Posts Tagged ‘Italy’

Since the Bureaucrat Hall of Fame is getting crowded, I’ve decided we need a system to limit new entrants.

So today we’re doing an experiment. We’ll look at two separate stories about lazy and overpaid bureaucrats, and the comments section will determine which one actually is most deserving of joining the Hall of Fame.

Let’s start in Italy, where Alberto Muraglia stakes his claim to membership. Here are some excerpts from a story in the UK-based Times.

Video footage of a policeman clocking in for work in his underpants before allegedly heading back to his bed has become the symbol of an embarrassing absenteeism scandal among council employees in San Remo, on the Italian Riviera. Alberto Muraglia, a pot-bellied, 53-year-old officer, was secretly filmed as he clocked on at council offices. He lives in the same building, a converted hotel, where he occupies a caretaker flat — allowing him to register his presence at work, and then go back to bed, it is alleged.

To be fair, our Italian contestant has an excuse for his truancy.

Though it’s about as plausible as the Groucho Marx quote, “Who are you going to believe, me or your own eyes?”

Mr Muraglia’s wife, Adriana, said the family had an alibi for every instance in which her husband was suspected of clocking in at 5.30am, opening the gates to the council building, and then returning to bed. “Some mornings, if he was a few minutes late pulling on his trousers, he would clock in in that manner and then get fully dressed immediately after and go off to work,” Mrs Muraglia told La Stampanewspaper. “Some mornings he may have forgotten, and he telephoned me to clock in on his behalf.”

In any event, Signor Muraglia is not the only bureaucrat scamming the system.

More than a hundred employees — 75 per cent of the council workforce — are under investigation for allegedly skiving off in the resort town…investigators…filmed employees swiping their time cards, and sometimes those of multiple colleagues, before turning tail and heading off to pursue other interests. One employee, filmed paddling a kayak on the Mediterranean, is alleged to have spent at least 400 hours away from his desk in the planning office, a dereliction of duty estimated to have cost San Remo council more than €5,600.

Though I have to say 400 hours away from his desk is chicken feed compared to the Italian doctor who worked only 15 days in a nine-year period.

And I like how the bureaucrats awarded themselves bonuses for their…um…hard work.

Eight of the suspected skivers shared a €10,000 productivity bonus last year.

Just like the IRS bureaucrats and VA bureaucrats who got bonuses for improper behavior.

I guess there must be an unwritten rule in government: The worse your performance, the higher your compensation.

Now let’s see how Alberto compares to our American contestant. As reported by the Contra Costa Times, former City Manager Joe Tanner is scamming taxpayers for a lavish pension, yet he’s asking for more on the basis of a shady deal he made with the City Council.

By working just two and a half more years, retired Vallejo City Manager Joseph Tanner boosted his starting annual pension from $131,500 to $216,000. He wants more, claiming he’s entitled to yearly retirement pay of $307,000. …he is now taking his six-year dispute to the state Court of Appeal. At issue is whether CalPERS must pay benefits on a contract Tanner and the Vallejo City Council concocted to boost his pension.

An extra $85,000 of pension for the rest of his life just for working 2-1/2 years?

Geesh, and I though the Philadelphia bureaucrat who is getting $50,000 of yearly loot for the rest of her life, after just three years of “work,” had a good deal. She must be feeling very envious of Mr. Tanner.

Yet Mr. Tanner isn’t satisfied.

Here’s the part that seems like it should be amusing, but it’s not actually funny when you realize that government employee pensions are driving states into fiscal chaos.

Ironically, Tanner was a critic of pension excesses. …Yet his personal spiking gambit was breathtaking. The case exemplifies how some top public officials try to manipulate their compensation to grossly inflate their retirement pay. …Tanner’s quest for another $90,000 a year, plus inflation adjustments, for the rest of his life is unreasonable.

Here’s how he schemed to pillage taxpayers.

