Author: CS Admin

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Accountability folly free trade & free markets general freedom initiative, referendum, and recall nannyism national politics & policies property rights responsibility too much government

Minimum Shock

minimum wage, closure, restaurant, business, prohibition, wages, pay, Berkeley, San Francisco

“Three restaurants vacated the Bay this week, with Berkeley’s Bistro Liaison getting the most attention,” the San Francisco edition of Eater informs us. “It’s a bittersweet exit for the owners, who plan to start new careers.”

The week in question was in February. But this was not an isolated event. Sixty-​four Bay-​area restaurants and fast food joints closed their doors this last winter.

That is a lot of closures.

Why?

Every eatery has a different story, but the entry December 17* provides a big clue: minimum wage hikes.

Citizens should hardly be surprised. They got what they asked for. The minimum wage went up to $13.00 per hour last July, and will go up another two bucks next year. And this was the result of a citizen initiative. “On November 4, 2014, San Francisco voters passed Proposition J, raising the minimum wage to $15.00 by 2018,” the City Office of Labor Standards and Enforcement tells us. 

And the thing about minimum wage laws is that they do not — either by magic or by law — directly raise any wages. They, by law and quite directly, prohibit wage contracts below the minimum established. 

Businesses then react, struggling to accommodate the newly imposed costs. Sometimes they keep all their employees and economize on other inputs, but often they must re-​arrange hours and workers and whole production schemes.

If hemmed in elsewhere, they just go out of business.

Just as one should expect, according to the law of supply and demand.**

Citizens might wish to reconsider. That is, initiate a measure to repeal a previously successful initiative … that gave us this unsuccessful policy.

This is Common Sense. I’m Paul Jacob.

 

* The entry reads thusly: “OAKLAND — alaMar Kitchen and Bar as you know it is shuttering on December 17, but will reopen in the new year with a fast casual format. The owner points to minimum wage raises and the cost of doing business in the Bay Area as the reasons cited for the closure/​change.”

** It is often said that businesses just “raise prices” and “pass along the costs” to consumers in general, but, for reasons of supply and demand, they cannot do this without decreasing sales and thus revenue.

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Accountability initiative, referendum, and recall local leaders responsibility

The Maine Thing

RCV, Ranked Choice Voting, initiative, voting, elections, democracy, Maine

Ranked Choice Voting (RCV) allows voters to rank electoral candidates and not “waste” their vote in cases where their most favored candidate is* unlikely to win. RCV also requires a majority for election, not merely a plurality of the vote. 

Last November, Mainers passed Question 5 to begin using this voting system for statewide races, state legislative races and congressional contests. Voters in Portland, the state’s largest city, already use ranked choice voting for several city offices.

Nonetheless, Gov. Paul LePage, who has won twice for governor without ever capturing a majority, opposes RCV, as do many state legislators, also elected under a different first-​past-​the-​post plurality system.

Because Maine’s state constitution specifically mentions plurality winners for statewide officials and state legislators (in the General Election), legislative leaders asked the Maine Supreme Court for an advisory opinion on the constitutionality of the ballot measure. Earlier this week, the court ruled that Question 5 was not constitutional when applied to those specific offices and elections. 

However, the constitutionality of RCV was not challenged regarding congressional elections or primary elections for the state legislature.

Now some legislators are proposing a constitutional amendment to enact the RCV that voters supported. Others are urging that the entire law be repealed — even the parts not ruled unconstitutional. They claim the new system is too confusing if not used for every office.

But Portland city voters use RCV for some offices and not others, without confusion.

Legislators should follow the court’s decision, sure, but also respect the vote of the people for every part of the measure not addressed by the court.

This is Common Sense. I’m Paul Jacob.

 

* Ranked Choice Voting also prevents wasted votes in cases where a voter merely expects or fears (even inaccurately) that his or her favorite candidate does not have enough support to get elected.

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Original cc Photo by Tim Evanson on Flickr

 

Categories
Accountability moral hazard national politics & policies responsibility U.S. Constitution

The Chicken-​Ostrich Congress

Congress, checks and balances, war, cowardice, responsibility, Afghanistan, president, presidential powers

Those who work for the president must tell the POTUS hard truths — on matters of war, most of all. Citizens must also be told hard truths. After all, we are, at least theoretically, the ultimate decision-​makers … the president works for us.

That was my point yesterday.

But when it comes to life-​and-​death decisions about war and peace, there is also a congressional check on executive power.

Well, theoretically.

The big problem isn’t chicken-​hawks in Congress, but chicken-​ostriches. Bird-​brained members of Congress implant their heads deep into the sand when it comes to foreign policy. 

Where is the congressional debate over what to do in Afghanistan, our nation’s longest war? Rather than helping shape policy, Congress gladly lets the commander-​in-​chief control every aspect of foreign and military policy.

This gives the president unitary war-​making power, anathema to the original character of our Republic, but it also means precious members of Congress are never held accountable for the disasters. After all, they didn’t do anything. 

When mistakes are made or policy fails, the legislative branch can hold hearings to carp and moan and pontificate for the TV cameras. 

American citizens, on the other hand, cannot so easily dodge the consequences of unaccountable foreign policies. In addition to engaging in military action in seven countries at present, the U.S. Government has pledged to defend another 50 countries, about one-​fourth of the world.

Should more conflicts erupt, Congress won’t fight them. But our sons and daughters will. 

This is Common Sense. I’m Paul Jacob.

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Accountability general freedom national politics & policies responsibility

The First Casualty

Trump, Vietnam, truth, adviser, Johnson, McNamara, lies, war, advice

Former Marine Lt. Gen. H.R. McMaster, President Trump’s current national security advisor, is the author of Dereliction of Duty, a look at how President Lyndon Johnson conducted the Vietnam War. 

Last Sunday, the Washington Post’s Carlos Lozada reviewed the 1997 non-​fiction book, noting that McMaster hadn’t minced words. 

McMaster argues, for instance, that LBJ had a “real propensity for lying.” McMaster also takes Defense Secretary Robert McNamara and the Joint Chiefs of Staff to task for not telling Johnson hard truths about the war, and going along with what they knew were poor policies. 

Life-​and-​death policies. 

“McMaster explains how a culture of deceit and deference, of divided and misguided loyalties, of policy overrun by politics, resulted in an ever-​deeper U.S. involvement in Vietnam,” Lozada reports. 

Lozada then compares the dishonest bubble within which LBJ made decisions about Vietnam to the people around President Trump today, fearing they too will fail to tell the president inconvenient truths or dare risk his wrath by opposing his policy whims. 

That tilted Trump focus is the 24/​7 obsession of the national press corps. 

But this problem isn’t new with Trump. It’s universal. 

The wise have long understood that truth is the first casualty of war. If not taken out before hostilities even begin.

It is critical to find people of integrity to work at the White House and tell presidents the unvarnished truth. And even more critical is to pick presidents with integrity to tell the American people — the ultimate decision-​makers — the truth. 

It’s long past time that U.S. foreign policies be publicly discussed — and decided — by an informed electorate.

This is Common Sense. I’m Paul Jacob.

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Whisper cc photo by Jamin Gray on Flickr

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Accountability folly national politics & policies

Weiner’s Place in History

Anthony Weiner, sexting, twitter, folly, sex, scandal, Clinton, election, Huma Abedin

As if to finalize the Great Derailment of 2016, disgraced former Congressman Anthony Weiner pleaded guilty in federal court to felony sexting: transferring obscene materials to a 15-​year-​old girl.

Prosecutors are asking he serve 21 to 27 months in federal prison, register as a sex offender and continue mental health therapy.

Also Friday, Huma Abedin, Weiner’s long-​suffering wife, quietly filed an “Anonymous v. Anonymous” petition for divorce. 

Though, apparently, not anonymously enough.

Personal train-​wreck? Sure. But as I wrote yesterday at Townhall, because it so deeply affected last year’s presidential contest, the wreck is also very public.

Back in 2011, Anthony Weiner made Andrew Breitbart a hero, propelling Breitbart​.com into the limelight. Weiner had tweeted a picture of his underwear-​clad crotch to a woman … who was not his wife. Though quickly deleted from his Twitter account, a screenshot was shared with Breitbart, who ran with the story.

Weiner claimed a hack, challenging Breitbart’s credibility. This spurred Andrew Breitbart to commandeer a news conference called by Weiner — with more evidence to share. Soon, Rep. Weiner admitted his bad behavior and officially resigned his congressional seat.

Fast-​forward to 2016, with wife Huma Abedin busy helping Hillary Clinton run for president. Weiner again becomes the subject of a sexting scandal — this time with an underage North Carolina girl. The FBI investigates, seizes Weiner’s laptop and discovers emails on it from Hillary Clinton to his wife, Huma. Then-​FBI Director James Comey reopened his investigation of Hillary’s emails just ten days before Election Day. 

Upshot? Trump is the 45th U.S. President, with Breitbart​.com Editor Steve Bannon as key advisor.

Thanks to Weiner.

This is Common Sense. I’m Paul Jacob.

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Photo of “Anthony Weiner cut-​out by the port-​a-​potties” by Katjusa Cisar on Flickr

 

Categories
Accountability insider corruption moral hazard national politics & policies porkbarrel politics too much government

Cronyism Pays

CATO, FEE, crony, cronyism, Washington, corruption, elites, lobbyist, politicians, privilege, power

Daniel Mitchell, a senior fellow in fiscal policy at the Cato Institute, is a nice guy. But he’s sort of depressing, too.

Weeks ago, writing for the Foundation for Economic Education (FEE), Mitchell offered that “The Washington, DC Gilded Class Is Thriving.” He even provided a “depressing chart” graphing “median inflation-​adjusted household income for the entire nation and for the District of Columbia.”

There is a graphic divide: while “the nation’s capital used to be somewhat similar to the rest of the nation … over the past 10 years, DC residents have become an economic elite, with a representative household ‘earning’ almost $14,000 more than the national average.”

Dan Mitchell highlights that “the entire region is prospering at the expense of the rest of the nation.” Among the nation’s counties, the top four wealthiest are in suburban Washington, D.C. The nation’s capital region boasts nine of the country’s top 20 richest counties. 

Now Mitchell’s back with another FEE column exclaiming more bad news: “The ROI for Cronyism is Huge.” (ROI is “return on investment.”)

Mitchell cites a study entitled, “All the President’s Friends: Political Access and Firm Value,” conducted by University of Illinois professors Jeffrey R. Brown and Jiekun Huang. “Using novel data on White House visitors from 2009 through 2015,” they explain, “we find that corporate executives’ meetings with key policymakers are associated with positive abnormal stock returns.…”

The authors find a lot evidence showing that “political access is of significant value to corporations.”

None of this should surprise. Cronyism pays, and it sticks close to power, even geographically.

This is Common Sense. I’m Paul Jacob.

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