President Joe Biden has declared that his proposed $3.5 (or is it $5.5?) trillion “Build Back Better” social agenda will have a “zero” cost—as in $0.00! Why? Because the added expenditures will be covered by increased revenues drawn from businesses and the “rich.”
The President and other progressive Democrats, who have parroted the Biden claim, should reflect on the wisdom of the late Milton Friedman, who had a knack for crystallizing stark economic truths.
During the early 1980s, when supply-side economics was the rage, Reagan Republicans promoted tax-rate cuts as a means of reviving the economy (because the cuts would increase people’s incentives to work, save, and invest), which Friedman believed distracted them from concern about what was happening to government outlays, which continued to rise throughout the decade.
Friedman framed the fiscal issues of the day differently, and with far greater clarity than anyone else. He admonished everyone (including President Reagan’s advisors), to “Keep your eye on one thing and one thing only: how much government is spending, because that’s the true tax. . . If you’re not paying for it in the form of explicit taxes, you’re paying for it indirectly in the form of inflation or in the form of borrowing.”
And make no mistake, government outlays have risen substantially, especially lately, increasing from $3.9 trillion in 2016 to $6.6 trillion in 2020 (including Covid outlays). Even without passage of the reconciliation bill, the White House estimates that federal outlays will continue their upward march through 2026.
Friedman understood that the real taxes on the economy ultimately come in the form of government outlays siphoning off resources for public purposes that would otherwise be used in the private sector. If the government chooses to build a bridge or road, the concrete and steel could have been used to produce houses and office buildings.
How the added government outlays are financed—through taxes, newly printed dollars and inflation, or debt—is of secondary importance, perhaps only marginally affecting people’s incentives. The costs of expanded government outlays will be incurred through the shift of resources from private-directed uses to public-directed uses.
By declaring that his “Build Back Better” agenda has no costs, President Biden must be confused—if he truly means what he has been saying. He may think that the dollars expended for an expanded array of welfare recipients will come only at the expense of the “rich.” Not so at all. Those transferred dollars will enable the recipients to buy goods they could not otherwise buy, which means they can pull resources away from the production of the variety of goods that ordinary Walmart (and Home Depot and Kroger) shoppers, many with far less-than-privileged means, would have bought.
Richard McKenzie is an economics professor (emeritus) in the Merage Business School at the University of California, Irvine. His latest book is The Selfish Brain: A Layman’s Guide to a New Way of Economic Thinking (2021).
No, of course not. But it still might happen anyway.
A specter is haunting the Biden administration — the specter of inflation. Past inflations have not only harmed consumers, savers, and people on fixed incomes. They have also brought down politicians. Among the risks to the Democratic congressional majority is a rise in prices that lifts inflation to near the top of voters’ concerns, coupled by the type of Fed rate increase that hits stocks and housing. Inflation is one more signpost on the road to Republican revival, along with illegal immigration, crime, and semi-closed public schools embracing far-left critical race theory.
Milton Friedman’s FREE TO CHOOSE “How to cure inflation” Transcript and Video (60 Minutes)
In 1980 I read the book FREE TO CHOOSE by Milton Friedman and it really enlightened me a tremendous amount. I suggest checking out these episodes and transcripts of Milton Friedman’s film series FREE TO CHOOSE: “The Failure of Socialism” and “What is wrong with our schools?” and “Created Equal” and From Cradle to Grave, and – Power of the Market.“If we could just stop the printing presses, we would stop inflation,” Milton Friedman says in “How to Cure Inflation” from the Free To Choose series. Now as then, there is only one cause of inflation, and that is when governments print too much money. Milton explains why it is that politicians like inflation, and why wage and price controls are not solutions to the problem.
http://www.freetochoosemedia.org/freetochoose/detail_ftc1980_transcript.php?page=9While many people have a fairly good grasp of what inflation is, few really understand its fundamental cause. There are many popular scapegoats: labor unions, big business, spendthrift consumers, greed, and international forces. Dr. Friedman explains that the actual cause is a government that has exclusive control of the money supply. Friedman says that the solution to inflation is well known among those who have the power to stop it: simply slow down the rate at which new money is printed. But government is one of the primary beneficiaries of inflation. By inflating the currency, tax revenues rise as families are pushed into higher income tax brackets. Thus, inflation transfers wealth and resources from the private to the public sector. In short, inflation is attractive to government because it is a way of increasing taxes without having to pass new legislation to raise tax rates. Inflation is in fact taxation without representation. Wage and price controls are not the cure for inflation because they treat only the symptom (rising prices) and not the disease (monetary expansion). History records that such controls do not work; instead, they have perverse effects on both prices and economic growth and undermine the fundamental productivity of the economy. There is only one cure for inflation: slow the printing presses. But the cure produces the painful side effects of a temporary increase in unemployment and reduced economic growth. It takes considerable political courage to undergo the cure. Friedman cites the example of Japan, which successfully underwent the cure in the mid-seventies but took five years to squeeze inflation out of the system. Inflation is a social disease that has the potential for destroying a free society if it is unchecked. Prolonged inflation undermines belief in the basic equity of the free market system because it tends to destroy the link between effort and reward. And it tears the social fabric because it divides society into winners and losers and sets group against group.(Taxation without representation: Getting knocked up to higher tax brackets because of inflation pt 1)http://www.youtube.com/watch?v=b1dTWDNKH3c
Volume 9 – How to Cure Inflation
Transcript:
Friedman: The Sierra Nevada’s in California 10,000 feet above sea level, in the winter temperatures drop to 40 below zero, in the summer the place bakes in the thin mountain air. In this unlikely spot the town of Body sprang up. In its day Body was filled with prostitutes, drunkards and gamblers part of a colorful history of the American West.
A century ago, this was a town of 10,000 people. What brought them here? Gold. If this were real gold, people would be scrambling for it. The series of gold strikes throughout the West brought people from all over the world, all kinds of people. They came here for one purpose and one purpose only, to strike it rich, quick. But in the process, they built towns, cities, in places where nobody would otherwise have dreamed of building a city. Gold built these cities and when the gold was exhausted, the cities collapsed and became ghost towns. Many of the people who came here ended up the way they began, broke and unhappy. But a few struck it rich. For them, gold was real wealth. But was it for the world as a whole. People couldn’t eat the gold, they couldn’t wear the gold, they couldn’t live in houses made of gold. Because there was more gold, they had to pay a little more gold to buy goods and services. The prices of things in terms of gold went up.
At tremendous cost, at sacrifice of lives, people dug gold out of the bowels of the earth. What happened to that gold? Eventually, at long last, it was transported to distant places only to be buried again under the ground. This time in the vaults of banks throughout the world. There is hardly anything that hasn’t been used for money; rock salt in Ethiopia, brass rings in West Africa, Calgary shells in Uganda, even a toy cannon. Anything can be used as money. Crocodile money in Malaysia, absurd isn’t it?
That beleaguered minority of the population that still smokes may recognize this stuff as the raw material from which their cigarettes are made. But in the early days of the colonies, long before the U.S. was established, this was money. It was the common money of Virginia, Maryland and the Carolinas. It was used for all sorts of things. The legislature voted that it could be used legally to pay taxes. It was used to buy food, clothing and housing. Indeed, one of the most interesting sites was to see the husky young fellows at that time, lug 100 pounds of it down to the docks to pay the costs of the passage of the beauteous young ladies who had come over from England to be their brides.
Now you know how money is. There’s a tendency for it to grow, for more and more of it to be produced and that’s what happened with this tobacco. As more tobacco was produced, there was more money. And as always when there’s more money, prices went up. Inflation. Indeed, at the very end of the process, prices were 40 times as high in terms of tobacco as they had been at the beginning of the process. And as always when inflation occurs, people complained. And as always, the legislature tried to do something. And as always, to very little avail. They prohibited certain classes of people from growing tobacco. They tried to reduce the total amount of tobacco grown, they required people to destroy part of their tobacco. But it did no good. Finally, many people took it into their own hands and they went around destroying other people’s tobacco fields. That was too much. Then they passed a law making it a capital offense, punishable by death, to destroy somebody else’s tobacco. Grecian’s Law, one of the oldest laws in economics, was well illustrated. That law says that cheap money drives out dear money and so it was with tobacco. Anybody who had a debt to pay, of course, tried to pay it in the worst quality of tobacco he had. He saved the good tobacco to sell overseas for hard money. The result was that bad money drove out good money.
Finally, almost a century after they had started using tobacco as money, they established warehouses in which tobacco was deposited in barrels, certified by an inspector according to his views as to it’s quality and quantity. And they issued warehouse certificates which people gave from one to another to pay for the bills that they accumulated.
These pieces of green printed paper are today’s counterparts of those tobacco certificates. Except that they bear no relation to any commodity. In this program I want to take you to Britain to see how inflation weakens the social fabric of society. Then to Tokyo, where the Japanese have the courage to cure inflation. To Berlin, where there is a lesson to be learned from the West Germans and how so called cures are often worse than the disease. And to Washington where our government keeps these machines working overtime. And I am going to show you how inflation can be cured.
The fact is that most people enjoy the early stages of the inflationary process. Britain, in the swinging 60’s, there was plenty of money around, business was brisk, jobs were plentiful and prices had not yet taken off. Everybody seemed happy at first. But by the early 70’s, as the good times rolled along, prices started to rise more and more rapidly. Soon, some of these people are going to lose their jobs. The party was coming to an end.
The story is much the same in the U.S. Only the process started a little later. We’ve had one inflationary party after another. Yet we still can’t seem to avoid them. How come?
Before every election our representatives would like to make us think we are getting a tax break. When they are able to do it, while at the same time actually raising our taxes because of a bit of magic they have in their kit bag. That magic is inflation. They reduced the tax rates but the taxes we have to pay go up because we are automatically shoved into higher brackets by the effective inflation. A neat trick. Taxation without representation.
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Pt 2 Many a political leader has been tempted to turn to wage and price controls despite their repeated failure in practice. On this subject they never seem to learn. But some lessons may be learned. That happened to British P
Bob Crawford: The more I work, it seems like the more they take off me. I know if I work an extra day or two extra days, what they take in federal income tax alone is almost doubled because apparently it puts you in a higher income tax bracket and it takes more off you.
Friedman: Bob Crawford lives with his wife and three children in a suburb of Pittsburgh. They’re a fairly average American family.
Mrs. Crawford: Don’t slam the door Daphne. Okay. Alright. What are you doing? Making your favorite dish.
Friedman: We went to the Crawford’s home after he had spent a couple of days working out his federal and state income taxes for the year. For our benefit, he tried to estimate all the other taxes he had paid as well. In the end, though, he didn’t discover much that would surprise anybody.
Bob Crawford: Inflation is going up, everything is getting more expensive. No matter what you do, as soon as you walk out of the house, everything went up. Your gas bills keep going up, electric bills, your gasoline, you can name a thousand things that are going up. Everything is going sky high. Your food. My wife goes to the grocery store. We used to live on say, $60 or $50 every two weeks just for our basic food. Now it’s $80 or $90 every two weeks. Things are just going out of sight as far as expense to live on. Like I say it’s getting tough. It seems like every month it gets worse and worse. And I don’t know where it’s going to end. At the end of the day that I spend nearly $6,000 of my earnings on taxes. That leaves me with a total of $12,000 to live on. It might seem like a lot of money, but five, six years ago I was earning $12,000.
Friedman: How does taxation without representation really effect how much the Crawford family has left to spend after it’s paid its income taxes. Well in 1972 Bob Crawford earned $12,000. Some of that income was not subject to income tax. After paying income tax on the rest he had this much left to spend. Six years later he was earning $18,000 a year. By 1978 the amount free from tax was larger. But he was now in a higher tax bracket so his taxes went up by a larger percentage than his income. However, those dollars weren’t worth anything like as much. Even his wages, let alone his income after taxes, hadn’t kept up with inflation. His buying power was lower than before. That is taxation without representation in practice.
Unnamed Individual: We have with us today you brothers that are sitting here today that were with us on that committee and I’d like to tell you….
Friedman: There are many traditional scapegoats blamed for inflation. How often have you heard inflation blamed on labor unions for pushing up wages. Workers, of course, don’t agree.
Unnamed Individual: But fellows this is not true. This is subterfuge. This is a myth. Your wage rates are not creating inflation.
Friedman: And he’s right. Higher wages are mostly a result of inflation rather than a cause of it. Indeed, the impression that unions cause inflation arises partly because union wages are slow to react to inflation and then there is pressure to catch up.
Worker: On a day to day basis, try to represent our own numbers. But that in fact is not the case. Not only can we not play catch up, we can’t even maintain a wage rate commensurate with the cost of living that’s gone up in this country.
Friedman: Another scapegoat for inflation is the cost of goods coming from abroad. Inflation, we’re told, is imported. Higher prices abroad driving up prices at home. It’s another way government can blame someone else for inflation. But this argument, too, is wrong. The prices of imports and the countries from which they come are not in terms of dollars, they are in terms of lira or yen or other foreign currencies. What happens to their prices in dollars depends on exchange rates which in turn reflect inflation in the United States.
Since 1973 some governments have had a field day blaming the Arabs for inflation. But if high oil prices were the cause of inflation, how is it that inflation has been less here in Germany, a country that must import every drop of oil and gas that it uses on the roads and in industry, then for example it is in the U.S. which produces half of its own oil. Japan has no oil of its own at all. Yet at the very time the Arabs were quadrupling oil prices, the Japanese people were bringing inflation down from 30 to less than 5% a year. The fallacy is to confuse particular prices like the price of oil, with prices in general. Back at home, President Nixon understood this.
Nixon: “Now here’s what I will not do. I will not take this nation down the road of wage and price controls however politically expedient that may seem. The pros of rationing may seem like an easy way out, but they are really an easy way in for more trouble. To the explosion that follows when you try to clamp a lid on a rising head of steam without turning down the fire under the pot, wage and price controls only postpone the day of reckoning. And in so doing, they rob every American of a very important part of his freedom.
Friedman: Now listen to this:
Nixon: “The time has come for decisive action. Action that will break the vicious circle of spiraling prices and costs. I am today ordering a freeze on all prices and wages throughout the United States for a period of 90 days. In addition, I call upon corporations to extend the wage price freeze to all dividends.”
Friedman: Many a political leader has been tempted to turn to wage and price controls despite their repeated failure in practice. On this subject they never seem to learn. But some lessons may be learned. That happened to British Prime Minister James Callahan who finally discovered that a very different economic myth was wrong. He told the Labor Party Conference about it in 1976.
James Callahan: “We used to think that you could use, spend your way out of a recession and increase employment by cutting taxes and boosting government spending. I tell you in all candor that option no longer exists. It only works on each occasion since the war by injecting a bigger dose of inflation into the economy followed by a higher level of unemployment as the next step. That’s the history of the last 20 years.”
Friedman: Well, it’s one thing to say it. One reason why inflation does so much harm is because it effects different groups differently. Some benefit and of course they attribute that to their own cleverness. Some are hurt, but of course they attribute that to the evil actions of other people. And the whole problem is made far worse by the false cures which government adopts, particularly wage and price control.
The garbage collectors in London felt justifiably aggrieved because their wages had not been permitted to keep pace with the cost of living. They struck, hurting not the people who impose the controls, but their friends and neighbors who had to live with mounting piles of rat infested garbage. Hospital attendants felt justifiably aggrieved because their wages had not been permitted to keep up with the cost of living. They struck, hurting not the people who impose the controls, but cancer patients who were turned out of hospital beds. The attendants behaved as a group in a way they never would have behaved as individuals. One group is set against another group. The social fabric of society is torn apart inflicting scars that it will take decades to heal and all to no avail because wage and price controls, far from being a cure for inflation, only make inflation worse.
Within the memory of most of our political leaders, there’s one vivid example of how economic ruin can be magnified by controls. And the classic demonstration of what to do when it happens.
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(Wage and Price Controls don’t work)
Inflation is just like alcoholism. In both cases when you start drinking or when you start printing too much money, the good effects come first. The bad effects only come later.
That’s why in both cases there is a strong temptation to overdo it. To drink too much and to print too much money. When it comes to the cure, it’s the other way around. When you stop drinking or when you stop printing money, the bad effects come first and the good effects only come later.
Pt 3
Germany, 1945, a devastated country. A nation defeated in war. The new governing body was the Allied Control Commission, representing the United States, Britain, France and the Soviet Union. They imposed strict controls on practically every aspect of life including wages and prices. Along with the effects of war, the results were tragic. The basic economic order of the country began to collapse. Money lost its value. People reverted to primitive barter where they used cameras, fountain pens, cigarettes, whiskey as money. That was less than 40 years ago.
This is Germany as we know it today. Transformed into a place a lot of people would like to live in. How did they achieve their miraculous recovery? What did they know that we don’t know?
Early one Sunday morning, it was June 20, 1948, the German Minister of Economics, Ludwig Earhardt, a professional economist, simultaneously introduced a new currency, today’s Deutsche Mark, and in one fell swoop, abolished almost all controls on prices and wages. Why did he do it on a Sunday morning? It wasn’t as you might suppose because the Stock Markets were closed on that day, it was, as he loved to confess, because the offices of the American, the British, and the French occupation authorities were closed that day. He was sure that if he had done it when they open they would have countermanded the order. It worked like a charm. Within days, the shops were full of goods. Within months, the German economy was humming along at full steam. Economists weren’t surprised at the results, after all, that’s what a price system is for. But to the rest of the world it seemed an economic miracle that a defeated and devastated country could in little more than a decade become the strongest economy on the continent of Europe.
In a sense this city, West Berlin, is something of a unique economic test tube. Set as it is deep in Communist East Germany. Two fundamentally different economic systems collide here in Europe. Ours and theirs, separated by political philosophies, definitions of freedom and a steel and concrete wall.
To digress from inflation, economic freedom does not stand alone. It is part of a wider order. I wanted to show you how much difference it makes by letting you see how the people live on the other side of that Berlin Wall. But the East German authorities wouldn’t let us. The people over there speak the same language as the people over here. They have the same culture. They have the same for bearers. They are the same people. Yet you don’t need me to tell you how differently they live. There is one simple explanation. The political system over there cannot tolerate economic freedom. The political system over here could not exist without it.
But political freedom cannot be preserved unless inflation is kept in bounds. That’s the responsibility of government which has a monopoly over places like this. The reason we have inflation in the United States or for that matter anywhere in the world is because these pieces of paper and the accompanying book entry or their counterparts in other nations are growing more rapidly than the quantity of goods and services produced. The truth is inflation is made in one place and in one place only. Here in Washington. This is the only place were there are presses like this that turn out these pieces of paper we call money. This is the place where the power resides to determine how rapidly the amount of money shall increase.
What happened to all that noise? That’s what would happen to inflation if we stop letting the amount of money grow so rapidly. This is not a new idea. It’s not a new cure. It’s not a new problem. It’s happened over and over again in history. Sometimes inflation has been cured this way on purpose. Sometimes it’s happened by accident. During the Civil War the North, late in the Civil War, overran the place in the South where the printing presses were sitting up, where the pieces of paper were being turned out. Prior to that point, the South had a very rapid inflation. If my memory serves me right, something like 4% a month. It took the Confederacy something over two weeks to find a new place where they could set up their printing presses and start them going again. During that two week period, inflation came to a halt. After the two week period, when the presses started running again, inflation started up again. It’s that clear, that straightforward. More recently, there’s another dramatic example of the only effective way to deal with rampant inflation.
In 1973, Japanese housewives going to market were faced with an unpleasant fact. The cash in their purses seemed to be losing its value. Prices were starting to sore as the awful story of inflation began to unfold once again. The Japanese government knew what to do. What’s more, they were prepared to do it. When it was all over, economists were able to record precisely what had happened. In 1971 the quantity of money started to grow more rapidly. As always happens, inflation wasn’t affected for a time. But by late 1972 it started to respond. In early 73 the government reacted. It started to cut monetary growth. But inflation continued to soar for a time. The delayed reaction made 1973 a very tough year of recession. Inflation tumbled only when the government demonstrated its determination to keep monetary growth in check. It took five years to squeeze inflation out of the system. Japan attained relative stability. Unfortunately, there’s no way to avoid the difficult road the Japanese had to follow before they could have both low inflation and a healthy economy. First they had to live through a recession until slow monetary growth had its delayed effect on inflation.
Inflation is just like alcoholism. In both cases when you start drinking or when you start printing too much money, the good effects come first. The bad effects only come later.
That’s why in both cases there is a strong temptation to overdo it. To drink too much and to print too much money. When it comes to the cure, it’s the other way around. When you stop drinking or when you stop printing money, the bad effects come first and the good effects only come later. That’s why it’s so hard to persist with the cure. In the United States, four times in the 20 years after 1957, we undertook the cure. But each time we lacked the will to continue. As a result, we had all the bad effects and none of the good effects. Japan on the other hand, by sticking to a policy of slowing down the printing presses for five years, was by 1978 able to reap all the benefits, low inflation and a recovering economy. But there is nothing special about Japan. Every country that has had the courage to persist in a policy of slow monetary growth has been able to cure inflation and at the same time achieve a healthy economy.
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Pt 4
The job of the Federal Reserve is not to run government spending; it’s not to run government taxation. The job of the Federal Reserve is to control the money supply and I believe, frankly, I have always believed as you know, that these are excuses and not reasons for the performance.
DISCUSSION
Participants: Robert McKenzie, Moderator; Milton Friedman; Congressman Clarence J. Brown; William M. Martin, Chairman of Federal Reserve 1951_1970; Beryl W. Sprinkel, Executive Vice President, Harris Bank, Chicago; Otmar Emminger, President, Ieutsche Bundesbank, Frankfurt West Germany
MCKENZIE: And here at the Harper Library of the University of Chicago, our distinguished guests have their own ideas, too. So, lets join them now.
BROWN: If you could control the money supply, you can certainly cut back or control the rate of inflation. I’d have to say that that prescription is a little bit easier to write than it is to fill. I think there are some other ways to do it and I would relate the money supply __ I think inflation is a measure of the relationship between money and the goods and services that money is meant to cover. And so if you can stimulate the goods, the production of goods and services, it’s helpful. It’s a little tougher to control the money supply, although I think it can be done, than just saying that you should control it, because we’ve got the growth of credit cards, which is a form of money; created, in effect, by the free enterprise system. It isn’t all just printed in Washington, but that may sound too defensive. I think he was right in saying that the inflation is Washington based.
MCKENZIE: Mr. Martin, nobody has been in the firing line longer than you, 17 years head of the Fed. Could you briefly comment on that and we’ll go around the group.
MARTIN: I want to say 19 years.
(Laughter)
MARTIN: I wouldn’t be out here if it weren’t for Milton Friedman, today. He came down and gave us advice from time to time.
FRIEDMAN: You’ve never taken it.
(Laughter)
MCKENZIE: He’s going to do some interviewing later, I warn you.
MARTIN: And I’m rather glad we didn’t take it __
(Laughter)
MARTIN: __ all the time.
SPRINKEL: In your 19 years as Chairman of the Federal Reserve, Bill, the average growth in the money supply was 3.1 percent per year. The inflation rate was 2.2 percent. Since you left, the money supply has exactly doubled. The inflation rate is average over 7 percent, and, of course, in recent times the money supply has been growing in double-digit territory as has our inflation rate.
EMMINGER: May I, first of all, confirm two facts which have been so vividly brought out in the film of Professor Friedman; namely, that at the basis of the relatively good performance of Western Germany were really two events. One, the establishment of a new sound money which we try to preserve sound afterwards. And, secondly, the jump overnight into a free market economy without any controls over prices and wages. These are the two fundamental facts. We have tried to preserve monetary stability by just trying to follow this prescription of Professor Friedman; namely, monetary discipline. Keeping monetary growth relatively moderate. I must, however, warn you it’s not so easy as it looks. If you just say, governments have to have the courage to persist in that course.
FRIEDMAN: Nobody does disagree with the proposition that excessive growth in money supply is an essential element in the inflationary process and that the real problem is not what to do, but how to have the courage and the will to do it. And I want to go and start, if I may, on that subject; because I think that’s what we ought to explore. Why is it we haven’t had the courage and don’t, and under what circumstances will we? And I want to start with Bill Martin because his experience is a very interesting experience. His 19 years was divided into different periods. In the first period, that average that Beryl Sprinkel spoke about, averaged two very different periods. An early period of very slow growth and slow inflation; a later period of what at the time was regarded as creeping inflation __ now we’d be delighted to get back to it. People don’t remember that at the time that Mr. Nixon introduced price and wage controls in 1971 to control an outrageous inflation, the rate of inflation was four-and-a-half percent per year. Today we’d regard that as a major achievement; but the part of the period when you were Chairman, was a period when the inflation rate was starting to creep up and money growth rate was also creeping up. Now if I go from your period, you were eloquent in your statements to the public, to the press, to everyone, about the evils of inflation, and about the determination on the Federal Reserve not to be the architect of inflation. Your successor, Arthur Burns, was just as eloquent. Made exactly the same kinds of statements as effectively, and again over and over again said the Federal Reserve will not be the architect of inflation. His successor, Mr. G. William Miller, made the same speeches, and the same statements, and the same protestations. His successor, Paul Volcker, he is making the same statements. Now my question to you is: Why is it that there has been such a striking difference between the excellent pronouncements of all Chairmen of the Fed, therefore it’s not personal on you. You have a lot of company, unfortunately for the country. Why is it that there has been such a wide diversion between the excellent pronouncements on the one hand and what I regard as a very poor performance on the other?
MARTIN: Because monetary policy is not the only element. Fiscal policy is equally important.
FRIEDMAN: You’re shifting the buck to the Treasury.
MARTIN: Yes.
FRIEDMAN: To the Congress. We’ll get to Mr. Brown, don’t worry.
MARTIN: Yeah, that’s right.
(Laughter)
MARTIN: The relationship of fiscal policy to monetary policy is one of the important things.
MCKENZIE: Would you remind us, the general audience, when you say “fiscal policy”, what you mean in distinction to “monetary policy”?
MARTIN: Well, taxation.
MCKENZIE: Yeah.
MARTIN: The raising revenue.
FRIEDMAN: And spending.
MARTIN: And spending.
FRIEDMAN: And deficits.
MARTIN: And deficits, yes, exactly. And I think that you have to realize that when I’ve talked for a long time about the independence of the Federal Reserve. That’s independence within the government, not independence of the government. And I’ve worked consistently with the Treasury to try to see that the government is financed. Now this gets back to spending. The government says they’re gonna spend a certain amount, and then it turns out they don’t spend that amount. It doubles.
FRIEDMAN: The job of the Federal Reserve is not to run government spending; it’s not to run government taxation. The job of the Federal Reserve is to control the money supply and I believe, frankly, I have always believed as you know, that these are excuses and not reasons for the performance.
MARTIN: Well that’s where you and I differ, because I think we would be irresponsible if we didn’t take into account the needs and what the government is saying and doing. I think if we just went on our own, irresponsibly, I say it on this, because I was in the Treasury before I came to this __
FRIEDMAN: I know. I know.
MARTIN: __ go to the Fed; and I know the other side of the picture. I think we’d be rightly condemned by the American people and by the electorate.
FRIEDMAN: Every central bank in this world, including the German Central Bank, including the Federal Reserve System, has the technical capacity to make the money supply do over a period of two or three or four months, not daily, but over a period, has the technical capacity to control it.
(Several people talking at once.)
FRIEDMAN: I cannot explain the kind of excessive money creation that has occurred, in terms of the technical incapacity of the Federal Reserve System or of the German Central Bank, or of the Bank of England, or any other central bank in the world.
EMMINGER: I wouldn’t say technically we are incapable of doing that, although we have never succeeded in controlling the money supply month that way. But I would say we can, technically, control it half yearly, from one half-year period to the next and that would be sufficient __
FRIEDMAN: That would be sufficient.
EMMINGER: __ for controlling inflation. But however I __
VOICE OFF SCREEN: It doesn’t move.
FRIEDMAN: I’m an economic scientist, and I’m trying to observe phenomena, and I observe that every Federal Reserve Chairman says one thing and does another. I don’t mean he does, the system does.
MCKENZIE: Yeah. How different is your setup in Germany? You’ve heard this problem of governments getting committed to spending and the Fed having, one way or the other, to accommodate itself to it. Now what’s your position on this very interesting problem?
EMMINGER: We are very independent of the government, from the government, but, on the other hand, we are an advisor of the government. Also on the budget deficits and they would not easily go before Parliament with a deficit which much of it is openly criticized and disapproved by the same bank. Why because we have a tradition in our country that we can also publicly criticize the government on his account. And second, as if happened in our case too, the government goes beyond what is tolerable for the sake of moral equilibrium. We have let it come through in the capital markets. That is to say they have enough interest rates that has drawn public criticism and that has had some effect on their attitude.
_________________________________________
Pt 5
I think that is a very important point that Dr. Emminger just made because there is not a one-to-one relationship between government deficits and what happens to the money supply at all. The pressure on the Federal Reserve comes indirectly. It comes because large government deficits, if they are financed in the general capital market, will drive up interest rates and then we have the right patents in Congress and their successors pressuring the Federal Reserve to enter in and finance the deficit by printing money as a way of supposedly holding down interest rates. Now before I turn to Mr. Brown and ask him that, I just want to make one point which is very important. The Federal Reserve’s activities in trying to hold down interest rates have put us in a position where we have the highest interest rates in history. It’s another example of how, of the difference between the announced intentions of a policy, and the actual results. But now I want to come to Clarence Brown and ask him, shift the buck to him, and put him on the hot seat for a bit. The government spending has been going up rapidly, Republican administration or Democratic administration. This is a nonpartisan issue, it doesn’t matter. Government deficits have been going up rapidly. Republican administration or Democratic administration. Why is it that here again you have the difference between pronouncements and performance? There is no Congressman, no Senator, who will come out and say, “I am in favor of inflation.” There is not a single one who will say, “I am in favor of big deficits.” They’ll all say we want to balance the budget, we want to hold down spending, we want an economical government. How do you explain the difference between performance and talk on the side of Congress?
BROWN:
FRIEDMAN: I think that is a very important point that Dr. Emminger just made because there is not a one-to-one relationship between government deficits and what happens to the money supply at all. The pressure on the Federal Reserve comes indirectly. It comes because large government deficits, if they are financed in the general capital market, will drive up interest rates and then we have the right patents in Congress and their successors pressuring the Federal Reserve to enter in and finance the deficit by printing money as a way of supposedly holding down interest rates. Now before I turn to Mr. Brown and ask him that, I just want to make one point which is very important. The Federal Reserve’s activities in trying to hold down interest rates have put us in a position where we have the highest interest rates in history. It’s another example of how, of the difference between the announced intentions of a policy, and the actual results. But now I want to come to Clarence Brown and ask him, shift the buck to him, and put him on the hot seat for a bit. The government spending has been going up rapidly, Republican administration or Democratic administration. This is a nonpartisan issue, it doesn’t matter. Government deficits have been going up rapidly. Republican administration or Democratic administration. Why is it that here again you have the difference between pronouncements and performance? There is no Congressman, no Senator, who will come out and say, “I am in favor of inflation.” There is not a single one who will say, “I am in favor of big deficits.” They’ll all say we want to balance the budget, we want to hold down spending, we want an economical government. How do you explain the difference between performance and talk on the side of Congress?
BROWN: Well, first I think we have to make one point. I’m not so much with the government as I am against it.
FRIEDMAN: I understand.
BROWN: As you know, I’m a minority member of Congress.
FRIEDMAN: Again, I’m not __ I’m not directing this at you personally.
