V21, N22 Thursday, Feb. 4, 2016 Civil rights consequences unclear it had reached his desk. “I’m SB344 demise reveals especially grateful for the civil- Pence siding with base, ity and the thoughtfulness that leaders of both political parties legislative election battles showed as they considered that issue.” coming, economic fallout There appears to be little fear of political retribution and could become issue this won’t happen unless there is the kind of political assault By BRIAN A. HOWEY that took Sen. Steve Johnson INDIANAPOLIS – Gov. Mike Pence out in 2002, Senate Finance has delivered for Monica Boyer and Rev. Chairman Larry Borst in 2004 Ron Johnson. Heading into a tough reelec- and Senate President Pro Tem tion bid, his social conservative base is Robert Garton in 2006. Those more secure now that SB344, the LGBT were all challenges waged civil rights expansion, is dead. But this against moderates from the episode underscored the narrative, even right. within his base, that he is a weak, indeci- The moderates and the sive “Chance the Gardner” governor. His various business consortiums fate with moderates and independent vot- seeking the extension have no ers is undecided. political mojo for retribution, “I believe in the legislative pro- other than to close their check- cess, and I respect the outcome of the books to the Pence campaign, deliberations on that legislation,” Pence said Wednesday, without saying whether he State Sen. Travis Holdman withdraws SB344 on Tueday. would have been inclined to sign SB344 if Continued on page 4 Acolytes of the cataclysm By BRIAN A. HOWEY WEST LAFAYETTE – Donald Trump, Ted Cruz and Bernie Sanders may be early precursors of an upheaval over the American horizon. The United States has experi- enced seismic events that profoundly changed the nation about every 80 years, ranging “Even though the legislature from the American Revolution, to the Civil War, to the Great booted their responsibility, I am Depression and World War II, afraid that if municipalities which ended 71 years ago. These candidates could be aco- create all these ordinances, we lytes for a coming cataclysm. Just hours before the will be left with a hodge-podge of Iowa caucuses, I spent more laws around the state.” than an hour with Purdue President Mitch Daniels at his - Elkhart Council President Hovde Hall office. Daniels could Brian Thomas (R) on LGBT have been on the Republican Page 2 ballot that night if not for a fateful But the change gripping the family decision in May, 2011, not to United States today is worrisome to pursue presidential politics. He’s been Daniels. “Watching as openmindedly on record as believing he could have as I can, reading as much as I can, won the 2012 Republican nomination, I am not sure the transition from the but doesn’t believe he could have early knowledge-based or modern defeated President Obama (I beg to knowledge-based economy automa- differ). And he believes he would have tion . can easily replace a lot of had little chance in jobs we’ve had. It’s today’s middle-finger not yet clear to me Howey Politics Indiana mood in Republican that it will create suf- WWHowey Media, LLC 405 politics. ficient categories of Massachusetts Ave., Suite Today, new high-paying jobs. 300 Indianapolis, IN 46204 Daniels maintains Whether there will his political “celi- be enough of them www.howeypolitics.com bacy,” though he to support a grow- responded to several ing population and a Brian A. Howey, Publisher broader questions middle class like we’ve Mark Schoeff Jr., Washington about what Ameri- known, that’s what is Jack E. Howey, Editor cans are experienc- bothering me.” ing in this fascinating Up and down Mary Lou Howey, Editor 2016 cycle. Several the economy, in- Maureen Hayden, Statehouse of his answers came novation is changing Mark Curry, photography in the context of his role at Purdue. employment opportunities. Google has Insurgent candidates like replaced newspaper office librarians. Trump and Cruz on the Republican Robotics have replaced auto assembly Subscriptions side and Sanders captured roughly line workers. The driverless car could HPI, HPI Daily Wire $599 50% of the vote in Iowa Monday be throwing hotel valets out of work. HPI Weekly, $350 night. It prompted the New York Proficient data breakthroughs have Ray Volpe, Account Manager Times to report on Wednesday: “For the potential to rip through a wide 317.602.3620 the first time in recent history, insur- strata of upper middle class white col- gent candidates on both the left and lar workers from attorneys to CPAs. email: [email protected] the right are emerging from the cau- Daniels describes himself Contact HPI cuses with enough