Art Pulaski Calls for More Regulation in the Financial Sector

In an Interview, Art Pulaski of the California Federation of Labor called for more regulation of the Financial Sector in the Obama Administration. Taken from the California Inaugural Gala, January 18th, 2009.

Today at Talk Radio News

White House Correspondent Lovisa Frost will attend today's White House briefing. Pentagon Correspondent Dawn Casey will cover a briefing live from Iraq by Army Col. John Hort, commander of the 3rd Brigade Combat Team, 4th Infantry Division.

The Washington Bureau will also be covering The American Federation of Teachers President Randi Weingarten's address on "After the Election: Making the Right Choices for Education and the Economy," an event held by the U.S. Chamber of Commerce to announce an energy transition plan for President-elect Obama, an address by Senate Energy and Natural Resources Chairman Jeff Bingaman (D-N.M.) on "Energy Priorities for the Next Congress," and the Senate Finance Committee's hearing on the nomination of Neil Barofsky, assistant U.S. attorney in the Southern District of New York, to be Special Inspector General of the Troubled Assets Relief Program.

U.S. health care could learn a few things from foreign health care systems

Thomas Bjorn Zeltner, Director-General of the Swiss Federal Office of Public Health, said an important step for U.S. health care reform was to develop "a long term vision, you need a long term consensus on where to go." He added that a long term consensus is something "I don't think you have right now." He said it was important to "plan for 20 years ahead."

At a briefing held by the Alliance of Health Reform, Zeltner also felt that it was important to "reduce the number of uninsured" as well as the "underinsured." He felt that drastic reform can be difficult on a national level, but individual state reforms can be "easier."

While the briefing highlighted the health care systems from Germany, Switzerland, and the Netherlands, Senior Fellow at the National Opinion Research Center at the University of Chicago Michael O'Grady said that health care is "not really a foreign policy competition." According to O'Grady, the U.S. should look at the successes and failures of other health care systems, but "some is transferrable, some is not."

Mark McClellan, Director of the Engelberger Center for Health Care Reform at the Brookings Institution, said that there is "a common growing interest in addressing the quality of care." He felt one sticking point in the minds of citizens was that of "provider payment." He stated that many people in the U.S. want payment based on "value" rather than "fee for service."

Diana Monissen, Director General for Curative Care of the Dutch Ministry of Health, said that the Netherlands had drastic health care reform in 2006. She said that currently in the Netherlands, basic health coverage is required by law. She also stated that risk adjustment for high risk patients. She said that their new universal health care has created "a healthier society." She felt that "sometimes you really need a big step" on health care reform.

Robert Leu, Head of the Department of Economics at the University of Bern, Switzerland, stated that the Swiss health care system is "highly decentralized" and requires "hardly any financing from federal levels." He claimed that all people in Switzerland have "equal access to care" and insurance companies "have to accept anyone."

Reinhard Busse, Professor and Department Head for Health Care Management at the Berlin University of Technology, Germany, {added to the discussion by looking at the aspect of people paying a fixed percentage of their wage towards the social health care system. He added that 85 percent of people in Germany have social health insurance as opposed to only 10 percent who have private health insurance. He added that the social system provides "access to all borrowers." He also said that individual hospitals have to report on their quality of care, so people can "compare hospitals."

The briefing was concluded by Robin Osborn, Vice President and Director of the Commonwealth Fund's International Program in Health Policy and Practice, who said that their survey showed that one third of Americans felt the U.S. health care system "should be completely rebuilt."

Congressional committee stresses the importance of reducing foreclosures

Rep. Barney Frank (D-Mass.), Chairman of the House Financial Services Committee, said he has seen “encouraging signs,” in efforts to reduce foreclosures in the U.S. During a Financial Services Committee hearing today, Frank said it would be very important to the economy to reduce foreclosures and to use the rescue plan to put money into the economy.

Chairman Frank stated that taxpayer dollars wouldn’t be used to help others “pay their mortgages,” believing there was “zero likelihood” that that would happen. Frank also felt that decisions on the housing crisis are “unmakeable” in government currently, adding, “Someone has got to have the authority to make a decision.”

Rep. Spencer Bachus (R-Ala.) said that while the U.S. should work to reduce foreclosures, “We need to be careful to prevent all foreclosures.” Bachus stated, "If a homeowner is under water, if the house is worth substantially less than the mortgage, it is predictable that many are going to walk away from their obligation. In fact, we are seeing a good percentage of foreclosures in which the homeowner is under water and they are walking away." He added, "I don’t see any practical way of preventing that."

While Bachus agreed that the government could not allow an economic collapse, he asked “Where does it stop?” Bachus did praise government’s intervention in the crisis to this point, saying “So far, we’ve made a terrible situation better,” but advocated the need for an "exit strategy."

Rep. Paul Kanjorsky (D-Pa.) made a reference to homeowners, saying that it was important to “keep them afloat.” He added that current foreclosure rates have “decimated some communities.”

According to Rep. Randy Neugebauer (R-Texas), it is important not to “encourage borrower behavior that is not appropriate.” He did think that if dialogue between borrowers and lenders is encouraged, “there will be some effort” to keep people in their homes.

Benjamin Allensworth, Senior Legal Counsel for the Managed Funds Association, said “the wave of foreclosures has placed downward pressure on home prices, which in turn has eroded home equity and consumer confidence in the mortgage market.” He advocated “effective mortgage modifications over foreclosure whenever possible.”

Thomas Deutsch, Deputy Executive Director of the American Securitization Forum, felt that government assistance in the crisis is vital and while mortgage lenders have made efforts to prevent “avoidable foreclosures,” “Macro economic forces bearing down on an already troubled housing market are simply too strong for private sector loan modification alone to counteract the nationwide increase in mortgage defaults and foreclosures.” Deutsch felt the housing crisis could not be resolved without government assistance.

Albright: "Be patient"

Former Secretary of State Madeleine Albright discussed her new book "Memo to the President: How We Can Restore America's Reputation and Leadership" at Georgetown University. She said that unlike previous presidents, President-Elect Obama is going to "inherit the entire emergency room and patient #1 is the economy." Dr. Albright advised that Obama find a set of balances for all sorts of policies that the Bush administration has allowed to fall to extremes. She advised balance of credit lending in America, and of the government's involvement in other financial institutions. Albright also talked about a multilateral foreign policy that would make North Korea abandon their nuclear program, stop Iran from expanding theirs, begin to withdraw troops from Iraq, and end genocide in Darfur and the civil war in the Congo. She warned that America must "be patient," however, and that Obama has a lot more on his plate than many realize.