Category Archives: Economist Dan Mitchell

What does the welfare state do to people?

I have posted stories on welfare before and here is another one.

When we think of Julia, the mythical moocher created by the Obama campaign, our first instinct is probably to grab our wallets and purses. After all, she symbolizes the entitlement mindset, as illustrated by this Ramirez cartoon.

But let’s think of this from Julia’s perspective and speculate about what it will mean for her life. Shouldn’t we worry whether a life on the dole will destroy her spirit?

Or perhaps that question is too abstract, so let’s make it more personal. Would we ever want any of our children and grandchildren to become wards of the state, living empty and hollow lives of dependency and never achieving anything?

The answer is no, of course, because we want our loved ones to have good and happy lives.

So why, then, would anybody want to impose that fate on a stranger? And this isn’t an abstract question. That’s what the welfare state does, every day, over and over again, subsidizing poverty and sloth.

And not just in the United States. I shared a truly sad video a couple of years ago showing how the British welfare state created multi-generational poverty and misery.

Now we have another video, this one from the folks at The Commentator, showing a news report from London that should anger all taxpayers. But it also should upset all people who care about rescuing people from government-induced emptiness.

I’m almost at a loss for words. At the risk of making sweeping judgments based on a short news clip, it appears that this poor woman’s life has been destroyed by government dependency.

And if you’re wondering how someone could ever allow themselves to be caught in the quicksand of the welfare state, don’t forget the story of Natalija, as well the expose about Danny and Gina. They are all healthy young people who made rational economic decisions to mooch since they could enjoy more comfortable lives.

The same thing happens in America. This story from Pennsylvania also shows that it can be far more lucrative to rely on handouts than to climb the economic ladder.

Just in case you think that’s an isolated example, look at this remarkable chart revealing how life on the dole can be much more remunerative than a life of striving and work (you can see similar charts for the U.K. by clicking here).

Let’s return to the woman in the video. I confess that I’m a bit conflicted. Should I feel sorry for Ms. MacDonald or should I look down on her?

The government has wrecked her life with handouts, yet there are probably people just like her who made the choice to avoid dependency and climb out of poverty. If you believe in free will, then she deserves some scorn.

That being said, I’m much more willing to heap abuse on Natalija, Gina, and Danny. They’re young and they should know better. Then again, in 30 years, how will they be different from the woman in the video?

These questions don’t have any good answers, so let’s close with a few examples of how the welfare state subsidizes some truly odd behavior.

And remember, you’re paying for all this!

Dear Senator Pryor, here are some spending cut suggestions (“Thirsty Thursday”, Open letter to Senator Pryor, cartoon included)

Senator Pryor pictured below:

 Why do I keep writing and email Senator Pryor suggestions on how to cut our budget? I gave him hundreds of ideas about how to cut spending and as far as I can tell he has taken none of my suggestions. You can find some of my suggestions here, here, here, here, here, here, here, here, here, here, here, here, here, here, here, here, here, here, here,  here, and  here, and they all were emailed to him. In fact, I have written 13 posts pointing out reasons why I believe Senator Pryor’s re-election attempt will be unsuccessful. HERE I GO AGAIN WITH ANOTHER EMAIL I JUST SENT TO SENATOR PRYOR!!!

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 www.thedailyhatch.org . I took you at your word and sent you over 100 emails with specific spending cut ideas. (Actually there were over 160 emails with specific spending cut suggestions.) However, I did not see any of them in the recent debt deal that Congress adopted although you did respond to me several times. Now I am trying another approach. Every week from now on I will send you an email explaining different reasons why we need the Balanced Budget Amendment. It will appear on my blog on “Thirsty Thursday” because the government is always thirsty for more money to spend. Today I actually have included a great article below from the Heritage Foundation concerning an area of our federal budget that needs to be cut down to size. The funny thing about the Sequester and the 2.4% of cuts in future increases is that President Obama set these up and then he acted like the sky was falling in as the cartoons indicate in the newspapers.

IF YOU TRULY WANT TO CUT THE BUDGET AND BALANCE THE BUDGET THEN SUBMIT THESE POTENTIAL BUDGET CUTS PRESENTED BELOW!!

T. Elliot Gaiser and M. Christian McNally

February 28, 2013 at 5:30 pm

ROGER L. WOLLENBERG/UPI/Newscom

The Environmental Protection Agency (EPA) announced plans to furlough all of its employees and shut down for three days this year to absorb sequestration’s spending cuts. But the sequester cuts do not have to lead to shutdowns.

The Heritage Foundation recently pointed out that prioritized cuts at the National Institutes of Health and Transportation Security Administration would target blatantly wasteful spending and unnecessary and duplicative programs. The same is true for the EPA.

Heritage has highlighted the EPA’s track record of wasting taxpayer dollars on projects ranging from the ineffective to the absurd in its Federal Spending by the Numbers 2012 report. For example, the EPA:

  • Awarded a $141,450 grant under the Clean Air Act to fund a Chinese study on pig manure;
  • Funded a $67,926 poster contest at just one college, Syracuse University, that yielded fewer than 10 entries; and
  • Gave $1.2 million to the United Nations for the “promotion” of so-called clean fuels.

