Obama’s Cadillac Tax Crashes and Burns Killing Obamacare and Injuring MIT Professor Gruber — Rest In Peace — Obamacare Is Shovel Ready — Videos

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Story 1: Obama’s Cadillac Tax Crashes and Burns Killing Obamacare and Injuring MIT Professor Gruber — Rest In Peace — Obamacare Is Shovel Ready — VideosObama-lyingking )bamaObamaCare-CadillacTaxPPACA-Sec-9001-cadillac-tax-2120701-10-obamacare21-new-taxes-under-Obamacareexcise-tax-140820Cadillac-Tax-penetrationtax_apple_piecorrected_pie_graph_verticalObamacare taxes 1obamacare-warning-lights-on-the-job-training-political-cartoon130402-obamacare-cartoon-cadillac_taxpink_cazdillacCadillacJonathan-Gruber

jonathan_gruberGruberobamacare_shovel_

ObamaCare a Trojan Horse for Single-Payer

Obama lies about “cadillac” plan taxation

36 Times Obama Said You Could Keep Your Health Care Plan | SuperCuts #18

ACA Architect Confession: Created Lies For Obama

Obamacare – Concerns “Cadillac Tax” Forcing Employers To Cut Back Health Plans

What is the “cadillac tax?”

Obamacare’s Cadillac Tax Pushing People To Plans With High Deductible- Union You Got What You Wanted

Obamacare – Concerns “Cadillac Tax” Forcing Employers To Cut Back Health Plans

The Five: Large Employers Cite ObamaCare “Cadillac” Tax In Reducing Benefits

SMOKING GUN! Gruber Admits Obama Was in Room During Planning of Cadillac Lie

GRUBER: “Lack of transparency is a huge political advantage.”

GRUBER; Deceive Americans Critical to Pass Obamacare-Calls us ‘Stupid Americans'; Part 1 of 3

Gruber Remarks Puts Obama Administration on Scramble; Part 2 of 3

Jonathan Gruber: States Which Do Not Set Up an Exchange Do Not Get Tax Subsidies

BookTV: Jonathan Gruber, “Health Care Reform: What It Is, Why It’s Necessary, How It Works”

Jonathan Gruber admits Obamacare is inherently unaffordable

Obamacare – Concerns “Cadillac Tax” Forcing Employers To Cut Back Health Plans

Krauthammer rips Jonathan Gruber: “We’re hearing the true voice of liberal arrogance”

Megyn Slams ObamaCare Architect Who Declined to Appear on ‘Kelly File’

Democrats Loved Jonathan Gruber Before They Forgot Who He Was

Sen. Harry Reid, 2009: Gruber Is One Of The ‘Most Respected Economists’ Out There

Sen. Harry Reid (D-NV) in a December 2009 floor speech on Capitol Hill lauded Jonathan Gruber as one of the most “respected economists in the world” as Reid cited facts defending the Senate’s Obamacare bill.

Nancy Pelosi In 2009: Americans Should Read Jonathan Gruber’s ObamaCare Analysis

Nancy Pelosi In 2009: Americans Should Read Jonathan Gruber’s ObamaCare Analysis (November 5, 2009)

AHEC 2013 Conference

As part of the 24th Annual Health Economics Conference hosted by PennLDI, Mark Pauly and Jonathan Gruber were featured in the Plenary Panel discussing the role of economics in shaping (and possibly reshaping) the ACA. See below for the conference agenda with links to working papers. See the full AHEC agenda: http://ldi.upenn.edu/ahec2013/agenda

Jonathan Gruber at Noblis – January 18, 2012

The Noblis Technology Tuesday speaker series covers a broad spectrum of political, technical and innovative ideas. Noblis is a nonprofit science, technology, and strategy organization that brings the best of scientific thought, management, and engineering expertise with a reputation for independence and objectivity. The opinions expressed in this video are those of the speaker and do not necessarily reflect the views or opinions of Noblis.

Jonathan Gruber spoke to a Noblis audience on January 18, 2012 Few experts know more about America’s dire need of health care reform than Gruber. And of that short list, he is the only one prepared to enter the pages of a comic book to make the case. To be clear: Gruber is not an expert; he is “the” expert. An award-winning MIT economist and the director of the Health Care Program at the National Bureau of Economic Research, he was a key architect of the ambitious health care reform effort in Massachusetts and is a member of the Health Connector Board now implementing it; in 2006 he was named by “Modern Healthcare” as the nineteenth most powerful person in health care in the United States. In 2008 he was a consultant to the Clinton, Edwards, and Obama presidential campaigns. The national legislation passed by Congress in 2009 derives directly from Gruber’s insights learned during the Massachusetts health care debate.

Honors Colloquium 2012 – Jonathan Gruber

Dr. Jonathan Gruber is a Professor of Economics at the Massachusetts Institute of Technology, where he has taught since 1992. He is also the Director of the Health Care Program at the National Bureau of Economic Research, where he is a Research Associate. He is an Associate Editor of both the Journal of Public Economics and the Journal of Health Economics. In 2009 he was elected to the Executive Committee of the American Economic Association. He is also a member of the Institute of Medicine, the American Academy of Arts and Sciences, and the National Academy of Social Insurance.

Dr. Gruber received his B.S. in Economics from MIT, and his Ph.D. in Economics from Harvard University. Dr. Gruber’s research focuses on the areas of public finance and health economics. He has published more than 140 research articles, has edited six research volumes, and is the author of Public Finance and Public Policy, a leading undergraduate text, and Health Care Reform, a graphic novel. In 2006 he received the American Society of Health Economists Inaugural Medal for the best health economist in the nation aged 40 and under. During the 1997-1998 academic year, Dr. Gruber was on leave as Deputy Assistant Secretary for Economic Policy at the Treasury Department. From 2003-2006 he was a key architect of Massachusetts’ ambitious health reform effort, and in 2006 became an inaugural member of the Health Connector Board, the main implementing body for that effort. In that year, he was named the 19th most powerful person in health care in the United States by Modern Healthcare Magazine.

BookTV: Jonathan Gruber, “Health Care Reform: What It Is, Why It’s Necessary, How It Works

Jonathan Gruber, economics professor at the Massachusetts Institute of Technology and director of the health care program at the National Bureau of Economic Research, presents his thoughts on health care. Mr. Gruber a leading architect of Massachusetts’ health care reform also consulted with Congress and President Obama on the creation of the Affordable Care Act, signed into law by the President in 2010.

Obamacare architect Jonathan Gruber suddenly recast as bit player after uproar

Nancy Pelosi, fellow Democrats scramble to distance themselves from MIT professor, economist

For years, Massachusetts Institute of Technology professor Jonathan Gruber was deemed an architect of Obamacare and his economic modeling was cited regularly by the health care law’s defenders on Capitol Hill and in legal briefs defending the Affordable Care Act in federal courts.

But after tapes surfaced of the economist saying “stupid” voters needed to be bamboozled and the books cooked to get the legislation passed in 2010, Democrats are scrambling to reduce Mr. Gruber to a bit player — and raising questions about whether he needs to be expunged from their defense strategy as they face yet another Supreme Court review.

House Minority Leader Nancy Pelosi, who as speaker in 2009 posted an Obamacare “myth buster” citing Mr. Gruber, vehemently distanced herself from him Thursday.


SEE ALSO: EDITORIAL: Jonathan Gruber’s payday


“I don’t who he is. He didn’t help write our bill,” she said, but added that Mr. Gruber’s comments were a year old and he had recanted them.

In the comments that have just come to light, Mr. Gruber said the health care bill was written in a “tortured” way to ensure the Congressional Budget Office didn’t score the individual mandate as a tax, even though the U.S. Supreme Court ultimately upheld the mandate as constitutional under Congress’ taxing power.

“Lack of transparency is a huge political advantage,” Mr. Gruber said at the time. “And basically, call it the stupidity of the American voter or whatever, but basically that was really, really critical to get the thing to pass.”

Mr. Gruber said this week that he regretted the remarks. But House Speaker John A. Boehner, Ohio Republican, said Thursday that American voters are “anything but stupid” and oppose the health care system’s overhaul for valid reasons.

Mitch McConnell, the Kentucky Republican selected as the next Senate majority leader, said Mr. Gruber made a classic “Washington gaffe — when a politician mistakenly tells you what he really thinks.”

However, Mr. Gruber’s explanation in 2012 of how Obamacare’s subsidies should be paid put the Justice Department in a tough spot.

In legal briefs submitted last year to a federal district court in Virginia, Obama administration attorneys cited Mr. Gruber in a case defending their ability to pay subsidies to enrollees regardless of whether they are part of state-run or federally run health care exchanges.

“According to the calculations of one health care economist, without the minimum coverage provision and subsidized insurance coverage, premiums for single individuals would be double the amount anticipated under the ACA,” the Justice Department wrote in a legal brief last November, citing Mr. Gruber’s work in a footnote.

The Supreme Court decided this month to take up the case, King v. Burwell, after the challengers lost to the administration in the 4th U.S. Circuit Court of Appeals.

Neither the Justice Department nor the White House responded to questions about Mr. Gruber — who declined to comment for this story — and his role in their legal strategy.

But Sam Kazman, general counsel for the Competitive Enterprise Institute, which is funding the administration’s opponents in the King case, said Mr. Gruber’s 2012 remarks about subsidies bolster their own arguments.

Mr. Gruber at the time said subsidies would flow only to states that set up their own exchanges.

“What’s important to remember politically about this is if you’re a state and you don’t set up an exchange, that means your citizens don’t get their tax credits — but your citizens still pay the taxes that support this bill,” the economist told an audience.

That would mean consumers in most states wouldn’t be eligible for subsidies, which would puncture a big hole in Obamacare. The Obama administration has argued that even though the law says subsidies go to state exchanges, they also should include states that have opted for the federal exchange.

Mr. Kazman said the Gruber comments create a major problem for Mr. Obama.

“He’s not toxic to us,” Mr. Kazman said in an interview Thursday. “We may give him an award for public service.”

In a parallel case before the D.C. Circuit, the administration tried to downplay Mr. Gruber in its latest court filings. On Nov. 3, the Justice Department said in a footnote that “post-enactment statements by a non-legislator are entitled to no weight.”

“In any event, Professor Gruber has since clarified that the remarks on which plaintiffs rely were mistaken,” the attorneys told the D.C. Circuit, which has suspended its proceedings until the Supreme Court weighs in.

In the King case, Obama administration attorneys who cited Mr. Gruber in briefs at the lower court dropped him from their arguments to the Supreme Court, said Michael A. Carvin, an attorney for the health care law’s opponents.

He wasn’t about to let the justices forget.

“Tellingly,” Mr. Carvin said in a reply brief, “the government also ignores that Jonathan Gruber — the ACA architect whose work it cited in every brief below but is nowhere mentioned now — articulated the incentive purpose of [subsidies] as early as 2012.”

Mr. Gruber has made hundreds of thousands of dollars off Obamacare, serving as a consultant to the Department of Health and Human Services and to states that used health care grant money to pay him for his services.

Timothy Jost, a law professor at Washington and Lee University who closely tracks the health care law, said the controversy has been overblown.

“This whole thing just puzzles me,” he said. “He wasn’t a legislator. He didn’t write the bill. He didn’t vote on the bill.”

http://www.washingtontimes.com/news/2014/nov/13/jonathan-gruber-obamacare-architect-recast-as-bit-/

Transcending Obamacare: An Introduction To Patient-Centered, Consumer-Driven Health Reform

Today, the Manhattan Institute is publishing my 20,000-word, 68-page health reform proposal entitled “Transcending Obamacare: A Patient-Centered Plan for Near-Universal Coverage and Permanent Fiscal Solvency.” It represents a novel approach to health reform: neither accepting Obamacare as is, nor requiring the law’s repeal to move forward. And yet its ambition is to permanently solve our health care entitlement problem, while also expanding coverage for the uninsured.

As most Apothecary readers know, I’ve long been critical of Obamacare, the so-called Affordable Care Act. The law expands Medicaid, the worst health insurance program in the developed world. It significantly drives up the underlying cost of health insurance for those who shop for coverage on their own. And regardless of what John Roberts has to say about it, Obamacare’s individual mandate—forcing most Americans to buy government-certified health coverage—is an injury to the Constitution.

But I’ve also long supported the principle of universal coverage. Universal coverage, done right, is a core part of a conservative worldview that values equality of opportunity for the sick and the poor. If 10 of the 11 freest economies in the world can establish universal coverage, it’s not impossible for the United States to do so in a way that is consonant with economic freedom.

Switzerland and Singapore: Market-based health reform models

The most market-oriented health care systems in the developed world—those ofSwitzerland and Singapore—have much to teach us about how to achieve universal coverage in a way that spends far less than what the U.S. does. In 2012, U.S. government entities spent $4,160 per capita on health care. That’s more than twice as much as Switzerland, and nearly five times as much as Singapore.

OECD 2012 public expenditures

And that brings us right back to Obamacare. The vast majority of the law is misguided and misconceived. But a handful of its provisions can provide the basis of constructive health care reform: in particular, its use of Swiss-style means-tested tax credits to subsidize private health insurance premiums. Most importantly, those tax credits are applied to insurance plans that people shop for on their own, substantially expanding the market for individually purchased health coverage.

The Swiss system is far from perfect, as I have discussed on many occasions. But the basic idea in Switzerland is to offer premium subsidies to the people who really need them. In Switzerland, one-fifth of the population gets subsidized health coverage. In the U.S., around four-fifths do. That’s the difference between a safety net and an entitlement leviathan.

Conservative health reform after Obamacare

One of the fundamental flaws in the conservative approach to health care policy is that few—if any—Republican leaders have articulated a vision of what a market-oriented health care system would look like. Hence, Republican proposals on health reform have often been tactical and political—in opposition to whatever Democrats were pitching—instead of strategic and serious.

Those days must come to an end. The problems with our health care system are too great. Health care is too expensive for the government, and too expensive for average Americans.

In 2012, as the Romney campaign came to a close, Rich Lowry, the editor ofNational Review, asked me to write an article with my thoughts about the best path forward for conservative health care reform. I outlined a four-step plan to take the entire gamish of government health care programs and reform them into something consumer-driven and fiscally sustainable: (1) deregulate Obamacare’s insurance exchanges, including repeal of the individual mandate, while preserving guaranteed issue for individuals with pre-existing conditions; (2) migrate future retirees onto the reformed exchanges; (3) repeal Obamacare’s employer mandate; (4) migrate Medicaid acute-care and dual-eligible enrollees onto the exchanges.

“After these four relatively simple steps,” I wrote, “we would be left with a health-care system that would look a lot like Switzerland’s. Rises in premium subsidies could be held to a sustainable growth rate to ensure their long-term fiscal stability. And Americans might finally have the opportunity to purchase insurance for themselves, gain control of their own health-care dollars, and enjoy a wide range of low-cost, high-quality coverage options.”

A few months later, former Congressional Budget Office director Douglas Holtz-Eakin and I wrote a similar piece for Reuters, which elicited a broad range of responses from both the left and the right.

It became clear that I had to do more than write op-eds, that I had to develop this idea in detail, with credible fiscal and economic modeling.

Modeling market-based health reform

So, over the last 18 months, I’ve done just that. Stephen Parente, a health economist at the University of Minnesota, and his team modeled the fiscal and coverage impact of the bulk of my proposed set of reforms. (I then modeled the remainder, using analyses from the Congressional Budget Office, the Centers for Medicare and Medicaid Services, and the like.)

The Manhattan Institute for Policy Research, where I am a Senior Fellow, raised money to fund Parente’s work on this project. Steve and his team and I went back and forth for months, refining and tweaking the proposal until it met five non-negotiable goals. The end result had to:

  1. Reduce the deficit without raising taxes
  2. Expand coverage meaningfully above ACA levels
  3. Repeal the individual mandate
  4. Reduce the cost of private health insurance
  5. Improve health outcomes for the poor

Based on our modeling, the plan, over a thirty-year period, reduces federal spending by $10.5 trillion and federal revenue by $2.5 trillion, for a net deficit reduction of $8 trillion. We project that it will expand coverage by more than 12 million individuals over its first decade, despite the fact that it repeals the individual mandate. It reduces the cost of private-sector insurance policies by 17 percent for single policies and 4 percent for family policies.

But the most dramatic improvement, we estimate, is in the Medicaid population. A group that today receives substandard care and substandard access to care will see a dramatic increase in provider access and health outcomes, based on Parente-developed indices that measure these things.

Breaking free of the repeal-or-reform debate

Importantly, while this plan is compatible with “repealing and replacing” Obamacare, it does not require the repeal of Obamacare. To achieve the former, you would repeal Obamacare and replace it with a universal system of state-based health insurance exchanges. To achieve the latter, you’d reform the pre-existing ACA exchanges, and gradually migrate future retirees and Medicaid enrollees onto the reformed exchanges.

In this way, perhaps the plan can attract interest from both the right and the center.

We’ll soon find out.

http://www.forbes.com/sites/theapothecary/2014/08/13/transcending-obamacare-an-introduction-to-patient-centered-consumer-driven-health-reform/

Jonathan Gruber Embraced Misleading the Public About Obamacare Even While It Was Still Being Debated
Peter Suderman

In the week since video surfaced of Obamacare architect Jonathan Gruber saying that “lack of transparency” and “the stupidity of the American voter” were critical to passing the health law, two more videos of Gruber making statements with similar themes or tones have received attention.

Both clips reveal a gleefully dismissive attitude toward public concerns about the law, and offer a telling reminder of the attitude that played a crucial role in shaping and selling the law to the public.

In the first video, recorded in March of 2010, just a few days before the law would pass the House, Gruber argues that the public does not really care about the uninsured. What it cares about is cost control. Therefore, he says, the law had to be sold on the basis of its cost control.

Yet as Gruber admits in the video, the bill was not primarily focused on cost control—the bill “is 90% health insurance coverage and 10% about cost control.” Indeed, the problem with cost control, he says, is that “we don’t know how” to do it.

The primary quote. Via CNN:

“Barack Obama’s not a stupid man, okay?” Gruber said in his remarks at the College of the Holy Cross on March 11, 2010. “He knew when he was running for president that quite frankly the American public doesn’t actually care that much about the uninsured….What the American public cares about is costs. And that’s why even though the bill that they made is 90% health insurance coverage and 10% about cost control, all you ever hear people talk about is cost control. How it’s going to lower the cost of health care, that’s all they talk about. Why? Because that’s what people want to hear about because a majority of American care about health care costs.”

Elsewhere in the same speech, Gruber says:

“The only way we’re going to stop our country from being a latter day Roman Empire and falling under its own weight is getting control of the growth rate of health care costs. The problem is we don’t know how.”

Remember, this is what Gruber was saying as the law was still being debated. It didn’tpass in the House, the critical step before hitting President Obama’s desk, until more than a week later. And what Gruber was saying, even before the bill was law, was that supporters had intentionally emphasized parts of the bill that were relatively minor, and that were not certain to even produce their intended effects.

This is not lying, exactly; the bill did in fact include some attempts at cost control, although as Gruber said, it was unclear at the time if or how well they would work. And Gruber may well have been right that the public was more concerned with cost control than expanding coverage. But, especially in combination with the other video released this week, it indicates that Gruber believed that the law’s advocates were not being completely straight with the public, that supporters of Obamacare were telling the public what they believed the public wanted to hear instead of giving them the full story, and that they were doing so on the understanding that telling the full story would make the bill impossible to pass.

What it shows, in other words, is Gruber openly embracing a strategy of messaging manipulation and misleading emphasis even while the bill was still being debated. If the public understood the bill clearly, he believed, they would reject it. It was more important to pass the bill.

Another video, posted today by The Daily Signal, shows Gruber taking a similarly dismissive attitude toward public concerns about the bill.  At a meeting with the Vermont House Health Care Committee, Gruber is presented with a question about whether systems like those described in a report by Gruber and Harvard health economist William Hsiao, might result in “ballooning costs, increased taxes and bureaucratic outrages” as well “shabby facilities, disgruntled providers” and destructive price controls.

Gruber’s response begin with: “Was this written by my adolescent children by any chance?” The Signal quotes two-term Vermont state senator and Reagan-adviser John McClaughry as saying that the question had been submitted “by a former senior policy adviser in the White House who knew something about health care systems.”

Gruber’s response is intended as a joke, and it reveals little about the health care law (the reforms in question are specific to Vermont). But it says plenty about Gruber, and the flippant, arrogant way he treats concerns and criticism.

This is the person whom the White House relied on to help craft the bill; he was paid handsomely to model its effects (a fact he did not disclose, even when asked), and he was in the room when important decisions were made about how it would work. He claims to have helped write specific portions of the law himself. Gruber was not the sole architect of the law, but he was one of its biggest single influences on both its design and on how the media, which quoted him repeatedly, reported and understood the law.

The White House and its allies are desperately trying to distance themselves from Gruber right now by downplaying his role in the law’s creation. But the record of his involvement is clear enough: At The Washington Post, Ezra Klein has variously described Gruber as “one of the key architects behind the structure of the Affordable Care Act” and “the most aggressive academic economist supporting the reform effort.” The New York Times in 2012 described his role as helping to design the overall structure as well as being “dispatched” by the White House to Congress to write the legislative text. Gruber’s work was cited repeatedly by the White House, Democratic leadership, and the media.

So when he describes the thinking about how the law was crafted and sold to the public, it’s worth taking note. This is the posture of one of the law’s authors and chief backers. It’s part of the spirit in which the law was created and passed. Gruber’s ideas were embedded in the law’s structure and language, and so was his attitude.

http://reason.com/blog/2014/11/14/jonathan-gruber-embraced-misleading-the 

 

White House says Gruber’s wrong, attacks GOP

By LUCY MCCALMONT

The White House is denouncing comments from key Obamacare architect Jonathan Gruber that a lack of transparency and the stupidity of voters helped in the passage of the health care law and is instead pointing a finger at Republicans.
“The fact of the matter is, the process associated with the writing and passing and implementing of the Affordable Care Act has been extraordinarily transparent,” White House press secretary Josh Earnest said during a news briefing in Myanmar, according to a transcript provided by the White House.
Story Continued Below

“I disagree vigorously with that assessment,” Earnest responded when asked about Gruber’s claim that Obamacare wouldn’t have passed if the administration was more transparent and voters more intelligent.
He added, “It is Republicans who have been less than forthright and transparent about what their proposed changes to the Affordable Care Act would do in terms of the choices are available to middle class families.”
Earnest said the president “is proud of the transparent process that was undertaken to pass that bill into law.”
The response from the White House comes as a third video of Gruber criticizing the intelligence of American voters has surfaced.
“We just tax the insurance companies, they pass on higher prices that offsets the tax break we get, it ends up being the same thing. It’s a very clever, you know, basic exploitation of the lack of economic understanding of the American voter,” Gruber said in remarks from 2012 that aired Wednesday evening on “On the Record with Greta Van Susteren.”
Gruber has been causing headaches for the White House as conservatives have had a field day that began with comments the MIT professor made in 2013.
“Lack of transparency is a huge political advantage. And basically, call it the stupidity of the American voter, or whatever, but basically that was really, really critical for the thing to pass,” Gruber said at the time, according to one of the videos that has recently come to light.
In another video clip of a separate event, while talking about tax credits in the Affordable Care Act, he said, “American voters are too stupid to understand the difference.”
Gruber apologized for the comments during an appearance earlier this week on MSNBC’s “Ronan Farrow Daily”:
(Also on POLITICO: Ted Cruz out on a limb on Obamacare repeal)
“I was speaking off the cuff, and I was basically speaking inappropriately, and I regret having made those comments.”
Meanwhile, House Minority Leader Nancy Pelosi dismissed Gruber’s role in Obamacare on Thursday, telling the press, “I don’t know who he is. He didn’t help write our bill.”
Many outlets were quick to point out that Pelosi cited Gruber in a “Health Insurance Reform Mythbuster” on her official website in 2009.
House Speaker John Boehner released a statement Thursday, slamming Gruber for his comments.
“If there was ever any doubt that ObamaCare was rammed through Congress with a heavy dose of arrogance, duplicity, and contempt for the will of the American people, recent comments by one of the law’s chief architects, Jonathan Gruber, put that to rest,” the top Republican said.
The statement continues, “The American people are anything but ‘stupid.’ They’re the ones bearing the consequences of the president’s health care law and, unsurprisingly, they continue to oppose it.”
http://www.politico.com/story/2014/11/jonathan-gruber-obamacare-voters-white-house-response-112856.html

 

Cadillac insurance plan

From Wikipedia, the free encyclopedia
Health care reform in the United States
Legislation
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Proposed
Latest enacted
Reforms
Systems
Third-party payment models

Informally, a Cadillac plan is any unusually expensive health insurance plan, usually arising in discussions of medical-cost control measures in the United States.[1][2][3][4] The term derives from the Cadillac automobile, which has represented American luxury since its introduction in 1902,[1] and as a health care metaphor dates to the 1970s.[1] The term gained popularity in the early 1990s during the debate over the Clinton health care plan of 1993,[1] and was also widespread during debate over possible excise taxes on “Cadillac” plans during the health care reforms proposed during the Obama administration.[1] (Bills proposed by Clinton and Obama did not use the term “Cadillac”.)

The Patient Protection and Affordable Care Act (as amended by the Health Care and Education Reconciliation Act of 2010) imposes an annual 40% excise tax on plans with premiums exceeding $10,200 for individuals or $27,500 for a family (not including vision and dental benefits) starting in 2018.[4]

Criticisms of these plans generally center on the small or nonexistent co-pays, deductibles, or caps that encourage the overuse of medical care, driving the cost up for the uninsured or those on other plans, which some say necessitates aCadillac tax.[citation needed]

A study published in Health Affairs in December 2009 found that high-cost health plans do not provide unusually rich benefits to enrollees. The researchers found that only 3.7% of the variation in the cost of family coverage in employer-sponsored health plans is attributable to differences in the actuarial value of benefits. Only 6.1% of the variation is attributable to the combination of benefit design and plan type (e.g., PPO, HMO, etc.). The employer’s industry and regional variations in health care costs explain part of the variation, but most is unexplained. The researchers conclude “…that analysts should not equate high-cost plans with Cadillac plans, but that in fact other factors—industry and cost of medical inputs—are as important in predicting whether a plan is a high-cost plan. Without appropriate adjustments, a simple cap may exacerbate rather than ameliorate current inequities.”[5]

See also

References

External links

http://en.wikipedia.org/wiki/Cadillac_insurance_plan

 

How ObamaCare Taxes Affect You: New Taxes, Hikes, Breaks, Credits, and Other Changes

Here’s a full list of ObamaCare Taxes. The 21 new ObamaCare tax hikes and breaks impact us all, but which ObamaCare taxes will you actually pay? Find out how the tax related provisions in the Affordable Care Act (ObamaCare) will affect you, your family, your business, and your tax returns for 2013 and beyond.

Obamacare Taxes

The Bottom Line on the ObamaCare Tax Plan

The new tax related provisions in theAffordable Care Act(ObamaCare) include tax hikes, limits to deductions, tax credits, tax breaks, and other changes. While a few of the changes directly affect the average American, tax increases primarily affect high earners (those making over $200,000 as an individual or $250,000 as a family), large businesses (those making over $250,000), and the health care industry, while tax credits primarily affect low-to-middle income Americans and small businesses.

Here are some quick facts to help you understand how ObamaCare affects taxes:

• For the majority of the 85% of Americans with health insurance the percentage of income paid in taxes won’t change much, if at all. However, some of the changes may directly or indirectly affect specific groups.

• The majority of the 15% of Americans without health insurance will primarily be affected by the Individual Mandate (the requirement to buy health insurance), the Employer Mandate (the requirement for large employers to insure full-time employees), and Tax Credits (tax credits reduce premium costs for individuals, families, and small businesses).

• Many Americans will be affected by changes to new limits on medical tax deduction thresholds MSAs, FSAs, and HSAs.

• Small businesses will not be required to provide health insurance, but will gettax credits to reduce premium costs if they choose to offer group plans.

• Even if you won’t see higher taxes under the Affordable Care Act, it doesn’t mean there aren’t costs associated with the law. You’ll still need to buy health insurance, unless you qualify for Medicaid or an exemption, and that will cost you money.

• As a rule of thumb those who make less pay less and those who make more pay more, both in regard to health insurance costs and taxes under theAffordable Care Act.

• The Congressional Budget Office has shown that the revenue generated from the new taxes, along with cuts to spending, will help to pay for the Affordable Care Act’s many provisions, fund tax credits and lower the deficit by 2023.Learn More.

Why Does ObamaCare Create New Taxes?

ObamaCare includes many new benefits, rights, and protections including the requirement for health insurers to cover people with pre-existing conditions. It also expands access to affordable health insurance to almost 50 million low-to-middle income men, women, and children across the country by offering reduced premiums via tax credits and expanding Medicaid and CHIP. Expanding the quality, affordability and availability of health insurance (along with other aspects of the law) come at a high cost. Assuming all tax provisions remain in place, the revenue generated from these new taxes help to cover the costs of the program and reduces the deficit. Learn more about the new benefits, rights, protections offered by the Affordable Care Act.

A Quick Overview of Key Taxes in the Affordable Care Act

Before we get to the full list of taxes here is a quick overview of the key tax related provisions that may affect those without insurance, those who plan to go without insurance, and those who are struggling to afford insurance now.

Individual Mandate (new tax): Americans who can afford to must obtain minimum essential health coverage for 2014, get an exemption or pay a per month fee.

Employer Mandate (new tax): Come 2015 large employers must insure full time employees or pay a per employee fee. Over half of Americans get their insurance through work and the largest group of uninsured is currently the working poor.

Advanced Premium Tax Credits (tax break): Low-to-middle income Americans are eligible for tax credits which reduce the upfront cost of premiums on health insurance purchased through their State’s “Health Insurance Marketplace”.

Small Business Tax Credits (tax break): Small businesses may be eligible for tax credits of up to 50% of their cost of employee premiums through theSmall Business Health Options Program.

Taking all the tax provisions in the ACA into account ObamaCare technically provides the greatest middle class tax cut to healthcare in history.

Full List of All Taxes in ObamaCare / All Taxes in the Affordable Care Act

The following list of new ObamaCare taxes collectively raise over $800 billion by 2022. Here is a complete list of new fees and taxes contained withinObamaCare:

ObamaCare Taxes That Most Likely Won’t Directly Affect the Average American

• 2.3% Tax on Medical Device Manufacturers 2014

• 10% Tax on Indoor Tanning Services 2014

• Blue Cross/Blue Shield Tax Hike

• Excise Tax on Charitable Hospitals which fail to comply with the requirements of ObamaCare

• Tax on Brand Name Drugs

• Tax on Health Insurers

• $500,000 Annual Executive Compensation Limit for Health Insurance Executives

• Elimination of tax deduction for employer-provided retirement Rx drug coverage in coordination with Medicare Part D

• Employer Mandate on business with over 50 full-time equivalent employees to provide health insurance to full-time employees. $2000 per employee $3000 if employee uses tax credits to buy insurance on the exchange (marketplace). (pushed back to 2015)

• Medicare Tax on Investment Income 3.8% over $200k/$250k

• Medicare Part A Tax increase of .9% over $200k/$250k

• Employer Reporting of Insurance on W-2 (not a tax)

• Corporate 1099-MISC Information Reporting (repealed)

• Codification of the “economic substance doctrine” (not a tax)

ObamaCare Taxes That (may) Directly Affect the Average American

• 40% Excise Tax “Cadillac” on high-end Premium Health Insurance Plans 2018

• An annual $63 fee levied by ObamaCare on all plans (decreased each year until 2017 when pre-existing conditions are eliminated) to help pay for insurance companies covering the costs of high-risk pools.

• Medicine Cabinet Tax
Over the counter medicines no longer qualified as medical expenses for flexible spending accounts (FSAs), health reimbursement arrangements (HRAs), health savings accounts (HSAs), and Archer Medical Saving accounts (MSAs).

• Additional Tax on HSA/MSA Distributions
Health savings account or an Archer medical savings account, penalties for spending money on non-qualified medical expenses. 10% to 20% in the case of a HSA and from 15% to 20% in the case of a MSA.

• Flexible Spending Account Cap 2013
Contributions to FSAs are reduced to $2,500 from $5,000.

• Medical Deduction Threshold tax increase 2013
Threshold to deduct medical expenses as an itemized deduction increases to 10% from 7.5%.

• Individual Mandate (the tax for not purchasing insurance if you can afford it) 2014
Starting in 2014, anyone not buying “qualifying” health insurance must pay an income tax surtax at a rate of 1% or $95 in 2014 to 2.5% in 2016 on profitable income above the tax threshold. The total penalty amount cannot exceed the national average of the annual premiums of a “bronze level” health insurance plan on ObamaCare exchanges.

• Premium Tax Credits for Small Businesses 2014 (not a tax)

• Advanced Premium Tax Credits for Individuals and Families 2014 (not a tax)

• Medical Loss Ratio (MRL): Premium rebates (not a tax)

The link below provides a full list of ObamaCare Taxes by the IRS.

For a full list of taxes provisions from the IRS

Or see the latest publication by the joint tax committee on the Affordable Care Act.

Who Does ObamaCare Tax?

Let’s take a look at how ObamaCare’s taxes affect certain income groups.

ObamaCare Taxes for High Earners and Large Businesses

Most of the new taxes are on high-earners (individuals making over $200,000 and families making over $250,000), large businesses (over 50 full-time equivalent employees making over $250,000), and industries that profit from healthcare. Essentially those who will see gains under ObamaCare are required to put money back in the program via taxes.

FACT: Tax increases generally affect single filers with an adjusted gross income (AGI) above $200,000 and married couples filing jointly above $250,000. Some of the tax increases don’t kick in until single AGI hits $400,000 and married filing jointly AGI hits $450,000.

ObamaCare Taxes for the Average American With Health insurance

For most of the 85% of Americans with health insurance, making less than $250,000, most of the new taxes won’t mean much of anything although certain taxes below will affect specific individuals and families.

ObamaCare Taxes for the Average American Without Health insurance

The 15% of Americans without health insurance will be required to obtain health insurance (Individual Mandate) or will face a “tax penalty”.

The good news is that many uninsured will be exempt from the Individual mandate due to income, offered cost assistance through the marketplaceincluding Tax Credits (also available to small businesses), qualify for Medicaid, or will get insurance through work (the Employer Mandaterequires large employers to insure full-time employees by 2015). Adults who are under 26 will be able to stay on their parents plan as well, this will help to limit the number of young people who will pay the fee. Both the employer and individual mandates are part of our “shared responsibility” to expand the quality and affordability of health insurance in the United States as a trade for our new benefits, rights and protections.

ObamaCare Taxes for Small Businesses

Small businesses with less than 25 full-time equivalent employees will have access to tax credits to reduce premium costs of group plans.

ObamaCare Taxes for Specific Groups With Health Insurance

Here are a few changes that my affect specific groups of Americans with health insurance:

• Other tax provisions such as changes medical deduction thresholds, HSAs, MSAs, and FSAs may impact some Americans by limiting tax deductions.

• The Medical Loss Ratio (MLR or 80/20 rule) will mean that some Americans may get rebates if health insurance companies spend on non-healthcare related expenses.

• Tax provisions like the 10% tanning bed tax, taxes on drug companies, taxes on medical devices and taxes on health insurance companies selling insurance on and off the exchange may affect the amount of money we pay for some health care related goods and services, but will not have a significant impact on our daily lives.

• The employer mandate has caused some companies to cut down full-time workers to part-time to avoid providing benefits, however major employers like Disney and Walmart have actually increased their full-time workforce in response to the looming 2015 deadline.

• Overall the benefits tend to outweigh the costs for the average American as even those who pay a little more, get a lot more in return due to the increased quality of their health insurance.

Will I pay More Taxes and High Premiums Because of ObamaCare?

As mentioned above premium rates and the taxes you will have to pay are primarily based on income. Aside from income premium prices are based on which plan you choose, family size, age, smoking status and geography. Subsidies reduce the overall rate of your premiums (however smoking is calculated after subsidies). Come 2018 there will be a 40% excise tax on high end health insurance plans.

Aside from the tax provisions that require Americans to obtain insurance and subsidize it’s costs, ObamaCare also includes a few tax related provisions that work as consumer protections including requirements for better reporting and the Medical Loss Ratio.

ObamaCare Tax Rebates

Some consumers in both individual and group markets will see tax rebates due to ObamaCare’s Medical Loss Ratio (MLR). Health insurance companies will have to provide rebates to consumers if they spend less than 80 to 85% of premium dollars on medical care.

Medical Loss Ratio (MLR)

The Medical Loss Ratio (MLR) means that Insurance companies are now required to spend at least 80% of premium dollars (85% in large group markets) on medical care and quality improvement activities. Insurance companies that are not meeting this standard will be required to provide rebates to their consumers. The MLR isn’t a tax, but it does have implications in regards to filing taxes and rebates can be given in the form of reduced premiums. See our page on ObamaCare Health Insurance Regulations for more details.

ObamaCare Income Tax Penalty For Not Having Insurance “Individual Mandate”

Starting in 2014, most people will have to have insurance or pay a “penalty deducted from your taxable income”. For individuals, penalty starts at $95 a year, or up to 1% of income, whichever is greater, and rise to $695, or 2.5% of income, by 2016.

For families the tax will be $2,085 or 2.5% percent of household income, whichever is greater. The requirement can be waived for several reasons, including financial hardship or religious beliefs. If the tax would exceed 8% of your income you are exempt, also some religious groups are exempt. That tax cannot exceed the cost of a “bronze plan” bought on the exchange.

Many individuals who are exempt from the mandate to buy insurance will still be eligible for free or low-cost insurance through the health insurance marketplace.

While some states, including Alabama, Wyoming and Montana, have passed laws to block the requirement to carry health insurance, those provisions do not override federal law. Get more information on the ObamaCare Individual Mandate.

The Individual Mandate is officially called the “individual shared responsibility provision”.

What Are ObamaCare Tax Credits?: Advanced Premium Tax Credits

Premium tax credits are a form of cost assistance that reduce premium costs for coverage purchased on your State’s “health insurance marketplace” for individuals, families, and small businesses.

Advanced Premium Tax Credits for Individuals and Families

Individuals and families will have access to Advanced premium tax credits on the marketplace. Tax Credits are deducted from your premium cost by your health insurance provider and are adjusted on your Modified Adjusted Gross Income (MAGI). You can choose how much advance credit payments to apply to your premiums each month, up to a maximum amount. If the amount of advance credit payments you get for the year is less than the tax credit you’re due, you’ll get the difference as a refundable credit when you file your federal income tax return. If your advance payments for the year are more than the amount of your credit, you must repay the excess advance payments with your tax return.

Aside from premium tax credits individuals and families can also get lower cost sharing on out-of-pocket expenses like coinsurance, copays, deductibles and out-of-pocket maximums through the marketplace.

Eligibility for Tax Credits

In general, you may be eligible for the credit if you meet all of the following:

  • buy health insurance through the Marketplace;
  • are ineligible for coverage through an employer or government plan;
  • are within certain income limits;
  • file a joint return, if married; and
  • cannot be claimed as a dependent by another person.

If you are eligible for the credit, you can choose to:

  • Get It Now: have some or all of the estimated credit paid in advance directly to your insurance company to lower what you pay out-of-pocket for your monthly premiums during 2014; or
  • Get It Later: wait to get all of the credit when you file your 2014 tax return in 2015.

How Will Advanced Premium Tax Credits Affect My Health Insurance Costs?

Under the Affordable Care Act health insurance that costs less than 8% of your MAGI is considered affordable. Although the law doesn’t guarantee lower costs, premium tax credits help to ensure that more Americans will have access to affordable insurance.

s a rule of thumb most Americans will pay between 1.5% and 9.5% on their Modified Adjusted Gross Income (MAGI) when using tax credits to buy a basic Silver Plan on the marketplace.

If the lowest-priced coverage available to you would cost more than 8% of your household income are exempt from the individual mandate.

The amount you pay is on a sliding scale based on your income. Use the chart below to get an idea of what you and your family may pay for insurance purchased through the Health Insurance Marketplace. Make sure to check outObamaCare Subsidies for more detailed information on Premium Tax Credits.

The 2013 Federal Poverty Level Guidelines below are used to Determine if your percentage of the poverty level for both taxes and cost-assistance.

 Household Size

 100%

 133%

150%

200%

 300%

400%

 1

$11,170

$14,856

$16,755

$22,340

$33,510

$44,680

 2

15,130

 20,123

22,695

  30,260

45,390

60,520

 3

19,090

 25,390

28,635

  38,180

57,270

76,360

 4

23,050

 30,657

34,575

  46,100

69,150

92,200

 5

27,010

 35,923

40,515

  54,020

81,030

108,040

 6

30,970

 41,190

46,455

  61,940

92,910

123,880

 7

34,930

 46,457

52,395

  69,860

104,790

139,720

 8

38,890

 51,724

58,335

  77,780

116,670

155,560

 For each additional person, add

$3,960

 $5,267

$5,940

  $7,920

$11,880

$15,840

This following table is an example of how premium tax credits work. Please note that the numbers below are purely for example and don’t reflect your personal rates.

Health Insurance Premiums and Cost Sharing under PPACA for Average Family of 4
For “Silver Plan”
Income % of federal poverty level Premium Cap as a Share of Income Income $ (family of 4) Max Annual Out-of-Pocket Premium Premium Savings Additional Cost-Sharing Subsidy
133% 3% of income $31,900 $992 $10,345 $5,040
150% 4% of income $33,075 $1,323 $9,918 $5,040
200% 6.3% of income $44,100 $2,778 $8,366 $4,000
250% 8.05% of income $55,125 $4,438 $6,597 $1,930
300% 9.5% of income $66,150 $6,284 $4,628 $1,480
350% 9.5% of income $77,175 $7,332 $3,512 $1,480
400% 9.5% of income $88,200 $8,379 $2,395 $1,480
In 2016, the FPL is projected to equal about $11,800 for a single person and about $24,000 for family of four. Use the Kaiser ObamaCare Cost Calculator for more information. DHHS and CBO estimate the average annual premium cost in 2014 to be $11,328 for family of 4 without the reform. Source: Wikipedia

ObamaCare Employer / Employee Taxes

ObamaCare’s taxes mean large employers will have to provide health insurance to their employees and will see a raised Medicare part A tax, small businesses may be eligible for tax breaks.

Medicare part A Tax Hike for Employers and Employees

The Medicare part A tax is paid by both employees and employers who earn over a certain amount. ObamaCare’s Medicare tax hike is a .9% increase (from 2.9% to 3.8%) on the current total Medicare part A tax. This tax is split between the employer and employee meaning that they will both see a .45% raise.  Small businesses making under $250,000 are exempt from the tax. Employees making less than $200,000 as an individual or ($250,000) as a family are also exempt. Employers must withhold and report an additional 0.9 percent total on employee wages or compensation that exceed $200,000.

Tax Penalty for Not Providing Full-time Workers with Health Insurance the “Employer Mandate”

Employers with over 50 full-time equivalent employees must either insure their full-time employees or pay a penalty or “employer shared responsibility fee”. The penalty is $2000 per employee. If however, at least one full-time employee receives a premium tax credit because coverage is either unaffordable or does not cover 60 percent of total costs, the employer must pay the lesser of $3,000 for each of those employees receiving a credit or $750 for each of their full-time employees total.

Employers with under 25 full time employees, whose average income doesn’t exceed $50,000, can apply for tax credits of up to 50% for insuring their employees.

Tax Credits for Small Businesses

Small businesses with under 25 full-time equivalent employees with average annual wages of less than $50,000 can apply for tax breaks of up to 50% of their share of employee premium costs via ObamaCare’s Small Business Health Options Program (accessible through your State’s Health Insurance Marketplace). The credit can be as much as 50% of employer premiums (35% for not-for-profits in 2014). The credit is only available if the employer is paying at least 50% of the total premiums.

Small Business Health Options Program

Employers with 50 or fewer employees, you can purchase affordable insurance through the Small Business Health Options Program (SHOP) even if they don’t qualify for tax credits.

Reporting

Along with the new law there are new requirements for reporting.

    • Effective for calendar year 2015, you must file an annual return reporting whether and what health insurance you offered your employees. This rule is optional for 2014. Learn more.

 

    • Effective for calendar year 2015, if you provide self-insured health coverage to your employees, you must file an annual return reporting certain information for each employee you cover. This rule is optional for 2014. Learn more.

 

    • Beginning Jan. 1, 2013, you must withhold and report an additional 0.9 percent on employee wages or compensation that exceed $200,000. Learn more.

 

Other ObamaCare Taxes on Big Business

Aside from having to adhere to the “employer mandate” ObamaCare also imposes taxes and fees that are unique to big business. ObamaCare taxes some medical device manufactures, drug companies and health insurance companies. Beginning in 2013, medical device manufacturers and importers must pay a 2.3% tax on the sale of a taxable medical device. This raises $29 billion over a 10 years. However, many states are asking to delay the medical device excise tax to protect jobs in states that produce the devices. An annual fee for health insurers is expected to raise more than $100 billion over 10 years, while a fee for brand name drugs will bring in another $34 billion.

  • Employers that have employees who earn more than $200,000 will have to look at the potential for additional Medicare withholding due to the Medicare part A tax.
  • Employers that issued 250 or more W-2 forms in 2012 must report the cost of employer-sponsored health coverage for 2013 on the 2013 W-2 forms.

Medical Device Excise Tax

There is a 2.3% medical excise tax on medical device manufacturers and importers on the sale of taxable medical devices. Section 4191 of the Internal Revenue Code imposes an excise tax on the sale of certain medical devices by the manufacturer or importer of the device. The tax applies to sales of taxable medical devices after Dec. 31, 2012. You can learn more from the official IRS page on the Medical Device Tax.

What Increases Do the ObamaCare Taxes Include for The $200k/$250k Earners?

ObamaCare Medicare Part A Payroll Tax

Starting in 2013, individuals with earnings above $200,000 and married couples making more than $250,000 will see an increase in the Medicare part A payroll tax. It’s an increase of 2.35%, up from the current 1.45% ( a .9% Medicare part A payroll tax hike), on adjusted income over the threshold.

ObamaCare Unearned Income Tax

This group will also pay a 3.8% unearned income (capital gains) tax on interest, dividends, annuities, royalties, rents, and gains on the sale of investments over the threshold.

Taxable income under the $200,000 for individuals and $250,000 threshold for families is subject to the same benefits and tax cuts as those who make under the threshold.

ObamaCare Home Sales Tax / ObamaCare Real Estate Tax Increase

ObamaCare increases taxes on unearned income by 3.8% and this can add additional taxes to the sales of some homes, but many limitations apply which means it won’t affect most sellers. The 3.8% capital gains tax typically doesn’t apply to your primary residence. It also doesn’t usually apply to homes you have owned for over 5 years or on profits of less than $250,000 for individuals and $500,000 for couples due to a capital gains tax exclusion rule for sales of a primary home.

In short the ObamaCare home sales tax isn’t something that most of us will pay, it is a tax is aimed at those selling non-primary residences in short term periods for profit and not at the average American buying and selling their primary residence.

ObamaCare Medical Expense Deductions

ObamaCare increases the medical expense deduction threshold. Unreimbursed medical expense deductions will now be available only for those medical expenses in excess of 10% of AGI, which has been raised from 7.5%. There is a temporary exemption for individuals ages 65 and older and their spouses from 2013 through 2016.

ObamaCare “Cadillac” Tax

Starting in 2018, the new health care law imposes a 40% excise tax on the portion of most employer-sponsored health coverage (this excludes dental and vision) that exceed $10,200 a year and $27,500 for families. The tax has been dubbed a “Cadillac” tax because it hits only high-end “gold”, “platinum” and high-end health care plans not purchased on the exchange. The tax raises over $150 billion over the next 10 years.

New ObamaCare Taxes Summary

Going through the new ObamaCare taxes line by line is, in itself, taxing. The bottom line is that a majority of Americans will find themselves paying less for better healthcare, while higher-earners will pay tax rates closer to what they did in the Clinton years. ObamaCare pays for most of itself via the above taxes, reforms to Medicare, and health care as a whole, as well as cutting out billions in wasteful spending.

ObamaCare Taxes Moving Forward into 2014

We hope this helps you to understand the new ObamaCare taxes and how they work. Many of the ObamaCare’s taxes won’t be fully implemented until 2022, but most will be in effect by 2014. ObamaCare helps all Americans get access to quality affordable healthcare, and new benefits, rights and protections. Make sure to look out for ObamaCare tax breaks, credits, subsidies and breaks on up front costs moving forward into 2014. As we learn more we will update our full ObamaCare tax list.

 

ObamaCare Taxes: New Health Care Taxes

http://obamacarefacts.com/obamacare-taxes/

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The Pronk Pops Show 348, October 14, 2014, Story 1: Story 1: Stop The Ebola Illegal Alien Invasion/Pandemic — Secure The U.S./Mexican Border — Videos

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Pronk Pops Show 342: October 2, 2014

Pronk Pops Show 341: October 1, 2014

Pronk Pops Show 340: September 30, 2014

Pronk Pops Show 339: September 29, 2014

Pronk Pops Show 338: September 26, 2014

Pronk Pops Show 337: September 25, 2014

Pronk Pops Show 336: September 24, 2014

Pronk Pops Show 335: September 23 2014

Pronk Pops Show 334: September 22 2014

Pronk Pops Show 333: September 19 2014

Pronk Pops Show 332: September 18 2014

Pronk Pops Show 331: September 17, 2014

Pronk Pops Show 330: September 16, 2014

Pronk Pops Show 329: September 15, 2014

Pronk Pops Show 328: September 12, 2014

Pronk Pops Show 327: September 11, 2014

Pronk Pops Show 326: September 10, 2014

Pronk Pops Show 325: September 9, 2014

Pronk Pops Show 324: September 8, 2014

Pronk Pops Show 323: September 5, 2014

Pronk Pops Show 322: September 4, 2014

Pronk Pops Show 321: September 3, 2014

Pronk Pops Show 320: August 29, 2014

Pronk Pops Show 319: August 28, 2014

Pronk Pops Show 318: August 27, 2014 

Pronk Pops Show 317: August 22, 2014

Pronk Pops Show 316: August 20, 2014

Pronk Pops Show 315: August 18, 2014

Pronk Pops Show 314: August 15, 2014

Pronk Pops Show 313: August 14, 2014

Pronk Pops Show 312: August 13, 2014

Pronk Pops Show 311: August 11, 2014

Pronk Pops Show 310: August 8, 2014

Pronk Pops Show 309: August 6, 2014

Pronk Pops Show 308: August 4, 2014

Pronk Pops Show 307: August 1, 2014 

Pronk Pops Show 306: July 31, 2014

Pronk Pops Show 305: July 30, 2014

Pronk Pops Show 304: July 29, 2014

Pronk Pops Show 303: July 28, 2014

Pronk Pops Show 302: July 24, 2014

Pronk Pops Show 301: July 23, 2014

Pronk Pops Show 300: July 22, 2014

Pronk Pops Show 299: July 21, 2014

Pronk Pops Show 298: July 18, 2014

Pronk Pops Show 297: July 17, 2014

Pronk Pops Show 296: July 16, 2014

Pronk Pops Show 295: July 15, 2014

Pronk Pops Show 294: July 14, 2014

Pronk Pops Show 293: July 11, 2014

Pronk Pops Show 292: July 9, 2014

Pronk Pops Show 291: July 7, 2014

Pronk Pops Show 290: July 3, 2014

Pronk Pops Show 289: July 2, 2014

Story 1: Stop The Ebola Illegal Alien Invasion/Pandemic — Secure The U.S./Mexican Border — Videos

USA Invaded by Central America….

RED ALERT: TOP GENERAL WARNS EBOLA WILL NOT STAY IN WEST AFRICA!!!!

Why Do Viruses Kill

MicroKillers: Super Flu

The Influenza Pandemic of 1918

We Heard the Bells: The Influenza of 1918 (full documentary)

In 1918-1919, the worst flu in recorded history killed an estimated 50 million people worldwide. The U.S. death toll was 675,000 – five times the number of U.S. soldiers killed in World War I. Where did the 1918 flu come from? Why was it so lethal? What did we learn?

After Armageddon  (when deadly virus strikes)

SOMETHING ‘NEVER SEEN BEFORE’ IS COMING TO AMERICA (GLOBAL PANDEMIC)

Video: Ebola patient escapes quarantine, spreads panic in Monrovia (Liberia)

Judge Jeanine Pirro – Hidden Danger? – Could Illegal Immigrant Kids Bring Diseases To U.S.?

Obama Triggers a Massive Surge of Illegal Immigrant Children(90,000!)

Reporters Confront U.S. Border Patrol Over Illegal Immigration Stand-Down

Pestilence : Illegal Aliens bringing serious diseases across the U.S. Border (Aug 01, 2014)

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immigrants bring in serious, contagious diseases

PJTV – Illegal Immigrants Being Illegally Dumped in Arizona…Illegally

Gen. Kelly at University of South Florida

 

 

The Pronk Pops Show Podcasts Portfolio

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Producers vs. Moochers: Obama’s Execution of The Cloward-Piven Strategy: Food Stamps, Medicaid, Welfare, Disability Benefits, Earned Income Credits, Obamacare, Student Loans, Veterans Administration, Open Borders, Massive Deficits and Debts, Unsustainable Unfunded Liabilities, High Unemployment Rates — Legal Status — Amnesty — Citizenship for 30-50 Million Illegal Aliens — Overloading The Welfare System — Democratic Progressive Party Tyranny — Obama’s Unconstrained Utopian Vision– Videos

Posted on June 12, 2014. Filed under: American History, Blogroll, Communications, Crisis, Diasters, Economics, Employment, Faith, Family, Federal Government, Federal Government Budget, Fiscal Policy, Food, Freedom, Friends, government spending, Health Care, history, Inflation, liberty, Life, Literacy, media, Obamacare, People, Philosophy, Politics, Public Sector, Rants, Raves, Resources, Strategy, Talk Radio, Tax Policy, Taxes, Terrorism, Unions, Video, Welfare | Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , |

 

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The Pronk Pops Show Podcasts

Pronk Pops Show 276: June 10, 2014

Pronk Pops Show 275: June 9, 2014

Pronk Pops Show 274: June 6, 2014

Pronk Pops Show 273: June 5, 2014

Pronk Pops Show 272: June 4, 2014

Pronk Pops Show 271: June 2, 2014

Pronk Pops Show 270: May 30, 2014 

Pronk Pops Show 269: May 29, 2014

Pronk Pops Show 268: May 28, 2014

Pronk Pops Show 267: May 27, 2014

Pronk Pops Show 266: May 23, 2014

Pronk Pops Show 265: May 22, 2014

Pronk Pops Show 264: May 21, 2014

Pronk Pops Show 263: May 20, 2014

Pronk Pops Show 262: May 16, 2014

Pronk Pops Show 261: May 15, 2014

Pronk Pops Show 260: May 14, 2014

Pronk Pops Show 259: May 13, 2014

Pronk Pops Show 258: May 9, 2014

Pronk Pops Show 257: May 8, 2014

Pronk Pops Show 256: May 5, 2014

Pronk Pops Show 255: May 2, 2014

Pronk Pops Show 254: May 1, 2014

Pronk Pops Show 253: April 30, 2014

Pronk Pops Show 252: April 29, 2014

Pronk Pops Show 251: April 28, 2014

Pronk Pops Show 250: April 25, 2014

Pronk Pops Show 249: April 24, 2014

Pronk Pops Show 248: April 22, 2014

Pronk Pops Show 247: April 21, 2014

Pronk Pops Show 246: April 17, 2014

Pronk Pops Show 245: April 16, 2014

Pronk Pops Show 244: April 15, 2014

Pronk Pops Show 243: April 14, 2014

Pronk Pops Show 242: April 11, 2014

Pronk Pops Show 241: April 10, 2014

Pronk Pops Show 240: April 9, 2014

Pronk Pops Show 239: April 8, 2014

Pronk Pops Show 238: April 7, 2014

Pronk Pops Show 237: April 4, 2014

Pronk Pops Show 236: April 3, 2014

Pronk Pops Show 235: March 31, 2014

Pronk Pops Show 234: March 28, 2014

Pronk Pops Show 233: March 27, 2014

Pronk Pops Show 232: March 26, 2014

Pronk Pops Show 231: March 25, 2014

Pronk Pops Show 230: March 24, 2014

Pronk Pops Show 229: March 21, 2014

Pronk Pops Show 228: March 20, 2014

Pronk Pops Show 227: March 19, 2014

Pronk Pops Show 226: March 18, 2014

Pronk Pops Show 225: March 17, 2014

Pronk Pops Show 224: March 7, 2014

Pronk Pops Show 223: March 6, 2014

Pronk Pops Show 222: March 3, 2014

 Story 1:Producers vs. Moochers:  Obama’s Execution of The Cloward-Piven Strategy: Food Stamps, Medicaid, Welfare, Disability Benefits, Earned Income Credits, Obamacare, Student Loans, Veterans Administration, Open Borders, Massive Deficits and Debts, Unsustainable Unfunded Liabilities,   High Unemployment Rates — Legal Status — Amnesty — Citizenship for 30-50 Million Illegal Aliens — Overloading The Welfare System — Democratic Progressive Party Tyranny — Obama’s Unconstrained Utopian Vision– Videos

cloward-piven

cloward-and-piven

Cloward-Piven

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rules-for-radicals

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barack-meme-generator-using-cloward-piven-usa-will-be-bankrupt-and-ripe-for-communist-revolutionrules-for-radicals (1)

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Saul Alinsky’s 12 Rules for Radicals

Here is the complete list from Alinsky.

* RULE 1: “Power is not only what you have, but what the enemy thinks you have.” Power is derived from 2 main sources – money and people. “Have-Nots” must build power from flesh and blood. (These are two things of which there is a plentiful supply. Government and corporations always have a difficult time appealing to people, and usually do so almost exclusively with economic arguments.)
* RULE 2: “Never go outside the expertise of your people.” It results in confusion, fear and retreat. Feeling secure adds to the backbone of anyone. (Organizations under attack wonder why radicals don’t address the “real” issues. This is why. They avoid things with which they have no knowledge.)
* RULE 3: “Whenever possible, go outside the expertise of the enemy.” Look for ways to increase insecurity, anxiety and uncertainty. (This happens all the time. Watch how many organizations under attack are blind-sided by seemingly irrelevant arguments that they are then forced to address.)
* RULE 4: “Make the enemy live up to its own book of rules.” If the rule is that every letter gets a reply, send 30,000 letters. You can kill them with this because no one can possibly obey all of their own rules. (This is a serious rule. The besieged entity’s very credibility and reputation is at stake, because if activists catch it lying or not living up to its commitments, they can continue to chip away at the damage.)
* RULE 5: “Ridicule is man’s most potent weapon.” There is no defense. It’s irrational. It’s infuriating. It also works as a key pressure point to force the enemy into concessions. (Pretty crude, rude and mean, huh? They want to create anger and fear.)
* RULE 6: “A good tactic is one your people enjoy.” They’ll keep doing it without urging and come back to do more. They’re doing their thing, and will even suggest better ones. (Radical activists, in this sense, are no different that any other human being. We all avoid “un-fun” activities, and but we revel at and enjoy the ones that work and bring results.)
* RULE 7: “A tactic that drags on too long becomes a drag.” Don’t become old news. (Even radical activists get bored. So to keep them excited and involved, organizers are constantly coming up with new tactics.)
* RULE 8: “Keep the pressure on. Never let up.” Keep trying new things to keep the opposition off balance. As the opposition masters one approach, hit them from the flank with something new. (Attack, attack, attack from all sides, never giving the reeling organization a chance to rest, regroup, recover and re-strategize.)
* RULE 9: “The threat is usually more terrifying than the thing itself.” Imagination and ego can dream up many more consequences than any activist. (Perception is reality. Large organizations always prepare a worst-case scenario, something that may be furthest from the activists’ minds. The upshot is that the organization will expend enormous time and energy, creating in its own collective mind the direst of conclusions. The possibilities can easily poison the mind and result in demoralization.)
* RULE 10: “If you push a negative hard enough, it will push through and become a positive.” Violence from the other side can win the public to your side because the public sympathizes with the underdog. (Unions used this tactic. Peaceful [albeit loud] demonstrations during the heyday of unions in the early to mid-20th Century incurred management’s wrath, often in the form of violence that eventually brought public sympathy to their side.)
* RULE 11: “The price of a successful attack is a constructive alternative.” Never let the enemy score points because you’re caught without a solution to the problem. (Old saw: If you’re not part of the solution, you’re part of the problem. Activist organizations have an agenda, and their strategy is to hold a place at the table, to be given a forum to wield their power. So, they have to have a compromise solution.)
* RULE 12: Pick the target, freeze it, personalize it, and polarize it.” Cut off the support network and isolate the target from sympathy. Go after people and not institutions; people hurt faster than institutions. (This is cruel, but very effective. Direct, personalized criticism and ridicule works.)

dependencyrulers

cycle of government dependency

John Stossel – A Nation Of Moochers

John Stossel – Serious Crony Capitalism

How Crony Capitalism Corrupts the Free Market | David Stockman

David Stockman on TARP, the Fed, Ron Paul and Reagan [FULL VERSION]

The Forgotten Cause of Sound Money | David Stockman

Carmen Reinhart on Financial Crisis and Fiscal Policy

Kenneth Rogoff – Why Austerity is right & Growth is critical (19.12.12)

Record Number Of Americans Receiving Disability Benefits – Stuart Varney – America’s Newsroom

Number Of People On Food Stamps Up 70% Since 2008 – America’s News HQ

Economics 101-The Dangers Of Government Dependency

Opinion: The Government Dependency Trap

Land of The Freebies, Home of the Enslaved

Is Government Dependence the New American Way – Working Doesn’t Pay

Welfare fraud investigation

Mark Levin: The Cloward Piven & Obama strategy

Matthew Vadum on Glenn Beck Program, May 28, 2009 (replayed June 4, 2009)

Glenn Beck Learns About Cloward-Piven Strategy of Orchestrated Crisis

The Cloward/Piven Strategy 1

The Cloward/Piven Strategy 2

The Cloward/Piven Strategy 3

The Cloward/Piven Strategy 4

The Cloward/Piven Strategy 5

The Cloward/Piven Strategy 6

Frances Fox Piven’s opinion of Glenn Beck

Professor Frances Fox Piven on Glenn Beck targeting her

Saul Alinsky speaking at UCLA 1/17/1969

Alinsky for Dummies (Mr. Joseph A. Morris – Acton Institute)

02-05-13 Macro Analytics – The Cloward Piven Strategy

What In The World Is Cloward-PIven (and is it working?)

The End of America….The Cloward-Piven Strategy

complete cloward piven strategy project

Cloward Piven Strategy

Fall 2010 Marc Sumerlin Lecture Series Featuring Prof. Carmen Reinhart

MILTON FRIEDMAN-what alinsky never told obama..

Milton Friedman Versus A Socialist

Thomas Sowell – Frances Fox Piven vs. Milton Friedman

Obama’s Vision for America by Thomas Sowell!

Thomas Sowell and a Conflict of Visions

Blues Brothers – Minnie the Moocher (Cab Calloway)

 

Barack Obama and the Strategy of Manufactured Crisis

America waits with bated breath while Washington struggles to bring the U.S. economy back from the brink of disaster. But many of those same politicians caused the crisis, and if left to their own devices will do so again.

Despite the mass media news blackout, a series of books, talk radio and the blogosphere have managed to expose Barack Obama’s connections to his radical mentors — Weather Underground bombers William Ayers and Bernardine Dohrn, Communist Party member Frank Marshall Davis and others. David Horowitz and his Discover the Networks.org have also contributed a wealth of information and have noted Obama’s radical connections since the beginning.
Yet, no one to my knowledge has yet connected all the dots between Barack Obama and the Radical Left. When seen together, the influences on Obama’s life comprise a who’s who of the radical leftist movement, and it becomes painfully apparent that not only is Obama a willing participant in that movement, he has spent most of his adult life deeply immersed in it.
But even this doesn’t fully describe the extreme nature of this candidate. He can be tied directly to a malevolent overarching strategy that has motivated many, if not all, of the most destructive radical leftist organizations in the United States since the 1960s.
The Cloward-Piven Strategy of Orchestrated Crisis
In an earlier post, I noted the liberal record of unmitigated legislative disasters, the latest of which is now being played out in the financial markets before our eyes. Before the 1994 Republican takeover, Democrats had sixty years of virtually unbroken power in Congress – with substantial majorities most of the time. Can a group of smart people, studying issue after issue for years on end, with virtually unlimited resources at their command, not come up with a single policy that works? Why are they chronically incapable?
Why?
One of two things must be true. Either the Democrats are unfathomable idiots, who ignorantly pursue ever more destructive policies despite decades of contrary evidence, or they understand the consequences of their actions and relentlessly carry on anyway because they somehow benefit.
I submit to you they understand the consequences. For many it is simply a practical matter of eliciting votes from a targeted constituency at taxpayer expense; we lose a little, they gain a lot, and the politician keeps his job. But for others, the goal is more malevolent – the failure is deliberate. Don’t laugh. This method not only has its proponents, it has a name: the Cloward-Piven Strategy. It describes their agenda, tactics, and long-term strategy.
The Strategy was first elucidated in the May 2, 1966 issue of The Nation magazine by a pair of radical socialist Columbia University professors, Richard Andrew Cloward and Frances Fox Piven. David Horowitz summarizes it as:
The strategy of forcing political change through orchestrated crisis. The “Cloward-Piven Strategy” seeks to hasten the fall of capitalism by overloading the government bureaucracy with a flood of impossible demands, thus pushing society into crisis and economic collapse.
Cloward and Piven were inspired by radical organizer [and Hillary Clinton mentor] Saul Alinsky:
“Make the enemy live up to their (sic) own book of rules,” Alinsky wrote in his 1989 book Rules for Radicals. When pressed to honor every word of every law and statute, every Judeo-Christian moral tenet, and every implicit promise of the liberal social contract, human agencies inevitably fall short. The system’s failure to “live up” to its rule book can then be used to discredit it altogether, and to replace the capitalist “rule book” with a socialist one. (Courtesy Discover the Networks.org)
Newsmax rounds out the picture:
Their strategy to create political, financial, and social chaos that would result in revolution blended Alinsky concepts with their more aggressive efforts at bringing about a change in U.S. government. To achieve their revolutionary change, Cloward and Piven sought to use a cadre of aggressive organizers assisted by friendly news media to force a re-distribution of the nation’s wealth.
In their Nation article, Cloward and Piven were specific about the kind of “crisis” they were trying to create:
By crisis, we mean a publicly visible disruption in some institutional sphere. Crisis can occur spontaneously (e.g., riots) or as the intended result of tactics of demonstration and protest which either generate institutional disruption or bring unrecognized disruption to public attention.
No matter where the strategy is implemented, it shares the following features:
  1. The offensive organizes previously unorganized groups eligible for government benefits but not currently receiving all they can.
  2. The offensive seeks to identify new beneficiaries and/or create new benefits.
  3. The overarching aim is always to impose new stresses on target systems, with the ultimate goal of forcing their collapse.
Capitalizing on the racial unrest of the 1960s, Cloward and Piven saw the welfare system as their first target. They enlisted radical black activist George Wiley, who created the National Welfare Reform Organization (NWRO) to implement the strategy. Wiley hired militant foot soldiers to storm welfare offices around the country, violently demanding their “rights.” According to a City Journal article bySol Stern, welfare rolls increased from 4.3 million to 10.8 million by the mid-1970s as a result, and in New York City, where the strategy had been particularly successful, “one person was on the welfare rolls… for every two working in the city’s private economy.”
According to another City Journal article titled “Compassion Gone Mad“:
The movement’s impact on New York City was jolting: welfare caseloads, already climbing 12 percent a year in the early sixties, rose by 50 percent during Lindsay’s first two years; spending doubled… The city had 150,000 welfare cases in 1960; a decade later it had 1.5 million.  
The vast expansion of welfare in New York City that came of the NWRO’s Cloward-Piven tactics sent the city into bankruptcy in 1975. Rudy Giuliani citedCloward and Piven by name as being responsible for “an effort at economic sabotage.” He also credited Cloward-Piven with changing the cultural attitude toward welfare from that of a temporary expedient to a lifetime entitlement, an attitude which in-and-of-itself has caused perhaps the greatest damage of all.
Cloward and Piven looked at this strategy as a gold mine of opportunity. Within the newly organized groups, each offensive would find an ample pool of foot soldier recruits willing to advance its radical agenda at little or no pay, and expand its base of reliable voters, legal or otherwise. The radicals’ threatening tactics also would accrue an intimidating reputation, providing a wealth of opportunities for extorting monetary and other concessions from the target organizations. In the meantime, successful offensives would create an ever increasing drag on society. As they gleefully observed:
Moreover, this kind of mass influence is cumulative because benefits are continuous. Once eligibility for basic food and rent grants is established, the drain on local resources persists indefinitely.
The next time you drive through one of the many blighted neighborhoods in our cities, or read of the astronomical crime, drug addiction, and out-of-wedlock birth rates, or consider the failed schools, strapped police and fire resources of every major city, remember Cloward and Piven’s thrill that “…the drain on local resources persists indefinitely.”
ACORN, the new tip of the Cloward-Piven spear
In 1970, one of George Wiley’s protégés, Wade Rathke — like Bill Ayers, a member of the radical Students for a Democratic Society (SDS) — was sent to found the Arkansas Community Organizations for Reform Now. While NWRO had made a good start, it alone couldn’t accomplish the Cloward-Piven goals. Rathke’s group broadened the offensive to include a wide array of low income “rights.” Shortly thereafter they changed “Arkansas” to “Association of” andACORN went nationwide.
Today ACORN is involved in a wide array of activities, including housing, voting rights, illegal immigration and other issues. According to ACORN’s website: “ACORN is the nation’s largest grassroots community organization of low-and moderate-income people with over 400,000 member families organized into more than 1,200 neighborhood chapters in 110 cities across the country,” It is perhaps the largest radical group in the U.S. and has been cited for widespread criminal activity on many fronts.
Voting
On voting rights, ACORN and its voter mobilization subsidiary, Project Vote, have been involved nationwide in efforts to grant felons the vote and lobbied heavily for the Motor Voter Act of 1993, a law allowing people to register at motor vehicle departments, schools, libraries and other public places. That law had been sought by Cloward and Piven since the early1980s and they were present, standing behind President Clinton at the signing ceremony.
ACORN’s voter rights tactics follow the Cloward-Piven Strategy:
  • 1. Register as many Democrat voters as possible, legal or otherwise and help them vote, multiple times if possible.
  • 2. Overwhelm the system with fraudulent registrations using multiple entries of the same name, names of deceased, random names from the phone book, even contrived names.
  • 3. Make the system difficult to police by lobbying for minimal identification standards.
In this effort, ACORN sets up registration sites all over the country and has beenfrequently cited for turning in fraudulent registrations, as well as destroying republican applications. In the 2004-2006 election cycles alone, ACORN was accused of widespread voter fraud in 12 states. It may have swung the election for one state governor.
ACORN’s website brags: “Since 2004, ACORN has helped more than 1.7 million low- and moderate-income and minority citizens apply to register to vote.” Project vote boasts 4 million. I wonder how many of them are dead? For the 2008 cycle, ACORN and Project Vote have pulled out all the stops. Given their furious nationwide effort, it is not inconceivable that this presidential race could be decided by fraudulent votes alone.
Barack Obama ran ACORN’s Project Vote in Chicago and his highly successful voter registration drive was credited with getting the disgraced former Senator Carol Moseley-Braun elected. Newsmax reiterates Cloward and Piven’s aspirations for ACORN’s voter registration efforts:
By advocating massive, no-holds-barred voter registration campaigns, they [Cloward & Piven] sought a Democratic administration in Washington, D.C. that would re-distribute the nation’s wealth and lead to a totalitarian socialist state.
Illegal Immigration
As I have written elsewhere, the Radical Left’s offensive to promote illegal immigration is “Cloward-Piven on steroids.” ACORN is at the forefront of this movement as well, and was a leading organization among a broad coalition of radical groups, including Soros’ Open Society Institute, the Service Employees International Union (ACORN founder Wade Rathke also runs a SEIU chapter), and others, that became the Coalition for Comprehensive Immigration Reform. CCIR fortunately failed to gain passage for the 2007 illegal immigrant amnesty bill, but its goals have not changed.
The burden of illegal immigration on our already overstressed welfare system has been widely documented. Some towns in California have even been taken over byillegal immigrant drug cartels. The disease, crime and overcrowding brought by illegal immigrants places a heavy burden on every segment of society and every level of government, threatening to split this country apart at the seams. In the meantime, radical leftist efforts to grant illegal immigrants citizenship guarantee a huge pool of new democrat voters. With little border control, terrorists can also filter in.
Obama aided ACORN as their lead attorney in a successful suit he broughtagainst the Illinois state government to implement the Motor Voter law there. The law had been resisted by Republican Governor Jim Edgars, who feared the law was an opening to widespread vote fraud.
His fears were warranted as the Motor Voter law has since been cited as a major opportunity for vote fraud, especially for illegal immigrants, even terrorists.According to the Wall Street JournalAfter 9/11, the Justice Department found that eight of the 19 hijackers were registered to vote…”
ACORN’s dual offensives on voting and illegal immigration are handy complements. Both swell the voter rolls with reliable democrats while assaulting the country ACORN seeks to destroy with overwhelming new problems.
Mortgage Crisis
And now we have the mortgage crisis, which has sent a shock wave through Wall Street and panicked world financial markets like no other since the stock market crash of 1929. But this is a problem created in Washington long ago.  It originated with the Community Reinvestment Act (CRA), signed into law in 1977 by President Jimmy Carter. The CRA was Carter’s answer to a grassroots activist movement started in Chicago, and forced banks to make loans to low income, high risk customers. PhD economist and former Texas Senator Phil Gramm has called it: “a vast extortion scheme against the nation’s banks.”
ACORN aggressively sought to expand loans to low income groups using the CRA as a whip. Economist Stan Leibowitz wrote in the New York Post:
In the 1980s, groups such as the activists at ACORN began pushing charges of “redlining”-claims that banks discriminated against minorities in mortgage lending. In 1989, sympathetic members of Congress got the Home Mortgage Disclosure Act amended to force banks to collect racial data on mortgage applicants; this allowed various studies to be ginned up that seemed to validate the original accusation.
In fact, minority mortgage applications were rejected more frequently than other applications-but the overwhelming reason wasn’t racial discrimination, but simply that minorities tend to have weaker finances.
ACORN showed its colors again in 1991, by taking over the House Banking Committee room for two days to protest efforts to scale back the CRA.Obama represented ACORN in the Buycks-Roberson v. Citibank Fed. Sav. Bank, 1994 suit against redlining.  Most significant of all, ACORN was the driving force behind a 1995 regulatory revision pushed through by the Clinton Administration that greatly expanded the CRA and laid the groundwork for the Fannie Mae, Freddie Mac borne financial crisis we now confront. Barack Obama was the attorney representing ACORN in this effort. With this new authority, ACORN used its subsidiary, ACORN Housing, to promote subprime loans more aggressively.
As a New York Post article describes it:
A 1995 strengthening of the Community Reinvestment Act required banks to find ways to provide mortgages to their poorer communities. It also let community activists intervene at yearly bank reviews, shaking the banks down for large pots of money.
Banks that got poor reviews were punished; some saw their merger plans frustrated; others faced direct legal challenges by the Justice Department.
Flexible lending programs expanded even though they had higher default rates than loans with traditional standards. On the Web, you can still find CRA loans available via ACORN with “100 percent financing . . . no credit scores . . . undocumented income . . . even if you don’t report it on your tax returns.” Credit counseling is required, of course.
Ironically, an enthusiastic Fannie Mae Foundation report singled out one paragon of nondiscriminatory lending, which worked with community activists and followed “the most flexible underwriting criteria permitted.” That lender’s $1 billion commitment to low-income loans in 1992 had grown to $80 billion by 1999and $600 billion by early 2003.
The lender they were speaking of was Countrywide, which specialized in subprime lending and had a working relationship with ACORN.
The revisions also allowed for the first time the securitization of CRA-regulated loans containing subprime mortgages. The changes came as radical “housing rights” groups led by ACORN lobbied for such loans. ACORN at the time was represented by a young public-interest lawyer in Chicago by the name of Barack Obama. (Emphasis, mine.)
Since these loans were to be underwritten by the government sponsored Fannie Mae and Freddie Mac, the implicit government guarantee of those loans absolved lenders, mortgage bundlers and investors of any concern over the obvious risk. As Bloomberg reported: “It is a classic case of socializing the risk while privatizing the profit.”
And if you think Washington policy makers cared about ACORN’s negative influence, think again. Before this whole mess came down, a Democrat-sponsored bill on the table would have created an “Affordable Housing Trust Fund,” granting ACORN access to approximately $500 million in Fannie Mae and Freddie Mac revenues with little or no oversight.
Even now, unbelievably — on the brink of national disaster — Democrats have insisted ACORN benefit from bailout negotiations! Senator Lindsay Graham reported last night (9/25/08) in an interview with Greta Van Susteren of On the Record that Democrats want 20 percent of the bailout money to go to ACORN!
This entire fiasco represents perhaps the pinnacle of ACORN’s efforts to advance the Cloward-Piven Strategy and is a stark demonstration of the power they wield in Washington.
Enter Barack Obama
In attempting to capture the significance of Barack Obama’s Radical Left connections and his relation to the Cloward Piven strategy, I constructed following flow chart. It is by no means complete. There are simply too many radical individuals and organizations to include them all here. But these are perhaps the most significant.

Cloward Piven Strategy

The chart puts Barack Obama at the epicenter of an incestuous stew of American radical leftism. Not only are his connections significant, they practically define who he is. Taken together, they constitute a who’s who of the American radical left, and guiding all is the Cloward-Piven strategy.

Conspicuous in their absence are any connections at all with any other group, moderate, or even mildly leftist. 
They are all radicals, firmly bedded in the anti-American, communist, socialist, radical leftist mesh.
Saul Alinsky
Most people are unaware that Barack Obama received his training in “community organizing” from Saul Alinsky’s Industrial Areas Foundation. But he did. In and of itself that marks his heritage and training as that of a radical activist. One really needs go no further. But we have.
Bill Ayers
Obama objects to being associated with SDS bomber Bill Ayers, claiming he is being smeared with “guilt by association.” But they worked together at theWoods Fund. The Wall Street Journal added substantially to our knowledge by describing in great detail Obama’s work over five years with SDS bomber Bill Ayers on the board of a non-profit, the Chicago Annenberg Challenge, to push a radical agenda on public school children. As Stanley Kurtz states:
“…the issue here isn’t guilt by association; it’s guilt by participation. As CAC chairman, Mr. Obama was lending moral and financial support to Mr. Ayers and his radical circle. That is a story even if Mr. Ayers had never planted a single bomb 40 years ago.”
Also included in the mix is Theresa Heinz Kerry’s favorite charity, the Tides Foundation. A partial list of Tides grants tells you all you need to know: ACLU, ACORN, Center for American Progress, Center for Constitutional Rights (a communist front,) CAIR, Earth Justice, Institute for Policy Studies (KGB spy nest), National Lawyers Guild (oldest communist front in U.S.), People for the Ethical Treatment of Animals (PETA), and practically every other radical group there is. ACORN’s Wade Rathke runs a Tides subsidiary, the Tides Center.
Carl Davidson and the New Party
We have heard about Bomber Bill, but we hear little about fellow SDS memberCarl Davidson. According to Discover the Networks, Davidson was an early supporter of Barack Obama and a prominent member of Chicago’s New Party, a synthesis of CPUSA members, Socialists, ACORN veterans and other radicals. Obama sought and received the New Party’s endorsement, and they assisted with his campaign. The New Party also developed a strong relationship with ACORN. As an excellent article on the New Party observes: “Barack Obama knew what he was getting into and remains an ideal New Party candidate.”
George Soros
The chart also suggests the reason for George Soros’ fervent support of Obama. The President of his Open Society Institute is Aryeh Neier, founder of the radical Students for a Democratic Society (SDS). As mentioned above, three other former SDS members had extensive contact with Obama: Bill Ayers, Carl Davidson and Wade Rathke. Surely Aryeh Neier would have heard from his former colleagues of the promising new politician. More to the point, Neier is firmly committed to supporting the hugely successful radical organization, ACORN, and would be certain back their favored candidate, Barack Obama.
ACORN
Obama has spent a large portion of his professional life working for ACORN or its subsidiaries, representing ACORN as a lawyer on some of its most critical issues, and training ACORN leaders. Stanley Kurtz’s excellent National Review article, “Inside Obama’s Acorn.” also describes Obama’s ACORN connection in detail. But I can’t improve on Obama’s own words:
I’ve been fighting alongside ACORN on issues you care about my entire career (emphasis added). Even before I was an elected official, when I ran Project Vote voter registration drive in Illinois, ACORN was smack dab in the middle of it, and we appreciate your work. - Barack Obama, Speech to ACORN, November 2007 (Courtesy Newsmax.)
In another excellent article on Obama’s ACORN connections, Newsmax asks a nagging question:
It would be telling to know if Obama, during his years at Columbia, had occasion to meet Cloward and study the Cloward-Piven Strategy.
I ask you, is it possible ACORN would train Obama to take leadership positions within ACORN without telling him what he was training for? Is it possible ACORN would put Obama in leadership positions without clueing him into what his purpose was?? Is it possible that this most radical of organizations would put someone in charge of training its trainers, without him knowing what it was he was training them for?
As a community activist for ACORN; as a leadership trainer for ACORN; as alead organizer for ACORN’s Project Vote; as an attorney representing ACORN’s successful efforts to impose Motor Voter regulations in Illinois; as ACORN’s representative in lobbying for the expansion of high risk housing loans through Fannie Mae and Freddie Mac that led to the current crisis; as a recipient of their assistance in his political campaigns — both with money and campaign workers; it is doubtful that he was unaware of ACORN’s true goals. It is doubtful he was unaware of the Cloward-Piven Strategy.
Fast-forward to 2005 when an obsequious, servile and scraping Daniel Mudd, CEO of Fannie Mae spoke at the Congressional Black Caucus swearing in ceremony for newly-elected Illinois Senator, Barack Obama. Mudd called, the Congressional Black Caucus “our family” and “the conscience of Fannie Mae.”
In 2005, Republicans sought to rein in Fannie and Freddie. Senator John McCain was at the forefront of that effort. But it failed due to an intense lobbying effort put forward by Fannie and Freddie.
In his few years as a U.S. senator, Obama has received campaign contributions of $126,349, from Fannie and Freddie, second only to the $165,400 received by Senator Chris Dodd, who has been getting donations from them since 1988. What makes Obama so special?
His closest advisers are a dirty laundry list of individuals at the heart of the financial crisis: former Fannie Mae CEO Jim Johnson; Former Fannie Mae CEO and former Clinton Budget Director Frank Raines; and billionaire failed Superior Bank of Chicago Board Chair Penny Pritzker.
Johnson had to step down as adviser on Obama’s V.P. search after this gem came out:
An Office of Federal Housing Enterprise Oversight (OFHEO) report[1] from September 2004 found that, during Johnson’s tenure as CEO, Fannie Mae had improperly deferred $200 million in expenses. This enabled top executives, including Johnson and his successor, Franklin Raines, to receive substantial bonuses in 1998.[2] A 2006 OFHEO report[3] found that Fannie Mae had substantially under-reported Johnson’s compensation. Originally reported as $6-7 million, Johnson actually received approximately $21 million.
Obama denies ties to Raines but the Washington Post calls him a member of “Obama’s political circle.” Raines and Johnson were fined $3 million by the Office of Federal Housing Oversight for their manipulation of Fannie books. The fine is small change however, compared to the $50 million Raines was able to obtain in improper bonuses as a result of juggling the books.
Most significantly, Penny Pritzker, the current Finance Chairperson of Obama’s presidential campaign helped develop the complicated investment bundling of subprime securities at the heart of the meltdown. She did so in her position as shareholder and board chair of Superior Bank. The Bank failed in 2001, one of the largest in recent history, wiping out $50 million in uninsured life savings of approximately 1,400 customers. She was named in a RICO class action law suit but doesn’t seem to have come out of it too badly.
As a young attorney in the 1990s, Barack Obama represented ACORN in Washington in their successful efforts to expand Community Reinvestment Act (CRA) authority. In addition to making it easier for ACORN groups to force banks into making risky loans, this also paved the way for banks like Superior to package mortgages as investments, and for the Government Sponsored Enterprises Fannie Mae and Freddie Mac to underwrite them. These changes created the conditions that ultimately lead to the current financial crisis.
Did they not know this would occur? Were these smart people, led by a Harvard graduate, unaware of the Econ 101 concept of moral hazard that would result from the government making implicit guarantees to underwrite private sector financial risk? They should have known that freeing the high-risk mortgage market of risk, calamity was sure to ensue. I think they did.
Barack Obama, the Cloward-Piven candidate, no matter how he describes himself, has been a radical activist for most of his political career. That activism has been in support of organizations and initiatives that at their heart seek to tear the pillars of this nation asunder in order to replace them with their demented socialist vision. Their influence has spread so far and so wide that despite their blatant culpability in the current financial crisis, they are able to manipulate Capital Hill politicians to cut them into $140 billion of the bailout pie!
God grant those few responsible yet remaining in Washington, DC the strength to prevent this massive fraud from occurring. God grant them the courage to stand up in the face of this Marxist tidal wave.

The Cloward-Piven Strategy Explained

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Editors Note: Shortly after becoming part of a local Tea Party Group, I became aware of something called The Cloward-Piven Strategy. After researching this topic extensively, I discovered an article written in September, 2008 BEFORE Barack Obama was elected President. The article was written by James Simpson and originally posted at American Thinker. Here’s a link to the original post if you’d like to check it out. Mr. Simpson has graciously given us permission to repost the article here and will be contributing other material to this site in the future. We are looking forward to his further investigations! As far was TeaPartyConnect.com is concerned, this article should be required reading for all Tea Party members.
TheGuru

The Cloward-Piven Strategy, Part II:
Barack Obama and the Strategy of Manufactured Crisis

America waits with bated breath while Washington struggles to bring the U.S. economy back from the brink of disaster. But many of those same politicians caused the crisis, and if left to their own devices will do so again.

Despite the mass media news blackout, a series of books, talk radio and the blogosphere have managed to expose Barack Obama’s connections to his radical mentors – Weather Underground bombers William Ayers and Bernardine Dohrn, Communist Party member Frank Marshall Davis and others. David Horowitz and his Discover the Networks.org have also contributed a wealth of information and have noted Obama’s radical connections since the beginning.

Yet, no one to my knowledge has connected all the dots between Barack Obama and the Radical Left. When seen together, the influences on Obama’s life comprise a who’s who of the radical leftist movement, and it becomes painfully apparent that not only is Obama a willing participant in that movement, he has spent most of his adult life deeply immersed in it.

But even this doesn’t fully describe the extreme nature of this candidate. He can be tied directly to a malevolent overarching strategy that has motivated many, if not all, of the most destructive radical leftist organizations in the United States since the 1960s.

The Cloward-Piven Strategy of Orchestrated Crisis

In an earlier post, I noted the liberal record of legislative disasters, the latest of which is now being played out in the financial markets before our eyes. Before the 1994 Republican takeover, Democrats had sixty years of virtually unbroken power in Congress – with substantial majorities most of the time. Can a group of smart people, studying issue after issue for years on end, with virtually unlimited resources at their command, not come up with a single policy that works? Why are they chronically incapable?

Why?

One of two things must be true. Either the Democrats are unfathomable idiots, who ignorantly pursue ever more destructive policies despite decades of contrary evidence, or they understand the consequences of their actions and relentlessly carry on anyway because they somehow benefit.

I submit to you they understand the consequences. For many it is simply a practical matter of eliciting votes from a targeted constituency at taxpayer expense; we lose a little, they gain a lot, and the politician keeps his job. But for others, the goal is more malevolent – the failure is deliberate. Don’t laugh. This method not only has its proponents, it has a name: the Cloward-Piven Strategy. It animates their agenda, tactics, and long-term strategy.

The Strategy was first elucidated in the May 2, 1966 issue of The Nation magazine by a pair of radical socialist Columbia University professors, Richard Andrew Cloward and Frances Fox Piven. David Horowitz summarizes it as:

The strategy of forcing political change through orchestrated crisis. The “Cloward-Piven Strategy” seeks to hasten the fall of capitalism by overloading the government bureaucracy with a flood of impossible demands, thus pushing society into crisis and economic collapse.

Cloward and Piven were inspired by radical organizer [and Hillary Clinton mentor] Saul Alinsky:

“Make the enemy live up to their (sic) own book of rules,” Alinsky wrote in his 1989 book Rules for Radicals. When pressed to honor every word of every law and statute, every Judeo-Christian moral tenet, and every implicit promise of the liberal social contract, human agencies inevitably fall short. The system’s failure to “live up” to its rule book can then be used to discredit it altogether, and to replace the capitalist “rule book” with a socialist one. (Courtesy of Discover the Networks.org)

Newsmax rounds out the picture:

Their strategy to create political, financial, and social chaos that would result in revolution blended Alinsky concepts with their more aggressive efforts at bringing about a change in U.S. government. To achieve their revolutionary change, Cloward and Piven sought to use a cadre of aggressive organizers assisted by friendly news media to force a re-distribution of the nation’s wealth.

In their Nation article, Cloward and Piven were specific about the kind of “crisis” they were trying to create:

By crisis, we mean a publicly visible disruption in some institutional sphere. Crisis can occur spontaneously (e.g., riots) or as the intended result of tactics of demonstration and protest which either generate institutional disruption or bring unrecognized disruption to public attention.

 

No matter where the strategy is implemented, it shares the following features:

  • The offensive organizes previously unorganized groups eligible for government benefits but not currently receiving all they can.
  • The offensive seeks to identify new beneficiaries and/or create new benefits.
  • The overarching aim is always to impose new stresses on target systems, with the ultimate goal of forcing their collapse.

Capitalizing on the racial unrest of the 1960s, Cloward and Piven saw the welfare system as their first target. They enlisted radical black activist George Wiley, who created the National Welfare Rights Organization (NWRO) to implement the strategy. Wiley hired militant foot soldiers to storm welfare offices around the country, violently demanding their “rights.” According to a City Journal article by Sol Stern, welfare rolls increased from 4.3 million to 10.8 million by the mid-1970s as a result, and in New York City, where the strategy had been particularly successful, “one person was on the welfare rolls… for every two working in the city’s private economy.”

According to another City Journal article titled “Compassion Gone Mad”:

The movement’s impact on New York City was jolting: welfare caseloads, already climbing 12 percent a year in the early sixties, rose by 50 percent during Lindsay’s first two years; spending doubled… The city had 150,000 welfare cases in 1960; a decade later it had 1.5 million.

The vast expansion of welfare in New York City that came of the NWRO’s Cloward-Piven tactics sent the city into bankruptcy in 1975. Rudy Giuliani cited Cloward and Piven by name as being responsible for “an effort at economic sabotage.” He also credited Cloward-Piven with changing the cultural attitude toward welfare from that of a temporary expedient to a lifetime entitlement, an attitude which in-and-of-itself has caused perhaps the greatest damage of all.

Cloward and Piven looked at this strategy as a gold mine of opportunity. Within the newly organized groups, each offensive would find an ample pool of foot soldier recruits willing to advance its radical agenda at little or no pay, and expand its base of reliable voters, legal or otherwise. The radicals’ threatening tactics also would accrue an intimidating reputation, providing a wealth of opportunities for extorting monetary and other concessions from the target organizations. In the meantime, successful offensives would create an ever increasing drag on society. As they gleefully observed:

Moreover, this kind of mass influence is cumulative because benefits are continuous. Once eligibility for basic food and rent grants is established, the drain on local resources persists indefinitely.

The next time you drive through one of the many blighted neighborhoods in our cities, or read of the astronomical crime, drug addiction, and out-of-wedlock birth rates, or consider the failed schools, strapped police and fire resources of every major city, remember Cloward and Piven’s thrill that “…the drain on local resources persists indefinitely.”

ACORN, the new tip of the Cloward-Piven spear

In 1970, one of George Wiley’s protégés, Wade Rathke – like Bill Ayers, a member of the radical Students for a Democratic Society (SDS) – was sent to found the Arkansas Community Organizations for Reform Now. While NWRO had made a good start, it alone couldn’t accomplish the Cloward-Piven goals. Rathke’s group broadened the offensive to include a wide array of low income “rights.” Shortly thereafter they changed “Arkansas” to “Association of” and ACORN went nationwide.

Today ACORN is involved in a wide array of activities, including housing, voting rights, illegal immigration and other issues. According to ACORN’s website: “ACORN is the nation’s largest grassroots community organization of low- and moderate-income people with over 400,000 member families organized into more than 1,200 neighborhood chapters in 110 cities across the country,” It is perhaps the largest radical group in the U.S. and has been cited for widespread criminal activity on many fronts.

Voting

On voting rights, ACORN and its voter mobilization subsidiary, Project Vote, have been involved nationwide in efforts to grant felons the vote and lobbied heavily for the Motor Voter Act of 1993, a law allowing people to register at motor vehicle departments, schools, libraries and other public places. That law had been sought by Cloward and Piven since the early1980s and they were present, standing behind President Clinton at the signing ceremony.

ACORN’s voter rights tactics follow the Cloward-Piven Strategy:

  1. Register as many democrat voters as possible, legal or otherwise and help them vote, multiple times if possible.
  2. Overwhelm the system with fraudulent registrations using multiple entries of the same name, names of deceased, random names from the phone book, even contrived names.
  3. Make the system difficult to police by lobbying for minimal identification standards.

In this effort, ACORN sets up registration sites all over the country and has been frequently cited for turning in fraudulent registrations, as well as destroying republican applications. In the 2004-2006 election cycles alone, ACORN was accused of widespread voter fraud in 12 states. It may have swung the election for one state governor.

ACORN’s website brags:

“Since 2004, ACORN has helped more than 1.7 million low- and moderate-income and minority citizens apply to register to vote.”

Project Vote boasts 4 million. I wonder how many of them had a pulse. For the 2008 cycle, ACORN and Project Vote have pulled out all the stops. Given their furious nationwide effort, it is not inconceivable that this presidential race could be decided by fraudulent votes alone.

Barack Obama ran ACORN’s Project Vote in Chicago and his highly successful voter registration drive wascredited with getting the disgraced former Senator Carol Moseley-Braun elected. Newsmax reiteratesCloward and Piven’s aspirations for ACORN’s voter registration efforts:

By advocating massive, no-holds-barred voter registration campaigns, they [Cloward & Piven] sought a Democratic administration in Washington, D.C. that would re-distribute the nation’s wealth and lead to a totalitarian socialist state.

Illegal Immigration

As I have written elsewhere, the Radical Left’s offensive to promote illegal immigration is “Cloward-Piven on steroids.” ACORN is at the forefront of this movement as well, and was a leading organization among a broad coalition of radical groups, including Soros’ Open Society Institute, the Service Employees International Union (ACORN founder Wade Rathke also runs a SEIU chapter), and others, that became theCoalition for Comprehensive Immigration Reform. CCIR fortunately failed to gain passage for the 2007 illegal immigrant amnesty bill, but its goals have not changed.

The burden of illegal immigration on our already overstressed welfare system has been widely documented. Some towns in California have even been taken over by illegal immigrant drug cartels. The disease, crime and overcrowding brought by illegal immigrants places a heavy burden on every segment of society and every level of government, threatening to split this country apart at the seams. In the meantime, radical leftist efforts to grant illegal immigrants citizenship guarantee a huge pool of new democrat voters. With little border control, terrorists can also filter in.

Obama aided ACORN as their lead attorney in a successful suit he brought against the Illinois state government to implement the Motor Voter law there. The law had been resisted by Republican Governor Jim Edgars, who feared the law was an opening to widespread vote fraud.

His fears were warranted as the Motor Voter law has since been cited as a major opportunity for vote fraud, especially for illegal immigrants, even terrorists. According to the Wall Street Journal: “After 9/11, the Justice Department found that eight of the 19 hijackers were registered to vote…”

ACORN’s dual offensives on voting and illegal immigration are handy complements. Both swell the voter rolls with reliable democrats while assaulting the country ACORN seeks to destroy with overwhelming new problems.

Mortgage Crisis

And now we have the mortgage crisis, which has sent a shock wave through Wall Street and panicked world financial markets like no other since the stock market crash of 1929. But this is a problem created in Washington long ago. It originated with the Community Reinvestment Act (CRA), signed into law in 1977 by President Jimmy Carter. The CRA was Carter’s answer to a grassroots activist movement started in Chicago, and forced banks to make loans to low income, high risk customers. PhD economist and former Texas Senator Phil Gramm has called it: “a vast extortion scheme against the nation’s banks.”

ACORN aggressively sought to expand loans to low income groups using the CRA as a whip. EconomistStan Leibowitz wrote in the New York Post:

In the 1980s, groups such as the activists at ACORN began pushing charges of “redlining”—claims that banks discriminated against minorities in mortgage lending. In 1989, sympathetic members of Congress got the Home Mortgage Disclosure Act amended to force banks to collect racial data on mortgage applicants; this allowed various studies to be ginned up that seemed to validate the original accusation.

In fact, minority mortgage applications were rejected more frequently than other applications—but the overwhelming reason wasn’t racial discrimination, but simply that minorities tend to have weaker finances.

ACORN showed its colors again in 1991, by taking over the House Banking Committee room for two days to protest efforts to scale back the CRA. Most significant of all, ACORN was the driving force behind a 1995 regulatory revision pushed through by the Clinton Administration that greatly expanded the CRA and laid the groundwork for the Fannie Mae, Freddie Mac borne financial crisis we now confront. Barack Obama was the attorney representing ACORN in this effort. With this new authority, ACORN used its subsidiary,ACORN Housing, to promote subprime loans more aggressively. Barack Obama represented ACORN in this effort.

As a New York Post article describes it:

A 1995 strengthening of the Community Reinvestment Act required banks to find ways to provide mortgages to their poorer communities. It also let community activists intervene at yearly bank reviews, shaking the banks down for large pots of money.

Banks that got poor reviews were punished; some saw their merger plans frustrated; others faced direct legal challenges by the Justice Department.

Flexible lending programs expanded even though they had higher default rates than loans with traditional standards. On the Web, you can still find CRA loans available via ACORN with “100 percent financing . . . no credit scores . . . undocumented income . . . even if you don’t report it on your tax returns.” Credit counseling is required, of course.

Ironically, an enthusiastic Fannie Mae Foundation report singled out one paragon of nondiscriminatory lending, which worked with community activists and followed “the most flexible underwriting criteria permitted.” That lender’s $1 billion commitment to low-income loans in 1992 had grown to $80 billion by 1999 and $600 billion by early 2003.

The lender they were speaking of was Countrywide – rescued by Bank of America in July – which specialized in subprime lending and had a working relationship with ACORN.

Investor’s Business Daily added:

The revisions also allowed for the first time the securitization of CRA-regulated loans containing subprime mortgages. The changes came as radical “housing rights” groups led by ACORN lobbied for such loans. ACORN at the time was represented by a young public-interest lawyer in Chicago by the name of Barack Obama. (Emphasis, mine.)

Since these loans were to be underwritten by the government sponsored Fannie Mae and Freddie Mac, the implicit government guarantee of those loans absolved lenders, mortgage bundlers and investors of any concern over the obvious risk. As Bloomberg reported: “It is a classic case of socializing the risk while privatizing the profit.”

And if you think Washington policy makers cared about ACORN’s negative influence, think again. Before this whole mess came down, a Democrat-sponsored bill on the table would have created an “Affordable Housing Trust Fund,” granting ACORN access to approximately $500 million in Fannie Mae and Freddie Mac revenues with little or no oversight.

Even now, unbelievably – on the brink of national disaster – Democrats have insisted ACORN benefit from bailout negotiations! Senator Lindsay Graham reported Thursday night (9/25/08) in an interview with Greta Van Susteren of On the Record that Democrats want 20 percent of the bailout money to go to ACORN!

This entire fiasco represents perhaps the pinnacle of ACORN’s efforts to advance the Cloward-Piven Strategy and is a stark demonstration of the power they wield in Washington.

Enter Barack Obama.

In attempting to capture the significance of Barack Obama’s Radical Left connections and his connection to the Cloward Piven strategy, I constructed following flow chart. It is by no means complete. There are simply too many radical individuals and organizations to include them all here. But these are perhaps the most significant.

The chart puts Barack Obama at the epicenter of an incestuous stew of American radical leftism. Not only are his connections significant, they practically define who he is. Taken together, they constitute a who’s who of the American Radical Left, and guiding all is the Cloward-Piven strategy.

Conspicuous in their absence are any connections at all with any other group, moderate, or even mildly leftist. They are all radicals, firmly bedded in the anti-American, communist, socialist, radical leftist mesh.

Saul Alinsky

Most people are unaware that Barack Obama received his training in “community organizing” from Saul Alinsky’s Industrial Areas Foundation. But he did. In and of itself that marks his heritage and training as that of a radical activist. One really need go no further. But we have.

Bill Ayers

Obama objects to being associated with SDS bomber Bill Ayers, claiming he is being smeared with “guilt by association.” But they worked together at the Woods Fund. The Wall Street Journal has added substantially to our knowledge by describing in great detail Obama’s work over five years with Ayers on the board of the Chicago Annenberg Challenge, a non-profit Ayers designed to push a radical agenda on public school children. As Stanley Kurtz states: “…the issue here isn’t guilt by association; it’s guilt by participation. As CAC chairman, Mr. Obama was lending moral and financial support to Mr. Ayers and his radical circle. That is a story even if Mr. Ayers had never planted a single bomb 40 years ago.”

Also included in the mix is John and Theresa Heinz Kerry’s favorite charity, the Tides Foundation. A partial list of Tides grants tells you all you need to know: ACLU, ACORN, Center for American Progress, Center for Constitutional Rights (a communist front,) CAIR, Earth Justice, Institute for Policy Studies (KGB spy nest), National Lawyers Guild (oldest communist front in U.S.), People for the Ethical Treatment of Animals (PETA), and practically every other radical group there is. ACORN’s Wade Rathke runs a Tides subsidiary, the Tides Center. No wonder Kerry, Kennedy et al love Obama. Just one big happy family.

Carl Davidson and the New Party

We have heard about Bomber Bill, but we hear little about fellow SDS member Carl Davidson. According toDiscover the Networks, Davidson was an early supporter of Barack Obama and a prominent member of Chicago’s New Party, a synthesis of CPUSA members, Socialists, ACORN veterans and other radicals. Obama sought and received the New Party’s endorsement, and they assisted with his campaign. The New Party also developed a strong relationship with ACORN. As an excellent article on the New Party observes: “Barack Obama knew what he was getting into and remains an ideal New Party candidate.”

George Soros

The chart also suggests one reason for George Soros’ fervent support of Obama. The President of his Open Society Institute is Aryeh Neier, founder of the radical Students for a Democratic Society (SDS). As mentioned above, three other former SDS members had extensive contact with Obama: Bill Ayers, Carl Davidson and Wade Rathke. Surely Aryeh Neier would have heard of the promising new politician from his former colleagues. More to the point, Neier is firmly committed to supporting the hugely successful radical organization, ACORN, and would be certain back their favored candidate, Barack Obama. Soros is a natural suspect in this fiasco as he has made all his ill-gotten gains short-selling on national disaster. The extent of his dirty dealings is worthy of its own book.

ACORN

Obama has spent a large portion of his professional life working for ACORN or its subsidiaries, representing ACORN as a lawyer on some of its most critical issues, and training ACORN leaders. Stanley Kurtz’s excellent National Review article, “Inside Obama’s Acorn.” also describes Obama’s ACORN connection in detail. But I can’t improve on Obama’s own words:

I’ve been fighting alongside ACORN on issues you care about my entire career (emphasis added). Even before I was an elected official, when I ran Project Vote voter registration drive in Illinois, ACORN was smack dab in the middle of it, and we appreciate your work. — Barack Obama, Speech to ACORN, November 2007 (Courtesy Newsmax.)

In another excellent article on Obama’s ACORN connections, Newsmax asks a nagging question:

It would be telling to know if Obama, during his years at Columbia, had occasion to meet Cloward and study the Cloward-Piven Strategy.

I will put it more bluntly: Barack Obama is fully aware of the Cloward-Piven strategy and has actively worked to achieve its goals for most of his adult life.

I ask you, is it possible ACORN would train Obama to take leadership positions within ACORN without telling him what he was training for? Is it possible ACORN would put Obama in leadership positions without clueing him into what his purpose was?? Is it possible that this most radical of organizations would put someone in charge of training its trainers, without him knowing what it was he was training them for???

As a community activist for ACORN; as a leadership trainer for ACORN; as a lead organizer for ACORN’s Project Vote; as an attorney representing ACORN’s successful efforts to impose Motor Voter regulations in Illinois; as ACORN’s representative in lobbying for the expansion of high risk housing loans through Fannie Mae and Freddie Mac that led to the current crisis; as a recipient of their assistance in his political campaigns – both with money and campaign workers; it is inconceivable that he was unaware of ACORN’s true goals. It is inconceivable he was unaware of the Cloward-Piven Strategy.

Fast-forward to 2005 when an obsequious, servile and scraping Daniel Mudd, CEO of Fannie Mae spoke at the Congressional Black Caucus swearing in ceremony for newly-elected Illinois Senator, Barack Hussein Obama. Mudd called, the Congressional Black Caucus “our family” and “the conscience of Fannie Mae.”

In 2005, Republicans sought to reign in Fannie and Freddie. Senator John McCain was at the forefront of that effort. But it failed due to an intense lobbying effort put forward by Fannie and Freddie.

In his few years as a U.S. senator, Obama has received campaign contributions of $126,349, from Fannie and Freddie, second only to the $165,400 received by Senator Chris Dodd, who has been getting donations from them since 1988. What makes Obama so special?

His closest advisers are a dirty laundry list of individuals at the heart of the financial crisis: former Fannie Mae CEO Jim Johnson; Former Fannie Mae CEO and former Clinton Budget Director Frank Raines; and billionaire failed Superior Bank of Chicago Board Chair Penny Pritzker.

Johnson had to step down as adviser on Obama’s V.P. search after this gem came out:

An Office of Federal Housing Enterprise Oversight (OFHEO) report[1] from September 2004 found that, during Johnson’s tenure as CEO, Fannie Mae had improperly deferred $200 million in expenses. This enabled top executives, including Johnson and his successor, Franklin Raines, to receive substantial bonuses in 1998.[2] A 2006 OFHEO report[3] found that Fannie Mae had substantially under-reported Johnson’s compensation. Originally reported as $6-7 million, Johnson actually received approximately $21 million.

Obama denies ties to Raines but the Washington Post calls him a member of “Obama’s political circle.” Raines and Johnson were fined $3 million by the Office of Federal Housing Oversight for their manipulation of Fannie books. The fine is small change however, compared to the $50 million Raines was able to obtain in improper bonuses as a result of juggling the books. To add insult to injury, the $3 million fine was paid with Fannie Mae’s insurance fund.

Most significantly, Penny Pritzker, the current Finance Chairperson of Obama’s presidential campaign, helped develop the complicated investment bundling of subprime securities at the heart of the meltdown. She did so in her position as owner and board chair of Superior Bank. The Bank failed in 2001, one of the largest in recent history, wiping out $50 million in life savings of the bank’s approximately 1,400 customers. She was named in a RICO class action law suit but doesn’t seem to have come out of it too badly.

As a young attorney in the 1990s, Barack Obama represented ACORN in Washington in their successful efforts to expand Community Reinvestment Act (CRA) authority. In addition to making it easier for ACORN groups to force banks into making risky loans, this also paved the way for banks like Superior to package mortgages as investments, and for the Government Sponsored Enterprises Fannie Mae and Freddie Mac to underwrite them. These changes created the conditions that ultimately lead to the current financial crisis.

Did they not know this would occur? Were these smart people, led by a Harvard graduate, unaware of the Econ 101 concept of moral hazard that would result from the government making implicit guarantees to underwrite private sector financial risk? They should have known that freeing the high-risk mortgage market of risk, calamity was sure to ensue. I think they did.

Barack Obama, the Cloward-Piven candidate, no matter how he describes himself, has been a radical activist for most of his political career. That activism has been in support of organizations and initiatives that at their heart seek to tear the pillars of this nation asunder in order to replace them with their demented socialist vision. Their influence has spread so far and so wide that despite their blatant culpability in the current financial crisis, they are able to manipulate Capital Hill politicians to cut them into $140 billion of the bailout pie!

God grant those few responsible yet remaining in Washington, DC the strength to prevent this massive fraud from occurring. God grant them the courage to stand up in the face of this Marxist tidal wave.

Jim Simpson is a former White House staff economist and budget analyst. His writings have been published in American ThinkerWashington Times, FrontPage MagazineDefenseWatchSoldier of Fortune and others. His blog is Truth and Consequences.

You can access the other parts of the Cloward-Piven series of articles by James Simpson at the American Daughter Media Center which also includes versions of these articles in Word Document format for downloading and re-printing.

The Cloward-Piven Strategy, Part I: Manufactured Crisis 
The Cloward-Piven Strategy, Part I — print copy
The Cloward-Piven Strategy, Part II: Barack Obama and the Strategy of Manufactured Crisis
The Cloward-Piven Strategy, Part II — print copy
The Cloward-Piven Strategy, Part III: Conspiracy of the Lemmings 
The Cloward-Piven Strategy, Part III — print copy

http://www.teapartyconnect.com/102/the-cloward-piven-strategy-explained/

 

Cloward–Piven strategy

From Wikipedia, the free encyclopedia

The Cloward–Piven strategy is a political strategy outlined in 1966 by American sociologists and political activists Richard Cloward and Frances Fox Piven that called for overloading the U.S. public welfare system in order to precipitate a crisis that would lead to a replacement of the welfare system with a national system of “a guaranteed annual income and thus an end to poverty”. Cloward and Piven were a married couple who were both professors at the Columbia University School of Social Work. The strategy was formulated in a May 1966 article in liberal[1] magazine The Nation titled “The Weight of the Poor: A Strategy to End Poverty”.[2]

The two stated that many Americans who were eligible for welfare were not receiving benefits, and that a welfare enrollment drive would strain local budgets, precipitating a crisis at the state and local levels that would be a wake-up call for the federal government, particularly the Democratic Party. There would also be side consequences of this strategy, according to Cloward and Piven. These would include: easing the plight of the poor in the short-term (through their participation in the welfare system); shoring up support for the national Democratic Party then-splintered by pluralistic interests (through its cultivation of poor and minority constituencies by implementing a national “solution” to poverty); and relieving local governments of the financially and politically onerous burdens of public welfare (through a national “solution” to poverty)[citation needed].

 

 

The strategy

Cloward and Piven’s article is focused on forcing the Democratic Party, which in 1966 controlled the presidency and both houses of the United States Congress, to take federal action to help the poor. They stated that full enrollment of those eligible for welfare “would produce bureaucratic disruption in welfare agencies and fiscal disruption in local and state governments” that would “deepen existing divisions among elements in the big-city Democratic coalition: the remaining white middle class, the working-class ethnic groups and the growing minority poor. To avoid a further weakening of that historic coalition, a national Democratic administration would be constrained to advance a federal solution to poverty that would override local welfare failures, local class and racial conflicts and local revenue dilemmas.”[3] They wrote:

The ultimate objective of this strategy—to wipe out poverty by establishing a guaranteed annual income—will be questioned by some. Because the ideal of individual social and economic mobility has deep roots, even activists seem reluctant to call for national programs to eliminate poverty by the outright redistribution of income.[3]

Michael Reisch and Janice Andrews wrote that Cloward and Piven “proposed to create a crisis in the current welfare system – by exploiting the gap between welfare law and practice – that would ultimately bring about its collapse and replace it with a system of guaranteed annual income. They hoped to accomplish this end by informing the poor of their rights to welfare assistance, encouraging them to apply for benefits and, in effect, overloading an already overburdened bureaucracy.”[4]

Focus on Democrats

The authors pinned their hopes on creating disruption within the Democratic Party. “Conservative Republicans are always ready to declaim the evils of public welfare, and they would probably be the first to raise a hue and cry. But deeper and politically more telling conflicts would take place within the Democratic coalition,” they wrote. “Whites – both working class ethnic groups and many in the middle class – would be aroused against the ghetto poor, while liberal groups, which until recently have been comforted by the notion that the poor are few… would probably support the movement. Group conflict, spelling political crisis for the local party apparatus, would thus become acute as welfare rolls mounted and the strains on local budgets became more severe.”[5]

Reception and criticism

Howard Phillips, chairman of The Conservative Caucus, was quoted in 1982 as saying that the strategy could be effective because “Great Society programs had created a vast army of full-time liberal activists whose salaries are paid from the taxes of conservative working people.”[6]

Liberal commentator Michael Tomasky, writing about the strategy in the 1990s and again in 2011, called it “wrongheaded and self-defeating”, writing: “It apparently didn’t occur to [Cloward and Piven] that the system would just regard rabble-rousing black people as a phenomenon to be ignored or quashed.”[7]

Impact of the strategy

In papers published in 1971 and 1977, Cloward and Piven argued that mass unrest in the United States, especially between 1964 and 1969, did lead to a massive expansion of welfare rolls, though not to the guaranteed-income program that they had hoped for.[8]Political scientist Robert Albritton disagreed, writing in 1979 that the data did not support this thesis; he offered an alternative explanation for the rise in welfare caseloads.

In his 2006 book Winning the Race, political commentator John McWhorter attributed the rise in the welfare state after the 1960s to the Cloward–Piven strategy, but wrote about it negatively, stating that the strategy “created generations of black people for whom working for a living is an abstraction.”[9]

According to historian Robert E. Weir in 2007, “Although the strategy helped to boost recipient numbers between 1966 and 1975, the revolution its proponents envisioned never transpired.”[10]

Some commentators have blamed the Cloward–Piven strategy for the near-bankruptcy of New York City in 1975.[11][12]

Conservative commentator Glenn Beck referred to the Cloward-Piven Strategy often on his Fox News television show, Glenn Beck, during its run from 2009 to 2011, reiterating his opinion that it had helped to inspire President Barack Obama‘s economic policy. On February 18, 2010, for example, Beck said, “you’ve got total destruction of wealth coming … It’s the final phase of the Cloward-Piven strategy, which is collapse the system.”[13]

Richard Kim, writing in 2010 in The Nation (in which the original essay appeared), called such assertions “a reactionary paranoid fantasy …” but says that “the left’s gut reaction upon hearing of it–to laugh it off as a Scooby-Doo comic mystery–does nothing to blunt its appeal or limit its impact.”[14] The Nation later stated that Beck blames the “Cloward-Piven Strategy” for “the financial crisis of 2008, healthcare reform, Obama’s election and massive voter fraud” and has resulted in the posting of much violent and threatening rhetoric by users on Beck’s website, including death threats against Frances Fox Piven.[15] For her part, Piven vigorously continues to defend the original idea, calling its conservative interpretation “lunatic”.[16]

References

  1. Jump up^ Peters, Jeremy W. (November 7, 2010). “Bad News for Liberals May Be Good News for a Liberal Magazine”The New York Times. Retrieved June 17, 2010.
  2. Jump up^ Cloward, Richard; Piven, Frances (May 2, 1966). “The Weight of the Poor: A Strategy to End Poverty”. (Originally published in The Nation).
  3. Jump up to:a b Cloward and Piven, p. 510
  4. Jump up^ Reisch, Michael; Janice Andrews (2001). The Road Not Taken. Brunner Routledge. pp. 144–146. ISBN 1-58391-025-5.
  5. Jump up^ Cloward and Piven, p. 516
  6. Jump up^ Robert Pear (1984-04-15). “Drive to Sign Up Poor for Voting Meets Resistance”. The New York Times.
  7. Jump up^ Glenn Beck and Fran Piven, Michael Tomasky, Michael Tomasky’s BlogThe Guardian, January 24, 2011
  8. Jump up^ Albritton, Robert (December 1979). Social Amelioration through Mass Insurgency? A Reexamination of the Piven and Cloward Thesis. American Political Science Review. JSTOR 1953984.
  9. Jump up^ McWhorter, John, “John McWhorter: How Welfare Went Wrong“, NPR, August 9, 2006.
  10. Jump up^ Weir, Robert (2007). Class in America. Greenwood Press. p. 616. ISBN 978-0-313-33719-2.
  11. Jump up^ Chandler, Richard, “The Cloward–Piven strategy“, The Washington Times, October 15, 2008
  12. Jump up^ Frances Fox Piven: Glenn Beck Seeks ‘Foreign, Dark-Skinned, Intellectual’ Scapegoats, Kyle Olson, BigGovernment.com, February 8, 2010
  13. Jump up^ Beck, Glenn (February 18, 2010). “Study Says We’re Toast”.
  14. Jump up^ Kim, Richard (April 12, 2010). “The Mad Tea Party”The Nation.
  15. Jump up^ “Glenn Beck Targets Frances Fox Piven”The Nation. February 7, 2011.
  16. Jump up^ Piven, F.F. (2011) Crazy Talk and American Politics: or, My Glenn Beck StoryThe Chronicle of Higher Education (The Chronicle Review) 57(25), B4-B5.

http://en.wikipedia.org/wiki/Cloward%E2%80%93Piven_strategy

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The Coming Stock Market Crash and Recession? The End of American As You Know It? — Videos

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Story 1: Obama’s Era of Austerity is Over — Let The Big Spending Beginning — President Is Delusional Suffers From Spending Addiction Disorder (SAD) — Videos

 Congressional Budget Office’s newest reports

45086-land-Figure1

In the past few years, debt held by the public has been significantly greater relative to GDP than at any time since just after World War II, and under current law it will continue to be quite high by historical standards during the next decade. With debt so large, federal spending on interest payments will increase substantially as interest rates rise to more typical levels. Moreover, because federal borrowing generally reduces national saving, the capital stock and wages will be smaller than if debt was lower. In addition, lawmakers would have less flexibility than they otherwise would to use tax and spending policies to respond to unanticipated challenges. Finally, such a large debt poses a greater risk of precipitating a fiscal crisis, during which investors would lose so much confidence in the government’s ability to manage its budget that the government would be unable to borrow at affordable rates.

http://cbo.gov/publication/45086

Federal Budget Deficits Are Projected to Decline Through 2015 but Rise Thereafter, Further Boosting Federal Debt

posted by Barry Blom & Leigh Angres on february 20, 2014

CBO recently released The Budget and Economic Outlook: 2014 to 2024. In that report, CBO projects that if current laws remain in place, the federal budget deficit will total $514 billion in fiscal year 2014. That deficit will be $166 billion smaller than the figure posted in 2013 and down sharply from the shortfalls recorded between 2009 and 2012, which exceeded $1 trillion annually. At 3.0 percent of gross domestic product (GDP), this year’s deficit would be near the average experienced over the past 40 years and about 7 percentage points lower than the figure recorded in 2009.

Today’s post summarizes CBO’s assessment of the budget outlook over the next decade. Three more posts—to appear over the next several days—will provide more detail about the outlook for spending, revenues, and the economy. One more post will expand upon CBO’s economic forecast, explaining the reasons behind the slow recovery of the labor market.

Under Current Law, Federal Debt Will Grow to 79 Percent of GDP at the End of 2024, CBO Estimates

CBO constructs it baseline projections of federal revenues and spending over the coming decade under the assumption that current laws generally remain unchanged. Under that assumption, revenues are projected to grow by about 1 percentage point of GDP over the next 10 years—from 17.5 percent in 2014 to 18.4 percent in 2024. But outlays are projected to rise twice as much, from 20.5 percent of GDP in 2014 to 22.4 percent in 2024. The increase in outlays reflects substantial growth in the cost of the largest benefit programs—Social Security, Medicare, and Medicaid—and in payments of interest on the government’s debt; those increases would more than offset a significant decline in discretionary spending relative to the size of the economy.

Although the deficit in CBO’s baseline projections continues to decline as a percentage of GDP in 2015, to 2.6 percent, it then starts to increase again in 2016, reaching 4.0 percent of GDP in 2024. That figure for the end of the 10-year projection period is roughly 1 percentage point above the average deficit over the past 40 years relative to the size of the economy.

That pattern of lower deficits initially, followed by higher deficits for the remainder of the projection period, would cause debt held by the public to follow a similar trajectory (see the figure below). Relative to the nation’s output, debt held by the public is projected to decline from 74 percent of GDP in 2014 to 72 percent of GDP in 2017, but to rise thereafter, to 79 percent of GDP at the end of 2024. (As recently as the end of 2007, debt held by the public was equal to 35 percent of GDP.)

Federal Debt Held by the Public

In the past few years, debt held by the public has been significantly greater relative to GDP than at any time since just after World War II, and under current law it will continue to be quite high by historical standards during the next decade. With debt so large, federal spending on interest payments will increase substantially as interest rates rise to more typical levels. Moreover, because federal borrowing generally reduces national saving, the capital stock and wages will be smaller than if debt was lower. In addition, lawmakers would have less flexibility than they otherwise would to use tax and spending policies to respond to unanticipated challenges. Finally, such a large debt poses a greater risk of precipitating a fiscal crisis, during which investors would lose so much confidence in the government’s ability to manage its budget that the government would be unable to borrow at affordable rates. (For a discussion of the consequences of elevated debt, see CBO’s December 2013 report Choices for Deficit Reduction: An Update.)

Projected Deficits Reflect Substantial Growth in the Cost of the Largest Benefit Programs

Projected deficits and debt for the coming decade reflect some of the long-term budgetary pressures facing the nation. The aging of the population, the rising costs of health care, and the expansion in federal subsidies for health insurance that is now under way will substantially boost federal spending on Social Security and the government’s major health care programs by 2 percentage points of GDP over the next 10 years (see the figure below). But the pressures of aging and the rising costs of health care will intensify during the next few decades. Unless the laws governing those programs are changed—or the increased spending is accompanied by corresponding reductions in other spending relative to GDP, by sufficiently higher tax revenues, or by a combination of those changes—debt will rise sharply relative to GDP after 2024. (For a more detailed discussion of the long-term budget situation, see CBO’s September 2013 report The 2013 Long-Term Budget Outlook.)

Spending and Revenues Projected in CBO's Baseline, Compared With Levels in 1974

Moreover, holding discretionary spending within the limits required under current law—an assumption that underlies these projections—may be quite difficult. The caps on discretionary budget authority established by the Budget Control Act of 2011 (Public Law 112-25) and subsequently amended will reduce such spending to an unusually small amount relative to the size of the economy. With those caps in place, CBO projects, discretionary spending will equal 5.2 percent of GDP in 2024; by comparison, the lowest share for discretionary spending in any year since 1962 (the earliest year for which such data have been reported) was 6.0 percent in 1999. (Nevertheless, total federal spending would be a larger share of GDP than its average during the past 40 years because of higher spending on Social Security, Medicare, Medicaid, other health insurance subsidies for low-income people, and interest payments on the debt.) Because the allocation of discretionary spending is determined by annual appropriation acts, lawmakers have not yet decided which specific government services and benefits will be reduced or constrained to meet the specified overall limits.

The Budget Outlook for the Coming Decade Has Worsened Since May 2013

The baseline budget outlook has worsened since May 2013, when CBO last published its 10-year projections. A description of the changes in CBO’s baseline since May 2013 can be found in Appendix A of the report. At that time, deficits projected under current law totaled $6.3 trillion for the 2014–2023 period, or about 3 percent of GDP. Deficits are now projected to be about $1 trillion larger. The bulk of that change occurred in CBO’s estimates of revenues: The agency has reduced its projection of total revenues by $1.6 trillion, mostly because of changes in the economic outlook. A decrease of $0.6 trillion in projected outlays through 2023 partially offset that change.

Barry Blom is an analyst in CBO’s Budget Analysis Division and Leigh Angres is special assistant to the CBO Director.

how_congress_spends_your_money

Bar Chart Data Source: Monthly Treasury Statement (MTS) published by the U. S. Treasury Department. WE DON’T MAKE THIS UP! IT COMES FROM THE U. S. GOVERNMENT! NO ADJUSTMENTS.

The MTS published in October, reports the final actual expenditures for the previous FY. This chart shows FY2013 actual spending data. Here is the link to download your own copy from the Treasury Department web site.

The chart normally shows the proposed budget line for the next fiscal year (FY2014 started 1 October 2013), but the two-year deal for 2014-2015 signed in December 2013, has so few details that showing a “budget” for 2014 or 2015 is no possible. And now Congress has passed the Appropriations (spending) bill that funds the budget through end of FY2014. The details are in a 1500+ page bill that no one in Congress read. But you CAN read it. Here it is H.R.3547 – Consolidated Appropriations Act, 2014. (it’s a large pdf document … give it time.)

But we may have an option; we will use the historical tables published by the OMB, about mid-FY2014, take the data from the “estimated” 2014 column. Look for it later.

The Congressional Budget Office reported on the Federal Debt and the Risk of a Financial Crisis in this report on the non-budget.

Look at the bar chart to find items that are growing and items that are being reduced. The largest growth is at the Department of Agriculture; it handles Food Stamps (SNAP). You pay taxes, your money is paying for food stamps.

- – – – – – -

Here is a MUST SEE … The Budget in Pictures!

NDAC studies the Budget Proposals submitted to the U.S. Senate each year by the President of the United States and the House of Representatives. One of the documents that goes along with the budget proposals, “Historical Tables“, is published by the Office of Management and Budget (OMB). Our analysis is discussed on the home page of this web site.

http://www.federalbudget.com/chartinfo.html

Out-of-Control Spending Is to Blame for America’s Deficit Problem

Federal spending is projected to grow at a rapid pace beyond the 10-year budget window. Without reforms, spending on interest on the debt, health care programs (Medicare, Medicaid, Obamacare, etc.), and Social Security will reach unsustainable levels. As a result, these spending levels will cause exploding deficits as tax revenues will be at their modern average level (1952-2008).

americas-deficit-federal-spending-680

Where Does All the Money Go?

In 2012, the major entitlement programs-Social Security, Medicare, Medicaid, and other health care-consumed 45 percent of all federal spending. These programs, and interest on the debt, are on track to consume an even greater share of spending in future years, while the portion of federal spending dedicated to other national priorities will decline.

SHARE OF FEDERAL SPENDING IN 2012

where-did-your-tax-dollar-go-680

Entitlement Program Spending Is Massive

Annual spending on Social Security, Medicare, Medicaid, and other health programs is massive compared to other federal spending priorities. There is too much waste and inappropriate spending in the discretionary budget as well, but Congress will not be able to rein in spending and debt without reforming the entitlement programs.

ESTIMATED ANNUAL SPENDING IN 2014

spending-cuts-680

Publicly Held Debt Set to Skyrocket

Runaway spending on Medicare, Medicaid, and Social Security will drive federal debt to unsustainable levels over the next few decades. Total national debt comprises publicly held debt (the most relevant to credit markets) and debt that one part of the government owes to another, such as the Social Security Trust Fund.

national-debt-skyrocket-680

All Tax Revenue Will Go Toward Entitlements and Net Interest by 2030

In less than two decades, all projected tax revenues would be consumed by three federal programs (Medicare, Social Security, and Medicaid, which includes CHIP and Obamacare) and interest on the debt. Entitlement reform is a must.

entitlements-historical-tax-levels-680

What if a Typical Family Spent and Borrowed Like the Federal Government?

Families understand that it is unwise to repeatedly spend much more than they take in. But Washington continues its shopping spree on the taxpayer credit card with seemingly no regard to the stack of bills the nation has already piled up.

typical-family-spent-like-government-680

debt-limit-by-president-680

The Beatles – Taxman

How Obama could kill the Democratic Party

The Price of a U.S. Credit Rating Downgrade

U.S. deficit to decline, then rise as labor market struggles: CBO

Top 10 MILITARY BUDGETS

America : DHS preparing for possible Riots / Martial Law on Nov 1st over Food Stamps

With 2015 budget request, Obama will call for an end to era of austerity

By Zachary A. Goldfarb

President Obama’s forthcoming budget request will seek tens of billions of dollars in fresh spending for domestic priorities while abandoning a compromise proposal to tame the national debt in part by trimming Social Security benefits.

With the 2015 budget request, Obama will call for an end to the era of austerity that has dogged much of his presidency and to his efforts to find common ground with Republicans. Instead, the president will focus on pumping new cash into job training, early-childhood education and other programs aimed at bolstering the middle class, providing Democrats with a policy blueprint heading into the midterm elections.

As part of that strategy, Obama will jettison the framework he unveiled last year for a so-called grand bargain that would have raised taxes on the rich and reined in skyrocketing retirement spending. A centerpiece of that framework was a proposal — demanded by GOP leaders — to use a less-generous measure of inflation to calculate Social Security benefits.

The idea infuriated Democrats and never gained much traction with rank-and-file Republicans, who also were unwilling to contemplate tax increases of any kind. On Thursday, administration officials said that the grand-bargain framework remains on the table but that it was time to move on.

“Over the course of last year, Republicans consistently showed a lack of willingness to negotiate on a deficit-reduction deal, refusing to identify even one unfair tax loophole they would be willing to close,” said a White House official, speaking on the condition of anonymity to describe the budget before its official release. “That is not going to stop the president from promoting new policies that should be part of our public debate.”

Republicans said emerging details of the president’s budget prove he was never serious about addressing the nation’s long-term debt problems.

“This reaffirms what has become all too apparent: the president has no interest in doing anything, even modest, to address our looming debt crisis,” Brendan Buck, a spokesman for House Speaker John A. Boehner (R-Ohio), said in a statement. “The one and only idea the president has to offer is even more job-destroying tax hikes, and that non-starter won’t do anything to save the entitlement programs that are critical to so many Americans.”

The new budget request, due out March 4, comes during a relative lull in Washington’s lengthy budget wars. Late last year, Congress approved a two-year spending plan negotiated by the chairmen of the House and Senate Budget committees, Rep. Paul Ryan (R-Wis.) and Sen. Patty Murray (D-Wash.), that would ease automatic cuts, known as the sequester, that were eating away at agency spending. And this month, Congress agreed to forgo another battle over the federal debt limit, voting to suspend its enforcement until March 2015.

The lack of conflict is due in part to the collapse of the deficit as a political issue. While annual budget deficits remain high by historical standards, they have shrunken rapidly over the past few years as the economy recovered and Congress acted to cut spending.

The latest estimates from the nonpartisan Congressional Budget Office show the deficit falling to$514 billion this year and to $478 billion in fiscal 2015 — well below the trillion-dollar deficits the nation racked up during the recession and immediately afterward. But the CBO warned that deficits would start to grow again in a few years.

n recognition of that fact, Obama would retain some parts of his grand-bargain framework, including a proposal to require wealthy seniors to pay more for Medicare benefits than they do now. White House officials said the president continues to believe that entitlement programs such as Medicare and Social Security must be reformed to be sustainable.

Meanwhile, Obama would fully pay for proposed new spending in his budget request, administration officials said, including $56 billion for what they called “Opportunity, Growth and Security Initiative.” The package, which would be split between domestic programs and defense, will include fresh cash for 45 new manufacturing institutes; a “Race to the Top” for states that promote energy efficiency; new job training programs and apprenticeships; and expanded educational programs for pre­schoolers.

White House officials declined to say Thursday how they would fund the initiative. But Obama has in the past proposed limiting the value of income-tax deductions for wealthy households and closing a variety of corporate tax breaks.

A senior administration official said the budget would also propose new corporate tax rules aimed at preventing companies from moving profits overseas to avoid U.S. taxes. For instance, the rules will seek to limit a company’s ability to borrow domestically — and take large tax deductions on the interest — and then invest the money overseas.

Prohibiting corporations from gaming the tax code has been a popular issue among Senate Democrats and would help emphasize bread-and-butter themes in a year when Democrats will also be focusing on raising the minimum wage and other populist measures.

“President Obama’s budget will be a powerful statement of Democratic principles,” Senate Majority Leader Harry M. Reid (D-Nev.) said in a statement.

Senior administration officials said they decided to chart a more partisan, aspirational path after Republicans failed to respond to the olive branch offered last year. Then, after two years of near-misses on the budget in negotiations with Boehner, Obama still believed a deal was possible.

Now, they said, the president is not so optimistic. And he believes it is up to Republicans to make the next move.

At the same time, the nation’s debt problem has become markedly less urgent, they said, leading the president to back away from the most controversial part of his debt-reduction framework — the proposal to adopt a new measure of inflation known as the chained consumer price index, or chained CPI.

Although other cost-cutting proposals could yet cause tensions within his party, Obama’s decision not to include chained CPI in his budget request immediately won praise from Democrats.

“I applaud President Obama for his important decision to protect Social Security,” Sen. Bernard Sanders, the liberal independent from Vermont, said in a statement. “With the middle class struggling and more people living in poverty than ever before, we cannot afford to make life even more difficult for seniors and some of the most vulnerable people in America.”

Officials said Obama’s budget request will include other nuggets of note. For example, it assumes that an overhaul of the nation’s immigration laws will pass Congress despite deep divisions in Republican ranks. It also assumes that a sharp, but somewhat mysterious slowdown in health-care spending will continue throughout the next decade.

As a result, the White House projects that annual budget deficits will fall below 2 percent of gross domestic product by the end of the decade. That outlook is much rosier than CBO projections, which show the deficit rising to 4 percent of GDP in 2024.

http://www.washingtonpost.com/business/economy/with-2015-budget-request-obama-will-call-for-an-end-to-era-of-austerity/2014/02/20/332808c2-9a6e-11e3-b931-0204122c514b_story.html

Obama’s “End of Austerity” Budget Is Incoherent

Kevin Glass

President Obama’s legally-required but constantly-delayed official budget request to Congress will be on Capitol Hill soon. The Washington Post reportsthat “Obama will call for an end to the era of austerity that has dogged much of his presidency.” There is much wrong with this worldview.

The only coherent way in which “austerity” has defined much of President Obama’s presidency is one in which America faced a once-in-a-generation economic crisis that President Obama himself responded to by massively ramping up federal spending over the course of his first few years in office. That increase in federal spending was combined with below-average tax revenue to create massive budget deficits that everyone, including President Obama, agreed were a problem.

In accordance with the general principles of Keynesian economics, Barack Obama enacted policies that cut the deficit as we continue to climb back out of the 2008 recession. Now, though, President Obama thinks the deficit is no longer a problem – so it’s time to increase it.

If I were a self-absorbed “fact checker” I’d rate this claim half-true. We’ve largely tamed the medium-term deficit through a mixture of tax hikes and spending cuts. Taming the deficit doesn’t mean that it won’t be a problem in the future – and indeed, the Congressional Budget Office’s newest reports confirm that the deficit should still rate highly on the problems that policymakers should be looking to solve.

The CBO’s long-term budget report finds that the deficit will dip in 2014 and 2015 but then will start rising – and will never stop due to our increasing health and retirement obligations. The CBO reports on why that’s bad:

In the past few years, debt held by the public has been significantly greater relative to GDP than at any time since just after World War II, and under current law it will continue to be quite high by historical standards during the next decade. With debt so large, federal spending on interest payments will increase substantially as interest rates rise to more typical levels. Moreover, because federal borrowing generally reduces national saving, the capital stock and wages will be smaller than if debt was lower. In addition, lawmakers would have less flexibility than they otherwise would to use tax and spending policies to respond to unanticipated challenges. Finally, such a large debt poses a greater risk of precipitating a fiscal crisis, during which investors would lose so much confidence in the government’s ability to manage its budget that the government would be unable to borrow at affordable rates.

It’s absurd that anyone would need to have a refresher on this, but apparently it’s needed: more debt is worse than less debt!

The CBO also confirms what has become even more apparent in the wake of Obamacare: the federal government is becoming less of a traditional government and more of a social insurance state, as more and more spending will go toward health and retirement entitlements, as well as the mere cost of servicing debt:

As Jonathan Chait points out, as a practical political reality, fighting the rise of our retirement obligations has about a ten-year lag time. It’s impractical to change the structure of retirement benefits – both Social Security and Medicare – for current and near-future beneficiaries. We need to get started on reforms now.

President Obama may want to put an end to the “era of austerity,” but it’s an era that he explicitly pushed for through his rhetoric, his desire for tax hikes and his compromises on spending cuts. The medium-term deficit might be under control, but that doesn’t mean fighting future deficits should no longer be a priority for policymakers.

http://townhall.com/tipsheet/kevinglass/2014/02/21/obamas-end-of-austerity-budget-is-incoherent-n1798636

Obama budget declares end to … austerity?

Say, did you know that we are living in the age of austerity budgets in Washington? This year’s budget will spend more than last year’s $3.44 trillion, but not as much as Barack Obama requested for FY2014, which was an apparently austere $3.778 trillion. Nevertheless, the Washington Post reports that a newly-emboldened President will demandan end to an “era of austerity” that we haven’t seen in decades with his new FY2015 budget proposal:

President Obama’s forthcoming budget request will seek tens of billions of dollars in fresh spending for domestic priorities while abandoning a compromise proposal to tame the national debt in part by trimming Social Security benefits.

With the 2015 budget request, Obama will call for an end to the era of austerity that has dogged much of his presidency and to his efforts to find common ground with Republicans. Instead, the president will focus on pumping new cash into job training, early-childhood education and other programs aimed at bolstering the middle class, providing Democrats with a policy blueprint heading into the midterm elections. …

Republicans said emerging details of the president’s budget prove he was never serious about addressing the nation’s long-term debt problems.

“This reaffirms what has become all too apparent: the president has no interest in doing anything, even modest, to address our looming debt crisis,” Brendan Buck, a spokesman for House Speaker John A. Boehner (R-Ohio), said in a statement. “The one and only idea the president has to offer is even more job-destroying tax hikes, and that non-starter won’t do anything to save the entitlement programs that are critical to so many Americans.”

The new budget request, due out March 4, comes during a relative lull in Washington’s lengthy budget wars. Late last year, Congress approved a two-year spending plan negotiated by the chairmen of the House and Senate Budget committees, Rep. Paul Ryan (R-Wis.) and Sen. Patty Murray (D-Wash.), that would ease automatic cuts, known as the sequester, that were eating away at agency spending. And this month, Congress agreed to forgo another battle over the federal debt limit, voting to suspend its enforcement until March 2015.

So what will be the top-line number for the FY2015 budget that will end this “era of austerity”? Actually, the Post doesn’t report the top-line outlay number, and the OMB doesn’t have the budget request available on the White House portal yet. One presumes that ending austerity means a demand north of the $3.498 trillion that House Republicans proposed in their budget plan from late last year. It may just be an additional $56 billion over the actual FY2014 levels, which would make it far below his FY2014 proposed budget.

Let’s take a look at all that austerity in the Obama presidency, shall we? Heritage produced this handy graphic in the middle of last year, but it’s very useful now:

heritage-fed-spending

Outlays for FY2014 authorized in the recent budget deal are still a bit ambiguous in the reams of data from both Congress and the White House, but CBO estimates it at $3.54 trillion. At that level, we are spending 9.3% more in FY2014 than in FY2008, the last budget signed by George W. Bush (Democrats stalled the FY2009 budget with continuing resolutions until Obama signed an omnibus bill in March 2009 to complete that budget).If the new budget ends “austerity” by returning to Obama’s original top-line outlay demand of last year’s budget request, that will mean an additional increase of federal spending of 6.7% in just one year. If it’s just $56 billion more than the actual FY2014 outlays, then the notion that this ends “austerity” is doubly laughable.

The notion that we’ve been laboring under an “era of austerity” is as ridiculous and out of touch as … well, as most of Obama’s budget requests during his presidency. This one has just as much chance of being enacted, too. The Post suggests that Democrats can use this to beat up Republicans on the campaign trail, but the GOP can easily parry that with this question: “Do you really believe Washington deserves a 6.7% raise after ObamaCare?” Good luck winning on this issue.

http://hotair.com/archives/2014/02/21/obama-budget-declares-end-to-austerity/

Obama budget could be costly to Dems

By Chris Stirewalt

OBAMA BUDGET COULD BE COSTLY TO DEMS
The White House is teasing the president’s soon-to-be released blueprint for the next federal fiscal year. In a nod to his core liberal supporters, the president has dropped a prior nod to entitlement fixes, so-called “chained CPI,” a change in how to calculate the size of future increases to Social Security and other programs. The president is sucking up to his political base, the members of which consider the current trajectory for future hikes to be sacrosanct. That’s pretty good politics, especially since Obama did not seem particularly enthused about the idea before and that there is zero chance that this budget or any budget will be passed this election year. Republicans may be harrumphing about the president’s “unserious” approach to the debt, but it’s not like they thought otherwise before. Nor will the House GOP budget be anything more than pipe dreams. Poof!

You call that austerity? – Many pixels are being slaughtered to discuss the president’s irrelevant budget. Why? Partly, it’s because reporters salivate over anything that looks exclusive or new in a city where governing goes to die. Here in the great gridlock desert, this stuff may pass for news. But also because liberals are excited to see their champion drop the smokescreen of deficit concern. The prevailing Democratic wisdom is that deficits don’t matter and that Republicans ought to shut up about them. The WaPo enthused: “With the 2015 budget request, Obama will call for an end to the era of austerity that has dogged much of his presidency and to his efforts to find common ground with Republicans.” Austerity? The federal government continues to spend way more than it takes in and outlays in the Obama era have increased. From 2009 through 2012, the administration spent about $3.5 trillion a year. The approximate federal spending for the fiscal year that ended in October was $3.62 trillion. The estimate for the current year: $3.78 trillion. The Greeks would love to get some austerity like that.

Unicorns, rainbows and midterms - The WaPo goes on to say that instead of worrying about deficits, “…the president will focus on pumping new cash into job training, early-childhood education and other programs aimed at bolstering the middle class, providing Democrats with a policy blueprint heading into the midterm elections… The lack of conflict is due in part to the collapse of the deficit as a political issue. While annual budget deficits remain high by historical standards, they have shrunken rapidly over the past few years as the economy recovered and Congress acted to cut spending.” Wait. What? A Fox News Poll at the end of January showed that more voters said the federal deficit and Social Security outranked terrorism, foreign policy, guns and immigration as the most important issues for the government. Only the economy and health care were higher on the list of voter concerns. Nothing come close to those two, but do Democrats really think that they are off the hook for being the party of more borrowing and spending? Just because Republicans scampered away from the last debt limit lift fight doesn’t mean this isn’t potent stuff. If Democrats believe that borrowing more than half-a-trillion dollars can be turned into a political plus, they must be back to smoking Hopium. And remember, we haven’t even heard about all of the new taxes that the president will propose. Democrats are marching forward with the banner of bigger government aloft at precisely the moment Americans are fed up with ObamaCare the last big government initiative the Obama Democrats bequeathed them.

http://www.foxnews.com/politics/2014/02/21/obama-budget-could-be-costly-to-dems/

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Democrats Lose 50 Year War on Poverty Start 100 Year War on Work: Millennial Moocher Mania — Grow The Government Shrink The Economy and Employment! — Progressive Permanent Poverty People — Videos Videos

Posted on February 10, 2014. Filed under: American History, Babies, Blogroll, Books, Business, College, Comedy, Communications, Crime, Culture, Demographics, Diasters, Economics, Education, Federal Government, Federal Government Budget, Fiscal Policy, Foreign Policy, Fraud, government spending, Health Care, history, Homes, Inflation, Investments, IRS, Language, Law, liberty, Life, Links, Literacy, media, Medicine, Obamacare, People, Philosophy, Photos, Politics, Press, Private Sector, Public Sector, Radio, Rants, Raves, Talk Radio, Tax Policy, Taxes, Unemployment, Unions, Video, Wealth, Wisdom, Writing | Tags: , , , , , , , , , , , , , , , |

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The Pronk Pops Show Podcasts

Pronk Pops Show 207: February 10, 2014

Pronk Pops Show 206: February 7, 2014

Pronk Pops Show 205: February 5, 2014

Pronk Pops Show 204: February 4, 2014

Pronk Pops Show 203: February 3, 2014

Pronk Pops Show 202: January 31, 2014

Pronk Pops Show 201: January 30, 2014

Pronk Pops Show 200: January 29, 2014

Pronk Pops Show 199: January 28, 2014

Pronk Pops Show 198: January 27, 2014

Pronk Pops Show 197: January 24, 2014

Pronk Pops Show 196: January 22, 2014

Pronk Pops Show 195: January 21, 2014

Pronk Pops Show 194: January 17, 2014

Pronk Pops Show 193: January 16, 2014

Pronk Pops Show 192: January 14, 2014

Pronk Pops Show 191: January 13, 2014

Pronk Pops Show 190: January 10, 2014

Pronk Pops Show 189: January 9, 2014

Pronk Pops Show 188: January 8, 2014

Pronk Pops Show 187: January 7, 2014

Pronk Pops Show 186: January 6, 2014

Pronk Pops Show 185: January 3, 2014

Pronk Pops Show 184: December 19, 2013

Pronk Pops Show 183: December 17, 2013

Pronk Pops Show 182: December 16, 2013

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Story 1: Democrats Lose 50 Year War on Poverty Start 100 Year War on Work: Millennial Moocher Mania — Grow The Government Shrink The Economy and Employment! — Progressive Permanent Poverty People — Videos   Videos

entitlements

CBO_Impact_Obamacare_Employmentjob_impact

CBO_Labor_Participation_Rate

fiscal_policy_unstainablecbo_job_report

obama-economy-jobs-debt-deficit-political-cartoon-new-normal

cartoon_obamacare

obamacare_work_killer

obamacare_admitting

obamacare_impact

n0nh6p-ramirez.jobsdeathpanelobamacare_web_designercreating part time jobs

beeler_class_warfare_full

Appendix C: Labor Market Effect of Affordable Care Act: Updated Estimates

Insurance Coverage Provisions of the Affordable Care Act— CBO’s February 2014 Baseline

Table 1. CBO’s May 2013 Estimate of the Effects of the Affordable Care Act on Health Insurance Coverage

Obamacare and jobs reports: Health care law could cost more than 2 million jobs

Casey Mulligan: Eroding incentives is damaging

W.H. defends Obamacare amid CBO findings

Obamacare ACA Impact On Workforce Why Work? Special Report All Star Panel

CBO Director to Congress: Obamacare Will Reduce Unemployment Rate

Hayes Admits CBO Obamacare Report ‘Not Some Right Wing Attack’

Obama Admin On CBO Report: You’re Now Free To “Work Or Not Work”, Thanks Obamacare – Stuart Varney

CBO Director: Obamacare creates ‘disincentive’ to work

Casey Mulligan – Affordable Care and the Labor Market

Casey Mulligan, PhD, Professor of Economics, University of Chicago
“Affordable Care and the Labor Market”
October 16, 2013
MacLean Center Seminar Series 2013-2014, Ethical Issues in Health Care Reform

15 Poverty and Welfare Programs

Public Economics and Finance – Social Insurance Programs

Public Economics and Finance – Social Insurance Programs Continued and Welfare Programs

Charles Murray: Why America is Coming Apart Along Class Lines

Uncommon Knowledge: White America Is ‘Coming Apart’

In Depth with Charles Murray

Appendix C: Labor Market Effect of Affordable Care Act: Updated Estimates

Insurance Coverage Provisions of the Affordable Care Act— CBO’s February 2014 Baseline

Table 1. CBO’s May 2013 Estimate of the Effects of the Affordable Care Act on Health Insurance Coverage

The Economist Who Exposed ObamaCare

The Chicago professor examined the law’s incentives for the poor not to get a job or work harder, and this week Beltway budgeteers agreed.

By JOSEPH RAGO

In September, two weeks before the Affordable Care Act was due to launch, President Obama declared that “there’s no serious evidence that the law . . . is holding back economic growth.” As for repealing ObamaCare, he added, “That’s not an agenda for economic growth. You’re not going to meet an economist who says that that’s a number-one priority in terms of boosting growth and jobs in this country—at least not a serious economist.”

In a way, Mr. Obama had a point: “Never met him,” says economist Casey Mulligan. If the unfamiliarity is mutual, the confusion is all presidential. Mr. Mulligan studies how government choices influence the incentives and rewards for work—and many more people may recognize the University of Chicago professor as a serious economist after this week. That’s because, more than anyone, Mr. Mulligan is responsible for the still-raging furor over the Congressional Budget Office’s conclusion that ObamaCare will, in fact, harm growth and jobs.

Unaffordable_Careless_Act

Rarely are political tempers so raw over an 11-page appendix to a dense budget projection for the next decade. But then the CBO—Congress’s official fiscal scorekeeper, widely revered by Democrats and Republicans alike as the gold standard of economic analysis—reported that by 2024 the equivalent of 2.5 million Americans who were otherwise willing and able to work before ObamaCare will work less or not at all as a result of ObamaCare.

As the CBO admits, that’s a “substantially larger” and “considerably higher” subtraction to the labor force than the mere 800,000 the budget office estimated in 2010. The overall level of labor will fall by 1.5% to 2% over the decade, the CBO figures.

Mr. Mulligan’s empirical research puts the best estimate of the contraction at 3%. The CBO still has some of the economics wrong, he said in a phone interview Thursday, “but, boy, it’s a lot better to be off by a factor of two than a factor of six.”

The CBO’s intellectual conversion is all the more notable for accepting Mr. Mulligan’s premise, which is that what economists call “implicit marginal tax rates” in ObamaCare make work less financially valuable for lower-income Americans. Because the insurance subsidies are tied to income and phase out as cash wages rise, some people will have the incentive to remain poorer in order to continue capturing higher benefits. Another way of putting it is that taking away benefits has the same effect as a direct tax, so lower-income workers are discouraged from climbing the income ladder by working harder, logging extra hours, taking a promotion or investing in their future earnings through job training or education.

The CBO works in mysterious ways, but its commentary and a footnote suggest that two National Bureau of Economic Research papers Mr. Mulligan published last August were “roughly” the most important drivers of this revision to its model. In short, the CBO has pulled this economist’s arguments and analysis from the fringes to center of the health-care debate.

For his part, Mr. Mulligan declines to take too much credit. “I’m not an expert in that town, Washington,” he says, “but I showed them my work and I know they listened, carefully.”

At a February 2013 hearing he pointed out several discrepancies between the CBO’s marginal-tax-rate work and its health-care work, and, he says, “That couldn’t persist forever. There would have to be a time where they would reconcile those two approaches somehow.” More to the point, “I knew eventually it would be acknowledged that when you pay people for being low income you are going to have more low-income people.”

Mr. Mulligan thinks the CBO deserves particular credit for learning and then revising the old 800,000 number, not least because so many liberals cited it to dispute the claims of ObamaCare’s critics. The new finding might have prompted a debate about the marginal tax rates confronting the poor, but—well, it didn’t.

Instead, liberals have turned to claiming that ObamaCare’s missing workers will be a gift to society. Since employers aren’t cutting jobs per se through layoffs or hourly take-backs, people are merely choosing rationally to supply less labor. Thanks to ObamaCare, we’re told, Americans can finally quit the salt mines and blacking factories and retire early, or spend more time with the children, or become artists.

Mr. Mulligan reserves particular scorn for the economists making this “eliminated from the drudgery of labor market” argument, which he views as a form of trahison des clercs. “I don’t know what their intentions are,” he says, choosing his words carefully, “but it looks like they’re trying to leverage the lack of economic education in their audience by making these sorts of points.”

A job, Mr. Mulligan explains, “is a transaction between buyers and sellers. When a transaction doesn’t happen, it doesn’t happen. We know that it doesn’t matter on which side of the market you put the disincentives, the results are the same. . . . In this case you’re putting an implicit tax on work for households, and employers aren’t willing to compensate the households enough so they’ll still work.” Jobs can be destroyed by sellers (workers) as much as buyers (businesses).

He adds: “I can understand something like cigarettes and people believe that there’s too much smoking, so we put a tax on cigarettes, so people smoke less, and we say that’s a good thing. OK. But are we saying we were working too much before? Is that the new argument? I mean make up your mind. We’ve been complaining for six years now that there’s not enough work being done. . . . Even before the recession there was too little work in the economy. Now all of a sudden we wake up and say we’re glad that people are working less? We’re pursuing our dreams?”

The larger betrayal, Mr. Mulligan argues, is that the same economists now praising the great shrinking workforce used to claim that ObamaCare would expand the labor market.

He points to a 2011 letter organized by Harvard’s David Cutler and the University of Chicago’s Harold Pollack, signed by dozens of left-leaning economists including Nobel laureates, stating “our strong conclusion” that ObamaCare will strengthen the economy and create 250,000 to 400,000 jobs annually. (Mr. Cutler has since qualified and walked back some of his claims.)

“Why didn’t they say, no, we didn’t mean the labor market’s going to get bigger. We mean it’s going to get smaller in a good way,” Mr. Mulligan wonders. “I’m unhappy with that, to be honest, as an American, as an economist. Those kind of conclusions are tarnishing the field of economics, which is a great, maybe the greatest, field. They’re sure not making it look good by doing stuff like that.”

Mr. Mulligan’s investigation into the Affordable Care Act builds on his earlier work studying the 2009 Recovery and Reinvestment Act, aka the stimulus.

The Keynesian economists who dominate Mr. Obama’s Washington are preoccupied by demand, and their explanation for persistently high post-recession unemployment is weak demand for goods and thus demand for labor. Mr. Mulligan, by contrast, studies the supply of labor and attributes the state of the economy in large part to the expansion of the entitlement and welfare state, such as the surge in food stamps, unemployment benefits, Medicaid and other safety-net programs. As these benefits were enriched and extended to more people by the stimulus, he argues in his 2012 book “The Redistribution Recession,” they were responsible for about half the drop in work hours since 2007, and possibly more.

The nearby chart tracks marginal tax rates over time for nonelderly household heads and spouses with median earnings. This index is a population-weighted average over various ages, jobs, employment decisions like full-time versus part-time. Basically, the chart shows the extra taxes paid and government benefits foregone as a result of earning an extra dollar of income.

The stimulus caused a spike in marginal rates, but at least it was temporary. ObamaCare will bring them permanently into the 47% range, or seven percentage points higher than in early 2007. Mr. Mulligan says the main response to his calculations is that people “didn’t realize the cumulative effect of these things together as a package to discourage work.”

Mr. Mulligan is uncomfortable speculating about whether the benefits of this shift outweigh the costs. Perhaps the public was willing to trade market efficiency for more income security after the 2008 crisis. “As an economist I can’t argue with that,” he says. “The thing that I argue with is the denial that there is a trade-off. I argue with the denial that if you pay unemployed people you’re going to get more unemployed people. There are consequences of that. That doesn’t mean the consequences aren’t worth paying. But you can’t deny the consequences for the labor market.”

One major risk is slower economic growth over time as people leave the workforce and contribute less to national prosperity. Another is that social programs with high marginal rates end up perpetuating the problems they’re supposed to be alleviating.

So amid the current wave of liberal ObamaCare denial about these realities, how did Mr. Mulligan end up conducting such “unconventional” research?

“Unconventional?” he asks with more than a little disbelief. “It’s not unconventional at all. The critique I get is that it’s not complicated enough.”

Well, then how come the CBO’s adoption of his insights is causing such a ruckus?

“I would phrase the question a little differently,” Mr. Mulligan responds, “which is: Why didn’t conventional economic analysis make its way to Washington? Why was I the only delivery boy? Why wasn’t there a laundry list?” The charitable explanation, he says, is that there was “a general lack of awareness” and economists simply didn’t realize everything that government was doing to undermine incentives for work. “You have to dig into it and see it,” he explains. “The Affordable Care Act’s not going to come and shake you out of your bed and say, ‘Look what’s in me.’ “

Judging by their reaction to the CBO report, the less charitable explanation is that liberals would have preferred that the public never found out.

Mr. Rago is a member of the Journal’s editorial board.

Lawmakers Spar Over CBO’s U.S. Health-Law Findings

Questions Over Impact on Workforce Create ‘Hysteria’ on Capitol Hill

A new report outlining the effect of the Affordable Care Act on the labor market continued to reverberate on Capitol Hill Wednesday, with lawmakers in both parties saying the findings bolstered their view of how the law would play out.

Republicans at a House Budget Committee hearing said the report, released Tuesday, shows the health law will drive people out of the work force. Democrats countered that the report shows the law will give workers flexibility to leave jobs they are locked into because of health-care benefits.

The sparring came in response to a Congressional Budget Office analysis concluding that subsidies in the law, combined with easier access to health care, would create incentives for many Americans to cut their work hours, leading to a net reduction of 1.5% to 2% from 2017 through 2024. This would be the equivalent of reducing the labor force by 2.5 million workers in 2024, the CBO found.

“The effects we estimated are almost entirely choices by people,” CBO Director Douglas Elmendorf said at the hearing. He said, for example, that the labor changes wouldn’t be driven by employers cutting jobs, but rather workers deciding to cut back on their hours to take care of their children, parents, or to pursue other interests.

The report struck a chord in Washington. Rep. Hakeem Jeffries (D., N.Y.) said at the hearing that the analysis by CBO, a nonpartisan agency that advises Congress, had caused “hysteria.”

Many Republicans said the CBO confirmed their long-held belief that the law would have a direct impact on the labor market and harm economic growth. They said it would expedite the decline in labor-force participation, which is expected to worsen in coming years as more aging Americans drop out of the work force.

“These changes—they disproportionately affect low-wage workers,” House Budget Committee Chairman Paul Ryan (R., Wis.) said. “Translation: Washington is making the poverty trap worse.”

Democrats on Wednesday said the study confirmed their belief that the law would free many Americans from a phenomenon known as “job lock,” or the idea that people don’t change their jobs for fear of losing their health benefits.

“More Americans will be able to voluntarily, choose—choose—to work fewer hours or not take a job because they don’t depend on that job any more for the provision of health insurance,” Rep. Chris Van Hollen (D., Md.) said. “Before the Affordable Care Act, if you lost your job, you lost your health insurance.”

Mr. Elmendorf stressed that the law’s impact on the labor market could be difficult to predict. He agreed, for example, with one Republican lawmaker who said that by reducing the number of hours worked by many Americans, it would reduce overall wages and lower the amount of money people paid in taxes from 2017 through 2024.

But he also agreed with a Democratic lawmaker who said the law could—in the short-term—create some new jobs by freeing up disposable income from workers who previously had to set aside money for health coverage.

The law’s impact on the labor market has drawn the focus of researchers since it was passed, in part because the law makes so many changes to health-care delivery that its broader economic impacts have proved difficult to predict.

A 2013 study by researchers at Northwestern University, Columbia University and the University of Chicago estimated the Affordable Care Act’s impact could be particularly acute, including among Americans who are near retirement and hang on to jobs to retain health care before they qualify for Medicare at age 65.

The study found the new law “creates a nonemployer option for health insurance that is going to be fairly priced for a large number of Americans, and that hasn’t been available,” said Craig Garthwaite, an assistant professor at Northwestern’s Kellogg School of Management, and one of the study’s co-authors.

But he said there is a trade-off to the broader access to health care, and said “there should be some pause for concern here about any policies that actually weaken labor-force attachment.”

http://online.wsj.com/news/articles/SB10001424052702304181204579364933406260084?mg=reno64-wsj&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB10001424052702304181204579364933406260084.html

Health Law To Cut Into Labor Force

CBO Report Forecasts More People Will Opt to Work Less as They Seek Coverage Through Affordable Care Act

By LOUISE RADNOFSKY and DAMIAN PALETTA

The new health law is projected to reduce the total number of hours Americans work by the equivalent of 2.3 million full-time jobs in 2021, a bigger impact on the workforce than previously expected, according to a nonpartisan congressional report.

The analysis, by the Congressional Budget Office, says a key factor is people scaling back how much they work and instead getting health coverage through the Affordable Care Act. The agency had earlier forecast the labor-force impact would be the equivalent of 800,000 workers in 2021.

Because the CBO estimated that the changes would be a result of workers’ choices, it said the law, President Barack Obama‘s signature initiative, wouldn’t lead to a rise in the unemployment rate. But the labor-force impact could slow growth in future years, though the precise impact is uncertain.

Social programs in the United States

From Wikipedia, the free encyclopedia

The Social Security Administration, created in 1935, was the first major federal welfare agency and continues to be the most prominent.[1]

Social programs in the United States are welfare subsidies designed to aid the needs of the U.S. population. Proposals for federal programs began with Theodore Roosevelt‘s New Nationalism and expanded with Woodrow Wilson‘s New FreedomFranklin D. Roosevelt‘sNew DealJohn F. Kennedy‘s New Frontier, and Lyndon B. Johnson‘s Great Society.

The programs vary in eligibility requirements and are provided by various organizations on a federal, state, local and private level. They help to provide food, shelter, education, healthcare and money to U.S. citizens through primary and secondary education, subsidies of college education, unemployment disability insurance, subsidies for eligible low-wage workers, subsidies for housing, Supplemental Nutrition Assistance Program benefits, pensions for eligible persons and health insurance programs that cover public employees. The Social Security system is the largest and most prominent social aid program.[1][2] Medicare is another prominent program.

Not including Social Security and Medicare, Congress allocated almost $717 billion in Federal funds in 2010 plus $210 billion was allocated in state funds ($927 billion total) for means tested welfare programs in the United States–later (after 2010) expenditures are unknown but higher.[3] As of 2011, the public social spending-to-GDP ratio in the United States was below the OECD average.[4]

Total Social Security and Medicare expenditures in 2013 were $1.3 trillion, 8.4% of the $16.3 trillion GNP (2013) and 37% of the total Federal expenditure budget of $3.684 trillion.[5][6]

In addition to government expenditures private welfare spending in the United States is thought to be about 10% of the U.S. GDP or another $1.6 trillion.[7]

Analysis

Household Characteristics

[hide]Characteristics of Households by Quintile 2010[8]

Household Income
Bracket
0-20% 21-40% 41-60% 61-80% 81-100%
Earners Per Household 0.42 0.90 1.29 1.70 1.97
Marital Status
Married couples (%) 17.0 35.9 48.8 64.3 78.4
Single Parents or Single (%) 83.0 64.1 51.2 35.7 21.6
Ages of Householders
Under 35 23.3 24 24.5 21.8 14.6
36-64 years 43.6 46.6 55.4 64.3 74.7
65 years + 33.1 29.4 20.1 13.9 10.7
Work Status householders (%)
Worked Full Time (%) 17.4 44.7 61.1 71.5 77.2
Worked Part Time (%) 14.3 13.3 11.1 9.8 9.5
Did Not Work (%) 68.2 42.1 27.8 17.7 13.3
Education of Householders (%)
Less than High School 26.7 16.6 8.8 5.4 2.2
High School or some College 61.2 65.4 62.9 58.5 37.6
Bachelor’s degree or Higher 12.1 18.0 28.3 36.1 60.3
Source: U.S. Census Bureau

Social programs have been implemented to promote a variety of societal goals, including alleviating the effects of poverty on those earning or receiving low income or encountering serious medical problems, and ensuring retired people have a basic standard of living.

Unlike in Europe, Christian democratic and social democratic theories have not played a major role in shaping welfare policy in the United States.[9] Entitlement programs in the U.S. were virtually non-existent until the administration of Franklin Delano Roosevelt and the implementation of the New Deal programs in response to the Great Depression. Between 1932 and 1981, modern American liberalism dominated U.S. economic policy and the entitlements grew along with American middle class wealth.[10]

Eligibility for welfare benefits depends on a variety of factors, including gross and net income, family size, pregnancy, homelessness, unemployment, and serious medical conditions like blindness, kidney failure or AIDS.

Drug Testing for applicants

Drug testing in order for potential recipients to receive welfare has become an increasingly controversial topic. Richard Hudson, a Republican from North Carolina claims he pushes for drug screening as a matter of “moral obligation” and that testing should be enforced as a way for the United States government to discourage drug usage. [11] Others claim that ordering the needy to drug test “stereotypes, stigmatizes, and criminalizes” them without need. [12] States that currently require drug tests to be performed in order to receive public assistance include ArizonaFloridaGeorgiaMissouriOklahomaTennessee, and Utah.[13]

Demographics of TANF Recipients

A chart showing the overall decline of average monthly welfare benefits (AFDC then TANF) per recipient 1962–2006 (in 2006 dollars).[14]

Some have argued that welfare has come to be associated with poverty. Martin Gilens, assistant professor of Political Science at Yale University, argues that blacks have overwhelmingly dominated images of poverty over the last few decades and states that “white Americans with the most exaggerated misunderstandings of the racial composition of the poor are the most likely to oppose welfare”.[15][16] This perception possibly perpetuates negative racial stereotypes and could increase Americans’ opposition and racialization of welfare policies.[15]

In FY 2010, African-American families comprised 31.9% of TANF families, white families comprised 31.8%, and 30.0% were Hispanic.[17] Since the implementation of TANF, the percentage of Hispanic families has increased, while the percentages of white and black families have decreased. In FY 1997, African-American families represented 37.3% of TANF recipient families, white families 34.5%, and Hispanic families 22.5%.[18] The population as a whole is composed of 63.7% whites, 16.3% Hispanic, 12.5% African-American, 4.8% Asian and 2.9% other races.[19] TANF programs at a cost of about $20.0 billion (2013) have decreased in use as Earned Income Tax CreditsMedicaid grants, food stamps (SNAP),Supplemental Security Income (SSI), child nutrition programs (CHIP), housing assistance, Feeding Programs (WIC & CSFP) along with about 70 more programs have increase to over $700.0 billion more in 2013.[20]

Costs

In 2002, total U.S. social welfare expenditure constitutes over 35% of GDP, with purely public expenditure constituting 21%, publicly supported but privately provided welfare services constituting 10% of GDP and purely private services constituting 4% of GDP. This compared to the “welfare” states of France and Sweden where welfare spending ranges from 30% to 35% of GDP.[21][22]

The Great Recession made a large impact on welfare spending. In a 2011 article, Forbes reported, “The best estimate of the cost of the 185 federal means tested welfare programs for 2010 for the federal government alone is $717 billion, up a third since 2008, according to the Heritage Foundation. Counting state spending of about $210 million, total welfare spending for 2010 reached over $920 billion, up nearly one-fourth since 2008 (24.3%)”–and increasing fast.[23] The previous decade had seen a 60% decrease in the number of people receiving welfare benefits,[24] beginning with the passage of the Personal Responsibility and Work Opportunity Act, but spending did not decrease proportionally during that time period.

Impact of social programs

[hide]Average Incomes and Taxes
CBO Study 2009*[25]

Households
by Income
Market
Income1
Federal
Transfers 2
Income +
Transfers
Avg Federal
Tax rate %3
Federal
Taxes $4
% Federal
Taxes Pd. 5
#W6 % Net
Income7
0-20% 7,600 22,900 30,500 1.0 200 0.3 0.42 6.2
21-40% 30,100 14,800 45,000 6.8 2,900 3.8 0.90 11.1
41-60% 54,200 10,400 64,600 11.1 7,200 9.4 1.29 15.8
61-80% 86,400 7,100 93,500 15.1 14,100 18.3 1.70 21.6
80-100 218,800 6,000 224,800 23.2 51,900 67.9 1.97 47.2
Source: Congressional Budget Office Study[25]
1. Market Income = All wages, tips, incomes etc. as listed on Income tax form
2. Federal Transfers = all EITC, CTC, medicaid, food stamps (SNAP), Social Security, SSI etc. received
3. Average tax rate includes all Social Security, Medicare, income, business income, excise, etc. taxes.
4. Net Federal taxes paid in dollars
5. Percent of all federal taxes paid
6. #W = Average number of workers per household in this quintile
7. % Net Income = percentage of all national income each quintile receives after taxes and transfers.

According to the Congressional Budget Office, social programs significantly raise the standard of living for low-income Americans, particularly the elderly. The poorest 20% of American households earn a before-tax average of only $7,600 – less than half of the federal poverty line. Social programs increase those households’ before-tax income to $30,500. Social Security and Medicare are responsible for two-thirds of that increase.[25]

History

Public Health nursing made available through child welfare services, 1935.

Federal Social Welfare programs

Colonial legislatures and later State governments adopted legislation patterned after the English “poor” laws. Aid to veterans, often free grants of land, and pensions for widows and handicapped veterans, have been offered in all U.S. wars. Following World War I, provisions were made for a full-scale system of hospital and medical care benefits for veterans. By 1929, workers’ compensation laws were in effect in all but four States. These state laws made industry and businesses responsible for the costs of compensating workers or their survivors when the worker was injured or killed in connection with his or her job. Retirement programs for mainly State and local government paid teachers, police officers, and fire fighters—date back to the 19th century. All these social programs were far from universal and varied considerably from one state to another.

Prior to the Great Depression the United States had social programs that mostly centered around individual efforts, family efforts, church charities, business workers compensation, life insurance and sick leave programs along with some state tax supported social programs. The misery and poverty of the great depression threatened to overwhelm all these programs. The severe Depression of the 1930s made Federal action almost a necessity, as neither the States and the local communities, businesses and industries, nor private charities had the financial resources to cope with the growing need among the American people. Beginning in 1932, the Federal Government first made loans, then grants, to States to pay for direct relief and work relief. After that, special Federal emergency relief like the Civilian Conservation Corps and other public works programs were started. In 1935, President Franklin D. Roosevelt‘s administration proposed to Congress federal social relief programs and a federally sponsored retirement program. Congress followed by the passage of the 37 page Social Security Act, signed into law August 14, 1935 and “effective” by 1939–just as World War II began. This program was expanded several times over the years.

War on Poverty and Great Society programs (1960s)

Further information: War on Poverty and Great Society

After the Great Society legislation of the 1960s, for the first time a person who was not elderly or disabled could receive need-based aid from the federal government.[26][dubious – discuss] Aid could include general welfare payments, health care through Medicaidfood stamps, special payments for pregnant women and young mothers, and federal and state housing benefits.[26]

In 1968, 4.1% of families were headed by a woman receiving welfare assistance; by 1980, the percentage increased to 10%.[26] In the 1970s, California was the U.S. state with the most generous welfare system.[27] Virtually all food stamp costs are paid by the federal government.[28] In 2008, 28.7 percent of the households headed by single women were considered poor.[29]

Welfare reform (1990s)

Before the Welfare Reform Act of 1996, welfare assistance was “once considered an open-ended right,” but welfare reform converted it “into a finite program built to provide short-term cash assistance and steer people quickly into jobs.”[30] Prior to reform, states were given “limitless”[30] money by the federal government, increasing per family on welfare, under the 60-year-old Aid to Families with Dependent Children (AFDC) program.[31] This gave states no incentive to direct welfare funds to the neediest recipients or to encourage individuals to go off welfare benefits (the state lost federal money when someone left the system).[32] Nationwide, one child in seven received AFDC funds,[31] which mostly went to single mothers.[28]

In 1996, under the Bill Clinton administrationCongress passed the Personal Responsibility and Work Opportunity Reconciliation Act, which gave more control of the welfare system to the states though there are basic requirements the states need to meet with regards to welfare services. Still, most states offer basic assistance, such as health care, food assistance, child care assistance, unemployment, cash aid, and housing assistance. After reforms, which President Clinton said would “end welfare as we know it,”[28]amounts from the federal government were given out in a flat rate per state based on population.[32]

Each state must meet certain criteria to ensure recipients are being encouraged to work themselves out of welfare. The new program is called Temporary Assistance for Needy Families (TANF).[31] It encourages states to require some sort of employment search in exchange for providing funds to individuals, and imposes a five-year lifetime limit on cash assistance.[28][24][31] The bill restricts welfare from most legal immigrants and increased financial assistance for child care.[24] The federal government also maintains an emergency $2 billion TANF fund to assist states that may have rising unemployment.[31]

President Bill Clinton signing welfare reform legislation.

Following these changes, millions of people left the welfare rolls (a 60% drop overall),[24] employment rose, and the child poverty rate was reduced.[28] A 2007 Congressional Budget Office study found that incomes in affected families rose by 35%.[24] The reforms were “widely applauded”[33] after “bitter protest.”[28] The Times called the reform “one of the few undisputed triumphs of American government in the past 20 years.”[34]

Critics of the reforms sometimes point out that the massive decrease of people on the welfare rolls during the 1990s wasn’t due to a rise in actual gainful employment in this population, but rather, was due almost exclusively to their offloading into workfare, giving them a different classification than classic welfare recipient. The late 1990s were also considered an unusually strong economic time, and critics voiced their concern about what would happen in an economic downturn.[28]

National Review editorialized that the Economic Stimulus Act of 2009 will reverse the welfare-to-work provisions that Bill Clinton signed in the 1990s, and will again base federal grants to states on the number of people signed up for welfare rather than at a flat rate.[32] One of the experts who worked on the 1996 bill said that the provisions would lead to the largest one-year increase in welfare spending in American history.[34] The House bill provides $4 billion to pay 80% of states’ welfare caseloads.[31] Although each state received $16.5 billion annually from the federal government as welfare rolls dropped, they spent the rest of the block grant on other types of assistance rather than saving it for worse economic times.[30]

[hide]Spending on largest Welfare Programs
Federal Spending 2003-2013*[35]

Federal
Programs
Spending
2003*
Spending
2013*
Medicaid Grants to States $201,389 $266,565
Food Stamps (SNAP) 61,717 82,603
Earned Income Tax Credit (EITC) 40,027 55,123
Supplemental Security Income (SSI) 38,315 50,544
Housing assistance 37,205 49,739
Child Nutrition Program (CHIP) 13,558 20,842
Support Payments to States, TANF 28,980 20,842
Feeding Programs (WIC & CSFP) 5,695 6,671
Low Income Home Energy Assistance 2,542 3,704
Notes:
* Spending in millions of dollars

Timeline

The following is a short timeline of welfare in the United States:[36]

1880s–1890s: Attempts were made to move poor people from work yards to poor houses if they were in search of relief funds.

1893–1894: Attempts were made at the first unemployment payments, but were unsuccessful due to the 1893–1894recession.

1932: The Great Depression had gotten worse and the first attempts to fund relief failed. The “Emergency Relief Act”, which gave local governments $300 million, was passed into law.

1933: In March 1933, President Franklin D. Roosevelt pushed Congress to establish the Civilian Conservation Corps.

1935: The Social Security Act was passed on June 17, 1935. The bill included direct relief (cash, food stamps, etc.) and changes for unemployment insurance.

1940: Aid to Families With Dependent Children (AFDC) was established.

1964: Johnson’s War on Poverty is underway, and the Economic Opportunity Act was passed. Commonly known as “the Great Society

1996: Passed under Clinton, the “Personal Responsibility and Work Opportunity Reconciliation Act of 1996″ becomes law.

2013: Affordable Care Act goes into effect with large increases in Medicaid and subsidized medical insurance premiums go into effect.

Types of social programs

Means tested Social Programs

[hide]79 Means Tested Programs in U.S. (2011)[37]

Programs Federal
Spending*
State
Spending*
Total
Spending*
TOTAL cost in (billions) (2011) $717 $210 $927
Social Security OASDI (2013) $785
Medicare(2013) $574
TOTAL all programs (billions) $2,287
============================ ======= ====== ======
CASH ASSISTANCE (millions)
SSI/Old Age Assistance 56,462.00 4,673.00 61,135.00
Earned Income Tax Credit
(refundable portion)
55,652.00 55,652.00
Refundable Child Credit 22,691.00 22,691.00
Make Work Pay Tax Credit
(Refundable Portion)
13,905.00 13,905.00
Temporary Assistance for Needy Families
(TANF, old AFDC)
6,882.89 6,876.86 13,759.74
Foster Care Title IVE 4,456.00 3,921.28 8,377.28
Adoption Assistance Title IVE 2,362.00 1,316 3,678.00
General Assistance Cash 2,625.00 2,625.00
Refugee Assistance 167.86 167.86
General Assistance to Indians 115.00 115.00
Assets for Independence 24.00 24.00
CASH TOTAL 162,717.75 19,412.14 182,129.88
MEDICAL
Medicaid 274,964.00 157,600.00 432,564.00
SCHIP State Supplemental
Health Insurance Program
8,629.00 3,796.76 12,425.76
Medical General Assistance 6,965.90 6,965.90
Consolidated Health Center
/Community Health Centers
1,481.00 1,481.00
Maternal & Child Health 656.00 492.00 1,148.00
Medical Assistance to Refugees 167.86 167.86
Healthy Start 104.00 104.00
MEDICAL TOTAL 289,816.86 168,854.66 458,671.52
FOOD
Food Stamps, SNAP 77,637.00 6,987.33 84,624.33
School Lunch Program 10,321.00 10,321.00
WIC Women, Infant and
Children Food Program
6,787.00 6,787.00
School Breakfast 3,076.00 3,076.00
Child Care Food Program 2,732.00 2,732.00
Nutrition Program for the
Elderly, Nutrition Service Incentives
820.00 139.40 959.40
Summer Program 376.00 376.00
Commodity Supplemental Food Program 196.00 196.00
TEFAP Temporary
Emergency Food Program
247.00 247.00
Needy Families 60.00 60.00
Farmers’ Market Nutrition Program 23.00 23.00
Special Milk Program 13.00 13.00
FOOD TOTAL 102,288.00 7,126.73 109,414.73
HOUSING
Section 8 Housing (HUD) 28,435.00 28,435.00
Public Housing (HUD) 8,973.00 8,973.00
Low Income Housing
Tax Credit for Developers
6,150.00 6,150.00
Home Investment
Partnership Program (HUD)
2,853.00 2,853.00
Homeless Assistance
Grants (HUD)
2,280.00 2,280.00
State Housing Expenditures (from SWE) 2,085.00 2,085.00
Rural Housing Insurance
Fund (Agriculture)
1,689.00 1,689.00
Rural Housing
Service (Agriculture)
1,085.00 1,085.00
Housing for the Elderly (HUD) 934.00 934.00
Native American
Housing Block Grants (HUD)
854.00 854.00
Other Assisted Housing
Programs (HUD)
496.00 496.00
Housing for Persons
with Disabilities (HUD)
309.00 309.00
HOUSING TOTAL 54,058.00 2,085.00 56,143.00
ENERGY AND UTILITIES
LIHEAP Low Income Home
Energy Assistance
4,419.00 4,419.00
Universal Service Fund
Subsidized Low Income Phone Service
1,750.00 1,750.00
Weatherization 234.00 234.00
ENERGY AND UTILITIES TOTAL 6,403.00 6,403.00
EDUCATION
Pell Grants 41,458.00 41,458.00
Title One Grants to
Local Education Authorities
14,472.00 14,472.00
21st Century Learning Centers 1,157.00 1,157.00
Special Programs for
Disadvantaged (TRIO)
883.00 883.00
Supplemental Education
Opportunity Grants
740.00 740.00
Adult Basic Education Grants 607.00 607.00
Migrant Education 444.00 444.00
Gear-Up 303.00 303.00
LEAP Formerly State Student
Incentive Grant Program (SSIG)
1.00 1.00
Education for Homeless
Children and Youth
65.00 65.00
Even Start 4.00 4.00
Aid for Graduate and Professional
Study for Disadvantaged and Minorities
41.00 41.00
EDUCATION TOTAL 60,175.00 60,175.00
TRAINING
TANF Work Activities and Training 2,504.90 831.93 3,336.83
Job Corps 1,659.00 1,659.00
WIA Youth Opportunity Grants
Formerly Summer Youth Employment
946.00 946.00
Senior Community Service Employment 705.00 77.55 782.55
WIA Adult Employment and Training
formerly JTPA IIA Training for
Disadvantaged Adults & Youth
766.00 766.00
Food Stamp Employment
and Training Program
393.00 166.00 559.00
Foster Grandparents 104.00 10.40 114.40
YouthBuild 110.00 110.00
Migrant Training 85.00 85.00
Native American Training 52.00 52.00
TRAINING TOTAL 7,324.90 1,085.88 8,410.78
SERVICES
TANF Block Grant Services 5,385.12 4,838.13 10,223.25
Title XX Social Services Block Grant 1,787.00 1,787.00
Community Service Block Grant 678.00 678.00
Social Services for
Refugees Asylees and Humanitarian Cases
417.28 417.28
Safe and Stable Families 553.00 553.00
Title III Aging Americans Act 369.00 369.00
Legal Services Block Grant 406.00 406.00
Family Planning 298.00 298.00
Emergency Food and Shelter Program 48.00 48.00
Healthy Marriage and
Responsible Fatherhood Grants
50.00 150.00
Independent Living (Chafee
Foster Care Independence Program)
140.00 28.00 168.00
Independent Living Training Vouchers 45.00 45.00
Maternal, Infants and
Children Home Visitation
36.00 36.00
SERVICES TOTAL 10,411.40 4,866.13 15,277.53
CHILD CARE AND CHILD DEVELOPMENT
Headstart 7,559.0 1,889.75 9,448.75
Childcare and
Child Development Block Grant
2,984 2,176.00 5,160.00
Childcare Entitlement to the States 3,100.00 3,100.00
TANF Block Grant Child Care 2,318.56 2,643.78 4,962.35
CHILD CARE & CHILD DEVELOPMENT TOTAL 15,961.56 6,709.53 22,671.10
COMMUNITY DEVELOPMENT
Community Development Block Grant
and Related Development Funds
7,445.00 7,445.00
Economic Development
Administration (Dept. of Commerce)
423.00 423.00
Appalachian Regional Development 68.00 68.00
Empowerment Zones,
Enterprise Communities Renewal
1.00 1.00
COMMUNITY DEVELOPMENT TOTAL 7,937.00 7,937.00
TOTAL in millions (2011) $717,093.48 $210,140.07 $927,233.55
Social Security OASDI (2013) $785,700
Medicare(2013) $574,200
TOTAL in millions $2,287,133
Notes:
* Spending in millions of dollars
2.3 Trillion Dollar Total of Social Security, Medicare and Means Tested Welfare
is low since latest 2013 means tested data not available but 2013
“real” TOTAL will be higher

Social security

The Social Security program mainly refers to the Old Age, Survivors, and Disability Insurance (OASDI) program, and possibly the unemployment insurance program. Retirement Insurance Benefits (RIB), also known as Old-age Insurance Benefits, are a form of social insurance payments made by the U.S. Social Security Administration paid based upon the attainment old age (62 or older).

Social Security Disability Insurance (SSD or SSDI) is a federal insurance program that providesincome supplements to people who are restricted in their ability to be employed because of a notable disability.

Unemployment insurance, also known as unemployment compensation, provides for money, from the United States and the state collected from employers, to workers who have become unemployed through no fault of their own. The unemployment benefits are run by each state with different state defined criteria for duration, percent of income paid, etc.. Nearly all require the recipient to document their search for employment to continue receiving benefits. Extensions of time for receiving benefits are sometimes offered for extensive work unemployment. These extra benefits are usually in the form of loans from the federal government that have to be repaid by each state.

General welfare

The Supplemental Security Income (SSI) program provides stipends to low-income people who are either aged (65 or older), blind, or disabled.

The Temporary Assistance for Needy Families (TANF) provides cash assistance to indigent American families with dependent children.

Healthcare spending

Health care in the United States is provided by many separate legal entities. Health care facilities are largely owned and operated by the private sectorHealth insurance in the United States is now primarily provided by the government in the public sector, with 60–65% of healthcare provision and spending coming from programs such as Medicare, Medicaid,TRICARE, the Children’s Health Insurance Program, and the Veterans Health Administration.

Medicare is a social insurance program administered by the United States government, providing health insurance coverage to people who are aged 65 and over; to those who are under 65 and are permanently physically disabled or who have a congenital physical disability; or to those who meet other special criteria like the End Stage Renal Disease program (ESRD). Medicare in the United States somewhat resembles a single-payer health care system but is not. Before Medicare, only 51% of people aged 65 and older had health care coverage, and nearly 30% lived below the federal poverty level.

Medicaid is a health program for certain people and families with low incomes and resources. It is a means-tested program that is jointly funded by the state and federal governments, and is managed by the states.[38] People served by Medicaid are U.S. citizens or legal permanent residents, including low-income adults, their children, and people with certain disabilities. Poverty alone does not necessarily qualify someone for Medicaid. Medicaid is the largest source of funding for medical and health-related services for people with limited income in the United States.

The Children’s Health Insurance Program (CHIP) is a program administered by the United States Department of Health and Human Services that provides matching funds to states for health insurance to families with children.[39] The program was designed to cover uninsured children in families with incomes that are modest but too high to qualify for Medicaid.

The Alcohol, Drug Abuse, and Mental Health Services Block Grant (or ADMS Block Grant) is a federal assistance block grant given by the United States Department of Health and Human Services.

Education spending

University of California, Berkeley is one of the oldest public universities in the U.S.

Per capita spending on tertiary education is among the highest in the world[citation needed]. Public education is managed by individual states, municipalities and regional school districts. As in all developed countries, primary and secondary education is free, universal and mandatory. Parents do have the option of home-schooling their children, though some states, such as California (until a 2008 legal ruling overturned this requirement[40]), require parents to obtain teaching credentials before doing so. Experimental programs give lower-income parents the option of using government issued vouchers to send their kids to private rather than public schools in some states/regions.

As of 2007, more than 80% of all primary and secondary students were enrolled in public schools, including 75% of those from households with incomes in the top 5%. Public schools commonly offer after-school programs and the government subsidizes private after school programs, such as the Boys & Girls Club. While pre-school education is subsidized as well, through programs such as Head Start, many Americans still find themselves unable to take advantage of them. Some education critics have therefore proposed creating a comprehensive transfer system to make pre-school education universal, pointing out that the financial returns alone would compensate for the cost.

Tertiary education is not free, but is subsidized by individual states and the federal government. Some of the costs at public institutions is carried by the state.

The government also provides grants, scholarships and subsidized loans to most students. Those who do not qualify for any type of aid, can obtain a government guaranteed loan and tuition can often be deducted from the federal income tax. Despite subsidized attendance cost at public institutions and tax deductions, however, tuition costs have risen at three times the rate of median household income since 1982.[41] In fear that many future Americans might be excluded from tertiary education, progressive Democrats have proposed increasing financial aid and subsidizing an increased share of attendance costs. Some Democratic politicians and political groups have also proposed to make public tertiary education free of charge, i.e. subsidizing 100% of attendance cost.[citation needed]

Food assistance

In the U.S., financial assistance for food purchasing for low- and no-income people is provided through the Supplemental Nutrition Assistance Program (SNAP), formerly known as the Food Stamp Program.[42] This federal aid program is administered by the Food and Nutrition Serviceof the U.S. Department of Agriculture, but benefits are distributed by the individual U.S. states. It is historically and commonly known as the Food Stamp Program, though all legal references to “stamp” and “coupon” have been replaced by “EBT” and “card,” referring to the refillable, plastic Electronic Benefit Transfer (EBT) cards that replaced the paper “food stamp” coupons. To be eligible for SNAP benefits, the recipients must have incomes below 130 percent of the poverty line, and also own few assets.[43] Since the economic downturn began in 2008, the use of food stamps has increased.[43]

The Special Supplemental Nutrition Program for Women, Infants and Children (WIC) is a child nutrition program for healthcare and nutrition of low-income pregnant women, breastfeeding women, and infants and children under the age of five. The eligibility requirement is a family income below 185% of the U.S. Poverty Income Guidelines, but if a person participates in other benefit programs, or has family members who participate in SNAP, Medicaid, or Temporary Assistance for Needy Families, they automatically meet the eligibility requirements.

The Child and Adult Care Food Program (CACFP) is a type of United States Federal assistance provided by the U.S. Department of Agriculture (USDA) to states in order to provide a daily subsidized food service for an estimated 3.2 million children and 112,000 elderly or mentally or physically impaired adults[44] in non-residential, day-care settings.[45]

Public housing

The Housing and Community Development Act of 1974 created Section 8 housing, the payment of rent assistance to private landlords on behalf of low-income households.

See also

General:

References

  1. Jump up to:a b Krugman, P. (2007). The Conscience of a Liberal. New York: W. W. Norton
  2. Jump up^ Feldstein, M. (2005). Rethinking social insurance. American Economic Review, 95(1), pp. 1–24.
  3. Jump up^ Means tested programs [1] accessed 19 Nov 2013
  4. Jump up^ Social spending after the crisis. OECD. (Social spending in a historical perspective, Pg. 5). Retrieved: 26 December 2012.
  5. Jump up^ 2013 Status Of The Social Security And Medicare Programs [2] accessed 16 Oct 2013
  6. Jump up^ White house Historical tables. Table 1 [3] accessed 16 Oct 2013
  7. Jump up^ OECD database on social expenditures[4] accessed 9 Dec 2013
  8. Jump up^ Characteristics if Households by Quintile 2010 [5] accessed 19 Nov 2013
  9. Jump up^ Esping-Andersen, G. (1991). The Three Worlds of Welfare Capitalism. Princeton, NJ: Princeton University Press.
  10. Jump up^ by G. William Domhoff. “Who Rules America: Wealth, Income, and Power”. Sociology.ucsc.edu. Retrieved 2012-08-14.
  11. Jump up^ Delaney, Arthur. “Food Stamp Cuts Might Come With Drug Testing”. Huffington Post.
  12. Jump up^ Goetzl, Celia. “Government Mandated Drug Testing for Welfare Recipients: Special Need or Unconstitutional Condition?”. Retrieved October 24, 2013.
  13. Jump up^ Cohen, Robin. “Drug Testing of Public Assistance Recipients”. OLR Research Report. Retrieved October 24, 2013.
  14. Jump up^ 2008 Indicators of Welfare Dependence Figure TANF 2.
  15. Jump up to:a b Gilens, Martin (1996). “Race and Poverty in America: Public Misperceptions and the American News Media.” Public Opinion Quarterly 60, no. 4, pp. 515–541.
  16. Jump up^ Gilens, Martin (1996). “Race and Poverty in America: Public Misperceptions and the American News Media.” Public Opinion Quarterly 60, no. 4, p. 516
  17. Jump up^ “Characteristics and Financial Circumstances of TANF Recipients – Fiscal Year 2010“. United States Department of Health and Human Services.
  18. Jump up^ “Demographic And Financial Characteristics Of Families Receiving Assistance“. United States Department of Health and Human Services.
  19. Jump up^ Demographics of U.S. population Table 1[6] accessed 26 Dec 2013
  20. Jump up^ 79 Means tested welfare programs in the United States[7] accessed 26 Dec 2013
  21. Jump up^ Alber, J. (1988). Is There a Crisis of the Welfare State? Cross-National Evidence from Europe, North America, and Japan. European Sociological Review, 4(3), 181–207.
  22. Jump up^ Hacker, J. S. (2002). The Divided Welfare State. New York: Cambridge University Press, USA.
  23. Jump up^ Ferrara, Peter (2011-04-22). “America’s Ever Expanding Welfare Empire”Forbes. Retrieved 2012-04-10.
  24. Jump up to:a b c d e Goodman, Peter S. (2008-04-11). “From Welfare Shift in ’96, a Reminder for Clinton”The New York Times. Retrieved 2009-02-12.
  25. Jump up to:a b c Average Incomes and Taxes 2009 [8] accessed 19 Nov 2013
  26. Jump up to:a b c Frum, David (2000). How We Got Here: The ’70s. New York, New York: Basic Books. p. 72. ISBN 0-465-04195-7.
  27. Jump up^ Frum, David (2000). How We Got Here: The ’70s. New York, New York: Basic Books. p. 325.ISBN 0-465-04195-7.
  28. Jump up to:a b c d e f g Deparle, Jason (2009-02-02). “Welfare Aid Isn’t Growing as Economy Drops Off”The New York Times. Retrieved 2009-02-12.
  29. Jump up^ NPC.umich.edu
  30. Jump up to:a b c “Welfare Rolls See First Climb in Years”The Washington Post. 2008-12-17. Retrieved 2009-02-13.
  31. Jump up to:a b c d e f “Stimulus Bill Abolishes Welfare Reform and Adds New Welfare Spending”.Heritage Foundation. 2009-02-11. Retrieved 2009-02-12.
  32. Jump up to:a b c “Ending Welfare Reform as We Knew It”The National Review. 2009-02-12. Retrieved 2009-02-12.[dead link]
  33. Jump up^ “Change for the Worse”New York Post. 2009-01-30. Retrieved 2009-02-12.[dead link]
  34. Jump up to:a b AllenMills, Tony (2009-02-15). “Obama warned over ‘welfare spendathon'”The Times(London). Retrieved 2009-02-15.
  35. Jump up^ Spending on largest Welfare Programs in U.S. [9] accessed 19 Nov 2013
  36. Jump up^ “Welfare Reform History Timeline – 1900s to current United States.” SearchBeat. Web. 12 Oct. 2009. <http://society.searchbeat.com/welfare9.htm>.
  37. Jump up^ Means Tested Programs in U.S. [10] accessed 19 Nov 2013
  38. Jump up^ Medicaid General Information from the Centers for Medicare and Medicaid Services . (CMS) website
  39. Jump up^ Sultz, H., & Young, K. Health Care USA Understanding its Organization and Delivery pg. 257
  40. Jump up^ Jonathan L. v. Superior Court, 165 Cal.App.4th 1074 (Cal.App. 2 Dist. 2008). Text of opinion
  41. Jump up^ Lewin, Tamar. “NYT on increase in tuition”The New York Times. Retrieved 2009-01-15.
  42. Jump up^ “Nutrition Assistance Program Home Page”, U.S. Department of Agriculture (official website), March 3, 2011 (last revised). Accessed March 4, 2011.
  43. Jump up to:a b Erik Eckholm (March 31, 2008). “Food stamp use in U.S. at record pace as jobs vanish”The New York Times. Retrieved January 30, 2012.
  44. Jump up^ Why CACFP Is Important, Child and Adult Care Food Program Homepage, Food and Nutrition Service, US Department of Agriculture
  45. Jump up^ Child and Adult Care Food Program (CFDA 10.558);OMB Circular A-133 Compliance Supplement; Part 4: Agency Program Requirements: Department of Housing and Urban Development, pg. 4-10.558-1

Further reading

http://en.wikipedia.org/wiki/Social_programs_in_the_United_States

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Pronk Pops Show 159: October 31, 2013

Pronk Pops Show 158: October 30, 2013

Pronk Pops Show 157: October 28, 2013

Pronk Pops Show 156: October 25, 2013

Pronk Pops Show 155: October 24, 2013

Pronk Pops Show 154: October 23, 2013

Pronk Pops Show 153: October 21, 2013

Pronk Pops Show 152: October 18, 2013

Pronk Pops Show 151: October 17, 2013

Pronk Pops Show 150: October 16, 2013

Pronk Pops Show 149: October 14, 2013

Pronk Pops Show 148: October 11, 2013

Pronk Pops Show 147: October 10, 2013

Pronk Pops Show 146: October 9, 2013

Pronk Pops Show 145: October 8, 2013

Pronk Pops Show 144: October 7, 2013

Pronk Pops Show 143: October 4 2013

Pronk Pops Show 142: October 3, 2013

Pronk Pops Show 141: October 2, 2013

The Pronk Pops Show Podcasts Portfolio

Listen To Pronk Pops Podcast or Download Show 194-201

Listen To Pronk Pops Podcast or Download Show 184-193

Listen To Pronk Pops Podcast or Download Show 174-183

Listen To Pronk Pops Podcast or Download Show 165-173

Listen To Pronk Pops Podcast or Download Show 158-164

Listen To Pronk Pops Podcast or Download Show 151-157

Listen To Pronk Pops Podcast or Download Show 143-150

Listen To Pronk Pops Podcast or Download Show 135-142

Listen To Pronk Pops Podcast or Download Show 131-134

Listen To Pronk Pops Podcast or Download Show 124-130

Listen To Pronk Pops Podcast or Download Shows 121-123

Listen To Pronk Pops Podcast or Download Shows 118-120

Listen To Pronk Pops Podcast or Download Shows 113 -117

Listen To Pronk Pops Podcast or Download Show 112

Listen To Pronk Pops Podcast or Download Shows 108-111

Listen To Pronk Pops Podcast or Download Shows 106-108

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Listen To Pronk Pops Podcast or Download Shows 94-97

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 Senator Session Warns Republicans — Immigration Bill is Bad Politics, Bad Policy and Bad Economics — Videos

Sen Sessions: Immigration Increases Income Inequality – The Real Story W Gretchen Carlson

Jeff Sessions Elite Group With Special Agendas Behind Legislation That Impacts All America

Jeff Session Mocks Gang Of Eight and Special Interest Forces Immigration Debate

Jeff Sessions: ‘Elite Group With Special Agendas’ Behind Legislation That Impacts All Amer

The entire memo is here and worth a read:

Sessions Warns House GOP: Immigration Bill Is Bad Politics, Bad Policy

Offers a better way forward.

By DANIEL HALPER

Yesterday afternoon, before President Obama’s State of the Union Address, Senator Jeff Sessions’ staff hand-delivered to each Republican member of the House an important memo on the so-called immigration reform bill being debated on Capital Hill. The 3-page document, written by Sessions, argues that pushing the current immigration legislation forward is bad politics, bad policy, and that there’s a better way for Republicans.

Jeff Sessions

Sessions believes House Republicans are at risk of falling into President Obama’s trap. “[A]ccording to news reports, House Republican leaders are instead turning 2014 into a headlong rush towards Gang-of-Eight style ‘immigration reform,'” writes Sessions. “They are reportedly drafting an immigration plan that is uncomfortably similar to a ‘piecemeal’ repackaging of the disastrous Senate plan—and even privately negotiating a final package with Democrat activists before consulting with their own members.”

It’s bad politics, Sessions writes. “In the rush to pass an immigration bill, there has been a near absence of any serious thought about the conditions facing American workers. The last 40 years has been a period of record immigration to the U.S., with the last 10 years seeing more new arrivals than any prior 10- year period in history. This trend has coincided with wage stagnation, enormous growth in welfare programs, and a shrinking workforce participation rate. A sensible, conservative approach would focus on lifting those living here today, both immigrant and native-born, out of poverty and into the middle class—before doubling or tripling the level of immigration into the U.S.

A sensible immigration policy would also listen to the opinion of the American people. Not the opinions of the paid-for consultants trotted out with their agenda-driven polls to GOP member meetings—but the actual, honest opinion of the people who sent us here. There is a reason why none of the corporate-funded ads for amnesty breathe a word about doubling immigration levels. According to Rasmussen Reports, working and middle class Americans strongly oppose large expansions of our already generous immigration system. Those earning under $30,000 prefer a reduction to an increase by an overwhelming 3-1 margin.

And bad policy, the senator from Alabama details. “Coordinating with a small group of the nation’s most powerful special interests, last year President Obama and Senate Democrats forced through an immigration bill which can only be described as a hammer blow to the American middle class. Not only would it grant work permits to millions of illegal immigrants at a time of record joblessness, it would also double the annual flow of new immigrant workers and provide green cards to more than 30 million permanent residents over the next decade. These new workers, mostly lesser-skilled, will compete for jobs in every sector, industry, and occupation in the U.S. economy.”

He adds, “House Republicans, in crafting immigration principles, should reply to the President’s immigration campaign with a simple message: our focus is to help unemployed Americans get back to work—not to grant amnesty or to answer the whims of immigration activists and CEOs. In turn, that message could be joined with a detailed and unifying policy agenda for accomplishing that moral and social objective.”

