April 24, 2011

Amazing: To AP Reporter, Gas Prices Are a Big Problem Because They Hurt Obama’s Reelection Chances

AssociatedPressAbsolutePropagandaThe establishment press’s lack of interest in associating President Obama with the sharp run-up in energy costs has been thoroughly documented by several folks at the Media Research Center, including but not limited to Julia Seymour when gasoline hit the $3 mark, and more recently Brent Bozell.

Saturday, the Associated Press’s Mark S. Smith took the gas-price propaganda to the next level. As anyone would predict, he failed to assign any blame for the energy cost run-up to specific Obama administration policies such as the Gulf drilling moratorium and other barriers to production, and paid relative lip service to the pain it is causing average Americans. To Smith, those are apparently mere trifles.

Smitty’s real problem is that those darned gas prices might be hurting Barack Obama’s reelection chances (bolds and numbered tags are mine):

Costly gasoline clouds Obama re-election prospects

With gas prices climbing and little relief in sight, President Barack Obama is scrambling to get ahead of the latest potential obstacle to his re-election bid, even as Republicans are making plans to exploit the issue.

No one seems more aware of the electoral peril than Obama himself.

… In fact, Obama raised the issue unsolicited in a series of town meetings in Virginia, California and Nevada that were ostensibly about his deficit-reduction plan. And he made the gas spike the subject of his weekly radio and Internet address Saturday.

As Obama well knows, Americans love their cars and remain heavily dependent on them [1], and they don’t hesitate to punish politicians when the cost of filling their tanks goes through the roof. Indeed, for presidents, responding to sudden surges is a recurring frustration.

“These gas prices are killing you right now,” Obama said at Facebook headquarters in Palo Alto, acknowledging that many Americans can’t afford new fuel-efficient cars and must drive older models. For some, he said, the cost of a fill-up has all but erased the benefit of the payroll tax holiday that he and congressional Republicans agreed on last December.

On Saturday, Obama insisted in his radio and Internet address that the best answer is a long-term drive to develop alternatives to fossil fuel. He also renewed calls to end $4 billion in subsidies for oil and gas companies. [2] “Instead of subsidizing yesterday’s energy sources,” he said, “we need to invest in tomorrow’s.”

… Legislative aides report House Republicans are considering a series of hearings and floor votes on measures to boost domestic oil and gas production when Congress returns from its Easter break.

The president is among those who’ve said the surging price for crude is caused by worries about political upheaval in the Arab world and increasing demand from China and elsewhere. [3]

Still, Americans have a tradition of holding the party in power responsible for rising gas costs. [4]

Notes:

  • [1] — So Smitty characterizes American drivers as “dependents.” I would prefer to say that Americans “rely” on our vehicles, and that we expect our government to let the energy markets work to keep fuel flowing and affordable. This administration is certainly failing to do the latter by refusing to allow exploration and production where it could easily be take place, and in certain cases cheering on countries which are drilling in areas that incredibly are still off-limits to U.S.-based companies. U.S. crude oil production is on track to go down this year and next, according to the Energy Information Administration (“Domestic crude oil production, which increased by 150,000 bbl/d in 2010 to 5.51 million bbl/d, declines by 30,000 bbl/d in 2011 and by a further 120,000 bbl/d in 2012″).
  • [2] — This idea doesn’t even amount to rounding error. Even if the entire $4 billion in alleged “subsidies” turned into $4 billion in additional government collections (highly doubtful), the relief would amount to just over $29 per registered passenger vehicle ($4 billion divided by 137 million vehicles as of 2008, the latest info available at the link). The gas price run-up of about $2 a gallon since Obama took office is costing a commuter who uses 2 gallons of gas in his or her commute $20 every week in take-home pay, or $960 in a 48-week year. But even the puny benefits cited won’t see their way to consumers’ pockets, because Obama has already has plans for using the money, as reported by CNN in February: “The money would be used to pay for things like a $7,500 rebate for buyers of electric cars, investments in renewable energy R&D and tax credits and other incentives to make commercial buildings 20% more energy efficient by 2020.”
  • [3] — Again, this assumes that the administration is powerless to have any policy influence on oil prices, which is far from being the case.
  • [4] — Darn the American people. Don’t they know what’s really good for them?

Smith’s report is consistent with an outlook I detected September of last year (at NewsBusters; at BizzyBlog), a couple of months before the November 2010 elections, when AP reporters Hope Yen and Liz Sidoti bemoaned the fact that the Census Bureau’s poverty report was about to be released. They weren’t upset that the report was expected to show that more Americans had slid into poverty and were suffering because administration initiatives such as the so-called “stimulus” and others were failing to improve the employment environment. No-no-no. They were upset because it was “unfortunate timing for Obama and his party just seven weeks before important elections …”

The AP seems intent on persistently looking at things through the prism of the President’s reelection prospects while downplaying the impact of problems he has either caused or made worse. This is not the role of an independent press; it’s a disgraceful betrayal of the very idea.

