Sunday, May 19, 2013

The Perils of Energy Technocracy

Picking 'Winners' and Losers with no skin in the game  
by Donald Norman
“There is no evidence that government scientists and engineers are better at forecasting the future and know how the future will play out better than the scientists and engineers in private companies. Technocrats ignore the fact that private companies also hire scientists and engineers, (not to mention MBA’s and economists) and make investments based on their outlook for the future.”
The technocracy movement that arose in the early part of twentieth century advocated turning over the reins of governmental decision making to scientists, engineers and other “technocrats”. It was argued that the expertise of technocrats would result in better decisions than those made by private companies.
The idea of technocracy was embedded in the concept of central planning and was heralded by Thorstein Veblen and embraced by the Soviet Union. In the early years of the Great Depression the movement enjoyed renewed popularity, the belief being that technical, rational and apolitical expertise could revive the economy.
As an aside, one of the advocates of technocracy was M. King Hubbert who later developed his theory of Peak Oil production. Hubbert also proposed that energy certificates be issued to replace conventional money. These certificates could be divided equally among all members of a North American continental “technate.” Hubbert went on to become a geoscientist at Shell Oil.
A Comeback in Energy
Interest in the technocracy movement waned as the 1930s wore one, but surprisingly it is making a comeback in the area of energy. The Obama administration’s belief that the government can pick winning energy technologies is something that has a lineage reaching back to the technocracy movement.
Despite F. A. Hayek’s explanation as to how markets transmit information and coordinate decision making by individuals in the private sector, many in the current administration, along with its supporters, believe that Nobel Prize winning scientists like Secretary of Energy Steven Chu are better positioned to put the economy on the “correct” path to the future and do so faster than the market.

A Culture of Intimidation

It’s not possible to prevent people, particularly people whose goal is power, from abusing it
By Rand Simberg 
In the wake of the Abu Ghraib prison scandal in Iraq during the Bush administration, the default assumption of the media was that it was a direct consequence of White House policies. Those who were particularly Bush/Cheney deranged imagined that the vice president himself probably spent his recreational time personally torturing Iraqi prisoners. But even more thoughtful people  [1] accused the administration of creating the environment in which the abuse could occur:
Defenders of the administration have argued, of course, that there is no “smoking gun”–no chain of orders leading directly from Defense Secretary Donald Rumsfeld to Pfc. Lynndie England and her co-conspirators. But that reasoning–now largely accepted within the Beltway–betrays a deliberate indifference to how large organizations such as the military actually work. In any war, civilian leaders set strategic aims, and it falls to commanders and planners at successively lower levels of command to refine that guidance into executable orders which can be handed down to subordinates. That process works whether the policy in question is a good one or a bad one. President Bush didn’t order the April 2003 “thunder run” into Baghdad; he ordered Tommy Franks to win the war and the Third Infantry Division’s leaders figured out how to make it happen. Likewise, no order was given to shove light sticks into the rectums of Iraqi prisoners at Abu Ghraib. Nevertheless, the road to the abuses began with flawed administration policies that exalted expediency and necessity over the rule of law, eviscerated the military’s institutional constraints on the treatment of prisoners, commenced combat with insufficient planning, preparation and troop strength, and thereby set the conditions for the abuses that would later take place.
Similarly, while we still don’t know what the White House knew and when it knew it (and the president’s non-responsive answer to a question that wasn’t asked on Thursday [2] not only failed to clarify the issue, but increased cause for suspicion), the administration certainly created an environment in which IRS functionaries might have thought it was their job to go after his political enemies. If they weren’t doing literally to them what the Abu Ghraib rogue soldiers were doing to individual Iraqi’s fundaments, they were certainly doing it figuratively. This is particularly true because by the very nature of their job, and the ideology of the limited-government groups, many of the IRS employees probably viewed them as their own political adversaries.

Watching Obamacare Unravel

The “Affordable Care Act” is becoming an unsustainable mess. It’s time to scrap it entirely
by Richard A. Epstein
On Friday, May 10, President Obama ventured into Ohio to give a Mother’s Day defense of the sagging fortunes of his signal achievement, the misnamed Patient Protection and Affordable Care Act. The law, the President assures us, “is here to stay”—a comment that is best regarded as a threat and not a promise. His conclusion was not coincidental; support for the ACA has dropped from 42 percent to 35 percent between November 2012 and April 2013.
This recent drop in popularity is not a function of some detailed analysis of the ACA’s key provisions. Rather, the public seems to feel that the sheer complexity of the program makes it highly unlikely that it will be able to take effect in any form by its ostensible January 1, 2014 start date. The most obvious difficulty in implementation stems from the unwillingness of many states to participate in its two gargantuan initiatives, even with heavy federal support: the private exchanges (now called “marketplaces”) for individuals, and the Medicaid extension to additional individuals.
Growing Pains for the ACA
The most up-to-date report from the Kaiser Family Foundation reveals extensive resistance on both fronts. The ACA’s new marketplaces are said to allow ordinary individuals to shop for their own policies. This modest goal sounds easy, but it is not. As the current rules demand, all enrollment must be possible online, in person, by phone, fax, and mail. In addition to a website, the exchanges must provide “culturally and linguistically appropriate assistance,” along with a navigator program to promote public awareness. They must offer seamless linkage with other public initiatives, and accurate information on premium tax credits and cost-sharing subsidies, all under a program whose key provisions are not yet fully worked out. Already, HHS has distributed over $3.6 billion to states for implementation, with more to come.
Yet for all of these Herculean efforts, at present, only 18 states have opted to create their own exchanges, and seven are planning for a partnership exchange in cooperation with the federal government. A whopping 26 states have defaulted on their option, leaving the feds to pick up the pieces. Similarly, only 29 states have opted into the ACA’s Medicaid extension program, even though it promises substantial federal support early on. Twenty states have already opted out of the program and two are weighing their options.

Wilhelm Roepke and the Liberal Ideal

An introduction to Roepke's third way

by Ralph Ancil
Much of Wilhelm Roepke’s work can be understood as an exposition of the essence of Western, Occidental thought, a contribution to civilization that can be summed up in the word “liberal” properly understood. It means balanced respect for all the spheres of human personality and activity, multiplicities that can only be fully pursued in the spirit of individual freedom within a framework of individual moral restraint. And this also means an openness to transcen­dence, to divine revelation, a fact which limits and conditions thought and action in this world. Opposing this attitude is the largely Eastern gnostic or immanen­tist thinking which is characterized in a closed, self-contained system of thought, tending to absolutize one thing, be it art, politics, science, or a technological or religious form, and render it autonomous. This warfare between two trends of thought, the liberal and the immanentist, is found throughout European history and is arguably the main key to understanding this history.
Two prominent cases are the religious attitudes toward art and beauty, and economy and wealth. In the following, the liberal ideal of balanced respect for the varying allocations of the human spirit, as Weaver called it, is highlighted by looking at some of the differences between Protestant and Catholic views in the light of several authors including Richard Weaver, Wilhelm Roepke, Thomas Mann, and Francis Shaeffer, and others. Comparing these two spheres, beauty and wealth, should illuminate Roepke’s ideal of a humane econo­my which is inseparably linked to his vision of the humane society. In the end it should be clear that his vision is thoroughly European in the best tradition, common and ancient.
The Problem of Beauty
At the beginning of his chapter on art in his Visions of Order, Richard Weaver quotes from Thomas Mann’s Death in Venice, the story of an artist’s moral decay. The quote reads:
And does not form have two aspects? Is it not moral and amoral at once – moral in that it is the result and expression of discipline, but amoral, and even immoral, in that by nature it contains an indifference to morality, is calculated, in fact, to make morality bend beneath its proud and unencum­bered scepter? (Mann, 17)