As for Sessions’ “Better Agenda,” he lays it out very precisely:

The GOP’s 2014 agenda should not be to assist the President in passing his immigration plan. Rather, it should be a consuming focus on restoring hope and opportunity to millions of discouraged workers. The GOP’s 2014 agenda should be a national effort—announced proudly and boldly—to reduce the welfare rolls and get America back to work, including:

  •  More American energy that creates good-paying jobs right here in the U.S.
  •  A more competitive tax and regulatory code that allows U.S. businesses and workers tocompete on a level global playing field
  •  A trade policy that increases U.S. exports and expands domestic manufacturing
  •  An immigration policy that serves the interests of the American people
  •  Converting the welfare office into a job training center
  •  Making government leaner and more accountable to U.S. taxpayers
  •  Restoring economic confidence by continuing our effort to balance the federal budget

An all-out immigration push is inimical to these goals.

Rep. Ryan: GOP Looking at Legal Status, Chance for Citizenship

Rep. Paul Ryan (R., Wis.), a leading GOP advocate for tackling immigration, confirmed Wednesday that Republicans are looking to give illegal immigrants legal status right away, with the chance for a green card—and citizenship—down the line.

Officials familiar with the planning had said as much before. But Mr. Ryan is the first member of the GOP leadership to lay out the Republican vision publicly.

At issue is how to handle more than 11 million people already in the U.S. illegally. Most House Republicans oppose the Senate approach, whereby all qualified illegal immigrants would first win legal status, then have the chance to apply for legal permanent residence (also known as a green card), and then for citizenship. House Republicans call that a “special path to citizenship” that is unavailable to those who followed the law.

House Republicans have been talking since last summer about a different approach, and Mr. Ryan laid it out on Wednesday in an interview with MSNBC’s “The Daily Rundown.”

First, illegal immigrants would be offered a “probationary” status, allowing them to work while the government tightened border security and interior enforcement. Officials have explained that this would allow people to work legally while they wait for permanent legal status. (Officials have explained that this group could revert to illegal status if enforcement benchmarks are not met.)

Mr. Ryan said it would make sure that the Obama administration went ahead with the enforcement provisions. “We want to make sure that we write a law that he can’t avoid,” Mr. Ryan said.

After that, they would be eligible for a “regular work permit,” he said.

“If those things are met, you satisfy the terms of your probation, you’re not on welfare, you pay a fine, you learn English and civics, and the border’s been secured and interior enforcement independently verified, then you can get a regular work permit,” he said.

At that point, this group could apply for green cards using the same system available to any newcomer.

“That’s the kind of process we envision,” he said. “Which is not a special pathway to citizenship and it’s not going to automatically in any way give an undocumented immigrant citizenship.”

Some Democrats and immigration advocates have signaled that they could accept this approach, depending on the details. It’s unclear whether enough Republicans would feel the same. The idea will get its first full airing on Thursday afternoon, when House Republicans are scheduled to discuss immigration at their retreat in Cambridge, Md.

http://blogs.wsj.com/washwire/2014/01/29/rep-ryan-gop-looking-at-legal-status-chance-for-citizenship/

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The Stupid Republican Party Leadership About To Commit Political Suicide By Supporting Legal Status For 40 Million Plus Illegal Aliens — The Party Will Split and Their Base Will Stay Home On Election Day 4 November 2014 — Videos

Posted on January 28, 2014. Filed under: American History, Business, College, Communications, Crime, Culture, Demographics, Diasters, Economics, Education, Employment, Energy, Federal Government, Federal Government Budget, Fiscal Policy, Foreign Policy, government, government spending, Health Care, history, Illegal, Immigration, Investments, IRS, Language, Law, liberty, Life, Links, Literacy, Macroeconomics, media, Obamacare, People, Philosophy, Photos, Politics, Press, Psychology, Raves, Regulations, Security, Talk Radio, Taxes, Technology, Unemployment, Video, War, Wisdom, Writing | Tags: , , , , , , , , , , , , , , , , , , |

Project_1

The Pronk Pops Show Podcasts

Pronk Pops Show 199: January 28, 2014

Pronk Pops Show 198: January 27, 2014 

Pronk Pops Show 197: January 24, 2014

Pronk Pops Show 196: January 22, 2014

Pronk Pops Show 195: January 21, 2014

Pronk Pops Show 194: January 17, 2014

Pronk Pops Show 193: January 16, 2014

Pronk Pops Show 192: January 14, 2014

Pronk Pops Show 191: January 13, 2014

Pronk Pops Show 190: January 10, 2014

Pronk Pops Show 189: January 9, 2014

Pronk Pops Show 188: January 8, 2014

Pronk Pops Show 187: January 7, 2014

Pronk Pops Show 186: January 6, 2014

Pronk Pops Show 185: January 3, 2014

Pronk Pops Show 184: December 19, 2013

Pronk Pops Show 183: December 17, 2013

Pronk Pops Show 182: December 16, 2013

Pronk Pops Show 181: December 13, 2013

Pronk Pops Show 180: December 12, 2013

Pronk Pops Show 179: December 11, 2013

Pronk Pops Show 178: December 5, 2013

Pronk Pops Show 177: December 2, 2013

Pronk Pops Show 176: November 27, 2013

Pronk Pops Show 175: November 26, 2013

Pronk Pops Show 174: November 25, 2013

Pronk Pops Show 173: November 22, 2013

Pronk Pops Show 172: November 21, 2013

Pronk Pops Show 171: November 20, 2013

Pronk Pops Show 170: November 19, 2013

Pronk Pops Show 169: November 18, 2013

Pronk Pops Show 168: November 15, 2013

Pronk Pops Show 167: November 14, 2013

Pronk Pops Show 166: November 13, 2013

Pronk Pops Show 165: November 12, 2013

Pronk Pops Show 164: November 11, 2013

Pronk Pops Show 163: November 8, 2013

Pronk Pops Show 162: November 7, 2013

Pronk Pops Show 161: November 4, 2013

Pronk Pops Show 160: November 1, 2013

Pronk Pops Show 159: October 31, 2013

Pronk Pops Show 158: October 30, 2013

Pronk Pops Show 157: October 28, 2013

Pronk Pops Show 156: October 25, 2013

Pronk Pops Show 155: October 24, 2013

Pronk Pops Show 154: October 23, 2013

Pronk Pops Show 153: October 21, 2013

Pronk Pops Show 152: October 18, 2013

Pronk Pops Show 151: October 17, 2013

Pronk Pops Show 150: October 16, 2013

Pronk Pops Show 149: October 14, 2013

Pronk Pops Show 148: October 11, 2013

Pronk Pops Show 147: October 10, 2013

Pronk Pops Show 146: October 9, 2013

Pronk Pops Show 145: October 8, 2013

Pronk Pops Show 144: October 7, 2013

Pronk Pops Show 143: October 4 2013

Pronk Pops Show 142: October 3, 2013

Pronk Pops Show 141: October 2, 2013

The Pronk Pops Show Podcasts Portfolio

Listen To Pronk Pops Podcast or Download Show 194-199

Listen To Pronk Pops Podcast or Download Show 184-193

Listen To Pronk Pops Podcast or Download Show 174-183

Listen To Pronk Pops Podcast or Download Show 165-173

Listen To Pronk Pops Podcast or Download Show 158-164

Listen To Pronk Pops Podcast or Download Show 151-157

Listen To Pronk Pops Podcast or Download Show 143-150

Listen To Pronk Pops Podcast or Download Show 135-142

Listen To Pronk Pops Podcast or Download Show 131-134

Listen To Pronk Pops Podcast or Download Show 124-130

Listen To Pronk Pops Podcast or Download Shows 121-123

Listen To Pronk Pops Podcast or Download Shows 118-120

Listen To Pronk Pops Podcast or Download Shows 113 -117

Listen To Pronk Pops Podcast or Download Show 112

Listen To Pronk Pops Podcast or Download Shows 108-111

Listen To Pronk Pops Podcast or Download Shows 106-108

Listen To Pronk Pops Podcast or Download Shows 104-105

Listen To Pronk Pops Podcast or Download Shows 101-103

Listen To Pronk Pops Podcast or Download Shows 98-100

Listen To Pronk Pops Podcast or Download Shows 94-97

Listen To Pronk Pops Podcast or Download Shows 93

Listen To Pronk Pops Podcast or Download Shows 92

Listen To Pronk Pops Podcast or Download Shows 91

Listen To Pronk Pops Podcast or Download Shows 88-90

Listen To Pronk Pops Podcast or Download Shows 84-87

Listen To Pronk Pops Podcast or Download Shows 79-83

Listen To Pronk Pops Podcast or Download Shows 74-78

Listen To Pronk Pops Podcast or Download Shows 71-73

Listen To Pronk Pops Podcast or Download Shows 68-70

Listen To Pronk Pops Podcast or Download Shows 65-67

Listen To Pronk Pops Podcast or Download Shows 62-64

Listen To Pronk Pops Podcast or Download Shows 58-61

Listen To Pronk Pops Podcast or Download Shows 55-57

Listen To Pronk Pops Podcast or Download Shows 52-54

Listen To Pronk Pops Podcast or Download Shows 49-51

Listen To Pronk Pops Podcast or Download Shows 45-48

Listen To Pronk Pops Podcast or Download Shows 41-44

Listen To Pronk Pops Podcast or Download Shows 38-40

Listen To Pronk Pops Podcast or Download Shows 34-37

Listen To Pronk Pops Podcast or Download Shows 30-33

Listen To Pronk Pops Podcast or Download Shows 27-29

Listen To Pronk Pops Podcast or Download Shows 17-26

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Listen To Pronk Pops Podcast or Download Shows 01-09

Story 1: The Stupid Republican Party Leadership About To Commit Political Suicide By Supporting Legal Status For 40 Million Plus Illegal Aliens — The Party Will Split and Their Base Will Stay Home On Election Day 4 November 2014 — Videos

Immigration Reform Bill May Offer Protections For Illegal Aliens Convicted Of Certain Crimes!

John Boehner’s Sad Excuses On Immigration Reform

Backing in G.O.P. for Legal Status for Immigrants

The House Republican leadership’s broad framework for overhauling the nation’s immigration laws will call this week for a path to legal status — but not citizenship — for many of the 11 million adult immigrants who are in the country illegally, according to aides who have seen the party’s statement of principles. For immigrants brought to the United States illegally as young children, the Republicans would offer a path to citizenship.

But even before the document is unveiled later, some of the party’s leading strategists and conservative voices are urging that the immigration push be abandoned, or delayed until next year, to avoid an internal party rupture before the midterm elections.

“It’s one of the few things that could actually disrupt what looks like a strong Republican year,” said William Kristol, editor of the conservative magazine The Weekly Standard, calling an immigration push “a recipe for disaster.”

At the same time, Republicans have seen their support from Latinos plummet precisely because of their stance on immigration, and the “statement of principles,” barely more than a page, is intended to try to reverse that trajectory.

The statement of principles criticizes the American higher education system for educating some of the world’s best and brightest students only to lose them to their home countries because they cannot obtain green cards; insists that Republicans demand that current immigration laws be enforced before illegal immigrants are granted legal status; and mentions that some kind of triggers must be included in an immigration overhaul to ensure that borders are secured first, said Republican officials who have seen the principles.

With concern already brewing among conservatives who call any form of legal status “amnesty,” the document has the feel more of an attempt to test the waters than a blueprint for action. House Republican leaders will circulate it at a three-day retreat for their members that begins Wednesday on the Eastern Shore of Maryland. Several pro-immigration organizations that have been briefed on the guidelines say they are not intended to serve as a conservative starting point for future negotiations, but as a gauge of how far to the left House Republicans are willing to move.

The principles say that Republicans do not support a “special path to citizenship,” but make an exception for the “Dreamers,” the immigrants brought into the country illegally as children, quoting a 2013 speech by Representative Eric Cantor of Virginia, the House majority leader. “One of the great founding principles of our country was that children would not be punished for the mistakes of their parents,” Mr. Cantor said at the time. “It is time to provide an opportunity for legal residence and citizenship for those who were brought to this country as children and who know no other home.”

Even ardent proponents of an immigration-law overhaul are, at best, cautiously optimistic. In June, a broad immigration overhaul — with a 13-year path to citizenship for the 11 million immigrants now in the country illegally, and stricter border security provisions that would have to be in place before the immigrants could gain legal status — passed the Senate with bipartisan support. But that legislation has largely stalled in the Republican-controlled House, where Mr. Boehner has rejected any negotiations with the Senate over its comprehensive bill.

“This is obviously a long, hard road,” said Senator Charles E. Schumer of New York, the No. 3 Democrat, who helped negotiate the Senate bill, “but I think since August, the number on the other side vehemently opposed has stayed the same, the number who think it should go forward has grown, and numbers in the wide middle are less opposed than they used to be. But that doesn’t guarantee an outcome one way or another.”

Republican Party leaders, backed strongly by business groups, have said an overhaul is critical if they are to repair their political position with Latino and other immigrant voters.

Barry Jackson, Mr. Boehner’s former chief of staff, is consulting for the U.S. Chamber of Commerce, which supports an overhaul that expands high-technology visas and guest worker programs.

But immigration is less of an issue during midterm elections, when immigrants are not as likely to vote and House members in safe districts are insulated somewhat from the wrath of more moderate swing voters. Often the biggest threats to Republicans are primary challenges from more conservative candidates who say that changing the immigration status of someone who is in the country illegally amounts to amnesty for a lawbreaker.

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Rand Paul Interview By Peter Robinson and Others — Videos

Posted on July 27, 2013. Filed under: American History, Blogroll, Business, College, Communications, Constitution, Economics, Education, Employment, Federal Government, Foreign Policy, government, government spending, history, Illegal, Immigration, Inflation, IRS, Law, Legal, liberty, Life, Links, media, People, Philosophy, Politics, Rants, Raves, Regulations, Strategy, Talk Radio, Taxes, Unemployment, Video, Wealth, Wisdom | Tags: , , , , , , , |

rand_paul

Just gave up on Rand Paul as future President of the United States.

Enforce the existing immigration laws and deport illegal aliens now.

Both the Democratic and Republican parties are selling out the American people.

Get a clue Senator, there are over 25 million American citizens looking for a full-time job.

The number of illegal aliens is not 11 million but over 40 million.

What we have now is not de facto amnesty but the unwillingness to enforce existing immigration law by both the Democratic and Republican parties.

More and more American citizens are leaving both political parties over this issue and out of control government spending.

The number of independents is growing while the number of Democrats and Republicans is declining.

Pass comprehensive immigration reform and the Democratic Party will get 75% of the formerly illegal alien vote.

The FairTax is much better than a flat income tax that does not require the huge IRS to collect.

Looks like Ted Cruz will be getting my vote.

I am a pro-life, limited government classical liberal and support the Tea Party and want balanced budgets now and budgeting to last years tax collections and eliminating baseline budgeting.

While I wanted to support Senator Paul for President, I will not be doing so now.

I have been a libertarian conservative that used to vote for Republicans, but no longer.

Both the Democratic and Republican  parties have been captured by big interventionist government statists (BIGS).

Time to start another political party that puts the American citizens first and not illegal aliens.

The Republican Party has become the party of big interventionist government statists.

Start another political party or stay home.

Presidents Hoover, Roosevelt, Truman and Eisenhower enforced immigration law.

It is the responsibility of the Federal government under the Constitution to protect the states from invasions.

If millions of illegal aliens are over staying their visas and entering the U.S. illegally, this is an invasion.

Enforce existing immigration laws by removing illegal aliens from their place of employment and deporting them.

Stop encouraging and rewarding illegal behavior.

Otherwise you will keep attracting more and more illegal aliens.

Senator Rand Paul discusses individualism, freedom, and national security on Uncommon Knowledge

Senator Rand Paul “I Say To ALL Americans Enough’s ENOUGH! We’re NOT Gonna Take It Anymore!”

Pat Buchanan brings up operation Wet Back with open border liberal

Operation Wetback 1954

Rand Paul slams Obama s plans for Syria involvement

FULL Sen. Rand Paul Interview: President Obama Loses Moral Authority to Lead the Nation

Rand Paul: Voters ready for Libertarian Republican in 2016

Rand Paul (R KY) Interview On Fox News Sunday With Chris Wallace

Rand Paul Discuses Civil Liberties On FreedomWorks on Tap – 7/17/2013

Sen Rand Paul Interviewed By Bill Bennett, July 25, 2013

Sen. Rand Paul Speaks at Veterans of Foreign Wars 144th National Convention- July 22, 2013

Rand Paul Interview Senator Are You Saying The General And Other Officials Are Liars

Rand Paul on Immigration Reform – We already have de facto amnesty for 11 Million

Rand Paul Interview: Rush Limbaugh (7 March 2013)

Rand Paul extended interview on The Sean Hannity Show 3/19/13

Laura Ingraham: Neoconservative view has clearly hurt the GOP (Rand Paul interview 3/08/13)

Tom Woods Interviews Rand Paul on the Budget, Ron Paul, and More

Rand Paul At Howard.  Full Speech and Q & A

 

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NSA’s PRISM Political Payoff: 40 Million Plus Foreigners Are In USA As Illegal Aliens! — 75% Plus Lean Towards Democratic Party — Pathway To One Party Rule By 2025 If Senate Bill Becomes Law Giving Illegal Aliens Legal Status — 25 Million American Citizens Looking For Full Time Jobs! — Videos

Posted on June 13, 2013. Filed under: Airplanes, American History, Banking, Blogroll, Business, College, Communications, Computers, Constitution, Crime, Demographics, Economics, Education, Employment, Federal Government, Federal Government Budget, Fiscal Policy, Foreign Policy, government, government spending, Health Care, history, Illegal, Immigration, IRS, Language, Law, Legal, liberty, Life, Links, Literacy, Macroeconomics, media, Microeconomics, Monetary Policy, Money, People, Philosophy, Politics, Private Sector, Programming, Psychology, Public Sector, Radio, Rants, Raves, Resources, Security, Strategy, Talk Radio, Tax Policy, Taxes, Terrorism, Transportation, Unemployment, Unions, Video, War, Wealth, Wisdom | Tags: , , , , , , , , , , , , , , , , , , , , , , , |

800px-US-border-notice

“This amnesty will give citizenship to only 1.1 to 1.3 million illegal aliens. We will secure the borders henceforth. We will never again bring forward another amnesty bill like this.”

~Senator Edward “Ted” Kennedy, D-Mass, regarding an amnesty bill passed in 1986

Immigration by the Numbers — Off the Charts

Immigration, World Poverty and Gumballs – Updated 2010

1984 – Ronald Reagan on Amnesty 

In this brief video-clip from the 1984 presidential debates Ronald Reagan discusses immigration, amnesty and the failure of the first attempt to pass the Simpson-Mazzoli Immigration Reform and Control Act. [When the act finally passed (1986) did we get reform? Did we get control?]

The Immigration Reform and Control Act of 1986

Illegal Alien

A foreigner who has either entered a country illegally (e.g. without inspection or proper documents) or who has violated the terms of legal admission to the country (e.g. by overstaying the duration of a tourist or student visa).

8 USC § 1101 – Definitions

(3) The term “alien” means any person not a citizen or national of the United States.

How Many Illegal Aliens Are in the US?  – Walsh – 1 

How Many Illegal Aliens Are in the United States? Presentation by James H. Walsh, Associate General Counsel of the former INS – part 1.

How Many Illegal Aliens Are in the US?  – Walsh – 2

How Many Illegal Aliens Are in the United States? Presentation by James H. Walsh, Associate General Counsel of the former INS – part 2.

Census Bureau estimates of the number of illegals in the U.S. are suspect and may represent significant undercounts.  The studies presented by these authors show that the numbers of illegal aliens in the U.S. could range from 20 to 38 million.

US immigration system moves towards reform

Sen. Ted Cruz Speaks on the Senate Floor in Opposition to the Gang of Eight’s Immigration Bill

Glenn Beck to Release Name of 70 House Republicans for Showdown w John Boehner on Amnesty Bill

Glenn Beck: Interview with House Republicans Planning Revolt On Immigration Bill

Glenn Beck Program Immigration and Equal Opportunity 06132013

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prism

new prism slide

U.S. and World Population Clock

http://www.census.gov/popclock/

316 Million and Counting

Less 40 Million Plus Foreigners (Illegal Aliens) and Rapidly Growing

U.S. Debt Clock

http://www.usdebtclock.org/

US Senate Votes to Consider Citizenship for Illegal Immigrants

News Wrap: Senate Votes to Begin Immigration Reform Debate

Border Insecurity Citizens Track Surge Of Illegal Immigration! – Wake Up America!!

Chris Pyle, Whistleblower on CIA Domestic Spying in 70s, Says Be Wary of Attacks on NSA’s Critics

NSA Chief Grilled at Senate Hearing on Surveillance Programs

He told you so: Bill Binney talks NSA leaks

“In the wake of multiple leaks regarding the data mining programs PRISM and Boundless Informant, whistleblowers are coming out in droves to talk about the unprecedented government surveillance on the American public. RT Correspondent Meghan Lopez had a chance to sit down with NSA whistleblower William Binney to talk about the latest developments coming out of the NSA case. Binney is a 32 year veteran of the NSA, where he helped design a top secret program he says helps collect data on foreign enemies. He is regarded as one of the best mathematicians and code breakers in NSA history. He became an NSA whistleblower in 2002 when he realized the program he helped create to spy no foreign enemies was being used on Americans.”

A Massive Surveillance State   Glenn Greenwald Exposes Covert NSA Program Collecting Calls, Emails

What You Should Know About The New NSA Utah Data Center

Glenn Greenwald Vs Bush Press Sec. Ari Fleischer Over NSA’s PRISM

NSA Whistleblowers: “All U.S.Citizens” Targeted By Surveillance Program, Not Just Verizon Customers

Experts Say NSA Leak Damage Could be Significant

“SPY AND DENY” IS THE NEW NORMAL IN USA!

Era of Online Sharing Offers ‘Big Data,’ Privacy Trade-Offs

Rep King Drops Bombshell; Sen Lee To Talk Claim Chief Justice Roberts Blackmailed

How PRISM Easily Gives Your Private Data Over to Big Brother

“The National Security Agency has obtained direct access to the systems of Google, Facebook, Apple and other US internet giants, according to a top secret document obtained by the Guardian.

The NSA access is part of a previously undisclosed program called Prism, which allows officials to collect material including search history, the content of emails, file transfers and live chats, the document says.”*

We’ve been assured by the president that the NSA’s PRISM program won’t affect “ordinary” U.S. citizens, but what is the criteria for deciding who gets their data mined and monitored? Cenk Uygur, Ben Mankiewicz, and John Iadarola (Host, TYT University) discuss the egregious reach of the Obama administration’s secret mass surveillance program.

NSA whistleblower Edward Snowden: ‘I don’t want to live in a society that does these sort of things’

Microtargeting

RNC/DNC Collecting Your Info En Masse

ILLEGAL IMMIGRATION IS DESTROYING AMERICA

The Dangers of Unlimited Legal & Illegal Immigration

Immigration by the Numbers — Off the Charts

Immigration, World Poverty and Gumballs – Updated 2010

THEY COME TO AMERICA II. The Cost of Amnesty

They Come to America (Trailer 2)

2012: They Come to America. The Cost of Illegal Immigration.

Schumer Refuses To Estimate Future Immigration Flow Under Gang Of Eight Proposal

Obama To Stop Deporting Young Illegal Immigrants

“The Obama administration will stop deporting young illegal immigrants who came to the U.S. as children and who do not pose a security threat, senior administration officials said this morning, a move that could prove important in a presidential campaign that will turn in part on who wins over Latino voters.
Effective immediately, young immigrants who arrived in the U.S. illegally before they turned 16 will be allowed to apply for work permits as long as they have no criminal history and meet other criteria, officials said.

Reality Check: President Obama’s Immigration Reform Rings Hollow

(Part I) A Day in the Life of an Arizona Rancher: Fences, Illegal Aliens, and One Man’s Watchtower

(Part II) A Day in the Life of an Arizona Rancher: Fences, Illegal Aliens, and One Man’s Watchtower

Background Articles and Videos

Ap’s “Illegal Immigrant” Stand – Leno: Illegal Immigrants That is Out, Now “Undocumented Democrats”

Illegal immigration to the United States – Wiki Article

Illegal immigration to the United States is the act of foreign nationals entering the United States, without government permission and in violation of United States nationality law, or staying beyond the termination date of a visa, also in violation of the law.

The illegal immigrant population of the United States in 2008 was estimated by the Center for Immigration Studies to be about 11 million people, down from 12.5 million people in 2007. Other estimates range from 7 to 20 million. According to a Pew Hispanic Center report, in 2005, 56% of illegal immigrants were from Mexico; 22% were from other Latin American countries, primarily from Central America; 13% were from Asia; 6% were from Europe and Canada; and 3% were from Africa and the rest of the world.

Profile and demographics

Illegal immigrants continue to outpace the number of legal immigrants —a trend that’s held steady since the 1990s. While the majority of illegal immigrants continue to concentrate in places with existing large Hispanic communities, increasingly illegals are settling throughout the rest of the country.

An estimated 14 million people live in families in which the head of household or the spouse is in the United States illegaly . The number of illegal immigrants arriving in recent years tend to be better educated than those who have been in the country a decade or more. A quarter of all immigrants who have arrived in recent years have at least some college education. Nonetheless, illegal immigrants as a group tend to be less educated than other sections of the U.S. population: 49 percent haven’t completed high school, compared with 9 percent of native-born Americans and 25 percent of legal immigrants.

Illegal immigrants work in many sectors of the U.S. economy. According to National Public Radio in 2005, about 3 percent work in agriculture; 33 percent have jobs in service industries; and substantial numbers can be found in construction and related occupations (16 percent), and in production, installation, and repair (17 percent). According to USA Today in 2006, about 4 percent work in farming; 21 percent have jobs in service industries; and substantial numbers can be found in construction and related occupations (19 percent), and in production, installation, and repair (15 percent), with 12% in sales, 10% in management, and 8% in transportation. Illegal immigrants have lower incomes than both legal immigrants and native-born Americans, but earnings do increase somewhat the longer an individual is in the country.

A percentage of illegal immigrants do not remain indefinitely but do return to their country of origin; they are often referred to as “sojourners: they come to the United States for several years but eventually return to their home country.”

Breakdown by state

As of 2006, the following data table shows a spread of distribution of locations where illegal immigrants reside by state.

Number of illegal immigrants

According to the Government Accountability Office (GAO), different estimates of the total number of illegal immigrants vary depending on how the term is defined. There are also questions about data reliability.

The GAO has stated that “it seems clear that the population of undocumented foreign-born persons is large and has increased rapidly.” On April 26, 2006 the Pew Hispanic Center (PHC) estimated that in March 2005 the number of illegal immigrants in the U.S. ranged from 11.5 to 12 million individuals. This number was derived by a statistical method known as the “residual method.” According to the General Accounting office the residual estimation (1) starts with a census count or survey estimate of the number of foreign-born residents who have not become U.S. citizens and (2) subtracts out estimated numbers of legally present individuals in various categories, based on administrative data and assumptions (because censuses and surveys do not ask about legal status). The remainder, or residual, represents an indirect estimate of

Senate Dismisses Any Pretense of Enforcement in the Gang of Eight Immigration Bill

Rubio Reneges on Promise to Fix Flaws in the Bill

(Washington, D.C. June 13, 2013) In the first important vote on amendments to the Gang of Eight immigration bill, S.744, the United States Senate quickly dismissed any pretense that they intend to deliver on promises of future immigration enforcement, declared the Federation for American Immigration Reform (FAIR). By a 57-43 vote, the Senate tabled an amendment by Sen. Chuck Grassley (R-Iowa) that would have required that the Department of Homeland Security (DHS) demonstrate effective control of U.S. borders for six months before illegal aliens could gain amnesty.

“Today’s vote makes it clear that a majority of senators place a higher priority on granting amnesty to illegal aliens than they do on fulfilling their promises to the American people that our borders will be secured and that our immigration laws will be enforced,” said Dan Stein, president of FAIR. “Tellingly, Gang of Eight member Marco Rubio (R-Fla.), who has repeatedly vowed to oppose the bill if border enforcement provisions are not strengthened, was among the majority of senators who voted to kill the Grassley amendment.”

Majority Leader Harry Reid (D-Nev.) described the amendment as a “poison pill” and used a parliamentary procedure to shut off debate on it. “In the Alice in Wonderland world of the United States Senate, securing our borders and fulfilling promises to the American people, before rewarding illegal aliens, is considered a ‘poison pill,'” observed Stein.

“The vote also undermines whatever credibility Sen. Rubio had left as an honest broker on behalf of the interests of the American people. The fix is in and Rubio is off the fence. The Gang of Eight and the Senate leadership will employ any tactic to prevent amendments that might upset special interest constituencies from supporting the bill,” Stein continued.

“Under this bill there will be no border security. There will be no immigration enforcement. The Gang of Eight bill is about delivering amnesty to illegal aliens and cheap labor to business interests, and nothing else,” Stein concluded.

http://www.fairus.org/news/senate-dismisses-any-pretense-of-enforcement-in-the-gang-of-eight-immigration-bill

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Pronk Pops Show 112, June 7, 2013, Segment 0: Marxist-Leninists Go To The Wall With Holder — The Man Who Knows Where The Bodies Are Buried Enjoys President Obama’s Full Confidence Says Political Fixer Valerie Jarrett — Wall Street Wants Holder To Hang On — American People Say Hit The Road Jack — Videos

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Santa Obama’s $9 Minimum Wage: Good Propaganda, Bad Economics–Videos

Posted on February 19, 2013. Filed under: American History, Blogroll, Business, College, Communications, Demographics, Diasters, Economics, Education, Employment, Federal Government, Fiscal Policy, government spending, history, History of Economic Thought, Inflation, Law, liberty, Life, Links, Macroeconomics, media, Microeconomics, Narcissism, People, Philosophy, Politics, Psychology, Public Sector, Rants, Raves, Regulations, Resources, Talk Radio, Technology, Unemployment, Unions, Video | Tags: , , , , , , , , , , , , , |

Santa Obama’s $9 minimum wage: good propaganda, bad economics

By Raymond Thomas Pronk

Presidential economic policies like the proverbial “road to hell” are often paved with good intentions.

In his 2013 State of the Union address, President Barack Obama said:

“Even with the tax relief we’ve put in place, a family with two kids that earns the minimum wage still lives below the poverty line. That’s wrong. Tonight, let’s declare that in the wealthiest nation on Earth, no one who works full time should have to live in poverty and raise the federal minimum wage to $9 an hour. This single step would raise the incomes of millions of working families. It could mean the difference between groceries or the food bank; rent or eviction; scraping by or finally getting ahead. For businesses across the country, it would mean customers with more money in their pockets.”

Why not increase the minimum wage to $18 per hour and win America’s war on poverty?

What are the economic consequences or impact of a $9 minimum wage on young high school and college students seeking employment? A decidedly negative impact if economic history is any guide.

The large increase in teenage unemployment is partly driven by the increase in the minimum wage. When the minimum wage rate was increased in July 2008 from $5.85 to $6.55 there was an upward spike in the teenage unemployment rate to greater than 20 percent. When the minimum wage was again increased in July 2009 from $6.55 to its current rate of $7.25, there was another upward spike in the teenage unemployment rate to greater than 25 percent. This rising trend of upward spikes in teenage unemployment rates after an increase in the minimum wage is reflected in the following chart.

Unemployment rate or percent of 16-19 years from 1948 to present

             unemployment_rate_1948_present_16_19-years_edited           

Source: Bureau of Labor Statistics, Department of Labor

David Neumark, professor of economics at the University of California, Irvine and William L. Wascher, deputy director in the Division of Research and Statistics at the Federal Reserve Board, in their book, “Minimum Wages,” provide a comprehensive review of the evidence on the economic effects of minimum wage laws. They concluded that such laws reduce employment opportunities for less-skilled workers, tend to reduce their earnings and are not very effective in reducing poverty.

If Congress passes an increase in the minimum wage to $9 as proposed by Obama, young, inexperienced, low-skill workers, especially blacks and Hispanics, will again be hurt for they will not be hired by businesses who cannot afford to pay them the higher mandated minimum wage. This will be reflected in yet another spike upward in the teenage unemployment rate that might exceed 30 percent.

Furthermore, young American citizens, especially blacks and Hispanics, will face stiff competition from the more than 11 million illegal aliens who predominantly seek low-skilled jobs. Obama and progressives in both the Democratic and Republican parties want to grant these illegal aliens immediate legal status to work in the U.S.

Obama is repeating the past economic policy mistakes of progressive presidents from both political parties such as Hoover, Roosevelt, Truman, Johnson, Nixon, Carter and the Bushes in mandating higher than free market wage rates. These well-intentioned but massive government interventionist economic policies lead to prolonged depressions and recessions with high unemployment rates, especially for young, inexperienced, low skilled and minority workers.

Thirty years ago the black economist, Walter E. Williams, explored the effects of federal and state government intervention into the economy, including minimum wage laws, in the PBS documentary, Good Intentions, based upon his 1982 book, “The State Against Blacks.” Those favoring a rise in the federal minimum wage would be well advised to view this video together with “Milton Friedman on the Minimum Wage” on YouTube before advocating an increase in the minimum wage.

