Category: free trade & free markets

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Common Sense folly free trade & free markets general freedom too much government

Despotic Denver?

Chicken Politburo, politics, photomontage, Paul Jacob, James Gill, collage

In what sort of place does the government get to determine whether you can open a restaurant at an airport, according to whether your political beliefs line up with the politicians in power?

Iran? North Korea? Egypt? China? Cuba? The old Soviet Union? Russia today?

Actually, over far too much of our beautiful globe the marketplace is not anywhere close to free. Instead, it’s maniacally manipulated of, by and for those wielding political power.

Including in Denver, Colorado.

“Chick-fil-A’s reputation as an opponent of same-sex marriage has imperiled the fast-food chain’s potential return to Denver International Airport,” reports The Denver Post, “with several City Council members this week passionately questioning a proposed concession agreement.”

The article notes that the “normally routine process of approving an airport concession deal has taken a rare political turn. The Business Development Committee . . . stalled the seven-year deal with a new franchisee of the popular chain for two weeks.”

Popular?

Yes, extremely popular . . . with customers. A senior airport concessions executive said the restaurant was “the second-most sought-after quick service brand at the airport” in a 2013 survey.

Not popular among politicians, however, who claim concern about DIA’s “reputation.”

That’s about it, really. The company itself isn’t accused of any form of illegal or politically incorrect discrimination. It is merely that the company’s ownership and management have expressed disreputable (to some) opinions. And might donate a portion of its profits to political causes that politicians on the Denver City Council don’t approve of.

In a foreign country, with an unfamiliar cause, almost no one would hesitate to call this what it is: despotic.

This is Common Sense. I’m Paul Jacob.

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Chicken Politburo, politics, photomontage, Paul Jacob, James Gill, collage

 

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Common Sense crime and punishment free trade & free markets general freedom nannyism responsibility too much government

Must the War Go On and On?

Addiction

I was still a kid, but I remember: as the Vietnam War dragged on, and on, we Americans continued to receive hopeful missives about how the next assault, or regroup, or dedication of manpower and weaponry, would lead to better results.

That’s what came to mind as I read the latest dispatch from the War on Drugs, in the Los Angeles Times. “White House announces push to combat growing heroin epidemic,” ran the headline.

So, it’s growing again? Haven’t I read this about a thousand times?

Talk about a familiar story:

The path to heroin addiction and overdoses can begin when patients are legally prescribed drugs containing opium, said Dr. Walter Ling, professor of psychiatry and founding director of the Integrated Substance Abuse Program at UCLA. . . .

“Once they get hooked they find out it’s very expensive to get these medicines and it’s much cheaper on the street. . . . That leads to street heroin abuse, which leads to the increase in opium overdoses,” Ling said.

But the rest of the story? Not reported.

Oh, sure: we were regaled with how dangerous the cheap street drugs are, because of how they are diluted. What we are not told, though, is that this is not a characteristic of heroin, as such, but of illegal heroin.

Decriminalize it. Let the legitimate market do what black markets cannot: provide responsible information that would discourage accidental overdoses.

Instead, we have a new and futile $1.3 million plan.

We’re overdosing on government. The cure is to cut down government to the proper dose.

This is Common Sense. I’m Paul Jacob.

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Addiction

 

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free trade & free markets general freedom individual achievement

Call for Great Communicators

Great Communicators Tournament

Money can’t buy me love. So, the $10,000 first prize in the Second Annual Great Communicators Tournament doesn’t matter to me at all. Nor does the $5,000 second prize entice me, and certainly not the $2,500 for third place.

You, however, may be fond of money.

And if you can effectively communicate the freedom message, this contest is well worth joining. But the deadline — THIS FRIDAY, August 7 — is fast approaching.

The tournament’s “goal is to identify . . . and promote individuals who can effectively and persuasively discuss and defend the free market and the founding principles.”

It’s the brainchild of the folks at Think Freely Media — the good souls who sponsor this Common Sense program. They know that liberty advocates must take the moral high-ground in making the case for freedom, and not merely argue by empirical analysis.

