Cato Live Tweeting Obama’s ISIS Speech! #CatoWHSpeech

#CatoWHSpeech

At 9:00PM tonight, President Obama will announce expanded U.S. military action against the Islamic State in Iraq and Syria (ISIS). He will likely explain an apparent change in direction that will include airstrikes in Iraq and Syria and possibly increased training and weapons procurement for the Iraqi military and “moderate“ segments of the Syrian rebellion. Americans are understandably worried about getting sucked back into an open-ended conflict.

Don’t miss Cato experts live tweeting Obama’s speech tonight, using the hashtag #CatoWHSpeech. You can check out the reactions and opinions of our scholars in real time. Just follow along and join in!

CO2 Going Up. Human Progress Going Up.

Global Science Report is a feature from the Center for the Study of Science, where we highlight one or two important new items in the scientific literature or the popular media. For broader and more technical perspectives, consult our monthly “Current Wisdom.”


Yesterday it was announced by the World Meteorological Organization (an arm of the United Nations), with front page coverage by the global media, that the atmospheric concentration of carbon dioxide (CO2) last year reached a new high value (396 parts per million, ppm) and got there in record time (2.9ppm/yr). Although newer data (through July of 2014) indicate that the rate of rise has fallen back again to levels more characteristic of the past decade, the signal remains—carbon dioxide is building in the atmosphere and rising to levels that have probably not been seen in along time (hundreds of thousands of years).

This rise is a continued reminder of the steady drumbeat of human progress. The carbon dioxide that is building in the atmosphere, at least in part, gets there through human emissions of carbon dioxide that are the by-product of burning fossil fuels (coal, oil, natural gas) to produce the vast majority the energy that has powered mankind’s industrial and technical ascent since the Industrial Revolution.

The gradual increase in the rate of the rise of the carbon dioxide concentration is a sign that we are continuing to expand our energy use and availability, primarily in developing countries like India and China. With more than a billion people still without much access to electricity (and many more than that who would like access to more) and all the life-improving benefits that come with it, we still have a long way to go.

Consequently, we should anticipate that the atmospheric CO2 concentration will continue to grow for many years to come.

The benefits that fossil use have delivered to humanity are enormous. A taste of them can be found at Cato’s HumanProgress.org website and a compelling case for why we should continue to embrace and expand fossil fuel use is made by Alex Epstein of the Center for Industrial Progress in his excellent (and very soon forthcoming) book The Moral Case for Fossil Fuels.

The only concern that arises from growing atmospheric CO2 levels stems from the potential climate changes that may result. Carbon dioxide is a greenhouse gas that acts basically to trap heat trying to escape from earth to space. But a growing body of scientific evidence suggests that the projections of climate change that have been made by the current family of computerized climate models has been overdone—that the world will warm up significantly less than has been predicted as a result of our ongoing carbon dioxide emissions. We continue to detail the evidence that the earth’s “climate sensitivity” to carbon dioxide is less than expected. Our most recent summary of the new, relevant literature on this topic is available here. Less warming means less resultant impacts which mean less worry about rising CO2 levels (and less impetus for government action).

So rather than accompanying the WMO announcement with hand-wringing and talk of self-destructive doom and gloom—which was obiquitous in media coverage of the data release—the more appropriate response would be to applaud our progress in energy expansion across the world.

The last time an announcement of atmospheric CO2 levels reaching some new high (an announcement that could be made virtually every day), we wrote:

[The rise] of carbon dioxide in the atmosphere should remind us of our continuing success at expanding the global supply of energy to meet a growing demand. That success which ultimately leads to an improvement of the global standard of living and a reduction in vulnerability to the vagaries of weather and climate.

[The rise] is cause for celebration.

The same holds today, and will do so far into the future.

U.S. Policy Choices Regarding China

While the Obama administration has preoccupied itself with developments in Ukraine, Syria, and Iraq, a far more important foreign policy relationship continues to deteriorate.  Late last month, a nasty incident occurred when a Chinese fighter plane intercepted and harassed a U.S. spy plane near Hainan Island, where China has a major submarine base.  It is just the latest in a growing list of spats between Washington and Beijing. 

Relations had already become tense because of China’s expansive territorial claims in the South China Sea and its acrimonious dispute with Japan over the Senkaku/Diaoyu Islands in the East China Sea.  Washington suspects that China is trying to become the dominant power in East Asia and gradually displace the United States from that role.  Beijing suspects that the United States is trying to enlist East Asian nations in a de facto containment policy directed against China, although Americans also want to continue enjoying the benefits of an extensive economic relationship with that country.  Both sides are probably correct in their suspicions.

