Category Archive 'Politics'
18 Jul 2011

Another Good-Bye to the Past-War Welfare State Model

Democrats, Welfare State

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Noemie Emery, in the American Spectator, is a bit too kind, I think, to the creators of the Welfare State, but she correctly identifies the fallacy of promoting wishes into rights. Authentic rights are always take the form “shall not do to you, or shall not stop you.” Legitimate rights are simply negatives commandments to violations of person, property, or liberty. Positive rights are a blank check written on someone else’s account.


The intentions of Democrats are only the best. They want all of the old to have lavish retirements, all of the young to have scholarships, verse-penning cowboys to have festivals funded by government, and everyone to have access to all the best health care, at no cost to himself. In the face of a huge wave of debt swamping all western nations, this is the core of their argument: They want a fair society, and their critics do not; they want to help, and their opponents like to see people suffer; they want a world filled with love and caring, and their opponents want one of callous indifference, in which the helpless must fend for themselves. (“We must reject both extremes, those who say we shouldn’t help the old and the sick and those who say that we should,” quips the New Yorker’s Hendrik Hertzberg.) But in fact, everyone thinks that we “should” do this; the problem, in the face of the debt crisis, is finding a way that we can. It is about the “can” part that the left is now in denial: daintily picking its way through canaries six deep on the floor of the coal mine, and conflating a “good” with a “right.

12 Jul 2011

The Democrats’ Losing Hand

Barack Obama, Democrats, Recession

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Christopher Chantrill explains why the democrats are completely screwed.


[T]he two political parties are diametrically opposed on recession-fighting policy. The Republican recipe to “boost growth” is to lower tax rates and regulation, and the Democratic recipe is to “invest” in stimulus spending. For Republicans, “structural economic policy changes” means reform Social Security and Medicare; for Democrats it means raise taxes.

There is no “agreement.” There is only a game of chicken to see who blinks first before August 2.

But we are conservatives. We do not just want to “win;” we want to do the right thing. How do we get out of the recession?

The best way to understand a recession is this: It is a period of adjustment during which the malinvestments of the previous boom are liquidated. Usually, in our era, booms are ignited by cheap money injected into the credit system by government. Cheap money seduces people into borrowing too much.

In the 2000s boom the malinvestments were the homes that millions of people bought with cheap credit, courtesy of Fannie, Freddie and CRA. Homebuilders expanded and sucked a ton of workers and capital goods into homebuilding. Everything looked good until interests rates rose and home prices started to decline.

You know what happened next. “Malinvestment” became nightmare investment, as the greedy bankers foreclosed on millions of homes, and home prices cratered.

But at some point the foreclosures will ease up, bottom-feeders will buy up the flood of houses, and home construction will resume.

The logic of Democratic “stimulus” is that if government shovels out enough money it will tide the economy over the crater. Home prices will recover, businesses will revive, and growth will resume. But what if home prices don’t recover before the stimulus runs out?

Back in 2009, the Obama administration made a judgment, implicit or explicit, that the housing crisis would be over in a couple of years, and that cheap money (QE1 and QE2) and a trillion dollar stimulus program would tide the economy over till then. But they were wrong. The housing market still hasn’t bottomed out, and the economy hasn’t snapped back, as this chart demonstrates.

The Obama mistake was bad enough but the Obamis made a second error. Assuming that the economy would revive in accordance with Baldrick’s cunning plan, they went ahead with their plans for expanding government spending and regulation, spraying money at their deserving supporters. They thought that the economy would soon be strong enough to increase the weight of government. With ObamaCare they increased the weight of government in health care. With regulation, spending, and subsidies pushing green energy they increased the weight of government in energy production.

That’s where the slick assumptions in Cohn’s “increase short-term deficits in ways that boost growth” kicks in. Suppose your “short-term deficit” doesn’t boost growth? Suppose it is just another wasteful government program that increases the weight of government, and postpones the day when happy days are here again?

That’s where the Obamis are sitting right now. They have shot their bolt with cheap money and stimulus spending and cranked up the National Debt by 40 percent. But here we are in Summer 2011 and there is still no light at the end of the tunnel.

To fix things the Obamis would have to adopt the Republican agenda and reduce the weight of government. They would have to repeal ObamaCare, reverse their green energy boondoggle, lower tax rates, and cut wasteful government spending.

