Archives: 03/2008

Who’s Coddling These “Greedy Bastards”?

A letter to the editor of the Las Vegas Review-Journal just came to my attention.  It reads:

In his Sunday commentary, “On the road to health care hell,” Steven Miller quoted Michael F. Cannon of the Cato Institute, hardly a person who could be trusted to give an even evaluation of government spending on health care, considering that the Cato Institute wants to limit government.

It is wonderful of Mr. Miller and Mr. Cannon to place all responsibility for Southern Nevada’s public health crisis on the government and none on the greedy bastards who violated their oath to do no harm, and to line their pockets with as much wealth as they could squeeze out of the public. Those who treated Mr. Duke Breuer and sent him home with an IV needle in his arm all had licenses from the state of Nevada, so I guess that Mr. Miller and Mr. Cannon would, by their twisted logic, place the blame solely on the state of Nevada.

However, I hold the state of Nevada responsible for not providing the level of regulation that is currently required, and in view of the level of greed that these doctors have shown, it is high time to level the playing field. We should strip them of every nickel that they have.

Wallace Eastman

LAS VEGAS

Whuh? There’s a public health crisis in Southern Nevada? I’m an apologist for greedy bastards? They sent some guy home with the needle still in his arm?? Yikes!

I went back and read the original Las Vegas Review-Journal op-ed by Steven Miller, vice president for policy at the Nevada Policy Research Institute. Actually, Miller provides a more responsible critique of the U.S. health care sector than most free-market advocates. For example, Miller takes seriously the alarming number of medical errors that Eastman decries. 

Eastman may be surprised by how much he and Miller have in common. Nevada’s physician-licensure laws obviously are not doing enough to protect patients from low-quality care. While Eastman argues that more stringent regulation would fix things, I suspect Miller would argue that licensing simply does not work that way; that physicians inevitably come to control the licensure process and manipulate it to protect themselves from competition, including competition from delivery systems that would reduce medical errors.

My guess is that Eastman and Miller agree that there are greedy bastards out there trying to squeeze as much wealth as they can out of the public, but that Miller would argue it’s the very regulations Eastman supports that’s letting the greedy bastards get away with it.

(As for my trustworthiness: Sure, I want to limit government. When I claim government is ineffective, readers should bear in mind my viewpoint. That’s fair, and doesn’t worry me.)

Switzerland Re-Affirms Bank Secrecy

Tax-loving politicians in Europe and tax-harmonizing bureaucrats at the European Commission in Brussels and the Organization for Economic Cooperation and Development in Paris are not smiling today. They have already received bad news from Austria and Luxembourg, and now Switzerland has announced that it has no intention of weakening its human rights laws regarding privacy simply because money is escaping high-tax nations. Here’s the report:

The Swiss finance minister has warned that anyone challenging the Swiss banking secrecy laws will break their teeth on them. Hans Rudolf Merz used an emergency debate in Switzerland’s Parliament on Wednesday to defend the country’s competitive position as a business location….

Merz claimed that Switzerland’s competitive position as an international business base of choice was at risk and called it vital that the position was not only held but if possible improved…. “The sovereignty of each state, however, — in particular with reference to its tax legislation — has to be respected,” Merz said. He mounted a strong defence of Switzerland’s right to provide a well-regulated financial system with “an internationally competitive tax burden….”

Merz added that Switzerland’s political and economic stability, modern financial infrastructure and highly qualified workforce also contributed to its attractiveness, but that the banking secrecy was not just crucial to the country’s international financial position but central to the country’s value system.

NFIB Individual Mandate Debate

Earlier this week, I participated in a lively debate on individual mandates — i.e., a legal requirement that every American purchase health insurance.  Also on the panel were Prof. Sherry Glied of Columbia University, Bob Moffit of the Heritage Foundation, and Peter Harbage of the New America Foundation. 

The debate can be viewed online at KaiserNetwork.org.

As the debate was sponsored by the National Federation of Independent Business, which has yet to take a position on an individual mandate, it should be of particular interest to small business owners and employees. 

Congressional Quarterly quoted me as saying, “Universal coverage is a bomb that will blow up for small businesses.”  (I meant to say that a policy of universal coverage, and thus an individual mandate, would blow up in their faces.  We’ll have to see what the tape says.)  Also: “Tax reform and deregulation are how to relieve the burden of health benefits for small business, and they have the added benefit of being the right thing to do.”

