Archive

Author Archive
May 17th, 2012 at 3:41 pm
The Case for Green Jobs: America Should be More Like Bankrupt Countries
Posted by Troy Senik Print

At a time when Spain is in the news because it lingers on the edge of a full-blown economic meltdown, it’s instructive to remember that this is the country that’s supposed to be the model for the green jobs revolution that President Obama continually claims will help revitalize the American economy. Over at The Blaze, the American Enterprise Institute’s Kenneth Green looks at the factual case and finds it far from compelling:

Now, to the empirical evidence. When talking about our bold green energy future, President Obama held up Spain as an example of what America should be doing. Spain invested heavily in wind power and other types of renewable energy. Alas, after studying the Spanish Experience, Professor Gabriel Calzada Álvarez and colleagues at Spain’s Universidad Rey Juan Carlos found if America followed Spain’s example, for every renewable energy job that the U.S. managed to create, the U.S. should expect a loss of at least 2.2 traditional jobs on average. And they found that green jobs are costly: each green job created in Spain’s effort cost about $750,000, and only one in 10 of the new green jobs were permanent. Doing the math on that, creating even 3 million new green jobs would cost $2.25 trillion. Even in a time where the trillion is the new billion, that’s a lot of money.

Indeed it is. But the money isn’t the real issue. Any “jobs plan” that entails a net loss in jobs shouldn’t be taken seriously by anybody, let alone the President of the United States. If green jobs really are the future of the economy, then sufficient market demand will arise to compel their creation. If, as is far more likely, they are simply a progressive fantasy financed at taxpayer expense, they deserve to have their grip on the public purse shaken as abruptly as possible.

May 16th, 2012 at 12:48 pm
Forget Obama’s Energy Scarcity — More Oil in Three U.S. States than Rest of the World Combined
Posted by Troy Senik Print

President Obama’s views on energy have always been defined by a sense of false scarcity. This is the man, after all, who told Oregon voters in 2008, “We can’t drive our SUVs and eat as much as we want and keep our homes on 72 degrees at all times.”; who constantly invokes the fact that “the U.S. has only 2 percent of the world’s oil supplies” (an utterly misleading statistic that would be irrelevant even if it were literally true); who admitted to wanting the price of coal “to necessarily skyrocket”; and who hired an Energy Secretary who longs to see American gasoline prices reach the stratospheric levels of Europe.

Testifying before the House Science Subcommittee on Energy and Environment last week, Anu Mittal, Director of Natural Resources and Environment at the Government Accountability Office delivered some stunning news about the amount of oil shale available in the Mountain West.

Here’s how CNSNews reports the story:

“USGS estimates that the Green River Formation contains about 3 trillion barrels of oil, and about half of this may be recoverable, depending on available technology and economic conditions,” Mittal testified.

“The Rand Corporation, a nonprofit research organization, estimates that 30 to 60 percent of the oil shale in the Green River Formation can be recovered,” Mittal told the subcommittee. “At the midpoint of this estimate, almost half of the 3 trillion barrels of oil would be recoverable. This is an amount about equal to the entire world’s proven oil reserves.”

Read that again. If less than half of this oil shale is recoverable, it still represents an amount equal to that available in the rest of the world. By extrapolation, that means that as future extraction methods become more technologically sophisticated (and more economical) we could be talking about a grand haul equal to more than double current global reserves. And that’s only in Colorado, Utah, and Wyoming — not in the other 47 states.

There are huge policy implications here because of the simple fact that most of this shale occurs on federal lands. That means that getting this material out of the ground will require a proactive effort from government. The current President — who likes to boast about record oil production without noting that the vast majority of it is coming from private land — is not the person to kick start this new era of energy abundance. One more reason to send him packing in November.

May 15th, 2012 at 1:41 pm
GOP Establishment About to Take Another Hit in Nebraska?
Posted by Troy Senik Print

As the 2012 election cycle has progressed, one of the growing memes on the left has been that the Tea Party has lost a lot of the anti-establishment momentum it had in 2010, when it was responsible for electing U.S. Senators like Wisconsin’s Ron Johnson, Kentucky’s Rand Paul, and Florida’s Marco Rubio. The pundits have been a little quick on the trigger finger.

Last week, 35-year Senate veteran Richard Lugar went down to defeat in Indiana at the hands of the Tea Party candidate, State Treasurer Richard Mourdock, a race that we chronicled at length here at CFIF. Today, voters heading to the polls in Nebraska may deliver a similar shock to the GOP establishment.

