Another year, another display of both parties' complete inability to propose any serious solution to the country's fiscal situation.
The Democrats have not passed a budget in years. They seem completely unwilling to do anything about the fact that entitlement spending (if left unchanged) will explode the federal budget in a decade or so. Whether faced with a budget deficit, a proposed spending cut, or a new program that they have no way to pay for, the leftists' solution is the same: "Tax the rich." The problem is, there just aren't that many rich people. There has been lots of talk about the so-called Buffett rule, which would ensure that everyone earning at least $1 million annually pays at least 30% of their income in taxes--but even the Huffington Post admits that adapting the Buffett rule would bring in only $47 billion over the next eleven years. That's about $4.3 billion per year, which is about 0.2% of the 2011 budget deficit.
We did, at one point, have a fairly reasonable center-left budget plan: the Simpson-Bowles plan. Unfortunately it was rejected, not by the Republicans, but by President Obama.
On the right, we have Paul Ryan's budget. It is perhaps a good conservative thought experiment, and it allows the Republicans to tell the Democrats, "Hey, at least we have a budget proposal." In reality, however, Ryan accomplished no more than he would have if he had proposed a budget plan for the Land of Oz. Besides being dead on arrival in the Senate, the Ryan plan seems unlikely to attract support from anywhere close to a majority of the American people.
The Ryan plan does not address the deficit at all in the short term (although a supply-sider could make the argument that his tax cuts could spur economic growth that would decrease the deficit). In the long term, Ryan would shrink all discretionary spending (everything other than Social Security, health entitlements, and interest payments) to 3.75% of GDP. Military spending (aside from Iraq and Afghanistan) is currently about 3.5% of GDP, and Ryan refuses to cut the military. So that leaves 0.25% of GDP for everything else: infrastructure, border patrol, federal law enforcement, food and water safety, veterans benefits, the safety net, etc. While non-military discretionary spending does need to be cut somewhat, slashing it from its current level (about 3.5% of GDP) to 0.25% is simply ridiculous.
One could imagine a center-right proposal, combining revenue-neutral tax reform with some cuts in discretionary spending and measures to stop the runaway growth in entitlements. But nothing like that has ever been proposed.
Right now, it is clear that Congress and the White House care much more about making political statements, upholding pledges, and sticking it to the other party than they care about actually governing the country.
Showing posts with label obama. Show all posts
Showing posts with label obama. Show all posts
Sunday, March 25, 2012
Saturday, January 21, 2012
Is it not possible to reroute the Keystone XL pipeline?
President Obama has just rejected the construction of the Keystone XL pipeline from Canada to the Gulf of Mexico. Recall that Obama initially tried to postpone a decision on the pipeline until 2013--a cowardly move intended to avoid angering either of two big Democratic special interest groups (environmentalists and unions) before the election. When forced to make a decision by Congress, he decided to reject the pipeline. Newsweek, not exactly known as a right-wing publication, called it an "act of national insanity."
The Newsweek article correctly points out that environmentalists concerned about global warming emissions get nothing from this except for a symbolic PR victory. Canada has already committed to extracting the oil from the tar sands in Alberta, and they will now most likely build a pipeline to the Pacific for export to Asia. By rejecting the pipeline, Obama antagonizes a strong ally and sacrifices tens of thousands of new American jobs. The pipeline would also lower fuel prices and reduce our dependence on foreign oil.
There is, however, one very legitimate concern about Keystone XL. The proposed pipeline would have gone over the Ogallala Aquifer, a vast underground water source that makes most of Midwestern agriculture possible. Contamination of the Ogallala could have devastating effects on the region's agriculture and drinking water. While it is true that there are already numerous pipelines going over the aquifer, I would imagine that leaks are much more likely in a new pipeline (because of possible structural flaws, engineering problems, etc) than in one that has been working leak-free for decades.
The solution, then, seems obvious: reroute the pipeline around the aquifer. But that wouldn't satisfy environmental groups, who sometimes seem to want to roll back industrial society. Some would argue that they just want to switch from fossil fuels to wind and solar. But the fact remains that wind and solar are currently unreliable and not at all cost-effective. Plus, even wind and solar are vulnerable to environmentalist and NIMBY opposition--a salient example being the decade-long controversy over an offshore wind farm on Cape Cod. If people oppose even wind energy, then (assuming they are not currently living off the land in a technology-free community) where in the world do they think they can get their energy from?
Anyway, it seems that appeasing environmental special-interest groups is a bigger priority for Obama than jobs, fuel prices, or energy independence.
The Newsweek article correctly points out that environmentalists concerned about global warming emissions get nothing from this except for a symbolic PR victory. Canada has already committed to extracting the oil from the tar sands in Alberta, and they will now most likely build a pipeline to the Pacific for export to Asia. By rejecting the pipeline, Obama antagonizes a strong ally and sacrifices tens of thousands of new American jobs. The pipeline would also lower fuel prices and reduce our dependence on foreign oil.