If only the waste ended there. In 2012 the EPA spent nearly $3.7 million on 20 conferences with price tags above $100,000—an average of $182,847 per conference. Further, a recent Inspector General report revealed that the EPA has 430,000 square feet of underutilized space, which costs taxpayers more than $20 million annually.

Such examples are low-hanging fruit, but more costly agency initiatives could be eliminated, too. For example, the EPA awarded $1.5 billion in federal grants for cellulosic ethanol producers (fuel made out of wood chips and grass clippings) and issued a production mandate of 500 million gallons of this fuel by 2012.

Demand for ethanol is contrived; it exists only because Congress and the President have mandated its use. And because government created the demand—not the market—taxpayers must subsidize its production. Such subsidies waste taxpayer money and distort market activity.

Heritage experts Jack Spencer, Nicolas Loris, and Katie Tubb argue instead for freedom-based reforms, writing that Congress should:

  • Prohibit the EPA from regulating carbon dioxide, saving families who rely on the 82 percent of the energy used in the United States that produce greenhouse gases;
  • Stop the EPA’s regulatory overreach, which is artificially driving the cost of energy higher, harming job creation, and providing little to no environmental benefit; and
  • Repeal the EPA’s energy efficiency initiatives, which drive up gas prices and restrict consumer choice.

Such reforms would save taxpayers money by reducing the scope of the EPA’s ever-expanding mission, and they would also serve the needs of the economy by lightening the heavy regulatory burden on America’s businesses.

In the meantime, given the tremendous harm that the EPA’s overreaching agenda has on job creation and the economy, if its plans to furlough employees for a few days come to pass, the entire country just might actually be better off.

__________

From Dan Mitchell’s blog:

Last but not least, Lisa Benson makes fun of Obama for his never-ending efforts to instill panic.

Sequester Cartoon Benson 3

Let’s keep our fingers crossed that the sequester happens on March 1. Then, even if the Obama Administration deliberately tries to cause inconvenience for the American people, we’ll see that the world doesn’t come to an end.

Who knows, maybe that will even lead lawmakers to think they can impose some real fiscal restraint, as we’ve recently seen in countries like Estonia and in the 1990s by nations such as Canada and New Zealand.

______________

The Balanced Budget Amendment is the only thing I can think of that would force Washington to cut spending. We have only a handful of balanced budgets in the last 60 years, so obviously what we are doing is not working. We are passing along this debt to the next generation. YOUR APPROACH HAS BEEN TO REJECT THE BALANCED BUDGET “BECAUSE WE SHOULD CUT THE BUDGET OURSELF,” WELL THEN HERE IS YOUR CHANCE!!!! SUBMIT THESE CUTS!!!!

Thank you for this opportunity to share my ideas with you.

Sincerely,

Everette Hatcher, lowcostsqueegees@yahoo.com www.thedailyhatch.org, 13900 Cottontail Lane, Alexander, AR 72002, ph 501-920-5733

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Comparison of crime data and concealed carry gun laws between Houston and Chicago (includes funny gun control posters)

Sometimes you just have to look at the facts!!!

In a presumably futile effort to change their minds by learning how they think, I periodically try to figure out the left-wing mind.

Why, for instance, do some people believe in Keynesian economics, when it is premised on the fanciful notion that you can increase “spending power” by taking money out of the economy’s left pocket and putting it in the economy’s right pocket?

I actually think part of the problem is that folks on the left focus on how income is spent rather than how it’s earned, so I sometimes try to get them to understand that economic growth occurs when we produce more rather than consume more. My hope is that they’ll better understand how the economy works if they look at the issue from this perspective.

But I’m getting off track. I don’t want to get too serious because the purpose of this post is to share this satirical look at the how leftists rationalize their anti-gun biases.

Let’s take a look at two cities that are quite similar in terms of demographics and income. But they have very different murder rates. Your job is to pretend you’re a leftist and come up with an explanation.

Houston Chicago Guns Weather

To be fair, we can’t rule out cold weather as a possible explanation given this limited set of data.

For what it’s worth, however, scholars who actually do real research, like David Kopel and John Lott, reach different conclusions.

Returning to satire, the Houston-Chicago comparison reminds me of this IQ test for criminals and liberals.

And since we’re having some fun with our liberal friends, let’s close with this comparison of liberals, conservatives, and Texans.

I have posted some cartoons featured on Dan Mitchell’s blog before and they are very funny.

I’ve shared a very clever Chuck Asay cartoon about gun-free zones, so let’s now enjoy four posters on the topic.

Let’s begin with a good jab at one of the anti-Second Amendment groups.

But remember the serious point. If you’re a bad guy and know that a potential victim is sure to be unarmed, does that make you happy or sad?

I realize that an anti-gun zealot will respond by arguing that they want a world where the thugs and crooks also will be disarmed, but how likely is it that such people will turn in their weapons? In any event, most criminals are young men and potential victims need guns to compensate for the inability to match the physical strength of their attackers.

Next let’s look at a poster showing the kind of instructions that statists such as Mayor Bloomberg should post in public places.

These clowns expect us to have blind faith in the ability of public authorities, but the odds of a cop being immediately available when trouble strikes are almost nonexistent.

Here’s a poster that captures the blind naiveté of anti-gun activists. I don’t think I need to add any commentary.

Last but not least, here’s a sign that all anti-gun leftists – assuming they have the courage to publicly celebrate their beliefs – should post outside their homes.