His first contract with Vallejo called for $216,000 in base salary, plus a list of add-on items that would soon be converted to salary, bringing his compensation to $306,000. But when CalPERS advised that the amount of those add-ons would not count toward his pension, he insisted the contract be fixed. The result: His contract was amended. The add-ons were eliminated and his base salary was simply increased to $306,000, plus management incentive pay and other items that brought the total to about $349,000. If CalPERS used that number, his pension would have started at $307,000 a year. CalPERS says it was an obvious subterfuge. The amended contract was never put before the City Council at any public meeting. And there was never a truthful public explanation for it.

Of course there wasn’t a truthful explanation.

Whether bureaucrats are negotiating with other bureaucrats or whether they’re negotiating with politicians, a main goal is to hide details in order to maximize the amount of money being extracted from taxpayers.

By the way, the example of Mr. Tanner is odious, but it’s not nearly as disgusting as what happened in another California community.

Before inviting readers to vote, I want to make a serious point. Government employee pensions are a fiscal black hole because they are “defined benefits” (DB plans), which means annual payments to retirees are driven by formulas. And those formulas often include clauses that create precisely the perverse incentives exploited by Mr. Tanner.

The right approach is to reform the system so that bureaucrats instead are in a “defined contribution” system (DC plans), which basically operates like IRAs and 401(k)s. A bureaucrat’s retirement income is solely a function of how much is contributed to his or her account and how much it earns over time. By definition, there is no unfunded liability. There’s no fiscal nightmare for future taxpayers.

Now that I have that cry for fiscal prudence out of my system, I invite readers to vote. Does the shirking underwear-clad Italian bureaucrat deserve to join the Hall of Fame, or should that honor be bestowed on the scheming and hypocritical American bureaucrat?

P.S. While I think DC plans are inherently superior (and safer for taxpayers) than DB plans, I will acknowledge that some nations manage to run DB plans honestly.

Read Full Post »

What’s the best country in the world?

My emotional response is that the United States belongs in the top spot.

But a more dispassionate analysis suggests that Switzerland is more deserving of the honor.

It has the 4th-freest economy according to the most recent rankings from Economic Freedom of the World, eight spots above the United States.

And it is ranked #2 in the Human Freedom Index, 18 spots higher than America.

There are several specific reasons why Switzerland is a good role model.

Perhaps most important, the Swiss people are eminently sensible, as seen by their votes in favor of a spending cap and against class-warfare taxation, minimum-wage mandates, single-payer healthcare, and the death tax.

I’m not sure I would trust my fellow Americans to show similarly sound judgement.

So it’s surely true that there are lots of reasons to admire Switzerland.

Indeed, it’s such an attractive country that many people in Sardinia want to secede from Italy and have their island become a Swiss canton.

Here are some passages from a report in the Wall Street Journal.

“In Sardinia, people want to be Swiss.” Welcome to “Canton Marittimo,” or “Canton of the Sea,” a bid by Mr. Caruso, a 51-year-old dentist from Sardinia, and his comrade Enrico Napoleone, a car dealer there, to liberate Sardinia from Italy and tether it to Switzerland. …With a population of 1.5 million, the island, which lies between Italy and Spain, is today home to more than 10 parties calling for secession from Rome, emphasizing a culture, dialect, and history distinct from Italy’s mainland. …Mr. Caruso says…“Switzerland is the ideal nation to help us secure our culture and traditions.” … “Most of the local population would go for it, starting tomorrow,” said Matteo Colaone, a spokesman for Domà Nunch, a separatist group in the Italian regions surrounding Milan.

And what do the Swiss think about this idea?

At least one lawmaker likes the idea of adding cantons, though the government’s official position is not very welcoming.

In 2010, a member of Swiss parliament named Dominique Baettig proposed amending the constitution to aid regions in neighboring countries that want to become new cantons. Switzerland’s executive branch swiftly condemned it as “an unfriendly political act.” …There is little evidence the Swiss would want to adopt a rocky island that has many more sheep than people and per-capita economic output just one fourth that of Switzerland’s.

Here’s a video report on the topic from the WSJ.

In any event, it’s easy to understand why Sardinians are anxious to leave Italy and become part of Switzerland.

Here are some excerpts from a story in the U.K.-based Guardian.

“We think of Switzerland as a good teacher who could lead us on a path of excellence.” As the 27th canton, Sardinia, so goes the argument, would bring the Swiss its miles of stunning coastline and untapped economic potential. Sardinia could retain considerable autonomy, while also reaping the benefits of direct democracy, administrative efficiency and economic wealth.

Whereas staying in Italy means endless statism.

…their frustrations with inefficient public spending, complex layers of decision-making and intimidating bureaucracy can be heard throughout the country. …being a small businessman in Italy was “a continuous battle”. “It is fighting every day with a problem that the administration, the bureaucracy, creates instead of solves,” he said.

And while the Swiss government doesn’t seem overly excited about adopting Sardinia, ordinary Swiss citizens seem to like the idea.

An online poll of 4,000 people asking, in German, “should we accept Sardinia?” produced a 93% yes vote.

I suspect that an actual referendum in Switzerland wouldn’t be that lopsided, and the final result would probably depend on whether Swiss voters thought Sardinians were simply seeking good policy or whether they were looking for big handouts (Switzerland does have some redistribution from rich cantons to those with more modest incomes).

The bottom line is that there’s scholarly evidence suggesting that supporters of decentralization, self-determination, and limited government should favor the ability of regions to either declare independence or choose to join neighboring countries (assuming there’s a mutual desire for union).

That why I think secession or radical decentralization is/was the right approach in Ukraine, Belgium, and Scotland.

And as Walter Williams points out, secession can be peaceful, such as when Norway left Sweden early last century.

So I hope Sardinia moves forward.

Yes, it would be best for them to become part of Switzerland (and there already is an Italian-speaking canton). But even if the Swiss ultimately aren’t interested, the Sardinians at least would have a chance to escape Italy’s dysfunctional economic policies if they became independent.

P.S. The seven villages of Liechtenstein have the right to secede.

P.P.S. On a lighter note, here’s what would happen if the American right and left decided to secede from each other.

P.P.S. In our final postscript, let’s look at some fresh data about Switzerland.

Check out this chart (h/t: Constantin Gurdgiev) looking at how growth rates have changed in various European nations. As you can see, the 2002-2014 period has been grim for all nations compared to the years between 1980-2001. But Switzerland has had the smallest decline.

By the way, the left is always arguing that high tax burdens are necessary to help the poor. But as you can see from this chart (h/t: Fabian Wallen), every single income group is better off in low-tax Switzerland than high-tax Sweden.

In other words, big government is bad news for everyone (other than insiders), but it’s especially bad for poor people. Bono realizes that capitalism is the right model for upward mobility. Now let’s hope Pope Francis learns the same lesson.

Read Full Post »

If you want to pinpoint the leading source of bad economic policy proposals, I would understand if someone suggested the Obama Administration.

But looking to Europe might be even more accurate.

For instance, I’d be hard pressed to identify a policy more misguided than continent-wide eurobonds, which I suggested would be akin to “co-signing a loan for your unemployed alcoholic cousin who has a gambling addiction.”

And now there’s another really foolish idea percolating on the other side of the Atlantic Ocean.

The U.K.-based Financial Times has a story about calls for greater European centralization from Italy.

Italy’s finance minister has called for deeper eurozone integration in the aftermath of the Greek crisis, saying a move “straight towards political union” is the only way to ensure the survival of the common currency. …Italy and France have traditionally been among the most forceful backers of deeper European integration but other countries are sceptical about supporting a greater degree of political convergence. …Italy is calling for a wide set of measures — including the swift completion of banking union, the establishment of a common eurozone budget and the launch of a common unemployment insurance scheme — to reinforce the common currency. He said an elected eurozone parliament alongside the existing European Parliament and a European finance minister should also be considered. “To have a full-fledged economic and monetary union, you need a fiscal union and you need a fiscal policy,” Mr Padoan said.

This is nonsense.

The United States has a monetary union and an economic union, yet our fiscal policy was very decentralized for much of our nation’s history.

And Switzerland has a monetary and economic union, and its fiscal policy is still very decentralized.

Heck, the evidence is very strong that decentralized fiscal systems lead to much better outcomes.

So why is Europe’s political elite so enamored with a fiscal union and so opposed to genuine federalism?

There’s an ideological reason and a practical reason for this bias.

The ideological reason is that statists strongly prefer one-size-fits-all systems because government has more power and there’s no jurisdictional competition (which they view as a “race to the bottom“).

The practical reason is that politicians from the weaker European nations see a fiscal union as a way of getting more transfers and redistribution from nations such as Germany, Finland, and the Netherlands.

In the case of Italy, both reasons probably apply. Government debt already is very high in Italy and growth is virtually nonexistent, so it’s presumably just a matter of time before the Italians will be looking for Greek-style bailouts.

But the Italian political elite also has a statist ideological perspective. And the best evidence for that is the fact that Signore Padoan used to be a senior bureaucrat at the Paris-based OECD.

The Italian finance minister…served as former chief economist of the OECD.

You won’t be surprised to learn that French politicians also have been urging a supranational government for the eurozone. And presumably for the same reasons of ideology and self-interest.

But here’s the man-bites-dog part of the story.

The German government also seems open to the idea, as reported by the U.K.-based Independent.

France and Germany have agreed a new plan for closer eurozone political unionThe new Franco-German agreement would see closer cooperation between the 19 countries.

Wow, don’t the politicians in Berlin know that a fiscal union is just a scheme to extract more money from German taxpayers?!?

As I wrote three years ago, this approach “would involve putting German taxpayers at risk for the reckless fiscal policies in nations such as Greece, Italy, and Spain.

But maybe the Germans aren’t completely insane. Writing for Bloomberg, Leonid Bershidsky explains that the current German position is to have a supranational authority with the power to reject national budgets.

The German perspective on a political and fiscal union is a little more cautious. Last year, German Finance Minister Wolfgang Schaeuble and a fellow high-ranking member of the CDU party, Karl Lamers, called for a euro zone parliament (not elected, but comprising European Parliament members from euro area countries) and a budget commissioner with the power to reject national budgets if they contravene a certain set of rules agreed by euro members.

And since the German approach is disliked by the Greeks, then it can’t be all bad.

Former Greek finance minister Yanis Varoufakis, Schaeuble’s most eloquent hater, pointed out in a recent article for Germany’s Die Zeit that, in the Schaeuble-Lamers plan, the budget commissioner is endowed only with “negative” powers, while a true federation — like Germany itself — elects a parliament and a government to formulate positive policies.

But “can’t be all bad” isn’t the same as good.

Simply stated, any sort of eurozone government almost surely will morph over time into a transfer union. And that means more handouts, more subsidies, more harmonization, more bailouts, more centralization, and more bureaucracy.

So you can see why Europe’s political elite may be even more foolish than their American counterparts.

Read Full Post »

The world is a laboratory, with lots of experiments to see if a nation can prosper with big government and pervasive intervention.

The results are not encouraging. I’ve written about France being a basket case, over and over again.

And I am equally pessimistic about Greece because the moochers and looters outnumber productive people in that country.

Heck, much of Europe is a mess because of widespread statism.

But the rest of the world is filled with bad examples as well. Japan has attracted my critical attention, and I have very little reason to think that nation has a bright future.

I’ve also dinged bad policy in Mexico and South Africa, so nobody can accuse me of being parsimonious when it comes to criticizing politicians that promote big government.

But the country that may be in the deepest trouble is Italy.

To understand the depth of the problem, you should read a recent article in the U.K.-based Spectator.

Here are some excerpts, starting with an anecdote about the government-funded opera house in Rome.

Financed and managed by the state, and therefore crippled by debt, the opera house — like so much else in Italy — had been a jobs-for-life trade union fiefdom. Its honorary director, Riccardo Muti, became so fed up after dealing with six years of work-to-rule surrealism that he resigned. It’s hard to blame him. The musicians at the opera house — the ‘professori’ — work a 28-hour week (nearly half taken up with ‘study’) and get paid 16 months’ salary a year, plus absurd perks such as double pay for performing in the open air because it is humid and therefore a health risk. Even so, in the summer, Muti was compelled to conduct a performance of La Bohème with only a pianist because the rest of the orchestra had gone on strike.

The story says all the staff eventually were fired.

Is that a sign that policy makers in Italy are sobering up? Or is it too little, too late?

The author of the column, Nicholas Farrell, is not optimistic.

Italy’s irreversible demise is a foregone conclusion. The country is just too much of a basket case even to think about. …The youth unemployment rate here is 43 per cent — the highest on record. That figure doesn’t factor in the black market, which is so big that the Italian government now wants to include certain parts of it — prostitution, drug dealing and assorted smuggling — into its official GDP figures.  …Just 58 per cent of working-age Italians are employed, compared with an average 65 per cent in the developed world. …Italy’s economy has been stagnant since 2000. Indeed, over the past five years it has shrunk by 9.1 per cent. …Italy’s sovereign debt, meanwhile, continues to grow exponentially. It is now €2.2 trillion, which is the equivalent of 135 per cent of GDP — the third highest in the world after Japan and Greece. …In Italy, as in France, a dirigiste philosophy has predominated since the second world war. The government is run like a protection racket… Even newspapers are publicly subsidised, which is why there are so many of them.

But high debt in Italy isn’t because of low taxes.

Anyone who works in the real private sector — the family businesses that have made Italy’s name around the world — is in a bad place. Italy has the heaviest ‘total tax’ burden on businesses in the world at 68 per cent… To start a business in Italy is to enter a Kafkaesque bureaucratic nightmare, and to keep it going is even worse. It also means handing the state at least 50 cents for every euro paid to staff.

So where do all this tax money go?

Not surprisingly, there’s a parasitic public sector that is very well compensated. Starting with the politicians.

Italian MPs are the highest paid in the civilised world, earning almost twice the salary of a British MP. Barbers in the Italian Parliament get up to €136,120 a year gross. All state employees get a fabulous near-final–salary pension. It is not difficult to appreciate the fury of the average Italian private sector worker, whose gross annual pay is €18,000. The phrase ‘you could not make it up’ fits the gold-plated world of the Italian state employee to a tee — especially in the Mezzo-giorno, Italy’s hopeless south. Sicily, for instance, employs 28,000 forestry police — more than Canada — and has 950 ambulance drivers who have no ambulances to drive.

I gather Sicily is like the Illinois of Italy, so those horrifying numbers don’t surprise me.

And don’t forget that Italy’s representative in the Bureaucrat Hall of Fame is from Sicily as well.

So what’s the solution to this mess?

Simple, adopt a policy of small government and free markets.

An Italian government that really meant business would make urgent and drastic cuts not just to the bloated, parasitical and corrupt state sector, but also to taxes, labour costs and red tape.

And the current Prime Minister, to be fair, is proposing baby steps in the right direction. Unfortunately, he’s being far too timid.

To get an idea of the magnitude of the problem, the Wall Street Journal opined on Italian labor markets, explaining that “pro-worker” interventions by government impose very high costs.

Led by the country’s largest union, the Italian General Confederation of Labor, or CGIL, the activists want to preserve Italy’s job guarantees as they are. Call it Italy’s economic suicide movement. …there is the Cassa Integrazione Guadagni. Under this income-assistance scheme, businesses that need to downsize can put some workers on “standby,” and the government will cover a significant share of the normal salary until the company can hire back the worker. The program strains the state’s budget, discourages workers from seeking other jobs, and prevents struggling companies from downsizing to stay competitive. Need to fire a worker for poor job performance? To do so, businesses must persuade a judge that no alternative short of termination was available—a process of administrative hearings and litigation that can take months and drain company resources. The World Economic Forum in its 2014-15 assessment of labor-market efficiency ranked Italy 141 out of 144 countries for hiring and firing practices, just above Zimbabwe.

And the biggest victim of the “pro-worker” interventions are…you guessed it…workers.

Italy has the largest number of small businesses in the European Union not because companies don’t want to grow, but because they fear growth will mean having to negotiate with the militant national unions like CGIL. The unsurprising result of all these barriers to firing and efficiency is that businesses are reluctant to hire. The official unemployment rate stands at 12%, and half of Italy’s young people are unemployed.

If you want more info about Italy’s dysfunctional labor markets, I also shared some good analysis from the WSJ back in 2012.

Let’s now circle back to a question asked above. Can Italy be saved?

Like Mr. Farrell, I’m not optimistic. There’s no pro-market political party in Italy. And the so-called technocrats have demonstrated amazing levels of incompetence, so they’re obviously not the solution.

P.S. There is one tiny bit of semi-good news from Italy. Over the past 8 years, government spending has increased, on average, by just 1.6 percent per year. The bad news, though, is that the private sector has grown at an even slower rate, so the actual burden of government spending has increased.

Between 1996-2000, by contrast, government spending grew by 1.1 percent per year. But since the private sector was growing, the burden of government spending fell as a share of GDP.

In other words, when you satisfy Mitchell’s Golden Rule, good things happen.

P.P.S. Even though Italy is a complete mess (or perhaps because it is a complete mess), you won’t be surprised to learn that a New York Times columnist thinks America should adopt Italian-style government policies.

P.P.P.S. Then again, American statists have been urging European-type statism in the United States for decades. To see where that leads, check out these cartoons from Michael Ramirez, Glenn Foden, Eric Allie and Chip Bok.

Read Full Post »

Does big government necessarily and automatically imply incompetent government?

Unfortunately, that seems to be the case. Robert Samuelson, for instance, has written that the federal government is so large that it breeds failure and disappointment.  I added my two cents, writing that:

…government is far more likely to have a “reverse Midas touch” when it is too big to manage.

I also posed a rhetorical question in another post from 2013.

I suppose a more interesting program would be to identify things that the government does intelligently and effectively. Any suggestions?

That wasn’t a throwaway line. There are some legitimate functions of government and I want those to be handled efficiently.

But I worry that effective government is increasingly unlikely because politicians are so busy intervening in areas that should be left to the families, civil society, and the private sector.

The response to the Ebola Virus is a sobering example.

Writing for The Federalist, David Harsanyi explains that the bureaucrats at the Centers for Disease Control are whining about not having enough money to contain and fight Ebola, yet there wouldn’t be any problem if the CDC wasn’t distracted by things that are irrelevant to its core mission.

CDC’s budget and purview have swollen over the past few decades as it has seen an infusion of funding due to temporary health scares and  trendy crusades that often go well beyond any mission it should be pursuing. …the CDC needs to rethink it’s scope. The CDC can’t afford to keep a aerial ‘bio-containment unit’ on retainer, but it does have museum, a massive staff and a lots of waste and fraud. In 2007, Senator Coburn’s office authored a 115-page report detailing things like the CDC budget gimmicks, the agency’s hundreds of millions of dollars of waste on junkets and elaborate digs and its institutional failures to actual ‘control diseases’ – and this includes AIDs prevention. …The CDC, an agency whose primary mission was to prevent malaria and then other dangerous communicable diseases, is now spending a lot of time, energy and money worrying about how much salt you put on your steaks, how often you inhale second-hand smoke and how often you do calisthenics.

