Last month, Michael Weinstein – an apparent man from the left, per aspects of his own bio – ripped Democratic housing policies in an article entitled “On Housing, Trickle-Down Democrats Have Failed Americans in Need” on RealClearPolitics. While some think that the left is monolithic, Weinstein is evidence that is not necessarily so. True, contemporary Democrats may often be more disciplined than Republicans when it comes to party unity. But just as three Democratic U.S. Senators are breaking ranks with their party over green new deal agenda issues, so Weinstein is taking aim at his fellow travelers on the left in the op-ed that follows. What makes this item of interest to manufactured housing pros are several factors, including, but not limited to the subject of affordable housing, wealth inequality, and other subjects popular on the political left. Among the pull quotes from Weinstein beyond the headline paraphrases is this remark: “Is it so hard to understand why the poor and the working class feel betrayed? They have faithfully given their votes to Democrats for decades, only for their leaders to turn around and pander to billionaire real estate interests.” Here is another: “Corporate Democrats who owe their offices to the super-rich won’t challenge the hegemony of American billionaires.”
As is true of any source quoted, in sharing this item, it should not be construed that MHProNews is endorsing either Weinstein or his views. A focused analysis and commentary will follow.
Part I will be Weinstein’s article.
Part II will be a focused additional information with more MHProNews analysis and commentary.
Part III will be our Daily Business News on MHProNews left-right headlines recap, markets, and manufactured housing industry connected equities report.
Part I
On Housing, Trickle-Down Democrats Have Failed Americans in Need
It is impossible to deny that America and the rest of the world are more economically unequal than ever before. The three wealthiest Americans possess a higher net worth than the entire bottom half of U.S. society. In cities like New York, poverty is soaring.
In theory, Democrats in blue states are supposed to represent the poor and the working class, but the record shows a different reality. During the Obama administration, 95% of income gains went to the top one percent. Bill Clinton abolished welfare as we knew it and brought us the North American Free Trade Agreement, which eliminated countless good-paying factory jobs. Today’s California – led by Gavin Newsom – is now the most glaring example of income inequality. Despite spectacular wealth, the Golden State is the nation’s poorest based on the sky-high cost of living.
In each instance, Democrats relied on an unfettered market to address society’s ills. Barack Obama believed that the market could make healthcare more affordable. Clinton believed that mass incarceration and a smaller safety net would create incentives, solving poor people’s problems. And Newsom now believes that the free market can solve California’s affordable housing crisis.
Democrats once mocked Ronald Reagan’s trickle-down theory – that if you showered privileges on the super-rich, it would trickle down to the underprivileged. But what did they actually learn from the Reagan era?
While trickle-down Democrats sound different than Reagan, they have a whole lot in common. The belief in the supernatural power of the marketplace to solve all problems is based on a false premise that unregulated capitalism meets human needs rather than extracting profit for privileged elites.
There is no doubt that capitalism can advance innovation and economic vitality. But gorging on too much of a good thing makes you sick. People should be free to pursue great wealth as long as their urge is necessarily constrained by the resources that are required to feed, house, educate, and treat everyone. That is an investment in the quality of life for society as a whole, but it is not the case today.
The failure to house California’s population is the most glaring example of trickle-down economics gone wrong. Rather than regulating rents that keep increasing, Newsom has fought tooth and nail against rent control. Instead of requiring developers to include truly affordable units in their mega-projects, they have been granted a king’s ransom in government incentives and exemptions. Even this giant wealth transfer wasn’t enough: California taxpayers also have shelled out tens of billions to the affordable housing industrial complex that has been wasted on stopgap band-aids or $1-million-per-apartment boondoggles.
The result? The greatest homeless crisis since the Great Depression. And there is no end in sight. Democrats like Newsom continue to kowtow to Big Real Estate. From Nathan Click to Jim Deboo and Ace Smith, Newsom’s inner circle is all on the take from the California Apartment Association, which vehemently opposes any form of rent control.
