Tag: President Obama

One Nation, Under-Informed

Universal PreK Advocates Cherry Pick Studies

Nation writer Rick Perlstein suffered paroxysms last week over my dismissal of the evidence for universal pre-K, which he defended as “Nobel Prize-winning research.” Perlstein is mistaken. Though James Heckman, a leading preschool advocate, is indeed a Nobel laureate, he was awarded the prize for brilliant but unrelated work on statistical methods.

Far from being “Nobel Prize-winning,” the empirical case for universal government pre-K collapses under mild scrutiny. The central claim, as voiced by President Obama in his SOTU speech, is that “every dollar we invest in high-quality early childhood education can save more than seven dollars later on.” This sweeping statement does not in fact refer to the typical  return from federal or state pre-K programs. It refers to the findings from a single intensive 1960s early childhood experiment  that served 58 children in Ypsilanti, Michigan—the High/Scope Perry preschool program. Out of the literally hundreds of preschool studies conducted in the past half-century, the Perry results are not representative and have never been reproduced on a national or even a state level. In fact, an earnest experimental effort to reproduce them for just a few hundred children at eight locations failed despite an annual investment of $32,000 per child, adjusted for inflation—far more than the President currently contemplates spending.

The president’s case for universal government pre-K singles out the unusually large positive effects of one tiny study—sometimes two or three—from scores of others that show little benefit, no benefit, or even significant harm to participating students. That sea of inferior results, moreover, is drawn in large part from …the federally-funded pre-K efforts of the past 47 years. Indeed the largest, best designed, most recent studies of federal pre-K efforts were published by the Obama administration itself: the Head Start Impact Studies. These studies find little or no net lasting benefit to federal pre-K. The Obama administration was apparently so worried about these findings that the most recent study was released on the Friday before Christmas—despite a publication date on its title page of October 2012.

What we have here, in other words, is a monumental act of cherry picking rather than an example of scientifically grounded policymaking.

Prez to Double Down on pre-Kindergarten Flop?

According to the latest buzz, President Obama may suggest dramatically expanding federal government preschool programs in his State of the Union address next week. That, at any rate, is the recommendation of a new report from an institute closely associated with the admnistration.

There are just two problems with this plan: 1) it’s already been tried; 2) it doesn’t work.

We now have 45 years of experience with, and two top-quality randomized studies of, the national Head Start pre-school program, and the results are disappointing. Head Start was meant to close the gap in student achievement between the children of advantaged and disadvantaged families. But, at the end of high school, the gap in achievement between the children of college graduates and those of high school dropouts has remained essentially unchanged since the program was introduced. We have even more direct evidence from two large national studies of the program commissioned by the very agency that administers it: the Department of Health and Human Services. These studies find no significant benefits to Head Start at the end of the third grade–or even at the end of the first.

So why double-down on a failed program? The most plausible (and charitable) explanation is a bad case of wishful thinking. Many people make the mistake of improperly generalizing from two or three tiny pre-school programs of earlier decades which did show some lasting benefits. Sadly the federal government’s nationwide Head Start program has not replicated those benefits despite generations of unrelenting effort. And there is no reason to imagine that it will suddenly start doing so if expanded even further.

Trying to fix failed federal preschool programs by dumping more money on them is like trying to make up per-unit losses by increasing sales volume. Sadly, that’s about the level of economic acumen demonstrated by recent administrations.

Kill or Capture?

In the latest issue of the Cairo Review of Global Affairs, I review Newsweek reporter Daniel Klaidman’s book Kill or Capture: The War on Terror and the Soul of the Obama Presidency. Although some hawkish critics smear President Obama as weak, bumbling, and easily manipulated by America’s enemies, Klaidman reveals how our “covert commander in chief” has tightened his grip over the secretive program of targeted killings and their expanded use into Somalia and Yemen, beyond Iraq and Afghanistan. The president has meanwhile claimed the authority to hold terrorism suspects in prolonged detention indefinitely without trial. On this issue in particular, as I conclude in my review:

The reader is naturally drawn to realize the book’s underlying point: America’s lack of a long-term detention policy may be perversely incentivizing kills over captures.

 Check it out.

Bloomberg: ObamaCare Doubling Premiums for Individuals & Firms Spurs Talk of Delaying Rollout

Bloomberg reports:

Health insurance premiums may as much as double for some small businesses and individual buyers in the U.S. when the Affordable Care Act’s major provisions start in 2014, Aetna Inc. (AET)’s chief executive officer said.

While subsidies in the law will shield some people, other consumers who make too much for assistance are in for “premium rate shock,” Mark Bertolini, who runs the third-biggest U.S. health-insurance company, told analysts yesterday at a conference in New York. The prospect has spurred discussion of having Congress delay or phase in parts of the law, he said.

“We’ve shared it all with the people in Washington and I think it’s a big concern,” the CEO said. “We’re going to see some markets go up as much as as 100 percent.”…

Premiums are likely to increase 25 percent to 50 percent on average in the small-group and individual markets, he said, citing projections by his Hartford, Connecticut-based company.

Industry analyst Robert Laszewski comments:

[F]or the vast majority of states there will be rate shock.

I can also tell you that, so far, I have detected no serious effort on the part of Democrats to delay anything. Frankly, I think hard core supporters of the new health law and the administration are in denial about what is coming.

I expect more health insurers to be echoing the Aetna comments in coming weeks.

NJ Gov. Vetoes ObamaCare Exchange; SD Gov. Rejects Medicaid Expansion

On the same day he met with President Barack Obama (D) at the White House, New Jersey Gov. Chris Christie (R) vetoed a bill that would have implemented a key part of ObamaCare:

New Jersey Gov. Chris Christie (R) became the latest state chief executive to rebuff President Barack Obama’s health care reform law Thursday by vetoing a bill that would have created an online marketplace for uninsured residents to shop for health insurance.

For the second time this year, Christie rejected legislation passed by New Jersey’s Democratic-controlled legislature that would have established a state-run health insurance exchange under Obamacare.

Meanwhile, South Dakota Gov. Dennis Daugaard (R) said his state will not implement ObamaCare’s Medicaid expansion:

There are far too many unanswered questions for me to recommend adding 48,000 adults to the 116,000 already on our rolls.

The Huffington Post reports that 19 states have refused to establish an Exchange, and 9 states have refused to expand Medicaid. I’ve heard higher counts, though.

Laszewski on ObamaCare: ‘Get Ready for Some Startling Rate Increases’

The invaluable Robert Laszweski:

The Affordable Care Act: Ten Months to Launch “Obamacare”––Get Ready for Some Startling Rate Increases

[…]

I conducted an informal survey of a number of insurers…None of the people I talked to are academics or work for a think tank. None of them are in the spin business inside the Beltway. Every one of them has the responsibility for coming up with the correct rates their companies will have to charge…

On average, expect a 30% to 40% increase in the baseline cost of individual health insurance to account for the new premium taxes, reinsurance costs, benefit mandate increases, and underwriting reforms…

In states with the least mandates or for health insurance companies with the tightest underwriting now, the increase could be a lot more…

[E]xpect individual health insurance rates for people in their 20s and early 30s to about double…

Will the feds be ready to provide an insurance exchange in all of the states that don’t have one on October 1, 2013?

I have no idea. And neither does anyone else I talk to inside the Beltway. We only hear vague reports that parts of the new federal exchange information systems are in testing.

The former CIA director couldn’t get away with an affair in this town but the Obama administration has a complete lid on just where they are on health insurance exchanges and haven’t shown any willingness to want to talk about their progress toward launching on time––except to tell us all not to worry.

We are all worried. I would not want to be responsible for the work that remains and only have ten months to do it…

The Republicans said this would not work. If it does not launch on time, or does with serious problems, I would not want to be an incumbent Democrat.

I told them not to call this the “Affordable Care Act.”

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