Category Archives: Fascism in America

The Other Bad Healthcare “Reform” Bill

Fascism in America, Healthcare, Taxation, The Welfare State

The Senate Finance Committee is finishing up work this week on a “compromise” Obamacare bill that’s being billed as better than pure Obamacare because it doesn’t include “death panels”, a public option, and free healthcare for illegal aliens.

The chairman of the Senate Finance Committee said Monday that he will propose an overhaul of the nation’s health-care system that addresses a host of GOP concerns, including blocking illegal immigrants from gaining access to subsidized insurance, urging limits on medical malpractice lawsuits and banning federal subsidies for abortion.

But even after Max Baucus (D-Mont.) spoke optimistically of gaining bipartisan backing, lawmakers continued to haggle over a question at the heart of the debate: How can the government force people to buy insurance without imposing a huge new financial burden on millions of middle-class Americans?

Finally this bill is debating the real issue, what right does the Federal government have to force Americans to buy health insurance? Surprisingly, one of the most outspoken opponents of the individual mandate in this form is from the left.

Even within his own party, Baucus confronted a fresh wave of concern about affordability. Sen. Ron Wyden (D-Ore.) declared himself dissatisfied with the chairman’s plan, which, like other congressional reform proposals, would require every American to buy health insurance by 2013.

“Additional steps are going to have to be taken to make coverage more affordable,” Wyden said, “and my sense is that will be a concern to members on both sides of the aisle.”

Under the Baucus plan, described in a “framework” he released last week, as many as 4 million of the 46 million people who are currently uninsured would be required to buy coverage on their own, without government help, by some estimates. Millions more would qualify for federal tax credits, but could still end up paying as much as 13 percent of their income for insurance premiums — far more than most Americans now pay for coverage.

People further down the income scale would receive much bigger tax credits, effectively limiting their premiums at 3 percent of their earnings. But experts on affordability say even those families could find it difficult to meet the new mandate without straining their wallets.

“We’re talking about the equivalent of a middle-class tax increase,” said Michael D. Tanner, a health-care expert at the libertarian Cato Institute. “Yes, they’re paying it to an insurance company instead of to the government. But, suddenly, these people are paying more money to somebody.”

So American taxpayers will have to pay higher insurance premiums than they have to now or be fined by the government under this “compromise” bill. So far, this bill does nothing to solve the biggest problem with American healthcare, the high cost of it. Opponents of this bill on the left characterize this bill as nothing more than a giveaway to the insurance companies, and they’re right. The way to reduce the cost of healthcare is to increase competition and the free market’s role in healthcare and again, this bill does nothing to reduce regulation, increase competition, or promote the free market.

But there’s even more….

Also unresolved Monday was the question of how to pay for an expansion of Medicaid to cover every U.S. citizen whose income falls below 133 percent of the federal poverty level, about $14,500 for an individual or $29,500 for a family of four. Governors in both parties strongly oppose an expansion that is not fully financed by the federal government. The Senate negotiators are scheduled to brief governors by conference call Tuesday afternoon, and Baucus predicted they would be “pleasantly surprised.”

“The Medicaid costs,” he said, “are not going to cost states near as much as feared.”

Max Baucus wants the states to just “trust him”. In addition to higher insurance premiums and tax increases for those who don’t buy health insurance, Baucus plans on making the bad financial conditions that every state is in even worse with this unfunded mandate. States have to close their budget deficits some how and that some how is usually tax increases.

But there’s even more….from the Wall Street Journal

Sen. John Kerry (D., Mass.) raised concerns about Mr. Baucus’s mix of new taxes and other means of paying for the plan. Among other things, Mr. Baucus is proposing to levy a new tax on so-called gold-plated health policies. He also wants to levy new fees on health insurers, pharmaceutical companies and other health-care industries.

“There may be a better way to find that revenue,” Sen. Kerry said. He suggested he’ll be looking for changes, though he declined to offer specifics. “We are going to have a tug of war,” he said, describing the chairman’s soon-to-be-unveiled bill as a “starting point” for a new round of negotiations on details. “That’s the process of legislating,” he said.

So there’s even more tax increases, this time on health insurance companies (which will be a wash for them since they’re getting bailed out in this bill), drug companies, and the health care industry in general. In addition, if Max Baucus doesn’t like your health insurance policy, he’s going to tax it too. Well, the taxed businesses have to make up that lost revenue some how by raising their products’ prices or cutting jobs.

To recap, the Baucus “compromise” Obamacare/health insurance companies bailout plan:

Requires all Americans to buy “approved” health insurance plans and raises taxes on those who don’t buy health insurance plans Max Baucus likes

Gives the IRS more power to levy higher taxes, without due process

Raises taxes on health care related businesses

Makes every state’s financial situation even worse, which will lead to more budget cuts or tax increases through an unfunded mandate to increase Medicaid enrollment.