My Generation’s Disease

Millennials are going out of their way to deserve their sad fate
By Benjamin Brophy
I have closely watched the up-and-coming generation, known as The Millennials, for 29 years now. That is the advantage of being part of a generation, I suppose. Joel Stein wrote an extensive piece on Millennials in the most recent issue of Time and he remains rather bullish on our potential.
I hesitate to share his optimism because of a paradox we seem to exhibit: Namely, that there are more avenues for us to entertain ourselves than ever before, yet we are more bored than ever before. It is this boredom that has led to a pervasive ennui amongst us.
Entertainment has never been more diversified. We have more cable channels, critically acclaimed television shows, and formulaic movies than ever before. Beyond the small screen, Internet providers like Hulu and Netflix allow instant viewing of almost any movie or television program ever created. Kindles make any printed product accessible anywhere and iTunes allows for infinite music (as well as movie and TV) options.
Next to these technical amusements, there are of course, the old vices. Some are packaged in new ways, like pornography instead of “free love” or whatever the hippies called it. According to a 2009 study, single men watched pornography three times a week for an average of 40 minutes, while men in relationships watched it 1.7 times a week for around 20 minutes. That same study could not find a single man in his 20s who had never looked at porn. Millennial women aren’t off the hook either, as their consumption of pornography has increased as well. So while levels of premarital and promiscuous sex are slightly falling among Millennials, they are instead indulging in Internet-packaged sex at a level unheard of for other generations.

Saturday, May 18, 2013

In IRS scandal, echoes of Watergate

Not even divided government is safe government, but it beats the alternative
By George F. Will
“He has, acting personally and through his subordinates and agents, endeavored to ... cause, in violation of the constitutional rights of citizens, income tax audits or other income tax investigations to be initiated or conducted in a discriminatory manner.”
— Article II, Section 1, Articles of Impeachment against Richard M. Nixon, adopted by the House Judiciary Committee, July 29, 1974
The burglary occurred in 1972, the climax came in 1974, but 40 years ago this week — May 17, 1973 — the Senate Watergate hearings began exploring the nature of Richard Nixon’s administration. Now the nature of Barack Obama’s administration is being clarified as revelations about IRS targeting of conservative groups merge with myriad Benghazi mendacities.
This administration aggressively hawked the fiction that the Benghazi attack was just an excessively boisterous movie review. Now we are told that a few wayward souls in Cincinnati, with nary a trace of political purpose, targeted for harassment political groups with “tea party” and “patriot” in their titles. The Post has reported that the IRS also targeted groups that “ criticized the government and sought to educate Americans about the U.S. Constitution .” Credit the IRS operatives with understanding who and what threatens the current regime. The Post also reports that harassing inquiries have come from other IRS offices, including Washington.
Jay Carney, whose unenviable job is not to explain but to explain away what his employers say, calls the IRS’s behavior “inappropriate.” No, using the salad fork for the entree is inappropriate. Using the Internal Revenue Service for political purposes is a criminal offense.

The Trick To Suppressing Revolution

Keeping Debt/Tax Serfdom Bearable
The 30 million whose labor funds the parasitic status quo don't have to rebel; they simply have to stop going to work, stop starting enterprises, stop being productive.
by Charles Hugh-Smith
Parasites must balance their drive to maximize what they extract from their host with the risk of losing everything by killing their host. This is the dilemma of the parasitic partnership of the central state and financial Elites everywhere: to extract the maximum possible in debt payments and taxes without sparking rebellion and revolution.
I have often commented on the current class structure, which paradoxically unites the interests of the top 1/5% of 1% and their political-class toadies and the bottom 50% who are drawing transfer payments/benefits from the state: both support the status quo because both receive direct benefits from it.
The 20% who pay most of the tax and service much of the debt are in the middle, a political minority of debt/tax serfs who finance the status quo, i.e. cartel-crony capitalism owned and operated by the financial and political Elites:
The numbers of Americans drawing benefits from the state are astounding: almost 11 million people drawing lifetime disability from Social Security (The Number Of US Citizens On Disability Is Now Larger Than The Population Of Greece); Social Security (SSA) has 61 million beneficiaries as of March 2012; Medicare had 49.4 million beneficiaries in 2012, and Medicaid has over 50 million beneficiaries (another source puts the current number at 58 million, but the Kaiser Family Foundation says roughly 7 million "dual-eligibles" receive both Medicaid and Medicare, so let's use the data point of 50 million Medicaid-only recipients.)
This aligns fairly well with the 48 million drawing SNAP (food stamp) benefits: Food stamp Recipients Hit Record (Zero Hedge). Those qualifying for one program likely qualify for the other.
This means roughly 110 million people are drawing significant direct benefits from the Federal government (central state) while the number of full-time workers is 116 million--about a 1-to-1 worker-beneficiary ratio.
The problem is two-fold: the entitlement programs are running massive deficits even though the Baby Boom has barely started to enter the programs, and the number of workers earning enough to pay significant income taxes is remarkably limited.
As I detailed in The Fraud at the Heart of Social Security (January 17, 2011), the program paid out $707 billion in 2010 and collected $631 billion in taxes, a $76 billion shortfall for 2010. The current program (2012) cost is $817 billion, a leap of $100 billion in a few short years as Baby Boomers flood into the program.
Of the roughly 142 million workers in the U.S., 38 million earn less than $10,000 per year, 50 million earn less that $15,000 a year and 61 million earn less than $20,000 annually. All these numbers are drawn directly from Social Security Administration payroll data.
100 million wage earners, or 2/3 the entire workforce, earn less than $40,000 per year.
Most of the heavy-lifting in terms of paying income taxes falls to about 30 million people, the top 20% of wage earners.
As for debt-serfdom, the status quo has widely distributed huge debt loads via home mortgages and student loans. A trillion here and a trillion there and pretty soon you're talking real money: 

