Archive for September, 2009
Wolf Blitzer Gets It
Why doesn’t David Axelrod get it? Let Americans purchase health insurance licensed by other states. From CNN…
And to Think: Senators Once Worked For Legislatures
S. 1536, the “ALERT Drivers” Act (“Avoiding Life-Endangering and Reckless Texting by Drivers” — get it?) would reduce federal highway funds available to states if they don’t pass laws prohibiting people from writing, sending, or reading text messages while driving.
The circle is complete. Senators, who were once chosen by state legislatures, now believe it is their role to tell state legislatures what to do.
Federal command over our lives, in ever more intricate detail. It’s the product of exalting democracy — in this case, direct election of senators — over liberty and over the governmental structure originally established in the constitution.
Texting while driving is dangerous to your health and others’. Letting governments amass power is dangerous to your freedom, and ultimately your health (this way, for example, and this way and this way).
It’s Friday — What Bad News Will Be Released Late Tonight?
President Obama promised to change the way things are done in Washington, but his administration has mastered one old Washington trick: releasing bad news late on Friday, or even on Saturday night of a long weekend, in the hope that journalists won’t have much chance to ask questions or get into the next day’s papers. Consider:
- The nation would be forced to borrow more than $9 trillion over the next decade under President Obama’s policies, the White House acknowledged late Friday.
—Washington Post, Saturday, August 22 - White House environmental adviser Van Jones resigned late Saturday after weeks of pressure from the right over his past activism. “On the eve of historic fights for health care and clean energy, opponents of reform have mounted a vicious smear campaign against me,” Jones, special adviser for green jobs at the White House Council on Environmental Quality, said in a statement announcing his resignation just after midnight Saturday.
—Washington Post, Sunday, September 6, 2009 - The White House late Friday announced it would impose high tariffs on imports of Chinese tires in a case seen as the first test of trade policy under President Barack Obama… The announcement was made in a release sent out by the White House press office at about 9:30 p.m. Friday night, a time when news is sometimes “dumped” in the hope it will attract less attention.
—TheHill.com, 10:56 p.m., Friday, September 11, 2009
So what will it be tonight? A late-night tax increase? The resignation of another administration appointee who didn’t pay his own taxes? More troops for Iraq?
Indiana Voter ID Law Struck Down
Constitutional rules often comport with common sense. The Fourth Amendment’s search and seizure clause — so burdensome to law enforcement, some argue — requires officials to look for evidence of crime where they think they’ll find it and not elsewhere. Common sense.
So it is with an Indiana Court of Appeals ruling that the state’s voter ID law violates the equal protection clause of the state’s constitution. The law requires in-person voters to show ID, but makes no attempt to verify the identities of absentee voters. The U.S. Supreme Court upheld the law against a recent challenge, but the Indiana court struck it down based on a broader protection in the state constitution’s equal protection clause.
Think what you will on the legal merits. (I generally appreciate courts breathing independent life into their state constitutions.) What is interesting here is that the result is imbued with constitutional common sense.
Requiring ID at polling stations would have a marginal effect on vote fraud because it makes it harder to impersonate a voter or manufacture a vote-qualified identity. But the risk of in-person voter fraud is very low compared to absentee ballot fraud, which the Indiana law did not touch. The Indiana voter ID law was tantamount to caulking windows to keep out the cold but leaving the front door open. Because of the disproportionate effect on different classes of voters, the court struck it down.
Voter fraud will continue to be a hot issue, and states should continue to tune the balances they strike between voter access and vote integrity. My concern is that the issue might boil over and produce national ID proposals, as we have seen in the past.
Earmark Horse Hockey
I’ve been poring over the earmark request data collected in WashingtonWatch.com’s big earmark hunting contest, and correlating it to the earmarks that made it into bills. It’s slow going, so far . . .
But the excitement level sure builds when you take a look at what the money’s going to!
Do you have your tickets to the Pendleton (Ore.) Round-Up rodeo yet? It’s going on right now!
And you stand to contribute $500,000 to Pendleton Round-Up Foundation, which puts it on, thanks to an earmark in the Senate version of H.R. 3288, The Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2010.
Senator Wyden (D-OR) requested $3.5 million for the facility where the rodeo is held. Senator Merkley (D-OR) requested a more modest $365,000.
The report for the bill has the federal government sending $500,000 to the Pendleton Round-Up Foundation for “reconstruction and construction needs of facilities which are critical to the local economy.” That’s right: The folks in Pendleton, Oregon want you to send them a half-million bucks for their “critical-to-the-local-economy” rodeo ring.
The people in Pendleton probably love their rodeo, and they’re entitled to! But it’s an open question whether they should be entitled to use your money in putting it on. For my part, I say horse hockey!
A Chance to Fix the PATRIOT Act?
As Tim Lynch noted earlier this week, Barack Obama’s justice department has come out in favor of renewing three controversial PATRIOT Act provisions—on face another in a train of disappointments for anyone who’d hoped some of those broad executive branch surveillance powers might depart with the Bush administration.
