Consumer Confidence Bounces Off a 62 Year Low

BY COLIN WILSON-MURPHY

Surprisingly, consumer confidence strengthened in July 2008 (consumer confidence increased 8.5% month over month). Perhaps a small increase in consumer sentiment is not terribly surprising as more consumers than any time since the first University of Michigan survey was conducted in 1946 reported that their financial situation had worsened in June 2008. “Even after the July gain, the overall level of consumer confidence is dismal and still points toward declines,” said Richard Curtin, the Director of the Reuters/University of Michigan Surveys of Consumers.

In July, the extent of the economic damage reported by consumers remained alarming. Nine-in-ten consumers thought the economy was in recession while six-in-ten consumers expected the unemployment rate to rise (unemployment currently stands at 5.5%). “The appraisals of consumers of their own finances as well as conditions in the national economy remained very negative,” Curtin said.

There is little question today that the last few years preceding the onset of what has now been dubbed the “credit crunch” was nothing short of one long credit fiesta, the combined result of a buoyant economy and robust capital markets.  Low interest rates and abundant liquidity meant seemingly unrestricted access to capital for all.  However, the party didn’t last for long as nine-in-ten consumers now believe the economy is in a recession, with record numbers citing unfavorable news about rising prices, lost jobs, slowing economic growth, falling stock prices, and the continuing fallout from the credit and housing crises. 

Supporting Clean Water

By DAN MALLOY

This past Saturday, I attended the Morris Democratic Town Committee’s benefit for the Bantam Lake Protective Association.  I was given the chance to speak for a few moments about the importance of preserving the environment and protecting Connecticut’s precious natural landmarks.  

The event on Saturday, geared toward improving the lake’s water quality, was held in partnership with the Bantam Lake Protective Association, the Housatonic Valley Watershed Association and the Rivers Alliance.  I encourage you to visit their websites, sign up to help and get involved in Connecticut’s natural water and aquatic wildlife conservation effort.

Waterbury’s Republican American covered the event but the article is not yet available online.  Click here to view a pdf version.

Getting Involved Early

By MATTHEW ZAGAJA

While the media has been abuzz with reports about youth voter registration and turnout, there is one group of people that can’t vote, but are still getting involved. High school students might not be able to go to the polls on Election Day, but that does not mean they can’t make sure their voices are heard. Many high schools in Connecticut have Young Democrats (and Teenage Republican) clubs that work with their local town committees to help students get involved with local politics.

Here in Connecticut, rising high school seniors from schools in the first and fifth congressional districts are given a chance to travel to Washington DC and meet with our congressional delegation as part of a program put together by the Democratic Town Committees. The trip typically takes place the week after school gets out and is an opportunity for students to meet with other civically minded students from neighboring towns.  As someone who has been on one of the trips, I can say the Connecticut Congressional Delegation is typically generous with their time, some even meeting with the groups for an entire hour of discussion. It becomes an opportunity for the students to learn about government and for the members of congress to get an insight into what young people think about the issues of the day.

It does not stop there. After returning from Washington DC the students continue to meet on a monthly basis to listen to speakers, and discuss getting involved in their own communities. They serve as leaders in their schools to other students that want to be involved as well. Students often help their local town committees with elections, and get involved in local charity events.

While many students involved will not necessarily choose to be involved in government or politics as a career choice, I can vouch for the fact that those who have been involved stay politically aware, maintain the friendships, and will continue to try and stay active as they grow. By investing in our youth at that age, they continue to invest back in our democracy.

If you are interested in getting involved or starting a high school group of your own, please do not hesitate to contact me at mzagaja@snet.net.

Interview with Colin McEnroe

By ARIELLE REICH

In case you missed Dan’s interview with Colin McEnroe and Theresa Pelham on Tuesday’s edition of Afternoon Drive, listen to it here.

Notable Omissions

By DAN MALLOY

In the past two days Governor Rell has announced the formation of two separate panels of thinkers to work together to improve conditions in the state. Both are noble causes, but within each panel’s membership list, there is one striking absence: Labor.

Yesterday, the Governor introduced an advisory council whose purpose is to advise and assist the Governor on matters related to military and defense, such as “military bases, homeland security, defense industries and the quality of life of service members in Connecticut.”

Since Connecticut is the home of over 165,000 active and reservist military personnel, I commend the idea of a council dedicated to support these men and women and their families. However, I did take note of the fact that in the list of members to the council, which includes various military and defense representatives and members of the business and manufacturing communities, there is no representation from labor.

One of the first things I think about in considering the defense industry in Connecticut is the thousands of worker needed to build military equipment and support our homeland security effort, with Electric Boat in Groton and Sikorsky in Stratford coming to mind, among others.

Today, the Governor once again omitted labor from the Innovative Idea Initiative, a program designed to encourage current and former state employees to share ideas on how government can save money. In the past, similar initiatives included state employee unions, but this time around, Governor Rell deliberately wants to leave them out. How can we have an honest discussion about jobs and spending yet leave out the workers who fill these positions?

Any conversation about jobs is worthwhile; let’s just make sure we bring everyone to the table.

Afternoon Drive

By DAN MALLOY

Tune in to Afternoon Drive on WTIC News/Talk 1080 from 3-6 pm today.  I’ll be talking politics with with Colin McEnroe and sharing some ideas regarding the issues and challenges that face Connecticut today.

Questionable Cuts

By ARIELLE REICH

In this this economic climate, many people in Connecticut have had to cut back on goods and services we may have taken advantage of in the past, and make individual sacrifices, such as taking fewer shopping trips or riding a bicycle instead of driving.  These are easy steps we can all take to ease the burden, but when it comes to the bigger picture of state services, sacrifices must also be made with careful consideration and sensitivity to the growing deficit.  The Governor’s recent cuts have been getting quite a bit of negative attention in recent months, with the growing sentiment that her priorities are off-course.

The budget cuts have added to the public frustration surrounding the Governor’s steady habit of saying one thing and doing another.  First, there was the plea for “staycations“ that was followed weeks later by an out of state vacation, and now, the focus turned to the environment as the Governor ignored the legislature’s work to cut carbon emissions and instead tried to score easy, short sighted political points with the rebate plan on emission permits.

Then there are some more troubling aspects, such as the cut of over 11 million dollars from the state’s judicial department. It is ironic that the Governor has spent so much time and energy pushing the “three strikes law” and subsequently cuts the programs that, unlike three strikes, have been proven to help reduce crime and recidivism.  In light of the spikes in criminal activity for some of Connecticut’s big cities, it should go without saying that our already pinched programs need as much funding as possible earmarked for reducing crime.

The cuts in funding to cities, which are getting worse with each passing year of the Rell administration, have left leaders with no choice but to cut back on services from reading and early childhood education programs to AIDS assistance and help for the homeless.  Turning away from the principle that cities need to be strengthened for our state to grow is what will put us in big trouble in the coming years.  With strong cities, our state will be in a better position to grow jobs, attract young workers and strengthen our social services so that we can deal with the current economic situation and prosper in the years ahead.

Sunday’s Face the State Interview

By ARIELLE REICH

Here is a video clip of Dan’s appearance on Face the State yesterday:

Face the State

By DAN MALLOY

I hope everyone is enjoying the beautiful summer weather in Connecticut this weekend. 

On Sunday at 11 am, step indoors and turn on Channel 3 Eyewitness New for Face the State with Dennis House.  I will be on the show discussing some of the critical issues that face us in Connecticut today.  Be sure to tune in!

Fit Schools?

By COLIN WILSON-MURPHY

According to the July issue of “Pediatrics: Official Journal of the American Academy of Pediatrics”, as children move to higher grade levels, their school food environments become less healthy.  The study entitled, “School Food Environments and Policies in US Public Schools”, found that the kinds of foods that students can purchase at their public middle schools or high schools are far less healthy than the food available to children attending elementary schools.

Are you surprised?  Vending machines have almost become a staple in many of Connecticut’s middle and high schools.  While vending machines were found in just 17% of elementary schools, they were found in 82% and 97% of middle schools and high schools, respectively. You can bet that these vending machines are stocked with sodas, cookies, candy bars and many other high sugar content treats.  In fact, the study found that 91% of US high school vending machines sell at least some unhealthy foods.

From a pure sales perspective, I would be incentivized to install such vending machines in a middle school and high schools, as opposed to elementary schools where students have little access to discretionary income.  On face value it looks like the main difference between the lower and higher grades is the greater availability of unhealthful foods and beverages for older students, because those older students have greater autonomy and greater access to discretionary income.

With less than 20% of secondary schools offering low-fat lunches, one can not help but wonder if the findings in this recent study imply that adults, when left to our own devices, will migrate towards, and indulge in, significantly unhealthier environments than those found in many US high schools.