Cross-posted at NewsBusters.org.

The Four Gospels of the Resurrection (2011)

Filed under: Positivity — TBlumer @ 12:01 am

This post is a BizzyBlog Easter tradition.

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Matthew 28:1-20

1 In the end of the sabbath, as it began to dawn toward the first day of the week, came Mary Magdalene and the other Mary to see the sepulchre. 2 And, behold, there was a great earthquake: for the angel of the Lord descended from heaven, and came and rolled back the stone from the door, and sat upon it. 3 His countenance was like lightning, and his raiment white as snow: 4 And for fear of him the keepers did shake, and became as dead men. 5 And the angel answered and said unto the women, Fear not ye: for I know that ye seek Jesus, which was crucified. 6 He is not here: for he is risen, as he said. Come, see the place where the Lord lay. 7 And go quickly, and tell his disciples that he is risen from the dead; and, behold, he goeth before you into Galilee; there shall ye see him: lo, I have told you. 8 And they departed quickly from the sepulchre with fear and great joy; and did run to bring his disciples word. 9 And as they went to tell his disciples, behold, Jesus met them, saying, All hail. And they came and held him by the feet, and worshipped him. 10 Then said Jesus unto them, Be not afraid: go tell my brethren that they go into Galilee, and there shall they see me.

11 Now when they were going, behold, some of the watch came into the city, and shewed unto the chief priests all the things that were done. 12 And when they were assembled with the elders, and had taken counsel, they gave large money unto the soldiers, 13 Saying, Say ye, His disciples came by night, and stole him away while we slept. 14 And if this come to the governor’s ears, we will persuade him, and secure you. 15 So they took the money, and did as they were taught: and this saying is commonly reported among the Jews until this day.

16 Then the eleven disciples went away into Galilee, into a mountain where Jesus had appointed them. 17 And when they saw him, they worshipped him: but some doubted. 18 And Jesus came and spake unto them, saying, All power is given unto me in heaven and in earth. 19 Go ye therefore, and teach all nations, baptizing them in the name of the Father, and of the Son, and of the Holy Ghost: 20 Teaching them to observe all things whatsoever I have commanded you: and, lo, I am with you alway, even unto the end of the world. Amen. (Matthew 28:1-20 AV)

Luke 24:1-53

1 Now upon the first day of the week, very early in the morning, they came unto the sepulchre, bringing the spices which they had prepared, and certain others with them. 2 And they found the stone rolled away from the sepulchre. 3 And they entered in, and found not the body of the Lord Jesus. 4 And it came to pass, as they were much perplexed thereabout, behold, two men stood by them in shining garments: 5 And as they were afraid, and bowed down their faces to the earth, they said unto them, Why seek ye the living among the dead? 6 He is not here, but is risen: remember how he spake unto you when he was yet in Galilee, 7 Saying, The Son of man must be delivered into the hands of sinful men, and be crucified, and the third day rise again. 8 And they remembered his words, 9 And returned from the sepulchre, and told all these things unto the eleven, and to all the rest. 10 It was Mary Magdalene, and Joanna, and Mary the mother of James, and other women that were with them, which told these things unto the apostles. 11 And their words seemed to them as idle tales, and they believed them not. 12 Then arose Peter, and ran unto the sepulchre; and stooping down, he beheld the linen clothes laid by themselves, and departed, wondering in himself at that which was come to pass.

13 And, behold, two of them went that same day to a village called Emmaus, which was from Jerusalem about threescore furlongs. 14 And they talked together of all these things which had happened. 15 And it came to pass, that, while they communed together and reasoned, Jesus himself drew near, and went with them. 16 But their eyes were holden that they should not know him. 17 And he said unto them, What manner of communications are these that ye have one to another, as ye walk, and are sad? 18 And the one of them, whose name was Cleopas, answering said unto him, Art thou only a stranger in Jerusalem, and hast not known the things which are come to pass there in these days? 19 And he said unto them, What things? And they said unto him, Concerning Jesus of Nazareth, which was a prophet mighty in deed and word before God and all the people: 20 And how the chief priests and our rulers delivered him to be condemned to death, and have crucified him. 21 But we trusted that it had been he which should have redeemed Israel: and beside all this, to day is the third day since these things were done. 22 Yea, and certain women also of our company made us astonished, which were early at the sepulchre; 23 And when they found not his body, they came, saying, that they had also seen a vision of angels, which said that he was alive. 24 And certain of them which were with us went to the sepulchre, and found it even so as the women had said: but him they saw not. 25 Then he said unto them, O fools, and slow of heart to believe all that the prophets have spoken: 26 Ought not Christ to have suffered these things, and to enter into his glory? 27 And beginning at Moses and all the prophets, he expounded unto them in all the scriptures the things concerning himself. 28 And they drew nigh unto the village, whither they went: and he made as though he would have gone further. 29 But they constrained him, saying, Abide with us: for it is toward evening, and the day is far spent. And he went in to tarry with them. 30 And it came to pass, as he sat at meat with them, he took bread, and blessed it, and brake, and gave to them. 31 And their eyes were opened, and they knew him; and he vanished out of their sight. 32 And they said one to another, Did not our heart burn within us, while he talked with us by the way, and while he opened to us the scriptures? 33 And they rose up the same hour, and returned to Jerusalem, and found the eleven gathered together, and them that were with them, 34 Saying, The Lord is risen indeed, and hath appeared to Simon. 35 And they told what things were done in the way, and how he was known of them in breaking of bread.