But there is a potential silver lining: In the letter to Sen. Patrick Leahy (D-VT) making the case for renewal, the Justice Department also declares its openness to “modifications” of those provisions designed to provide checks and balances, provided they don’t undermine investigations. While the popular press has always framed the fight as being “supporters” and “opponents” of the PATRIOT Act, the problem with many of the law’s provisions is not that the powers they grant are inherently awful, but that they lack necessary constraints and oversight mechanisms.
Consider the much-contested “roving wiretap” provision allowing warrants under the Foreign Intelligence Surveillance Act to cover all the communications devices a target might use without specifying the facilities to be monitored in advance—at least in cases where there are specific facts supporting the belief that a target is likely to take measures to thwart traditional surveillance. The objection to this provision is not that intelligence officers should never be allowed to obtain roving warrants, which also exist in the law governing ordinary law enforcement wiretaps. The issue is that FISA is fairly loosey-goosey about the specification of “targets”—they can be described rather than identified. That flexibility may make some sense in the foreign intel context, but when you combine it with similar flexibility in the specification of the facility to be monitored, you get something that looks a heck of a lot like a general warrant. It’s one thing to say “we have evidence this particular phone line and e-mail account are being used by terrorists, though we don’t know who they are” or “we have evidence this person is a terrorist, but he keeps changing phones.” It’s another—and should not be possible—to mock traditional particularity requirements by obtaining a warrant to tap someone on some line, to be determined. FISA warrants should “rove” over persons or facilities, but never both.
Why Chile Is More Economically Free Than the United States
In the 2009 Economic Freedom of the World Report, Chile is now #5, one place ahead of the United States.
In 1975, of 72 countries, Chile was No 71. How did this happen? The explanation lies in what I call the “Chilean Revolution,” because it was as important and transformative to my country as the celebrated American Revolution that gave birth to the United States.
The exceptional political circumstances of this period have obscured the fact that from 1975 to 1989 a true revolution took place in Chile, involving a radical, comprehensive, and sustained move toward economic and political freedom (from a starting point where there was neither one nor the other). This revolution not only doubled Chile’s historic rate of economic growth (to an average of 7% a year, 84-98), drastically reduced poverty (from 45% to 15%), and introduced several radical libertarian reforms that set the country on a path toward rapid development; but it also brought democracy, restored limited government, and established the rule of law.
In 1998, The Los Angeles Times described the importance of the Chilean Revolution to the world:
In a sense, it all began in Chile. In the early 1970s, Chile was one of the first economies in the developing world to test such concepts as deregulation of industries, privatization of state companies, freeing of prices from government control, and opening of the home market to imports. In 1981, Chile privatized its social-security system. Many of those ideas ultimately spread throughout Latin America and to the rest of the world. They are behind the reformation of Eastern Europe and the states of the former Soviet Union today… which demonstrates, once again, the awesome power of ideas.
Thursday Links
- A new T-shirt for Senator Baucus: I worked for six months with half a dozen members of the Senate Finance Committee, and all I got was this lousy 223-page summary of what I hope the new health care bill will look like.
- Why should evidence even matter in education policy? I mean, we’re doing this for the children.
- Videos reveal tax-funded organization being used to help those who want to open a brothel and illegally bring underage girls into the United States as “sex workers.” Meet the two 20-somethings who exposed it.
- It’s time to narrowly define the mission in Afghanistan. “The United States does not have the patience, cultural knowledge or legitimacy to transform what is a deeply divided, poverty stricken, tribal-based society into a self-sufficient, non-corrupt, and stable electoral democracy.”
- Podcast: The future of health insurance: You buy it, or else.
That Costly Mandate
The Wall Street Journal notes that Sen. Max Baucus’s allegedly moderate health care plan “would increase the cost of insurance and then force people to buy it, requiring subsidies. Those subsidies would be paid for by taxes that make health care and thus insurance even more expensive, requiring even more subsidies and still higher taxes.” Other than that, it’s not so bad. The Journal also digs up a great graphic produced by the 2008 presidential campaign of a little-known Illinois senator named Barack Obama:
And speaking of health care mandates and how much they’re going to cost young people, as the Washington Post was yesterday, I just had lunch with Clark Ruper, program manager for Students for Liberty, who told me he’d be on the Newshour with Jim Lehrer on PBS tonight. In the interview he told them that as a young healthy person he has voluntarily chosen not to purchase health insurance and instead invests in his own savings. And he thinks a lot of young people make such choices and don’t want a government mandate requiring them to buy government-approved insurance. Check it out tonight on PBS.
Response to Matthew Yglesias re: Uncle Sam’s $4 Million Bike Rack
In response to my criticism of the new federally-financed $4 million bike center set to open at Union Station in Washington, DC, Think Progress blogger Matthew Yglesias says:
I look forward to the day when the Cato Institute does a blog post denouncing each and every publicly financed parking lot or garage in the United States of America.