You can see the problem. For the last 40 years, ever since the “unexpected” success of Reaganomics, liberals have been telling themselves and everyone else that supply-side economics is a mirage. Now they have to admit that everything they believe is wrong.

For the second time in some of our lifetimes, the American voting public has been treated to a full-scale, practical test of left-wing, Keynesian economics in operation. We saw all this before in the latter half of the 1970s.

Barack Obama’s great leap forward to the shiny new American European-style welfare state has turned a political version of Bernard Law Montgomery’s WWII Operation Market Garden, Obamacare being the “Bridge Too Far.” But the economics of the world of reality is actually a less forgiving, and much more formidable adversary, than the Germany Army in the Fall of 1944. The Allies went on to win WWII. Obama will be going to join Jimmy Carter in the ashbin of history and will soon be Carter’s rival for the title of worst president anyone can remember.

09 Jul 2011

Pat Buchanan Counsels No Surrender

Federal Budget, Federal Deficit, Federal Spending, Pat Buchanan, Republicans, Taxes, The Mainstream Media

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Pat Buchanan left mainstream Conservatism for the Paleocon fever swamps some years ago, and has rarely ever made much sense since, but today the old Pat Buchanan is back and in fine form. In fact, Buchanan identifies precisely the tactics of bluffing and intimidation that the mouthpieces of the establishment are using to try to frighten the Republican leadership (which holds all the cards) into surrendering on tax increases to the impotent, discredited-by-reality, and sinking-daily-in-the-polls democrats. Pat Buchanan is right: the level of shrillness of the MSM commentariat is directly proportionate to their desperation. They know they’re losing.


By refusing to accept tax increases in a deal to raise the debt ceiling, Republicans are behaving like “fanatics,” writes David Brooks of The New York Times.

Anti-tax Republicans “have no sense of moral decency,” he adds.

They are “willing to stain their nation’s honor” to “worship their idol.” If this “deal of the century” goes down, as he calls the Barack Obama offer, “Republican fanaticism” will be the cause.

“The GOP has become a cult” that has replaced reason with “feverish” and “cockamamie beliefs,” writes Richard Cohen of The Washington Post. The Republican “presidential field (is) a virtual political Jonestown,” the Guyana site where more than 900 followers of the Peoples Temple drank the Kool-Aid that Rev. Jim Jones mixed for them.

Does anyone think this an appropriate description of such mild-mannered men as Mitt Romney, Tim Pawlenty and Jon Huntsman?

“The GOP’s Hezbollah Wing Is Now Fully in Control,” screams The New Republic over a recent lead editorial.

Other columnists charge the GOP with holding America “hostage” by refusing to accept tax hikes to avert a default on the debt.

What to make of this hysteria?

The Establishment is in a panic. It has been jolted awake to the realization that the GOP House, if it can summon the courage to use it, is holding a weapon that could enable it to bridle forever the federal monster that consumes 25 percent of gross domestic product.

To bully and blackmail the GOP into surrendering the weapon and betraying its principles and signing on to new taxes, that establishment has unleashed rhetoric more befitting a war on terror than a political dispute.

For how, exactly, are Republicans threatening the republic?

The House has not said it will not raise the debt ceiling. It must and will. It has not said it will not accept budget cuts. It has indicated a willingness to accept the budget cuts agreed to in the Biden negotiations.

Where the GOP has stood its ground is on tax increases. ...

The Republican Party has not said it will refuse to raise the debt ceiling. It has an obligation to do so, and will.

The House has simply said it will not accept new taxes on a nation whose fiscal crisis comes from overspending.

If the GOP keeps its word, raises the debt ceiling and accepts budget cuts agreed to in the Biden negotiations, the only people who can prevent the debt ceiling’s being raised are Senate Democrats or Obama, in which case, they, not the GOP, will have thrown the nation into default.

It is the establishment that is resorting to extortion, saying, in effect, to the House GOP: Give us the new taxes we demand, or Obama will veto the debt ceiling and we will all blame you for the default.

They’re bluffing.

The GOP should stand its ground—and fix bayonets.

02 Jul 2011

Government Dominates New “Commanding Heights”

Education, Government, Health Care, The Market

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Arnold Kling and Nick Schulz, in the latest National Affairs, discuss how government intervention has excluded market mechanisms from regulating the operations of health care and education, the two most rapidly growing and influential sectors of the current American economy.