For young American citizens an entry-level job paying a lower competitive market wage rate is preferable to no job at a higher government mandated minimum wage.

Good intentions are not enough. Results measured in jobs created count.

Raymond Thomas Pronk is host of the Pronk Pops Show on KDUX web radio from 3-5 p.m. Fridays and author of the companion blog http://www.pronkpops.wordpress.com/

Digital Age-Why is Coolidge the Forgotten President?-Amity Shlaes

Sumner’s Explanation of The Forgotten Man – Revised for the 21st Century

Sumner’s Explanation of The Forgotten Man – Revised for the 21st
Century

By Joshua Lyons 9/25/09

As soon as A observes something which seems to him to be wrong,  from which X is suffering, A talks it over  with B, and A and B then propose to get a law passed – with the praise of Y – to remedy  the evil and help X.

Their law always proposes to determine  what C shall do for X or, in the better case,  what A, B and C shall do for  X.

As for A and B, who get a  law to make themselves do for X what they are willing to do for  him, we have nothing to say except that they might better have done it without  any law, but C is forced to comply with the new law.

All this  is done while Y looks on with glee and proclaims that  A and B are so good for helping poor  X.

A is the  politician
B is the humanitarian, special interest, do-gooder, reformer, social speculator, etc.
C is The Forgotten Man (i.e. you, me, us)
X is the downtrodden, the oppressed, the little guy, the misunderstood, etc.
Y is the Mainstream Media

In other words…
As soon as THE POLITICIAN observes something which seems to him to be wrong, from which THE DOWNTRODDEN is suffering, THE POLITICIAN talks it over with THE HUMANITARIAN, and THE POLITICIAN and THE HUMANITARIAN then propose to get a law passed – with the praise of THE MAINSTREAM MEDIA – to remedy the evil and help THE DOWNTRODDEN.

Their law always proposes to determine what THE FORGOTTEN MAN shall do for THE DOWNTRODDEN or, in the
better case, what THE POLITICIAN, THE HUMANITARIAN and THE FORGOTTEN MAN shall do for THE DOWNTRODDEN.

As for THE POLITICIAN and THE HUMANITARIAN, who get a law to make themselves do for THE DOWNTRODDEN what they are willing to do for him, we have
nothing to say except that they might better have done it without any law, but THE FORGOTTEN MAN is forced to comply with the new law.

All this is done while THE MAINSTREAM MEDIA looks on with glee and proclaims that THE POLITICIAN and THE HUMANITARIAN are so good for helping poor THE DOWNTRODDEN.

The preceding commentary was based on William Graham Sumner’s explanation of The Forgotten Man.

http://forgottenmenblog.blogspot.com/2009/09/sumners-explanation-of-forgotten-man.html

MinimumWage

food-stamps-minimum-wage-graph-1970-2010-no-population

The Truth about the Minimum Wage

Obama: “Raise Minimum Wage to $9 an Hour” – SOTU 2013

More on Minimum Wage

Obama’s $9/Hour SOTU Minimum Wage 

 Milton Friedman on Minimum Wage

Power of the Market – Minimum Wage

Williams with Sowell – Minimum Wage

The Job-Killing Impact of Minimum Wage Laws

“Good Intentions” by Dr. Walter Williams

Dr. Walter Williams’ 1982 PBS documentary “Good Intentions” based on his book, “The State Against Blacks”. The documentary was very controversial at the time it was released and led to many animosities and even threats of murder.

In “Good Intentions”, Dr. Williams examines the failure of the war on poverty and the devastating effect of well meaning government policies on blacks asserting that the state harms people in the U.S. more than it helps them. He shows how government anti-poverty programs have often locked people into poverty making the points that:

- being forced to attend 3rd rate public schools leave students unprepared for working life
– minimum wages prevent young people from obtaining jobs at an early age
– licensing and labor laws have had the effect of restricting entrance of blacks into the skilled trades and unions
– the welfare system creates perverse incentives for the poor to make bad choices they otherwise would not

Dr. Williams presents the following solutions to these problems:

Failing Public Schools – Give parents greater control over their children’s education by setting up a tuition tax credit or voucher system to broaden competition in turn revitalizing both public and non-public schools

Minimum Wages – Remove the minimum wage from youngsters to give more young people the chance to learn the world of work at an early age instead spending their free time idle an possibly falling into the habits of the street

Restrictive Labor Laws, Jobs Programs – Eliminate government roadblocks that prevent new entrepreneurs from starting their own business

Welfare Programs – Enact a compassionate welfare system such as a negative income tax which would remove dependency and dis-incentives for the poor to get themselves out of poverty

Scholars interviewed in the documentary include Donald Eberle, Charles Murray, and George Gilder.

Good Intentions 1 of 3 Introduction and Public Schools with Walter Williams

Good Intentions 2 of 3 Minimum Wage, Licensing, and Labor Laws with Walter

Good Intentions 3 of 3 The Welfare System and Conclusions with Walter Williams 

Government Intervention and Individual Freedom | Walter Williams

Obama: “Time to Pass Immigration Reform” – State of the Union 2013 

Contrasting Views of the Great Depression | Robert P. Murphy

 

Why You’ve Never Heard of the Great Depression of 1920 | Thomas E. Woods, Jr.

Uncommon Knowledge: The Great Depression with Amity Shlaes

Calvin Coolidge: The Best President You’ve Never Heard Of – Amity Shlaes

Amity Shlaes, Author, “Coolidge”

Keep Cool With Coolidge, Not Obama: Obama Reveals His True Hatred of Business

Obama Wants $9 Minimum Wage…

 

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America’s Dilemma: Citizenship or Deportation?—President Barack Obama’s Speech On Illegal Immigration in Las Vegas–January 29, 2013–Videos

Posted on January 30, 2013. Filed under: American History, Blogroll, Business, College, Communications, Economics, Education, Employment, Federal Government, Fiscal Policy, government, government spending, history, Immigration, Inflation, Language, Law, liberty, Life, Links, media, People, Philosophy, Politics, Programming, Quotations, Rants, Raves, Regulations, Resources, Security, Strategy, Taxes, Technology, Unemployment, Video, War, Wisdom | Tags: , , , , , , , , , , , , , , , , , , , , |

Obama-Time-to-fix-immigration

President Obama Las Vegas speech on comprehensive immigration reform on Jan. 29

Credit: http://www.upi.com

reagan

FULL SPEECH – US President Obama Immigration Reform from LAS VEGAS 1/29/2013

1984 – Ronald Reagan on Amnesty

Sessions Warns Washington Elites Against Rush To Amnesty

Amnesty – Not the Solution: Talk Border

Immigration: The real Third Rail of politics on TalkBorder

Talk Border: Safe Borders, Not Racism

Immigration by the Numbers — Off the Charts 

Immigration, World Poverty and Gumballs – Updated 2010

David Meir-Levi on Talk Border 

Martin Sieff on TalkBorder.com

Lou Barletta on Talk Border 

Michael Cutler, INS Special Agent

Charles Faddis, CIA (Ret), speaks with Michael Cutler, INS (Ret) on National Security and more in one part of a three-part interview for The United States of Common Sense, hosted by Charles Faddis..

Michael Cutler, a Fellow at the Center for Immigration Studies, an advisor to the 911 Families for a Secure America, and a consultant, retired in 2002 after a distinguished career with the INS of over 30 years, including 26 as a Special Agent. In 1991, he was promoted to the position of Senior Special Agent and was assigned to the Organized Crime Drug Enforcement Task Force and worked with members of other federal and state law enforcement agencies as well as law enforcement organizations of other countries. The task force’s investigations of aliens involved in major drug trafficking organizations ultimately resulted in the seizure of their assets and prosecutions for a wide variety of criminal violations.

Mr. Cutler has testified as an expert witness at nine Congressional hearings on issues relating to the enforcement of immigration laws having been called by members of both political parties. Mr. Cutler also furnished testimony to the Presidential Commission on the Terrorist Attacks of September 11. Mr. Cutler has appeared on numerous television and radio programs including the OReilly Radio Factor, OReillys No Spin Zone, Fox News and the Lou Dobbs Tonight Program on CNN to discuss the enforcement of immigration laws and has participated in various public debates and panel discussions on issues involving the enforcement and administration of immigration laws. Among the areas of concern that he is able to speak about authoritatively are the nexus between immigration and national security, the impact of immigration on the criminal justice system, strategies to combat illegal immigration, and why amnesty for illegal aliens is wrong.

Roy talks about ICE lawsuit with FNC’s Neil Cavuto

The Dangers of Unlimited Legal & Illegal Immigration

Stop Amnesty for Illegal Immigrants – Expert Reveals the True Cost of Amnesty

Path to illegal citizenship: The high cost of Illegal and legal lImmigration for U.S. Citizens 

Why Oppose the DREAM Act?

 

The E-Verify Solution for Illegal Hiring 

How Many Illegal Aliens Are in the US?  – Walsh – 2

How Many Illegal Aliens Are in the United States? Presentation by James H. Walsh, Associate General Counsel of the former INS – part 2.
Census Bureau estimates of the number of illegals in the U.S. are suspect and may represent significant undercounts.  The studies presented by these authors show that the numbers of illegal aliens in the U.S. could range from 20 to 38 million.

America’s dilemma: citizenship or deportation?

By Raymond Thomas Pronk            

“The definition of insanity is doing the same thing over and over again and expecting different results.” – Albert Einstein

President Barack Obama flew to Las Vegas last week to give a speech at a local school outlining his views and principles for comprehensive immigration reform. “Right now, we have 11 million undocumented immigrants in America; 11 million men and women from all over the world who live their lives in the shadows.  Yes, they broke the rules.  They crossed the border illegally.  Maybe they overstayed their visas.  Those are facts.  Nobody disputes them.  But these 11 million men and women are now here,” Obama said.

Why are there more than 11 million illegal aliens in the United States? Simply, the federal government under both Democratic and Republican progressive presidents has refused to vigorously enforce existing immigration law as set forth in federal statutes and regulations and failed to control and secure U.S. borders against a massive invasion of illegal aliens. These presidents betrayed their oath of office to defend and protect the Constitution.

In a debate with Democratic presidential candidate Walter Mondale in 1984, President Ronald Reagan said, “I believe in the idea of amnesty for those who have put down roots and lived here, even though some time back they may have entered illegally.”

On Nov. 6, 1986, Congress enacted the Immigration Reform and Control Act (IRCA), also known as the Simpson-Mazzoli Act, to reform immigration law and control the number of illegal immigrants entering the country. Reagan signed the bill.

Under this law approximately three million illegal aliens who had continuously resided in the U.S. before Jan.1, 1982 were granted legal status and eventually citizenship — amnesty for illegal aliens.

Since then the federal government has failed to control and secure the borders and by so doing, the 1986 law by granting amnesty created a strong magnet or incentive for future illegal aliens. Both Reagan and the American people were double-crossed by progressive Democrats and Republicans in Congress who really wanted open borders and unlimited illegal immigration.

The American people are asking for immigration law enforcement and secure borders and not Obama’s comprehensive immigration reform with a pathway to citizenship. Americans favor limited controlled legal immigration but oppose open borders with unlimited illegal immigration. So-called “undocumented workers” or more accurately illegal aliens should, as required by federal law, be removed from their place of work and deported to their country of origin.

Why? First, aliens broke into the country illegally when they entered the U.S. without a valid visa or over stayed their visas and did not return to the country of origin. Second, aliens broke the law when they either stole identities of U.S. citizens or purchased fraudulent documents such as driver’s licenses and Social Security cards in order to obtain employment in the U.S. Third, aliens broke the law when they worked in the U.S. without having the legal status to do so. Fourth, many employers broke the law when they knowingly hired illegal aliens. You do not reward criminal behavior by granting a pathway to citizenship. The rule of law requires federal government enforcement of immigration law by deporting illegal aliens.

When you multiple these crimes by millions, you are dealing with a crime wave and mass invasion that has been sanctioned by the progressive ruling elites in Washington D.C. from both the Democratic and Republican parties who favor open borders and token enforcement of existing federal immigration law.

Why did these ruling elites ignore the will of the American people? The Democratic Party favors open borders and a pathway to citizenship or amnesty for illegal aliens because they believe the overwhelming majority of these illegal aliens will, when they become citizens, vote for Democratic candidates.

Progressive Republicans likewise favored open borders and amnesty for illegal aliens because many of the businesses that employ illegal aliens also contribute to the campaigns of Republican candidates.

Both political parties could care less that millions of American citizens are unemployed as a direct result of policies that encouraged massive illegal immigration. Staying in power, not the welfare of the American people, was and is the top priority of these politicians.

The 11 million illegal aliens and their dependents should be given the choice to either voluntarily return to their country of origin by a certain date or face deportation under existing federal immigration law. With over 25 million American citizens seeking permanent full time jobs, this would immediately reduce the number of unemployed citizens by millions.

Most Americans would agree with two of Obama’s principles of comprehensive immigration reform namely “to stay focused on enforcement” and “to bring our legal immigration system into the 21st century.”  However, most Americans would not agree with Obama to first give the 11 million plus illegal aliens a pathway to citizenship or amnesty for illegal aliens before first controlling and securing the borders and enforcing existing immigration law.

There is a saying in Texas, “Fool me once, shame on you, fool me twice, shame on me.”

“You can fool all the people some of the time, and some of the people all the time, but you cannot fool all the people all the time.” — Abraham Lincoln

Raymond Thomas Pronk is host of the Pronk Pops Show on KDUX web radio from 3-5 p.m. Fridays and author of the companion blog http://www.pronkpops.wordpress.com/

Background Articles and Videos

Opinion: Will Obama Poison Immigration Reform?

Reagan on immingration 2 

Numbers USA – Immigration By the Numbers – Part 1

Numbers USA – Immigration By the Numbers – Part 2 of 2

E-Verify: Employment Verification 

How Many Illegal Aliens Are in the US?  – Walsh – 1 

How Many Illegal Aliens Are in the US?  – Walsh – 2

How Many Illegal Aliens Are in the United States? Presentation by James H. Walsh, Associate General Counsel of the former INS – part 2.

Census Bureau estimates of the number of illegals in the U.S. are suspect and may represent significant undercounts.  The studies presented by these authors show that the numbers of illegal aliens in the U.S. could range from 20 to 38 million.

THE WHITE HOUSE
Office of the Press Secretary
______________________
For Immediate Release                          January 29, 2013
REMARKS BY THE PRESIDENT
ON COMPREHENSIVE IMMIGRATION REFORM
Del Sol High School
Las Vegas, Nevada

11:40 A.M. PST

THE PRESIDENT:  Thank you!  (Applause.)  Thank you!  Thank you so much.  (Applause.)  It is good to be back in Las Vegas!  (Applause.)  And it is good to be among so many good friends.

Let me start off by thanking everybody at Del Sol High School for hosting us.  (Applause.)  Go Dragons!  Let me especially thank your outstanding principal, Lisa Primas.  (Applause.)

There are all kinds of notable guests here, but I just want to mention a few.  First of all, our outstanding Secretary of the Department of Homeland Security, Janet Napolitano, is here.  (Applause.)  Our wonderful Secretary of the Interior, Ken Salazar.  (Applause.)  Former Secretary of Labor, Hilda Solis.  (Applause.)  Two of the outstanding members of the congressional delegation from Nevada, Steve Horsford and Dina Titus.  (Applause.)  Your own mayor, Carolyn Goodman.  (Applause.)

But we also have some mayors that flew in because they know how important the issue we’re going to talk about today is.  Marie Lopez Rogers from Avondale, Arizona.  (Applause.)  Kasim Reed from Atlanta, Georgia.  (Applause.)  Greg Stanton from Phoenix, Arizona.  (Applause.)  And Ashley Swearengin from Fresno, California.  (Applause.)

And all of you are here, as well as some of the top labor leaders in the country.  And we are just so grateful.  Some outstanding business leaders are here as well.  And of course, we’ve got wonderful students here, so I could not be prouder of our students.  (Applause.)

Now, those of you have a seat, feel free to take a seat.  I don’t mind.

AUDIENCE MEMBER:  I love you, Mr. President!

THE PRESIDENT:  I love you back.  (Applause.)

Now, last week, I had the honor of being sworn in for a second term as President of the United States.  (Applause.)  And during my inaugural address, I talked about how making progress on the defining challenges of our time doesn’t require us to settle every debate or ignore every difference that we may have, but it does require us to find common ground and move forward in common purpose.  It requires us to act.

I know that some issues will be harder to lift than others.  Some debates will be more contentious.  That’s to be expected.  But the reason I came here today is because of a challenge where the differences are dwindling; where a broad consensus is emerging; and where a call for action can now be heard coming from all across America.  I’m here today because the time has come for common-sense, comprehensive immigration reform.  (Applause.)  The time is now.  Now is the time.  Now is the time.  Now is the time.

AUDIENCE:  Sí se puede!  Sí se puede!

THE PRESIDENT:  Now is the time.

I’m here because most Americans agree that it’s time to fix a system that’s been broken for way too long.  I’m here because business leaders, faith leaders, labor leaders, law enforcement, and leaders from both parties are coming together to say now is the time to find a better way to welcome the striving, hopeful immigrants who still see America as the land of opportunity.  Now is the time to do this so we can strengthen our economy and strengthen our country’s future.

Think about it — we define ourselves as a nation of immigrants.  That’s who we are — in our bones.  The promise we see in those who come here from every corner of the globe, that’s always been one of our greatest strengths.  It keeps our workforce young.  It keeps our country on the cutting edge.  And it’s helped build the greatest economic engine the world has ever known.

After all, immigrants helped start businesses like Google and Yahoo!.  They created entire new industries that, in turn, created new jobs and new prosperity for our citizens.  In recent years, one in four high-tech startups in America were founded by immigrants.  One in four new small business owners were immigrants, including right here in Nevada — folks who came here seeking opportunity and now want to share that opportunity with other Americans.

But we all know that today, we have an immigration system that’s out of date and badly broken; a system that’s holding us back instead of helping us grow our economy and strengthen our middle class.

Right now, we have 11 million undocumented immigrants in America; 11 million men and women from all over the world who live their lives in the shadows.  Yes, they broke the rules.  They crossed the border illegally.  Maybe they overstayed their visas.  Those are facts.  Nobody disputes them.  But these 11 million men and women are now here.  Many of them have been here for years.  And the overwhelming majority of these individuals aren’t looking for any trouble.  They’re contributing members of the community.  They’re looking out for their families.  They’re looking out for their neighbors.  They’re woven into the fabric of our lives.

Every day, like the rest of us, they go out and try to earn a living.  Often they do that in a shadow economy — a place where employers may offer them less than the minimum wage or make them work overtime without extra pay.  And when that happens, it’s not just bad for them, it’s bad for the entire economy.  Because all the businesses that are trying to do the right thing — that are hiring people legally, paying a decent wage, following the rules — they’re the ones who suffer.   They’ve got to compete against companies that are breaking the rules.  And the wages and working conditions of American workers are threatened, too.

So if we’re truly committed to strengthening our middle class and providing more ladders of opportunity to those who are willing to work hard to make it into the middle class, we’ve got to fix the system.

We have to make sure that every business and every worker in America is playing by the same set of rules.  We have to bring this shadow economy into the light so that everybody is held accountable — businesses for who they hire, and immigrants for getting on the right side of the law.  That’s common sense.  And that’s why we need comprehensive immigration reform.  (Applause.)

There’s another economic reason why we need reform.  It’s not just about the folks who come here illegally and have the effect they have on our economy.  It’s also about the folks who try to come here legally but have a hard time doing so, and the effect that has on our economy.

Right now, there are brilliant students from all over the world sitting in classrooms at our top universities.  They’re earning degrees in the fields of the future, like engineering and computer science.  But once they finish school, once they earn that diploma, there’s a good chance they’ll have to leave our country.  Think about that.

Intel was started with the help of an immigrant who studied here and then stayed here.  Instagram was started with the help of an immigrant who studied here and then stayed here.  Right now in one of those classrooms, there’s a student wrestling with how to turn their big idea — their Intel or Instagram — into a big business.  We’re giving them all the skills they need to figure that out, but then we’re going to turn around and tell them to start that business and create those jobs in China or India or Mexico or someplace else?  That’s not how you grow new industries in America.  That’s how you give new industries to our competitors.   That’s why we need comprehensive immigration reform.  (Applause.)

Now, during my first term, we took steps to try and patch up some of the worst cracks in the system.

First, we strengthened security at the borders so that we could finally stem the tide of illegal immigrants.  We put more boots on the ground on the southern border than at any time in our history.  And today, illegal crossings are down nearly 80 percent from their peak in 2000.  (Applause.)

Second, we focused our enforcement efforts on criminals who are here illegally and who endanger our communities.  And today, deportations of criminals is at its highest level ever.  (Applause.)

And third, we took up the cause of the DREAMers — (applause) — the young people who were brought to this country as children, young people who have grown up here, built their lives here, have futures here.  We said that if you’re able to meet some basic criteria like pursuing an education, then we’ll consider offering you the chance to come out of the shadows so that you can live here and work here legally, so that you can finally have the dignity of knowing you belong.

But because this change isn’t permanent, we need Congress to act — and not just on the DREAM Act.  We need Congress to act on a comprehensive approach that finally deals with the 11 million undocumented immigrants who are in the country right now.  That’s what we need.  (Applause.)

Now, the good news is that for the first time in many years, Republicans and Democrats seem ready to tackle this problem together.  (Applause.)  Members of both parties, in both chambers, are actively working on a solution.  Yesterday, a bipartisan group of senators announced their principles for comprehensive immigration reform, which are very much in line with the principles I’ve proposed and campaigned on for the last few years.  So at this moment, it looks like there’s a genuine desire to get this done soon, and that’s very encouraging.

But this time, action must follow.  (Applause.)  We can’t allow immigration reform to get bogged down in an endless debate.  We’ve been debating this a very long time.  So it’s not as if we don’t know technically what needs to get done.  As a consequence, to help move this process along, today I’m laying out my ideas for immigration reform.  And my hope is that this provides some key markers to members of Congress as they craft a bill, because the ideas I’m proposing have traditionally been supported by both Democrats like Ted Kennedy and Republicans like President George W. Bush.  You don’t get that matchup very often.  (Laughter.)  So we know where the consensus should be.

Now, of course, there will be rigorous debate about many of the details, and every stakeholder should engage in real give and take in the process.  But it’s important for us to recognize that the foundation for bipartisan action is already in place.  And if Congress is unable to move forward in a timely fashion, I will send up a bill based on my proposal and insist that they vote on it right away.  (Applause.)

So the principles are pretty straightforward.  There are a lot of details behind it.  We’re going to hand out a bunch of paper so that everybody will know exactly what we’re talking about.  But the principles are pretty straightforward.

First, I believe we need to stay focused on enforcement.  That means continuing to strengthen security at our borders.  It means cracking down more forcefully on businesses that knowingly hire undocumented workers.  To be fair, most businesses want to do the right thing, but a lot of them have a hard time figuring out who’s here legally, who’s not.  So we need to implement a national system that allows businesses to quickly and accurately verify someone’s employment status.  And if they still knowingly hire undocumented workers, then we need to ramp up the penalties.

Second, we have to deal with the 11 million individuals who are here illegally.  We all agree that these men and women should have to earn their way to citizenship.  But for comprehensive immigration reform to work, it must be clear from the outset that there is a pathway to citizenship.  (Applause.)

We’ve got to lay out a path — a process that includes passing a background check, paying taxes, paying a penalty, learning English, and then going to the back of the line, behind all the folks who are trying to come here legally.  That’s only fair, right?  (Applause.)

So that means it won’t be a quick process but it will be a fair process.  And it will lift these individuals out of the shadows and give them a chance to earn their way to a green card and eventually to citizenship.  (Applause.)

And the third principle is we’ve got to bring our legal immigration system into the 21st century because it no longer reflects the realities of our time.  (Applause.)  For example, if you are a citizen, you shouldn’t have to wait years before your family is able to join you in America.  You shouldn’t have to wait years.  (Applause.)

If you’re a foreign student who wants to pursue a career in science or technology, or a foreign entrepreneur who wants to start a business with the backing of American investors, we should help you do that here.  Because if you succeed, you’ll create American businesses and American jobs.  You’ll help us grow our economy.  You’ll help us strengthen our middle class.

So that’s what comprehensive immigration reform looks like:  smarter enforcement; a pathway to earned citizenship; improvements in the legal immigration system so that we continue to be a magnet for the best and the brightest all around the world.  It’s pretty straightforward.

The question now is simple:  Do we have the resolve as a people, as a country, as a government to finally put this issue behind us?  I believe that we do.  I believe that we do.  (Applause.)  I believe we are finally at a moment where comprehensive immigration reform is within our grasp.

But I promise you this:  The closer we get, the more emotional this debate is going to become.  Immigration has always been an issue that enflames passions.  That’s not surprising.  There are few things that are more important to us as a society than who gets to come here and call our country home; who gets the privilege of becoming a citizen of the United States of America.  That’s a big deal.

When we talk about that in the abstract, it’s easy sometimes for the discussion to take on a feeling of “us” versus “them.”  And when that happens, a lot of folks forget that most of “us” used to be “them.”  We forget that.  (Applause.)

It’s really important for us to remember our history.  Unless you’re one of the first Americans, a Native American, you came from someplace else.  Somebody brought you.  (Applause.)

Ken Salazar, he’s of Mexican American descent, but he points that his family has been living where he lives for 400 years, so he didn’t immigrate anywhere.  (Laughter.)

The Irish who left behind a land of famine.  The Germans who fled persecution.  The Scandinavians who arrived eager to pioneer out west.  The Polish.  The Russians.  The Italians.  The Chinese.  The Japanese.  The West Indians.  The huddled masses who came through Ellis Island on one coast and Angel Island on the other.  (Applause.)  All those folks, before they were “us,” they were “them.”

And when each new wave of immigrants arrived, they faced resistance from those who were already here.  They faced hardship.  They faced racism.  They faced ridicule.  But over time, as they went about their daily lives, as they earned a living, as they raised a family, as they built a community, as their kids went to school here, they did their part to build a nation.

They were the Einsteins and the Carnegies.  But they were also the millions of women and men whose names history may not remember, but whose actions helped make us who we are; who built this country hand by hand, brick by brick.  (Applause.)  They all came here knowing that what makes somebody an American is not just blood or birth, but allegiance to our founding principles and the faith in the idea that anyone from anywhere can write the next great chapter of our story.

And that’s still true today.  Just ask Alan Aleman.  Alan is here this afternoon — where is Alan?  He’s around here — there he is right here.  (Applause.)  Alan was born in Mexico.  (Applause.)  He was brought to this country by his parents when he was a child.  Growing up, Alan went to an American school, pledged allegiance to the American flag, felt American in every way — and he was, except for one:  on paper.

In high school, Alan watched his friends come of age — driving around town with their new licenses, earning some extra cash from their summer jobs at the mall.  He knew he couldn’t do those things.  But it didn’t matter that much.  What mattered to Alan was earning an education so that he could live up to his God-given potential.

Last year, when Alan heard the news that we were going to offer a chance for folks like him to emerge from the shadows — even if it’s just for two years at a time — he was one of the first to sign up.  And a few months ago he was one of the first people in Nevada to get approved.  (Applause.)  In that moment, Alan said, “I felt the fear vanish.  I felt accepted.”

So today, Alan is in his second year at the College of Southern Nevada.  (Applause.)  Alan is studying to become a doctor.  (Applause.)  He hopes to join the Air Force.  He’s working hard every single day to build a better life for himself and his family.  And all he wants is the opportunity to do his part to build a better America.  (Applause.)

So in the coming weeks, as the idea of reform becomes more real and the debate becomes more heated, and there are folks who are trying to pull this thing apart, remember Alan and all those who share the same hopes and the same dreams.  Remember that this is not just a debate about policy.  It’s about people.  It’s about men and women and young people who want nothing more than the chance to earn their way into the American story.

Throughout our history, that has only made our nation stronger.  And it’s how we will make sure that this century is the same as the last:  an American century welcoming of everybody who aspires to do something more, and who is willing to work hard to do it, and is willing to pledge that allegiance to our flag.

Thank you.  God bless you.  And God bless the United States of America.  (Applause.)

END                12:05 P.M. PST

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History Repeats Itself on The Fiscal Cliff–House of Representatives Should Extend Bush Tax Rates Another Year–Let Obama Jump Off The Fiscal Cliff–Focus On Growing The Economy By Lowering Tax Rates and Balancing The Budget–Videos

Posted on December 2, 2012. Filed under: American History, Blogroll, Business, Communications, Economics, Education, Employment, Federal Government, Federal Government Budget, Fiscal Policy, Food, Foreign Policy, government spending, Health Care, history, Law, liberty, Links, Macroeconomics, Microeconomics, People, Philosophy, Politics, Raves, Resources, Tax Policy, Video, War, Wisdom | Tags: , , , |

Barack Obama-Taking Us Over a Cliff

Balancing the Budget Without Cutting Spending Would Cause Taxes to Skyrocket

America is running massive deficits, and a balanced budget requirement is often considered a way to rein in red ink.

Without serious entitlement and spending reforms, the level of taxes required to balance the budget would reach economically stagnating levels.

balancing-budget-680

Entitlement Spending Will Nearly Double by 2050

Spending on Medicare, Medicaid, Social Security, and the Obamacare subsidies will soar as 78 million baby boomers retire and health care costs climb.

Total spending on federal health care programs will more than double.

Future generations will be left with an untenable debt burden.

entitlement-spending-double

Tax Revenues Devoured By Medicare, Medicaid, and Social Security in 2045

Spending on Medicare, Medicaid, the Obamacare subsidies, and Social Security will devour all revenues by 2045.

Entitlement spending is already crowding out vital constitutional functions, such as defense.\

entitlements-historical-tax-levels

Robert Welch Accurately Predicted Fall Off Fiscal Cliff in 1974

Peter Schiff 2012 – Stop spending and consuming, start saving and producing! 

What is the Fiscal Cliff? Everything You Need To Know

Pat Buchanan: Republicans Should Stand Their Ground on Tax Hikes

Speaker Boehner: “I’m Determined to Solve Our Debt Problem. We Have a Serious Spending Problem”

Ouch! Geithner Is Busted Lying About Non-Existent War Savings

Timothy Geithner ‘This Week’ Interview: Fiscal Cliff is in the GOP’s Court 

Fiscal Cliff Explained – How Do We Land? Mike Maloney Gold & Silver Inc 

When Will the Real Fiscal Cliff Negotiations Begin?: ‘This Week’ Roundtable Discussion 

Ron Paul on Secession, Romney, Fiscal Cliff, the GOP’s Future and

Constitutional Conservatism or Die

Fiscal Cliff history lesson

Hear a history lesson about the fiscal cliff of 1990 known as the 1990 Budget summit agreement. It resulted in budget surpluses and balanced budgets for our federal government from 1994 until just after the attack of 9/11 of 2001. Elizabeth B. Letchworth is the only women in the United States Senate history to be elected by the Senate to serve as the U.S. Senate Secretary for the Majority for the Republicans. She is now a principal @ Congressional Global Strategy, LLC and owner of GradeGov.com

Related Posts On Pronk Palisades

Forward Off The Fiscal Cliff…Falling…Falling…Splat!–Videos

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Obama’s 11 Million Jobs Gap And 43 Months of Above 8% Unemployment Rates–Recovery In 2020?–Videos

Posted on October 2, 2012. Filed under: American History, Banking, Blogroll, Business, Economics, Employment, Federal Government, Federal Government Budget, Fiscal Policy, government, government spending, history, Law, liberty, Life, Links, Macroeconomics, media, Microeconomics, Monetary Policy, Money, People, Philosophy, Politics, Rants, Raves, Tax Policy, Taxes, Technology, Unemployment, Video, Wealth, Wisdom | Tags: , , , , , , , , , |

Recovery 2020! We’re Barely on Pace to Close the Jobs Gap This Decade

“…At this rate, we’ll close the jobs gap in roughly … eight years.

Eight years!?

Yep, that is the conclusion from Michael Greenstone and Adam Looney at the Hamilton Project. Today the country faces a 11 million-person jobs gap. This “jobs gap” represents the number of jobs that the U.S. economy needs to  return to pre-recession employment rates while also (this part is key!) absorbing everybody joining the labor force.

It’s not just enough to make jobs for everybody seeking work this year. We also have to account for the millions of people joining the workforce over the next decade. Filling the jobs gap is like filling a bucket that gets deeper every minute. How much deeper? Greenstone and Looney balance an influx of immigrant workers against the retirement of the baby boomers and conclude that labor force is likely to expand at a slowing pace. Before the Great Recession, it was growing at about 130,000 people per month. In the next few years, it will slow to 90,000 a month, they project. …”

http://www.theatlantic.com/business/archive/2012/03/recovery-2020-were-barely-on-pace-to-close-the-jobs-gap-this-decade/254388/

CBS: “This Is The Worst Economic Recovery America Has Ever Had” 

Vice Chairman Brady Questions BLS Commissioner at JEC Hearing on the Employment Situation

At a Joint Economic Committee Hearing on the Employment Situation, Representative Kevin Brady, Vice Chairman, questions Witness Dr. Keith Hall, Commissioner, Bureau of Labor Statistics about the effect of government spending on private sector job growth.

Vice Chairman Brady Questions Commissioner Hall about Labor Force Participation Rate at JEC Hearing 

Background Articles and Videos

Rep. Brady Questions BLS Commissioner on the Need for