How to End the Forever War

Building a very real police state, while 'fighting' imaginary foes 
By Harold Hongju Koh
From both the left and the right, three common misperceptions have emerged about US foreign policy: First, that the Global War on Terror has become a perpetual state of affairs; second, that no strategy is available to end this conflict in the near future; and third, that "the Obama approach to that conflict is just like the Bush approach." I disagree with all three propositions.
First and most important, the overriding goal should be to end this Forever War, not engage in a perpetual "global war on terror," without geographic or temporal limits.
Second, this is not a conflict without end, and there is a strategy to end it, outlined below. In November, also at the Oxford Union, Jeh Johnson, then general counsel of the United States Department of Defense, argued that in the conflict against Al Qaeda and its affiliates:
"there will come a tipping point - ... at which so many of the leaders and operatives of al Qaeda and its affiliates have been killed or captured, and the group is no longer able to attempt or launch a strategic attack against the United States, such that al Qaeda as we know it, the organization that our Congress authorized the military to pursue in 2001, has been effectively destroyed. At that point, we must be able to say to ourselves that our efforts should no longer be considered an "armed conflict" against al Qaeda and its associated forces; rather, a counterterrorism effort against individuals who are the scattered remnants of al Qaeda, or are parts of groups unaffiliated with al Qaeda...."
The key question going forward will thus be whether the US treats new groups that rise up to commit acts of terror as "associated forces" of Al Qaeda with whom it's already at war. This seems unwise, as under both domestic and international law, the United States has ample legal authority to respond to new groups that would attack without declaring war forever against anyone hostile to the country. More fundamentally, the United States is at war with Al Qaeda, not with any idea or religion, or with mere propagandists, journalists or sad individuals, like the recent Boston bombers, who may become radicalized, inspired by Al Qaeda's ideology, but never joining Al Qaeda itself.
Third, in regard to this conflict, the Obama administration has differed from its predecessor in three key respects. First, it has acknowledged that the United States is strictly bound by domestic and international law. Under domestic law, the administration has acknowledged that its authority derives from Acts of Congress, not just the president's vague constitutional powers. Under international law, this administration has expressly recognized that US actions are constrained by the laws of war, and it has worked hard to translate the spirit of those laws and apply them.

FDR: Sowing the Seeds of Chaos

The Corruption of Capitalism in America
by David Stockman
When FDR Got the Gold
The long-lasting imprint from FDR’s famous “Hundred Days” did not stem from the bank holiday, national industrial recovery act, the farm adjustment act, the Tennessee Valley Authority, or the public works administration.
Instead, it is lodged in the footnotes of standard histories; namely, FDR’s April 1933 order confiscating every ounce of gold held by private citizens and businesses throughout the United States. Shortly thereafter he also embraced the Thomas Amendment, giving him open-ended authority to drastically reduce the gold content of the dollar; that is, to trash the nation’s currency.
These actions did not constitute merely a belated burial of the “barbarous relic.” In the larger scheme of monetary history, they marked a crucial tipping point. They initiated a process of monetary deformation that led straight to Nixon’s abomination at Camp David, Greenspan’s panic at the time of the 1998 Long-Term Capital Management crisis, and the final destruction of monetary integrity and financial discipline during the BlackBerry Panic of 2008.
The radical nature of this break with the past is underscored by a singular fact virtually unknown in the present era of inflationary central bank money; namely, that the dollar’s gold content had been set at $20.67 per ounce in 1832 and had never been altered. There had been zero net domestic inflation for a century and the dollar’s gold value in international commerce had never varied except during war.
The Thomas Amendment nullified this rock-solid monetary foundation and instead permitted the president on his own whim to cut the dollar’s gold content by up to 50 percent. So doing, it signaled that money would no longer exist fixed, immutable, and outside the machinations of the state, but would now be an artifact of its whims and expedients.
It was a shocking deviation from FDR’s own repeated campaign pledges to preserve “sound money at all hazards” and contradicted the pro–gold standard views of even his own party’s mainstream. Likewise, the removal of gold from circulation entirely had never before been seriously proposed, not even by William Jennings Bryan, the populist Democrat presidential candidate best known for his “Cross of Gold” speech.
Self-evidently, bank notes and checkbook money had long been a more convenient means of payment than gold coins, but the function of gold was financial discipline, not hand-to-hand circulation. Redeemability of bank notes and deposits gave the people an ultimate check on the monetary depredations of the state and its central banking branch. Indeed, the public’s freedom to dump its everyday money in favor of gold coins and bullion was what kept official currency and bank money honest.

A nightmare vision of the welfarist trap

A reissue of Zoe Fairbairns’ dystopian novel Benefits is a timely reminder that left-wingers weren't always such big fans of welfarism
bby Neil Davenport
Among a broad spectrum of British left-wingers, the welfare state is treated as the most sacred institution in British society. Unemployment benefit, child benefit, incapacity benefits, housing benefit… all are held up as paragons of a left-inspired virtue. Nothing agitates left-leaning commentators more than Lib-Con proposals to slash welfare payments. Apparently the poor, the plebs and ‘the vulnerable’ could not cope without the army of welfare professionals providing them with support and sustenance.
Yet this hagiographical account of the welfare state is a fairly new turn on the left. Left-wingers weren’t always so taken with welfarism. It seems that the more the left’s faith in ordinary people’s capacity to sort their lives out has declined, the more it has endowed the state with extraordinary qualities, virtues and powers.
Back in the 1970s and 80s, some radical sociologists deplored the expansion of welfarism, viewing it as an extension of bureaucratic control over the citizenry. Sociology texts asked, ‘Who benefits from benefits?’, and the answer was often: the establishment and those at the top of the class system. Following Marx’s point that very early systems of welfare were a ‘disguised form of alms’, radical sociologists argued that welfare simply ‘bought off’ the lower orders and encouraged them to identify with and respect state structures.
In the 1980s, many a crusty anarchist would point out the inconsistency among some left-wingers of being anti-state while simultaneously claiming welfare benefits. In promoting the idea that the state was ‘neutral’, and that it might possibly be coaxed to improve poor people’s lives further, welfarism actively discouraged political independence of the state and its offshoots.
It was this radical tension - of being politically opposed to the state while advocating economic dependence on it - that was explored in Zoe Fairbairns’ dystopian feminist novel, Benefits. Written in the febrile political atmosphere of late-1970s Britain,Benefits is about a future state’s sinister attempts to control women’s fertility, and to encourage responsible parenting, through the introduction of a universal ‘wages for housework’ benefit.

That's how a zombie economy works, dear reader

TARP Boss Neil Barofsky still looking for the missing trillions
by Bill Bonner
A friend in Washington had promised to introduce us to Neil Barofsky, inspector general of the TARP program.
You remember TARP? It was the feds' $700 billion program to rescue the US economy from a correction. Neil Barofsky was in charge of it. So we decided to go down and ask him how it turned out...
Meanwhile, in yesterday's International Herald Tribune was a small note: "Economists agree that spending cuts and tax increases have slowed the US recovery."
Readers will recognize this as the usual claptrap.
Government spending does not bring a genuine "recovery."
C'mon... how many times do we have to explain? You take $5 worth of resources and give them to an armed 19-year-old in Afghanistan. He shoots a round or two into a mountainside... poof... the $5 is gone. Or you have an ATF official. He's idling his motor as he stakes out a house believed to be used by a cigarette smuggler. In a few minutes, or even seconds, the $5 has vanished. Or give the money to a disabled person; he buys a MoonPie and a Coke. Economists may record the spending as part of GDP... But how are you better off?
You're $5 poorer, not $5 richer.
But GDP growth is something economists feel they can control. So they go to work on it like a sex maniac strangling a prostitute. Nothing good comes of it. But at least they get results.
And here comes Paul Krugman with more garroting wire! The New York Times Magazine:
Keynesian economics rests fundamentally on the proposition that macroeconomics isn't a morality play – that depressions are essentially a technical malfunction. As the Great Depression deepened, Keynes famously declared that "we have magneto trouble" – i.e., the economy's troubles were like those of a car with a small but critical problem in its electrical system, and the job of the economist is to figure out how to repair that technical problem.
Back to Neil Barofsky...
Rewarding Mistakes
So... where did the $700 billion go? Did that fix the magneto trouble?
"I wondered the same thing," he said (from memory). "It was amazing to me that no one knew. We gave it to the banks. But no one knew what they did with it. I proposed to Tim Geithner that we find out. He was outraged. He cursed me out, using the F-word. He said it would bring the whole banking system down, if I asked.
"I went ahead and sent out a letter. I didn't really have the authority or the staff to insist. But all of the big banks wrote back. And most of them gave me dodgy responses or gave me the brush-off.

Feds to Students: You Can't Say That

The Justice and Education departments issue a dangerous new speech code for colleges
By GREG LUKIANOFF
The scandals roiling Washington over the past two weeks involve troubling government behavior that had been hidden—the IRS targeting of conservative groups and the Justice Department's surveillance of the Associated Press, among others. Largely overlooked amid the histrionics has been a shocker hiding in plain sight. Last week, the Obama administration moved to dramatically undermine students' and faculty rights at colleges across the country.
The new policy was announced in a joint letter from the Education Department and Justice Department to the University of Montana. The May 9 letter addressed the results of a year-long joint investigation by the departments into the school's mishandling of several serious sexual-assault cases. The investigation determined that the university's policies addressing sexual assault failed to comply with Title IV of the Civil Rights Act of 1964 and Title IX of the Education Amendments of 1972.
But the joint letter, which announced a "resolution agreement" with the university, didn't stop there. It then proceeded to rewrite the federal government's rules about sexual harassment and free speech on campus.
If that sounds hyperbolic, consider the letter itself. The first paragraph declares that the Montana findings should serve as a "blueprint for colleges and universities throughout the country." After outlining the specifics of the case, the letter states that only a stunningly broad definition of sexual harassment—"unwelcome conduct of a sexual nature"—will now satisfy federal statutory requirements. This explicitly includes "verbal conduct," otherwise known as speech.
The letter rejects the requirement, established by legal precedent and previous Education Department guidance, that sexual harassment must be "objectively offensive." By eliminating this "reasonable person" standard—which the Education Department has required since at least 2003, and which protects the accused against unreasonable or insincere allegations—the right not to be offended has been enshrined in a federal mandate.

