There’s a reason the GOP has become known as the “stupid party”. There’s a reason voters seem to be in open rebellion against establishment Republicans. If you are in the dark for reasons there are many, but if you need a couple recent ones, this 1.1 trillion budget deal that raises the deficit by billions of dollars, throws a lifeline to Obamacare, and apparently funds the climate deal might give you a clue.
What in the world does a majority in both houses of Congress do for the GOP if they’re simply going to capitulate to the Democrats and give them everything they want and the Republicans claimed they were against (and if you gave them the chance they’d show you … not). Is it any wonder that there’s a rebellion in the ranks? Keep it up GOP, and you’ll go the way of the Whigs.
And, in case you were wondering if what I said above is true, try this:
Hours after the mammoth spending bill dropped, Democrats are counting their triumphs, outlining conservative policy riders and priorities that were not included in the final spending bill.
A top Democratic Senate aide summed it up in a single tweet. Adam Jentleson, Minority Leader Harry Reid’s deputy chief of staff, wrote:
Say, wasn’t that Paul Ryan guy supposed to be the bee’s knees when it came to budget stuff? Pro Tip: When Harry Reid is celebrating, you did it wrong!
And then there is the Idiot-in-Chief, someone you can always turn too reliably to observe what being totally out of the loop looks like:
Flanked by his national security team, President Obama reassured Americans that there was “no specific, credible threat” against the country ahead of the holidays.
“We do not have any specific and credible information about an attack on the homeland,” Obama said today at the National Counterterrorism Center. “That said, we have to be vigilant.”
That’s always true when you don’t read or attend your own intel briefings.
And on the Social Justice Warrior front, WalMart doubles down on stupid while Martin Luther King rolls over in his grave:
Backlash is growing for the CEO of Sam’s Club after she discussed her dislike for dealing with white men on CNN.
BPR reported Sunday that the company’s black, female CEO Rosalind Brewer planned to call a supplier she met with because she was disgusted that his management staff was filled with all white males.
It was more important to Ms. Brewer that a staff be racially and gender diverse rather than the best people be picked for their jobs. A practice she admitted to CNN’s Poppy Harlow she practices herself.
The president and CEO of WalMart Stores Inc., who owns Sam’s Club, Doug McMillon said the company supports Ms. Brewer and added that they ask their suppliers “to prioritize the talent and diversity of their sales teams.”
“Roz [Brewer] was simply trying to reiterate that we believe diverse and inclusive teams make for a stronger business. That’s all there is to it and I support that important ideal,” he added in the statement.
Yup, it’s not about the content of one’s character or who might be the best person for the job, but instead the color or one’s skin or their sex. Back to the 40’s WalMart, next you’ll be putting in “separate but equal” water fountains.
Like they’re doing in New York City:
At her January inauguration, New York city council speaker Melissa Mark-Viverito told her colleagues, “Now is the time to embrace our progressive moment and put our values into action.”
Whoo hoo … right? Yeah, not so much. What that means is your business is their business and privacy is a vestage of simpler, more conservative times (you know, like the time in which the Constitution of the United States was written). In the brave new world of progressive values, that old bit of parchment is passe.
One of the Democrat-dominated council’s first acts was to override former mayor Michael Bloomberg’s vetoes of bills from previous sessions. Then the 51-member legislative body got down to business: regulating the minutiae of New Yorkers’ lives, empowering city agencies to enter private property at will, and setting up task forces to study leisure activities.
At its semi-weekly “stated” meeting—where members pass bills and introduce new legislation—the council directed the Department of Health to develop a registry of convicted animal abusers, along the lines of the sex-offender registries that all states maintain. The registry would ensure that animal abusers cannot own animals for at least five years following their conviction or incarceration. Abusers will have to submit to annual reviews of their living situations, and pet stores and animal shelters will need to check the registry before selling an animal. Preventing animal abuse is a laudable goal, but the new law suffers from several deficiencies. For one thing, the Department of Health opposed its passage. The DOH has no enforcement capability or experience in monitoring criminals.
So where will the possible abuse probably occur? Yup … DOH.
But that’s nothing compared to this next beauty:
Meanwhile, Upper Manhattan councilmember Ydanis Rodriguez proposed a bill that would expand city workers’ authority to demand entry into many buildings. The bill, Intro 18, covers all buildings that receive tax benefits under Section 421-a of the tax code, which covers affordable housing. Councilmember Rodriguez’s bill would allow representatives of “any city agency” to access any such building for any reason—and “such request for access need not be made in writing.”