36 And as they thus spake, Jesus himself stood in the midst of them, and saith unto them, Peace be unto you. 37 But they were terrified and affrighted, and supposed that they had seen a spirit. 38 And he said unto them, Why are ye troubled? and why do thoughts arise in your hearts? 39 Behold my hands and my feet, that it is I myself: handle me, and see; for a spirit hath not flesh and bones, as ye see me have. 40 And when he had thus spoken, he shewed them his hands and his feet. 41 And while they yet believed not for joy, and wondered, he said unto them, Have ye here any meat? 42 And they gave him a piece of a broiled fish, and of an honeycomb. 43 And he took it, and did eat before them. 44 And he said unto them, These are the words which I spake unto you, while I was yet with you, that all things must be fulfilled, which were written in the law of Moses, and in the prophets, and in the psalms, concerning me. 45 Then opened he their understanding, that they might understand the scriptures, 46 And said unto them, Thus it is written, and thus it behoved Christ to suffer, and to rise from the dead the third day: 47 And that repentance and remission of sins should be preached in his name among all nations, beginning at Jerusalem. 48 And ye are witnesses of these things. 49 And, behold, I send the promise of my Father upon you: but tarry ye in the city of Jerusalem, until ye be endued with power from on high.

50 And he led them out as far as to Bethany, and he lifted up his hands, and blessed them. 51 And it came to pass, while he blessed them, he was parted from them, and carried up into heaven. 52 And they worshipped him, and returned to Jerusalem with great joy: 53 And were continually in the temple, praising and blessing God. Amen. (Luke 24:1-53 AV)

John 20:1-31

1 The first [day] of the week cometh Mary Magdalene early, when it was yet dark, unto the sepulchre, and seeth the stone taken away from the sepulchre. 2 Then she runneth, and cometh to Simon Peter, and to the other disciple, whom Jesus loved, and saith unto them, They have taken away the Lord out of the sepulchre, and we know not where they have laid him. 3 Peter therefore went forth, and that other disciple, and came to the sepulchre. 4 So they ran both together: and the other disciple did outrun Peter, and came first to the sepulchre. 5 And he stooping down, [and looking in], saw the linen clothes lying; yet went he not in. 6 Then cometh Simon Peter following him, and went into the sepulchre, and seeth the linen clothes lie, 7 And the napkin, that was about his head, not lying with the linen clothes, but wrapped together in a place by itself. 8 Then went in also that other disciple, which came first to the sepulchre, and he saw, and believed. 9 For as yet they knew not the scripture, that he must rise again from the dead. 10 Then the disciples went away again unto their own home.

11 But Mary stood without at the sepulchre weeping: and as she wept, she stooped down, [and looked] into the sepulchre, 12 And seeth two angels in white sitting, the one at the head, and the other at the feet, where the body of Jesus had lain. 13 And they say unto her, Woman, why weepest thou? She saith unto them, Because they have taken away my Lord, and I know not where they have laid him. 14 And when she had thus said, she turned herself back, and saw Jesus standing, and knew not that it was Jesus. 15 Jesus saith unto her, Woman, why weepest thou? whom seekest thou? She, supposing him to be the gardener, saith unto him, Sir, if thou have borne him hence, tell me where thou hast laid him, and I will take him away. 16 Jesus saith unto her, Mary. She turned herself, and saith unto him, Rabboni; which is to say, Master. 17 Jesus saith unto her, Touch me not; for I am not yet ascended to my Father: but go to my brethren, and say unto them, I ascend unto my Father, and your Father; and [to] my God, and your God. 18 Mary Magdalene came and told the disciples that she had seen the Lord, and [that] he had spoken these things unto her.

