Tag: Scott Walker

Categories
initiative, referendum, and recall too much government

Spending Cuts, Seriously

Taking on the government employees’ unions was a gutsy move for Wisconsin’s freshman governor, Scott Walker. Now facing recall, he’s caught in a swarm of controversy, his opponents as angry as bees near a kicked hive.

Nick Gillespie and Jim Epstein, in a Reason TV video segment called “3 Lies About the Wisconsin Gov. Scott Walker Recall,” look behind the hysterical denunciations and at the facts. All three of their points deserve consideration, but I’m most interested in the first, their debunking of the “lie” that “Gov. Walker Cut Spending.” Surprise, surprise — total spending in Wisconsin is going up:

Gov. Walker has cut the rate at which Wisconsin’s state budget is growing, but he hasn’t actually cut spending. In fact, the state’s biennial budget is scheduled to increase by about 3 percent on Walker’s watch, rising from $62.6 billion (2009-11) to $64.3 billion (2011-13).

We see the same disconnect at the federal level. A few Republicans present budgets that slow growth in spending, yet do not decrease spending in total. But, since we do see cuts here and there, to this program or that, Democrats take each minor cut as an occasion to scream and holler about how indecent and heartless “greedy Republicans” are for cutting spending.

And yet spending has gone up.

The complainers, by focusing on those few actual cuts, ignore the overall increases. They thus effectively demand that government spending increase always and everywhere.

While talk of Republican “cutters” must be taken with a grain of salt, it’s impossible to take their critics seriously at all.

This is Common Sense. I’m Paul Jacob.

Categories
initiative, referendum, and recall

Wisconsin’s Kumbaya Moment

With all our divisive politics, who would’ve thought it would take a spate of recalls in Wisconsin to bring folks together in democratic unity.

Whether we root for the blue team, the red one or seek a third color — green or something — we can all celebrate that an election was held Tuesday.

It was a special recall election of state legislators — made all the more special because it was called by citizens.

Miffed at Democrats for leaving the state to block a quorum in the senate or incensed at Republicans for passing legislation removing collective bargaining for most unionized state workers, Wisconsin voters didn’t just have to sit there and take it. Empowered by their state’s recall law, they gathered hundreds of thousands of voter signatures.

Six incumbent Republicans were on Tuesday’s ballot. Four held their seats and two were defeated by Democrats, who fell just one seat short of grabbing the majority. Two incumbent Democrats still face recalls next Tuesday.

The Progressive Change Campaign Committee told supporters:

Last night, we stood in a crowded square outside the state Capitol in Madison. Teachers, fire fighters, police officers, moms, and dads chanted, “This is what democracy looks like.”

Republicans and Tea Party leaders declared victory in maintaining the majority. Gov. Scott Walker, perhaps the subject of a recall next year, told the MacIver Institute, “I’ve had great confidence in the voters.”

It’s a Kumbaya moment! At least, as close as we’re likely to get.

This is Common Sense. I’m Paul Jacob.

Categories
free trade & free markets too much government

A Necessary Solution?

Wisconsin Governor Scott Walker is playing hardball. On Meet the Press, he defended himself:

Wisconsin is “broke,” and unions use their power to block necessary cost-saving measures, Walker said.

“It’s about time somebody stood up and told the truth in this state, and said, ‘Here’s our problem, here’s the solution,’ and acted on it,” he said.

But how sensible is his proposal to remove collective bargaining regarding benefits for most public employee unions? As everyone points out, the unions are agreeing to his other proposals, such as paying for more of their insurance than before.

Why is he being so unreasonable, so “arrogant”?

Last Sunday, I considered the whys on Townhall. Contracts with public employees are completely out of whack because compensation is negotiated outside market competition and by politicians more afraid of the political clout of the powerful unions than their principals (the taxpayers) whose money they’re spending. So, wage rates and especially promises of future medical and pension benefits are sky high and open to abuse.

The union reps can’t be trusted, either. So honed to getting the most for union members (their principals), their monomaniacal purpose washes away every other thought. Now that the corner they’ve shoved the state into has been made apparent, they’ll concede points, sure. But taking away bargaining leverage?

No way. They want to be able to do it all over, when good times roll.

And that is why Gov. Walker’s proposal seems so sound.

This is Common Sense. I’m Paul Jacob.

Categories
tax policy

A Chill Hits Illinois

That big bump in the night? It was the sound of a massive new tax increase dropping on the backs of Illinois citizens and businesses.

Not long after midnight, Wednesday morning, mere hours before the newly elected legislature was to be sworn into office, the state’s lame-duck legislature voted to increase the personal income tax by a whopping 67 percent and the business income tax by nearly 50 percent.

That’s lame, all right.

Governor Pat Quinn, who had campaigned in favor of a smaller increase, will sign the bigger tax hike. “Our fiscal house was burning,” he said in its defense.

Is the fire now out?

Well, there sure is a lot of smoke, and where there’s smoke, there’s . . . a lot of people making a quick exit.

Remember, people can vote with their feet. “Leaving Illinois,” a study by the Illinois Policy Institute, points out that between 1991 and 2009 Illinois lost one resident every ten minutes.

That’s $16.9 billion in lost state and local tax revenue.

So Wisconsin Governor Scott Walker was quick to offer a safer haven. “In these challenging economic times while Illinois is raising taxes, we are lowering them.”

As William Brodsky, chief executive of CBOE Holdings Inc, argues, “Merely throwing tax dollars at a broken system, without overhauling the expense side of the ledger, compounds the problem. . .” Bemoaning Illinois’ lost tax advantage in attracting business, Brodsky remarked, “They don’t come here for the weather.”

This is Common Sense. I’m Paul Jacob.