The commanding heights of our economy today are not heavy manufacturing, energy, and transportation. They are, rather, education and health care. These are our foremost growth sectors — the ones most central to employment and consumption; the ones that, increasingly, drive our economy. And it is in precisely these two sectors that the case for extensive government intervention and planning, if not outright control, is dominant — and becoming ever more so. ...

If it were true only that health care and education are increasingly important sectors of our economy, there would be little cause for concern. Indeed, societies ought to desire economies that are strong and flexible enough to hum along as new technologies and other developments cause industries within them to rise and fall. The problem, rather, is that both health care and education are increasingly government-dominated industries. And this domination produces two ill effects that exacerbate the changes these sectors are already undergoing: Government’s influence artificially increases the demand for health care and education (by significantly subsidizing both), and it makes both sectors even less efficient than they would be otherwise (by heavily regulating them and shielding them from market forces). ...

[I]n the cases of health care and education — in large part because of the dominance of government in these sectors — the prices of various “features” are often barely related to consumer preferences. With much of health-care and education spending paid for by third parties (and ultimately subsidized by government), consumers generally do not make decisions based on perceived relative value. The medical patient, instead of asking which medical procedure offers the greatest value, asks only whether the recommended procedure will be covered by insurance — a decision made by insurance-company or government bureaucrats, who have little sense of what is most important to the patient. The parents of a student in an elementary school are not responsible for choosing the school’s teaching methods; as “consumers,” they have no say in — and indeed, no way of knowing — whether the costly programs they pay for with their tax dollars are in fact producing good “value” in the form of their child’s education.

The result is that, in the sectors of education and health care, the preferences of policymakers — not of consumers — become the driving economic forces. And as these sectors become the new commanding heights, policymakers — rather than consumers and producers — will come to dominate more and more of our nation’s economic life.

Under these circumstances, the supposed inadequacy of market economics will become a self-fulfilling prophecy. Markets can work in education and health care, but only if governments allow them to. This means that, for the champions of free enterprise, introducing market principles and mechanisms into health care and education must become a top priority in the years ahead.

Read the whole thing.

Hat tip to John C. Meyer.

30 Jun 2011

“Snuff the Bleeping Puppies!”

Barack Obama, Class Warfare, Democrats, Federal Deficit, Federal Spending

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Repair Man Jack is fed up with democrat class warfare efforts at distraction.


If the majority of Americans really and truly believe that cutting the size of government, when struggling under $14Tr of national debt, equates to a desire to snuff puppies, we deserve a national default. If the majority of Americans truly believe they have a right to extract a loan for their tuition costs out of some other person’s paycheck, America is massively overdue for a well-deserved 2nd Great Depression. If the majority of people really believe the National Weather Service won’t just hire replacements from Korea or China; where students go to class at college sober, they are in for a grievous upset and disappointment.

Read the whole thing.

Hat tip to Jim Geraghty.

27 Jun 2011

Reasons For Being a Democrat

Democrats, Inadvertent Humor

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I’m a Republican because democrats are idiots.

Hat tip to Joe Egan.

24 Jun 2011

Settled Science

Global Warming, Left Think, Media Bias

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James Delingpole identifies an authentic instance of settled science: US liberals really are the dumbest creatures on the planet.


[W]hy it is that liberal-lefties manage to be so utterly wrong about everything[?]

“Because they’re stupid,” said a libertarian friend of mine.

“Oh come on, not all of them surely? A bit misguided, maybe but…” I protested.

“No really they’re stupid because they’re not interested in facts. They just want to construct their pretty little narrative about the world, regardless of whether or not it has any bearing on reality. And then they want to dump it on us. And ruin our lives. So not just stupid but evil too.”

Read the whole thing.

21 Jun 2011

A Case For Rick Perry

2012 Election, Guns, Republicans, Rick Perry, Ruger Coyote Special

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Katie Thompson, blogging at Cornell Law Prof Bill Jacobson’s site, makes the case for Rick Perry.

I think myself that Perry seems to be acceptably conservative, and he strikes me as a potentially stronger candidate than Romney, Pawlenty, and the others currently in the race. Perry has available as a powerful argument the fact of Texas enjoying spectacular growth in jobs, at a time when the only other place in the country that is in the same situation is Washington, D.C.

My first choice for GOP nominee would be Paul Ryan. Ryan has done more to address the key economic issues which are going to be the focus of the 2012 race than anyone else. But Ryan (so far) isn’t running. The governor of the state excelling the rest of the country, by a wide margin, in economic growth is a very plausible second choice.

