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If you asked a bunch of Republican politicians for their favorite fiscal policy goals, a balanced budget amendment almost certainly would be high on their list.

This is very unfortunate. Not because a balanced budget amendment is bad, per se, but mostly because it is irrelevant. There’s very little evidence that it produces good policy.

Before branding me as an apologist for big government or some sort of fiscal heretic, consider the fact that balanced budget requirements haven’t prevented states like California, Illinois, Connecticut, and New York from adopting bad policy.

Or look at France, Italy, Greece, and other EU nations that are fiscal basket cases even though there are “Maastricht rules” that basically are akin to balanced budget requirements (though the target is a deficit of 3 percent of economic output rather than zero percent of GDP).

Indeed, it’s possible that balanced budget rules contribute to bad policy since politicians can argue that they are obligated to raise taxes.

Consider what’s happening right now in Spain, as reported by Bloomberg.

Spain’s acting government targeted an extra 6 billion euros ($6.7 billion) a year from corporate tax as it tried to persuade the European Commission not to levy its first-ever fine for persistent budget breaches. …Spain is negotiating with the European Commission over a new timetable for deficit reduction, as well as trying to sidestep sanctions after missing its target for a fourth straight year. Spain is proposing to bring its budget shortfall below the European Union’s 3 percent limit in 2017 instead of this year, Guindos said.

Wow, think about what this means. Spain’s economy is very weak, yet the foolish politicians are going to impose a big tax hike on business because of anti-deficit rules.

This is why it’s far better to have spending caps so that government grows slower than the private sector. A rule that limits the annual growth of government spending is both understandable and enforceable. And such a rule directly deals with the preeminent fiscal policy problem of excessive government.

Which is why we’ve seen very good results in jurisdictions such as Switzerland and Hong Kong that have such policies.

The evidence is so strong for spending caps that even left-leaning international bureaucracies have admitted their efficacy.

I’ve already highlighted how the International Monetary Fund (twice!), the European Central Bank, and the Organization for Economic Cooperation and Development have acknowledged that spending caps are the most, if not only, effective fiscal rule.

Here are some highlights from another study by the Organization for Economic Cooperation and Development.

…the adoption of a budget balance rule complemented by an expenditure rule could suit most countries well. As shown in Table 7, the combination of the two rules responds to the two objectives. A budget balance rule encourages hitting the debt target. And, well-designed expenditure rules appear decisive in ensuring the effectiveness of a budget balance rule (Guichard et al., 2007). Carnot (2014) shows also that a binding spending rule can promote fiscal discipline while allowing for stabilisation policies. …Spending rules entail no trade-off between minimising recession risks and minimising debt uncertainties. They can boost potential growth and hence reduce the recession risk without any adverse effect on debt. Indeed, estimations show that public spending restraint is associated with higher potential growth (Fall and Fournier, 2015).

Here’s a very useful table from the report.

As you can see, expenditure rules have the most upside and the least downside.

Though it’s important to make sure a spending cap is properly designed.

Here are some of the key conclusions on Tax and Expenditure Limitations (TELs) from a study by Matt Mitchell (no relation) and Olivia Gonzalez of the Mercatus Center.

The effectiveness of TELs varies greatly depending on their design. Effective TEL formulas limit spending to the sum of inflation plus population growth. This type of formula is associated with statistically significantly less spending. TELs tend to be more effective when they require a supermajority vote to be overridden, are constitutionally codified, and automatically refund surpluses. These rules are also more effective when they limit spending rather than revenue and when they prohibit unfunded mandates on local government. Having one or more of these characteristics tends to lead to less spending. Ineffective TELs are unfortunately the most common variety. TELs that tie state spending growth to growth in private income are associated with more spending in high-income states.

In other words, assuming the goal is better fiscal policy, a spending cap should be designed so that government grows slower than the productive sector of the economy. That’s music to my ears.

And the message is resonating with many other people in Washington who care about good fiscal policy.

P.S. Hopefully this column explains why I’ve only mentioned “balanced budget amendment” eight times in nearly 4,300 columns over the past seven-plus years. And most of those mentions were incidental or dismissive.

P.P.S. Simply stated, it’s a mistake to focus on the symptom of red ink rather than the underlying disease of excessive government spending.

Something doesn’t add up. People like me have been explaining that California is an example of policies to avoid. Depending on my mood, I’ll refer to the state as the France, Italy, or Greece of the United States.

But folks on the left are making the opposite argument.

A writer for the Huffington Post tells readers that California is proof that the blue-state model can work.

