All posts by Chuck Norton

I write about politics, education, economics, morality and philosophy.

Santorum: Romney’s Super PAC is lying about me too…

See the video HERE.

Rick Santorum:

I did vote in the United States Senate that someone who was a felon, who served their time, came out of jail, had served their parole and probation, and after all of that sentencing, then they could go out and have their voting rights renewed. Which by the way is the exact law that’s in South Carolina.

Now Governor Romney has taken that and said ‘Rick Santorum is for felons voting.’ Now that is a lie! … And so to go out and mislead the people of South Carolina as to what our record is on this is just, YUCK!

I expect that from Barak Obama. I don’t expect that from a Republican running for president. We’re better than that!

Socialist Europe on a downward spiral…..

Wall Street Journal

The cascade of rating downgrades that hit France and eight other euro-zone nations last week casts fresh doubts over the monetary union’s ability to bail itself out of financial crisis and rescue its most vulnerable member, Greece.

Standard & Poor’s Ratings Services on Friday said it had stripped triple-A ratings from France and Austria and downgraded seven others, including Spain, Italy and Portugal. It retained the triple-A rating on Europe’s No. 1 economy, Germany.

The downgrade to France, the bloc’s second-largest economy, will make it harder—and potentially more expensive—for the euro zone’s bailout fund to help troubled states…….

John Kass: Barack Obama wins in ’12

Conservative columnist John Kass from the Chicago Tribune gives a grim reality check to the current campaign…

John Kass:

As the Republican presidential candidates and their mouthpieces prattle on the TV from sunny South Carolina, I look up from the screen and out the window and sigh, a conservative heretic at rest, staring at all that cold Midwestern snow.

There’s a yellowed sketch tacked to the wall of my work space, a cowboy Ronald Reagan smiling in eternal optimism. And on a bookshelf is a dusty, dog-eared copy of Russell Kirk’s “The Conservative Mind.”

Surrounded as I am by such dry artifacts of forgotten times, I sometimes wonder why I keep them. It could be self-mockery, or something like the way an amputee decides to keep the unused boot in the closet, out of sight, but near.

And still, I can’t ditch this feeling that I might be boiled in oil for the heresy I’m about to spout:

President Barack Obama will win re-election in 2012.

The reason he’ll win?

He knows who he is. And the Republican politicians don’t know who they are. They’ve forgotten what they’re about, or perhaps like some isolated tribe, they’ve lost the language necessary to explain it to themselves.

Their voters know this and don’t really believe them anymore.

And that’s why Obama will win.

And the Republican establishment that seeks to unseat him?

Their guy Mitt Romney calls himself a conservative. But he’s really a John Kerry in Republican clothing, right down to the phony laugh, and his past flips and flops will haunt him in defeat.

Shouldn’t the Romney types form their own party and call themselves the Corporatists? They’re often mistakenly called “pro-business moderates” by news organizations, but that’s not quite accurate.

For all the rhetoric about opposing regulation on business, they’re not opposed to those regulations that crush their competitors.

But do they know why their party is adrift? Can they even articulate the problem? I doubt it.

What’s bothersome is that I disagree with almost every single Obama policy, often vehemently, because what he’s doing amounts to feeding handfuls of steroids to the federal leviathan gorging on our individual rights and freedoms.

But being anti-Obama isn’t enough to vote him out. Republican voters have to believe, and I don’t think they do. They see the game unfolding. And they don’t want to be suckers again.

 

Another reason not to believe tonight…  Huntsman endorses Romney after trashing him for months….

Huntsman endorses Romney after trashing him for months….

After trashing Mitt Romney as a serial flip flipper who changes his stance week to week in a long series of ads and campaign videos John Huntsman is set to endorse Mitt Romney tomorrow.

ABC News:

Jon Huntsman will drop out of the Republican presidential race  on Monday, a campaign spokesman told ABC News.

Huntsman spokesman Tim Miller said the former ambassador to China and Utah Governor was “proud of the race that he ran” but “did not want to stand in the way” of rival Mitt Romney, the current front-runner for the Republican nomination.

Huntsman plans to endorse Romney at an 11 a.m. press conference Monday in Myrtle Beach, SC.

After a disappointing third place finish in New Hampshire – a contest on which he had staked his candidacy – Huntsman vowed to fight on. In his concession speech in New Hampshire, he told his supporters:  “I say third place is a ticket to ride, ladies and gentleman! Hello, South Carolina!”