I’ll take that bait…sort of…
I denounce each and every federally financed parking lot or garage in the United States of America on non-federal property. I’m one of those quaint individuals who recognizes that the Constitution grants the federal government specific enumerated powers. Using federal tax dollars to finance local parking garages, lots, bike centers and racks is not one of the powers granted to the federal government. So let me rephrase my statement from yesterday: Look, I harbor no animosity against [car drivers], but under what authority — legal or moral — does the federal government tax me in order to build [parking garages or lots] for parochial, special interests?
By the way, for an excellent study on the problems with federal subsidies to state and local government, please see my colleague Chris Edwards’ “Federal Aid to the States: Historical Cause of Government Growth and Bureaucracy.”
Here are a few additional random thoughts…
I know so-called “progressives” like Yglesias don’t lose sleep over how much money the federal government spends, but $4 million to park a hundred or so bikes? As Chris Moody noted to me today, if bike security is the major issue, why not pay a guard $12 an hour to stand watch?
Isn’t it possible, just possible, that a bike center with even more racks could have been built for a lot less? Isn’t that the question that people like Yglesias, who want more people on bikes and less in cars, should be asking?
I don’t see anything inherently governmental about building and operating parking garages or bike centers. The absolutely sorriest, most poorly run parking garage system I’ve ever experienced is the one managed by the State of Indiana where I used to work. I recall an overcrowding situation — exacerbated by lousy management — in which the solution put forward was to just build another garage. Hey, someone else is going to pay for it so who cares, right? I often tell people that young libertarians should spend a couple years working in the bowels of government in order to reinforce their belief system with hands-on experience. I’m starting to think “progressives” and other unwavering fans of all-things-government should do the same.
Funding ACORN
The ACORN scandal provides a good opportunity for citizens concerned about profligacy in Washington to explore some of the tools available to find out where their tax money goes.
A good place to start your research is the Federal Audit Clearinghouse on the Census website. All groups receiving more than $500,000 a year from the government are required to file a report. Just type in “ACORN” as the entity and the system pops up the group’s filings. My assistant John Nelson summarized the federal programs and amounts received by ACORN in recent years:
2003
Housing Counseling Assistance $1,168,388
Community Development Block Grants $388,273
Home Investment Partnership $8,000
Self-Help Homeownership Opportunity $204,082
Fair Housing Initiatives Program $85,000
Total $1,853,743
2004
Housing Counseling Assistance $2,209,009
Community Development Block Grants $221,007
Home Investment Partnership Program $21,092
Self-Help Homeownership Opportunity $127,183
Fair Housing Initiatives Program $105,000
Total $2,683,291
2005
Housing Counseling Assistance $2,605,558
Community Development Block Grants $367,560
Self-Help Homeownership Opportunity $153,082
Fair Housing Initiatives Program $140,917
Total $3,267,117
2006
Housing Counseling Assistance $1,955,074
Self-Help Homeownership Opportunity $59,541
Rural Housing and Economic Development $47,619
Fair Housing Initiatives Program $150,000
Community Development Block Grants $238,809
Total $2,451,043
2007
Housing Counseling Assistance $1,813,011
Self-Help Homeownership Opportunity $46,608
Rural Housing and Economic Development $30,504
Fair Housing Initiatives Program $60,000
Community Development Block Grants $372,950
Total $2,323,073
My colleague, Tad DeHaven, has discussed why these HUD programs that funded ACORN ought to be abolished completely.
Subsidy information is also available from IRS Form 990, which is filed by all non-profit groups and compiled at Guidestar and other websites. I am not an expert on this data, but Velma Anne Ruth of ABS Community Research has done a detailed analysis, which she kindly sent to me. She finds that federal funding for ACORN was about $1.7 million in 2008 and about $2.2 million in 2009.
Finally, a user-friendly website to research recipients of federal grants and contracts is www.usaspending.gov.
ACORN’s share of overall federal subsidies is tiny, but as thousands of similar organizations have become hooked on 1,800 different federal subsidy programs, a powerful lobbying force has been created that propels the $3.6 trillion spending juggernaut. ACORN’s own website touts its lobbying success in helping to pass various big government programs. So cutting off ACORN is a start, but just a small start at the daunting task of cutting back the giant federal spending empire.
CAP’s Proposal to Add ‘Public Members’ to Corporate Boards Is Flawed
Today the Center for American Progress rolled out its proposal that we add “public directors” to the boards of companies that have been bailed out by the government. CAP scholar Emma Coleman Jordan argues that “public directors will provide a corrective to the boards of the financial institutions that helped cause the crisis.”
One has to wonder whether Ms. Jordan has ever heard of Fannie Mae and Freddie Mac. If she had, she might recall that a substantial number of the board members of Fannie and Freddie were so-called “public” members appointed by the President. Perhaps she can ask CAP adjunct scholar and former Fannie Mae executive Ellen Seidman to review the history of those companies for her.
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