If you enjoy these posters, you can view previous editions here, hereherehere, and here.

Which states are the leaders in food stamp consumption?

I am glad that my state of Arkansas is not the leader in food stamps!!!

The food stamp program seems to be a breeding ground of waste, fraud, and abuse. Some of the horror stories I’ve shared include:

With stories like this, I’m surprised my head didn’t explode during this debate I did on Larry Kudlow’s show.

So exactly how bad is the food stamp program?

One way of measuring the cost of the program, both to taxpayers and to the people who get trapped in dependency, is to see what share of a state’s population is utilizing the program.

I just did a “Mirror, Mirror” post on states with the most education bureaucrats compared to teachers and got a lot of good feedback, so let’s do the same thing for food stamps.

Here’s a rather disturbing map from the Washington Post.

Food Stamp Map

A couple of things stand out. I can understand Mississippi, Louisiana, and New Mexico being among the worst states because they have relatively low average incomes. And that’s sort of an excuse for Tennessee, though it’s worth noting that economically and demographically similar states such as Georgia and Alabama don’t fall into the same dependency trap.

Why such a significant handout culture?

But the state that stands out is Oregon. Based on the state’s income, there’s no reason for more than 20 percent of resident’s to be on the dole. The state does get a “high” ranking on the Moocher Index, so there’s some evidence of an entitlement mentality. And welfare handouts also are above average in the Beaver State as well.

It’s also disappointing to see that food stamp dependency has doubled since 2008 in Florida, Rhode Island, Nevada, Utah, and Idaho. Though it’s a credit to the people of Utah that they’re still in the least-dependent category. But the trend obviously is very bad.

And it’s also depressing to look at the bar chart on the right and see that spending on the program has tripled in the past 10 years. Heck, food stamps were about 70 percent of the cost of a recent Senate “farm bill.”

P.S. A local state legislator asked an official in Richmond why Virginia got such a bad score in the ranking of teachers compared to education bureaucrats. The good news, so to speak, is that Virginia is not as bad as suggested by the official numbers. According to the response sent to this lawmaker, “VDOE has determined that the data it reported on school division personnel and assignments to NCES for 2005-2006 through 2009-2010 through the US Department of Education’s EdFacts Portal were inaccurate.”

The bad news, as you can see from this table, is that there are still more edu-crats than teachers, but the ratio apparently isn’t as bad with this updated data.

Virginia Bureaucrat-Teacher Numbers

As a Virginia taxpayer, I suppose I should be happy. But it’s hard to get overly excited when other states are taking positive steps to bring choice and competition to education, and the best thing I can say about the Old Dominion is that we’re not quite as infested with bureaucrats as we originally thought.

P.P.S. I guess I should give the left-wing Washington Post some credit for sharing the map on food stamp dependency. And, to be fair, the paper did reprint this remarkable chart showing how bad Obama’s record is on jobs compared to Reagan and Clinton. And the paper also printed this chart showing how the economy’s performance is way below average under Obama.

Dan Mitchell of the Cato Institute:HUD has to go!!!! (includes political cartoon)

You want a suggestion on how to cut the government then start at HUD. I would prefer to eliminate all of it. Here are Dan Mitchell’s thoughts below:

As part of my “Question of the Week” series, I had to decide which department of the federal government was most deserving of abolition.

With a target-rich environment of waste, fraud, and abuse in Washington, that wasn’t an easy question to answer. But I decided to pick the Department of Housing and Urban Development, and I had some good reasons for that choice.

Well, thanks to the sequester, we can say that we’ve achieved 1.9 percent of our goal. Here are some blurbs from a Reuters report.

The U.S. Department of Housing and Urban Development on Monday said it plans to shut its doors for a total of seven days between May and September due to budget cuts and will furlough more than 9,000 employees on those days. …The agency will determine the exact shutdown dates at a later time.

The motto of special interests

This is what I call a good start.

You won’t be surprised to learn, though, that the bureaucracy is whining that these tiny cutbacks will have horrible effects.

In cataloging the impact of sequestration to a Senate panel last month, HUD Secretary Shaun Donovan warned lawmakers that the government spending cuts would have harsh consequences for housing programs and could threaten Superstorm Sandy recovery efforts in the U.S. Northeast. “The ripple effects are enormous because of how central housing is to our economy,” Donovan told lawmakers.

Well, I hope that the “cuts” will have “harsh consequences for housing programs.” I’ve read Article I, Section VIII, of the Constitution, and nowhere does it say that housing is a function of the federal government.

And I’ve also explained that disaster relief is not Washington’s responsibility.

Most worthless department in Washington?

Last but not least, I agree that housing is important to our economy. But that’s precisely why I don’t want the federal government involved.

Didn’t we learn from the Fannie Mae/Freddie Mac debacle that bad things happen when the federal government tries to subsidize that sector.

Heck, I don’t even want tax preferences for housing.

No wonder I picked the Department of Housing and Urban Development for the background for my video on bloated and wasteful bureaucracy.

___________

Here is a cartoon that illustrates perfectly what I think of this department:

Payne Sequester Cartoon

Very good cartoon.

