Free Markets, Free People

Robert Reich

Cantor, cheese and other stuff

So Eric Cantor went down in flames in the Virginia Republican primary I see.  I can’t say I’m the least bit chagrined.  Cantor is the quintessential establishment Republican.  And like most of that ilk, he was more worried about what the press thought of him than doing what was right by his principles.  I notice the media spin doctors are immediately claiming that he really didn’t lose because of his stand on immigration (i.e. a hard lean toward “amnesty” for illegals although he tried to deny it).  After all if they admit that immigration reform was a reason for his defeat, then they have to admit that its dead for this year (as, given this lesson, no Republican running for reelection in the House  - that would be all of them – is going to touch it with a 10 foot pole).  The spin doctors also know that if it is dead for this year, it may be dead, at least in its present form, for good, if Republicans win the Senate.  One also assumes that Republicans are aware of the polls out there that place immigration reform as a low priority issue for voters right now (yeah, surprise, they’re much more interested in jobs and economic growth than illegal aliens).

I think another reason for Cantor’s loss is a deep dissatisfaction with Republican House leadership – such that it is.  Add his lack of popularity within his own district and an acceptable alternative candidate and you have the prefect electoral storm. Finally, Tea Party candidate Dave Brat’s win signaled, much to the annoyance of the left, that the Tea Party is hardly “dead”.  It’ll be interesting to see how the establishment Republicans react to this upset.

On another subject, yesterday we saw where the FDA had unilaterally decided that it might be necessary to ban the centuries old tradition of aging cheese on wooden shelves.  Because, you know, there’s been such an epidemic of sickness from such practices here lately and over the ages. What?  There hasn’t?  There hasn’t been any real problem at all?  However:

The Food and Drug Administration (FDA) has issued an executive decree banning the centuries old practice of aging cheese on wooden boards.  One bureaucrat within the FDA, without surveying all of the scientific literature, and without public commentary, has rattled hundreds of small businesses across the United States.  Consumers who eat any kind of aged cheese should prepare for a potentially catastrophic disruption in the market for artisan, non-processed cheese.

Now that was yesterday.  Today, yeah, its cave in time.  There has been such an outcry from cheese makers, the public and just about anyone else that could find a forum that the FDA is hastily backing down.  Overlawyered brings us up to date:

Following an enormous outcry from cheese makers, commentators, and the general public, the agency beats a hasty retreat. Commentator/ Pepperdine lawprof Greg McNeil has the details at Forbes (and his earlier commentary on the legalities of the agency’s action is also informative). Earlier here.

In a classic bureaucratic move, the agency denied it had actually issued a new policy (technically true, if you accept the premise that a policy letter from its chief person in charge of cheese regulation is not the same as a formally adopted new policy) and left itself the discretion to adopt such a policy in future if it wishes (merely declaring itself open to persuasion that wood shelving might prove compatible with the FSMA).

McNeal:

This is also a lesson for people in other regulated industries. When government officials make pronouncements that don’t seem grounded in law or policy, and threaten your livelihood with an enforcement action, you must organize and fight back. While specialized industries may think that nobody cares, the fight over aged cheese proves that people’s voices can be heard…

Yes, true.  But … there’s always a ‘but’, Overlawyered points out something that is true and often overlooked.  You have to be willing to fight for it all, not just the popular stuff.  You have to be willing the challenge all the nonsense bureaucrats put out there:

There is a less optimistic version, however. It happens that a large number of editors, commentators, and others among the chattering classes are both personally interested in the availability of fine cheese and familiar enough with the process by which it is made to be un-cowed by claims of superior agency expertise. That might also be true of a few other issues here and there — cottage food sold at farmer’s markets, artisanal brewing practices — but it’s inevitably not going to be true of hundreds of other issues that arise under the new Food Safety Modernization Act. In a similar way, the outcry againstCPSIA, the Consumer Product Safety Improvement Act, rose to a politically effective level only on a selected few issues (publishers and libraries got a fix so that older children’s books would not have to be trashed; youthmotorsports eventually obtained an exemption, and so forth) but large numbers of smaller children’s products and specialties whose makers had less of a political voice simply disappeared.