Is it so hard to understand why the poor and the working class feel betrayed? They have faithfully given their votes to Democrats for decades, only for their leaders to turn around and pander to billionaire real estate interests. Conditions have become so extreme that tens of millions of people are desperate for answers, but all they get from trickle-down Democrats are the same, warmed-over vulture capitalist non-solutions to their problems.
If change is to come, it will have to come from the bottom up. Corporate Democrats who owe their offices to the super-rich won’t challenge the hegemony of American billionaires. The creative policy fixes to issues like housing, which is a human right, will come from citizen action that demands better from our elected officials. It will come from ballot initiatives like the one that expands rent control, which is up for debate in California this year.
Otherwise, Americans will turn to reactionary policies that only increase suffering. The choice is ours. ##
Part II – Additional Information with More MHProNews Analysis and Commentary
The organization is led by one of its co-founders, Michael Weinstein, described by the New York Times as an “ex-Trotskyite.” Weinstein has become a controversial figure among AIDS activists because of his issue stances, including opposing the use of Pre-Exposure Prophylaxis (PrEP), an HIV infection preventive. 1
The vast majority of the group’s revenue comes from its network of clinics and pharmacies that treat over 41,000 patients in the U.S. Most of their patients have their insurance claims paid by the government through Medicaid. 2”
Note that facts- and evidence-focused Influence Watch cited Weinstein’s interest in housing.
In theory, Democrats in blue states are supposed to represent the poor and the working class, but the record shows a different reality. During the Obama administration, 95% of income gains went to the top one percent. Bill Clinton abolished welfare as we knew it and brought us the North American Free Trade Agreement, which eliminated countless good-paying factory jobs. Today’s California – led by Gavin Newsom – is now the most glaring example of income inequality. Despite spectacular wealth, the Golden State is the nation’s poorest based on the sky-high cost of living.”
Much of that, as his linked information demonstrate, is rooted in factual realities. More on some of this shortly.
4) Weinstein also said:
The result? The greatest homeless crisis since the Great Depression. And there is no end in sight. Democrats like Newsom continue to kowtow to Big Real Estate.”
Researchers often point out that rent control is unlikely to be a long-term solution.
5) Paul Bradley, with ROC USA could aptly be described as someone from the political left too. Yet Bradley argued against rent control.
6) The late resident-leader, a sort of moderate, Robert “Bob” Van Cleef argued for a type of temporary rent control, to be deployed while the free market that has for too long been manipulated by predatory or “vulture” capitalists is allowed to regain its footing. The “them” in his sentence are the types of predatory community operators that are parallel to what Weinstein is talking about.
7) Back to Weinstein’s thoughts, again, now mindful that he is apparently from the political left and is criticizing the outcomes of policies pushed by the political left.
The result? The greatest homeless crisis since the Great Depression. And there is no end in sight. Democrats like Newsom continue to kowtow to Big Real Estate. From Nathan Click to Jim Deboo and Ace Smith, Newsom’s inner circle is all on the take from the California Apartment Association, which vehemently opposes any form of rent control.
Is it so hard to understand why the poor and the working class feel betrayed? They have faithfully given their votes to Democrats for decades, only for their leaders to turn around and pander to billionaire real estate interests. Conditions have become so extreme that tens of millions of people are desperate for answers, but all they get from trickle-down Democrats are the same, warmed-over vulture capitalist non-solutions to their problems.
If change is to come, it will have to come from the bottom up. Corporate Democrats who owe their offices to the super-rich won’t challenge the hegemony of American billionaires. The creative policy fixes to issues like housing, which is a human right, will come from citizen action that demands better from our elected officials. It will come from ballot initiatives like the one that expands rent control, which is up for debate in California this year.
Otherwise, Americans will turn to reactionary policies that only increase suffering. The choice is ours.”
8) Weinstein cited the Jacobin, a publication popular on the far left.
He spoke about housing as a human right, a common socialist theme not unlike that of self-proclaimed socialist law professor Fran Quigley.