Michael Moore’s idea that pictures from Sandy Hook will help gun control argument (includes editorial picture)

I do love Michael Moore’s movie “Canadian Bacon” and I have blogged about it before. However, I am not a big Michael Moore fan. Take a look at this excellent article by Trevor Burrus of the Cato Institute on Moore’s latest stupid claim.

March 15, 2013 3:50PM

Some Pictures for Michael Moore

This week, Michael Moore took to his blog to ask someone to publish the assuredly horrific pictures of the Sandy Hook Elementary School crime scene. Like the horrific pictures of 1955 lynching victim Emmett Till, whose mom wanted the photographs published, or the heart-wrenching images of the Vietnam War, Moore believes that the pictures will finally galvanize people to meaningful gun control. He writes:

I believe someone in Newtown, Connecticut—a grieving parent, an upset law enforcement officer, a citizen who has seen enough of this carnage in our country—somebody, someday soon, is going to leak the crime scene photos of the Sandy Hook Elementary School massacre. And when the American people see what bullets from an assault rifle fired at close range do to a little child’s body, that’s the day the jig will be up for the NRA. It will be the day the debate on gun control will come to an end. There will be nothing left to argue over. It will just be over. And every sane American will demand action.

This is a horrible suggestion, obviously. I do, however, have some pictures for Michael Moore:

Sgt. Castellano

Jeanne Assam

The first picture is of Sgt. Lisa Castellano. Two days after the Newtown tragedy, Sgt. Castellano was off-duty and working security at a movie theater. A gunman walked in and began firing. She stopped the gunman after he had shot one man.

The second picture is of Jeanne Assam. In 2007, Assam stopped what could easily have been the largest mass shooting in U.S. history at the New Life Church in Colorado Springs. A severely deranged man, who had already killed two people at a youth mission in northern Denver the night before, entered the church with the same armament as Newtown killer Adam Lanza and began shooting. At the time, approximately 7,000 people were in the church. Assam stopped him after he had killed two and wounded three.

These are the people we should be remembering, not the Adam Lanzas of the world, whose name we should all try hard to forget. But, as the saying goes, reporters don’t cover buildings that don’t burn down. After these incidents there were no Piers Morgan specials, “national conversations,” or Michael Moore blogposts. And these incidents are just two of the many times mass shooters have been stopped by responsible gun carriers, in addition to the many times responsible gun users stop more typical criminal activity. (Check out Cato’s study on defensive gun use, Tough Targets, as well as our ongoing interactive map of defensive gun use.)

In his post, Michael Moore reminds us that “2,600 Americans have been killed by guns since Newtown.” I’d like to remind him that, using the lowest estimates of the number of defensive gun uses per year, guns have averted between 27,000 and 207,500 crimes in the three months since Newtown.

I have put up lots of cartoons and posters from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control.

Remember the Fort Hood shootings, when the crazed Islamist killed a bunch of people? How many of us know that Major Hasan had the ability to kill so many people because of a Clinton-era policy limiting gun possession on military bases? In other words, the government created a safe zone for the killer.

This is why “gun-free” zones are stupid at best and more likely to create dangerous environments. If you’re a vile, evil, or crazy person, that’s where you’ll go because nobody can shoot back.

This great Chuck Asay cartoon makes this point, celebrating a recent Colorado Court decision (you can see more of his cartoons herehere, here, here, and here).

The cartoon is superb, but I also recommend this post reviewing a Cato study on the use of guns in self defense. And these posts about Chicago and New York City will probably get you upset.

And here’s some great analysis of gun control by Stephen Hunter, and my NRA-TV interview on the importance of gun ownership if America suffers a European-style societal breakdown.

Related posts:

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Great gun control posters from Dan Mitchell’s blog

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Funny gun control posters!!!

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There is no safety crisis in schools as far as mass shootings go!!!

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The Atlantic’s Jeffrey Goldberg abandons his liberal friends on gun control.

Pretty shocking admissions from the liberal Jeffrey Goldberg on gun control. An Honest Liberal Writes about Gun Control December 16, 2012 by Dan Mitchell I wrote earlier this month about an honest liberal who acknowledged the problems created by government dependency. Well, it happened again. First, some background. Like every other decent person, I was horrified […]

Gun control does not make since unless you suspend your reasoning ability

Despite what Max Brantley of the Arkansas Times Blog (1-9-13) would have you believe gun control does not make since unless you suspend your reasoning ability. There are so many examples that show how silly gun control is. Mocking Gun Control Fanatics October 18, 2012 by Dan Mitchell Last month, I shared some very amusing images […]

Gun control arguments very logical?

It seems to me that most of the gun control arguments I have heard are not very logical. Deciphering How Statists Think about Gun Control September 9, 2012 by Dan Mitchell Even though I don’t own that many guns, I’m an unyielding supporter of the 2nd Amendment. Indeed, I use gun control as a quick and […]

Charlie Collins versus Max Brantley on Gun Control

John Stossel report “Myth: Gun Control Reduces Crime After this horrible shooting in the school the other day it seems the gun control debate has fired up again.  Max Brantley of the Arkansas Times jumped on Charlie Collins concerning his position on concealed weapons but I think that would lower gun crimes and not raise […]

Dan Mitchell: Cartoonists React to the Senate Democratic Budget

I read that President Obama in his meetings with the Republicans would not even say that a balanced budget was a goal. According to the budget presented by the Democratic Senate he is in agreement with their approach. Cartoonists have taken the opportunity to poke fun at that below.

I  have put up lots of cartoons from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the sequester, economy, eternal unemployment benefits, socialism,  minimum wage laws, tax increasessocial security, high taxes in California, Obamacare,  Greece,  welfare state or on gun control. Here is another one.

I didn’t take Patty Murray’s budget very seriously. Indeed, I would have completely ignored the plan by Senate Democrats if it wasn’t for the fact that I felt compelled to debunk her mythology about the 1990s.

America’s political cartoonists are similarly underwhelmed.

Here’s Lisa Benson’s analysis.

Murray Budget 1

A great cartoon because it recognizes that the problem is bloated government, not red ink.

Steve Breen also is not impressed.

Murray Budget 2

As you can imagine, this might be my favorite of the group because I’m a sucker for cartoons portraying government as an obese slob (see here, here, here, and here).

Last but not least, thisJerry Holbert cartoon also is worth sharing.

Murray Budget 3

Again, this cartoon correctly focuses on the main problems of punitive taxation and excessive spending, not the lesser symptom of too much borrowing.

It will be very interesting to see what we get (from both a substance perspective and humor perspective) when the White House finally decides to issue its budget.

That budget was legally required back on the first Monday in February. Based on what we saw last year and the year before that, I’m not holding my breath expecting anything more than another tax-and-spend blueprint.

And as this Michael Ramirez cartoon illustrates, we know where that will lead. Or take a look at this Glenn Foden cartoon. Different theme, but same restult.

Related posts:

Cartoons from Dan Mitchell’s blog that demonstrate what Obama is doing to our economy Part 2

Max Brantley is wrong about Tom Cotton’s accusation concerning the rise of welfare spending under President Obama. Actually welfare spending has been increasing for the last 12 years and Obama did nothing during his first four years to slow down the rate of increase of welfare spending. Rachel Sheffield of the Heritage Foundation has noted: […]

Cartoons from Dan Mitchell’s blog that demonstrate what Obama is doing to our economy Part 1

  I have put up lots of cartoons from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control. I think Max Brantley of the Arkansas Times Blog was right to point out on 2-6-13 that Hillary […]

Great cartoon from Dan Mitchell’s blog on government moochers

I thought it was great when the Republican Congress and Bill Clinton put in welfare reform but now that has been done away with and no one has to work anymore it seems. In fact, over 40% of the USA is now on the government dole. What is going to happen when that figure gets over […]

Gun Control cartoon hits the internet

Again we have another shooting and the gun control bloggers are out again calling for more laws. I have written about this subject below  and on May 23, 2012, I even got a letter back from President Obama on the subject. Now some very interesting statistics below and a cartoon follows. (Since this just hit the […]

“You-Didn’t-Build-That” comment pictured in cartoons!!!

watch?v=llQUrko0Gqw] The federal government spends about 10% on roads and public goods but with the other money in the budget a lot of harm is done including excessive regulations on business. That makes Obama’s comment the other day look very silly. A Funny Look at Obama’s You-Didn’t-Build-That Comment July 28, 2012 by Dan Mitchell I made […]

Cartoons about Obama’s class warfare

I have written a lot about this in the past and sometimes you just have to sit back and laugh. Laughing at Obama’s Bumbling Class Warfare Agenda July 13, 2012 by Dan Mitchell We know that President Obama’s class-warfare agenda is bad economic policy. We know high tax rates undermine competitiveness. And we know tax increases […]

Cartoons on Obama’s budget math

Dan Mitchell Discussing Dishonest Budget Numbers with John Stossel Uploaded by danmitchellcato on Feb 11, 2012 No description available. ______________ Dan Mitchell of the Cato Institute has shown before how excessive spending at the federal level has increased in recent years. A Humorous Look at Obama’s Screwy Budget Math May 31, 2012 by Dan Mitchell I’ve […]

Funny cartoon from Dan Mitchell’s blog on Greece

Sometimes it is so crazy that you just have to laugh a little. The European Mess, Captured by a Cartoon June 22, 2012 by Dan Mitchell The self-inflicted economic crisis in Europe has generated some good humor, as you can see from these cartoons by Michael Ramirez and Chuck Asay. But for pure laughter, I don’t […]

Obama on creating jobs!!!!(Funny Cartoon)

Another great cartoon on President Obama’s efforts to create jobs!!! A Simple Lesson about Job Creation for Barack Obama December 7, 2011 by Dan Mitchell Even though leftist economists such as Paul Krugman and Larry Summers have admitted that unemployment insurance benefits are a recipe for more joblessness, the White House is arguing that Congress should […]

Get people off of government support and get them in the private market place!!!!(great cartoon too)

Dan Mitchell hits the nail on the head and sometimes it gets so sad that you just have to laugh at it like Conan does. In order to correct this mess we got to get people off of government support and get them in the private market place!!!! Chuck Asay’s New Cartoon Nicely Captures Mentality […]

2 cartoons illustrate the fate of socialism from the Cato Institute

Cato Institute scholar Dan Mitchell is right about Greece and the fate of socialism: Two Pictures that Perfectly Capture the Rise and Fall of the Welfare State July 15, 2011 by Dan Mitchell In my speeches, especially when talking about the fiscal crisis in Europe (or the future fiscal crisis in America), I often warn that […]

Cartoon demonstrates that guns deter criminals

John Stossel report “Myth: Gun Control Reduces Crime Sheriff Tommy Robinson tried what he called “Robinson roulette” from 1980 to 1984 in Central Arkansas where he would put some of his men in some stores in the back room with guns and the number of robberies in stores sank. I got this from Dan Mitchell’s […]

Gun control posters from Dan Mitchell’s blog Part 2

I have put up lots of cartons and posters from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control. Amusing Gun Control Picture – Circa 1999 April 3, 2010 by Dan Mitchell Dug this gem out […]

We got to cut spending and stop raising the debt ceiling!!!