Katie Thompson makes also the telling point: Rick Perry is everything Barack Obama is not. And that’s exactly what voters want.

And that’s a good argument.

Read the whole thing.
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Ruger .380 Coyote Special

On the symbolic front, Thompson points out that Governor Perry stands out among GOP possible contenders in having a handgun named in his honor.

Apparently, while jogging in February of 2010, Perry drew a .380 Ruger he carries and dropped with one shot a coyote that was menacing the labrador retriever that accompanied him on his run.

Sturm, Ruger & Co. gleefully responded with a special commemorative edition:

On the box it comes in it says “For Sale to Texans Only.” It says “Coyote Special” on one side of the barrel and “A True Texan” on the other side of the barrel. The top of the barrel has a Texas star and a Coyote howling to a full moon.

Not bad at all. I like Perry better and better.

20 Jun 2011

Huntsman Day

2012 Election, Jon Huntsman, Republicans

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Jon Huntsman

There are all those other Republican candidates, whose names are vaguely familiar, but about whom one knows next to nothing. Looking over the news this morning, I noticed omens and portents pertaining to the candidacy of Jon Huntsman, so let’s start with him.

Mark Halperin, for instance, blogging at the New York Times, says that prominent movement conservative C. Boyden Gray has signed on board the Huntsman campaign in an influential role. Halperin draws from Gray’s affiliation the reasonable conclusion that GOP conservatives may be preparing to back Huntsman as the more conservative alternative to “moderate” front-runner Milt Romney.

Less positive from my own perspective, is a basically typical New York Times magazine puff piece by Matt Bai, treating Huntsman surprisingly sympathetically.

So, I turned to Google and spun up the Wikipedia article on Huntsman. Aha! Governor of Utah, that’s who he is.

He’s a Mormon, just like Mitt Romney. (Basically good. Mormons are crazy, of course, for subscribing to a 19th century Sci Fi religion but, hey! Mormons are also rock-ribbed tribal Republicans, gun-owning, capitalism-defending, fiscal conservatives, respectable and hard-working people, typically a lot more clean living than I am.)

He’s from Palo Alto, California. (We can look on the bright side, and recognize that he must therefore be well acquainted with how nice it is to have lots of money, the economic significance of technology, and the left coast dystopian future American needs to make every effort to avoid.)

He speaks Mandarin and became ambassador to China for Barack Obama, whom he (perhaps, in consequence) makes some effort to avoid attacking.

He supports same sex civil unions, but not Gay Marriage.

He has a good record of governing as a fiscal conservative, and he apparently does not demagogue on immigration.

He does, however, believe in Global Warming, and he signed one of those bogus initiatives to curb “greenhouse gases.” (So much for being such a great technocrat. In my view, Global Warming is a litmus test demonstrating both scientific literacy and real conservative principles, or the lack of both. I would not be happy voting for any Republican with a record of support for AGW superstition. This one is a big deal in my book.)

If you believe the Times’ story, he is under the influence of one of John McCain’s less-reliably-Republican advisors, a guy named John Weaver, a political pro and rival to Karl Rove, who has a hankering to move beyond all the tedium of political principles and ideology and on to mass market appeal via “bigness.”

By bigness, Mr. Weaver evidently means something resembling Ronald Reagan’s ability to attract the support of moderates and to occupy an effective leadership position that could get the country as a whole behind him. In my view, Reagan’s success was achieved by explaining what he meant to do, and why, and winning the argument. The alternative view, which the Times likes, means simply dropping all the theory and the principles off the sled and running as a pragmatic technocrat who solves problems. Amazing, isn’t it, the way the establishment intelligentsia always goes running to the shelter of good old-fashioned American anti-intellectualism and pragmatism, when it finds that it is losing the theoretical argument?
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So, on looking closely at Jon Huntsman, I see that some good people whom I seriously respect are in the process of joining his team. He looks like a decent guy in most respects, but his record features strong support for the leading pseudo-scientific stupidity of our time, indicating that he is either a fool or an opportunist. (On which same basis, we know what Newt Gingrich is, for instance.)

He has hired a political strategist who is the personal embodiment of all the worst features of McCain-ism, a guy so bad that McCain evidently got rid of him during the 2008 campaign.