Absolutely true.  I think of those who want to drink raw milk for instance.  Where does the government get off saying you can’t drink something you choose to drink if you’re willing to take the risk and suffer any consequences?  Something that, until pasteurization, everyone drank?  But since those who prefer raw milk don’t have a large lobby, they’re subjected to government bullying and laws prohibiting them from making that choice.

Choice is freedom.  Limiting of choice is limiting freedom and government is in the freedom limiting business.  The premise is you’re not able to make good choices yourself, so government must keep you from doing so.  Question?  If aging cheese on wood was dangerous to our health and it had been the reason from many deaths over the centuries, how do you suppose the market for such cheeses might have been effected by now?  Right.  It certainly wouldn’t have come down to some government bureaucrat making a unilateral decision in 2014, that’s for sure.

In Iraq, Mosul has fallen to terrorists.  Nightwatch brings us up to date:

ISIL has been trying to take Mosul since earlier in June, but only lately assembled enough forces to rout the security forces and overrun the city.

ISIL now controls two major cities in the Sunni region of Iraq: Fallujah and Mosul. Its fighters tried to overrun several other cities, but failed. Its aim is to create an Islamic emirate that joins Iraq and Syria.

The group had been affiliated with al Qaida for many years, since the time of Abu Musab Zarqawi, according to the National Counter Terrorism Center. In February al Qaida disavowed all links with ISIL because its actions were more extreme than al Qaida and it would not follow orders to stop fighting the al Nusrah Front in Syria, which al-Qaida supports.

On Sunday in Syria, ISIL fighters clashed with the al-Qaida-affiliated al Nusrah Front in eastern Syria, while its Iraq wing fought to capture Mosul in Iraq. This is a formidable group. Only the Syrian Kurds stand in the way of ISIL consolidating large areas in Iraq and Syria under its control.

Mosul’s capture reinforces the judgment that Iraq has re-entered civil war. ISIL is more than an insurgency because it has an effective organization and is conquering territory. By force of arms, it has created a power-sharing arrangement with the government in Baghdad and fragmented the country. A statement by the Muslim scholars association today encouraged ISIL to hold Mosul and to set up an administration. It urged the youth of the city to defend it against the Baghdad government.

ISIL’s control in Syria seems tenuous and contested by other opposition groups. In Iraq, it is the dominant anti-government force and it has broken Iraq, for now.

My position?  If Iraqi’s want a free Iraq, they’d better fight for it.  They’ve been given the time, the equipment and the training.  Now, it’s up to them.

Finally, yesterday I literally had to laugh out loud when I read something Robert Reich, a former Secretary of Labor, had written on his Facebook page.  It simply demonstrates how effing silly – and dangerous to your freedoms – these people are:

President Obama announced steps yesterday he said will make student loans more affordable. It’s probably all he can manage with a grid-locked Congress, but it’s still tinkering with a system of college financing that’s spinning out of control. What’s really needed is to make college free of charge and require all graduates to pay 10 percent of their earnings for the first 10 years of full-time work into a fund that pays the costs (additional years of graduate school means added years of payments). That way, nobody graduates with debts; young people from lower-income families can afford to attend; graduates who go into high-wage occupations in effect subsidize those who go into lower-wage work; and we move toward a system of genuinely equal opportunity. What do you think?

Right … free college for all.  Graduate with no debt!

Question: How in the world does this dolt think that making all graduates pay “10 percent of their earnings for the first 10 years” to fund “free college” doesn’t equal being in debt?  Oh, and who would keep track of all this?  Why the IRS of course – another in a long line of ideas to further centralize control of all aspects of your life at the federal level and add to the federal bureaucracy’s reach and power.

Then add the scam value of this.  Ride the gravy train for 3 or 4 years of free college and then walk away as a non-graduate.  Nothing to pay, right?  I mean the stipulation is that “graduates” pay, so why not hang out in a college dorm, eat in the chow hall, do your own thing while also doing barely enough to stay in school.  That way you can let these other dopes subsidize those years for you.  Then, move, apply to a new school and repeat.  Trust me, there are enough “professional students” in this world that I can promise that would be done.

Oh … and read the comments to the Reich post.  They’ll make you weep.

~McQ

Liberals Still Don’t Get It

Robert Reich has to be the poster boy for why liberals are only about 20% of our population. If it weren’t for the quiet backwaters of academia where, apparently they’re pretty much left alone to survive and breed, they wouldn’t have much of a chance of making it anywhere else.

Here’s his latest riff:

What we learned in August is something we’ve long known but keep forgetting: The most important difference between America’s Democratic left and Republican right is that the left has ideas and the right has discipline. Obama and progressive supporters of health care were outmaneuvered in August — not because the right had any better idea for solving the health care mess but because the rights’ attack on the Democrats’ idea was far more disciplined than was the Democrats’ ability to sell it.

A) my 5 year old grandson has ideas. But when they involve matches and curtains, we have a tendency to step in and prevent him from bringing his ideas to fruition. Call that “discipline” if you wish, but just because a group has ideas doesn’t mean they’re worth 2 cents. And in the case of health care insurance reform, they’re worth a negative 1.5 trillion dollars we can’t afford and would put government intrusion and control and new and unprecedented levels.

B) as usual you see a liberal who believes that the message isnt the problem, but the obfuscation of the right that prevented the message from being properly received. Really? It appeared that the audiences of the townhall meetings attacking the plan had actually read more of the proposed legislation than those on stage trying to defend it. They knew what the “message” was and rejected it.

C) and most important – this isn’t just about health care. This is about TARP, porkulus, “stimulus”, GM, the financial system, cap-and-trade and 9 trillion dollar deficits. Those are all ideas that have been proposed or passed by this Congress or administration. The “idea” that has traction is that these are all bad ‘ideas’. However, the left seems not to understand that point and we continue to hear tone-deaf analysis such as Reich’s contending that they only need to sharpen up their “message” a bit and impose a little discipline and all will be well.

Reich then gets into bit of classic cognitive dissonance and projection:

You want to know why the left has ideas and the right has discipline? Because people who like ideas and dislike authority tend to identify with the Democratic left, while people who feel threatened by new ideas and more comfortable in a disciplined and ordered world tend to identify with the Republican right. Democrats and progressives let a thousand flowers bloom. Republicans and the right issue directives. This has been the yin and yang of American politics and culture. But it means that the Democratic left’s new ideas often fall victim to its own notorious lack of organization and to the right’s highly-organized fear mongering.

How can you not laugh outloud at someone who will claim, in the shadow of the biggest attempted takeover of the private sector by government since WWII that those who “dislike authority tend to identify with the Democratic left”.

Given OFA and the unions and the predominant collectivist mentality of the left, that’s laughable on its face.

Also lost in Mr. Reich’s fantasy analysis is the fact that the idea laden left is losing independent support at a rate unseen in decades. It isn’t just the right rejecting these “ideas”, it is the center and even center left.

All of this leaves Reich to conclude:

August is coming to a close, and congressional recess is about over. History is not destiny, and Democrats and progressives can yet enact meaningful health care reform — with a public option. But to do so, we’ll need to be far more disciplined about it. All of us, from Obama on down.

This is what you end up with when you start from a false premise. Believing that all you have to do is impose a little discipline (to those authority hating but collectivist lefties) and sharpen your messaging, and your ideas about how to burn the house down will be accepted with open arms.

Amazing.

~McQ

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Robert Reich’s “Democracy”

Robert Reich writes what I can only characterize as a whining rant which is so, oh I don’t know, odd, that I have to comment. It has to do with a supposed deal the White House has struck with “big Pharma” which Reich claims keeps the government from negotiating lower drug prices in return for 80 billion in cost savings (if the government has wrung 80 bil in cost savings, isn’t that a negotiation for lower cost that has already been accomplished?):

I want universal health insurance. And having had a front-row seat in 1994 when Big Pharma and the rest of the health-industry complex went to battle against it, I can tell you firsthand how big and effective the onslaught can be. So I appreciate Big Pharma’s support this time around, and I like it that the industry is doing the reverse of what it did last time, and airing ads to persuade the public of the rightness of the White House’s effort.

But I also care about democracy, and the deal between Big Pharma and the White House frankly worries me. It’s bad enough when industry lobbyists extract concessions from members of Congress, which happens all the time. But when an industry gets secret concessions out of the White House in return for a promise to lend the industry’s support to a key piece of legislation, we’re in big trouble. That’s called extortion: An industry is using its capacity to threaten or prevent legislation as a means of altering that legislation for its own benefit. And it’s doing so at the highest reaches of our government, in the office of the president.

Notice first that the word “market” never appears in his diatribe.  In fact, “market” doesn’t appear in his piece at all.  That’s because Reich doesn’t care about markets. And, of course, any market that exists in health care has been so distorted by government that it hardly qualifies for the term.

Reich cares about control. And he wants full control by government. Notice that when politicians use threats to prevent legislation’s passage if what they want isn’t included in (or taken out of) a bill, that’s called “compromise”, but when an interested constituent (and pharma as a business that is government regulated certainly qualifies as that) promises to work against pending legislation that wouldn’t be in their best interest unless they get concessions, that’s “extortion”.

Reich only wants the government to have the power to extort what it wants and it makes him mad when constituents use their power to push their interests. He claims that thwarts “democracy”. Really?

As I see it, it is exactly the brand of democracy the Democrats have practiced for eons – special interest democracy. The only reason Reich is a little irritated in this case is because the special interest in question isn’t one which the left favors. Democracy, in Reich’s world, is when favored special interests “extort” petition the government, make deals and get legislation passed which serves their interests.

All that said, I agree with one point – what in the world is the White House doing striking such deals? Since it can’t write the legislation, how does it guarantee whatever concessions it’s agreed to will show up in the final legislation? And what happens if it doesn’t make it into the final legislation after big Pharma spends more money than John McCain did during the presidential election for TV adds supporting Obamacare?

~McQ

Reaping, Sowing, etc.

Glad they finally noticed:

The Obama administration is increasingly concerned about a populist backlash against banks and Wall Street, worried that anger at financial institutions could also end up being directed at Congress and the White House and could complicate President Obama’s agenda.

Of course the greatest stoker of this populist backlash has been the Obama administration. I’ll be the first to agree that some of the financial institutions, such as AIG recently, have played into the populist condemnation by the administration, but instead of being specific about the AIGs of the world, they have instead gone after an entire industry to the point that “banks and Wall Street” are synonymous with crooks, swindlers and liars. Having established that narrative, seemingly purposely, there’s now a huge backlash building which may, in fact, cripple the administration’s efforts pertaining to both.

“We’ve got enormous problems that need to be addressed,” David Axelrod, Mr. Obama’s senior adviser, said in an interview. “And it’s hard to address because there’s a lot of anger about the irresponsibility that led us to this point.”

“This has been welling up for a long time,” he said.

Mr. Obama’s aides said any surge of such a sentiment could complicate efforts to win Congressional approval for the additional bailout packages that Mr. Obama has signaled will be necessary to stabilize the banking system.

As it is, there have already been moves in Congress to limit compensation to executives at banks and Wall Street firms that are receiving government help to survive.

Beyond that, a shifting political mood challenges Mr. Obama’s political skills, as he seeks to acknowledge the anger without becoming a target of it. A central question for Mr. Obama is whether his cool style — “in a time of crisis, we cannot afford to govern out of anger,” he said in his address to Congress last month — will prove effective when the country may be feeling more emotional.

And the country is feeling emotional because the administration has been making emotional arguments targeting the industry it wants to help. Not very smart politics. And they’ve now finally realized that.

“Never underestimate the capacity of angry populism in times of economic stress,” said Robert Reich, a professor of public policy at the University of California, Berkeley, and labor secretary under President Bill Clinton. “A big challenge for President Obama will be to maintain a rational and tactical public discussion in the midst of this severe downturn. The desire for culprits at times like this is strong.”

The “culprit” has been identified. In their desire to escape blame, government officials in Congress and elsewhere have almost unanimously used their access to the media to vilify banks and Wall Street while pretending they had no hand whatsoever in this debacle. Unfortunately they’ve been quite successful in the scapegoating. However, having established the narrative, they now have to attempt to reverse it because the public rage they’ve helped stoke may prevent them from doing what they think they need to do to turn the financial industry around.

The entire problem that the administration is now recognizing is one of their own making and another indication of their inexperience and lack of foresight. It’s one thing to demonize such industries when campaigning, it is, as they’re learning, an entirely different thing when you do it as the President of the United States. The administration now has to figure out how to reverse a narrative they helped build and establish. That should be interesting to watch.

~McQ