There is, however, one very legitimate concern about Keystone XL. The proposed pipeline would have gone over the Ogallala Aquifer, a vast underground water source that makes most of Midwestern agriculture possible. Contamination of the Ogallala could have devastating effects on the region's agriculture and drinking water. While it is true that there are already numerous pipelines going over the aquifer, I would imagine that leaks are much more likely in a new pipeline (because of possible structural flaws, engineering problems, etc) than in one that has been working leak-free for decades.
The solution, then, seems obvious: reroute the pipeline around the aquifer. But that wouldn't satisfy environmental groups, who sometimes seem to want to roll back industrial society. Some would argue that they just want to switch from fossil fuels to wind and solar. But the fact remains that wind and solar are currently unreliable and not at all cost-effective. Plus, even wind and solar are vulnerable to environmentalist and NIMBY opposition--a salient example being the decade-long controversy over an offshore wind farm on Cape Cod. If people oppose even wind energy, then (assuming they are not currently living off the land in a technology-free community) where in the world do they think they can get their energy from?
Anyway, it seems that appeasing environmental special-interest groups is a bigger priority for Obama than jobs, fuel prices, or energy independence.
Friday, January 6, 2012
GOP, conservatives need to get priorities straight
Going into the election year of 2012, major polls (see here and here) highlight two issues as most important to voters. One is the economy (which includes unemployment/jobs) and the other is the budget deficit. The wave of Republicans who came into Congress in 2010 attempted to address these issues by insisting on spending cuts to reduce the deficit, resisting tax increases for fear of further damaging the economy. A number of bitter deadlocks ensued as President Obama insisted on tax increases and repeatedly balked at cutting spending.
Now, Obama has finally come up with $500 billion in spending cuts--but rather than celebrate, the editors of conservative magazine National Review attack him viciously. The reason? Obama wants to cut the Pentagon budget. In attacking the cuts, National Review calls Obama's plan a "retreat" and pulls out all the usual neocon arguments. They scold Obama for trying to return troop levels to where they were at the end of the Clinton administration--which was not coincidentally the last time we had a balanced budget.
Here is one quote: "At its Cold War peak, U.S. military strategy called for the peacetime ability to simultaneously fight and win two major theater wars and a “brushfire” conflict. The years after the Soviet collapse saw that capability pared down in the name of the “peace dividend,” just in time for the 9/11 decade to deliver . . . two major theater wars and a series of “brushfire” conflicts... But the president draws precisely the wrong conclusion from the challenges of those conflicts. Faced with our struggle to fight up to our own standards, he has elected to lower the bar."
Well, if "lowering the bar" means that less Americans die fighting for dubious causes in wars like Vietnam or Iraq, and our deficit is reduced as well, then I'm all for it. It seems to me that Obama drew exactly the right conclusion: don't start a war without an imminent threat to America and don't engage in prolonged nation-building.
Conservatives really need to realize that we can't do it all. We can't balance the budget, keep taxes low, maintain our infrastructure, keep an acceptable safety net, and continue even a stabilized version of Social Security and Medicare while continuing to act as the world's lone policeman. Not only that, but unless Republicans are willing to cut their favored programs, it would be disingenuous to ask Democrats to do the same.
Now, Obama has finally come up with $500 billion in spending cuts--but rather than celebrate, the editors of conservative magazine National Review attack him viciously. The reason? Obama wants to cut the Pentagon budget. In attacking the cuts, National Review calls Obama's plan a "retreat" and pulls out all the usual neocon arguments. They scold Obama for trying to return troop levels to where they were at the end of the Clinton administration--which was not coincidentally the last time we had a balanced budget.
Here is one quote: "At its Cold War peak, U.S. military strategy called for the peacetime ability to simultaneously fight and win two major theater wars and a “brushfire” conflict. The years after the Soviet collapse saw that capability pared down in the name of the “peace dividend,” just in time for the 9/11 decade to deliver . . . two major theater wars and a series of “brushfire” conflicts... But the president draws precisely the wrong conclusion from the challenges of those conflicts. Faced with our struggle to fight up to our own standards, he has elected to lower the bar."
Well, if "lowering the bar" means that less Americans die fighting for dubious causes in wars like Vietnam or Iraq, and our deficit is reduced as well, then I'm all for it. It seems to me that Obama drew exactly the right conclusion: don't start a war without an imminent threat to America and don't engage in prolonged nation-building.
Conservatives really need to realize that we can't do it all. We can't balance the budget, keep taxes low, maintain our infrastructure, keep an acceptable safety net, and continue even a stabilized version of Social Security and Medicare while continuing to act as the world's lone policeman. Not only that, but unless Republicans are willing to cut their favored programs, it would be disingenuous to ask Democrats to do the same.
Monday, January 2, 2012
Obama: I have the power to detain US citizens...but I won't
As Obama signed the NDAA into law on December 31, which authorizes the indefinite detention of US citizens without trial, he issued a signing statement where he basically told Americans to trust him not to indefinitely detain anyone.
From the statement: "I want to clarify that my Administration will not authorize the indefinite military detention without trial of American citizens. Indeed, I believe that doing so would break with our most important traditions and values as a Nation. My Administration will interpret section 1021 in a manner that ensures that any detention it authorizes complies with the Constitution, the laws of war, and all other applicable law."