Increases the cost of health care for most Americans

“Hope and Change” indeed, comrades.

Kevin Boyd
I’m one of the original co-founders of The Liberty Papers all the way back in 2005. Since then, I wound up doing this blogging thing professionally. Now I’m running the site now. You can find my other work at The Hayride.com and Rare. You can also find me over at the R Street Institute.
https://thelibertypapers.org/2005/11/22/a-bit-about-kevin/

Obama: You’re doing a heck’uva job, Bernie

Credit Crisis, Currency and Monetary Policy, Doublespeak, Dumbasses and Authoritarians, Economics, Fascism in America, Government Incompetence, Hubris, Inflation, Monetary Issues

Continuing his George Costanzaesque presidency, Obama has decided to reappoint Ben “Helicopter” Bernanke to another term on the Fed.

Here’s what Obama had to say:

Ben approached a financial system on the verge of collapse with calm and wisdom; with bold action and outside-the-box thinking that has helped put the brakes on our economic freefall

I thought it might be useful to take a look at some highlights of this Solon, this central – planner whom George Bush put in charge of the money supply:

Of course, as usual, Obama is dead wrong: the Federal Reserve’s actions have actually prolonged the downturn, made it worse, and have laid the foundations for an even bigger crash down the road.

Monetary Base of U.S. Dollar

In the days before the election, I told many of my fellow Massachusetts residents that Obama was not so much a break from George Bush as a continuation of his worst policies. I am sorry to say that he has been proving me right since. And this is yet another nail in the coffin of an administration that is showing itself to be even more incompetent than the Bush presidency.

tarran
I am an anarcho-capitalist living just west of Boston Massachussetts. I am married, have two children, and am trying to start my own computer consulting company.
https://thelibertypapers.org/author/tarran/

Papers Please

Criminal Justice Reform, Culture, Fascism in America, Police Watch, The War on Drugs

Over at the Agitator, Radley Balko asks why people are amused by Bob Dylan’s latest run-in with the law.

I find it pretty depressing. There was a time when we condescendingly used the term “your papers, please” to distinguish ourselves from Eastern Block countries and other authoritarian states. Post-Hiibel, America has become a place where a harmless, 68-year-old man out on a stroll can be stopped, interrogated, detained, and forced to produce proof of identification to state authorities, despite having committed no crime.

Maybe what makes it comical rather than a tragedy is that it happened to a famous guy rather than some ordinary person.

tarran
I am an anarcho-capitalist living just west of Boston Massachussetts. I am married, have two children, and am trying to start my own computer consulting company.
https://thelibertypapers.org/author/tarran/

Control Without Responsibility

Anti-Trust, Credit Crisis, Democracy, Fascism in America, Government Ethics, Government Incompetence, Government Waste, Socialism, The Nanny State

At Cafe Hayek, a letter to the editor by Andy Morriss to the Wall Street Journal is posted:

Holman Jenkins asks “Does Obama Want to Own the Airlines?” (Business World, July 8). I am sure he does not. Rather than own them, the president and his congressional allies want to control the airlines — a crucial difference as ownership implies taking responsibility.

As Mr. Jenkins notes, the Justice Department’s belated intervention against Continental’s efforts to join the Star Alliance appears aimed at extorting concessions for the Democrats’ union allies. That is not the action of an owner of airline assets but of someone determined to redistribute wealth from airline passengers and shareholders to favored special interests.

One of the many benefits of free markets is that the people who own something are the ones who experience the benefits or losses accruing from their use of it. When considering how some property is going to be used, an owner and non-owner may have very strong opinions. The non-owner, who has less to lose, will be less careful and prudent in their decisionmaking. Moreover, often the non-owner will gain more from the misuse of the item than from its prudent use.

One does not have to look to hard to see this phenomenon in action. The attempt by GM to close dealerships, and thus reduce its losses was overridden by Congressmen interested in using GM’s wealth to buy votes by keeping the dealerships open. And that is one example of literally millions of instances that take place every year from all levels of government.

Obama, leading democrats and some very influential economists have repeatedly expressed the idea that increased government control of the medical industry would reduce costs without sacrificing quality. In their vision selfless government officials will ensure that people receive high quality treatment regardless of the cost, while the market power of government as a customer will ensure that costs will stay low. Against this charming vision stands a great body of evidence from public choice theory; government officials – or their private counterparts in the private-public partnerships in vogue today – will be able to exert control without any consequences. Just as medicare and medicaid administrators proved willing to authorize higher and higher treatment prices – to the point where it threatens the budget of the federal and nearly every state government – the administrators of any new government program will behave in similar uneconomic ways.

