgment “would have allowed one of the 9/11 hijackers to sue the government to come to, or stay in, the United States.”  Because that hijacker, Hani Hasan Hanjour held a student visa, the article claims, he “would have due process rights to challenge his exclusion from the United States.”* (As the article acknowledges, Hansour was from Saudi Arabia—a country not included in the ban.) Another Breitbart post offered a similar objection, warning in its headline, “Judges Declare Judges Can Grant Immigration Visas, Even When Elected President Disagrees.”

Other right-wing publications, including National Review suggested that the decision was representative of a larger power grab by the judiciary, an attempt to claim powers that should be held by the executive branch. “The modern judiciary, and the modern Left whose water it carries, holds that no aspect of governance evades supervision by unelected federal judges,” National Review wrote. LifeZette, similarly, wrote, “No federal court should be considering any claims about these executive orders because … they fall squarely within a class of cases which the Supreme Court has said the judicial branch has no business reviewing.”

The president himself responded quickly to the news, tweeting (in all caps) “SEE YOU IN COURT,” a message that the Daily Caller described as “fiery.”

Sean Hannity’s website suggested that Trump would be right to appeal the decision. “While the ruling is being celebrated by those on the left, some legal scholars are baffled by the court’s decision,” it claimed, before citing objections from a handful of legal commentators, including a post from the blog Lawfare that closes with a reference to “the incompetent malevolence with which this order was promulgated.” If Trump does appeal to the Supreme Court, he might have reason for hope: The Daily Caller writes, “The 9th Circuit, which is known for its liberal tendencies, has the second-highest reversal rate of the 13 appellate courts below the Supreme Court.”

Not all conservative commentators were convinced, however. A separate article in the Daily Caller acknowledged, “Applying for a stay could also be a strategically unsound move for the administration.” In National Review, David French took a similar tack, arguing that the administration might do well to avoid taking its case to the Supreme Court. “Victory is far from assured, and a tie in the eight-member Court would uphold the Ninth Circuit’s dreadful decision,” he wrote. LifeZette likewise observed that an appeal might be dangerous, warning, “Justice Anthony Kennedy’s record on the bench suggests he is no lock to side with the conservative bloc on the court.”

Not all voices in the conservative media agreed that the immigration order was worth defending. In a National Review article titled, “The Travel Moratorium: A Hopeless Disaster,” Charles Krauthammer describes the executive order as a “pointless cul-de-sac,” writing, “It was a bad idea to begin with, and its implementation has been even worse.”

http://www.slate.com/blogs/the_slatest/2017/02/10/the_9th_circuit_court_s_decision_was_the_big_story_in_conservative_media.html

https://www.nytimes.com/2017/01/27/us/politics/refugee-muslim-executive-order-trump.html

Story 2: No Visas To Travel To the United States If You Cannot Pass a Vigorous Vetting and Background Check Period — Videos –

USA: Trump blocks entry of refugees in ‘extreme vetting’ order

President Trump Signs Executive Order Halting ALL Immigration From 7 Primarily Muslim Countries

Trump Travel Ban – Here Is the Opinion of Trey Gowdy And Jason Chaffetz

Trump Proposes Extreme Vetting Process For Visa Applicants

Published on Aug 15, 2016

At Youngstown State University in Ohio Monday, Donald Trump called for a new screening test for immigrants wishing to enter the United States.

Donald Trump:
“And we will be tough. We will be even extreme. We should only admit into this country those who share our values and respect our people. In the Cold War, we had an ideological screening test. The time is overdue to develop a new screening test for the threats we face today. I call it extreme vetting. I call it extreme, extreme vetting. Our country has enough problems. We don’t need more. And these are problems like we’ve never had before. In addition to screening out all members of the sympathizers of terrorist groups we must also screen out any hostile attitude towards our country or its principles, or who believe that Sharia law should supplant American law. Those who did not believe in our Constitution or who support bigotry and hatred will not be admitted for immigration into our country. Only those who we expect to flourish in our country and to embrace a tolerant American society should be issued Visas.”

Story 3: American People Support President Trump — Videos

Americans still support Donald Trump’s immigration ban, poll shows

President Donald Trump give a 'thumbs-up' during his arrival at Philadelphia International airport
Donald Trump gets off a plane after travelling to Philadelphia Credit: Pablo Martinez Monsivais/AP

Despite breaking records for the lowest approval ratings for a new President, Donald Trump’s immigration ban is still backed by a majority of Americans, according to recent polling.

The Republican president suffered the biggest defeat of his presidency yesterday as a court refused to reinstate his executive order banning refugees and restricting travel to the United States from seven Muslim-majority countries.

His decision to halt immigration has been widely criticised with protests across the world, legal challenges and condemnation from Barack Obama. The President sacked his interim Attorney General for failing to enforce his immigration ban, with the White House saying that she had “betrayed” the Justice Department.

But the most recent polling done on the policy shows that most Americans still back the policy.

Polling by Morning Consult and Politico reveals that the travel ban is, at the same time, one of Trump’s most popular and most divisive

A majority of people (55 per cent) approve of the controversial immigration ban, while just 38 per cent disapprove.

At the same time, the immigration order had the lowest proportion of people saying that they don’t know what their opinion is, out of any of the executive orders signed by Trump.

Further signalling the divides in American society after a brutal presidential election, the support for Trump’s policy is split heavily along partisan lines. Some four out of five Republicans support the order, while over three out of five Democrats oppose it.

Watch | Protests against Trump’s travel ban from around the world

02:53

The executive order in question has imposed a 90-day ban on people entering the country from Syria, Iran, Iraq, Libya, Somalia, Sudan, Syria and Yemen. It also prevents all refugees from entering the US for 120 days.

One of the first polls conducted when the order was first made indicated that half of Americans agreed with it.

It addition to more people agreeing with the ban than disagreeing with it, 31 per cent of respondents said the travel ban made them feel safer, compared to 26 per cent who said it made them feel less safe.

The Ipsos and Reuters poll also showed that 31 per cent of Americans said that it made them feel more safe, while 26 per cent said it made them feel less safe.

Morning Consult’s national survey polled 2,070 registered voters and has a margin of error of plus or minus 2 percentage points.

http://www.telegraph.co.uk/news/2017/02/10/americans-still-support-donald-trumps-immigration-ban-poll-shows/

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The Pronk Pops Show 835, February 9, 2017, Story 1: Wise Asses — The Lying Lunatic Lawyers of The 9th Circuit or Corrupt Circus Got It Wrong Again — Nothing New Will Be Reversed In Due Course — Wisdom: Permanent Vigorous Vetting For All Countries With Radical Islamic Terrorist Jihadists — President Trump Tweet: “SEE YOU IN COURT. THE SECURITY OF THE UNITED STATES AT STAKE.” — American People Will Prevail Not The Wise Asses of The Political Elitist Establishment — Videos

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Court rejects national security argument for travel ban

Appeals court rules against Trump on travel ban

Why the 9th Circuit Court rejected Trump’s immigration ban appeal

US Appeals Court Refuses to Reinstate Trump Travel Ban – February 9, 2017

9th Circuit Court of Appeals rules against reinstating the travel ban

Ninth Circuit Court of Appeals REFUSES to Reinstate Travel Ban – Trump Court Ruling News Live

BREAKING: Court Refuses To Reinstate Trump’s Muslim Ban

A Lawyer Perfectly Explains the Basics of the Ninth Circuit’s Review of Trump’s Travel Ban

Why the 9th Circuit Court of Appeals is under scrutiny

Victor Davis Hanson – The Mythologies of the 2016 Election

Published on Nov 30, 2016

Hanson speaks about the 2016 election and the myths surrounding it at the David Horowitz Freedom Center

Full text: Read the 9th Circuit Court’s ruling on Trump travel ban

https://www.yahoo.com/news/full-text-read-the-ninth-circuit-courts-ruling-on-trump-travel-ban-233412913.html

 

9th Circuit Upholds TRO Against Trump’s Travel Ban On Due Process Grounds; Postpones Ruling On Religious Discrimination Issue

The U.S.9th Circuit Court of Appeals today, in a unanimous decision, refused to stay the Washington federal district court’s temporary restraining order against enforcement of President Trump’s Executive Order titled “Protecting the Nation From Foreign Terrorist Entry Into the United States.” The opinion in State of Washington v. Trump, (9th Cir., Feb. 9, 2017), concludes that the government “has failed to establish that it will likely succeed on its due process argument in this appeal.”  The court put off addressing plaintiffs’ religious discrimination arguments, saying:

The States argue that the Executive Order violates the Establishment and Equal Protection Clauses because it was intended to disfavor Muslims. In support of this argument, the States have offered evidence of numerous statements by the President about his intent to implement a “Muslim ban” as well as evidence they claim suggests that the Executive Order was intended to be that ban, including sections 5(b) and 5(e) of the Order. It is well established that evidence of purpose beyond the face of the challenged law may be considered in evaluating Establishment and Equal Protection Clause claims. See, e.g., Church of the Lukumi Babalu Aye,Inc. v. City of Hialeah, 508 U.S. 520, 534 (1993) (“The Free Exercise Clause, like the Establishment Clause, extends beyond facial discrimination. . . . Official action that targets religious conduct for distinctive treatment cannot be shielded by mere compliance with the requirement of facial neutrality.”); Larson, 456 U.S. at 254-55 (holding that a facially neutral statute violated the Establishment Clause in light of legislative history demonstrating an intent to apply regulations only to minority religions); Village of Arlington Heights v. Metro. Housing Dev. Corp., 429 U.S. 252, 266-68 (1977) (explaining that circumstantial evidence of intent, including the historical background of the decision and statements by decision makers, may be considered in evaluating whether a governmental action was motivated by a discriminatory purpose).

The States’ claims raise serious allegations and present significant constitutional questions. In light of the sensitive interests involved, the pace of the current emergency proceedings, and our conclusion that the Government has not met its burden of showing likelihood of success on appeal on its arguments with respect to the due process claim, we reserve consideration of these claims until the merits of this appeal have been fully briefed.

http://catholicnewslive.com/story/612129

Victor Davis Hanson on grand strategy, immigration, and the 2016 presidential election

BENCH MEMOS NRO’S HOME FOR JUDICIAL NEWS AND ANALYSIS. Ninth Circuit Leading the Pack for ‘Most Reversed’ SHARE ARTICLE ON FACEBOOKSHARE TWEET ARTICLETWEET PLUS ONE ARTICLE ON GOOGLE PLUS+1 PRINT ARTICLE ADJUST FONT SIZEAA by JONATHAN KEIM March 13, 2014 4:25 PM @JONATHANKEIM Last week, the Supreme Court released this term’s fifth

Last week, the Supreme Court released this term’s fifth third opinion unanimously reversing the Ninth Circuit (the third first and fourth second were released the preceding week).

This gives the Ninth Circuit an early lead in the race for the title of “Most Reversed.” [UPDATE: 3/13/2014 at 5:28 PM: An observant reader draws my attention to two previous unanimous reversals this term, one in December and one in February, giving the Ninth Circuit an even bigger lead with 5 unanimous reversals in a row.]

The Supreme Court rarely takes cases where a lower court was simply incorrect. There usually must be some other reason for the Supreme Court to take the case, such as to correct a difference in opinion between the courts of appeals, to resolve a question that has confused or misled lower courts, or sometimes just because the case is too important to ignore. Within these boundaries, it is generally easier to convince the Supreme Court that it should take a case when the court of appeals got it wrong. That means that in general, we ought to expect the Supreme Court to reverse more often than it affirms. But as Court-watchers know, even with these qualifications, the Ninth Circuit has a reputation as a magnet for the high court’s negative attention. Although recent years have seen other circuits competing with the Ninth Circuit for the title of “Most Reversed,” the Ninth still appears to hold the unquestioned title. The Ninth Circuit’s best showing in recent years was October Term 2009, with a 60 percent reversal rate in the 15 cases on which certiorari was granted. The Sixth Circuit got the prize for highest reversal rate that year, with seven cases resulting in seven reversals, while the Seven Circuit came in a close second (91 percent reversal rate in eleven cases).   But in 2010, perhaps seeking to reclaim its position at the top of the heap, the Ninth Circuit was reversed a startling 19 times (79 percent), three times as many reversals as most circuits had cases before the Supreme Court. The same pattern continued in the 2011 (71 percent) and 2012 terms (86 percent), when the Ninth Circuit was reversed more than twice as many times as most circuits had cases before the Court. The Court is done releasing opinions for this week, but will resume again next week.

What will next week hold? We shall see. (Hat tip to SCOTUSblog for the statistics.)

Read more at: http://www.nationalreview.com/bench-memos/373273/ninth-circuit-leading-pack-most-reversed-jonathan-keim

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The Pronk Pops Show 829, February 1, 2017, Story 1: President Trump Honors U.S. Navy SEAL Killed in a Weekend Raid in al Qaeda Camp near al Bayda in south central Yemen — Videos — Story 2: Trump Administration Condemns Iran for Provacative Guided Ballistic Missile Launch and Violates United Nations Resolution — Officially Putting Iran on Notice’ — Videos — Story 3: Yemen Houthis Rebels Attack Saudi Missile Frigate — Killing Two Crewmen — Videos

Posted on February 1, 2017. Filed under: American History, Blogroll, Bombs, Breaking News, Budgetary Policy, China, Coal, Coal, College, Communications, Computers, Congress, Constitutional Law, Corruption, Countries, Crime, Cruise Missiles, Culture, Defense Spending, Donald J. Trump, Donald Trump, Drones, Economics, Education, Elections, Empires, Employment, Energy, European History, Federal Bureau of Investigation (FBI), Federal Government, Fiscal Policy, Foreign Policy, Free Trade, Freedom of Speech, Government, Government Spending, Great Britain, History, Homicide, House of Representatives, Human, Human Behavior, Illegal Immigration, Immigration, Iran Nuclear Weapons Deal, Iraq, Islam, Islamic Republic of Iran, Islamic State, Israel, Israel, Language, Law, Legal Immigration, Libya, Life, Lying, Media, Medicare, Middle East, MIssiles, National Security Agency, Natural Gas, Natural Gas, News, North Korea, Nuclear, Nuclear, Nuclear Weapons, Obama, Oil, Oil, Philosophy, Photos, Pistols, Politics, Polls, President Barack Obama, President Trump, Progressives, Qatar, Radio, Raymond Thomas Pronk, Religion, Resources, Rifles, Rule of Law, Russia, Scandals, Security, Senate, Social Security, Solar, Spying, Syria, Tax Policy, Taxation, Taxes, Technology, Terror, Terrorism, Turkey, Unemployment, United States Constitution, United States of America, Videos, Violence, War, Wealth, Weapons, Welfare Spending, Wisdom, Yemen | Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , |

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Story 1: President Trump Honors U.S. Navy SEAL Killed in a Weekend Raid in al Qaeda Camp near al Bayda in south central Yemen — Videos —

Image result for president trump dover air force baseImage result for Chief Special Warfare Operator William Nawar Al Awlaki This was the president's first clandestine strike, and not one that was originally ordered by former President Obama. It involved 'boots on the ground' at an al Qaeda Camp near al Bayda in south central Yemen (pictured)

PRESIDENT TRUMP MAKES UNANNOUNCED VISIT TO HONOR SLAIN NAVY SEAL

President Trump departs for Dover Air Force Base

FOX NEWS ALERT , SOON: President Trump at dover air force base to honor fallen seal killed in yemen

News Wrap: Trump makes surprise visit to honor Navy SEAL killed in Yemen

Navy SEAL Team 6 carries out daring raid in Yemen

Trump Releases Statement About SEAL Team Six Warrior Killed in Yemen Raid

U.S. Special Forces launch Raid against Al-Qaeda in Yemen

Raid in Yemen results in first U.S. combat death under Trump administration

Trump Leaves D.C. to Honor Fallen U.S. Navy Seal

DOVER AIR FORCE BASE, Del. (AP) — Assuming the somber duties of commander in chief, President Donald Trump made an unannounced trip Wednesday to honor the returning remains of a U.S. Navy SEAL killed in a weekend raid in Yemen.

Chief Special Warfare Operator William “Ryan” Owens, a 36-year-old from Peoria, Illinois, was the first known U.S. combat casualty since Trump took office less than two weeks ago. More than half a dozen militant suspects were also killed in the raid on an al-Qaida compound and three other U.S. service members were wounded.

More than a dozen civilians were also killed in the operation, including the 8-year-old daughter of Anwar al-Awlaki, a radical cleric and U.S. citizen who was targeted and killed by a drone strike in 2011.

Trump’s trip to Delaware’s Dover Air Base was shrouded in secrecy. The president and his daughter, Ivanka, departed the White House in the presidential helicopter with their destination unannounced. A small group of journalists traveled with Trump on the condition that the visit was not reported until his arrival.

Marine One landed at Dover shortly before a C-17 believed to be carrying Owens’ remains touched down. The president met with Owens’ family during a two-hour visit to the base. The sailor’s family had requested that Trump’s visit and the return of Owens’ remains be private.

Former President Barack Obama lifted a ban on media coverage of the casualty returns, though families may still request privacy. A spokeswoman at Dover said about half of families choose to allow media coverage.

Owens joined the Navy in 1998 and was the recipient of two Bronze stars, a Joint Service Commendation and an Afghanistan Campaign Medal, among other honors. In a statement following his death, the Navy Special Command called Owens a “devoted father, a true professional and a wonderful husband.”

His death underscores the human costs of the military campaigns Trump now oversees. Far fewer troops are serving in combat now than in the wars Trump’s predecessors led in Afghanistan and Iraq, but thousands of Americans remain in hotspots around the world.

In Afghanistan, where America’s longest war continues, about 8,400 U.S. troops are training and advising local forces. More than U.S. 5,100 troops in Iraq and about 500 in Syria are involved in the campaign against the Islamic State group. The U.S. also engages in counterterrorism operations – mainly drone strikes – in Yemen, where Al-Qaida in the Arabian Peninsula has exploited the chaos of the country’s civil war.

Sunday’s pre-dawn raid – which a defense official said was planned by the Obama administration but authorized by Trump – could signal a new escalation against extremist groups in Yemen.

As a candidate, Trump said he would be willing to “take out” the families of terrorists in order to root out extremism. On Tuesday, White House spokesman Sean Spicer said no Americans “will ever be targeted” in raids against terror suspects.

The president’s trip to Dover comes as he begins weighing whether to reshape U.S. military activities around the world. As a candidate, he vowed to be tougher on the Islamic State and at one point said he would be willing to send up to 30,000 U.S. troops to fight the extremist group in Iraq and Syria. Last week, Trump gave the Pentagon and other agencies 30 days to submit a plan for defeating the Islamic State.

Trump has said little about his approach to Afghanistan. Obama had pledged to end the war there on his watch, but continuing security concerns prompted him to extend the U.S. military campaign, handing the war off to a third American president.

Trump, who never served in the armed forces and received student and medical deferments during the Vietnam War, had an uneven relationship with the military community during the presidential campaign.

About 60 percent of voters who served in the military supported Trump in the presidential election, compared with 34 percent who voted for Democrat Hillary Clinton, according to exit polls. But Trump was also criticized by military groups, including the Veterans of Foreign Wars, for his feud with the Khan family, whose Muslim-American son was killed while serving in Iraq.

Associated Press writer Lolita C. Baldor and AP Polling Director Emily Swanson contributed to this report.

http://hosted.ap.org/dynamic/stories/U/US_TRUMP_NAVY_SEAL?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2017-02-01-15-54-04

President Trump honors first military casualty of his presidency by meeting fallen SEAL’s coffin – and takes Ivanka with him

  • The body of fallen SEAL Team 6 member Officer William Owens arrived Tuesday afternoon at Dover Air Force Base
  • President Donald Trump and daughter Ivanka flew to Delaware to meet him
  • Officials said that in the President’s first strike ‘almost everything went wrong’
  • White House Press Secretary Sean Spicer got emotional on Wednesday as he talked about the raid, which he admitted was not a ‘100% successs’ 
  • Nawar al-Awlaki, 8, was among several non-combatants killed in Trump’s first raid; she was the daughter of the American al Qaeda leader killed in a 2011 raid  

Chief Petty Officer William 'Ryan' Owens, a 36-year-old from Illinois, was killed in Sunday's botched raid

Chief Petty Officer William ‘Ryan’ Owens, a 36-year-old from Illinois, was killed in Sunday’s botched raid

President Donald Trump is mourning the death of a SEAL Team Six member killed in his first military raid as president.

Trump and his eldest daughter, Ivanka, arrived at Dover Air Force Base this afternoon, after making the short flight to Delaware from Washington in Marine One, to receive the body of Chief Special Warfare Officer William ‘Ryan’ Owens.

They touched down at Dover AFB at 3:51 pm.

The president and first daughter were accompanied by Delaware Sen. Chris Coons at the private return ceremony that Owens’ family also attended.

He is survived by his wife, Karen, and their three children. They are believed to have arrived after the president and his daughtr in a Air Force C-17 transport.

Owens was killed in a pre-dawn raid, in which officials have said ‘almost everything went wrong,’ on Al Qaeda in the Arabian Peninsula last Sunday.

It was Trump’s first clandestine strike, and it was not one that had previously been ordered by former President Barack Obama.

Eight-year-old Nawar al-Awlaki, known as Nora, was also among the non-combats killed in the raid, which resulted in the death of several Yemeni women.

Owens was a 36-year-old from Illinois.

Scroll down for video

President Donald Trump is mourning the death of a SEAL Team Six member killed in his first military raid as president

President Donald Trump is mourning the death of a SEAL Team Six member killed in his first military raid as president

Trump and his eldest daughter, Ivanka, arrived at Dover Air Force Base this afternoon, after making the short flight to Delaware from Washington, to receive the body of Chief Petty Officer William 'Ryan' Owens

Trump and his eldest daughter, Ivanka, arrived at Dover Air Force Base this afternoon, after making the short flight to Delaware from Washington, to receive the body of Chief Petty Officer William ‘Ryan’ Owens

Today's journey is Ivanka's first trip on Marine One

Today’s journey is Ivanka’s first trip on Marine One

The pair exited the Oval Office to make the journey

The pair exited the Oval Office to make the journey

President Trump salutes a marine as he boards Marine One Wednesday afternoon from the South Lawn of the White House

President Trump salutes a marine as he boards Marine One Wednesday afternoon from the South Lawn of the White House

Marine One flew with a decoy and support helicopters to Dover Air Force 

Marine One flew with a decoy and support helicopters to Dover Air Force

Ivanka Trump leaves her home in Washington D.C. on Wednesday lunchtime

Ivanka Trump leaves her home in Washington D.C. on Wednesday lunchtime

She met her father at the White House and they rode together on Marine One to Dover

She met her father at the White House and they rode together on Marine One to Dover

SEAL Team 6 is the US Navy’s special forces team that gained worldwide fame for killing Osama bin Laden.

Dover AFB is traditionally the arrival point for service members killed in action.

Obama’s first trip to Dover was on Oct. 29, 2009, nine months into his administration.

He received 18 American soldiers who were killed in Afghanistan. He reflected several hours later, in Oval Office remarks on the toll of war. ‘It is something that I think about each and every day,’ he stated.

The U.S. president was back at Dover again two years later, in 2011, to receive the remains of 30 soldiers who died in Extortion 17, a helicopter mission in Afghanistan that resulted in the most American military casualties in a single day since the beginning of the war on terror.

The Sunday raid that resulted in the death of Owens involved ‘boots on the ground’ at an AQAP near al Bayda in south central Yemen, officials confirmed in a statement to NBC news.

White House Press Secretary Sean Spicer was visibly affected by the tragedy as he addressed it in his daily briefing with reporters before Trump’s trip to Dover.

The president’s spokesman admitted that the raid was not a ‘100 percent success.’

‘I think it’s hard to ever say something was successful when you lose a life,’ Spicer said.

The White House official said Owens deployed 12 times ‘because he loved his country and he believed in the mission.’

Spicer said that 14 AQAP members were killed and U.S. forces gained ‘an unbelievable amount of intelligence’ in the raid ‘that will prevent potential deaths or attacks on American soil.’

‘You never want to call something a success 100 percent when someone is hurt or killed and that was the case here. But I think when you recognize that an individual like this loved this country so much and deployed over and over again because he knew the mission that he was conducting was so important to our protection, our freedom, our safety.’  

Ivanka has been filling in for some traditionally first lady roles with Melania in New York

Ivanka has been filling in for some traditionally first lady roles with Melania in New York

The First Lady is in New York until at least June, leaving Ivanka to fill the role

The First Lady is in New York until at least June, leaving Ivanka to fill the role

Marine One with US President Donald Trump and Ivanka on board, just before it lands at Dover Air Force Base

Marine One with US President Donald Trump and Ivanka on board, just before it lands at Dover Air Force Base

Ivanka's husband, Senior Adviser Jared Kushner, and White House Chief of Staff Reince Priebus and Vice President Mike Pence watched from the Rose Garden as they left

Ivanka’s husband, Senior Adviser Jared Kushner, and White House Chief of Staff Reince Priebus and Vice President Mike Pence watched from the Rose Garden as they left

An eight-year-old, Nora, killed in the raid was the daughter of Anwar al-Awlaki (pictured), an American al Qaeda leader, born in New Mexico, who was killed in a US strike ordered by President Obama five years ago

An eight-year-old, Nora, killed in the raid was the daughter of Anwar al-Awlaki (pictured), an American al Qaeda leader, born in New Mexico, who was killed in a US strike ordered by President Obama five years ago

Anwar al-Awlaki’s daughter killed in first Trump sanctioned raid

Owens’ wife, Karen, stressed in her conversation with the president that while it is ‘an unbelievably sad and emotional time for her and her family that he loved doing this.’

‘And so again, I don’t think you ever call anything 100 percent success, but what he did for this nation and what we got out of that mission, I think, I truly believe and I know the president believes is going to save American lives.’

The eight-year-old who was killed in the raid, Nora, was the daughter of Anwar al-Awlaki, an American-born al Qaeda leader, born in New Mexico, who was killed in a U.S. strike Obama ordered five years ago.

Al-Awlaki was killed by a drone on September 30, 2011 after the Justice Department approved the strike in a memorandum that was not disclosed until 2014.

The memo said: ‘We do not believe that al-Awlaki’s US citizenship imposes constitutional limitations that would preclude the contemplated lethal action.’

United States intelligence officiers believed that al-Awaki was a potential successor to Osama Bin Laden.

Defense Secretary James Mattis said of Owens in a statement, ‘Ryan gave his full measure for our nation, and in performing his duty, he upheld the noblest standard of military service.’

This was the president's first clandestine strike, and not one that was originally ordered by former President Obama. It involved 'boots on the ground' at an al Qaeda Camp near al Bayda in south central Yemen (pictured)

This was the president’s first clandestine strike, and not one that was originally ordered by former President Obama. It involved ‘boots on the ground’ at an al Qaeda Camp near al Bayda in south central Yemen (pictured)

Nora’s grandfather, Nasser al-Awlaki, is Yemen’s former agriculture minister. He told NBC news, ‘My granddaughter was staying for a while with her mother, so when the attack came, they were sitting in the house, and a bullet struck her in the neck at 2:30 past midnight. Other children in the same house were killed.’

