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January 4th, 2010 at 11:50 am
CBO Pans Latest “Stimulus”
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Lost during the health care fight in the Senate over the holidays were the votes in the House over yet another round of central planning stimulus provisions.

On its last roll call vote, the House narrowly, 217-212, passed an $180 billion “jobs for main street” bill that will exacerbate the federal deficit by another $64 billion, according to the Congressional Budget Office (CBO).

Not surprisingly, not a single Republican offered to support a third/fourth stimulus bill filled with pork-barrel spending and empty wealth transfers.  Democrats defected as well, with 38 voting “No.”

Now, the CBO has officially panned the legislation.  The final price tag over the next decade will be more than $180 billion, meaning Congress authorized $967 billion in 2009 alone for “stimulus” spending.

With all this, the unemployment rate remains at 10% and poll numbers indicate that no amount of wealth redistribution will increase Democratic majorities come Election Day.

January 4th, 2010 at 9:00 am
Morning Links
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December 29th, 2009 at 12:35 pm
Morning Links
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December 27th, 2009 at 10:53 pm
Morning Links
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December 22nd, 2009 at 11:53 am
Democrats Flee Sinking Ship
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The party of the donkey might have a 257-178 advantage in the House of Representatives but Alabama Representative Parker Griffith has just announced that he’s switching over to the GOP.

Griffith has spent most of his time in Congress opposing Speaker Pelosi’s legislative priorities, including the government takeover of health care and the $787 billion failed stimulus.   In fact, he was one of just eleven House Democrats to oppose the stimulus.

Griffith evidently saw the writing on the wall and recognized that having a “D” after his name would be a political liability in 2010.  His district, AL-5 (northern Alabama), gave President Obama 38% of the vote in 2008.

There is no official announcement yet from Representative Griffith.  Check back for further details.

December 22nd, 2009 at 8:51 am
Morning Links
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FreedomWorksWhat Next on Health Care?
San Diego Union-TribuneNot a Shining Moment for the Senate
George WillObama’s Unsightly Triumphs
The HillSenate Set for Christmas Eve Health Care Vote

PoliticoPork Greased Health Care Passage
National Review OnlineCan Stupak Save the Democrats?
Washington TimesJudicial Hellholes
Washington ExaminerIn Defense of Senate Obstructionism

Federal Debt: $12.152 trillion

December 21st, 2009 at 3:32 pm
“The Price is Right”
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Senator Richard Burr (R-NC) on Harry Reid’s (D-NV) health care compromise with Nebraska Senator Ben Nelson:

You’ve got to compliment Ben Nelson for playing, ‘The Price Is Right.’  He negotiated a Medicaid agreement for Nebraska that puts the federal government on the hook forever.  This isn’t the Louisiana Purchase, it’s the Nebraska windfall … this isn’t how this process is supposed to work.

Sadly, the “Louisiana Purchase” already took place during Senate negotiations.  Now, taxpayers are “on the hook” for Louisiana and Nebraska.  This is not because Nebraska and Louisiana are especially important for health care reform, but because two politicians from those states were able to game the system better than their colleagues.

This is why our national debt is over $12 trillion.

December 21st, 2009 at 12:09 pm
A Vote that Would Make Rod Blagojevich Blush
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This morning, the Senate invoked cloture on its scheme for government-run health care.  Under Senate rules, there will now be 30 hours of debate divided equally between the two parties, and then there is a strong possibility that the Senate will pass the legislation.

For Majority Leader Harry Reid, getting to this point was no easy task.  The typical horse trading that takes place on Capitol Hill was on overdrive lately as Leader Reid had to beg, borrow and deal to buy off each cynical Senator.

As much as the media and politicians on the Hill excoriated Governor Rod Blagojevich for selling President Obama’s old Senate seat, buying votes is a common occurrence in the nation’s capital.

As this piece from Politico demonstrates, what happens in Senate chambers typically borders on bribery.

For example:

  • Senator Ben Nelson (D-NE), who was once emphatic in his opposition to ObamaCare, got $45 million in federal funds for Medicaid expansion in Nebraska.   Other states were not fortunate enough to have an undecided Senator provide their state with the perks of federal largesse.
  • Independent/Socialist Senator Bernie Sanders (VT), who was previously opposed to the legislation, was awarded $10 billion in new funding for community health centers.
  • Senator Nelson (D-NE) and Senator Carl Levin (D-MI) garnered an excise tax carve-out for their states; all other states will be forced to pay the tax.
  • Senator Mary Landrieu (D-LA) received perhaps the most persuasive legislative nugget, a $300 million federal gift to Louisiana for Medicaid expansion.

In an attempt to rationalize this border-line legislative bribery, Senator Reid opined, “You’ll find a number of states that are treated differently than other states.  That’s what legislating is all about.  It’s compromise.”

Buying off votes = compromise?  Selling a Senate seat = felony?

December 21st, 2009 at 9:16 am
Morning Links
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Associated PressHealth Bill Clears Senate Test
Rep. Bob BarrHealth Care Bizarro World
PoliticoHealth Plans on Collision Course
The HillSen. Nelson’s $100 Million Payoff

Las Vegas Review-JournalClimate Folly
Michael BaroneLiberals Collide with Public Option
American SpectatorDemocrats Break Ground
WSJ EditorialChange Nobody Believes In

Federal Debt: $12.147 trillion

December 18th, 2009 at 4:10 pm
Senator Ben Nelson’s Health Care Stance
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HT: KosTV

December 18th, 2009 at 12:56 pm
Krugman Grasping at Straws
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What’s Paul Krugman’s advice to liberals like MoveOn and Howard Dean upset over current health care negotiations in the Senate?  Pass the Bill.

It seems that liberals like Krugman want a bill just for the sake of passing a bill.   Politics and not principle appear to be his main motivation, which is strange coming from an economist and college professor.

Ideological purists like Howard Dean and MoveOn object to Harry Reid’s version of reform.  But why?  The current Senate bill supposedly lacks the government-run public option that liberals have been salivating over for the past year.  What remains from Senate negotiations is a hodgepodge of mandates, new regulations and higher taxes.

The one issue both sides of the aisle should agree on during the holidays is that the current health care bill is awful; it’s really really bad.

Conservatives and libertarians should hate the bill because it contains hundreds of billions in new taxes, an unconstitutional mandate for individual health insurance, an expensive employer mandate, costs over $2 trillion and it does nothing to bend the health care cost curve downward, among many other reasons.

Liberals should hate the bill because it (supposedly) contains no government-run public option, politically connected health care companies practically drafted the legislation, PhARMA supports it, socialist Senator Bernie Sanders doesn’t, it fails to cover 100% of the uninsured and it doesn’t bend the health care cost curve downward.

Dr. Krugman may attempt to use his perch at the New York Times to rally progressives toward a final health care push, but the ugly truth is that health care reform has become the product of Washington, D.C. politics.  That’s never a good thing.  President Obama rallied against Washington-style politics during his campaign but it appears that his bill and his political strategy have embraced the zero sum ultra-partisan approach that he derided so frequently in the past.

Dr. Krugman’s headline should have been “Kill this Bill.”

December 18th, 2009 at 8:56 am
Morning Links
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December 17th, 2009 at 5:08 pm
Senators Meet Santa
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Senator Jim DeMint (R-SC) is one of the few good guys on Capitol Hill.  He and Senator Tom Coburn (R-OK) have taken the lead to stop government-run health care in the Senate.  In fact, they’re using every procedural tool under the sun to defeat the Senate’s disasterous version of “reform.”

According to The Hill newspaper, DeMint is even prepared to go so far as to slow debate and force Christmas Eve votes.  As DeMint noted, “I think it’s our responsibility to stretch this out because every day we do we have time to tell Americans what’s in it.”

For those of you looking for something interesting to watch over the holidays, the Senate will likely be in session on Christmas Eve.

This is the final push against government-run health care.  If you haven’t done so already, call your Senators at 202-224-3121 and tell them to oppose the Senate health care bill.

December 17th, 2009 at 12:22 pm
Understanding the Public Option in 41 Seconds
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December 17th, 2009 at 10:36 am
CBO: Cap-and-Trade Will Cost Taxpayers
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The Congressional Budget Office (CBO) forecasts that current climate change legislation in the Senate will increase spending by $833 billion.