Intro 18 doesn’t specify which areas of a building must be made accessible to city employees, nor does it specifically limit the scope of the investigations. The bill comes with no memo explaining its intent, as is typically included when a bill makes its way through committee hearings. But one could reasonably imagine a scenario where an inspector wanted to check, say, if the affordable units in a rental building or co-op were outfitted with the same appliances and fixtures as market-rate units. According to the bill’s language, it appears the tenants or unit owners could be forced to open their doors to inspectors at any time. The potential for abuse is clear. Picture a series of minor administrative factotums waiting to have their palms greased to stave off endless inspections. Rodriguez’s bill suggests a city where private property is a privilege that can be taken away by a bureaucrat’s will.
And, of course, they’ll be “shocked, shocked I tell you” when, in 6 months, they uncover their first corruption scandal involving city employees or discover the bill is being abused by bureaucrats. Note that the bill is “proposed” for the time being. But it certainly reflects these progressive’s values, doesn’t it?
Another proposed bill reflecting those progressive values?
Another proposed law, Intro 8, addresses the grave problem of businesses claiming to be “environmentally friendly.” New Yorkers, a naïve and trusting group of rubes, apparently are getting snookered by greener-than-thou businesses. So much so that Brooklyn councilmember Vincent Gentile wants the city to establish an official “environmentally friendly” designation for which businesses can apply. The bill’s text calls for the Commissioner of Small Business Services to “coordinate with the Department of Environmental Protection, the Department of Consumer Affairs, the Mayor’s Office of Long Term Planning and Sustainability and any other city agency or agencies that regulate businesses,” to devise categories of environmentally friendly businesses and non-environmentally friendly businesses. Should this it really be a top priority for the city council?
Should it? No. But will that stop them? No.
Perhaps topping them all, councilmember Ruben Wills of southeast Queens has submitted Intro 44, “in relation to the creation of a task force on the sport of cricket.” The bill’s multiple sub-sections and sub-sub sections describe the constitution of the task force and detail the making of appointments, filling of vacancies, and so on. After a year, the envisioned task force will deliver a report that “shall include specific recommendations on the following topics: i. funding sources for team equipment, uniforms, and umpires; ii. promoting cricket in New York City; iii. potential economic development initiatives.”
Cricket’s popularity in Pakistan, India, and Trinidad stems in part from the ease with which it can be played, pickup-style, with limited equipment: a ball, a bat, and some sticks for the wicket. Visit any playing field in central Brooklyn or eastern Queens and you’ll see plenty of people enthusiastically playing. It’s not clear why the city needs a task force to brainstorm “funding sources” for an already popular pastime.
Critical fraking stuff, no? Very important that Cricket be regulated in some form or fashion to the benefit of … NYC of course. Er, I mean NYC’s citizens.
If these are examples of progressive values, I’ll live in my backwater and more conservative/libertarian area where citizens, for the most part, continue to tell local pols to mind their own business not theirs and to ensure they pick up the trash on time and keep the roads clear.
The cult of the vicitim is alive and well in the US. It’s been fostered by politicians and lawyers who are open to the idea that one’s problems, whatever they are, are the fault of someone else.
And, given that doing so gives the pols more power (and the lawyers more money), the field is open for exploitation. Remember the tobacco settlement? Well guess who is next and why:
Lawyers are pitching state attorneys general in 16 states with a radical idea: make the food industry pay for soaring obesity-related health care costs.
It’s a move straight from the playbook of the Big Tobacco takedown of the 1990s, which ended in a $246 billion settlement with 46 states, a ban on cigarette marketing to young people and the Food and Drug Administration stepping in to regulate.
Yes, getting fat is the fault of “big food”. Being obese is just not your fault. So lets soak “Big Food” (and raise already high grocery prices through the roof, shall we?):
“I believe that this is the most promising strategy to lighten the economic burden of obesity on states and taxpayers and to negotiate broader public health policy objectives,” said Paul McDonald, a partner at Valorem Law Group in Chicago, who is leading the charge.
McDonald’s firm has sent proposals to AGs from California to Mississippi explaining how suing “big food” could help their states close budget gaps as billions in Medicaid expenditures eat a growing share of tax revenues.
In a letter to Pennsylvania Attorney General Kathleen Kane last year, McDonald noted that the state faced a $3.7 billion budget shortfall in 2012 and had to cut back on certain services. The state’s total Medicaid burden that year was $10 billion — and getting a piece of that back could help close the gap.
Yes friends it is the “most promising strategy to lighten the economic burden on the states and taxapayers” … say what? Taxpayers? Aren’t they the one’s who will foot the bill for the “Big Food” pass-through of cost to litigate this idea and then, if the lawyers are successful, pay the settlement?
Name someone you know who isn’t a “food adicit” and doesn’t buy food from “Big Food”, will you? I’d be interested to meet them.
In the meantime, if this guy is successful in selling this to state AGs (and I’d not be surprised if they bit), the cost of food will go up as the cost of litigating this nonsense rises. After all, Big Government is now in charge of health care costs (something they’ve actually driven up) and are desperate for ways to make it cheaper.
You’re just a victim, slugger. And these guys have your best interests at heart, don’t you know? Let the demonization of Big Food begin.
As an aside, it is a bit ironic that the laywer pushing this full employment for lawyers scheme is named McDonald, no?
Here’s a story not getting much attention, but is indicative of how President Obama tends to use executive power when he can’t get his way with Congress. Rule by executive fiat.
What am I talking about? As you may recall, Obama made appointments to the National Labor Relations Board (NLRB) during a supposed Congressional recess. Except it wasn’t really a recess. Congress was not between sessions (that constitutes a recess), but was instead it was on an intrasession break, one of many Congress takes during any session. Never have those been considered recesses of the type in which recess appointments could be legally made.
That is until this administration. That’s precisely how the vacant slots on the NLRB were filled with Obama appointees.
Over the past year, Cablevision has been in the midst of a brutal public battle with the Communication Workers of America over pay for technicians and allegations of union-busting. In May, Cablevision sought the intervention of an appeals court to stay proceedings at the NLRB, and now, the company is hoping that the high court will take up the issue of the NLRB’s authority.
The point, of course, isn’t particularly about the dispute. It’s one in a long line of management and labor disputes. The question is whether or not the NLRB is legally constituted given the way the appointments were made. It’s about the rule of law. When citizens see the government flout the law or ignore it, it doesn’t set a good precedent. Yet that’s precisely what has happened in this case.
And that’s what Cablevision is questioning. How is there legitimacy in an illegally appointed board? And why, should their rulings be obeyed, given the circumstances of the board’s recent constitution. Here’s the point:
“The role of Congress is to ensure a balanced NLRB and the Obama Administration bypassed Congress in order to stack the NLRB in favor of Big Labor. Two different federal courts — the D.C. Circuit and the Third Circuit — have established that the NLRB is illegally constituted and has no authority to take action. The NLRB continues to ignore these rulings, and we ask the Supreme Court to compel the NLRB to immediately halt its unlawful proceedings against Cablevision.”
Shades of Hugo Chavez’s Venezuela – Chavez kept the institutions of a democracy, but he packed them with his loyal appointees that shared the same ideology and agenda. With what has happened with the IRS and the EPA, etc, that’s not as big a stretch as one might imagine.
Niall Ferguson has a piece in the Wall Street Journal which talks about the growth of regulation within the nation. He starts with a quote from de Tocqueville in which de Tocqueville marvels at how Americans manage to self-regulate through associations. He then notes that de Tocqueville wouldn’t recognize the US if he were to suddenly come back. It looks too much like Europe.
Regulation has crept in to help smother us all the while the culture has changed to where Americans seem to no longer look to each other to solve problems, but instead look to government.
Regulations are simply a symptom of this business and autonomy killing movement. And their growth track pretty well with our demise:
As the Competitive Enterprise Institute’s Clyde Wayne Crews shows in his invaluable annual survey of the federal regulatory state, we have become the regulation nation almost imperceptibly. Excluding blank pages, the 2012 Federal Register—the official directory of regulation—today runs to 78,961 pages. Back in 1986 it was 44,812 pages. In 1936 it was just 2,620.
True, our economy today is much larger than it was in 1936—around 12 times larger, allowing for inflation. But the Federal Register has grown by a factor of 30 in the same period.
The last time regulation was cut was under Ronald Reagan, when the number of pages in the Federal Register fell by 31%. Surprise: Real GDP grew by 30% in that same period. But Leviathan’s diet lasted just eight years. Since 1993, 81,883 new rules have been issued. In the past 10 years, the “final rules” issued by our 63 federal departments, agencies and commissions have outnumbered laws passed by Congress 223 to 1.
Right now there are 4,062 new regulations at various stages of implementation, of which 224 are deemed “economically significant,” i.e., their economic impact will exceed $100 million.
The cost of all this, Mr. Crews estimates, is $1.8 trillion annually—that’s on top of the federal government’s $3.5 trillion in outlays, so it is equivalent to an invisible 65% surcharge on your federal taxes, or nearly 12% of GDP. Especially invidious is the fact that the costs of regulation for small businesses (those with fewer than 20 employees) are 36% higher per employee than they are for bigger firms.
Got that? 224 new regulations which will have an economic impact that will “exceed $100 million” dollars. Negatively of course. That was the purpose of having regulations rated like that – to understand the probable negative economic impact. And we have 224 in the hopper, in a very down economy, which will exceed the negative $100 million dollar mark. What are those people thinking? Or are they? Indications are they give it no thought when these new regulations are proffered. They just note the cost and move on. No skin of their rear ends.
And if you think that’s bad, just wait:
Next year’s big treat will be the implementation of the Affordable Care Act, something every small business in the country must be looking forward to with eager anticipation. Then, as Sen. Rob Portman (R., Ohio) warned readers on this page 10 months ago, there’s also the Labor Department’s new fiduciary rule, which will increase the cost of retirement planning for middle-class workers; the EPA’s new Ozone Rule, which will impose up to $90 billion in yearly costs on American manufacturers; and the Department of Transportation’s Rear-View Camera Rule. That’s so you never have to turn your head around when backing up.
Yes, that’s right, they’re hardly done. In fact, they’re not even slowing down. The accumulation of power within the central government – the ability to intrude in almost every aspect of your life – is attempting to reach warp speed.
Finally, as if what I’ve noted isn’t enough, we have another costly travesty in the gestation stage, i.e. the “Gang of 8’s” immigration bill. From PowerLine:
The CBO confirms that the bill provides for a vast influx of new, legal immigration. The Senate Budget Committee says:
CBO projects 16 million new immigrants will be added by 2033 on top of the current law projected flow of 22 million and that 8 million illegal immigrants will be granted permanent status – for a total of 46 million legal immigrants, including a doubling of guest workers to 1.6 million in a single year.
Contrary to the claims of the bill’s sponsors, this influx will be overwhelmingly low-skilled. The CBO says:
[T]he new workers would be less skilled and have lower wages, on average, than the labor force under current law.
The result is that unemployment will increase, and wages will be driven down, for America’s existing blue collar work force:
Taking into account all of those flows of new immigrants, CBO and JCT expect that a greater number of immigrants with lower skills than with higher skills would be added to the workforce, slightly pushing down the average wage for the labor force as a whole… However, CBO and JCT expect that currently unauthorized workers who would obtain legal status under S. 744 would see an increase in their average wages.
Terrific: the only ones who would gain would be those who came here illegally, while native born workers would suffer. The CBO report continues:
[T]he average wage would be lower than under current law over the first dozen years. … CBO estimates that S. 744 would cause the unemployment rate to increase slightly between 2014 and 2020.
Ruinous? Along with everything else, pretty much.
To say America has lost it’s way is, well, an understatement. We aren’t close to being what was envisioned at our founding and we’re almost kissing cousins of that which our Founders attempted to keep us from becoming – today’s Europe.
Unfortunately, that ruinous drift and over reliance on government seems to be fine for all too many of those who call themselves Americans today.
Finally figuring it out? Or finally admitting it?
Sixteen Democratic senators who voted for the Affordable Care Act are asking that one of its fundraising mechanisms, a 2.3 percent tax on medical devices scheduled to take effect January 1, be delayed. Echoing arguments made by Republicans against Obamacare, the Democratic senators say the levy will cost jobs — in a statement Monday, Sen. Al Franken called it a “job-killing tax” — and also impair American competitiveness in the medical device field.
