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Obama and ‘Redistributive Change’
Forget the recession and the “uninsured.” Obama has bigger fish to fry.
By Victor Davis Hanson
The first seven months of the Obama administration seemingly make no sense. Why squander public approval by running up astronomical deficits in a time of pre-existing staggering national debt?
Why polarize opponents after promising bipartisan transcendence?
Why create vast new programs when the efficacy of big government is already seen as dubious?
But that is exactly the wrong way to look at these first seven months of Obamist policy-making.
Take increased federal spending and the growing government absorption of GDP. Given the resiliency of the U.S. economy, it would have been easy to ride out the recession. In that case we would still have had to deal with a burgeoning and unsustainable annual federal deficit that would have approached $1 trillion.
Instead, Obama may nearly double that amount of annual indebtedness with more federal stimuli and bailouts, newly envisioned cap-and-trade legislation, and a variety of fresh entitlements. Was that fiscally irresponsible? Yes, of course.
But I think the key was not so much the spending excess or new entitlements. The point instead was the consequence of the resulting deficits, which will require radically new taxation for generations. If on April 15 the federal and state governments, local entities, the Social Security system, and the new health-care programs can claim 70 percent of the income of the top 5 percent of taxpayers, then that is considered a public good — every bit as valuable as funding new programs, and one worth risking insolvency.
Individual compensation is now seen as arbitrary and, by extension, inherently unfair. A high income is now rationalized as having less to do with market-driven needs, acquired skills, a higher level of education, innate intelligence, inheritance, hard work, or accepting risk. Rather income is seen more as luck-driven, cruelly capricious, unfair — even immoral, in that some are rewarded arbitrarily on the basis of race, class, and gender advantages, others for their overweening greed and ambition, and still more for their quasi-criminality.
“Patriotic” federal healers must then step in to “spread the wealth.” Through redistributive tax rates, they can “treat” the illness that the private sector has caused. After all, there is no intrinsic reason why an auto fabricator makes $60 in hourly wages and benefits, while a young investment banker finagles $500.
Or, in the president’s own language, the government must equalize the circumstances of the “waitress” with those of the “lucky.” It is thus a fitting and proper role of the new federal government to rectify imbalances of compensation — at least for those outside the anointed Guardian class. In a 2001 interview Obama in fact outlined the desirable political circumstances that would lead government to enforce equality of results when he elaborated on what he called an “actual coalition of powers through which you bring about redistributive change.”
Still, why would intelligent politicians try to ram through, in mere weeks, a thousand pages of health-care gibberish — its details outsourced to far-left elements in the Congress (and their staffers) — that few in the cabinet had ever read or even knew much about?
Once again, I don’t think health care per se was ever really the issue. When pressed, no one in the administration seemed to know whether illegal aliens were covered. Few cared why young people do not divert some of their entertainment expenditures to a modest investment in private catastrophic coverage.
Warnings that Canadians already have their health care rationed, wait in long lines, and are denied timely and critical procedures also did not seem to matter. And no attention was paid to statistics suggesting that, if we exclude homicides and auto accidents, Americans live as long on average as anyone in the industrial world, and have better chances of surviving longer with heart disease and cancer. That the average American did not wish to radically alter his existing plan, and that he understood that the uninsured really did have access to health care, albeit in a wasteful manner at the emergency room, was likewise of no concern.
The issue again was larger, and involved a vast reinterpretation of how America receives health care. Whether more or fewer Americans would get better or worse access and cheaper or more expensive care, or whether the government can or cannot afford such new entitlements, oddly seemed largely secondary to the crux of the debate.
Instead, the notion that the state will assume control, in Canada-like fashion, and level the health-care playing field was the real concern. “They” (the few) will now have the same care as “we” (the many). Whether the result is worse or better for everyone involved is extraneous, since sameness is the overarching principle.
We can discern this same mandated egalitarianism beneath many of the administration’s recent policy initiatives. Obama is not a pragmatist, as he insisted, nor even a liberal, as charged.
Rather, he is a statist. The president believes that a select group of affluent, highly educated technocrats — cosmopolitan, noble-minded, and properly progressive — supported by a phalanx of whiz-kids fresh out of blue-chip universities with little or no experience in the marketplace, can direct our lives far better than we can ourselves. By “better” I do not mean in a fashion that, measured by disinterested criteria, makes us necessarily wealthier, happier, more productive, or freer.
Instead, “better” means “fairer,” or more “equal.” We may “make” different amounts of money, but we will end up with more or less similar net incomes. We may know friendly doctors, be aware of the latest procedures, and have the capital to buy blue-chip health insurance, but no matter. Now we will all alike queue up with our government-issued insurance cards to wait our turn at the ubiquitous corner clinic.
None of this equality-of-results thinking is new.
When radical leaders over the last 2,500 years have sought to enforce equality of results, their prescriptions were usually predictable: redistribution of property; cancellation of debts; incentives to bring out the vote and increase political participation among the poor; stigmatizing of the wealthy, whether through the extreme measure of ostracism or the more mundane forced liturgies; use of the court system to even the playing field by targeting the more prominent citizens; radical growth in government and government employment; the use of state employees as defenders of the egalitarian faith; bread-and-circus entitlements; inflation of the currency and greater national debt to lessen the power of accumulated capital; and radical sloganeering about reactionary enemies of the new state.
The modern versions of much of the above already seem to be guiding the Obama administration — evident each time we hear of another proposal to make it easier to renounce personal debt; federal action to curtail property or water rights; efforts to make voter registration and vote casting easier; radically higher taxes on the top 5 percent; takeover of private business; expansion of the federal government and an increase in government employees; or massive inflationary borrowing. The current class-warfare “them/us” rhetoric was predictable.
Usually such ideologies do not take hold in America, given its tradition of liberty, frontier self-reliance, and emphasis on personal freedom rather than mandated fraternity and egalitarianism. At times, however, the stars line up, when a national catastrophe, like war or depression, coincides with the appearance of an unusually gifted, highly polished, and eloquent populist. But the anointed one must be savvy enough to run first as a centrist in order later to govern as a statist.
Given the September 2008 financial meltdown, the unhappiness over the war, the ongoing recession, and Barack Obama’s postracial claims and singular hope-and-change rhetoric, we found ourselves in just such a situation. For one of the rare times in American history, statism could take hold, and the country could be pushed far to the left.
That goal is the touchstone that explains the seemingly inexplicable — and explains also why, when Obama is losing independents, conservative Democrats, and moderate Republicans, his anxious base nevertheless keeps pushing him to become even more partisan, more left-wing, angrier, and more in a hurry to rush things through. They understand the unpopularity of the agenda and the brief shelf life of the president’s charm. One term may be enough to establish lasting institutional change.
Obama and his supporters at times are quite candid about such a radical spread-the-wealth agenda, voiced best by Rahm Emanuel — “You don’t ever want a crisis to go to waste; it’s an opportunity to do important things that you would otherwise avoid” — or more casually by Obama himself — “My attitude is that if the economy’s good for folks from the bottom up, it’s gonna be good for everybody. I think when you spread the wealth around, it’s good for everybody.”
So we move at breakneck speed in order not to miss this rare opportunity when the radical leadership of the Congress and the White House for a brief moment clinch the reins of power. By the time a shell-shocked public wakes up and realizes that the prescribed chemotherapy is far worse than the existing illness, it should be too late to revive the old-style American patient.
from Roll Call
House Orders Up Three Elite Jets
August 5, 2009
By Paul Singer
Roll Call Staff
Last year, lawmakers excoriated the CEOs of the Big Three automakers for traveling to Washington, D.C., by private jet to attend a hearing about a possible bailout of their companies.
But apparently Congress is not philosophically averse to private air travel: At the end of July, the House approved nearly $200 million for the Air Force to buy three elite Gulfstream jets for ferrying top government officials and Members of Congress.
The Air Force had asked for one Gulfstream 550 jet (price tag: about $65 million) as part of an ongoing upgrade of its passenger air service.
But the House Appropriations Committee, at its own initiative, added to the 2010 Defense appropriations bill another $132 million for two more airplanes and specified that they be assigned to the D.C.-area units that carry Members of Congress, military brass and top government officials.
Because the Appropriations Committee viewed the additional aircraft as an expansion of an existing Defense Department program, it did not treat the money for two more planes as an earmark, and the legislation does not disclose which Member had requested the additional money.
An Appropriations Committee staffer said the military was already planning to replace its passenger fleet, and the committee “looked at the request and decided they should speed up the replacement.”
The Gulfstream G550 is a luxury business jet, which the company advertises as featuring long-range flight capacity that “easily links Washington, D.C., with Dubai, London with Singapore and Tokyo with Paris.” The company’s promotional materials say, “The cabin aboard the G550 combines productivity with exceptional comfort. It features up to four distinct living areas, three temperature zones, a choice of 12 floor plan configurations with seating for up to 18 passengers.”
The version Gulfstream sells to the military is reconfigured for the government with modest accommodations, not the luxury version sold to private customers, said a source familiar with the planes.
Rep. Sanford Bishop (D-Ga.) had submitted a request to the Appropriations Committee for a $70 million earmark for one airplane on behalf of Georgia-based Gulfstream, and Rep. Jack Kingston (R-Ga.) lists the airplane as one of the earmarks that he was asked to request, though his office said he never made the request to the Appropriations Committee.
“The committee saw fit to fund it at that level” without Kingston’s involvement, his spokesman said.
Bishop’s office did not return several calls requesting comment for this story.
Air Force spokesman Vincent King told Roll Call: “This line item provides funding to purchase C-37 aircraft. The C-37 is the military variant of the commercial Gulfstream 550 executive jet. C-37s provide executive airlift for senior U.S. government officials including Congress and combatant commanders.”
The language of the appropriations bill specifies that of the three aircraft, the Air Force will provide “one aircraft each for the 201st Airlift Squadron and the 89th Airlift Wing.” Both are based out of Andrews Air Force Base in Maryland.
The 89th Airlift Wing provides “global Special Air Mission (SAM) airlift, logistics, aerial port and communications for the President, Vice President, Combat Commanders, senior leaders and the global mobility system,” according to the Andrews Web site.
King told Roll Call, “the 201st Airlift Squadron provides short-notice worldwide transportation for the executive branch, Congressional Members, Department of Defense officials and high-ranking U.S. and foreign dignitaries.”
An Armed Forces Press Service news story from 2004 said that the 201st counted “U.S. Speaker of the House Dennis Hastert [R-Ill.] and [then-Senate Armed Services Chairman] John Warner [R-Va.] among its frequent flyers.”
Steve Ellis, vice president of Taxpayers for Common Sense, said if Congress wants to buy new jets for the comfort of top government officials, “I think that all needs to be justified on the merits. … Certainly, lawmakers can fly — and many do fly — coach and business class.” While there may be reasons for flying on top-notch private jets, “it shouldn’t just be squeezed into the bill.”
Ellis said the airplanes are also part of a larger trend for the Appropriations Committee to simply decide that big-ticket items are program increases, not earmarks, so they require less public disclosure.
“The more that you push for transparency, the more of this stuff goes underneath the carpet,” Ellis said. While Congress has established new rules requiring greater transparency for earmarks, the Appropriations Committee is “the judge, jury and executioner over what is an earmark and what isn’t and how much information we get.”
But military analysts said the private jets, despite the high price tag, may be worth the money because of the security and efficiency they provide to high-ranking public officials.
Loren Thompson, defense analyst at the conservative Lexington Institute, said, “In the case of the VIP transport for the executive branch, you can easily explain the cost [of private travel] in terms of the risk of somebody being taken hostage or having their time wasted when a critical decision is pending.”
Thompson pointed out that the cost of the plane would be peanuts compared to the cost to the nation if a top official were taken hostage or harmed taking a commercial flight to a dangerous region of the world.
But Thompson also said that logic “applies to the top members of the executive branch more than it applies to the Member from the 13th district of Illinois.”
John Pike, director of GlobalSecurity.org, a defense information Web site, said military officials “need a long-range airplane — and [it’s] better to fly them on a small one than a big one.”
Pike said it is unreasonable to expect a three-star general and a staff of five people to attend meetings around the world with several stops in far-flung locales while traveling on commercial airlines.
RHETORIC V. REALITY: HEALTH CARE BY ORWELL
By DICK MORRIS & EILEEN MCGANN
Published in the New York Post on July 23, 2009
President Obama’s rhetoric last night summoned the memory of “1984,” George Orwell’s novel of a nightmarish future — where the slogan of the rulers is “War is peace; freedom is slavery; ignorance is strength.”
The president assures us that he will cut health-care spending. . .by adding $1 trillion to health-care spending.
He says that “health-care decisions will not be made by government”. . .while he sets up a new Federal Health Board to tell doctors what treatments they can offer and to whom and under what circumstances.
Obama told the media, “I will free doctors to make good health-care decisions”. . .by telling the physicians what to do.
When the president says he guarantees the “same coverage” to people who like their current health-insurance policies, he means that their current HMOs, insurers and doctors will be the ones to implement the protocols and instructions the government hands down to them — not that we’ll have our current freedom of decision-making.
When he blandly assures us that we will “stop paying for things that don’t make us healthier,” he really means that his Federal Health Board will overrule your doctor and stop him from using his own best judgment in your treatment.
The president will “get the politics out of health care” by putting it under government control.
Obama says that he will not “add to the deficit” to fund health care. But the bill reported out by Rep. Charlie Rangel’s Ways and Means Committee leaves $550 billion unfunded.
The president says that he’ll identify savings that will reduce the need for more taxes — even though the Congressional Budget Office refuses to say that his “savings” will actually work and warns that the bill will really be added to the deficit.
He repeatedly tells us that he’ll cut health-care spending. What he means is that he will cut doctors’ incomes and will turn down patients — particularly the elderly — when they seek medical care that his bureaucrats disapprove of.
