Tag Archives: Spending

News

Democrats propose 23 billion bailout for teacher unions

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Story here from the leftist Washington Post. (H/T Ace of Spades via ECM)

Excerpt:

As public schools nationwide face larger class sizes and cuts in programs, the Senate’s leading Democrat on education issues proposed a $23 billion bailout Wednesday to help avert layoffs of tens of thousands of teachers and other school personnel in the coming academic year.

[…]Education Secretary Arne Duncan estimated that school layoffs could total from 100,000 to 300,000 unless Congress acts.

“It is brutal out there, really scary,” Duncan told reporters on Capitol Hill. “This is a real emergency. What we’re trying to avert is an education catastrophe.”

Duncan stopped just short of endorsing Harkin’s bill. But he said efforts to improve schools will suffer if class sizes rise, summer school is cut and other programs are jettisoned.

Harkin, chairman of the Appropriations Committee’s panel on education and of the Committee on Health, Education, Labor and Pensions, said time is running out because states are starting to issue layoff notices. “We must act soon,” he said. “This is not something we can fix in August. We have to fix it now.”

[…]Sen. Lamar Alexander (R-Tenn.) said he worried about where the government would find $23 billion for a bailout in a time of growing federal budget deficits. “I wonder from whose schoolchildren we are going to borrow this money, because we have a looming debt crisis in this country and we’ll need to debate this,” he said. “We all want to help our children and our schools, but that is a deep concern.”

A fitting follow-up to today’s earlier education policy post. This is why you don’t put silver spoon liberals in charge of the country – they just keep spending and spending to bail out their greedy special interest groups.

News

Obamacare cancels development on 60 new hospitals

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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.

News

Real personal income for Americans falls 3.2% during Obama’s term

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Story from the Washington Times. (H/T ECM)

Excerpt:

Real personal income for Americans – excluding government payouts such as Social Security – has fallen by 3.2 percent since President Obama took office in January 2009, according to the Commerce Department’s Bureau of Economic Analysis.

For comparison, real personal income during the first 15 months in office for President George W. Bush, who inherited a milder recession from his predecessor, dropped 0.4 percent. Income excluding government payouts increased 12.7 percent during Mr. Bush’s eight years in office.

“This is hardly surprising,” said Douglas Holtz-Eakin, an economist and former director of the nonpartisan Congressional Budget Office. “Under President Obama, only federal spending is going up; jobs, business startups, and incomes are all down. It is proof that the government can’t spend its way to prosperity.”

According to the bureau’s statistics, per capita income dropped during 2009 in 47 states, with only modest gains in the other states, West Virginia, Maine and Maryland. But most of those increases were attributed to rising income from the government, such as Medicare and unemployment benefits.

And tax hikes are right around the corner, because his massive spending requires it.