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Friday, October 2, 2020

War profiteering

From Wikipedia, the free encyclopedia

A war profiteer is any person or organization that makes unreasonable profits from warfare or by selling weapons and other goods to parties at war. The term typically carries strong negative connotations. General profiteering, making an unreasonable profit, also occurs in peacetime. An example of war profiteers were the "shoddy" millionaires who allegedly sold recycled wool and cardboard shoes to soldiers during the American Civil War. Some have argued that major modern defense conglomerates like Lockheed Martin, Boeing, BAE Systems, General Dynamics, and Raytheon fit the description in the post-9/11 era. This argument is based in the political influence of the defense industry, for example in 2010 the defense industry spent $144 million on lobbying and donated over $22.6 million to congressional candidates, as well as large profits for defense company shareholders in the post-9/11 period.

History

American Revolution

There were a number of food riots during the American Revolution against profiteering merchants, there were more than thirty riots in the period between 1776 and 1779. In 1777 a mob of Boston women beat the merchant Thomas Boylston and confiscated his stock for hoarding coffee and sugar to drive up the price. In East Hartford, Connecticut a mob of twenty women and three men took 218lbs of sugar from a Mr. Pitkin's. In Beverly, Massachusetts a mob of 60 women and some additional men forced local merchants to charge the same price for sugar in American paper money and gold coin.

Industrial Revolution

Whitney's gun factory in 1827

In 1798, American inventor Eli Whitney received a government contract to manufacture 10,000 muskets in less than two years. After failing to produce a single musket, he was called to Washington to defend his expenditure of the treasury funds before a committee that included both John Adams and Thomas Jefferson. Believing to demonstrate the ingenuity of interchangeable parts, Whitney earned widespread support and has been incorrectly credited with inventing the idea of interchangeable parts. However Merritt Roe Smith concluded that this demonstration was staged by marking the parts beforehand, so they were not as interchangeable as he made them seem. Eventually Whitney was able to accomplish his goal of 10,000 muskets with interchangeable parts at a relatively low cost in the next 8 years, and later produced more than 15,000 in the following 4 years.

Military-industrial complex

A prominent example of the impact arms-producing industries have over American policy is evident in the case of Lockheed Martin donating $75,000 to House Armed Services Committee chair Representative Mac Thornberry (R-TX). Rep. Thornberry later passed a bill through the House of Representatives that would benefit Lockheed Martin. This decision was made as a direct result of the influence of Lockheed Martin. Politico has stated Rep. Thornberry is the "highest overall recipient of contractor contributions among all of the 89 members of the House and Senate Armed Services Committees."

Contemporary manufacturing

Share of arms sales by country. Source is provided by SIPRI.

Currently, the United States is the world's largest weapons manufacturer and exporter, followed by Russia, France, Germany, China and the United Kingdom consecutively.

International arms dealers

Others make their money by cooperating with the authorities. Basil Zaharoff's Vickers Company sold weapons to all the parties involved in the Chaco War. Companies like Opel and IBM have been labeled war profiteers for their involvement with the Third Reich. In the case of IBM they developed technologies that were used to count, catalog, and select Jewish people whom could then be targeted for efficient asset confiscation, consolidation in ghettos, deportation, enslaved labor, and, ultimately, annihilation.

Commodity dealers

War usually leads to a shortage in the supply of commodities, which results in higher prices and higher revenues. When it comes to supply and demand in terms of economics, profit is the most important end. During war time, "war-stuff" is in high demand, and demands must be met. Prior to the invasion of Iraq in 2003, oil production was controlled by the Iraqi government, and was off limits to Western companies. As of 2014, foreign owned private firms dominate Iraqi oil production.

Civilian contractors

Private military contractors, including civilian contractors, are businesses that supply weapons and training to the military, and also handle logistics and base management. While private military contractors may seem similar to mercenaries, the difference is that mercenaries operate illegally. More recently, companies involved with supplying the coalition forces in the Iraq War, such as Bechtel, KBR, Academi (formerly known as Blackwater) and Halliburton, have come under fire for allegedly overcharging for their services. The modern private military company is also offered as an example of sanctioned war profiteering. On the opposing side, companies like Huawei Technologies, which upgraded Saddam's air-defense system between the two Gulf Wars, face such accusations.

Black marketeers

A distinction can be made between war profiteers who gain by sapping military strength and those who gain by contributing to the war. For instance, during and after World War II, enormous profits were available by selling rationed goods like cigarettes, chocolate, coffee and butter on the black market. Dishonest military personnel given oversight over valuable property sometimes diverted rationed goods to the black market. The charge could also be laid against medical and legal professionals who accept money in exchange for helping young men and nascent politicians evade a draft.

The state

Though war initially had the objective of territorial expansion and resource gathering, the country may also profit politically and strategically, replacing governments that do not fulfill its interests by key allied governments. One example of this is the CIA supporting the Contras with weapons to carry out terror attacks against the Nicaraguan government between the late 1970s and early 1990s.

Politicians

Political figures taking bribes and favors from corporations involved with war production have been called war profiteers. Abraham Lincoln's first Secretary of War, Simon Cameron, was forced to resign in early 1862 after charges of corruption relating to war contracts. In 1947, Kentucky congressman Andrew J. May, Chairman of the powerful Committee on Military Affairs, was convicted for taking bribes in exchange for war contracts. In 1953 the United States began a covert mission to overthrow the Guatemalan government under Jacobo Arbenez. The process began with the United States labeling the government of Guatemala as a communist government. According to William Blum the reason for the United States’ intervention into Guatemala is that it was pushed by lobbyist from the United Fruit Company. The United Fruit Company had significant holdings within Guatemala and when the government decided to compete with the company this would not be accepted. Numerous officials such as President Eisenhower's Under-Secretary of State (and formerly director of the CIA) Walter Bedell Smith was a candidate for an executive position in the company while at the same time he was helping to plan the intervention. This coup was successful and the United Fruit Company was able to keep its holdings within Guatemala thus ensuring its profits were secure. This is typical of the sort of engagements that the U.S became involved in during the cold war that resulted in war profiteering.

