Categories
free trade & free markets national politics & policies too much government

Don’t Kill The Angels

President Obama is blasting what he calls “the furious efforts of industry lobbyists” to fend off tighter regulation of the financial industry.

Pretending that Fed credit expansion and governmental incentives to take on temporarily cheap mortgages had no part in the current crisis, officials carefully direct our attention elsewhere. Widespread moral hazard stemming from bailouts, both guaranteed and implied? Shhhh.

But the government, uninterested in regulating itself and its own excesses, is instead targeting you and me.

“Tighter regulation” means less freedom to make your own decisions about your own time and resources.

Venture Beat magazine reports on a provision of Senator Chris Dodd’s proposed reform that would make it much harder for so-called “angel” investors to fund new start-ups.

An angel investor is somebody willing to fund a new business with his own wealth, even when venture capitalists managing others people’s funds decline to invest. Dodd’s bill would force start-ups raising funds to register with the SEC and wait 120 days for the filing to be processed. It would also increase the minimum capital that “accredited investors” must have in the bank before the government will permit them to invest.

Based on nobody’s considered judgment about a particular venture but only on lawmakers’ nebulous fear of entrepreneurial risk, the proposed law would kill in the crib many pioneering and timely, must-act-now innovations.

Accidentally, I’m sure, current businesses would be spared competition from upstarts.

And this is supposed to help the economy?

This is Common Sense. I’m Paul Jacob.

Categories
folly

The Finger of Terror

One of the most chilling spectacles ever to confront a Houston middle school functionary recently turned the legs of Taylor Trostle’s math teacher to jelly.

And her heart to stone.

According to the unnamed teacher’s write-up of the incident, Taylor was caught “putting her hand in the shape of a gun, making the firing noise with her mouth and pointing it in my direction.”

Could the teacher honestly have perceived the gesture as a “terroristic threat”? Index fingers rarely fire; clipped fingernails contain no ammo clips.

Turns out, Taylor and a few classmates had been fooling around a few minutes before the bell, pretending to be police. Taylor says, “I was shooting the markers at the front of the board. . . . I was like ‘pow pow’ and then she just turned around.”

Others playing the game escaped penalty because they were facing another direction. But the school suspended Taylor for three days. Thus, even the unpremeditated restlessness endemic among those navigating their awkward years can get you labeled a terrorist, courtesy of the deliberately dumb “zero tolerance” policies of many schools.

Had this been an actual “terroristic threat,” more would presumably have been done to secure the premises, like calling in SWAT teams and violence consultants. But the school wasn’t countering a genuine threat. Just “following the rules.”

Maybe a spate of lawsuits against schools that mindlessly harass students would encourage educrats fearful of litigation to make a few concessions to common sense.

This is Common Sense. I’m Paul Jacob.

Categories
ballot access initiative, referendum, and recall local leaders

A Representative

Missouri State Senator Jim Lembke is a hero . . . just for listening.

Senator Lembke helped protect his state’s initiative and referendum process by defeating legislation passed by the House with several restrictive provisions, some already ruled unconstitutional in other states. One provision aims to restrict citizens from petitioning for more than one initiative at a time, which would effectively block eminent domain reformers working on two separate measures.

That same unconstitutional legislation just passed the House again. And again, citizens need the help of Lembke and the Senate.

But the senator has also introduced Bill 818, which would do three simple things. First, it protects voters from having their petition signatures discounted for minor technical errors. Second, it makes it unlawful to purposely mislead signers or to harass or intimidate those signing or circulating a petition. Third, it provides judicial deadlines so that opponents could no longer challenge an initiative’s ballot title and hold it up in court so long that the time to gather signatures is exhausted.

On Monday, a Columbia, Missouri, radio station interviewed Sen. Lembke. The host asked him why he introduced his bill. He said people had talked to him about their experiences with the petition process, and he listened.

Sounds simple, really. More legislators should try it.

We at Citizens in Charge Foundation gave Lembke the April 2010 Lilburne Award. We hope it encourages Lembke and his colleagues to continue to fight for initiative rights.

This is Common Sense. I’m Paul Jacob.

Categories
political challengers

If This Be . . .

Joe Klein, author of Primary Colors and contributor to Time magazine, is very defensive about criticism of the current administration and Congress.

Of Sarah Palin and Glenn Beck, he says the two talk “borderline sedition.”

Nice hedge, that word “borderline.”

