Archive for the 'Government' category

How Big Is Your… Detail?

Aug 07 2009 Published by under Congress, Craziness, Government

I commented earlier today on Twitter about this article. It seems the good folks in Congress have decided to vote themselves eight new planes – 4 Gulfstreams and 4 737s. This after bashing corporate CEOs for their “excesses” in traveling by private aircraft.

In response, I got the standard pushback that the costs for such things are reasonable because of the security details that travel with elected officials. I was specifically asked if CEOs travel with security.

I had similar discussions in the spring when the issue was $12 billion for new helicopters in the Marine One fleet. The President, to his credit, was at least smart enough to say, “I’ll make do with the old ones.” Congress has had no such thought. Instead, the Congressional plan to buy eight planes actually DOUBLES the costs and number of aircraft the Department of Defense had requested.

This strikes me as odd on three levels.

First, there is a size issue. The request included four 737s. These are not small planes. So we have to ask exactly how big these security details are. Do we really need planes that big to ferry them?

Second, I am guessing that many CEOs do travel with security, but I am guessing that most do not. As a stockholder, I’m of two minds on that. I would like to think that the CEO of a company I have invested in is protected from threats of kidnapping or assassination. I may count on that company to provide income in the form of dividends or retirement planning. It would be nice if that were safeguarded.

On the other hand, however, I appreciate that most CEOs understand that they are expendable. If something happened to them, there are a lot of people who could be brought in to fill that role.

This brings me to the last point. Most Members of Congress don’t share that understanding of their relative importance. And we as a people seem to condone their inflated sense of their place in the world. We make excuses for their excess because “they have to be protected”. Yet we must ask ourselves whether that’s really true.

Their jobs, by nature, are such that they can be replaced on a whim by us in regular intervals. A Representative, specifically, serves only two years at a time and can be fired by the public every 750 days. Yet they believe (and we allow them to believe) that they are critical to the function of our government. That they even have security details is absurd. You can argue that only certain Members in leadership have such protection, but their term of service is still at our pleasure. We, and the Constitution clearly feel we could do without them.

We coddle our elected officials. More specifically, we allow them to coddle themselves. Then we make excuses for their behavior because its easier than looking in the mirror and asking ourselves why we don’t throw them out when they get out of control.

We’re left with Congress deciding, contrary to the wishes of the Department of Defense, how many planes are appropriate and how much private access to aircraft they need.

Perhaps we need to rethink things and send a clear message by throwing out every Member who votes for these planes. They clearly believe they mean more to us than we think they do.

If we took away some of their perks, forced them to live like the common citizens they’re supposed to be, and specifically did away with security details designed to protect them from us, maybe they’d behave less like protected overlords and more like our representatives.

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High Speed Rail: The New Crappy Way to Get Nowhere

Apr 17 2009 Published by under Craziness, Government, Stuck On Stupid, Travel, Waste

So the administration has rolled out its high speed rail plan. Perhaps not suprisingly, it look very similar to the old crappy rail system.

The old and new rail system

The old and new rail system

The old joke is that trains give you all the discomfort of airline travel, but in six times the time. The rail plan calls for trains to travel 100 miles per hour, so the joke should be revised to four times.

The fact is, trains are a great idea in a country the size of Japan, France or Britain, that you can backpack across in a day. They suck, just a little bit, for travel across a country 3000 miles wide. Why take a high-speed train that gets you from LA to NY in two days when you can fly and be there in 5 hours?

High-speed trains would be a better idea for high traffic commuter corridors. As an example, look closely at the map and you’ll notice you still can’t travel North. There is no connector between Oklahoma and Kansas City, or anywhere in Georgia up through Kentucky, Tennessee and into Indiana.

You can’t get from Albuquerque to Denver, Denver to Phoenix, Phoenix or Albuquerque to Salt Lake City, or any of those cities to anywhere in Texas.

If you are a salesman in the southwest, you can get to Chicago faster than you could run there, that’s true. Chances are most of your travel will still be by air, and flying short distances within your region, though.

It looks to me like someone went to Amtrak and said, “If you could go to all the same places using the same shitty routes, but do it marginally faster, what would that look like?”

Congrats, guys. You batted their answer out of the park.

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Fuel Efficiency and Mileage Based Taxes

Feb 23 2009 Published by under Craziness, Government, Taxes, Technology

An interesting artice in the WaPo caught my eye this morning. The headline “LaHood talks of Mileage-Based Tax” made me wonder if they were actually suggesting a tax per mile you drive. As it turns out, they were. But oddly, that’s not the interesting part of the story.

