Monthly Archives: October 2013

Boehner vs. Reid

Boehner wins.

At least for now:

Washington (CNN) — The federal government may not be hit with a double whammy on top of the ongoing shutdown, as House Speaker John Boehner told a group of fellow GOP legislators that he won’t let the nation default on its debt, according to a House Republican.

Boehner said that he’d set aside the “Hastert Rule” — that Republicans would only bring measures up for a vote if they are backed by a majority of their caucus — and rely on Democrats to pass a measure to raise the nation’s debt limit, said the House member.

Reid is a partisan warhorse.  If he would vote “no” on a bill, it doesn’t come before the Senate.

Period.

Time will tell if Boehner actually allows the vote, but he has history of being far more bipartisan than his counterpart in the Senate.

Entitlement Programs

Julia Mom

Entitlement Programs

The welfare state is a divide between the Liberal and the Conservative.  In fact, it’s one of the main fault lines that defines the two ideologies.  Imagine what could be accomplished if the two sides would try and come together.

1.  It would take the right to acknowledge that there is a place for a safety net for the nation.

2.  It would take the left to treat the problem in the same way that organizations treat problems.

First, we have to admit and acknowledge that there are folks living around us who, through the normal vagrancies and winds of life, find themselves in need.  Little or no money, food is a struggle and a home safe from the elements is a luxury.  For the spiritual, our faith calls us to come to the aid and assistance.  For others, it isn’t a matter of faith, it’s simply the mark of a moral and caring human being.

Regardless of how you get to the conclusion, the reasonable individual wants to help those in need.

The Divergence.

There are three aspects of the programs that, in my mind, create and fuel the differences between the two sides.  They are:

  1. How do we measure
  2. Do they end
  3. Are they moral and consistent with the concept of Liberty

The first divide is crucial in my mind.  Given that we are all invested and wanna help, it now becomes important to identify strategies that work and separate them from the ones that don’t.  In my world, failing ideas are shut down and thrown away allowing the resources engaged in those activities to be re-purposed into the programs that DO work.

Too often in the public sector a certain dogma exists within the programs creating an element of “faith” that becomes personal and results in long time failing programs to continue.  And, perversely,  it is never admitted that the program isn’t working.  Rather, the argument is made that not enough money has been funneled to the failed attempt.  This creates the very undesirable effect of funneling more and more money to the absolute worst ideas.

The second difference between the right and the left is the concept that, while life does present difficulties in ratios that can be difficult to manage, at some point the individual must assume responsibility for himself.  That is, any program designed to provide a “hand-up” must, by definition, end.

Period.

And the program needs to be built with that in mind.  Not only in its funding structure but in its charter goal.  Consider unemployment.  I can buy the argument that we should provide benefits. [though I wash that unemployment insurance could be managed privately] But the program must have a defined end date after which the individual leaves the program and is allowed to manage his own life again.

This isn’t just from a funding perspective, as I mentioned, but as a design element.  As part of the unemployment program, we should ask ourselves when designing it, “what is going to happen to Pino when the time is up?  Will we have prepared him or life without benefits?”

If those questions aren’t answered and addressed, we’ve not helped the man but rather delayed the inevitable condition of permanent joblessness.

Last is the concept of morality or of Individual Liberty.

I love seeing those cute pictures on Facebook from my Liberal friends.  The ones where Jesus is commanding us to feed the poor and care for the sick.  The message, obviously, is that programs like food stamps and Obamacare are explicitly our obligation.

I’ve always thought them funny though.  Because while we are required, as decent caring  human beings, to care for others, the whole concept is that WE care for the less fortunate.  It was never assumed that I would take money from my neighbor to the West and give it to my needy neighbor to the East.

In other words, while government necessarily requires the concept of a tax, there comes a time when the confiscation of wealth for my own charities shifts from proper and necessary government to theft.  No one would think it moral if 3 people to vote to “tax” of their companion’s money.