19 Then the same day at evening, being the first [day] of the week, when the doors were shut where the disciples were assembled for fear of the Jews, came Jesus and stood in the midst, and saith unto them, Peace [be] unto you. 20 And when he had so said, he shewed unto them [his] hands and his side. Then were the disciples glad, when they saw the Lord. 21 Then said Jesus to them again, Peace [be] unto you: as [my] Father hath sent me, even so send I you. 22 And when he had said this, he breathed on [them], and saith unto them, Receive ye the Holy Ghost: 23 Whose soever sins ye remit, they are remitted unto them; [and] whose soever [sins] ye retain, they are retained. 24 But Thomas, one of the twelve, called Didymus, was not with them when Jesus came. 25 The other disciples therefore said unto him, We have seen the Lord. But he said unto them, Except I shall see in his hands the print of the nails, and put my finger into the print of the nails, and thrust my hand into his side, I will not believe.

26 And after eight days again his disciples were within, and Thomas with them: [then] came Jesus, the doors being shut, and stood in the midst, and said, Peace [be] unto you. 27 Then saith he to Thomas, Reach hither thy finger, and behold my hands; and reach hither thy hand, and thrust [it] into my side: and be not faithless, but believing. 28 And Thomas answered and said unto him, My Lord and my God. 29 Jesus saith unto him, Thomas, because thou hast seen me, thou hast believed: blessed [are] they that have not seen, and [yet] have believed. 30 And many other signs truly did Jesus in the presence of his disciples, which are not written in this book: 31 But these are written, that ye might believe that Jesus is the Christ, the Son of God; and that believing ye might have life through his name. (John 20:1-31 AV)

Mark 16:1-20

1 And when the sabbath was past, Mary Magdalene, and Mary the mother of James, and Salome, had bought sweet spices, that they might come and anoint him. 2 And very early in the morning the first day of the week, they came unto the sepulchre at the rising of the sun. 3 And they said among themselves, Who shall roll us away the stone from the door of the sepulchre? 4 And when they looked, they saw that the stone was rolled away: for it was very great. 5 And entering into the sepulchre, they saw a young man sitting on the right side, clothed in a long white garment; and they were affrighted. 6 And he saith unto them, Be not affrighted: Ye seek Jesus of Nazareth, which was crucified: he is risen; he is not here: behold the place where they laid him. 7 But go your way, tell his disciples and Peter that he goeth before you into Galilee: there shall ye see him, as he said unto you. 8 And they went out quickly, and fled from the sepulchre; for they trembled and were amazed: neither said they any thing to any man; for they were afraid.

9 Now when Jesus was risen early the first day of the week, he appeared first to Mary Magdalene, out of whom he had cast seven devils. 10 And she went and told them that had been with him, as they mourned and wept. 11 And they, when they had heard that he was alive, and had been seen of her, believed not. 12 After that he appeared in another form unto two of them, as they walked, and went into the country. 13 And they went and told it unto the residue: neither believed they them.

14 Afterward he appeared unto the eleven as they sat at meat, and upbraided them with their unbelief and hardness of heart, because they believed not them which had seen him after he was risen. 15 And he said unto them, Go ye into all the world, and preach the gospel to every creature. 16 He that believeth and is baptized shall be saved; but he that believeth not shall be damned. 17 And these signs shall follow them that believe; In my name shall they cast out devils; they shall speak with new tongues; 18 They shall take up serpents; and if they drink any deadly thing, it shall not hurt them; they shall lay hands on the sick, and they shall recover.

19 So then after the Lord had spoken unto them, he was received up into heaven, and sat on the right hand of God. 20 And they went forth, and preached every where, the Lord working with them, and confirming the word with signs following. Amen. (Mark 16:1-20 AV)

April 23, 2011

Kelo Update: Guess What New Developer Wants Before Going Forward?

KeloHouseMonumentIn its infamous June 2005 Kelo vs. New London ruling, a Supreme Court majority allowed the city of New London to seize the properties of holdout homeowners in that city’s Fort Trumbull area for the “public purpose” of economic development, not a “public use” as the Constitution’s Fifth Amendment requires.

It has been eleven years since the litigation began, six years since the court’s ruling, and almost five years since the final settlement between the City and final holdouts the Cristofaro family and Susette Kelo, whose former home (pictured at the right) now stands elsewhere as a de facto monument to the perils of overbearing government. The land involved is still vacant, and nothing of substance has since happened. In late 2009, Pfizer, the economic linchpin which supposedly drove the city’s need to remake the area, announced that it was pulling out of New London.

After several false starts, the city is working with a new developer. As of February of last year, this developer wanted to put rental townhouses in an area where century-old, largely owner-occupied homes once stood.

Early Friday, the New London Day’s Kathleen Edgecomb reported a new twist. Wait until you see the what the developer wants before going forward.

(more…)

Enviro News You Can Use

Filed under: Taxes & Government — TBlumer @ 11:04 am

So predictable — environmental hazards, brought to you by environmental zealots (bolds are mine):

The energy-saving (CFL) bulbs release cancer causing chemicals when switched on and can result in severe troubles if located near to the head, A group of scientists from Germany stated.

The mercury with injurious effects is discharged at the time of bulb crocks up, now this newest research added one more aspect to the list of demerits that the cancerous chemicals are expelled when the energy- saving bulbs are turned on.

Besides this, the chemical discharge takes the form of stem with constitution of toxic partials including phenol, naphthalene and styrene.

Andreas Kirchner, an associate of the Federation of German Engineers, stated, “Electrical smog develops around these lamps. I therefore use them only very economically. They should not be used in unventilated areas and definitely not in the proximity of the head.”

For this we outlawed incandescents?

One would think that the trial lawyers will be jumping on this — or do they stay away from “environmentally correct” products, even when demonstrably dangerous?

Positivity: Pope appoints youngest bishop in US to Detroit archdiocese

Filed under: Positivity — TBlumer @ 7:00 am

From Detroit:

Apr 18, 2011

Pope Benedict appointed Texas priest Jose Auturo Cepeda as an auxiliary bishop of Detroit. At the age of 41, he will become the youngest bishop in the U.S.

Bishop-elect Cepeda currently serves as the rector of Assumption Seminary in San Antonio and is the third in a recent round of newly appointed auxiliary bishops for the Archdiocese of Detroit.

Upon news of his appointment on April 18, the bishop-elect – who has never visited the city outside of its airport – expressed excitement over his upcoming move.

“I will learn much from the Church of Detroit,” he said on Monday. “God is the One who does all the work and gives us all the grace we need. All we need to do is say ‘yes,’ just like Mary. That’s my attitude.”

Bishop-elect Cepeda will join Bishop-elects Monsignor Donald Hanchon and Michael Byrnes in being ordained bishops on May 5 at the Cathedral of the Most Blessed Sacrament.

Archbishop Allen H. Vigneron welcomed the appointment and said that the new bishop-elect “comes to us with an apostolic mission to use all of his many gifts and talents for the service of the whole People of God in Southeast Michigan – with particular attention to that portion of our family which is Hispanic.”

“He is a true son of Our Lady of Guadalupe,” Archbishop Vigneron added. “I know she will help him to share his gifts with us, so that all of us – from so many diverse cultures – will share our gifts of grace with one another.”

Archbishop Jose Gomez, the former head of the San Antonio archdiocese who is now leading the Church in Los Angeles, told CNA, “The appointment of Fr. Cepeda gives me great joy.”

He described the bishop-elect as “a close and valuable collaborator” in San Antonio in his roles as the Director of Vocations and rector of the seminary.

The Archdiocese of Detroit is receiving “a good priest and a shepherd full of zeal and energy,” Archbishop Gomez added. “I am sure he will be missed in San Antonio, but as a bishop he will serve a larger flock.”

“Fr. Cepeda can count on my fervent prayers for his new pastoral duties.”

Born in San Luis Potosi, Mexico, Bishop-elect Cepeda came to the U.S. with his family at the age of 19, having already started his discernment for joining the priesthood. He was ordained a priest in 1996 at his home parish of St. Mary Magdalen in San Antonio.

Go here for the rest of the story.

April 22, 2011

A Blog Pause

Filed under: General — TBlumer @ 9:31 am

I’m on a personal errand today, won’t be posting any further today, and probably won’t be clearing any comments until sometime this evening.

End the Life Expectancy ‘Handouts,’ And Encourage Post-Retirement Work

Filed under: Economy,Soc. Sec. & Retirement,Taxes & Government — TBlumer @ 7:28 am

Retirement ages should have been raised all along. Post-retirement work disincentives must go.

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Note: This column went up at Pajamas Media and was teased here at BizzyBlog on Wednesday, and generated quite a bit of discussion.

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In 1900, the average life expectancy at birth was 49.2 years. It’s a good thing President William McKinley didn’t sign on to a Social Security-type law back then. Instead of arguing about whether 70 is the new 65, as Michelle Malkin did in a recent column, we might still be in the middle of a century-old argument about whether 55 is the new 50.

Until the 1930s, how late into life people chose to work was their own business. What many don’t fully appreciate is how determined President Franklin Delano Roosevelt and the early blue-collar unions were to make it their business instead. Operating under a silly assumption that older people continuing to work were denying new workforce entrants their chance at employment, the Retirement Earnings Test in early Social Security legislation prohibited everyone age 65 and over from getting a benefit in any month during which they engaged in “regular employment.” Similarly, though their enforcement was spotty, early pension systems established by the United Auto Workers and others, even the 30-and-out arrangements enabling some UAW members to retire in their late-40s and early-50s, penalized workers on a dollar-for-dollar basis for any earnings from work after retirement.

In the ensuing decades, for better or worse, Social Security has morphed into a somewhat generous lifetime retirement entitlement. The system’s current structure is unsustainable, but salvageable. Meanwhile, unconstrained by competitive market forces and insufficiently monitored by voters, many public-sector retirement plans turned into early-retirement gravy trains. Most of them are in similar or worse peril; we will find in the next several years that many can’t be saved.

