“The basic dilemma of the welfare state … is that the more generous the benefits, the greater will be not only the tax distortions but also, because of moral hazard and benefit cheating, the number of beneficiaries. This is a field where Say’s Law certainly holds in the long run: the supply of benefits creates its own demand…”
Thank goodness for whistleblowers in the government, whether regarding intelligence activities or the mundane bureaucratic waste that occurs in every department. Congress does a generally pathetic job of oversight and presidential administrations are rarely transparent—despite their promises. So the citizens who pay for our $3.6-trillion government rely on federal workers who witness illegal and unethical activities to come forward and inform the press.
Keynesian economics is the perpetual motion machine of the left. You build a model that assumes government spending is good for the economy and you assume that there are zero costs when the government diverts money from the private sector.
When the computer system running your signature legislative achievement is slightly less functional than painting on a cave wall, you know you have a big problem. When that’s actually the good news, you know you have a really big problem.
Last week, the Republican-controlled House overwhelmingly passed a water infrastructure bill with only three members (two Republicans and one Democrat) voting against. In what must have been a moving scene for beleaguered supporters of unabated big government, tea party “radicals” joined hands with Democrats to support special interests at the expense of taxpayers.
CNN.com has an article today on disability overpayments made by the Social Security Administration ($1.3 billion over two years according to a recent Government Accountability Office report). Although people often associate government overpayments with fraud, often times it’s just bureaucratic bungling.
The fight over the government shutdown may have come to an ignominious end, but the reprieve from Washington budgetary politics will be short-lived. The latest continuing resolution will expire on January 15, while we will hit our debt ceiling again on February 7. In the meantime, a budget conference committee, headed by Representative Paul Ryan (R., Wis.) and Senator Patty Murray (D., Wash.), is supposed to reach an agreement by December 13.
The Tea Party-oriented lawmakers who wanted to block Obamacare before people began to get hooked on subsidies were unable to prevail: we have a deal and the wailing and hysteria in Washington is over. The politicians now have the authority to borrow more money and the bureaucrats are all back at work (rested and refreshed after their paid vacation, so they’ll probably tax, spend and regulate with extra fervor).
Almost three weeks before the government went into a partial shutdown, I warned that a Republican insistence on defunding or delaying the president’s signature Affordable Care Act in exchange for keeping the government open and increasing the debt limit was doomed to failure. Given my strong desire to see Obamacare tossed onto the ash heap of history, I would have been thrilled to be proven wrong.
In the end, the defund strategy may prove to be a disaster. Or helpful. What’s clear is that the recriminations are unwisely distracting ObamaCare opponents from adding momentum to strategies that are already defunding the law. Here are four things opponents would be better off doing than fighting among themselves: