Tag Archives: North Carolina Politics

Because I Say It – It's True

I don’t understand why government feels the need to interject itself in the normal workings of a contract.  When I agree to have someone work on my yard, we enter into an agreement that they will provide the service and that I will pay the bill.  Similar, when I purchase goods over the internet, I enter into the same type of agreement.  basically, two parties are promising to trade and to pay according to that trade.  We both understand the implicit penalties associated with either of us defaulting.  either I won’t pay or they will take me to court.  Based on these promises and follow through by both parties, business is allowed to be conducted.

All of this can be done without involvement by the government.  Oh sure, we know it’s there.  We know that if we can’t resolve any conflict, one of us could be arrested and forced to appear in court.  And to that end, the government could send on officer of the law to our house or business to enforce that summons or judgment.  But in general, we expect the government to stay out of the normal execution of the contract.

So why, now, would the government insert itself into the normal functioning of a contract between parties?

The Consumer Economic Protection Act allows a clerk of court to continue a foreclosure hearing for up to 60 days. The delay would give a homeowner more time to work out a payment plan with the mortgage holder or service so the debtor can remain in the home.

For the life of me, I couldn’t understand why anyone would think that this was a good idea.  I tried looking at this from every angle I could think of and I didn’t see that this was solving any problem what so ever.  And then I read a little further:

“When a home is foreclosed, it’s bad for our families, it’s bad for our communities, it’s bad for our businesses, and it’s bad for North Carolina,” Perdue said. “This bill makes it easier for homeowners to work out a deal with their lenders and avoid foreclosure.”

And so there is was.  The Governor is not really trying to make the flow of business easier, she is trying to make re-election easier.   See, if we can give advantage to some group of people by punishing another group of people and that first group is larger or harder to otherwise control, the politician will always choose to provide that advantage.

That is not, however, to ignore the fact that this is BAD for the very people she is mentioning.  The stress of an impending foreclosure can take a huge toll on a family.  And really, what can happen in 60 days that will prevent the inevitable.?  Really, the family would be better served to go through the very well understood process of foreclosure and begin rebuilding as soon as possible.  And don’t forget, for every family that is foreclosed on, there is another family that will move into a new home.  And business?  How can the delay be good for business?  Lenders base their decision to lend on the fact that, in the event of non-payment, they can reclaim their risk.  This is preventing that process and will result in more expensive lending practices up front.

No, be very clear, this is not about helping businesses, this is about helping politics.

The Price of a Stamp

So, in my last post I spoke some about the minimum wage and the buying power associated with it.  I used a concept shown to my by Mark Perry.  That is, comparing the cost of goods from 50 years ago to that price today.  I added a little twist and included the price of that good had it too kept up with inflation.

I thought it would be interesting to do the same thing with the cost of government controlled goods.  Like a postage stamp.

Here goes.

Cost of a stamp in 1958:  $0.04

Inflation Price:  $0.30

Real Price Today:  $0.44

So, while the price of products today is going down relative to it’s 1958 inflation price, the cost of postage is going up.  By almost 50%.

Union Mentality

This from WRAL.com:

Although it is still unclear how many teaching positions could be cut because of the state’s long-awaited budget, educators are just now learning that their salary for the upcoming school year will be the same as last year.

How is that possible?

Unions and More Unions

More and more I am seeing evidence that the Labor movement is continuing to gather strength here in North Carolina.  We are seeing more stories in the newspaper, we are hearing more about it in the news broadcasts and we are beginning to see more action in the political front here in Raleigh.  See this article.

Unionists poured at least $4.7 million into Tar Heel political campaigns, and they put at least 1,000 boots on the ground, knocking on doors, putting up signs and handing out literature.

It’s clear, the efforts by the union have been ramped up.  And this might represent the last best chance for the unions here; their window of opportunity is now.  Right now.  They have a ground swell of Democratic support, both here in State and nationally as Obama helped the Democrats sweep into power.  And now, right now, is when we have to do our best work.  We have to be willing to do the hard work to make sure our voices are heard; both from the Democrats here in the tar Heel state as well as the Republicans.  See, Carolina is unique in that both sides of the aisle support business here.  It’s to both of our benefits to see that business are not held down by the horrible horrible weight of a union and the absolute drag on the economy they represent.

And don’t think that this fight is something that is limited to our humble state.  This fight is being fought in the National arena as well:

There is a bill in Congress that would allow all the nation’s sworn officers — police, firefighters and correctional officers — to bargain collectively. Its primary targets are North Carolina and Virginia.

In short, don’t sit back and think that others are going to work to stop this.  In fact, that is the opposite of reality; others are working to advance the cause of Labor.  And with it, the loss of jobs, the reduction in wages, the lack of investment In Carolina.  Basically, everything that we don’t wanna see come to North Carolina.

Priorities and Scare Tactics

Look, it’s simple.  We all do it.  There are times in every good household when something unexpected comes up.  Or, in times of over spending, perhaps it shouldn’t be unexpected, but, you get the point.  You look in the checkbook and look at the bills and confirm that it isn’t going to add up.  You are going to have to reduce spending or get another job.  It happens to all of us.  Happens to me.  Will happen to me again.  And this is healthy; it forces us to keep what is important to us and shed what isn’t.

For example, as I monitor my “play money” fund and see that it’s going to be bankrupt in 3 months I am forced to review what I am paying for in terms of “play”.  I see that I have 3 magazine subscriptions and 5 on line subscriptions.  Further, I am spending 90 bucks a month on aikido and so on and so on.  Given that I have to shave off $50 a month, I go through what everybody goes through.  I itemize my “play money” expenditures, rank them in order of value and cut the ones that are of LEAST VALUE!  Notice I say value, not dollar expenditure.  See, I really appreciate my aikido and am willing to keep that program intact even though it has a higher dollar value than say, Forbes.  Sadly, Forbes is a redundant source and it gets wacked.

What I don’t do is this:

Democrats generally agree that tax increases are needed to avoid what they say would be devastating cuts to education and social services for children and the state’s poor.

See, to me, that’s disingenuous.  Who DOESN’T want to avoid cutting these programs?  There’s not a person in the world that wants to cut education and social services.  First.  It has to be at the top, or close to it, of every single politicians value list.  Or should be.  And that’s what makes me mad about Liberals.  They want and take the easy way out every time.

  • When forced to cut, they won’t.
  • When asked to prioritize, they won’t.
  • When required to do what all adults do-they balk.

Now, this doesn’t mean that Education won’t have to cut back some.  It doesn’t mean that schools have a green light to spend spend spend.  But what it does say is that there HAVE to be places where we can cut before we have to implement “devastating cuts to education and social services”.

Sheesh.

Hope and Change

Look, by now you should know that I am no fan of Obama.  However, I am a BIG fan of me.  And when it comes to me, I like to apply the concept of “value” in my life.  In fact, I was describing just such a concept to my 1st grader this afternoon.  We were discussing haircuts and price.  See, I don’t like to spend money on haircuts AND I don’t like crappy haircuts.  So, this means that I often times don’t get haircuts even when I need ’em.  Further, because I will only purchase cheap haircuts, Ii have to drive to where they further reducing how often I get them.  Anyway, we priced a trim right next door to the grocery today and we began discussing value.

Back to the point–energy.  Look, I am a market believer AND I am a environment believer.  I enjoy both.  And so it is that I don’t like to pollute and destroy the nature that we live in [at the same time that I have a decent sized piece of property in rural Wake county that maybe isn’t very environmentally sound] AND I enjoy low energy bills.  What this means is that I like to spend less on gas and electricity than I do spending more.  And, according to almost everyone, you can’t have both.

See, we are stuck in the new “Don’t Pollute” meme.  In the past, you had the Indian riding the horse with a tear in his eye as he surveyed the land around him being destroyed.  Now, now you have the polar bear floating away on melting ice as he becomes extinct.  And I wonder how it works that these things are bought into every time.  I don’t know–maybe it’s because the young watch more tv and are more vocal than the elders?  Not sure.

But here ya have it.  Because of global warming, we have to reduce our dependence on fossil fuels.  And, and if that doesn’t work, then we have to reduce our dependence on fossil fuels because we import oil from countries that hate us.  And, again, if that doesn’t work, then we have to reduce our dependence on fossil fuels because we’ll run out.  Wow.  It’s tiring.

I guess the point of all of this is this story by WRAL:

Imagine your power bill going up by $200 a month.

Progress Energy spokesman Mike Hughes said Thursday that it’s a possibility under President Barack Obama’s energy plan that narrowly passed the U.S. House of Representatives last week.

The bill, which Obama has said will reduce the nation’s dependence on foreign oil and clean the air, calls for a reduction of carbon emissions by 17 percent by 2020, and for 20 percent of the nation’s energy to be renewable – such as wind and solar – by 2020.

In the end, Liberals are not so much about doing much of anything on their own, they are more interested in dictating to others who they should spend THEIR money.  As such, I don’t suspect that this will actually come to fruition, but if it does, can you imagine what the impact would be on our economy?

What is Good for Me is Not Good for You

Stunning.  Truly stunning.

As the State is considering adding new taxes to the mix, they are at the same time telling local municipalities that they, in fact, can not tax those same businesses.

CHAPEL HILL — Local governments are watching anxiously as state lawmakers consider eliminating one of their revenue streams.

It’s called the privilege license tax, a fee that businesses pay for the privilege of operating within a local government’s jurisdiction.

Some lawmakers say the state needs to replace an unfair hodge-podge of fees that differ by locale and businesses without clear reason.

I wonder why?

Actually, I don’t.  See.  It’s much MUCH easier to be smart with someone else’s money than it is to be with your own.  Which is why governments, ALL of them, are not to be trusted with MY money.  This has nothing to do with conservative vs. liberal [although I do posit that conservatives are more for small government than libs are].  It has to do with the fact that the best people able to make decisions about their money are those people that EARNED it.  But hey, we all know that politicians are better able to spend our money than we are!

Declaration of Independence

The Unanimous Declaration
of the Thirteen United States of America

When, in the course of human events, it becomes necessary for one people to dissolve the political bonds which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the laws of nature and of nature’s God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation.

We hold these truths to be self-evident, that all men are created equal, that they are endowed by their Creator with certain unalienable rights, that among these are life, liberty and the pursuit of happiness. That to secure these rights, governments are instituted among men, deriving their just powers from the consent of the governed. That whenever any form of government becomes destructive to these ends, it is the right of the people to alter or to abolish it, and to institute new government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their safety and happiness. Prudence, indeed, will dictate that governments long established should not be changed for light and transient causes; and accordingly all experience hath shown that mankind are more disposed to suffer, while evils are sufferable, than to right themselves by abolishing the forms to which they are accustomed. But when a long train of abuses and usurpations, pursuing invariably the same object evinces a design to reduce them under absolute despotism, it is their right, it is their duty, to throw off such government, and to provide new guards for their future security. –Such has been the patient sufferance of these colonies; and such is now the necessity which constrains them to alter their former systems of government. The history of the present King of Great Britain is a history of repeated injuries and usurpations, all having in direct object the establishment of an absolute tyranny over these states. To prove this, let facts be submitted to a candid world.

He has refused his assent to laws, the most wholesome and necessary for the public good.

He has forbidden his governors to pass laws of immediate and pressing importance, unless suspended in their operation till his assent should be obtained; and when so suspended, he has utterly neglected to attend to them.

He has refused to pass other laws for the accommodation of large districts of people, unless those people would relinquish the right of representation in the legislature, a right inestimable to them and formidable to tyrants only.

He has called together legislative bodies at places unusual, uncomfortable, and distant from the depository of their public records, for the sole purpose of fatiguing them into compliance with his measures.

He has dissolved representative houses repeatedly, for opposing with manly firmness his invasions on the rights of the people.

He has refused for a long time, after such dissolutions, to cause others to be elected; whereby the legislative powers, incapable of annihilation, have returned to the people at large for their exercise; the state remaining in the meantime exposed to all the dangers of invasion from without, and convulsions within.

He has endeavored to prevent the population of these states; for that purpose obstructing the laws for naturalization of foreigners; refusing to pass others to encourage their migration hither, and raising the conditions of new appropriations of lands.

He has obstructed the administration of justice, by refusing his assent to laws for establishing judiciary powers.

He has made judges dependent on his will alone, for the tenure of their offices, and the amount and payment of their salaries.

He has erected a multitude of new offices, and sent hither swarms of officers to harass our people, and eat out their substance.

He has kept among us, in times of peace, standing armies without the consent of our legislature.

He has affected to render the military independent of and superior to civil power.

He has combined with others to subject us to a jurisdiction foreign to our constitution, and unacknowledged by our laws; giving his assent to their acts of pretended legislation:

For quartering large bodies of armed troops among us:

For protecting them, by mock trial, from punishment for any murders which they should commit on the inhabitants of these states:

For cutting off our trade with all parts of the world:

For imposing taxes on us without our consent:

For depriving us in many cases, of the benefits of trial by jury:

For transporting us beyond seas to be tried for pretended offenses:

For abolishing the free system of English laws in a neighboring province, establishing therein an arbitrary government, and enlarging its boundaries so as to render it at once an example and fit instrument for introducing the same absolute rule in these colonies:

For taking away our charters, abolishing our most valuable laws, and altering fundamentally the forms of our governments:

For suspending our own legislatures, and declaring themselves invested with power to legislate for us in all cases whatsoever.

He has abdicated government here, by declaring us out of his protection and waging war against us.

He has plundered our seas, ravaged our coasts, burned our towns, and destroyed the lives of our people.

He is at this time transporting large armies of foreign mercenaries to complete the works of death, desolation and tyranny, already begun with circumstances of cruelty and perfidy scarcely paralleled in the most barbarous ages, and totally unworthy the head of a civilized nation.

He has constrained our fellow citizens taken captive on the high seas to bear arms against their country, to become the executioners of their friends and brethren, or to fall themselves by their hands.

He has excited domestic insurrections amongst us, and has endeavored to bring on the inhabitants of our frontiers, the merciless Indian savages, whose known rule of warfare, is undistinguished destruction of all ages, sexes and conditions.

In every stage of these oppressions we have petitioned for redress in the most humble terms: our repeated petitions have been answered only by repeated injury. A prince, whose character is thus marked by every act which may define a tyrant, is unfit to be the ruler of a free people.

Nor have we been wanting in attention to our British brethren. We have warned them from time to time of attempts by their legislature to extend an unwarrantable jurisdiction over us. We have reminded them of the circumstances of our emigration and settlement here. We have appealed to their native justice and magnanimity, and we have conjured them by the ties of our common kindred to disavow these usurpations, which, would inevitably interrupt our connections and correspondence. They too have been deaf to the voice of justice and of consanguinity. We must, therefore, acquiesce in the necessity, which denounces our separation, and hold them, as we hold the rest of mankind, enemies in war, in peace friends.

We, therefore, the representatives of the United States of America, in General Congress, assembled, appealing to the Supreme Judge of the world for the rectitude of our intentions, do, in the name, and by the authority of the good people of these colonies, solemnly publish and declare, that these united colonies are, and of right ought to be free and independent states; that they are absolved from all allegiance to the British Crown, and that all political connection between them and the state of Great Britain, is and ought to be totally dissolved; and that as free and independent states, they have full power to levy war, conclude peace, contract alliances, establish commerce, and to do all other acts and things which independent states may of right do. And for the support of this declaration, with a firm reliance on the protection of Divine Providence, we mutually pledge to each other our lives, our fortunes and our sacred honor.

Not the End, but The Beginning of Worse

I was reading the News and Observer this morning and saw that Smithfield Packing finally succumbed to the kudzu that is Unions.

Smithfield Packing, union agree on NC contract

TAR HEEL, N.C. — Smithfield Packing Co. and a union that worked for years to organize a huge North Carolina slaughterhouse say they have agreed on their first contract for the plant.

I have not yet taken the time to check and see if Smithfield Packing is a publicly traded company or not, but I am sure that the value of this company just took a 10% hit.  Not only that, but employment in the company went down today as well.

I repeat, there is nothing, not ONE thing that is good about unionization within a company.  Unless, of course, you are a Union official.

Unions effectively tax …  [company] investments by negotiating higher wages for their members, thus lowering profits. Unionized companies respond to this union tax by reducing investment. Less investment makes unionized companies less competitive.

And a less competetive company is a company that is not as valuable as a more competitive compant.  If you need further proof that Unionization is a bad thing, take a look at the States with the highest unemployment rates and see how many of them are Union states and how many are right to work.

Heck, I’ll save ya the time:

1 Nebraska Right to Work
2 North Dakota Right to Work
3 South Dakota Right to Work
4 Wyoming Right to Work
5 Utah Right to Work
6 Iowa Right to Work
7 Montana Forced Union
8 Oklahoma Right to Work
9 New Hampshire Forced Union
10 New Mexico Forced Union
41 Kentucky Forced Union
42 DC Forced Union
43 Tennessee Right to Work
44 Ohio Forced Union
45 North Carolina Right to Work
46 Nevada Right to Work
47 California Forced Union
48 South Carolina Right to Work
49 Oregon Forced Union
50 Michigan Forced Union

Interesting list, huh?

Teacher’s Unions

I know that we don’t have teacher’s unions in Carolina, but still, the negative effects are everywhere.

Today, the N&O reported on the idea of merit pay for teachers.  In this case, the merit pay seemed to be limited to the type of school a teacher taught at; not how well that teacher did.  But still,  it’s a start.

I started my working career as a teacher, it was the first job I had after college.  Further, that first year was also a “negotiation” year for the “EA” and the school.  I remember the feeling when I saw the results of my elected representation:

No raises for teachers going from 0-1, 1-2 or 2-3 years of experience.  However, raises for everyone else.

I knew then that the whole “working for a union thang” wasn’t for me.  I left as soon as the year was up.

What I don’t understand is how so many people, with a straight face, claim that paying more money to a better performer is bad. Ffor anything.  Really.  Never ever understood that.  Ya know, while I think that the salaries we pay athletes is gross, at least we have the right incentives in place.

  1. We agree on a specific number of years in the contract.
  2. I will pay you according to the market.
  3. When you are no longer able to perform, you are no longer able to be employed.

Why would it be any different for teachers?  Why, WHY, do we want to protect low performing teachers?

I just don’t get it.