Showing posts with label Economics. Show all posts
Showing posts with label Economics. Show all posts

July 30, 2012

"Well, I Didnt WANT To Say That."

I wish that some of the writers out there would learn the difference between the terms "said" and "meant." For example, Greg Sargent, over at The Washington Post, who just posted an op-ed titled "Why Romney Keeps Attacking Things Obama Didn't Say." It's one thing to argue that Obama's "you didn't build that" quote means this or that, in which case you'd have to admit that if it means anything other than what the Romney camp is implying it means, then the Great Orator...well, screwed up. He could have said, for example, "you didn't build that on your own." Three simple words. Problem solved. What you can't do, however, is argue that's not what he said. He did. Period.

This is also not a situation in which the words have somehow changed. For example, Romney's quote "I like being able to fire people," an endorsement of accountability in private enterprise over lack of accountability in government, somehow (gee, I wonder how) became "I like firing people," as though he took glee in the actual deed. (Go ahead, Google "Romney I like firing people" and see how many people changed the wording.)Here, the words are actually changed, thereby distorting the meaning.

In Obama's case, as I said, you'd have an argument if he had said "you didn't build that on your own," and they cut out the last three words. But he didn't, and they didn't. And can we dispense with the bullshit idea that his "that" somehow referred to the "bridges and roads"? That doesn't even make grammatical sense. You'd have to say "those" because of the plural antecedent.

 So go ahead and argue what the words mean if you want, but what team Obama still hasn't addressed is who else deserves the credit for that business. I've pointed out before that he "borrowed" this idea from Elizabeth Warren, who was much more artful (and specific):

There is nobody in this country who got rich on his own — nobody. You built a factory out there? Good for you. But I want to be clear. You moved your goods to market on the roads the rest of us paid for. You hired workers the rest of us paid to educate. You were safe in your factory because of police-forces and fire-forces that the rest of us paid for. You didn’t have to worry that marauding bands would come and seize everything at your factory — and hire someone to protect against this — because of the work the rest of us did. 

The thing she doesn't define, though, is "the rest of us," just as Obama doesn't say who the "someone else" is. The truth is that if you're going to talk about things built by the government, "the rest of us" must be "taxpayers," which means she's ultimately implying that about half the country is not really responsible for the country. It also--ironically--means that the people she's proposing raising the taxes on because they weren't responsible for building roads, etc., are the very same people whose taxes are responsible for...building roads, etc.

Just take government out of the equation altogether. If instead of having those business owners pay taxes to the government, which then used that money for various programs, the businesspeople used their own money directly for those same programs, would anybody question if they were dependent on someone else? It's like arguing that people who donate to charities should acknowledge that they're not solely responsible for those donations--the charity and the charity recipients also deserve some credit. The former because they collected and dispersed the money, and the latter because...well, because they're also people, I guess. The problem is, you could still have charitable donations without charities or recipients, but without the donors, the other two are sunk. And I think, ultimately, that's what's so disappointing (and revealing) to so many people about what Obama said/meant: he gets it backwards. What he ought to be doing instead of reminding taxpayers that they wouldn't succeed without government, is acknowledging that government wouldn't exist without taxpayers.

UPDATE: It's an interesting illustration of bias, I think when you look at the fact that over at Politicfact, Team Romney's claim that Obama said "You didn't build that" (which he did)? "False!" The claim that Romney likes firing people (which is not what he said)? Ehhhh..."mostly false."

July 22, 2012

Let's (Not) Go To The Videotape...

Democratic stalkers. Wow. Did they learn nothing from the Giffords' incident? This crosses a line. If I were one of those Democrats up for re-election this year, I would get my ass in front of the cameras as fast as I could to denounce this type of thing.