Why should Obama expect anyone to trust him? First of all, he's a politician, and politicians rarely keep their promises to ordinary people. Second of all, Obama in particular has a less than stellar record of keeping promises. For one thing, he promised during his campaign to end "politics as usual in Washington," but in his first year in office engineered a Machiavellian vote-buying scheme in order to get Obamacare through Congress. Oh, and he also promised not to use signing statements to circumnavigate legislation signed into law.
From the statement: "I want to clarify that my Administration will not authorize the indefinite military detention without trial of American citizens. Indeed, I believe that doing so would break with our most important traditions and values as a Nation. My Administration will interpret section 1021 in a manner that ensures that any detention it authorizes complies with the Constitution, the laws of war, and all other applicable law."
Why should Obama expect anyone to trust him? First of all, he's a politician, and politicians rarely keep their promises to ordinary people. Second of all, Obama in particular has a less than stellar record of keeping promises. For one thing, he promised during his campaign to end "politics as usual in Washington," but in his first year in office engineered a Machiavellian vote-buying scheme in order to get Obamacare through Congress. Oh, and he also promised not to use signing statements to circumnavigate legislation signed into law.
Saturday, December 17, 2011
Levin: Obama REQUESTED authority to detain US citizens
I would like to apologize for what appears to be a mistake in my last post.
I assumed that since Sens. John McCain and Carl Levin were the chief architects of the NDAA bill, and since McCain has been arguably the leading hawk in Congress for the past two decades, that they were responsible for writing the bill so that it would not exempt US citizens from indefinite detention. As for Obama, I assumed that withdrawing his veto threat was yet another example of his lack of courage--similar to delaying the Keystone decision or deferring entirely to Pelosi on the 2009 stimulus bill.
However, according to Carl Levin (see the video below), the original bill--which passed the committee--contained language that DID exempt US citizens from indefinite detention, but the Obama administration requested that that language be taken out. Unless Levin is lying through his teeth here, Obama is about to perpetrate the worst assault on civil liberties since McCarthyism and the Japanese internment.
And now I can only wonder why Obama--who was once so critical of the war on terror that he attempted to close Guantanamo and try Khalid Sheikh Mohammed in civilian court--would basically take a blowtorch to the Sixth Amendment.
I assumed that since Sens. John McCain and Carl Levin were the chief architects of the NDAA bill, and since McCain has been arguably the leading hawk in Congress for the past two decades, that they were responsible for writing the bill so that it would not exempt US citizens from indefinite detention. As for Obama, I assumed that withdrawing his veto threat was yet another example of his lack of courage--similar to delaying the Keystone decision or deferring entirely to Pelosi on the 2009 stimulus bill.
However, according to Carl Levin (see the video below), the original bill--which passed the committee--contained language that DID exempt US citizens from indefinite detention, but the Obama administration requested that that language be taken out. Unless Levin is lying through his teeth here, Obama is about to perpetrate the worst assault on civil liberties since McCarthyism and the Japanese internment.
And now I can only wonder why Obama--who was once so critical of the war on terror that he attempted to close Guantanamo and try Khalid Sheikh Mohammed in civilian court--would basically take a blowtorch to the Sixth Amendment.
Thursday, December 15, 2011
Congress passes act that could authorize indefinite detention of US citizens; Obama takes back veto threat
A new threat to civil liberties looms on the horizon. Congress recently passed the National Defense Authorization Act, which would open the door for indefinite detentions of anyone, including US citizens, that is considered to be "allied with al-Qaeda."
According to Forbes, the act allows for someone the government says is "a member of, or part of, al-Qaeda or an associated force" to be held in military custody without trial "until the end of the hostilities authorized by the Authorization for Use of Military Force." The hostilities it refers to are the conflict with al-Qaeda; in other words, the end of the hostilities is not in the foreseeable future. And there is nothing in the act that excludes US citizens from the authorization of military detention.
This is crazy. This act seems to completely throw away the protection of the Sixth Amendment in the name of security and the war on terror. Infinite detention of foreigners accused of terrorism is morally dubious; infinite detention of US citizens is appalling.
Earlier, Obama threatened to veto the act, which makes sense given his campaign promises to protect civil liberties and his earlier desire to close Guantanamo. But now Obama says he will not veto it. Instead of protecting civil liberties, Obama seems to be taking Bush's disregard for civil liberties even further. It is also saddening, but not surprising, that a majority of both houses of Congress voted for this bill. Congress' approval rating is in the single digits for a reason.
And finally, the sponsor of the bill? John McCain. I can only wonder if he would have gone even further with these draconian "security" measures had he won the 2008 election.
According to Forbes, the act allows for someone the government says is "a member of, or part of, al-Qaeda or an associated force" to be held in military custody without trial "until the end of the hostilities authorized by the Authorization for Use of Military Force." The hostilities it refers to are the conflict with al-Qaeda; in other words, the end of the hostilities is not in the foreseeable future. And there is nothing in the act that excludes US citizens from the authorization of military detention.
This is crazy. This act seems to completely throw away the protection of the Sixth Amendment in the name of security and the war on terror. Infinite detention of foreigners accused of terrorism is morally dubious; infinite detention of US citizens is appalling.