The establishment choice, state Attorney General Jon Bruning, has been under fire for exactly the kind of crony capitalism that has come to define Tea Party distaste for business as usual. It was long thought that State Treasurer Don Stenberg — who enjoyed the support of Jim DeMint’s Senate Conservatives Fund, FreedomWorks, and the Club for Growth — would be the conservative alternative to Bruning. But in recent days, Bruning’s numbers are falling without Stenberg’s rising proportionately.

The reason is a third candidate, State Senator Deb Fischer, who has recently emerged from relative obscurity thanks to endorsements from Sarah Palin and Congressman Jeff Fortenberry. According to recent polling, there’s a very real possibility of Fischer pulling off an upset of epic proportions and walking away with the nomination. And while Stenberg’s supporters aren’t happy to see their man failing to close, they’re already suggesting that Fischer would be an acceptable alternative to Bruning and the business as usual he represents.

We’ll have to watch the polls tonight to see how this thing resolves, but one thing’s for sure: even the worst-case scenario for Tea Partiers (a narrow win by Bruning) would send a powerful message to the GOP establishment in Washington: the Tea Party is here to stay.

May 14th, 2012 at 12:12 pm
Another Big Labor Failure: America’s Only Unionized Strip Club Likely to Close
Posted by Troy Senik Print

One can only imagine the emotional travails of being a devoted liberal; of being completely seduced by the philosophical purity of your ideals, only to so regularly see them falsified by practical experience.

One area where this regularly plays out is with labor unions, where the dream of worker empowerment often yields to the reality that the high costs imposed by big labor weaken businesses and frequently undermine the jobs of the very workers the union is supposed to be defending (see “Automobile Industry, American”).

Based on a recent story in Northern California’s Bay Citizen — about a strip club on the verge of closing down — it seems that there’s no industry free from the corrosive union influence:

Most strip club dancers are “independent contractors” who earn money dancing for tips. Often they have to pay the clubs for stage time, a system that can make the dancers vulnerable to exploitative business practices.

When the Lusty Lady’s dancers voted to unionize in 1997, they wanted to protect themselves from such practices. In 2003, the workers bought the business and turned it into a cooperative, making it perhaps the most San Francisco strip club in San Francisco. The club’s employees receive hourly salaries and those who are part of the co-op also share in its revenue (when there is revenue.)

… Tempest, another Lusty Lady dancer, told the pro-labor newsmagazine “In These Times,” that she has had second thoughts about unionizing, a move she once supported. She questioned whether unionization “is conducive to strip club profits.”

She’s got a point, although the words “strip club” in that last sentence are extraneous. It’s hardly a shame that these young women will likely have to find a more edifying line of work. That being said, the Lusty Lady’s travails are representative of the plight of union shops throughout the nation. It turns out that profits, when ignored, tend to evaporate — no matter the industry.

Most strip club dancers are “independent contractors” who earn money dancing for tips. Often they have to pay the clubs for stage time, a system that can make the dancers vulnerable to exploitative business practices.

When the Lusty Lady’s dancers voted to unionize in 1997, they wanted to protect themselves from such practices. In 2003, the workers bought the business and turned it into a cooperative, making it perhaps the most San Francisco strip club in San Francisco. The club’s employees receive hourly salaries and those who are part of the co-op also share in its revenue (when there is revenue.)

Source: The Bay Citizen (http://s.tt/1bfiB)

May 10th, 2012 at 1:27 pm
Ezra Klein and the Cult of Youth
Posted by Troy Senik Print

With spring quickly turning to summer, it’s graduation season throughout the nation. This is a time of year where rubbish masquerading as good advice is rampant, and the same holds true in the Twitterverse, where liberal uber-pundit Ezra Klein offered up this half-baked idea:

Ezra-Klein_lightboxUm, Ezra … nothing. There’s a thread in modern liberalism — going all the way back to Jean-Jacques Rousseau — which esteems the callow and untutored as morally superior to the experienced and wise. Unfortunately, since the 1960s, that belief has increasingly come to be shared by society at large.

There’s been a lot of ink spilled on this topic in highfalutin journals and serious publications — much of it worthwhile. But for my (admittedly demotic) tastes, late night comic Craig Ferguson really hit the nail on the head in a monologue a few years ago:

May 9th, 2012 at 12:10 pm
Live by Identity Politics, Die by Identity Politics
Posted by Troy Senik Print

We’re still early in the 2012 election cycle, but it’s going to be tough to top Massachusetts Democratic Senate candidate Elizabeth Warren’s diversity scandal (which I’m dubbing “Tipigate”) for irony.

As Ashton noted here last week, Warren — who has been liberalism’s “it girl” of the past few years — is in hot water after it emerged that she claimed Cherokee ancestry during her time as a member of the Harvard faculty.

According to a new piece by Alex Pappas in the Daily Caller, not only is the Cherokee connection dubious (the Warren relative in question was referred to as “white” in the census count), the family tree isn’t exactly Native American-friendly:

Cornell Law School professor William A. Jacobson, citing a genealogist, claimed Tuesday that Massachusetts Senate hopeful Elizabeth Warren’s ancestry includes a great-great-great grandfather who helped round up Cherokees in the days leading to the Trail of Tears.

Warren, of course, shouldn’t be held responsible for the vices of her forebears. But consistency would dictate that she thus has no claim on their virtues either.

May 8th, 2012 at 2:37 pm
First Lady Blows Off Free Market, Fails as a Result
Posted by Troy Senik Print

We here at CFIF have always cast a jaundiced eye on First Lady Michelle Obama’s nanny state attempts to hector Americans about how they eat. Whether it’s Ashton pointing out that the program consistently fails in public schools because kids don’t actually like the food or my observing that this trend has actually led to black markets in the cafeteria, we’ve primarily focused on the initiative’s shortcomings for America’s children. It turns, out however, that it’s just as robustly failing adults. From Bloomberg:

After vowing to open more than 1,000 stores selling fresh fruit and vegetables in underserved urban neighborhoods, or “food deserts,” grocers have opened a fraction of them, putting in jeopardy Michelle Obama’s effort to improve food choices for low-income Americans.

Wal-Mart Stores Inc., which said last July it would have 300 food-desert stores nationwide by 2016, has opened 23 and delayed opening some locations after a backlash from activists. Supervalu Inc., which pledged to double to 2,376 its Save-A-Lot stores, has slowed the pace of openings amid declining sales and scarce financing for its licensees. Meanwhile, grocers are opening stores in wealthier urban enclaves.

Food desert locations, by definition, aren’t profitable, according to Nelson Lichtenstein, director of the Center for the Study of Work, Labor and Democracy at the University of California at Santa Barbara.

“The whole phrase ‘food desert’ sort of implies the weather created it,” said Lichtenstein. “It’s not the weather — it’s because people don’t have any money.”

Shoppers who live in low-income city neighborhoods “don’t fill up a basket and spend $100, they buy $10,” said Lichtenstein, who wrote “The Retail Revolution: How Wal-Mart Created a Brave New World of Business.”

There’s a couple of worthwhile takeaways here. The first is how often politicians and corporations earn praise from press releases and hollow promises. Wal-Mart undoubtedly got more fanfare for announcing the “food desert” stores than it will get scrutiny for failing to build them.

The second is the pervasiveness of the liberal creed that undesirable outcomes must be the product of systemic oppression. Mrs. Obama has long suggested, at least implicitly, that a neglect of urban communities is to blame for the absence of fresh produce in the inner city. It seemingly never occurred to her that the absence of a service in a given market might owe to the fact that there’s not enough demand to make it profitable. The First Lady’s real problem isn’t that corporations aren’t producing what people want; it’s that consumers don’t want what she thinks they should.

That gets to the core of the Obama Administration’s problem. They don’t simply want to change public policy or see corporate practices altered. They want to see human behavior reengineered — whether in the form of the food we eat, the cars we drive, or the doctors we visit. Sooner or later, however, reality will catch up with the White House, as it has in the case of the “food deserts.” No government edict can make straight the crooked timber of humanity.

May 7th, 2012 at 1:59 pm
Jim DeMint Stands on Principle on Export-Import Bank
Posted by Troy Senik Print

By the standard rules of political compromise, Senator Jim DeMint could be forgiven if he decided not to wade into the fight over whether the Export-Import Bank gets reauthorized by Congress. The bank, which subsidizes the business ventures of American corporations overseas, counts Boeing as one of its biggest beneficiaries — and the aerospace giant has a major presence in DeMint’s home state of South Carolina.

As he makes clear in a new op-ed in the Greenville News, however, DeMint doesn’t take stances based on which interests they serve; he takes them based on what principles they represent. From the piece:

When Boeing’s home state labor union ganged up with President Barack Obama’s National Labor Relations Board to try to sue Boeing for building a new factory in North Charleston, I strongly supported Boeing’s freedom to build factories wherever they pleased.

More recently dust has been kicked over the extension of the Export-Import Bank, a federal program that subsidizes American businesses’ exports. Because Boeing receives Ex-Im subsidies, and because I favor winding down the Ex-Im Bank instead of increasing its budget, some ask if I went from being pro-Boeing to anti-Boeing.

Neither. All I’ve ever been is pro-freedom.

In both cases, my guiding principle is the same: liberty.

Freedom isn’t perfect, but it is fair. And any time government hands out favors, they’ll be unfair to someone.

When Washington picks winners and losers, in the end taxpayers always lose, and Ex-Im is no exception.

Kudos to Senator DeMint for standing on the side of liberty and equality before the law, and for opposing the trends toward rent-seeking and crony capitalism. We could use more like him in Washington.

May 3rd, 2012 at 12:39 pm
In China, U.S. Abandoning Commitment to Human Rights
Posted by Troy Senik Print

The story of Chen Guangcheng, the blind Chinese dissident who took safe haven at the U.S. embassy in Beijing last week, should have been a cause for American pride. Chen, who has been an outspoken critic of the forcible sterilizations and abortions that accompany China’s one-child policy has served time in prison and, more recently, house arrest for daring to challenge the communist regime’s barbarism. By providing him refuge, the U.S. was fulfilling its traditional role as a defender of freedom throughout the world. Until yesterday, that is.

On Wednesday, Chen left the American embassy amidst coos of delight from Secretary of State Hillary Clinton. Here’s how Politico reported Clinton’s reaction:

Secretary of State Hillary Clinton expressed her support for a deal with China that allowed activist Chen Guangcheng to leave the American embassy in Beijing without fear of arrest.

“I am pleased that we were able to facilitate Chen Guangcheng’s stay and departure from the U.S. embassy in a way that reflected his choices and our values,” Clinton said in a statement. “I was glad to have the chance to speak with him today and to congratulate him on being reunited with his wife and children.”

With apologies to the secretary, this hardly looks like a triumph of “his choices and our values.” Here’s the Associated Press report shortly after Chen’s release:

On Wednesday, after six days holed up inside the American embassy, he emerged and was taken to a nearby hospital. U.S. officials said they had extracted from the Chinese government a promise that Chen would reunite with his family and be allowed to start a new life in a university town.

Hours later, however, a shaken Chen told The Associated Press in a telephone interview from his hospital room that U.S. officials told him the Chinese authorities would have sent his family back to his home province if he remained inside the embassy. He added that, at one point, the U.S. officials told him his wife would have been beaten to death.

“I think we’d like to rest in a place outside of China,” Chen said, appealing again for help from U.S. officials. “Help my family and me leave safely.”

If this is true, it represents nothing short of a moral stain on the State Department. This should come as no surprise, however. I noted over three years ago at RealClearWorld that this sort of amoral policy stance towards China looked to be a hallmark of the Obama/Clinton foreign policy:

When Secretary of State Hillary Clinton visited Beijing in February [2009], she told her Chinese hosts that “Our pressing on [human rights] issues can’t interfere on the global economic crisis, the global climate change crisis and the security crisis.” Translation: don’t think about standing in front of a tank anytime soon. While America’s economic dependence on China is undeniable given the profligate spending that we have indulged thanks to Beijing’s line of credit, voicing that reality out loud is destined to crush the spirit of the friends of liberty in the Far East. How many Tibetan monks will be able to take inspiration from the Declaration of Independence if they think it truthfully reads “all men are created equal … but some hold hundreds of billions of dollars in American treasury bonds”?

Of course, these days the Dalai Lama visits the White House (when he’s invited at all) through the back door, next to the trash heaps. That’s a not-so-subtle metaphor for what Cheng Guancheng is experiencing at our hands now. All involved from the American side should be ashamed.

May 2nd, 2012 at 12:07 pm
The Reality of “Fair Pay” for Women
Posted by Troy Senik Print

Last weekend, liberal MSNBC talk show host Rachel Maddow and Republican political consultant Alex Castellanos got into a dustup on MSNBC’s “Meet the Press” over pay disparities between men and women in the workplace.

Maddow, working from the first principle of modern American liberalism, assumed that the absence of pure equality is de facto proof of systemic oppression. Here’s part of the exchange (note the utter failure of NBC host David Gregory to moderate impartially):

Since Castellanos didn’t get much a chance to get a word in, allow me to augment his remarks with the observations of Thomas Sowell, writing in his book, “Economic Facts and Fallacies”:

The empirical fact that most male-female economic differences are accounted for by factors other than employer discrimination does not mean that there have been no instances of discrimination, including egregious instances. But anecdotes about those egregious instances cannot explain the general pattern of male-female economic differences and their changes over time. Those changes are continuing. While in the period from 2000 to 2005 most women were still holding jobs making less than the weekly median wages, women were also 1.7 million out of 1.9 million new workers earning above the median wages.

Given the numerous factors that impact the incomes and employment of women differently from the way they impact the incomes and employment of men, it can hardly be surprising that there have been substantial income differences between the sexes. Nor can all these differences be assumed to be negative on net balance for women — that is, taking other factors into account besides income. For example, the wives of affluent and wealthy men tend to work less and therefore to earn less. But the wife of a rich man is not poor, no matter how low her income might be.

Had Ms. Maddow hoped to have a real conversation about the causation of pay disparities, there was a rich body of research available to her. She didn’t of course. That wouldn’t make for nearly as good television.

May 1st, 2012 at 4:49 pm
A Great Day to be an American …
Posted by Troy Senik Print

The last time that I used that headline on the blog was a year ago tomorrow. Follow that link and you’ll see that I don’t use it lightly.

But, even though it’s about a decade overdue, you can’t help but smile at the news that came out of Lower Manhattan yesterday. From the New York Daily News:

A steel beam labeled “1271 ft” was secured to One World Trade Center on Monday, making it the tallest building in the city — and demoting the Empire State Building to No. 2.

Applause broke out as the unfinished Ground Zero tower became the king of the New York skyline, eclipsing King Kong’s perch.

The so-called Freedom Tower will eventually be 1,776 feet.

Yep. A great day to be an American:
FreedomTower
Tags:
April 30th, 2012 at 12:54 pm
Massachusetts Liberals Opposed to Bottled Water, Fine with Welfare Fraud
Posted by Troy Senik Print

There was a time when the New England town meeting was the ultimate example of civic-mindedness; of small town democracy in action. These days, given the political complexion of much of the Northeast, the gatherings tend to be more representative of just how divorced from reality life can become in the fever swamps of the left. Consider this, from Michael Graham in the Boston Herald:

[The city of] Concord voted 403-364 to make it illegal to sell bottled water. Uh, wait. That’s not right. You can still sell bottled water, it just has to be in larger bottles.

So it’s illegal to sell drinks in bottles smaller than 1 liter. No, that’s not it, either. You can still sell Mountain Dew or mango juice in small, plastic bottles. Just not water.

So the new law boils down to “It’s illegal to sell stuff we Concordians don’t like, and right now we don’t like bottled water . . . except when we buy it ourselves. So there.”

What makes this vote on unflavored liquid so deliciously ironic is that it happened around the same time the Massachusetts House was voting against EBT [Electronic Benefit Transfer -- essentially debit cards for those receiving public benefits] fraud — a vote that Concord liberals and their fellow travelers oppose.

While the EBT fraud amendment passed overwhelmingly 122-33, all the “no” votes came from the far left. Liberals like Reps. Alice Wolf (D-Cambridge) and Ruth Balser (D-Newton) voted to keep letting EBT cards pay for “firearms, cosmetics . . . strip clubs, travel services, health clubs, tattoo parlors, jewelry, payment of restitution or bail, and gambling,” according to the Associated Press.

The ideological battle lines of 21st century politics are becoming increasingly clear. Conservatives are those who think you should be able to do nearly anything you like with your own money. Liberals are those who think you should be able to do nearly anything you like with someone else’s.

April 26th, 2012 at 1:03 pm
With Time Running Out, Lugar Slipping Behind Tea Party Rival in Indiana
Posted by Troy Senik Print

Last month, I posted here about how longtime Indiana Senator Richard Lugar’s bid for a seventh (!) term in the upper chamber was being jeopardized by a strong Tea Party rival (State Treasurer Richard Mourdock) and revelations that Lugar doesn’t seem to actually have a residence in the Hoosier State. At the time, I wrote:

By election day, Lugar will likely be scrounging for every vote he can get. At that point, he may come to regret devoting so much of his energy to dismissing the concerns of conservative voters.

Hate to say I told you so. With only 12 days remaining until Indiana’s primary, Politico reports the following:

Indiana Sen. Dick Lugar has fallen behind state Treasurer Richard Mourdock by five points, according to a new poll released Thursday …

Mourdock’s lead is powered by self-described tea party conservatives, who comprise 36 percent of the GOP electorate.

Among that group of voters, Mourdock holds a commanding 63 percent to 24 percent lead.

The fact of the matter is that, should Dick Lugar lose this election, he will likely not choose to retire back to Indiana. That fact — and the mindset it represents — is reason enough for him to no longer represent the state in the U.S. Senate.

April 25th, 2012 at 1:35 pm
“Bribery” in Mexico Not that Different from “Public Policy” in America
Posted by Troy Senik Print

In recent days, Wal-Mart has been rocked by the New York Times‘ reporting on a bribery scandal in Mexico, where the firm reportedly paid over $24 million to government officials to fast-track the permitting process for stores built south of the border.

The left, of course, is all over this because Wal-Mart is their corporate bete noir of choice. Personally, however, I think the party that bears the most guilt is the Mexican government, which has created an atmosphere in which graft is the easiest way to do business. Absent those conditions, the need for bribes would have been minimal and the issue would’ve been moot. Regardless, however, there’s an important angle here that gets fleshed out by the American Enterprise Institute’s Nick Schulz, writing for Forbes:

… While we’re on the topic of companies having to pay the politically powerful for access to markets, can we stop for a moment to examine how things sometimes get done right here in the United States? It’s not uncommon for big box retailers to pony up cash and other unearned benefits in order to break new ground on stores.; what’s different here, however, is that members of our political class often force them to do it. And it’s all perfectly legal.

Consider a recent bill in Maryland, where I live, aimed at big box retailers. Firms like Wal-Mart, Costco, and others hoping to expand operations in wealthy Montgomery County, just outside Washington DC, would be forced to negotiate legally-binding “community benefits agreements” as a condition for building and operating new stores. These sorts of bills are not uncommon when big retailers want to expand or enter into new markets.

The upshot is that politically well-connected local stakeholders – unions, community organizers, and other interest groups – get cash, hiring promises, and other benefits from the retailer in exchange for dropping any opposition to a new store.

Among the possible benefits are “assistance to community organizations and programs.” These organizations can, in turn, use this “assistance” to support the political candidates who push this kind of legislation in the first place.

What Schulz is describing is no more representative of free-market capitalism than the bribery going on in Mexico. As long as business owners have to compensate others who have contributed absolutely nothing to their efforts as the predicate for setting up shop, political power over business is still excessive. At least the folks in Mexico have the decency to call this what it is.

April 24th, 2012 at 2:19 pm
Holder’s DOJ Continues Racialist Practices with Lawsuit Against Jacksonville Fire Department
Posted by Troy Senik Print

As has been chronicled at length here at CFIF, one of the hallmarks of Eric Holder’s Justice Department has been its insistence on injecting race into the public square as often as possible. And one of the areas where this has played out in department policy has been in the DOJ’s repeated threats to crack down on police and fire forces for what it claims are racially discriminatory employment practices.

In 2009, for example, the New Haven, Connecticut, Fire Department threw out the results of a standardized test aimed at measuring candidates’ suitability for promotion when the number of African-American candidates who passed was deemed insufficiently high. The department was motivated in part by fear of a Justice Department lawsuit — a fear that proved to be well-founded when the DOJ filed suit against the state of New Jersey the following year because white test-takers had a higher passage rate (89 percent) than black (73 percent) or Hispanic (77 percent) candidates in an exam for police promotions.

Neither of these cases featured allegations that the tests or the promotion processes were inherently racist. Rather, they simply rested on the DOJ’s notion that unequal outcomes are inherently unjust; that the fact of disparate results was sufficient, in and of itself, to reveal systemic injustice.

So far, the results of DOJ pressure have been mixed. The New Haven firefighters whose successful test results were thrown out took their case all the way to the Supreme Court, where the justices ruled in their favor, 5-4. In New Jersey, however, the DOJ’s bullying tactics won the day, with the state agreeing to revise the exam and issue back pay to minority officers (many of whom resented the feds’ “help”).

Yet that inconsistent track record isn’t keeping the department from going at it again. This time they’re taking the show to Jacksonville, Florida. Per a DOJ release from yesterday:

The Justice Department today filed a lawsuit against the city of Jacksonville, Fla., alleging that the city is engaged in a pattern or practice of employment discrimination against African-Americans in its fire and rescue department in violation of Title VII of the Civil Rights Act of 1964.  The lawsuit challenges the fire department’s use of written examinations for the promotion of firefighters to four ranks – Lieutenant, Captain, and District Chief, all in the suppression line, and Engineer…

The United States’ complaint alleges that the examinations impact African-American candidates in two ways.  First, African-American candidates for promotion to the four positions pass the examinations at significantly lower rates than white candidates.  Second, even those African-Americans who pass the examinations are rarely promoted because the fire department selects candidates for promotion in descending rank-order based primarily upon each candidate’s written examination score and African-American candidates score significantly lower than whites.

Notice that there’s nothing in there that any fair observer could characterize as bias. Rather, the complaint is, in essence, that the Jacksonville Fire Department is too objective.

As the police officers in New Jersey noted in the piece linked above, even a successful outcome for the DOJ will not have the effect of helping out minority officers, whose qualifications will now be called into question on the basis of de facto affirmative action.

If the feds really wanted to help out, they would examine the underlying causes of why the tests exhibit racial disparities in the first place. Could it be that America’s public schools — rotting as the result of the influence of teachers unions — have disproportionately failed minority communities? Could it be that the social pathologies subsidized in perpetuity by the welfare state have thwarted upward mobility in poor neighborhoods?

Answering those questions, of course, would require some real soul-searching. And it might also require giving up the notion that good intent is sufficient to make Democrats the perpetual guardians of America’s minority communities, no matter what kind of havoc their policies wreak in reality. But that’s a level of introspection we shouldn’t expect from this Administration. In Eric Holder’s DOJ, it’s easier to just file a lawsuit and assume that the other guy’s a racist.

April 23rd, 2012 at 3:13 pm
Obama’s Energy Policies, or, How America Can Fail
Posted by Troy Senik Print

Free Market America, a new group operating in partnership with Americans for Limited Government, has a powerful new video out that makes an important point: if one was setting out to intentionally inflict harm on the American economy via energy policy, the resulting strategy would look a lot like what the Obama Administration is proposing.

The point here is not that Obama’s agenda is a covert plot to damage the nation — it’s not — but rather that its effects will be just as calamitous as if it was. Take a look for yourself:

 

 

April 19th, 2012 at 12:45 pm
In Sweden, Better Living Through Resisting Keynesianism
Posted by Troy Senik Print

The entire continent of Europe may seem most useful these days as an object lesson in how not to conduct public finance, but as a fascinating new piece in the UK’s The Spectator makes clear, Sweden provides at least one unlikely exception. While the rest of the world was clamoring for Keynesian stimulus measures in the immediate aftermath of the global financial crisis, Sweden was following the lead of Anders Borg, its libertarian-leaning Finance Minister. As a result, the country took a drastically different path — one that’s now paying dividends:

While most countries in Europe borrowed massively, Borg did not. Since becoming Sweden’s finance minister, his mission has been to pare back government. His ‘stimulus’ was a permanent tax cut. To critics, this was fiscal lunacy — the so-called ‘punk tax cutting’ agenda. Borg, on the other hand, thought lunacy meant repeating the economics of the 1970s and expecting a different result.

Three years on, it’s pretty clear who was right. ‘Look at Spain, Portugal or the UK, whose governments were arguing for large temporary stimulus,’ he says. ‘Well, we can see that very little of the stimulus went to the economy. But they are stuck with the debt.’ Tax-cutting Sweden, by contrast, had the fastest growth in Europe last year, when it also celebrated the abolition of its deficit. The recovery started just in time for the 2010 Swedish election, in which the Conservatives were re-elected for the first time in history.

The good news: Sweden provides a success story that drives one more nail into Keynesianism’s coffin. The bad news: We’re living in an age where Scandinavia can muster more enthusiasm for free market economics than the U.S.

April 18th, 2012 at 9:10 am
A Federal Budget That Ignores the Constitution
Posted by Troy Senik Print

Writing in the Washington Times, Richard Rahn — Senior Fellow at the Cato Institute and Chairman of the Institute for Global Economic Growth — puts the current state of federal spending in rather horrid relief:

The federal government is spending about 24 percent of gross domestic product (GDP). Most of it goes for Social Security, Medicare, Medicaid and other entitlement programs. The “discretionary” portion of the budget equals about 9 percent of GDP, with about half going for defense. Until 1930, the federal government normally spent less than 4 percent of GDP, except for the periods during World War I and the Civil War. The Constitution gives the federal government very few tasks for which it is required to spend money — the big item being the “common defense.” Again, up until 1930, the courts forced the federal government to live largely within the confines of the Constitution. Deducting defense spending from the federal budgets before 1930 shows that the federal government lived perfectly well on 2 percent to 3 percent of GDP for the first 140 years of the republic.

What all of this means is that approximately three-quarters of all federal government spending is not required by — and often is contrary to — the Constitution.

Conventional wisdom in Washington increasingly holds that those who wish to see the federal government pare back its expenditures rather than increase the tax burden on the American people are delusional, if not antediluvian. Yet for the majority of American history, the federal government was only a fraction of what it is today — and the Republic did quite well for itself.

Are we really to believe today that spending cuts that would still leave the federal government’s share of GDP several multiples higher than it was less than a century ago mark some civilizational rot? Because by all indicators (Europe comes to mind), the failure to prune seems to be the more perilous course.

April 17th, 2012 at 12:22 pm
Needed: An Expulsion from the House of Lords
Posted by Troy Senik Print

Under current British law, only a few factors can keep a member of the House of Lords from office: bankruptcy, conviction on charges of treason, and holding judicial office amongst them. Apart from that short list, removing a peer requires an act of Parliament, something that last happened nearly a century ago, when two members were removed for supporting the U.K.’s enemies during World War I. With that precedent in mind, Parliament should act to remove Lord Nazir Ahmed, who provides a similar set of circumstances. From the Daily Caller:

British Lord Nazir Ahmed put a £10 million ($16 million) bounty on both President Barack Obama and former President George W. Bush Friday, according to The Express Tribune, an English language Pakistani newspaper.

Nazir, who is of Pakistani heritage and a member of the British House of Lords, reportedly made the comments while at a reception in Haripur, a Pakistani city 40 miles north of Islamabad. Nazir told the audience that he was putting the bounty out for the capture of the American leaders in response to the bounty placed on Hafiz Muhammad Saeed by the United States.

Saeed, by the way, is the terrorist thought responsible for the gruesome 2008 terrorist attack in Mumbai, which killed over 160 people. By his words and his actions (he claims that he would sell his home to pay the bounties for Bush and Obama), Lord Ahmed has shown himself an enemy to Britain, the United States, and the forces of civilization throughout the world. He ought not be allowed in the front door of the House of Lords, let alone in a seat there.

April 16th, 2012 at 12:26 pm
Beg Pardon? School Workers Allowed to File for Unemployment Benefits Over Spring Break?
Posted by Troy Senik Print

The debate over unemployment benefits isn’t an easy one. While the left completely ignores the rudimentary economics (and the empirical evidence) showing that prolonged benefits tend to keep unemployment artificially high, the fact remains that many workers use the system in good faith, relying on it as a bridge during uncertain times. We can all probably agree, however, that this doesn’t make any sense. From MarketWatch’s report on rising unemployment claims:

Weekly jobless claims jumped by 13,000 to a seasonally adjusted 380,000 in the week ended April 7, the highest level since late January, the U.S. Labor Department said Thursday.

Much of the increase was related to spring break, when many school bus drivers and cafeteria workers are allowed to file for temporary unemployment benefits.

Hey, if this is the direction we’re going, why not allow them to file for unemployment over the weekend? Or perhaps for those oppressive hours of 5 PM-9 AM every weekday when they’re not gainfully employed?

This is an offense both to people who really require unemployment benefits and to the taxpayers who are underwriting school workers’ spring breaks. And with MarketWatch attributing”much of the increase” to these workers, are we to understand that it’s become common practice for school workers to exploit this outrageous provision?

Some aspects of the unemployment debate are difficult trade-offs between economics and empathy. This one, however, is a no-brainer.