PolitiFact – Media Nation

The nuances of Biden’s 8% statement show why he was right — and why PolitiFact was wrong

Earlier this week I wrote that PolitiFact got it wrong on a claim by President Biden that billionaires pay just 8% of their income on federal taxes. PolitiFact said Biden’s assertion was “false,” and I disagreed. I got some pushback from several readers. On second thought, I decided I was incorrect. But on third thought, I’ve concluded that I was right.

Here is what Biden said Monday night:

And folks, you know we have 1,000 billionaires in America. You know what their average tax rate is? 8.2%. If we just increase their taxes, as we proposed, to 25%, which isn’t even the highest tax rate, it would raise $500 billion new dollars over 10 years.

The issue is complicated. Biden was basing his claim on the fact that unrealized stock market gains are not taxed. It’s only after you sell that you’re subject to the capital gains tax, which is 20% if your income is higher than about $500,000 (the actual income levels vary depending on marital status and how long you held the stock).

Since you can’t spend money that isn’t in your possession, and since you do actually pay taxes once you sell, then it might seem that PolitiFact was right and Biden was wrong. But not so fast.

First, the wealthy, and billionaires in particular, have multiple ways of lowering or even avoiding taxes on capital gains. Whizy Kim, writing for Vox in March of this year, put it this way:

How much tax a wealthy person owes in a given year is a complex tapestry threaded with exemptions, deductions, credits, and obscure loopholes you’ve never heard of. The ideal is to owe zilch. If that sounds impossible to achieve, just look at the leaked tax returns of the wealthiest Americans that nonprofit news site ProPublica analyzed in 2021: Over several years, billionaires Elon Musk, Jeff Bezos, and Michael Bloomberg, among others, paid no federal income taxes at all.

Her story, headlined “The billionaire’s guide to doing taxes,” outlines a number of tax-avoidance schemes, and obviously those options are not available to middle-class Americans. As James Royal writes for Bankrate: “While it can be easy to overlook, the IRS has clearly laid out how you can qualify for a 0 percent capital gains tax rate, and it’s not that difficult for most Americans to achieve.”

Second, Biden has actually proposed taxing unrealized capital gains, and Kamala Harris has endorsed that idea as well. So when Biden talks about billionaires paying 8%, he has something very specific in mind, and something that he would change if he had the opportunity. PolitiFact argues that the very fact that this is a proposal rather than the current reality makes Biden’s assertion false, but I think it’s just the opposite. In effect, he’s saying: Billionaires are paying a tax rate of just 8% on their income. Vice President Harris and I want to change that.

The second sentence doesn’t negate the first, entirely true sentence. In reporting on Biden’s proposal for MarketWatch, Victor Reklaitis writes:

Treasury officials offered their rationale for the proposed change, saying the country’s current approach with unrealized capital gains “disproportionately benefits high-wealth taxpayers and provides many high-wealth taxpayers with a lower effective tax rate than many low- and middle-income taxpayers.” They also said the current approach “exacerbates income and wealth disparities” and “produces an incentive for taxpayers to inefficiently lock in portfolios of assets and hold them primarily for the purpose of avoiding capital gains tax on the appreciation, rather than reinvesting the capital in more economically productive investments.”

You can agree with the Biden-Harris tax proposal or disagree with it, but it doesn’t change the reality that billionaires are paying about 8% of their income on federal taxes. (A White House report cited by PolitiFact says that 8% — to be more precise, 8.2% — is an estimate, and that the actual rate could be somewhere between 6% and 12%. The report also says the data pertain to the 400 wealthiest families. Biden cited 1,000 individuals, so maybe that amounts to the same thing.)

For Biden, it was a talking point — he didn’t take the time to define what he meant by income, and we shouldn’t expect that in political speeches. But by any measure of truth and accuracy, he was right and PolitiFact was wrong.

Bonfire of the fact-checkers; plus, Dems embrace the night, and Walz’s heartland appeal

The media fact-checkers have not distinguished themselves this week, torturing the language to find fault with statements by Democrats that, in some cases, are actually true.

