> From:          Robert Cherry <[EMAIL PROTECTED]>
> Subject:       [PEN-L:8387] Re: BalBudget Ad

> 1. Is it polyanish to believe that a real full employment statement that says 
> it is reasonable to accept some modest inflationary increase if it means jobs 
> and raises for working people could be adopted by the AFL-CIO leadership and 
> similar resolutions by many local unions and chapters of other organization?

No.  The question is why anybody else would pay 
attention.  There are plans at the AFl-CIO for 
economics education for trade union members where 
such ideas will be fully motivated.  The problem 
is one of politics:  how to push such a view 
beyond the faithful, although the problem of 
first gathering the faithful should not be 
glossed over.  We've often heard union leaders 
saying, in all sincerety, 'well we do have to 
balance the budget.'  There is a major 
educational problem among the most likely 
progressive forces, which is logically where we 
would start.

> 2. Is the political period over where grassroot organizations and union 
> chapters try to mobilize around some mass issue? 

I don't think so.  Now should be the best time,
when the BBA and its threats to employment
and economic security are most great.

The question is how prepared grassroots groups
are to take up this issue.  As mentioned, the 
process within the labor movement is already
underway.  We have a long way to go on many
fronts.
 
> 3. If Sweeney is worth anything, why wouldn't he want to have a mass 
> mobilization around Real Full Employment?  Is it foolish to think that having 
> a real Labor Day next September when in every city the unions have a 
> mobilization with other groups around real full employment is impossible?  

I wouldn't be surprized if something like this 
did come off at some point.  Now isn't the best 
time.  We are reduced to saying let's mobilize
because unemployment could be a percent
(or two) less.  Not very blood-curdling.  The
time to ring that bell is when UE is over seven
and the govt is visibly reluctant to do anything.
Then the exposure available makes it possible
to press for a policy of 'probing' to push UE
down below five percent and beyond.

> Isn't it possible for EPI to be a catalyst for some of this?

I think so.  Right now all the buckets are being 
filled to douse the BBA fire.  If BBA passes the
House and Senate, this whole thing will be
replayed in state legislatures.

I just did a radio debate with Jim Miller (Reagan
OMB chief) and was reminded of the power of
the simple premise 'neither a borrower nor
lender be.'  (That was about the limit of the
economic wisdom he had to impart.)  My proposal
to fight this popular delusion is to emphasize 
three things the govt must do, for which budgets 
and their deficits are merely a tool:  full 
employment, public investment, and economic 
security, all of which are impossible under 
balanced budgets.  The public supports these 
missions more than mere budget balance.  It just 
doesn't understand their connection.  I'm in the
minority in this view on the left; the dominant 
tactic is to oppose the amendment and pay lip 
service to the priority of budget balance, not to
mention those others on the left who propose to 
balance the budget "progressively."

People outside the beltway can probably have more 
impact here than EPI, since we deal with people 
who deal with members of congress whose views 
depend on public opinion.  So the people we deal 
with don't want to try to sell something to a 
Member that the Member is not interested in. 
 In contrast, for those that deal with real 
constituency organizations, there is the 
opportunity to raise these issues before those 
who are less constrained by the need to ape
public opinion and conventional wisdom.

The big exception is the labor movement, where
I am confident at this point a well-founded view
of this issue will be energetically propagated in
planned educational activities.  Another 
important pole of activity is what should be 
called the 'teach-in movement,' namely efforts by 
various people and groups to revive mass campus 
gatherings where dangerous minds can hold forth.
I just hope the organizers of the latter affairs 
do not prove reluctant to involve economists
of the EPI stripe, as well as the PEN-L.

MBS


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