Meaning, Weinstein may well be arguing for more socialism to fix the moderate socialism of what he aptly called the Corporate Democrats. While a deeper look is warranted, the initial impressions and known facts suggest that Weinstein and Quigley may share several similar views.
9) Weinstein doesn’t mention manufactured housing or manufactured home communities in the article provided in Part I above. By contrast, the socialist attorney Quigley is aware of both. Quigley slammed what might be described as the rapacious Frank Rolfe style business model of he and other investors ‘holding a gun to the heads of manufactured home residents.’
A deep, deep dive into Rolfe’s recent thinking and remarks are linked below.
10) Whatever his motivations and core beliefs may be, while there is an apparent mix of errant and factual, Weinstein has raised several important points that merit harvesting. For example. Regarding his point: “the affordable housing industrial complex that has been wasted on stopgap band-aids or $1-million-per-apartment boondoggles.”
A recent audit in California revealed that their affordable housing programs have been badly mis-managed.
On the U.S. left-coast in Gavin Newsome’s (CA-D) once Golden State, KQED reported:
- “A scathing 2021 audit found California’s management of homelessness was disjointed and lacked a centralized way to track spending or determine where efforts are duplicative.”
- “The report comes as homelessness in the state reached new heights. California now accounts for a third of the country’s unhoused population and half of its unsheltered homeless citizens. Over 181,000 Californians were unhoused in 2023, a nearly 20% uptick since 2019.”
- “Californians continue to name homelessness as one of their top concerns in polls, and officials are increasingly responding to the pressure with calls for greater accountability over spending.”
11) During Democratic rule in CA and in Washington, D.C. record spending on the state and federal levels did not result in less homelessness. Rather, homelessness under Democrats surged. What ‘trickles down’ under socialism is more poverty. What trickles down under what Weinstein aptly called Corporate Democratic policies is more wealth inequality.
Indeed, poverty has surged under Biden and record Democratic social program spending.
seemed like a boost to the poor or lower incomes initially.
But increasing the money supply resulted in inflation, as
Democratic House Majority Whip James Clyburn (SC-D)
plainly told MSNBC. Inflation hits the lower incomes harder.
But even the middle class has been harmed, as some 50
percent of the U.S. now says they are living paycheck-to-
paycheck.
12) Democrats are doing an impressive job doing what many Republicans have not yet managed to properly message or do. As former Democrat and former award-winning CNN reporter turned award-winning satirical pundit Chris Plante periodically muses, Republicans are often poor messaging. Democrats may have bad policies, but information dominance gives them among their own base the illusion of caring and the illusion of having solutions.
13) The Democratic base is being shown in often painful ways that Democratic programs do not work as advertised. Weinstein’s criticisms in Part I are often useful in that regard, because he is making the case that “Corporate Democrats” are failing their own base.
Platitudes vs. Proven Solutions
14) Lacking any mention of manufactured housing in the affordable housing crisis picture he painted, Weinstein’s analysis naturally falls short. So, the problem isn’t trickle down socialist policies, it is bad housing policies because the most proven form of affordable homes is demonstrably often not even considered.
15) Yet, when leaders and public officials from both major parties look at the facts, what emerges on manufactured housing is often surprising agreement. Left-leaning Minnesota offers bipartisan evidence. While Bidenomics and Democratic fueled inflation has raised the costs, the percentages below would still broadly apply.
16) When the range of housing options doesn’t include what is inherently affordable, the outcome is sadly predictable.
When manufactured housing is included in the solution, the result is that the entire mix of housing becomes more affordable because manufactured homes are inherently affordable. No subsidies are needed for manufactured homes.
Like California, Minnesota is a left-leaning or Democratic dominated state. So, it would be no surprise if some or all of those Minneapolis Federal Reserve researchers cited in the report shown below have left-leaning tendencies. Be that as it may, those economists have entirely embraced the need for more manufactured housing. They have decried the subsidies that often benefit big corporate conventional builders, the kind that auditors in California found didn’t work and got wasted. Again, as Weinstein said: “California taxpayers also have shelled out tens of billions to the affordable housing industrial complex that has been wasted on stopgap band-aids or $1-million-per-apartment boondoggles.”
