American Elephants


Historical Minimum Wage Math from Economist Mark Perry by The Elephant's Child
September 20, 2016, 12:26 pm
Filed under: Bureaucracy, Capitalism, Domestic Policy, Economy, Unemployment

“Historically, firms finance increases in the minimum wage
by laying off minimum wage workers.”

Mark Perry
4/11/2016

blackteen



About International Trade: by The Elephant's Child

 

slide_services

From economist Mark Perry st AEI: The quotation of the day on international trade comes from President Ronald Reagan’s radio address to the nation on international trade on August 6, 1983:

The winds and waters of commerce carry opportunities that help nations grow and bring citizens of the world closer together. Put simply, increased trade spells more jobs, higher earnings, better products, less inflation, and cooperation over confrontation. The freer the flow of world trade, the stronger the tides for economic progress and peace among nations.

I’ve seen in my lifetime what happens when leaders forget these timeless principles. They seek to protect industries and jobs, but they end up doing the opposite. One economic lesson of the 1930s is protectionism increases international tensions. We bought less from our trading partners, but then they bought less from us. Economic growth dried up. World trade contracted by over 60 percent, and we had the Great Depression.



Sources For Everything You Need to Know on Constitution Day by The Elephant's Child

us-constitution
Where can you get a copy of the United States Constitution? The Cato Institute has dandy pocket Constitutions — 3½” x  5″ for $4.95 each, or 10 copies for $10 — including the Bill of Rights and all the amendments. Make sure each of your kids or grandkids have their own copy, and that they read it.

Birthdays or Christmas, get them a copy of An Empire of Wealth: The Epic History of American Economic Power by John Steele Gordon. It explains why things happened the way they did, and why a free people, whose freedoms are guaranteed by the world’s greatest constitution, are the envy of the world.

Here’s a list of the 20 questions kids ask most on Constitution Day.

Here’s a list of the delegates to the Constitutional Convention who signed the Constitution into law, and a brief biography of each one, and of the three Delegates who refused to sign.

Here’s a brief 10 question quiz to test your basic knowledge of the Constitution, and if you don’t excel, refer back to where you get a copy.

Don’t forget that the Constitution was preceded by the Articles of Confederation and Perpetual Union. The Library of Congress has an excellent overview of the Articles, and  you can read the Articles of Confederation at Yale’s Avalon project to see why we needed a do-over. And here are copies of The Federalist Papers, in many different editions.

Progressives don’t really like the Constitution, as their aim is a socialist paradise of some kind with themselves in charge. Free people and Free Markets just don’t fit into their vision, and apparently they don’t read enough or keep up with the news enough to grasp the long dismal histories of socialist countries — evidenced by Obama’s efforts to make nice with Cuba, or the current situation in Venezuela where the people are starving. Or North Korea, Russia, China, Vietnam, etc., etc. They always believe that those other people just didn’t do it right. That, in itself is a very basic reason to bone up on the Constitution, if you value being a free person in a free country.

constitution-signing



Happy Constitution Day! by The Elephant's Child

indhall
Today is Constitution Day, September 17, celebrating the ratification of the United States Constitution on September 17, 1787.  If you are unfamiliar with the day of celebration, you may be forgiven, for it was only established in 2004, and to further confuse matters, if it occurs on a weekend it is celebrated in schools and government offices on the closest weekday, so they supposedly celebrated yesterday. Check with your child if you have one in school.

The law establishing the American federal observance was created with an amendment by Senator Robert Byrd to the Omnibus spending bill of 2004, and mandates that all publicly funded educational institutions, and all federal agencies provide educational programming on the history of the American Constitution on September 17, 1787. It is also Citizenship Day, commemorating the coming of age or by naturalization, of those who have become citizens. (What? You’re not a citizen until you turn 18?)

Iowa schools started celebrating in 1911, and there’s a long history of attempts to make it a national celebration, which aren’t really important anyway. What is important is that a recent survey determined that most college students had no idea who James Madison was, or why he was important. And were astonished to learn that slavery was not practiced only in the United States. No idea of Muslim raids on the British Isles to capture British slaves, or of Muslim slave traders caravans up from ‘darkest Africa’, nor of  American Indian slaves. Schools across the country have become very lax in the teaching of American History. And our college students have no idea why the Constitution is a big deal. Oddly enough, the institution that makes the most of American history and the study of the Constitution is Hillsdale College, which receives no federal funding at all. Here is Dr. Larry  P. Arn, President of Hillsdale College explaining why they study the Constitution.



The Campaign Is Not Addressing the Real Issues! by The Elephant's Child


This has not been the presidential campaign I would have chosen. These are not the candidates I would have chosen, but here we are. I heard on the radio today, a black woman who is deeply troubled by Donald Trump’s lack of respect for women — which seems to mean his lack of deference to Hillary because she is a woman — one who just accused his voters of being a “basket of deplorables,” bigoted, racist, intolerant. I guess Hillary will blame that misstep on her pneumonia.

