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Posts Tagged ‘New Deal’
July 9th, 2013 at 7:05 pm
Resistance, on the Grapevine
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Make what you will of the fact that the most provocative stories in the Washington Post come from the Style section, but this one is a doozy:

KERMAN, Calif. — In the world of dried fruit, America has no greater outlaw than Marvin Horne, 68.

Horne, a raisin farmer, has been breaking the law for 11 solid years. He now owes the U.S. government at least $650,000 in unpaid fines. And 1.2 million pounds of unpaid raisins, roughly equal to his entire harvest for four years.

For what offense has our scofflaw earned the contempt of the state? I’ll tell you, but you should probably take a moment to get any sharp objects out of your immediate vicinity:

He said no to the national raisin reserve.

“I believe in America. And I believe in our Constitution. And I believe that eventually we will be proved right,” Horne said recently, sitting in an office next to 20 acres of ripening Thompson grapes. “They took our raisins and didn’t pay us for them.”

The national raisin reserve might sound like a fever dream of the Pillsbury Doughboy. But it is a real thing — a 64-year-old program that gives the U.S. government a heavy-handed power to interfere with the supply and demand for dried grapes.

It works like this: In a given year, the government may decide that farmers are growing more raisins than Americans will want to eat. That would cause supply to outstrip demand. Raisin prices would drop. And raisin farmers might go out of business.

To prevent that, the government does something drastic. It takes away a percentage of every farmer’s raisins. Often, without paying for them.

This, by the way, is not a novel approach for the feds. Back in 2007, George Will noted the practical realities that had galvanized the otherwise moderate (then)Senator Richard Lugar to oppose farm subsidies:

Time was, Riley Webster Lugar, a Hoosier farmer, vociferously disapproved of the New Deal policy of killing baby pigs to control supply in the hope of raising prices. When his son Marvin ran the family farm, if a cashier giving him change included a Franklin Roosevelt dime, he would slap the offending coin on the counter and denounce the New Deal policy of supporting commodity prices by controlling supply — by limiting the freedom to plant.

Today, Marvin’s son Dick is carrying on two family traditions — running the farm and resenting the remarkable continuity connecting today’s farm policies with the New Deal’s penchant for economic planning. The grandson, now 75, is again trying to reform what Franklin Roosevelt wrought.

Lugar is gone from the Senate now, but let’s hope that members of Congress taking up a monstrosity of a farm bill can find the time and will to carve up all provisions that irrationally demand artificial scarcity as a means to abundance.

November 19th, 2010 at 4:38 pm
Joel Kotkin Rakes Green Liberalism, Unions Over the Coals

Demographer Joel Kotkin writes an insightful analysis of the state of modern liberalism for Politico today.  As you probably guessed, the diagnosis isn’t pretty.

Admittedly, Kotkin identifies as an old-school Democrat, the kind that sees the New Deal as a model for curbing unemployment while building the kind of infrastructure that advances civilization and secures votes for a generation.  He is not, however, a fan of the environmental left or public employee unions because they inhibit these kinds of programs for the benefit of insulated elites.

When FDR commissioned projects such as the Tennessee Valley Authority, he literally brought light to darkened regions. The loyalty created by FDR and Truman built a base of support for liberalism that lasted for nearly a half-century.

Today’s liberals don’t show enthusiasm for airports or dams — or anything that may kick up some dirt. Deputy Assistant Secretary of the Interior Deanna Archuleta, for example, promised a Las Vegas audience: “You will never see another federal dam.”

Harold Ickes, FDR’s enterprising interior secretary, must be turning over in his grave.

It’s also well to remember, as Kotkin does, that “In retrospect, it’s easy to see why many great liberals – like FDR and New York City Mayor Fiorello LaGuardia – detested the idea of public-sector unions.”  Indeed.  If Kotkin can kick-start a bipartisan movement to end public employee unions, maybe we can at least get public policy’s focus back on private citizens instead of enriching government workers.

September 27th, 2010 at 10:49 pm
Paul Krugman Aggresively Refutes Paul Krugman
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If America continues to be a sober nation, there will be a time a few decades from now when Paul Krugman’s economic hypochondria will be viewed with the same sneering contempt as Paul Ehrlich’s crazed claims that hundreds of millions would die from famine in the 1970s and 1980s or the fears of the rise of Japan that dominated public discourse in the late 1980s and early 1990s (the old empire’s economic lost decade intervened).

On his blog at the New York Times today, Krugman frets aloud (his muscle memory prevents him from doing otherwise) that Americans may tank the economy by attempting to pay down their unsustainable levels of debt (further proof that Keynesianism is the economist’s version of a drunken weekend in Vegas). But the big story here is buried in the complaint that undergirds his thesis:

So what will happen? In the end, I’d argue, what must happen is an effective default on a significant part of debt, one way or another. The default could be implicit, via a period of moderate inflation that reduces the real burden of debt; that’s how World War II cured the depression. Or, if not, we could see a gradual, painful process of individual defaults and bankruptcies, which ends up reducing overall debt.

Hang on a tick. World War II? Hasn’t Krugman spent the past two years using every inch of column space available to him to advocate that President Obama embrace aggressive neo-Rooseveltism? But now it’s the war — not the New Deal — that ended the Depression? We know that Krugman is a specialist in non-falsifiable theories (if only the stimulus had been bigger …), but if the eight years that FDR had set aside for “bold, persistent experimentation” prior to Pearl Harbor weren’t sufficient to heal the nation’s markets, maybe that was a sign that the problem was strategic and not tactical. Maybe the Sage of Hyde Park should have taken some pointers from the benighted Warren Harding.

This is all a bit shocking coming from a Nobel Laureate. After all, if Paul Krugman doesn’t speak with authority on economics … then maybe Barack Obama doesn’t speak with authority about peace.

May 12th, 2010 at 2:37 pm
Elena Kagan Promotes Legal Fiction

No, President Barack Obama’s Supreme Court nominee is not moonlighting as a shill for the latest John Grisham novel.  Instead, a law review article of hers peddles the notion that federal courts should try to divine a government’s “intent” when deciding whether a regulation on speech is constitutional.

According to CSNEWS:

In her article, Kagan said that examination of the motives of government is the proper approach for the Supreme Court when looking at whether a law violates the First Amendment. While not denying that other concerns, such as the impact of a law, can be taken into account, Kagan argued that governmental motive is “the most important” factor.

In doing so, Kagan constructed a complex framework that can be used by the Court to determine whether or not Congress has restricted First Amendment freedoms with improper intent.

You’d probably need a complex framework to figure out the single intent of a law that results from a process including hundreds of people, all with different backgrounds, educational levels, and points of view.  Indeed, the exercise is a legal fiction whose use stretches back to the New Deal Court where justices poured over legislative histories, committee reports, and floor statements in the vain attempt to arrive at one, definitive purpose.  Discovery of that purpose enabled the enlightened justice to then judge whether that purpose was proper.

You can see the potential for abuse.  If judges signal they will go beyond the plain text of a law to discern its intent, then members of Congress and the President will do everything they can to shade the law’s meaning their way.  Vapid floor statements, detailed presidential signing statements, even carefully worded statements of purpose in sub-committee reports suddenly become more important than the actual words that everyone agreed to.

And who gets to pick the “right” document for finding the government’s intent?  None other than an unelected, un-consulted judge.  Nice work if you can get it.  We’ll see if Elena Kagan does.