Promises of Progressive-Democrats

The Biden administration (or, as they like to style it, the Biden-Harris administration (can anyone remember the last administration that was referred to as the President-Vice President administration? The Kennedy-Johnson administration? The Carter-[mumble] administration?)) is making economic recovery promises. Here’s one from his brand-spanking new Treasury Secretary, Janet Yellon:

I’m anticipating, if all goes well, that our economy will be back to full employment—where we were before the pandemic—next year, and the Congressional Budget Office estimated that without this, it could probably take until 2024.

Yeah. Obama made similar promises regarding unemployment post his Panic of 2008 “stimulus.” The levels of unemployment embodied in those promises weren’t matched–his promises went unfulfilled–until some years after his promised date. Those failures were at least in part due to the explosion of regulations the Obama administration wrote.

Biden is making the same promise, through Yellen, engaging in the same regulatory explosion, and adding the fillip of overt attacks on our energy industry. And our economy will suffer the fate, exacerbated by that attack on our energy.

Earmarks

Leave it to Progressive-Democrats to want to bring this exemplar of spendthrift back. You know what earmarks are:

“member-directed spending,” [that] are provisions discreetly tucked away in large spending vehicles that directly fund a pet project championed by a specific member of Congress for the member’s own constituents.

Congresswoman Rosa DeLauro (D, CT) and Senator Pat Leahy (D, VT)—the respective chairs of the House and Senate Appropriations committees are about to introduce legislation that would restore the business.

In contrast, Senator Ted Cruz (R, TX) and Congressman Ted Budd (R, NC) are pushing the Earmark Elimination Act, which would ban earmarks permanently. Citizens Against Government Waste President Tom Schatz told Just the News that

Earmarks are the most corrupt, costly, and inequitable practice in the history of Congress. They led to members, staff, and lobbyists being incarcerated. In a form of legalized bribery, members of Congress vote for tens or hundreds of billions of dollars in appropriations bills in return for a few million dollars in earmarks. Earmarks go to those in power, as shown during the 111th Congress, when the 81 members of the House and Senate Appropriations Committees, who constituted 15% of Congress, got 51% of the earmarks and 61% of the money. Restoring earmarks will lead to the same results.

I’m not as adamantly opposed to earmarks as some: they can be useful horsetrading tools, usable to facilitate political tradeoffs to get important legislation passed—or other useless legislation blocked.

The major problem, it seems to me, has been the secretive nature of earmarks. They tended to be negotiated behind closed doors, out of the public’s view, and then buried in one or another appropriations bill. The process needs to be better structured.

In that 111th Congress, the total amount that wound up being spent on earmarks amounted to some 3% of that session’s first year budget. Accordingly, break out those 3% into a separate appropriations bill as a sort of earmark slush fund. Then have every earmark proposal individually debated on the House and Senate floors until the 3% is committed, and where differences occur between the final House and Senate slush fund appropriations bills, let the bills be reconciled via House-Senate joint committees, just as every other bit of legislation is.

Let the horsetrading occur in plain sight of the House and Senate member constituencies. Ordinary Americans can handle the sight of sausage making. Honest.

And they’ll take appropriate action at the next election. ‘Course, that’s what the politicians are afraid of.

Cent Wise and Euro Foolish

Barron’s has an example, centered on Europe’s very own Wuhan Virus situation.

The EU economy shrank last year by 6.3%, according to the latest EU forecast, published on Thursday. That amounts to about €877 billion ($1.1 trillion) of lost gross domestic product last year. Or about €17 billion a week.
Compared with this, the total bill of vaccines procured until now by the EU—based on contracts signed, and vaccine prices confidential in principle but tweeted last December by the Belgian health minister—would amount to €20.5 billion.

The finally agreed vaccine bill amounts to a bare day-and-a-half over a week’s lost GDP—and how many lives.

While Barron’s writes its own price-is-no-object foolishness—When dealing with the pandemic, vaccines are quite literally priceless—the EU plainly wasted ‘way too much time, money, and lives, quibbling over relative pennies.

An outcome of the European Union’s foolishness:

20% of the UK population has already received at least a shot of one of the three [EU- and British-]approved inoculations—the Pfizer-BioNTech, AstraZeneca-Oxford, and Moderna vaccines. More than 13% of Americans are in a similar situation—but barely more than 4% of Europeans[.]

Yet More Spending

This time on “child care” checks written by the IRS.

The [House Progressive-Democrats’] 22-page bill proposes that the Internal Revenue Service provide $3,600 to every child under the age 6 and $3,000 per child ages 6-17 to families earning less than $75,000 per year, or couples earning less than $150,000. The payments would be distributed monthly, over the course of a year, beginning this July.

House Ways and Means Committee Chairman Richard Neal (D, MA) compounds the cynicism of this move:

The pandemic is driving families deeper and deeper into poverty, and it’s devastating. We are making the Child Tax Credit more generous, more accessible, and by paying it out monthly, this money is going to be the difference in a roof over someone’s head or food on their table[.]

That’s plainly not true. The Wuhan Virus situation has done/is doing no such thing. Governments at a variety of levels of jurisdiction are driving, devastatingly, families deeper and deeper into poverty with those governments’ mandates to close down all businesses, churches, and other public gathering places, thereby depriving families of their jobs, without any regard to the uselessness of those lockdowns.

We don’t need any IRS checks. We need our economy reopened so our businesses can go back to making and selling, our citizens can go back to work, and our families can go back to making their way.

At least the bill is amazingly short and blatant, though.

“Employment Levels”

Candidates to replace term-limited Bill de Blasio (D) as mayor of New York City are coming out of the woodwork like the city’s rats. The opening sentence of a Wall Street Journal article covering their plans to “job recovery” is riddled with irony.

More than three dozen New York City mayoral candidates are vying for one of the toughest jobs in the country: leading the nation’s largest city back to pre-pandemic employment levels while trying to find the funding to do so.

The candidates—the city—do not need to “find the funding” to put folks back to work. In an actual free market environment, private employers provide the funding for their own employees. They get that funding from private citizens buying those employers’ goods and services. The city—any government—is a cost center for every business in it jurisdiction, from the taxes the city exacts (some of them actually legitimate charges) to the regulations (very few of them serving any legitimate purpose, being merely revenue centers for the bureaucracy charging them) it imposes.

Returning New York City to pre-Wuhan Virus situation levels is breathtakingly cost-free—and revenue-generating for the city: get out of the way, let the businesses reopen so folks can go back to work, let schools reopen so kids can go back to school—reducing both private and public medical costs—and letting even more folks go back to work.

It’s just that straightforward. It shouldn’t be as hard as even well-meaning, but overthinking, politicians make it.