Sorry, Hillary, believing in immigration laws and insisting on preventing the flow of illegal aliens is not bigotry, but common sense. It’s high time the President of the United States and his administration start to take terrorism seriously. The Jihadists do take it seriously, and want to destroy Israel and the United States, and are working seriously towards that goal, while we succumb to political correctness and being afraid to criticize Muslims. That is immediately controlled with cries of “Islamophobia.” The most important thing is never to offend?

Donald Trump is quite clearly not a racist, but that’s a charge the Left drags out in every election. Bill Clinton just snidely said “Make America Great Again” is racist. “If you’re a white Southerner, you know exactly what it means, don’t you,” he told voters in Orlando last Wednesday.“What it means is, ‘I’ll give you the economy you had 50 years ago, and I’ll move you back up on the social totem pole, and other people down.” What that means is that Democrats are fuming at Trump’s outreach to Blacks. They cannot defend their own appalling record at bettering black lives,

Democrats cannot run on the Obama-Clinton economy — a growth rate of 0.95% can’t really even be called a recovery. They can’t run on ObamaCare, which is about to collapse. (Hillary called it “one of the greatest accomplishments of President Obama, the Democratic party and of our country.”) Uh huh, prices are rising dramatically, as much as 50% in some areas, and health insurers are dumping the exchanges. The goal of ObamaCare as a way to switch to single-payer health care is absurd in the light of Britain’s NHS nearing collapse, and killing far too many of their patients. They surely cannot run on their defeat of terrorism and keeping America safe.

They’ve not got much left but the race card to run on. And that is not proving very successful as the black body count rises in Chicago, as the police step back. Heather MacDonald reported yesterday that in 2016, nearly 3,000 people have been shot in the city, an average of one victim every two hours. That’s not improving the lives of black Americans, nor is it something that can be blamed on guns.

“President Obama takes every opportunity to accuse police of racially profiling blacks and Hispanics. The media, activists and academics routinely denounce pedestrian stops and public-order enforcement—such as dispersing crowds of unruly teens—as racial oppression intended to ‘control African-American and poor communities,’ in the words of Columbia law professor Bernard Harcourt. Never mind that it is the law-abiding residents of High crime areas who beg the police to clear their corners of loiterers and trespassers.” MacDonald continues:

The media blame poverty, racism and a lack of government services for the growing mayhem. Police Superintendent Eddie Johnson blames lenient prison sentences for releasing Chicago’s gun criminals onto the streets too soon. The Illinois Legislature’s Black Caucus, however, blocks any effort to mandate stricter sentences for gun-toting felons—in a sub rosa acknowledgment that the vast majority (80%) of Chicago’s gun criminals are black.

But neither Mr. Johnson’s lax-sentencing explanation nor the media’s systemic-injustice explanation aligns with the timing of Chicago’s surge in violence. Sentencing protocols did not weaken in 2015 when crime started rising. Nor did poverty or alleged racism grow worse. What did change was the intensity of antipolice ideology, driven by the Black Lives Matter movement, relentlessly amplified by the press, and echoed by President Obama.

The solution to Chicago’s violence is for at-risk kids to be raised by mothers and fathers. Until that starts, the only hope lies in police regaining control of the streets.

Denouncing the phony “Black Lives Matter” campaign which is designed only to make Blacks believe that Republicans are racist so they will vote for Hillary, would be a help, Their claims of police brutality are clearly false, but the violence stirred up makes the police pull back from the enforcement needed by innocent Black families.



The Campaign, Such as it Is, Drags On, With Occasional Incidents by The Elephant's Child

197133_5_
It’s been a bad few weeks for Hillary. Her health has become a serious question. She is the oldest person the Democrat Party has ever nominated. Her collapse yesterday was blamed on a recently diagnosed case of pneumonia which may have been chosen to cover  her extraordinary coughing fits. Pneumonia is contagious. Unfortunately Hillary lies so much that one can no longer believe much of anything she or her retainers say.

Hillary so desperately wants to be president. She was furious when the people would not allow her to be co-president with Bill. But it has always seemed that she wants to be, not to do. She wants the power and prestige — the amenities, the deference, the luxury and opulence. That’s what the email scandal has been all about, is the extraordinary lengths to which she would go to use her office to enrich herself and her family.  What she  has suggested she wants to do on the campaign trail is simply a package of the same things Obama has done, only more so.

It takes an incredible lack of understanding of the American economy to even suggest free college education. The absurd cost of an education is in good part due to governmental interference. You respect the things you have to work for, and the harder you have to work, the more you care. It is going to take an extraordinary effort to put the country back together in the wake of Obama.