USA officially certified by IRS 'Accountants' as a Fascist State

Once government is ensnared in every aspect of life, a bureaucracy grows increasingly capricious 
By Mark Steyn
Speaking at Ohio State University earlier this month, Barack Obama urged students to pay no attention to those paranoid types who “incessantly warn of government as nothing more than some separate, sinister entity.” Oddly enough, in recent days the most compelling testimony for this view of government has come from the president himself, who insists with a straight face that he had no idea that the Internal Revenue Service had spent two years targeting his political enemies until he “learned about it from the same news reports that I think most people learned about this.” Like you, all he knows is what he reads in the papers. Which is odd, because his Justice Department is bugging those same papers, so you’d think he’d at least get a bit of a heads-up. But no doubt the fact that he’s wiretapping the Associated Press was also entirely unknown to him until he read about it in the Associated Press. There is a “president of the United States” and a “government of the United States,” but, despite a certain superficial similarity in their names, they are entirely unrelated, like Beyoncé Knowles and Admiral Sir Charles Knowles. One golfs, reads the prompter, parties with Jay-Z, and guests on the Pimp with a Limp show, and the other audits you, bugs your telephone line, and leaks your confidential tax records. But they’re two completely separate sinister entities. So it’s preposterous to describe Obama as Nixonian: Beyoncé wouldn’t have given Nixon the time of day.
If you believe this, there’s a shovel-ready infrastructure project in Brooklyn I’d like to sell you. In April last year, the Obama campaign identified by name eight Romney donors as “a group of wealthy individuals with less than reputable records. Quite a few have been on the wrong side of the law, others have made profits at the expense of so many Americans, and still others are donating to help ensure Romney puts beneficial policies in place for them.” That week, Kimberley Strassel began her Wall Street Journalcolumn thus:
Try this thought experiment: You decide to donate money to Mitt Romney. You want change in the Oval Office, so you engage in your democratic right to send a check.
Several days later, President Barack Obama, the most powerful man on the planet, singles you out by name. . . . The message from the man who controls the Justice Department (which can indict you), the SEC (which can fine you), and the IRS (which can audit you), is clear: You made a mistake donating that money.
Miss Strassel wrote that on April 26, 2012. Five weeks later, one of the named individuals, Frank VanderSloot, was informed by the IRS that he and his wife were being audited. In July, he was told by the Department of Labor of an additional audit over the guest workers on his cattle ranch in Idaho. In September, he was notified that one of his other businesses was to be audited. Mr. VanderSloot, who had never previously been audited, attracted three in the four months after being publicly named by el Presidente. More to the point he attracted that triple audit even though Miss Strassel explicitly predicted in America’s biggest-selling newspaper that this was exactly what the Obama enforcers were going to do. The “separate, sinister entity” of the government of the United States went ahead anyway. What do they care? If some lippy broad in the papers won’t quit her yapping about it, they can always audit her, too — as they did to Miss Strassel’s sometime colleague Anne Hendershott, a sociology professor who got rather too interested in Obamacare and wrote about it in the Journal and various small Catholic publications. The IRS summoned Professor Hendershott to account for herself, and forbade her husband from accompanying her, even though they filed jointly. She ceased her political writing.
A year after he was named to the Obama Dishonor Roll, the feds have found nothing on Mr. VanderSloot, but they have caused him to rack up 80 grand in legal bills. This is what IRS defenders (of whom there are more than there ought to be) mean when they assure us that the system worked: Yes, some rich guy had to blow through the best part of six figures fending off the bureaucrats, but it’s not like his body was found in a trunk at the airport or anything, if you know what I mean, Kimmy baby.  
Mr. VanderSloot is big enough, just about, to see off the most powerful government on the planet. Most of those who’ve caught the eye of the IRS share nothing in common with him other than his political preferences. They’re nobodies — ordinary American citizens guilty of no crime except that of disagreeing with the ruling party. Yet they were asked, under “penalty of perjury,” to disclose the names of books they were reading and provide the names and addresses of relatives who might be planning to run for public office — a kind of pre-enemies list. Is that banana-republic enough for you yet? Not apparently for Juan Williams, fired from NPR for thought crime a couple of years ago, but who was nevertheless energetically defending the IRS exertions on Fox News on Thursday evening.
Left-wing groups had their 501(c)(4) applications approved in weeks, right-wing groups were delayed for months and years and ordered to cough up everything from donor lists to Facebook posts, and those right-wing groups that were approved had their IRS files leaked to left-wing groups like ProPublica. The agency’s commissioner, a slippery weasel called Steven Miller, conceded before Congress that this was “horrible customer service” — which it was in the sense that your call is important to him and may be monitored by George Soros for quality control.
A civil “civil service” requires small government. Once government is ensnared in every aspect of life a bureaucracy grows increasingly capricious. The U.S. tax code ought to be an abomination to any free society, but the American people have become reconciled to it because of a complex web of so-called exemptions that massively empower the vast shadow state of the permanent bureaucracy. Under a simple tax system, your income is a legitimate tax issue. Under the IRS,everything is a legitimate tax issue: The books you read, the friends you recommend them to. There are no correct answers, only approved answers. Drew Ryun applied for permanent non-profit status for a group called “Media Trackers” in July 2011. Fifteen months later, he’d heard nothing. So he applied again under the eco-friendly name of “Greenhouse Solutions,” and was approved in three weeks.
The president and the IRS commissioner are unable to name any individual who took the decision to target only conservative groups. It just kinda sorta happened, and, once it had, it growed like Topsy. But the lady who headed that office, Sarah Hall Ingram, is now in charge of the IRS office for Obamacare. Many countries around the world have introduced government health systems since 1945, but, as I wrote here last year, “only in America does ‘health’ ‘care’ ‘reform’ begin with the hiring of 16,500 new IRS agents tasked with determining whether your insurance policy merits a fine.” So now not only are your books and Facebook posts legitimate tax issues but so is your hernia, and your prostate, and your erectile dysfunction. Next time round, the IRS will be able to leak your incontinence pads to George Soros.
Big Government is erecting a panopticon state — one that sees everything, and regulates everything. It’s great “customer service,” except that you can never get out of the store. 