The senators, who made the request in a letter to Senate Majority Leader Harry Reid, are Franken, Richard Durbin, Charles Schumer, Patty Murray, John Kerry, Kirsten Gillibrand, Amy Klobuchar, Joseph Lieberman, Ben Nelson, Robert Casey, Debbie Stabenow, Barbara Mikulski, Kay Hagan, Herb Kohl, Jeanne Shaheen, and Richard Blumenthal. All voted for Obamacare.
In the letter they say:
“The medical technology industry directly employs over 400,000 people in the United States and is responsible for a total of two million skilled manufacturing jobs,” the senators wrote in a December 4 letter to Reid. “We must do all we can to ensure that our country maintains its global leadership position in the medical technology industry and keeps good jobs here at home.”
For whatever reason, however, these 16 can’t seem to understand how what they’re claiming here applies across the board to all taxes. That is, they’re job killers. ObamaCare’s taxes and mandates are particularly pernicious because they have many companies trying to figure out how to avoid them and that will mean fewer jobs, not more and certainly more costs in general.
But then no one ever said our political leadership was particularly sharp. After all, somehow Maxine Waters is about to become the ranking member (senior Democrat) on the House Financial Services committee and Harry Reid remains the Majority Leader in the Senate.
Of course ObamaCare is full of job killing taxes as we’ve all become aware, and many of them will hit this year. Add those to the “fiscal cliff” tax increases as well as sequestration and you can bet the Dems will see their “pro-choice” agenda fulfilled this next year – any developing economic recovery will be quickly aborted as exactly all the wrong things government can do to kill such a recover are done.
From Professor Luigi Zingales:
“There is not a well-understood distinction between being pro-business and being pro-market. Businessmen like free markets until they get into a market; once they are in it they want to block entry to others. Pro-marketeers want free markets at all times. The more conservative pro-marketeers are fearful of criticising business, because they assume they will be seen as criticising the free market. But we need to stand up and criticise business when business is not helping the cause of free markets.”
We talk a lot about crony capitalism. Well what the good professor is talking about when he says that businessmen like free markets until they get in one and then they try to “block entry to others” is part of what we’re talking about.
One aspect of cronyism is where businesses attempt to use the power of government, if they can so influence it, to give their company sweetheart regulations, raise artificial barriers to entry and to otherwise impede competitors to the point that they have an advantage. I’d like to say advantage in the “market”, but the market, at that point, no longer exists as a free one. It is now a distorted market due to government cronyism.
That’s something that badly needs to stop. Whether at this point that’s even possible and if it is, how we’d actually go about it are some interesting questions to discuss.
However, the primary point is being pro-business does not necessarily being pro-market and it certainly doesn’t mean you are necessarily for free markets.
We need to change the way we discuss this. We nee to talk about free markets and roundly condemn any business that attempts to use the coercive power of government to it’s advantage in markets as well as condemning those in government who use its power for such things.
The editors of the Washington Examiner consider the probable effects of the new CAFE standards (being imposed by the EPA now instead of NHTSA) and ask a pertinent question:
Getting from the current 35 mpg CAFE standard to 54.5 can be achieved by such expedients as making air conditioning systems work more efficiently. We have a bridge in Brooklyn to sell to anybody who thinks that’s even remotely realistic. There is one primary method of increasing fuel economy — weight reduction. That in turn means automakers will have to use much more exotic materials, including especially the petroleum-processing byproduct known as “plastic.” But using more plastic will make it much more difficult to satisfy current federal safety standards. The bottom-line will be much more expensive vehicles and dramatically fewer kinds of vehicles.
Total costs, as calculated by the EPA, will exceed $157 billion, making this by far the most expensive CAFE rule ever. For comparison, the previous rule in 2010 cost $51 billion, according to the EPA. But the EPA doesn’t include this fact in its calculation: Annual U.S. car sales are 14-16 million units, yet over time, this rule will remove the equivalent of half a year’s worth of buyers. Will that be when the EPA takes a cue from Obamacare and issues an individual mandate that we all must buy Chevy Volts?
I’m just curious, for those who support the individual mandate dictated by Obamacare, what is the argument that such an electric car mandate isn’t possible? If the federal government can force us to purchase insurance from the companies it allows to offer the product based on the idea that health care is a national issue, how is promoting cleaner air and more energy security not the same thing? Indeed, it would seem that the arguments are even stronger for forcing everyone to buy electric cars if furthering the “common good” is the only real restriction on federal power.
So what is the difference from a legal, constitutional standpoint? Is there one?