He said she died two hours after being shot.

Mr. al-Awlaki said hte SEALS ‘entered another house and killed everybody in it, including all the women. They burned the house. There is an assumption there was a woman from Saudi Arabia who was with al Qaeda. All we know is that she was a children’s teacher.’

Nawar al-Awlaki, also known as Nora, was among the non-combatants killed in the raid, which also resulted in the death of several Yemeni women

Nawar al-Awlaki, also known as Nora, was among the non-combatants killed in the raid, which also resulted in the death of several Yemeni women

The girl’s mother survived, NBC says, and sustained a minor wound. Al-Awlaki’s brother-in-law, however, was killed in the raid.

An official told NBC that the raid was directed from a U.S. base in Djibouti. Officially, it was to search for ‘information that will likely provide insight into the planning of future terrorist plots’.

After American service members landed on the ground, a two-hour gun battle ensued. Some al Qaeda fighters were women, and they were among the casualties, reported the San Diego Union Tribune.

Al Qaeda has claimed that 30 civilians have died, and the Tribune reported that four other Americans were wounded in the raid and complications in the aircraft landing.

National security experts believe that the death of the girl will be used as a part of al Qaeda propaganda methods.

Trump said in December of 2015 that he wouldn’t fight a ‘politically correct war’ against ISIS. In a interivew on Fox & Friends, Trump said, ‘The other thing with the terrorists, you have to take out their families.

‘They care about their lives, don’t kid yourself. But when they say they don’t care about their lives, you have to take out their families,’ he said.

The Geneva Conventions, of which the United States is a signatory, bars the killing of civillians.

Trump, then a GOP candidate for president, reversed his position in March, saying in a statement, ‘I will use every legal power that I have to stop these terrorist enemies.

‘I do, however, understand that the United States is bound by laws and treaties and I will not order our military or other officials to violate those laws and will seek their advice on such matters.’

After Nora al-Awaki was killed in Sunday’s raid, the White House went a step further on Tuesday and Spicer unoquicivocally stated: ‘No American citizen will ever be targeted.’

One of Spicer’s deputies walked back her boss’ claim later that day. She said in a statement that the Trump administration would abide by the legal standard adopted by the Obama administration.

‘U.S. policy regarding the possible targeting of American citizens has not changed,’ Sarah Huckabee Sanders said in a statement that was reported on by Bloomberg.

Pictured: The rubble of a building destroyed by a US drone air strike that targeted suspected al Qaeda militants. The strike killed Abdulrahman al-Awlaki, son of Anwar and brother of Nora. National security experts believe that the death of the girl will be used as a part of al Qaeda propaganda methods

Pictured: The rubble of a building destroyed by a US drone air strike that targeted suspected al Qaeda militants. The strike killed Abdulrahman al-Awlaki, son of Anwar and brother of Nora. National security experts believe that the death of the girl will be used as a part of al Qaeda propaganda methods

http://www.dailymail.co.uk/news/article-4181764/Trump-receives-SEAL-Team-6-member-killed-Yemen-raid.html#ixzz4XTutqj5c

One US service member killed, 3 injured in raid on Al Qaeda in Yemen

Published on Jan 29, 2017

DEVELOPING: One U.S. service member was killed and three wounded in a raid against a group of senior Al Qaeda leaders in central Yemen, officials said.

The U.S. Central Command said in a statement Sunday that another service member was injured in a “hard landing” in a nearby location.

The aircraft used in the landing unable to fly afterward and “was then intentionally destroyed in place.”

A total of 14 fighters from Al Qaeda in the Arabian Peninsula were killed in the assault, and U.S. service members captured “information that will likely provide insight into the planning of future terror plots,” according to the military.

Yemeni security and tribal officials said the assault in central Bayda province killed three senior Al Qaeda leaders.

The surprise dawn attack killed Abdul-Raouf al-Dhahab, Sultan al-Dhahab, and Seif al-Nims, Yemeni officials said. The al-Dhahab family is considered an ally of Al Qaeda, which security forces say is concentrated in Bayda province. A third family member, Tarek al-Dhahab, was killed in a previous U.S. drone strike years ago. It was not immediately clear whether the family members were actual members of Al Qaeda.

Just over a week ago, suspected U.S. drone strikes killed three other alleged Al Qaeda operatives in Bayda province in what was the first-such killings reported in the country since Donald Trump assumed the U.S. presidency.

The tribal officials said the Americans were looking for Al Qaeda leader Qassim al-Rimi, adding that they captured and departed with at least two unidentified individuals.

Al Qaeda in the Arabian Peninsula, long seen by Washington as among the most dangerous branches of the global terror network, has exploited the chaos of Yemen’s civil war, seizing territory in the south and east.

The war began in 2014, when Shiite Houthi rebels and their allies swept down from the north and captured the capital, Sanaa. A Saudi-led military coalition has been helping government forces battle the rebels for nearly two years.

An 8-year-old American girl was killed during the SEAL Team 6 raid in Yemen

The 8-year-old daughter of American-born cleric Anwar al-Awlaki was among roughly 30 civilians who were killed during a raid carried out by US commandos Sunday in Yemen. About 14 Al Qaeda militants were killed during the operation, according to the Pentagon.

Nawar Anwar al-Awlaki, known as Nora, was shot during the raid carried out by the Navy’s SEAL Team 6 against an Al Qaeda camp,according to NBC News.

“She was hit with a bullet in her neck and suffered for two hours,” her grandfather Nasser al-Awlaki told Reuters. “Why kill children? This is the new administration. It’s very sad — a big crime.”

SEAL Chief Petty Officer William (Ryan) Owens was also killed during the hourlong gun battle, and three other American commandos were injured. An MV-22 helicopter that crash-landed had to be destroyed before the SEALs left.

“Almost everything went wrong,” a senior US military official told NBC News of the operation, which was the first clandestine strike approved by President Donald Trump.

Born in New Mexico, Anwar al-Awlaki spoke at the Capitol and the Pentagon after the 9/11 attacks but eventually left the US in 2002. The process of his radicalization accelerated after he was imprisoned in Yemen — with US encouragement — and he became a top recruiter and mentor to several Al Qaeda operatives, including Nidal Malik Hasan, who killed 13 people during the shooting at Fort Hood, Texas, in 2009, and Umar Farouk Abdulmutallab, who tried to bring down an American airliner in 2009 with explosives hidden in his underwear.

Awlaki was killed in a CIA Predator drone strike in 2011, the first time an American citizen was targeted and killed in such a way. Another US citizen, Samir Khan, who published the Al Qaeda magazine Inspire, was also killed in the strike.

About two weeks later, a US drone strike killed Awlaki’s 16-year-old son, Abdulrahman. US officials denied he was their target.

Anwar al-Awlaki’s fiery online video sermons have continued to inspire militants in the years since his death.

His daughter’s death will likely be used in militant propaganda efforts, especially since she is the second of Anwar al-Awlaki’s children killed by the US. It was not immediately clear where she was born, but having an American father would have given her automatic dual citizenship in the US and the country of her birth.

“The perception will be that it’s not enough to kill al-Awlaki — that the US had to kill the entire family,” Karen Greenberg, director of Fordham University’s Center on National Security, told NBC.

According to Middle East Monitor, the US is already being accused on social media of “assassinating children.”

http://www.businessinsider.com/awlaki-killed-seal-team-6-raid-yemen-2017-1

US soldier killed in Yemen

US servicemember killed in raid on al Qaeda in Yemen

US service member killed in raid 01:13

(CNN)A US Navy Seal died of wounds suffered during a raid in Yemen against al Qaeda — the first American combat death under President Donald Trump, US Central Command said Sunday.

Six other servicemembers also were wounded, all non-life threatening.
On Monday, the Pentagon identified the service member who was killed as Chief Petty Officer William “Ryan” Owens.
President Donald Trump on Tuesday callled Owens’ family, the White House said.
White House Press Secretary Sean Spicer described the call as a “very somber and lengthy conversation” with Owens’ wife, father and children.
“Ryan gave his full measure for our nation, and in performing his duty, he upheld the noblest standard of military service,” Defense Secretary James Mattis said.
“In a successful raid against al Qaeda in the Arabian Peninsula (AQAP) headquarters, brave US forces were instrumental in killing an estimated 14 AQAP members and capturing important intelligence that will assist the US in preventing terrorism against its citizens and people around the world,” Trump said in a statement Sunday.
“Americans are saddened this morning with news that a life of a heroic service member has been taken in our fight against the evil of radical Islamic terrorism,” he added. “My deepest thoughts and humblest prayers are with the family of this fallen service member. I also pray for a quick and complete recovery for the brave service members who sustained injuries.”
A US military official said the raid was not directed against specific individuals, but aimed at “site exploitation,” a military term to describe intelligence-gathering actions.
Sources in Yemen told CNN that three senior al Qaeda leaders were among those killed. That was later confirmed by a US official.