The competition is easy to enter. No later than midnight this Friday provide a 1-3 minute video of yourself addressing one of several issues listed on the contest website.

“Videos should be . . . clear and concise, make sure . . . that you use moral, not material, arguments,” contestants are informed. “We’re looking for solid arguments and messages, not flashy production value.”

Your video will be posted, so a combination of public voting and deliberations by the Think Freely staff and judges will identify twelve semi-finalists. These twelve will then compete in person for the top prizes at the State Policy Network’s Annual Meeting in Grand Rapids, Michigan, in September.

Why not see just how talented a communicator you are? And perhaps get even better . . . at growing liberty.

This is Common Sense. I’m Paul McCart . . . er, Paul Jacob.

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Great Communicators Tournament

 

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Common Sense folly free trade & free markets general freedom national politics & policies

Cruz “Loses”

Koch Brothers, Ted Cruz, political, politics, collage, photomontage, conspiracy, secrets, LA Times, Campaign Finance

When Sen. Ted Cruz gave an impassioned speech on the Senate floor, last week, he ruffled a few feathers. Calling Senate Majority Leader Mitch McConnell a liar in front of everybody is just not done. “Elder party statesmen have not been amused,” the Los Angeles Times reports:

On Sunday, 81-year-old Orrin G. Hatch of Utah, the GOP’s most senior senator, opened the chamber’s session with a reminder to colleagues of the ground rules.

“Squabbling and acrimony may be tolerated on the campaign trail,” said Hatch, who urged senators colleagues toward comity and decorum, and to keep their egos in check.

Cruz defended himself. “It is entirely consistent with decorum . . . to speak the truth.”

The “squabble” was over the Export-Import Bank, mainly. Cruz blurted out how McConnell had betrayed his own party members in the Senate by cutting a backroom deal for the crony-capitalist moral hazard that is the Ex-Im.

Regardless (or because of?) Cruz’s truth-telling, the Senate rebuffed Cruz and “voted to advance the Export-Import bank and deny the presidential hopeful a vote on his amendment.”

Crony capitalism continues.

But note an odd aside in the LA Times’s account. The paper went out of its way to identify Ex-Im as “opposed by the powerful Koch brothers but supported by a bipartisan coalition of business interests, including the U.S. Chamber of Commerce.”

The Kochs were brought up . . . for what reason?

So vilified by the left, these days, the Kochs are a red herring . . . which the Times threw into the issue like an Erisian apple, nudging Democratic readers not to sympathize with Cruz.

We can’t have his anti-crony-capitalist stance attract Democratic readers, now, can we?

This is Common Sense. I’m Paul Jacob.

Import-Export Boogymen

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Common Sense folly free trade & free markets general freedom national politics & policies too much government

Fifteen or Fifty or Zero?

Finding the Right Balance

Washington Post columnist Catherine Rampell just stumbled into a truth. Raising minimum wages could be disastrous. Depending on the rate.

While “Bernie Sanders, Martin O’Malley and a host of other well-intentioned liberals want to hike the federal minimum wage to $15 an hour,” she calls the proposal “badly misguided.”

And yet she says that the current federal wage floor, at “just $7.25 an hour . . . is absurdly low.”

Why, this Friday, she notes, marks six years since the last minimum wage hike!

Rampell recognizes that raising the minimum wage to $50/hour would cause unemployment, massively. She also realizes that, in many low-wage states, the mere $15 rate would do the same. But raising “the federal minimum wage to $10.10”? Might work! “This is a trade-off . . .”

Yes. Stop right there. Trade-offs, indeed.

She wants us to think about getting the rates right.

Employers and job-seekers do that already, in the marketplace. If businesses don’t pay enough, the workers will move on to employers who will. Force businesses to hire workers for more than their productivity? Unemployment results.

A minimum wage rate helps some and hurts others. Rampell admits that, appearing to “accept” 500,000 people losing their jobs as collateral damage to boost wages for others.