As Bruce points out below, the failure of the Super Committee should come as no surprise to anyone who was paying attention. Even where committees arrive at an agreed solution, it rarely ever gets implemented. What’s worse, in this case, the Super Committee was operating under the sword of automatic spending cuts to domestic and military programs should it fail to arrive at a consensus — i.e. no side had any incentive to deliver more or less than what would automatically go into place anyway. Of course, Pres. Obama running a re-election campaign based on a “do nothing” Congress certainly didn’t inspire his Democratic brethren on the Super Committee to find common ground either.
But these aren’t the real reasons for the Super Committee failure. Instead, as Jeb Hensarling (R-TX) writes in the Wall Street Journal today, the underlying problem is one of ideological impasse:
Ultimately, the committee did not succeed because we could not bridge the gap between two dramatically competing visions of the role government should play in a free society, the proper purpose and design of the social safety net, and the fundamentals of job creation and economic growth.
For the members of the Super Committee, the choice seemed to be between raising taxes on a small percentage of earners and making no cuts or reforms to the shibboleths of Medicare and Social Security, or reducing taxes and modestly curbing entitlements at some point in the future. In other words, it was a choice between expanding or slightly retarding the growth of government. However, it’s not just the specifics that make compromise difficult, if not impossible. Where one side believes that government is always the answer to what ails us, and the other (at least nominally) operates from the premise that individual effort leads to greater prosperity for all, there is only so much compromise that can be reached between the two. Eventually, government will be either too small or too big for the other side to bear.
This is the crucible in which somehow a compromise was to be reached on federal spending.
As it stands now, government spending is equal to about 35% to 40% of GDP, while our national debt is around 100% of GDP. At the federal level, we are borrowing 40 cents of every dollar that we spend, and entertaining trillion dollar plus deficits year after year for as long as we can reasonably forecast. This is the vision of those who see government as playing the primary role in most every aspect of society since it costs a lot of money to execute that vision. Yet, despite the fact that government has done nothing but grow over the past sixty years, they are convinced that anything smaller than what we currently have will lead to economic and social ruin. To be sure, after finally getting the government foot in the door of universal health care, the liberal base is not about to countenance any willing walk-back on those gains. The Democrats on the Super Committee were well aware of this, and that accepting changes to Medicare and Social Security or any other dearly loved social program would result in a deep backlash from those who believe that all of life is dependent on government.
Opposing that vision are those who think that government should be smaller and less intrusive, especially with respect to our economy. They look at our ever-growing debt and anemic, if not illusory, economic gains and see nothing but trouble down the road we’re traveling. Unfortunately, while total government spending is often publicly recognized as the problem, too many of these visionaries think that simply reducing tax rates will flood the federal coffers and all will be right with world. It’s true that raising taxes in a declining or struggling economy will tend to exacerbate, not alleviate, the problem. But Republicans on the committee also know that their base stand ready to punish any member who suggests raising taxes, now or in the future, regardless of the fact that the spending cuts necessary to get our debt problems under control simply aren’t feasible. And they won’t have much better luck at the ballot box if they even hint at reforming Medicare or Social Security.
Even where they are willing to take that chance, however, the Democrats can’t politically afford to compromise:
The Medicare reforms would make no changes for those in or near retirement. Beginning in 2022, beneficiaries would be guaranteed a choice of Medicare-approved private health coverage options and guaranteed a premium-support payment to help pay for the plan they choose.
Democrats rejected this approach but assured us on numerous occasions they would offer a “structural” or “architectural” Medicare reform plan of their own. While I do not question their good faith effort to do so, they never did.
Republicans on the committee also offered to negotiate a plan based on the bipartisan “Protect Medicare Act” authored by Alice Rivlin, one of President Bill Clinton’s budget directors, and Pete Domenici, a former Republican senator from New Mexico. Rivlin-Domenici offered financial support to seniors to purchase quality, affordable health coverage in Medicare-approved plans. These seniors would be able to choose from a list of Medicare-guaranteed coverage options, similar to the House budget’s approach—except that Rivlin-Domenici would continue to include a traditional Medicare fee-for-service plan among the options.
This approach was also rejected by committee Democrats.