Donald Trump's Middle East challenges

Donald Trump’s Middle East challenges 03:06
“We are deeply saddened by the loss of one of our elite servicemembers,” Commander of US Central Command Gen. Joseph Votel said. “The sacrifices are very profound in our fight against terrorists who threaten innocent peoples across the globe.”

Ongoing civil war

Central Command said an aircraft assisting in the operation experienced a hard landing, resulting in three US troops being injured. That aircraft, which a US defense official said was a V-22 Osprey, was unable to fly after the landing and was then intentionally destroyed in place.
The US operation resulted in an estimated total of 14 members of al Qaeda in the Arabian Peninsula (AQAP) being killed and the capture of information that will likely provide insight into the planning of future terror plots.
A US defense official said the operation was authorized by Trump. The military said there were no civilian casualties as a result of the raid.
American military raids in Yemen are rare. The US did conduct several drone strikes on AQAP targets there last week.

The starving victims of Yemen's civil war

The starving victims of Yemen’s civil war 02:18
Yemeni officials told CNN that the raid took place in the Gaifa region in Yemen’s northern Baitha province.
US military officials believe AQAP is exploiting the ongoing civil war in Yemen to solidify its presence there.
Yemen is currently beset by a conflict between Houthi rebels, a minority Shia group from the north of the country, and the internationally recognized government led by President Abdu Rabbu Mansour Hadi. Saudi Arabia is leading a military intervention against the Houthis in support of the government.

http://www.cnn.com/2017/01/29/politics/us-servicemember-killed-in-raid-on-al-qaeda-in-yemen/

Story 2: Trump Administration Condemns Iran for Provacative Guided Ballistic Missile Launch and Violates United Nations Resolution —  Officially Putting Iran on Notice’ — Videos

Image result for iran missile launch January 31, 2017

Image result for iran missile launch January 31, 2017

National Security Adviser Michael Flynn: ‘As of Today, We Are Officially Putting Iran on Notice’

UN To Hold Emergency Meeting Over Iran’s Missile Tests

Netanyahu Iran missile test must not go unanswered

Alleged missile test strains Iran nuclear deal

Iran tests medium-range ballistic missile

Iran Test-Fire Of Medium-Range Missile Ends In Failure 

Published on Jan 31, 2017

According to two U.S. defense officials, Iran has test-fired a medium-range ballistic missile, the first launch of its kind since President Donald Trump took office.
According to the officials who spoke to NBC News on Monday, the United States deemed the launch to be a failure, after the missile flew more than 500 miles before crashing. The official spoke on Monday on condition of anonymity because they were not authorized to speak with the press.
The test-fire poses a challenge for Trump’s fledgling administration. During the campaign, he took several stances on the Iran nuclear deal signed by Barack Obama and other world powers in 2015. He vowed to strictly police the agreement or renegotiate it entirely.

Trump White House Puts Iran ‘On Notice’ After Missile Launch

Security adviser condemns Iran, but doesn’t specify action

U.S. national security adviser Mike Flynn speaks during the daily press briefing at the White House in Washington, D.C., on Wednesday.

U.S. national security adviser Mike Flynn speaks during the daily press briefing at the White House in Washington, D.C., on Wednesday.PHOTO: NICHOLAS KAMM/AGENCE FRANCE-PRESSE/GETTY IMAGES

WASHINGTON—The White House on Wednesday sharply condemned Iran’s recent ballistic missile test launch and accused Tehran of threatening the U.S. allies in the region, and warned of unspecified consequences.

“As of today, we are officially putting Iran on notice,” national security adviser Michael Flynn told reporters during a daily press briefing.

Mr. Flynn said the latest missile test was a violation of a United Nations Security Council resolution. He said similar actions by Iran in the past six months weren’t met with a sufficiently stern U.S. response and that President Donald Trump’s administration would take a tougher approach to blunt Tehran’s “destabilizing influence.”

“Iran is now feeling emboldened,” Mr. Flynn said.

White House officials declined to elaborate on what Mr. Flynn meant by his warning to Iran, but Mr. Trump has a number of options, including new sanctions. There is bipartisan support in Congress for additional sanctions, some of which were opposed by former President Barack Obama because he said they would violate the 2015 international deal with Iran to restrain its nuclear program in exchange for sanctions relief.

Mr. Flynn’s declaration came as Defense Secretary Jim Mattis heads to Asia for his first overseas trip and on the day Mr. Trump’s nominee for secretary of State, Rex Tillerson, has been confirmed.

The test launch was the first Iran has conducted since Mr. Trump took office almost two weeks ago, and the White House’s rhetoric suggested the two countries are headed for an early confrontation.

Mr. Trump staked out an antagonistic stance toward Tehran during the presidential campaign, and Iran was among seven Muslim-majority countries whose citizens he barred from the U.S. in an executive order Friday, calling it a needed move to keep terrorists from entering the country.

https://www.wsj.com/articles/trump-white-house-puts-iran-on-notice-after-missile-launch-1485979767

Khamenei ally says useless for U.S. to threaten Iran over missile test: Fars

By Parisa Hafezi
Reuters February 2, 2017

ANKARA (Reuters) – A top adviser to Supreme Leader Ayatollah Ali Khamenei said on Thursday Iran will not yield to “useless” U.S. threats from “an inexperienced person” over its ballistic missile program.

U.S. President Donald Trump’s national security adviser, Michael Flynn, said on Wednesday the United States was putting Iran on notice over its “destabilizing activity” after it test-fired a ballistic missile.

Trump echoed that language on Thursday, saying in a tweet “Iran has been formally put on notice” after his administration said it was reviewing how to respond to the launch that Iran said was solely for defensive purposes.

Iran said on Wednesday it had tested the new ballistic missile but said it did not breach a nuclear deal reached with six major powers in 2015 or a U.N. Security Council resolution that endorsed the accord.

“This is not the first time that an inexperienced person has threatened Iran … the American government will understand that threatening Iran is useless,” Ali Akbar Velayati said, without identifying any U.S. official specifically in his comments.

“Iran does not need permission from any country to defend itself,” he was quoted as saying by the semi-official Fars news agency. Khamenei is the country’s most powerful figure.

A U.S. official said Iran had test-launched the medium-range ballistic missile on Sunday and it exploded after traveling 630 miles (1,010 km). Iran said it had been a successful launch.

A series of tests conducted by Iran’s elite Revolutionary Guards Corps (IRGC) in 2016 caused international concern, with some powers saying any launch of nuclear-capable ballistic missiles would violate U.N. Security Council resolution 2231.

NUCLEAR DEAL

The IRGC maintains an arsenal of dozens of short and medium-range ballistic missiles – the largest in the Middle East, according to the London-based International Institute for Strategic Studies.

Under the nuclear agreement, most U.N. sanctions were lifted a year ago. But Iran is still subject to an U.N. arms embargo and other restrictions, which are not technically part of the deal.

Trump has frequently criticized the Iran nuclear deal, which restricts Tehran’s nuclear activities in exchange for the lifting of the sanctions, calling the agreement weak and ineffective. He tweeted on Thursday that Iran “should have been thankful for the terrible deal the U.S. made with them”.

Iran’s Defence Minister Hossein Dehghan told the semi-official Tasnim news agency on Thursday: “The missile test on Sunday was successful … the test was not a violation of a nuclear deal with world powers or any U.N. resolution.”

German newspaper Die Welt, citing unspecified intelligence sources, reported on Thursday that Iran had tested a home-made cruise missile called “Sumar” that is capable of carrying nuclear weapons.

Tasnim news agency two years ago published pictures of the Sumar missile, reporting that it was successfully test-fired.

While Iran says its missile program is aimed at displaying the country’s “deterrent power and its ability to confront any threat”, some IRGC commanders have said that Iran’s medium-range ballistic missiles were designed to be able to hit Israel.

Iran refuses to recognize Israel.

https://ca.news.yahoo.com/top-khamenei-ally-says-useless-u-threaten-iran-112949295.html

Story 3: Yemen Houthis Rebels Destroy Saudi Missile Frigate — Videos

Image result for map of yemen who controls area

Image result for saudi frigate damages y yemen rebels

Image result for saudi frigate damages y yemen rebels

Houthis Destroy Saudi Navy War Ship

Saudi Frigate Attacked by Houthi Rebels

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Why Do Saudi Arabia And Iran Hate Each Other?

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YEMEN UPDATE 30 01 2017 RISKING FAMINE!

When Houthis attack | January 2017 | Yemen – Saudi Arabia

EXCLUSIVE: Pentagon believes attack on Saudi frigate meant for US warship

Suicide bomb attack may have been meant for American warship

The Iranian-backed suicide attack targeting a Saudi frigate off the coast of Yemen on Monday may have been meant for an American warship, two defense officials told Fox News.

The incident in question occurred in the southern Red Sea and was carried out by Iranian-backed Houthi rebels. Two Saudi sailors were killed and three were wounded. At first the ship was thought to have been struck by a missile.

US OFFICIALS: IRAN CONDUCTS BALLISTIC MISSILE TEST

But based on new analysis of a video showing the attack, American intelligence officials now believe this was, in fact, a suicide bomber whose small boat rammed the side of the Saudi vessel.