In the interview, he also ruled out raising the gas tax, the primary source of transportation funding…

Revenue from gas taxes is becoming problematic as cash-strapped Americans drive less and buy more fuel-efficient cars, leaving the government with a growing hole in funds to pay for the nation’s aging highway system.

Until recently, the 18.4-cent-a-gallon federal gas tax had been a steady and growing pot of revenue. Over the past half-century, it has paid for the interstate highway system, which has crisscrossed the nation with asphalt, and since 1982, it has been kicking in for transit needs…

The current system also assumes that Americans will drive more every year. And for many years that was true, with miles traveled increasing about 3 percent a year, Basso said. But when gasoline prices hit $4 a gallon last year, people began driving less. According to AAA, Americans drove 107.9 billion fewer miles in 2008 than in 2007.

Apparently, that combined with advances in fuel efficiency have led to declining revenue for transportation projects – an unintended consequence of greening our automobiles.

In what may be the shortest flight ever of a trial balloon, the government immediately shot down the idea of the mileage tax. However, there have already been pilot projects to test the idea.

As an Oregon DOT spokesman said, “[G]as-powered vehicles are going away. When that point comes, how do you collect money for your transportation system if your revenues are based on gasoline?”

Only in the final two paragraphs do they even raise the privacy concerns about this – namely the government tracking the movement of its citizens.

I suspect that the police – now aware of the lengthy record of your travels – would demand access to the data to track the movement of suspects (or “people of interest” or… well, you get it.

It is frightening to think of the implications. But it is interesting to see that while the previous administration wanted to violate our freedom for the purpose of homeland security, this one may do it just for the tax revenue.

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The Case for Using the Word “Socialist”

There is a lot of chatter on the wires today about the 2001 radio interview in which Barack Obama discussed the Supreme Court’s role in addressing “political and economic justice” and redistribution of wealth. Taken together with his “spread the wealth around” comments to Joe the Plumber, a lot of people are seeing a pattern. Many have begun to suggest that Obama is a closet socialist just waiting to spring a trap on an unsuspecting America.

Well, let’s look at this analytically beginning with an accepted definition of Socialism. For sake of a common source, I’ll use Wikipedia. I’m not a big fan of it for discussions like this, but since the people have collectively “spoken” and regard it is sound, it’s common ground, I guess. It’s definition of socialism includes this:

Socialists mainly share the belief that capitalism unfairly concentrates power and wealth among a small segment of society that controls capital and creates an unequal society. All socialists advocate the creation of an egalitarian society, in which wealth and power are distributed more evenly, although there is considerable disagreement among socialists over how, and to what extent this could be achieved.[1]

Socialism is not a discrete philosophy of fixed doctrine and program; its branches advocate a degree of social interventionism and economic rationalization, sometimes opposing each other. Another dividing feature of the socialist movement is the split on how a socialist economy should be established between the reformists and the revolutionaries. Some socialists advocate complete nationalization of the means of production, distribution, and exchange; while others advocate state control of capital within the framework of a market economy.

Many people equate socialism with communism and Marxism, but those are really false analogies. Communism is predicated on a classless society with no government. To that extent, what we call communist nations are not actually communist at all. There have been countries that attempted to create a communist state, but most ended up totalitarian regimes. Even China, one of the stalwart adherents to communism, has realized they need to open the door to capitalism more and more.

So what’s the difference between communist/Marxist, and socialist societies? Well, the answer to that is long enough to earn you an advanced degree in most colleges, but let’s define it as a question of two things – revolution and control.

Under Marxist theory, a revolution would be necessary to wrest control of the means of production from the hands of the upper class. That would be followed by a period of control by a type of revolutionary council, and then eventually the abolition of government in favor of the collective. This latter period is where most Marxist states have gone wrong. They get caught up in the fervor of being in power, and end up inviting a revolution.

Socialism, by comparison, doesn’t necessarily require revolution. In fact, many argue that despite the fear of an Obama administration, the US is already well on the road to socialism thanks to the collapse of Wall Street and the intervention of the Bush economic team.

All socialism requires, per the definition above, is either “complete nationalization of the means of production, distribution, and exchange or state control of capital within the framework of a market economy.”

It is in the latter framework that we need to address the question of “Obama’s socialism”. Obama’s team has reiterated, ad nauseum, their claims that Obama is committed to the free market. In response to the 2001 radio interview, his team had this to say.