BROWN: I understand, of course; and while the administrations, as you’ve mentioned, Republican and Democratic administrations, have both been responsible for increases in spending, at least in terms of their recommendations. It is the Congress and only the Congress that appropriates the funds and determines what the taxes are. The President has no authority to do that and so one must lay it at the feet of the U.S. Congress. Now, I guess we’d have to concede that it’s a little bit more fun to give away things than it is to withhold them. And this is the reason that the Congress responds to a general public that says, “I want you to cut everybody else’s program but the one in which I am most particularly interested. Save money, but incidentally, my wife is taking care of the orphanages and so lets try to help the orphanages,” or whatever it is. Let me try to make a point, if I can, however, on what I think is a new spirit moving within the Congress and that is that inflation, as a national affliction, is beginning to have an impact on the political psychology of many Americans. Now the Germans, the Japanese and others have had this terrific postwar inflation. The Germans have been through it twice, after World War I and World War II, and it’s a part of their national psyche. But we are affected in this country by the depression. Our whole tax structure is built on the depression. The idea of the tax structure in the past has been to get the money out of the mattress where it went after the banks failed in this country and jobs were lost, and out of the woodshed or the tin box in the back yard, get it out of there and put it into circulation. Get it moving, get things going. And one of the ways to do that was to encourage inflation. Because if you held on to it, the money would depreciate; and the other way was to tax it away from people and let the government spend it. Now there’s a reaction to that and people are beginning to say, “Wait just a minute. We’re not afflicted as much as we were by depression. We’re now afflicted by inflation, and we’d like for you to get it under control.” Now you can do that in another way and that without reducing the money supply radically. I think the Joint Economic Committee has recommended that we do it gradually. But the way that you can do it is to reduce taxes and the impact of government, that is the weight of government and increase private savings so that the private savings can finance some of the debt that you have.
FRIEDMAN: There is no way you can do it without reducing, in my opinion, the rate of monetary growth. And I, recognizing the facts, even though they ought not to be that way, I wonder whether you can reduce the rate of monetary growth unless Congress actually does reduce government spending as well as government taxes.
BROWN: The problem is that every time we use demand management, we get into a kind of an iron maiden kind of situation. We twist this way and one of the spikes grabs us here, so we twist that way and a spike over here gets us. And every recession has had higher basic unemployment rates than the previous recession in the last several years and every inflation has had higher inflation. We’ve got to get that tilt out of the society.
MCKENZIE: Wouldn’t it be fair to say, though, that a fundamental difference is the Germans are more deeply fearful of a return to inflation, having had the horrifying experience between the wars, especially. We tend to be more afraid of recession turning into depression.
EMMINGER: I think there is something in it and in particular in Germany the government would have to fear very much in their electoral prospects if they went into such an election period with a high inflation rate. But there is another important difference.
MARTIN: We fear unemployment more than inflation it seems.
EMMINGER: You fear unemployment, but unemployment is feared with us, too, but inflation is just as much feared. But there is another difference; namely, once you have got into that escalating inflation, every time the base, the plateau is higher, it’s extremely difficult to get out of it. You must avoid getting into that, now that’s very cheap advice from me because you are now.
(Laughing)
EMMINGER: But we had, for the last fifteen, twenty years, always studied foreign experiences, and told ourselves we never must get into this vicious circle. Once you are in, it takes a long time to get out of it. That is what I am preaching now, that we should avoid at all costs to get again into this vicious circle as we had it already in ’73_’74. It took us, also, four years to get out of it, although we were only at eight percent inflation. Four years to get down to three percent. So you __
MCKENZIE: Those were __ yes.
EMMINGER: You have, I think, the question of whether you can do if in a gradualist way over many, many years, or whether you don’t need a sort of shock treatment.
____________________________________
her we go into a period of still higher unemployment later on and have it to do all over again. That’s the only choice we face. And when the public at large recognizes that, they will then elect people to Congress, and a President to office who is committed to less government spending and to less government printing of money and until that happens we will not cure inflation
Pt 6
SPRINKEL: The film said it took the Japanese _ what _ four years?
FRIEDMAN: Five years.
SPRINKEL: Five years. But one of my greatest concerns is that we haven’t suffered enough yet. Most of the nations that have finally got their inflations __
BROWN: Bad election speech.
SPRINKEL: __ well, I’m not running for office, Clarence.
(Laughter)
SPRINKEL: Most countries that finally got their inflation under control had 20, 30 percent or worse inflation. Germany had much worse and the public supports them. We live in a Democracy, and we’re getting constituencies that gain from inflation. You look at people that own real estate, they’ve done very well.
MCKENZIE: Yes.
SPRINKEL: And how can we get there without going through even more pain, and I doubt that we will.
FRIEDMAN: If you ask who are the constituencies that have benefited most from inflation there are no doubt, it is the homeowners.
SPRINKEL: Yes.
FRIEDMAN: But it’s also the __ it’s also the Congressmen who have been able to vote higher spending without having to vote higher taxes. They have in fact __
BROWN: That’s right.
FRIEDMAN: __ Congress has in fact voted for inflation. But you have never had a Congressman on record to that effect. It’s the government civil servants who have their own salaries are indexed and tied to inflation. They have a retirement benefit, a retirement pension that’s tied to inflation. They qualify, a large fraction of them, for Social Security as well, which is tied to inflation. So that the beneficial __
BROWN: Labor contracts that are indexed and many pricing things that are tied to it.
FRIEDMAN: But the one thing that isn’t tied to inflation and here I want to come back and ask why Congress has been so __ so bad in this area, is our taxes. It has been impossible to get Congress to index the tax system so that you don’t have the present effect where every one percent increase in inflation pushes people up into higher brackets and forces them to pay higher taxes.
BROWN: Well, as you know, I’m an advocate of that.
FRIEDMAN: I know you are.
MCKENZIE: Some countries do that, of course.
FRIEDMAN: Oh, of course.
MCKENZIE: Canada does that. Indexes the __
BROWN: And I went up to Canada on a little weekend seminar program on indexing and came back an advocate of indexing because I found out that the people who are delighted with indexing are the taxpayers.
FRIEDMAN: Absolutely.
BROWN: Because as the inflation rate goes up their tax level either maintains at the same level or goes down. The people who are least __ well, the people who are very unhappy with it are the people who have to plan government spending because it is reducing the amount of money that the government has rather than watching it go up by ten or twelve billion. You get a little dividend to spend in this country, the bureaucrats do every year, but the politicians are unhappy with it too, as Dr. Friedman points out because, you see, politicians don’t get to vote a tax reduction, it happens automatically.
MCKENZIE: Yeah.
BROWN: And so you can’t go back and in a praiseworthy way tell your constituents that I am for you, I voted a tax reduction. And I think we ought to be able to index the tax system so that tax reduction is automatic, rather than have what we’ve had in the past, and that is an automatic increase in the taxes. And the politicians say, “Well, we’re sorry about inflation, but __”.
FRIEDMAN: You’re right and I want to __ I want to go and make a very different point. I sit here and berate you and you as government officials, and so on, but I understand very well that the real culprits are not the politicians, are not the central bankers, but it’s I and my fellow citizens. I always say to people when I talk about this, “If you want to know who’s responsible for inflation, look in the mirror.” It’s not because of the way you spend you money. Inflation doesn’t arise because you got consumers who are spendthrifts; they’ve always been spendthrifts. It doesn’t arise because you’ve got businessmen who are greedy. They’ve always been greedy. Inflation arises because we as citizens have been asking you as politicians to perform an impossible task. We’ve been asking you to spend somebody else’s money on us, but not to spend our money on anybody else.
BROWN: You don’t want us to cut back those dollars for education, right?
FRIEDMAN: Right. And, therefore, __ well, no, I do.
MCKENZIE: We’ve already had a program on that.
FRIEDMAN: We’ve already had a program on that and there’s no viewer of these programs who will be in any doubt about my position on that. But the public at large has not and this is where we come to the political will that Dr. Emminger quite properly talked about. It is __ everybody talks against inflation, but what he means is that he wants the prices of the things he sells to go up and the prices of the things he buys to go down. But, sooner or later, we come to the point where it will be politically profitable to end inflation. This is the point that __
SPRINKEL: Yes.
FRIEDMAN: __ I think you were making.
SPRINKEL: The suffering idea.
FRIEDMAN: Where do you think the __ you know, what do you think the rate of inflation has to be and judged by the experience of other countries before we will be in that position and when do you think that will happen?
SPRINKEL: Well, the evidence says it’s got to be over 20 percent. Now you would think we could learn from others rather than have to repeat mistakes.
FRIEDMAN: Apparently nobody can learn from history.
SPRINKEL: But at the present time we’re going toward higher and not lower inflation.
MCKENZIE: You said earlier, if you want to see who causes inflation look in the mirror.
FRIEDMAN: Right.
MCKENZIE: Now, for everybody watching and taking part in this, there must be some moral to that. What does need __ what has to be the change of attitude of the man in the mirror you’re looking at before we can effectively implement what you call a tough policy that takes courage?
FRIEDMAN: I think that the man in the mirror has to come to recognize that inflation is the most destructive disease known to modern society. There is nothing which will destroy a society so thoroughly and so fully as letting inflation run riot. He must come to recognize that he doesn’t have any good choices. That there are no easy answers. That once you get in this situation where the economy is sick of this insidious disease, there’s gonna be no miracle drug which will enable them to be well tomorrow. That the only choices he has, do I go through a tough period for four or five years of relatively high unemployment, relatively low growth or do I try to push it off by taking some more of the hair of the dog that bit me and get around it now at the cost of still higher unemployment, as Clarence Brown said, later on. The only choice this country faces, is whether we have temporary unemployment for a short period, as a side effect of curling inflation or whether we go into a period of still higher unemployment later on and have it to do all over again. That’s the only choice we face. And when the public at large recognizes that, they will then elect people to Congress, and a President to office who is committed to less government spending and to less government printing of money and until that happens we will not cure inflation.
____________________________________
FRIEDMAN: And therefore the crucial thing is to cut down total government spending from the point of view of inflation. From the point of view of productivity, some of the other measures you were talking about are far more important.
BROWN
Pt 7
BROWN: But, Dr. Friedman, let me __
(Applause)
BROWN: Let me differ with you to this extent. I think it is important that at the time you are trying to get inflation out of the economy that you also give the man in the street, the common man, the opportunity to have a little bit more of his own resources to spend. And if you can reduce his taxes at that time and then reduce government in that process, you give him his money to spend rather than having to yield up all that money to government. If you cut his taxes in a way to encourage it, to putting that money into savings, you can encourage the additional savings in a private sense to finance the debt that you have to carry, and you can also encourage the stimulation of growth in the society, that is the investment into the capital improvements of modernization of plant, make the U.S. more competitive with other countries. And we can try to do it without as much painful unemployment as we can get by with. Don’t you think that has some merit?
FRIEDMAN: The only way __ I am all in favor, as you know, of cutting government spending. I am all in favor of getting rid of the counterproductive government regulation that reduces productivity and disrupts investment. But __
BROWN: And we do that, we can cut taxes some, can we not?
FRIEDMAN: We should __ taxes __ but you are introducing a confusion that has confused the American people. And that is the confusion between spending and taxes. The real tax on the American people is not what you label taxes. It’s total spending. If Congress spends fifty billion dollars more than it takes in, if government spends fifty billion dollars, who do you suppose pays that fifty billion dollars?
BROWN: Of course, of course.
FRIEDMAN: The Arab Sheiks aren’t paying it. Santa Claus isn’t paying it. The Tooth Fairy isn’t paying it. You and I as taxpayers are paying it indirectly through hidden taxation.
MCKENZIE: Your view __
FRIEDMAN: And therefore the crucial thing is to cut down total government spending from the point of view of inflation. From the point of view of productivity, some of the other measures you were talking about are far more important.
BROWN: But if you concede that inflation and taxes are both part and parcel of the same thing, and if you cut spending __
FRIEDMAN: They’re not part and parcel of the same thing.
BROWN: If you cut spending you __ well, but, you take the money from them in one way or another. The average citizen.
FRIEDMAN: Absolutely.
BROWN: To finance the growth of government.
FRIEDMAN: That’s right.
BROWN: So if you cut back the size of government, you can cut both their inflation and their taxes.
FRIEDMAN: That’s right.
BROWN: If you __
FRIEDMAN: I am all in favor of that.
BROWN: All right.
FRIEDMAN: All I am saying is don’t kid yourself into thinking that there is some painless way to do it. There just is not.
BROWN: One other way is productivity. If you can __ if you can increase production, then the impact of inflation is less because you have more goods chasing __
FRIEDMAN: Absolutely, but you have to have a sense of proportion. From the point of view of the real income of the American people, nothing is more important than increasing productivity. But from the point of view of inflation, it’s a bit actor. It would be a miracle if we could raise our productivity from three to five percent a year, that would reduce inflation by two percent.
BROWN: No question, it won’t happen overnight, but it’s part of the __ it’s part of a long range squeezing out of inflation.
FRIEDMAN: There is only one way to ease the __ in my opinion there is only one way to ease the pains of curing inflation and that way is not available. That way is to make it credible to the American people that you are really going to follow the policy you say you’re going to follow. Unfortunately I don’t see any way we can do that.
(Several people talking at once.)
EMMINGER: Professor Friedman, that’s exactly the point which I wanted to illustrate by our own experience. We also had to squeeze out inflation and there was a painful time of one-and-a-half years, but after that we had a continuous lowering of the inflation rate with a slow upward movement in the economy since 1975. Year by year inflation went down and we had a moderate growth rate which has led us now to full employment.
FRIEDMAN: That’s what __
EMMINGER: So you can shorten this period by just this credibility and by a consensus you must have, also with the trade unions, with the whole population that they acknowledge that policy and also play their part in it. Then the pains will be much less.
SPRINKEL: You see in our case, expectations are that inflation’s going to get worse because it always has. This means we must disappoint in a very painful way those expectations and it’s likely to take longer, at least the first time around. Now our real problem has not been that we haven’t tried. We have tried and brought inflation down. Our real problem was, we didn’t stick to it. And then you have it all to do over.
BROWN: Well I would __ I would concede that psychology plays a great, perhaps even the major part, but I do believe that if you have private savings stimulated by your tax system, rather than discouraged by your tax system, you can finance some of that public debt by private savings rather than by inflation and the result will be to ease to some degree the paint of that heavy unemployment that you seem to suggest is the only way to deal with the problem.
FRIEDMAN: The talk is fine, but the problem is that it’s used to evade the key issue: How do you make it credible to the public that you are really going to stick to a policy? Four times we’ve tried it and four times we’ve stopped before we’ve run the course.
(Several people talking at once.)
MCKENZIE: There we leave the matter for tonight, and next week’s concluding program in this series is not to be missed.
Milton Friedman The Power of the Market 1-5 How can we have personal freedom without economic freedom? That is why I don’t understand why socialists who value individual freedoms want to take away our economic freedoms. I wanted to share this info below with you from Milton Friedman who has influenced me greatly over the […]
Milton Friedman: Free To Choose – The Failure Of Socialism With Ronald Reagan (Full) Published on Mar 19, 2012 by NoNationalityNeeded Milton Friedman’s writings affected me greatly when I first discovered them and I wanted to share with you. We must not head down the path of socialism like Greece has done. Abstract: Ronald Reagan […]
Worse still, America’s depression was to become worldwide because of what lies behind these doors. This is the vault of the Federal Reserve Bank of New York. Inside is the largest horde of gold in the world. Because the world was on a gold standard in 1929, these vaults, where the U.S. gold was stored, […]
George Eccles: Well, then we called all our employees together. And we told them to be at the bank at their place at 8:00 a.m. and just act as if nothing was happening, just have a smile on their face, if they could, and me too. And we have four savings windows and we […]
Milton Friedman’s Free to Choose (1980), episode 3 – Anatomy of a Crisis. part 1 FREE TO CHOOSE: Anatomy of Crisis Friedman Delancy Street in New York’s lower east side, hardly one of the city’s best known sites, yet what happened in this street nearly 50 years ago continues to effect all of us today. […]
Friedman Friday” Free to Choose by Milton Friedman: Episode “What is wrong with our schools?” (Part 3 of transcript and video) Here is the video clip and transcript of the film series FREE TO CHOOSE episode “What is wrong with our schools?” Part 3 of 6. Volume 6 – What’s Wrong with our Schools Transcript: If it […]
Here is the video clip and transcript of the film series FREE TO CHOOSE episode “What is wrong with our schools?” Part 2 of 6. Volume 6 – What’s Wrong with our Schools Transcript: Groups of concerned parents and teachers decided to do something about it. They used private funds to take over empty stores and they […]
Here is the video clip and transcript of the film series FREE TO CHOOSE episode “What is wrong with our schools?” Part 1 of 6. Volume 6 – What’s Wrong with our Schools Transcript: Friedman: These youngsters are beginning another day at one of America’s public schools, Hyde Park High School in Boston. What happens when […]
Friedman Friday” Free to Choose by Milton Friedman: Episode “Created Equal” (Part 3 of transcript and video) Liberals like President Obama want to shoot for an equality of outcome. That system does not work. In fact, our free society allows for the closest gap between the wealthy and the poor. Unlike other countries where free enterprise and other […]
Free to Choose by Milton Friedman: Episode “Created Equal” (Part 2 of transcript and video) Liberals like President Obama want to shoot for an equality of outcome. That system does not work. In fact, our free society allows for the closest gap between the wealthy and the poor. Unlike other countries where free enterprise and other freedoms are […]
Milton Friedman and Ronald Reagan Liberals like President Obama (and John Brummett) want to shoot for an equality of outcome. That system does not work. In fact, our free society allows for the closest gap between the wealthy and the poor. Unlike other countries where free enterprise and other freedoms are not present. This is a seven part series. […]
I am currently going through his film series “Free to Choose” which is one the most powerful film series I have ever seen. PART 3 OF 7 Worse still, America’s depression was to become worldwide because of what lies behind these doors. This is the vault of the Federal Reserve Bank of New York. Inside […]
I am currently going through his film series “Free to Choose” which is one the most powerful film series I have ever seen. For the past 7 years Maureen Ramsey has had to buy food and clothes for her family out of a government handout. For the whole of that time, her husband, Steve, hasn’t […]
Friedman Friday:(“Free to Choose” episode 4 – From Cradle to Grave, Part 1 of 7) Volume 4 – From Cradle to Grave Abstract: Since the Depression years of the 1930s, there has been almost continuous expansion of governmental efforts to provide for people’s welfare. First, there was a tremendous expansion of public works. The Social Security Act […]
_________________________ Pt3 Nowadays there’s a considerable amount of traffic at this border. People cross a little more freely than they use to. Many people from Hong Kong trade in China and the market has helped bring the two countries closer together, but the barriers between them are still very real. On this side […]
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“FREE TO CHOOSE” 1: The Power of the Market (Milton Friedman) Free to Choose ^ | 1980 | Milton Friedman Posted on Monday, July 17, 2006 4:20:46 PM by Choose Ye This Day FREE TO CHOOSE: The Power of the Market Friedman: Once all of this was a swamp, covered with forest. The Canarce Indians […]
Milton Friedman: Free To Choose – The Failure Of Socialism With Ronald Reagan (Full) Published on Mar 19, 2012 by NoNationalityNeeded Milton Friedman’s writings affected me greatly when I first discovered them and I wanted to share with you. We must not head down the path of socialism like Greece has done. Abstract: Ronald Reagan […]
The “Path out of the Pandemic” will be paved with employer mandates, President Biden announced in September. But this week, a key part of the Biden plan hit a major speed bump in federal court. The Fifth Circuit Court of Appeals stayedimplementation of the administration’s vax‐or‐test mandate for private‐sector companies with 100 or more employees, citing “grave statutory and constitutional issues” with the edict.
As my colleagueshaveexplained, there’s ample reason to question the legal basis for the president’s latest power grab. I want to focus on a different question here: is the juice worth the squeeze? “Vaccination requirements should not be another issue that divides us,” Biden implored in a recent speech. But it’s been obvious from the start that his private‐sector mandate would further fan the flames of our already rage‐addled COVID politics. The question is whether it will accomplish much of anything else.
Color me skeptical: even if it survives its legal challenges, the scheme looks like something designed by a mad social scientist hellbent on further politicizing public health: loose enough to fail at achieving its aims, but just coercive enough to infuriate broad swathes of the public.
For years, the theory was that vaccine hesitancy was mainly a problem of information: give people the good news and they’ll queue up for the jab. But as Sabrina Tavernise explains in the New York Times, recent research suggests it’s more complicated. When epidemiologists joined with social psychologists to study the issue, “what they discovered was a clear set of psychological traits offering a new lens through which to understand skepticism.” Among those traits is one dubbed reactance, a deep‐seated aversion to loss of threatened freedom. “According to this model,” the APA Dictionary explains, “when people feel coerced into a certain behavior, they will react against the coercion, often by demonstrating an increased preference for the behavior that is restrained, and may perform the behavior opposite to that desired.” It’s a healthy impulse in general—though emphatically not in this particular case.
Like it or not, though, mandates can backfirebecause people don’t want to be told what to do, particularly by someone they hate—and a good many in the target group hate the president more than they hate their boss. Add to that the fact that what the press has been calling a “vaccine mandate” is actually a “test or vax mandate.” Under the proposed emergency temporary standard, workers determined to avoid the needle will have an out that allows them to keep their jobs. For many high‐reactance, Biden‐hating vaccine skeptics, that’s going to look like the most attractive option.
True, opting out won’t be free: the ETS requires workers who forgo vaccination to mask up in the workplace for as long as the rule’s in effect. Moreover, the rule allows management to make vax‐resistant employees pay for the cost of weekly testing. If rapid tests were cheap and ubiquitous, as they are in much of Europe, that wouldn’t be much of a disincentive. As it stands, though, tests currently run anywhere from $7 to $15 a week, if you can get them. The FDA has so thoroughly botched rapid‐test development that this may be the rare case where bureaucratic incompetence at one end of the administrative state accidentally improves performance of a separate, ill‐considered regulatory scheme.
If the mandate manages to survive legal challenge and if the costs of testing and masking prove high enough, then it will have some positive effects in terms of vaccine uptake. A Goldman Sachs analysis published in September estimates that all of the Biden mandates—including those for health care workers and federal contractors, where there’s no testing opt-out—might raise vaccine uptake by as much as 3.6 percent.
At this point, however, over 80 percent of American adults have had at least one COVID shot, the Delta wave has crested, and extraordinarily effective therapeutics, cutting the risk of serious illness by 89 percent, are coming online. Are the marginal public health benefits from the employer mandate enough to make it worth tolerating a massive new presidential power grab guaranteed to make our increasingly toxic politics still crazier?
The extent to which tribal signaling has infected the COVID debate is enough to make even a hardened cynic despair. Red state vaccine hesitancy needlessly and tragically exacerbated the pandemic’s toll through 2021; meanwhile, much of Blue America seems bent on embracing a permanent state of emergency: the Rest of Your Life to Slow the Spread. The technological miracle of the vaccines has finally reduced COVID to “just the flu,” making a return to normalcy possible. Yet as Richard Hanania sums it up, “we’re split between those who reject the solution and those who accept it but want to ruin life forever anyway.”
I’ve been thinking lately about a smartass comment I saw on Twitter, to the effect that we should have called one vaccine the Trump jab and the other one the Biden shot, and thereby made our moronic tribalism work for us for a change. Just picture the ad campaigns:
“Don’t be a soyboy: level up with #MAGAVax—it’s got what yer T‑cells crave!”
and
“Get the Bidenjab: builds your #Resistance—and it’s gluten‐free!”
I can’t help thinking that would have been a smarter policy than what the allegedly serious people came up with.
I suspect most Americans would select both options.
But the crowd in Washington has a different perspective. Most of them like the IRS because it’s the bureaucracy that generates the money that they use to buy votes.
Many of them want to reward the IRS with more money(including plenty of brain-dead Republicans), which is bad enough, but what’s really troubling is that some of them even want to turn the IRS budget into an entitlement.
In an article for Reason, Eric Boehm explains that Elizabeth Warren is leading the charge for this reckless proposal.
Sen. Elizabeth Warren (D–Mass.) says her plan to more than double the annual IRS budget would allow the federal government to collect an extra $1.75 trillion over the next 10 years. …her plan seems based on little more than a hunch and some bad math.…Warren’s “Restoring the IRS Act of 2021” would hike the agency’s budget from $11.9 billion to $31.5 billion. …It would also…move the IRS from the…federal budget’s discretionary side…to the mandatory portion of the budget, alongside Social Security and other programs that run on autopilot. …In practice, that means giving the IRS a big budgetary boost and giving the agency the authority to dig through bank accounts and transaction records.
The Wall Street Journal also is not impressed with the idea of rewarding a corrupt tax bureaucracy.
Here are some excerpts from its recent editorial, which notes that the Biden Administration also wants to turn IRS funding into an entitlement .
The Internal Revenue Service leak of taxpayer returns to left-leaning media outlet ProPublica is a prime example of why Congress should refuse to give the tax agency more money and power. That includes President Biden’s little-noticed but politically consequential plan to put IRS funding on autopilot. …Like so much else in the Biden Presidency, this follows the Elizabeth Warren model.…The IRS would essentially become another mandatory budget program like Social Security and Medicare. …without the risk of having to answer to Congressional appropriators for its budget, the tax agency would have little to worry about. …Their plan would make sure the IRS doesn’t have to pay a price in the future for politically targeting taxpayers or leaking returns. The potential for abuse would grow since Mr. Biden’s plan would also give the IRS access to bank account inflows and outflows. …a tax collection agency shielded from Congressional budget supervision is one definition of tyranny.
All of this is true.
But let’s also remember that the case for more IRS funding (whether as appropriations or as an entitlement) is based on nonsensical and self-serving estimates of the supposed tax gap.
P.S. For those who want to understand the technical differences between entitlement spending and appropriated spending, click here.
Others folks on the left, by contrast, are motivated by sympathy for the less fortunate.
That’s a noble sentiment. Where they go wrong is in thinking that the economy is a fixed pie. This leads them to the mistaken conclusion that some people are poor because other people are rich.
Maybe I’m overly optimistic, but I think these people can be convinced to support good policy if they learn the facts about how free markets and limited government are a proven recipe for prosperity.
Today, let’s look at how poor people have been the biggest winners. Professor Max Roser of Oxford University recently shared a profoundly important tweet about the dramatic reduction in global poverty. We see not only that poverty rates have plummeted, but also that falling poverty rates are correlated with increases in per-capita GDP.
In other words, everyone is getting richer. There’s no fixed pie.
As you might expect, regions that are friendlier to capitalismhave enjoyed bigger increases in prosperity and bigger reductions in poverty.
The bottom line is that people who care about the poor should be the biggest advocates of free enterprise.
P.S. It’s worth noting that, according to both U.S. data and global data, the big reduction in poverty occurred before welfare states were created.
Click here to see the Hoover project showcasing the works of Milton and Rose Friedman.
Milton Friedman, recipient of the 1976 Nobel Memorial Prize for
economic science, was a senior research fellow at the Hoover Institution
from 1977 to 2006. He passed away on Nov. 16, 2006. (Link to obituary.)
He was also the Paul Snowden Russell Distinguished Service Professor
Emeritus of Economics at the University of Chicago, where he taught from
1946 to 1976, and a member of the research staff of the National Bureau
of Economic Research from 1937 to 1981.
Friedman was awarded the Presidential Medal of Freedom in 1988 and received the National Medal of Science the same year.
He was widely regarded as the leader of the Chicago School of
monetary economics, which stresses the importance of the quantity of
money as an instrument of government policy and as a determinant of
business cycles and inflation.
In addition to his scientific work, Friedman also wrote extensively
on public policy, always with a primary emphasis on the preservation and
extension of individual freedom. His most important books in this field
are (with Rose D. Friedman) Capitalism and Freedom (University of Chicago Press, 1962); Bright Promises, Dismal Performance (Thomas Horton and Daughters, 1983), which consists mostly of reprints of columns he wrote for Newsweek from 1966 to 1983; (with Rose D. Friedman) Free to Choose
(Harcourt Brace Jovanovich, 1980), which complements a ten-part
television series of the same name shown over the Public Broadcasting
Service (PBS) network in early 1980; and (with Rose D. Friedman) Tyranny of the Status Quo
(Harcourt Brace Jovanovich, 1984), which complements a three-part
television series of the same name, shown over PBS in early 1984.
He was a member of the President’s Commission on an All-Volunteer
Armed Force and the President’s Commission on White House Fellows. He
was a member of President Ronald Reagan’s Economic Policy Advisory Board
(a group of experts from outside the government named in 1981 by
President Reagan).
Friedman was also active in public affairs, serving as an informal
economic adviser to Senator Barry Goldwater in his unsuccessful campaign
for the presidency in 1964, to Richard Nixon in his successful 1968
campaign, to President Nixon subsequently, and to Ronald Reagan in his
1980 campaign.
He has published many books and articles, most notably A Theory of the Consumption Function, The Optimum Quantity of Money and Other Essays, and (with A. J. Schwartz) A Monetary History of the United States, Monetary Statistics of the United States, and Monetary Trends in the United States and the United Kingdom.
He was a past president of the American Economic Association, the
Western Economic Association, and the Mont Pelerin Society and was a
member of the American Philosophical Society and the National Academy of
Sciences.
He was awarded honorary degrees by universities in the United States,
Japan, Israel, and Guatemala, as well as the Grand Cordon of the First
Class Order of the Sacred Treasure by the Japanese government in 1986.
Friedman received a B.A. in 1932 from Rutgers University, an M.A. in
1933 from the University of Chicago, and a Ph.D. in 1946 from Columbia
University.
Two Lucky People, his and Rose D. Friedman’s memoirs, was published in 1998 by the University of Chicago Press.
Milton Friedman The Power of the Market 1-5 How can we have personal
freedom without economic freedom? That is why I don’t understand why
socialists who value individual freedoms want to take away our economic
freedoms. I wanted to share this info below with you from Milton
Friedman who has influenced me greatly over the […]
By Everette Hatcher III | Posted in Milton Friedman | Tagged arnold schwarzenegger. | Edit | Comments (0)
Milton Friedman: Free To Choose – The Failure Of Socialism With
Ronald Reagan (Full) Published on Mar 19, 2012 by NoNationalityNeeded
Milton Friedman’s writings affected me greatly when I first discovered
them and I wanted to share with you. We must not head down the path of
socialism like Greece has done. Abstract: Ronald Reagan […]
By Everette Hatcher III | Posted in Milton Friedman, President Obama | Edit | Comments (1)
Worse still, America’s depression was to become worldwide because of
what lies behind these doors. This is the vault of the Federal Reserve
Bank of New York. Inside is the largest horde of gold in the world.
Because the world was on a gold standard in 1929, these vaults, where
the U.S. gold was stored, […]
By Everette Hatcher III | Also posted in Current Events | Edit | Comments (0)
George Eccles: Well, then we called all our employees together. And
we told them to be at the bank at their place at 8:00 a.m. and just act
as if nothing was happening, just have a smile on their face, if they
could, and me too. And we have four savings windows and we […]
By Everette Hatcher III | Also posted in Current Events | Edit | Comments (0)
Milton Friedman’s Free to Choose (1980), episode 3 – Anatomy of a
Crisis. part 1 FREE TO CHOOSE: Anatomy of Crisis Friedman Delancy Street
in New York’s lower east side, hardly one of the city’s best known
sites, yet what happened in this street nearly 50 years ago continues to
effect all of us today. […]
Here is the video clip and transcript of the film series FREE TO
CHOOSE episode “What is wrong with our schools?” Part 2 of 6. Volume
6 – What’s Wrong with our Schools Transcript: Groups of concerned
parents and teachers decided to do something about it. They used private
funds to take over empty stores and they […]
Here is the video clip and transcript of the film series FREE TO
CHOOSE episode “What is wrong with our schools?” Part 1 of 6. Volume
6 – What’s Wrong with our Schools Transcript: Friedman: These youngsters
are beginning another day at one of America’s public schools, Hyde Park
High School in Boston. What happens when […]
Friedman Friday” Free to Choose by Milton Friedman: Episode “Created
Equal” (Part 3 of transcript and video) Liberals like President Obama
want to shoot for an equality of outcome. That system does not work. In
fact, our free society allows for the closest gap between the wealthy
and the poor. Unlike other countries where free enterprise and other […]
By Everette Hatcher III | Posted in Milton Friedman | Tagged containment devices, equality of outcome, oil spill, youtube | Edit | Comments (0)
Free to Choose by Milton Friedman: Episode “Created Equal” (Part 2 of
transcript and video) Liberals like President Obama want to shoot for
an equality of outcome. That system does not work. In fact, our free
society allows for the closest gap between the wealthy and the poor.