Earlier, Obama threatened to veto the act, which makes sense given his campaign promises to protect civil liberties and his earlier desire to close Guantanamo. But now Obama says he will not veto it. Instead of protecting civil liberties, Obama seems to be taking Bush's disregard for civil liberties even further. It is also saddening, but not surprising, that a majority of both houses of Congress voted for this bill. Congress' approval rating is in the single digits for a reason.
And finally, the sponsor of the bill? John McCain. I can only wonder if he would have gone even further with these draconian "security" measures had he won the 2008 election.
Monday, November 14, 2011
Obama: A President For the Big Guys
By his own account, Obama is a protector of the little guy. However, when you look at who has actually benefited the most during his administration, the exact opposite becomes true. The two clear winners of the Obama presidency have been big government and Wall Street. The losers? Workers, small businesses, and small banks.
While Obama may denigrate Wall Street as "fat cat bankers," according to the Washington Post he has raised more from Wall Street than all of the Republican candidates combined. Not only that, Wall Street firms have earned more in the first 2 1/2 years of the Obama administration than they did during the eight years of the Bush administration. Think about that for a second. Under Obama, Wall Street has made three times as much money per year in a historically bad economy than they did under Bush in a generally good economy.
Smaller banks? They haven't fared as well. Regulations like Dodd-Frank are far too watered-down to prevent the problems that caused the 2008 financial crisis, but they are complex enough to force small banks to spend inordinate amounts of money on compliance.
And then there's big government, which now employs 140,800 more people than at the beginning of Obama's tenure. Obamacare has given unprecedented power to government officials--however, its passage in March 2010 was followed by a sudden halt in private-sector hiring. I don't see this as a coincidence. Again, big businesses have the resources to give government-approved health insurance to all their workers. But small businesses--the country's top job creators--often do not. The thing is, small businesses are only exempted from Obamacare cost burdens if they have less than 50 workers. So basically, Obama's message to small companies with 30-40 workers is "Don't expand, and stop hiring." Interesting message coming from a president who claims his top priority is jobs.
Speaking of jobs, a Canadian company wants to build a pipeline from Alberta to Texas that would employ over 20,000 workers. Obama, however, announced that he is delaying approval until 2013--after the elections. It seems that appeasing environmental activists in an election year is actually more important to Obama than jobs. I would almost understand it if he killed the project because he truly thought that a pipeline would do too much damage to the environment. But punting until 2013 just gives the impression that he is too cowardly to make a decision that might offend special interest groups. Winner? The environmental lobby. Loser? Once again, American workers.
While Obama may denigrate Wall Street as "fat cat bankers," according to the Washington Post he has raised more from Wall Street than all of the Republican candidates combined. Not only that, Wall Street firms have earned more in the first 2 1/2 years of the Obama administration than they did during the eight years of the Bush administration. Think about that for a second. Under Obama, Wall Street has made three times as much money per year in a historically bad economy than they did under Bush in a generally good economy.
Smaller banks? They haven't fared as well. Regulations like Dodd-Frank are far too watered-down to prevent the problems that caused the 2008 financial crisis, but they are complex enough to force small banks to spend inordinate amounts of money on compliance.
And then there's big government, which now employs 140,800 more people than at the beginning of Obama's tenure. Obamacare has given unprecedented power to government officials--however, its passage in March 2010 was followed by a sudden halt in private-sector hiring. I don't see this as a coincidence. Again, big businesses have the resources to give government-approved health insurance to all their workers. But small businesses--the country's top job creators--often do not. The thing is, small businesses are only exempted from Obamacare cost burdens if they have less than 50 workers. So basically, Obama's message to small companies with 30-40 workers is "Don't expand, and stop hiring." Interesting message coming from a president who claims his top priority is jobs.
Speaking of jobs, a Canadian company wants to build a pipeline from Alberta to Texas that would employ over 20,000 workers. Obama, however, announced that he is delaying approval until 2013--after the elections. It seems that appeasing environmental activists in an election year is actually more important to Obama than jobs. I would almost understand it if he killed the project because he truly thought that a pipeline would do too much damage to the environment. But punting until 2013 just gives the impression that he is too cowardly to make a decision that might offend special interest groups. Winner? The environmental lobby. Loser? Once again, American workers.
Wednesday, November 9, 2011
More Government Ridiculousness: A Christmas Tree Tax!
Yep. That's right. President Obama’s Agriculture Department today announced that it will impose a new 15-cent tax on all fresh Christmas trees to support a new Federal program to improve the image and marketing of Christmas trees.
Honestly, this sounds like something Jon Stewart or Stephen Colbert would make up to parody the White House. How, exactly, will this help anyone? What is currently wrong with the image or marketing of Christmas trees, anyway?
Honestly, this sounds like something Jon Stewart or Stephen Colbert would make up to parody the White House. How, exactly, will this help anyone? What is currently wrong with the image or marketing of Christmas trees, anyway?
Wednesday, September 14, 2011
NLRB vs. jobs
In the words of the Chicago Tribune: "You have to wonder about a federal agency that sticks it to an American manufacturer creating thousands of good-paying jobs inside the nation's borders, instead of overseas.
