Categories
free trade & free markets too much government

A Contorted Practice, Challenged

In his book Stuff White People Like: The Definitive Guide to the Unique Tastes of Millions, Christian Lander notes that “Yoga is essentially stretching with guidance.… . You might think that since yoga is such a minimalist activity, it can be done almost anywhere. But you would be wrong. Yoga must take place on hardwood floor at a studio. Exposed beams are generally believed to enhance yoga experiences by 40 percent.”

With this droll explanation in mind, you might think that much of the “specialness” of yoga depends on trivialities, like “$80 pairs of pants.”

But the state of Virginia harbors no such cynical thoughts. It understands the secret of yoga’s ancient allure: The great chain of instruction must be regulated by the state.

Virginians are free to do yoga, even in their own dingy homes, and to inappropriate music, say Bach or the Turtles.

Further, any Virginian may teach yoga. Hey, it’s a free state.

But under no circumstances may a Virginian teach another Virginian how to teach yoga — not without paying heavy administrative fees in the state’s vocational licensing system.

Silly, you say?

Yes.

Thankfully, the Institute for Justice teamed up with yoga-​teacher trainers Julia Kalish, Suzanne Leitner-​Wise, and Beverly Brown to challenge the law, on Constitutional grounds.

Now that’s soothing.

This is Common Sense. I’m Paul Jacob.

Categories
free trade & free markets responsibility too much government

Massive Failures

How many times, in the last year, have I heard praise for FDR’s banking reforms, even down to the specifics of federal deposit insurance?

The funny thing is, this factoid is false. Roosevelt opposed deposit insurance. Everyone did who at that time knew the history of the states that had experimented with this form of subsidy. Only logrolling pushed deposit insurance into law as a known special favor to small banks in rural areas — not to cure the nation’s ills.

The actual history and lessons of bank failures is explored by Charles Calomiris in a recent paper provocatively titled “Banking Crises Yesterday and Today.” According to this Columbia Business School professor, bank panics were not uncommon in the U.S., prior to the Federal Reserve in 1913. And the Fed pretty much stopped them. Massive bank failures, on the other hand, are different. Not unheard of elsewhere, massive failures had not been a problem in America leading up to that time. However, such failures became a problem a few decades later in the Great Depression.

Calomiris explains that such massive crises are brought on, chiefly, by institutional risk factors, like deposit insurance, government manipulation of the housing market to increase ownership through loosening of financial standards, and the “too big to fail” doctrine.

It turns out that honest standards, and not mammoth government subsidies and guarantees, prove the best way to prevent catastrophe.

This is Common Sense. I’m Paul Jacob.

Categories
national politics & policies too much government

Give Liberty a Chance

Give a golf club to Tiger Woods, and you know what to expect: Great golf.

Give the same club to Mr. Woods’s wife, and, well, you get something else again.

Give our politicians both a huge allowance and unlimited credit, and you get a batch of people unable to control their spending.

Expected, or unexpected?

Expected. Of course. We’ve come to expect this for a very long time. That’s why both the Federalists who wrote the Constitution, and the anti-​Federalists who amended it, were obsessively concerned with checks and balances, with limitations on government. 

Unfortunately, too often we speak of BIG government these days. But it’s not the size, as such, that is the problem. It’s the unlimited nature of it.

So when you have a chance to check government at the ballot box — say, in a state or local initiative or referendum — ask whether the measure limits government or unlimits it.

And, when considering a candidate, look for his or her promises about limits. If the candidate won’t limit spending in some very sure way, or the candidate’s own terms in office, then reject the candidate. Vote against. Go to the polls and write someone else’s name in, if that’s the only pro-​limit, pro-​liberty thing you can do.

We’ve got to put “limits” back into the conversation. Think constitutions. Think rule of law. Think liberty.

This is Common Sense. I’m Paul Jacob.

Categories
tax policy too much government

Words and Definitions

As a candidate, Barack Obama promised that he would not raise taxes on any but the wealthiest Americans. Make less than $250,000 a year? You’re home free under his administration. 

I mean, not counting current federal levies.

But President Obama has all the ambitions of a big-​spending liberal. And “big-​spending” translates pretty quickly into “big-​taxing.”

One of these projects is a massive new federal takeover of the health care industry, in the name of “universal coverage.” New taxes would be imposed. For example, anyone who refuses to sign up for health insurance in the new regime would be slammed with a hefty tax.

Obama denies that such taxes would in fact be taxes. He even rebuked George Stephanopoulos for citing a dictionary definition of the word. Leaping to the president’s defense, House Majority Leader Steny Hoyer agreed that the new taxes would not be taxes. “[W]hat we are saying,” Hoyer said, “is everybody will contribute … to making sure that health care options are available to all of our citizens.” 

Try dispute that. It’s like arguing with fog. Columnist Jacob Sullum quotes Hoyer and observes, “So we’re talking about a legally required contribution that will be used to provide a government-​arranged benefit. If only there were a shorter way of expressing that concept.”

Well, in searching for le mot juste, don’t tax yourself.

This is Common Sense. I’m Paul Jacob.

Categories
initiative, referendum, and recall tax policy too much government

Legislative Dreamin’

California voters love their state’s process for placing initiatives and referendums on the ballot. 

Legislators? Most take a much dimmer view. This year they’ve been blaming voters for spending the state into bankruptcy through the initiative. Additionally —  and please hold your laughter — they claim that initiatives have tied the hands of legislators who would otherwise have better managed the state’s finances.

Enter Bob Stern of the Center for Governmental Studies. At a recent public hearing of the Senate and Assembly Select Committees on Improving State Government, Stern told legislators, “Most of the ballot-​box budgeting has come from you.”

Stern was referring to a Center study that looked at all ballot measures over the last 20 years that required additional spending. Stern found that three out of four measures costing money were put on the ballot by legislators, not through the citizen initiative. He also found that the legislature’s own ballot measures cost the state $10 billion, while citizen initiatives cost only $2 billion.

Of course, an even bigger issue is the wild spending spree by California politicians with no ballot box input from voters at all. While state tax revenues have increased a whopping 167 percent over the last two decades, government spending shot up 181 percent.

Voters aren’t perfect, but anyone with a lick of common sense knows the answer to controlling government spending isn’t to free the politicians from voter restraint.

This is Common Sense. I’m Paul Jacob.

Categories
insider corruption too much government

Look for the Union Babble

I have a very controversial position today. Sorry if you disagree, but I feel I must speak out.

Here goes: In my view, it is okay for boy scouts to do good deeds.

There, I said it. Sorry if you find my view repugnant. Eh? What’s that? You agree with me? Great! I always prefer it when you and I are on the same page.

Sadly, though, the president of a Pennsylvania chapter of the Service Employees International Union does not agree. Nick Balzano is upset that 17-​year-​old Kevin Anderson cleared a path so people could better enjoy a river. Kevin is pursuing an Eagle Scout badge and did the work voluntarily.

Balzano threatened the city of Allentown because it had recently laid off some union workers. He thinks it’s a sin to not only reduce labor costs but also get some work done for free. I think Balzano should try for a couple merit badges of his own. Maybe a logic badge and a common sense badge, for starters.

Turns out a lot of people agree with me. Balzano has resigned in the wake of a firestorm of protest … without learning a thing, apparently. He insists he’s got nothing against boy scouts. He’s just “trying to protect my jobs.” 

Let’s hope his union never gets a city contract to help little old ladies cross the street.

This is Common Sense. I’m Paul Jacob.