Control without responsibility is a very bad idea.

tarran
I am an anarcho-capitalist living just west of Boston Massachussetts. I am married, have two children, and am trying to start my own computer consulting company.
https://thelibertypapers.org/author/tarran/

Government Is Not Society

Culture, Democracy, Doublespeak, Dumbasses and Authoritarians, Fascism in America, Freedom, Government Regulation, Healthcare, Socialism, The Welfare State, Theory and Ideas

One of the most pernicious beliefs held by Americans is the conflation of the state with society. This belief is causing them acquiesce to government actions that threaten the destruction of American civilization if not stopped.

The word society comes to us from the Latin societas, which meant a group of people bound by friendship or a common interest.  The societies we participate in are the manifold groups that people join in order to accomplish various goals, for protection, for commerce, for companionship.  When compared to a life of autarky, of isolated independence, the benefits of societies become clear.  The defining characteristic of society is that membership in a society is voluntary. Whenever a person feels that a society no longer meets their needs, they can exit it – choosing another one to replace it or even going without.

Of course, one of the primary functions of the societies we join are to fulfill those needs we have that we cannot fulfill ourselves.  We depend on our families, friends, fraternal organizations, etc to care for us when we are sick, to provide for us when we cannot provide for ourselves.  These acts of charity, when provided to us by people who do it voluntarily using the means that they have acquired through peaceful means, are a necessary component of civilization.  Remove charitable interactions from society and we cease to live in a state of civilization and return to a state of barbarism.

The state, on the other hand, is an organization that is distinguished by violent action.  It acquires resources not through peaceful economic interaction but through threats of violence.  When it threatens wrong-doers – such as thieves, rapists or murderers – it can be useful; scaring other would be thieves, rapists and murderers from committing similar crimes. But all too often, such as when it orders the destruction of livestock in order to raise the market price of meat, it is a social bad that leaves everyone worse off.

The state is powerful.  It can commandeer vast resources.  It does not have to make anything; it does not need to trade for anything;  it merely takes what it wants.  However, the state is not all powerful; tomorrow the people could rise up and hang all the officers of the state from the lamp-posts.  Its officers must ensure that their plunder or violence does not rise to such a level as to incite too much active resistance.   These men and women therefore promote the fiction that the state is not a predator but engaged in trade with the people, exchanging protection and other services for “contributions” as they term the taxes they extort from the populace.

Over the last 100 years, the state has systematically weakened or coopted the institutions of society.  It has, via the welfare system, taken over much of the provisioning of charity.  It controls commerce via regulation.  It dicates what insurance companies can and cannot do.  It tightly controls medical care.  Most dangerously, it has taken over the education of the young. And everything it has taken over has taken on the characteristics that typically accompany violence and extortion; shoddy service, excessive prices or compelled payments, and draconian punishments.

And far too many people, never having experienced society where these institutions or social needs were provisioned voluntarily rather than by the state, are left ignorant of any idea that that is even possible.  And so, when they are warned that Medicare and Social Security threaten economic ruin, they think that the speaker is contemplating casting the old and sick out on the street to die.  When they hear a call for the abolition of govenrment schooling, they imagine the speaker must want the broad mass of children to be left uneducated.  When they hear the call for the end of medical licensing or pharmaceutical regulations, they imagine that people will be subjected to all sorts of quackery. When they hear a call for an end of standing armies and the purchase of expensive weapons systems, they imagine that the speaker must naively want to invite a tyrant to waltz in and take over.

Too many people, no doubt from their experiences in schools where the classrooms are presided over mostly benevolent dictators called teachers, assume that society must be arranged in a similar vein, with leaders who make and enforce the rules, where there is no right of refusal or exit.

In the end, though, while it can commandeer impressive resources, and thus accomplish mighty things, the state invariably consumes more and produces less than organizations that it replaces.  It replaces the civilization of people voluntarily bonding together with the barbarism of compelled relationships, compelled production and compelled trade.

Today, the various governments that rule over Americans, taken together, commandeer or consume some 40% of production.  The more production the government seizes, the worse off we will be.  The greater the control government exercises over society, the worse off we all are.

One way to put things in perspective is, when considering how some need is to be supplied, to ask if you would be comfortable with the Mafia providing it.  After all, the mafia is really a proto-government, using extortion and violence to commandeer resources. Both are protection rackets, although the Mafia takes far less than the government.  While most people wouldn’t be too upset with the idea of the mafia punishing a rapist, most would laugh derisively at the idea of the mafia running a school, or operating a hospital.  This recognition arises from the fact that no-one conflates the Mafia with society.  If only they were so wise about the state!

tarran
I am an anarcho-capitalist living just west of Boston Massachussetts. I am married, have two children, and am trying to start my own computer consulting company.
https://thelibertypapers.org/author/tarran/
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