In the audio heard on the video, a voice narrating the attack shouts in Arabic, “Allahu akbar [God is great], death to America, death to Israel, a curse on the Jews and victory for Islam.”

ISLAMIC BODY CALLS TRAVEL RESTRICTIONS A ‘GRAVE CONCERN’

U.S. defense analysts believe those behind the attack either thought the bomber was striking an American warship or that this was a “dress rehearsal” similar to the attack on the USS Cole, according to one official.

The attack, near the Bab al Mandab Strait connecting the Red Sea to the Gulf of Aden, occurred in the same area where U.S. Navy warships came under missile attack in October.

An American destroyer shot down those incoming missiles — the first successful engagement in combat using an American SM-2 missile.

USS Nitze, an American destroyer, retaliated soon after, launching Tomahawk missiles on October 13 at multiple Houthi radar sites in Yemen.

This latest incident came a day after President Trump spoke by phone with the Saudi King to discuss setting up safe zones for refugees in Syria and Yemen. Senior U.S. defense officials who spoke with Fox News say they’re concerned by this latest incident, but are confident American warships can defend themselves.

The United States has supported a Saudi-led air campaign against the Houthi rebels in Yemen since 2015.

Lucas Tomlinson is the Pentagon and State Department producer for Fox News Channel. You can follow him on Twitter: @LucasFoxNews

Jennifer Griffin currently serves as a national security correspondent for FOX News Channel . She joined FNC in October 1999 as a Jerusalem-based correspondent. You can follow her on Twitter at @JenGriffinFNC.

http://www.foxnews.com/world/2017/01/31/exclusive-pentagon-believes-attack-on-saudi-frigate-meant-for-us-warship.html

Yemen conflict: Rebels in deadly attack on Saudi warship

  • 31 January 2017
Media captionRebel-controlled al-Masira TV broadcast what it said was footage of the attack on the Saudi warship

The Saudi-led coalition battling Yemen’s Houthi rebels says two crew members have been killed in an attack on one of its warships in the Red Sea.

A coalition statement said three Houthi “suicide boats” had approached a Saudi frigate west of Hudaydah on Monday.

One of the boats collided with the rear of the frigate and exploded, causing a fire, the statement added.

However, a rebel-controlled news agency cited a source as saying the warship had been hit by a guided missile.

In October, the Houthis were accused of firing missiles at a US warship and a civilian logistics ship chartered by the military of the United Arab Emirates.

The US-backed coalition has fought the rebels since March 2015, when they forced Yemen’s internationally recognised President Abdrabbuh Mansour Hadi into exile.

More than 10,000 people have been killed and 40,000 wounded since then, according to the UN.

Grey line
Grey line

Warships have been deployed in the Red Sea and Gulf of Aden as part of what the coalition says is an operation to stop the Houthis receiving weapons from Iran, which backs the rebels but denies providing military support.

“A Saudi frigate came under a terrorist attack by three suicide boats belonging to the Houthi militias while on patrol west of the port of Hudaydah,” the official Saudi Press Agency quoted the coalition statement as saying.

Map of Yemen

“The Saudi ship dealt with the boats as necessary. However, one of the boats collided with the rear of the vessel, resulting in the explosion of the boat and a fire at the rear of the ship. The crew extinguished the fire,” it added.

“Two members of the ship crew fell as martyrs and three others were injured.”

The Houthi-controlled Saba news agency cited a military source as confirming a warship had been targeted off western Yemen on Monday. But the source said the vessel had been hit by a guided missile as it tried to approach the coast.

Newly-recruited Houthi fighters chant slogans as they ride a military vehicle in Sanaa on 3 January 2017Image 

Image captionThe Houthi rebel movement said its fighters had fired a guided missile at the warship

Yemeni pro-government forces outside the Red Sea port of Mocha on 20 January 2017
Image captionPro-government forces are also attempting to advance up Yemen’s Red Sea coast

“The targeting of this warship comes within the framework of the legal right of Yemen to defend the homeland and its sovereignty,” the source added.

Coalition and pro-government forces are also currently attempting to advance up the west coast in an attempt to drive the rebels out of Hudaydah and other ports.

The coalition warned that the Houthis’ use of Hudaydah “as a launching pad for terrorist operations is a serious development that would affect the international navigation and the flow of humanitarian and medical assistance into the port”.

The coalition’s naval blockade and the wider conflict have caused a humanitarian crisis in Yemen, leaving more than seven million people severely food insecure.

http://www.bbc.com/news/world-middle-east-38808345

Houthis

From Wikipedia, the free encyclopedia
For other uses, see Ansar Allah.
Houthis
الحوثيون
Participant in Houthi insurgency in Yemen, the Yemeni Revolution, and the Yemeni Civil War
Houthis emblem.svg

Houthi flag reading God is Great, Death to America, Death to Israel, Curse on the Jews, Victory to Islam. (See here for further explanation)
Active 1994–present
(armed since 2004)
Ideology Zaydi Revivalism[1]
Anti-imperialism[2][3][4]
Anti-Zionism[4]
Antisemitism[5] (officially rejected)[6]
Groups Houthis, allied Zaidi tribes in Sa’dah
Leaders
Headquarters Sa’dah, Yemen
Area of operations
Strength 29,000 (2011)[7][8]
Allies State allies

Non-state allies

[14]

Opponents State opponents

Non-state opponents

Battles and wars Houthi insurgency in Yemen

Yemeni Civil War

The Houthis (Arabic: الحوثيون‎‎ al-Ḥūthiyyūn IPA: [ħuːθijuːn]), officially called Ansar Allah (anṣār allāh أنصار الله “Supporters of God”), is a Zaidi Shia-led religious-political movement that emerged from Sa’dah, northern Yemen in the 1990s and has fought against the government of the ousted president Ali Abdullah Saleh on and off since 2004. In late 2014, Houthis fixed their relationship with the ousted president Ali Abdullah Saleh, and with his help, Houthis took control of the capital and much of the north.[22]

Like many of Iranian-backed military militia such as Hezbollah, the Houthi movement attracts its Zaidi-Shia followers in Yemen by promoting regional political-religious issues in its media, including the overarching US-Israeli conspiracy and Arab “collusion”.[23][24] In 2003, the Houthi’s slogan “God is great, death to the US, death to Israel, curse the Jews, and victory for Islam”, became the group’s trademark.[24] Beside, the movement claims that it has some local-political agenda such as ending the economic under-development, political marginalization in Yemen, as well as seeking autonomy in only the areas where they are predominant not all of Yemen.[25] Tension between the Houthis and the central government steadily grew in the 1990s, with war breaking out in 2004 with the group’s founder, Hussein Badreddin al-Houthi,[26] leading a rebellion against then President Ali Abdullah Saleh. The group is now led by Abdul-Malik al-Houthi, brother of the first leader, who was reportedly killed by Saleh’s Yemeni army forces in 2004.[27][28]

The Houthis had some role in the 2011 Yemeni Revolution, participating in the street protests and coordinating with other opposition groups. Houthis also had joined National Dialogue Conference in Yemen which is part of the Gulf Cooperation Council Initiative. However, after they took over the government with the help from the former president Ali Abdullah Saleh, they announced their rejection of the provisions of the November 2011 Gulf Cooperation Council deal, claiming that it did not fundamentally reform governance and describe it as “a conspiracy” against them. In addition, they have also some other claims such as that it will transform the country into a federation of six regions, arguing that “it divided Yemen into poor and wealthy regions” and saw it as a blatant attempt to weaken them by dividing areas under their control between separate regions.[25]

In 2014–2015 Houthis took over the government in Sana’a with the help of the former president Ali Abdullah Saleh, and announced the fall of the current government of Abd Rabbuh Mansur Hadi.[29] Houthis have gained control of most of the north part of Yemen’s territory and are currently resisting the Saudi-led military intervention in Yemen that claims seeking to restore the internationally-recognized Yemeni government[30] to the power. Houthis, Saleh forces, Yemen’s government, and the forces of Saudi Arabian-led coalition, have been attacked by the Islamic State militant group.[31][32]

Contents

 [show] 

History

Current territorial situation in Yemen. Houthi forces are shown in green.