Stewart Baker: Light on Security and History

One would be right to worry about Stewart Baker, Department of Homeland Security assistant secretary for policy. He’s as smart and cagey as they come, but for all his years at DHS, his security thinking seems not yet to have matured. At the same time, his recollection of the REAL ID Act is showing signs of somewhat advanced age. Let’s walk through some things with our friend Stewart:

Writing on the DHS blog in support of our national ID law, the REAL ID Act, he intones about the importance of driver’s licenses to national security. “Unfortunately,” he says, “we learned this the hard way. Twice.”:

First, in 1995, when Timothy McVeigh was able to create a fake South Dakota license with ease; all it took was a manual typewriter and a kitchen iron. He used the license to rent a Ryder truck in Oklahoma and destroy the Murrah Federal Building. Then, on September 11, 2001, eighteen of the nineteen hijackers carried government-issued IDs – mostly state driver’s licenses, many obtained fraudulently.

What, actually, did we learn from these stories?

I researched McVeigh’s attack on the Murrah building for my book Identity Crisis, concluding that he and Terry Nichols used false names inconsistently and with little purpose or effect. McVeigh used his true name to register at a motel for the nights directly preceding the bombing. This certainly clouds the theory that insufficient identification security had a relationship to the success of the bombing.

No, McVeigh and Nichols used surprise, not anonymity, to carry out their attack. They were playing cat and mouse with a cat that wasn’t looking for them. Once they struck, they were easily found.

The 9/11 story similarly fails to create a foundation for REAL ID or more secure identification. The 9/11 Commission noted that the 9/11 terrorists acquired U.S. identity documents — “some by fraud” — but it made no effort to establish how possession of identity documents, whether fraudulently or lawfully gotten, was proximate to the success of the 9/11 attacks.

A monograph on terrorist travel issued by 9/11 Commission staff without the endorsement of the Commission documented many issues related to travel documents and identity cards, but it too failed to establish how weakness in our identity systems were proximate to the 9/11 attacks, or — more importantly — how more secure identification systems would foreclose future acts of terrorism. Stewart Baker hasn’t establish this either. Nobody ever has. Identity security was a minor recommendation of the 9/11 Commission, and not a well-supported one.

But Baker characterizes it thusly:

The 9/11 Commission recognized that it’s too easy to get false identification in the U.S. That’s why the Commission determined that “(s)ecure identification should begin in the United States. The federal government should set standards for the issuance of birth certificates and sources of identification, such as driver’s licenses.” Congress responded with the REAL ID Act of 2005, which requires the federal government to set standards for the identifications it accepts.

Now poor Stewart has fallen down a different way. Actually, Congress responded to the 9/11 Commission report with Section 7212 of the Intelligence Reform and Terrorism Prevention Act of 2004 (Public Law 108-458). It created a committee of interested parties to assess how to strengthen the security of state ID cards and licenses. The REAL ID Act repealed section 7212 and disbanded that committee. Legislation to restore it is pending in both the Senate and the House.

Baker plans to write more on the REAL ID Act in the coming days. His purpose, of course, is to menace the states whose leaders may refuse to accept an extension of the compliance deadline under the Act. These states may force a showdown with DHS and Congress over this sprawling albatross of an unfunded surveillance mandate.

Not a single state in the entire country will comply with REAL ID by the statutory deadline of May 11, but DHS hopes that getting all states to agree to take deadline extensions can be counted as a REAL ID win. I suppose logic like that makes Stu Baker’s security chops and memory look pretty good! It’s a close call, but at this point I think it’s premature to take his driver’s license away.

Victim Shot While Calling 911

A California woman was shot to death as she pleaded with emergency dispatchers to come and help her. Her death will not make the network news programs this evening, but this is the latest reminder that we must take responsibility for our own safety and not rely on the police. 

Bill Masters, a libertarian and sheriff of a Colorado county tells the residents of his county, “It is your responsibility to protect yourself and your family from criminals. If you rely on the government for protection, you are going to be at least disappointed and at worst injured or killed.” 

Gun control puts honest citizens in the position of having to choose between protecting their lives or respecting the law. What kind of government would do such a thing

More on gun control here and here.

A Blow Against the Flat Earthers Conspiracy Theorists

Reading through Bill Kauffman’s Ain’t My America, I’ve learned that John Randolph believed that with respect to his political opponents, “it is a mere waste of time to reason with such persons. They do not deserve anything like serious refutation. The proper arguments for such statesmen are a strait-waistcoat, a dark room, water, gruel, and depletion.”

This is probably good advice particularly for dealing with the deniers and fantasists who choose to ignore the fact that Saddam Hussein wasn’t in league with al Qaeda. I don’t know whether the Weekly Standard is running a Laurie Mylroie Contest for Weapons-Grade Conspiracy-Mongering or what, but somehow the delusion that the war was a good idea because Saddam was working with al Qaeda to plan an attack on us has cropped up again.

That said, with the passion of a younger man and the pen of a better writer, my friend Spencer Ackerman has taken up the cudgels on behalf of reality. Spencer apparently still has his files dealing with this topic; many of us threw ours away when it became plain that no self-respecting author would stand for the idea of a Saddam-al Qaeda axis.