Friday, May 17, 2013

What Should Americans Die For?

To ask this question is the first step in answering it

by Patrick J. Buchanan
"The American people are weary. They don't want boots on the ground. I don't want boots on the ground. The worst thing the United States could do right now is put boots on the ground in Syria."
That was the leading Senate hawk favoring U.S. intervention in Syria's civil war. But by ruling out U.S. ground troops, John McCain was sending, perhaps unintentionally, another message: There is no vital U.S. interest in Syria's civil war worth shedding the blood of American soldiers and Marines.
Thus does America's premier hawk support the case made by think-tank scholars Owen Harries and Tom Switzer in their American Interest essay, "Leading from Behind: Third Time a Charm?"
There is in the U.S.A. today, they write, "a reluctance to commit American blood."
A legacy of Iraq and Afghanistan "is an unwillingness of the American public to take casualties on behalf of less than truly vital challenges. ... While such concerns may be admirable ... they are incompatible with a superpower posture and pretensions to global leadership."
You cannot be the "indispensable nation" if you reflexively recoil at putting "boots on the ground."
"If a nation is not prepared to take casualties, it should not engage in the kind of policies likely to cause them. If it is not prepared to take casualties, it should resign itself to not having the kind of respect from others that a more resolute nation could expect."
About the author's premise, that Americans are reluctant to take casualties, is there any doubt?
To demonstrate this, we need only address a few questions.

This Is No Ordinary Scandal

Political abuse of the IRS threatens the basic integrity of our government
By PEGGY NOONAN
We are in the midst of the worst Washington scandal since Watergate. The reputation of the Obama White House has, among conservatives, gone from sketchy to sinister, and, among liberals, from unsatisfying to dangerous. No one likes what they're seeing. The Justice Department assault on the Associated Press and the ugly politicization of the Internal Revenue Service have left the administration's credibility deeply, probably irretrievably damaged. They don't look jerky now, they look dirty. The patina of high-mindedness the president enjoyed is gone.
Something big has shifted. The standing of the administration has changed.
As always it comes down to trust. Do you trust the president's answers when he's pressed on an uncomfortable story? Do you trust his people to be sober and fair-minded as they go about their work? Do you trust the IRS and the Justice Department? You do not.
The president, as usual, acts as if all of this is totally unconnected to him. He's shocked, it's unacceptable, he'll get to the bottom of it. He read about it in the papers, just like you.
But he is not unconnected, he is not a bystander. This is his administration. Those are his executive agencies. He runs the IRS and the Justice Department.
A president sets a mood, a tone. He establishes an atmosphere. If he is arrogant, arrogance spreads. If he is to too partisan, too disrespecting of political adversaries, that spreads too. Presidents always undo themselves and then blame it on the third guy in the last row in the sleepy agency across town.
The IRS scandal has two parts. The first is the obviously deliberate and targeted abuse, harassment and attempted suppression of conservative groups. The second is the auditing of the taxes of political activists.