Many factors contribute to California’s preeminence; one being its liberalism. Republicans don’t like to acknowledge California’s success. …The state’s job growth outpaced the nation’s in the first nine months of last year. California’s non-farm employment of 15.7 million people is at an all-time high. …California’s economy has thrived in spite of relatively high taxes and stringent regulations.

Meanwhile, a couple of columnists for the Washington Post are doing a victory dance based on recent California numbers.

…the…experiences of California…run counter to a popular view, particularly among conservative economists, that tax cuts tend to supercharge growth and tax increases chill it. California’s economy grew by 4.1 percent in 2015, according to new numbers from the Bureau of Economic Analysis, tying it with Oregon for the fastest state growth of the year. That was up from 3.1 percent growth for the Golden State in 2014, which was near the top of the national pack. …almost no one can say that raising taxes on the rich killed that recovery.

And let’s not forget that Paul Krugman attacked me two years ago for failing to acknowledge the supposed success story of job creation in California. I thought he made a very silly argument since the Golden State at that time had the 5th-highest unemployment rate in the nation.

But Krugman and the other statists cited above do have a semi-accurate point. There are some statistics showing that California has out-performed many other states over the past couple of years. Let’s look at the numbers. The St. Louis Federal Reserve Bank has a helpful website filled with all sorts of economic data, including figures from the Bureau of Economic Analysis on per-capita income in states.

I selected California for the obvious reason, but also Texas (since it’s often seen as the quintessential “red state”) and Kansas (which has become infamous for a big tax cut). And, lo and behold, if you look at what’s happened to per-capita income in those states, California has enjoyed the most growth.

Is this evidence that high taxes and a big welfare state are good for growth?

Hardly. California’s numbers only look decent because the state fell into a deep hole during the recession. And, generally speaking, a severe recession almost always is followed by good numbers, even if an economy is simply getting back to where it started.

So let’s expand on the above numbers and look at what’s happened not just over the past five years, but also since 2000 and 2005.

And if you look at California’s relative performance over a 10-year period or 15-year period, all of a sudden the Golden State looks a bit tarnished.

By the way, these numbers are not adjusted for either inflation or for cost of living. The former presumably doesn’t matter for our purposes since changing to inflation-adjusted dollars wouldn’t alter the rankings. Meanwhile, the data on cost of living would matter for comparative living standards (for instance, $46,745 in Texas probably buys more than $52,651 in California), but remember that we’re focusing on changes in per-capita income (i.e., which state is enjoying the most growth, regardless of starting point or how much money can buy in that state).

In any event, the numbers clearly show there’s more long-run growth in Texas and Kansas, and it’s long-run growth rates that really matter if you want more prosperity and higher living standards for people.

But let’s not stop there. Our left-wing friends frequently tell us that per-capita income numbers are sometimes a poor measure of overall prosperity since a few rich people can skew the average.

It’s better, they tell us, to look at median household income since that’s a measure of the well-being of ordinary people. And we can get those numbers (only through 2014, though adjusted for inflation) from the Census Bureau. What does this data show for Texas, California, and Kansas?

As you can see, California is in last place, regardless of whether the starting point is 2000, 2005, or 2010. In other words, California may have enjoyed some decent growth in recent years as it got a bit of a bounce from its deep recession, but it appears that the benefits of that growth have mostly gone to the Hollywood crowd and the Silicon Valley folks. I guess this is the left-wing version of “trickle down” economics.

Perhaps most interesting, the short-run numbers show that tax-cutting Kansas has a comfortable lead over tax-hiking California.

If that trend continues, then over time we can expect that the long-run numbers will begin to diverge as well.

Let’s close by looking at some analysis about those two states for those who want some additional perspective.

Victor David Hanson, a native Californian, has a pessimistic assessment of his state. Here’s some of what he wrote for Real Clear Politics.

The basket of California state taxes — sales, income and gasoline — rates among the highest in the U.S. Yet California roads and K-12 education rank near the bottom. …One in three American welfare recipients resides in California. Almost a quarter of the state population lives below or near the poverty line. …the state’s gas and electricity prices are among the nation’s highest. …Current state-funded pension programs are not sustainable. California depends on a tiny elite class for about half of its income tax revenue. Yet many of these wealthy taxpayers are fleeing the 40-million-person state, angry over paying 12 percent of their income for lousy public services. …Connecticut and Alabama combined in one state. A house in Menlo Park may sell for more than $1,000 a square foot. In Madera three hours away, the cost is about one-tenth of that. In response, state government practices escapism, haggling over transgendered restroom issues and the aquatic environment of a 3-inch baitfish rather than dealing with a sinking state.

