Showing posts with label Obama. Show all posts
Showing posts with label Obama. Show all posts

Friday, November 14, 2008

Where the Mines Are

Michael Gerson

New presidents make mistakes.

For Bill Clinton, the errors were almost immediate. By day three of his presidency, Clinton was embroiled in a losing fight to allow open homosexuality in the military. On day six, Clinton appointed his wife to formulate an ill-fated health care reform plan. Clinton's first two nominees to be attorney general were withdrawn under clouds of controversy. Surgeon General Joycelyn Elders -- that vigorous champion of the solitary pleasures -- made constant and unwelcome news. Two years after taking office, Clinton suffered a serious rebuke in midterm elections -- and became a better, more moderate president in the aftermath.

So far, President-elect Barack Obama seems to be preparing for office with characteristic care and seriousness. Future Chief of Staff Rahm Emanuel is partisan and profane -- but I'm told by Republicans I trust that he's also forthright, honest, practical and flexible enough to compromise for the sake of a deal. Names currently being floated for the Cabinet mainly consist of mainstream, skilled professionals -- with the large exception of John Kerry, mentioned for secretary of state, who should not be allowed to add the pomp of that office to his own pompousness.

But Obama will also need to be aware of certain issues -- certain tripwires -- that could trigger explosive controversy, turning suspicion into anger and undermining his broader legislative objectives.

The first tripwire concerns abortion and bioethics. With recent, ethically sound progress on deriving useful stem cells from adult sources, an executive order allowing federal support for stem cell research with "spare" embryos is unnecessary. Such an order would also be popular and unlikely to cause much backlash. But it would be a mistake for Obama to push further, using government to promote the destruction and manipulation of developing life.

There are at least 16 provisions routinely passed by Congress that limit governmental involvement in abortion and other life issues -- measures that prevent the domestic funding of abortion, forbid the use of international family planning funds for abortion, protect the rights of medical professionals to refuse involvement in the procedure and prohibit the patenting of human life. Removing this firewall between government and abortion would seem -- and be -- a massive assault on the pro-life movement. Even many Americans who consider themselves pro-choice see the use of their tax dollars to promote abortion as radical. By abandoning government neutrality on abortion, Obama would permanently embitter most with pro-life views.

The second tripwire concerns the Fairness Doctrine -- a federal regulation (overturned by the Reagan administration in 1987) requiring broadcast outlets to give equal time to opposing political viewpoints. Under this doctrine, three hours of Rush Limbaugh on a radio station would have to be balanced by three hours of his liberal equivalent. This may sound fair and balanced. But it is a classic case where the "unintended consequences" are so obvious that those consequences must be intended. It would destroy the profitability of conservative talk radio and lead other outlets to avoid political issues entirely -- actually reducing the public discussion of controversial issues. This kind of heavy-handed approach is the remnant of a time when public sources of information -- mainly the three networks and large radio stations -- were so limited that government felt compelled to guarantee balance. Given today's proliferation of media outlets, such regulation of speech is both unnecessary and Orwellian.

During the campaign, Obama signaled he did not support the reimposition of the Fairness Doctrine. But Speaker Nancy Pelosi and other Democratic leaders are big fans of this regulation. And talk radio is already preparing for a showdown. If Obama were to endorse this doctrine, even reluctantly, the resulting fireworks would obscure every other topic.

Tripwire No. 3 is the "card check" issue. Under current law, workers must have an election with a secret ballot to organize a union. Under a new approach endorsed by Obama, a secret ballot would no longer be required. A union could be created by simply collecting cards signed by workers. But we have the secret ballot for a reason: Public voting is a recipe for intimidation. If unions cannot compete in real elections, it is the fault of unions, not the fault of elections. And this change would be taken by many in the business community as a signal of Obama's deep hostility to their interests -- at a time when business cooperation will be essential on energy and health reform.

Every new president makes mistakes. But some are avoidable.

Monday, November 10, 2008

Obama ready to "rule" as President



Newsbusters.org

The co-chair of Barack Obama's Transition Team, Valerie Jarrett, appeared on Meet the Press this weekend and used, shall we say, an interesting word to described what she thinks Barack Obama will be doing in January when he's officially sworn into office. She told Tom Brokaw that Obama will be ready to "rule" on day one. It's a word that reflects the worst fears that people have for Obama the "arrogant," the "messiah," that imagines he's here to "rule" instead of govern.

Jarret told Brokaw that "given the daunting challenges that we face, it's important that president elect Obama is prepared to really take power and begin to rule day one."

Someone needs to get to Jarrett and inform her that American politicians are not Kings and do not "rule" from office. But if this is the attitude of Obama's transition team, what does The One himself imagine he is about to unleash? Could the fears that Obama thinks he is being anointed America's King be far off with this sort of talk flying about?

Monday, November 03, 2008

Obama vs. Jobs

Pittsburgh Tribune-Review

Ralph R. Reiland

I interviewed two plumbing company owners over the weekend about Barack Obama's economic proposals for small business.

One has 15 employees and 12 trucks. The other has 52 employees and 34 trucks. They're Joe the Plumber, writ large.

Both owners had the same reaction to Obama's proposed new taxes and mandates. To not have their bottom lines reduced by government fiat, both said they'd be forced to lay off employees.

Specifically, here's what the owner of the larger firm said regarding six of Obama's key proposals for the small-business sector: The average wage at his company, figuring the 52 paychecks of his office staff, installers and service workers, is $31,200, $15 an hour.

First, "Barack Obama and Joe Biden will require that employers provide seven paid sick days per year," states the Obama campaign's Web site. "I give three paid sick days," explained the business owner. His extra cost for this one new regulation would be $24,960 (4 extra days, 52 employees, at an average of $120 per day). "That's one of the women in the office," he said. "I can make up that cost by letting one of the office people go."

Second, Obama states that employers will be required to pay 100 percent of the cost of health insurance premiums for 100 percent of their employees or face a tax penalty. "I pay 75 percent of their coverage," explained the owner. "The family policy is about $11,000. For single guys, it's about $5,000." At an average annual cost of $7,000 per policy, his additional cost for 52 employees to cover the 25 percent of the premiums that he currently doesn't pay is $91,000. "That's the price of three installers," he said. "Just to stay even with where I am, I'd have to fire three more people or raise some prices and fire two."

The result is more unemployment or more inflation, or both.

Third, with the estate tax, Obama is calling for a top tax rate of 45 percent on estates valued above $3.5 million, producing an estimated "death tax" of $675,000 on an estate of $5 million. "You're kidding," he said. "They took half my income on the way up and now they want another half when I die?" He estimated that his business is already valued at more than $3 million, in addition to the value of his home and investments. "Why," he asked, "would I want to grow to 100 employees? What'll stop them from changing it to 75 percent?"

The cost in jobs that will never be created in the U.S. economy because of this single disincentive to growth? Incalculable.

Fourth, Obama's economic plan calls for a hike in the minimum wage to $9.50 an hour within three years. The business owner's reaction? "That's bad for two reasons. I don't have anyone at minimum, but raise the bottom by $3 and a guy making $15 wants $18. Plus it's bad for productivity when people think their pay raises are coming from government instead of from their own individual effort."

Fifth, saying he'll "play offense for organized labor," Obama is proposing that workers should be denied the right to a private ballot at work in deciding whether to unionize. "That'll never be," said the plumbing entrepreneur. "I'm in business because I'm independent, not to take orders from a grievance chairman. I'd shut down."

Sixth, the increase in taxes on this small business owner from Obama's proposed hike in the income tax rate from 36% to 39.8% on incomes above $200,000 and the proposed increase in Social Security taxes comes to $32,000 per year. "That's another employee," he said, referring to the termination of another installer in order to just stay even.

And the jobless plumbers? They can be re-socialized to work for ACORN.

As Obama explained in July: "We cannot continue to rely on our military to achieve the national security objectives we've set. We've got to have a civilian national security force that's just as powerful, just as strong, just as well funded."

As "well funded" as our Armed Forces personnel comes to $119 billion per year in paychecks for "community activism," a lot of money for registering dead voters, caulking windows, making sure that all the guns are locked up at the municipal buildings, and monitoring the airways to make sure that conservatives don't have too many talk shows.

Bottom line, Obama's economic plan doesn't hold water. Neither will our pipes.

Deleted Scenes

IBDeditorials.com

Saturday, November 01, 2008

Steyn: Obama makes a Better Symbol than President

OCRegister.com

On Tuesday many Americans will vote for the two-dimensional Obama - the image, the idea.

Mark Steyn

In Tokyo last week, over 1,000 people signed a new petition asking the Japanese government to permit marriages between human beings and cartoon characters. "I am no longer interested in three dimensions. I would even like to become a resident of the two-dimensional world," explained Taichi Takashita. "Therefore, at the very least, would it be possible to legally authorize marriage with a two-dimensional character?"