But he’s merely repeating something he wrote last year about Senator Tom Coburn. The Oklahoma senator, responding to the Democrats’ extremely unpopular (and later successful) machinations to enact a form of national medical insurance, said that he understood why some would give up on their government. For this, Klein dubbed Coburn’s comments “borderline sedition” as well as “hate speech.”

How do I see it? Well, to note that Congress is unresponsive to Americans (and thus a cause for hopelessness) is not even close to sedition. It’s to recognize the obvious.

I’m not saying it doesn’t incite a kind of rebellion. But remember: In America, rebellion against those in charge is not just allowed, it’s been institutionalized.

The institution is called “elections.”

The current unrest in America — exemplified, at present, by the “Tea Party” protests — seems to be very much a patriotic thing. If the bulk of Democrats and Republicans get targeted as deserving to go, then the means to their removal is obvious. It comes next November, and in November 2012.

And it does not mean that restive American critics of unconstitutional government and habitual over-spending are not “loyal to the most important American ideals.” It means they understand these ideals better than does Joe Klein.

This is Common Sense. I’m Paul Jacob.

Categories
national politics & policies too much government

Quick! Stop the Rescue!

If there’s anything worse than running a state into the ground, it’s turning that state around.

Such seems to be the attitude behind yet another “bailout” program being mulled over by our congressional overlords in Washington, DC.

Over at National Review Online, Daniel Foster calls the Democrats’ proposed $23 billion fund for preventing teacher layoffs a “putting off hard decisions” fund. Pitched in the direction of Foster’s own state, New Jersey, the giveaways would sabotage efforts by the new governor, Chris Christie, to close a looming budget deficit for fiscal year 2011 of more than $10 billion.

The Garden State’s budget for fiscal year 2010 was about $30 billion. Christie is trying to cut funding to school districts. He has pledged to restore the funds in districts where teachers agree to a one-year pay freeze and to contribute a small bit of their salary (1.5 percent) to help pay for their own health insurance. Currently, most pay nothing.

But if the federal government flings borrowed largesse that makes the state’s budget cuts irrelevant, teachers will have much less incentive to cooperate with even marginally more responsible policies.

Perhaps that’s the goal for Washington’s big spenders. After all, if folks could get their fiscal houses in order without handouts from the spendaholics in DC, there’d be no need for such handouts.

And then just how “important” would those politicians be?

This is Common Sense. I’m Paul Jacob.

Categories
political challengers

Merging or Diverging?

We live in interesting times. Strapped for cash, local and state governments are cutting spending and raising taxes. The federal government, with its chummy relationship with the Federal Reserve and our money supply, along with a shopaholic’s addiction to debt, continues to spend at record rates.

In this context, perhaps it is not so shocking that Congressman Ron Paul, known for being tight-fisted on spending, and for his push to audit the Fed, is basically even in a head-to-head match-up with President Obama. A Rasmussen Poll ticked Obama at 42 percent against Paul at 41 percent.

Interestingly, only 66 percent of Republicans chose Paul. It’s independent voters who are nearly 2-to-1 for Paul over the President.

Why do Republicans hesitate? Paul is a severe critic of the Republican Establishment, especially the GOP’s recent fondness for undeclared wars.

Meanwhile, the Tea Party movement is being courted by Alaska’s Sarah Palin and Minnesota’s Michele Bachmann. Representative Bachmann went so far to say that the GOP and the Tea Parties are merging.

I hope not. The main unifying feature of Tea Party protests remains out-of-control federal spending and borrowing. The GOP did nothing to curb this problem when it was in charge.

Both parties created the problem, as Rep. Paul points out. That’s why the Tea Party will be more effective as an independent political force, rallying Americans to hold both parties and all public officials accountable.

This is Common Sense. I’m Paul Jacob.

Categories
national politics & policies tax policy too much government

Commiserations on Tax Day

It’s April 15, my eldest daughter’s birthday. I used to tell her she wouldn’t have to pay taxes like everyone else, because IRS folks wouldn’t dare make her file on her birthday, would they?

Seriously, when it comes to family and taxes, I’m just glad that my wife does all the work.

My job is getting the birthday cake.

You can understand why I’d shirk the tax work. There are 40,000 sections to the tax code, and no one understands it all.

This complexity has costs. And not just to my sanity. A whole industry has risen to ease the burden of figuring out our taxes. One hates to begrudge anyone an honest living, but really, most of today’s tax accountants would better serve humanity in some other job.

Simplifying taxes should be as important as tax reduction. Instead, because our representatives and our president just cannot stop themselves from spending more and more of our money, they are raising taxes. It’ll be on the proverbial rich, in the immediate future, but they won’t stop there.

They can’t stop there.

Why? Because if you took all the wealth — not just the income, but all the wealth — from every millionaire in the country, you still couldn’t pay all the future obligations of the federal government.

My darling daughter aside, April 15 is no day to celebrate. It’s tax day, and it marks the degradation of our nation at the hands of our politicians.

This is Common Sense. I’m Paul Jacob.

Categories
free trade & free markets too much government

Carrying On About Carry-Ons

Poor Chuck Schumer. A vendor now charges for a service that it didn’t previously charge separately. So the senator wants to outlaw this.

“Airline passengers have always had the right to bring a carry-on bag” without separate fees, Schumer fumes. It’s a “slap in the face to travelers” that some airlines now consider charging for carry-on bags, a policy already in place at Spirit Airlines.

Horrors! The ugly spectacle of businessmen acting as if they . . . have the right to run their businesses freely, not merely as lackeys of congressional overseers.

Spirit, which is simultaneously reducing base ticket prices, says airplanes will empty faster if there’s less luggage looming overhead. I don’t like paying the fees, but airlines do have costs. And competition. An airline that kept heaping up fees until it was charging $1,800 per ticket wouldn’t get off the ground. Not if another airline was charging far less for the same journey.

The proper response to terms of trade that one dislikes is to complain to the vendor, take one’s business elsewhere, or both — not to decry any scrap of autonomy as a “loophole” in a regulatory regime not yet exhaustively draconian.

Yes, let airlines charge for carry-ons. And let Schumer take the bus to and from DC. This will give him less time to pursue phony-baloney crusades.

This is Common Sense. I’m Paul Jacob.

Categories
general freedom initiative, referendum, and recall Tenth Amendment federalism

Wayward States?

While Washington, DC, steps in to take over responsibility for determining just how much and what kind of medical insurance we should buy, the states march, instead, towards personal responsibility, defending a right to self-medication.

More than a dozen states have enacted medical marijuana laws, in defiance of Congress and Executive Branch nannies.

Now, California’s initiative to legalize recreational use of marijuana, or cannabis, has garnered enough signatures to qualify for November’s ballot. Oregon has a measure in the works, too, as do other, less bellwether-worthy states. You can follow the story as it develops on Ballotpedia.org.

California, the state most addicted to politicians (having the highest citizen-to-representative ratio in the union) also has one of the union’s most severely messed-up budgets. Barring cuts, the state needs money. Legalizing and taxing Americans’ favorite weed might help out, some advocates think. No wonder the initiative is popularly known as the “Tax Cannabis Act.”

We’ve heard this story before. The Great Depression allowed the repeal of the 18th Amendment. The Progressive Era’s crowning achievement in social control, the prohibition of alcohol, was seen by the world as weird, and by those who admired the original Constitution of the United States as rubbing against the grain of American liberty.

But it wasn’t freedom advocates who ended Prohibition. It was the separate states seeking revenue from selling booze.

Ah, politics. Nasty when going wrong. Messy when going right.

This is Common Sense. I’m Paul Jacob.

Categories
general freedom too much government

Prisoners of Conscience

The crusade against political dissent under Venezuelan socialism rages on. The latest victim of President Hugo Rafael Chávez Frías is former presidential candidate Oswaldo Ålvarez Paz. In March, Paz contended that Venezuelan officials had ties with drug traffickers and terrorists. For articulating this conclusion he is charged with “conspiracy” and “spreading false information.”

The president of the Human Rights Foundation, Thor Halvorssen, notes: “Ålvarez Paz said Venezuela was ruled by a ‘totalitarian regime.’ The Chávez government disagreed so strongly with this that they proved him right by arresting him and keeping him imprisoned.”

Guillermo Zuloaga, who owns the independent television network Globovisión, on which Paz uttered his opinion, was also arrested recently for saying things “offensive” to Chávez.

Touchy, touchy, El Presidente.

“If the Venezuelan government can imprison a former presidential candidate and the head of the country’s only independent TV network because their opinions ‘offended’ the president,” asks Javier El-Hage, HRF’s general counsel, “then what options are left for a college student who wants to protest against the government, or an independent journalist wanting to write a critical investigation?”

The Human Rights Foundation is one of many organizations rebuking Chávez’s conduct and calling for the release of persons arrested for what has been called the “crime of opinion.” They will have earned a large share of the credit if Chávez is ever forced to change course — or Venezuela manages to change course by getting rid of Chávez.

This is Common Sense. I’m Paul Jacob.