The bottom line is that he fears the trend line for his state is moving in the wrong direction.

John Hood takes a look at why the Kansas tax cuts have resulted in budget turmoil, while tax cuts in has state of North Carolina haven’t caused much controversy.

How did Kansas and North Carolina end up in such different conditions? For one thing, while the two states both enacted major tax cuts, they weren’t structured the same way. Kansas punched a large hole in its income-tax base by excluding self-employment income. North Carolina briefly created a version of this exclusion in the immediate aftermath of the Great Recession, but then wisely eliminated it in favor of applying a low, uniform tax rate on a broad base of personal income. In Kansas, lawmakers also allowed themselves to be bamboozled by some out-of-state tax “experts” claiming that cutting income taxes would generate so much new investment, entrepreneurship, and population growth that the revenue loss to the state would be substantially offset. This can actually be true, of course — in the very long run, counted in decades. In the short run of state budgeting, however, policymakers are better off making far more conservative assumptions about revenue feedbacks. …Our state policymakers didn’t just reduce and reform taxes. They also controlled expenditures. Since the enactment of the 2013 tax changes, their authorized budgets have never pushed spending growth above the combined rates of inflation and population growth. Actual spending, in fact, has often come in below even these budgeted amounts.

John’s message is that pro-growth tax cuts don’t generate overnight miracles. Lawmakers have to be prudent when calculating Laffer Curve feedback. And they also should make sure there is concomitant restraint on the spending side of the budget.

The bottom line is that the Kansas tax cuts are good for the state’s economy, but they might not be sustainable unless politicians don’t quickly make reforms to cap spending.

P.S. Closing with some California-specific humor, this Chuck Asay cartoon speculates on how future archaeologists will view California. This Michael Ramirez cartoon looks at the impact of the state’s class-warfare tax policy. And this joke about Texas, California, and a coyote is among my most-viewed blog posts.

In 2014, I was outraged that more than 80 percent of senior bureaucrats at the Veterans Administration were awarded bonuses, even though this is the bloated bureaucracy that caused the death of many veterans by putting them on secret waiting lists. This, I argued, was a perfect example (in a bad way) of federal bureaucracy in action.

In 2015, I put together a version about bureaucracy in action at the local level, noting that the number of firefighters has climbed by 50 percent since 1980, even though the number of fires has declined by more than 50 percent during the same period.

This year, let’s look at the overseas edition of bureaucracy in action. Our story comes from Italy, where there’s been a government shutdown. Though only in the town of Boscotrecase. And not because of an Obamacare-style budget fight, but rather because a bunch of the local bureaucrats got arrested for routinely skipping work.

The mayor of a small town outside Naples had to shut down most municipal offices after police arrested 23 of his staff in the latest revelations of absenteeism in Italy’s public sector. Staff were filmed clocking in and then leaving to go about their personal business or using multiple swipe cards to register absent colleagues, police said, in scenes that have become familiar after numerous similar scandals. A police video showed one man trying to tamper with a security camera and then putting a cardboard box over his head to hide his identity before swiping two cards. Police arrested around half of all employees in the town hall offices of Boscotrecase following a weeks-long investigation that they said revealed 200 cases of absenteeism involving 30 people. …four major town hall departments had been closed on Tuesday due to a lack of staff. Those arrested, accused of fraud against the state, included the head of the local traffic police and the head of the town’s accounting department. The workers, whose arrest comes amid a government crackdown against absenteeism, have been suspended from work for between six and 12 months and risk eventual dismissal.

What I want to know, of course, is whether the bureaucrats were suspended with pay or without pay.

If it’s the former (which would be my guess), how will their lives be any different? They’ll be goofing off at home while getting overpaid!

No wonder Italy is in a death spiral.

P.S. The Bureaucrat Hall of Fame is comprised of specific government employees who have perfected the art of slacking (such as the Italian doctor who legally worked only 15 days in a nine-year period). That being said, I’m tempted to give adjunct membership to the entire local government of Boscotrecase.

P.P.S. Switching topics, the unpalatable choice between Donald Trump and Hillary Clinton does have a silver lining. It’s generated this clever make-believe announcement from the British Monarch.

To the citizens of the United States of America from Her Sovereign Majesty Queen Elizabeth II:

In light of your failure to nominate competent candidates for President of the USA and thus to govern yourselves, we hereby give notice of the revocation of your independence, effective immediately.

Her Sovereign Majesty Queen Elizabeth II will resume monarchical duties over all states, commonwealths, and territories (except North Dakota, which she does not fancy). Your new Prime Minister, Theresa May, will appoint a Governor for America without the need for further elections. Congress and the Senate will be disbanded. A questionnaire may be circulated next year to determine whether any of you noticed.

To aid in the transition to a British Crown dependency, the following rules are introduced with immediate effect:

———————–
1. The letter ‘U’ will be reinstated in words such as ‘colour,’ ‘favour,’ ‘labour’ and ‘neighbour.’ Likewise, you will learn to spell ‘doughnut’ without skipping half the letters, and the suffix ‘-ize’ will be replaced by the suffix ‘-ise.’ Generally, you will be expected to raise your vocabulary to acceptable levels. (look up ‘vocabulary’).
————————
2. Using the same twenty-seven words interspersed with filler noises such as ”like’ and ‘you know’ is an unacceptable and inefficient form of communication. There is no such thing as U.S. English. We will let Microsoft know on your behalf. The Microsoft spell-checker will be adjusted to take into account the reinstated letter ‘u” and the elimination of ‘-ize.’
——————-
3. July 4th will no longer be celebrated as a holiday.
—————–
4. You will learn to resolve personal issues without using lawyers, psychics or therapists. The fact that you need so many lawyers and therapists shows that you’re not quite ready to be independent. If you can’t sort things out without suing someone or speaking to a therapist, then you’re not ready to be a sovereign nation.
———————-
5. Therefore, you will no longer be allowed to own or carry anything more dangerous than a vegetable peeler. Although a permit will be required if you wish to carry a vegetable peeler in public.
———————-
6. All intersections will be replaced with roundabouts, and you will start driving on the left side with immediate effect. At the same time, you will go metric with immediate effect and without the benefit of conversion tables. Both roundabouts and metrication will help you understand the British sense of humour.
——————–
7. The former USA will adopt UK prices on petrol (which you have been calling gasoline) of roughly $10/US gallon. Get used to it.
————–
8. You will learn to make real chips. Those things you call French fries are not real chips, and those things you insist on calling potato chips are properly called crisps. Real chips are thick cut, fried in animal fat, and dressed not with catsup but with vinegar.
——————-
9. The cold, tasteless stuff you insist on calling beer is not actually beer at all. Henceforth, only proper British Bitter will be referred to as beer, and European brews of known and accepted provenance will be referred to as Lager. South African beer is also acceptable, as they are pound for pound the greatest sporting nation on earth and it can only be due to the beer. They are also part of the British Commonwealth – see what it did for them. American brands will be referred to as Near-Frozen Gnat’s Urine, so that all can be sold without risk of further confusion.
———————
10. Hollywood will be required occasionally to cast English actors as good guys. Hollywood will also be required to cast English actors to play English characters. Watching Andie MacDowell attempt English dialect in Four Weddings and a Funeral was an experience akin to having one’s ears removed with a cheese grater.
———————
11. You will cease playing American football. There is only one kind of proper football; you call it soccer.
Those of you brave enough will, in time, be allowed to play rugby (which has some similarities to American football, but does not involve stopping for a rest every twenty seconds or wearing full kevlar body armour like a bunch of nancies).
———————
12. Further, you will stop playing baseball. It is not reasonable to host an event called the World Series for a game which is not played outside of America. Since only 2.1% of you are aware there is a world beyond your borders, your error is understandable. You will learn cricket, and we will let you face the South Africans first to take the sting out of their deliveries.
——————–
13. You must tell us who killed JFK. It’s been driving us mad.
—————–
14. An inland revenue agent (i.e. tax collector) from Her Majesty’s Government will be with you shortly to ensure the acquisition of all monies due (backdated to 1776).
—————
15. Daily Tea Time begins promptly at 4 p.m. with proper cups, with saucers, and never mugs, with high quality biscuits (cookies) and cakes; plus strawberries (with cream) when in season.

Reasonably clever. Reminds me of the somewhat un-PC humor a British friend sent me on how different countries respond to terrorism.

By the way, I’m not sure the part about needing a permit to carry a vegetable peeler is a joke. After all, we’re talking about the country where you need an ID to buy a teaspoon.

Two months ago, I decided that the new President of the Philippines was the winner of the 2016 award for politician of the year.

It takes a remarkable amount of chutzpah, after all, to freely admit to having mistresses (yes, more than one). But the icing on the cake is that he then bragged that none of them are on the public payroll. I imagine Filipino taxpayers are very grateful that he self-finances his extracurricular activity.

This is all quite noteworthy, but I may have jumped the gun when giving President Duterte this award.