The Houthis belong to the Shia tribesmen of North Yemen who are renowned among Yemeni tribes for their ruggedness, sharpshooting abilities, honour, and bravery in combat. This is while they are also disregarded as being ignorant or backward, by more metropolitan Yemenis, such as Sana’anis or Adenites. They have been known for being very moderate and are the closest to Sunni Islam of all the Shi’a sects.[33]

According to Ahmed Addaghashi, a professor at Sanaa University, the Houthis began as a moderate theological movement that preached tolerance and held a broad-minded view of Yemeni people.[34] Their first organization, “the Believing Youth” (BY), was founded in 1992 in Saada Governorate[33]:1008 by either Mohammed al-Houthi,[35]:98 or his brother Hussein al-Houthi.[36]

The Believing Youth established school clubs and summer camps[35]:98 in order to “promote a Zaidi revival” in Saada.[36] By 1994–1995, 15–20,000 students had attended BY summer camps. The religious material included lectures by Mohammed Hussein Fadhlallah (a Lebanese Shiite scholar) and Hassan Nasrallah (Secretary General of Lebanon’s Hezbollah Party) “[35]:99[37]

The formation of the Houthi organisations have been described by Adam Baron of the European Council on Foreign Relations as a reaction to foreign intervention: shoring up Zaidi support against the perceived threat of Saudi-influenced ideologies in Yemen and a general condemnation of the former Yemeni government’s alliance with the United States, which, along with complaints regarding the government’s corruption and the marginalisation of much of the Houthis’ home areas in Saada constituted the group’s key grievances.[38]

Although Hussein al-Houthi, who was killed in 2004, had no official relation with Believing Youth, according to Zaid, he contributed to the radicalisation of some Zaydis after the 2003 invasion of Iraq. BY-affiliated youth adopted anti-American and anti-Jewish slogans which they chanted in the Saleh Mosque in Sana’a after Friday prayers. According to Zaid, the followers of Houthi’s insistence on chanting the slogans attracted the authorities’ attention, further increasing government worries over the extent of the al-Houthi movement’s influence. “The security authorities thought that if today the Houthis chanted `Death to America’, tomorrow they could be chanting `Death to the president [of Yemen]”. 800 BY supporters were arrested in Sana’a in 2004. President Ali Abdullah Saleh then invited Hussein al-Houthi to a meeting in Sana’a, but Hussein declined. On 18 June 2004 Saleh sent government forces to arrest Hussein.[39] Hussein responded by launching an insurgency against the government but was killed on 10 September 2004.[40] The insurgency continued intermittently until a ceasefire agreement was reached in 2010.[34]

The Houthis participated in the 2011 Yemeni Revolution, as well as the ensuing National Dialogue Conference (NDC).[41] However, they rejected the provisions of the November 2011 Gulf Cooperation Council deal on the ground that “it divide[d] Yemen into poor and wealthy regions” and also in response to assassination of their representative at NDC.[42][43]

As the revolution went on, Houthis gained control of greater territory. By 9 November 2011, Houthis were said to be in control of two Yemeni governorates (Saada and Al Jawf) and close to taking over their third governorate (Hajjah),[44] which would enable them to launch a direct assault on Yemeni capital Sana’a.[45] In May 2012, it was reported that the Houthis controlled a majority of Saada, Al Jawf, and Hajjah governorates; they had also gained access to the Red Sea and started erecting barricades north of the capital Sana’a in preparation for more conflict.[46]

Yemen’s former president Ali Abdullah Saleh has openly allied with Houthis

By 21 September 2014, Houthis were said to control parts of the Yemeni capital, Sana’a, including government buildings and a radio station.[47]While control of the capital expanded to the rest of Sana’a, as well as other towns such as Rada’, control was strongly challenged by Al-Qaeda. It was believed by the Gulf States that the Houthis had accepted aid from Iran while Saudi Arabia was aiding their Yemeni rivals.[48]

On 20 January 2015, Houthi rebels seized the presidential palace in the capital. President Abd Rabbuh Mansur Hadi was in the presidential palace during the takeover but was not harmed.[49] The movement officially took control of the Yemeni government on 6 February, dissolving parliament and declaring its Revolutionary Committee to be the acting authority in Yemen.[29] On 20 March 2015, The al-Badr and al-Hashoosh mosques came under suicide attack during midday prayers. The Islamic State of Iraq and the Levant quickly claimed responsibility. The blasts killed 142 Houthi worshippers and wounded more than 351, making it the deadliest terrorist attack in Yemen’s history.[50]

In a televised speech on 22 March, Houthi leader Abdul Malik al-Houthi accused the US and Israel of supporting the terrorists attacks. He blamed regional Arab states for financing terrorist groups operating inside Yemen.[51] On 27 March 2015, in response to perceived Houthi threats to Sunni factions in the region, Saudi Arabia along with Bahrain, Qatar, Kuwait, UAE, Egypt, Jordan, Morocco, and Sudan led a gulf coalition airstrike in Yemen.[52] The military coalition includes the United States which is helping with the planning of air strikes, as well as logistical and intelligence support.[53]

According to a 2015 September report by Esquire magazine, the Houthis, once the outliers, are now one of the most stable and organised social and political movements in Yemen. The power vacuum created by Yemen’s uncertain transitional period has drawn more supporters to the Houthis. Many of the formerly powerful parties, now disorganised with an unclear vision, have fallen out of favour with the public, making the Houthis — under their newly branded Ansar Allah name — all the more attractive.[4]

Membership and support

Ansar Allah fighters in Yemen, August 2009.

There is a difference between the al-Houthi family, which has about 20 members[35]:102 and the Houthi movement, which took the name “Houthi” after the death of Hussein Badreddin al-Houthi in 2004.[citation needed]

The Houthis avoid assuming a singular tribal identity. Instead, the group strategically draws support from tribes of the northern Bakil federation, rival to the Hashid federation which had been a traditional ally of the ousted central government. The Houthis’ lack of centralised command structure allows them to generate immense support, as Yemenis from diverse backgrounds have joined their cause.[54]

Membership of the group had between 1,000 and 3,000 fighters as of 2005[55] and between 2,000 and 10,000 fighters as of 2009.[56] In 2010, the Yemen Post claimed that they had over 100,000 fighters.[57] According to Houthi expert Ahmed Al-Bahri the Houthis had a total of 100,000-120,000 followers, including both armed fighters and unarmed loyalists.[58]

As of 2015, the group is reported to have managed to pick up swaths of new supporters outside their traditional demographics.[38] [59] On 5 February 2016, Iranian TV named PressTV reported that Men of Hamdan, one of Yemen’s most powerful tribes, rallied to the north of the capital, Sana’a, vowing to provide support in the form of potential mobilisation for the country’s fighters resisting the current elected Yemeni government. In a gathering held in the capital, hundreds of tribesmen from the southern parts pledged union against what they described as a U.S.-Israeli initiative targeting the country, which was being implemented by Saudi Arabia.[60]

Ideology

Houthis belong to the Zaidi branch of Islam, also known as Fivers, a sect of Islam almost exclusively present in Yemen.[61]

Zaydis make up about 45 percent of the population, Sunnis make up 53 percent, and there are also tiny minorities of Muslims who are members of other Shia sects — the Ismaili and Twelver communities. Al-Houthi Zaydis are estimated to make up about 30 percent of the population, according to Hassan Zaid, secretary-general of the al-Haq opposition party. The Zaydis ruled Yemen for 1,000 years up until 1962. During this time they ferociously defended their independence and fought off foreign powers (Egypt, the Ottomans) who controlled lower Yemen and tried to extend their rule to the north.[39]

Similar to Shia Muslims in matters of religious law and rulings, the Houthi belief in the concept of an Imamate as being essential to their religion makes them distinct from Sunnis.[62] As of 2014 it has been observed that “The Houthi group’s approach is in many ways similar to that of Hizbollah in Lebanon. Similarly religiously based and Iran-backed, both groups follow the same military doctrine and glorify the Khomeini revolution in Iran”.[63]

As a consequence, the Houthis have regularly been accused, even by many fellow Zaidis, of secretly being converts or followers of the Twelver sect, which is the official religion of their ally and backer Iran.[61][64][65][66]

Ethnoreligious groups in 2002. ZaidiShia followers make up over 42% of Muslims in Yemen.[67]

The Houthis have asserted that their actions are to fight against the expansion of Salafism in Yemen,[64] and for the defence of their community from discrimination, whereas the Yemeni government has in turn accused the insurgents of intending to overthrow the regime out of a desire to institute Zaidi religious law,[68] destabilising the government and stirring anti-American sentiment.[69][70] The Yemeni government has also accused the Houthis of having ties to external backers, in particular the Iranian government.[71] In turn, the Houthis have countered with allegations that the Yemeni government is being backed by al-Qaeda and Saudi Arabia,[72][73][74] The discord has led some publishers to fear that further confrontations may lead to an all-out Sunni-Shiite war.[75]

Flag and slogan

The group’s flag reads as following: “God Is Great, Death to America, Death to Israel, Curse on the Jews, Victory to Islam“.[76] This motto is partially modelled on the motto of revolutionary Iran, which reads “Death to U.S. and death to Israel”.[77]

Some Houthi supporters stress that their ire for the U.S. and Israel is directed toward the governments of America and Israel. Ali al-Bukhayti, the spokesperson and official media face of the Houthis, tried to reject the literal interpretation of the slogan by stating that in one of his interview “We do not really want death to anyone. The slogan is simply against the interference of those governments [i.e. U.S. and Israel]”.[78] However, in the Arabic Houthi-affiliated TV and radio stations they use religious connotations associated with jihad against Israel and the US. They also call Saudi Arabia a U.S. puppet state.[24]

Charges of harassment against Jews

The Houthis have been accused of expelling or restricting some members of the ancient and impoverished rural Jews of Yemen. There have been also reports about supporters of the Houthis bullying or attacking the members of the Yemeni Jewish community.[79][6] Houthi officials, however, have denied any involvement in the harassment, asserting that under Houthi control Jews in Yemen would be able to live and operate freely as any other Yemeni citizen. “Our problems are with Zionism and the occupation of Palestine, but Jews here have nothing to fear,” said Fadl Abu Taleb, a spokesman for the Houthis. But despite insistence by Houthi leaders that the movement is not sectarian, a Yemeni Jewish rabbi has reportedly said that many Jews remain terrified by the movement’s slogan.[6] As a result, Yemeni Jews reportedly retain a negative sentiment towards the Houthis, who committed persecutions against them.[5] According to Ayoub Kara, Houthi militants had given an ultimatum telling Jews to “convert to Islam or leave Yemen”.[80]