Last week, President Obama gave a long speech about job creation. Boeing, however, has done more than give speeches: it is trying to create thousands of jobs--and not minimum wage jobs, either--by opening a new 787 assembly plant in South Carolina. Those jobs are in some danger, however, because of charges brought by the NLRB under the direction of the very same President Obama. The NLRB's complaint? Boeing is opening its new plant in South Carolina, a right-to-work state, rather than Washington where it has its headquarters. Never mind that no workers in Washington are going to be fired. The NLRB somehow thinks that it can tell companies where to build new plants.According to a poll by the Tarrance Group, 78% of Americans disagree and side with Boeing.
This leads one to wonder how much Obama actually does want to create jobs. If it was a priority of his, then it seems he would at least make sure that no part of the executive branch did anything to hinder job creation. Based on the actions of the NLRB, power, not jobs, seems to be Obama's chief concern. He seems to only be interested in creating jobs if the jobs are somehow under his control.
To stop the NLRB's overreach, Republicans in Congress have introduced legislation that prevents the NLRB from ordering employees to close plants or relocate employment. If that is vetoed or falls in the Senate, they may resort to stall tactics. According to the same Tribune article, Obama's recess appointment of board member Craig Becker runs out Dec. 31. and his departure would leave just two of the board's five seats occupied. So in the absence of any new appointments — which Republicans have vowed to block — the board will fall short of a quorum.
So what we have here is a federal agency trying to blatantly overstep its bounds and destroy thousands of jobs in the middle of a recession. Furthermore, Congress may not be able to stop it without effectively shutting the NLRB down completely, preventing it from performing its legitimate functions of investigating unfair labor practices. What a mess.
Last week, President Obama gave a long speech about job creation. Boeing, however, has done more than give speeches: it is trying to create thousands of jobs--and not minimum wage jobs, either--by opening a new 787 assembly plant in South Carolina. Those jobs are in some danger, however, because of charges brought by the NLRB under the direction of the very same President Obama. The NLRB's complaint? Boeing is opening its new plant in South Carolina, a right-to-work state, rather than Washington where it has its headquarters. Never mind that no workers in Washington are going to be fired. The NLRB somehow thinks that it can tell companies where to build new plants.According to a poll by the Tarrance Group, 78% of Americans disagree and side with Boeing.
This leads one to wonder how much Obama actually does want to create jobs. If it was a priority of his, then it seems he would at least make sure that no part of the executive branch did anything to hinder job creation. Based on the actions of the NLRB, power, not jobs, seems to be Obama's chief concern. He seems to only be interested in creating jobs if the jobs are somehow under his control.
To stop the NLRB's overreach, Republicans in Congress have introduced legislation that prevents the NLRB from ordering employees to close plants or relocate employment. If that is vetoed or falls in the Senate, they may resort to stall tactics. According to the same Tribune article, Obama's recess appointment of board member Craig Becker runs out Dec. 31. and his departure would leave just two of the board's five seats occupied. So in the absence of any new appointments — which Republicans have vowed to block — the board will fall short of a quorum.
So what we have here is a federal agency trying to blatantly overstep its bounds and destroy thousands of jobs in the middle of a recession. Furthermore, Congress may not be able to stop it without effectively shutting the NLRB down completely, preventing it from performing its legitimate functions of investigating unfair labor practices. What a mess.
Wednesday, August 31, 2011
As a candidate, Obama opposed an individual health-care mandate
During the 2008 primaries, Obama actually came out against an individual health-care mandate with this very sensible argument:
"If a mandate was the solution, we could try that to solve homelessness by mandating everybody buy a house. The reason they don't have a house is they don't have the money. So our focus has been on reducing costs, making it available."
Unfortunately, he abandoned this belief once he was elected, and signed a health care bill with an individual mandate that has been declared unconstitutional by several appeals courts. Perhaps someone needed to remind him of this quote during the Obamacare debates.
Speaking of presidents who abandoned previously stated positions, with decidedly negative results:
"Somalia...started off as a humanitarian mission then changed into a nation-building mission and that's where the mission went wrong...I don't think our troops ought to be used for what's called nation-building."
--Candidate George W. Bush
As president, of course, Bush led us into two very costly nation-building exercises on a scale not seen since the 1940's and which have dragged on for almost a decade. 9/11 may have justified the initial attack on the Taliban, but I don't understand why Bush changed his mind so dramatically on the wisdom of nation-building.
"If a mandate was the solution, we could try that to solve homelessness by mandating everybody buy a house. The reason they don't have a house is they don't have the money. So our focus has been on reducing costs, making it available."
Unfortunately, he abandoned this belief once he was elected, and signed a health care bill with an individual mandate that has been declared unconstitutional by several appeals courts. Perhaps someone needed to remind him of this quote during the Obamacare debates.
Speaking of presidents who abandoned previously stated positions, with decidedly negative results:
"Somalia...started off as a humanitarian mission then changed into a nation-building mission and that's where the mission went wrong...I don't think our troops ought to be used for what's called nation-building."
--Candidate George W. Bush
As president, of course, Bush led us into two very costly nation-building exercises on a scale not seen since the 1940's and which have dragged on for almost a decade. 9/11 may have justified the initial attack on the Taliban, but I don't understand why Bush changed his mind so dramatically on the wisdom of nation-building.