Unlike other countries where free enterprise and other freedoms are […]
By Everette Hatcher III | Posted in Milton Friedman | Tagged equality of outcome, menuhin school, new millionaires, world war ii | Edit | Comments (0)
I am currently going through his film series “Free to Choose” which
is one the most powerful film series I have ever seen. PART 3 OF 7 Worse
still, America’s depression was to become worldwide because of what
lies behind these doors. This is the vault of the Federal Reserve Bank
of New York. Inside […]
I am currently going through his film series “Free to Choose” which
is one the most powerful film series I have ever seen. For the past 7
years Maureen Ramsey has had to buy food and clothes for her family out
of a government handout. For the whole of that time, her husband, Steve,
hasn’t […]
By Everette Hatcher III | Edit | Comments (0)
Friedman Friday:(“Free to Choose” episode 4 – From Cradle to Grave,
Part 1 of 7) Volume 4 – From Cradle to Grave Abstract: Since the
Depression years of the 1930s, there has been almost continuous
expansion of governmental efforts to provide for people’s welfare.
First, there was a tremendous expansion of public works. The Social
Security Act […]
_________________________ Pt3 Nowadays there’s a considerable
amount of traffic at this border. People cross a little more freely than
they use to. Many people from Hong Kong trade in China and the market
has helped bring the two countries closer together, but the barriers
between them are still very real. On this side […]
By Everette Hatcher III | Posted in Current Events, Milton Friedman | Edit | Comments (0)
Aside from its harbor, the only other important resource of Hong
Kong is people __ over 4_ million of them. Like America a century ago,
Hong Kong in the past few decades has been a haven for people who sought
the freedom to make the most of their own abilities. Many of them are
[…]
By Everette Hatcher III | Posted in Current Events, Milton Friedman | Edit | Comments (0)
“FREE TO CHOOSE” 1: The Power of the Market (Milton Friedman) Free to
Choose ^ | 1980 | Milton Friedman Posted on Monday, July 17, 2006
4:20:46 PM by Choose Ye This Day FREE TO CHOOSE: The Power of the Market
Friedman: Once all of this was a swamp, covered with forest. The
Canarce Indians […]
Milton Friedman: Free To Choose – The Failure Of Socialism With
Ronald Reagan (Full) Published on Mar 19, 2012 by NoNationalityNeeded
Milton Friedman’s writings affected me greatly when I first discovered
them and I wanted to share with you. We must not head down the path of
socialism like Greece has done. Abstract: Ronald Reagan […]
By Everette Hatcher III | Posted in Milton Friedman, President Obama | Edit | Comments (1)
The proposed $2.4 trillion reconciliation bill includes $80 billion for increased Internal Revenue Service (IRS) funding. The Democrats want to beef up the tax agency and expand its powers. The aim is to raise revenues by reducing the tax gap, which is the amount of taxes legally owed but not paid.
The large funding increase would double the IRS workforce, according to the Congressional Budget Office (CBO). About three‐quarters of the increased funding would go toward enforcement.
Supporters think that greater enforcement would be good policy because the expected higher tax revenues would outweigh the cost of higher IRS spending. But that ignores the higher costs that would be imposed on the private sector, including tax compliance burdens and a loss of civil liberties. More aggressive IRS enforcement would mean more paperwork, more lawyer fees, more time consumed on tax matters, and more anguish and uncertainty for taxpayers. It could also result in less privacy and personal financial security. These private costs are difficult to measure, and are usually ignored by policymakers.
With IRS enforcement, there is a trade‐off between the benefits of a lower tax gap and the costs to society of achieving it. If we wanted a tax gap of zero, we could hire an army of IRS agents to routinely search every home and laptop in the nation and impose root‐canal audits on everyone. But people in democracies do not accept that level of government intrusion, and so every tax system has a tax gap.
The U.S. tax gap is fairly low by international standards. The official net federal tax gap of $381 billion is 2.3 percent of gross domestic product (GDP). One pro‐enforcement groupputs the gap at 2.5 percent of GDP. If we add in an estimated state‐local tax gap, then the total U.S. gap would be about 3.9 percent of GDP. By comparison, this studyestimated that the average tax gap in the European Union (EU) is 5.6 percent of GDP, while this study found that the average EU tax gap is 10.7 percent of GDP.
Another study estimated that the U.S. tax gap is 3.8 percent of GDP and the average tax gap in the EU is 7.7 percent GDP. Yet another study estimated that among 157 countries the United States had the second smallest shadow economy, meaning the economic activity outside of the government’s tax and regulatory net.
If the U.S. tax gap is already quite low, the marginal costs of reducing it further from enforcement is probably high. That is suggested by the recent Democratic proposal for the IRS to gather total inflow and outflow data from millions of household bank accounts. That would be a major intrusion into personal finances and could impose large compliance costs on financial institutions. But that is the sort of aggressive action that Democrats think they need to reduce the tax gap further through enforcement.
Another example of how civil liberties would shrink with more aggressive enforcement regards IRS penalties for taxpayer underpayments, which can be a steep 20 percent. In response to IRS abuses in the 1990s, Congress enacted a requirement (tax code section 6751) that supervisors must sign off in writing when IRS employees want to impose these heavy penalties. The National Taxpayer Advocate noted that this “provision protects a taxpayer’s right to a fair and just tax system.” Yet the Democratic plan (p. 135) would repeal this important procedural check on the powerful tax bureaucracy.
Tax Gap Trade‐Off Curve
Figure 1 illustrates the trade‐off between the size of the tax gap (horizontal axis) and the private‐sector costs imposed by more aggressive enforcement (vertical axis). On the bottom right, the IRS does little enforcement and the tax gap is large (which is bad), but the private‐sector costs are low (which is good). On the top left, the IRS enforces aggressively and the tax gap is low but the private‐sector costs are high.
The assumed shape of the curve suggests that starting from the right, initial enforcement efforts impose moderate private‐sector costs and generate substantial revenue. As the government moves to the left to close the tax gap, extra enforcement brings in less marginal revenue but imposes higher costs on the private sector. On the figure, “Today” and “More aggressive enforcement” are where I think enforcement is now and where Democrats want to move us.
The Foreign Account Tax Compliance Act (FATCA) passed in 2010 indicates that we are on the top left of Figure 1 because it appears to have generated relatively little revenue but imposed large costs on the private sector. FATCA imposes complex rules on thousands of foreign financial institutions forcing them to find out which of their customers are American and to report the transactions of those customers to the U.S. Treasury. It also imposes compliance burdens on millions of Americans who live abroad, do business abroad, or who own foreign assets. The rules were layered on top of other foreign reporting rules that were already in place.
The FATCA rules may only raise about $200 million a year but have imposed tens of billions of dollars in compliance costs on financial institutions and their customers. FATCA creates major headaches and injustices for the nine million Americans who live abroad and for Americans pursuing foreign business opportunities. Financial institutions all over the world have decided not to provide services to Americans because of the extra compliance burdens involved. FATCA rules were overkill and should be repealed.
Another example of overkill on tax enforcement regards IRS Form 3520. People who receive substantial foreign gifts and mistakenly do not notify the IRS have been getting hit without warning with enormous 25 percent penalties on the gross value of the gifts, and the IRS has not been flexible in abating them. The heavy penalties are essentially theft because foreign gifts are not taxable under the federal income tax.
As with FATCA, tax experts know that Form 3520 enforcement is harmful and unfair, but it is very difficult to restrain the IRS once it is unleashed. A big problem with giving the IRS new enforcement powers, as the Democrats are proposing, is that the damage to citizens and the economy may be much larger than expected yet politicians almost never admit mistakes and backtrack to fix bad provisions.
Other problems with increasing IRS enforcement powers include:
Compliance Costs. The income tax already imposes compliance costs on individuals and businesses of more than $400 billion a year. That is overhead for the economy and subtracts from our standard of living. More aggressive enforcement would impose higher compliance costs on millions of law‐abiding taxpayers.
False Positives. The IRS makes many mistakes, and it can be difficult for taxpayers to get the agency to admit error and back off. Tax litigation specialist Dan Pilla says that the “IRS’s audit results are incorrect between 60 and 90 percent of the time,” which the agency gets away with because many taxpayers don’t challenge them. More IRS enforcement means more targeting of people who end up being innocent. Individuals and businesses will have to invest more time and money in lawyer fees to defend against false IRS claims. With regard to the Democrat’s bank reporting proposal, Steven Rosenthal of the Tax Policy Center noted that it would “bury the agency in a sea of unproductive information.”
Financial Privacy. Americans do not want giant computer systems amassing even more of their personal data, but that is what a more powerful IRS would do. With its treasure trove of information on every household, the IRS is an ideal hacking target for criminals and foreign governments. Earlier this year, ProPublica published private information on high‐income taxpayers gained from thousands of stolen returns it had obtained. ProPublica’s irresponsible action could inspire criminals to steal tax returns of other well‐known people to make a media splash, to sell information, or to extort payoffs. The IRS experiences “1.4 billion cyberattacks annually” and has a “track record of data breaches,” including data from 724,000 returns leaked in 2016. A study by Michael Hatfield of the University of Washington argues that the IRS’s vast pool of data is highly vulnerable to ransomware attacks, Chinese government hacking, and other criminal activity.
Democrat Plan Would Shift the Curve Upward
The Democrats want to increase IRS enforcement to reduce the tax gap, but their tax plan would increase tax‐code complexity resulting in the opposite. Tax‐code complexity increases tax avoidance and evasion by making IRS administration more difficult and by prompting taxpayers to combine disparate provisions in unexpected ways. In a recent report on tax enforcement, the CBO noted:
“The complexity of the tax code makes compliance more challenging and increases areas of potential dispute with the IRS. Eligibility requirements for certain tax benefits can be confusing and make it more difficult for taxpayers to determine their tax liability. Such eligibility may also be difficult for the IRS to verify.”
Unfortunately, the Democratic tax plan would increase disputes and confusion by adding dozens of tax breaks for energy, housing, manufacturing, education, and other items. The more such special‐interest breaks there are in the tax code, the more information the IRS needs to collect on our finances, investments, purchases, lifestyles, and other personal details.
The IRS cannot properly administer the tax breaks it already has, let alone a raft of new ones. The earned income tax credit (EITC), for example, suffers from a 24 percentimproper payment rate, despite many efforts to tackle the problem. Meanwhile, the Low‐Income Housing Tax Credit is riddled with fraud by housing developers. The Government Accountability Office found that IRS oversight of the LIHTC is minimal and disorganized. The IRS auditing guide for the LIHTC is a massive 344 pages long, and that intense complexity is probably why the IRS does little policing of the credit.
Figure 2 shows that the Democratic tax plan would shift the tax gap trade‐off curve upward to the right. While the Democrats want to beef up the IRS to reduce the tax gap, their plan would increase tax‐code complexity, which would expand the tax gap.
Tax Reform Would Shift the Curve Downward
Movements along the tax gap trade‐off curve illustrate IRS enforcement as a win‐lose proposition—gains to the government through aggressive enforcement are losses to the private sector. But there is a way to generate a win‐win. Reforms to simplify the tax code would shift the curve down to the left, which would reduce both the tax gap and private‐sector costs.
There are two main reasons why the federal income tax is so complicated. The first is that politicians try to micromanage the economy through credits, exemptions, and other narrow breaks. Tax partner Chris Hesse noted to me, “Frequent changes to many of these special‐interest provisions magnify the difficulty of IRS tax administration and financial planning for individuals and businesses.” Virtually all such breaks should be repealed, which would make IRS administration and taxpayer compliance much easier.
The second is that the income tax is based on an inconsistent and ad hoc definition of “income.” Many tax experts think that consumption would be a better base for the tax code and would greatly simplify the system. The Tax Foundation estimated that a consumption‐based flat tax would slash tax compliance costs by about 90 percent.
Figure 2 shows that such a tax reform would shift the tax gap trade‐off curve downward. Taxpayers would enjoy lower compliance costs and fewer civil liberties intrusions, and the IRS would benefit from easier administration and a lower tax gap.
In sum, it makes sense to improve IRS computer systems, employee training, and phone service to reduce taxpayer errors and shrink the tax gap. But it would be unfair and irresponsible for Congress to increase the agency’s enforcement powers when there is so much wrong with the current tax code and its administration. Congress should repeal enforcement structures such as FATCA that have higher costs than benefits, and it should repeal fraud‐ridden provisions such as the LIHTC rather than adding new special‐interest breaks.
Data Notes: The official net tax gap of $381 billion (for 2011 to 2013) divided by 2012 GDP is 2.3 percent. The tax gap estimate from www.shrinkthegap.com of $574 billion is 2.5 percent of 2021 GDP. I assumed that the state‐local tax gap is the same size relative to tax revenues as is the federal tax gap. These tax gap figures include all types of taxes.
On the outlay side of the fiscal ledger, he’s actually proposing to increase the nation’s already-excessive spending burden by more than $5 trillion over the next ten years, not $3.5 trillion.
Based on dishonest estimates of the “tax gap,” he claims that a massive expansion of IRS staff will allow enough new audits to generate hundreds of billions of extra revenue in the next decade.
Today, let’s review another example of Biden’s dodgy approach to budgeting.
If you look at page 53 of his budget, you’ll see that the White House claims it can generate nearly $463 billion of tax revenue by having banks automatically share account information with the IRS.
Which bank accounts?
Well, almost all of them. The original proposal would give the IRS automatic access to accounts with as little as $600 of annual turnover.
That number is apparently going to increase, but even a limit of $10,000 would let the IRS snoop on almost every American’s private financial affairs.
At the risk of understatement, the proposal has generated a lot of pushback.
…the House reconciliation bill would let the Internal Revenue Service peer into the bank account of virtually every American. …Here’s the proposition: You permanently sacrifice your financial privacy, and the Democrats get a small step closer to funding their agenda. …Treasury secretary Janet Yellen claims the IRS will overcome perennial bureaucratic incompetence and track down “opaque income streams that disproportionately accrue to the top.” …If it’s high earners we’re worried about, why spy on everyone? …The administration is seriously arguing for a new oversight regime that would gather data on nearly every American on the off chance that a billionaire opens several thousand bank accounts. …this move on bank accounts would represent a new, jaw-dropping level of federal intrusiveness and is a power no government should have. Biden officials from Yellen on down have had trouble defending it — because it is literally indefensible.
Writing for the Hill, Thomas Hoenig and Brian Knight of the Mercatus Center pour cold water on the idea of expanding IRS snooping.
…the Biden administration is proposing requiring banks to report individual account transaction flows above $600 to the Internal Revenue Service (IRS). …a significant intrusion of consumer privacy. It’s also cumbersome, unlikely to achieve whatever legitimate goal the administration may have… the breadth of intrusion into the citizenry’s personal accounts is excessive and unwise. …Such a rule would also likely limit people’s access to banks. …Increasing compliance costs for banks will likely lead them to increase minimum balance requirements and fees to keep accounts economically viable, which could in turn force more people outside the banking system.
Here are excerpts from a Wall Street Journaleditorial, which expresses similar concerns.
On your next trip to the ATM, imagine that Uncle Sam is looking over your shoulder. As if your annual tax filing wasn’t invasive enough, the Biden Administration would like a look at your checking account. …Ms. Yellen says the reporting will help to catch wealthy tax dodgers. …Casting a wide net over personal finances is a longstanding aim for Democrats and the political left. …the bigger threat of giving the IRS access to the details of your bank account is that politicians will eventually find a way to control how you save and spend your own money. This is a bad idea that deserves to die. …A group of 41 industry groups recently warned congressional leaders that the plan “is not remotely targeted” to detect major tax avoidance. …Twenty-three state treasurers and auditors signed a letter last month opposing the plan, calling it “one of the largest infringements of data privacy in our nation’s history.”
And let’s not forget that the IRS has shown that it is untrustworthy.
All of which probably helps to explain why polling data shows overwhelming opposition to this Orwellian scheme.
Let’s close by debunking the White House claim that more IRS snooping on bank accounts will collect more revenue from the rich.
Simply stated, rich people are very clever about legal tax avoidance. They do things like invest in tax-free municipal bonds (which is not good for the economy, but it’s a very effective way of escaping tax).
So who would be targeted if Congress approves this plan to let the IRS snoop on bank accounts?
Primarily owners of small businesses. The IRS basically adopts the view that all entrepreneurs under report cash income and deduct personal expenses on their business tax returns.
Some of that actually happens, of course, but the best way to improve compliance is lower tax rates, not a massive expansion of the surveillance state.
When I discuss class-warfare tax policy, I want people to understand deadweight loss, which is the term for the economic output that is lost when high tax rates discourage work, saving, investment, and entrepreneurship.
And I especially want them to understand that the economic damage grows exponentially as tax rates increase (in other words, going from a 30 percent tax rate to a 40 percent tax rate is a lot more damaging than going from a 10 percent tax rate to a 20 percent tax rate).
But all of this analysis requires a firm grasp of supply-and-demand curves. And most people never learned basic microeconomics, or they forgot the day after they took their exam for Economics 101.
So when I give speeches about the economics of tax policy, I generally forgo technical analysis and instead appeal to common sense.
Almost everyone gets the point, especially when I point out that politicians explicitly say they want higher taxes on cigarettes because they want less smoking.
And if you (correctly) believe that higher taxes on tobacco lead to less smoking, then you also should understand that higher taxes on work will discourage productive behavior.
Unfortunately, these common-sense observations don’t have much impact on politicians in Washington. Joe Biden and Democrats in Congress are pushing a huge package of punitive tax increases.
Should they succeed, all taxpayers will suffer. But some will suffer more than others. In an article for CNBC, Robert Frank documents what Biden’s tax increase will mean for residents of high-tax states.
Top earners in New York City could face a combined city, state and federal income tax rate of 61.2%, according to plans being proposed by Democrats in the House of Representatives. The plans being proposed include a 3% surtax on taxpayers earning more than $5 million a year.The plans also call for raising the top marginal income tax rate to 39.6% from the current 37%. The plans preserve the 3.8% net investment income tax, and extend it to certain pass-through companies. The result is a top marginal federal income tax rate of 46.4%. …In New York City, the combined top marginal state and city tax rate is 14.8%. So New York City taxpayers…would face a combined city, state and federal marginal rate of 61.2% under the House plan. …the highest in nearly 40 years. Top earning Californians would face a combined marginal rate of 59.7%, while those in New Jersey would face a combined rate of 57.2%.
You don’t have to be a wild-eyed “supply-sider” to recognize that Biden’s tax plan will hurt prosperity.
After all, investors, entrepreneurs, business owners, and other successful taxpayers will have much less incentive to earn and report income when they only get to keep about 40 cents out of every $1 they earn.
Folks on the left claim that punitive tax rates are necessary for “fairness,” yet the United States already has the developed world’s most “progressive” tax system.
I’ll close with the observation that the punitive tax rates being considered will generate less revenue than projected.
Why? Because households and businesses will have big incentives to use clever lawyers and accountants to protect their income.
Looking for loopholes is a waste of time when rates are low, but it’s a very profitable use of time and energy when rates are high.
Now we have another editorial from the Post that illustrates this distinction.
The bad news is that the editorial (once again) endorses class-warfare tax policy.
…inequality of wealth is a serious problem in the United States. …to an unhealthy degree, wealth in the United States is being gained through unproductive activity — “rent-seeking”… Well-designed government interventions can reduce inequality from the top down, through more aggressive taxation of capital gains and estates… …everyone, poor and rich, has a lot to gain from curbing wealth inequality. The policies that can achieve that goal are neither radical nor complicated.
The good news is that the Post understands that there are serious consequences of going too far.
What remains to be considered are the counterarguments. …could a more aggressive attack on wealth inequality undermine incentives and result in an economic pie that is smaller and, inevitably, more difficult to distribute? If too aggressive, of course, at the bottom of that slippery slope lies Venezuela’s bankrupt socialism.
I suppose I should be happy that the editorial acknowledges the danger of hard-core leftism.
But my concern is that going in the wrong direction at 60 miles per hour still gets a nation to the wrong destination.
Yes, going in the wrong direction at 90 miles per hour gets to Venezuela even sooner, so I’d rather delay a very bad outcome.
That being said, it would be nice if the Washington Post (or any other rational leftists) drew some lines in the sand about limiting the size and scope of government.
For instance, would they agree that top tax rates should never exceed 60 percent?
Both numbers are far too high, of course, but setting some sort of limit would at least show that there is some long-run difference between the rational left and the AOC crowd.
Let’s conclude with some extracts that show why I’m worried that the Post will always be on the wrong side. After acknowledging that there are risks of going too far to the left, the editorial tell us we shouldn’t worry about going that direction.
In fact, too much inequality can undermine growth, too. …the perpetuation of steep inequalities, over generations, can turn into a drag on output…by wasting the potential of those who might have acquired skills or started businesses if not consigned by poverty to society’s margins. …extreme inequality fosters demands for populist policies, which, in turn, damage growth.
To be fair, the Washington Post is at least semi-good on the issue of school choice, so I take somewhat seriously their concerns about not wasting potential.
And it’s also worth noting that the editorial understands that populist policies (which presumably includes lots of anti-market nonsense such as protectionism) would be misguided. Though I’d feel much better about that part if the editorial recognized the difference between moral and immoral inequality.
I’ve only excerpted three paragraphs, but you should read his entire column. It is very tragic that the vision of liberty put forth by the Founders has been so undermined by modern politicians who swear an oath to the Constitution without having any idea what the document actually says.
In 1794, when Congress appropriated $15,000 to assist some French refugees, James Madison, the acknowledged father of our Constitution, stood on the floor of the House to object, saying, “I cannot undertake to lay my finger on that article of the Constitution which granted a right to Congress of expending, on objects of benevolence, the money of their constituents.” He later added, “(T)he government of the United States is a definite government, confined to specified objects. It is not like the state governments, whose powers are more general. Charity is no part of the legislative duty of the government.” Two hundred years later, at least two-thirds of a multi-trillion-dollar federal budget is spent on charity or “objects of benevolence.” What would the founders think about our respect for democracy and majority rule? Here’s what Thomas Jefferson said: “The majority, oppressing an individual, is guilty of a crime, abuses its strength, and by acting on the law of the strongest breaks up the foundations of society.” John Adams advised, “Remember democracy never lasts long. It soon wastes, exhausts, and murders itself. There never was a democracy yet that did not commit suicide.” The founders envisioned a republican form of government, but as Benjamin Franklin warned, “When the people find they can vote themselves money, that will herald the end of the republic.” What would the founders think about the U.S. Supreme Court’s 2005 Kelo v. City of New London decision where the court sanctioned the taking of private property of one American to hand over to another American? John Adams explained: “The moment the idea is admitted into society that property is not as sacred as the laws of God, and that there is not a force of law and public justice to protect it, anarchy and tyranny commence. If ‘Thou shalt not covet’ and ‘Thou shalt not steal’ were not commandments of Heaven, they must be made inviolable precepts in every society before it can be civilized or made free.”
That grotesque abuse of power largely was designed to weaken opposition to Obama’s statist agenda and make it easier for him to win re-election.
Now there’s a new IRS scandal. In hopes of advancing President Biden’s class-warfare agenda, the bureaucrats have leaked confidential taxpayer information to ProPublica, a left-wing website.
Here’s some of what that group posted.
ProPublica has obtained a vast trove of Internal Revenue Service data on the tax returns of thousands of the nation’s wealthiest people, covering more than 15 years. …ProPublica undertook an analysis that has never been done before.We compared how much in taxes the 25 richest Americans paid each year to how much Forbes estimated their wealth grew in that same time period. We’re going to call this their true tax rate. …those 25 people saw their worth rise a collective $401 billion from 2014 to 2018. They paid a total of $13.6 billion in federal income taxes in those five years, the IRS data shows. That’s a staggering sum, but it amounts to a true tax rate of only 3.4%.
Since I’m a policy wonk, I’ll first point out that ProPublicacreated a make-believe number. We (thankfully) don’t tax wealth in the United States.
So Elon Musk’s income is completely unrelated to what happened to the value of his Tesla shares. The same is true for Jeff Bezos’ income and the value of his Amazon stock.*
And the same thing is true for the rest of us. If our IRA or 401(k) rises in value, that doesn’t mean our taxable income has increased. If our home becomes more valuable, that also doesn’t count as taxable income.
The Wall Street Journalopined on this topic today and made a similar point.
There is no evidence of illegality in the ProPublica story. …ProPublica knows this, so its story tries to invent a scandal by calculatingwhat it calls the “true tax rate” these fellows are paying. This is a phony construct that exists nowhere in the law and compares how much the “wealth” of these individuals increased from 2014 to 2018 compared to how much income tax they paid. …what Americans pay is a tax on income, not wealth.
Some journalists don’t understand this distinction between income and wealth.
Or perhaps they do understand, but pretend otherwise because they see their role as being handmaidens of the Biden Administration.
Consider these excerpts from a column by Binyamin Appelbaum of the New York Times.
Jeff Bezos…added an estimated $99 billion in wealth between 2014 and 2018 but reported only $4.22 billion in taxable income during that period.Warren Buffett, who amassed $24.3 billion in new wealth over those years, reported $125 million in taxable income. …some of the wealthiest people in the United States essentially live under a different system of income taxation from the rest of us.
Mr. Appelbaum is wrong. The rich have a lot more assets than the rest of us, but they operate under the same rules.
If I have an asset that increases in value, that doesn’t count as taxable income. And it isn’t income. It’s merely a change in net wealth.
And the same is true if Bill Gates has an asset that increases in value.
Now that we’ve addressed the policy mistakes, let’s turn our attention to the scandal of IRS misbehavior.
The WSJ‘s editorial addresses the agency’s grotesque actions.
Less than half a year into the Biden Presidency, the Internal Revenue Service is already at the center of an abuse-of-power scandal. …ProPublica, a website whose journalism promotes progressive causes, published information from what it said are 15 years of the tax returns of Jeff Bezos, Warren Buffett and other rich Americans. …The story arrives amid the Biden Administration’s effort to pass the largest tax increase as a share of the economy since 1968. …The timing here is no coincidence, comrade. …someone leaked confidential IRS information about individuals to serve a political agenda. This is the same tax agency that pursued a vendetta against conservative nonprofit groups during the Obama Administration. Remember Lois Lerner? This is also the same IRS that Democrats now want to infuse with $80 billion more… As part of this effort, Mr. Biden wants the IRS to collect “gross inflows and outflows on all business and personal accounts from financial institutions.” Why? So the information can be leaked to ProPublica? …Congress should also not trust the IRS with any more power and money than it already has.
And Charles Cooke of National Review also weighs in on the implications of a weaponized and partisan IRS.
We cannot trust the IRS. “Oh, who cares?” you might ask. “The victims are billionaires!” And indeed, they are. But I care. For a start, they’re American citizens, and they’re entitled to the same rights — and protected by the same laws — as everyone else. …Besides, even if one wants to be entirely amoral about it, one should consider that if their information can be spilled onto the Internet, anyone’s can.…A government that is this reckless or sinister with the information of men who are lawyered to the eyeballs is unlikely to worry too much about being reckless or sinister with your information. …The IRS wields an extraordinary amount of power, and there will always be somebody somewhere who thinks that it should be used to advance their favorite political cause. Our refusal to indulge their calls is one of the many things that prevents us from descending into the caprice and chaos of your average banana republic. …Does that bother you? It should.
What’s especially disgusting is that the Biden Administration wants to reward IRS corruption with giant budget increases, bolstered by utterly fraudulent numbers.
Needless to say, that would be a terrible idea (sadly, Republicans in the past have been sympathetic to expanding the size of the tax bureaucracy).
*Financial assets such as stocks generally increase in value because of an expectation of bigger streams of income in the future (such as dividends). Those income streams are taxed (often multiple times) when (and if) they actually materialize.
Open letter to President Obama (Part 644)
(Emailed to White House on 6-10-13.)
President Obama c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500
If you take a group of Democrats who are also unionized government employees, and put them in charge of policing political speech, it doesn’t matter how professional and well-intentioned they are. The result will be much like the debacle in the Cincinnati office of the IRS. …there’s no reason to even posit evil intent by the IRS officials who formulated, approved or executed the inappropriate guidelines for picking groups to scrutinize most closely. …The public servants figuring out which groups qualified for 501(c)4 “social welfare” non-profit status were mostly Democrats surrounded by mostly Democrats. …In the 2012 election, every donation traceable to this office went to President Obama or liberal Sen. Sherrod Brown. This is an environment where even those trying to be fair could develop a disproportionate distrust of the Tea Party. One IRS worker — a member of NTEU and contributor to its PAC, which gives 96 percent of its money to Democratic candidates — explained it this way: “The reason NTEU mostly supports Democratic candidates for office is because Democratic candidates are mostly more supportive of civil servants/government employees.”
Tim concludes with a wise observation.
As long as we have a civil service workforce that leans Left, and as long as we have an income tax system that requires the IRS to police political speech, conservative groups can always expect special IRS scrutiny.
The real issue is the expansive, expensive bureaucratic state and its inherent threat to any system of limited government, rule of law, and individual liberty. …the broader the government’s authority, the greater its need for revenue, the wider its enforcement power, the more expansive the bureaucracy’s discretion, the increasingly important the battle for political control, and the more bitter the partisan fight, the more likely government officials will abuse their positions, violate rules, laws, and Constitution, and sacrifice people’s liberties. The blame falls squarely on Congress, not the IRS.
…the denizens of Capitol Hill also have created a tax code marked by outrageous complexity, special interest electioneering, and systematic social engineering. Legislators have intentionally created avenues for tax avoidance to win votes, and then complained about widespread tax avoidance to win votes.
So what’s the answer?
The most obvious response to the scandal — beyond punishing anyone who violated the law — is tax reform. Implement a flat tax and you’d still have an IRS, but the income tax would be less complex, there would be fewer “preferences” for the agency to police, and rates would be lower, leaving taxpayers with less incentive for aggressive tax avoidance. …Failing to address the broader underlying factors also would merely set the stage for a repeat performance in some form a few years hence. …More fundamentally, government, and especially the national government, should do less. Efficient social engineering may be slightly better than inefficient social engineering, but no social engineering would be far better.
But here’s the challenge. We know the solution, but it will be almost impossible to implement good policy unless we figure out some way to restrain the spending side of the fiscal ledger.
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At the risk of over-simplifying, we will never get tax reform unless we figure out how to implement entitlement reform.
Here’s another Foden cartoon, which I like because it has the same theme asthis Jerry Holbert cartoon, showing big government as a destructive and malicious force.
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Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.