To be fair, some of the blame should be shared with the politicians who divert resources away from disease fighting.

Though keep in mind that bureaucrats and politicians generally work hand-in-hand when budgets get approved and government power gets expanded.

With lobbyists and interests groups greasing the way, of course.

But today’s post isn’t about the corrupt machinations of Washington, so let’s get back to our main point.

Professor Glenn Reynolds of the University of Tennessee is similarly worried that mission creep undermines the government’s ability to accomplish important things.

While we’d be better off if the CDC only had one job — you know, controlling disease— the CDC has taken on all sorts of jobs unrelated to that task. …These other tasks may or may not be important, but they’re certainly a distraction from what’s supposed to be the CDC’s “one job” — protecting America from a deadly epidemic. And to the extent that the CDC’s leadership has allowed itself to be distracted, it has paid less attention to the core mission. In an era where new disease threats look to be growing, the CDC needs to drop the side jobs and focus on its real reason for existence. But, alas, the problem isn’t just the CDC. It’s everywhere. It seems that as government has gotten bigger, and accumulated more and more of its own ancillary responsibilities, it has gotten worse at its primary tasks. It can supervise snacks at elementary schools, but not defend the borders; it can tax people to subsidize others’ health-care plans but not build roads or bridges; and it can go after football team names but can’t seem to deal with the Islamic State terror group. Multitasking results in poorer performance for individuals. It also hurts the performance of government agencies, and of government itself. You have one job. Try doing it.


For an amusing, yet insightful, look at the connection between government size and government competence, Mark Steyn nails it.

On the other hand, some columnists argue that more power for government is the way to deal with government incompetence.


P.S. I wrote a couple of days ago that Obama was right about the relative weakness of European economies, but then asked why on earth he wants to make America more like Europe with bigger government.

On a related note, here’s a blurb from an article in the Daily Caller.

Don’t allow big government to take over free market system, Italian journalist Matteo Borghi warns in his new e-book, “Italy, Where Dems’ Dreams Die: How Big Government Pauperized A Prosperous Country.” He outlines the “Italian situation” he says has resulted from government growth — soaring debt, high unemployment rates, burdensome tax rates and a corrupt and nearly bankrupt pension system. His goal is to convince Americans not to follow suit. “You are already better off, but if you will go on increasing big government and cracking down on entrepreneurs you could soon become like Italy,” Borghi told The Daily Caller News Foundation. “That’s why, in my book, I say: ‘You shouldn’t give up American Dream to follow Italian nightmare.’”

Or the French nightmare. Or the Greek nightmare. Or the Swedish nightmare. Or the German nightmare.  I could continue, but you get the point.

P.P.S. Though there is one deluded New York Times columnist who thinks we should emulate Italy.

Read Full Post »

In April of 2013, I introduced a Moocher Hall of Fame to “celebrate” some very odious examples of welfare dependency.

Since that time, I keep thinking that it’s time to do something similar for government bureaucrats. This compilation from last December would be a good place to start, though I’d have to figure out whether to have group memberships so that we could include the bureaucrats at the Patent and Trademark Office who get paid to watch TV, as well as the paper pushers at the Department of Veterans Affairs who got big bonuses after creating secret waiting lists that led to the death of former soldiers.

But if we’re creating a Bureaucrat Hall of Fame, I won’t want to discriminate against foreigners.

The U.K.-based Telegraph reports, for instance, that an unnamed doctor from Italy is a very worthy candidate for this award.

The notorious inefficiencies of Italy’s state sector were laid bare on Thursday as news emerged of a Sicilian doctor who has done just 15 days’ work in the past nine years.

How has he “achieved” this degree of non-work?