17) The usefulness of separating the wheat from the chaff is illustrated in Weinstein’s interesting, if somewhat mistaken thought-piece. The problems, properly understood, include too much regulation and yet insufficient efforts at stopping artificial market manipulation. Who said? HUD’s own researchers.
Pamela Blumenthal and Regina Gray spilled the beans. Note the scary resemblance of what follows from their thoughts to Economics 101 and rational thought that conservatives and all other thinkers could embrace.
“The United States needs more housing, and more varied types of housing, to meet households’ needs throughout the country.”
“The consequences of inadequate supply are higher housing costs for both renting and buying a home.”
“Without significant new supply, cost burdens are likely to increase as current home prices reach all-time highs…”
“The regulatory environment — federal, state, and local — that contributes to the extensive mismatch between supply and need has worsened over time.”
“Federally sponsored commissions, task forces, and councils under both Democratic and Republican administrations have examined the effects of land use regulations on affordable housing for more than 50 years.”
18) See more of Blumenthal and Gray’s insights in the reports linked below. Gray very specifically pointed to the need for more HUD Code manufactured housing, which she said was perhaps the most important thing to emerge from Operation Breakthrough. Note that odds are good that Blumenthal and Gray are from the left too.
19) A few more thoughts are warranted. Taking the surface evidence from Weinstein’s writing and insights shown above, it seems he has realized that Democrats have largely been coopted by the ruling or big donor class. MHProNews has shed light on that from sources spanning the left-center-right divide for years, but increasingly so in our 2024 reports and analysis. Weinstein is wrong to leave manufactured housing out of his discussion. It is obvious to anyone who grasps all of the facts involved that there is only one proven way to solve the affordable housing crisis and that is with more affordable homes.
20) Weinstein is correct in observing that Democrats are witnessing an apparent erosion in key elements of their governing coalition, per several surveys.
21) California is perhaps near the top in left-leaning states. While so-called illegal immigrants may still be coming in sizable numbers, U.S. citizens have been leaving California for years. The wealthy are leaving California too. Left-leaning tax and spend policies are driving out numbers from the higher tax and middle-income population base. The result is that the remaining Californians are increasingly upset, as the quotes on the homelessness spending frustration reflects. Will sufficient numbers of Californians realize that going further left is not the answer? Time will tell.
MHLivingNews has previously spotlighted former Washington Post and longtime Democrat Joel Kotkin’s research and thoughts.
22) Democrats have been coopted by the billionaires, big corporate interests, big corporate media and tech, and their nonprofits and educational organizations. The truth has been hiding in plain sight for decades. The sources of that truth naturally include Democrats and Democratic supporters.
23) To the stark point that socialists, communists, and big-time capitalists can gleefully work hand in arm, one need not look beyond the many photos of billionaires with Communist Chinese dictator Xi Jinping, or the article linked below.
24) Summing up. It isn’t mocking trickle-down economics, but the sobering reality of trickle-down socialism and the stunning ties between big corporate interests and socialism that is the problem. Big government has been used to funnel money to causes that often benefit billionaires, their corporate, media, or nonprofit interests.
While several remarks are helpful, Weinstein missed some key marks. It isn’t just the affordable housing complex. Or the military industrial complex. It is the media-industrial complex and the poverty industry complex. See the linked reports to learn more.
Part III – is our Daily Business News on MHProNews stock market recap which features our business-daily at-a-glance update of over 2 dozen manufactured housing industry stocks.
This segment of the Daily Business News on MHProNews is the recap of yesterday evening’s market report, so that investors can see at glance the type of topics may have influenced other investors. Thus, our format includes our signature left (CNN Business) and right (Newsmax) ‘market moving’ headlines.