Also, good for you, Whoopi:
Even ultraliberal talk-show host Whoopi Goldberg said she thinks her side of the aisle has gone too far. “I only think that’s valid if you yourself, Democratic people, are showing your houses and your families,” Miss Goldberg said on ABC’s “The View” on Monday. “Families are off-limits. Showing where somebody lives is off-limits. What the hell is wrong with y’all?”

I should also point out that Roll Call lists 7 Democrats among the top 10 richest members of Congress. Given that, and that nearly 50% of Congress happen to be millionaires, is this really a tactic the Democrats want to go with?

July 19, 2012

Maher-Ginalizing The Left

Apparently, this is what passes for insightful commentary on the left these days:

Maher pontificates in that smug, condescending manner of his, and hopes, I guess, that people won't call him on his bullshit. (I suppose if you do so on your own show, with a friendly audience and guests, that's probably true.)

Unfortunately for Bill, the reality isn't "simple." The problem is that taxes have already been signed into law; they just haven't taken effect yet. Here are 21 of them. You'll notice that two that have already kicked in--taxes on tanning and smoking--are clearly behaviors only practiced by the super-wealthy. (Actually, if these taxes remain, you'll probably be able to read that sentence without the slightest hint of the sarcasm with which I wrote it.)

We can argue all day long about whether those are worthwhile taxes or not, but the fact is that they exist. Maher trying to distract you with a silly hat doesn't change that.

I suppose he could argue that those taxes don't count because he's talking about what taxes did, not what they're going to do. To that, I would remind him that paying a woman for sex afterwards instead of beforehand doesn't make her any less of a hooker.

And finally, I have to admit that I don't know just when he said this. It may have been before Obamacare (which contains most of the taxes) was passed. If that's the case, I'm sure he corrected his statement once it was passed, right?

P.S.: The cost isn't exactly improving, either, as this image from The Washington Times makes clear.

The (Cheap) Shot Heard Round The World

Despite my thinking I was done talking about this one, looks like it's not going away:

"Obama has hitched his wagon to an alien ideology touted by a tainted candidate who might be too liberal even for Massachusetts.

I don’t think this is going away. It is a theme handed to Romney on a silver platter, a silver platter built, of course, on roads the rest of us paid for.

It is a game changer. And we have Elizabeth Warren to thank for it."
If you take a cheap shot at those who have built, and continue to build, our nation, you've gotta expect to take some heat for it. After all, you work for us, and insubordination is a fire-able offense.

My First--And Last--Words On The "Nobody Does It Alone" Speech (Probably)

I'm not sure what to make of Obama's speech, in which he downplays the importance of the business entrepreneur in...well, in creating the business. It's a little like downplaying the chef in creating the meal--sure, the owner provided the space, but without the chef, you've just got a room full of hungry people.

Two things that I think stood out were the fact that he more or less cribbed it from Elizabeth Warren, and that he was off the teleprompter when he did so. The former makes him seem a little (a lot?) unoriginal, and the latter makes him seem a little reckless. At least it wasn't one of his "go-fuck-yourself-San-Diego-Anchorman" gaffes, like the time he introduced people twice because the teleprompter told him to.


The big problem I have, though, is with his logic. Follow along with me, won't you?

1) Obama cites roads and bridges, created by government, as being partly responsible for the success of businesses. The logic here is that those two structures facilitated the acts of your going to work, transporting supplies and merchandise, etc., and resulted in the success of your company.

2) Each year around 40,000 people die in auto accidents on America's roadways. A few more commit suicide by jumping from a bridge. (About 20 a year just from The Golden Gate Bridge alone.)

3) Those roads and bridges certainly facilitated those deaths, at least as much as they facilitated those businesses Obama was talking about.

4) By Obama's logic, since government was responsible for those roads and bridges, and those roads and bridges were partly responsible for those deaths, then the government is partly responsible for those deaths!

And there are a number of other horrible things we could attribute to the government, using Obama's standard. The serial killer who picks up his victims by the side of the government-built road, and then transports them elsewhere? Government helped do that. What about mass shootings, such as Columbine? Those government-built public schools brought all those targets together in one place, under little security. According to Obama, Klebold and Harris didn't do that themselves.