Now, I’m going to confess that I was not following the fact-checkers during the Republican National Convention. But what I have found going back a number of years — as I wrote for HuffPost way back in 2011 — is that organizations like PolitiFact often twist themselves into knots to find negative observations to make about Democrats so they can achieve some sort of balance with Republicans, who were often untethered from the truth even before the rise of Donald Trump.

Fact-checkers for The New York Times and The Washington Post have both come under fire during this week’s Democratic National Convention. But I want to focus on PolitiFact, a Pulitzer Prize-winning project, which has produced some fact-checks that make you scratch your head. I’ve been following PolitiFact on Threads. Here are a few examples:

• On Tuesday, PolitiFact gave President Biden a “false” on its Truth-O-Meter for claiming that billionaires pay an average tax rate of 8.2%. The post linked back to a PolitFact story from last January that said:

The White House report found that if you include unrealized gains in the income calculations of the 400 richest U.S. families, then their taxes paid would account for just 8.2% of their income.

Economists and policymakers have long debated whether the government should tax unrealized gains. But Biden made it sound as if 8% was the standard rate today, not what would happen under a potential future proposal.

In other words, Biden was correct under PolitiFact’s own analysis.

• On Wednesday, PolitiFact slapped J.B. Pritzker on the wrist: “Illinois Gov. J.B. Pritzker said Trump told ‘us to inject bleach’ during the pandemic. That’s Mostly False. Trump’s 2020 comments about treatments were criticized, but he didn’t tell people to inject or ‘take a shot’ of anything.”

Pritzker’s statement was labeled as “mostly false.” Yet here’s a BBC report from 2020 that quotes Trump’s exact words: “And then I see the disinfectant where it knocks it out in a minute. One minute. And is there a way we can do something like that, by injection inside or almost a cleaning?”

Pritzker was right on the facts, the nuance and the context. Full stop.

• Two more from Biden: PolitiFact said the president’s assertions that Trump wants to cut Medicare and Social Security were “mostly false” because — God help us — “When he was president, Trump released annual budgets that proposed cutting Medicare but he has repeatedly pledged throughout the 2024 presidential campaign that he will not cut the program” and “Trump has said in the past that he’s open to cutting Social Security, but this isn’t his current position.”

I’m sorry, but that’s just embarrassing.

The late show

A number of observers, me included, have been puzzled by the DNC’s schedule, which has resulted in the main speaker of the night taking the podium after 11 p.m. The swing states of Pennsylvania, North Carolina, Georgia and most of Michigan are all in the Eastern time zone, and presumably you don’t want soft supporters and undecided voters to go to bed before hearing from the Obamas, Tim Walz and, tonight, Kamala Harris.

But it may not have made much difference. According to Craig Harrington of the liberal organization Media Matters for America, the audience for President Biden fell off only 2%. “Not ideal, but not disastrous either,” he wrote on Twitter/X.

I’m going to go out on a limb and guess that no one is going to invest a couple of hours tonight and then tune out just before Harris comes on. Still, it strikes me that it would have been a good idea to wrap up each night’s proceedings before viewers decide they’ve had enough.

Walz from the heart

Tim Walz’s short, punchy address and Oprah Winfrey’s speech were pitch-perfect.

Those who thought that Harris should have picked Josh Shapiro as her running mate may have changed their minds Wednesday night, as Shapiro delivered a perfectly serviceable but rather generic address. Walz, by contrast, was folksy and empathetic, speaking to the heartland in a way that the Democrats haven’t done in many years. You had to love his former football players taking the stage, too.

What can I say about Bill Clinton? It was interesting to see that some women I follow on Threads were tuning out. Given his history, I couldn’t believe that he glommed onto the dick joke President Obama indulged in — funny coming from Obama, creepy from Clinton.

Clinton also spoke way too long and just sort of rambled. I know that some viewers loved it, and I’ve heard from a few. I also understand that a former president can’t be denied his place at the podium. But I was glad when it was over.

