In the News
A House member is urging Congress to hold a hearing to analyze Amazon's proposed $14 billion acquisition of Whole Foods, a merger that critics say could cramp innovation and hurt workers.
The deal could affect grocery stores and consumers nationwide, Rep. David Cillicine (D-R.I.), the top Democrat on the House subcommittee on regulatory reform, commercial and antitrust law, warned Thursday in a statement: "Congress has a responsibility to fully scrutinize this merger before it goes ahead. Failing to do so is a disservice to our constituents."
As Democrats work to figure out their message going into next year's midterm elections, it's going to take more than just anti-Trump fervor to win, argues Rep. Ro Khanna, D-Calif.
"I think we need to stand up. The things Donald Trump are doing are outrageous and unconstitutional. There needs to be checks on the executive branch," Khanna told CBS News Chief White House Correspondent Major Garrett and CBS News Political Director Steve Chaggaris on this week's episode of "The Takeout" podcast.
If you want good job security, get elected to Congress. In 2016, the U.S. House had a 97 percent re-election rate, despite the latest Gallup poll placing the House's approval rating at 21 percent.
I recently sat down with Representative Ro Khanna of California to talk about technology, jobs and economic lessons from his perspective as Silicon Valley's congressman. Khanna, who is serving his first term, is vice chair of the Congressional Progressive Caucus and previously taught economics at Stanford University, law at Santa Clara University, and American jurisprudence at San Francisco State University. Here are some highlights of our conversation:
When Ro Khanna won his seat in Congress last November, it was the culmination of three congressional campaigns, a decade of political organizing and thousands of hours knocking on doors.
But as Khanna stepped offstage after delivering his victory speech in Fremont, the wonky, tech-friendly congressman-elect quickly realized the new president would in many ways be his polar opposite: someone who pays little attention to the weeds of policy and who has even bemoaned the role of computers in society.
When Amazon announced last week that it intended to acquire the upscale grocery chain Whole Foods, it sent shockwaves through the grocery industry. Other grocers' share prices plummeted. Analysts predicted Amazon would become a "top five" grocer within a few years. Synergies were imagined.
Within all the business chatter, however, a few policy wonks and at least one ally in Congress began to raise the antitrust alarm. They think Amazon is too powerful and might engage in anti-competitive practices.
Amazon's $13.7 billion deal to acquire Whole Foods will cause a few problems in one major district of California, U.S. Rep. Ro Khanna told CNBC on Monday.
"The main problem is it is going to hurt local grocery stores," Khanna, a Democratic congressman whose district includes a large portion of Silicon Valley, said on "Squawk Alley."
Amazon and Whole Foods can "engage in low-cost pricing and it is also going to put pressure on wages," he added.
As soon as Amazon announced on Friday that it was purchasing Whole Foodsfor $13.7 billion, antitrust and competition policy experts sat straight up.
While Amazon has been toying with brick-and-mortar retail for a few years — opening a handful of bookstores and grocery stores — the Seattle digital retail giant's domination has mostly stayed online. Amazon accounted for 34 percent of all digital commerce last year, and that figure is expected to hit 50 percent by 2021, according to figures from the research firm Needham & Co.
When Walmart and other low-wage employers fail to pay their employees enough to live decent lives, taxpayers often end up picking the tab for public assistance.
Freshman California Democratic Rep. Ro Khanna and nine House co-sponsors are introducing legislation to put an end to the free ride.
The Corporate Responsibility and Taxpayer Protection Act would levy a fee equivalent to the public assistance that a company's employees are eligible to receive, with the intent to incentivize businesses to pay their employees enough so they don't need public assistance.