Sincerely,
Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733, lowcostsqueegees@yahoo.com
We know the IRS commissioner wasn’t telling the truth in March 2012, when he testified: “There’s absolutely no targeting.”However, Lois Lerner knew different when she misled people with those words. Two important points made by Noonan in the Wall Street Journal in the article below: First, only conservative groups were targeted in this scandal by […]
Ohio Liberty Coalition versus the I.R.S. (Tom Zawistowski) Published on May 20, 2013 The Ohio Liberty Coalition was among tea party groups that received special scrutiny from the I.R.S. Tom Zawistowski says his story is not unique. He argues the kinds of questions the I.R.S. asked his group amounts to little more than “opposition research.” Video […]
Francis Schaeffer: “Whatever Happened to the Human Race?” (Episode 2) SLAUGHTER OF THE INNOCENTS Published on Oct 6, 2012 by AdamMetropolis The 45 minute video above is from the film series created from Francis Schaeffer’s book “Whatever Happened to the Human Race?” with Dr. C. Everett Koop. This book really helped develop my political views concerning […]
We got to lower the size of government so we don’t have these abuses like this in the IRS. Cartoonists v. the IRS May 23, 2013 by Dan Mitchell Call me perverse, but I’m enjoying this IRS scandal. It’s good to see them suffer a tiny fraction of the agony they impose on the American people. I’ve already […]
Dear Senator Pryor, Why not pass the Balanced Budget Amendment? As you know that federal deficit is at all time high (1.6 trillion deficit with revenues of 2.2 trillion and spending at 3.8 trillion). On my blog http://www.HaltingArkansasLiberalswithTruth.com I took you at your word and sent you over 100 emails with specific spending cut ideas. However, […]
Is the irs out of control? Here is the link from cato: MAY 22, 2013 8:47AM Can You Vague That Up for Me? By TREVOR BURRUS SHARE As the IRS scandal thickens, targeted groups are coming out to describe their ordeals in dealing with that most-reviled of government agencies. The Ohio Liberty Coalition was one of […]
Get Ready to Be Reamed May 17, 2013 by Dan Mitchell With so many scandals percolating, there are lots of good cartoons being produced. But I think this Chip Bok gem deserves special praise. It manages to weave together both the costly Obamacare boondoggle with the reprehensible politicization of the IRS. So BOHICA, my friends. If […]
You want to talk about irony then look at President Obama’s speech a few days ago when he joked about a potential audit of Ohio St by the IRS then a few days later the IRS scandal breaks!!!! The I.R.S. Abusing Americans Is Nothing New Published on May 15, 2013 The I.R.S. targeting of tea party […]
Dear Senator Pryor, Why not pass the Balanced Budget Amendment? As you know that federal deficit is at all time high (1.6 trillion deficit with revenues of 2.2 trillion and spending at 3.8 trillion). On my blog http://www.HaltingArkansasLiberalswithTruth.com I took you at your word and sent you over 100 emails with specific spending cut ideas. However, […]
We could put in a flat tax and it would enable us to cut billions out of the IRS budget!!!! May 14, 2013 2:34PM IRS Budget Soars By Chris Edwards Share The revelations of IRS officials targeting conservative and libertarian groups suggest that now is a good time for lawmakers to review a broad range […]
Way back in 2009, I shared a meme that succinctly summarizes how Washington operates.
It’s basically a version of Mitchell’s Law. To elaborate, governments cause problems and politicians then use those problems as an excuse to make government even bigger.
I worry the same thing may be about to happen because of the current concern about “supply chain” issues, perhaps best illustrated by the backlog of ships at key ports, leading to shortages of key goods.
Some of this mess is fallout from the coronavirus pandemic, but it’s being exacerbated by bad policy.
In a column for Reason, J.D. Tuccille points out that government is the problem, not the solution.
…supply-chain issues…create shortages and push prices up around the world. …Lockdowns also changed people’s lives, closing offices and factories and confining people at home. That resulted in massive and unpredictable shifts in demand and unreliable supply. …”Market economies tend to be pretty good at getting food on the supermarket shelves and fuel in petrol stations, if left to themselves,” agrees Pilkington. “That last part is key: if left to themselves. Heavy-handed interference in market economies tends to produce the same pathologies we see in socialist economies, including shortages and inflation. That has been the unintended consequence of lockdown.” …The danger is that people see economic problems caused by earlier fiddling and then demand even more government intervention. …if the government were to further meddle in the market to allocate products made scarce by earlier actions, it’s hard to see how the result wouldn’t be anything other than increased supply chain chaos.
Allysia Finley opines for the Wall Street Journal about California’s role in the supply-chain mess.
The backup of container ships at the Long Beach and Los Angeles ports has grown in recent weeks… The two Southern California ports handle only about 40% of containers entering the U.S., mostly from Asia. Yet ports in other states seem to be handling the surge better. Gov. Ron DeSantis said last month that Florida’s seaports had open capacity.So what’s the matter with California? State labor and environmental policies. …business groups recently asked Gov. Gavin Newsom to declare a state of emergency and suspend labor and environmental laws that are interfering with the movement of goods. …One barrier is a law known as AB5. …Trucking companies warned that the law could put small carriers out of business and cause drivers to leave the state. …there’s little doubt the law hinders efficiency and productivity. …State officials have also pressed localities to attach green mandates to permits for new warehouses, which can be poison pills. …This boatload of regulations is making it more expensive and difficult to store goods arriving at California ports.
Needless to say, I’m not surprised California is making things worse.
The state seems to have some of the nation’s worst politicians.
But let’s set that aside and close with some discussion about one of the differences between government and the private sector.
This may surprise some readers, but people and businesses in the private sector make mistakes all the time.
So part of the supply-chain mess presumably is a result of companies and entrepreneurs making bad guesses.
That being said, there’s a big feedback mechanism in the private sector. It’s called profit and loss.
So when mistakes are made, there’s a big incentive to quickly change.
With government, by contrast, there’s very little flexibility (as we saw during the pandemic). And when politicians and bureaucrats do act, they often respond to political incentives that lead them to make things worse.
My response is easy. I care about results rather than rhetoric. And while GOP politicians often pay lip service to the principles of limited government,they usually increase spending even faster than Democrats.
This is bad news because it means the burden of government expands when Republicans are in charge.
And, as Gary Abernathy points out in a column for the Washington Post, Republicans then don’t have the moral authority to complain when Democrats engage in spending binges.
President Biden is proposing another $3 trillion in spending… There are objections, but none that can be taken seriously. …Republicans had lost their standing as the party of fiscal responsibility when most of them succumbed to the political virus of covid fever and rubber-stamped around $4 trillion in “covid relief,”… With Trump out and Biden in, Republicans suddenly pretended that their 2020 spending spree happened in some alternate universe.But the GOP’s united opposition to Biden’s $1.9 trillion package won’t wash off the stench of the hypocrisy. …I noted a year ago that we had crossed the Rubicon, that our longtime flirtation with socialism had become a permanent relationship. Congratulations, Bernie Sanders. The GOP won’t become irrelevant because of its association with Trump, as some predict. It will diminish because it is bizarrely opposing now that which it helped make palatable just last year. Fiscal responsibility is dead, and Republicans helped bury it. Put the shovels away, there’s no digging it up now.
For what it’s worth, I hope genuine fiscal responsibility isn’t dead.
Maybe it’s been hibernating ever since Reagan left office (like Pepperidge Farm, I’m old enough to remember those wonderful years).
Subsequent Republican presidents liked to copy Reagan’s rhetoric, but they definitely didn’t copy his policies.
Spending restraint was hibernating during the presidency of George H.W. Bush.
Spending restraint also was hibernating during the presidency of George W. Bush.
And spending restraint was hibernating during the presidency of Donald Trump.
I’m not the only one to notice GOP hypocrisy.
Here are some excerpts from a 2019 column in the Washington Post by Fareed Zakaria.
In what Republicans used to call the core of their agenda — limited government — Trump has been profoundly unconservative. …Trump has now added more than $88 billion in taxes in the form of tariffs, according to the right-leaning Tax Foundation. (Despite what the president says, tariffs are taxes on foreign goods paid by U.S. consumers.) This has had the effect of reducing gross domestic product and denting the wages of Americans.…For decades, conservatives including Margaret Thatcher and Ronald Reagan preached to the world the virtues of free trade. But perhaps even more, they believed in the idea that governments should not pick winners and losers in the economy… Yet the Trump administration…behaved like a Central Planning Agency, granting exemptions on tariffs to favored companies and industries, while refusing them to others. …In true Soviet style, lobbyists, lawyers and corporate executives now line up to petition government officials for these treasured waivers, which are granted in an opaque process… On the core issue that used to define the GOP — economics — the party’s agenda today is state planning and crony capitalism.
Zakaria is right about Republicans going along with most of Trump’s bad policies (as illustrated by this cartoon strip).*
The bottom line is that Republicans would be much more effective arguing against Biden’s spending orgy had they also argued for spending restraint when Trump was in the White House.
President Biden c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500
Dear Mr. President,
Please explain to me if you ever do plan to balance the budget while you are President? I have written these things below about you and I really do think that you don’t want to cut spending in order to balance the budget. It seems you ever are daring the Congress to stop you from spending more.
“The credit of the United States ‘is not a bargaining chip,’ Obama said on 1-14-13. However, President Obama keeps getting our country’s credit rating downgraded as he raises the debt ceiling higher and higher!!!!
Washington Could Learn a Lot from a Drug Addict
Just spend more, don’t know how to cut!!! Really!!! That is not living in the real world is it?
Making more dependent on government is not the way to go!!
Why is our government in over 16 trillion dollars in debt? There are many reasons for this but the biggest reason is people say “Let’s spend someone else’s money to solve our problems.” Liberals like Max Brantley have talked this way for years. Brantley will say that conservatives are being harsh when they don’t want the government out encouraging people to be dependent on the government. The Obama adminstration has even promoted a plan for young people to follow like Julia the Moocher.
Imagine standing a baby carrot up next to the 25-story Stephens building in Little Rock. That gives you a picture of the impact on the national debt that federal spending in Arkansas on Medicaid expansion would have, while here at home expansion would give coverage to more than 200,000 of our neediest citizens, create jobs, and save money for the state.
Here’s the thing: while more than a billion dollars a year in federal spending would represent a big-time stimulus for Arkansas, it’s not even a drop in the bucket when it comes to the national debt.
Currently, the national debt is around $16.4 trillion. In fiscal year 2015, the federal government would spend somewhere in the neighborhood of $1.2 billion to fund Medicaid expansion in Arkansas if we say yes. That’s about 1/13,700th of the debt.
It’s hard to get a handle on numbers that big, so to put that in perspective, let’s get back to the baby carrot. Imagine that the height of the Stephens building (365 feet) is the $16 trillion national debt. That $1.2 billion would be the length of a ladybug. Of course, we’re not just talking about one year if we expand. Between now and 2021, the federal government projects to contribute around $10 billion. The federal debt is projected to be around $25 trillion by then, so we’re talking about 1/2,500th of the debt. Compared to the Stephens building? That’s a baby carrot.
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Here is how it will all end if everyone feels they should be allowed to have their “baby carrot.”
How sad it is that liberals just don’t get this reality.
While living in Europe in the 1760s, Franklin observed: “in different countries … the more public provisions were made for the poor, the less they provided for themselves, and of course became poorer. And, on the contrary, the less was done for them, the more they did for themselves, and became richer.”
Alexander Fraser Tytler, Lord Woodhouselee(15 October 1747 – 5 January 1813) was a Scottish lawyer, writer, and professor. Tytler was also a historian, and he noted, “A democracy cannot exist as a permanent form of government. It can only exist until the majority discovers it can vote itself largess out of the public treasury. After that, the majority always votes for the candidate promising the most benefits with the result the democracy collapses because of the loose fiscal policy ensuing, always to be followed by a dictatorship, then a monarchy.”
[Jefferson affirms that the main purpose of society is to enable human beings to keep the fruits of their labor.— TGW]
To take from one, because it is thought that his own industry and that of his fathers has acquired too much, in order to spare to others, who, or whose fathers have not exercised equal industry and skill, is to violate arbitrarily the first principle of association, “the guarantee to every one of a free exercise of his industry, and the fruits acquired by it.” If the overgrown wealth of an individual be deemed dangerous to the State, the best corrective is the law of equal inheritance to all in equal degree; and the better, as this enforces a law of nature, while extra taxation violates it.
[From Writings of Thomas Jefferson, ed. Albert E. Bergh (Washington: Thomas Jefferson Memorial Association, 1904), 14:466.]
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Jefferson pointed out that to take from the rich and give to the poor through government is just wrong. Franklin knew the poor would have a better path upward without government welfare coming their way. Milton Friedman’s negative income tax is the best method for doing that and by taking away all welfare programs and letting them go to the churches for charity.
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Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband.
Sincerely,
Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733
We got to act fast and get off this path of socialism. Morning Bell: Welfare Spending Shattering All-Time Highs Robert Rector and Amy Payne October 18, 2012 at 9:03 am It’s been a pretty big year for welfare—and a new report shows welfare is bigger than ever. The Obama Administration turned a giant spotlight […]
We need to cut Food Stamp program and not extend it. However, it seems that people tell the taxpayers back home they are going to Washington and cut government spending but once they get up there they just fall in line with everyone else that keeps spending our money. I am glad that at least […]
Government Must Cut Spending Uploaded by HeritageFoundation on Dec 2, 2010 The government can cut roughly $343 billion from the federal budget and they can do so immediately. __________ Liberals argue that the poor need more welfare programs, but I have always argued that these programs enslave the poor to the government. Food Stamps Growth […]
Milton Friedman – The Negative Income Tax Published on May 11, 2012 by LibertyPen In this 1968 interview, Milton Friedman explained the negative income tax, a proposal that at minimum would save taxpayers the 72 percent of our current welfare budget spent on administration. http://www.LibertyPen.com Source: Firing Line with William F Buckley Jr. ________________ Milton […]
Dan Mitchell Commenting on Obama’s Failure to Propose a Fiscal Plan Published on Aug 16, 2012 by danmitchellcato No description available. ___________ After the Welfare State Posted by David Boaz Cato senior fellow Tom G. Palmer, who is lecturing about freedom in Slovenia and Tbilisi this week, asked me to post this announcement of his […]
Is President Obama gutting the welfare reform that Bill Clinton signed into law? Morning Bell: Obama Denies Gutting Welfare Reform Amy Payne August 8, 2012 at 9:15 am The Obama Administration came out swinging against its critics on welfare reform yesterday, with Press Secretary Jay Carney saying the charge that the Administration gutted the successful […]
Thomas Sowell – Welfare Welfare reform was working so good. Why did we have to abandon it? Look at this article from 2003. The Continuing Good News About Welfare Reform By Robert Rector and Patrick Fagan, Ph.D. February 6, 2003 Six years ago, President Bill Clinton signed legislation overhauling part of the nation’s welfare system. […]
Uploaded by ForaTv on May 29, 2009 Complete video at: http://fora.tv/2009/05/18/James_Bartholomew_The_Welfare_State_Were_In Author James Bartholomew argues that welfare benefits actually increase government handouts by ‘ruining’ ambition. He compares welfare to a humane mousetrap. —– Welfare reform was working so good. Why did we have to abandon it? Look at this article from 2003. In the controversial […]
Thomas Sowell If the welfare reform law was successful then why change it? Wasn’t Bill Clinton the president that signed into law? Obama Guts Welfare Reform Robert Rector and Kiki Bradley July 12, 2012 at 4:10 pm Today, the Obama Department of Health and Human Services (HHS) released an official policy directive rewriting the welfare […]
I have been writing President Obama letters and have not received a personal response yet. (He reads 10 letters a day personally and responds to each of them.) However, I did receive a form letter in the form of an email on July 10, 2012. I don’t know which letter of mine generated this response so I have […]
he late Adrian Rogers was my pastor at Bellevue Baptist when I grew up and I sent his sermon on evolution and another on the accuracy of the Bible to many atheists to listen to and many of them did. I also sent many of the arguments from Francis Schaeffer also.
Many of these scholars have taken the time to respond back to me in the last 20 years and some of the names included are Ernest Mayr (1904-2005), George Wald (1906-1997), Carl Sagan (1934-1996), Robert Shapiro (1935-2011), Nicolaas Bloembergen (1920-), Brian Charlesworth (1945-), Francisco J. Ayala (1934-) Elliott Sober (1948-), Kevin Padian (1951-), Matt Cartmill (1943-) , Milton Fingerman (1928-), John J. Shea (1969-), , Michael A. Crawford (1938-), (Paul Kurtz (1925-2012), Sol Gordon (1923-2008), Albert Ellis (1913-2007), Barbara Marie Tabler (1915-1996), Renate Vambery (1916-2005), Archie J. Bahm (1907-1996), Aron S “Gil” Martin ( 1910-1997), Matthew I. Spetter (1921-2012), H. J. Eysenck (1916-1997), Robert L. Erdmann (1929-2006), Mary Morain (1911-1999), Lloyd Morain (1917-2010), Warren Allen Smith (1921-), Bette Chambers (1930-), Gordon Stein (1941-1996) , Milton Friedman (1912-2006), John Hospers (1918-2011), and Michael Martin (1932-).
THIRD, there is hope that an atheist will reconsider his or her position after examining more evidence. Twenty years I had the opportunity to correspond with two individuals that were regarded as two of the most famous atheists of the 20th Century, Antony Flew and Carl Sagan. I had read the books and seen the films of the Christian philosopher Francis Schaeffer and he had discussed the works of both of these men. I sent both of these gentlemen philosophical arguments from Schaeffer in these letters and in the first letter I sent a cassette tape of my pastor’s sermon IS THE BIBLE TRUE? You may have noticed in the news a few years that Antony Flew actually became a theist in 2004 and remained one until his death in 2010. Carl Sagan remained a skeptic until his dying day in 1996.Antony Flew wrote me back several times and in the June 1, 1994 letter he commented, “Thank you for sending me the IS THE BIBLE TRUE? tape to which I have just listened with great interest and, I trust, profit.” I later sent him Adrian Rogers’ sermon on evolution too.
The ironic thing is back in 2008 I visited the Bellevue Baptist Book Store and bought the book There Is A God – How the World’s Most Notorious Atheist Changed His Mind, by Antony Flew, and it is in this same store that I bought the message by Adrian Rogers in 1994 that I sent to Antony Flew. Although Antony Flew did not make a public profession of faith he did admit that the evidence for God’s existence was overwhelming to him in the last decade of his life. His experience has been used in a powerful way to tell others about Christ. Let me point out that while on airplane when I was reading this book a gentleman asked me about the book. I was glad to tell him the whole story about Adrian Rogers’ two messages that I sent to Dr. Flew and I gave him CD’s of the messages which I carry with me always. Then at McDonald’s at the Airport, a worker at McDonald’s asked me about the book and I gave him the same two messages from Adrian Rogers too.
in many of these letters that I would send to famous skeptics and I would always include audio messages from Adrian Rogers. Perhaps Schaeffer’s most effective argument was concerning Romans 1 and how a person could say that he didn’t believe that the world had a purpose or meaning but he could not live that way in the world that God created and with the conscience that every person is born with.
Google “Adrian Rogers Francis Schaeffer” and the first 8 things that come up will be my blog posts concerning effort to reach these atheists. These two great men proved that the scriptures Hebrews 4:12 and Isaiah 55:11 are true, “For the word of God is alive and active. Sharper than any double-edged sword, it penetrates even to dividing soul and spirit, joints and marrow; it judges the thoughts and attitudes of the heart.” and “so is my word that goes out from my mouth: It will not return to me empty, but will accomplish what I desire and achieve the purpose for which I sent it.”
I am currently reading the books THE GOD WHO IS THERE and ESCAPE FROM REASON and that inspired me to do this series of posts on Francis Schaeffer again.
So rationalism or humanism is the unity within secular thought. (..)
In one way it is always the same, men trying to build from themselves
alone. In another sense it is constantly shifting (..)
The ‘line of despair’ indicates a titanic shift at this present time within
the unity of rationalism: Above the line, men were rationalistic
optimists. They believed that they could begin with themselves and
draw a circle which would encompass all thoughts of life, and life itself,
without having to depart from the logic of antithesis. They thought
that on their own, rationalistically, finite men could find a unity in the
total diversity. This is where philosophy stood, prior to our own day.
The only real argument between these rationalistic optimists was over
the circle that should be drawn. One man would draw a circle and say,
You can live within this circle. The next man would cross it out and
would draw a different circle. The next man would come along, and
draw his own – ad infinitum (…)
By the time you have considered all these circles.. you may feel like
jumping off London Bridge! But at a certain point this attempt to spin
out a unified optimistic humanism ceased. The thinkers came to the
conclusion that they were not going to find a unified rationalistic
circle that would contain all thought, and in which they could live.
It was as though the rationalist suddenly became trapped in a large
darkness… he would feel his way to the walls and look for an exit…
then the terrifying truth would dawn on him that there was no exit
at all! … and so, departing from the classical method of antithesis,
they shifted the concept of truth — and modern man was born.
..and modern man moved under the line of despair, against his
desire. He remained a rationalist, but he had changed.
If we do not understand this shift, we are largely talking to
ourselves.
Søren Kirkegaard [was named] the father of all modern thinking:
..of modern secular thinking and of the new theological thinking.
[SK] came to the conclusion that you could not arrive at synthesis
by reason. Instead, you achieved everything of real importance
by a leap of faith. So he separated absolutely the rational and
logical, from faith. We might… debate whether, if he came back
today, he would be pleased with what had been made of his thinking.
..but with the concept of a leap of faith, he became in a real way
the father of all modern existential thought, both secular and
theological. As a result, from that time on, if rationalistic man wants to deal with the real things of human life — such as purpose, significance, the validity of love — he must discard rational thought about them and make a gigantic, non-rational leap of faith. The rationalistic framework had failed to produce an answer on the basis of reason,
and so all hope of a uniform field of knowledge had to be abandoned.
…though there appear to be many forms of of philosophy today,
in reality there are very few. They have a uniform cast about them.
..there is one basic agreement in almost all of the chairs of philosophy
today, a radical denial of the possibility of putting forth a circle which
will encompass all. In this sense, the philosophies of today can be
called, in all seriousness, anti-philosophies.
How Should We Then Live – Episode 8 – The Age of Fragmentation
How Should We Then Live – Episode 9 – The Age of Personal Peace & Affluence
Featured artist is Jules de Balincourt
Art This Week-The Modern-FOCUS: Jules de Balincourt
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
It is not possible to know where the pro-life evangelicals are coming from unless you look at the work of the person who inspired them the most. That person was Francis Schaeffer. I do care about economic issues but the pro-life issue is the most important to me. Several years ago Adrian Rogers (past president of […]
I got this off a Christian blog spot. This person makes some good points and quotes my favorite Christian philosopher Francis Schaeffer too. Prostitution, Chaos, and Christian Art The newest theatrical release of Victor Hugo’s 1862 novel “Les Miserables” was released on Christmas, but many Christians are refusing to see the movie. The reason simple — […]
Francis Schaeffer was truly a great man and I enjoyed reading his books. A theologian #2: Rev. Francis Schaeffer Duriez, Colin. Francis Schaeffer: An Authentic Life. Wheaton, IL: Crossway Books, 2008. Pp. 240. Francis Schaeffer is one of the great evangelical theologians of our modern day. I was already familiar with some of his books and his […]
Francis Schaeffer: “Whatever Happened to the Human Race?” (Episode 2) SLAUGHTER OF THE INNOCENTS Published on Oct 6, 2012 by AdamMetropolis ___________ The 45 minute video above is from the film series created from Francis Schaeffer’s book “Whatever Happened to the Human Race?” with Dr. C. Everett Koop. This book really helped develop my political views […]
The Francis and Edith Schaeffer Story Pt.1 – Today’s Christian Videos The Francis and Edith Schaeffer Story – Part 3 of 3 Francis Schaeffer: “Whatever Happened to the Human Race” (Episode 1) ABORTION OF THE HUMAN RACE Published on Oct 6, 2012 by AdamMetropolis ________________ Picture of Francis Schaeffer and his wife Edith from the […]
THE MARK OF A CHRISTIAN – CLASS 1 – Introduction Published on Mar 7, 2012 This is the introductory class on “The Mark Of A Christian” by Francis Schaeffer. The class was originally taught at Redeemer Presbyterian Church in Overland Park, KS by Dan Guinn from FrancisSchaefferStudies.org as part of the adult Sunday School hour […]
Francis Schaeffer: “Whatever Happened to the Human Race?” (Episode 2) SLAUGHTER OF THE INNOCENTS Published on Oct 6, 2012 by AdamMetropolis The 45 minute video above is from the film series created from Francis Schaeffer’s book “Whatever Happened to the Human Race?” with Dr. C. Everett Koop. This book really helped develop my political views concerning […]
Francis Schaeffer: “Whatever Happened to the Human Race” (Episode 1) ABORTION OF THE HUMAN RACE Published on Oct 6, 2012 by AdamMetropolis The 45 minute video above is from the film series created from Francis Schaeffer’s book “Whatever Happened to the Human Race?” with Dr. C. Everett Koop. This book really helped develop my political views […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
Francis Schaeffer: “Whatever Happened to the Human Race” (Episode 5) TRUTH AND HISTORY Published on Oct 7, 2012 by AdamMetropolis The 45 minute video above is from the film series created from Francis Schaeffer’s book “Whatever Happened to the Human Race?” with Dr. C. Everett Koop. This book really helped develop my political views concerning abortion, […]
Thank you for encouraging Johnny Cash to do his last few albums. They have been such a blessing.
I understand that you are Jewish. If Johnny Cash was here today, I bet he would share something like this below from the scriptures. Johnny was a student of the whole Bible. He wrote the book THE MAN IN WHITE about the apostle Paul and it took him 10 years to write and in that book you can tell that he spent much time in research asking Jewish leaders what life was like for the Jews in the 1st century in Palestine while being occupied by the Romans.
I know that you will spending lots of time in the scriptures and I wanted to share with you some key scriptures that talk about the Messiah. Rusty Wright of Probe Ministries wrote the article below:
Many crime victims feel forsaken by God. So do many divorced people, war prisoners, and starving refugees. But this young man’s cry of desperation carried added significance because of its historical allusion.
The words had appeared about a thousand years earlier in a song written by a king. The details of the song are remarkably similar to the suffering the young man endured. It said, “All who see me mock me; they hurl insults, shaking their heads …. They have pierced my hands and my feet…. They divide my garments among them and cast lots for my clothing.”{2}
Historians record precisely this behavior during the young man’s execution.{3} It was as if a divine drama were unfolding as the man slipped into death.
Researchers have uncovered more than 300 predictions or prophesies literally fulfilled in the life and death of this unique individual. Many of these statements written hundreds of years before his birth-were beyond his human control. One correctly foretold the place of his birth. {4} Another said he would be born of a virgin. {5} He would be preceded by a messenger who would prepare the way for his work, {6} He would enter the capital city as a king but riding on a donkeys back {7} He would be betrayed for thirty pieces of Silver, {8} pierced, {9} executed among thieves, {10} and yet, though wounded, {11} he would suffer no broken bones.{12}
Peter Stoner, a California mathematics professor, calculated the chance probability of just eight of these 300 prophecies coming true in one person. Using conservative estimates, Stoner concluded that the probability is 1 in 10 to the 17th power that those eight could be fulfilled by a fluke.
He says 1017silver dollars would cover the state of Texas two feet deep. Mark one coin with red fingernail polish. Stir the whole batch thoroughly. What chance would a blindfolded person have of picking the marked coin on the first try? One in 1017, the same chance that just eight of the 300 prophecies “just happened” to come true in this man, Jesus. {13}
In his dying cry from the cross Jesus reminded His hearers that His life and death precisely fulfilled God’s previously stated plan. According to the biblical perspective, at the moment of death Jesus experienced the equivalent of eternal separation from God in our place so that we might be forgiven and find new life.
He took the penalty due for all the crime, injustice, evil, sin, and shortcomings of the world-including yours and mine.
Though sinless Himself, He likely felt guilty and abandoned. Then-again in fulfillment of prophecy {14} and contrary to natural law-He came back to life. As somewhat of a skeptic I investigated the evidence for Christ’s resurrection and found it to be one of the best-attested facts in history. {15} To the seeker Jesus Christ offers true inner peace, forgiveness, purpose, and strength for contented living.
SO WHAT?
“OK, great,” you might say, “but what hope does this give the crime or divorce victim, the hungry and bleeding refugee, the citizen paralyzed by a world gone bad?” Will Jesus prevent every crime, reconcile every troubled marriage, restore every refugee, stop every war? No. God has given us free will. Suffering–even unjust suffering–is a necessary consequence of sin.
Sometimes God does intervene to change circumstances. (I’m glad my assailant became nervous and left.) Other times God gives those who believe in Him strength to endure and confidence that He will see them through. In the process, believers mature.
Most significantly we can hope in what He has told us about the future. Seeing how God has fulfilled prophecies in the past gives us confidence to believe those not yet fulfilled. Jesus promises eternal life to all who trust Him for it: “Whoever hears my word and believes him who sent me has eternal life and will not be condemned; he has crossed over from death to life.”{16}
He promised He would return to rescue people from this dying planet.{17}
Finally justice will prevail. Those who have chosen to place their faith in Him will know true joy: “He shall wipe away every tear from their eyes; and there shall no longer be any death; there shall no longer be any mourning, or crying, or pain.”{19}
Does God intend that we ignore temporal evil and mentally float off into unrealistic ethereal bliss? Nor at all. God is in the business of working through people to turn hearts to Him, resolve conflicts, make peace. After my assailant went to prison, I felt motivated to tell him that I forgave him because of Christ. He apologized, saying he, too, has now come to believe in Jesus.
But through every trial, every injustice you suffer, you can know that God is your friend and that one day He will set things right. You can know that He is still on the throne of the universe and that He cares for you. You can know this because His Son was born (Christmas is, of course, a celebration of His birth), lived, died, and came back to life in fulfillment of prophecy. Because of Jesus, if you personally receive His free gift of forgiveness, you can have hope!
Will you trust Him?
Notes
1. Matthew 27:46.
2. Psalm 22.
3. Matthew 27:35-44; John 20:25.
4. Micah 5:2; Matthew 2:1.
5. Isaiah 7:14; Matthew 1:18, 24-25; Luke 1:26-35.
6. Malachi 3:1; Isaiah 40:3; Matthew 3:1-2.
7. Zechariah 9:9; John 12:15; Matthew 21: 1-9.
8. Zechariah 11:12; Matthew 26:15.
9. Zechariah 12:10; John 19:34, 37.
10. Isaiah 53:12.
11. Matthew 27:38; Isaiah 53:5; Zechariah 13:6; Matthew 27:26.
12. Psalm 34:20; John 19:33, 36.
13. Peter Stoner, Science Speaks, pp. 99-112.
14. Psalm 6:10; Acts 2:31-32.
15. Josh McDowell, Evidence That Demands a Verdict, pp. 185-273.
Rusty Wright, former associate speaker and writer with Probe Ministries, is an international lecturer, award-winning author, and journalist who has spoken on six continents. He holds Bachelor of Science (psychology) and Master of Theology degrees from Duke and Oxford universities, respectively. www.RustyWright.com
You and I have something in common and it is the song GOD’S GONNA CUT YOU DOWN. You were in the video and my post about that video entitled, People in the Johnny Cash video “God’s Gonna Cut You Down” is the most popular post I have done in recent years. It ranked #1 for all of 2015 and I have over 1,000,000 hits on my http://www.thedailyhatch.org blog site. The ironic thing is that I never knew what a big deal Johnny Cash was until he had died. I grew up in Memphis with his nephew Paul Garrett and we even went to the same school and church. Paul’s mother was Johnny Cash’s sister Margaret Louise Garrett.
Stu Carnall, an early tour manager for Johnny Cash, recalled, “Johnny’s an individualist, and he’s a loner….We’d be on the road for weeks at a time, staying at motels and hotels along the way. While the other members of the troupe would sleep in, Johnny would disappear for a few hours. When he returned, if anyone asked where he’d been, he’d answer straight faced, ‘to church.'”
Have you ever taken the time to read the words of the song?
You can run on for a long time
Run on for a long time
Run on for a long time
Sooner or later God’ll cut you down
Sooner or later God’ll cut you down
Go tell that long tongue liar
Go and tell that midnight rider
Tell the rambler,
The gambler,
The back biter
Tell ’em that God’s gonna cut ’em down
Tell ’em that God’s gonna cut ’em down
Well my goodness gracious let me tell you the news
My head’s been wet with the midnight dew
I’ve been down on bended knee talkin’ to the man from Galilee
He spoke to me in the voice so sweet
I thought I heard the shuffle of the angel’s feet
He called my name and my heart stood still
When he said, “John go do My will!”
Well you may throw your rock and hide your hand
Workin’ in the dark against your fellow man
But as sure as God made black and white
What’s down in the dark will be brought to the light
You can run on for a long time
Run on for a long time
Sooner or later God’ll cut you down
___
Johnny Cash sang this song of Judgment because he knew the Bible says in Romans 6:23, “For the wages of sin is death; but the GIFT OF GOD IS ETERNAL LIFE THROUGH JESUS CHRIST OUR LORD.” The first part of this verse is about the judgment sinners must face if not pardoned, but the second part is about Christ who paid our sin debt!!! Did you know that Romans 6:23 is part of what we call the Roman Road to Christ. Here is how it goes:
Because of our sin, we are separated from God. For all have sinned and fall short of the glory of God. (Romans 3:23)
The Penalty for our sin is death. For the wages of sin is death, but the gift of God is eternal life in Jesus Christ our Lord.(Romans 6:23)
The penalty for our sin was paid by Jesus Christ! But God demonstrates His own love toward us, in that while we were yet sinners, Christ died for us. (Romans 5:8)
If we repent of our sin, then confess and trust Jesus Christ as our Lord and Savior, we will be saved from our sins! For whoever calls on the name of the Lord shall be saved. (Romans 10:13)
…if you confess with your mouth the Lord Jesus and believe in your heart that God has raised Him from the dead, you will be saved. For with the heart one believes unto righteousness, and with the mouth confession is made unto salvation. (Romans 10:9,10)
PS:If one repents and puts trust in Christ alone for eternal life then he or she will be forgiven. Francis Schaeffer noted, “If Satan tempts you to worry over it, rebuff him by saying I AM FORGIVEN ON THE BASIS OF THE WORK OF CHRIST AS HE DIED ON THE CROSS!!!
Johnny Cash’s version of the traditional God’s Gonna Cut You Down, from the album “American V: A Hundred Highways”, was released as a music video on November 9 2006, just over three years after Cash died. Producer Rick Rubin opens the music video, saying, “You know, Johnny always wore black. He wore black because he identified with the poor and the downtrodden…”. What follows is a collection of black and white clips of well known pop artists wearing black, each interacting with the song in their own way. Some use religious imagery. Howard sits in his limo reading from Ezekiel 34, a Biblical passage warning about impending judgment for false shepherd. Bono leaning on a graffiti-filled wall between angel’s wings and a halo, pointing to the words, “Sinners Make The Best Saints. J.C. R.I.P.” A number of artists wear or hold crosses.
Artists appear in this order: Rick Rubin, Iggy Pop, Kanye West, Chris Martin, Kris Kristofferson, Patti Smith, Terence Howard, Flea (Red Hot Chili Peppers), Q-Tip, Adam Levine (Maroon 5), Chris Rock, Justin Timberlake, Kate Moss, Sir Peter Blake (Sgt Peppers Artist), Sheryl Crow, Denis Hopper, Woody Harrelson, Amy Lee of Evanescence, Tommy Lee, Natalie Maines, Emily Robison, Martie Maguire (Dixie Chicks), Mick Jones, Sharon Stone, Bono, Shelby Lynne, Anthony Kiedis, Travis Barker, Lisa Marie Presley, Kid Rock, Jay Z, Keith Richards, Billy Gibbons, Corinne Bailey Rae, Johnny Depp, Graham Nash, Brian Wilson, Rick Rubin and Owen Wilson. The video finishes with Rick Rubin traveling to a seaside cliff with friend Owen Wilson to throw a bouquet of flowers up in the air.
American singer and civil rights activist Odetta recorded a traditional version of the song. Musician Sean Michel covered the song during his audition on Season 6 of American Idol.Matchbox Twenty also used the song before playing “How Far We’ve Come” on their “Exile in America” tour.
The New Jersey rock band The Gaslight Anthem have also covered the song.[citation needed] Canadian rock band Three Days Grace has used the song in the opening of their live shows, as well as the rock band Staind . Bobbie Gentry recorded a version as “Sermon” on her album The Delta Sweete. Guitarist Bill Leverty recorded a version for his third solo project Deep South, a tribute album of traditional songs. Tom Jones recorded an up-tempo version which appears on his 2010 album Praise & Blame. Pow woW recorded a version with the Golden Gate Quartet for their 1992 album Regagner les Plaines and performed a live version with the quartet in 2008. A cover of the song by Blues Saraceno was used for the Season 8 trailer of the TV series Dexter. Pedro Costarecorded a neo-blues version for the Discovery channel TV show Weed Country (2013). Virginia based folk rock band Carbon Leaf covered the song many times during their live shows.
SANTIAGO, Chile (BP)–Sean Michel smiled through his distinctive, foot-long beard as he slid the guitar strap over his shoulder and greeted the crowd at El Huevo nightclub with what little Spanish he knows. The former American Idol contestant and his band then erupted into the sounds of Mississippi Delta blues-rock.But unlike other musicians who played that night, the Sean Michel band sang about every person’s need for God and the salvation that comes only through faith in Jesus Christ.”We came down [to Chile] to open doors that other ministries couldn’t,” said Jay Newman, Michel’s manager. “To get in places that only a rock band could — to create a vision for new church-planting movements among the underground, disenfranchised subcultures of Chile.”The Sean Michel band recently traveled through central Chile playing more than 15 shows in bars, churches, schools and parks. The group consists of Southern Baptists Sean Michel, lead singer; Alvin Rapien, lead guitarist; Seth Atchley, bass guitarist; and Tyler Groves, drummer.”Although we’re a blues rock ‘n’ roll band, we’re an extension of the church,” Michel said. “We’re kind of like ‘musicianaries,’ if you will.”MISSIONS-MINDED MUSICIANSThe band formed after Michel and Newman met as students at Ouachita Baptist University in Arkadelphia, Ark. While there, the two began recording and selling Michel’s music as a way to raise money for mission trips to Africa and Asia.”We were just trying to raise money for a mission trip, but we’d also seen God speaking to people through the music,” Michel said. “So we were like, ‘Well, maybe we need to do something with this,’ and we became a music ministry. But it’s always been rooted in missions and … in the Great Commission.”Michel graduated from Ouachita in 2001, Newman in 2004. In 2007, Newman talked Michel into auditioning for American Idol. The exposure Michel received through the television show gained a wider audience for their ministry.”The whole American Idol thing was so weird,” Michel said. “We just kind of went on a whim. But the Lord used it in a big way.”During his tryout, Michel belted out a soulful rendition of Johnny Cash’s “God’s Gonna Cut You Down.” The video of the audition went viral on the Internet.Soon he was doing radio interviews in which he identified himself as a Christian and directed listeners to the band’s Gospel-laden MySpace page. On their next mission trip to Asia, Michel and Newman found that being recognizable gave them access to venues they couldn’t have entered before.The band is now an official extension of First Southern Baptist Church of Bryant, Ark., where the musicians have long been active members serving in the music and youth ministries. Every mission trip they have taken has involved working with International Mission Board (IMB) missionaries.”We’re Southern Baptist,” Michel said. “That’s who we roll with.”
TOUR DE FAITH
“With short-term mission trips, you can plan, but you just got to be willing for your plans to change,” said Michel. When the band arrived in Chile, they were surprised to find that their schedule wasn’t nearly as full as expected. Almost no public venues had booked shows, and many rock-wary churches had declined to host the band.
“The biggest barrier we had was the pastors,” said Cliff Case, an IMB missionary in Santiago, Chile, and a 1984 graduate of Ouachita Baptist. “The older pastors on two or three different occasions gave excuses for not doing it. It was a real frustration in that sense.”
Disappointed by the lack of interest, the band prayed for God’s help. They met Jose Campos — or Pépe, as the band came to know him. Campos works with music and youth for the Ministry of the Down and Out, an independent Christian ministry that seeks to reach the often-overlooked demographics of Santiago.
Campos was able to use his connections to book shows for the band in venues they wouldn’t have known about otherwise.
“Had we met Pépe (Campos) two or three weeks before the group came, there’s no telling how many shows we might have done,” said Case, who met Newman at Ouachita when Case and his wife, Cinthy, were missionaries-in-residence there.
Campos booked the show at El Huevo, possibly Chile’s most popular club. Playing there has given the band musical credibility among Chilean rockers. And, one Chilean church reported that a youth accepted Christ after hearing Newman talk before a show. The band already is contemplating a return tour next year.
OPENING NEW DOORS
Sharing the Gospel through their songs is only the beginning for the Sean Michel band. Their vision is to be a catalyst to help churches — and missionaries — connect with the lost people of their communities.
“God is not saving the world through rock bands,” Michel said. “He’s saving the world through the church. And it will always be through the local body.”
The band wants to see churches take ministry beyond the church doors.
“If you’re going to want to legitimately reach lost people, you’re going to have to get out,” Michel said. “Go out into the dark places. Those are the places we need to be to reach out.”
The band’s ministry in Chile opened new doors for IMB missionaries to reach the young, musical subculture of Chilean society.
“They laid the groundwork for more opportunities,” Case said. “Now we have a network of who to talk to and how to get organized. We can focus on how to use the work they’re doing so we can win people to the Lord and plant some churches.”
Tristan Taylor is an International Mission Board writer living in the Americas.
Featured artist is Daniel Gordon
__
For all general inquiries, please contact
daniel [at] danielgordonstudio [dot] com
This interview series is produced in partnership with MATTE Magazine, a publication produced by writer and curator Matthew Leifheit that focuses on the work of a single photographer per issue.
You’ve probably seen Daniel Gordon’s photography before. He’s shown at MoMA, MoMA PS1, and Wallspace to name just a few venues, and the work’s hard to miss; the faces, plants, and fruit that occupy his pictures look like they’ve been constructed out of Photoshop and a glue gun (you can even see the drips). MATTE publisher Matthew Leifheit sat down with Gordon to talk about his work in relationship to painting, surgery, portraiture, and pretty much everything else.
Stepping back in time, before you made photographs of constructed tableau or constructed portraits, you were making pictures of your own body. Your “Flying Pictures.”
Right. I made that work in college, starting in 2000. At the same time I made the flying pictures I was making photographs in the same way that I do now, by constructing a tableau, but using my own photographs as the constructed material instead of using found images. I think both of these approaches are essentially investigating the veracity of a photograph.
When I was in graduate school at Yale I made a forest that was probably about 500 square feet in the studio out of photographs I had taken, and I photographed the tableau with an 8 x 10 inch camera. It took like six months to do this thing, because I was printing everything out on an 8.5 x 11 inch printer, and I was making everything in a really strict way where I didn’t want the seams to be visible.
Daniel Gordon, “Deprong Moridpi,” referred to above.
I almost killed myself making it, you know? It resolved as a giant print. And I looked at it and thought, “I might as well have made this whole thing on the computer.” It didn’t read as a physical object that had been photographed. So, I decided to make a picture every day as a way to loosen things up. This also allowed me to find a subject matter. Pictures of the body started creeping in among the still lifes and landscape pictures that I was making. It shocked me and reminded me of the first images that I saw growing up, which were photographs of operations.
Your parents are surgeons.
Yeah, I’ve watched a lot of operations, and I’ve never had any issues with getting squeamish or feeling sick to my stomach. I am really fascinated by bodies and that lead to making portraits. I became interested in the problems with a male photographer making a portrait of a woman. There’s been a history of exploitation, and the fact that I’m searching for images online means there is a lot of pornography.
Especially if your search term is “skin.”
Exactly. You do a search for “skin,” and all this stuff [porn] comes up. I think some people have misread some of my early portraits of women as misogynist, but they were a critique; they were difficult pictures.
Are you a feminist?
Yes.
Daniel Gordon, “Red Eyed Woman,” 2011. Courtesy the artist.
It’s important for men to be talking about problems with the way women are depicted.
As a man, a lot of the time you just feel like a beast, you know? I think in a lot of ways those pictures were about that feeling, as well as the history of the artist and exploited muse relationship.
It seems like you reference painting often. Your newest series is called “The Green Line,” after the Matisse painting by that name.
Lately my work has been talked about in relationship to painting, which is funny when I feel so connected to photography—to the essence of what the act of making a picture can do. That is, transform what is in front of the lense, so that the photograph is something different than what originally existed. I think of what I’m doing as extremely photographic, though I am inspired by many different types of art—including painting.
You’re kind of a street photographer, in the weirdest way. Garry Winogrand is going out into the street to photograph people and you’re going into Google images.
Yes, I don’t manipulate anything once I shoot the film (other than standard color correction). My ideal form of appropriation would kind of take the form that I imagine a street photographer possesses: pulling seemingly unconnected parts together to create one frenetic whole.
You graduated with an MFA in 2006, and you were in the New Photography show at MoMA in 2009.
I’m so grateful that I was included in that show; it was incredible to have my work in the Museum of Modern Art. I had a show with Zach Feuer one year after I finished school, in 2007. Then I had a few studio visits with Eva Respini, a curator at MoMA, and the next year I was invited to be in that show.
Eva wrote the forward to your new book Still Lifes, Portraits, and Parts.
I asked her to write whatever she wanted to write. She decided to recycle old essays that she had written about other artists, splicing it all together to make it about me.
That’s pretty smart.
Yes, I think it’s great. It was the perfect thing for my book.
You were featured in Art21. What was that like? In art school, teachers show Art21 in classes.
When they’re hungover.
Still, I regard that series as important.
They took their time making the video, so we got to know each other and I felt comfortable having them around. I was working in my studio while they filmed. I felt like I didn’t have to be guarded. Now they’re doing 10 minute segments for the web instead of 30 minute documentaries, like three short stories. Hopefully we’re going to do a couple more. The first one was about process. We’ll see what the next one is.
Why are you making photographs, not sculptures?
Well, everything is made good enough for the camera. I’m a photographer; I’m interested in that transformation the camera performs. When the light hits the film, something changes and when you can harness that transformation that’s incredibly exciting
Art 21 take us around Brooklyn-based artist Daniel Gordon’s studio
I got to hear Johnny Cash sing in person back in 1978. Here is a portion of an article about his Christian Testimony. The Man Came Around “Being a Christian isn’t for sissies,” Cash said once. “It takes a real man to live for God—a lot more man than to live for the devil, […]
I got to see Johnny Cash perform in Memphis in 1978 and I actually knew his nephew very well. He was an outspoken Christian and evangelical. Here is an article that discusses this. Johnny Cash’s Complicated Faith Dave Urbanski <!– var fbShare = { google_analytics: ‘true’, } tweetmeme_source = ‘RELEVANTMag’; –> Unwrapping the enigma of […]
I got to hear Johnny Cash sing in person back in 1978. Here is a portion of an article about his Christian Testimony. The Man Came Around A Walking Contradiction Cash’s daughter, singer-songwriter Rosanne Cash, once pointed out that “my father was raised a Baptist, but he has the soul of a mystic. He’s […]
I got to hear Johnny Cash sing in person back in 1978 at a Billy Graham Crusade in Memphis. Here is a portion of an article about his Christian Testimony. The Man Came Around Cash also made major headlines when he shared his faith on The Johnny Cash Show, a popular variety program on ABC […]
I got to hear Johnny Cash sing in person back in 1978. Here is a portion of an article about his Christian Testimony. The Man Came Around Johnny Cash was not ashamed of his Christian faith—though it was sometimes a messy faith—and even got some encouragement from Billy Graham along the way. Dave Urbanski | […]
Wikipedia noted: Johnny Cash recorded a version of “God’s Gonna Cut You Down” on American V: A Hundred Highways in 2003, with an arrangement quite different from most known gospel versions of the song. A music video, directed by Tony Kaye,[1] was made for this version in late 2006. It featured a number of celebrities, […]
President Joe Biden waits to speak about the recently passed $1.2 trillion infrastructure bill at the Port of Baltimore on Nov. 10. The bill was dragged across the finish line by 13 House Republicans, without whose votes it would not have passed. (Photo: Drew Angerer/Getty Images)
Last weekend, the House finally passed the nearly $1.2 trillion infrastructure package. The vote followed months of tedious back-and-forth drama between various factions within the Democratic Party.
Ideally, that would be the final act in an overly long spending spree from Congress that began last year, but there’s an all-too-real chance the worst is yet to come.
Self-interested lobbying groups have portrayed the infrastructure bill as an “investment” to help the economy. Unfortunately, the poorly crafted package will waste taxpayer money in a variety of ways:
Using a mix of budget gimmicks and adding to the already sky-high national debt to “pay” for the spending hike.
Increasing subsidies for mass transit, which is already heavily subsidized, and which has faced a ridership crash since the start of the COVID-19 pandemic. With a long-term increase in telework reducing the amount of commuting to urban cores, this is the worst possible time to throw more money at transit (unless you’re a unionized transit worker).
Injecting left-wing priorities and social justice concepts into transportation law. The bill repeatedly cites a goal of “equity,” funds “traffic calming” projects that increase congestion, and will even subsidize broadband internet service for prisoners.
Further empowering bureaucrats in Washington to control infrastructure projects across the country. Because federally funded projects come with reams of cost-increasing red tape, we end up with less bang for our buck as control shifts from the state and local level to the feds.
Amazingly, that was the fourth mega-spending bill to pass in just the past 20 months, each of which had a fiscal impact in line with (or larger than) the first decade of Obamacare.
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The March 2020 CARES Act, which authorized more than $2 trillion, funded a large initial response to the pandemic, including business loans and safety net programs. However, the rush to produce the legislation led to mistakes, including plus-sized unemployment checks that meant many people made more money staying home than if they had a job.
The December 2020 Response and Relief Act spent $900 billion in a way that was almost completely divorced from reality. While COVID-19 was reaching its all-time peak, the spending was focused on economic and governmental stimulus, rather than public health, despite the economy having already stabilized. There were unnecessary handouts to public schools and politically connected industries, along with a continuation of the counterproductive unemployment benefit bonus.
The $1.9 trillion American Rescue Plan from March 2021 opportunistically used the pandemic as an excuse to throw money at political special interests. Even more cash for public schools did nothing to speed up reopening, and bailouts for unionized industries had nothing to do with COVID-19. Worse, the combination of excessive stimulus and anti-work welfare expansions helped set the stage for the economic problems we’re seeing today.
One would hope that throwing trillions of dollars of hard-earned money around and running up the national debt to $28.9 trillion (or more than $220,000 per household) would be enough to satisfy the progressive left.
But they aren’t stopping, or even slowing down. House Democrats have crafted the biggest spending package yet, and even have the audacity to claim that it’s a compromise.
While they claim it would “only” cost $1.75 trillion, the real cost is much higher. The centrist Committee for a Responsible Federal Budget estimates the cost at $2.4 trillion.
But that’s just the tip of the iceberg.
The spending is front-loaded in the first few years, while relying on a full 10 years of tax increases to (partially) pay for it. And with an astonishing collection of gimmicks designed to obscure the cost of new programs and entitlements, the real cost over a decade would be between $4.5 trillion and $5 trillion.
What would Democrats get for such an obscene amount of money?
Tax breaks for high-income households in blue states; mass amnesty for illegal immigrants; a super-sized welfare state, discouraging work; price controls that would damage medicinal innovation; Green New Deal items like “environmental justice” college programs and “tree equity”; an array of anti-investment tax hikes; and much more.
America already can’t afford the government we have today. Important programs such as Social Security and Medicare are rapidly going bankrupt, and even record-high tax revenues aren’t coming close to keeping pace with the spendthrifts in Congress.
Rather than creating new programs to deepen the D.C. swamp and empowering federal bureaucrats to dictate where our money goes and how we live our lives more than they already do, Congress should pump the brakes as rapidly as possible.
It’s not too late for legislators to step back from the cliff’s edge and learn how to live within their means.
That would involve ensuring that existing programs are on firm footing; focusing the federal government on core priorities by eliminating wasteful boondoggles throughout the budget and tax code; and improving the economy by getting government out of the way, rather than offering new flavors of corporate welfare.
The first step would be to take a pass on the profoundly radical social spending package that House Speaker Nancy Pelosi, D-Calif., wants to stuff down our throats before Thanksgiving.
The Honorable Representative Fred Upton of Michigan Washington D.C.
Dear Representative Fred Upton,
I noticed that you are a pro-life representative that has a long record of standing up for unborn babies! It was in the 1970’s when I was first introduced to the works of Francis Schaeffer and Dr. C. Everett Koop and I wanted to commend their writings and films to you.
Voted YES on making it a crime to harm a fetus during another crime.
Vote to pass a bill that would make it a criminal offense to harm or kill a fetus during the commission of a violent crime. The measure would set criminal penalties, the same as those that would apply if harm or death happened to the pregnant woman, for those who harm a fetus. It is not required that the individual have prior knowledge of the pregnancy or intent to harm the fetus. This bill prohibits the death penalty from being imposed for such an offense. The bill states that its provisions should not be interpreted to apply a woman’s actions with respect to her pregnancy.
Reference: Unborn Victims of Violence Act; Bill HR 1997 ; vote number 2004-31 on Feb 26, 2004
Voted YES on banning partial-birth abortion except to save mother’s life.
Partial-Birth Abortion Ban Act of 2003: Vote to pass a bill banning a medical procedure, which is commonly known as “partial-birth” abortion. The procedure would be allowed only in cases in which a women’s life is in danger, not for cases where a women’s health is in danger. Those who performed this procedure, would face fines and up to two years in prison, the women to whom this procedure is performed on are not held criminally liable.
Reference: Bill sponsored by Santorum, R-PA; Bill S.3 ; vote number 2003-530 on Oct 2, 2003
It seems you have a grudge against President Trump while our freedoms under President Biden are being taken away. I recommend to you the article below:
Roger Kimball Editor and Publisher, The New Criterion
Mr. Kimball concludes his article with these words:
That’s one melancholy lesson of the January 6 insurrection hoax: that America is fast mutating from a republic, in which individual liberty is paramount, into an oligarchy, in which conformity is increasingly demanded and enforced.
Another lesson was perfectly expressed by Donald Trump when he reflected on the unremitting tsunami of hostility that he faced as President. “They’re after you,” he more than once told his supporters. “I’m just in the way.”
There were a few Republicans Thursday who surprised observers when they voted in support of holding former Trump adviser Steve Bannon in contempt of Congress and referring him to the Justice Department for criminal prosecution.
Prior to the vote, four Republicans were considered a lock to approve the criminal referral, according to Capitol Hill sources: Reps. Liz Cheney of Wyoming, Adam Kinzinger of Illinois, Fred Upton of Michigan and Anthony Gonzalez of Ohio.
Cheney and Kinzinger are on the House select committee investigating the Jan. 6 insurrection at the U.S. Capitol, and have for months stood alone as the only two House Republicans willing to speak out against former President Donald Trump’s continued lies about the 2020 election. They were the only two House Republicans to vote for the formation of the select committee on June 30.
House Speaker Nancy Pelosi formed the select committee after Republicans rejected a bipartisan commission that would have been evenly split between five Democrats and five Republicans. Only 35 Republicans voted for that measure when itpassed the House of Representatives, and it was defeated by a GOP filibuster in the Senate.
From left: Reps. Jamie Raskin of Maryland, a Democrat, and Liz Cheney of Wyoming and Adam Kinzinger of Illinois arrive for the House Select Committee hearing investigating the Jan. 6 attack on the U.S. Capitol. (Drew Angerer/Getty Images)
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Upton has served in the House for more than three decades, since 1987, and will face a primary challenge next year because of his willingness to stand up to Trump.
Gonzalez is retiring from Congress next year, after only four years in the House. “While my desire to build a fuller family life is at the heart of my decision, it is also true that the current state of our politics, especially many of the toxic dynamics inside our own party, is a significant factor in my decision,” Gonzalez said in September when heannounced he would not seek another term.
The remaining five Republicans included three who voted for impeachment — Peter Meijer of Michigan, John Katko of New York and Jaime Herrera Beutler of Washington — and two House Republicans who did not vote to impeach Trump: Nancy Mace of South Carolina and Brian Fitzpatrick of Pennsylvania.
Now, we’ve watched this happen all this year in real time, we’re living through distorted history as we watch the offense of January 6th described by everyone. Here is how the media describe what happened that day that day.
(BEGIN VIDEO CLIP)
TARA SETMAYER, CNN POLITICAL COMMENTATOR: That day will be another day that lives in infamy in American History similar to Pearl Harbor and 9/11.
SEN. CHUCK SCHUMER (D-NY): We can now add January 6, 2021 to that very short list of dates in American History that will live forever in infamy.
JOE BIDEN (D), PRESIDENT OF THE UNITED STATES: The worst attack on our democracy since the Civil War.
ANDERSON COOPER, CNN HOST: A hundred and fifty days since the worst single act of political violence since the Civil War.
CHRIS HAYES, MSNBC HOST: The worst attack on American democracy arguably probably since the Civil War.
Trump seems never to have discerned what a viper’s nest our politics has become for anyone who is not a paid-up member of The Club.
Maybe Trump understands this now. I have no insight into that question. I am pretty confident, though, that the 74 plus million people who voted for him understand it deeply. It’s another reason that The Club should be wary of celebrating its victory too expansively.
Friedrich Hayek took one of the two epigraphs for his book, The Road to Serfdom, from the philosopher David Hume. “It is seldom,” Hume wrote, “that liberty of any kind is lost all at once.” Much as I admire Hume, I wonder whether he got this quite right. Sometimes, I would argue, liberty is erased almost instantaneously.
I’d be willing to wager that Joseph Hackett, confronted with Hume’s observation, would express similar doubts. I would be happy to ask Mr. Hackett myself, but he is inaccessible. If the ironically titled “Department of Justice” has its way, he will be inaccessible for a long, long time—perhaps as long as 20 years.
Joseph Hackett, you see, is a 51-year-old Trump supporter and member of an organization called the Oath Keepers, a group whose members have pledged to “defend the Constitution against all enemies foreign and domestic.” The FBI does not like the Oath Keepers—agents arrested its leader in January and have picked up many other members in the months since. Hackett traveled to Washington from his home in Florida to join the January 6 rally. According to court documents, he entered the Capitol at 2:45 that afternoon and left some nine minutes later, at 2:54. The next day, he went home. On May 28, he was apprehended by the FBI and indicted on a long list of charges, including conspiracy, obstruction of an official proceeding, destruction of government property, and illegally entering a restricted building.
As far as I have been able to determine, no evidence of Hackett destroying property has come to light. According to his wife, it is not even clear that he entered the Capitol. But he certainly was in the environs. He was a member of the Oath Keepers. He was a supporter of Donald Trump. Therefore, he must be neutralized.
Joseph Hackett is only one of hundreds of citizens who have beenbranded as “domestic terrorists” trying to “overthrow the government” and who are now languishing, in appalling conditions, jailed as political prisoners of an angry state apparat.
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I want to recommend to you a video on YOU TUBE that runs 28 minutes and 39 seconds by Francis Schaeffer entitled because it discusses the founding of our nation and what the FOUNDERS believed:
Edith Schaeffer with her husband, Francis Schaeffer, in 1970 in Switzerland, where they founded L’Abri, a Christian commune.
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March 23, 2021
President Biden c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500
Dear Mr. President,
I really do respect you for trying to get a pulse on what is going on out here. I know that you don’t agree with my pro-life views but I wanted to challenge you as a fellow Christian to re-examine your pro-choice view. Although we are both Christians and have the Bible as the basis for our moral views, I did want you to take a close look at the views of the pro-life atheist Nat Hentoff too. Hentoff became convinced of the pro-life view because of secular evidence that shows that the unborn child is human. I would ask you to consider his evidence and then of course reverse your views on abortion.
___________________
The pro-life atheist Nat Hentoff wrote a fine article below I wanted to share with you.
Nat Hentoff is an atheist, but he became a pro-life activist because of the scientific evidence that shows that the unborn child is a distinct and separate human being and even has a separate DNA. His perspective is a very intriguing one that I thought you would be interested in. I have shared before many cases (Bernard Nathanson, Donald Trump, Paul Greenberg, Kathy Ireland) when other high profile pro-choice leaders have changed their views and this is just another case like those. I have contacted the White House over and over concerning this issue and have even received responses. I am hopeful that people will stop and look even in a secular way (if they are not believers) at this abortion debate and see that the unborn child is deserving of our protection.That is why the writings of Nat Hentoff of the Cato Institute are so crucial.
I truly believe that many of the problems we have today in the USA are due to the advancement of humanism in the last few decades in our society. Ronald Reagan appointed the evangelical Dr. C. Everett Koop to the position of Surgeon General in his administration. He partnered with Dr. Francis Schaeffer in making the video below. It is very valuable information for Christians to have. Actually I have included a video below that includes comments from him on this subject.
Francis Schaeffer Whatever Happened to the Human Race (Episode 1) ABORTION
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Dr. Francis schaeffer – from Part 5 of Whatever happened to human race?) Whatever Happened To The Human Race? | Episode 5 | Truth and History
Dr. Francis Schaeffer – A Christian Manifesto – Dr. Francis Schaeffer Lecture
Francis Schaeffer – A 700 Club Special! ~ Francis Schaeffer 1982
Dr. Francis Schaeffer – 1984 SOUNDWORD LABRI CONFERENCE VIDEO – Q&A With Francis & Edith Schaeffer
http://www.NewsandOpinion.com | A longtime friend of mine is married to a doctor who also performs abortions. At the dinner table one recent evening, their 9-year-old son — having heard a word whose meaning he didn’t know — asked, “What is an abortion?” His mother, choosing her words carefully, described the procedure in simple terms.
“But,” said her son, “that means killing the baby.” The mother then explained that there are certain months during which an abortion cannot be performed, with very few exceptions. The 9-year-old shook his head. “But,” he said, “it doesn’t matter what month. It still means killing the babies.”
Hearing the story, I wished it could be repeated to the justices of the Supreme Court, in the hope that at least five of them might act on this 9-year-old’s clarity of thought and vision.
The boy’s spontaneous insistence on the primacy of life also reminded me of a powerful pro-life speaker and writer who, many years ago, helped me become a pro-lifer. He was a preacher, a black preacher. He said: “There are those who argue that the right to privacy is of a higher order than the right to life.
“That,” he continued, “was the premise of slavery. You could not protest the existence or treatment of slaves on the plantation because that was private and therefore out of your right to be concerned.”
This passionate reverend used to warn: “Don’t let the pro-choicers convince you that a fetus isn’t a human being. That’s how the whites dehumanized us … The first step was to distort the image of us as human beings in order to justify what they wanted to do — and not even feel they’d done anything wrong.”
That preacher was Jesse Jackson. Later, he decided to run for the presidency — and it was a credible campaign that many found inspiring in its focus on what still had to be done on civil rights. But Jackson had by now become “pro-choice” — much to the appreciation of most of those in the liberal base.
The last time I saw Jackson was years later, on a train from Washington to New York. I told him of a man nominated, but not yet confirmed, to a seat on a federal circuit court of appeals. This candidate was a strong supporter of capital punishment — which both the Rev. Jackson and I oppose, since it involves the irreversible taking of a human life by the state.
I asked Jackson if he would hold a press conference in Washington, criticizing the nomination, and he said he would. The reverend was true to his word; the press conference took place; but that nominee was confirmed to the federal circuit court. However, I appreciated Jackson’s effort.
On that train, I also told Jackson that I’d been quoting — in articles, and in talks with various groups — from his compelling pro-life statements. I asked him if he’d had any second thoughts on his reversal of those views.