But just six days from the South Carolina primary, Huntsman has said goodbye to the Palmetto state after all.

While Huntsman will be throwing his support to Romney on Monday, it was only a week ago that he told ABC’s John Berman just the opposite.

When asked if he trusts Governor Romney, Huntsman replied, “He has not put forth reason to give us a reason for us to trust him.”

Poll citing 21 point Romney lead in SC is bogus…

I just saw the Reuters poll showing Mitt Romney with a 21 point lead in South Carolina.

The poll is a joke for two reasons

1- Because half of the sample were Democrats. Why would you poll Democrats about a REPUBLICAN primary??? (Answer: to reflect the candidate the media wants to run against Obama.)

2- The sample was merely “registered voters” and not “likely voters” which skews the sample to the left.  Since “Motor Voter” almost every non-voting Joe is registered to vote.

Democrats: Romney’s job creation claims are fundamentally dishonest

The Democrats are already jumping on the Romney/Bain bandwagon. While these critiques are not totally fair they will have an impact.

Democrats:

Reuters has a firsthand example of this. Today’s special report chronicles the story of GS Technologies in Kansas City, Missouri, a steel mill that had been in business since 1888—and for decades was a major local employer. The mill work was hard, but the wages were fair, and the mill lifted “countless families into the middle class,” allowing them to buy homes, cars, and college educations.

That is, until Bain showed up.

“Less than a decade later, the mill was padlocked and some 750 people lost their jobs. Workers were denied the severance pay and health insurance they’d been promised, and their pension benefits were cut by as much as $400 a month. What’s more, a federal government insurance agency had to pony up $44 million to bail out the company’s underfunded pension plan. Nevertheless, Bain profited on the deal, receiving $12 million on its $8 million initial investment and at least $4.5 million in consulting fees.”

That’s right. The man who denounced President Bush’s bank bailouts in 2008 and President Obama’s successful rescue of the auto industry relied on a federal bailout to profit off a bankrupt company.

Mitt Romney has made the central argument of his candidacy the fact that he has been a private-sector job creator—to the tune of 100,000 jobs.

That is fundamentally dishonest—and it’s a slap in the face to those who have lost their livelihoods to Mitt Romney’s profiteering ways.

US retail sales fail to hit forecasts. Unemployment claims up.

Financial Times:

US retail sales rose less than expected over the holidays while new jobless claims climbed to a six-week high, underlining the slow pace of recovery from recession.

Retail sales increased 0.1 per cent in December to $400.6bn, missing forecasts of a 0.3 per cent rise and logging the weakest growth since last May, according to a commerce department report.

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Separately, first-time claims for unemployment benefits rose to 399,000. Economists say claims need to stay below 400,000 to sustain job growth.

December sales of electronics and appliances fell 3.9 per cent and department store purchases slipped 0.2 per cent. Meanwhile, cheaper fuel prices brought down receipts at petrol stations 1.6 per cent last month, while food and beverage sales fell 0.2 per cent.

“December’s retail sales figures suggest it was not a happy holiday season for US retailers,” said Paul Dales, senior US economist at Capital Economics. “In other words, households have started to pare back their spending, most probably because their real incomes have continued to fall.”

Read the rest HERE.

Ann Barnhardt on Ron Paul

My take on Ron Paul? If I suddenly have the urge to vote for an islam-appeaser who wants to see Israel wiped off the map, has no problem at all with a nuclear weaponized Iran, and thinks that the United States is an imperial force of evil in the world, I’ll just vote for Obama, because at that point, the less-crazy metric points to the guy who DOESN’T wear eyebrow toupees. – Ann Barnhardt

The Atlantic: Is Private Equity Bad For the Economy?

For another valid view on private equity firms, Jordan Wiessmann has an excellent column where he asks:

Do private equity buyouts hurt workers? 
Yes, then no. More workers get fired in the aftermath. Then more get hired. 

Do private equity firms drive companies into bankruptcy?
The data isn’t complete, but some indicators say no. 

Does private equity make the whole economy more efficient? 
Possibly. Industries with lots of private equity activity actually see faster growth. 

Democrat’s Sugar-Daddy George Soros Helped Craft Stimulus Then Invested in Companies Benefiting

George Soros
George Soros

Via Big Government:

Billionaire George Soros gave advice and direction on how President Obama should allocate so-called “stimulus” money in a series of regular private meetings and consultations with White House senior advisers even as Soros was making investments in areas affected by the stimulus program.

It’s just one more revelation featured in the blockbuster new book that continues to rock Washington,Throw Them All Out, authored by Breitbart News editor Peter Schweizer.

Mr. Soros met with Mr. Obama’s top economist on February 25, 2009 and twice more with senior officials in the Old Executive Office Building on March 24th and 25th as the stimulus plan was being crafted.  Later, Mr. Soros also participated in discussions on financial reform.

Then, in the first quarter of 2009, Mr. Soros went on a stock buying spree in companies that ultimately benefited from the federal stimulus.

  • Soros doubled his holdings in medical manufacturer Hologic, a company that benefited from stimulus spending on medical systems
  • Soros tripled his holdings in fiber channel and software maker Emulus, a company that wound up scoring a large amount of federal funds going to infrastructure spending
  • Soros bought 210,000 shares in Cisco Systems, which came up big in the stimulus lottery
  • Soros also bought Extreme Networks, which, months later, said it was expanding broadband to rural America “as part of President Obama’s broadband strategy”
  • Soros bought 1.5 million shares in American Electric Power, a company Mr. Obama gave $1 billion to in June 2009
  • Soros bought shares in utility company Ameren, which bagged a $540 million Department of Energy loan
  • Soros bought 250,000 shares of Public Service Enterprise Group, 500,000 shares of NRG Energy, and almost a million shares of Entergy—all companies that  came up winners in the Department of Energy taxpayer giveaway that produced the Solyndra debacle
  • Soros bought into BioFuel Energy, a company that benefitted when the EPA announced a regulation on ethanol
  • Soros bought Powerspan in April 2009.  Just weeks later, the clean-energy company landed $100 million from the Department of Energy
  • In the second quarter of 2009, Soros bought education technology giant Blackboard, which became a big recipient of education stimulus money
  • Soros also bought Burlington Northern Santa Fe and CSX, both beneficiaries of Mr. Obama’s plans for revitalizing the railroads
  • Soros bought Cognizant Technology Solutions, which scored stimulus funds in education and health care technology
  • Soros also bought 300,000 shares of Constellation Energy Group and 4.6 million shares of Covanta, both of which landed taxpayers’ money through the stimulus, the former of which bagged $200 million

In Throw Them All Out, Schweizer catalogs several more of Mr. Soros’s trades and says that, while “it is not necessarily the case that Soros had specific insider tips about any government grants,” nevertheless, Soros’s “investment decisions aligned remarkably closely with government grants and transfers.”

Lech Walesa Unveils Reagan Statue in Warsaw

 

WARSAW, Poland (AP) — Former Polish president and anti-communist leader Lech Walesa unveiled a statue of Ronald Reagan on an elegant Warsaw street on Monday, honoring the late U.S. president for inspiring Poland’s toppling of communism.

Though Reagan’s legacy is mixed in the U.S., across much of central and eastern Europe he is considered the greatest American leader in recent history for challenging the Soviet Union.

The moniker he gave it — the “evil empire” — resonated with Poles, who suffered greatly under Moscow-imposed rule.

“I wonder whether today’s Poland, Europe and world could look the same without president Reagan,” Walesa said. “As a participant in those events, I must say that it’s inconceivable.”

The 3.5-meter (11.5-foot) bronze statue depicts a smiling Reagan in a historic moment — as he stood at a podium at Berlin’s Brandenburg gate in 1987 and said the famous words, “Mr. Gorbachev, tear down this wall.”

It sits across from the U.S. Embassy on Aleje Ujazdowskie, a street lined with embassies and manicured parks in the heart of the capital.

“Reagan gave us hope,” said Janusz Dorosiewicz, the president of the board of the Ronald Reagan Foundation in Poland. He conceived of the monument and struggled for six years with bureaucracy to secure the prized location for the statue.

Several statues of Reagan have gone up this year, the centennial of Reagan’s birth. Most notably, monuments to him have been erected in London and in Budapest, Hungary, and yet another is to be unveiled later this week in the former Soviet republic of Georgia.

North Carolina Principal Resigns For Suspending Student Who Called Teacher ‘Cute’

Remember this story? Well it appears justice has been done and the winners are parents, teachers and the kids who were exposed to this radicalized school administrator.