Monday, August 29, 2011
Government by the special interests, for the special interests
As a candidate in 2008, Barack Obama focused much of his message around overcoming "politics as usual" and bringing about change that would benefit the true public interest. That was one of the main reasons I voted for him, despite the fact that I disagreed with him on most matters of economic policy. When Obama was elected, much of the country hoped that he would take steps to work with Republicans and to cut down the influence of lobbyists and special interests in Washington.
In reality, however, Obama, Pelosi, and Reid did exactly the opposite. In their two years of unopposed control over Washington, they rarely passed up an opportunity to throw red meat to their favored special interests, usually screwing over the American people as a result. Jay Cost of the Weekly Standard has the full story, but here's a summary:
1. A massive stimulus bill heavy on pork and various pipe dreams such as "green initiatives," but little actual stimulus.
2. Giving a majority stake in Chrysler to the United Auto Workers. (Isn't that a conflict of interest for a labor union to own the company that employs its members?)
3. The attempted cap-and-trade bill, which would have made environmentalists happy--but which would also have hit businesses and individuals extremely hard, likely causing a huge spike in unemployment
4. The toothless financial reform bill, basically a sweetheart deal for Goldman Sachs and all the other Wall Street mega-banks that donated large sums of money to Obama's campaign.
5. When trying to get votes for the health care bill in 2009, Pelosi actually told reluctant Rep. Jim Cooper (D-Tenn), "The store is open. Now is the time to get your provisions." Although, after the "Cornhusker Kickback" and the "Louisiana Purchase," that statement hardly seems surprising.
And all of this from a president who promised to minimize the influence of special-interest lobbyists. Very gifted in doublespeak, indeed.
In reality, however, Obama, Pelosi, and Reid did exactly the opposite. In their two years of unopposed control over Washington, they rarely passed up an opportunity to throw red meat to their favored special interests, usually screwing over the American people as a result. Jay Cost of the Weekly Standard has the full story, but here's a summary:
1. A massive stimulus bill heavy on pork and various pipe dreams such as "green initiatives," but little actual stimulus.
2. Giving a majority stake in Chrysler to the United Auto Workers. (Isn't that a conflict of interest for a labor union to own the company that employs its members?)
3. The attempted cap-and-trade bill, which would have made environmentalists happy--but which would also have hit businesses and individuals extremely hard, likely causing a huge spike in unemployment
4. The toothless financial reform bill, basically a sweetheart deal for Goldman Sachs and all the other Wall Street mega-banks that donated large sums of money to Obama's campaign.
5. When trying to get votes for the health care bill in 2009, Pelosi actually told reluctant Rep. Jim Cooper (D-Tenn), "The store is open. Now is the time to get your provisions." Although, after the "Cornhusker Kickback" and the "Louisiana Purchase," that statement hardly seems surprising.
And all of this from a president who promised to minimize the influence of special-interest lobbyists. Very gifted in doublespeak, indeed.
Monday, August 8, 2011
Bush and Obama: More similar than different
Obama is (deservedly, in my opinion) taking a lot of heat these days for the debt crisis and the down economy. One of the classic responses from left-wingers trying to defend Obama is "Well, would you prefer Bush?" In some ways, that is a good point. More fundamentally, however, I feel like it misses the point. If you look past the "R" and "D" labels, Bush's and Obama's presidencies are really more similar than different. Obama is not really a liberal, although he does lean left; nor was Bush really a conservative, although he leaned right. They are both statists, dramatically expanding the power and the role of government. And both their administrations were characterized by grossly irresponsible spending and heavy-handed policies that backfired.
During Bush's eight years in office, the national debt ballooned from $5.7 trillion to $10.6 trillion--an increase of nearly $5 trillion. During Obama's 2.5 years in office, the national debt grew from $10.6 trillion to $14.5 trillion--an increase of nearly $4 trillion in about one-third of the time. However, Obama has done his borrowing in a historically bad economy, when some amount of deficit is acceptable or even advisable so as to allow for pro-growth tax cuts or spending. Bush's borrowing was mostly during good economic times, when deficits are much harder to justify. In addition, some of Obama's spending was the result of the two wars he inherited from Bush. Conclusion? Bush borrowed a lot when he should have been borrowing nothing. Obama is borrowing a ridiculous amount when he should only be borrowing a little.
Besides spending like drunken sailors, both presidents seemed to believe that more power from the U.S. government is a good thing. Bush attempted to expand American global influence with bombs and guns. He started two wars that turned into long, deadly occupations, while continuing to believe that the people of Iraq and Afghanistan would somehow appreciate the American occupation and the heavy American influence on their new governments. Obama, on the other hand, seems to believe that he always knows better than the American people--whether it means forcing people to buy healthcare, preventing people from buying incandescent lamps, trying to tell companies that they can't open a factory in a certain state, or trying to prevent workers from having a secret-ballot vote on whether to unionize. Obama clearly does not see individual economic freedom as anything worth protecting.
So forget the "R" and "D" labels. We should not automatically associate all Democrats with Obama or all Republicans with Bush. The next president, regardless of party, needs to be someone who is as unlike either of them as possible.