Modern-day war profiteering among politicians has increased with the recent wars in Iraq and Afghanistan. According to an article by USA Today in 2011 the top 100 largest contractors sold 410 billion dollars’ worth of arms and services. Within this massive expense of services has evolved what is called the revolving door. This revolving door has not differentiated between the two political parties. An example of this revolving door is the case of William J. Lynn III. In 2010 he was confirmed to serve as the number two man in the Pentagon after he worked as a lobbyist for Raytheon. This example shows the process of a person joining the government, then being hired as a lobbyist, and back to government. The revolving door is still in existence to this day.

Scientific research

War provides demand for military technology modernization. Technologies originally designed for the military frequently also have non-military use. Both the state and corporations have gains from scientific research. One famous example is Siri, the artificially intelligent "personal assistant" programmed into Apple devices since October 4, 2011. Siri was a spin-off of CALO, a project funded by the government military development group, DARPA. CALO is an acronym that stands for "Cognitive Assistant that Learns and Organizes".

In the United States

Companies such as Halliburton have been criticized in the context of the Iraq War for their perceived war profiteering.

Steven Clemons, a senior fellow at the New America Foundation think tank, has accused former CIA Director James Woolsey of both profiting from and promoting the Iraq War.

The Center for Public Integrity has reported that US Senator Dianne Feinstein, who voted in favor of the Iraq Resolution, and her husband, Richard Blum, are making millions of dollars from Iraq and Afghanistan contracts through his company, Tutor Perini Corporation.

Indicted defense contractor Brent R. Wilkes was reported to be ecstatic when hearing that the United States was going to go to war with Iraq. "He and some of his top executives were really gung-ho about the war," said a former employee. "Brent said this would create new opportunities for the company. He was really excited about doing business in the Middle East."

The War Profiteering Prevention Act of 2007 intended to create criminal penalties for war profiteers and others who exploit taxpayer-funded efforts in Iraq and elsewhere around the world. This act was introduced first on April 25, 2007, but was never enacted into law. War profiteering cases are often brought under the Civil False Claims Act, which was enacted in 1863 to combat war profiteering during the Civil War.

Major General Smedley Butler, USMC, criticized war profiteering of US companies during World War I in War Is a Racket. He wrote about how some companies and corporations increase their earnings and profits by up to 1,700 percent and how many companies willingly sold equipment and supplies to the US that had no relevant use in the war effort. In the book, Butler stated that "It has been estimated by statisticians and economists and researchers that the war cost your Uncle Sam $52,000,000,000. Of this sum, $39,000,000,000 was expended in the actual war period. This expenditure yielded $16,000,000,000 in profits."

In the American Civil War, concerns about war profiteering were not limited to the activities of a few "shoddy" millionaires in the North. In the Confederacy, where supplies were severely limited, and hardships common, the mere suggestion of profiteering was considered a scurrilous charge. Georgia Quartermaster General Ira Roe Foster attempted to increase the supply of material to the troops by urging the women of his state to knit 50,000 pairs of socks. Foster's sock campaign stimulated the supply of the much needed item, but it also met with a certain amount of suspicion and backlash. Either the result of a Union disinformation campaign, or the work of suspicious minds, rumors, which Foster denied as a "malicious falsehood!", began to spread that Foster and others were profiteering from the socks.

It was alleged that contributed socks were being sold, rather than given freely to the troops. The charge was not without precedent. The historian Jeanie Attie notes that in 1861, an "especially damaging rumor" (later found to be true) had circulated in the North, alleging that the Union Army had purchased 5,000 pairs of socks which had been donated, and intended for the troops, from a private relief agency, the United States Sanitary Commission. As the Sanitary Commission had done in the North, Foster undertook a propaganda campaign in Georgia newspapers to combat the damaging rumors and to encourage the continued contribution of socks. He offered $1,000.00 to any "citizen or soldier who will come forward and prove that he ever bought a sock from this Department that was either knit by the ladies or purchased for issue to said troops."

Iraq War profiteers

One of the top profiteers from the Iraq War was oil field services corporation, Halliburton. Halliburton gained $39.5 billion in "federal contracts related to the Iraq war". Many individuals have asserted that there were profit motives for the Bush-Cheney administration to invade Iraq in 2003. Dick Cheney served as Halliburton's CEO from 1995 until 2000. Cheney claimed he had cut ties with the corporation although, according to a CNN report, "Cheney was still receiving about $150,000 a year in deferred payments." Cheney vowed to not engage in a conflict of interest. However, the Congressional Research Office discovered Cheney held 433,000 Halliburton stock options while serving as Vice President of the United States. 2016 Presidential Candidate, Rand Paul referenced Cheney's interview with the American Enterprise Institute in which Cheney said invading Iraq "would be a disaster, it would be vastly expensive, it would be civil war, we'd have no exit strategy...it would be a bad idea". Rand continues by concluding "that's why the first Bush didn't go into Baghdad. Dick Cheney then goes to work for Halliburton. Makes hundreds of millions of dollars- their CEO. Next thing you know, he's back in government, it's a good idea to go into Iraq." Another prominent critic is Huffington Post co-founder, Arianna Huffington. Huffington said, "We have the poster child of Bush-Cheney crony capitalism, Halliburton, involved in this. They, after all, were responsible for cementing the well."

In popular culture

The term 'war profiteer' evokes two stereotypes in popular culture: the rich businessman who sells weapons to governments, and the semi-criminal black marketeer who sells goods to ordinary citizens. In English-speaking countries this is particularly associated with Britain during World War II. The image of the 'businessman profiteer' carries the implication of influence and power used to actively cause wars for personal gain, rather than merely passively profit from them. In the aftermath of World War I, such profiteers were widely asserted to have existed by both the Left, and the Right.