And he ignores that cutting incomes in the medical field will reduce the number of doctors and force further rationing of care.
The president opines that he will replace the most “expensive care” with the “best care” by empowering government officials who have never met you to substitute their judgment for that of your doctor, who has examined you thoroughly.
When Obama laments that “14,000 people lose their insurance every day,” he is referring to the job losses that his own failed efforts to end the recession have permitted.
He warns that health-care costs are gobbling up money that employers should use to raise wages and worker pay — yet the plans he backs would require employers to pay 8 percent of their payroll as a tax or provide insurance to their workers.
The Obama plan highlights greater preventive care — but, at the same time, cuts medical incomes and so will cut the number of doctors who might provide it.
The stimulus package, in the Gospel According to Barack, was “designed” to work over the next two years. But at the time, he demanded immediate passage to “jump-start the economy” — something that clearly did not happen.
Medicare and Medicaid are “driving the deficit” even as he increased the amount of red ink by at least $800 billion in six months with little, if any, increase in the cost of either program.
He says he “expects” banks to repay their TARP money. In fact, they’re lining up around the block to do so — but the Treasury will only permit a handful of them to do so.
In summary, Obama’s health program will promote “lower cost and more choice” by increasing spending by $1 trillion, telling patients what care they’re permitted to have, and limiting their access to quality care.
Orwell’s heirs should sue for violation of copyright.
July 20 (Bloomberg) — U.S. taxpayers may be on the hook for as much as $23.7 trillion to bolster the economy and bail out financial companies, said Neil Barofsky, special inspector general for the Treasury’s Troubled Asset Relief Program.
The Treasury’s $700 billion bank-investment program represents a fraction of all federal support to resuscitate the U.S. financial system, including $6.8 trillion in aid offered by the Federal Reserve, Barofsky said in a report released today.
“TARP has evolved into a program of unprecedented scope, scale and complexity,” Barofsky said in testimony prepared for a hearing tomorrow before the House Committee on Oversight and Government Reform.
full story: http://www.bloomberg.com/apps/news?pid=20601087&sid=aY0tX8UysIaM
The article below regards Commerce Secretary Gary Locke’s comments to the American Chamber of Commerce in Shanghai. Now that developing countries have said they will not participate in “cap and trade”, this U.S. offical proposes to TAX US CITIZENS for carbon use in other countries. HUH?
To address the serious threat of global warming, Americans should be required to “pay” for the carbon
content of goods they consume from countries around the world….”It’s important that those who consume
the products being made all around the world to the benefit of America — and it’s our own consumption
activity that’s causing the emission of greenhouse gases, then quite frankly Americans need to pay for
that,” Commerce Secretary Gary Locke told the American Chamber of Commerce in Shanghai.
The U.S. House of Representatives has passed legislation that creates a market for companies to trade
permits to emit greenhouse gases, which would be capped at a certain level and then reduced over time.
The bill also contains “carbon tariffs” that would allow the United States to slap duties on imports of
carbon-intensive goods…Locke said Chinese officials raised concern about those provisions this week.
“They feel in essence it’s a tax on their carbon activity,” he said. http://www.reuters.com/article/GCAGreenBusiness/
idUSTRE56G1A320090717
Matt Welch and Nick Gillespie- 7/19/09 Washington Post
just few paragraphs:
Beyond pushing the “emergency” $787 billion stimulus package (even while acknowledging that the vast majority of funds would be released in 2010 and beyond), Obama signed a $410 billion omnibus spending bill and a $106 billion supplemental spending bill to cover “emergency” expenses in Iraq and Afghanistan (and, improbably, a “cash for clunkers” program). Despite pledges to achieve a “net spending cut” by targeting earmarks and wasteful spending, Obama rubber-stamped more than 9,000 earmarks and asked government agencies to trim a paltry $100 million in spending this year, 0.003 percent of the federal budget.
In the same way that Bush claimed to be cutting government even while increasing real spending by more than 70 percent, Obama seems to believe that saying one thing, while doing another, somehow makes it so. His first budget was titled “A New Era of Fiscal Responsibility,” even as his own projections showed a decade’s worth of historically high deficits. He vowed no new taxes on 95 percent of Americans, then jacked up cigarette taxes and indicated a willingness to consider new health-care taxes as part of his reform package. He said he didn’t want to take over General Motors on the day that he took over General Motors.
Such is the extent of Obama’s magical realism that he can promise to post all bills on the Internet five days before signing them, serially break that promise and then, when announcing that he wouldn’t even try anymore, have a spokesman present the move as yet another example of “providing the American people more transparency in government.”
whole article here:
http://www.washingtonpost.com/wp-dyn/content/article/2009/07/17/AR2009071702093.html