The macro market moves graphics below provide context and comparisons for those invested in or tracking manufactured housing connected equities. Meaning, you can see ‘at a glance’ how manufactured housing connected firms do compared to other segments of the broader equities market.
In minutes a day readers can get a good sense of significant or major events while keeping up with the trends that may be impacting manufactured housing connected investing.
Headlines from left-of-center CNN Business – 4.11.2024
- Boeing spent $500,000 more than it previously disclosed on personal private jet trips for top executives
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- Minneapolis gives Uber and Lyft a reason to stick around — at least until July
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- US wholesale inflation heated up again last month
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- California just hiked minimum wage for fast food workers. Some restaurants are replacing them with kiosks
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- Some Fed officials worry inflation remains stubbornly high, minutes show
- ‘I cannot afford to live’: Gen Z is full of financial angst despite inheriting a golden job market
- Commercial featuring nuns taking potato chips for communion sparks outrage in Italy
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Headlines from right-of-center Newsmax – 4.11.2024
- WH Offers Condolences to Simpson Family, but Fails to Mention Victims
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- Newsfront
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2023 …Berkshire Hathaway is the parent company to Clayton Homes, 21st Mortgage, Vanderbilt Mortgage and other factory-built housing industry suppliers.
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2022 was a tough year for many stocks. Unfortunately, that pattern held true for manufactured home industry (MHVille) connected stocks too. See the facts, linked above.
====================================
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- Note 1: MHVille means manufactured housing industry, MHVille also means artificially smaller manufactured housing (MH) industry,
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- Note 3:
APO, Apollo Global Management, BAM, Brookfield Asset Management, BLK, BlackRock, BRK-A, Berkshire Hathaway, BX, Blackstone, CDPYF, Canadian Apartment Properties Real Estate Investment Trust, CIGI, Colliers International Group Inc, CG, The Carlyle Group, CSGP, CoStar Group, CVCO, Cavco Industries, ECNCF, ECN Capital Group, ELS, Equity LifeStyle Properties, FGF, FG Financial Group, FG Communities, KEY, KeyCorp, KMMPF, Killam Apartment REITs, LCII, LCI Industries, LEGH, Legacy Housing, LPX, Louisiana Pacific Corporation, MHC-UN.TO, Flagship Communities Real Estate Investment Trust (REIT), MHPC, Manufactured Housing Properties, MMI, Marcus and Millichap, NOBH, Nobility Homes, PATK, Patrick Industries, SKY, Skyline Champion, SUI, Sun Communities, UMH, UMH Properties, UFPI, UFP Industries.
That’s a wrap on this installment of “News Through the Lens of Manufactured Homes and Factory-Built Housing” © where “We Provide, You Decide.” © (Affordable housing, manufactured homes, stock, investing, data, metrics, reports, fact-checks, analysis, and commentary. Third-party images or content are provided under fair use guidelines for media.) (See Related Reports linked herein. Text/image boxes often are hot-linked to other reports that can be access by clicking on them.)
By L.A. “Tony” Kovach – for MHProNews.
Tony earned a journalism scholarship along with numerous awards in history. There have been several awards, honors and numerous public recognitions for his achievements in manufactured housing. For example, he earned the prestigious Lottinville Award in history from the University of Oklahoma, where he studied history and business management. Kovach is a managing member and co-founder of LifeStyle Factory Homes, LLC, the parent company to MHLivingNews.com and MHProNews. MHProNews is ranked as the runaway most read trade media in modern manufactured housing history. Manufactured Home Pro News (MHProNews) is the documented #1 largest and most read source for manufactured housing industry News Tips and Views Pros Can Use, per Webalizer 2.23 and known data. MHProNews gets millions of visits a year and has significantly more pageviews per visit than CNN or Fox per SimilarWeb’s stats for those two sites (but those sites get more much more total traffic). Statistics Data Infographics Research Facts Evidence and manufactured housing industry expert analysis make us the runaway most read in MHVille trade media. This article reflects the LLC’s and/or the writer’s editorial views and may or may not reflect the views of sponsors or supporters.