Fact-checking in the Age of Trump: Why false equivalence is harming democracy

Previously published at WGBHNews.org.

Have the media engaged in false equivalence when it comes to political lying? Do fact-checkers nitpick statements by Democrats in order to seem fair and balanced when they go after President Trump’s numerous and blatant falsehoods?

That proposition might seem ludicrous. After all, The Washington Post last month announced that Trump had made more than 12,000 false or misleading statements since his inauguration in 2017. Daniel Dale of CNN tracks every Trumpian falsehood — writing, for example, that the president “made at least 26 false claims” at a rally in New Mexico on Monday. PolitiFact has rated fully 69 percent of Trump’s public utterances as false to some degree, and 14 percent as being so at odds with reality that they have earned the coveted “Pants on Fire” rating.

And that’s just the tip of the journalistic iceberg. Indeed, if the media have told us anything about Trump over these past few years, it’s that he spews lies so freely that his every word and every tweet is suspect. So what do Democrats have to complain about?

This: Despite the media’s admirably tough-minded stance on Trump’s falsehoods, they are nevertheless holding Democrats to a much higher standard. Most politicians exaggerate, butcher the facts or shade the truth, and journalists should take note when they do. But the press should also be careful to point out the difference between standard-issue rhetorical excesses and the sort of gaslighting that Trump engages in on a daily basis.

Last week Michael Calderone of Politico wrote an important story about Democratic complaints regarding the fact-checkers’ embrace of false equivalence. He began with the example of Bernie Sanders’ claim that “500,000 Americans will go bankrupt this year from medical bills.” The Washington Post’s Fact Checker column awarded three Pinocchios (out of a possible four) to Sanders — not because he was completely wrong, but because medical bills were only one factor in those 500,000 bankruptcies. Meanwhile, Calderone noted, the Post also gave Trump three Pinocchios for claiming that large swaths of his border wall have been already built when, in fact, none of it has.

The Sanders example is a matter of factual interpretation. The Trump example is somewhere between a hallucination and a lie. Yet they each got the same rating. How can this be?

One explanation is that journalism, steeped as it is in notions of fairness and balance, is unequipped for the extraordinary challenge of the Trump era. Calderone offered several other instances of Democrats’ words being parsed for shades of nuance so that they could be labeled as lies. He also wrote that “several prominent fact checkers said they don’t believe their job has changed when it comes to holding politicians accountable for their words on the stump and in TV studios, despite Trump’s persistence falsehoods.” And he quoted PolitiFact editor Angie Drobnic Holan as saying, “Two wrongs don’t make a right.” OK. But everything is not the same.

Consider an example that Calderone didn’t cite: Joe Biden’s recent mixing up of three separate stories about honoring a heroic soldier who had tried to save a comrade in Afghanistan. Yes, Biden botched it pretty badly, but the essential truth of what he was trying to say came through. Yet The Washington Post headlined it, “As he campaigns for president, Joe Biden tells a moving but false war story.” False? Not really. More like Biden being Biden, lacking the discipline to master the details and not understanding why it matters.

Or how about two years of obsessing over Hillary Clinton’s private email server while the news that Trump uses an unsecured cell phone, reported last October in The New York Times, got about two minutes’ worth of attention — even though Chinese and Russian spies were reportedly listening in on Trump’s calls.

Those last examples aren’t about lies and fact-checking. But all of this is grounded in a larger, more enduring issue — accusations of liberal bias on the part of conservatives, and the duck-and-cover response from too many journalists whose politics may indeed be liberal but who bend over backwards to torment liberal politicians. Eric Alterman, in his 2003 book, “What Liberal Media?,” called it “working the refs,” and it goes back at least to Spiro Agnew’s famous nattering nabobs of negativism speech of 1970.

