Tuesday, July 26, 2011

AN OPEN LETTER TO PRESIDENT OBAMA

Dear Mr. President,

You asked the American people last night to contact their Congressional Representatives, to tell what they think about our Debit Limit crisis. Since my Representative Gwen Moore or Senator Herb Kohl, do not represent me, I am writing to you.

Well sir, I hold you responsible. You have been an obstacle to honest negotiations. You have intentionally prolonged the crisis, not once offering a written plan.

In short sir, your demagogic mendacious grandstanding has not been helpful. Today, America has a spending problem that manifests as a debt crisis. Tomorrow it will be more odious. You sir are responsible and accountable to fix it, by finding solutions with Congress.

I read John Rawls, on my own initiative in 1985, as a doctoral student in public policy at Vanderbilt University. In my view, Professor Rawls' political philosophy of redistribution of wealth is incompatible with American culture and capitalism. I bring up Rawls because I believe it is fundamental to the direction you have taken this country. It is your duty to tell the American people that that is your intention. Then the 2012 Election will tell all of us what direction the American people wish to go.

Until then, you and your Democratic cohorts own this economy and you are responsible to make it work.

Wednesday, July 13, 2011

McConnell’s Debt Ceiling Fiasco

‘What the hell is going on out there?’

Perhaps, Senate Minority Leader Mitch McConnell has channeled Florence’s illustrious political philosopher and strategist Niccolo Machiavelli, to concoct his latest strategy to get Mr. Obama and his Democratic cohorts to help solve America’s debt crisis.

Nevertheless, Mr. McConnell’s proposal to allow Mr. Obama to raise the debt ceiling three times between now and December 2012, unless two-thirds of Congress votes to block it, is inexplicable political strategy.

Only yesterday in a speech before the Senate, Senator McConnell spoke truth to power when he said: “After years of discussions and months of negotiations, I have little question that as long as this President (Mr. Obama) is in the Oval Office, a real solution (America’s debt crisis) is unattainable.”

Negotiations with Mr. Obama are completely pointless. Mr. Obama’s agenda isn’t to rebuild American “exceptionalism” and economic strength; it is to transform America into a debtor’s nation, and transfer the American taxpayers' wealth in accord with his Marxist-Rawlsian political philosophy.

Mr. Obama and the Democrats are not honest agents. It contradicts every realty to believe you can have a civil and constructive engagement with them. To believe that Mr. Obama truly wants to find a solution to America’s debt crisis, lower unemployment, and grow our economy, can only be validated by resolutely ignoring actual facts. It is Mr. Obama and his Democratic cohorts who own this economy. Mr. Bush has not walked through that Oval Office door in two and one-half years -- it's Mr. Obama's economy.

If Mr. Obama wants to stop making payments to our Military, Senior Citizens (Social Security and Medicare), Veterans, interest on America’s debt, and essential government programs, as he has shamelessly threaten to do, that is his choice. This demagogic grandstanding can be called to account by the House of Representatives by simply passing legislation to prioritize payments for essential groups and services, with the result that no necessary Federal government functions will be impaired. If the Democratic controlled Senate and Mr. Obama want to oppose this legislation then it is they who are responsible for the consequences.

In a search for solutions, Americans should expect no constructive role from the Mainstream Media (MSM). In American society today, the MSM speaks only for the liberal left, academic elitists, generational parasites, and special interests such as public sector unions, autoworkers' union, and Wall Street bankers. The MSM does not give voice to the majority of American citizens. Consequently, this should be fully understood: Americans don’t care what they say, and Americans don’t listen to what they report. The MSM has made themselves irrelevant.

Americans want debt relief. Americans want less government spending. Americans believe that we pay enough taxes. Americans want tax reform. And, as Florida Senator Marco Rubio insightfully stated: “America needs not higher taxes, but more taxpayers.”

Americans elected conservative Republicans in 2010 because they understand that Mr. Obama and his Democratic cohorts are destroying the country they love. If Republicans want to win in 2012 – they better show the American taxpayer they mean business today!

Sunday, July 3, 2011

The Reason Why: Dominique Strauss-Kahn Affair

It all just seemed so straight forward – yet, it wasn’t. The Manhattan district attorney, Cyrus Vance, Jr., we are now told got it wrong in the case against Dominique Strauss-Kahn (DSK), the former Managing Director, the International Monetary Fund (IMF), and a top contender to be France’s next President. Of course Jr. wouldn't admit to that.

It turns out that the "compelling and unwavering" maid's story was bullshit (that’s French for baloney). In fact, this "hard working immigrant" had lied about everything on her asylum petition, and the circumstances of the alleged rape. So devastated after the brutal rape -- she went to clean another hotel room and went back to DSK's room to tidy up there as well. Now we are told that she contacted a friend, a day later, who is serving time in an Arizona prison for drug trafficking and money laundering. This fellow and others have made cash deposits to a bank account in her name of $100,000.00, in the past two years. There's more, but you get the point.

The real question is why Jr. brought these charges to begin with, and treated DSK as the lowest human being on the criminal food chain. Can you handle the truth?

Well, it all begins and ends with the President of the United States, Mr. Obama. Obama and the Obama Administration were enraged at DSK for statements he made on America's fiscal crisis. DSK said that America's excessive spending has not worked and is only making matters worse. First to get his pound of flesh was Timothy Geithner, US Secretary of Treasury, who came out immediately after DSK's arrest to call for him to resign from the IMF. Then the Mainstream Media (MSM) took their shots.

Junior's incompetent rush to judgment worked out quite well for Mr. Obama: humiliate DSK; get him removed from the IMF where he casts too large a shadow; and score some points with Nicolas Sarkozy, President of France, who was down in the polls to DSK and France's Socialist Party in the upcoming French Election.

Well, that's how I see it. The French were right to defend DSK, but not for all the right reasons. His behavior was despicable. Yet, he was set up -- for the truth he told about Obama's failed and demagogic fiscal policies.

C'est la vie, n'est-ce pas?

Sunday, May 22, 2011

“Sneefed”

The charges against Dominique Strauss-Kahn, former managing director of the International Monetary Fund, a French Socialist panjandrum, and a top contender for France’s presidency, are serious.

Manhattan prosecutors have charged Mr. Strauss-Kahn, with seven counts stemming from allegations he sexual assaulted a hotel housekeeper.

As can be expected, Mr. Strauss-Kahn’s arrest has sent shock waves and disbelief throughout the capitals of Europe, and outrage throughout much of France. The French have long celebrated their laissez-faire attitude toward sex and moral issues. In this regard, particularly germane was the French riposte to America's disapproval of Bill Clinton's sexual scandal with Monica Lewinsky - they "sniffed."

This brings to mind the wonderful description of another French affair in Richard Holbrooke's book "To End A War." A special dinner was held at Wright - Patterson Air Force Museum, the greatest military air museum in the world, for delegates to the Dayton Peace Accords, November 1 - 21, 1995. All delegates were stopped for a security check, which included being searched by dogs trained to smell explosives. The French Representative, Jacques Blot, took extreme exception to this procedure. He whined, "This insult is to all of France." He stated emphatically, "I will not be sniffed!" He was said to pronounce it "sneefed."

"Sneefed" indeed, let's hope Monsieur Blot never has to go through Barack Obama's and Janet Napolitano's airport security checks.

Thursday, April 14, 2011

Obama Speak

Mr. Obama once again tried to pull his chestnuts out of the fire, and pull the wool over everyone’s eyes, in his speech to stabilize America’s mounting debt and fiscal crisis (April, 13, 2011).

Mr. Obama, now famous for pussyfooting around on the issue, wants US to believe that he has a credible plan to deal with America’s debt and spending problems. Yet, all he offers is pie in the sky and pipe dreams.

Mr. Obama has come down from the mountain and told us that the answer to America’s debt is to raise taxes – on the rich. In America, according to Mr. Obama, you are rich if a husband and wife earn more than $250,000 a year. Mr. Obama believes that ‘raising taxes is cutting spending in the tax code.’ Say what?

Mr. Obama didn’t say that his policies of redistribution of the American taxpayers wealth to the welfare state on the one hand, and banks, hedge funds, public sector unions on the other, are responsible for the trillions in debt that are forecast to drown US in red ink. Nor did Mr. Obama say that the policies of quantitative easing, aka bailouts, to again reward the world’s Bankers and Hedge Fund Managers, by the Federal Reserve Chairman, Mr. Bernanke, who he appointed, further massacred America’s wealth.

All things considered, we can only hope that Mr. Obama’s plan, like most of what he says, comes with an early expiration date.

Saturday, April 2, 2011

Healthcare cost control is the medicine for what ails America

The first cut at analyzing anything is to place it in its proper perspective. Perspective structures the debate and the public’s perception of the problem. In other words, how we define the problem is how we solve it.

Most would agree that the debate on “Entitlements,” i.e., Social Security, Medicare, and Medicaid is a first-order imperative to deal with America’s debt problem. To take on all Entitlements together is unworkable. By “suboptimization” of America’s Entitlement programs, the problem of America’s debt can be disaggregated into a number of smaller and discrete sub problems.

Runaway spending on Entitlements will drive the debt to unsustainable levels. Social Security, Medicare, and Medicaid spending will soar as 78 million “baby boomers” retire. Peter Orszag, Mr. Obama’s former Budget Director, has indicated that Medicare, Medicaid, and Social Security will together account for 20 per cent of US GDP by 2050 (Medicare 10.0%, Medicaid 4.3%, and Social Security 5.7%). That is more than all federal taxes combined.

I would proffer that Social Security is not the immediate problem, and we should not combine it with Medicare and Medicaid expenditures when seeking solutions to America's catastrophic debt. Clearly, Social Security can be tweaked to reflect the reality of aging. But this can be accomplished to threaten no one. Moreover, most Americans have paid for this meager retirement – it is not welfare. Yet, to propose privatizing Social Security is irresponsible and a fool's errand. Do you really believe we can trust the Stock Market, and Bank and Hedge Fund managers, with our retirement? Do you really believe we can sell that to our senior citizens? The short answer is no.

What ails American is out of control healthcare costs. The need to control costs in healthcare is America's primary fiscal necessity. Healthcare expenditures are growing at an exponential rate as compared to other costs in our economy. Everyone can agree to that. We should also be able to agree that all attempts to rein in spending on healthcare have failed such as HMOs, prevention, improved use of technology, and information technology. HMO's and Insurance companies are viable and profitable because they raise their rates to their subscribers at will. Health care is not an unambiguous and efficient marketplace given the asymmetrical nature of medical knowledge. Moreover, the so-called prevention effect is a fantasy.

There is an old and true axiom in healthcare: the way you pay for healthcare is the way you practice healthcare. But in today’s world there is another: healthcare is practice to protect the provider, i.e., physician, hospital, etc., from lawsuits. By ordering more and more visits, tests, and procedures, not only do healthcare providers protect themselves from litigation, but they also make more money.


Mort Zuckerman in an insightful analysis pointed out (The Financial Times, August 2o, 2009) “cost control, not coverage, is the key to health reform.” Healthcare costs will not be controlled until the insane costs and arbitrary awards of malpractice lawsuits are reformed. Mr. Zuckerman estimates that defensive medicine adds as much as 18 per cent to the total cost of medical care. Trimming even 1 per cent would save $22 billion in healthcare spending in one year (the New England Journal of Medicine, July 2, 2009). Eighteen per cent would yield $396 billion.

This is not to say, that this is all we have to do. Other healthcare reforms are needed. For example, we need mandate reform -- we need to give people the choice to choose a basic benefit package(s), and not the expanded excessive one mandated by ObamaCare. The American taxpayer should not have to put a "scooter" in every home.

The Democratic Party has invested substantial political costs in association with America’s Trial Lawyers, and as such is reluctant to abandon them. There is no finer example of this than when Barack Obama announced definitively at the start of the healthcare debate that ‘Tort Reform is off the table.’ Apparently, the Democrats greed for large donations from trial lawyers makes providing affordable healthcare to the American people and controlling America’s ruinous debt, dead in the water. As for the Republicans, why take on America's senior citizens when you can take on America's trial lawyers?

What's it going to be -- reform or fiscal insanity? Tort and mandate reforms will be game changers. Americans need a clear understanding that any plan to reduce the deficit will be fair and responsible. The Administration has clearly failed to present a coherent plan. This is a time for leadership and not campaigning. So, what’s it going to be?

Tuesday, March 15, 2011

Power of public sector unions is Wisconsin issue




Published: March 15 2011 02:50 | Last updated: March 15 2011 02:50
From Mr Lawrence S. Schneiderman.

Sir, I must point out that efforts by Governor Scott Walker and the Republican state legislature of Wisconsin are to curtail the power of public employee unions, and not unions in general. Hence, Richard McGregor’s report “Republicans boosted by Wisconsin vote” (March 11) is not a full account of the issue.

The privilege for public sector employees to unionise is a recent phenomenon. It is not a historic birthright, as the unions would wish you to believe. It is Wisconsin’s taxpayers who employ these union members – not some fat cat, private jet, country club, cigar-chomping businessman.

Public sector workers are thriving because of the power their well-organised unions exercise. Their real bosses, aka taxpayers, have no voice other than electing public officials who represent their interests and not special interests. That was exactly what has been going on in Wisconsin. The people elected a Republican governor, state senate and assembly to put a stop to the Democrats in their special relations with the public sector unions, and their catastrophic addiction to spending.

Yet more disturbing is the picture that accompanied the article – a union protester in front of our state capitol waving the American flag upside down. According to Title 4, United States Code, Chapter 1: “The flag should never be displayed with the union down.” Apparently, democracy and the will of the people is a “bridge too far” for America’s public sector unions.

Lawrence S. Schneiderman,
Milwaukee, WI, US

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