The Congressional Budget Office, the Medicare trustees, and the Government Accountability Office have each repeatedly said that our health-care entitlements are unsustainable. Committee Democrats offered modest adjustments to these programs, but they were far from sufficient to meet the challenge. And even their modest changes were made contingent upon a minimum of $1 trillion in higher taxes—a move sure to stifle job creation during the worst economy in recent memory.
Even if Republicans agreed to every tax increase desired by the president, our national debt would continue to grow uncontrollably. Controlling spending is therefore a crucial challenge. The other is economic growth and job creation, which would produce the necessary revenue to fund our priorities.
Meanwhile, we operate under a tax system that is so heavily skewed towards the highest income producers that our government is dependent on about five percent of the taxpayers for a majority of its revenue, and only a quarter of all tax payers for more than 85% of that revenue. To the Democrats, this is apparently a good start. Republicans, on the other hand, see an unfair system that, if properly reworked, could raise even more revenue. Either way the spending, and thus the government, grows.
The definition of “priorities” is the real sticking point. It means either that everything from price and income support to cradle-to-grave health care is a priority, or that only the basic structural necessities of national defense, courts of law and last-resort safety nets qualify. There has been a great deal of compromise on that definition over the past several decades (albeit, always resulting in an expanding government), but it seems that we’ve finally reached the limit where any further acquiescence by one side results in unbearable loss to the other side. It’s difficult to see how we can successfully move forward as a unified country with such diametrically opposed visions for the role of government. Indeed, maybe we can’t for very much longer.
It might come as a surprise to some, but the bill Democrat Representative Jan Schakowsky (IL) plans to introduce as a jobs bill is long on borrowing money we don’t have and funneling that money through ineffective government programs. Apparently they still don’t get it.
The member of the Congressional Progressive Caucus would spend $227 billion dollars and, best case, create 2.2 million jobs (or, again best case, a little over $108,000 a dollar a job). Her plan reads like something from the Franklin Roosevelt administration:
Under her plan, the following policies would be implemented:
- The School Improvement Corps would create 400,000 construction and 250,000 maintenance jobs by funding positions created by public school districts to do needed school rehabilitation improvements.
- The Park Improvement Corps would create 100,000 jobs for youth between the ages of 16 and 25 through new funding to the Department of the Interior and the USDA Forest Service’s Public Lands Corps Act. Young people would work on conservation projects on public lands including the restoration and rehabilitation of natural, cultural, and historic resources.
- The Student Jobs Corps would create 250,000 more part-time work study jobs for eligible college students through new funding for the Federal Work Study Program.
- The Neighborhood Heroes Corps would hire 300,000 new teachers, 40,000 new police officers and 12,000 new firefighters.
- The Health Corps would hire at least 40,000 health care providers, including physicians, nurse practitioners, physician assistants, nurses, and health care workers to expand access in underserved rural and urban areas.
- The Child Care Corps would create 100,000 jobs in early childhood care and education through additional funding for Early Head Start.
- The Community Corps would hire 750,000 individuals to do needed work in communities, including housing rehab, weatherization, recycling, and rural conservation.
Perusing the list, there’s absolutely no possible threat of waste, fraud and abuse, is there? 750,000 people hired to “work in the community” doing “recycling” and “rural conservation?” “Weatherization”? Nope, no chance of waste, fraud and abuse, none at all.
Of course, nowhere in there other than initially, is there any mechanism to fund the “jobs” created in the future. They’d last as long as the $227 billion did and then the jobs would go away. That would include the teachers, police officers and firefighters. Those are simply in the plan to make it sound more acceptable. If the localities who will get the teachers, police and firefighters funded by this boondoggle can’t afford to hire them now, chances are very good they won’t be able to keep them when the money runs out.
The jobs listed are also mostly make work jobs on make work projects that might be nice to have done, but aren’t going to contribute to the private economy (the actual engine of the economy) in any meaningful way. Nothing is really “produced”, no wealth is created, no revenue – other than salaries – is taxable.
And finally, which health care providers is “Health Corps” going to hire? There’s a shortage of health care providers in the private market. Why in the world would they leave that to work for government in “underserved rural and urban areas?”
It is clear with Rep. Schakowsky’s proposal that the Progressive side of the aisle still don’t get it. How much louder do the American people have to shout to be heard?
Cut spending. Make government smaller. Make government less costly.
Rep. Schakowsky and the Progressives are still stuck in the 20th century. We’re already living the Raw Deal thanks to spendthrifts like her.