In 2012 — a more innocent time — I wrote in The Huffington Post that one of the big problems with fact-checking was that politicians’ false or partly false statements were rarely full-blown lies, but that ratings like Pinocchios or “Pants on Fire” suggested that every falsehood was a lie. “The fact-checkers are shifting from judging facts to indulging in opinion, but they’re not necessarily doing it because they want to,” I wrote. “They’re doing it because politicians don’t flat-out lie as frequently as we might suppose.” Now we have a president who lies so promiscuously that the fact-checkers seek out minor factual discrepancies among Democrats so it won’t seem like they’re picking on Trump.

In a report for Harvard’s Shorenstein Center, Thomas Patterson found that press coverage of Hillary Clinton in the 2016 campaign was actually more negative than that of Trump. In other words, her emails were treated the same as or worse than her opponent’s racist outbursts, the “Access Hollywood” tape, corruption at the Trump Foundation and so much more.

“Indiscriminate criticism has the effect of blurring important distinctions,” Patterson wrote. “Were the allegations surrounding Clinton of the same order of magnitude as those surrounding Trump? It’s a question that journalists made no serious effort to answer during the 2016 campaign. They reported all the ugly stuff they could find, and left it to the voters to decide what to make of it.”

Now we are moving into yet another presidential election season. The problem for 2020, as it was for 2016, isn’t that the media won’t report negative information about Trump. It’s that they will report negative information about his opponents in such a way that it all looks the same. In that respect, Democratic complaints about fact-checking that may seem trivial are actually emblematic of a much deeper problem with journalism: the primal urge to treat both sides equally, to be seen as fair, to avoid accusations of liberal bias.

It’s going to be an ugly, brutal campaign, and Trump’s going to drive the agenda once again. Are the media up to the challenge? The evidence suggests that the answer to that question is no.

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Fact-checking the fact-checkers on an “act of terror”

In claiming that President Obama was not fully truthful last night regarding when he said he labeled the attack on the U.S. consulate in Benghazi, Libya, an “act of terror,” the fact-checkers are adopting as their own the manner in which Gov. Mitt Romney wants to frame it. The attack claimed several American lives, including that of Ambassador Christopher Stevens.

When the exchange took place, Romney appeared to be wildly, extravagantly wrong in claiming it took Obama two weeks to utter those words. He never fully regained his composure after moderator Candy Crowley read a transcript in which Obama, in a Rose Garden address the day after the attack, spoke of it in the context of “acts of terror.”

And it turns out that Obama said it again two days later: “I want people around the world to hear me: To all those who would do us harm, no act of terror will go unpunished.”

Hard to be much clearer than that. Yet look at how some of the leading fact-checkers handled it.

• PolitiFact, on Obama’s insistence that he labeled it an “act of terror” right from the beginning: “Obama described it in those terms the day after the attack. But in the days that followed, neither he nor all the members of his administration spoke consistently on the subject. There were many suggestions that the attack was part of demonstrations over an American-made video that disparaged Islam. We rate the statement Half True.”

• FactCheck.org, on Romney’s claim that it took Obama withheld the terrorism label for two weeks: “Romney isn’t entirely wrong. Romney claimed Obama refused for two weeks after the Benghazi attack to call it a terrorist attack and, instead, blamed it on a spontaneous demonstration in response to an anti-Muslim video that earlier that day triggered a violent protest in Egypt.”

• The Washington Post: “Romney’s broader point is accurate — that it took the administration days to concede that the assault on the U.S. mission in Benghazi was an ‘act of terrorism’ that appears unrelated to initial reports of anger at a video that defamed the prophet Muhammad. (The reporting is contradictory on whether there was indeed a demonstration outside the mission.) By our count, it took eight days for an administration official to concede that the deaths in Libya were the result of a ‘terrorist attack.'”

It’s pretty easy to see what’s going on here. Romney has attempted to frame the issue as though any suggestions from the White House that the attack may have had something to do with the inflammatory video “Innocence of the Muslims” are incompatible with Obama’s statements that the attack was an “act of terror.”

But why should that be so? Why are they mutually exclusive? Obama said from the start that the attack was an “act of terror,” he repeated it and he hasn’t wavered on it. The administration has wavered on what role the video might have played. It’s worth noting that the New York Times, which had people on the ground in Benghazi, stands by its reporting that the anger stirred up by the video actually did play into the attack. The terrorist attack, if you will.