I would leave you with this.  By failing to address issue 1 we are left with a system that cannot handle issue 2.  And now it becomes a horse race every election to draw the line in issue 3.  The result?

 

Julia’s Mother.  A citizen who comes to the very rational conclusion that the perverse system has created incentives that are not normal:

The U.S. welfare system sure creates some crazy disincentives to working your way up the ladder. Benefits stacked upon benefits can mean it is financially better, at least in the short term, to stay at a lower-paying jobs rather than taking a higher paying job and losing those benefits. This is called the “welfare cliff.”

Let’s take the example of a single mom with two kids, 1 and 4. She has a $29,000 a year job, putting the kids in daycare during the day while she works.

As the above chart  – via Gary Alexander, Pennsylvania’s secretary of Public Welfare — shows, the single mom is better off earning gross income of $29,000 with $57,327 in net income and benefits than to earn gross income of $69,000 with net income & benefits of $57,045.

The Problem With Obamacare

Health Care

Or at least two of them.

Cost and need.

First, consider cost:

For 2014, the penalty is either $95 per adult or 1% of family income, whichever results in a larger fine. (Income is defined as total income above the filing threshold, which is $10,000 for an individual and $20,000 for a family in 2013.) That’s still a lot less than premiums, which are generally $200 to $300 a month on average for a silver plan.

So a person making $50,000 would not be eligible for a subsidy and would pay full price — typically around $2,400 to $3,600 a year in premiums — for a plan. If he declined to get insurance, he would only be subject to a $400 penalty for the year.

A couple earning that amount would receive a roughly $1,300 subsidy, leaving them to pay about $4,750 in premiums for the year. But that compares to a $300 penalty.

For some folks, the economics just doesn’t make sense.    The penalty is the better way out.

Then there is the case of the need.  Young people generally don’t need the insurance.  Why?  Because they aren’t sick:

For some folks, health insurance just isn’t a good deal. Take Jessica Birge, 29, who is studying nursing and works as a medical assistant. Her job gives her $100 a month for medical expenses, though she does have dental and vision coverage through her employer. But she doesn’t have a lot of medical expenses since she rarely goes to the doctor, opting instead to go to a local clinic for her annual exams.

Though she knows she needs insurance in case she gets into an accident, she doesn’t think Obamacare is very affordable.

“I don’t really want to pay a penalty, but it’s more economical for me to pay $300 a year [in fines] than $200 to $300 a month for insurance I don’t use,” said Birge.

Now, you can argue that the young folks should contribute to the system in order that the elderly and the sick may obtain coverage.  And  I would argue that such a ideal is a noble one indeed.  But we’ve now moved away from an insurance conversation to one more properly defined as an entitlement conversation.

The fact is, Ms. Birge and millions like her are simply making the choice to self insure.  A choice that I myself made when I was that age as well.  Lookig back I wish that I had taken a catastrophe policy and matched it with an HSA.  Not that ever was sick or hurt, but it’s a curse of being older to look back on the mistakes of youth and shake your head.

Plus I would now have an HSA account that would have grown tax free over the last 22 years.

The Pentagon Furloughs Hundreds Of Thousands

Pentagon

So, as a Libertarian, there is a lot to like in having the government shut down.  First, the guilty pleasure and second, the opportunity to display to the nation we can do without much of the government apparatus we have in place.

But here is a benefit that I would expect the Left to embrace:

Half of the department’s 800,000 civilian workers are slated for furloughs beginning Tuesday.

As far as I’m concerned, the Pentagon is just another government agency, although much more legit than many others, and is subject to bloat in the same way that all agencies are subject to bloat.

 

The Outcome Of Government Shutdown

Government Shutdown

What happened the last time the government shut down?

The democrat President compromised, the budget was balanced and we saw welfare reform pass.

I would like Obama to do that.

How Important Is The EPA

EPANot very.

Are fewer than one of every 10 Environmental Protection Agency employees essential to its work?

Only federal employees classified as “essential” can work during a government shutdown. At EPA, that means just 6.6 percent of its workforce, according to Reuters.

Of the agency’s 16,205 employees, a mere 1,069 will work through the shutdown. That means that taxpayers employ 15,136 people at the EPA who are “non-essential.”

This shut down may, or not, make us look a little silly among the world’s nations.  And, indeed, this is all shenanigans.  But there is good news to this:

Because of the shutdown, the EPA will not be able to work on the rules requested by President Obama in his climate plan, but Dina Kruger, a consultant and former climate change director at the EPA, said the agency would be able to complete the rules on time. It might just have to “work a little harder” once the shutdown ends.

The shutdown will also delay the comment period for the EPA’s New Source Performance Standards – the proposal that would make it nearly impossible to open a new coal plant – which started on September 20, 2013.

Good news to be sure.

 

Brutal Take On Evolution

Dilbert.Nonessential

There was a time not so long ago when I was facing potential downsizing.  In my mind, additional work was a commodity.  There were folks in my division who would shy away from taking on the most difficult projects due to fear of failure.  I jumped at everyone of them.  My logic being that in an environment where we are looking to shed dead wood, I wanna be the most living wood that can be found.

Whatever.

The Libertarian in me says that if you are a non-essential government worker you need to be fired and your job eliminated.

Government Employees

One of the fallacies that the main stream leftist has of upper middle class America is that these upper middle class folks they simply have their world given to them.

You know, they’re white and male therefore don’t have to work or achieve.  They just walk in a room and get given the bounty of life.

The truth is far from this perception.

Consider this:

The U.S. Department of Housing and Urban Development said it will close its offices at 1:30 p.m. Other agencies, such as the Labor Department, expect most employees to be gone by mid-day, but haven’t set a specific time.

Once they head home, furloughed employees are under strict orders not to do any work. That means no sneaking glances at Blackberries or smart phones to check emails, no turning on laptop computers, no checking office voicemail, and no use of any other government-issued equipment.

Every single vacation I’ve taken in the last 5-10 years has included my work laptop.  My wife and I got married on the beaches here in North Carolina; we spent 10 glorious days celebrating with friends and family.  We brought work laptops with us.

When I am NOT on vacation, I often times check my email before my feet hit the floor in the morning and one of the last things I  do before going to be is check my work condition.  I often interact with global teams located who knows where, and their needs may not fit a US based schedule.

My point?  Government is without a clue and these people are only making it more painful than they need to be.

Government Shutdown

First, I would like to point out that I fully support a shutdown of the government.  The aspects of the State that I think are essential are not in jeopardy of being turned away; we only face the fat of the pig.

Second, this is the hammer I would wield if I were a republican lawmaker.  I would simply slip the paper to Reid and Obama, look them straight in the eye and say, “Manage your career as you see fit.”

There is support across the political spectrum for delaying the individual mandate one year and using the government funding bill to implement the delay. Additionally, the survey found that by a 5-point margin, respondents support using every opportunity to defund or delay the ACA rather than simply passing a “clean” bill to fund the government.

Fully 56 percent of respondents support the individual mandate delay in the context of a continuing resolution debate, including 55 percent of independents, and 52 percent overall in “swing districts.” The survey also found that strong majorities across the spectrum oppose the Affordable Care Act, including 60 percent of independents, and a majority in “swing districts.”

If brought before the people in districts that will swing, defunding the bill will win.

Game over.

Obamacare – Law Of The Land

So, as the country moves into a government shutdown, I’m reflecting on politics.

Consider North Carolina.  We here have elected a republican governor, a republican controlled house and a republican controlled senate.

All legitimate.

Together, these bodies have submitted, debated, passed and vetoed laws; only later to be over ridden.

One of the most controversial laws passed is the Voter ID law; of which the United States has sued to challenge.

Is there a democrat alive that would not support using any means legally necessary to overturn that law?  Shenanigans or not.

Now, consider the opposition.  That is how they feel concerning Obamacare.

And like it or not, it is the House of Representatives that are negotiating and compromising, not the Senate.