That’s because we now have another politician who has gone above and beyond the call of duty. This politician, you will see, has displayed a stunning degree of arrogance and elitism, acting as if the normal rules of decorum and prudence don’t apply.

No, I’m not talking about Hillary Clinton getting a free pass for endangering national security. Though that would be a good guess.

Instead, our new contestant for politician of the year is Monsieur Francois Hollande.

And the reason he has vaulted into contention is this amusing story (though presumably very aggravating story for French taxpayers) about the elitist and wasteful habits of France’s socialist leader.

French President François Hollande’s hairdresser earns a gross salary of €9,895 a month, according to a report in French weekly Le Canard Enchaîné, to be published Wednesday. …Over the course of the president’s mandate, which ends next year, the hairdresser will have received a gross salary of more than €590,000. The hairdresser regularly follows Hollande during his travels, according to Le Canard.

I realize I may be a bit old fashioned, and maybe my reactions are influenced by my minimalist approach to hair care (shower, comb with fingers, done), but why does a male politician need an on-staff hairdresser?!?

Especially when he doesn’t have that much hair to begin with!

By the way, it’s not 100 percent clear that taxpayer money is financing Hollande’s hairdresser, though I suspect that’s almost certainly the case. The article mentions that the hairdresser signed the contract with Hollande’s top staffer, which certainly makes it sound as if the French President isn’t spending his own money.

Though maybe the Socialist Party or some other entity is paying the bills, so I will leave open the possibility that Hollande is merely guilty of being a vain clown instead of being a vain clown who wastes taxpayer money.

What makes this story particularly interesting is that Hollande a few years ago publicly cut back on some of the lavish perks he and his cabinet were enjoying. But I guess that was all for show.

Though I’d actually consider it a bargain if politicians spent all their time preening in front of the mirror.

That would leave them less time to tax our earnings.

Or regulate our behavior.

And discourage our productivity.

Or corrupt our nation.

And they’d have less time to reward their donors at our expense!

Or to reward themselves.

Or to be disingenuous hypocrites.

But no need to belabor the point. Maybe now it’s easy to understand why I prefer “do-nothing” politicians.

Heck, I’d be willing to double their pay if they promised to stay home.

The Congressional Budget Office has just released the 2016 version of its Long-Term Budget Outlook.

It’s filled with all sorts of interesting data if you’re a budget wonk (and a bit of sloppy analysis if you’re an economist).

If you’re a normal person and don’t want to wade through 118 pages, you’ll be happy to know I’ve taken on that task.

And I’ve grabbed the six most important images from the report.

First, and most important, we have a very important admission from CBO that the long-run issue of ever-rising red ink is completely the result of spending growing too fast. I’ve helpfully underlined that portion of Figure 1-2.

And if you want to know the underlying details, here’s Figure 1-4 from the report.

Once again, since I’m a thoughtful person, I’ve highlighted the most important portions. On the left side of Figure 1-4, you’ll see that the health entitlements are the main problem, growing so fast that they outpace even the rapid growth of income taxation. And on the right side, you’ll see confirmation that our fiscal challenge is the growing burden of federal spending, exacerbated by a rising tax burden.

And if you want more detail on health spending, Figure 3-3 confirms what every sensible person suspected, which is that Obamacare did not flatten the cost curve of health spending.

Medicare, Medicaid, Obamacare, and other government health entitlements are projected to consume ever-larger chunks of economic output.

Now let’s turn to the revenue side of the budget.

Figure 5-1 is important because it shows that the tax burden will automatically climb, even without any of the class-warfare tax hikes advocated by Hillary Clinton.

And what this also means is that more than 100 percent of our long-run fiscal challenge is caused by excessive government spending (and the Obama White House also has confessed this is true).

Let’s close with two additional charts.

We’ll start with Figure 8-1, which shows that things are getting worse rather than better. This year’s forecast shows a big jump in long-run red ink.

There are several reasons for this deterioration, including sub-par economic performance, failure to comply with spending caps, and adoption of new fiscal burdens.

The bottom line is that we’re becoming more like Greece at a faster pace.

Last but not least, here’s a chart that underscores why our healthcare system is such a mess.

Figure 3-1 shows that consumers directly finance only 11 percent of their health care, which is rather compelling evidence that we have a massive government-created third-party payer problem in that sector of our economy.

Yes, this is primarily a healthcare issue, especially if you look at the economic consequences, but it’s also a fiscal issue since nearly half of all health spending is by the government.

P.S. If these charts aren’t sufficiently depressing, just imagine what they will look like in four years.

It would be impossible to pick the most hare-brained government policy. We have all sorts of bizarre examples from the United States. And we have equally “impressive” examples from other nations.

And today, we’re going to augment our collection of bone-headed policies from elsewhere in the world.

We’ll start with the United Kingdom, which already is a very strong competitor in the government-stupidity contest.

Though they may deserve to win that contest since the government is actually giving welfare benefits to polygamous immigrants.

Immigrants in polygamous marriages drain British taxpayers of millions of dollars each year by taking advantage of loopholes in the welfare system, and future legislation will make it even more profitable. …Married couples in Great Britain can receive need-based income support of up to $162 per week. As of 2013 — when a number of reforms to marriage support came into effect — a man can claim an additional $57 for every subsequent wife. In total, a polygamous household can claim more than $17,000 in welfare over the course of a year.

There apparently is some effort to clamp down on handouts based on future multiple marriages, but there’s a giant loophole.

An even more profitable way for polygamous marriages to bring in welfare money is by getting married in a so-called “Nikah” ceremony, which is recognized by Islam, but not British law. The wives will hence appear as “single” in the system, and can take out additional benefits if they have children. …New legislation expected to go into effect by 2021, will no longer recognize multiple marriages for the same person. But “Nikah” marriages will still receive a huge boost from the new law, since women can receive more money under “single” status than she did as an additional wife. The allowance for the extra “wives” will more than double to $454 each per month.

This may be the “triple crown” of stupidity. The first mistake is providing handouts. The second mistake is giving handouts to immigrants (which creates unseemly yet understandable backlash). And the third mistake is supposedly cutting back on handouts, but doing it in such a foolish fashion that more money will be wasted. Impressive.

Speaking of going above and beyond the call of duty in the battle to squander money, the U.K.-based Telegraph reports that the British government has been flushing away huge amounts of money for a facility to house unsuccessful asylum seekers.

An accommodation centre for failed asylum seekers is more costing than the world’s most exclusive hotels, taking just 14 families last year at a cost of more than £450,000 each. Cedars, a secure centre run by the Home Office, was occupied for approximately 40 nights in the first nine months of 2014/15 – but landed the taxpayer with a bill for millions of pounds. Total running costs for 2014/15 were estimated at £6,398,869 – or more than £457,000 for each family which passed through its doors. If each family stayed at the centre for the full year, the cost would equate to £1,252 a night, or £38,088 per family per month. However, the true cost is far higher – as much as £152,354 a night – because most families spend only 72 hours at Cedars… London’s Savoy hotel charges from £1,150 for a suite with a view of the River Thames, making it cheaper than the minimum nightly cost of Cedars House.

Wow. I’ve never stayed anyplace that nice on my trips to England. Maybe I should ask for asylum on my next trip?

Here’s another story that almost defies belief. Apparently the geniuses in the British bureaucracy thought wars only get fought in cold weather.

The Royal Navy’s fleet of six £1bn destroyers is breaking down because the ships’ engines cannot cope with the warm waters of the Gulf, defence chiefs have admitted. They also told the Commons defence committee on Tuesday that the Type 45 destroyers’ Rolls-Royce WR-21 gas turbines are unable to operate in extreme temperatures and will be fitted with diesel generators. Rolls-Royce executives said engines installed in the Type 45 destroyers had been built as specified – but that the conditions in the Middle East were not “in line with these specs”. Earlier a Whitehall source told Scotland’s Daily Record: “We can’t have warships that cannot operate if the water is warmer than it is in Portsmouth harbour.”

But it’s not just British bureaucrats who make bizarre mistakes.

Consider how the incompetence of Belgian officials paved the way for a terrorist attack.

…ministers and prosecutors…admitted failures that led to the release, last year, of two of the perpetrators of Tuesday’s terror attacks in Brussels. Interior minister Jan Jambon and justice minister Koen Geens said that information about one of the three suicide bombers transmitted by Turkey was not properly handled. …a Belgian prosecutor said that a second terrorist had been arrested and released by the Belgian justice system.

Here are the jaw-dropping details on one of the terrorists.

El Bakraoui had been sentenced in 2010 to 10 years in prison for robbery and for shooting at police with a Kalashnikov rifle. He was released in October 2014 but on condition he didn’t leave Belgium for more than 30 days at a time. He was arrested on the border between Turkey and Syria in June. Turkish authorities notified Belgium about it at the end of June, Geens told journalists. …”It was then very dificult to arrest him”, Geens said, as El Bakraoui had landed as “a normal Belgian citizen”, even though he had missed appointments with justice officials as part of his conditional release.

Wow, we have another contestant for the triple crown of government incompetence. First, the dirtbag only served four years in prison after trying to murder some cops. Second, it didn’t set off any red flags when he violated the conditions of his way-too-early release and went to Syria as a jihadist. Third, the Belgian government failed to act when given advance notice and warning by officials in Turkey that he was returning from his jihadist vacation. In this case, the net result wasn’t just wasted money, it was death for innocent civilians.

Let’s not forget, by the way, that a government bureaucrat excused all this incompetence on the theory that the “small size of the Belgian government” precluded an effective approach against terrorism. Yet if you look up the data, government in Belgium is so bloated that it consumes 54 percent of economic output, which is worse than even Italy and Sweden.

And let’s also not forget that American taxpayers subsidize jihadists, so we can’t really laugh too much about the Belgians.

Now let’s move from deadly incompetence to protectionist cruelty. The government in the Bahamas, acting to protect the local dentist cartel, shut down a clinic providing free dentistry for poor people.

Lenny Kravitz learned the hard way about government over-regulation on Monday when police raided a free dental clinic he sponsored in the Bahamas. “The dentists literally had to run out the back door to escape being arrested,” one source told me exclusively. …Kravitz flew several American dentists there for the four-day clinic, but evidently didn’t get all the permits required. On Monday, the last day of the program, as local residents were being fitted for dentures and having root canals, police and immigration officials burst in “and gave the team working 15 minutes to pack up all the equipment and leave,” the Eleutheran newspaper reported.

Heaven forbid that a government permit was missing! No good deed goes unpunished, even if it means poor people lose access to dental care.

Let’s close with a truly inane bit of government from Canada, where bureaucrats stopped a couple of kids from operating an unlicensed – gasp! – lemonade stand (the same thing happens in California, Georgia, and Oregon).

But in a surprising display of humanity, the local paper pushers decided the lemonade stand was okay and they even agreed to waive the $1520 daily fee.

But only with the following conditions.

The NCC has issued a special permit to allow two young girls to sell lemonade…which came with several conditions they must abide by while they operate their lemonade stand…carry a copy of the permit at all times while on NCC property…comply with all federal, provincial and municipal bylaws and regulations…create signs for the lemonade stand in both official languages…only sell lemonade…ensure that customers park their bikes on the grass.

Geesh, I knew the language police were active in Quebec, but I assumed Ontario wasn’t so crazy.

Reading all these stories, the only possible conclusion is that P.J. O’Rourke should apologize to teenage boys.

P.S. For what it’s worth, here are a few of my favorite examples of great moments in foreign government.

Though American readers shouldn’t laugh too hard. After all, we pay for bagpipe police and milk police.

I don’t mind being polemical on occasion, but I generally don’t accuse my opponents of being “socialists.”

American leftists generally focus on redistribution and regulatory intervention and socialism technically means that the government directly owns, operates, and controls various sectors of the economy (think, for example, of the difference between Obamacare and the U.K.’s system, where doctors are public employees and the government operates the hospitals).

But we do have a few islands of socialism in the United States. Education is probably the biggest sector of our economy that is dominated by government. The air traffic control system is another unfortunate example.

Today, though, let’s focus on the Postal Service.

I wrote about this topic a couple of years ago, but we now have lots of additional evidence on why we should replace this costly and inefficient government monopoly with a system based on real competition and no subsidies.

My colleague Chris Edwards explains that, from an economic and taxpayer perspective, the postal monopoly is a dumpster fire.

The U.S. Postal Service (USPS) has lost more than $50 billion since 2007, even though it enjoys legal monopolies over letters, bulk mail, and access to mailboxes. The USPS has a unionized, bureaucratic, and overpaid workforce. And as a government entity, it pays no income or property taxes, allowing it to compete unfairly with private firms in the package and express delivery businesses. …the USPS needs a major overhaul. It should be privatized and opened to competition. But instead of reform, congressional Republicans are moving forward with legislation that tinkers around the edges. Their bill adjusts retiree health care, hikes stamp prices, and retains six-day delivery despite a 40 percent drop in letter volume since 2000. The bill would also create “new authority to offer non-postal products,” thus threatening to increase the tax-free entity’s unfair competition against private firms.

Amazingly, this is an area where European nations actually are more market-oriented than the United States.