Spencer takes aim at Stephen Hayes, the Lyndon LaRouche figure of the conspiracy cult. Here’s Spencer on the latest mumbo-jumbo from Hayes:

About as close as anything could come to linking Saddam to Al Qaeda was a memo from one Saddam’s intelligence services “written a decade before Operation Iraqi Freedom.” It says: “In a meeting in the Sudan we agreed to renew our relations with the Islamic Jihad Organization in Egypt.” That organization would eventually merge with Al Qaeda in the late 1990s, long after the apparent meeting in Sudan. It also says that for a time in the mid-1990s, Saddam and Al Qaeda had “indirect cooperation” by offering “training and motivation” to some of the same terror organizations in that country.

Out of this thin gruel, Hayes attempted to make a meal in the Standard’s pages this week. He lifted as many bullet points from the report as he could that, out of context, seemed to bolster his theory. He then went about attacking reporters who accurately wrote that the study found no direct connection between Saddam and Al Qaeda. Hayes tacitly promised his readers that history will ultimately vindicate him, writing that “as much as we have learned from this impressive collection of documents, it is only a fraction of what we will know in 10, 20 or 50 years.” And he expressed puzzlement that an administration with an obvious credibility problem had not “done anything to promote the study.”

It would be genuinely perplexing if an administration that has every possible interest (its legacy, its current popularity, the judgment of its most basic principles in history’s ledger) in advancing this argument simply refused to promote “facts” that help argue for their policy views. The most obvious explanation why they haven’t seems to be that they aren’t “facts”–that Stephen Hayes is cobbling together disparate pieces of raw intelligence to paint a picture that doesn’t represent reality. (Which would not be unprecedented in his corner of the political ring.) But other theories are hereby solicited.

Dispensing with Hayes, Spencer leaves us with this:

At the risk of belaboring the point, it should be obvious that if Saddam Hussein was as important to Al Qaeda as Hayes has erroneously and deliberately written for years, then Al Qaeda should be reeling years after the destruction of his regime. Instead, according to a mid-2007 warning from the National Counterterrorism Center, Al Qaeda is “Better Positioned to Strike the West.” Never once does Hayes, in all the thousands of words he has written on the “connection,” reckoned with this basic strategic problem. In essence, he asks every U.S. soldier and Marine in Iraq to be the last man to die for a debater’s point.

I wish I’d come up with that last line. If you’re wondering about what’s brewing in the danker corners of the conspiracy-mongering fever swamps, Spencer climbs down into the muck so you don’t have to. But it’s sad that we still have to have this discussion at all. We don’t give equal time to flat-earthers anymore.

California Attempts to Silence State Contractors

Imagine that you do business in California.  Maybe you’re in construction, or health care, or auto repair.  Now imagine some or all of your income comes from state contracts; using the above examples, perhaps you build schools, or take care of patients on Medi-Cal, or fix broken-down LAPD squad cars.  Now imagine that the state comes in and says, aha, because we pay your bills – again, on contracts relating to construction, health care, auto repair, etc. – and we love unions, you can’t talk to your employees about any negative aspects of unionization.  Ridiculous, right?  Who is a customer to tell you what to do with money that’s already in your pocket?

Well, that’s precisely what the great state of California is trying to do with a new statute that small businesses are challenging in the case of Chamber of Commerce v. Brown.  It’s a little bit more complicated than I outline above because the case implicates highly technical provisions of the National Labor Relations Act (and previous Supreme Court interpretations thereof), but the gist is that California is attempting to silence employers by tying speech restrictions to unrelated state spending.  For reasons that the petitioners ably present in their briefs and that I summarize in a podcast and in Cato’s own amicus brief, the Supreme Court should strike down this statute.

In any event, that’s the background to my trip to the Court to hear argument in Chamber v. Brown today.  (The plaza in front of the courthouse steps was remarkably free of demonstrators after yesterday’s hoopla surrounding the DC Gun Ban case.)  I’ll save you the detailed summary of the argument, but suffice it to say that the outcome will almost certainly go against California.  It’s always dicey predicting the scorecard, but based on oral argument it will probably be 7-2, 6-3, or maybe 6-1-2.  On one side, Justices Scalia and Alito and Chief Justice Roberts were safely on the side of free speech; Justices Justice Souter surprisingly led the charge against California’s interpretation of labor law; Justice Breyer, though skeptical, will likely write his own opinion agreeing in the Court’s opinion for separate reasons or possibly calling for remand rather than strict reversal; and Justice Thomas was silent but is expected to join the majority.  On the other side, Justices Stevens and Ginsberg seem to have no problem with California’s regulation.  On his own side as usual, Justice Kennedy’s vote seems to be up for grabs, but – based on his decisions in previous labor and regulatory preemption cases – I would bet on him siding with the majority.

In short, California employers will live to speak another day.