The stories are contradictory. Mark Halperin suggests that back-room forces of movement conservatism are planning to support Huntsman to prevent the too-moderate Romney becoming the nominee. Yet, we also have evidence that he is planning to run explicitly as the non-conservative in the race for the GOP nomination.

There is a bit more reason, judging by the volume of mainstream media sympathetic coverage, to suspect that the latter theory is the more likely. The strategy of running as a non-conservative will make the New York Times respect him, but I rather doubt myself that it will succeed in delivering the GOP nomination.

13 Jun 2011

Progressivism Jumping the Shark

End of the Entitlement State, Left Think, Liberalism, Walter Russell Mead

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Walter Russell Mead
mixes his Animal kingdom metaphors, but nonetheless delivers another important essay, arguing (from a position sympathetic to Progressivism) that the Progressive political movement has passed through a natural life cycle into the final stage in which it has become sclerotic and destructive.


..Fannie Mae represents a special problem for the Democratic Party and Democratic ideas. It is not just a vitally important institution led by prominent Democratic figures and part of a broader Democratic patronage network; Fannie Mae is one of the original New Deal institutions and the vision it was intended to serve stands at the heart of the concerns of the Democratic Party of the 20th century.

The fall of Fannie Mae is bigger than just another politicos run wild scandal. It stands as one of several signs that our current way of life is reaching its limits and that big changes are on the horizon. The Fanniegate debacle tells us that the progressive ideal is in the process of jumping the shark.

Jumping the shark, as many readers know, is an expression from the wonderful world of TV. When the original premise of a show has gone stale, producers try to recapture audience interest by putting familiar characters in outlandish settings where strange things happen to them — notoriously, when Fonzie literally jumped over a shark as Happy Days moved into its sunset years. When something jumps the shark, the death spiral has become irretrievable; the show has nowhere to go but down.

The progressive ideal of the last 100 years is reaching that point. In its day the progressive ideal was a revolutionary and even a noble one. A bureaucratic and professional elite would mediate social conflict between rich and poor, improving the lives of the poor while engineering the best possible administrative solutions to pressing social problems. Keynesian macroeconomic management would ensure lasting prosperity; progressive taxation would spread the benefits of prosperity as widely as possible. Levels of education would rise as more and more Americans spent more and more years in school.

Progressivism held out the hope that capitalism, democracy and history itself could all be tamed by competent professional management. Victorian capitalism had been brutal, disruptive, competitive. Society became more unequal even as living standards gradually rose. Democracy was irresistible, but the masses were uneducated. The modern progressive era was born at times of great violence and upheaval. World War One, the Russian Revolution, the Great Depression, the rise of fascism, World War Two, the invention of nuclear weapons and the start of the Cold War: it was against this background that progressives sought to turn modern life into something safe and tame.

I cannot blame four generations of progressive intellectuals for trying to make life a little less brutal and unpredictable, nor should we overlook the successes they had. Nevertheless, the Fonz has left the building; the progressive paradigm today can no longer serve as the basis for sound national policy. ...

The problem today is that we are looking not just at one or two government programs that have succumbed to elephantiasis or turned into sharks; the progressive complex of social and economic policy as a whole has reached this point. Today many of our New Deal and Great Society programs are either elephants or sharks. They either lead us to misallocate scarce resources in ineffective ways or they threaten us with ruin by becoming politically untouchable budget busters.

Progressivism itself, and not simply the individual government programs it spawns, is moving through the same cycle of life. The most urgent social problems that progressivism set out to solve have been dealt with. Child labor and lynch mobs are no longer common in the United States. The greatest natural and scenic treasures of the country are protected by the National Park system. Food is much less dangerous, buildings are better built, cars are safer, the air and water is in better shape and the charismatic megafauna (big interesting animals) have been saved from extinction. Many more people have much more access to education today than was true 100 years ago; ditto for lifesaving medical treatment.

The progressive vision morphed from Great White Hope and Great White Father into Great White Elephant over the years. Early progressives picked the low-hanging fruit; they addressed the most important problems that were most susceptible to progressive interventions. Increasingly they are left with more expensive, less effective approaches to big problems (like Obamacare) or the agenda moves from issues of great moral and political significance like equal rights for African-Americans to less consequential issues like wider social acceptance of the transgendered. To raise the percentage of young Americans attending college from 2 percent to 20 percent is a significant achievement; to extend it from 40 percent to 60 percent will likely cost much more and accomplish much less in terms of raising social productivity.