money to finance a as a “congenital optimist” who tends [email protected] strong offensive in the weeks ahead, to see “human ingenuity triumph over Howey’s cell: 317.506.0883 across electoral terrain.” and over.” He notes that many books But more specifically, this have been written about the collapse Washington: 202.256.5822 angst among voters is fielded by a of the American economy and middle Business Office: 317.602.3620 difficult transition from a manufactur- class. He points to cleaner water and ing economy, to services, and now air, safer work environments and an © 2016, Howey Politics knowledge-based industries, which increase in food production as reasons Indiana. All rights reserved. has been significantly different than for optimism. The “poor” people of to- the change from an agrarian economy day own devices that were out of the Photocopying, Internet forward- a century ago to one of heavy, pro- reach of rich people just a generation ing, faxing or reproducing in duction line industries that trans- ago. On the other side is production any form, whole or part, is a formed Indiana. processes that refine work loads. “The violation of federal law without “Every time human ingenu- benefits of science and of the tech- permission from the publisher. ity has created one of these transfor- nological advances this place is full mations, people have worried,” Dan- of are going to be great for society,” iels acknowledged. “They see what is he said, referencing Purdue. “Those being lost. It won’t take a third of us benefits are going to be produced by to grow food. What’s everybody going fewer and fewer people. The folks to do? Every time up to now, the new who are worried, and I am one of economy produced more opportunities them, are disturbed about income than the old one did, not to mention inequality and they are yelling about better pay and safer jobs. You can go the wrong things.” broke betting against that.” What should they be yelling Page 3 about? driven by the growing size of the upper-income tier and “They shouldn’t be yelling,” Daniels said. “When more rapid gains in income at the top. Fully 49% of U.S. something like 200 or 300 people at Instagram each aggregate income went to upper-income households in makes more than George Eastman (of Eastman Kodak) 2014, up from 29% in 1970. The share accruing to middle- made in his whole life, that’s where you’re getting this income households was 43% in 2014, down substantially concentration of wealth. It has nothing to do with the tax from 62% in 1970.” system. We’ve moved into this so-called winner-take-all So Pew underscores a coming “tipping point,” economy. If a few people happen to hit on a better mouse and Daniels maintains that “keeping the Republic” literally trap, they can go to 80 or 90% market share just like that. is at stake. There are huge dollars associated with it, but it doesn’t “We’re at that point? The stakes are that high?” I take many people to do it. I’m worried about the structure asked. of the economy. It would only “Yes,” Daniels said. “Right now, in be made worse by much of ways that most Americans have never what is being offered politi- heard about, we are, in my view, im- cally.” morally punishing the young genera- This is where Daniels tions of this country. We are borrowing gingerly observed the cur- not for investments in their future . rent political dynamic fueling . but simply to support current con- Trump, Cruz and Sanders. “It sumptions. We are piling debts on top. is, to me, distressing that at We are pleased to bring down student least for the moment, we’re debt at Purdue. We really worry about not hearing from the apparent student debt. Every student I look at, frontrunners anything I consid- with or without a student loan, has er constructive about eco- $50,000 in national debt and climbing nomic growth,” Daniels said. quickly.” “We cannot keep limping along Daniels added, “We’ve set up at 1% and 2% growth rates and have the opportunity at a health care system (the Affordable Care Act) that you creating the number of jobs we need and the family-sup- can love or dislike, but it is another income transfer from porting incomes; no way in the world to get there at the young people to older people. Explicitly, they can’t get rates of the last eight years. I don’t think the frontrunners enough young people or healthy people into the pool, have had anything constructive to say. The things both right? Even its advocates would openly say this is about parties are saying would be destructive in my opinion. And further burdening young people at the further benefit of then they have nothing to say about the other issue, which their elders.