The world is a very dangerous place right now, and Obama’s strange progressive idea of fundamentally transforming the United States of America into something more modest, just another country, less militarily capable, always seemed mostly related to the anti-American ideas of liberal Europeans. That seemed not just weird, but wrong.

How much has Obama’s spending added to the national debt (which just cruised past $19 trillion)? There are so many ways of calculating that it’s hard to tell. This post gives three different ways of calculating. The leftist press excuses all and blames Bush. I’ll use Zero Hedge, who isn’t interested in blame, but economics, writing on February 1, 2016.

Hillary fell some months ago, had a severe concussion, with blood clots on the brain, and took months to recover. Some are suggesting that she has Parkinsons, a suggestion that has come from several people. Some are suggesting that the DNC needs to replace her. The lapdog media is leaping to her defense, though even the most defensive are suggesting that she needs to release her medical records. She doesn’t get to use sympathy for pneumonia as an excuse for calling Republicans racist, intolerant bigots. She is not a victim.

We don’t know quite what to do with candidates who seem unhealthy.We expect a lot from our presidents, and those who remember their history recall President Wilson’s stroke and his wife being president for him in his last term. We mostly like our presidents better at the beginning than in their final years. We expected more and they just turned out to be ordinary flawed human beings who make big mistakes.

The opposing party readily exposes every lapse of judgment. But surely we have a right to expect that a president comes to office knowledgeable in American history and about the current world situation. Familiar with economics and loving our country and its people, and with some kind of idea about who are the outstanding people in their field and who they want to help them with the task ahead. We’ll see.



Hillary Clinton Puts Her Stunning Ignorance of Economic Reality On Display by The Elephant's Child

wwwmoney
From Labor day on, we are in the purely political world. “In her acceptance speech at the Democratic National Convention, presidential nominee Hillary Clinton insisted that the economic performance of the preceding eight years was ‘much stronger’ than it was during the Bush years. More than fifteen million private sector jobs were created  under President Obama, she said, many more people are now on health insurance, and the automobile industry is booming.” That, said Richard Epstein, seems to be her argument that progressive policies led to economic growth.

The day after her big speech, the Commerce Department reported that the slowest economic recovery since 1949 was getting slower still. The Gross Domestic Product growth  was down to 1.2 percent. Well, nothing to do with the success of Progressivism. It’s the decline of the middle class, or rising levels of inequality that are the problem. The FED just said that we have full employment, though I just mentioned yesterday that Obama had put 83,000 coal miners out of work. It’s no wonder people get confused. Who can you believe?

The U.S. Department of Labor unemployment rate (U-3) defines the unemployment rate as those who are jobless but actively looking for work. But there are five other measures of labor underutilization. U-6 refers to not only the unemployed, but also the marginally attached who are neither working or looking, but want to and are available and have looked in the past year, and the people who have a part-time job but want to work full time. That rate at it’s peak was 17.1 percent but is now down to 9.7 percent. That’s still a lot of discouraged people.

The thing is that Progressives don’t really do economics. They are opposed to the free market, they believe that business and industry need to be heavily regulated, and that government should be big enough to manage the whole economy. They find the idea that government doesn’t need to manage the economy, but to leave it alone — completely absurd. The idea of small government, or disposing of some agencies altogether gives them a case of the willies.

Some things are not important to a Progressive. Obama has cut funding for the military by $265 billion over 5 years. They are opposed to war, so prefer not to fund it — which can be awkward when your enemies start to see you as very weak, human nature being what it is. But then Progressives don’t really believe in human nature either. Economist Mark Perry at AEI gives us the Venn Diagram of the day:

vennapplewalmartnew

You see the problem. The official national debt is at $19 trillion and climbing, but the real debt is much higher. Need proof? Nancy Pelosi, declared that “the best way to stimulate the economy” is through food stamps and unemployment insurance. The more people who get free food, the more prosperous we become?

Hillary wants to spend $1 trillion more on government works programs, free day care and free college education and expanded entitlements. She will pay for all this by raising taxes on everybody, but especially the undeserving rich, the top 1% who already pay 38% of all federal taxes paid.

Hillary attacked Donald Trump saying “While he may have some catchy sound bites, his statements on the economy are dangerously incoherent. They are deeply misguided, and they reflect an individual who is temperamentally unfit to manage the American economy.” Well, yes. Cutting taxes and turning loose the economy is, to a progressive — dangerously incoherent.

Obama has added over $7 trillion to the national debt all by himself, and if you remember back when he started off so confidently to create lots of jobs with repairing our crumbling infrastructure — exactly the same thing Hillary is promising. Except Obama had to sheepishly admit that “there don’t seem to be any shovel-ready jobs.”




%d bloggers like this: