Doug Archives

The Moral Lessons of the Economic Stimulus

Kevin Schmiesing of the Acton Institute considers the bill from another angle.

The ARRA [American Recovery and Reinvestment Act] makes clear that we have not learned one great moral lesson: You can’t have something for nothing. Or, among economists, there’s no such thing as a free lunch.

I’m not even sure that anybody is seriously arguing that most of the items contained in this bill constitute “stimulus.” Congress can genuinely stimulate the economy in two ways: decreasing taxes and decreasing regulation. In other words, by putting fewer hindrances in the way of those who wish to produce and consume. Everything else is smoke and mirrors. Government puts money into one person’s hands only by taking it out of someone else’s; or by creating it ex nihilo, which amounts to the same thing (moralists have been condemning the debasement of currency at least since the Late Scholastics).

If the bill has any positive impact, it will be psychological, making people believe that the economy will improve and therefore generating positive economic activity. This possibility seems doubtful at this point. It appears instead that the measure’s most significant effect will be to increase the cynicism with which the American people view their government. I’m undecided yet as to whether that is a favorable development.

Keep an eye on the Acton Institute PowerBlog.  This is a great group and their take on religion and economics are invaluable.  (More PowerBlog entries on this specific topic are found linked from this post.)

Venezuela Scraps Term Limits

Which means that Hugo Chavez is free to run his country into the ground provided he can continue to finance his programs of "free" services and goods to the voters with oil money.  54% of the country have decided that they prefer the handouts.  It took 2 tries, but Chavez got his wish.

We’ll see if the Venezuelans get theirs.

Stimulus Round-up

All that’s left for the economic stimulus bill is for President Obama to sign it.  A round-up of reaction:

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Dan Spencer at RedState notes an Obama quote from the day before the bill passed, “We are not going to be able to perpetually finance the levels of debt that the federal government is currently carrying.”  The accompanying graphic is the ultimate irony.

CBS news reports that the President is going to convene a “fiscal responsibility summit” on February 23rd.  Again with the irony.  The left hand doesn’t know what the right hand is doing.

And finally, satirist Scott Ott engages in some wishful thinking:

President Barack Obama said today that “after a restless night’s sleep” he will veto the $787 billion economic stimulus package passed by Democrats in Congress on Friday.

“I had a dream,” said a visibly shaken Mr. Obama. “that my daughters, Sasha and Malia, were trapped under the 1,100-page legislation. In the dream I saw my girls as women in their forties and they were still paying for this. I woke up, and did the math, and realized that it wasn’t just a dream. Has anybody read this thing yet?”

Read the whole thing, even if Congress won’t.

The Unintended Consequences of Single Parenthood

There is no way that we could possibly eliminate single parenthood.  It’s not an ideal environment to raise a child, but sometimes it simply can’t be helped. 

However, single parenthood by choice — mostly single motherhood — is certainly something we ought to discourage.  Dan Quayle got castigated by Hollywood when he pointed to the TV character Murphy Brown, who chose single motherhood, as a bad example.  He was right.  Obviously so to those of us who understand how important it is to be raised by a mother and a father, but not so much for those that think everything’s cool.

It took a long time to see some of the effects, but in Britain, it’s revealing itself.

A deputy head who sat on a Government taskforce aimed at improving behaviour in schools yesterday condemned a generation of modern parents as ‘uber-chavs’.

Ralph Surman said the parents of today’s pupils were themselves the children of the ‘first big generation of single mothers’ from the 1980s.

He claimed they – and in turn their children – have been left with no social skills or work ethic and may be impossible to educate.

Mr Surman spoke out in response to figures unearthed by the Conservative Party, which show that the number of 16 to 24-year-olds who are not in education, employment or training – known as NEETs – is rising across Britain.

‘We must talk about a class of uber-chavs,’ he said.

‘They are not doing anything productive and are costing taxpayers a fortune.

When everything is provided to you at other’s cost, you have no appreciation for it.  Government wanted to show it cared by providing care for these children and their mothers.  It took much of the worry out of being a single mother by choice, and it took much of the guilt away from men who abandoned their children ("Hey, they’ll be taken care of by the nanny state."). 

Yes, the Bible tells us to take care of the widows and orphans, but personally.  When we abrogate that function to the impersonal government, don’t be surprise when people start to take it for granted and expect it.  And the results, it seems, are worse for those who give and those who receive.

Taxation Without Representation, Union-Style

Another interesting story that came out about California’s Proposition 8 banning same-sex marriage, and the effort to make public the names of donors who supported it, was this article from NPR showing how the Teacher’s Union and its own teachers were on different sides of the question.

As California’s legal and cultural conflict over same-sex marriage played out this fall, the state’s teachers union put up $1.25 million to advocate against the gay marriage ban.

But at the same time, individual public school teachers in the state were giving more money to enact the ban than to defeat it, according to an NPR analysis of Proposition 8 contribution data recently released by the California secretary of state.

Teachers, aides and counselors in California public school systems gave about $2 to support the marriage ban for every $1 they gave to oppose it. The educators gave some $450,000 in individual contributions to advocates supporting the ban and about $210,000 to those opposing it, according to the NPR analysis.

So the union went against the very people it purports to represent, and spent the dues money teachers are obligated to pay in a political cause that the majority of dues-payers opposed.  What a scam!  If you want to educate our upcoming generation, you must donate to political causes that you disagree with.  No wonder liberals love unions; it’s a cash cow for their pet causes.

Never mind the fact that an organization who’s purpose is to supposedly look out for the rights of teachers is giving money to a political cause completely unrelated to their charter.  Not only are teachers forced to underwrite this, it has nothing at all to do with their welfare as teachers. 

I say again; what a scam.

Political Cartoon: When "Pork" Becomes "Stimulus"

From Michael Ramirez (click for a larger version):

This stimulus bill has no pork and not a single earmark.

Henceforth, should any Congressman tack on anything to any bill ever, he or she can just say, “Hey, it’s economic stimulus for my district!”  Obama and the Democrats have redefined the word “earmark” into oblivion.

Israel Moves to the Right

The election in Israel, the outcome of which makes parliamentary government very entertaining to watch, gave more votes to right-leaning parties than to left-leaning ones.  Meryl Yourish with the analysis:

The vote in Israel shows that a majority of Israelis voted for right-leaning parties. Avigdor Lieberman’s Yisrael Beitenu party, loathed by many for issues like wanting Arab Israelis to swear a loyalty oath, won fifteen seats in the Knesset. Labor, the party that gave us the worst Defense Minister ever (but the best Stalin lookalike, Amir Peretz) won only thirteen. The “peace” parties—the parties that the world most expected to bring peace to Israel and the Palestinians—were shoved aside. Why is that? Why is Labor doomed to the opposition, and Meretz even more marginalized than before?

Her answer is basically that the rockets voted. That’s actually a phrase I read in an opinion piece in the Atlantic, though it does convey her meaning. 

But the thing is, the rocket fire hasn’t traumatized the Israelis so much as it has woken them up.

Israelis want peace. But the policies of the last decade have failed. So Israelis are voting for the strong horse, as they say, but only just. The right-leaning parties have a bare majority in a 120-seat Knesset. The majority of Israelis no longer trust the peace process, because they’ve tried it for decades, and every time Israel gives up land, in return, they get terror.

The Gaza Strip was not blockaded when Israel first pulled out. Instead of working on building Gaza up economically, Gazans destroyed every last vestige of Israel, including the greenhouses, and then installed Hamas firmly into the government. The message to Israel was clear: We’re still going to destroy you. The thousands of missiles carried that message to southern Israel on a regular basis. Even now, Hamas refuses to stop the rockets, refuses to put aside “resistance,” and still calls for an Islamic state from the Jordan River to the Mediterranean Sea.

Israelis aren’t stupid. They were hopeful. They were optimistic. They were willing to believe that the Palestinians wanted peace just as much as they did.

They were wrong.

And that’s why the Israeli vote went to the right. Not because of the drivel that you read in the AP that says Israelis have a “self image as a besieged nation surrounded by enemies.” Not because “many Israelis are still traumatized by the Palestinian uprising.”

Sorry, John Lennon.  They gave peace a chance, for decades, frankly, and through the barrage of thousands of terrorist attacks in just the last 7 years.  Every effort and concession has been made and still their adversaries will simply not abide by their agreements. 

So now, Israel has spoken, and softly at that.  This was not an overwhelming change in political power, but it was significant.  Israel’s attackers have been put on notice.  Once more.

"Faith"-Based Initiatives

I wasn’t a big fan of Dubya’s faith-based initiatives.  Well, I was at first, but I was later convinced that, since whoever pays the bills makes the rules, that having government pay the bills was a bad  idea for churches.  It opened them up to having to do things their faith told them not to in order to keep the money coming in.

Of course, there’s another more general reason to avoid new government programs; they expand to fill whatever void the government finds; real or perceived.  And President Obama is busy looking for voids.

President Barack Obama on Thursday signed an order establishing a White House office of faith-based initiatives with a broader mission than the one overseen by his predecessor, Republican George W. Bush.

Obama said the office would reach out to organizations that provide help "no matter their religious or political beliefs."

Obama is calling his program the Office of Faith-Based and Neighborhood Partnerships.

(I would have put this in another ChangeWatch entry, more of the same alleged "theocracy" that Bush was supposedly foisting on us, yet continued and expanded under Obama, but thought it could use its own post.)

I wasn’t aware of a doctrinal test for Bush’s faith-based initiative, but Obama is claiming credit for expanding the reach.  Nifty sleight of hand there.

But the most notable expansion of the program is the addition of the word "Neighborhood".  The partnerships are "faith-based and neighborhood", not "faith-based neighborhood", meaning the neighborhood partnerships don’t have to be faith-based.  This turns the program into an untargeted channel for any and all grassroots groups.  As Warner Todd Hudson notes, sounds like yet another vector for funds to ACORN. 

Hudson also wondered (last Saturday, when he wrote his piece) whether the Left, and the Kos krowd in particular, will give Obama a pass on this, unlike the screams of "church and state!" they gave Bush when he created it.  Well, as of today, if you search Daily Kos back two weeks for the phrase "faith-based", you get exactly one hit, and that article still raps the GOP for it.  Yeah, still OK if their guy does it.  It’s still all about politics.  Such blind partisanship.

Sermon Notes: A Counter-Culture of Life

Preaching through the Ten Commandments, our pastor came to the 6th.  One of things I found fascinating is that there are quite a number of words for "kill" in Hebrew, and the King James translation doesn’t do much to get across this particular word.

Lo ratzach; don’t murder.

There is a word in Hebrew for killing an animal.  This is not that word.  You can be a vegetarian or vegan if you like, but you can’t use this verse as Biblical backup for your position.  (Actually, the Bible has a number of references showing that God’s OK with meat-eating.)

There is a word in Hebrew for killing in battle.  This is not that word.  You can be a pacifist if you like, but you can’t use this verse as Biblical backup for your position.  (Actually, the Bible has a number of references where God commands his people to make war on those God wishes to punish.)

There is a word in Hebrew for killing in self-defense or defense of another.  This is not that word.  You can be a police officer and kill someone in the line of duty while protecting yourself or others and you will not have broken this commandment.  You can protect an intruder with deadly force, and not be guilty of breaking this commandment. 

There is a word in Hebrew for the purposeful taking of an innocent life.  This is that word. 

Read the rest of this entry

Doomed to Repeat It

History only repeats itself when people don’t learn from it.  Even recent history.

Japan’s rural areas have been paved over and filled in with roads, dams and other big infrastructure projects, the legacy of trillions of dollars spent to lift the economy from a severe downturn caused by the bursting of a real estate bubble in the late 1980s. During those nearly two decades, Japan accumulated the largest public debt in the developed world — totaling 180 percent of its $5.5 trillion economy — while failing to generate a convincing recovery.

Yes, some still think that such spending can indeed create a recovery (notably, in the article, tax scofflaw Timothy Geithner), but it’s all theoretical, much like Japan’s attempt at stimulus.  In fact, Japan bailed out its banks as well, and the cure, at least according to the people living there (as opposed to those watching from an ivory tower) was far worse than the disease.

In the end, say economists, it was not public works but an expensive cleanup of the debt-ridden banking system, combined with growing exports to China and the United States, that brought a close to Japan’s Lost Decade. This has led many to conclude that spending did little more than sink Japan deeply into debt, leaving an enormous tax burden for future generations.

In the United States, it has also led to calls in Congress, particularly by Republicans, not to repeat the errors of Japan’s failed economic stimulus. They argue that it makes more sense to cut taxes, and let people decide how to spend their own money, than for the government to decide how to invest public funds. Japan put more emphasis on increased spending than tax cuts during its slump, but ultimately did reduce consumption taxes to encourage consumer spending as well.

Economists tend to divide into two camps on the question of Japan’s infrastructure spending: those, many of them Americans like Mr. Geithner, who think it did not go far enough; and those, many of them Japanese, who think it was a colossal waste.

Learn from history, or we may in for our own Lost Decade.

Trickle-Down Irresponsibility

Living beyond our means is now, apparently, so important that, according to Obama, "we don’t have a moment to spare."  Jacob Sullum of Reason magazine demonstrates just how irresponsible the economic stimulus bill is, and how it 180 degrees away from what Obama once preached.

Anno Domini $734 Billion

For a little perspective:  Mitch McConnell said that if you spent $1 million every day since Jesus was born, you still wouldn’t have outspent the proposed stimulus bill.  PolitiFact say, yup, he’s right.

Is The Iraq War Won?

ABC News thinks it’s possible.

An epochal media moment Monday night on ABC’s World News? In an upbeat story about the election in Iraq "with virtually no violence," reporter Jim Sciutto raised the possibility the war is now over — just in time to enable President Barack Obama to fulfill his promise to reduce troop levels — as Sciutto asked a member of Iraq’s parliament: "Is this the end of the war?" Mahmoud Othman cautiously predicted: "If the Iraqi leaders could get together and work together sincerely, yes, this could be the end of the war."

     Anchor Charles Gibson set up the story by asserting the Saturday elections "mark a major turning point in the Iraqi effort to move forward and the U.S. desire to pull back." Sciutto began with a woman who agreed with his premise "Iraq is ready to move on without the Americans." Sciutto described how "almost every day there’s another handover from American to Iraqi authority" and that "it was Iraqi soldiers who kept polling stations remarkably safe" while check points "used to be manned by American soldiers. Today, they are almost exclusively Iraqi security forces."

Thank you George W. Bush, for this "liberation moment".  Thanks especially from Barack Obama who can now safely pull the troops out.

Global Warming Update

The White House has become as hypocritical on the matter of global warming as Al Gore’s house. 

The capital flew into a bit of a tizzy when, on his first full day in the White House, President Obama was photographed in the Oval Office without his suit jacket. There was, however, a logical explanation: Mr. Obama, who hates the cold, had cranked up the thermostat.

“He’s from Hawaii, O.K.?” said Mr. Obama’s senior adviser, David Axelrod, who occupies the small but strategically located office next door to his boss. “He likes it warm. You could grow orchids in there.”

Oh, well, that explains it.  Cranking up the thermostat is OK for native Hawaiians. 

Where’s Jimmy Carter when you need him?  I’m sure he has some spare sweaters.

The Accountability Factor

A growing list of "honest mistakes" by Democrats is leading this op-ed author to ask, "What does it take to disqualify Democrats from public service?"  If tax evasion, suborning forgery and using campaign funds for personal expenses ain’t enough, what is?  As commenter "socrates" writes:

Failure to pay $150K in taxes normally gets one in front of a Tax Court judge with the IRS burning your house down.

If you’re a Democrat it gets you a Cabinet position.

Both sides have corruption in their ranks, make no mistake about it.  But as I’ve said multiple times in the past, it’s not about corruption; it’s about accountability.  On the whole, Republicans tend to remove those involved with corruption, while Democrats, when they do anything, pass a motion and continue with the business of the day.  Read those links for a number of examples.

Nominating them for cabinet positions, right "socrates"?

Man is sinful; that’s just the way it is.  But if he’s not held accountable for his actions when he breaks the law, do we expect that we’ll have less law-breaking?

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