Get back to me on that Tuesday night. We'll know by then whether an entire constitutional republic has decided to contract marriage with a two-dimensional character and to attempt to take up residence in the two-dimensional world. For many of his supporters, Barack Obama is an idea. He offers "hope, not fear." "Hope" of what? "Hope" of "change." OK, but "change" to what? Ah, well, there you go again, getting all hung up on three-dimensional reality, when we've moved way beyond that. I don't know which cartoon character Taichi Takashita is eyeing as his betrothed, but up in the sky Obamaman is flying high, fighting for Hope, Change and a kind of Post-Modern American Way.

The two-dimensional idea of President Obama is seductive: To elect a young black man of Kenyan extraction and Indonesian upbringing offers redemption both for America's original sin (slavery) and for the more recent perceived sins of President Bush – his supposed enthusiasm for sticking it to foreigners generally, and the Muslim world in particular. And no, I'm not saying he's Muslim. It's worse than that: He's a pasty-faced European – at least in his view of state power, welfare and taxation.

But, in a sense, he's not anything in particular, so much as everything in general. The media dispatched legions of reporters to hoot and jeer at Sarah Palin's Wasilla without ever wondering: Where would we go to do this to Obama? Where's his "hometown"? Bill Clinton was famously (if not entirely accurately) from "a place called Hope." Barack Obama is from an idea called hope. What's the area code? 1-800-HOPE4CHANGE. The 1-800 candidate offers the hope of electing a younger Morgan Freeman, the cool, reserved, dignified black man who, when he's not literally God walking among us (as in "Bruce Almighty"), is always the conscience of the movie.

You can understand the appeal of such an idea. Even if you're not hung up on white liberal guilt or Bush loathing, there's an urge to get it over with, to say, well, America should have a black president, and the sooner the better – i.e., the sooner we do it, the better it speaks of us. They have a point. I look at the roll call of the dead on 9/11: Arestegui, Bolourchi, Carstanjen, Droz, Elseth, Foti, Gronlund, Hannafin, Iskyan, Kuge, Laychak, Mojica, Nguyen, Ong, Pappalardo, Quigley, Retic, Shuyin, Tarrou, Vamsikrishna, Warchola, Yuguang, Zarba. Black, white, Scandinavian, Balkan, Arab, Asian – in a word, American. The presidential pantheon has a narrower ring: Clinton, Reagan, Nixon, Johnson. Obama has a tedious shtick about how his name sounds odd and he doesn't look like "all those other presidents on the dollar bills". He's not just picking out the drapes for the Oval Office, he's ordering up the new currency and booking the sculptors for Mount Rushmore.

And why not? Obama in the White House, Obama on the dollar bill, Obama on Rushmore would symbolize the possibilities of America more than that narrow list of white-bread protestant presidents to date.

The problem is we're not electing a symbol, a logo, a two-dimensional image. Long before he emerged on the national stage as Barack the Hope-Giver and Bringer of Change, there was a three-dimensional Barack Obama, a real man who lives in the real world. And that's where the problem lies.

The senator and his doting Obots in the media have gone to great lengths to obscure what Barack Obama does when he's not being a symbol: his voting record, his friends, his patrons, his life outside the soft-focus memoirs is deemed nonrelevant to the general hopey-changey vibe. But occasionally we get a glimpse. The offhand aside to Joe the Plumber about "spreading the wealth around" was revealing because it suggests a crude redistributive view of "social justice". Yet the nimble Hope-a-Dope sidestepper brushed it aside, telling a crowd in Raleigh that next John McCain will be "accusing me of being a secret communist because I shared my toys in kindergarten."

But that too is revealing. As John Hood pointed out at National Review, communism is not "sharing." In a free society, the citizen chooses whether to share his Lego, trade it for some Thomas the Tank Engine train tracks, or keep it to himself. From that freedom of action grow mighty Playmobile cities. Communism is compulsion. It's the government confiscating your Elmo to "share" it with someone of its choice. Joe the Plumber is free to spread his own wealth around – hiring employees, buying supplies from local businesses, enjoying surf 'n' turf night at his favorite eatery. But, in Obama's world view, that's not good enough: the state is the best judge of how to spread Joe the Plumber's wealth around.

The Senator is a wealthy man, mainly on the strength of two bestselling books offering his biography in lieu of policy and accomplishments. Many lively members of his Kenyan family occur as supporting characters in his story and provide the vivid color in it. But they too are not merely two-dimensional cartoons. His Aunt Zeituni, a memorable figure in Obama's writing, turned up for real last week, when the dogged James Bone of the London Times tracked her down. She lives in a rundown housing project in Boston.

In his Wednesday night infomercial, Obama declared that his "fundamental belief" was that "I am my brother's keeper." Back in Kenya, his brother lives in a shack on 12 bucks a year. If Barack is his brother's keeper, why couldn't he send him a $10 bill and nearly double the guy's income? The reality is that Barack Obama assumes the government should be his brother's keeper, and his aunt's keeper. Why be surprised by that? For 20 years in Illinois, Obama has marinated in the swamps of the Chicago political machine and the campus radicalism of William Ayers and Rashid Khalidi. In such a world, the redistributive urge is more or less a minimum entry qualification.

The government as wealth-spreader-in-chief was not a slip of the tongue but consistent with Obama's life, friends and votes. The Obamacons – that's to say, conservatives hot for Barack – justify their decision to support a big-spending big-government Democrat with the most liberal voting record in the Senate by "hoping" that he doesn't mean it, by "hoping" that he'll "change" in office. "I sure hope Obama is more open, centrist, sensible," declared reformed conservative Ken Adelman, "than his liberal record indicates."

He's "hoping" that Obama will buck not just Nancy Pelosi, Barney Frank and the rest of the gang but also his voting record, his personal address book and his entire adult life. Good luck betting the future on that. The "change" we'll get isn't hard to discern: An expansion of government, an increase in taxes, a greater annexation of the dynamic part of the economy by the sclerotic bureaucracy, a reduction in economic liberty …oh, and a lot more Chicago machine politics.

On Tuesday many Americans will vote for the two-dimensional Obama - the image, the idea, the "hope." But it will be the three-dimensional Obama – the real man with the real record – that America will have to live with.

Friday, October 31, 2008

The End of Journalism

Sometime in 2008, journalism as we knew it died, and advocacy media took its place.

Victor Davis Hanson

There have always been media biases and prejudices. Everyone knew that Walter Cronkite, from his gilded throne at CBS news, helped to alter the course of the Vietnam War, when, in the post-Tet depression, he prematurely declared the war unwinnible. Dan Rather's career imploded when he knowingly promulgated a forged document that impugned the service record of George W. Bush. We've known for a long time — from various polling, and records of political donations of journalists themselves, as well as surveys of public perceptions — that the vast majority of journalists identify themselves as Democratic, and liberal in particular.

Yet we have never quite seen anything like the current media infatuation with Barack Obama, and its collective desire not to raise key issues of concern to the American people. Here were four areas of national interest that were largely ignored.

CAMPAIGN FINANCING
For years an axiom of the liberal establishment was the need for public campaign financing — and the corrosive role of private money in poisoning the election process. The most prominent Republican who crossed party lines to ensure the passage of national public campaign financing was John McCain — a maverick stance that cost him dearly among conservatives who resented bitterly federal interference in political expression.

In contrast, Barack Obama, remember, promised that he would accept both public funding and the limitations that went along with it, and would "aggressively pursue an agreement with the Republican nominee to preserve a publicly financed general election." Then in June 2008, Obama abruptly reneged, bowing out entirely from government financing, the first presidential nominee in the general election to do that since the system was created in 1976.

Obama has now raised over $600 million, by far the largest campaign chest in American political history. In many states he enjoys a four-to-one advantage in campaign funding — most telling in his scheduled eleventh-hour, 30-minute specials that will not be answered by the publicly financed and poorer McCain campaign.

The story that the media chose to ignore was not merely the Obama about-face on public financing, or even the enormous amounts of money that he has raised — some of it under dubious circumstances involving foreign donors, prepaid credit cards, and false names. Instead, they were absolutely quiet about a historic end to liberal support for public financing.

For all practical purposes, public financing of the presidential general election is now dead. No Republican will ever agree to it again. No Democrat can ever again dare to defend a system destroyed by Obama. All future worries about the dangers of big money and big politics will fall on deaf ears.

Surely, there will come a time when the Democratic Party, whether for ethical or practical reasons, will sorely regret dismantling the very safeguards that for over three decades it had insisted were critical for the survival of the republic.