Usually quick to respond to any challenge that he is not consistent in his positions, Jackson paused, and seemed somewhat disquieted at my question. Then he said to me, “I’ll get back to you on that.” I still patiently await what he has to say.
As time goes on, my deepening concern with the consequences of abortion is that its validation by the Supreme Court, as a constitutional practice, helps support the convictions of those who, in other controversies — euthanasia, assisted suicide and the “futility doctrine” by certain hospital ethics committees — believe that there are lives not worth continuing.
Around the time of my conversation with Jackson on the train, I attended a conference on euthanasia at Clark College in Worcester, Mass. There, I met Derek Humphry, the founder of the Hemlock Society, and already known internationally as a key proponent of the “death with dignity” movement.
He told me that for some years in this country, he had considerable difficulty getting his views about assisted suicide and, as he sees it, compassionate euthanasia into the American press.
“But then,” Humphry told me, “a wonderful thing happened. It opened all the doors for me.”
“What was that wonderful thing?” I asked.
“Roe v. Wade,” he answered.
The devaluing of human life — as the 9-year-old at the dinner table put it more vividly — did not end with making abortion legal, and therefore, to some people, moral. The word “baby” does not appear in Roe v. Wade — let alone the word “killing.”
And so, the termination of “lives not worth living” goes on.
______________________
Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband. Now after presenting the secular approach of Nat Hentoff I wanted to make some comments concerning our shared Christian faith. I respect you for putting your faith in Christ for your eternal life. I am pleading to you on the basis of the Bible to please review your religious views concerning abortion. It was the Bible that caused the abolition movement of the 1800’s and it also was the basis for Martin Luther King’s movement for civil rights and it also is the basis for recognizing the unborn children.
Sincerely,
Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733,
Francis Schaeffer: “Whatever Happened to the Human Race” (Episode 1) ABORTION OF THE HUMAN RACE Published on Oct 6, 2012 by AdamMetropolis ________________ Picture of Francis Schaeffer and his wife Edith from the 1930′s above. I was sad to read about Edith passing away on Easter weekend in 2013. I wanted to pass along this fine […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
It is truly sad to me that liberals will lie in order to attack good Christian people like state senator Jason Rapert of Conway, Arkansas because he headed a group of pro-life senators that got a pro-life bill through the Arkansas State Senate the last week of January in 2013. I have gone back and […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
Sometimes you can see evidences in someone’s life of how content they really are. I saw something like that on 2-8-13 when I confronted a blogger that goes by the name “AngryOldWoman” on the Arkansas Times Blog. See below. Leadership Crisis in America Published on Jul 11, 2012 Picture of Adrian Rogers above from 1970′s […]
In the film series “WHATEVER HAPPENED TO THE HUMAN RACE?” the arguments are presented against abortion (Episode 1), infanticide (Episode 2), euthenasia (Episode 3), and then there is a discussion of the Christian versus Humanist worldview concerning the issue of “the basis for human dignity” in Episode 4 and then in the last episode a close […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
E P I S O D E 1 0 Dr. Francis Schaeffer – Episode X – Final Choices 27 min FINAL CHOICES I. Authoritarianism the Only Humanistic Social Option One man or an elite giving authoritative arbitrary absolutes. A. Society is sole absolute in absence of other absolutes. B. But society has to be […]
E P I S O D E 9 Dr. Francis Schaeffer – Episode IX – The Age of Personal Peace and Affluence 27 min T h e Age of Personal Peace and Afflunce I. By the Early 1960s People Were Bombarded From Every Side by Modern Man’s Humanistic Thought II. Modern Form of Humanistic Thought Leads […]
E P I S O D E 8 Dr. Francis Schaeffer – Episode VIII – The Age of Fragmentation 27 min I saw this film series in 1979 and it had a major impact on me. T h e Age of FRAGMENTATION I. Art As a Vehicle Of Modern Thought A. Impressionism (Monet, Renoir, Pissarro, Sisley, […]
E P I S O D E 7 Dr. Francis Schaeffer – Episode VII – The Age of Non Reason I am thrilled to get this film series with you. I saw it first in 1979 and it had such a big impact on me. Today’s episode is where we see modern humanist man act […]
E P I S O D E 6 How Should We Then Live 6#1 Uploaded by NoMirrorHDDHrorriMoN on Oct 3, 2011 How Should We Then Live? Episode 6 of 12 ________ I am sharing with you a film series that I saw in 1979. In this film Francis Schaeffer asserted that was a shift in […]
E P I S O D E 5 How Should We Then Live? Episode 5: The Revolutionary Age I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Francis Schaeffer noted, “Reformation Did Not Bring Perfection. But gradually on basis of biblical teaching there […]
Dr. Francis Schaeffer – Episode IV – The Reformation 27 min I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer makes three key points concerning the Reformation: “1. Erasmian Christian humanism rejected by Farel. 2. Bible gives needed answers not only as to […]
Francis Schaeffer’s “How should we then live?” Video and outline of episode 3 “The Renaissance” Francis Schaeffer: “How Should We Then Live?” (Episode 3) THE RENAISSANCE I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer really shows why we have so […]
Francis Schaeffer: “How Should We Then Live?” (Episode 2) THE MIDDLE AGES I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer points out that during this time period unfortunately we have the “Church’s deviation from early church’s teaching in regard […]
Francis Schaeffer: “How Should We Then Live?” (Episode 1) THE ROMAN AGE Today I am starting a series that really had a big impact on my life back in the 1970′s when I first saw it. There are ten parts and today is the first. Francis Schaeffer takes a look at Rome and why […]
Biden’s budget plan is based on fraudulent numbers, but it is also based on the fraudulent idea that a big, European-style welfare state can be financed without fleecing lower-income and middle-class taxpayers.
I’ve repeatedly pointed out that this is not true, but it’s time to turn this fiscal fact into a Theorem of Government.
Some of my friends on the left don’t agree with the first sentence of this Theorem. In some cases, I think they sincerely believe that big government can be entirely financed by going after upper-income taxpayers.
This is why I added the second sentence. After all, surely some of Europe’s welfare states would have figured out how to shield poor and middle-class people from high tax burdens if that was possible.
And now we have a new member of that club. Congressman Conor Lamb of Pennsylvania recently admitted that his party’s agenda will require taxes on those of us with modest incomes.
Here are some excerpts from a report by Emily Brooks.
Pennsylvania Rep. Conor Lamb acknowledged that enacting all of the Democrats’ sweeping policy visions would require Democrats to raise taxes on the middle class rather than relying on tax increases on the rich. “If we want to propose a lot of new spending and adventurous new government programs in our party, we have to have the confidence to ask … the middle class and people like that to contribute to it. And I think that’s … what we’re missing right now,” Lamb, a Democrat representing a swing district northwest of Pittsburgh, said last week. …”Some of the focus on the billionaires and the ultra-wealthy that people are putting in the news right now — it’s fine, it’s valid, it’s not enough to fund everything we want to do,” Lamb said.
Needless to say, I disagree with Cong. Lamb’s policy agenda. If we adopt European-style fiscal policy, it will mean anemic, European-style economic malaise.
But at least he’s being honest about what he wants.
P.S. To elaborate, a small government can be financed by a few rich people. That’s basically the story of Hong Kong. A medium-sized government can be financed in large part by the rich. That’s sort of the story of the United States (though ordinary people pay of a lot of payroll taxes). But there’s no way to finance a Biden-style agenda without going after ordinary taxpayers.
P.P.S. Here are my other Theorems of Government.
The “First Theorem” explains how Washington really operates.
The “Second Theorem” explains why it is so important to block the creation of new programs.
The “Third Theorem” explains why centralized programs inevitably waste money.
The “Fourth Theorem” explains that good policy can be good politics.
The “Fifth Theorem” explains how good ideas on paper become bad ideas in reality.
The “Sixth Theorem” explains an under-appreciated benefit of a flat tax.
The “Seventh Theorem” explains how bigger governments are less competent.
The “Eighth Theorem” explains the motives of those who focus on inequality.
For weeks, conservative Democrats in Congress have prevented the passage of the Build Back Better Act and the Freedom to Vote Act. Congressmember Ilhan Omar of Minnesota has been a vocal critic of Senators Joe Manchin of West Virginia and Kyrsten Sinema of Arizona, who have stalled the bills and forced President Biden to radically scale back the price tag of his agenda. “All Democrats are essentially on board,” Omar says, “except for these two, who are essentially doing the bidding of Big Pharma, Big Oil and Wall Street.”
I wanted to ask you to read the reaction to the Republican sweep of the Elections in Virginia by Senator Joe Manchin and then I would like to ask you for your reaction.
Centrist Sen. Joe Manchin (D-W.Va.), who has slowed down negotiations on a massive $1.75 trillion reconciliation package, says the “unbelievable” Republican victories in Virginia’s statewide races Tuesday validate his concerns about inflation and moving the Build Back Better Act too quickly through Congress.
Manchin said that GOP gubernatorial candidate Glenn Youngkin’s victory in a state that President Biden won by 10 points in 2020 also underscores the need for the House to pass the $1 trillion bipartisan infrastructure bill, which progressives are holding up.
“It’s unbelievable to see what went on in Virginia and not just from the governor’s race but all the way down that ticket a good bit of change has happened,” Manchin said, expressing astonishment over Republican victories in the races for governor, lieutenant governor and attorney general.
He cautioned that his Democratic colleagues need to take Tuesday’s election results as a warning and proceed more carefully with the reconciliation package that Senate Majority Leader Charles Schumer (D-N.Y.) and Speaker Pelosi (D-Calif.) are racing to pass as soon as possible
“You can read so much into all of that last night. I think it should be a call to all of us have to be more attentive to the people back home,” said Manchin, who also noted the governor’s race in New Jersey, a solidly Democratic state, was still too close to call as of early Wednesday.
“I’ve been saying this for many, many months, people have concerns, people are concerned,” he said, repeating his concerns about federal spending boosting inflation and hurting constituents back home in West Virginia and other rural areas.
“And for us to go down a path that we’ve been going and trying to accelerate it and it has been slowed down – I think we need to take our time and do it right,” he added.
Schumer, Pelosi and other Democrats are scrambling to get the reconciliation bill, which includes an array of social spending priorities such as federal assistance for child care and expanded prekindergarten, finished by Thanksgiving.
Democratic leaders plan to pass it without any Republican support under special budget reconciliation rules that allow them to circumvent a Senate filibuster.
WHY DO YOU WANT TO RISK INFLATION BY RUNNING UP MORE NATIONAL DEBT?
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Thank you for your time, and taking the time to read my letter. Just like you I am a public servant. Presently serving my 4th term as Justice of the Peace in Saline County which is the 6th largest county in the state of Arkansas.
The Honorable Representative John Katko of New York, Washington D.C.
Dear Representative John Katko,
I noticed that you are a pro-life representative that has a long record of standing up for unborn babies! It was in the 1970’s when I was first introduced to the works of Francis Schaeffer and Dr. C. Everett Koop and I wanted to commend their writings and films to you.
Katko opposes abortion, except in cases of rape and incest, or if the health of the mother is at risk. He said during one debate in 2014 that he would reverse the Supreme Court decision in Roe v. Wade if given the opportunity.
It seems you have a grudge against President Trump while our freedoms under President Biden are being taken away. I recommend to you the article below:
Roger Kimball Editor and Publisher, The New Criterion
Mr. Kimball concludes his article with these words:
That’s one melancholy lesson of the January 6 insurrection hoax: that America is fast mutating from a republic, in which individual liberty is paramount, into an oligarchy, in which conformity is increasingly demanded and enforced.
Another lesson was perfectly expressed by Donald Trump when he reflected on the unremitting tsunami of hostility that he faced as President. “They’re after you,” he more than once told his supporters. “I’m just in the way.”
There were a few Republicans Thursday who surprised observers when they voted in support of holding former Trump adviser Steve Bannon in contempt of Congress and referring him to the Justice Department for criminal prosecution.
Prior to the vote, four Republicans were considered a lock to approve the criminal referral, according to Capitol Hill sources: Reps. Liz Cheney of Wyoming, Adam Kinzinger of Illinois, Fred Upton of Michigan and Anthony Gonzalez of Ohio.
Cheney and Kinzinger are on the House select committee investigating the Jan. 6 insurrection at the U.S. Capitol, and have for months stood alone as the only two House Republicans willing to speak out against former President Donald Trump’s continued lies about the 2020 election. They were the only two House Republicans to vote for the formation of the select committee on June 30.
House Speaker Nancy Pelosi formed the select committee after Republicans rejected a bipartisan commission that would have been evenly split between five Democrats and five Republicans. Only 35 Republicans voted for that measure when itpassed the House of Representatives, and it was defeated by a GOP filibuster in the Senate.
From left: Reps. Jamie Raskin of Maryland, a Democrat, and Liz Cheney of Wyoming and Adam Kinzinger of Illinois arrive for the House Select Committee hearing investigating the Jan. 6 attack on the U.S. Capitol. (Drew Angerer/Getty Images)
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Upton has served in the House for more than three decades, since 1987, and will face a primary challenge next year because of his willingness to stand up to Trump.
Gonzalez is retiring from Congress next year, after only four years in the House. “While my desire to build a fuller family life is at the heart of my decision, it is also true that the current state of our politics, especially many of the toxic dynamics inside our own party, is a significant factor in my decision,” Gonzalez said in September when heannounced he would not seek another term.
The remaining five Republicans included three who voted for impeachment — Peter Meijer of Michigan, John Katko of New York and Jaime Herrera Beutler of Washington — and two House Republicans who did not vote to impeach Trump: Nancy Mace of South Carolina and Brian Fitzpatrick of Pennsylvania.
Homeland security committee member says DOJ failing to hold Antifa to same prosecutorial standard as Jan 6 suspects.
Senate Homeland Security Committee member Ron Johnson, R-Wis., railed against the “unequal application of justice” he sees between the suspects involved in the Jan. 6 U.S. Capitol riot and those involved in Antifa and Black Lives Matter protests in cities like Philadelphia, Portland, New York City and Washington over the past year that devolved into criminal activity.
On “Life, Liberty & Levin,” host Mark Levin pointed to a letter authored by Johnson, along with Sen. Tommy Tuberville, R-Ala., and three other Republicans that formally questioned Attorney General Merrick Garland on the discrepancies in “potential unequal justice” under the law being applied to both camps.
Johnson and Tuberville’s letter noted in part that of the hundreds of suspects catalogued in a DOJ online database chronicling Capitol riot arrests, no such focus has been given to the suspects involved in repeated acts of alleged criminal behavior during the Black Lives Matter demonstrations across the country after the May 2020 death of George Floyd.
Referencing how some Capitol riot suspects have been held in strict confinement conditions, the letter also sought to have Garland publicize the conditions Antifa suspects are or were held in.
Johnson told Levin that he, Tuberville, Sens. Mike Lee of Utah, Rick Scott of Florida and Ted Cruz of Texas, were the only signatories to the letter likely because the media tends to “slaughter and attack” whoever voices concerns or a contrasting narrative to the one put out by Democrats about such events.
“The fact that I just question the narrative that there were thousands of armed insurrections intent on overthrowing the government; you’ve seen how that’s worked out for me,” he remarked.
“So our colleagues say look at that and decide they don’t want to touch that issue with a 10-foot pole. But this is highly alarming. Every American should be concerned when we see the unequal administration of justice.”
Johnson praised Fox News host Tucker Carlson for chronicling the urban violence wracking New York, Philadelphia and elsewhere over the summer and fall of 2020, pointing out that the press rightfully covered attacks on police by right-wing Capitol riot suspects, but have had little to say about attacks on the NYPD and other officers throughout the past several months by left-wing rioters and Antifa members.
“Tucker has shown these videos of people being beaten to a pulp during the summer riots, and it doesn’t even get covered,” he said, tabulating 500 separate left-wing riots compared to the singular incursion at the Capitol.
“They want to sweep all that under the rug and just concentrate on what we all condemned, by the way, what happened in the Capitol. I wasn’t happy with that. I found that [Capitol] violence repugnant, and the racial slurs repulsive. I condemn those actions. I want those individuals prosecuted the full extent of the law,” Johnson reaffirmed.
“But I don’t want the media and I don’t want Democrats and politicians painting with a broad brush that just because, you know, in a hundred or a couple of hundred people assaulted law enforcement, that somehow 75 million Americans that voted for Donald Trump are somehow suspected domestic terrorists.”
Johnson also voiced concern over the death of Ashli Babbitt, a veteran and protester who illegally broke into the Capitol among the rest of the suspects on Jan. 6.
“She wasn’t carrying a weapon. She wasn’t threatening anybody. She was in the Capitol building and she was killed,” Levin noted, adding that the law enforcement officer who shot and killed her has not been identified and reportedly cleared of wrongdoing.
“Well, we certainly didn’t hear that when the tables were turned,” replied Johnson. “Again, it’s the concern about the unequal application of justice and a lot of concern.”
The Wisconsin lawmaker, who hasn’t said if he will seek reelection in 2022, went on to note that much of the activism and property damage committed by Black Lives Matter and Antifa was “celebrated.”
“Black Lives Matter is a violent Marxist, anti-American organization and has done precious little to go into the Black communities and help Black communities build; help Black communities with school choice, [and] help Black communities at all,” he said.
It wants to overthrow the country,” Johnson added of BLM.
Johnson condemned city officials who have painted their streets with “Black Lives Matter” – which has happened in Orlando, New York City, Washington and elsewhere across the country.
In Orlando, the BLM mural on Rosalind Avenue downtown was defaced at least twice by drivers who appeared to do a burnout to apply treadmarks to the words, while in New York, Mayor Bill de Blasio helped paint the slogan in the 700 block of Fifth Avenue – outside the business headquarters of his frequent critic, former President Donald Trump.
Trump later condemned de Blasio, saying the street painting was an affront to the NYPD and denigrated “this luxury avenue” that also features the Plaza Hotel, St. Patrick’s Cathedral and several high end shopping attractions.
“When you have mayors painting the name of Black Lives Matter in the streets, when you have the [President Joe Biden] saying the gravest threat we face as a nation is White supremacy, and then you see how they’re treating these could be up to 400 people at the Department of Justice [arrested after the Capitol riot] as if they’re all Klansmen or they’re all neo-Nazis.”
Johnson predicted the “vast majority” of Capitol riot suspects are not members of the KKK or similar groups, and noted that a previous, related narrative about Trump forcibly clearing Lafayette Park behind the White House to visit St. John’s Church while clutching a Bible, was misreported by the media according to a new document released by Department of the Interior Inspector General Mark Lee Greenblatt.
Trump seems never to have discerned what a viper’s nest our politics has become for anyone who is not a paid-up member of The Club.
Maybe Trump understands this now. I have no insight into that question. I am pretty confident, though, that the 74 plus million people who voted for him understand it deeply. It’s another reason that The Club should be wary of celebrating its victory too expansively.
Friedrich Hayek took one of the two epigraphs for his book, The Road to Serfdom, from the philosopher David Hume. “It is seldom,” Hume wrote, “that liberty of any kind is lost all at once.” Much as I admire Hume, I wonder whether he got this quite right. Sometimes, I would argue, liberty is erased almost instantaneously.
I’d be willing to wager that Joseph Hackett, confronted with Hume’s observation, would express similar doubts. I would be happy to ask Mr. Hackett myself, but he is inaccessible. If the ironically titled “Department of Justice” has its way, he will be inaccessible for a long, long time—perhaps as long as 20 years.
Joseph Hackett, you see, is a 51-year-old Trump supporter and member of an organization called the Oath Keepers, a group whose members have pledged to “defend the Constitution against all enemies foreign and domestic.” The FBI does not like the Oath Keepers—agents arrested its leader in January and have picked up many other members in the months since. Hackett traveled to Washington from his home in Florida to join the January 6 rally. According to court documents, he entered the Capitol at 2:45 that afternoon and left some nine minutes later, at 2:54. The next day, he went home. On May 28, he was apprehended by the FBI and indicted on a long list of charges, including conspiracy, obstruction of an official proceeding, destruction of government property, and illegally entering a restricted building.
As far as I have been able to determine, no evidence of Hackett destroying property has come to light. According to his wife, it is not even clear that he entered the Capitol. But he certainly was in the environs. He was a member of the Oath Keepers. He was a supporter of Donald Trump. Therefore, he must be neutralized.
Joseph Hackett is only one of hundreds of citizens who have beenbranded as “domestic terrorists” trying to “overthrow the government” and who are now languishing, in appalling conditions, jailed as political prisoners of an angry state apparat.
—-
I want to recommend to you a video on YOU TUBE that runs 28 minutes and 39 seconds by Francis Schaeffer entitled because it discusses the founding of our nation and what the FOUNDERS believed:
Edith Schaeffer with her husband, Francis Schaeffer, in 1970 in Switzerland, where they founded L’Abri, a Christian commune.
________________
______________________
March 23, 2021
President Biden c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500
Dear Mr. President,
I really do respect you for trying to get a pulse on what is going on out here. I know that you don’t agree with my pro-life views but I wanted to challenge you as a fellow Christian to re-examine your pro-choice view. Although we are both Christians and have the Bible as the basis for our moral views, I did want you to take a close look at the views of the pro-life atheist Nat Hentoff too. Hentoff became convinced of the pro-life view because of secular evidence that shows that the unborn child is human. I would ask you to consider his evidence and then of course reverse your views on abortion.
___________________
The pro-life atheist Nat Hentoff wrote a fine article below I wanted to share with you.
Nat Hentoff is an atheist, but he became a pro-life activist because of the scientific evidence that shows that the unborn child is a distinct and separate human being and even has a separate DNA. His perspective is a very intriguing one that I thought you would be interested in. I have shared before many cases (Bernard Nathanson, Donald Trump, Paul Greenberg, Kathy Ireland) when other high profile pro-choice leaders have changed their views and this is just another case like those. I have contacted the White House over and over concerning this issue and have even received responses. I am hopeful that people will stop and look even in a secular way (if they are not believers) at this abortion debate and see that the unborn child is deserving of our protection.That is why the writings of Nat Hentoff of the Cato Institute are so crucial.
I truly believe that many of the problems we have today in the USA are due to the advancement of humanism in the last few decades in our society. Ronald Reagan appointed the evangelical Dr. C. Everett Koop to the position of Surgeon General in his administration. He partnered with Dr. Francis Schaeffer in making the video below. It is very valuable information for Christians to have. Actually I have included a video below that includes comments from him on this subject.
Francis Schaeffer Whatever Happened to the Human Race (Episode 1) ABORTION
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Dr. Francis schaeffer – from Part 5 of Whatever happened to human race?) Whatever Happened To The Human Race? | Episode 5 | Truth and History
Dr. Francis Schaeffer – A Christian Manifesto – Dr. Francis Schaeffer Lecture
Francis Schaeffer – A 700 Club Special! ~ Francis Schaeffer 1982
Dr. Francis Schaeffer – 1984 SOUNDWORD LABRI CONFERENCE VIDEO – Q&A With Francis & Edith Schaeffer
http://www.NewsandOpinion.com | A longtime friend of mine is married to a doctor who also performs abortions. At the dinner table one recent evening, their 9-year-old son — having heard a word whose meaning he didn’t know — asked, “What is an abortion?” His mother, choosing her words carefully, described the procedure in simple terms.
“But,” said her son, “that means killing the baby.” The mother then explained that there are certain months during which an abortion cannot be performed, with very few exceptions. The 9-year-old shook his head. “But,” he said, “it doesn’t matter what month. It still means killing the babies.”
Hearing the story, I wished it could be repeated to the justices of the Supreme Court, in the hope that at least five of them might act on this 9-year-old’s clarity of thought and vision.
The boy’s spontaneous insistence on the primacy of life also reminded me of a powerful pro-life speaker and writer who, many years ago, helped me become a pro-lifer. He was a preacher, a black preacher. He said: “There are those who argue that the right to privacy is of a higher order than the right to life.
“That,” he continued, “was the premise of slavery. You could not protest the existence or treatment of slaves on the plantation because that was private and therefore out of your right to be concerned.”
This passionate reverend used to warn: “Don’t let the pro-choicers convince you that a fetus isn’t a human being. That’s how the whites dehumanized us … The first step was to distort the image of us as human beings in order to justify what they wanted to do — and not even feel they’d done anything wrong.”
That preacher was Jesse Jackson. Later, he decided to run for the presidency — and it was a credible campaign that many found inspiring in its focus on what still had to be done on civil rights. But Jackson had by now become “pro-choice” — much to the appreciation of most of those in the liberal base.
The last time I saw Jackson was years later, on a train from Washington to New York. I told him of a man nominated, but not yet confirmed, to a seat on a federal circuit court of appeals. This candidate was a strong supporter of capital punishment — which both the Rev. Jackson and I oppose, since it involves the irreversible taking of a human life by the state.
I asked Jackson if he would hold a press conference in Washington, criticizing the nomination, and he said he would. The reverend was true to his word; the press conference took place; but that nominee was confirmed to the federal circuit court. However, I appreciated Jackson’s effort.
On that train, I also told Jackson that I’d been quoting — in articles, and in talks with various groups — from his compelling pro-life statements. I asked him if he’d had any second thoughts on his reversal of those views.
Usually quick to respond to any challenge that he is not consistent in his positions, Jackson paused, and seemed somewhat disquieted at my question. Then he said to me, “I’ll get back to you on that.” I still patiently await what he has to say.
As time goes on, my deepening concern with the consequences of abortion is that its validation by the Supreme Court, as a constitutional practice, helps support the convictions of those who, in other controversies — euthanasia, assisted suicide and the “futility doctrine” by certain hospital ethics committees — believe that there are lives not worth continuing.
Around the time of my conversation with Jackson on the train, I attended a conference on euthanasia at Clark College in Worcester, Mass. There, I met Derek Humphry, the founder of the Hemlock Society, and already known internationally as a key proponent of the “death with dignity” movement.
He told me that for some years in this country, he had considerable difficulty getting his views about assisted suicide and, as he sees it, compassionate euthanasia into the American press.
“But then,” Humphry told me, “a wonderful thing happened. It opened all the doors for me.”
“What was that wonderful thing?” I asked.
“Roe v. Wade,” he answered.
The devaluing of human life — as the 9-year-old at the dinner table put it more vividly — did not end with making abortion legal, and therefore, to some people, moral. The word “baby” does not appear in Roe v. Wade — let alone the word “killing.”
And so, the termination of “lives not worth living” goes on.
______________________
Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband. Now after presenting the secular approach of Nat Hentoff I wanted to make some comments concerning our shared Christian faith. I respect you for putting your faith in Christ for your eternal life. I am pleading to you on the basis of the Bible to please review your religious views concerning abortion. It was the Bible that caused the abolition movement of the 1800’s and it also was the basis for Martin Luther King’s movement for civil rights and it also is the basis for recognizing the unborn children.
Sincerely,
Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733,
Francis Schaeffer: “Whatever Happened to the Human Race” (Episode 1) ABORTION OF THE HUMAN RACE Published on Oct 6, 2012 by AdamMetropolis ________________ Picture of Francis Schaeffer and his wife Edith from the 1930′s above. I was sad to read about Edith passing away on Easter weekend in 2013. I wanted to pass along this fine […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
It is truly sad to me that liberals will lie in order to attack good Christian people like state senator Jason Rapert of Conway, Arkansas because he headed a group of pro-life senators that got a pro-life bill through the Arkansas State Senate the last week of January in 2013. I have gone back and […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
Sometimes you can see evidences in someone’s life of how content they really are. I saw something like that on 2-8-13 when I confronted a blogger that goes by the name “AngryOldWoman” on the Arkansas Times Blog. See below. Leadership Crisis in America Published on Jul 11, 2012 Picture of Adrian Rogers above from 1970′s […]
In the film series “WHATEVER HAPPENED TO THE HUMAN RACE?” the arguments are presented against abortion (Episode 1), infanticide (Episode 2), euthenasia (Episode 3), and then there is a discussion of the Christian versus Humanist worldview concerning the issue of “the basis for human dignity” in Episode 4 and then in the last episode a close […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
E P I S O D E 1 0 Dr. Francis Schaeffer – Episode X – Final Choices 27 min FINAL CHOICES I. Authoritarianism the Only Humanistic Social Option One man or an elite giving authoritative arbitrary absolutes. A. Society is sole absolute in absence of other absolutes. B. But society has to be […]
E P I S O D E 9 Dr. Francis Schaeffer – Episode IX – The Age of Personal Peace and Affluence 27 min T h e Age of Personal Peace and Afflunce I. By the Early 1960s People Were Bombarded From Every Side by Modern Man’s Humanistic Thought II. Modern Form of Humanistic Thought Leads […]
E P I S O D E 8 Dr. Francis Schaeffer – Episode VIII – The Age of Fragmentation 27 min I saw this film series in 1979 and it had a major impact on me. T h e Age of FRAGMENTATION I. Art As a Vehicle Of Modern Thought A. Impressionism (Monet, Renoir, Pissarro, Sisley, […]
E P I S O D E 7 Dr. Francis Schaeffer – Episode VII – The Age of Non Reason I am thrilled to get this film series with you. I saw it first in 1979 and it had such a big impact on me. Today’s episode is where we see modern humanist man act […]
E P I S O D E 6 How Should We Then Live 6#1 Uploaded by NoMirrorHDDHrorriMoN on Oct 3, 2011 How Should We Then Live? Episode 6 of 12 ________ I am sharing with you a film series that I saw in 1979. In this film Francis Schaeffer asserted that was a shift in […]
E P I S O D E 5 How Should We Then Live? Episode 5: The Revolutionary Age I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Francis Schaeffer noted, “Reformation Did Not Bring Perfection. But gradually on basis of biblical teaching there […]
Dr. Francis Schaeffer – Episode IV – The Reformation 27 min I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer makes three key points concerning the Reformation: “1. Erasmian Christian humanism rejected by Farel. 2. Bible gives needed answers not only as to […]
Francis Schaeffer’s “How should we then live?” Video and outline of episode 3 “The Renaissance” Francis Schaeffer: “How Should We Then Live?” (Episode 3) THE RENAISSANCE I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer really shows why we have so […]
Francis Schaeffer: “How Should We Then Live?” (Episode 2) THE MIDDLE AGES I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer points out that during this time period unfortunately we have the “Church’s deviation from early church’s teaching in regard […]
Francis Schaeffer: “How Should We Then Live?” (Episode 1) THE ROMAN AGE Today I am starting a series that really had a big impact on my life back in the 1970′s when I first saw it. There are ten parts and today is the first. Francis Schaeffer takes a look at Rome and why […]
Back when he was campaigning for the office he now occupies, Joe Biden asked in the rhetorical, no b.s., tough guy pose he likes to assume, “When did Milton Friedman die and become king?”
Later in the campaign, he got in another shot, telling his audience, “Milton Friedman isn’t running the show anymore.”
Well, Biden went on to win the election and, now that he is running the show, one looks around and thinks, “You know, wouldn’t it be better if Milton Friedman were still alive and running the show.”
Milton Friedman was an economist whose work ranged from the densely theoretical to the immensely popular and accessible. His book Capitalism and Freedom has sold more than a million copies since it was published in 1962. In 1980, Friedman and his wife, Rose, hosted the immensely popular PBS series Free to Choose and published a companion book with the same title. It was the best-selling non-fiction book of that year.
Lots of kings never enjoyed that kind of influence.
So, to use the kind of locutions Biden prefers, what is his beef with Milton Friedman?
One suspects that it can be summed up in one word … inflation.
Friedman told people in politics and government something they didn’t want to hear. Namely, that “there is no such thing as a free lunch.” (He used that phrase as the title for another of his books.)
Government spending comes at a price in the form of taxes, debt, and inflation. One suspects that Friedman’s thinking on the matter of inflation is what peeves Joe Biden.
There is no hiding the fact of inflation, which is to say, an increase in prices and a decrease in the value of money. Which amounts to the same thing.