In the interview, Obama went into extensive detail to explain why the courts should not get into that business of ‘redistributing’ wealth. Obama’s point — and what he called a tragedy — was that legal victories in the civil rights led too many people to rely on the courts to change society for the better.

Actually, that’s not what he said. If you listen to the interview, he said that he could easily develop an argument that the court’s could carry out the task of ordering redistributive policies, but that the administrative overhead would be too great for the courts so such change must come through Congress.

He also, quite specifically, never said he opposed redistributive policies, only that they must originate in legislation, not court doctrine.

So where is Congress on this? Even Nancy Pelosi, a devout liberal, is on the free market bandwagon, right?

We are all believers in the free market — it’s part of our democracy. We know that the free markets create jobs, create capital, and create wealth — that’s very important. But recently, left unregulated and undisciplined and unsupervised, they create chaos.

Well, frankly we don’t know if that’s true because we don’t have a free market. We have a regulated market. “Free markets” by definition, are free of outside influence. All transactions are between buyer and seller. When you introduce even basic constraints – say fraud protection, lemon laws, etc. – you no longer have a free market. Pelosi’s comments seem to indicate that she’s in favor of a regulated market.

So which does Obama favor? A free market or a regulated market? From his statement about the plan for government taking ownership stakes in banks, it appears to be the latter:

[T]he plan appears to extend a broader set of guarantees to banks without requiring any additional regulation, which represents more of the same failed philosophy that got us into this mess.

Ok. So Obama wants government regulation. So what’s wrong with that?

Well, let’s look back at that “widely accepted” definition of Socialism.

[O]thers advocate state control of capital within the framework of a market economy.

We now have government with a sizable ownership interest in banks, insurance, and securities. We’re also heavily involved in an automotive bailout. You can argue the current wave of nationalization started under Bush – which is true – but it’s not like Obama has opposed it.

Further, I suspect we’ll start to see justifications for expanding that reach into energy and telecommunications. The government is encroaching more and more on the people.

While it is not yet the complete nationalization of the means of production, it’s getting a lot closer.

Obama is in support of the government role in banks, wants more regulation (read: control) of the market. His cheerleaders in Congress want the same. He has talked openly of using government power to “spread the wealth” around. He has made coherent arguments that redistributive policies must come from government. (That alone leads me to believe he has spent a good deal of time thinking about it.)

With all that, I ask you, is there honestly anyone alive who can make that claim that the term “socialist” doesn’t apply here?

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<sarcasm>More Good News: Obama’s Tax “Cut”</sarcasm>

(Cross posted at The Next Right)

The Washington Times reports on the fuzzy numbers behind Obama’s tax “cut”. WashTimes looks at the rather questionable assertion that you can give a tax cut to people who already pay no taxes. To achieve their goal of “cutting” taxes for 95% of America, it seems Team Obama will simply take $500 or $1000 from some people, and give it to somebody else – no questions asked.

That idea caught the attention of AFP’s Phil Kerpen (a very bright guy):

It’s got to raise alarm bells when you claim you are going to cut taxes for 95 percent of working families when more than 40 percent of them pay no income taxes.

Obama’s folks are justifying this wealth redistribution scheme by suggesting that Social Security taxes paid are now “refundable” through income tax rebates even if no income taxes were paid.

Unlike conservatives who have consistently pointed to the cumulative amount of taxes, the Democrats have suddenly discovered the “total tax burden”. They will use income taxes paid by some to rebate back Social Security taxes paid by others.

How exactly will that work, given that the Social Security trust is broke and about to start paying out far more that it takes in? Well, I suspect we’ll soon see another “soak the rich” campaign removing the social security cap so “the rich” will see dramatic increases in Social Security taxes to make up for the gap created by Obama’s rebates.

If you doubt that, you should read the quote from Obama’s campaign advisor. It may be the scariest thing you’ll ever see in print.

“Senator Obama believes that the tens of millions of families working hard and paying payroll taxes do not think that tax cuts are a form of ‘welfare’ or ‘redistribution’ – they think it is only fair to reward work,” said Jason Furman, the Obama campaign’s chief economic adviser.

You heard that right. Work that results in someone not getting ahead is to be rewarded with money taken from those whose work results in them actually making money (which is apparently work that needs to be punished).

An Obama administration will first absolve a huge segment of taxpayers from any tax responsibility at all, and then shift that obligation to those who create jobs and get ahead. The wealth redistribution schemes the Obama team wants to put in place should scare the bejeezus out of anybody with one ounce of grey matter in their brain case.

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