This wen site, but especially my old college blog (2) has countless stories of administrators gone wild. Civil rights groups such as FIRE and ADF list thousands of such cases on their web sites. The problem of radicalized overzealous school administrators (without a residue of good judgment and common sense)  is nearly epidemic.

CBS News:

GASTONIA, N.C. (CBS Charlotte/AP) — The principal of a Gaston County school where a 9-year-old boy was suspended for sexual harassment submitted his resignation Tuesday, saying he wasn’t given a chance to apologize.

Jerry Bostic told The Gaston Gazette he could understand being written up for the suspension and having someone follow up during the school year, but he added that he was disappointed because this is how his 44 years in education ended.

“To me it’s a really sad final note to a career that I have found very satisfying and enjoy working with kids,” Bostic said. “I really don’t believe I was treated fairly.”

School officials offered an apology to Emanyea Lockett and his mother, Chiquita Lockett, after the boy was accused of calling a teacher “cute.” A statement from the system said it was determined that the fourth grader at Brookside Elementary School didn’t engage in sexual harassment. The school system said the suspension won’t count against the student, and there will be additional instructional assistance provided to the student for the classroom time missed.

“This is something that everyone needed to see, just to see what’s happening within our school systems,” Lockett told WSOC-TV.

Gaston County Schools Superintendent Reeves McGlohon would only say that Bostic submitted his resignation. McGlohon had no further comment.

“He (McGlohon) told me he had made the decision he was going to terminate me or drop me into an assistant principal position,” Bostic said. “I admit I made some errors in what I did, but to fire me or to demote me with 44 years in it, it just doesn’t make sense. To me he was a very heartless man, and he did it because of politics.”

In 44 years of experience he still had such a complete lack of judgment, common sense, and restraint to not see what is perfectly obvious to anyone who is not radicalized by Marxist radical feminism. The real problem is that it took 44 years for this pinhead to get escorted to the door.

Video: The Dead Vote In New Hampshire

James O’Keefe strikes again with another video exposing a great wrong in our democratic institutions. Some states have I.D. laws that require you to show ID to vote. New Hampshire has no such law. Democrats say that such laws are racist. Democrats say that black people are too dumb to get a drivers licence or state I.D.. So who is racist?

This video shows the real reason Democrats oppose voter I.D. laws:

The Truth About RomneyCare

Why is it that Mitt won’t talk about the whole story on RomneyCare. Keep in mind that this is the policy he refuses to walk away from… price controls and all…..

PJ Media Paul Hsieh, MD:

Now that Mitt Romney has shown himself politically vulnerable after Iowa, more people are taking a closer look at his claims about the “RomneyCare” health care plan he helped create as Massachusetts governor. In this interview from April 2010 which recently recirculated last month, Romney attempts to draw some distinctions (as well as acknowledge similarities) between his RomneyCare plan and the national ObamaCare plan. One of the alleged virtues of RomneyCare over ObamaCare is that Romney’s plan does not contain “price controls,” whereas ObamaCare does. But how does this stack up against reality?

Romney’s claim may have been technically true at the time the plan was enacted. But according to the New York Times, this was a deliberate choice on the part of Romney and the Massachusetts lawmakers when they passed the law in 2006. They aimed for “universal coverage” first, and decided to worry about controlling costs later. In other words, they knew that costs would be a problem but chose to kick the can down the road. It’s like borrowing money from a loan shark then saying, “At least I don’t owe him any money right now!”

But even before Romney’s 2010 claims, the state had already implemented some price controls. As Michael Tennant notes, “Requiring insurers to cover those with pre-existing conditions at the same rates as healthy individuals –  another feature of the Massachusetts law that Romney praises — surely qualifies as a price control.”

Similarly, requiring insurance companies to provide numerous mandatory benefits (including lay midwives, orthotics, and drug-abuse treatment) and then denying insurers’ requests for rate increases to cover their increased costs is another form of price control.

Yet another price control considered (but ultimately not implemented) was a proposal to compel doctors to accept patients covered by the state’s “Affordable Health Plans” at government-set payment rates or else lose their state medical licenses.

And because costs continue to rise faster in Massachusetts than in the rest of the country….

Read the rest HERE.

CBS: Romney not polling well with Tea Party, low income men, independents.

Translation – the parts of the GOP base that want/need/demand policy results don’t trust Mitt Romney to deliver. As Romney supporters Ann Coulter and Laura Ingraham said; the more that Romney is pressured and the closer he gets to the general election the more to the left he will go.

CBS:

Tea Partiers Can’t Stand Him

To this point, though, the Tea Party movement has wanted nothing to do with Romney. Judson Phillips, the founder of Tea Party Nation, endorsed Newt Gingrich. The Tea Party Fund created a website – NotMittRomney.com – to inform voter’s of his liberal positions on key issues. And, Karen Martin, South Carolina Tea Party organizer said on National Public Radio recently that “no Tea Partier that I talk to in the state or nationally would want to promote Romney.”

In the Iowa caucuses, Romney finished tied for fourth among strong supporters of the Tea Party movement, 14 points back of Rick Santorum. In New Hampshire, although he won a plurality of the vote among Republicans who strongly back the movement, he received noticeably less support than he did from Republicans who were less supportive of the movement.

Low Income Men Can’t Relate to Him

Low income, white men have long been an important part of the Republican base. Romney, though, has alienated many of them with comments during the campaign that were perceived as being insensitive. At a debate last month in Iowa, he tried to make a $10,000 wager with Rick Perry over how his health care plan was characterized in his book. This past week, he commented that he liked to “fire people” that provide services to him.

These gaffes are showing their impact at the polls. In the past two contests, Romney has done poorly among low income, white men. In the Iowa caucuses, he received less than 15 percent of their support. In the supposedly friendly confines of New Hampshire he did not fare much better. He received only 27 percent of the vote from low income, white men in New Hampshire, trailing Ron Paul by 11 points.

Independents Don’t Support Him

Self-identified independents are a key swing group in presidential elections. Winning their support doesn’t ensure electoral success, but losing it by a wide margin almost guarantees defeat. In 2008, Barack Obama defeated John McCain among independents 52 percent to 44 percent on his way to winning the presidency.

Despite all his success in the nomination campaign, Romney has been unable to attract much support from independents. In Iowa, Paul crushed Romney among self-identified independents, besting him 43 percent to 19 percent. Things improved in New Hampshire, but on a night, in which Romney won most demographic groups, he managed to lose independents again. Paul beat Romney 32 percent to 29 percent.

Romney’s weakness among independents appears to stem from views about how to solve the federal budget deficit, likely to be a major issue in the fall campaign. Among independent voters in the New Hampshire GOP primary who thought the deficit was the most important issue, they supported Paul over Romney by a whopping 48 percent to 23 percent margin.

American Spectator: RINO Romney Is the Least Electable

American Spectator:

Long History of Rejecting Conservatism

Romney assured Massachusetts voters when he was running for the Senate in 1994 that he did not want to go back to Reaganomics. He said during that campaign, “I was an independent during the time of Reagan-Bush. I’m not trying to return to Reagan-Bush.”

Romney was also one of the few Republicans in 1994 to refuse to sign on to Newt Gingrich’s Contract with America. He said during that campaign, “In my view, it is not a good idea to go into a contract, like what was organized by the Republican Party in Washington, laying out a whole series of things that the party says ‘these are the things we are going to do.’ I think that’s a mistake.” That mistake led to an historic Republican takeover of Congress in 1994. But Romney was one of the few Republicans to lose that year.

True to form, even today Romney is effectively promising not to take America back to pro-growth Reaganomics. Cowed by President Obama’s class warfare rhetoric, Romney promises to eliminate taxes on capital gains, interest, and dividends, but only for middle income Americans. He says he would do that because they, not the wealthy, were the ones most hurt by the recession.

But effective tax policy does not distribute tax cuts based on who “needs” a tax cut the most. That is Obama neo-socialist class rhetoric. Effective tax policy enacts tax cuts that will do the most to promote economic growth and prosperity.

That is what Reagan did in cutting tax rates across the board for everybody, including the wealthy who have the most resources to invest. That is what the middle class and working people actually need most, cutting tax rates that will promote their jobs, higher wages, and personal prosperity.

 

Read the rest HERE.

DNC Chair Debbie Wasserman-Schultz Lies About Giffords Shooting

Washington Examiner:

Rep. Debbie Wasserman Schultz, D-Fla., speaking in New Hampshire this morning, reminded her audience of the tragic Tucson shooting last year — and also insinuated that the Tea Party, which she said regards political opponents as “the enemy,” has enhanced divisiveness in Congress and had something to do with the shooting, at least indirectly.

“We need to make sure that we tone things down, particularly in light of the Tucson tragedy from a year ago, where my very good friend, Gabby Giffords — who is doing really well, by the way, — [was shot],” Wasserman Schultz, the Democratic National Committee chair said during a “Politics and Eggs” forum this morning. “The discourse in America, the discourse in Congress in particular . . . has really changed, I’ll tell you. I hesitate to place blame, but I have noticed it take a very precipitous turn towards edginess and lack of civility with the growth of the Tea Party movement.”

Having brought up the Giffords attack as a political cudgel, Wasserman Schultz doubled down on that attack. “You had town hall meetings that they tried to take over, and you saw some their conduct at those tea party meetings,” Wasserman Schultz said today. “When they come and disagree with you, you’re not just wrong, you’re the enemy.”

Warming to that theme, she added that “when they disagree with you on an issue, you’re not just wrong, you’re a liar.”

The problem is Debbie, that you most certainly ARE a liar

This is the Same Debbie Wasserman that routinely calls Republicans every name in the book such as –  racists that want the USA to return to Jim Crow, hate children, want old people to die, want to poison school children etc.

Of course what Wasserman leaves out is that the shooter was a dedicated leftist, an avowed Bush hater who  proudly displayed his affection for John Kerry, and was a part of an honors academic program for leftist students similar to IB [All of which is detailed HERE].

The shooter, Jared Loughner, was also an untreated paranoid schizophrenic who had multiple run ins with the sheriff’s department and other police. The sheriff, a partisan Democrat who at first blamed Rush Limbaugh for the shooting, knew about Loughner’s . The shooter’s mother works for the County and had used that position to help keep Loughner out of serious police trouble.

Of course, since the shooter was so incredibly mentally ill, not even Giffords herself blames Loughner or anyone else for the shooting, except for the scores of people who knew how sick he was and made sure that he went untreaded.

Gabby Giffords & Mark Kelly: If Loughner received treatment, this probably never would have happened

TEA Party events have been peaceful in spite of constant elite media lies about them. In fact not one TEA Party participant has ever been arrested at an event and that included the large D.C. events where well over a million people gathered.  On the other hand, the OWS protests sponsored by Democrats and other leftists have been more cases of violence, vandalism, rapes, sexual assaults, battery and theft than can be counted. Even though the OWS protests have been small by TEA Party standards, the number of arrests of OWS protesters is measured in many thousands.

You paid the high cost of RomneyCare in Massachusetts….

This study from the Beacon Hill (Economics) Institute at Suffolk University illuminates the disastrous results of the failed experiment known as RomneyCare and yet presidential candidate Mitt Romney continues to stand by the program.

Here are the key findings from the Beacon Hill study:

The High Price of Massachusetts Health Care Reform

http://www.beaconhill.org/BHIStudies/HCR-2011/BHIMassHealthCareReform2011-0627.pdf

We find that, under health care reform:

• State health care expenditures have risen by $414 million over the period;

• Private health insurance costs have risen by $4.311 billion over the period;

• The federal government has spent an additional $2.418 billion on Medicaid for Massachusetts.

• Over this period, Medicare expenditures increased by $1.426 billion;

• For a total cumulative cost of $8.569 billion over the period; and

• The state has been able to shift the majority of the costs to the federal government.

The federal government continues to absorb a significant cost of health care reform through enhanced Medicaid payments and the Medicare program.   Health care reform has also increased the rate for Medicare Advantage plans in Massachusetts, which has contributed to an increase in Medicare health care expenditures through prices for medical service delivery.

This is not defendable.

It gets worse. The Beacon Hill Institute did a fraud study to determine how the RomneyCare system is being “gamed”:

Massachusetts Health Care Reform Mandates: The Gaming Gamble

http://www.beaconhill.org/BHIStudies/HCR-2011/GamingMandates2011-1128.pdf

The law requires that individuals with sufficient means purchase health insurance and that businesses with more than ten employees make a “fair and reasonable” contribution toward their employees’ health insurance. Under the law, health insurance companies cannot refuse to cover individuals with preexisting conditions.  Individuals and businesses face fines if they fail to comply with the mandates.

Because the fines imposed by the law cost are often less than the cost of insurance, the law is vulnerable to the problem of moral hazard.

Individuals can game the mandate by buying insurance only upon being diagnosed as needing a non‐emergency procedure such as a hip replacement and then canceling their insurance after receiving the treatment or procedure.  Businesses can likewise game the mandate by canceling their health insurance plans and shifting their employees to newly subsidized state plans.    Massachusetts taxpayers and health insurance policyholders pick up the tab for these “jumpers and dumpers.”
The Beacon Hill Institute (BHI) has estimated the prevalence and cost of gaming the mandates.  We find that:

• In tax year 2008 (the latest data available) 26,000 individuals paid a total of $16 million in fines, while 758 businesses paid $7.1 million.

• In 2009, between 2,089 and 2,659 individuals gamed the individual mandate at an estimated cost to insurance carriers of between $29.3 million and $37.3 million.

• Between June 2006 and June 2010 enrollment in state subsidized insurance plans increased by 319,000, while the private group (employer) market was flat and the individual market increased by 83,000.

In essence, the incentives in RomneyCare, just as in ObamaCare, are backwards. They encourage people to behave in ways that maximize costs and inefficiency. This is what economists refer to as an “Adverse Selection Spiral”. Eventually the system collapses under the weight of its own costs and inefficiency.

UPDATE – Thomas Zaleski adds:

Wouldn’t it be great if you could purchase AUTO insurance AFTER you had an accident? That is PRECISELY what Romney care is. Break a leg, BUY insurance the SAME day!

Obama Chief of Staff Was “Too Pro-Business” for Obama and White House Staff

Just as I told fellow Political Arena writer and CEO Thomas Zaleski yesterday, Bill Daley had to go because he was not “down with the struggle” enough for Valerie Jerritt and the other Saul Alinsky inspired radicals in the top White House staff. Daley was seen as too pro-business, too willing to work with Republicans in Congress (instead of viewing them as the enemy in a class war), and too Irish Catholic, which offended Michelle Obama.

This should speak volumes about just how leftist, neo-marxist, or pick your favorite description of how radical and out of touch this White House is.

The Hill:

‎”The bigger truth is that Bill Daley left the White House because he lost to Valerie Jarrett and to the president’s wife in the battle for the philosophical direction of the Obama White House. Daley was only ineffective because his boss would not let him be effective.”
“He is a pro-business Democrat, an increasingly rare breed these days in Washington. Obama is not a pro-business Democrat. Obama has made the fateful decision that he will govern as a left-wing political populist.”
“That is why he has embraced the Occupy Wall Street movement, why he keeps using class-warfare rhetoric, why he has given up on deal-cutting, why he has decided to run against Congress rather than on his accomplishments.”

Read more HERE.

Four Democrats Guilty of Vote Fraud in New York

The Democrats, working together with ACORN, were filling out and sending in absentee ballots of people who do not vote, to make them look as if they had voted.

The link has a complete story and video which also references the vote fraud that happened in my home town of South Bend, Indiana.

http://foxnewsinsider.com/2011/12/21/dems-plead-guilty-to-felony-charges-in-voting-fraud-scandal-in-troy-new-york/

Todd Palin Endorses Newt!

Rush Limbaugh on the Todd Palin endorsement:

ABC News:

Todd and Sarah Palin
Todd and Sarah Palin

Sarah Palin’s husband is endorsing Newt Gingrich for president, Todd Palin told ABC News today.

But Sarah Palin, the former Alaska governor and John McCain’s 2008 Republican running mate, has yet to decide “who is best able to go up against Barack Obama,” Todd Palin said.

Palin said he has not spoken to Gingrich or anyone from the former House speaker’s campaign. But he said he respects Gingrich for what he went through in the 1990s and compared that scrutiny in public life to what Sarah Palin went through during her run for the vice presidency.

Todd Palin said he believes that being in the political trenches and experiencing the highs and lows help prepare a candidate for the future and the job of president.

He did not criticize any of the other candidates and said his “hat is off to everyone” in the Republican race.

But Todd Palin did point to last summer, when a large portion of  Gingrich’s staff resigned and the candidate was left, largely by himself, to run the campaign.

Gingrich’s ability to overcome the obstacle and still move up in the polls showed his ability to campaign and survive, according to Todd Palin, who said Gingrich is not one of the typical “beltway types” and that his campaign has “burst out of the political arena and touched many Americans.”