Fictional character Lieutenant Milo Minderbinder in the novel Catch-22 has been called "perhaps the best known of all fictional profiteers" in American literature.

The Adventures of Tintin comic The Broken Ear features an arms dealer called Basil Bazarov who sells arms to both sides in a war. He is a recognisable example of this "type" and is specifically based on Basil Zaharoff.

Bertolt Brecht wrote the play Mother Courage and Her Children as a didactic indictment of war profiteering.

In the 1985 film Clue, Colonel Mustard was a war profiteer who sold stolen radio components on the black market.

The film The Third Man features a war profiteer named Harry Lime, who steals penicillin from military hospitals and sells it on the black market.

The film Lord of War is a fictional story based on the war profiteer named Viktor Bout, who illegally sold post-Soviet arms to Liberia and other nations in conflict.

The Suicide Machines released their 2005 album, entitled War Profiteering Is Killing Us All.

In the 2011 film Sherlock Holmes: A Game of Shadows, Professor Moriarty acquires shares in many military supply companies and plots to instigate a world war and make a fortune.

In the anime Yu-Gi-Oh! Duel Monsters, Gozaburo Kaiba was not known to truly do this (while considered a villain, all his known actions as an arms supplier were legit) but the villain Dartz disguised himself as Gozaburo and sold weapons to the army opposing one that the real Gozaburo was financing, making several victims of the conflict believe he was engaged in war profiting.

The song "Masters of War" by Bob Dylan is about war profiteering and the military-industrial complex.

In the film Star Wars: The Last Jedi, Finn, Rose Tico and BB-8 travel to Canto Bight, a coastal city catering to the galaxy's rich and elite. Finn is initially mesmerized by the city's glitz and glamour until Rose informs him that most of the city's inhabitants are war profiteers, having made their fortunes selling weapons and ships to the First Order and the Resistance. Also, the character of DJ shows Finn that the owner of the ship they're on made his profit selling weapons to the good guys (the Resistance) and the bad (the First Order). DJ then tells Finn that "it's all a machine" and that he should "Live free, don't join."

Elizabeth Warren

From Wikipedia, the free encyclopedia
 
Elizabeth Warren
Elizabeth Warren, official portrait, 114th Congress.jpg
Official portrait, 2016

United States Senator
from Massachusetts
Assumed office
January 3, 2013
Serving with Ed Markey
Preceded byScott Brown
Vice Chair of the Senate Democratic Caucus
Assumed office
January 3, 2017
Serving with Mark Warner
LeaderChuck Schumer
Preceded byChuck Schumer
Special Advisor for the Consumer Financial Protection Bureau
In office
September 17, 2010 – August 1, 2011
PresidentBarack Obama
Preceded byPosition established
Succeeded byRaj Date
Chair of the Congressional Oversight Panel
In office
November 25, 2008 – November 15, 2010
DeputyDamon Silvers
Preceded byPosition established
Succeeded byTed Kaufman
Personal details
Born
Elizabeth Ann Herring

June 22, 1949 (age 71)
Oklahoma City, Oklahoma, U.S.
Political partyDemocratic (1996–present)
Other political
affiliations
Republican (Before 1996)
Spouse(s)
Jim Warren
(m. 1968; div. 1978)

(m. 1980)
Children2, including Amelia
EducationUniversity of Houston (BS)
Rutgers University (JD)
Occupation
  • Politician
  • law professor
  • author
Signature
WebsiteSenate website

Elizabeth Ann Warren (née Herring; born June 22, 1949) is an American politician and former law professor (specializing in bankruptcy law) who is the senior United States senator from Massachusetts, serving since 2013. A member of the Democratic Party and a progressive, Warren has focused on consumer protection, economic opportunity, and the social safety net while in the Senate. She was a Democratic candidate in the 2020 United States presidential election.

Warren is a graduate of the University of Houston and Rutgers Law School and has taught law at several universities, including the University of Houston, the University of Texas at Austin, the University of Pennsylvania, and Harvard University. She was one of the most influential professors of bankruptcy law before beginning her political career. Warren has written 11 books and more than 100 articles.

Her first foray into public policy began in 1995, when she worked to oppose what eventually became a 2005 act restricting bankruptcy access for individuals. During the late 2000s, Warren's national profile grew following her forceful public stances in favor of more stringent banking regulations after the financial crisis of 2007–08. She served as chair of the Congressional Oversight Panel of the Troubled Asset Relief Program, and she proposed and established the Consumer Financial Protection Bureau, for which she served as the first special advisor under President Barack Obama.

In 2012, Warren defeated incumbent Republican Scott Brown and became the first female U.S. senator from Massachusetts. She won reelection by a wide margin in 2018, defeating Republican nominee Geoff Diehl. On February 9, 2019, Warren announced her candidacy in the 2020 United States presidential election. She was briefly considered the front-runner for the Democratic nomination in late 2019, but support for her campaign dwindled. She withdrew from the race on March 5, 2020.

Early life, education, and family

Warren's high school graduation photo

Warren was born Elizabeth Ann Herring in Oklahoma City on June 22, 1949. She is the fourth child of Pauline Louise (née Reed, 1912–1995), a homemaker, and Donald Jones Herring (1911–1997), a U.S. Army flight instructor during World War II. Warren has described her early family life as teetering "on the ragged edge of the middle class" and "kind of hanging on at the edges by our fingernails." She and her three older brothers were raised Methodist.

Warren lived in Norman, Oklahoma, until she was 11 years old, when her family moved back to Oklahoma City. When she was 12, her father, then a salesman at Montgomery Ward, had a heart attack, which led to many medical bills as well as a pay cut because he could not do his previous work. After leaving his sales job, he worked as a maintenance man for an apartment building. Eventually, the family's car was repossessed because they failed to make loan payments. To help the family finances, her mother found work in the catalog-order department at Sears. When she was 13, Warren started waiting tables at her aunt's restaurant.

Warren became a star member of the debate team at Northwest Classen High School and won the state high school debating championship. She also won a debate scholarship to George Washington University (GWU) at the age of 16. She initially aspired to be a teacher, but left GWU after two years in 1968 to marry James Robert "Jim" Warren, whom she had met in high school.

Warren and her husband moved to Houston, where he was employed by IBM.  She enrolled in the University of Houston and graduated in 1970 with a Bachelor of Science degree in speech pathology and audiology.

The Warrens moved to New Jersey when Jim received a job transfer. She soon became pregnant and decided to stay at home to care for their daughter, Amelia. After Amelia turned two, Warren enrolled in Rutgers Law School at Rutgers University–Newark. She received her J.D. in 1976, and passed the bar examination shortly thereafter. Shortly before graduating, Warren became pregnant with their second child, Alexander.

The Warrens divorced in 1978, and two years later, Warren married law professor Bruce H. Mann on July 12, 1980, but kept her first husband's surname. Warren has three grandchildren through her daughter Amelia.

On April 23, 2020, Warren announced on Twitter that her eldest brother, Don Reed Herring, had died of COVID-19 two days earlier.

Career before elected office

Warren in Rutgers School of Law–Newark's 1976 yearbook.

In 1970, after obtaining a degree in speech pathology and audiology, but before enrolling in law school (see above), Warren taught children with disabilities for a year in a public school. During law school, Warren worked as a summer associate at Cadwalader, Wickersham & Taft. After she received her J.D. and passed the bar examination, she decided to offer legal services from home, writing wills and doing real estate closings.

In the late 1970s, 1980s, and 1990s, Warren taught law at several American universities while researching issues related to bankruptcy and middle-class personal finance. She became involved with public work in bankruptcy regulation and consumer protection in the mid-1990s.

Academic

Warren began her career in academia as a lecturer at Rutgers University, Newark School of Law (1977–78). She then moved to the University of Houston Law Center (1978–83), where she became an associate dean in 1980 and obtained tenure in 1981. She taught at the University of Texas School of Law as visiting associate professor in 1981 and returned as a full professor two years later (staying from 1983 to 1987). She was a research associate at the Population Research Center of the University of Texas at Austin from 1983 to 1987 and was also a visiting professor at the University of Michigan in 1985. During this period, Warren also taught Sunday school.

Warren in University of Texas School of Law's 1987 yearbook.

Warren's earliest academic work was heavily influenced by the law and economics movement, which aimed to apply neoclassical economic theory to the study of law with an emphasis on economic efficiency. One of her articles, published in 1980 in the Notre Dame Law Review, argued that public utilities were over-regulated and that automatic utility rate increases should be instituted. But Warren soon became a proponent of on-the-ground research into how people respond to laws. Her work analyzing court records and interviewing judges, lawyers, and debtors, established her as a rising star in the field of bankruptcy law. According to Warren and economists who follow her work, one of her key insights was that rising bankruptcy rates were caused not by profligate consumer spending but by middle-class families' attempts to buy homes in good school districts. Warren worked in this field alongside colleagues Teresa A. Sullivan and Jay Westbrook, and the trio published their research in the book As We Forgive Our Debtors in 1989. Warren later recalled that she had begun her research believing that most people filing for bankruptcy were either working the system or had been irresponsible in incurring debts, but that she concluded that such abuse was in fact rare and that the legal framework for bankruptcy was poorly designed, describing the way the research challenged her fundamental beliefs as "worse than disillusionment" and "like being shocked at a deep-down level". In 2004, she published an article in the Washington University Law Review in which she argued that correlating middle-class struggles with over-consumption was a fallacy.

Warren joined the University of Pennsylvania Law School as a full professor in 1987 and obtained an endowed chair in 1990, becoming the William A. Schnader Professor of Commercial Law. In 1992, she taught for a year at Harvard Law School as Robert Braucher Visiting Professor of Commercial Law. In 1995, Warren left Penn to become Leo Gottlieb Professor of Law at Harvard Law School. In 1996 she became the highest-paid professor at Harvard University who was not an administrator, with a $181,300 salary and total compensation of $291,876, including moving expenses and an allowance in lieu of benefits contributions. As of 2011, she was Harvard's only tenured law professor who had attended law school at an American public university. Warren was a highly influential law professor. She published in many fields, but her expertise was in bankruptcy and commercial law. From 2005 to 2009 Warren was among the three most-cited scholars in those fields.

She began to rise in prominence in 2004 with an appearance on the Dr. Phil show, and published several books including The Two Income Trap.

Advisory roles

Warren's "A minimum-wage job saved my family" speech at the Economic Policy Institute, November 2015 (3:28)

In 1995, the National Bankruptcy Review Commission's chair, former congressman Mike Synar, asked Warren to advise the commission. Synar had been a debate opponent of Warren's during their school years. She helped draft the commission's report and worked for several years to oppose legislation intended to severely restrict consumers' right to file for bankruptcy. Warren and others opposing the legislation were not successful; in 2005, Congress passed the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, which curtailed consumers' ability to file for bankruptcy.

From 2006 to 2010, Warren was a member of the FDIC (Federal Deposit Insurance Corporation) Advisory Committee on Economic Inclusion. She is a member of the National Bankruptcy Conference, an independent organization that advises the U.S. Congress on bankruptcy law, a former vice president of the American Law Institute and a member of the American Academy of Arts and Sciences.

Warren's scholarship and public advocacy were the impetus for establishing the Consumer Financial Protection Bureau in 2011.

TARP oversight

Warren stands next to President Barack Obama as he announces Richard Cordray's nomination as the first director of the CFPB, July 2011.

On November 14, 2008, U.S. Senate majority leader Harry Reid appointed Warren to chair the five-member Congressional Oversight Panel, created to oversee the implementation of the Emergency Economic Stabilization Act. The panel released monthly oversight reports evaluating the government bailout and related programs. During Warren's tenure, these reports covered foreclosure mitigation, consumer and small business lending, commercial real estate, AIG, bank stress tests, the impact of the Troubled Asset Relief Program (TARP) on the financial markets, government guarantees, the automotive industry and other topics.

Consumer Financial Protection Bureau

Warren discussing the work of the Consumer Financial Protection Bureau at the ICBA conference in 2011

Warren was an early advocate for creating a new Consumer Financial Protection Bureau (CFPB). The bureau was established by the Dodd–Frank Wall Street Reform and Consumer Protection Act, signed into law by President Obama in July 2010. In September 2010, Obama named Warren Assistant to the President and Special Advisor to the Secretary of the Treasury on the CFPB to set up the new agency. While liberal groups and consumer advocacy groups urged Obama to formally nominate Warren as the agency's director, financial institutions and Republican members of Congress strongly opposed her, believing she would be an overly zealous regulator.  Reportedly convinced that Warren could not win Senate confirmation as the bureau's first director, in January 2012, Obama appointed former Ohio attorney general Richard Cordray to the post in a recess appointment over Republican senators' objections.

Political affiliation

A close high-school friend told Politico in 2019 that in high school Warren was a "diehard conservative" and that she had since done a "180-degree turn and an about-face". One of her colleagues at the University of Texas in Austin said that at university in the early 1980s Warren was "sometimes surprisingly anti-consumer in her attitude". Gary L. Francione, who had been a colleague of hers at the University of Pennsylvania, recalled in 2019 that when he heard her speak at the time she was becoming politically prominent, he "almost fell off [his] chair... She’s definitely changed". Warren was registered as a Republican from 1991 to 1996. She voted Republican for many years. "I was a Republican because I thought that those were the people who best supported markets", she has said. But she has also said that in the six presidential elections before 1996 she voted for the Republican nominee only once, in 1976, for Gerald Ford. Warren has said that she began to vote Democratic in 1995 because she no longer believed that the Republicans were the party who best supported markets, but she has said she has voted for both parties because she believed that neither should dominate. According to Warren, she left the Republican Party because it is no longer "principled in its conservative approach to economics and to markets" and is instead tilting the playing field in favor of large financial institutions and against middle-class American families.

U.S. Senate (2013–present)

2012 Senate election results by municipality
 
Senate campaign logo
 
Warren at a campaign event, November 2012

Elections

2012

On September 14, 2011, Warren declared her intention to run for the Democratic nomination for the 2012 election in Massachusetts for the U.S. Senate. Republican Scott Brown had won the seat in a 2010 special election after Ted Kennedy's death. A week later, a video of Warren speaking in Andover went viral on the Internet. In it, Warren responds to the charge that asking the rich to pay more taxes is "class warfare" by saying that no one grew rich in the U.S. without depending on infrastructure paid for by the rest of society:

There is nobody in this country who got rich on his own. Nobody. ... You moved your goods to market on the roads the rest of us paid for; you hired workers the rest of us paid to educate; you were safe in your factory because of police forces and fire forces that the rest of us paid for. You didn't have to worry that marauding bands would come and seize everything at your factory, and hire someone to protect against this, because of the work the rest of us did. Now look, you built a factory and it turned into something terrific, or a great idea. God bless. Keep a big hunk of it. But part of the underlying social contract is, you take a hunk of that and pay forward for the next kid who comes along.

President Obama later echoed her sentiments in a 2012 election campaign speech.

Warren ran unopposed for the Democratic nomination and won it on June 2, 2012, at the state Democratic convention with a record 95.77% of the votes of delegates. She encountered significant opposition from business interests. In August, the political director for the U.S. Chamber of Commerce commented that "no other candidate in 2012 represents a greater threat to free enterprise than Professor Warren". Warren nonetheless raised $39 million for her campaign, more than any other Senate candidate in 2012, and showed, according to The New York Times, "that it was possible to run against the big banks without Wall Street money and still win".

Warren received a prime-time speaking slot at the 2012 Democratic National Convention on September 5, 2012. She positioned herself as a champion of a beleaguered middle class that "has been chipped, squeezed, and hammered". According to Warren, "People feel like the system is rigged against them. And here's the painful part: They're right. The system is rigged." Warren said Wall Street CEOs "wrecked our economy and destroyed millions of jobs" and that they "still strut around congress, no shame, demanding favors, and acting like we should thank them".

2018

On January 6, 2017, in an email to supporters, Warren announced that she would be running for a second term as a U.S. senator from Massachusetts, writing, "The people of Massachusetts didn't send me to Washington to roll over and play dead while Donald Trump and his team of billionaires, bigots, and Wall Street bankers crush the working people of our Commonwealth and this country. ... This is no time to quit."

In the 2018 election Warren defeated Republican nominee Geoff Diehl, 60% to 36%.

Tenure

Warren attending the swearing in of Senator Mo Cowan in the Old Senate Chamber

On November 6, 2012, Warren defeated Brown with 53.7% of the vote. She is the first woman ever elected to the U.S. Senate from Massachusetts, as part of a sitting U.S. Senate that had 20 female senators in office, the largest female U.S. Senate delegation in history at the time, following the November 2012 elections. In December 2012, Warren was assigned a seat on the Senate Banking Committee, which oversees the implementation of Dodd–Frank and other regulation of the banking industry. Vice President Joe Biden swore Warren in on January 3, 2013.

At Warren's first Banking Committee hearing in February 2013, she pressed several banking regulators to say when they had last taken a Wall Street bank to trial and said, "I'm really concerned that 'too big to fail' has become 'too big for trial'." Videos of Warren's questioning amassed more than one million views in a matter of days. At a March Banking Committee hearing, Warren asked Treasury Department officials why criminal charges were not brought against HSBC for its money laundering practices. Warren compared money laundering to drug possession, saying: "If you're caught with an ounce of cocaine, the chances are good you're going to go to jail ... But evidently, if you launder nearly a billion dollars for drug cartels and violate our international sanctions, your company pays a fine and you go home and sleep in your own bed at night."

In May 2013, Warren sent letters to the Justice Department, the Securities and Exchange Commission, and the Federal Reserve questioning their decisions that settling would be more fruitful than going to court. Also in May, saying that students should get "the same great deal that banks get", Warren introduced the Bank on Student Loans Fairness Act, which would allow students to take out government education loans at the same rate that banks pay to borrow from the federal government, 0.75%.

 Independent senator Bernie Sanders endorsed her bill, saying: "The only thing wrong with this bill is that [she] thought of it and I didn't".

During the 2014 election cycle, Warren was a top Democratic fundraiser. After the election, Warren was appointed to become the first-ever Strategic Adviser of the Democratic Policy and Communications Committee, a position created for her. The appointment added to speculation that Warren would run for president in 2016.

In early 2015, President Obama urged Congress to approve the Trans-Pacific Partnership, a proposed free trade agreement between the United States and 11 Asian and South American countries. Warren criticized the TPP, arguing that the dispute resolution mechanism in the agreement and labor protections for American workers therein were insufficient; her objections were in turn criticized by Obama.

Saying "despite the progress we've made since 2008, the biggest banks continue to threaten our economy", in July 2015 Warren, along with John McCain (R-AZ), Maria Cantwell (D-WA), and Angus King (I-ME) reintroduced the 21st Century Glass–Steagall Act, a modern version of the Banking Act of 1933. The legislation was intended to reduce the American taxpayer's risk in the financial system and decrease the likelihood of future financial crises.

Warren speaking at St. Patrick's Day breakfast in Boston's South Boston neighborhood, March 17, 2018

In a September 20, 2016 hearing, Warren called on Wells Fargo CEO John Stumpf to resign, adding that he should be "criminally investigated" over Wells Fargo's opening of two million checking and credit-card accounts without the customers' consent.

In December 2016, Warren gained a seat on the Senate Armed Services Committee, which The Boston Globe called "a high-profile perch on one of the chamber's most powerful committees" that would "fuel speculation about a possible 2020 bid for president".

During the debate on Senator Jeff Sessions's nomination for United States attorney general in February 2017, Warren quoted a letter Coretta Scott King had written to Senator Strom Thurmond in 1986 when Sessions was nominated for a federal judgeship. King wrote, "Mr. Sessions has used the awesome power of his office to chill the free exercise of the vote by black citizens in the district he now seeks to serve as a federal judge. This simply cannot be allowed to happen." Senate Republicans voted that by reading the letter from King, Warren had violated Senate Rule 19, which prohibits impugning another senator's character. This prohibited Warren from further participating in the debate on Sessions's nomination, and Warren instead read King's letter while streaming live online. In rebuking Warren, Senate majority leader Mitch McConnell said on the Senate floor, "She was warned. She was given an explanation. Nevertheless, she persisted." McConnell's language became a slogan for Warren and others.

On October 3, 2017, during Wells Fargo chief executive Timothy J. Sloan's appearance before the Senate Banking Committee, Warren called on him to resign, saying, "At best you were incompetent, at worst you were complicit."

On July 17, 2019, Warren and Rep. AI Lawson introduced legislation that would make low-income college students eligible for benefits under the Supplemental Nutrition Assistance Program (SNAP) according to the College Student Hunger Act of 2019.

Role in the 2016 presidential election

Warren stumps for Hillary Clinton in Manchester, New Hampshire, October 2016

In the run-up to the 2016 U.S. presidential election, supporters put Warren forward as a possible presidential candidate, but she repeatedly said she would not run for president in 2016.  In October 2013, she joined the other 15 female Democratic senators in signing a letter that encouraged Hillary Clinton to run. There was much speculation about Warren being added to the Democratic ticket as a vice-presidential candidate. On June 9, 2016, after the California Democratic primary, Warren formally endorsed Clinton for president. In response to questions when she endorsed Clinton, Warren said that she believed herself to be ready to be vice president, but she was not being vetted. On July 7, CNN reported that Warren was on a five-person short list to be Clinton's running mate. Clinton eventually chose Tim Kaine.

Until her June endorsement, Warren was neutral during the Democratic primary but made public statements that she was cheering Bernie Sanders on. In June, Warren endorsed and campaigned for Clinton before Sanders endorsed Clinton. She called Donald Trump, the presumptive Republican nominee, dishonest, uncaring, and "a loser".

Committee assignments

2020 presidential campaign

Warren while formally declaring her candidacy in Lawrence, Massachusetts on February 9, 2019

At a town hall meeting in Holyoke, Massachusetts, on September 29, 2018, Warren said she would "take a hard look" at running for president in the 2020 election after the 2018 United States elections concluded. On December 31, 2018, Warren announced that she was forming an exploratory committee to run for president.

On February 9, 2019, Warren officially announced her candidacy at a rally in Lawrence, Massachusetts, at the site of the 1912 Bread and Roses strike. A longtime critic of President Trump, Warren called him a "symptom of a larger problem [that has resulted in] a rigged system that props up the rich and powerful and kicks dirt on everyone else".

Warren staged her first campaign event in Lawrence to demonstrate the constituency groups she hopes to appeal to, including working class families, union members, women, and new immigrants. She called for major changes in government:

It won't be enough to just undo the terrible acts of this administration. We can't afford to just tinker around the edges—a tax credit here, a regulation there. Our fight is for big, structural change. This is the fight of our lives. The fight to build an America where dreams are possible, an America that works for everyone.

Following her candidacy announcement, Warren released several policy proposals, including plans to assist family farms by addressing the advantages held by large agricultural conglomerates, plans to reduce student loan debt and offer free tuition at public colleges, a plan to make large corporations pay more in taxes and better regulate large technology companies, and plans to address opioid addiction. She has introduced an "Economic Patriotism" plan intended to create opportunities for American workers, and proposals inspired by opposition to President Trump, including one that would make it permissible to indict a sitting president.

One of her signature plans was a wealth tax, dubbed the "Ultra-Millionaire Tax," on fortunes over $50,000,000. Warren was credited with popularizing the idea of a wealth tax with Americans, leading competitor Bernie Sanders to release a wealth tax plan.

Warren became known for the number and depth of her policy proposals. On her campaign website, she detailed more than 45 plans for topics including health care, universal child care, ending the opioid crisis, clean energy, climate change, foreign policy, reducing corporate influence at the Pentagon, and ending "Wall Street's stranglehold on the economy".

On March 5, 2020, she ended her campaign.

Polls

In early June 2019, Warren placed second in some polls, with Joe Biden in first place and Bernie Sanders in third. In the following weeks her poll numbers steadily increased, and a September Iowa poll placed her in the lead with 22% to Biden's 20%. The Iowa poll also rated the number of voters at least considering voting for each candidate; Warren scored 71% to Biden's 60%. Poll respondents also gave her a higher "enthusiasm" rating, with 32% of her backers extremely enthusiastic to Biden's 22%.

An October 24 Quinnipiac poll placed Warren in the lead at 28%, with Biden at 21% and Sanders at 15%. When asked which candidate had the best policy ideas, 30% of respondents named Warren, with Sanders at 20% and Biden 15%. Sanders was most often named as the candidate who "cares most about people like you," with Warren in second place and Biden third. Sanders also placed first at 28% when respondents were asked which candidate was the most honest, followed by Warren and Biden at 15% each.

Funding

Selfie line for Elizabeth Warren after a May 19, 2019 campaign event in Nashua, New Hampshire.

The Los Angeles Times reported that of the front-runners in the presidential race, only Sanders and Warren have previously won an election with almost exclusively small online contributions, and that no presidential primary in recent history has had two of the top three candidates refuse to use bundlers or hold private fundraisers with wealthy donors.

In January 2019, Warren said that she took no PAC money. In October 2019, Warren announced that her campaign would not accept contributions of more than $200 from executives at banks, large tech companies, private equity firms, or hedge funds, in addition to her previous refusal to accept donations of over $200 from fossil fuel or pharmaceutical executives.

In the third quarter of 2019 Warren's campaign raised $24.6 million, just less than the $25.3 million Sanders's campaign raised and well ahead of Joe Biden, the front-runner in the polls, who raised $15.2 million. Warren’s average donation was $26; Sanders's was $18.

In February 2020, Warren began accepting support from Super PACs, after failing to convince other Democratic presidential candidates to join her in disavowing them.

Public appearances

As of September 2019, Warren had attended 128 town halls. She is known for remaining afterward to talk with audience members and for the large numbers of selfies she has taken with them. On September 17, over 20,000 people attended a Warren rally at New York City’s Washington Square Park. After her speech long lines formed with people waiting as long as four hours for selfies.

Due to the impeachment trial of Donald Trump, Warren was unable to make final campaign stops in person and opted to send her dog, Bailey Warren, to meet with voters in Iowa.

Vice-presidential speculation

In June 2020 CNN reported that Warren was among the top four vice-presidential choices for Joe Biden, the presumptive Democratic presidential nominee, along with Mayor Keisha Lance Bottoms, Representative Val Demings, and Senator Kamala Harris. Kamala Harris was officially announced as Biden's running mate on August 11, 2020. On August 13, The New York Times reported that Warren was one of Biden's four finalists along with Harris, Susan Rice, and Gretchen Whitmer.

In late April, CNBC reported that big-money donors were pressuring Biden not to choose Warren, preferring other candidates purportedly on his list, such as Harris, Klobuchar and Whitmer.

Political positions

Warren with a supporter wearing a "Warren has a plan for that" T-shirt. The phrase became an internet meme during her presidential run.

Warren is widely regarded as a progressive. In 2012, the British magazine New Statesman named Warren among the "top 20 U.S. progressives".

Warren supports worker representation on corporations' board of directors, breaking up monopolies, stiffening sentences for white-collar crime, a Medicare-for-all plan to provide health insurance for all Americans, and a higher minimum wage.

Warren has been highly critical of the Trump administration. She has expressed concerns over what she says are Trump's conflicts of interest. The Presidential Conflicts of Interest Act, written by Warren, was first read in the Senate in January 2017. In November 2018 Warren said she would not vote for Trump's United States–Mexico–Canada Agreement (USMCA): "It won't stop outsourcing, it won't raise wages, and it won't create jobs. It's NAFTA 2.0." She has also said she believes USMCA would make it harder to reduce drug prices because it would allow drug companies to lock in the prices they charge for many drugs. Warren has been highly critical of Trump's immigration policies. In 2018 she called for abolishing U.S. Immigration and Customs Enforcement (ICE). Warren has criticized U.S. involvement in the Saudi Arabian-led intervention in Yemen in support of Yemen's government against the Houthis.

In January 2019, Warren criticized Trump's decision to withdraw U.S. troops from Syria and Afghanistan. She agreed that U.S. troops should be withdrawn from Syria and Afghanistan but said such withdrawals should be part of a "coordinated" plan formed with U.S. allies. In April 2019, after reading the Mueller Report, Warren called on the House of Representatives to begin impeachment proceedings against Trump, saying, "The Mueller report lays out facts showing that a hostile foreign government attacked our 2016 election to help Donald Trump and Donald Trump welcomed that help. Once elected, Donald Trump obstructed the investigation into that attack."

Public image

Ancestry and Native American relations

According to Warren and her brothers, older family members told them during their childhood that they had Native American ancestry. In 2012, she said that "being Native American has been part of my story, I guess, since the day I was born". In 1984, Warren contributed recipes to a Native American cookbook and identified herself as Cherokee. The Washington Post reported that in 1986, Warren identified her race as "American Indian" on a State Bar of Texas write-in form used for statistical information gathering, but added that there was "no indication it was used for professional advancement". A comprehensive Boston Globe investigation concluded that her reported ethnicity played no role in her rise in the academic legal profession. In February 2019, Warren apologized for having identified as Native American.

During Warren's first Senate race in 2012, her opponent, Scott Brown, speculated that she had fabricated Native ancestry to gain advantage on the employment market and used Warren's ancestry in several attack ads. Warren has denied that her heritage gave her any advantages in her schooling or her career. Several colleagues and employers (including Harvard) have said her reported ethnic status played no role in her hiring. From 1995 to 2004, her employer, Harvard Law School, listed her as a Native American in its federal affirmative action forms; Warren later said she was unaware of this. A 2018 Boston Globe investigation found "clear evidence, in documents and interviews, that her claim to Native American ethnicity was never considered by the Harvard Law faculty, which voted resoundingly to hire her, or by those who hired her to four prior positions at other law schools" and that "Warren was viewed as a white woman by the hiring committees at every institution that employed her".

President Donald Trump has "persistently mocked" Warren for her assertions of Native American ancestry. At a July 2018 Montana rally, Trump promised that if he debated Warren, he would offer to pay $1 million to her favorite charity if she could prove her Native American ancestry via a DNA test. Warren released results of a DNA test in October 2018, then asked Trump to donate the money to the National Indigenous Women's Resource Center. Trump responded by denying that he had made the challenge. The DNA test found that Warren's ancestry is mostly European but "strongly support[ed] the existence of an unadmixed Native American ancestor", likely "in the range of 6 to 10 generations ago." The Cherokee Nation criticized the use of DNA testing to determine Native American heritage as "inappropriate and wrong". According to Politico, "Warren's past claims of American Indian ancestry garnered fierce criticism from both sides of the aisle, with President Donald Trump labeling her with a slur, “Pocahontas”, and tribal leaders calling out Warren for claiming a heritage she did not culturally belong to."

During a January 2019 public appearance in Sioux City, Iowa, Warren was asked by an attendee, "Why did you undergo the DNA testing and give Donald more fodder to be a bully?" Warren responded in part, "I am not a person of color; I am not a citizen of a tribe. Tribal citizenship is very different from ancestry. Tribes, and only tribes, determine tribal citizenship, and I respect that difference." She later reached out to leadership of the Cherokee Nation to apologize "for furthering confusion over issues of tribal sovereignty and citizenship and for any harm her announcement caused". Cherokee Nation executive director of communications Julie Hubbard said that Warren understands "that being a Cherokee Nation tribal citizen is rooted in centuries of culture and laws not through DNA tests." Warren apologized again in August 2019 before the Native American Forum in Iowa.

In mid-February 2019, Warren received a standing ovation during a surprise visit to a Native American conference, where she was introduced by freshman representative Deb Haaland (D-NM), one of the first two Native American women elected to the U.S. Congress. Haaland endorsed Warren for president in July 2019, calling her "a great partner for Indian Country".

Honors and awards

Warren at the 2009 Time 100 Gala

In 2009, The Boston Globe named Warren the Bostonian of the Year and the Women's Bar Association of Massachusetts honored her with the Lelia J. Robinson Award. The National Law Journal has repeatedly named Warren one of the Fifty Most Influential Women Attorneys in America, and in 2010 named her one of the 40 most influential attorneys of the decade. Also in 2009, Warren became the first professor in Harvard's history to win the law school's Sacks–Freund Teaching Award for a second time. In 2011 she delivered the commencement address at the Rutgers Law School in Newark, her alma mater, and obtained an honorary Doctor of Laws degree and membership in the Order of the Coif. In 2011 Warren was inducted into the Oklahoma Hall of Fame. In January 2012 New Statesman magazine named her one of the "top 20 U.S. progressives".

She was named one of Time magazine's 100 Most Influential People in the World in 2009, 2010, 2015, and 2017.

In 2018, the Women's History Month theme in the United States was "Nevertheless, She Persisted: Honoring Women Who Fight All Forms of Discrimination against Women", referring to McConnell's remark about Warren.

In popular culture

Books and other works

In 2004, Warren and her daughter, Amelia Tyagi, wrote The Two-Income Trap: Why Middle-Class Mothers and Fathers Are Going Broke. In the book they state that at that time, a fully employed worker earned less inflation-adjusted income than a fully employed worker had 30 years earlier. Although families spent less at that time on clothing, appliances, and other forms of consumption, the costs of core expenses such as mortgages, health care, transportation, and child care had increased dramatically. According to the authors, the result was that even families with two income earners were no longer able to save and incurred ever greater debt.

In an article in The New York Times, Jeff Madrick said of the book:

The authors find that it is not the free-spending young or the incapacitated elderly who are declaring bankruptcy so much as families with children ... their main thesis is undeniable. Typical families often cannot afford the high-quality education, health care, and neighborhoods required to be middle class today. More clearly than anyone else, I think, Ms. Warren and Ms. Tyagi have shown how little attention the nation and our government have paid to the way Americans really live.

In 2005, Warren and David Himmelstein published a study on bankruptcy and medical bills that found that half of all families filing for bankruptcy did so in the aftermath of a serious medical problem. They say that three-quarters of such families had medical insurance. The study was widely cited in policy debates, but some have challenged its methods and offered alternative interpretations of the data, suggesting that only 17% of bankruptcies are directly attributable to medical expenses.

Metropolitan Books published Warren's book A Fighting Chance in April 2014. According to a Boston Globe review, "the book's title refers to a time she says is now gone, when even families of modest means who worked hard and played by the rules had at a fair shot at the American dream."

In April 2017, Warren published her 11th book, This Fight Is Our Fight: The Battle to Save America's Middle Class, in which she explores the plight of the American middle class and argues that the federal government needs to do more to help working families with stronger social programs and increased investment in education.

Inequality (mathematics)

From Wikipedia, the free encyclopedia https://en.wikipedia.org/wiki/Inequality...