Tag Archives: Labor

Do Democrats pay their fair share of taxes?

Funny video from American Power Blog.

That’s one case, but are leftists always hypocrites like that?

Do As I Say Not As I Do

I recently listened to the audio book version of Peter Schweizer’s 2004 book “Do As I Say Not As I Do“. In that book, he profiles a number of leftist public figures, and he discovers that leftists don’t practice what they preach, because even they know that leftist ideas don’t actually work. I really recommend the book, so let’s take a closer look at it and you’ll see why you should read it, too.

Here’s a 32 minute 2011 lecture about the book:

And here’s an interview with the author from FrontPage magazine.

Excerpt:

FrontPage: Give us some of the best examples of the gulf between some liberals’ social criticisms and the ingredients of their private lives. Give us some insights, for instance, into the likes of Noam Chomsky, Michael Moore, Cornel West, Hillary Clinton, Ted Kennedy and Barbra Streisand.

Schweizer: Looking for liberal hypocrisy is, as they say in the military, a target-rich environment. Noam Chomsky, for example, has attacked wealthy Americans who set up trusts to avoid paying inheritance taxes. But this self-professed “radical socialist” has a tax attorney and did the very same thing. (When I asked him about this hypocrisy he said it was okay because he and has family have been working on behalf of suffering people all these years.)

Michael Moore’s hypocrisy is pathological. He has said numerous times that he doesn’t own a single share of stock and that capitalism is not acceptable “on any level.” And yet, I found that, according to tax returns filed with the IRS, he has owned shares in Halliburton, numerous oil companies, defense contractors and other multinationals through a tax shelter. When it comes he race he’s also wildly hypocritical. He says that Americans who happen to live in largely white neighbhorhoods do so because they are “racists.” But he lives in Central Lake, Michigan, which according to the U.S. Census has more than 2,500 residents and not a single black person in the entire town.

Cornel West has numerous times condemned middle class blacks that abandon the “chocolate cities” for the “vanilla suburbs” but guess what, his flavour of choice is vanilla, too.

Ted Kennedy likes to pose as the Robin Hood of the Senate, forcing wealthy Americans to pay their taxes to help the poor. But I discovered that Kennedys record of actually paying taxes is horrible. Tax the inheritance tax. He says that Americans should pay 49% to the IRS when they die in the name of “social justice.” But according to public records, the Kennedys have almost completely avoided contributing to “social justice” by placing their assets in trusts that are located overseas. The Kennedys, over the past thirty years, have paid less than 1% in inheritance taxes on more than $300 million. Ted Kennedy, like Hillary Clinton and George Soros, loves higher taxes. On other people.

And:

FrontPage: Why do you think people are drawn to leftist ideals and what kind of people are they? Self-contempt appears to be a common ingredient, no?

Schweizer: Yes, self-contempt is a big part of it. Dietrich Bonhoeffer, the great German pastor who stood up to Hitler, wrote a book about “cheap grace.” Liberals are guilty of cheap grace in the political sense. They feel guilty and their form of penance is embracing the destructive ideas of the progressive faith. But it’s cheap grace because as I show it the book, they don’t actually change the way they live. I think that the religious comparison makes sense because in many respects the modern day left represents a religious movement. They are motivated by a sense of sin, guilt, and the need for salvation and absolution in the political sense. Socialism offers salvation to them. Of course, they don’t actually plan to live like socialists.

I would really recommend taking a look at this book.

Democrats and their unpaid taxes

One last parting shot: Democrats talk about how job creators and employees are greedy to not want to pay taxes on their earnings, but Democrats actually have huge amounts of unpaid taxes that they refuse to pay:

A new report just out from the Internal Revenue Service reveals that 36 of President Obama’s executive office staff owe the country $833,970 in back taxes. These people working for Mr. Fair Share apparently haven’t paid any share, let alone their fair share.

Previous reports have shown how well-paid Obama’s White House staff is, with 457 aides pulling down more than $37 million last year. That’s up seven workers and nearly $4 million from the Bush administration’s last year.

Nearly one-third of Obama’s aides make more than $100,000 with 21 being paid the top White House salary of $172,200, each.

The IRS’ 2010 delinquent tax revelations come as part of a required annual agency report on federal employees’ tax compliance. Turns out, an awful lot of folks being paid by taxpayers are not paying their own income taxes.

The report finds that thousands of federal employees owe the country more than $3.4 billion in back taxes. That’s up 3% in the past year.

That scale of delinquency could annoy voters, hard-pressed by their own costs, fears and stubbornly high unemployment despite Joe Biden’s many promises.

The tax offenders include employees of the U.S. Senate who help write the laws imposed on everyone else. They owe $2.1 million. Workers in the House of Representatives owe $8.5 million, Department of Education employees owe $4.3 million and over at Homeland Security, 4,697 workers owe about $37 million. Active duty military members owe more than $100 million.

The Treasury Department, where Obama nominee Tim Geithner had to pay up $42,000 in his own back taxes before being confirmed as secretary, has 1,181 other employees with delinquent taxes totaling $9.3 million.

As usual, the Postal Service, with more than 600,000 workers, has the most offenders (25,640), who also owe the most — almost $270 million. Veterans Affairs has 11,659 workers owing the IRS $151 million while the Energy Department that was so quick to dish out more than $500 million to the Solyndra folks has 322 employees owing $5 million.

The country’s chief law enforcement agency, the Department of Justice, has 2,069 employees who are nearly $17 million behind in taxes.

Even that leftist Warren Buffett’s company is in court for unpaid taxes. Leftists are hypocrites, and when we here them talk, we need to keep in mind that this isn’t how they live themselves. It’s just posing and preening for admiration.

Minimum wage: doing what feels good doesn’t produce good results

Government Spending Vs Jobs
Government Spending Vs Jobs

From Investors Business Daily.

Excerpt:

How amusing to watch Democrats wring their hands over what they can do to get businesses to create jobs, when one of the biggest job killers is the minimum wage they keep hiking.

Recall that it was Democrats who raised the federal wage floor a whopping $2.10 an hour in the middle of the recession. The record 41% increase has led to record unemployment among young people, especially black teens.

Congress started ratcheting up the minimum wage from $5.15 an hour in mid-2007, arguing it would help abate poverty. But retailers looking to slash costs eliminated low-skilled, entry-level jobs rather than pay the mandated increases.

Now 1.5 million fewer teens are working. Last year’s unemployment rate for workers ages 16 to 19 shot up to 26% from 2007’s 15%.

As for black teens, their joblessness soared to a record 43% after the final raise to $7.25 took effect in mid-2009. It helped put more than half of young black men out of work — a first.

The president proposes cranking the minimum wage even higher to $9.50. Then he wants to raise it every year thereafter as a “living wage” indexed to inflation.

Yes, this is the problem that happens when you elect someone who knows nothing whatsoever about economics. And when I say nothing, I mean he is in disagreement with virtually all economists across the ideological spectrum.

Moderate economist Gregory Mankiw of Harvard University lists the policies that are accepted by virtually all economists.

Here’s Greg’s list, together with the percentage of economists who agree:

  1. A ceiling on rents reduces the quantity and quality of housing available. (93%)
  2. Tariffs and import quotas usually reduce general economic welfare. (93%)
  3. Flexible and floating exchange rates offer an effective international monetary arrangement. (90%)
  4. Fiscal policy (e.g., tax cut and/or government expenditure increase) has a significant stimulative impact on a less than fully employed economy. (90%)
  5. The United States should not restrict employers from outsourcing work to foreign countries. (90%)
  6. The United States should eliminate agricultural subsidies. (85%)
  7. Local and state governments should eliminate subsidies to professional sports franchises. (85%)
  8. If the federal budget is to be balanced, it should be done over the business cycle rather than yearly. (85%)
  9. The gap between Social Security funds and expenditures will become unsustainably large within the next fifty years if current policies remain unchanged. (85%)
  10. Cash payments increase the welfare of recipients to a greater degree than do transfers-in-kind of equal cash value. (84%)
  11. A large federal budget deficit has an adverse effect on the economy. (83%)
  12. A minimum wage increases unemployment among young and unskilled workers. (79%)
  13. The government should restructure the welfare system along the lines of a “negative income tax.” (79%)
  14. Effluent taxes and marketable pollution permits represent a better approach to pollution control than imposition of pollution ceilings. (78%)

From CNBC, we get this article showing that any increase in the minimum wage will raise the unemployment rate for young people.

Excerpt:

A quarter of teenagers were jobless in March, representing a surprising increase from February, even as the unemployment rate for the rest of the population decreased.

This figure may only get worse if budget-strapped states raise the minimum wage, and it could also be a sign of greater structural damage underlying our economy, analysts said.

The unemployment rate for 16- to 19-year olds jumped back up to 24.5 percent in March, up from 23.9 percent the prior month, according to the latest jobs data from the Labor Department.

[…]“Even when comprehending that teen employment is volatile in nature, the data that exists serves up some shock and awe,” said Brian Sozzi, a retail research analyst with Wall Street Strategies, in a note Wednesday. “If these (wage) increases do go through, the prospect for teen employment will remain grim as employers search for workers with advanced skills to fill positions.”

Twelve states, including Illinois and Pennsylvania, are considering a hike in the minimum wage. While this has been the subject of a long-running debate, many economists and analysts say raising this pay bar may cause more teen layoffs, even as it helps teens who manage to stay employed make more.

“Minimum wage increases over the past few years has definitely made it worse,” said Peter Boockvar, chief equities strategist at Miller Tabak. “In fact, there should be zero minimum wage for teenagers, or at most, something much less than the current rate.”

Teens typically are the first to be fired and the last to be hired back in a normal economic cycle, so this rate can be considered a kind of leading indicator of employment.