We now see the progressive agenda dealing with issues like high speed rail, where the gains are so small and the rationale are so weak from the beginning that the program is a white elephant before it is fully set up.

The fierce commitment of progressive lobbies today to dysfunctional institutions and programs has brought matters to a crisis stage; the progressive legacy is morphing from white elephant to shark. Fierce attacks on anyone seeking to reform dysfunctional institutions combine with unreasoning devotion to unsustainable entitlements. “Progressives” today are too often grimly determined to achieve two incompatible ends: an indefinite expansion of entitlements and benefits on the one hand — and the preservation and even the extension of inefficient organizations and methods on the other.

Read the whole thing.

09 Jun 2011

“Why Do Lefties Hate Tax Cuts on the Rich?”

Barack Obama, Left Think, Socialism, Tax Cuts, The Left

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Kevin Drum complains that we conservatives view lefties like himself unfairly.


Reading Tim Pawlenty’s paean to double plus supply-side-ism yesterday made me wonder, once again, why conservatives think we liberals are opposed to it. I mean, if it actually worked, why would we be? It’s politically popular, and by their accounts it would generate trillions of dollars in extra revenue that we could use to finance our beloved lefty social programs. What’s not to like?

The only answer I can come up with is that conservatives are now completely invested in their theory that we liberals loathe rich people so much that we don’t care. We all want to screw the wealthy so badly that we’re willing to forego the elections we’d win and the mountains of revenue we’d gain if we lowered their taxes. We hate them that much.


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This is an interesting example of mocking a proposition without actually denying it.

Barack Obama is an excellent representative of the same political philosophy held by Kevin Drum and he is renowned for explicitly advocating increased taxation for purposes of “fairness” even if higher rates resulted in lower growth and less revenue being collected. He said exactly that, and by so doing defined himself, in one of the most famous of his campaign debates.

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So, are we conservatives being unfair? Would left-wingers like Kevin Drum and Barack Obama ever really support tax cuts for wealthier Americans if that was what it took to grow the economy and provide government with the funding the left desires to spend?

The answer is No. Left-wingers will never accept the reality that growth can only be achieved by lower taxes. The notion that allowing the rich to keep more grows the economy and benefits all is unacceptable. The left has ridiculed and dismissed this commonsensical proposition as “trickle-down economics.”

Leftism is fundamentally based on envy and societal division, and its route to power relies on agitating the passions of the masses, on mobilizing them on the basis of their animosity toward those better off than themselves. A theory of economics that proposes that failing to punish the rich will make everyone better off fundamentally contradicts leftism’s basic methods and ideology.

The psychology of the left is one of bitter resentment and hatred of anyone better off than oneself. The true leftist would rather everyone were worse off, as long as no one was permitted to be better off than anyone else.

This is the classic peasant mentality, which is the subject of a thousand bitter Eastern European jokes.

“An angel appears to a poor peasant, and informs him that God has taken pity on his sufferings and has sent a messenger to relieve his hardships. The peasant, he is told, may make one wish, and the angel will grant his desire. There is, however, a catch. The angel informs the peasant that, whatever he wishes for, his neighbor will receive also, and that neighbor will be given twice as much. The peasant reflects a moment, and tells the angel: ‘Pluck out one of my eyes.’”

08 Jun 2011

David Brooks on Medicare and the Philosophy of Choice

Central Planning, David Brooks, Democrats, Medicare

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Even the very, very moderate and establishmentarian David Brooks has his doubts about the future political prospects of democrats philosophically committed to top-down central planning.


[Medicare] is incredibly popular. Recipients don’t have to think about the costs of their treatment, and they get lots of free money. The average 56-year-old couple pays about $140,000 into the Medicare system over a lifetime and receives about $430,000 in benefits back. The program is also completely unaffordable. Medicare has unfinanced liabilities of more than $30 trillion. The Medicare trustees say the program is about a decade from insolvency.

Some Democrats simply want to do nothing as Medicare careens toward bankruptcy. Last Sunday on “Face the Nation,” for example, Nancy Pelosi said, “I could never support any arrangement that reduced benefits for Medicare.”

Fortunately, more responsible Democrats are looking for ways to save the system. This is where the philosophical issues come in. They involve questions like: Who should make the crucial decisions? Where does wisdom reside?

Democrats tend to be skeptical that dispersed consumers can get enough information to make smart decisions. Health care is phenomenally complicated. Providers have much more information than consumers. Insurance companies are rapacious and are not in the business of optimizing care.