Her proposed fine-tuning of rates supposes that politicians have greater knowledge about the “proper” price of labor than employers and job-seekers. Moreover, she ignores the inevitable political game, whereby politicians take credit for rewarding some, while hiding the costs imposed on others.

Finding the “right minimum wage” rate is mainly about hiding the victims . . . so voters won’t notice.

This is Common Sense. I’m Paul Jacob.

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Finding the Right Balance

 

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folly free trade & free markets general freedom individual achievement national politics & policies

Work Longer?

Work more

Set aside all the snake oil that sleazy, slippery-tonged solons have sought to sell us, now comes the Bush behind Door #3 to tell the teeming masses of tailing media what we need to do . . . if Americans want to grow economically as a country, and succeed individually.

We need to work more.

Former Florida Gov. Jeb Bush was just casually tossing about that four-letter word in a recent meeting with the editorial board of the Union Leader in Manchester, N.H.:

My aspiration for the country and I believe we can achieve it, is four percent growth as far as the eye can see. Which means we have to be a lot more productive, workforce participation has to rise from its all-time modern lows. It means that people need to work longer hours and, through their productivity, gain more income for their families. That’s the only way we’re going to get out of this rut that we’re in.

Work more? Harder? Longer?

How dare Jeb suggest that our future success, together or individually, should be dependent on us . . . of all people?

Democrats immediately pounced. A statement from the Democratic National Committee called Bush’s remark “easily one of the most out-of-touch comments we’ve heard so far this cycle.”

“Americans are working pretty hard already & don’t need to work longer hours,” tweeted John Podesta, chairman of the 2016 Hillary Clinton presidential campaign, “they need to get paid more.”

We all “need” a lot of things. The point is we are all better off when we go out and earn what we need.

Well, that’s my point, anyway.

And, perhaps, Jeb Bush’s.

This is Common Sense. I’m Paul Jacob.

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Work more

 

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folly free trade & free markets general freedom national politics & policies too much government

A British Puzzle

White labor and minimum wages

Most folks think minimum wage laws are there to help the poor in particular and everybody in general. But economist Scott Sumner, exploring “Britain’s new minimum wage: Is there a hidden agenda?” finds Britain’s new Tory double whammy of decreasing welfare payments while hiking mandatory minimum wage something of a mystery:

Why would a Conservative government sharply increase the minimum wage, in a budget that in many other respects favored small government? The minimum wage is currently 6.50 pounds/hour, and 9 pounds/hour is almost $14/hour in US terms. Also recall that average incomes in the UK are lower than in the US.

He finds a possible reason: to dissuade immigration. Migrants usually have low skills, in part because of language difficulties, so they cannot command high wages — market wages, of course, being defined by worker productivity.

Could the new minimum wage be there to influence migration without doing so directly?

Sumner goes on to discuss the racist origins of the minimum wage in America, Australia, and South Africa. The purpose was pretty clearly to hurt poor workers. Minimum wage laws were established to protect white workers from cheap competition by darker skinned folk.

Sumner’s postscript is interesting: “The [American] Democratic surge of interest in the minimum wage occurred soon after the GOP surge of interest in immigration restriction. Let’s see if the GOP jumps on the minimum wage bandwagon.”

Of course, for every advocate of a class-based, favoritist policy who argues deceptively, there are dozens who are merely mistaken.

This is Common Sense. I’m Paul Jacob.

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White labor and minimum wages

 

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education and schooling free trade & free markets general freedom too much government

The Pushers

Lunchroom Black Market

When I was a teenager, my mom attended nursing school and became very interested in nutrition. This had consequences.

She stopped buying sugary cereals, for instance. Well! We could not supinely accept this. My younger brother hid Cap’n Crunch and other stuff like that under his bed; and when we wanted a bedtime snack, we’d find him and barter on the black market.

I cite those halcyon days of determined resistance as a relatively benign example of adults regulating kids. Parents have that job. Mom was certainly within her rights. Yet children, although they should gladly obey all reasonable parental injunctions, can only be expected to resist when parental prerogatives stray into sugary-cereal-banning territory.

How much more enthusiastically, then, must we cheer kids who valiantly evade not the proper authority of parents but the improper, pushy, Puritanical programs of joy-stomping institutional busybodies?

Now, I know what you’re thinking. “Are you by any chance referring to the efforts of Michelle Obama and snivelingly acquiescent educrats to expel anything tasty from school lunchrooms across the land, as if innocuous condiments were the equivalent of strychnine?” Correct!

I’m also talking about kids “caught bringing — and even selling[!!] — salt, pepper, and sugar” to rescue their taste buds from the arbitrarily bland fare.

Good going, guys! And if moms and dads want to take this Declaration of Independence even further, let them yank their kids out of these places and find another way to teach them the ABCs.

This is Common Sense. I’m Paul Jacob.

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Lunchroom Black Market

 

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Accountability free trade & free markets

The Fed Feeds a Scam

D. Stockman

Real and effective “anti-establishment” ideas come from unexpected places. That is, they are unexpected if you read only the dominant media and its insider sources, or follow politics only during the quadrennial presidential farce.

Quite a few news junkies would be surprised at David Stockman’s critique of current Federal Reserve behavior and policy, for example. In “Why Ronald Reagan Is Rolling In His Grave: The Keynesian Putsch At The Fed,” he charges the central bank with having managed “an economic coup d’etat” by engaging in an ongoing wealth redistribution scam — shoveling wealth to the rich.

Stockman sees the confidence of Fed Chair Yellen’s macro-policy micromanagement agenda as a scary case of hubris, of self-appointed effrontery. “Yellen & Co believe they are in charge of virtually everything on the main street economy . . . based on nothing more than their own subjective and unexplained wisdom.”

Stockman is in high form, here. Yellen’s latest pronouncement, he says, is “unaltered Keynesian claptrap. It is the arrogant over-reach of a model-obsessed academic zealot who has no respect whatsoever for the real main street economy and for the historically proven truth that free markets are the best route to prosperity and higher living standards for the people. . . .”

Her policies, he claims, amount to “‘trickle down’ economics with malice of forethought.”

Does that sound Bernie Sanderish to you? It shouldn’t.

The case for limited government and against the Fed (and federal government management in general) are that it is modern unlimited government that serves the few at the expense of the many. Stockman is just restating very old wisdom.

Remind your Occupier friends of this. They are on the wrong team.

This is Common Sense. I’m Paul Jacob.

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D. Stockman

 

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folly free trade & free markets

Prophecy Failed

Eggs, New York Times, Economics, collage, photomontage, http://cognitivebiasparade.prosite.com/

In the first week of June we were told to expect egg shortages. The avian flu had infected millions of hens: egg production would plummet.

This was news, reported as “Egg Rationing in America Has Officially Begun.” The Washington Post cited a few signs in Texan retail groceries warning customers that the stores were not in the wholesale biz, supplying eggs for restaurants and the like.

And then the follow-up: On Tuesday the New York Times reported, “Bird Flu Sends Egg Prices Up, but Slowing Demand Prevents Shortages.”

Author Stephanie Strom is probably not responsible for the title. Her copy was not horrible.

It’s hard to get over the title, though. Economist Mike Munger offered his reaction headline: “NY Times Causes Head of Mungowitz to Explode.”

Why?

One word: “but.”

The title should have read, “Bird Flu Sends Egg Prices Up, So Naturally Slowing Demand Prevents Shortages.”

Why that “slowing demand”?

I’ll let Munger explain it:

There can never, NEVER be a shortage if prices are free to adjust. Because a shortage is insufficient supply at current prices. Lagniappe: This was in the “Science” section. Yes, it was.

People buy less when prices rise. So those who value eggs less cede those humpy dumpties to folks who want them more. Fitting. Harmonious!

So the title was witless, Munger insists, “on the order of ‘Water:  Still Wet!’ or ‘That Crazy Sun:  Rising in the East Again This Morning.’”

I like “good news” stories. Too bad the Times wasn’t quite up to delivering the good news that was clearly fit to print.

This is Common Sense. I’m Paul Jacob.

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Eggs