The administration’s response to the Benghazi attack has not been a shining moment, and Romney had plenty to work with. So it was obviously a huge mistake on Romney’s part for him instead to dwell on whether and when Obama labeled it an “act of terror” rather than focusing on the reasons for the security breakdown and shifting explanations for what went wrong.

But thanks to the fact-checkers’ genetic disposition to throw a bone to each side regardless of the truth, Romney’s mistake looks less damaging today than it did last night.

Photo (cc) by Cain and Todd Benson and republished under a Creative Commons license. Some rights reserved.

Falsehoods too blatant for the media to ignore

When you claim that President Obama was responsible for the closing of an auto plant that actually shut down before President Bush left office, people are going to notice. The question is whether anyone will care.

Republican vice presidential candidate Paul Ryan delivered a speech Wednesday night that was unusual for its deliberate mendacity, even by the rough-and-tumble standards of political combat. Right after he finished, the usually timid souls of CNN praised his address for its tone and approach, but volunteered that the fact-checkers would surely have something to say.

Indeed. FactCheck.org, nonpartisan and often cautious to a fault, reports that Ryan’s speech “contained several false claims and misleading statements” — the auto-plant closing as well as the Surety Bond cost, of course, but also:

Criticizing Obama’s $716 billion reduction in the future growth of Medicare when Ryan himself, before joining the Romney ticket, had embraced those same cuts.
Taking Obama to task for the ratcheting down of the federal government’s credit rating even though Standard & Poors specifically blamed congressional gridlock.
Blaming Obama for the failure of the Simpson-Bowles deficit commission’s recommendations without mentioning that he himself had a key role in ensuring they would fail.
Falsely claiming that none of the more than $800 billion in stimulus money went to American workers.

FactCheck competitor PolitiFact rated Ryan’s auto-plant whopper as “false” and his Medicare claim as “mostly false.”

New York University journalism professor Jay Rosen recently wrote a provocative blog post on the media’s encouragingly aggressive response to a much bigger lie being perpetrated by the Romney-Ryan team — that Obama had loosened the work requirements for welfare recipients.

The problem is that though the media have deviated from their usual he-said/he-said/you-decide formula in frankly labeling the welfare claim a falsehood, the Republicans keep using it on the theory that it’s working. And there’s little evidence that the media’s diligence will make any difference with the public, which is likely to chalk it up to politics as usual.

As for the notion that “both sides do it,” well, they do and they don’t. I think Rosen gets it exactly right:

If you’re wondering: do I recognize that the Obama forces have also used deceptive, depraved and untrue claims? Yes. I do. These stand out: Romney didn’t say he likes firing people in the way some Democrats and TV personalities have suggested, so that counts as a kind of lie. The Priorities USA ad that suggested (without quite saying it) that Bain Capital was somehow responsible for the death of a steelworker’s wife: that goes in the depraved category. When the White House claimed it knew nothing about the case that was clearly untrue — pathetic, really. The refusal to condemn the ad was a black mark, as well. Obama ads calling Romney “outsourcer in chief” were over the top and relied on false or overblown claims.

In my view these are serious transgressions. And in my view they do not compare to the use of falsehood and deceptive claims in the Romney 2012 campaign. Nor is there anything coming from the Obama machine that is like the open defiance of fact-checking we have seen from Romney and his team.

Romney delivers his acceptance speech tonight. It will be interesting to see whether he takes the high road, content to let his running mate do the dirty work — or if he will dive into the muck himself.

Photo (cc) by Gage Skidmore and republished under a Creative Commons license. Some rights reserved.

PolitiFact and the limits of fact-checking

The Pulitzer Prize-winning website PolitiFact.com is taking heat from liberals and conservatives alike these days. In my latest for the Huffington Post, I argue that the problem is with the genre itself: perceptions about politicians aside, there just aren’t enough lies to feed the fact-checking beast.