In an article over at the National Interest Online, I suggest that the Obama administration’s China policy is a dangerous muddle.  Instead of continuing to drift toward an implicit, hostile containment policy, even as America’s regional clout continues to erode, the United States should consider two other options.  One would be to recognize China as the pre-eminent power in East Asia, thereby accepting a Chinese equivalent of America’s long-standing Monroe Doctrine in the Western Hemisphere.  I discuss that option in greater detail in an article in China-U.S. Focus.  Britain’s willingness in the 1890s to defer to the United States in the Western Hemisphere ended tensions between the two countries and ushered in an era of extremely close relations.  A similar trend might occur following such a U.S. concession to China in East Asia. 

But as I note, Britain and the United States were both democratic, capitalist states with similar cultures and overlapping interests.  Today’s China, on the other hand, is an authoritarian, quasi-capitalist country.  Conceding regional pre-eminence to a country with those characteristics would be much harder and riskier for the United States.

The other policy option would be for the United States to adopt a much lower security profile in that part of the world and allow a natural balance of power to develop between China and its uneasy neighbors, led by Japan.  That approach would recognize that the strategic and economic dominance that the United States enjoyed following the end of World War II was artificial and has been fading for at least a quarter century.  Not only China’s rise, but the growing prosperity and capabilities of other East Asian nations have eroded Washington’s advantages.  U.S. power in the region is still superior to that of any other actor, but the margin grows narrower, and that trend is likely to continue.  Policymakers need to ask themselves whether it is realistic to expect that a country whose homeland is thousands of miles away can continue to be East Asia’s hegemon much longer.  It makes more sense to relinquish that role gradually and create incentives for Japan, Indonesia, India, Vietnam, South Korea and other countries to become more assertive in balancing China’s growing power and sometimes abrasive behavior. 

Fostering the development of an independent regional balance of power has some drawbacks.  It would require the United States to relinquish the security role it has played for nearly seven decades, as well as relinquish the prestige and influence accompanying that role.  And there is no guarantee that adopting a lower U.S. security profile in East Asia would produce the outcome we desire.  Although unlikely, it is possible that the countries there would capitulate and accept Chinese dominance instead of assuming the costs and risks required to balance that country.  Alternatively, the emergence of multiple well-armed powers could create greater instability in the region.  No strategy is risk free.

One point is increasingly apparent, however.  Clear policy choices, even if difficult, need to be made.  As China’s power grows, it will become harder and riskier for Washington to continue its contradictory strategy of containing China while trying to enjoy the fruits of a close bilateral economic relationship.  We need a more coherent China policy—and soon.

Degrade ISIS’s Capabilities, Avoid Mission Creep

In a primetime address Wednesday evening, President Obama will announce that he will authorize U.S. airstrikes in Syria as part of his larger strategy to degrade and destroy ISIS. This represents a marked escalation of U.S. action against the notorious group that now controls large swathes of northern Iraq and Syria. According to the New York Times, the president’s strategy will be “a long-term campaign far more complex than the targeted strikes the United States has used against Al Qaeda in Yemen, Pakistan and elsewhere.”

In advance of his speech, I have written a piece for Reason in which I urge the president to listen to the American people.

A majority of Americans support a military response – though not U.S. troops on the ground. Very few are content with allowing ISIS to spread its influence with impunity, especially after the brutal killing of the American journalists James Foley and Steven Sotloff. The group has effectively declared itself an enemy of the United States, and there is growing support for action against the group before it even attempts an attack on the U.S. homeland (something that it appears only to be aspiring to, as opposed to actively planning for).

In the article, I also warn against mission creep, the possibility of which is all too real.

The hawks on both the left and right believe that a large U.S. ground presence is required because they don’t want to limit the mission to merely hitting ISIS – they want to restore stability and order in Iraq, exclude Iranian influence from Iraqi politics, and topple Bashar Assad in Syria. In other words, they want us back in the nation-building business, but now in two countries racked by civil war and sectarian hatreds, instead of just one.

To avoid being drawn into such a scenario, the president needs to clearly answer two particularly relevant questions: how large a response is justified; and what end state is acceptable? The president should resist sending in a large number of ground troops and be content to degrade ISIS to the point that it can be contained by the many enemies that directly surround it.

Read the whole thing here.

Self-Driving School Choice

Over at Education Next today, I discuss how self-driving cars have the potential to dramatically expand educational options. Here’s a taste:

Self-driving cars will be able to respond to surroundings much faster than human reflexes, allowing for greater safety at much greater speeds. That will cut down on commute times, or allow people to work—or send their kids to school—further from home with the same commute time. Moreover, freed from the need to focus on the road, time spent commuting could be much more productive.

With commutes shorter and more productive, the distance that parents will consider logistically feasible will significantly increase. That could exponentially expand the number of educational options that parents consider within driving distance. Using Private School Review’s search feature, I found 12 private schools within three miles of my Arizona home, 34 schools within five miles, 69 schools within ten miles, 234 schools within 25 miles, and 304 schools within 50 miles. Now that’s choice!

Arkansas’ Budget-Busting Medicaid Expansion

Back in February, I highlighted the fight to reauthorize Medicaid expansion under ObamaCare in Arkansas. The states’ plan not only expanded Medicaid; it did so in a more expensive way.  Supporters claimed that the concerns were hogwash. Costs would be the same or lower because Department of Health and Human Services (HHS) required “budget neutrality” for the expansion. A new report from the Government Accountability Office (GAO) confirms that AR’s expansion is a budget-buster.

Medicaid provides insurance to low-income individuals, focused on pregnant women, children, and the disabled. ObamaCare sought to expand this program adding millions of able-bodied, childless adults to the program. States that agreed to dramatically expand the entitlement program would receive a large sum of federal funding. The federal government agreed to fund 100 percent of expenditures through 2016, slowly decreasing to 90 percent in 2020 and after. Even with the large financial enticement, states, rightly, resisted. The program is expensive to operate. States also have little control over the program. The quality of insurance is poor. A 2013 study found “no significant improvements” in health outcomes for individuals joining the program.

Arkansas decided to try something different. Under the plan passed by Democrat Governor Mike Beebe and the Republican legislature, more than 200,000 individuals would join the state’s Medicaid rolls. These individuals would not join the traditional program, but instead would receive money from the state and federal government to purchase insurance on the state’s newly-created health insurance exchange. This plan was preferable, according to advocates, because it would eliminate the known health disparities between traditional Medicaid and private insurance. Better yet, the AR Department of Human Services said that the so-called private option would save the state $670 million over the next ten years and would save the federal government $600 million. Choice and competition would power the market and result in lower prices.

Supporters argued that if the state was going to dramatically expand an entitlement program; it should do it in a fiscally-conservative way saving money in the process.

However, subsidizing Medicaid expansion through private insurance is not fiscally conservative. It turns out that private insurance costs $3,000–or 50 percent more–per enrollee than traditional Medicaid coverage according to the Congressional Budget Office (CBO). Spending $3,000 per person more adds up to a huge added cost for taxpayers. This would be compounded by the Arkansas’ decision–due to federal strings–to eliminate any out-of-pocket expenses for enrollees; no co-pays, no deductibles, no cost-sharing.

Supporters of Arkansas’ expansion claimed it didn’t matter because HHS’s approval required that the plan be “budget neutral.” In other words, the federal government would not spend more than if the state pursued traditional expansion. If the state exceeded the budget cap, the state would be responsible for the additional expenses. The state would be forced to tweak the program later if costs rose.

The plan passed and costs quickly grew. The first month was overbudget. As of June, the program was $10 million overbudget.

GAO now says that HHS did not guarantee budget neutrality in the Arkansas plan suggesting that even more taxpayer money is at risk. “HHS did not ensure budget neutrality. HHS approved a spending limit that included hypothetical costs despite questionable state assumptions and limited supporting documentation…HHS officially told us they accepted the state’s projections of the increased cost of expanding Medicaid in the absence of a demonstration without requesting data to support the state’s assumptions.”

HHS just accepted what Arkansas said, and did not question the state’s assumptions. The promised federal backstop does not seem to exist. GAO estimates that the “$4.0 billion spending limit approved by HHS was about $778 million [over three years] more than what it would have been.”  That’s a 20 percent increase in costs for federal taxpayers.

Making matters worse, GAO says that AR has the authority to “adjust the approved spending limits if costs…prove higher than expected.” This sort of upward flexibility never used to be granted, but HHS recently granted it to 11 other states. AR has already acknowledged that it might need a higher spending limit.

This is not the first time that GAO has highlighted HHS’ inability to properly enforce budget neutrality. HHS’ refusal to properly set spending caps is costing federal taxpayers millions, or billions, more than it should. GAO confirms that Medicaid expansion in Arkansas is busting the budget.