Now, obviously, I don't believe the government was responsible for those events. I only bring them up to illustrate my point. My conclusion is ridiculous, but I hope you'll see by comparison that the president's is equally so. And you can't simply separate the two by claiming that the bad events don't count. If they count for the good, they must count for the bad.

One other thing I have to point out: the government doesn't actually have any of its own money. You know where it gets it from? Taxes. You know who pays taxes? Wealthy entrepreneurs. Well, not all of them, but the top 20% (average income of $273,000), pay about 67% of total federal income taxes. So while Obama implies that "government" built those roads and bridges? It's really the financially successful entrepreneurs who built them.

So be sure to thank those people come November. You know how.

July 27, 2011

Why I Tell People I Live In NJ

 “The speaker’s plan is on life support,” added New York Sen. Chuck Schumer. “It is time for him to pull the plug.”

Pulling the plug. Something Schumer has never done, lest he miss a chance to see himself on television. Hey, Chuck--where's your fucking plan?

And along those lines, I see that you and the other Senate Democrats sent a letter to Speaker Boehner saying that you wouldn't vote for his plan if it passed the House. Remind me again which party it is that's to blame for no deal?

Epic Fail

If the President continues to trot out the "blame Bush" excuse (as he did the other night during the prime-time speech), then I think he has to also, logically, concede that his presidency has been an incredible failure anyway. Follow my logic here:

1) He ran, and won, knowing the state of the economy. It sounds obvious, I know, but it is the key to the rest of this. If the Bush administration was so horrible, it must have been fairly obvious to a member of the senate, running for POTUS, just how bad it was.

2) Knowing the state of the economy at the outset, he certainly wanted to improve it. I think we can all agree on that. I don't think he's an evil guy. And besides, he's far too full of himself to do anything but try to create a legacy for himself by, among other things, fixing that economy.

3) Despite spending exorbitant amounts of money, spending the likes of which we've never seen, despite promising better employment rates, despite promising he was going to "drive us out of the ditch," despite promising to bend the medical cost curve down, despite promising to be a "uniter" and to better relations between the U.S. and the rest of the world, despite all of that, he's accomplished...well, none of it, really. By any significant measure, we are worse off than when he took office. He's even had to resort to some mythical "jobs saved" measurement to not look completely incompetent. That's like saying I saved millions in child support because of all those women I didn't sleep with. With the execption of Bin Laden, which was a result of policies that he would have voted against as a senator, name me one success he's had. Anybody? He even won the Nobel Peace Prize (which I feel was completely undeserved), and then preceded to add one more war to the books (although given past winners, that shouldn't surprise anybody).

4) Objectively, he has failed in nearly every aspect of his presidency--foreign policy gaffes, ineffective, costly economic plans, you name it. Since he knew what he was getting into, ran for the job, welcomed the job, performed the job, it doesn't really matter whether he "inherited" problems or not. He hasn't fixed them, and has therefore failed. I'll use the analogy that he seems to be fond of lately--that of the American family. If a family is struggling and I come into their lives as a financial planner, with the objective of getting them back on track, and three years later their finances are worse than when I started? I've failed. And by the way, it certainly would do me no good to blame the household, except to make me look slightly pathetic. I came in to do a job, and didn't do it.

So there you have it. If he truly believes he "inherited" our current mess, then he is also a failed president. QED. Now would President McCain have failed as well? I don't really know. That answer is of the "jobs saved" variety. But I suspect two things--he wouldn't have failed quite as spectacularly, and he wouldn't have taken every opportunity possible to blame someone else.

September 23, 2009

I Like Will Ferrell, But...

I have to take issue with his latest video, which sarcastically attacks health insurance company executives, in part by highlighting how much money they make.

Really?