The politicians who created these systems have over a period of decades made promises they should have known could not possibly be kept. Why should they have known? Because they had every reason to anticipate that life expectancies would continue to increase.

This takes us to a critical point which, though inarguably true, may be difficult for some to handle.

Each year, as long as legislated or contractual retirement ages remain fixed while life expectancies quietly grow through improvements in safety, medicine, and manual labor-sparing technologies, the population as whole picks up a couple of tenths of a year of extended lifespan — and, as long as the laws or contracts don’t change, extended retirement. This represents a very real annual “handout.” It certainly isn’t earned; the only thing you have to do to pick up each year’s additional gift is to remain here on planet earth. One could argue about intent — was it sloth and inertia, or did the politicians realize that they would be creating an ever-growing number of beneficiaries? — but no one can dispute the accuracy of my characterization.

This has come about because nobody has asked (or again, no one wanted to ask) two fundamental questions which the New Deal, subsequently elected Congresses and presidents, the unions, employers, and other government entities should have been asking from the very start:

  1. What kind of balance do we need to have between the number of people working and the number of retirees and genuinely disabled?
  2. What should we do to encourage people who want to continue to work past their traditional retirement age?

Concerning the first question, the answer for Social Security is definitely not the current ratio of a bit less than three workers for each retiree; that ratio has the system running cash deficits already. The Greenspan Commission got it partially right in the 1980s when it extended the retirement age for full benefits to 67 for anyone born in 1960 or later. The age for full benefits needs to move gradually higher for anyone born in 1961 or later, so that in about 20 years it gets back to an agreed-upon sustainable worker-beneficiary ratio; beyond that, it should be reevaluated annually and adjusted as needed. Additionally, Washington should enact something closely resembling Wisconsin Congressman Paul Ryan’s proposal to give workers the option of directing a portion of their FICA taxes towards selected investment accounts. The answer for public-sector pensions is that they should either mirror Social Security’s retirement age structure or move to defined-contribution arrangements similar to 401(k) plans.

As to encouraging people to continue working past retirement if they wish, there are several good ideas. The most obvious is that the remnants of Social Security’s Retirement Earnings Test, which significantly discourage work among benefit recipients in their early- and mid-60s, must be repealed. Another is to end federal income taxation of benefits, which was something the Greenspan Commission got horribly wrong, and which Bill Clinton made even worse in 1993. Yet another would be to exempt those who are taking Social Security benefits and still working from their portion of the FICA tax (employers would continue to pay their portion).

One thing is certain: The dangerous retirement entitlement mentality which is more prevalent than you might think must go. The mindset runs as follows: “I should be able to retire at 62 or a bit later (or for many in the public sector, a bit to somewhat earlier), stop working entirely, and be able to maintain my lifestyle, regardless of whether or not I planned for retirement, and regardless of whether I’m capable of working. And if I can’t, it’s the politicians’ fault.” This is completely unacceptable, especially in the serious economic circumstances we face in the coming decade.

Positivity: Appeals court rejects lawsuit against National Day of Prayer

Filed under: Positivity — TBlumer @ 6:00 am

From Washington:

Apr 16, 2011 / 07:23 am

A federal court has rejected of a lawsuit that sought to remove President Barack Obama’s right to proclaim the National Day of Prayer.

Kevin Theriot, senior counsel at the Scottsdale, Ariz.-based Alliance Defense Fund legal group, praised the decision.

“Public officials should be able to participate in public prayer activities just as America’s founders did.”

A three-judge panel of the 7th U.S. Circuit Court of Appeals ruled that the Madison, Wis.-based Freedom from Religion Foundation lacked standing to sue.

“Plaintiffs have not altered their conduct one whit or incurred any cost in time or money. All they have is disagreement with the President’s action,” the court said in an opinion by Chief Judge Frank Easterbrook. “A feeling of alienation cannot suffice as injury.”

The proclamation is a request, not a demand, and citizens are not obliged to pray “any more than a person would be obliged to hand over his money if the President asked all citizens to support the Red Cross or other charities,” Judge Easterbrook said.

The court returned the case to district court with instructions to dismiss the lawsuit.

Rev. Barry W. Lynn, executive director of Americans United for Separation of Church and State, said that the decision was “part of an ominous trend in the federal courts to deny Americans the right to challenge church-state violations.” His group filed a brief in support of the case.

The Alliance Defense Fund’s Theriot defended the decision, saying:

“The 7th Circuit has clearly understood that the Freedom From Religion Foundation simply had no legal standing to attack the federal statute setting a day for the National Day of Prayer simply because the group is offended by religion.”

The 7th Circuit panel’s opinion cited President Abraham Lincoln’s second inaugural address, which mentions God seven times and prayer three times. The address is chiseled in stone at the Lincoln Memorial, Judge Easterbrook noted. …

Go here for the rest of the story.

April 21, 2011

‘Fiscal Solution Window Closing’

Filed under: Economy,Taxes & Government — TBlumer @ 4:15 pm

Note: This item has been carried to the top because of its importance.

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From Washington, a press release concerning projects with which I am proudly associated (bolds and links to bullet-pointed media articles within the press release are mine):

MOAwindowClosing0411April 21, 2011

Fiscal Solution Window Closing
New analysis reinforces urgency of S&P outlook

April 21, 2011 /PRNewswire-USNewswire/ – The PJ Institute (PJI) today released a special report on the U.S. debt, analyzing the window of time that America may have to fix the debt crisis before the country could no longer be able to borrow money.  A new PJI analysis shows the window narrowing from 11 years to six in the last nine months, reemphasizing the urgency of our situation.  This report is part of PJI’s Maxed Out America project.

(Photo: http://photos.prnewswire.com/prnh/20110421/DC87520 )

“The United States must make immediate and permanent fiscal adjustments,” said Laurence Kotlikoff, Boston University professor and consulting economist on PJI’s economic initiatives.  ”We are running out of time.  The window America has to reduce the deficit and national debt is collapsing.  Nonetheless, Congress is failing to take the situation seriously, doing far too little during the latest government shutdown showdown.”

In 2007, the U.S. had 21 years to reduce its spending before its debt consumed 90 percent of its GDP. Some experts consider that debt-to-GDP ratio as the trigger point for economic decline, including the point at which nations can’t find lenders willing to finance their spending.  As recently as June 2010, that time interval shrunk to 11 years, or by 2021.  Now, we estimate that it has shriveled to only six years to 2017 based on a new PJI analysis that factors in the President’s original 2012 budget, which was submitted in January of this year.

“It is time to stop the political infighting and move toward a meaningful solution,” Kotlikoff continued.  “Uncle Sam cannot afford to panic its creditors, which could happen in six years or tomorrow morning. Once panic sets in, it’s game over, as we’re seeing with Portugal, Greece, and Ireland.”

PJI’s special report was reinforced with news from Standard and Poor’s earlier this week, which warned that the U.S.’s credit rating could be downgraded if a plan is not developed to reduce the deficit and national debt by 2013.  This came behind Pimco’s announcement that the investment company will stop backing U.S. Treasury bonds. Headlines from across the country reflect the dire straits we now find ourselves in:

  • The Guardian:  ”Worst since Pearl Harbor:  Debt blow for U.S. economy”
  • Financial Times:  ”S&P sounds alarm on U.S. debt”
  • New York Times:  ”Wall St. Sends Warning to U.S. on Debt Levels – Markets fall sharply” (Added by Tom: Article has since been revised to “S.&P. Lowers Outlook for U.S., Sending Stocks Down”)
  • Washington Post: “S&P lowers its U.S. debt outlook – Top credit rating could be lost”
  • Wall Street Journal: ”U.S. Warned on Debt Load:  S&P Signals Top Credit Rating Is In Danger, Stoking Political Battle on Deficit”
  • LA Times: “Warning Raises Stakes in U.S. Debt Debate:  Standard & Poor’s says it could lower nation’s credit rating in the next two years, jolting financial markets” (Added by Tom: Article has since been revised to “Surprise warning on U.S. debt comes as Washington inches away from gridlock”)

PJ Institute

The PJ Institute™ (PJI), the research and educational division of Pajamas Media™, provides in-depth analysis on a variety of topics – from the economy and personal finance to history and its impact on the present.  Additionally, PJI offers its research and education through an array of new media and social media technologies.

PJI has two economic initiatives – Maxed Out America and the National Economic Rescue Initiative.  More specifically, theMaxed Out America initiative explores both the amount of time until, and the date when, the U.S. could buckle under its debt burden.  We identify the Fiscal Solution Window as the interval of time the U.S. has to reverse it ever-growing deficit spending and mounting debt.

For more information, please visit www.pjinstitute.com.

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ADDITIONAL COMMENT

The following comment is mine, and mine alone:

As seen above, in roughly four years, the window has shrunk from 21 years to six (if we’re lucky, and I don’t think we are). This is what the POR (Pelosi-Obama-Reid) Economy, the recession they and their party caused, and the pathetic and ongoing “Rebound? What Rebound?” supposed “recovery” has brought us.

We can’t play a game of chicken and wait until 2013 to seriously deal with this.

Another Trump Card Is a Joker: He Likes the Kelo Ruling

Filed under: Economy,Taxes & Government — TBlumer @ 4:12 pm

Great, via the Club for Growth (HT the PJ Tatler) on Tuesday:

The Club for Growth today noted that Donald Trump once tried to use eminent domain to evict an elderly widow from her Atlantic City home to build a limousine parking lot, and has repeatedly tried to use eminent domain as a tool of his development business:

“First we find out Donald Trump is a liberal on taxes, health care, and trade. Now we find out he’s an abuser of eminent domain. Eminent domain abuse is an assault on freedom, pure and simple” said Club for Growth President Chris Chocola. “No real conservative would ever use eminent domain in order to take the private property of citizens. I’m shocked and appalled by these revelations. Club members and conservatives ought to know where Donald Trump stands on the issues.”

… Trump on pro-eminent domain Supreme Court case Kelo v. New London: “I happen to agree with it 100 percent”:

CAVUTO: You know, the one thing that sticks in the craw of a lot of people with this court, Donald — and I don’t know where you come down on it, but this eminent domain issue that essentially allowed someone’s home to be bulldozed, as was the case in New London, Connecticut, if it gets in the way of developers. Now, you’re a pretty successful developer in your own right. What did you think of that decision? Was the court overdoing it with that decision?

TRUMP: Well, it’s sort of not a good one for me to say, because I noticed every article written about it said, “Will Donald Trump take over your home?” sort of using me as the example, Neil. And it’s sort of — it’s an interesting situation to be in. But I happen to agree with it 100 percent, not that I would want to use it. But the fact is, if you have a person living in an area that’s not even necessarily a good area, and government, whether it’s local or whatever, government wants to build a tremendous economic development, where a lot of people are going to be put to work and make area that’s not good into a good area, and move the person that’s living there into a better place — now, I know it might not be their choice — but move the person to a better place and yet create thousands upon thousands of jobs and beautification and lots of other things, I think it happens to be good. (Fox News, 7/19/05)

Longtime BizzyBlog readers know what I think of the Kelo ruling. An August 2005 sample:

If the Kelo Seven are being selfish, shortsighted, obtuse, etc., it’s their right. They earned that right when they took ownership of their property. So-called larger societal goals beyond those that truly benefit the common good (roads, bridges, etc.) don’t enter into the equation. Sorry, Mr. Kennedy.

That includes the right to be financially “stupid” from someone else’s perspective. Absent legitimate public use, per the Fifth Amendment, property owners entertaining offers to sell or not to sell get to decide whether to stay or go. Period, the Kelo majority be damned.

As to Trump, if he isn’t actually a Democratic plant, he might as well be. Given his contributions history (readers will have to put in a spam filter code to see it), it would be foolish to rule out that possibility. The Donald is doing everything a Democratic plant would do to hog attention and distract from genuine candidates.

‘Rebound? What Rebound?’ Update

Filed under: Economy,Taxes & Government — TBlumer @ 8:59 am

Weekly initial unemployment claims, with the usual upward revision of the previous week, further elaboration unnecessary:

UnempClaims041611

Almost 16 months after I asked “Rebound? What Rebound?” — we’re still waiting for it.

IBD: Obamacare’s Costs Keep Rising, Media Yawns (Surprise, Surprise)

Filed under: Business Moves,Economy,MSM Biz/Other Bias,Taxes & Government — TBlumer @ 8:35 am

In a Wednesday evening editorial:

You’d think that when the Congressional Budget Office reported that Obama-Care would cost tens of billions of dollars more than it originally claimed, that would be news. Guess again.

Last month the CBO — Congress’ official budget scorekeeper — updated its forecast for ObamaCare’s price tag. Instead of $931 billion over seven years, the CBO now says it will cost $971 billion to pay for higher Medicaid costs, subsidies, tax credits and the rest — a $40 billion increase.

At the same time, the CBO now says ObamaCare’s new taxes — the penalties for not buying coverage, taxes on high-cost plans, and so on — will be $24 billion higher than it projected last March.

Of course, to Washington, these extra taxes are a good thing since they bring the government’s “net cost” down. But to the rest of us, it looks like the price of ObamaCare just went up by $64 billion.

The media’s response has been a collective yawn. …

… costs are almost certain to be far higher than even the new CBO forecasts suggest, once the reform’s vast and complex network of mandates, subsidies and regulations fully kicks in over the next three years.

… The plan’s high-risk pools, for example, have been a bust. Instead of the 375,000 enrollees the administration expected, just 12,000 signed up.

… Meanwhile, the administration has been forced to hand out more than 1,168 waivers to companies, unions and other groups — covering more than 2.9 million workers — who complained they would have to either hike premiums sharply, or drop coverage altogether.

And ObamaCare is already pushing up the cost of private insurance. Last fall, Hewitt Associates and Mercer both said reform was contributing to premium hikes this year. Even the AARP — an ardent backer of reform — told its own employees that ObamaCare was partly to blame for the rise in its insurance costs.

As usual with IBD, read the whole thing.

No one should be surprised. The surest thing besides death and taxes is that a major government initiative will cost exponentially more than advertised.