According to the budget office, not only would Cap-and-Trade legislation effectively tax and regulate all carbon emissions in the country, but it would also add $854 billion to federal coffers.

The cost estimate concluded, “CBO estimates that the annual cost of [cap-and-trade] would amount to tens of billions of dollars for private-sector entities and hundreds of millions of dollars for public entities… Public and private entities would also be required to report information on greenhouse gases to a federal registry.”

In short, the bill is an unmitigated disaster and must be defeated.

Click here for the CBO study.  More of CFIF on climate change here and here.

December 17th, 2009 at 8:51 am
Morning Links
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Sen. Tom CoburnThe Health Bill is Scary
National Review OnlineThe Value-Added Tax
PoliticoGary Johnson as the Next Ron Paul?
Howard DeanSenate Bill Wouldn’t Bring Real Reform

Michael BaroneDems Head for the Exits
George WillWhen the Charm Rubs Off
Pittsburgh Post-GazetteCongress Raises Debt Ceiling
The HillHouse Passes Pelosi’s $174 Billion Jobs Bill

Federal Debt: $12.130 trillion

December 16th, 2009 at 3:03 pm
Update: Senate v. Tom Coburn
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The Senate can be a magical place sometimes. Taking advantage of a clever procedural tool, Senator Tom Coburn (R-OK) has forced the upper chamber to read a 767-page amendment out loud.  (One has to feel sorry for the people reading the amendment.)

Senator Bernie Sanders (Socialist-VT) introduced his single-payer amendment to the health care bill but Senators DeMint (R-SC) and Coburn put their foot down.  They are now using all available procedural tactics to kill the bill, even if they have to kill the voice of a few Senate staffers in the process (a worthy sacrifice).

Senator Coburn commented, “We’re going to understand what single-payer is all about and read the bill.”

If you’d like to understand more about socialist health care, click here or here.  More of CFIF on health care here.

***Update***

Senator Coburn did battle once again with Senator Max Baucus (D-MT) and the exchange was priceless.  Senator Coburn asked that Senators fully read and understand the bill before they voted.

Senator Baucus, we’ll say, was less than optimistic about the comprehension level of his colleagues. The video (one minute mark) displays our nation’s sad state of affairs.

December 16th, 2009 at 8:47 am
Morning Links
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December 14th, 2009 at 4:56 pm
Quote of the Day
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Reason’s Matt Welch on President Obama and the “Economic Consensus” of his fiscal policy:

Obama is a political master at drawing boundaries around the “respectable” debate and marginalizing a swath of his critics as being beyond the pale. Will he succeed at doing it with economics, too? We only know that he will try.

December 14th, 2009 at 2:33 pm
White House: Debt? What Debt?
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The White House has made the decision that debt, all $12 trillion worth of it, no longer matters in America.  Instead of attempting to lower the $1.4 trillion annual budget deficit, the White House is looking for another round of stimulus pork.

According to White House Economic Advisor Christina Romer, it would be “suicide” to focus on deficit reduction to the exclusion of “job creation.”  Her solution, of course, is to repeat the past two/three failed stimulus bills and spend another $50 billion on infrastructure.   In Washington, D.C. that means $5 billion on infrastructure and $45 billion on pork and other preferred government handouts.

Romer’s solution is odd considering this paper she authored with her husband in April (after she began working at the White House) that concluded each dollar of tax cuts historically raised Gross Domestic Product (GDP) by $3, greater than many similar estimates of government stimulus spending.

Romer also concluded that tax increases can easily lower GDP.  As she wrote, “Our results indicate that tax changes have very large effects on output.  Our baseline specification implies than an exogenous tax increase of 1% of GDP lowers real GDP by almost 3%.”  There appears to be a big difference between Doctor of Economics Romer and White House employee Romer.

With all this knowledge about the virtues of tax cuts and the harm of tax increases, Dr. Romer should pay a visit to the West Wing occasionally and remind President Obama that his policies will continue to shrink GDP and impede job creation.