Leaders

Hussein Badreddin al-Houthi

Motives and objectives

When armed conflict for the first time erupted back in 2004 between the Yemeni government and Houthis, the then-Yemeni President accused Houthis and other Islamic opposition parties of trying to overthrow the government and the republican system. However Houthi leaders for their part rejected the accusation by saying that they had never rejected the president or the republican system but were only defending themselves against government attacks on their community.[84] Zaidi Shi’ites compose one-third of the population of Yemen and Houthis have often voiced the grievances of the Zaidi population.[9]

The group has also exploited the popular discontent over corruption and reduction of government subsidies.[9] According to a February 2015 Newsweek report, Houthis are fighting “for things that all Yemenis crave: government accountability, the end to corruption, regular utilities, fair fuel prices, job opportunities for ordinary Yemenis and the end of Western influence”.[85]

Hassan al-Homran, a former spokesperson for Ansar Allah, has said that “Ansar Allah supports the establishment of a civil state in Yemen. We want to build a striving modern democracy. Our goals are to fulfil our people’s democratic aspirations in keeping with the Arab Spring movement.”[86] In an interview with Yemen Times, Hussein al-Bukhari, a Houthi insider, said that Houthis’ preferable political system is a republic with elections where women can also hold political positions, and that they do not seek to form a cleric-led government after the model of Islamic Republic of Iran for “we cannot apply this system in Yemen because the followers of the Shafi (Sunni) doctrine are bigger in number than the Zaydis.”[87]

Ali Akbar Velayati, International Affairs Advisor to Supreme Iranian Leader Ayatollah Seyyed Ali Khamenei, stated in October 2014 that “We are hopeful that Ansar-Allah has the same role in Yemen as Hezbollah has in eradicating the terrorists in Lebanon”.[88]

Activism and tactics

Political

During their campaigns against the ousted Hadi government, Houthis used civil disobedience. Following the Yemeni government’s decision in 13 July 2014 to increase fuel prices,[89] Houthi leaders succeeded in organising massive rallies in the capital Sana’a to protest the decision and to demand resignation of the incumbent government of Abd Rabbuh Mansur Hadi for “state-corruption”.[90] These protests developed into the 2014-2015 phase of the insurgency. Similarly, following 2015 Saudi-led airstrikes against Houthis which claimed civilians lives, Yemenis responded to the Abdul-Malik al-Houthi‘s call and took to streets of the capital, Sana’a, in tens of thousands to voice their anger at the Saudi invasion.[91][92]

Cultural

The Houthis have also held a number of mass gatherings since the revolution. On 24 January 2013, thousands gathered in Dahiyan, Sa’dah and Heziez, just outside Sana’a, to celebrate Mawlid al-Nabi, the birth of Mohammed. A similar event took place on 13 January 2014, but this time at the main sports stadium in Sana’a. On this occasion, men and women were completely segregated: men filled the open-air stadium and football field in the centre, guided by appointed Houthi safety officials wearing bright vests and matching hats; women poured into the adjacent indoor stadium, led inside by security women distinguishable only by their purple sashes and matching hats. The indoor stadium held at least five thousand women — ten times as many attendees as the 2013 gathering.[4]

Combat and military

In 2009, US Embassy sources have reported that Houthis used increasingly more sophisticated tactics and strategies in their conflict with the government as they gained more experience, and that they fought with religious fervor and courage.[93][94]

Armed strength

Situation in March 2012

Saudi and former Yemeni officials have claimed that the Houthis have received significant support from Iran in the form of weapons, money and training since 2004, while Houthi leadership denies having received weapons or financial support from Iran.[9][95] Also, Tehran denied the allegation of Houthis arm support by Iran.[96] A December 2009 cable between Sanaa and various intelligence agencies disseminated by WikiLeaks states that US State Dept. analysts believed the Houthis obtained weapons from the Yemeni black market and corrupt members of the Republican Guard.[93] On the edition of 8 April 2015 of PBS Newshour, Secretary of State John Kerry stated that the US knew Iran was providing military support to the Houthi rebels in Yemen, adding that Washington “is not going to stand by while the region is destabilised”.[97]

Despite being less in numbers and equipment than the Saudi-led coalition, Ansar Allah managed to inflict heavy losses and destroy dozens of invading vehicles in the city of Ma’rib on 14 September 2015.[98] In addition, Ansar Allah managed to capture a Saudi soldier, Ibrahim Araj Mohammad Hakami whose confession was broadcast on Ansar Allah news channel Al-Masirah TV.[99][100][101] Recently on late 2015, Houthis announced the local production of short range ballistic missile Qaher-1 on Al-Masirah TV.[102]

Allegations of Iran’s support

Phillip Smyth of the Washington Institute on Near East Policy told Business Insider that Iran views Shia groups in the Middle East as “integral elements to the Islamic Revolutionary Guard Corps (IRGC).” Smyth confirmed to Business Insider the strong bond between Iran and the Houthi uprising working to overthrow the government in Yemen. According to Smyth, in many cases Houthi leaders go to Iran for ideological and religious education, and Iranian and Hezbollah leaders have been spotted on the ground advising the Houthi troops.These Iranian advisers are likely responsible for training the Houthis to use the type of sophisticated guided missiles fired at the US Navy.[103] For Iran, supporting the revolt in Yemen is “a good way to bleed the Saudis,” Iran’s regional and ideological rival. Essentially, Iran is backing the Houthis to fight against a Saudi-led coalition of Gulf States fighting to maintain government control of Yemen.[104]

In 2013, photographs released by the Yemeni government show the United States Navy and Yemen’s security forces seized a class of shoulderfired antiaircraft missiles not publicly known to have been out of state control.[105]

According to Saudi-owned Al Arabiya, Fars News Agency, which is the official news agency of the Iran’s Revolutionary Guards, has admitted to arming Houthis with missiles and training. The agency quoted “a prominent analyst” Seyed Sadeq al-Sharafi as saying that militias “are developing their missile power to target Riyadh and Dubai in the future, after they increased their missile and military capabilities and expanded the range of their military operations against the enemies”[106]

In April 2016, the Pentagon announced that the U.S. Navy ship stopped a massive Iranian arms shipment dead in its tracks, seizing thousands of weapons, AK-47 rifles and rocket-propelled grenade launchers that likely were headed to Yemen.[107]

Also, the ousted president Ali Abdullah Saleh, who has been in conflicts with them for 2 decades and currently allied with them, has accused Iran of supporting the Houthi many times. Saleh stated in a New York Times’ interview that “The real reason they received unofficial support from Iran was because they repeat same slogan that is raised by Iran death to America, death to Israel”. He also said “The Iranian media repeats statements of support for these Houthi elements. They are all trying to take revenge against the USA on Yemeni territories”.[23]

Allegations of human rights violations

Houthis have been accused of violations of international humanitarian law such as using child soldiers,[108][109][110] shelling civilian areas,[111] forced evacuations, executions and human shielding.[93][112] According to the Human Right Watch, Houthis have inclined up their recruitment of children in 2015. The UNICEF mentioned that children with the Houthis and other armed groups in Yemen comprise up to a third of all fighters in Yemen.[113] Human Rights Watch has further accused Houthi forces of using landmines in Yemen’s third-largest city of Taizz which has caused many civilian casualties and prevent the return of families displaced by the fighting.[114] HRW has also accused the Houthis of interfering with the work of Yemen’s human rights advocates and organizations.[115]

The Yemen Times reported that most children working for the Houthis are not combatants.[109]

An HRW researcher, quoted in 2009 US embassy report, has downplayed the repeated allegations by the former government of Yemen accusing the Houthis of using civilians as human shields, by saying that they did not have enough evidence to conclude that the Houthis have been intentionally using civilians as human shields.[93][94]

Governance

According to the 2009 US Embassy cable leaked by WikiLeaks, Houthis have reportedly established courts and prisons in areas they control. They impose their own laws on local residents, demand protection money, and dispense rough justice by ordering executions. AP‘s reporter, Ahmad al-Haj argued that the Houthis were winning hearts and minds by providing security in areas long neglected by the Yemeni government (currently ousted) while limiting the arbitrary and abusive power of influential sheikhs. According to the Civic Democratic Foundation, Houthis help resolve conflicts between tribes and reduce the number of revenge killings in areas they control. The US ambassador believed that the reports that explain Houthi role as arbitrating local disputes were more likely than the sinister[unbalanced opinion] suggestions.[93][94]

Areas under administration

Map last updated 30 January 2015

The Houthis exert de facto authority over the bulk of North Yemen. North Yemen was united with South Yemen in 1990; the Yemen government has repeatedly suppressed separatist protests by force.[116] The Houthis’ direct administration includes the following territories:

https://en.wikipedia.org/wiki/Houthis

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