Republican…timidity is particularly striking when you compare their no-reform bill to the dramatic postal reforms in Europe. …Since 2012 all EU countries have opened their postal industries to competition for all types of mail. A growing number of countries have privatized their postal systems, including Britain, Germany, Portugal, and the Netherlands. …On-the-ground competition is small but growing in Europe. In a dozen countries, new competitors have carved out more than five percent of the letter market, and in a handful of countries the share is more than ten percent. …the Europeans are giving entrepreneurs a chance. In response to even the modest competition that has developed so far, major European postal companies have “increased their efficiency and restructured their operations to reduce costs,” according to the EU report.

Veronique de Rugy of the Mercatus Center weighs in on the issue in a column for Reason.

The Postal Service is a major business enterprise operated by the federal government. Thanks to Congress, it has something many business owners would love to have— protection from competition. Its monopoly on access to mailboxes and the delivery of first-class and standard mail means it doesn’t have to worry about someone offering a better service at a lower price. …unlike private businesses, the Postal Service has access to low-rate loans from the Department of the Treasury, effectively pays no income or property taxes, is exempt from local zoning rules and even has the power of eminent domain.

In addition to all these favors, the Postal Service is getting a huge indirect subsidy for it’s unfunded pension system.

Congress mandated that the Postal Service start making payments to fund the generous retirement health benefits it has promised workers. This was an important reform because the Postal Service has built up an unfunded liability for these benefits of nearly $100 billion. Ideally, postal workers should be paying for these benefits from payroll contributions rather than leaving the liabilities to federal taxpayers down the road. Sadly, Congress is too timid to take on special interests that benefit from the inefficient status quo, such as postal unions, and won’t support serious reforms… A few years ago, President Barack Obama called for a $30 billion bailout from the federal government, a five-day delivery schedule and an increase in the price of stamps. Unfortunately, that would be a bad solution from the perspective of customers and taxpayers. It also would perpetuate the blatantly unfair competition with companies such as FedEx and UPS.

Amazingly, some statists actually want to expand the Postal Service.

One bad idea that “reform” Postal Service supporters are pushing is to allow the government service to compete with private firms in other industries, such as banking. That would be hugely unfair to taxpaying private businesses, and do we really believe that such a bureaucratic agency as the U.S. Postal Service could out-compete private businesses in other areas if there were a level playing field?

The simple way to think about this issue is that an expanded Postal Service would be like Fannie Mae and Freddie Mac, only able to operate because of special privileges.

Shane Otten, writing for E21, has an “undeliverable” message for the Postal Service.

…the United States Postal Service (USPS)…an independent agency of the U.S. government, …has exclusive control over the postal system. Like every other government monopoly, it has lost money—$56.8 billion since 2007. The Postal Service is a smorgasbord of common government failures, including high labor costs due to unions (including the American Postal Workers Union, the National Association of Letter Carriers, and the National Rural Letter Carriers’ Association), congressional burdens restricting needed changes, unfunded pensions… Postal workers earn between 24 percent and 36 percent more than comparable workers in the private sector.  Because of this, labor costs represent approximately 80 percent of all expenses incurred by USPS. For comparison, private delivery service UPS’s labor costs only make up 62 percent of expenditures, even though UPS is unionized. And at union-free FedEx, labor costs come in at just 38 percent of total operating expenses.

Shane echoes Veronique’s argument about the Postal Service’s dodgy approach to pensions.

…the Post Office has not made a prefunding payment since fiscal year 2011. …the Postal Service pays nothing in federal, state, and local taxes on income, sales, property, and purchases. This saves the agency over $2 billion each year, giving it a major advantage over private competitors. The USPS is also immune from zoning regulations, tolls, vehicle registration, and parking tickets. …The Postal Service…can borrow money from the Treasury at a reduced interest rate. …borrowing at this artificially low rate is equivalent to a subsidy of almost $500 million.

By the way, I got castigated for saying it was a “bailout” when Congress said it was okay for the Postal Service to skip payments for employee pensions. I was basically correct, but should have referred to it as a “pre-bailout” or something like that.

The bottom line is that there’s no reason in a modern economy for a government to operate a business that delivers pieces of paper (and more than it would make sense to have government deliver pizzas). Indeed, this is such a slam-dunk issue that even the Washington Post is on the right side.

P.S. For what it’s worth, the Postal Service actually is constitutional. It’s one of the federal government’s enumerated powers. But the fact that the federal government is allowed to maintain postal service doesn’t mean it’s obliged to do it.

P.P.S. Here’s my only example of Postal Service Humor.

P.P.P.S. Though if you have a very dark sense of humor, you may laugh at the “action” of this postal employee. I think he may deserve a retroactive promotion to the Bureaucrat Hall of Fame.

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