There is a reason that people who are on Social Security can expect their benefits to increase by almost six percent next year. That’s because those benefits are, broadly speaking, indexed to the cost of living. So everything is now more expensive by six percent.
And why is that?
Well, Milton Friedman studied that problem a lot more seriously, one thinks, than Joe Biden ever has and his answer was, “too much money chasing too few goods.”
Or, as he memorably put it, “Inflation is always and everywhere a monetary phenomenon.”
President Biden is indifferent to the economics but no doubt intensely interested in the politics of inflation. He is old enough to remember Jimmy Carter and, in fact, was first elected to the Senate in 1972. So Biden witnessed – or should have – what rampant inflation did not only to Carter’s ambitions but to the nation’s morale.
Inflation was brought under control during the administration of Ronald Reagan who, like most of his economic team, was a follower of King Milton Friedman.
President Biden and his team seem to believe that inflation is either not a problem or something that affects only the wealthy. “High class problems,” in the words of his Chief-of-Staff, Ron Clain.
Well, to be fair, Clain lives and works in Washington, D.C. and can’t really be expected to understand what life is like for ordinary Americans in the lands out there “beyond the beltway.”
Many of those people drive to and from work every day and the price of gas is something to which they pay close attention. The phrase “pain at the pump” has real meaning for them.
And those cars that people drive to and from work are increasingly expensive.
And, then, there is food. The kind that people buy at the grocery store, the prices of which are higher than they have been in a decade.
Eating and getting to and from work are not what most people would call “high class problems.”
President Biden’s poll numbers seem to move inversely with the cost of living. The more expensive everything gets, the more his popularity decreases. And having, evidently, not learned the lessons of the Carter years, he seems determined to repeat them. (To include presiding over a military debacle in a far-off, Islamic country. But that is another matter.)
The Biden administration is committed to a domestic agenda that the President claims if “fully paid for.” By which he means that … taxes will be raised to cover the expense. Well, tax revenues are already at a historic high but that, evidently, is not enough.
It never is.
But there is always the ultimate stealth tax … inflation.
Joe Biden may be President and Milton Friedman may not be King. But Friedman’s ideas and insights are still true. And much as President Biden and his team may wish it were not so (and insist that it is not) there is still “no such thing as a free lunch.”
Geoffrey Norman is a former editor of Esquire magazine and is a regular contributor to the Wall Street Journal, Weekly Standard and National Review. He has authored more than 15 books and remains active shaping public policy discussions. He lives in Vermont.
Milton Friedman’s FREE TO CHOOSE “How to cure inflation” Transcript and Video (60 Minutes)
In 1980 I read the book FREE TO CHOOSE by Milton Friedman and it really enlightened me a tremendous amount. I suggest checking out these episodes and transcripts of Milton Friedman’s film series FREE TO CHOOSE: “The Failure of Socialism” and “What is wrong with our schools?” and “Created Equal” and From Cradle to Grave, and – Power of the Market.“If we could just stop the printing presses, we would stop inflation,” Milton Friedman says in “How to Cure Inflation” from the Free To Choose series. Now as then, there is only one cause of inflation, and that is when governments print too much money. Milton explains why it is that politicians like inflation, and why wage and price controls are not solutions to the problem.
http://www.freetochoosemedia.org/freetochoose/detail_ftc1980_transcript.php?page=9While many people have a fairly good grasp of what inflation is, few really understand its fundamental cause. There are many popular scapegoats: labor unions, big business, spendthrift consumers, greed, and international forces. Dr. Friedman explains that the actual cause is a government that has exclusive control of the money supply. Friedman says that the solution to inflation is well known among those who have the power to stop it: simply slow down the rate at which new money is printed. But government is one of the primary beneficiaries of inflation. By inflating the currency, tax revenues rise as families are pushed into higher income tax brackets. Thus, inflation transfers wealth and resources from the private to the public sector. In short, inflation is attractive to government because it is a way of increasing taxes without having to pass new legislation to raise tax rates. Inflation is in fact taxation without representation. Wage and price controls are not the cure for inflation because they treat only the symptom (rising prices) and not the disease (monetary expansion). History records that such controls do not work; instead, they have perverse effects on both prices and economic growth and undermine the fundamental productivity of the economy. There is only one cure for inflation: slow the printing presses. But the cure produces the painful side effects of a temporary increase in unemployment and reduced economic growth. It takes considerable political courage to undergo the cure. Friedman cites the example of Japan, which successfully underwent the cure in the mid-seventies but took five years to squeeze inflation out of the system. Inflation is a social disease that has the potential for destroying a free society if it is unchecked. Prolonged inflation undermines belief in the basic equity of the free market system because it tends to destroy the link between effort and reward. And it tears the social fabric because it divides society into winners and losers and sets group against group.(Taxation without representation: Getting knocked up to higher tax brackets because of inflation pt 1)http://www.youtube.com/watch?v=b1dTWDNKH3c
Volume 9 – How to Cure Inflation
Transcript:
Friedman: The Sierra Nevada’s in California 10,000 feet above sea level, in the winter temperatures drop to 40 below zero, in the summer the place bakes in the thin mountain air. In this unlikely spot the town of Body sprang up. In its day Body was filled with prostitutes, drunkards and gamblers part of a colorful history of the American West.
A century ago, this was a town of 10,000 people. What brought them here? Gold. If this were real gold, people would be scrambling for it. The series of gold strikes throughout the West brought people from all over the world, all kinds of people. They came here for one purpose and one purpose only, to strike it rich, quick. But in the process, they built towns, cities, in places where nobody would otherwise have dreamed of building a city. Gold built these cities and when the gold was exhausted, the cities collapsed and became ghost towns. Many of the people who came here ended up the way they began, broke and unhappy. But a few struck it rich. For them, gold was real wealth. But was it for the world as a whole. People couldn’t eat the gold, they couldn’t wear the gold, they couldn’t live in houses made of gold. Because there was more gold, they had to pay a little more gold to buy goods and services. The prices of things in terms of gold went up.
At tremendous cost, at sacrifice of lives, people dug gold out of the bowels of the earth. What happened to that gold? Eventually, at long last, it was transported to distant places only to be buried again under the ground. This time in the vaults of banks throughout the world. There is hardly anything that hasn’t been used for money; rock salt in Ethiopia, brass rings in West Africa, Calgary shells in Uganda, even a toy cannon. Anything can be used as money. Crocodile money in Malaysia, absurd isn’t it?
That beleaguered minority of the population that still smokes may recognize this stuff as the raw material from which their cigarettes are made. But in the early days of the colonies, long before the U.S. was established, this was money. It was the common money of Virginia, Maryland and the Carolinas. It was used for all sorts of things. The legislature voted that it could be used legally to pay taxes. It was used to buy food, clothing and housing. Indeed, one of the most interesting sites was to see the husky young fellows at that time, lug 100 pounds of it down to the docks to pay the costs of the passage of the beauteous young ladies who had come over from England to be their brides.
Now you know how money is. There’s a tendency for it to grow, for more and more of it to be produced and that’s what happened with this tobacco. As more tobacco was produced, there was more money. And as always when there’s more money, prices went up. Inflation. Indeed, at the very end of the process, prices were 40 times as high in terms of tobacco as they had been at the beginning of the process. And as always when inflation occurs, people complained. And as always, the legislature tried to do something. And as always, to very little avail. They prohibited certain classes of people from growing tobacco. They tried to reduce the total amount of tobacco grown, they required people to destroy part of their tobacco. But it did no good. Finally, many people took it into their own hands and they went around destroying other people’s tobacco fields. That was too much. Then they passed a law making it a capital offense, punishable by death, to destroy somebody else’s tobacco. Grecian’s Law, one of the oldest laws in economics, was well illustrated. That law says that cheap money drives out dear money and so it was with tobacco. Anybody who had a debt to pay, of course, tried to pay it in the worst quality of tobacco he had. He saved the good tobacco to sell overseas for hard money. The result was that bad money drove out good money.
Finally, almost a century after they had started using tobacco as money, they established warehouses in which tobacco was deposited in barrels, certified by an inspector according to his views as to it’s quality and quantity. And they issued warehouse certificates which people gave from one to another to pay for the bills that they accumulated.
These pieces of green printed paper are today’s counterparts of those tobacco certificates. Except that they bear no relation to any commodity. In this program I want to take you to Britain to see how inflation weakens the social fabric of society. Then to Tokyo, where the Japanese have the courage to cure inflation. To Berlin, where there is a lesson to be learned from the West Germans and how so called cures are often worse than the disease. And to Washington where our government keeps these machines working overtime. And I am going to show you how inflation can be cured.
The fact is that most people enjoy the early stages of the inflationary process. Britain, in the swinging 60’s, there was plenty of money around, business was brisk, jobs were plentiful and prices had not yet taken off. Everybody seemed happy at first. But by the early 70’s, as the good times rolled along, prices started to rise more and more rapidly. Soon, some of these people are going to lose their jobs. The party was coming to an end.
The story is much the same in the U.S. Only the process started a little later. We’ve had one inflationary party after another. Yet we still can’t seem to avoid them. How come?
Before every election our representatives would like to make us think we are getting a tax break. When they are able to do it, while at the same time actually raising our taxes because of a bit of magic they have in their kit bag. That magic is inflation. They reduced the tax rates but the taxes we have to pay go up because we are automatically shoved into higher brackets by the effective inflation. A neat trick. Taxation without representation.
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Pt 2 Many a political leader has been tempted to turn to wage and price controls despite their repeated failure in practice. On this subject they never seem to learn. But some lessons may be learned. That happened to British P
Bob Crawford: The more I work, it seems like the more they take off me. I know if I work an extra day or two extra days, what they take in federal income tax alone is almost doubled because apparently it puts you in a higher income tax bracket and it takes more off you.
Friedman: Bob Crawford lives with his wife and three children in a suburb of Pittsburgh. They’re a fairly average American family.
Mrs. Crawford: Don’t slam the door Daphne. Okay. Alright. What are you doing? Making your favorite dish.
Friedman: We went to the Crawford’s home after he had spent a couple of days working out his federal and state income taxes for the year. For our benefit, he tried to estimate all the other taxes he had paid as well. In the end, though, he didn’t discover much that would surprise anybody.
Bob Crawford: Inflation is going up, everything is getting more expensive. No matter what you do, as soon as you walk out of the house, everything went up. Your gas bills keep going up, electric bills, your gasoline, you can name a thousand things that are going up. Everything is going sky high. Your food. My wife goes to the grocery store. We used to live on say, $60 or $50 every two weeks just for our basic food. Now it’s $80 or $90 every two weeks. Things are just going out of sight as far as expense to live on. Like I say it’s getting tough. It seems like every month it gets worse and worse. And I don’t know where it’s going to end. At the end of the day that I spend nearly $6,000 of my earnings on taxes. That leaves me with a total of $12,000 to live on. It might seem like a lot of money, but five, six years ago I was earning $12,000.
Friedman: How does taxation without representation really effect how much the Crawford family has left to spend after it’s paid its income taxes. Well in 1972 Bob Crawford earned $12,000. Some of that income was not subject to income tax. After paying income tax on the rest he had this much left to spend. Six years later he was earning $18,000 a year. By 1978 the amount free from tax was larger. But he was now in a higher tax bracket so his taxes went up by a larger percentage than his income. However, those dollars weren’t worth anything like as much. Even his wages, let alone his income after taxes, hadn’t kept up with inflation. His buying power was lower than before. That is taxation without representation in practice.
Unnamed Individual: We have with us today you brothers that are sitting here today that were with us on that committee and I’d like to tell you….
Friedman: There are many traditional scapegoats blamed for inflation. How often have you heard inflation blamed on labor unions for pushing up wages. Workers, of course, don’t agree.
Unnamed Individual: But fellows this is not true. This is subterfuge. This is a myth. Your wage rates are not creating inflation.
Friedman: And he’s right. Higher wages are mostly a result of inflation rather than a cause of it. Indeed, the impression that unions cause inflation arises partly because union wages are slow to react to inflation and then there is pressure to catch up.
Worker: On a day to day basis, try to represent our own numbers. But that in fact is not the case. Not only can we not play catch up, we can’t even maintain a wage rate commensurate with the cost of living that’s gone up in this country.
Friedman: Another scapegoat for inflation is the cost of goods coming from abroad. Inflation, we’re told, is imported. Higher prices abroad driving up prices at home. It’s another way government can blame someone else for inflation. But this argument, too, is wrong. The prices of imports and the countries from which they come are not in terms of dollars, they are in terms of lira or yen or other foreign currencies. What happens to their prices in dollars depends on exchange rates which in turn reflect inflation in the United States.
Since 1973 some governments have had a field day blaming the Arabs for inflation. But if high oil prices were the cause of inflation, how is it that inflation has been less here in Germany, a country that must import every drop of oil and gas that it uses on the roads and in industry, then for example it is in the U.S. which produces half of its own oil. Japan has no oil of its own at all. Yet at the very time the Arabs were quadrupling oil prices, the Japanese people were bringing inflation down from 30 to less than 5% a year. The fallacy is to confuse particular prices like the price of oil, with prices in general. Back at home, President Nixon understood this.
Nixon: “Now here’s what I will not do. I will not take this nation down the road of wage and price controls however politically expedient that may seem. The pros of rationing may seem like an easy way out, but they are really an easy way in for more trouble. To the explosion that follows when you try to clamp a lid on a rising head of steam without turning down the fire under the pot, wage and price controls only postpone the day of reckoning. And in so doing, they rob every American of a very important part of his freedom.
Friedman: Now listen to this:
Nixon: “The time has come for decisive action. Action that will break the vicious circle of spiraling prices and costs. I am today ordering a freeze on all prices and wages throughout the United States for a period of 90 days. In addition, I call upon corporations to extend the wage price freeze to all dividends.”
Friedman: Many a political leader has been tempted to turn to wage and price controls despite their repeated failure in practice. On this subject they never seem to learn. But some lessons may be learned. That happened to British Prime Minister James Callahan who finally discovered that a very different economic myth was wrong. He told the Labor Party Conference about it in 1976.
James Callahan: “We used to think that you could use, spend your way out of a recession and increase employment by cutting taxes and boosting government spending. I tell you in all candor that option no longer exists. It only works on each occasion since the war by injecting a bigger dose of inflation into the economy followed by a higher level of unemployment as the next step. That’s the history of the last 20 years.”
Friedman: Well, it’s one thing to say it. One reason why inflation does so much harm is because it effects different groups differently. Some benefit and of course they attribute that to their own cleverness. Some are hurt, but of course they attribute that to the evil actions of other people. And the whole problem is made far worse by the false cures which government adopts, particularly wage and price control.
The garbage collectors in London felt justifiably aggrieved because their wages had not been permitted to keep pace with the cost of living. They struck, hurting not the people who impose the controls, but their friends and neighbors who had to live with mounting piles of rat infested garbage. Hospital attendants felt justifiably aggrieved because their wages had not been permitted to keep up with the cost of living. They struck, hurting not the people who impose the controls, but cancer patients who were turned out of hospital beds. The attendants behaved as a group in a way they never would have behaved as individuals. One group is set against another group. The social fabric of society is torn apart inflicting scars that it will take decades to heal and all to no avail because wage and price controls, far from being a cure for inflation, only make inflation worse.
Within the memory of most of our political leaders, there’s one vivid example of how economic ruin can be magnified by controls. And the classic demonstration of what to do when it happens.
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(Wage and Price Controls don’t work)
Inflation is just like alcoholism. In both cases when you start drinking or when you start printing too much money, the good effects come first. The bad effects only come later.
That’s why in both cases there is a strong temptation to overdo it. To drink too much and to print too much money. When it comes to the cure, it’s the other way around. When you stop drinking or when you stop printing money, the bad effects come first and the good effects only come later.
Pt 3
Germany, 1945, a devastated country. A nation defeated in war. The new governing body was the Allied Control Commission, representing the United States, Britain, France and the Soviet Union. They imposed strict controls on practically every aspect of life including wages and prices. Along with the effects of war, the results were tragic. The basic economic order of the country began to collapse. Money lost its value. People reverted to primitive barter where they used cameras, fountain pens, cigarettes, whiskey as money. That was less than 40 years ago.
This is Germany as we know it today. Transformed into a place a lot of people would like to live in. How did they achieve their miraculous recovery? What did they know that we don’t know?
Early one Sunday morning, it was June 20, 1948, the German Minister of Economics, Ludwig Earhardt, a professional economist, simultaneously introduced a new currency, today’s Deutsche Mark, and in one fell swoop, abolished almost all controls on prices and wages. Why did he do it on a Sunday morning? It wasn’t as you might suppose because the Stock Markets were closed on that day, it was, as he loved to confess, because the offices of the American, the British, and the French occupation authorities were closed that day. He was sure that if he had done it when they open they would have countermanded the order. It worked like a charm. Within days, the shops were full of goods. Within months, the German economy was humming along at full steam. Economists weren’t surprised at the results, after all, that’s what a price system is for. But to the rest of the world it seemed an economic miracle that a defeated and devastated country could in little more than a decade become the strongest economy on the continent of Europe.
In a sense this city, West Berlin, is something of a unique economic test tube. Set as it is deep in Communist East Germany. Two fundamentally different economic systems collide here in Europe. Ours and theirs, separated by political philosophies, definitions of freedom and a steel and concrete wall.
To digress from inflation, economic freedom does not stand alone. It is part of a wider order. I wanted to show you how much difference it makes by letting you see how the people live on the other side of that Berlin Wall. But the East German authorities wouldn’t let us. The people over there speak the same language as the people over here. They have the same culture. They have the same for bearers. They are the same people. Yet you don’t need me to tell you how differently they live. There is one simple explanation. The political system over there cannot tolerate economic freedom. The political system over here could not exist without it.
But political freedom cannot be preserved unless inflation is kept in bounds. That’s the responsibility of government which has a monopoly over places like this. The reason we have inflation in the United States or for that matter anywhere in the world is because these pieces of paper and the accompanying book entry or their counterparts in other nations are growing more rapidly than the quantity of goods and services produced. The truth is inflation is made in one place and in one place only. Here in Washington. This is the only place were there are presses like this that turn out these pieces of paper we call money. This is the place where the power resides to determine how rapidly the amount of money shall increase.
What happened to all that noise? That’s what would happen to inflation if we stop letting the amount of money grow so rapidly. This is not a new idea. It’s not a new cure. It’s not a new problem. It’s happened over and over again in history. Sometimes inflation has been cured this way on purpose. Sometimes it’s happened by accident. During the Civil War the North, late in the Civil War, overran the place in the South where the printing presses were sitting up, where the pieces of paper were being turned out. Prior to that point, the South had a very rapid inflation. If my memory serves me right, something like 4% a month. It took the Confederacy something over two weeks to find a new place where they could set up their printing presses and start them going again. During that two week period, inflation came to a halt. After the two week period, when the presses started running again, inflation started up again. It’s that clear, that straightforward. More recently, there’s another dramatic example of the only effective way to deal with rampant inflation.
In 1973, Japanese housewives going to market were faced with an unpleasant fact. The cash in their purses seemed to be losing its value. Prices were starting to sore as the awful story of inflation began to unfold once again. The Japanese government knew what to do. What’s more, they were prepared to do it. When it was all over, economists were able to record precisely what had happened. In 1971 the quantity of money started to grow more rapidly. As always happens, inflation wasn’t affected for a time. But by late 1972 it started to respond. In early 73 the government reacted. It started to cut monetary growth. But inflation continued to soar for a time. The delayed reaction made 1973 a very tough year of recession. Inflation tumbled only when the government demonstrated its determination to keep monetary growth in check. It took five years to squeeze inflation out of the system. Japan attained relative stability. Unfortunately, there’s no way to avoid the difficult road the Japanese had to follow before they could have both low inflation and a healthy economy. First they had to live through a recession until slow monetary growth had its delayed effect on inflation.
Inflation is just like alcoholism. In both cases when you start drinking or when you start printing too much money, the good effects come first. The bad effects only come later.
That’s why in both cases there is a strong temptation to overdo it. To drink too much and to print too much money. When it comes to the cure, it’s the other way around. When you stop drinking or when you stop printing money, the bad effects come first and the good effects only come later. That’s why it’s so hard to persist with the cure. In the United States, four times in the 20 years after 1957, we undertook the cure. But each time we lacked the will to continue. As a result, we had all the bad effects and none of the good effects. Japan on the other hand, by sticking to a policy of slowing down the printing presses for five years, was by 1978 able to reap all the benefits, low inflation and a recovering economy. But there is nothing special about Japan. Every country that has had the courage to persist in a policy of slow monetary growth has been able to cure inflation and at the same time achieve a healthy economy.
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Pt 4
The job of the Federal Reserve is not to run government spending; it’s not to run government taxation. The job of the Federal Reserve is to control the money supply and I believe, frankly, I have always believed as you know, that these are excuses and not reasons for the performance.
DISCUSSION
Participants: Robert McKenzie, Moderator; Milton Friedman; Congressman Clarence J. Brown; William M. Martin, Chairman of Federal Reserve 1951_1970; Beryl W. Sprinkel, Executive Vice President, Harris Bank, Chicago; Otmar Emminger, President, Ieutsche Bundesbank, Frankfurt West Germany
MCKENZIE: And here at the Harper Library of the University of Chicago, our distinguished guests have their own ideas, too. So, lets join them now.
BROWN: If you could control the money supply, you can certainly cut back or control the rate of inflation. I’d have to say that that prescription is a little bit easier to write than it is to fill. I think there are some other ways to do it and I would relate the money supply __ I think inflation is a measure of the relationship between money and the goods and services that money is meant to cover. And so if you can stimulate the goods, the production of goods and services, it’s helpful. It’s a little tougher to control the money supply, although I think it can be done, than just saying that you should control it, because we’ve got the growth of credit cards, which is a form of money; created, in effect, by the free enterprise system. It isn’t all just printed in Washington, but that may sound too defensive. I think he was right in saying that the inflation is Washington based.
MCKENZIE: Mr. Martin, nobody has been in the firing line longer than you, 17 years head of the Fed. Could you briefly comment on that and we’ll go around the group.
MARTIN: I want to say 19 years.
(Laughter)
MARTIN: I wouldn’t be out here if it weren’t for Milton Friedman, today. He came down and gave us advice from time to time.
FRIEDMAN: You’ve never taken it.
(Laughter)
MCKENZIE: He’s going to do some interviewing later, I warn you.
MARTIN: And I’m rather glad we didn’t take it __
(Laughter)
MARTIN: __ all the time.
SPRINKEL: In your 19 years as Chairman of the Federal Reserve, Bill, the average growth in the money supply was 3.1 percent per year. The inflation rate was 2.2 percent. Since you left, the money supply has exactly doubled. The inflation rate is average over 7 percent, and, of course, in recent times the money supply has been growing in double-digit territory as has our inflation rate.
EMMINGER: May I, first of all, confirm two facts which have been so vividly brought out in the film of Professor Friedman; namely, that at the basis of the relatively good performance of Western Germany were really two events. One, the establishment of a new sound money which we try to preserve sound afterwards. And, secondly, the jump overnight into a free market economy without any controls over prices and wages. These are the two fundamental facts. We have tried to preserve monetary stability by just trying to follow this prescription of Professor Friedman; namely, monetary discipline. Keeping monetary growth relatively moderate. I must, however, warn you it’s not so easy as it looks. If you just say, governments have to have the courage to persist in that course.
FRIEDMAN: Nobody does disagree with the proposition that excessive growth in money supply is an essential element in the inflationary process and that the real problem is not what to do, but how to have the courage and the will to do it. And I want to go and start, if I may, on that subject; because I think that’s what we ought to explore. Why is it we haven’t had the courage and don’t, and under what circumstances will we? And I want to start with Bill Martin because his experience is a very interesting experience. His 19 years was divided into different periods. In the first period, that average that Beryl Sprinkel spoke about, averaged two very different periods. An early period of very slow growth and slow inflation; a later period of what at the time was regarded as creeping inflation __ now we’d be delighted to get back to it. People don’t remember that at the time that Mr. Nixon introduced price and wage controls in 1971 to control an outrageous inflation, the rate of inflation was four-and-a-half percent per year. Today we’d regard that as a major achievement; but the part of the period when you were Chairman, was a period when the inflation rate was starting to creep up and money growth rate was also creeping up. Now if I go from your period, you were eloquent in your statements to the public, to the press, to everyone, about the evils of inflation, and about the determination on the Federal Reserve not to be the architect of inflation. Your successor, Arthur Burns, was just as eloquent. Made exactly the same kinds of statements as effectively, and again over and over again said the Federal Reserve will not be the architect of inflation. His successor, Mr. G. William Miller, made the same speeches, and the same statements, and the same protestations. His successor, Paul Volcker, he is making the same statements. Now my question to you is: Why is it that there has been such a striking difference between the excellent pronouncements of all Chairmen of the Fed, therefore it’s not personal on you. You have a lot of company, unfortunately for the country. Why is it that there has been such a wide diversion between the excellent pronouncements on the one hand and what I regard as a very poor performance on the other?
MARTIN: Because monetary policy is not the only element. Fiscal policy is equally important.
FRIEDMAN: You’re shifting the buck to the Treasury.
MARTIN: Yes.
FRIEDMAN: To the Congress. We’ll get to Mr. Brown, don’t worry.
MARTIN: Yeah, that’s right.
(Laughter)
MARTIN: The relationship of fiscal policy to monetary policy is one of the important things.
MCKENZIE: Would you remind us, the general audience, when you say “fiscal policy”, what you mean in distinction to “monetary policy”?
MARTIN: Well, taxation.
MCKENZIE: Yeah.
MARTIN: The raising revenue.
FRIEDMAN: And spending.
MARTIN: And spending.
FRIEDMAN: And deficits.
MARTIN: And deficits, yes, exactly. And I think that you have to realize that when I’ve talked for a long time about the independence of the Federal Reserve. That’s independence within the government, not independence of the government. And I’ve worked consistently with the Treasury to try to see that the government is financed. Now this gets back to spending. The government says they’re gonna spend a certain amount, and then it turns out they don’t spend that amount. It doubles.
FRIEDMAN: The job of the Federal Reserve is not to run government spending; it’s not to run government taxation. The job of the Federal Reserve is to control the money supply and I believe, frankly, I have always believed as you know, that these are excuses and not reasons for the performance.
MARTIN: Well that’s where you and I differ, because I think we would be irresponsible if we didn’t take into account the needs and what the government is saying and doing. I think if we just went on our own, irresponsibly, I say it on this, because I was in the Treasury before I came to this __
FRIEDMAN: I know. I know.
MARTIN: __ go to the Fed; and I know the other side of the picture. I think we’d be rightly condemned by the American people and by the electorate.
FRIEDMAN: Every central bank in this world, including the German Central Bank, including the Federal Reserve System, has the technical capacity to make the money supply do over a period of two or three or four months, not daily, but over a period, has the technical capacity to control it.
(Several people talking at once.)
FRIEDMAN: I cannot explain the kind of excessive money creation that has occurred, in terms of the technical incapacity of the Federal Reserve System or of the German Central Bank, or of the Bank of England, or any other central bank in the world.
EMMINGER: I wouldn’t say technically we are incapable of doing that, although we have never succeeded in controlling the money supply month that way. But I would say we can, technically, control it half yearly, from one half-year period to the next and that would be sufficient __
FRIEDMAN: That would be sufficient.
EMMINGER: __ for controlling inflation. But however I __
VOICE OFF SCREEN: It doesn’t move.
FRIEDMAN: I’m an economic scientist, and I’m trying to observe phenomena, and I observe that every Federal Reserve Chairman says one thing and does another. I don’t mean he does, the system does.
MCKENZIE: Yeah. How different is your setup in Germany? You’ve heard this problem of governments getting committed to spending and the Fed having, one way or the other, to accommodate itself to it. Now what’s your position on this very interesting problem?
EMMINGER: We are very independent of the government, from the government, but, on the other hand, we are an advisor of the government. Also on the budget deficits and they would not easily go before Parliament with a deficit which much of it is openly criticized and disapproved by the same bank. Why because we have a tradition in our country that we can also publicly criticize the government on his account. And second, as if happened in our case too, the government goes beyond what is tolerable for the sake of moral equilibrium. We have let it come through in the capital markets. That is to say they have enough interest rates that has drawn public criticism and that has had some effect on their attitude.
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Pt 5
I think that is a very important point that Dr. Emminger just made because there is not a one-to-one relationship between government deficits and what happens to the money supply at all. The pressure on the Federal Reserve comes indirectly. It comes because large government deficits, if they are financed in the general capital market, will drive up interest rates and then we have the right patents in Congress and their successors pressuring the Federal Reserve to enter in and finance the deficit by printing money as a way of supposedly holding down interest rates. Now before I turn to Mr. Brown and ask him that, I just want to make one point which is very important. The Federal Reserve’s activities in trying to hold down interest rates have put us in a position where we have the highest interest rates in history. It’s another example of how, of the difference between the announced intentions of a policy, and the actual results. But now I want to come to Clarence Brown and ask him, shift the buck to him, and put him on the hot seat for a bit. The government spending has been going up rapidly, Republican administration or Democratic administration. This is a nonpartisan issue, it doesn’t matter. Government deficits have been going up rapidly. Republican administration or Democratic administration. Why is it that here again you have the difference between pronouncements and performance? There is no Congressman, no Senator, who will come out and say, “I am in favor of inflation.” There is not a single one who will say, “I am in favor of big deficits.” They’ll all say we want to balance the budget, we want to hold down spending, we want an economical government. How do you explain the difference between performance and talk on the side of Congress?
BROWN:
FRIEDMAN: I think that is a very important point that Dr. Emminger just made because there is not a one-to-one relationship between government deficits and what happens to the money supply at all. The pressure on the Federal Reserve comes indirectly. It comes because large government deficits, if they are financed in the general capital market, will drive up interest rates and then we have the right patents in Congress and their successors pressuring the Federal Reserve to enter in and finance the deficit by printing money as a way of supposedly holding down interest rates. Now before I turn to Mr. Brown and ask him that, I just want to make one point which is very important. The Federal Reserve’s activities in trying to hold down interest rates have put us in a position where we have the highest interest rates in history. It’s another example of how, of the difference between the announced intentions of a policy, and the actual results. But now I want to come to Clarence Brown and ask him, shift the buck to him, and put him on the hot seat for a bit. The government spending has been going up rapidly, Republican administration or Democratic administration. This is a nonpartisan issue, it doesn’t matter. Government deficits have been going up rapidly. Republican administration or Democratic administration. Why is it that here again you have the difference between pronouncements and performance? There is no Congressman, no Senator, who will come out and say, “I am in favor of inflation.” There is not a single one who will say, “I am in favor of big deficits.” They’ll all say we want to balance the budget, we want to hold down spending, we want an economical government. How do you explain the difference between performance and talk on the side of Congress?
BROWN: Well, first I think we have to make one point. I’m not so much with the government as I am against it.
FRIEDMAN: I understand.
BROWN: As you know, I’m a minority member of Congress.
FRIEDMAN: Again, I’m not __ I’m not directing this at you personally.
BROWN: I understand, of course; and while the administrations, as you’ve mentioned, Republican and Democratic administrations, have both been responsible for increases in spending, at least in terms of their recommendations. It is the Congress and only the Congress that appropriates the funds and determines what the taxes are. The President has no authority to do that and so one must lay it at the feet of the U.S. Congress. Now, I guess we’d have to concede that it’s a little bit more fun to give away things than it is to withhold them. And this is the reason that the Congress responds to a general public that says, “I want you to cut everybody else’s program but the one in which I am most particularly interested. Save money, but incidentally, my wife is taking care of the orphanages and so lets try to help the orphanages,” or whatever it is. Let me try to make a point, if I can, however, on what I think is a new spirit moving within the Congress and that is that inflation, as a national affliction, is beginning to have an impact on the political psychology of many Americans. Now the Germans, the Japanese and others have had this terrific postwar inflation. The Germans have been through it twice, after World War I and World War II, and it’s a part of their national psyche. But we are affected in this country by the depression. Our whole tax structure is built on the depression. The idea of the tax structure in the past has been to get the money out of the mattress where it went after the banks failed in this country and jobs were lost, and out of the woodshed or the tin box in the back yard, get it out of there and put it into circulation. Get it moving, get things going. And one of the ways to do that was to encourage inflation. Because if you held on to it, the money would depreciate; and the other way was to tax it away from people and let the government spend it. Now there’s a reaction to that and people are beginning to say, “Wait just a minute. We’re not afflicted as much as we were by depression. We’re now afflicted by inflation, and we’d like for you to get it under control.” Now you can do that in another way and that without reducing the money supply radically. I think the Joint Economic Committee has recommended that we do it gradually. But the way that you can do it is to reduce taxes and the impact of government, that is the weight of government and increase private savings so that the private savings can finance some of the debt that you have.
FRIEDMAN: There is no way you can do it without reducing, in my opinion, the rate of monetary growth. And I, recognizing the facts, even though they ought not to be that way, I wonder whether you can reduce the rate of monetary growth unless Congress actually does reduce government spending as well as government taxes.
BROWN: The problem is that every time we use demand management, we get into a kind of an iron maiden kind of situation. We twist this way and one of the spikes grabs us here, so we twist that way and a spike over here gets us. And every recession has had higher basic unemployment rates than the previous recession in the last several years and every inflation has had higher inflation. We’ve got to get that tilt out of the society.
MCKENZIE: Wouldn’t it be fair to say, though, that a fundamental difference is the Germans are more deeply fearful of a return to inflation, having had the horrifying experience between the wars, especially. We tend to be more afraid of recession turning into depression.
EMMINGER: I think there is something in it and in particular in Germany the government would have to fear very much in their electoral prospects if they went into such an election period with a high inflation rate. But there is another important difference.
MARTIN: We fear unemployment more than inflation it seems.
EMMINGER: You fear unemployment, but unemployment is feared with us, too, but inflation is just as much feared. But there is another difference; namely, once you have got into that escalating inflation, every time the base, the plateau is higher, it’s extremely difficult to get out of it. You must avoid getting into that, now that’s very cheap advice from me because you are now.
(Laughing)
EMMINGER: But we had, for the last fifteen, twenty years, always studied foreign experiences, and told ourselves we never must get into this vicious circle. Once you are in, it takes a long time to get out of it. That is what I am preaching now, that we should avoid at all costs to get again into this vicious circle as we had it already in ’73_’74. It took us, also, four years to get out of it, although we were only at eight percent inflation. Four years to get down to three percent. So you __
MCKENZIE: Those were __ yes.
EMMINGER: You have, I think, the question of whether you can do if in a gradualist way over many, many years, or whether you don’t need a sort of shock treatment.
____________________________________
her we go into a period of still higher unemployment later on and have it to do all over again. That’s the only choice we face. And when the public at large recognizes that, they will then elect people to Congress, and a President to office who is committed to less government spending and to less government printing of money and until that happens we will not cure inflation
Pt 6
SPRINKEL: The film said it took the Japanese _ what _ four years?
FRIEDMAN: Five years.
SPRINKEL: Five years. But one of my greatest concerns is that we haven’t suffered enough yet. Most of the nations that have finally got their inflations __
BROWN: Bad election speech.
SPRINKEL: __ well, I’m not running for office, Clarence.
(Laughter)
SPRINKEL: Most countries that finally got their inflation under control had 20, 30 percent or worse inflation. Germany had much worse and the public supports them. We live in a Democracy, and we’re getting constituencies that gain from inflation. You look at people that own real estate, they’ve done very well.
MCKENZIE: Yes.
SPRINKEL: And how can we get there without going through even more pain, and I doubt that we will.
FRIEDMAN: If you ask who are the constituencies that have benefited most from inflation there are no doubt, it is the homeowners.
SPRINKEL: Yes.
FRIEDMAN: But it’s also the __ it’s also the Congressmen who have been able to vote higher spending without having to vote higher taxes. They have in fact __
BROWN: That’s right.
FRIEDMAN: __ Congress has in fact voted for inflation. But you have never had a Congressman on record to that effect. It’s the government civil servants who have their own salaries are indexed and tied to inflation. They have a retirement benefit, a retirement pension that’s tied to inflation. They qualify, a large fraction of them, for Social Security as well, which is tied to inflation. So that the beneficial __
BROWN: Labor contracts that are indexed and many pricing things that are tied to it.
FRIEDMAN: But the one thing that isn’t tied to inflation and here I want to come back and ask why Congress has been so __ so bad in this area, is our taxes. It has been impossible to get Congress to index the tax system so that you don’t have the present effect where every one percent increase in inflation pushes people up into higher brackets and forces them to pay higher taxes.
BROWN: Well, as you know, I’m an advocate of that.
FRIEDMAN: I know you are.
MCKENZIE: Some countries do that, of course.
FRIEDMAN: Oh, of course.
MCKENZIE: Canada does that. Indexes the __
BROWN: And I went up to Canada on a little weekend seminar program on indexing and came back an advocate of indexing because I found out that the people who are delighted with indexing are the taxpayers.
FRIEDMAN: Absolutely.
BROWN: Because as the inflation rate goes up their tax level either maintains at the same level or goes down. The people who are least __ well, the people who are very unhappy with it are the people who have to plan government spending because it is reducing the amount of money that the government has rather than watching it go up by ten or twelve billion. You get a little dividend to spend in this country, the bureaucrats do every year, but the politicians are unhappy with it too, as Dr. Friedman points out because, you see, politicians don’t get to vote a tax reduction, it happens automatically.
MCKENZIE: Yeah.
BROWN: And so you can’t go back and in a praiseworthy way tell your constituents that I am for you, I voted a tax reduction. And I think we ought to be able to index the tax system so that tax reduction is automatic, rather than have what we’ve had in the past, and that is an automatic increase in the taxes. And the politicians say, “Well, we’re sorry about inflation, but __”.
FRIEDMAN: You’re right and I want to __ I want to go and make a very different point. I sit here and berate you and you as government officials, and so on, but I understand very well that the real culprits are not the politicians, are not the central bankers, but it’s I and my fellow citizens. I always say to people when I talk about this, “If you want to know who’s responsible for inflation, look in the mirror.” It’s not because of the way you spend you money. Inflation doesn’t arise because you got consumers who are spendthrifts; they’ve always been spendthrifts. It doesn’t arise because you’ve got businessmen who are greedy. They’ve always been greedy. Inflation arises because we as citizens have been asking you as politicians to perform an impossible task. We’ve been asking you to spend somebody else’s money on us, but not to spend our money on anybody else.
BROWN: You don’t want us to cut back those dollars for education, right?
FRIEDMAN: Right. And, therefore, __ well, no, I do.
MCKENZIE: We’ve already had a program on that.
FRIEDMAN: We’ve already had a program on that and there’s no viewer of these programs who will be in any doubt about my position on that. But the public at large has not and this is where we come to the political will that Dr. Emminger quite properly talked about. It is __ everybody talks against inflation, but what he means is that he wants the prices of the things he sells to go up and the prices of the things he buys to go down. But, sooner or later, we come to the point where it will be politically profitable to end inflation. This is the point that __
SPRINKEL: Yes.
FRIEDMAN: __ I think you were making.
SPRINKEL: The suffering idea.
FRIEDMAN: Where do you think the __ you know, what do you think the rate of inflation has to be and judged by the experience of other countries before we will be in that position and when do you think that will happen?
SPRINKEL: Well, the evidence says it’s got to be over 20 percent. Now you would think we could learn from others rather than have to repeat mistakes.
FRIEDMAN: Apparently nobody can learn from history.
SPRINKEL: But at the present time we’re going toward higher and not lower inflation.
MCKENZIE: You said earlier, if you want to see who causes inflation look in the mirror.
FRIEDMAN: Right.
MCKENZIE: Now, for everybody watching and taking part in this, there must be some moral to that. What does need __ what has to be the change of attitude of the man in the mirror you’re looking at before we can effectively implement what you call a tough policy that takes courage?
FRIEDMAN: I think that the man in the mirror has to come to recognize that inflation is the most destructive disease known to modern society. There is nothing which will destroy a society so thoroughly and so fully as letting inflation run riot. He must come to recognize that he doesn’t have any good choices. That there are no easy answers. That once you get in this situation where the economy is sick of this insidious disease, there’s gonna be no miracle drug which will enable them to be well tomorrow. That the only choices he has, do I go through a tough period for four or five years of relatively high unemployment, relatively low growth or do I try to push it off by taking some more of the hair of the dog that bit me and get around it now at the cost of still higher unemployment, as Clarence Brown said, later on. The only choice this country faces, is whether we have temporary unemployment for a short period, as a side effect of curling inflation or whether we go into a period of still higher unemployment later on and have it to do all over again. That’s the only choice we face. And when the public at large recognizes that, they will then elect people to Congress, and a President to office who is committed to less government spending and to less government printing of money and until that happens we will not cure inflation.
____________________________________
FRIEDMAN: And therefore the crucial thing is to cut down total government spending from the point of view of inflation. From the point of view of productivity, some of the other measures you were talking about are far more important.
BROWN
Pt 7
BROWN: But, Dr. Friedman, let me __
(Applause)
BROWN: Let me differ with you to this extent. I think it is important that at the time you are trying to get inflation out of the economy that you also give the man in the street, the common man, the opportunity to have a little bit more of his own resources to spend. And if you can reduce his taxes at that time and then reduce government in that process, you give him his money to spend rather than having to yield up all that money to government. If you cut his taxes in a way to encourage it, to putting that money into savings, you can encourage the additional savings in a private sense to finance the debt that you have to carry, and you can also encourage the stimulation of growth in the society, that is the investment into the capital improvements of modernization of plant, make the U.S. more competitive with other countries. And we can try to do it without as much painful unemployment as we can get by with. Don’t you think that has some merit?
FRIEDMAN: The only way __ I am all in favor, as you know, of cutting government spending. I am all in favor of getting rid of the counterproductive government regulation that reduces productivity and disrupts investment. But __
BROWN: And we do that, we can cut taxes some, can we not?
FRIEDMAN: We should __ taxes __ but you are introducing a confusion that has confused the American people. And that is the confusion between spending and taxes. The real tax on the American people is not what you label taxes. It’s total spending. If Congress spends fifty billion dollars more than it takes in, if government spends fifty billion dollars, who do you suppose pays that fifty billion dollars?
BROWN: Of course, of course.
FRIEDMAN: The Arab Sheiks aren’t paying it. Santa Claus isn’t paying it. The Tooth Fairy isn’t paying it. You and I as taxpayers are paying it indirectly through hidden taxation.
MCKENZIE: Your view __
FRIEDMAN: And therefore the crucial thing is to cut down total government spending from the point of view of inflation. From the point of view of productivity, some of the other measures you were talking about are far more important.
BROWN: But if you concede that inflation and taxes are both part and parcel of the same thing, and if you cut spending __
FRIEDMAN: They’re not part and parcel of the same thing.
BROWN: If you cut spending you __ well, but, you take the money from them in one way or another. The average citizen.
FRIEDMAN: Absolutely.
BROWN: To finance the growth of government.
FRIEDMAN: That’s right.
BROWN: So if you cut back the size of government, you can cut both their inflation and their taxes.
FRIEDMAN: That’s right.
BROWN: If you __
FRIEDMAN: I am all in favor of that.
BROWN: All right.
FRIEDMAN: All I am saying is don’t kid yourself into thinking that there is some painless way to do it. There just is not.
BROWN: One other way is productivity. If you can __ if you can increase production, then the impact of inflation is less because you have more goods chasing __
FRIEDMAN: Absolutely, but you have to have a sense of proportion. From the point of view of the real income of the American people, nothing is more important than increasing productivity. But from the point of view of inflation, it’s a bit actor. It would be a miracle if we could raise our productivity from three to five percent a year, that would reduce inflation by two percent.
BROWN: No question, it won’t happen overnight, but it’s part of the __ it’s part of a long range squeezing out of inflation.
FRIEDMAN: There is only one way to ease the __ in my opinion there is only one way to ease the pains of curing inflation and that way is not available. That way is to make it credible to the American people that you are really going to follow the policy you say you’re going to follow. Unfortunately I don’t see any way we can do that.
(Several people talking at once.)
EMMINGER: Professor Friedman, that’s exactly the point which I wanted to illustrate by our own experience. We also had to squeeze out inflation and there was a painful time of one-and-a-half years, but after that we had a continuous lowering of the inflation rate with a slow upward movement in the economy since 1975. Year by year inflation went down and we had a moderate growth rate which has led us now to full employment.
FRIEDMAN: That’s what __
EMMINGER: So you can shorten this period by just this credibility and by a consensus you must have, also with the trade unions, with the whole population that they acknowledge that policy and also play their part in it. Then the pains will be much less.
SPRINKEL: You see in our case, expectations are that inflation’s going to get worse because it always has. This means we must disappoint in a very painful way those expectations and it’s likely to take longer, at least the first time around. Now our real problem has not been that we haven’t tried. We have tried and brought inflation down. Our real problem was, we didn’t stick to it. And then you have it all to do over.
BROWN: Well I would __ I would concede that psychology plays a great, perhaps even the major part, but I do believe that if you have private savings stimulated by your tax system, rather than discouraged by your tax system, you can finance some of that public debt by private savings rather than by inflation and the result will be to ease to some degree the paint of that heavy unemployment that you seem to suggest is the only way to deal with the problem.
FRIEDMAN: The talk is fine, but the problem is that it’s used to evade the key issue: How do you make it credible to the public that you are really going to stick to a policy? Four times we’ve tried it and four times we’ve stopped before we’ve run the course.
(Several people talking at once.)
MCKENZIE: There we leave the matter for tonight, and next week’s concluding program in this series is not to be missed.
Milton Friedman The Power of the Market 1-5 How can we have personal freedom without economic freedom? That is why I don’t understand why socialists who value individual freedoms want to take away our economic freedoms. I wanted to share this info below with you from Milton Friedman who has influenced me greatly over the […]
Milton Friedman: Free To Choose – The Failure Of Socialism With Ronald Reagan (Full) Published on Mar 19, 2012 by NoNationalityNeeded Milton Friedman’s writings affected me greatly when I first discovered them and I wanted to share with you. We must not head down the path of socialism like Greece has done. Abstract: Ronald Reagan […]
Worse still, America’s depression was to become worldwide because of what lies behind these doors. This is the vault of the Federal Reserve Bank of New York. Inside is the largest horde of gold in the world. Because the world was on a gold standard in 1929, these vaults, where the U.S. gold was stored, […]
George Eccles: Well, then we called all our employees together. And we told them to be at the bank at their place at 8:00 a.m. and just act as if nothing was happening, just have a smile on their face, if they could, and me too. And we have four savings windows and we […]
Milton Friedman’s Free to Choose (1980), episode 3 – Anatomy of a Crisis. part 1 FREE TO CHOOSE: Anatomy of Crisis Friedman Delancy Street in New York’s lower east side, hardly one of the city’s best known sites, yet what happened in this street nearly 50 years ago continues to effect all of us today. […]
Friedman Friday” Free to Choose by Milton Friedman: Episode “What is wrong with our schools?” (Part 3 of transcript and video) Here is the video clip and transcript of the film series FREE TO CHOOSE episode “What is wrong with our schools?” Part 3 of 6. Volume 6 – What’s Wrong with our Schools Transcript: If it […]
Here is the video clip and transcript of the film series FREE TO CHOOSE episode “What is wrong with our schools?” Part 2 of 6. Volume 6 – What’s Wrong with our Schools Transcript: Groups of concerned parents and teachers decided to do something about it. They used private funds to take over empty stores and they […]
Here is the video clip and transcript of the film series FREE TO CHOOSE episode “What is wrong with our schools?” Part 1 of 6. Volume 6 – What’s Wrong with our Schools Transcript: Friedman: These youngsters are beginning another day at one of America’s public schools, Hyde Park High School in Boston. What happens when […]
Friedman Friday” Free to Choose by Milton Friedman: Episode “Created Equal” (Part 3 of transcript and video) Liberals like President Obama want to shoot for an equality of outcome. That system does not work. In fact, our free society allows for the closest gap between the wealthy and the poor. Unlike other countries where free enterprise and other […]
Free to Choose by Milton Friedman: Episode “Created Equal” (Part 2 of transcript and video) Liberals like President Obama want to shoot for an equality of outcome. That system does not work. In fact, our free society allows for the closest gap between the wealthy and the poor. Unlike other countries where free enterprise and other freedoms are […]
Milton Friedman and Ronald Reagan Liberals like President Obama (and John Brummett) want to shoot for an equality of outcome. That system does not work. In fact, our free society allows for the closest gap between the wealthy and the poor. Unlike other countries where free enterprise and other freedoms are not present. This is a seven part series. […]
I am currently going through his film series “Free to Choose” which is one the most powerful film series I have ever seen. PART 3 OF 7 Worse still, America’s depression was to become worldwide because of what lies behind these doors. This is the vault of the Federal Reserve Bank of New York. Inside […]
I am currently going through his film series “Free to Choose” which is one the most powerful film series I have ever seen. For the past 7 years Maureen Ramsey has had to buy food and clothes for her family out of a government handout. For the whole of that time, her husband, Steve, hasn’t […]
Friedman Friday:(“Free to Choose” episode 4 – From Cradle to Grave, Part 1 of 7) Volume 4 – From Cradle to Grave Abstract: Since the Depression years of the 1930s, there has been almost continuous expansion of governmental efforts to provide for people’s welfare. First, there was a tremendous expansion of public works. The Social Security Act […]
_________________________ Pt3 Nowadays there’s a considerable amount of traffic at this border. People cross a little more freely than they use to. Many people from Hong Kong trade in China and the market has helped bring the two countries closer together, but the barriers between them are still very real. On this side […]
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Reasonable people can disagree on the issue of abortion, but it’s hard to disagree with the medical research that clearly shows second-trimester abortions pose considerable risks to a woman’s health. (Photo: Jose Luis Pelaez Inc./Getty Images)
Trust the science.
These three words, when heeded, have the potential to save thousands of lives. As a rule, our leaders should defer to peer-reviewed medical research in all matters related to public policy. But in one critical area, they have failed us time and time again: women’s health.
As the Supreme Court prepares to weigh in on the legality of setting gestational limits on abortionin Dobbs v. Jackson Women’s Health Organization, the need to trust the science has never been greater.
As a board-certified OB-GYN, I have helped thousands of mothers through the difficult stages of pregnancy. I have shed tears with these women in their most heartbreaking moments, usually after experiencing a miscarriage or a stillborn birth. But I have also rejoiced with them in witnessing the miracle of life.
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In every case, these women—my patients—entrusted me not only with their lives but with the lives of their children. I take seriously the Hippocratic Oath’s principal demand—primum non nocere—which means “first, do no harm.”
Our laws surrounding abortion should do the same. Sadly, they don’t.
As we have seen with the COVID-19 pandemic, politics and partisanship can drown out science and reason. But too often overlooked is the way politics has also drowned out sensible policymaking on abortion.
Over the past two decades, on-demand abortion has been sold to millions of American women under the banner of women’s health. But this mixing of politics and science has done far more harm than good. Those of us in the medical community know that abortion and women’s health are not synonymous, and in some cases, can even be opposed.
Often lost in the heated rhetoric on this issue is an inconvenient truth: In certain circumstances, abortion—even when performed under the least dangerous conditions—can cause lasting damage to a woman’s health and the health of her future children.
Consider the high risk of pre-term birth that results from surgical abortion. A woman who has had just one abortion has a 30% increased risk of pre-term birth while a woman who has had two abortions has a 90% increased risk of pre-term birth.
To put these numbers in perspective, researchers estimate that more than 100,000 American children have died since 1973 from pre-term births linked to prior abortions. And the crisis has influenced minority communities disproportionately hard. Nearly half of these deaths were black children, even though blacks comprise only 14% of the population.
Tragically, I have worked with multiple women over the course of my career who were unable to carry their babies to term due to complications arising from previous abortions. In almost every case, my patients told me they were unaware of the risks they were assuming when they chose to have an abortion so many years before.
Why? Because abortion providers had simply failed to inform them.
Pre-term birth is just one complication among many. Women who have abortions are also at increased risk of lasting cervical trauma, postpartum hemorrhage, and placental problems. And the health risks only increase in the second trimester of pregnancy.
This is where our laws fail us.
Reasonable people can disagree on the issue of abortion, but it’s hard to disagree with the medical research that clearly shows second-trimester abortions pose considerable risks to a woman’s health.
This isn’t a political statement (although many might treat it that way). It’s simply a statement of fact—a fact that has been broadly accepted in Europe, where abortion carries far less political baggage.
The truth is, in protecting women’s health, U.S. policies are woefully behind those of our European neighbors. In many progressive countries throughout Europe, laws require that elective abortions be performed at 14 weeks or earlier. Nations that have embraced gestational limits on abortion include France, Italy, Germany, Spain, Norway, Switzerland, and Belgium, according to the Center for Reproductive Rights.
These countries have based their abortion laws not on politics but on peer-reviewed medical research aimed at protecting women’s health. Their intent is to use empirically accurate information to promote the highest standards of medical care for women.
The United States, meanwhile, is an anomaly among developed nations in the reckless permissiveness of its abortion laws. In fact, it’s one of only seven countries in the world to allow abortion after 20 weeks, alongside countries like China and North Korea (where women’s health is hardly a priority). Our abortion policies are woefully behind Europe’s. They are out of sync with various precedents set in international law.
With this broader context in mind, take a closer look at the controversy surrounding Dobbs v. Jackson Women’s Health Organization—an upcoming Supreme Court case that will rule whether to uphold a Mississippi law prohibiting abortion after 15 weeks.
Opponents of the Mississippi law have done their best to paint it as extreme, backward, and anti-women. In reality, the exact opposite is true.
The Mississippi law is actually more in line with the medical standards of European nations than any state in the country. It reflects the consensus of medical experts on the risks of second-trimester abortion.
If upheld, it would protect—not hurt—women’s health, significantly decreasing the prevalence of pre-term births, cervical trauma, and other severe medical complications associated with surgical abortions.
Over the past year, medical professionals have encouraged the public to trust the science in relation to the pandemic—be it the efficacy of vaccines, the utility of masks, or the necessity of social distancing. So why aren’t we also encouraging the public to trust the science on the issue of abortion?
Why aren’t we being more upfront with women about the serious risks associated with this procedure—both to their own health and the health of their future children? And why aren’t we advancing laws with gestational limits to protect women’s health, as our European counterparts have done?
Politics, it seems, has clouded our ability to shape commonsense regulations. But the time has come to set politics aside. The time has come to do the right thing for women’s health by trusting the science on abortion.
The Daily Signal publishes a variety of perspectives. Nothing written here is to be construed as representing the views of The Heritage Foundation.
Abortion: When Does Life Begin? – R.C. Sproul
Dr. Francis schaeffer – The flow of Materialism(from Part 4 of Whatever happened to human race? Co-authored by Francis Schaeffer and Dr. C. Everett Koop)
Edith Schaeffer with her husband, Francis Schaeffer, in 1970 in Switzerland, where they founded L’Abri, a Christian commune.
________________
______________________
October 5, 2021
President Biden c/o The White House 1600 Pennsylvania Avenue NW Washington, DC 20500
Dear Mr. President,
I really do respect you for trying to get a pulse on what is going on out here. I know that you don’t agree with my pro-life views but I wanted to challenge you as a fellow Christian to re-examine your pro-choice view.
I truly believe that many of the problems we have today in the USA are due to the advancement of humanism in the last few decades in our society. Ronald Reagan appointed the evangelical Dr. C. Everett Koop to the position of Surgeon General in his administration. He partnered with Dr. Francis Schaeffer in making the video WHATEVER HAPPENED TO THE HUMAN RACE? which can be found on You Tube. It is very valuable information for Christians to have.
Today I want to respond to your letter to me on July 9, 2021. Here it is below:
THE WHITE HOUSE
WASHINGTON
July 9, 2021
Mr. Everette Hatcher III
Alexander, AR
Dear Mr. Hatcher,
Thank you for taking your time to share your thoughts on abortion. Hearing from passionate individuals like me inspires me every day, and I welcome the opportunity to respond to your letter
Our country faces many challenges, and the road we will travel together will be one of the most difficult in our history. Despite these tough times, I have never been more optimistic for the future of America. I believe we are better positioned than any country in the world to lead in the 21st century not just by the example of our power but by the power of our example.
As we move forward to address the complex issues of our time, I encourage you to remain an active participant in helping write the next great chapter of the American story. We need your courage and dedication at this critical time, and we must meet this moment together as the United States of America. If we do that, I believe that our best days still lie ahead.
Protesters against abortion restrictions gathered at the Texas State Capitol on May 21, 2019.Eric Gay/AP
Florida is working on its own version of the newly passed Texas abortion law, Florida Senate President Wilton Simpson, told the local NBC affiliate WFLA.
The Supreme Court did not block Texas’ new heartbeat bill which went into effect on Wednesday and prohibits women from getting an abortion after six weeks of pregnancy.
Arkansas State Senator Jason Rapert announced he ordered a bill to match the Texas legislation.
10 Things in Politics: The latest in politics & the economy
Florida is reportedly working on its own version of Texas’ abortion law, Florida Senate President Wilton Simpson, told the local NBC affiliate WFLA.
The state’s legislature is “already working on” a so-called “heartbeat bill,” Simpson said. Florida will attempt to further restrict abortion in the 2022 legislative session, according to the Tampa Bay Times.
The Supreme Court declined to block Texas’ heartbeat bill, which went into effect on Wednesday and prevents women in the state from having abortions after six weeks of pregnancy. In many cases, women do not yet know they are pregnant at this time.
He said he hopes to pass this bill into law before the end of the legislative session.
This story is developing. Please check back for updates.
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Thank you so much for your time. I know how valuable it is. I also appreciate the fine family that you have and your commitment as a father and a husband. Now I wanted to make some comments concerning our shared Christian faith. I respect you for putting your faith in Christ for your eternal life. I am pleading to you on the basis of the Bible to please review your religious views concerning abortion. It was the Bible that caused the abolition movement of the 1800’s and it also was the basis for Martin Luther King’s movement for civil rights and it also is the basis for recognizing the unborn children.
Sincerely,
Everette Hatcher III, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733,
Francis Schaeffer: “Whatever Happened to the Human Race” (Episode 1) ABORTION OF THE HUMAN RACE Published on Oct 6, 2012 by AdamMetropolis ________________ Picture of Francis Schaeffer and his wife Edith from the 1930′s above. I was sad to read about Edith passing away on Easter weekend in 2013. I wanted to pass along this fine […]
ABORTION – THE SILENT SCREAM 1 / Extended, High-Resolution Version (with permission from APF). Republished with Permission from Roy Tidwell of American Portrait Films as long as the following credits are shown: VHS/DVDs Available American Portrait Films Call 1-800-736-4567 http://www.amport.com The Hand of God-Selected Quotes from Bernard N. Nathanson, M.D., Unjust laws exist. Shall we […]
I have been writing President Obama letters and have not received a personal response yet. (He reads 10 letters a day personally and responds to each of them.) However, I did receive a form letter in the form of an email on April 16, 2011. First you will see my letter to him which was mailed around April 9th(although […]
ABORTION – THE SILENT SCREAM 1 / Extended, High-Resolution Version (with permission from APF). Republished with Permission from Roy Tidwell of American Portrait Films as long as the following credits are shown: VHS/DVDs Available American Portrait Films Call 1-800-736-4567 http://www.amport.com The Hand of God-Selected Quotes from Bernard N. Nathanson, M.D., Unjust laws exist. Shall we […]
When I think of the things that make me sad concerning this country, the first thing that pops into my mind is our treatment of unborn children. Donald Trump is probably going to run for president of the United States. Tony Perkins of the Family Research Council recently had a conversation with him concerning the […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
It is truly sad to me that liberals will lie in order to attack good Christian people like state senator Jason Rapert of Conway, Arkansas because he headed a group of pro-life senators that got a pro-life bill through the Arkansas State Senate the last week of January in 2013. I have gone back and […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
Sometimes you can see evidences in someone’s life of how content they really are. I saw something like that on 2-8-13 when I confronted a blogger that goes by the name “AngryOldWoman” on the Arkansas Times Blog. See below. Leadership Crisis in America Published on Jul 11, 2012 Picture of Adrian Rogers above from 1970′s […]
In the film series “WHATEVER HAPPENED TO THE HUMAN RACE?” the arguments are presented against abortion (Episode 1), infanticide (Episode 2), euthenasia (Episode 3), and then there is a discussion of the Christian versus Humanist worldview concerning the issue of “the basis for human dignity” in Episode 4 and then in the last episode a close […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
I have gone back and forth and back and forth with many liberals on the Arkansas Times Blog on many issues such as abortion, human rights, welfare, poverty, gun control and issues dealing with popular culture. Here is another exchange I had with them a while back. My username at the Ark Times Blog is Saline […]
E P I S O D E 1 0 Dr. Francis Schaeffer – Episode X – Final Choices 27 min FINAL CHOICES I. Authoritarianism the Only Humanistic Social Option One man or an elite giving authoritative arbitrary absolutes. A. Society is sole absolute in absence of other absolutes. B. But society has to be […]
E P I S O D E 9 Dr. Francis Schaeffer – Episode IX – The Age of Personal Peace and Affluence 27 min T h e Age of Personal Peace and Afflunce I. By the Early 1960s People Were Bombarded From Every Side by Modern Man’s Humanistic Thought II. Modern Form of Humanistic Thought Leads […]
E P I S O D E 8 Dr. Francis Schaeffer – Episode VIII – The Age of Fragmentation 27 min I saw this film series in 1979 and it had a major impact on me. T h e Age of FRAGMENTATION I. Art As a Vehicle Of Modern Thought A. Impressionism (Monet, Renoir, Pissarro, Sisley, […]
E P I S O D E 7 Dr. Francis Schaeffer – Episode VII – The Age of Non Reason I am thrilled to get this film series with you. I saw it first in 1979 and it had such a big impact on me. Today’s episode is where we see modern humanist man act […]
E P I S O D E 6 How Should We Then Live 6#1 Uploaded by NoMirrorHDDHrorriMoN on Oct 3, 2011 How Should We Then Live? Episode 6 of 12 ________ I am sharing with you a film series that I saw in 1979. In this film Francis Schaeffer asserted that was a shift in […]
E P I S O D E 5 How Should We Then Live? Episode 5: The Revolutionary Age I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Francis Schaeffer noted, “Reformation Did Not Bring Perfection. But gradually on basis of biblical teaching there […]
Dr. Francis Schaeffer – Episode IV – The Reformation 27 min I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer makes three key points concerning the Reformation: “1. Erasmian Christian humanism rejected by Farel. 2. Bible gives needed answers not only as to […]
Francis Schaeffer’s “How should we then live?” Video and outline of episode 3 “The Renaissance” Francis Schaeffer: “How Should We Then Live?” (Episode 3) THE RENAISSANCE I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer really shows why we have so […]
Francis Schaeffer: “How Should We Then Live?” (Episode 2) THE MIDDLE AGES I was impacted by this film series by Francis Schaeffer back in the 1970′s and I wanted to share it with you. Schaeffer points out that during this time period unfortunately we have the “Church’s deviation from early church’s teaching in regard […]
Francis Schaeffer: “How Should We Then Live?” (Episode 1) THE ROMAN AGE Today I am starting a series that really had a big impact on my life back in the 1970′s when I first saw it. There are ten parts and today is the first. Francis Schaeffer takes a look at Rome and why […]
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