What does $23 million in donations to public television get you? A lot more than a tote bag, according to The New Yorker’s Jane Mayer. A New York public television outlet, WNET, went to great lengths to placate conservative industrialist David Koch as PBS aired an Alex Gibney documentary on income inequality that focused on the conservative billionaire. The president of WNET called Koch and offered to let him film a roundtable discussion that would air after the documentary, among other conciliatory gestures. The controversy reportedly also prompted PBS to back off another Koch-focused documentary in the pipeline. All the placation didn’t work: Koch resigned from his position on WNET’s board and reportedly canceled a large donation. Also, according to Koch’s doorman, Koch’s philanthropy doesn’t extend to tips. “We would never get a smile from Mr. Koch,” he says in the Gibney film. “Fifty-dollar check for Christmas, too—yeah, I mean, a check! At least you could give us cash.”

Jane Mayer:

Shortly before “Park Avenue” aired, Melissa Cohlmia, the chief spokesperson for Koch Industries, sent WNET a two-paragraph statement criticizing the film as “disappointing and divisive.” Cohlmia acknowledges, however, that neither she nor Koch had watched it. WNET aired the statement, unedited, immediately after the film. Cohlmia said that she based the critique on the trailer.

The weekend before “Park Avenue” aired, Gibney said, it was clear that “something weird had happened.” Shapiro called him at home. “He was very upset,” Gibney said. “They were thinking of pulling the program.” Gibney was told that the most pressing problem was Charles Schumer, the Democratic senator from New York. Schumer’s staff had called WNET, arguing that “Park Avenue” falsely accused the Senator of supporting tax loopholes for hedge-fund managers. Gibney double-checked his research and stood by his interpretation. Nevertheless, Shapiro told him that he planned to allow Schumer to add a response after the broadcast. But, Gibney noted, “Shapiro told me nothing about the Kochs.”

Gibney gives credit to Shapiro and WNET for airing his film uncensored. He is disappointed, though, that the station gave Koch and Schumer the last word. “They tried to undercut the credibility of the film, and I had no opportunity to defend it,” he said. Moreover, WNET replaced the introduction to “Park Avenue,” which was delivered by the actor Stanley Tucci, with one calling the film “controversial” and “provocative.” Gibney noted that he had asked to interview the Kochs while making “Park Avenue,” but they had refused. Cohlmia initially denied this, but after Gibney’s office provided me with the relevant e-mails she acknowledged that she had been contacted.

Shapiro emphasized that, by showing the Gibney film, he had made “the right call.” Still, spokespeople at WNET and PBS conceded that the decision to run the rebuttals was unprecedented. Indeed, it was like appending Letters to the Editor to a front-page article. Gibney asked me, “Why is WNET offering Mr. Koch special favors? And why did the station allow Koch to offer a critique of a film he hadn’t even seen? Money. Money talks.” He added that the Kochs’ willingness to issue a disclaimer without seeing the film “does not give me much confidence about how they might run the Tribune’s newspapers.”

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[NSFW-Language]

This is your Moment of Clarity #230: A new report says that the CEO to worker pay gap has increased 1,000% since 1950. And how the f*ck could I make this out to be good news?

The Moment of Clarity Show Kickstarter is still underway, if you'd like to help keep the show going.

Keep fighting,

Lee

No surprises here, but in a new study the Bloomberg administration has found that half the residents of New York City are "poor" or "near-poor," meaning that they were "making less than 150 percent of the poverty threshold." A small increase in the number of poor-- 3 percent since 2009 -- yet again, a telling marker in the city with the billionaire mayor and over 50,000 homeless men, women and children sleeping in shelters each night.

The city’s analysis warned that cutbacks in federal programs could threaten any recovery and place pressure on the next mayor to maintain or expand public assistance.

“The recent increase in the state minimum wage affects the working poor and near-poor, and paid sick days are important, but missing rungs in the ladder make it really hard to climb out of poverty,” said Nancy Rankin, vice president for policy research and advocacy at the Community Service Society, which lobbies on behalf of the poor.

New York City's billionaire mayor, btw, opposed both the minimum wage increase and paid sick days.

America’s most iconic city now has the same inequality index as Swaziland, note the editors at The Nation.

America is in the grip of a societal economic panic. Lawmakers cry “We’re broke!” as they slash budgets, lay off schoolteachers, police and firefighters, crumbling our country’s social fabric and leaving many Americans scrambling to survive. Meanwhile, multi-billion-dollar American corporations like Exxon, Google and Bank of America are making record profits. And while the deficit climbs and the cuts go deeper, these corporations -- with intimate ties to our political leaders -- are concealing colossal profits overseas to avoid paying U.S. income tax.

"We're Not Broke" is the story of how American corporations have been able to hide over a trillion dollars from Uncle Sam, and how seven fed-up Americans from across the country, take their frustration to the streets and vow to make the corporations pay their fair share.

More here.

At the National Press Club, the citizen’s lobby Common Cause held a conference commemorating the 40th anniversary of Watergate. Kicking off the conference was economist Robert Reich, former secretary of labor under President Clinton. In this audio exclusive at the event, Moyers & Company senior writer Michael Winship talks with Reich about the ways in which Washington has changed since Watergate, and how the influence of money continues to corrupt politics and exacerbate income inequality in America.

At the conference, Reich said that despite the crisis, America’s response to Watergate was, in many respects, “a huge success… Watergate should be considered a moment when government showed its resilience.” In the wake of wrongdoing by the president and those closest to him, Reich argued, the rest of the government and the American people rose to the occasion in the way our democracy’s founders would have hoped. There was campaign finance reform, increased transparency and limits placed on presidential power but, he added, in recent years, much of what was accomplished post-Watergate has come undone.

Also listen to Michael Winship’s conversation with Russ Feingold at the same conference.

Full transcript of the discussion below the fold.

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Tax the rich: An animated fairy tale, is narrated by Ed Asner, with animation by Mike Konopacki. Written and directed by Fred Glass for the California Federation of Teachers. An 8 minute video about how we arrived at this moment of poorly funded public services and widening economic inequality. Things go downhill in a happy and prosperous land after the rich decide they don't want to pay taxes anymore. They tell the people that there is no alternative, but the people aren't so sure. This land bears a startling resemblance to our land.

The wealth gap between the richest Americans and the typical family more than doubled over the past 50 years.

In 1962, the top 1% had 125 times the net worth of the median household. That shot up to 288 times by 2010, according to a new report by the Economic Policy Institute.

That trend is happening for two reasons: Not only are the rich getting richer, but the middle class is also getting poorer.

Most Americans below the upper echelon have suffered a decline in wealth in recent decades. The median household saw its net worth drop to $57,000 in 2010, down from $73,000 in 1983. It would have been $119,000 had wealth grown equally across households.

The top 1%, on the other hand, saw their average wealth grow to $16.4 million, up from $9.6 million in 1983. This is due in large part to the growing income inequality divide, as well as the sharp rise in value of stocks over the period.

Of course, we've all known this, except for perhaps these most recent precise numbers.

In a classic experiment, primatologists trained brown capuchin monkeys to give them pebbles in exchange for cucumbers. Almost overnight, a capuchin economy developed, with hungry monkeys harvesting small stones. But the marketplace was disrupted when the scientists got mischievous: instead of giving every monkey a cucumber in exchange for pebbles, they started giving some monkeys a tasty grape instead. (Monkeys prefer grapes to cucumbers.) After witnessing this injustice, the monkeys earning cucumbers went on strike. Some started throwing their cucumbers at the scientists; the vast majority just stopped collecting pebbles. The capuchin economy ground to a halt. The monkeys were willing to forfeit cheap food simply to register their anger at the arbitrary pay scale.

This labor unrest among monkeys illuminates our innate sense of fairness. It’s not that the primates demanded equality — some capuchins collected many more pebbles than others, and that never created a problem — it’s that they couldn’t stand when the inequality was a result of injustice. Humans act the same way. When the rich do something to deserve their riches, nobody complains; that’s just the meritocracy at work. But when those at the bottom don’t understand the unequal distribution of wealth — when it seems as if the winners are getting rewarded for no reason — they get furious. They doubt the integrity of the system and become more sensitive to perceived inequities. They start camping out in parks. They reject the very premise of the game.

Today's "Must Read": GQ investigates income inequality in America:

I ask Frantz to show me his neighborhood. He says there's nothing really to see. He rarely goes out—only to work and to church and to play soccer. Everywhere else is too dangerous. When we head outside, I scurry from his front door to the car. A smashed-up police cruiser lies abandoned on the corner. We take a drive past the one place on earth he has some fun: the soccer field in the public park.

Six miles later, we reach the Capital Grille. Usually he catches the bus, which takes an hour. When he works late and misses the 1 a.m. bus home, he has to stand there until the next one comes at 4 a.m.

"Do you ever wonder what the customers' lives are like?" I ask.

"I don't know nothing about the customers," says Frantz. "I've never seen them."

I look at him. "You've never seen a customer?" I ask.

"Never," he says.

"Do you know how much the steaks cost?" I ask.

"I never saw a menu," he says. "They're in the restaurant, not the kitchen."

His last words to me, before I head off to visit someone who makes five times what he does, are "If I get money, I'm going to leave."

Now, go read and come back and discuss.

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Livestream of Occupy Wall Street's protestors sleeping on the sidewalks around the nearby New York Stock Exchange on Thursday night. They say they are back in full force to draw attention to income equality.

"Tonight we are engaging in the fourth night of sleep on Wall Street," a protester said Thursday. "The wording is that we are allowed to sleep on the sidewalk as long as it is a political protest and I think everyone on the planet knows Occupy Wall Street is a political protest."

Although police are able to remove protesters from public parks, lawyers say there is a legal precedent that allows Occupy Wall Street members to sleep on the sidewalk without fear of arrest.