Imagine the reaction of the New York Times or the Washington Post had John McCain renounced his promise to participate in public campaign financing, proceeded instead to amass $600 million and outraise the publicly financed Barack Obama four-to-one, and begun airing special 30-minute unanswered infomercials during the last week of the campaign.

THE VP CANDIDATES
We know now almost all the details of Sarah Palin's pregnancies, whether the trooper who tasered her nephew went to stun or half stun, the cost of her clothes, and her personal expenses — indeed, almost everything except how a mother of so many children gets elected councilwoman, mayor, and governor, routs an entrenched old-boy cadre, while maintaining near record levels of public support.

Yet the American public knows almost nothing of what it should about the extraordinary career of Joe Biden, the 36-year veteran of the Senate. In unprecedented fashion, Biden has simply avoided the press for most of the last two months, confident that the media instead would deconstruct almost every word of "good looking" Sarah Palin's numerous interviews with mostly hostile interrogators.


By accepted standards of behavior, Biden has sadly proven wanting. He has committed almost every classical sin of character — plagiarism, false biography, racial insensitivity, and serial fabrication. And because of media silence, we don't know whether he was kidding when he said America would not need to burn coal, or that Hezbollah was out of Lebanon, or that FDR addressed the nation on television as president in 1929 (surely a record for historical fictions in a single thought), or that the public would turn sour on Obama once he was challenged by our enemies abroad. In response, the media reported that the very public Sarah Palin was avoiding the press while the very private Joe Biden shunned interviews and was chained to the teleprompter.

For two months now, the media reaction to Biden's inanity has been simply "that's just ol' Joe, now let's turn to Palin," who, in the space of two months, has been reduced from a popular successful governor to a backwoods creationist, who will ban books and champion white secessionist causes. The respective coverage of the two candidates is ironic in a variety of ways, but in one especially — almost every charge against Palin (that she is under wraps, untruthful, and inept) was applicable only to Biden.

So we are about to elect a vice president about whom we know only that he has been around a long time, but little else — and nothing at all why exactly Joe Biden says the most astounding and often lunatic things.

Imagine the reaction of Newsweek or Time had moose-hunting mom Sarah Palin claimed FDR went on television to address the nation as President in 1929, or warned America that our enemies abroad would test John McCain and that his response would result in a radical loss of his popularity at home.

THE PAST AS PRESENT
In 2004, few Americans knew Barack Obama. In 2008, they may elect him. Surely his past was of more interest than his present serial denials of it. Whatever the media's feelings about the current Barack Obama, there should have been some story that the Obama of 2008 is radically different from the Obama who was largely consistent and predictable for the prior 30 years.

Each Obama metamorphosis in itself might be attributed to the normal evolution to the middle, as a candidate shifts from the primary to the general election. But in the case of Obama, we witnessed not a shift, but a complete transformation to an entirely new persona — in almost every imaginable sense of the word. Name an issue — FISA, NAFTA, guns, abortion, capital punishment, coal, nuclear power, drilling, Iran, Jerusalem, the surge — and Obama's position today is not that of just a year ago.

Until 2005, Obama was in communication with Bill Ayers by e-mail and phone, despite Ayers reprehensible braggadocio in 2001 that he remained an unrepentant terrorist. Rev. Wright was an invaluable spiritual advisor — until spring of 2008. Father Pfleger was praised as an intimate friend in 2004 — and vanished off the radar in 2008. The media might have asked not just why these rather dubious figures were once so close to, and then so distant from, Obama; but why were there so many people like Rashid Khalidi and Tony Rezko in Obama's past in the first place?

Behind the Olympian calm of Obama, there was always a rather disturbing record of extra-electoral politics completely ignored by the media. If one were disturbed by the present shenanigans of ACORN or the bizarre national call for Americans simply to skip work on election day to help elect Obama (who would pay for that?), one would only have to remember that in 1996 Obama took the extraordinary step of suing to eliminate all his primary rivals by challenging their petition signatures of mostly African-American voters.

In 2004, there was an even more remarkable chain of events in which the sealed divorce records of both his principle primary rival Blair Hull and general election foe, Jack Ryan, were mysteriously leaked, effectively ensuring Obama a Senate seat without serious opposition. These were not artifacts of a typical political career, but extraordinary events in themselves that might well have shed light on present campaign tactics — and yet largely remain unknown to the American people.

Imagine the reaction of CNN or NBC had John McCain's pastor and spiritual advisor of 20 years been revealed as a white supremacist who damned a multiracial United States, or had he been a close acquaintance until 2005 of an unrepentant terrorist bomber of abortion clinics, or had McCain himself sued to eliminate congressional opponents by challenging the validity of African-American voters who signed petitions, or had both his primary and general election senatorial rivals imploded once their sealed divorce records were mysteriously leaked.



SOCIALISM?
The eleventh-hour McCain allegations of Obama's advocacy for a share-the-wealth socialism were generally ignored by the media, or if covered, written off as neo-McCarthyism. But there were two legitimate, but again neglected, issues.

The first was the nature of the Obama tax plan. The problem was not merely upping the income tax rates on those who made $250,000 (or was it $200,000, or was it $150,000, or both, or none?), but its aggregate effect in combination with lifting the FICA ceilings on high incomes on top of existing Medicare contributions and often high state income taxes.

In other words, Americans who live in high-tax, expensive states like a New York or California could in theory face collective confiscatory tax rates of 65 percent or so on much of their income. And, depending on the nature of Obama's proposed tax exemptions, on the other end of the spectrum we might well see almost half the nation's wage earners pay no federal income tax at all.

Questions arise, but were again not explored: How wise is it to exempt one out of every two income earners from any worry over how the nation gathers its federal income tax revenue? And when credits are added to the plan, are we now essentially not cutting or raising taxes, but simply diverting wealth from those who pay into the system to those who do not?

A practical effect of socialism is often defined as curbing productive incentives by ensuring the poorer need not endanger their exemptions and credits by seeking greater income; and discouraging the wealthy from seeking greater income, given that nearly two-thirds of additional wealth would be lost to taxes. Surely that discussion might have been of interest to the American people.

Second, the real story was not John McCain's characterization of such plans, but both inadvertent, and serial descriptions of them, past and present, by Barack Obama himself. "Spreading the wealth around" gains currency when collated to past interviews in which Obama talked at length about, and in regret at, judicial impracticalities in accomplishing his own desire to redistribute income. "Tragedy" is frequent in the Obama vocabulary, but largely confined to two contexts: the tragic history of the United States (e.g., deemed analogous to that of Nazi Germany during World War II), and the tragic unwillingness or inability to use judicial means to correct economic inequality in non-democratic fashion.

In this regard, remember Obama's revealing comment that he was interested only in "fairness" in increasing capital-gains taxes, despite the bothersome fact that past moderate reductions in rates had, in fact, brought in greater revenue to government. Again, fossilized ideology trumps empiricism.

Imagine the reaction of NPR and PBS had John McCain advocated something like abolishing all capital gains taxes, or repealing incomes taxes in favor of a national retail sales tax.

The media has succeeded in shielding Barack Obama from journalistic scrutiny. It thereby irrevocably destroyed its own reputation and forfeited the trust that generations of others had so carefully acquired. And it will never again be trusted to offer candid and nonpartisan coverage of presidential candidates.

Worse still, the suicide of both print and electronic journalism has ensured that, should Barack Obama be elected president, the public will only then learn what they should have known far earlier about their commander-in-chief — but in circumstances and from sources they may well regret.

— NRO contributor Victor Davis Hanson is a senior fellow at the Hoover Institution.

The Chicago Boys

The Wall Street Journal

For the past seven years, U.S. Attorney Patrick Fitzgerald has time and again put the Chicago machine through the prosecutorial cleaners. Come next week, a product of the Windy City's political culture may be on his way to the White House. Now would be a good time to know if a President Obama would keep the pressure on his friends back home.

One of the first Obama political boosters, Tony Rezko, is at the center of the state's highest profile corruption case. Recall that in June the Chicago real-estate developer and Democratic fundraiser was convicted on 16 counts of influence peddling. His sentencing was delayed this month to let Mr. Rezko "engage in discussions" with prosecutors. In other words, Mr. Fitzgerald wants him to spill the beans on Illinois corruption, possibly up to Governor Rod Blagojevich, perhaps in return for a shorter prison term. (Mr. Rezko still faces trial in Chicago in a $10 million business fraud case, as well in Nevada over unpaid casino-gambling debts.)

The Blagojevich administration has been under investigation for years. Mr. Rezko, who raised money for the Governor, solicited $7 million in kickbacks from private firms in exchange for steering state contracts their way. Prosecutors are now interested in toll highway vendor contracts granted by the administration with Mr. Rezko's involvement. They also are looking into who paid for the renovations of the Blagojevich home in Chicago; Mr. Rezko's defunct construction company was the contractor on the project. Meantime, the Governor's approval ratings have sunk to 13%, and Democrats in the state House may move to impeach him.