During Bush's eight years in office, the national debt ballooned from $5.7 trillion to $10.6 trillion--an increase of nearly $5 trillion. During Obama's 2.5 years in office, the national debt grew from $10.6 trillion to $14.5 trillion--an increase of nearly $4 trillion in about one-third of the time. However, Obama has done his borrowing in a historically bad economy, when some amount of deficit is acceptable or even advisable so as to allow for pro-growth tax cuts or spending. Bush's borrowing was mostly during good economic times, when deficits are much harder to justify. In addition, some of Obama's spending was the result of the two wars he inherited from Bush. Conclusion? Bush borrowed a lot when he should have been borrowing nothing. Obama is borrowing a ridiculous amount when he should only be borrowing a little.
Besides spending like drunken sailors, both presidents seemed to believe that more power from the U.S. government is a good thing. Bush attempted to expand American global influence with bombs and guns. He started two wars that turned into long, deadly occupations, while continuing to believe that the people of Iraq and Afghanistan would somehow appreciate the American occupation and the heavy American influence on their new governments. Obama, on the other hand, seems to believe that he always knows better than the American people--whether it means forcing people to buy healthcare, preventing people from buying incandescent lamps, trying to tell companies that they can't open a factory in a certain state, or trying to prevent workers from having a secret-ballot vote on whether to unionize. Obama clearly does not see individual economic freedom as anything worth protecting.
So forget the "R" and "D" labels. We should not automatically associate all Democrats with Obama or all Republicans with Bush. The next president, regardless of party, needs to be someone who is as unlike either of them as possible.
Thursday, July 28, 2011
The GOP's Test: Reality or Ideology?
Although the debt ceiling fight is by no means over, John Boehner and Harry Reid have come up with two plans that avoid raising taxes, and either of them seems to be a realistic option. One obstacle in the way of a completed deal is President Obama, who continues to push for a tax increase. However, it is doubtful that Obama would choose to veto a plan that passed the House and Senate and thus expose himself to the majority of the blame for a possible credit downgrade or any other adverse effects of the budget stalemate. The other obstacle is a number of House Republicans who continue to insist on more aggressive spending cuts and refuse to eliminate special tax breaks.
This, argues the Wall Street Journal, would be a big mistake, and I agree. The Boehner and Reid plans are not perfect, but they satisfy the GOP's #1 priority (no tax increases) and seem like they have support in Congress. If House Republicans torpedo them, they play into Obama's hands, allowing him to blame the GOP for the budget impasse. They then might be forced to accept a tax increase in order to avoid suffering the political fallout of the debt limit not being raised.
This is somewhat similar to the situation that Obama and the Democrats faced in 2009-10. They came into office with an impressive mandate, and the GOP's popularity was at historic lows as a result of the disasters of the Bush administration. With a down economy, the Democrats had an opportunity to cement a long-lasting majority by taking a center-left approach that focused on jobs (particularly private-sector jobs) and financial regulation while perhaps also expanding the safety net. Instead, they went whole hog, driven by their ideology instead of by the reality of the situation. They passed a stimulus that contained some good programs and tax cuts but was also stuffed with pork, did nothing for small businesses, and in the end was largely a disappointment. Then, despite continuing high unemployment, they abandoned the focus on jobs and passed ObamaCare, a decades-long liberal dream, without a single Republican vote. Immediately afterward, new hiring almost stopped. The Democrats were crushed in the 2010 election.
If the Republicans want to keep any of the gains they made in 2010, they need to learn from this mistake.
This, argues the Wall Street Journal, would be a big mistake, and I agree. The Boehner and Reid plans are not perfect, but they satisfy the GOP's #1 priority (no tax increases) and seem like they have support in Congress. If House Republicans torpedo them, they play into Obama's hands, allowing him to blame the GOP for the budget impasse. They then might be forced to accept a tax increase in order to avoid suffering the political fallout of the debt limit not being raised.
This is somewhat similar to the situation that Obama and the Democrats faced in 2009-10. They came into office with an impressive mandate, and the GOP's popularity was at historic lows as a result of the disasters of the Bush administration. With a down economy, the Democrats had an opportunity to cement a long-lasting majority by taking a center-left approach that focused on jobs (particularly private-sector jobs) and financial regulation while perhaps also expanding the safety net. Instead, they went whole hog, driven by their ideology instead of by the reality of the situation. They passed a stimulus that contained some good programs and tax cuts but was also stuffed with pork, did nothing for small businesses, and in the end was largely a disappointment. Then, despite continuing high unemployment, they abandoned the focus on jobs and passed ObamaCare, a decades-long liberal dream, without a single Republican vote. Immediately afterward, new hiring almost stopped. The Democrats were crushed in the 2010 election.
If the Republicans want to keep any of the gains they made in 2010, they need to learn from this mistake.
Monday, July 25, 2011
Obama's Tax Hike Obsession
President Obama has been very adamant about including tax hikes in any budget deal. Congressional Democrats, on the other hand, seem to have settled for raising revenue by eliminating special tax breaks. If the congressional leaders come up with a plan that combines eliminating tax breaks with real, immediate spending cuts (as opposed to "future cuts" that may or may not happen), the Republicans would be stupid not to go for it.
However, the question still remains: Why was Obama so insistent on raising taxes? Pretty much every school of economics, and Keynesian economics in particular, says that raising taxes in a down economy is a bad idea. It seems like a more sensible argument for the Democrats would be that we need to keep up spending now in order to increase aggregate demand, and that we shouldn't worry about the deficit until the economy recovers.
However, it turns out that the Democrats' eagerness to raise taxes has a simple explanation: they want to spend even more. MUCH more. Three liberal think tanks devised 20-year plans to balance the budget and pay down the debt. On average, they want the federal government to collect 23.9% of GDP--15% higher than during World War 2.
This article from Reuters has all the gory details.
However, the question still remains: Why was Obama so insistent on raising taxes? Pretty much every school of economics, and Keynesian economics in particular, says that raising taxes in a down economy is a bad idea. It seems like a more sensible argument for the Democrats would be that we need to keep up spending now in order to increase aggregate demand, and that we shouldn't worry about the deficit until the economy recovers.
However, it turns out that the Democrats' eagerness to raise taxes has a simple explanation: they want to spend even more. MUCH more. Three liberal think tanks devised 20-year plans to balance the budget and pay down the debt. On average, they want the federal government to collect 23.9% of GDP--15% higher than during World War 2.
This article from Reuters has all the gory details.
Thursday, July 14, 2011
America is Tuning Out Obama
In a Wall Street Journal article, Michael Goodwin of the New York Post talks about how he has stopped paying attention to Obama's speeches:
"He is the Man Who Won't Listen to Anybody, so why should anybody listen to him?"
"There is not a single example on domestic issues where he voluntarily staked out a spot in the American middle. . . Obama's default statist position remains unmolested by facts or last year's landslide that was a rebuke to his first two years. He continues to push bigger and bigger government, higher and higher taxes and more and more welfare programs."
On Monday, a CBS News correspondent asked Obama how he was going to convince people that the debt ceiling needs to be raised (despite polls showing that 69% are against it). Obama's response?
"Well, let me distinguish between professional politicians and the public at large. The public is not paying close attention to the ins and outs of how a Treasury option goes...We're paid to worry about it."
Great. When the public disagrees with him, Obama's default response is "Well, we know better than them." No wonder people are tuning him out.
"He is the Man Who Won't Listen to Anybody, so why should anybody listen to him?"
"There is not a single example on domestic issues where he voluntarily staked out a spot in the American middle. . . Obama's default statist position remains unmolested by facts or last year's landslide that was a rebuke to his first two years. He continues to push bigger and bigger government, higher and higher taxes and more and more welfare programs."
On Monday, a CBS News correspondent asked Obama how he was going to convince people that the debt ceiling needs to be raised (despite polls showing that 69% are against it). Obama's response?
"Well, let me distinguish between professional politicians and the public at large. The public is not paying close attention to the ins and outs of how a Treasury option goes...We're paid to worry about it."
Great. When the public disagrees with him, Obama's default response is "Well, we know better than them." No wonder people are tuning him out.
Monday, July 11, 2011
Obama's dismal performance on jobs
Obama came into office saying that he would revive the economy and create jobs, but at this point his handling of jobs and the economy has pretty much been a complete failure, as this article explains quite well.
The White House Council of Economic Advisers' latest report showed that the so-called stimulus created or saved only 2.4 million jobs, at a cost to the taxpayer of $250,000 per job. That doesn't exactly inspire confidence in our leadership or the economy. As the author of the article says, it is "difficult to rally around what looks like foolishness."
Then, with the economy still down, the Democrats forced through ObamaCare. This was despite the fact that arguably the most liberal state in the country (Massachusetts) voted for a senator (Scott Brown) whose platform centered around his opposition to ObamaCare and the fact that he would be the crucial 41st vote needed to block it in the Senate. The health care law imposed a litany of new taxes and regulations on small businesses that drive up the cost of employment. Environmental regulations heaped further costs onto business, particularly manufacturing. Is it any surprise that the private sector is not eager to start hiring?
It seems that Obama thinks that jobs are created by government, not by entrepreneurs. The current economic slump has been a testament to that delusion.
The White House Council of Economic Advisers' latest report showed that the so-called stimulus created or saved only 2.4 million jobs, at a cost to the taxpayer of $250,000 per job. That doesn't exactly inspire confidence in our leadership or the economy. As the author of the article says, it is "difficult to rally around what looks like foolishness."
Then, with the economy still down, the Democrats forced through ObamaCare. This was despite the fact that arguably the most liberal state in the country (Massachusetts) voted for a senator (Scott Brown) whose platform centered around his opposition to ObamaCare and the fact that he would be the crucial 41st vote needed to block it in the Senate. The health care law imposed a litany of new taxes and regulations on small businesses that drive up the cost of employment. Environmental regulations heaped further costs onto business, particularly manufacturing. Is it any surprise that the private sector is not eager to start hiring?
It seems that Obama thinks that jobs are created by government, not by entrepreneurs. The current economic slump has been a testament to that delusion.
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