Progressive Breakfast: Brexit and the New Global Rebellion

MORNING MESSAGE

A major crack has appeared in the edifice of globalization, and the neoliberal order that has dominated the world’s economy since the end of World War II is now in danger. That’s not necessarily a bad thing, by any means. But poisonous weeds are just as likely as green shoots to grow up through those cracks, especially in today’s world ... The uprising has begun. The question now is, who will lead it going forward?

UK VOTES "LEAVE," GLOBAL ECONOMY SHAKEN

UK votes to leave EU 52%-48%. BBC:“Prime Minister David Cameron is to step down by October … UKIP leader Nigel Farage hailed it as the UK’s ‘independence day’ … Scottish First Minister Nicola Sturgeon said she was ‘absolutely determined’ to keep Scotland in the EU so a second Scottish independence referendum was now ‘highly likely’ … Boris Johnson, the ex-London mayor and public face of Vote Leave who is now a frontrunner to be next prime minister, said there was ‘no need for haste’ about severing the UK’s ties.”
BBC offers “Eight reasons Leave won”:“… the fact the public discounted so readily the advice of experts points to something more than just a revolt against the establishment. It suggested far more people felt left behind and untouched by the economic benefits of five decades of EU involvement being trumpeted … If they didn’t quite bet the farm on the issue of immigration, Leave played what they knew was their trump card often and they played it successfully.”
“‘Brexit’ Expected to Rattle U.S. Economy” says WSJ:“Top finance officials say the damage from the so-called Brexit alone isn’t likely to be enough to nudge the U.S. into a contraction. But as skittish investors pull out of U.K. and European markets and pour into the safety of U.S. assets, a falling pound and euro could cause the dollar to surge, further suppressing demand for American exports … U.S. officials worry a Brexit will weaken the U.S. economy if growth in America’s largest trading partner, the EU, takes a hit …”
NYT suggests global political and economic implications:“…the vote is likely to resonate as a sign that major democracies are increasingly vulnerable to the influence of populist political movements that curry favor by demonizing immigrants and external forces … The vote in Britain was ‘essentially against economic rationality and driven by identity concerns and unease about globalization and trade,’ said Nicolas VĂ©ron a senior fellow at Bruegel … ‘If such a vote can win in the U.K., that fosters among investors a sense of the likelihood that Trump can also win, and that will have an adverse effect on capital markets.'”
VP Biden delivers speech in Ireland today. LAT:“…Biden will warn Friday against ‘reactionary politicians and demagogues’ who blame immigrants for economic and societal unrest … Biden’s comments will come as Trump is also traveling abroad, just across the Irish Sea in Scotland.”

OBAMA'S DEPORTATION RELIEF BLOCKED BY SCOTUS

Tied court blocks executive action but sets no legal precedent. NYT:“The 4-4 tie … left in place an appeals court ruling blocking the plan … The decision was just nine words long: ‘The judgment is affirmed by an equally divided court.'”
Immigration now front and center in election. W. Post:“’We’ve got a choice about who we’re going to be as a country, what we want to teach our kids, and how we want to be represented in Congress and in the White House,” [President Obama said.] … [Hillary Clinton] pledged to introduce a comprehensive immigration reform bill within her first 100 days in office … The courts have halted ‘one of the most unconstitutional actions ever undertaken by a President,’ Trump said in a statement…”
Earlier executive action for DREAMers now threatened. Politico:“…Obama said no fewer than six times that the court’s deadlock effectively killing his second round of immigration executive actions would have no impact on Round One: his 2012 move granting work permits and other benefits to millions of undocumented immigrants whose parents brought them here while they were minors … [But l]awyers say there is little to prevent [state] officials … from moving to block or unwind DACA … [However,] moving to strip young people of their quasi-legal status could trigger a backlash against Republicans at the polls in November.”

SANDERS BACK ON STUMP

Sanders focuses on platform at NY rally. Time:“He promised a fight over the Democratic Party platform, saying he was committed to making sure it has an assault weapons ban, opposition to the Trans-Pacific Partnership and Social Security expansion—all proposals where Democrats see room for compromise … Sanders also predicted that he could bring to the convention floor a modern-day version of the Glass-Steagall Act…”
Sanders returns to the trail on behalf of down-ballot candidates. W. Post:“The New York speech kicked off at least 24 hours of rallies on the theme of where Sanders’s movement goes next. On Friday, the Vermont senator will give a similar speech in Albany … After that, he’ll rally for a supporter in Syracuse who’s waging a dark horse bid for Congress. Sanders hinted at more rallies for candidates to come, mentioning (but not naming) a state senate candidate in California whom he’d stump for soon.”

DEMS TAKE GUN CONTROL MESSAGE TO VOTERS

House Dems end sit-in as Republicans adjourn. CNN:“‘We are going to win,’ [Rep. John Lewis] told supporters on the Capitol steps after the sit-in was halted. ‘The fight is not over. This is just one step of when we come back here on July the 5th we’re going to continue to push, to pull, to stand up, and if necessary, to sit down. So don’t give up, don’t give in. Keep the faith, and keep your eyes on the prize.'”
Sen. Mitch McConnell kills bipartisan compromise bill. The Hill:“…McConnell, a master of the Senate’s arcane rules, provided cover for vulnerable Republicans who wanted to be seen as supporting the effort, but did not want to cross the National Rifle Association … Instead of setting up a vote to add the Collins legislation to the pending appropriations bill on the Senate floor, McConnell scheduled a vote to discard it. The Collins bill survived that test in a 46-52 vote, but it fell far short of winning 60 votes … The result allows Republicans to argue that no other action is necessary.”
Democrats “emboldened” says Rep. Nancy Pelosi:“The minority party in the House … has always had limited means of getting their message across. But now Democrats are finding new ways to amplify their voice … Democrats have not closed the door on future demonstrations but they reject the notion that protests will become their primary means of leveraging power.”
Dems believe gun control message will help this election year. W. Post:“The issue is expected to be a subject of attacks on Republican candidates in at least two House seats in upstate New York, five swing districts in Florida and districts in rural states such as Colorado, Iowa and Kansas, according to Democratic aides. In the Senate, where Republicans are defending 24 seats, Democrats expect that gun-control-themed messages will resonate with swing voters in Florida, New Hampshire, Ohio and Pennsylvania.”

BREAKFAST SIDES

Obama moves to reduce recidivism. Time:“On Friday, the Departments of Labor, Justice, and Education will announce new grant funding to programs aimed at helping former inmates get jobs and get an education … 67 two and four-year institutions that have agreed to enroll 12,000 people incarcerated … in both educational and training programs … The institutions were selected via the Second Chance Pilot Program, which circumvents a Congressional ban on using Pell Grant funds for prisoners.”
Puerto Rico running out of time for infusion of aid. Mother Jones:“The governor of Puerto Rico said Thursday that even if he completely shut down the island’s government, there would not be enough money to cover the roughly $2 billion in debt payments due July 1 … Garcia Padilla said that unless the PROMESA bill passes the Senate and is signed by the President, essential services will be cut, including what little the government could do to fight the spread of Zika…”

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