Author Archives: Laura Hertzfeld

Paying for paradise

Life’s not quite a beach for the tourism industry in a down market – with state parks threatening to shut down in California , and hotel rooms going for cheap in big cities, the end of summer also means a shrinking bottom line for the tourism business.

The winter snowbirds have yet to arrive, but sun and sand mecca Hawaii is no exception to the downturn. As Hawaii Public Radio’s Ben Markus reports, the smaller islands like Kauai are turning to some new techniques to bring people off Oahu and exploring the other islands. The Rodgers and Hammerstein classic South Pacific was filmed in Kauai 50 years ago, and they are hoping a performance from the film’s original star, Mitzi Gaynor, will attract a crowd.

But it’s not just resort hot spots like Hawaii that are hurting. This summer, travel was down around the rest of the U.S. LaToya Dennis reported from Madison, Wisconsin on how cost concerns curtailed vacations for Wisconsin families.

And in Arizona, KJZZ’s Dennis Lambert spoke with a tourism industry official, who reported that fewer business an personal travelers are coming to Phoenix, causing the hotel revenue to drop nearly 30% over the summer.

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Even if vacations are pricey, you can still travel virtually. Ken Burns new project, America’s National Parks, just launched a new website, featuring video and images from the Grand Canyon to Acadia.

One-sixth of what?

Spiral Galaxy/ Source: NASA

Spiral Galaxy/ Source: NASA

A statistic that gets tossed around a lot in the health care debate is that “Health care is one-sixth of the economy” – but what does that mean? The total U.S Gross Domestic Product is $14.1 Trillion, making one-sixth of that about $2.35 Trillion.

Those numbers for health care include programs like Medicare and Medicaid, as well as individual expenses and prescription drugs, doctors visits, healthcare workers’ salaries, insurance premiums – pretty much anything you can think of that involves the healthcare industry. While what counts as health care is likely loosely defined, no matter how it breaks down, it’s still a huge amount of money that’s really difficult to visualize.

I did a little search for two trillion to try to get a sense of what $2 Trillion looks like. Apparently there are only 400 billion stars in the Milky Way galaxy, so that didn’t work. Then I found this – two trillion tons of ice melting in the Arctic – so think of a whole shelf of ice disappearing and being replaced with dollar bills, and maybe you get some idea. There was also this one – two trillion text messages sent every day. I guess I send about five, so if everyone with a cell phone also sends about five, that’s a lot of texts. Needless to say, $2 Trillion is a lot of money.

How does it translate into legislation?

ProPublica’s health care reform primers help analyze the numbers.

Olga Pierce looked at the competing bills:

“Until last week, President Obama took a hands-off approach health care reform. Instead, in February he included eight general principles [4] in the presidential budget. The principles laid out requirements of a plan — it must make insurance available to everyone and address rising costs, for example — but did not specify policies.

That left Congress to debate many of the contentious issues, including whether to have a public option, and whether everyone should be required to have health insurance.”

And for a look at how these changes may affect Americans, a survey from the Public Insight Network asked people to record their most pressing health care need:

A map plots the biggest complaints about health care, ranging from lack of coverage to prescription drug expenses.

Andrew Haeg of American Public Media looked at the responses and featured some of the best in a column.

“But nearly all people, regardless of income, age or insurance status, spoke of making choices — life altering choices — in order to affford health care.

For Jeannette d’Armand of Seattle, Washington, the choice is between doing work she loves and taking a mindless job for the benefits. D’Armand wants to be a singer and a voice coach, but is doing data entry instead because she needs the benefits to pay her $500-plus health care expenses to take care of her Type I Diabetes. “I just feel that if I live in one of the wealthiest countries in the world,” says d’Armand, “I shouldn’t have to choose between health care and career.”

To share your story of dealing with health are woes, Tavis Smiley’s Faces of the Uninsured project is looking for contributions.

Still confused? Here are ten health care terms to know, from Youth Radio.

Strange days, indeed

What did you buy with your first paycheck? How have your spending habits changed – fewer new clothes and dinners out?

In New York, and WNYC’s Uncommon Economic Indicators project uncovers how New Yorkers are coping with hard economic times.

Jazzgiving started as a time for the unemployed to have lunch and talk about things they are thankful for.

And in Brooklyn, a convenience store owner says more people are buying energy drinks since the economy’s turned, to help them “feel good and work more hours.”

One thing that’s always made people feel good is rock and roll, and during last week’s Public Radio Program Directors conference in Cleveland, Ohio, Marketplace’s Tess Vigeland took time out to visit the Rock and Roll Hall of Fame and learn how rock stars have managed (and mismanaged) their earnings.

Curator Lauren Onkey talked to Vigeland about musicians like Howlin’ Wolf:

“Howlin’ Wolf’s a fantastic blues and early rock and roll singer, and he didn’t trust banks,” Onkey said. “So he demanded that he was paid before his performances and then he kept that money in his suitcase, under his chair while he played.”

View slideshow from Vigeland’s story.

Cutting back’s trickle-down effect

Ohio has one of the highest unemployment rates in the country – 11.2% in July. Federal Reserve chair Ben Bernanke said this morning that the recession is “technically” over, but it will be a long road to recovery in Ohio and other places in the country where the manufacturing sector has been hit particularly hard.

Help Wanted is a new series from WCPN in Cleveland, reporting on how people are coping with job loss and the economic climate overall. Today’s piece talks about the “ripple effect” — how one person’s layoff can affect dozens of businesses in a community.

John Kraizel was laid off from his engineering job in January.
“Kraizel cut expenses down to the essentials. No dinners out. Fewer haircuts. Definitely no lawn service. And the house cleaners? He pushes his own vacuum now.

All told, Kraizel estimates he’s cut about $1000 from his monthly budget. That’s $1000 out of the local economy.”

Listen to the full story here.

The series has also reported on people looking for jobs when they are over 50 and out of work, and areas where the job market is more promising, like teaching.

Why Ohio? This week I’m in Cleveland for the Public Radio Program Directors Conference, and will be sharing some of the ideas I’m hearing from public radio folks from across the country.

Making the most of the meltdown

Wall Street/ Credit Flickr user carlossg

Wall Street/ Credit Flickr user carlossg

Today, President Obama was on Wall Street, discussing the financial crisis and next steps on the one-year anniversary of the Lehman Brothers meltdown. Nightly Business Report revisited the collapse and also shared Treasury Secretary Larry Summers’ reaction from one year ago.

“As for Wall Street itself, there is little evidence any lessons have been learned,” NBR’s New York Bureau Chief Scott Gurvey writes.

In Congress, things are also slow to change.

Rep. Barney Frank (D-Mass.) recently answered a popular question posed on Ask Your Lawmaker: “It seems that a simple fix to one of the key causes of the current financial meltdown would be to create regulation or statute that requires mortgage originators to service the loans they originate through the life of the loan. Will you enact such legislation now?”

His response was tempered:

“It is important that whoever the servicer is have full rights to restructure the mortgage. So I think it’s acceptable to say it can be sold, as long as the originator—the originator should not be able to sell the entire responsibility for the loss—the originator should have to retain some of the risk.”

Have we learned anything in the past year? On a more personal level, people are making adjustments, even where Wall Street has not. Marketplace spoke with experts and everyday people about how our habits have changed.

“Our family did little things, like making coffee at home instead of stopping at Starbucks on the way to work. And big things, like putting together an emergency fund. Even for those of us lucky enough to keep our jobs, the fear was palpable, intimate, because it was our money at stake, yet utterly global in scale,” correspondent Tess Vigeland reported.

What little things have you done to reflect the larger financial changes the country has faced this past year?