Oil Strikes and our Economy

“Economists” cited by The Wall Street Journal say that the Iranian/Houthi strikes against a couple of major Saudi Arabian oil production facilities are unlikely to do much to our economy. Despite their anonymity, those…sources’…assessment is accurate.

Among other things, we’ve made ourselves essentially self-sufficient in oil and natural gas production, have become the world’s leading producer, and we’re a net exporter of oil and natural gas.  That last, especially, means we’ll easily be able fill any shortfall from the Saudis’ damage.  (Production cuts from that damage are likely to be short-lived in any event.)

In addition,

Today, energy accounts for about 2.5% of household consumption, down from around 8% in the 1970s

The Federal Reserve still has its misconception regarding the proper execution of its role, though:

The Saudi oil-field attack adds a new factor to consider for Federal Reserve officials, who have been weighing how a variety of geopolitical risks will influence the economic outlook, including the US-China trade war, unrest in Hong Kong, and Britain’s impending departure from the European Union.

Those things are irrelevant to the Fed’s task, which is to maintain stable pricing and full employment. The optimal way to achieve this is simply to set its benchmark interest rates at levels consistent with its inflation rate goal, and then—rather than chasing market responses to this or that “geopolitical risk,” or trying to anticipate and preempt them—sit down and be quiet.  The resulting sound economy will produce full employment.

The Fed’s inconstancy is a bigger problem for our economy than hits, even major ones, on another nation’s energy production capability.

On the other hand, the People’s Republic of China burns through three times the oil that it produces; it badly needs oil imports, much of which it got from Saudi Arabia.

Japan imports nearly all of the oil and natural gas that it consumes.  That’s a shortfall we easily can, and should, fill.

The VA Strikes Again

Several times.

First up is this petty (and more) move by the Veterans Administration.

Congressman Brian Mast (R, FL)a retired Army Ranger, spoke out on Thursday after he was evicted from his congressional office space in the West Palm Beach Veteran Affairs Medical Center.
The move came after Mast, who lost his legs in an explosion in Afghanistan in 2010, grilled a Department of Veteran Affairs official at a hearing earlier this year.

After a spate of veteran suicides in VA facilities, Mast questioned a number of VA officials last April.  Now the VA wants him out of that office space:

The department will use the space previously dedicated to 6 members of congress for the provision of medical care services.

Which might actually be plausible, except for the timing of the move. And the fact that, were the office space actually needed, the facility could have declined to lease the space to Mast in the first place.

 

Next is this, even more egregious, item. It seems the VA has been refusing to reimburse veterans who go to an emergency medical facility that’s not a VA hospital.  Never mind the “emergency” part of that.  It took a judge’s order in a lawsuit to force the VA to pay the bills.  And this isn’t the first time on this specific matter.

The Department of Veterans Affairs has been ordered to reimburse veterans for the cost of their emergency care at non-VA hospitals—something the agency has actively told veterans they are not entitled to, an appeals court ruled this week.
The VA has wrongfully been denying veterans’ claims while also misrepresenting a regulation that entitles them to reimbursement, the U.S. Court of Appeals for Veterans Claims said Monday.

The appellate court was not impressed with this deliberate misbehavior [emphasis added].

A previous regulation ended up excluding “nearly every type of expense a veteran could have incurred if he or she had insurance covering the non-emergency VA medical service at issue” from reimbursement, the court said, which violates a 2010 federal law.
“The Agency has effectively rolled back the clock and, with no transparency, essentially readopted a position we have authoritatively held inconsistent with Congress’s command,” the judges said, according to court documents. “Recognizing this is what has happened is—quite frankly—startling enough.
“It’s difficult to conceive how an agency could believe that adopting a regulation that mimics the result a federal court held to be unlawful is somehow appropriate when the statute at issue has not changed[.]”

That deliberate illegality ought to get some VA folks into jail.

 

And this, the worst of the lot.

…a Vietnam War veteran was reportedly found last week covered in ants and ant bites before he died at a Georgia VA nursing home.
Joel Marrable, who served in the Air Force, had more than 100 ant bites when his daughter visited him at the Eagle’s Nest Community Living Center in Decatur, the Atlanta Journal-Constitution reported. Laquna Moss said her father died shortly after being bitten in two incidents while battling cancer.

The VA still is actively killing through neglect our veterans.

The VA apologized, though. Like that makes everything all better.

Actions, not pretty words, and after all this time since the VA was first discovered falsifying appointment records and veterans were dying while on those fake appointment lists, nothing has changed.  Not a single item.

 

Veteranos Administratio delende est.