…the doctor disappeared off on a university training course, reportedly paid for by taxpayers’ money, when he started work in 2005. Returning to work on October 31, 2008, the doctor immediately asked for, and obtained, paid family leave until May the following year. Then he worked 15 days at the hospital before calling off sick until July 2009. Recovered from illness, the doctor obtained a place on another university training course, once again reportedly swapping his wage for payment from the state university, which lasted until June this year, said wire agency ANSA. The doctor is now allegedly planning more time off to obtain a doctorate which will finish in December 2016.

By the way, our lazy doctor has lots of company. Indeed, Sicily sounds like the California of Italy.

The problem is pronounced in Sicily, where an army of around 144,000 regional staff – both permanent and temporary – includes 26,000 forestry workers, more than in British Columbia in Canada. Around 7,000 Sicilians have been given government jobs teaching work skills to Sicilians without jobs.

With that amount of waste and featherbedding, no wonder Italian taxpayers are beginning to revolt.

Here’s a specific example that boggles the mind.

Red tape on the island has also created surreal working weeks for those employed by the local government. In March, a vet in Trapani complained that the work he was contracted to carry out for the local authority had been spread over a such a long period he was required to do just one minute’s work every week. “Once a week I go to the office and stamp my pass,” said Manuel Bongiorno. “I walk in, wait for a minute to go by, then stamp the pass again. It’s been going on for months,” he added.

I don’t know if “vet” means he’s an animal doctor or a former soldier, but he doesn’t qualify for membership in the Bureaucrat Hall of Fame because he apparently wants to do some work.

That’s preposterous, but what would you expect in a nation where government is so incompetent that the wrong people are appointed to high-level jobs that shouldn’t even exist.

So you can see why I don’t really care which party rules Italy. The names may change at the top, but government always comes out ahead.

Though a New York Times columnist actually wrote that America should become more like Italy. And he wasn’t being satirical. At least not on purpose.

P.S. The U.K. government has raised its terror threat level from “substantial” to “severe.” I realize this is a serious issue, but I couldn’t help but think about the humorous version of European threat levels.

Read Full Post »

Are there any fact checkers at the New York Times?

Since they’ve allowed some glaring mistakes by Paul Krugman (see here and here), I guess the answer is no.

But some mistakes are worse than others.

Consider a recent column by David Stuckler of Oxford and Sanjay Basu of Stanford. Entitled “How Austerity Kills,” it argues that budget cuts are causing needless deaths.

Here’s an excerpt that caught my eye.

Countries that slashed health and social protection budgets, like Greece, Italy and Spain, have seen starkly worse health outcomes than nations like Germany, Iceland and Sweden, which maintained their social safety nets and opted for stimulus over austerity.

The reason this grabbed my attention is that it was only 10 days ago that I posted some data from Professor Gurdgiev in Ireland showing that Sweden and Germany were among the tiny group of European nations that actually had reduced the burden of government spending.

Greece, Italy, and Spain, by contrast, are among those that increased the size of the public sector. So the argument presented in the New York Times is completely wrong. Indeed, it’s 100 percent wrong because Iceland (which Professor Gurdgiev didn’t measure since it’s not in the European Union) also has smaller government today than it did in the pre-crisis period.

But that’s just part of the problem with the Stuckler-Basu column. They want us to believe that “slashed” budgets and inadequate spending have caused “worse health outcomes” in nations such as Greece, Italy, and Spain, particularly when compared to Germany, Iceland, and Spain.

But if government spending is the key to good health, how do they explain away this OECD data, which shows that government is actually bigger in the three supposed “austerity” nations than it is in the three so-called “stimulus” countries.

NYT Austerity-Stimulus

Once again, Stuckler and Basu got caught with their pants down, making an argument that is contrary to easily retrievable facts.

But I guess this is business-as-usual at the New York Times. After all, this is the newspaper that’s been caught over and over again engaging in sloppy and/or inaccurate journalism.

Oh, and if you want to know why the Stuckler-Basu column is wrong about whether smaller government causes higher death rates, just click here.

Read Full Post »

Older Posts »


Get every new post delivered to your Inbox.

Join 2,898 other followers

%d bloggers like this: