Tag Archives: Choice

Milton Friedman shows why capitalism is the economic view of grown-ups

Here’s one video:

And another:

Socialism only makes sense when you don’t think things through. There is a finite number of things in the universe. If you want to fix one situation, you’re going to break something else. The only question to decide, then, is who should decide how money is spent. Is it the government who decides? Or individuals? Which party is better at choosing? Which party has more to gain or lose from good and bad choices? Which party has the incentive to make the right choice, because they earned the money, and is responsible for the result of spending it one way or another?

The real world is not perfect. There are risks and trade-offs everywhere in life.

(H/T Laura at Pursuing Holiness)

Superintendent Michelle Rhee’s fight against the Washington, D.C. teacher unions

I’ve always believed that the best way to learn about a topic is by understanding the topic as a fight between two opposing teams. And that’s how we’re going to learn about the Washington D.C. school system in this balanced post at the libertarian magazine Reason.(Not the usual conservative stuff I post 100% of the time)

Here’s the situation:

D.C. is a divided town. In the heart of the capital, the federal government hums along, churning out paperwork and disillusioned interns at a steady clip. But the rest of the city is in pretty miserable shape. The District of Columbia Public Schools rank below all 50 states in national math and reading tests, squatting at the bottom of the list for years at a time. More than 40 percent of D.C. students drop out altogether. Only 9 percent of the District’s high schoolers will finish college within five years of graduation. And all this failure doesn’t come cheap: The city spends $14,699 per pupil, more than all but two states and about $5,000 more than the national average. Yet as unlikely as it seems, D.C. may prove to be the last best hope for school reform in the United States.

But then, a reform-minded superintendent named Michelle Rhee appeared:

In July 2008, Rhee revealed her opening gambit with the teachers union: She offered the teachers a whole lot of money. Under her proposal, educators would have two choices. With the first option, teachers would get a $10,000 bonus—a bribe, really—and a 20 percent raise. Nothing else would change. Benefits, rights, and privileges would remain as they were. Under the second option, teachers would receive a $10,000 bonus, a 45 percent increase in base salary, and the possibility of total earnings up to $131,000 a year through bonuses tied to student performance. In exchange, they would have to forfeit their tenure protections.

But the teachers said no to her offer:

Teachers simply don’t believe that it should be possible for them to be fired—not by a principal, not by a superintendent, not by anyone. Unions and other opponents of the reformers prefer to stick with warmed-over solutions that have been failing for decades: smaller class sizes, more teacher pay, and more job security.

Then Rhee tried to tie teacher license renewals to performance, but the unions said no:

In 2008, after Rhee’s office released a statement about tying teacher licensing to student outcomes, the Washington Teachers Union (the dominant local union) sent an email message to its members stating, “This proposed regulation would not benefit DCPS teachers, as a teacher’s true effectiveness should not be linked to a teacher’s right to renew his or her license.” The message went on to explain that it was “dangerous and discriminatory” to “require a candidate to demonstrate effectiveness to continue teaching in a District of Columbia Public School.”

Children benefit when parents can get a voucher so the parents can choose a better school, and especially when they can choose charter schools or even private schools or even homeschooling – anything is better than public schools. But the unions don’t want parents to be able to use a voucher to choose a competitor. Unions want children to remain in failing schools so that the union members will not loose their jobs.

The article continues:

In pre-Rhee D.C. the single glimmer of hope for many families was the D.C. Opportunity Scholarships Program. Funded by a separate congressional appropriation of $14 million, it offered vouchers to kids in failing schools, allowing them to attend private school instead of their assigned public school. The program took no money from the city budget and was hugely popular with parents and kids; since 2004 more than 7,200 students had applied for a limited number of slots. Last year 1,700 kids were accepted. Next year there will be none. On the campaign trail, Barack Obama had promised to let scientific results determine his education policy. In office, however, he let political influence kill the program even as initial studies were showing positive gains by students and high parental satisfaction. The National Education Association, which is consistently one of the biggest single donors to U.S. political campaigns, pressured the Democratic Congress to eliminate funding for vouchers in 2009. Obama promptly signed the death sentence into law.

The fight over vouchers and charter schools—both of which serve as workarounds to the ossified hiring/firing rules of public schools—is playing out all around the country, with teachers unions usually coming out on the winning side.

[…]Teachers unions contribute more than $60 million a year to political campaigns, topping contributor lists at the state and federal levels, and nearly all of the money goes to Democrats. That investment buys the continuation of the status quo plus some platitudes about class size and teacher pay from every prominent Democrat. Reformers have virtually no presence on Capitol Hill.

On the one side, there is the courageous, no-nonsense superintendent Michelle Rhee, parents and children. And on the other side, there is the Washington D.C. education bureaucracy, teacher unions and the Democrat party. The unions are winning. Do parents care to understand what is stopping their own children from succeeding?

The shocking thing in all of this is that Rhee is a Democrat, and hardly a conservative. She’s no hero of mine, but at least we share the same enemies on this issue.

Must-see videos on education policy

Related posts

Obamacare cancels development on 60 new hospitals

Story here from CNS News. (H/T ECM)

Excerpt:

Physician-owned hospitals are advertised as less bureaucratic and more focused on doctor-patient decision making. However, larger corporate hospitals say doctor-owned facilities discriminate in favor of high-income patients and refer business to themselves.

The new health care rules single out such hospitals, making new physician-owned projects ineligible to receive payments for Medicare and Medicaid patients.

Existing doctor-owned hospitals will be grandfathered in to get government funds for patients but must seek permission from the Department of Health and Human Services to expand.

[…]More than 60 doctor-owned hospitals across the country that were in the development stage will be canceled, said Molly Sandvig, executive director of Physician Hospitals of America (PHA).

“That’s a lot of access to communities that will be denied,” Sandvig told CNSNews.com. “The existing hospitals are greatly affected. They can’t grow. They can’t add beds. They can’t add rooms. Basically, it stifles their ability to change and meet market needs. This is really an unfortunate thing as well, because we are talking about some of the best hospitals in the country.”

The thing about communism that you need to understand is that it has to kill small business, so that individual consumers have no choice between producers.

A centralized government is much more capable of controlling the operations of a few large conformist oxen than a massive herd of independent cats. That’s why I think there is a lot of hostility to small business in Obama’s economic policies.  In particular, the health care mandates are designed to destroy small businesses, while the massive bailouts are designed to nationalize large companies. It’s straight out of the communist playbook.