A new study shows that only 25% of teens will be able to find jobs this summer. And Obama thinks that this number is apparently too high. He wants to lower it by raising the price that must be paid by employers who would like to hire younger workers.

You can find out more about how raising the minimum wage increases unemployment from this comprehensive, 50-year, government study.

Excerpt:

Summary of Research on the Minimum Wage

* The minimum wage reduces employment.

Currie and Fallick (1993), Gallasch (1975), Gardner (1981), Peterson (1957), Peterson and Stewart (1969).

* The minimum wage reduces employment more among teenagers than adults.

Adie (1973); Brown, Gilroy and Kohen (1981a, 1981b); Fleisher (1981); Hammermesh (1982); Meyer and Wise (1981, 1983a); Minimum Wage Study Commission (1981); Neumark and Wascher (1992); Ragan (1977); Vandenbrink (1987); Welch (1974, 1978); Welch and Cunningham (1978).

* The minimum wage reduces employment most among black teenage males.

Al-Salam, Quester, and Welch (1981), Iden (1980), Mincer (1976), Moore (1971), Ragan (1977), Williams (1977a, 1977b).

* The minimum wage helped South African whites at the expense of blacks.

Bauer (1959).

* The minimum wage hurts blacks generally.

Behrman, Sickles and Taubman (1983); Linneman (1982).

* The minimum wage hurts the unskilled.

Krumm (1981).

* The minimum wage hurts low wage workers.

Brozen (1962), Cox and Oaxaca (1986), Gordon (1981).

* The minimum wage hurts low wage workers particularly during cyclical downturns.

Kosters and Welch (1972), Welch (1974).

* The minimum wage reduces average earnings of young workers.Meyer and Wise (1983b).

* The minimum wage reduces employment in low-wage industries, such as retailing.Cotterman (1981), Douty (1960), Fleisher (1981), Hammermesh (1981), Peterson (1981).

* The minimum wage causes employers to cut back on training.Hashimoto (1981, 1982), Leighton and Mincer (1981), Ragan (1981).

* The minimum wage encourages employers to install labor-saving devices.Trapani and Moroney (1981).

* The minimum wage increases the number of people on welfare.Brandon (1995), Leffler (1978).

* The minimum wage hurts the poor generally.

Stigler (1946).

* The minimum wage does little to reduce poverty.

Bonilla (1992), Brown (1988), Johnson and Browning (1983), Kohen and Gilroy (1981), Parsons (1980), Smith and Vavrichek (1987).

* The minimum wage helps unions.Linneman (1982), Cox and Oaxaca (1982).

* The minimum wage increases teenage crime rates.Hashimoto (1987), Phillips (1981).

* The minimum wage encourages employers to hire illegal aliens.

Beranek (1982).

* Few workers are permanently stuck at the minimum wage.

Brozen (1969), Smith and Vavrichek (1992).

* The minimum wage has reduced employment in foreign countries.Canada: Forrest (1982); Chile: Corbo (1981); Costa Rica: Gregory (1981); France: Rosa (1981).

This is why it is important for voters to understand economics. When you raise the price of labor, fewer employers will purchase labor. Supply and demand.

Conservative leader Tim Hudak to push right to work and secret ballots

Political map of Canada
Political map of Canada

Wow, the Canadians are trying to imitate Scott Walker and John Kasich.

Excerpt:

In a move certain to upset the organized labour movement, Ontario workers would be able to opt out of collective agreements and union dues under dramatic changes to provincial workplace laws proposed by PC Leader Tim Hudak.

Employers would no longer be required to collect dues on behalf of unions and secret ballots would be restored in certification votes.

“The rules that are governing the workplace, they haven’t changed. And the way that many of our unions are run, particularly public sector unions, haven’t caught up with the times,” Hudak said. “No business would be caught today operating with a typewriter or a rotary phone, but our union laws and many union practices are still stuck in the 1940s.”

Hudak released a white paper Tuesday, entitled Paths to Prosperity: Flexible Labour Markets, which calls for significant rewrites to the labour laws in Ontario which he says would make the province’s business environment more competitive and create jobs.

[…]Hudak’s real goal is to strip unions of their funding, in particular the Working Families Coalition that actively campaigns against Conservatives, he said.

[…]The white paper says the provincial government should lead the way by ending automatic paycheque deductions for dues and give private sector employers the same option.

The monopoly that union shops enjoy in bidding for public contracts across Ontario’s municipal and broader public sectors would also likely end under the Tories.

Unions should be required to reveal how they spend the dues they collect, that workers have a right to know when their dues are spent on political causes, like anti-Israel campaigns and Quebec student protests, Hudak said.

While it’s true that many (or even most) of the people who are stuck in unions are good, patriotic, hard-working people, union leaders are generally secular socialists. They support all kinds of nasty leftist groups. The best way to defund them is to allow workers to not have to have union dues automatically deducted from their pay checks. I would expect that most union workers in Ontario would elect not to pay dues to their unions – at least if they are anything like the workers in Wisconsin.