Will Ferrel's salary for Talledaga Nights was $20 million dollars. The film's U.S. gross was just over $148 million. That means Will got about 13.5% of the money the film made. His salary for Bewitched was also $20 million. That film wasn't quite as successful, and only grossed about $63 million. In that case, will got about 32% of the film's money. I wonder how that compares with your average insurance executive?

Let's take a look at everyone's favorite villain: AIG. According to their 2006 Annual Report, AIG got about $14 billion (that's net, not gross, by the way). Now, I could look up the CEO's salary, I suppose, but as you'll see in a moment, there's no real need to, to make my point.

Now, if one of those big, bad insurance executives was to make those same percentages that Will Ferrell makes?

13.5% of $14 billion=$1.89 billion
32% of $14 billion=$4.48 billion

I couldn't find one single CEO who makes that much. And because I do like Will, and I didn't want to be unnecessarily cruel, I didn't even bring up the percentage he make from Kicking and Screaming (about 38%). I suppose you could crunch those numbers yourself, if you were so inclined.

Look, I don't have much sympathy for these high-paid executives, but...celebrities? Celebrities who are making $20 million a movie? They should shut the fuck up.

P.S. I looked it up. AIG's CEO made about $14 million (or about a tenth of one percent of the company's net) in 2007.

September 08, 2009

A Must-Read Editorial

From a former citizen of the USSR in Investors Business Daily about the direction we're heading.

In the USSR, economic equality was achieved by redistributing wealth, ensuring that everyone remained poor, with the exception of those doing the redistributing. Only the ruling class of communist leaders had access to special stores, medicine and accommodations that could compare to those in the West.

The rest of the citizenry had to deal with permanent shortages of food and other necessities, and had access to free but inferior, unsanitary and low-tech medical care. The egalitarian utopia of equality, achieved by the sacrifice of individual self-interest for the collective good, led to corruption, black markets, anger and envy.

Government-controlled health care destroyed human dignity.

It's short, so read the rest.

Hat Tip: Mary Katharine Ham

August 15, 2009

By The Numbers

The best breakdown I've seen regarding the "46 million uninsured" number we keep hearing about.

Full disclosure: Hennessey was the senior economic advisor for the George W. Bush administration.

August 06, 2009

Hey...I Didn't Get A Tee Shirt!

Thanks to Ken for alerting me to this insightful guide to spotting those no-goodniks, the "astroturfers."

Can you say "Obama's Enemies List"? I knew that you could.

Because People And Economies Are So Much Alike?

Christina Romer, chairperson of the Council of Economic Advisers, today compared the economy to a sick patient.

"Suppose that you go to your doctor for a strep throat. And he or she prescribes an antibiotic. Sometime after you get the prescription and maybe even after you've taken the first pill, your fever spikes. Do you decide that the medicine is useless? Do you conclude that the antibiotic caused the infection to get worse? Surely not. You probably conclude that the illness was more serious than you and the doctor thought and are very glad you saw the doctor and started taking the medicine when you did."
I wish people would stop trying to use logic when they don't know what they're doing. What we have here is a mixture of two fallacies: a false analogy and begging the question. A false analogy results when you attempt to compare two things that have only a superficial similarity. Here, Romer tries to compare a prescription's effect on an illness to the stimulus's effect on the economy. To be fair, I suppose the analogy is not so much false, as it is incomplete. After all, if we really want to examine the analogy, we might point out that there are a number of reasons your fever might spike after taking a pill. The medicine might have some serious side effects (some of which might be worse than the original illness). The patient might also be allergic to the medication, in which case the patient would certainly have been better off not taking it in the first place. A good doctor might take those possibilities into account.

