Daily Archives: July 11, 2013
Here are today’s statistics on the state of the economy:
The Bloomberg Consumer Comfort Index rose 0.2 points to -27.3 in the latest week, which is a 5-year high.
Initial jobless claims rose 16,000 to 360,000. The 4-week average rose 6,000 to 351,750, while continuing claims rose 24,000 to 2.977 million.
Export prices fell -0.1% in June, while import prices fell -0.2%. On a year-over-year basis, export prices are up 0.8% while import prices are up 0.2%.
June’s US Treasury budget shows a rare surplus of $116.5 billion, more than half of which is a bailout repayment of $66 billion by Fannie Mae and Freddie Mac.
The Fed reports that the M2 money supply grew by $81.1 billion in the latest week.
You remember the post I did about the presidential appointments to the NLRB that were deemed by all but the Democrats to be illegal?
Well, there’s a move afoot to use what is being referred to as the “nuclear option” to fix that. The Washington Examiner explains:
Senate Democrats are considering invoking the so-called “nuclear option,” which would curb the minority party’s use of the filibuster and prevent Republicans from blocking presidential nominations.
Senate Majority Leader Harry Reid, D-Nev., signaled privately to President Obama that he may change Senate rules this month so it would take only 51 votes – instead of the current 60 – to approve judicial and executive branch nominees.
Democrats now control 55 Senate votes. Republicans have 45, but the GOP often still asserts itself by using the filibuster to keep nominations or legislation from coming to a vote.
Republicans charge that imposing the nuclear option would virtually eliminate the minority party’s chief means of keeping the majority in check and jeopardize any potential bipartisan agreements on top-priority legislation, including immigration reform, the budget and tax reform.
So, what would happen in the case of the NLRB appointments? If Reid (who by the way, adamantly opposed such a rule change when he was in the minority and spoke eloquently - well as eloquently as is possible for Harry Reid – about how it destroyed the rights of the minority) does this, then 51 Democrats will dutifully line up and “legalize” the NLRB without the minority party having had any voice in the matter.
That’s not how our republic was supposed to function. In fact, our founders were just as adamant as Reid was previously about minority rights. James Madison wrote in Federalist No. 10, “the great danger in republics is that the majority will not respect the rights of minority.” President Thomas Jeffersonproclaimed in his first inaugural address, “All, too, will bear in mind this sacred principle, that though the will of the majority is in all cases to prevail, that will, to be rightful, must be reasonable; that the minority possess their equal rights, which equal laws must protect, and to violate which would be oppression.”
Reid, of course, now believes that to be poppycock. Instead he’d prefer that the minority simply hush and let he and the Democrats appoint whomever they wish whenever they wish. Of course, we all know how quickly his position would change should he suddenly become the minority leader again. And that should tell you all you need to know about why this is a terrible idea and one that he nor the Democrats would stand for were they on the other side of the line.
But then, political expediency seems to trump statesmanship today and we’re all the worse for it.
UPDATE: Ah, the other shoe drops:
The Hill reports: “The nuclear option strategy is gaining momentum in the Senate in part because of growing pressure from organized labor, which wants Reid to break the impasse over the NLRB. AFL-CIO President Richard Trumka … will call for rules changes at the Center for American Progress, a Democratic think tank, Wednesday morning.”
What they’ve done is pretty typical of liberal governments everywhere. They are arrogant with their power and totally ignorant of the economic impact their decision will have on the city. But boy did they strike out at big box stores and do they feel good about it:
D.C. lawmakers gave final approval Wednesday to a bill requiring some large retailers to pay their employees a 50 percent premium over the city’s minimum wage, a day after Wal-Mart warned that the law would jeopardize its plans in the city.
That’s right, the hated Wal-Mart must pay more because retailers with corporate sales of $1 billion or more and operating in spaces 75,000 square feet or larger will be required to pay employees no less than $12.50 an hour.
No arbitrary or capriciousness there, huh? Not a discriminatory law at all. And who cares, right, because as one of the council members says:
“The question here is a living wage; it’s not whether Wal-Mart comes or stays,” said council member Vincent B. Orange (D-At Large), a lead backer of the legislation, who added that the city did not need to kowtow to threats. “We’re at a point where we don’t need retailers. Retailers need us.”
Yeah, retailers need them.
Really? That’s what he thinks. What if retailers decide they don’t need them? Not only do the goods go away, but so do the jobs. So $12.50 times zero gives you what? It gives you this:
“Nothing has changed from our perspective,” Wal-Mart spokesman Steven Restivo said in a statement after the vote, reiterating that the company will abandon plans for three unbuilt stores and “review the financial and legal implications” of not opening three others under construction.
So 6 stores and the jobs that go with them … poof, gone. Oh, and this is gone as well:
Well before it had any solid plans to open stores in the District, Wal-Mart joined the D.C. Chamber of Commerce and began making inroads with politicians, community groups and local charities that work on anti-hunger initiatives.
The campaign was matched with cash. Through its charitable foundation, Wal-Mart made $3.8 million in donations last year to city organizations including D.C. Central Kitchen and the Capitol Area Food Bank, according to a company spokesman.
Yeah, there you go. That’s worth it isn’t it? 6 x no jobs and about $4 million in charitable contributions to help those in need in the area … gone. Just to make a political statement and display for all their insufferable arrogance and their economic ignorance.
Of course, all of these unintended consequences will likely go unnoticed by the usual suspects while they cheer the council slapping Wal-Mart around.