Tag Archives: Taxes

Entitlements programs are going bankrupt: how can we fix them?

From the American Enterprise Institute, a post that explains in brief how to reform each of the three largest entitlement programs so that they will not go bankrupt by the time today’s younger workers need them.

Here are the programs:

  1. Social Security (a social program to redistribute wealth from current workers to current retirees)
  2. Medicaid (a social program to provide health care to low income/low wealth Americans)
  3. Medicare (a social program to provide health care and prescription drugs to older Americans)

And here’s one of the solutions (for Social Security):

Social Security is the easiest entitlement program to reform and can be done without raising taxes.

  • The age should be gradually raised to 70 by 2065.
  • Benefits should be indexed to price inflation, not wage inflation, as the program’s purpose is to keep the elderly out of poverty.
  • Benefits should gradually be reduced for earners with high incomes. The system should be a way to keep individuals out of poverty, not create a dependent upper- and middle-class.

Together these three reforms would ensure Social Security stays solvent. The entire system, however, could be easily replaced with a new program designed to keep seniors out of poverty and empower them throughout their retirement. People should be given the incentive to work longer by eliminating the Social Security payroll tax for individuals over 62, and a basic income supplement should be provided to impoverished senior citizens. Workers should then be given ownership of their retirement savings by enrolling all workers 55 and younger into a retirement savings account funded by 5 percent of the worker’s earnings (2.5 percent from the individual and 2.5 percent from the employer). These simple reforms would create a system that  actually provides a safety net for needy citizens — all for 60 percent of what the U.S. currently spends on Social Security.

Click through for the other two problems and solutions.

Why is it so hard for a working man to provide for a family these days?

Here’s my argument which answers the question:

  1. Feminism was behind no-fault divorce.
  2. Making it easier to divorce means that more divorces will occur.
  3. Marital instability causes women to vote for bigger government.
  4. In the latest election (2008), exit polls showed that UNMARRIED women voted 3-1 for Obama.

*Please note that I am talking about unmarried women throughout this post.

Here’s the evidence for each point.

1. Feminism was behind no-fault divorce, according to this feminist, pro-no-fault-divorce writer.

Excerpt:

Households of 2010 don’t look quite like they did in 1969, when no-fault divorce actually was a controversial topic and these counter-arguments held some weight. The working dad/stay-at-home mom model of the middle class has been replaced by two-parent earner households and a growing number of working mom/stay-at-home dad arrangements. In working poor and impoverished families, the one-parent provider model was never the norm. No-fault divorce seemed scary when it had never before existed, but the truth is that its introduction was long overdue. Feminist groups at the time supported no-fault divorce, as it provided women an escape hatch from desperately unhappy marriages in a society where they were already disadvantaged on almost every level, regardless of their marital status. Imagine an abusive marriage in 1968, when the court-savvy abuser could actually force the victim to stay in the relationship forever. Imagine that now, and you know why domestic violence attorneys are in full support of introducing no-fault divorce to New York. And the judges aren’t the only problem.

Note that the author of this piece thinks that it is not women’s fault that they choose men who they then want to divorce. It’s not the woman’s fault that she is unhappy with the man she courted with and then chose and then made vows to – women need a no-fault escape hatch, and children do fine without fathers.

2. Easier divorces means more divorces.

Abstract:

This paper analyzes a panel of 18 European countries spanning from 1950 to 2003 to examine the extent to which the legal reforms leading to “easier divorce” that took place during the second half of the 20th century have contributed to the increase in divorce rates across Europe. We use a quasi-experimental set-up and exploit the different timing of the reforms in divorce laws across countries. We account for unobserved country-specific factors by introducing country fixed effects, and we include country-specific trends to control for timevarying factors at the country level that may be correlated with divorce rates and divorce laws, such as changing social norms or slow moving demographic trends. We find that the different reforms that “made divorce easier” were followed by significant increases in divorce rates. The effect of no-fault legislation was strong and permanent, while unilateral reforms only had a temporary effect on divorce rates. Overall, we estimate that the legal reforms account for about 20 percent of the increase in divorce rates in Europe between 1960 and 2002.

It seems obvious, but more evidence never hurts.

3. Marital instability causes women to vote for bigger government for security.

Excerpt:

Giving women the right to vote significantly changed American politics from the very beginning. Despite claims to the contrary, the gender gap is not something that has arisen since the 1970s. Suffrage coincided with immediate increases in state government expenditures and revenue, and these effects continued growing as more women took advantage of the franchise. Similar changes occurred at the federal level as female suffrage led to more liberal voting records for the state’s U.S. House and Senate delegations. In the Senate, suffrage changed voting behavior by an amount equal to almost 20 percent of the difference between Republican and Democratic senators. Suffrage also coincided with changes in the probability that prohibition would be enacted and changes in divorce laws.

[…]More work remains to be done on why women vote so differently, but our initial work provides scant evidence that it is due to self-interest arising from their employment by government. The only evidence that we found indicated that the gender gap in part arises from women’s fear that they are being left to raise children on their own (Lott and Kenny 1997). If this result is true, the continued breakdown of the family and higher divorce rates imply growing political conflicts between the sexes. 19

Bigger government must be paid for by higher taxes, of course, which makes it harder for one working man’s income to provide for a family. In fact, feminists wanted men to be displaced as sole-providers. They would prefer that women are “equal” to men, and that means making women get out and work like men. Feminists had every reason to want bigger government and higher taxes to make traditional single-earner families unfeasible financially. They did it for equality.

4. Women are in fact observed to vote for bigger government. (Original story was here, now pulled)

Excerpt:

On Tuesday, the nation made history. It made history in electing the first African American president; it made history in building a bigger margin for the first female Speaker of the House; it made history in delivering the biggest Democratic margin since 1964; it made history in sending a record number of people to the polls and the highest percentage turnout since the 1960 election. Analysts will spend the next few months sifting through the data, trying to figure out what happened and why. Historians will likely spend the next several years and decades studying this election, as well. But one thing is immediately clear. Unmarried women played a pivotal role in making this history and in changing this nation. They delivered a stunning 70 to 29 percent margin to Barack Obama and delivered similarly strong margins in races for Congress and the U.S. Senate. Although unmarried women have voted Democratic consistently since marital status has been was tracked, this election represents the highest margin recorded and a 16-point net gain at the Presidential level from 2004.

And since the Democrats took the House and Senate in 2006, and then the Presidency in 2008, the national debt has doubled from 8 trillion to 16 trillion.

Voting for Democrats means voting for bigger government which means voting for higher taxes to pay for it all. Higher taxes means that a married man can no longer retain enough of his earnings to support a family. And that means his wife has to work, and that means that his children will learn what the government schools decide they should learn – so that all the children will be equal and think the same (pro-government) thoughts. This should not be controversial, because it is what it is. Very often, women complain about the very problems that they themselves have caused with their own voting, and their own embrace of feminism and rejection of the traditional roles of men as protectors, providers, and moral/spiritual leaders.

So, you have women voting to defund actual providers so that they are free to make babies with good-looking non-committing, non-providers – like in the UK Daily Mail story that I recently blogged about. Feminists often don’t want to share parenting duties with a man – they prefer government social programs instead of a man. And liberal feminist politicians also oppose encouraging traditional marriage with tax breaks. In the feminist UK, IVF is free – paid for by the British taxpayer (including male sole-providers!) making single motherhood by choice much more common. Here’s the result of that: single mother of 10 receives 30,000 British pounds per year in benefits. A recent study showed that the cost of family breakdown to the American taxpayer is $112 billion per year and a recent UK study showed that the UK taxpayer pays 9 billion pounds per year for “problem families”. This money is in addition to the growth of government caused by liberal voting patterns, documented above.

And that’s why “a man working full time [cannot] actually support a family and buy a house, as the sole income earner”, as one philosopher recently asked.

Public school teacher threatens student with arrest for criticizing Obama

From Breitbart. (Note the Youtube video is about 9 minutes long, so I don’t recommend sitting through the whole thing)

Excerpt:

A YouTube video uploaded on Monday afternoon apparently shows a schoolteacher from the Rowan-Salisbury school district in North Carolina informing a student that failing to be respectful of President Obama is a criminal offense. Breitbart News has uncovered that the student is a high school junior, and that the teacher is apparently one Tanya Dixon-Neely.

The video shows a classroom discussion about the Washington Post hit piece about Mitt Romney bullying a kid some five decades ago. One student says, “Didn’t Obama bully someone though?” The teacher says: “Not to my knowledge.” The student then cites the fact that Obama, in Dreams from My Father, admits to shoving a little girl. “Stop, no, because there is no comparison,” screams the teacher. Romney is “running for president. Obama is the president.”

The student responds that both are “just men.”

The teacher yells — literally yells — that Obama is “due the respect that every other president is due … Listen,” she continues, “let me tell you something, you will not disrespect the president of the United States in this classroom.” She yells over the student repeatedly, and yells at him that it’s disrespect for him to even debate about Romney and Obama.

The student says that he can say what he wants.

“Not about him, you won’t,” says the teacher.

The teacher then tells the student – wrongly – that it is a criminal offense to say bad things about a president. “Do you realize that people were arrested for saying things bad about Bush? Do you realize you are not supposed to slander the president?”

The student says that it would violate First Amendment rights to jail someone for such sentiments. “You would have to say some pretty f’d up crap about him to be arrested,” says the student. “They cannot take away your right to have your opinion … They can’t take that away unless you threaten the president.”

Clearly, the student should be teaching the class, and the teacher should be reading the Constitution more often.

This is why taxpayers need to support school choice. There are some teachers in public schools, especially in the STEM areas, who are qualified. But there are others who are not. Education degrees are universally regarded as very easy, and very useless. We really should not be forced to fund a public school system that does not work for parents and children. Abolishing the federal Department of Education would be an excellent first step to improving the quality of education in state-run schools. We need to get the politics out of the classroom and focus on basic useful skills and career training.

UPDATE: This post has some more of the transcript, for those who can’t see the video.