Mr. Obama has a Rezko image problem himself. The Democratic candidate met the Syrian-born businessman in his final year at Harvard Law School, and they stayed on friendly terms in the next two decades. When Mr. Obama started his run for the state Senate in 1995, Mr. Rezko gave him $2,000 on the first day of the campaign. The Illinois Senator says his political career didn't start in Bill Ayers's living room, but the Rezko wallet certainly launched him on his way. Over the next decade, Mr. Rezko raised as much as $250,000 for him and served on the Obama Senate campaign finance committee in 2004.

A year after his election, Mr. Obama bought his home in Chicago's Kenwood neighborhood with Mr. Rezko's help. At the time, he was the subject of a (then rumored) federal investigation. The men together looked at a house listed at $1.95 million. The seller insisted an adjoining lot must be sold simultaneously, though it was bound by a restrictive covenant that severely limited what the purchaser could do with the lot.

Nevertheless, on the same day that the Obamas offered $1.65 million -- the highest bid on the property -- Mr. Rezko's wife put in for the lot at the listed price of $625,000. (Mrs. Rezko earned $37,000 a year at the time and had assets of $35,000.) In 2006, Mrs. Rezko sold a 10 foot wide strip of her property to Mr. Obama for $112,000 to expand his garden. He paid nearly double the assessed value, but the sale made the Rezko lot less attractive to develop.

As Mr. Obama considered a Presidential run, he gave $159,000 in past donations traceable to Mr. Rezko to charity, and he called the house purchase "boneheaded" and "a mistake in not seeing the potential conflicts of interest or appearances of impropriety." Speaking of Mr. Rezko earlier this year to the Chicago Tribune, Mr. Obama said, "He hadn't asked me for favors." Mr. Rezko hasn't yet told his side of the story. Following his conviction this summer, Mr. Obama said, "This isn't the Tony Rezko I knew." The Senator said the same about the Rev. Jeremiah Wright, after his longtime pastor's "God D--- America" YouTube turn this spring.

Mr. Obama was never the formal target of a government investigation or Senate ethics probe, or charged with any wrongdoing. "I think that I have done a good job in rising politically in this environment, without being entangled in some of the traditional problems of Chicago politics," he told the Tribune.

Chicago is a small political town, and other politicians, including the Daley family and prominent city Republicans, are linked to Mr. Rezko and feel the heat from Mr. Fitzgerald. Before the Rezko case, the prosecutor won a racketeering conviction against former GOP Governor George Ryan. He has indicted a number of aides to Chicago Mayor Richard Daley for corruption in hiring practices at City Hall.

Along with John McCain, Mr. Obama explicitly pledged he wouldn't dismiss Mr. Fitzgerald. But does that mean the prosecutor won't be "promoted" out of Chicago? And while we're at it, will Mr. Obama rule out a pardon for Tony Rezko? Clarifying both points could keep the wheels of justice turning against corruption.

There's a different question for American voters. Mr. Obama pledges to clean up our nation's politics and outpolls John McCain on honesty and ethics. Yet in Chicago, he moved with the Tony Rezkos and endorsed pols like Mayor Daley and Cook County Board President Todd Stroger. Can a politician so steeped in his hometown's ways really be an agent of change in Washington?

So much for spreading the wealth around...

Patriot Post

At one point Obama said, "Just because I want to spread the wealth around, they call me a socialist. The next thing you know, they will call me a communist because I shared my peanut butter sandwich in kindergarten!"

Cute. Of course, Barack Obama isn't proposing to "share" his sandwich. Instead, he's proposing to take your sandwich and share it with someone else. He's assuming that you aren't charitable enough to share it yourself.

Truth is, it is unlikely Obama ever shared a sandwich with anyone. With an average annual income of more than $500,000 between 2000 and 2006, Barack and Michelle only gave two percent—two percent—of their income to charity. Obama's running mate is even more miserly. The Bidens' income averaged $260,000 over the last 10 years, but they averaged just $650 a year in charitable giving.

So much for "spreading the wealth around."

Thursday, October 30, 2008

The True Meaning of 'Historic Vote'

Daniel Henninger

The most basic explanation for why Barack Obama may win next Tuesday is that voters want economic deliverance. The standard fix for this in politics everywhere is to crowbar the old party out and patch in the other one. It is true as well that the historic nature of the nation's first African-American candidacy would play a big role.

Push past the historic candidacy, however, and one sees something even larger at stake in this vote. One sees what Joe (The Plumber) Wurzelbacher saw. The real "change" being put to a vote for the American people in 2008 is not simply a break from the economic policies of "the past eight years" but with the American economic philosophy of the past 200 years. This election is about a long-term change in America's idea of itself.

I don't agree with the argument that an Obama-Pelosi-Reid government is a one-off, that good old nonideological American pragmatism will temper their ambitions. Not true. With this election, the U.S. is at a philosophical tipping point.

The goal of Sen. Obama and the modern, "progressive" Democratic Party is to move the U.S. in the direction of Western Europe, the so-called German model and its "social market economy." Under this notion, business is highly regulated, as it would be in the next Congress under Democratic House committee chairmen Markey, Frank and Waxman. Business is allowed to create "wealth" so long as its utility is not primarily to create new jobs or economic growth but to support a deep welfare system.

The political planets are aligned to make this achievable. In the aftermath of the financial crisis, prominent Democrats, European leaders in France and Germany and more U.S. newspaper articles than one can count have said that the crisis proves the need to permanently tame the American "free-market" model. P.O.W. Alan Greenspan is broadcasting confessions. The question is: Are the American people of a mind to throw in the towel on the system that got them here?

This would be a historic shift, one post-Vietnam Democrats have been trying to achieve since their failed fight with Ronald Reagan's "Cowboy Capitalism."

Of course Cowboy Capitalism built the country. More than any previous nation in history, the United States made its way forward on a 200-year wave of upwardly mobile, profit-seeking merchants, tradesmen, craftsmen and workers. They blew out of New England and New York, rolled across the wildernesses of the Central States, pushed across a tough Western frontier and banged into San Francisco and Los Angeles, leaving in their path city after city of vast wealth.

The U.S. emerged a superpower, and the tool of that ascent was simple -- the pursuit of economic growth. Now China, India and Brazil, embracing high-growth Cowboy Capitalism, are doing what we did, only their cities are bigger.

Now comes Barack Obama, standing at the head of a progressive Democratic Party, his right hand rising to say, "Mothers, don't let your babies grow up to be for-profit cowboys. It's time to spread the wealth around."

What this implies, undeniably, is that the United States would move away from running with the high GDP, high-growth nations rising today as economic and political powers and move over to retire with the low-growth economies we displaced -- old Europe.

As noted in a 2006 World Bank report, spending in Europe on social-protection programs averages 19% of GDP (85% of it on social insurance programs), compared to 9% of GDP in the U.S. The Obama proposals send the U.S. inexorably and permanently toward European levels of social protection. This isn't an "agenda." It's a final temptation.

In partial detail:

Obama's federalized medical insurance system starts the transition away from private medical care and toward Obama's endlessly promised "universal health care." This has always been the sine qua non of planting a true, managed-market economy in the U.S.

Obama's refundable tax credits are direct cash transfers from the federal government. This would place some 48% of Americans, nearly half, out of the income tax system. More than a tax proposal, this is a deep philosophical shift, an American version of being "on the dole."

His stated intent to renegotiate free-trade agreements such as Nafta is a philosophical shift. It abandons the tradition of a hyper-competitive America dating back to the Industrial Revolution, toward a protected, domestic workforce, as in Western Europe. The Democratic proposal to eliminate private union votes -- "card check" -- ensures the spread of a static, Euro-style workforce.

Eliminating the ceiling on payroll taxes changes Social Security from an insurance to a welfare program. Obama's tax credits requires performing government-identified activities, the essence of a "directed economy."

All this would transform the animating American idea -- away from creation and toward protection.

Many voters -- progressive Democrats, the asset-safe rich, academics and college students -- regard this as where America should go. They explicitly want America's great natural energies transferred away from unwieldy economic competition and toward social construction. They want the U.S. to reduce its "footprint" in the world. Monies saved by stepping down from superpower status can be reprogrammed into "investments" (a favorite Obama word) in a vast Euro-style hammock of social protection programs.

One wishes John McCain had been better able to make clear what the truly "historic" meaning of Tuesday's vote is. Once it's done, it's done.

Saunders: Why Obama isn't the man for the White House

Debra J. Saunders

Barack Obama has waged a brilliant, disciplined campaign for the White House. To the extent that Obama's campaign demonstrates his strategic and organizational abilities, the junior Illinois senator has the potential to be a great leader. The son of a Kenyan father who came to Hawaii for a university education, Obama can claim a personal story that makes him, as former Secretary of State Colin Powell put it, "a transformational figure" in American politics.

Having opposed the war in Iraq before it began, Obama never had to gin up phony excuses for voting to authorize the use of military force in Iraq - as did four of his Democratic primary election opponents, including his running mate Joe Biden. He had the cleanest slate of all the Democratic presidential hopefuls, and thus appeared as the candidate most consistent with his party's values.

Yes, he is impressive, but here are my problems with Barack Obama:

Taxes. During the last presidential debate with GOP opponent John McCain, Obama repeatedly claimed that under his plan, the rich would pay "a little more" in taxes.

A little more? Obama has proposed increasing the top tax rate to 39.6 percent from 35 percent. He also has talked about extending Social Security taxes on those with incomes above $250,000. The Tax Policy Center noted that if Obama carried through on the idea, which is not included in his official plan, "the proposal could raise effective tax rates on labor income for high earners above 52 percent (and more than 55 percent for residents of states with high income taxes such as California)."

The Tax Policy Center also estimates that, under Plan Obama, 49 percent of Americans will not pay federal income taxes. So when Obama talks up his plan to send a $500 to $1,000 "rebate" to American taxpayers, he is talking welfare. And if half of American voters don't pay income taxes, then what is to stop them from raising taxes on the half that does? So much for Obama's 30-minute television commercial calling for a "new era of responsibility."

Iraq. When Obama talks about Iraq, he usually focuses on the $10 billion spent in Iraq each month that could go to domestic spending, not on the more than 4,100 U.S. troops who have made the ultimate sacrifice on foreign soil. Will Obama decide that he can leave Iraq even if it collapses - then wash his hands and toss the blame to George W. Bush, as he has done for the last two years?

Afghanistan. Then how much support will there be for the war in Afghanistan when costs $5 billion a month?

He's no moderate. In 2005, Obama could have joined the Gang of 14 - the group of seven Democrats and seven Republicans (including McCain) who worked out a compromise to successfully limit judicial filibusters - but he didn't. In his memoir, "The Audacity of Hope," Obama explained his decision thus: "Given the profiles of some of the judges involved, it was hard to see what judicial nominee might be so much worse as to constitute an 'extraordinary circumstance' worthy of filibuster." Moderate? Hardly. Obama even voted opposite 78 senators who confirmed the nomination of Chief Justice John Roberts.

Results don't matter. Obama served on the board of directors of the Chicago Annenberg Challenge from 1995 to 2002. The challenge spent some $49 million to reform Chicago public schools - with nothing to show for it. According to 2003 audit, "There were no statistically significant differences between Annenberg schools and non-Annenberg schools in rates of achievement gain."

In his first memoir, "Dreams from My Father," Obama writes about his days as a community organizer and of his efforts to fight inner-city crime and improve public housing. He barely addresses whether a project met its stated goal of reducing crime or improving housing. To him, the effort worked if participants felt good about being organized.

The pander problem. You see it in his call for a 90-day moratorium on housing foreclosures - which he rightly scoffed when Hillary Rodham Clinton first proposed it. Sounds good - Who cares if it works? Ditto his promised 5 million "green collar" jobs.

One-party rule. With Democrats running the House and Senate, an Obama White House threatens to bust the budget, just as one party-rule bloated federal spending from 2001-2006 with Republicans in charge of both Congress and the executive branch. Already Obama's proposed stimulus package has grown from $60 billion to $175 billion, while D.C. Democrats now are talking about $300 billion package. See what happens if he is elected.

Tuesday, October 28, 2008

Obama's 'Redistribution' Constitution

The courts are poised for a takeover by the judicial left.

One of the great unappreciated stories of the past eight years is how thoroughly Senate Democrats thwarted efforts by President Bush to appoint judges to the lower federal courts.

[Commentary] Chad Crowe

Consider the most important lower federal court in the country: the United States Court of Appeals for the District of Columbia Circuit. In his two terms as president, Ronald Reagan appointed eight judges, an average of one a year, to this court. They included Robert Bork, Antonin Scalia, Kenneth Starr, Larry Silberman, Stephen Williams, James Buckley, Douglas Ginsburg and David Sentelle. In his two terms, George W. Bush was able to name only four: John Roberts, Janice Rogers Brown, Thomas Griffith and Brett Kavanaugh.

Although two seats on this court are vacant, Bush nominee Peter Keisler has been denied even a committee vote for two years. If Barack Obama wins the presidency, he will almost certainly fill those two vacant seats, the seats of two older Clinton appointees who will retire, and most likely the seats of four older Reagan and George H.W. Bush appointees who may retire as well.

The net result is that the legal left will once again have a majority on the nation's most important regulatory court of appeals.

The balance will shift as well on almost all of the 12 other federal appeals courts. Nine of the 13 will probably swing to the left if Mr. Obama is elected (not counting the Ninth Circuit, which the left solidly controls today). Circuit majorities are likely at stake in this presidential election for the First, Second, Third, Fourth, Fifth, Sixth, Seventh and Eleventh Circuit Courts of Appeal. That includes the federal appeals courts for New York City, Los Angeles, Chicago, Boston, Philadelphia and virtually every other major center of finance in the country.

On the Supreme Court, six of the current nine justices will be 70 years old or older on January 20, 2009. There is a widespread expectation that the next president could make four appointments in just his first term, with maybe two more in a second term. Here too we are poised for heavy change.

These numbers ought to raise serious concern because of Mr. Obama's extreme left-wing views about the role of judges. He believes -- and he is quite open about this -- that judges ought to decide cases in light of the empathy they ought to feel for the little guy in any lawsuit.

Speaking in July 2007 at a conference of Planned Parenthood, he said: "[W]e need somebody who's got the heart, the empathy, to recognize what it's like to be a young teenage mom. The empathy to understand what it's like to be poor, or African-American, or gay, or disabled, or old. And that's the criteria by which I'm going to be selecting my judges."

On this view, plaintiffs should usually win against defendants in civil cases; criminals in cases against the police; consumers, employees and stockholders in suits brought against corporations; and citizens in suits brought against the government. Empathy, not justice, ought to be the mission of the federal courts, and the redistribution of wealth should be their mantra.

In a Sept. 6, 2001, interview with Chicago Public Radio station WBEZ-FM, Mr. Obama noted that the Supreme Court under Chief Justice Earl Warren "never ventured into the issues of redistribution of wealth and sort of more basic issues of political and economic justice in this society," and "to that extent as radical as I think people tried to characterize the Warren Court, it wasn't that radical."

He also noted that the Court "didn't break free from the essential constraints that were placed by the Founding Fathers in the Constitution, at least as it has been interpreted." That is to say, he noted that the U.S. Constitution as written is only a guarantee of negative liberties from government -- and not an entitlement to a right to welfare or economic justice.

This raises the question of whether Mr. Obama can in good faith take the presidential oath to "preserve, protect, and defend the Constitution" as he must do if he is to take office. Does Mr. Obama support the Constitution as it is written, or does he support amendments to guarantee welfare? Is his provision of a "tax cut" to millions of Americans who currently pay no taxes merely a foreshadowing of constitutional rights to welfare, health care, Social Security, vacation time and the redistribution of wealth? Perhaps the candidate ought to be asked to answer these questions before the election rather than after.

Every new federal judge has been required by federal law to take an oath of office in which he swears that he will "administer justice without respect to persons, and do equal right to the poor and to the rich." Mr. Obama's emphasis on empathy in essence requires the appointment of judges committed in advance to violating this oath. To the traditional view of justice as a blindfolded person weighing legal claims fairly on a scale, he wants to tear the blindfold off, so the judge can rule for the party he empathizes with most.

The legal left wants Americans to imagine that the federal courts are very right-wing now, and that Mr. Obama will merely stem some great right-wing federal judicial tide. The reality is completely different. The federal courts hang in the balance, and it is the left which is poised to capture them.

A whole generation of Americans has come of age since the nation experienced the bad judicial appointments and foolish economic and regulatory policy of the Johnson and Carter administrations. If Mr. Obama wins we could possibly see any or all of the following: a federal constitutional right to welfare; a federal constitutional mandate of affirmative action wherever there are racial disparities, without regard to proof of discriminatory intent; a right for government-financed abortions through the third trimester of pregnancy; the abolition of capital punishment and the mass freeing of criminal defendants; ruinous shareholder suits against corporate officers and directors; and approval of huge punitive damage awards, like those imposed against tobacco companies, against many legitimate businesses such as those selling fattening food.

Nothing less than the very idea of liberty and the rule of law are at stake in this election. We should not let Mr. Obama replace justice with empathy in our nation's courtrooms.

The "Change We Need"

IBD.com

Jack Kemp and Peter Ferrara

Are Barack Obama's proposed tax increases adversely affecting our financial markets? We say yes, unambiguously. The senator has done a masterful job distracting attention from his tax increases with his $500-per-worker tax credit supposedly for 95% of Americans.

Obama has also set forth more than half a dozen additional refundable income tax credits targeted to low- and moderate-income workers for child care, education, housing, welfare, retirement, health care and other social purposes.

These tax credits are devised to phase-out based on income, which will ultimately increase marginal income tax rates for middle-class workers. In other words, as you earn more, you suffer a penalty in the phase-out of these credits, which has the exact effect of a marginal tax rate increase. That harms, rather than improves, the economy.

With the bottom 40% of income earners not paying any federal income taxes, such tax credits would not reduce any tax liability for these workers. Instead, since they're refundable, they would involve new checks from the federal government.

These are not tax cuts as Obama is promising. They are new government spending programs buried in the tax code and estimated to cost $1.3 trillion over 10 years.

Obama argues that while these workers do not pay income taxes, they do pay payroll taxes. True, but his planned credits do not involve cuts in payroll taxes. They are refundable income tax credits designed to redistribute income and "spread the wealth."

Meantime, Obama has proposed effective tax increases of 20% or more in the two top income-tax rates, phasing out the personal exemptions and all itemized deductions for top earners, as well as raising their tax rates.

He wants a 33% increase in the tax rates on capital gains and dividends, an increase of 16% to 32% in the top payroll tax rate, reinstatement of the death tax with a 45% top rate, and a new payroll tax on employers estimated at 7% to help finance his health insurance plan. He's also contending for higher tariffs under his protectionist policies.

Finally, he would increase corporate taxes by 25%, though American businesses already face the second-highest marginal tax rates in the industrialized world, thus directly harming manufacturing and job creation while weakening demand for the dollar.

Obama argues disingenuously that his tax increases would only affect higher-income workers and "corporate fat cats." But it is precisely these top marginal tax rates that control incentives for savings, investment, entrepreneurship, business expansion, jobs and economic growth. While he wants to tax the rich, the burden will fall on the poor and the middle class.

In their new book, "The End of Prosperity," Art Laffer, Steve Moore and Peter Tanous argue that the threat of this tax tsunami is already destabilizing our financial markets and causing capital flight from America.

They write, "Hot capital is escaping over the borders out of the United States and flowing into China, India, Europe, and even Japan. . . Starting in late 2007, foreigners started pulling their money out of the United States, and Americans started investing more abroad. Global investors are losing confidence in the U.S."

The American economy was in shambles when Reagan entered office in 1981. Inflation had soared by 25% over the prior two years, unemployment was heading toward 10%, the prime interest rate hit 21%, poverty was on a 33% upswing and real family income had decreased by almost 10% due to the stagflation of the late 1970s.

Reagan cut the top income-tax rate from 70% to 50%, adopted an additional 25% across-the-board rate cut and sliced capital gains taxes in half. The 1986 tax reform left us with just two tax rates of 15% and 28%. Reagan slashed spending growth, lowered tariffs, reduced regulatory burdens and promoted anti-inflation monetary policies.

The result, the authors explain, was actually a 25-year, noninflationary economic boom, with only two brief, mild recessions in 1990 and 2001. "We call this period, 1982-2007, the 25-year boom — the greatest period of wealth creation in the history of the planet," they write. "Adjusting for inflation, more wealth was created in America in the 25-year boom than in the previous 200 years."

By 1989, the economy had grown by almost one-third, the equivalent of adding the entire economy of West Germany to our U.S. economy. In 1984 alone, real economic growth boomed by 6.8%, the highest in 50 years. Nearly 20 million new jobs were created in the 1980s, increasing U.S. civilian employment by almost 20%. Unemployment fell to 5.3% by 1989.

Spectacularly, inflation was slashed to 3.2% by 1983. The prime rate fell to 6.25% by 1992, even though opponents had argued that Reagan's tax cuts would increase interest rates. Family income reversed its decline, poverty reversed its rise and tax revenues actually doubled.

This is the "Change We Need" today.

Monday, October 27, 2008

European Socialism -- Coming Soon to a Country Near You

Pete du Pont

Barack Obama is likely to become the next president of the United States.

Six weeks ago John McCain was leading Mr. Obama. But according to RealClearPolitics, as of yesterday Mr. Obama led in the national polls by just under 8% and in the Electoral College by 306 to 157 (a majority is 270). Throughout his campaign Mr. Obama has successfully presented himself as a careful and sensible person and was recently endorsed by Christopher Buckley, son of the late William F. Buckley, as having a "first-class temperament and a first-class intellect."

But Mr. Obama will most likely be our most liberal public policy president since Franklin D. Roosevelt. Since President Bush is not popular (his approval rating is at 25%, with 71% disapproving), Mr. McCain has not run an inspiring campaign, and most people have declining confidence in our economic and financial system, voters have simply decided it is time for change. Gallup reports that just 7% of Americans are satisfied with the way things are going, so voters seem to have concluded that they will take a chance on Mr. Obama, whatever his policies may be.

The only organization with a worse rating than the Republican president is the Democratic Congress—14% approval, 75% disapproval. But there, too, the Democrats will gain strength. They are expected to increase their majority in the House, and current polling shows that in Senate races Democrats will increase their members from the current 51 (including two independents who caucus with the Democrats) to at least 57. They may even achieve the 60 votes needed to overcome a filibuster.

So where is the new Obama administration likely to take us? Seven things seem certain:

  • The U.S. military will withdraw from Iraq quickly and substantially, regardless of conditions on the ground or the obvious consequence of emboldening terrorists there and around the globe.
  • Protectionism will become our national trade policy; free trade agreements with other nations will be reduced and limited.
  • Income taxes will rise on middle- and upper-income people and businesses, and individuals will pay much higher Social Security taxes, all to carry out the new president's goals of "spreading the wealth around."
  • Federal government spending will substantially increase. The new Obama proposals come to more than $300 billion annually, for education, health care, energy, environmental and many other programs, in addition to whatever is needed to meet our economic challenges. Mr. Obama proposes more than a 10% annual spending growth increase, considerably higher than under the first President Bush (6.7%), Bill Clinton (3.3%) or George W. Bush (6.4%).
  • Federal regulation of the economy will expand, on everything from financial management companies to electricity generation and personal energy use.
  • The power of labor unions will substantially increase, beginning with repeal of secret ballot voting to decide on union representation.
  • Free speech will be curtailed through the reimposition of the Fairness Doctrine to limit the conservative talk radio that so irritates the liberal establishment.

These policy changes will be the beginning of the Europeanization of America. There will be many more public policy changes with similar goals—nationalized health care, Kyoto-like global-warming policies, and increased education regulation and spending.

Additional tax advantages for lower and middle income people will be enacted: a 10% mortgage tax credit that would average about $500 per household per year, a $4,000 tax credit for college tuition, a tax credit covering half of child-care expenses up to $6,000 per year, and even a $7,000 credit for purchase of a clean car.

More important, all but the clean car credit would be "refundable," meaning people will get a check for them if they owe no taxes, which is simply a transfer of income from the government to individuals. In reality this is the beginning of a new series of entitlements for middle-class families, the longer-term effect of which will be to make those families more dependant on (and so more supportive of) larger government. The Tax Policy Center estimates that these refundable tax credits would cost the government $648 billion over 10 years.

These are Mr. Obama's plans. Meanwhile, congressional Democrats would increase spending for their own interests and favorite programs. More important, the Congress will consider itself more important than a freshman president who has never held an executive position, so they will do what they want and he will have to go along with most of it.

What can the Republicans in Washington to do to avoid the Europeanization of America? The obvious answer is to win some elections two years from now to reduce the congressional power of those who favor it. But in the meantime they need stronger, better leadership of their minority party.

Then they need to make the case against each of the issues noted above; why they would be a mistake, what their cost would be to the economy, jobs and people and their families, and what would be a better approach. They will not win all the fights, but on protectionism, higher taxes and broader government regulation they can win the support of a great many Americans. And that might keep America from becoming Europeanized and our people from losing their money, their jobs and the market freedom of our country.

DUBIOUS DONATIONS

BAM'S WEB SITE INVITES FRAUD

Obama: Failing to put up basic blocks against fraudulent giving.
Obama: Failing to put up basic blocks against fraudulent giving.

Scott W. Johnson

Barack Obama has proved the greatest fund-raiser of all time by a long shot. His campaign has raised more than $600 million - $150 million in September alone. But the campaign has also failed to adopt standard protections against fraudulent giving.

The average contribution to Obama in September was just under $86. And federal law only requires the disclosure of identifying information for contributions in excess of $200. Campaigns must keep running totals for each donor and report them once they exceed $200.

The Federal Election Commission says the Obama campaign has reported well over $200 million as coming from contributions of $200 or less. Only a small portion of that sum is attributable to donors the Obama campaign has disclosed.

No presidential campaign has ever before received such a gargantuan sum of money from unidentified contributors.

The campaign's records reveal big contributors with names like "Doodad Pro" (employer: "Loving," profession: "You") and "Good Will" (same employer and profession). Both donated via credit card. Other reports have suggested that some donations come from overseas - raising the question of whether Obama is accepting donations from foreigners, another violation of federal law.

All of which prompted an enterprising citizen to test the controls put in place to enforce compliance with federal campaign law by the Obama and McCain campaigns. Last Thursday, he decided to conduct an experiment.

He went to the Obama campaign Web site and made a donation under the name "John Galt" (the hero of Ayn Rand's novel "Atlas Shrugged"). He provided the equally fictitious address "1957 Ayn Rand Lane, Galts Gulch, CO 99999."

He checked the box next to $15 and entered his actual credit-card number and expiration date. He was then taken to the next page and notified that his donation had been processed.

He then tried the same experiment on the McCain site, which rejected the transaction. He returned to the Obama site and made three more donations using the names Osama bin Laden, Saddam Hussein and Bill Ayers, all with different addresses but the same credit card. The transactions all went through. By Saturday, he'd reported that the transactions had all posted to his credit-card account.

Others repeated "John Galt's" experiment last week, giving to Obama under such fictitious names as Della Ware, Joe Plumber, Idiot Savant, Ima BadDonation (with a Canadian bank card) and Fake Donor.

What accounts for the Obama campaign's acceptance of these fraudulent donations? Most merchants selling goods and services use the basic Address Verification System that screens credit-card charges for matching names and addresses. (It can also screen cards issued by foreign banks.) The McCain campaign uses AVS and provides a searchable database of all donors, including those who fall below the $200 threshold. The Obama campaign apparently has chosen not to use the AVS system to screen donations.

"Della Ware" contacted The New York Times to report her experience contributing under a fictitious name and address ("12345 No Way") to the Obama campaign, while her contribution was rejected by the McCain campaign. Times reporter Michael Luo verified "Della Ware's" account and reported it online at the Times' campaign blog. But Luo missed the story's point.

"To be fair to the Obama campaign," he wrote, its "officials have said much of their checking for fraud occurs after the transactions have already occurred. When they find something wrong, they then refund the amount."

But the Obama campaign is running a system that complicates the discovery of "something wrong." It has chosen to operate an online contribution system that facilitates illegal falsely sourced contributions, illegal foreign contributions and the evasion of contribution limits.

Obama backers making such contributions may not be worried that "something wrong" will be detected if they have no intention of complaining about it.

According to journalist Kenneth Timmerman, the Obama site did not ask for proof of citizenship until just recently - in contrast not just with McCain but also with Hillary Clinton. Sen. Clinton's presidential campaign required US citizens living abroad to fax copies of their passports before it would accept donations. By contrast, foreign donors to Obama can just use credit cards and false addresses.

Why has the Obama campaign chosen to operate without the basic automated credit-card controls that would prevent or hamper fraud and illegal contributions? Has it made a conscious decision to assist the evasion of federal campaign law or worry about it after it has had the use of the money?

It's hard to see any other motive.

Saturday, October 25, 2008

Obama Staffers Pull their Bogus Ohio Ballots

New York Post

Thirteen campaign workers for Barack Obama yesterday yanked their voter registrations and ballots in Ohio after being warned by a prosecutor that temporary residents can't vote in the battleground state.

A dozen staffers - including Obama Ohio spokeswoman Olivia Alair and James Cadogan, who recently joined Team Obama - signed a form letter asking the Franklin County elections board to pull their names from the rolls.

The letter - a copy of which was obtained by palestra.net, a Fox News affiliate - came a day after prosecutor Ron O'Brien publicly urged out-of-state campaign workers for both Obama and John McCain to "examine your conscience" before the elections board beings begins opening absentee ballots today.

Earlier in the week, O'Brien spoke with lawyers for both camps and urged them to make sure their staffs met permanent-residency rules, or face possible felony charges.

Also pulling his ballot yesterday was Hofstra University grad Jake Smith, an Obama volunteer who had voted in Knox County, Ohio.

On Thursday, O'Brien cut a deal with 13 out-of-staters, including four from New York, who tossed out their already-cast ballots and admitted they didn't meet residency requirements.

Wednesday, October 22, 2008

America's other deficit: Leadership

Christian Science Monitor

A staggering 80 percent of survey respondents say we have a leadership crisis.

America has a full plate right now. Must we really add "leadership crisis" to that dish?

Apparently so. A startling 80 percent of the American people believe there is a leadership crisis in this country. In a nation so sharply divided on so many issues – politically and culturally – rare indeed is an 80 percent public consensus.

This view of American leadership, according to the latest survey [PDF] conducted by the Center for Public Leadership at Harvard Kennedy School and the Merriman River Group, is up substantially from the already high 65 percent reported when the annual survey began in 2005. And that 80 percent may well understate the degree of dissatisfaction existing today, since the survey was completed as the financial crisis was still unfolding this past September.

The first reaction of some may be to ask what the remaining 20 percent can possibly be thinking, given the pileup of policy failures on the part of our political leaders. Another reaction might be that the perceived "leadership crisis" may simply be a rough proxy for the public's dissatisfaction with the Bush administration and the current Congress.

But strikingly, our survey finds that the negative consensus on the nation's leadership goes beyond government – and reaches nearly every one of the country's most important sectors and institutions.

In the case of business, the executive branch of government, Congress, religion, education, the Supreme Court, and state government, the public's confidence in their leaders has suffered the biggest drop since our survey began. Not surprisingly, over the past year the single sharpest decline in the public's confidence registered against business leaders. Only Congress, the "alternative" news media, and the executive branch of the federal government inspired lower ranking.

Leaders in only two institutions – the military and the medical profession – enjoy even a "moderate" level of public confidence. And then just barely.

Moreover, the public seems to understand that this leadership deficit is unsustainable if the United States is to maintain its position as the world's leading economic, technological, and military power: 71 percent agreed that without better leaders, the US will decline as a nation.

Several years ago, the pioneering leadership scholar Warren Bennis wondered how it could be that the much smaller society at the time of the United States' founding could have produced six world-class leaders: Washington, Jefferson, Hamilton, Madison, Adams, and Franklin – while in recent times, he suggested, we seem to struggle to find even one or two.

Indeed, at the presidential level, our survey indicates that relatively few Americans believe they will be choosing, on Nov. 4, between two good leaders (albeit proponents of divergent policy agendas).

Only 30 percent of Barack Obama's partisans have even moderate confidence that a President McCain would prove to be a good leader; and a mere 19 percent of John McCain's supporters have that level of confidence about a President Obama.

The near-perfect storm of challenges facing the nation has created an urgent need for better leadership. But how do we restore the public's confidence in leaders in our most important institutions and sectors?

They have to earn it back.

Those of us who work in these domains have ample opportunity – and in these troubled times, the responsibility – to do our part.

In some of these sectors, there is a pressing need for leaders to demonstrate greater commitment to the common good and less to their own self-interest. More such commitment is expected from those in the public sector than in the private. But the financial crisis has made abundantly clear that the unfettered pursuit of self-interest by even the most private of private sector actors can have calamitous results. Those consequences affect both the economy and average Americans. Accordingly, more should be expected from private sector leaders than minimally meeting their legal obligations.

Our policymakers, simply put, must be extraordinarily competent. Consider the challenge of the ongoing financial crisis. The center of gravity of the administration's response has shifted a couple of times and will probably continue to evolve. But what is striking is how few – in the government, or among its critics – purport to know exactly what to do to solve the problem.

Public sector leaders must level with the American people about the challenges our nation faces, and the trade-offs and sacrifices entailed in addressing them.

The magnitude and complexity of these challenges demands extraordinary effectiveness. The public is ready for leaders in all sectors to reaffirm and demonstrate their commitment to the common good and to pull their weight in meeting the challenges of our times.

David Gergen and Andy Zelleke are director and codirector, respectively, of the Center for Public Leadership at the Harvard Kennedy School.

Tuesday, October 21, 2008

Monday, October 20, 2008

ACORN Intimidated Workers

New York Post

Adam Nichols and Jeane MacIntosh

Pushed to meet daily quotas and bullied by bosses if they didn't, Ohio ACORN workers faked voter registrations, signed up people more than once, and even paid off registrants to keep from being fired, its canvassers told The Post.

"Every day, there was pressure on us. Every single day," said Teshika Elder, a Cleveland single mom of three who worked for ACORN this summer.

"We had meetings every morning where they'd go over your quota; they'd yell at you if you were low," said Elder, 21. "They'd sit us down and say if you didn't do better, they'd suspend you. They'd say, 'Try harder next time,' [and] if you didn't get it, you'd be fired."

Desperate canvassers sometimes resorted to trading cigarettes, cash and food in exchange for registrations, according to Elder and two other former ACORN workers, Jaymes Sanford, 18, and Selvin Cunningham, 23.

Some voters were signed up more than once, and said that worried - or lazy - canvassers sometimes filled out bogus cards.

The three workers were all fired after they and a dozen other canvassers were identified in a Cuyahoga County Election Board probe as having turned in multiple registrations for the same voters.

The board, which estimates it got more than 8,700 suspect cards - with multiple registrations, bad addresses or phony information - from ACORN has turned the matter over to local prosecutors.

"It was just little stuff - a dollar, a cigarette - given to people so that they'd register," said Sanford, a former team leader.

"People are scared of not making their quotas," he said. "I didn't do it, but it's the way it worked."

Elder added, "I've got no money to give out. I don't smoke, so I had no cigarettes to offer. But other people did, and the pressure you were under forced you to."

Cunningham, who also had been a team leader, said, "They're pretty lenient if you're off [quota] by just a few names. But if you're repeatedly missing your quota, if you only had three or four [people signed up], then you might start paying people."

Anyone caught offering bribes, Cunningham said, was supposed to be fired.

But a woman with Cunningham who identified herself as a current ACORN director said not all rogue canvassers are shown the door.

"Those guys are still working at ACORN," said the director, who asked not to be identified. "We know who they are; we've told them not to do it. But they weren't among the people fired."

The director also confirmed the ousted workers' quota claims: team leaders, who are paid $9 an hour, are required to get 26 registrations a day. Canvassers, who make $8 an hour, need 22 sign-ups.

Sanford, who estimates he registered 500 to 1,000 voters, and Cunningham, who signed up about 1,500, said its hard not to get multiple registrations.

"When you're asking 1,000 people a day if they registered, you don't remember every face," Cunningham said.

Tidbits

"Every single presidential campaign boils down to an argument about how the candidates 'see America.' Suddenly that question is out of bounds because Obama is black? According to the liberal history books, in 1988 the GOP cast Michael Dukakis as too elitist, cosmopolitan and not American enough. In 1992, it ran a similar attack against Bill Clinton—remember the hullabaloo about draft dodging and that trip to Russia? In 2000, ditto with Al Gore, though the emphasis was less on foreignness and more on extraterrestrialness. And in 2004, there was John Kerry's 'global test' for U.S. national security. Lack of originality notwithstanding, why is it suddenly racist to treat Obama just like the four white guys who preceded him? Talk about racial double standards. Obama holds mega-campaign rallies in Berlin, touts his global appeal and says a top foreign policy goal is to get other countries to like us. But it's racist to call him cosmopolitan? He has nontrivial ties to an unrepentant (and white) former leader of the Weather Underground, a radical leftist organization that sought to kill American soldiers, policemen and politicians. But it's 'racist' to bring that up? (If anything, by not attacking Obama's ties to the Rev. Jeremiah Wright and other politically unsavory nonwhite associates, McCain is self-censoring for fear of seeming racist.) If Obama were a white Democratic nominee named Barry O'Malley, the GOP would be going after him twice as hard. But liberal Democrats would still caterwaul about fomenting hatred and racism, because that's what they always do." —Jonah Goldberg

"Apparently there is something about Sarah Palin that causes some people to think of her as either the best of candidates or the worst of candidates. She draws enthusiastic crowds and provokes visceral hostility in the media. The issue that is raised most often is her relative lack of experience and the fact that she would be 'a heartbeat away from the presidency' if Senator John McCain were elected. But Barack Obama has even less experience—none in an executive capacity—and his would itself be the heartbeat of the presidency if he were elected. Sarah Palin's record is on the record, while whole years of Barack Obama's life are engulfed in fog, and he has had to explain away one after another of the astounding and vile people he has not merely 'associated' with but has had political alliances with, and to whom he has directed the taxpayers' money and other money. Sarah Palin has had executive experience—and the White House is the executive branch of government. We don't have to judge her by her rhetoric because she has a record. We don't know what Barack Obama will actually do because he has actually done very little for which he was personally accountable... Sarah Palin is the one real outsider among the four candidates for the presidency and vice-presidency on the Republican and Democratic tickets. Her whole career has been spent outside the Washington Beltway. More than that, her whole life has been outside the realm familiar to the intelligentsia of the media. She didn't go to the big-name colleges and imbibe the heady atmosphere that leaves so many feeling that they are special folks. She doesn't talk the way they talk or think the way they think. ... Whatever the shortcomings of John McCain and Sarah Palin, they are people whose values are the values of this nation, whose loyalty and dedication to this country's fundamental institutions are beyond question because they have not spent decades working with people who hate America." —Thomas Sowell

Friday, October 17, 2008

Kraut - Who's Playing the Race Card?

RealClearPolitics

Charles Krauthammer

WASHINGTON -- Let me get this straight. A couple of agitated yahoos in a rally of thousands yell something offensive and incendiary, and John McCain and Sarah Palin are not just guilty by association -- with total strangers, mind you -- but worse: guilty according to The New York Times of "race-baiting and xenophobia."

But should you bring up Barack Obama's real associations -- 20 years with Jeremiah Wright, working on two foundations and distributing money with William Ayers, citing the raving Michael Pfleger as one who helps him keep his moral compass (Chicago Sun-Times, April 2004) and the long-standing relationship with the left-wing vote-fraud specialist ACORN -- you have crossed the line into illegitimate guilt by association. Moreover, it is tinged with racism.

The fact that, when John McCain actually heard one of those nasty things said about Obama, he incurred the boos of his own crowd by insisting that Obama is "a decent person that you do not have to be scared (of) as president" makes no difference. It surely did not stop John Lewis from comparing McCain to George Wallace.

The search for McCain's racial offenses is untiring and often unhinged. Remember McCain's Berlin/celebrity ad that showed a shot of Paris Hilton? An appalling attempt to exploit white hostility at the idea of black men "becoming sexually involved with white women," fulminated New York Times columnist Bob Herbert. He took to TV to denounce McCain's exhumation of that most vile prejudice, pointing out McCain's gratuitous insertion in the ad of "two phallic symbols," the Washington Monument and the Leaning Tower of Pisa.

Except that Herbert was entirely delusional. There was no Washington Monument. There was no Leaning Tower. Just photographs seen in every newspaper in the world of Barack Obama's Berlin rally in the setting he himself had chosen, Berlin's Victory Column.

Herbert is not the only fevered one. On Tuesday night, Rachel Maddow of MSNBC and Jonathan Alter of Newsweek fell over themselves agreeing that the "political salience" of the Republican attack on ACORN is, yes, its unstated appeal to racial prejudice.

This about an organization that is being accused of voter registration fraud in about a dozen states. In Nevada, the investigating secretary of state is a Democrat. Is he playing the race card too?

What makes the charges against McCain especially revolting is that he has been scrupulous in eschewing the race card. He has gone far beyond what is right and necessary, refusing even to make an issue of Obama's deep, self-declared connection with the race-baiting Jeremiah Wright.

In the name of racial rectitude, McCain has denied himself the use of that perfectly legitimate issue. It is simply Orwellian for him to be now so widely vilified as a stoker of racism. What makes it doubly Orwellian is that these charges are being made on behalf of the one presidential candidate who has repeatedly, and indeed quite brilliantly, deployed the race card.

How brilliantly? The reason Bill Clinton is sulking in his tent is because he feels that Obama surrogates succeeded in painting him as a racist. Clinton has many sins, but from his student days to his post-presidency, his commitment and sincerity in advancing the cause of African-Americans have been undeniable. If the man Toni Morrison called the first black president can be turned into a closet racist, then anyone can.

And Obama has shown no hesitation in doing so to McCain. Just weeks ago, in Springfield, Mo., and elsewhere, he warned darkly that George Bush and John McCain were going to try to frighten you by saying that, among other scary things, Obama has "a funny name" and "doesn't look like all those other presidents on those dollar bills."

McCain has never said that, nor anything like that. When asked at the time to produce one instance of McCain deploying race, the Obama campaign could not. Yet here was Obama firing a pre-emptive charge of racism against a man who had not indulged in it. An extraordinary rhetorical feat, and a dishonorable one.

What makes this all the more dismaying is that it comes from Barack Obama, who has consistently presented himself as a healer, a man of a new generation above and beyond race, the man who would turn the page on the guilt-tripping grievance politics of Jesse Jackson and Al Sharpton.

I once believed him.