  We got to cut spending and stop raising the debt ceiling!!! When Governments Cut Spending Uploaded on Sep 28, 2011 Do governments ever cut spending? According to Dr. Stephen Davies, there are historical examples of government spending cuts in Canada, New Zealand, Sweden, and America. In these cases, despite popular belief, the government spending […]

Gun control posters from Dan Mitchell’s blog Part 1

I have put up lots of cartons and posters from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control. On 2-6-13 the Arkansas Times Blogger “Sound Policy” suggested,  “All churches that wish to allow concealed […]

Taking on Ark Times bloggers on the issue of “gun control” (Part 3) “Did Hitler advocate gun control?”

Gun Free Zones???? Stalin and gun control On 1-31-13 ”Arkie” on the Arkansas Times Blog the following: “Remember that the biggest gun control advocate was Hitler and every other tyrant that every lived.” Except that under Hitler, Germany liberalized its gun control laws. __________ After reading the link  from Wikipedia that Arkie provided then I responded: […]

Taking on Ark Times bloggers on the issue of “gun control” (Part 2) “Did Hitler advocate gun control?”

On 1-31-13 I posted on the Arkansas Times Blog the following: I like the poster of the lady holding the rifle and next to her are these words: I am compensating for being smaller and weaker than more violent criminals. __________ Then I gave a link to this poster below: On 1-31-13 also I posted […]

Dan Mitchell: Question of the Week: “Dan, Why Do You Hate Republicans?”

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________

I am a conservative who believes in limited government and I am very upset that George W. Bush spent so much.

I get several emails per week asking my view on various topics and many of the questions raise very interesting issues.

So I’ve decided to start a new feature. Every weekend, I will endeavor to answer one question.

My first chore is to explain why I hate Republicans, and as you can see here and here, there’s certainly ample reason to think I hold GOPers in low esteem.  The actual question, though, is:

You seem to be more critical of Republicans than Democrats and you went out of your way to attack Romney. Doesn’t that play into the hands of Obama?

The answer is yes and no. I don’t mean to sound like a politician, but I view my job as providing nonpartisan analysis on public policy issues. That means I criticize the statist schemes of the folks in Washington, regardless of whether the politicians have a “D” or an “R” at the end of their names.

To be fair, I’m probably a bit harder on Republicans, but only because they’re the ones who often pretend that they are on my side.

And sometimes they are on my side. My two favorite presidents are Reagan and Coolidge, and I have great admiration for those few politicians – such as Ron Paul – who almost always do the right thing.

But I also have discovered that bad Republicans usually do more damage than Democrats. Nixon was one of the most statist presidents of my lifetime, and Bush 41 and Bush 43 were almost as bad.

And even the politicians I’m willing to praise, including Ron Paul, sometimes do the wrong thing. And as much as I praise Reagan, he had some huge mistakes, such as the catastrophic health insurance program.

My simple rule of thumb is I will support a politicians who, in my estimation, will be a net plus for liberty. So notwithstanding my reputation for being a libertarian ideologue, I have a very practical approach to politics.

That’s the good news. The bad news is that it’s rather disappointing that so few Republicans satisfy that simple test.

But now let’s return to the question. Doesn’t that view play into the hands of Obama? As I said, yes and no

“Hey, you libertarians should vote for me”

I want to maximize liberty (or minimize statism) in the long run. So if I have a choice between a big-government Republican and big-government Democrat, I sometimes think we’re better off if the Democrat prevails.

Jimmy Carter, for instance, probably wasn’t that much worse than Gerald Ford. And he paved the way for Reagan.

And Bill Clinton, in retrospect, was a much better choice than Bush 41. And he paved the way for the GOP landslide in 1994.

So the question before us today is whether Barack Obama is paving the way for a good Republican…or whether he’s a Lyndon Johnson paving the way for a Richard Nixon.

Who is to blame for rising college costs?

College costs are soaring higher than inflation ever since 1981 and the government has a lot to do with that.

Who Should Be Blamed for the Rising Cost of College?

December 11, 2012 by Dan Mitchell

Notwithstanding the title of this post, perhaps nobody deserves blame.

Sometimes, a good or service rises in price solely as a result of changes in supply and demand. And if the price of something climbs because of market forces, then it’s merely a reflection of unfettered exchanges between buyers and sellers.

But politicians and bureaucrats often distort market forces with subsidies. And even though consumers ostensibly benefit when government helps to pay for something, intervention can have very costly consequences.

I’ve already shared an amazing chart and a very powerful video to help explain how government subsidies in health care have created a third-party payer problem that has resulted in rapidly rising prices and considerable inefficiency in that sector.

Well, the good intentions of government also are causing problems for higher education.

Here’s a superb video from Learn Liberty, explaining why college expenses are skyrocketing.

Why Is Higher Education So Expensive?

The first part of the video shows that a college degree has become more valuable, so it’s understandable that the relative price of higher education has risen.

But then, beginning at about 1:55, the video discusses the role of subsidies. Echoing points I’ve made in the past, the professor explains how subsidies have simply generated higher prices. In other words, colleges have captured all the benefits, not students.

Business Week recently published a story that provides some glaring example of how universities have wasted all the additional money. Here are some remarkable excerpts.

“I have no idea what these people do,” says the biomedical engineering professor. Purdue has a $313,000-a-year acting provost and six vice and associate vice provosts, including a $198,000-a-year chief diversity officer. Among its 16 deans and 11 vice presidents are a $253,000 marketing officer and a $433,000 business school chief. The average full professor at the public university in West Lafayette, Ind., makes $125,000. The number of Purdue administrators has jumped 54 percent in the past decade—almost eight times the growth rate of tenured and tenure-track faculty. “We’re here to deliver a high-quality education at as low a price as possible,” says Robinson. “Why is it that we can’t find any money for more faculty, but there seems to be an almost unlimited budget for administrators?” …Purdue is typical: At universities nationwide, employment of administrators jumped 60 percent from 1993 to 2009, 10 times the growth rate for tenured faculty. “Administrative bloat is clearly contributing to the overall cost of higher education,” says Jay Greene, an education professor at the University of Arkansas. In a 2010 study, Greene found that from 1993 to 2007, spending on administration rose almost twice as fast as funding for research and teaching at 198 leading U.S. universities. …Trustees at the University of Connecticut are reviewing administrative salaries at the school’s main campus in Storrs, following a controversy over the compensation of the school’s former police chief, who received $256,000 annually—more than New York City’s police commissioner. …Mitch Daniels, a fiscal hawk who will become [Purdue’s] president when his term expires in January…says he wants to take a look at administrative costs that he suspects are “marbled” throughout the university—beginning with his office. In anticipation of his arrival in January, and without his knowledge, the school renovated the president’s 4,000-square-foot suite. The cost was $355,000, enough to send 15 Indiana residents to Purdue for a year.

Wow. Reminds me of this post about politically correct featherbedding at the University of California at San Diego. I can see why college administrators like this system. But it’s definitely bad news for students who get stuck on a treadmill of higher tuition and more debt.

P.S. At 2:18, the video has a discussion of how subsidies lead to higher costs, which then leads to more demands for additional subsidies. Hmmm…bad government policy leads to more bad government policy. Seems like there’s a term for that phenomenon.

P.P.S. I highly recommend the Learn Liberty videos. Here’s one on protectionism, one on the legality of Obamacare, and here’s another about how excessive federal spending is America’s real fiscal problem.

Cartoons from Dan Mitchell’s blog that demonstrate what Obama is doing to our economy Part 3.3 (Unemployment laws)

I have put up lots of cartoons from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control.

I recently wrote about the pinheads at the Equal Employment Opportunity Commission, who are threatening legal action against companies that are leery about hiring people with criminal records.

Now some states and cities are making it illegal to discriminate against those that have been unemployed for a long period of time.

Unlike special legal status for ex-cons, this sounds reasonable. After all, we all would like to help the long-term unemployed break free of the chains of government dependency.

But sometimes good intentions generate undesirable effects. I explain in this Fox Business News debate that companies will do their best to avoid even interviewing the long-term unemployed if they have to worry about potential legal pitfalls whenever they make a hiring decision.

 I also explain that businesses have no incentive to engage in unjustified discrimination. After all, that would imply a willingness to deliberately sacrifice profit in pursuit of some irrational bias.

But as Walter Williams has succinctly argued, some forms of discrimination make sense.

And if there are two applicants who otherwise seem to have equal qualifications for a certain job, but one has been out of work for more than 12 months, it’s only logical that the employer will think that a lengthy stint of sitting on a couch does not suggest great habits.

Which is why Obama’s policy of never-ending unemployment benefits is so misguided. People get lured into long-term unemployment and there is both anecdotal evidence (check out these stories from Michigan and Ohio) and empirical evidence (here, here, and here) showing this unfortunate impact.

Heck, even Paul Krugman and Larry Summers have admitted that you get more unemployment when you subsidize joblessness.

Ramirez Unemployment CartoonSo you won’t be surprised to know that I’ve dispensed some tough love on this topic as well.

P.S. This cartoon does a very effective job of showing the consequences of paying people not to work.

Related posts:

Cartoons from Dan Mitchell’s blog that demonstrate what Obama is doing to our economy Part 2

Max Brantley is wrong about Tom Cotton’s accusation concerning the rise of welfare spending under President Obama. Actually welfare spending has been increasing for the last 12 years and Obama did nothing during his first four years to slow down the rate of increase of welfare spending. Rachel Sheffield of the Heritage Foundation has noted: […]

Cartoons from Dan Mitchell’s blog that demonstrate what Obama is doing to our economy Part 1

  I have put up lots of cartoons from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control. I think Max Brantley of the Arkansas Times Blog was right to point out on 2-6-13 that Hillary […]

Great cartoon from Dan Mitchell’s blog on government moochers

I thought it was great when the Republican Congress and Bill Clinton put in welfare reform but now that has been done away with and no one has to work anymore it seems. In fact, over 40% of the USA is now on the government dole. What is going to happen when that figure gets over […]

Gun Control cartoon hits the internet

Again we have another shooting and the gun control bloggers are out again calling for more laws. I have written about this subject below  and on May 23, 2012, I even got a letter back from President Obama on the subject. Now some very interesting statistics below and a cartoon follows. (Since this just hit the […]

“You-Didn’t-Build-That” comment pictured in cartoons!!!

watch?v=llQUrko0Gqw] The federal government spends about 10% on roads and public goods but with the other money in the budget a lot of harm is done including excessive regulations on business. That makes Obama’s comment the other day look very silly. A Funny Look at Obama’s You-Didn’t-Build-That Comment July 28, 2012 by Dan Mitchell I made […]

Cartoons about Obama’s class warfare

I have written a lot about this in the past and sometimes you just have to sit back and laugh. Laughing at Obama’s Bumbling Class Warfare Agenda July 13, 2012 by Dan Mitchell We know that President Obama’s class-warfare agenda is bad economic policy. We know high tax rates undermine competitiveness. And we know tax increases […]

Cartoons on Obama’s budget math

Dan Mitchell Discussing Dishonest Budget Numbers with John Stossel Uploaded by danmitchellcato on Feb 11, 2012 No description available. ______________ Dan Mitchell of the Cato Institute has shown before how excessive spending at the federal level has increased in recent years. A Humorous Look at Obama’s Screwy Budget Math May 31, 2012 by Dan Mitchell I’ve […]

Funny cartoon from Dan Mitchell’s blog on Greece

Sometimes it is so crazy that you just have to laugh a little. The European Mess, Captured by a Cartoon June 22, 2012 by Dan Mitchell The self-inflicted economic crisis in Europe has generated some good humor, as you can see from these cartoons by Michael Ramirez and Chuck Asay. But for pure laughter, I don’t […]

Obama on creating jobs!!!!(Funny Cartoon)

Another great cartoon on President Obama’s efforts to create jobs!!! A Simple Lesson about Job Creation for Barack Obama December 7, 2011 by Dan Mitchell Even though leftist economists such as Paul Krugman and Larry Summers have admitted that unemployment insurance benefits are a recipe for more joblessness, the White House is arguing that Congress should […]

Get people off of government support and get them in the private market place!!!!(great cartoon too)

Dan Mitchell hits the nail on the head and sometimes it gets so sad that you just have to laugh at it like Conan does. In order to correct this mess we got to get people off of government support and get them in the private market place!!!! Chuck Asay’s New Cartoon Nicely Captures Mentality […]

2 cartoons illustrate the fate of socialism from the Cato Institute

Cato Institute scholar Dan Mitchell is right about Greece and the fate of socialism: Two Pictures that Perfectly Capture the Rise and Fall of the Welfare State July 15, 2011 by Dan Mitchell In my speeches, especially when talking about the fiscal crisis in Europe (or the future fiscal crisis in America), I often warn that […]

Cartoon demonstrates that guns deter criminals

John Stossel report “Myth: Gun Control Reduces Crime Sheriff Tommy Robinson tried what he called “Robinson roulette” from 1980 to 1984 in Central Arkansas where he would put some of his men in some stores in the back room with guns and the number of robberies in stores sank. I got this from Dan Mitchell’s […]

Gun control posters from Dan Mitchell’s blog Part 2

I have put up lots of cartons and posters from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control. Amusing Gun Control Picture – Circa 1999 April 3, 2010 by Dan Mitchell Dug this gem out […]

We got to cut spending and stop raising the debt ceiling!!!

  We got to cut spending and stop raising the debt ceiling!!! When Governments Cut Spending Uploaded on Sep 28, 2011 Do governments ever cut spending? According to Dr. Stephen Davies, there are historical examples of government spending cuts in Canada, New Zealand, Sweden, and America. In these cases, despite popular belief, the government spending […]

Gun control posters from Dan Mitchell’s blog Part 1

I have put up lots of cartons and posters from Dan Mitchell’s blog before and they have got lots of hits before. Many of them have dealt with the economy, eternal unemployment benefits, socialism,  Greece,  welfare state or on gun control. On 2-6-13 the Arkansas Times Blogger “Sound Policy” suggested,  “All churches that wish to allow concealed […]

Taking on Ark Times bloggers on the issue of “gun control” (Part 3) “Did Hitler advocate gun control?”

Gun Free Zones???? Stalin and gun control On 1-31-13 ”Arkie” on the Arkansas Times Blog the following: “Remember that the biggest gun control advocate was Hitler and every other tyrant that every lived.” Except that under Hitler, Germany liberalized its gun control laws. __________ After reading the link  from Wikipedia that Arkie provided then I responded: […]

Taking on Ark Times bloggers on the issue of “gun control” (Part 2) “Did Hitler advocate gun control?”

On 1-31-13 I posted on the Arkansas Times Blog the following: I like the poster of the lady holding the rifle and next to her are these words: I am compensating for being smaller and weaker than more violent criminals. __________ Then I gave a link to this poster below: On 1-31-13 also I posted […]