Given these limitations, Democrats generally seek to concentrate decision-making and cost-control power in the hands of centralized experts. Under the Obama health care law, a team of 15 officials will be created to discover best practices and come up with cost-cutting measures. There will also be a Center for Medicare and Medicaid Innovation in Washington to organize medical innovation. Centralized officials will decide how to set national reimbursement rates.

Republicans at their best are skeptical about top-down decision-making. They are skeptical that centralized experts can accurately predict costs. In 1967, the House Ways and Means Committee projected that Medicare would cost $12 billion by 1990. It actually cost $110 billion. They are skeptical that centralized experts can predict human behavior accurately enough to socially engineer new programs. Medicare’s chief actuary predicted that 400,000 people would sign up for the new health care law’s high-risk pools. In fact, only 18,000 have.

They are skeptical that political authorities can, in the long run, resist pressure to hand out free goodies. They are also skeptical that planners can control the unintended effects of their decisions.

Republicans point out that Medicare has tried to control costs centrally for decades with terrible results. They argue that a decentralized process of trial and error will work better, as long as the underlying incentives are right. They suggest replacing the fee-for-service with a premium support system. Seniors would select from a menu of insurance plans. Their consumer choices would drive a continual, bottom-up process of innovation. Providers could use local knowledge to meet specific circumstances. ...

[T]here is no dispositive empirical proof about which method is best — the centralized technocratic one or the decentralized market-based one. Politicians wave studies, but they’re really just reflecting their overall worldviews. Democrats have much greater faith in centralized expertise. Republicans (at least the most honest among them) believe that the world is too complicated, knowledge is too imperfect. They have much greater faith in the decentralized discovery process of the market. ...

This basic debate will define the identities of the two parties for decades. In the age of the Internet and open-source technology, the Democrats are mad to define themselves as the party of top-down centralized planning. ... [I]f 15 Washington-based experts really can save a system as vast as Medicare through a process of top-down control, then this will be the only realm of human endeavor where that sort of engineering actually works.

05 Jun 2011

Mark Steyn Addresses Weinergate

Anthony Weiner, Democrats, Mark Steyn, Scandals, Twitter

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Mark Steyn is sharp-tongued as ever on the topic of the week: the latest scandal-mired abrasive, self-righteous, egomanaical, ultra-liberal democrat.


And so it goes after another tumultuous week in American politics. Nearly a third of homeowners are “underwater” – that’s to say, they owe more on their mortgages than the property is worth. Private-sector job growth has all but vanished. The House of Representatives voted not to raise the debt ceiling.

But as the debt ceiling subsides – or, at any rate, stays put – we see the dreary steeple of Anthony Weiner emerging from his Twitpic crotch shot.

For the benefit of the few remaining American coeds Rep. Weiner isn’t following on Twitter, the congressman’s initial position when his groin Tweet went viral was that his Twitter had been hacked. Could happen to anyone. ...

Congressman Weiner then retreated from the sinister hacking line, and protested that all this fuss about a mere “prank” involving a “randy photo” (his words) was an “unfortunate distraction” from real issues like raising the debt ceiling. Like Bill Clinton in the Nineties, Rep. Weiner needs to “get back to work for the American people.”

It’s the political class doing all this relentless “work for the American people” that’s turned this country into the brokest nation in the history of the planet, killed the American Dream and left the American people headed for a future poised somewhere between the Weimar Republic and Mad Max. So, if it’s a choice between politicians getting back to work for the American people or Tweeting their privates round the planet, I say, Tweet on, MacDuff.

31 May 2011

This Memorial Day and the War in Iraq

Al Qaeda, Democrats, Iraq, Media Bias, Memorial Day, The Intelligentsia, The Left, The Mainstream Media, War on Terror

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Walter Russell Mead thinks the American intellectual establishment ought to have taken the occasion of this year’s Memorial Day to face the truth and applaud the victory delivered by American servicemen in the face of their own betrayal.


The story of Iraq has yet to be told. It is too politically sensitive for the intelligentsia to handle just yet; passions need to cool before the professors and the pundits who worked themselves into paroxysms of hatred and disdain for the Bush administration can come to grips with how wrongheaded they’ve been. It took decades for the intelligentsia to face the possibility that the cretinous Reagan-monster might have, um, helped win the Cold War, and even now they haven’t asked themselves any tough questions about the Left’s blind hatred of the man who did more than any other human being to save the world from nuclear war.

It may take that long for the truth about the war in Iraq to dawn, but dawn it will. America’s victory in Iraq broke the back of Al-Qaeda and left Osama bin Laden’s dream in ruins. He died a defeated fanatic in his Abbotabad hideaway; his dream was crushed in the Mesopotamian flatlands where he swore it would win.

Osama’s goal was to launch the Clash of Civilizations against the West. He would be Captain Islam, fighting against the Crusader-in-Chief George W. Bush. By his purity, wisdom, daring and above all by his special knowledge of the hidden ways of God, Captain Islam would crush and humiliate the evil Bush-fiend and unite the Muslim world behind the Truth. Osama would complete at a spiritual level the mission his father undertook on the physical plane. His father’s construction company rebuilt and modernized the ancient holy city of Mecca; Osama would rebuild and restore the entire Muslim world.

The 9/11 attacks propelled Osama to the historical height he sought: in the minds of many he had become a caliph-in-waiting, the fierce servant of God whose claims to leadership were vindicated by the dramatic success of his plans. Angry young people across the Islamic world, frustrated by a host of frustrations and privations, wondered if this was the charismatic, God-aided figure who would overturn the world order and lead Islam to its old place on the commanding heights of the world.

9/11 was the trumpet, Iraq was the test. The US invaded an Arab country, overthrew its government, and found itself condemned to the hardest task in international politics: nation building under hostile fire. More, the US had taken a country run by its Sunni minority and put power into the hands of an inexperienced and fractious Shi’a majority. Then the US occupation began to fail: the government institutions fell apart, there was no security in country or in town, the economy went into free fall, and basic services like electricity and health failed across the land. The provocations were serious and real; the Americans were clumsy and awkward. US checkpoints and raids were humiliating and degrading; the scalding Abu Ghraib scandal was a propagandist’s dream come true. The ham-handed diplomacy and tongue-tied defense of American policy from Washington created a sense of rising, unstoppable global opposition to Bush’s War. ...

For roughly three years America writhed in the toils of our predicament in Iraq. The Democratic establishment had supported the war. Some leading Democrats did so out of conviction, some out of a political calculation that no other stand was viable in the post 9/11 atmosphere. Now the grand panjandrums of the Democratic Party, one after another, made their pilgrimage to Canossa. Some came to believe and perhaps more came to say that the war was lost and that their original backing for it had been a mistake.

Well do I remember the many impassioned statements in those dark years by leading politicians and pundits that the war was lost, lost, irretrievably lost. It was over now, they wailed on television and in print. The Iraqi government was a farce and could never take hold. These clowns made Diem look like Charles de Gaulle. We had no option but to get out as quickly as possible. On and on rolled the great choir of doom, smarter than the rest of us, deeper thinkers, capable of holding more complex thoughts behind their furrowed brows.

Now they have glibly moved on to other subjects; the mostly complicit media is helping us all to forget just how wrong — and how intolerant and moralistic — so many people were about the ‘lost’ war.

While the politicians washed their hands and hung up white flags, and while the press lords gibbered and foamed, the brass kept their heads and the troops stood tall. And gradually, a miracle happened. America started winning the war.

The French scholar Gilles Kepel, no friend of the war in Iraq and no admirer of George Bush, makes the core point. Osama’s dream was to shift history into the realm of myth. He passionately believed that the ordinary course of mundane history wasn’t what really mattered: there was a divine and a miraculous history just behind the veil. Osama aimed to pierce the veil, to bring hundreds of millions of Muslims into his reality, transfixed and transported by the vision of a climactic fight of good against evil, of God against America and its local allies.

That dream died in Iraq.

But on this Memorial Day it is not enough to remember, and give thanks, that Osama’s dream died before he did and that the terror movement has been gravely wounded at its heart.

Because the dream didn’t just die.

It was killed. ..

All wars are tragic; some are also victorious. The tragedies of Iraq are real and well known. The victory is equally real — but the politically fastidious don’t want to look. The minimum we owe our lost and wounded warriors is to tell the story of what they so gloriously achieved.

On ths Memorial Day, a truth needs to be told.

We have not yet done justice to our dead.

Read the whole thing.

24 May 2011

The Truth At Last

George W. Bush, Humor, Osama bin Laden

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Hat tip to Bruce Kessler.

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