The bigger problem is the "begging the question" falacy, which results when one assumes that the very point being argued has already been proved. For example, arguing that women should not be allowed into men's clubs because they're for men only. Isn't the question being argued whether or not the clubs should be for men only? And that's essentially what Romer does. You'll notice she says the doctor prescribes "an antibiotic." Since we all know that antibiotics are an accepted and effective treatment for strep throat, of course we might not conclude that the antibiotic is useless or harmful (barring the conditions in the previous paragraph). But isn't the question at hand whether or not the antibiotic (the stimulus) is an effective treatment for the strep throat (bad economy)? To initially equate the stimulus with an acknowledged successful treatment is a clear "begging the question" fallacy. A more accurate analogy would have been to compare a doctor giving a patient a prescription that is untested, or that other doctors have speculated to be potentially harmful. In that case, I think a fever spike after taking that first pill would have caused our patient a great deal of alarm, and in fact may have been the result of the medication. In that case, a good doctor might very well take the patient off of that medication and try another one. I only hope others out there can spot the flaws in her logic.

One last thought: If I took a pill and afterwards my fever spiked, or any other symptom showed up, I very well might be justified in thinking the pill is the cause. I certainly wouldn't dismiss the idea as "surely" as Romer does because I care about my health. Perhaps Romer's flawed medical analogy should actually give us important insight into the administration's views on health care...

July 03, 2009

You Go, Golden Girl!

I really never thought I'd be cheering on Helen Thomas, but I'm glad to admit I was wrong. I've said a couple of times on here that Press Secretary Robert Gibbs is an incompetent bumbler (at least in press secretary terms). I have to admit, though, that I felt the slightest bit of pity for the guy as he was figuratively bitch-slapped by Helen Thomas and Chip Reid.

First Reid asked why the questions for Wednesday’s town hall on healthcare were being preselected. After Gibbs tried to dodge that question a few times, Thomas became involved, saying, “We have never had that in the White House. I’m amazed that you people … call for openness and transparency."
Gibbs' nervous laughter is almost as embarrassing as the spectacle at President Obama's town hall meeting when he hugged Debby Smith, an audience member with cancer, who said she couldn't afford treatment. Not only is it shameless (jeez, couldn't he find a baby to kiss?) and borderline inappropriate (I don't know where you work, but hugging strangers is frowned upon where I work), it turns out that Ms. Smith, rather than being a random audience member, actually "volunteer[s] for the political arm of the President's Democratic National Committee Organizing for America," and was there at the invitation of the White House. So, if the audience is hand-selected, and the questions are pre-approved, where's the debate?

I certainly don't want to downplay Ms. Smith's situation. It's a terrible illness. But let's be frank. The White House used her. She became a prop in one more dog and pony show by this administration. Another attempt at emotional manipulation because they know that the facts and logic just don't support their position. My god, Obama even referred to her as "exhibit A" for what's wrong with the current health care system...because that's what she is to a practiced lawyer like Obama--an exhibit. Thanks to Michelle Malkin, I can guess who won't be appearing as "exhibit B."

In February 2009, outrage in the Obamas’ community exploded after a young boy covered by Medicaid was turned away from the University of Chicago Medical Center. Dontae Adams’ mother, Angela, had sought emergency treatment for him after a pit bull tore off his upper lip. Mrs. Obama’s hospital gave the boy a tetanus shot, antibiotics, and Tylenol and shoved him out the door. The mother and son took an hour-long bus ride to another hospital for surgery.

I’ll guarantee you this: You’ll never see the Adams family featured at an Obama policy summit or seated next to the First Lady at a joint session of Congress to illustrate the failures of the health care system.

If that's how Obamas handle health care, I think many people are going to be in for a rude awakening...

May 13, 2009

Somebody Went To Jared

So today, Jared Bernstein, Biden's chief economist, said "I challenge you, or anyone watching me right now, to come up with any program like this federal, state, or local that has obligated $90 billion in 77 days with the level of oversight that we need to enforce this very important trail."

Ninety billion. In 77 days. Like it's a good thing.

He also kept skirting the line between money "obligated," "contracted," and "dispersed."