ObamaCare: Laugh Till It Hurts

From a friend:

Let me get this straight.

The new health care plan will be written by a committee whose Chairman says he doesn't understand it;

Passed by a Congress which hasn't read it;

Signed by a President who smokes;

Funded by a Treasury Chief who did not pay his taxes;

Overseen by a Surgeon General who is obese;

And financed by a country that is nearly broke.

What could possibly go wrong?

Best One-Liner from a Judge This Year

The judge presiding over the first serious challenge in federal court of a state gay-marriage ban has defined his career with an unconventional approach.

Two days into the trial over the constitutionality of California's Proposition 8 gay-marriage ban, Judge Vaughn Walker has upset some opponents of gay marriage by allowing gay couples to testify on the meaning of marriage.

The 65-year-old judge has tried to breach the longtime ban on TV cameras in federal court by ordering the trial to be posted on YouTube -- though the Supreme Court has temporarily stayed that decision.

On Monday, the first day of the trial, he repeatedly asked the lawyers: Why don't states "get out of the marriage business? It would solve the problem."

OK, that's two lines, but right on the money in any case.  Read the rest; Walker is an interesting guy.  How did a libertarian get on the federal bench?

Maybe Chefs Should Design Anti-Terrorism Tactics

It seems that professional chefs are better than terrorists at getting things past airport security:

The Christmas Day underwear-bombing attempt won't just slow airport-security lines. It probably will also disrupt efforts to provide U.S. carnivores with quality salami, prosciutto and headcheese.

Last week, a federal grand jury indicted Umar Farouk Abdulmutallab, the Nigerian who allegedly tried to set off a bomb hidden in his underpants on a Northwest Airlines flight to Detroit. The bomb didn't explode, but it spurred demand for pat-down searches, body scans and more-meticulous baggage examinations for airline passengers headed for the U.S.

Such measures might discourage terrorists, but they are also likely to catch chefs smuggling meat from Europe. Chefs such as Rey Knight, who once flew from Italy to Miami with a pork shoulder and fennel-pollen salami vacuum-sealed and hidden inside a stainless-steel water bottle. Another time, he says, he hid a 4-pound goose-liver torchon from France inside the belly of a salmon.
 
Increased scrutiny of international travelers means "I'll have to come up with more creative ways" to get charcuterie into the U.S., says Mr. Knight, whose Knight Salumi Co. sells cured meats to San Diego-area restaurants.

Cell Phones and Traffic Accidents

I do not dispute that talking or texting on a cell phone can inhibit good driving.

But laws that limit the use of cell phones while driving may still be undesirable.

First, the people who text while driving might be the same people who would otherwise be putting on makeup, fiddling with the radio, trying to eat a sandwich, or yelling at their kids.  Thus, the net amount of bad driving due to cell phones may not be large.

Second, traffic fatalities per vehicle mile have declined steadily and significantly since 1994, even while cell phones and texting have grown enormously.  This does not prove cell phones do not cause bad driving, but it makes you wonder if this effect is large.  Most studies on cell phones and traffic accidents suffer from serious statistical flaws.

Third, any accidents caused by cell phones are only one side of the equation.  Millions of people use cell phones while driving for beneficial purposes, so the net impact may well be positive.

Fareed Zakaria on Our Response to the Underwear Bomber

In responding to the attempted bombing of an airliner on Christmas Day, Sen. Dianne Feinstein voiced the feelings of many when she said that to prevent such situations, "I'd rather overreact than underreact." This appears to be the consensus view in Washington, but it is quite wrong. The purpose of terrorism is to provoke an overreaction. Its real aim is not to kill the hundreds of people directly targeted but to sow fear in the rest of the population. Terrorism is an unusual military tactic in that it depends on the response of the onlookers. If we are not terrorized, then the attack didn't work. Alas, this one worked very well.

 I could not agree more.  The rest of Zakaria's piece is dead on as well, this paragraph in particular:

As for the calls to treat the would-be bomber as an enemy combatant, torture him and toss him into Guantanamo, God knows he deserves it. But keep in mind that the crucial intelligence we received was from the boy's father. If that father had believed that the United States was a rogue superpower that would torture and abuse his child without any sense of decency, would he have turned him in? To keep this country safe, we need many more fathers, uncles, friends and colleagues to have enough trust in America that they, too, would turn in the terrorist next door.

NY (Nutrition) Police Strike Again

First New York City required restaurants to cut out trans fat. Then it made restaurant chains post calorie counts on their menus. Now it wants to protect people from another health scourge: salt.

On Monday, the Bloomberg administration plans to unveil a broad new health initiative aimed at encouraging food manufacturers and restaurant chains across the country to curtail the amount of salt in their products.

The new plan is said to be voluntary and involves no new legislation.  Does anyone believe it will stay that way?

The Coming California Bailout

SACRAMENTO, Calif. -- Republican Gov. Arnold Schwarzenegger asked for $6.9 billion in federal funds in his state-budget proposal Friday and warned that state health and welfare programs would be threatened without the emergency help.

Mr. Schwarzenegger's proposed $82.9 billion general-fund budget for the 2010-11 fiscal year would close a $19.9 billion gap over 18 months. In addition to the federal aid, he called for $8.5 billion in cuts and $4.5 billion in alternative funding to balance the budget.

"It's time to enact long-term reforms that will change the way the most populous state and the federal government work together," Mr. Schwarzenegger said. He and state legislative leaders plan to visit Washington to lobby for bailout money. White House budget officials weren't available for comment on the governor's request.

Federal bailouts of state governments are insane not just because they reward profligate state spending. These bailouts also come with strings attached - dictates on how states can run education, welfare, transportation, and so on - and thus quickly destory any remnance of federalism in the United States.

A Republican Senator in Massachusetts?

BOSTON — Martha M. Coakley, the Democrat running for Senator Edward M. Kennedy’s seat in Massachusetts, had seemed so certain of winning the special election on Jan. 19 that she barely campaigned last month.

But the dynamic has changed in recent days. ...

And a new poll that showed a competitive race between Ms. Coakley and Mr. Brown has generated buzz on conservative blogs and energized the Brown campaign — though many news organizations dispute its methodology.

Brown is unlikely to win, but if he does, the implications for the health care debate are huge.

Should Polygamy be Legal?

Well, it still is in some parts of the world:

KUALA LUMPUR — Rohaya Mohamad, 44, is an articulate, bespectacled medical doctor who studied at a university in Wales. Juhaidah Yusof, 41, is a shy Islamic studies teacher and mother of eight. Kartini Maarof, 41, is a divorce lawyer and Rubaizah Rejab, a youthful-looking 30-year-old woman, teaches Arabic at a private college.

The lives of these four women are closely entwined — they take care of each others’ children, cook for each other and share a home on weekends.

They also share a husband.

So, should polygamy be legal?  To address this question, I think it is useful to consider two prior questions:

Should government "supply" and enforce the particular bundle of contracts known as marriage?

If it does so, should it restrict this supply to opposite-sex couples?

My answer to the first question is no: government should establish and enforce default rules about the division of property from communal living arrangements, about inheritances, and about guardianship of children, but it need not and should not bundle these rules into the particular package known as marriage. 

My answer to the second question is also no.  If goverment is going to supply marriage, it should do so in the most neutral way possible.  This means treating same-sex marriage and polygamy just like opposite-sex marriage.   Government should calls these contracts civil unions, leaving marriage to religious institutions.

The Fed and the Next Bubble

David Leonhardt has a terrifice piece in today's New York Times on the Fed's quest for more power.   His key point:

The fact that Mr. Bernanke and other regulators still have not explained why they failed to recognize the last bubble is the weakest link in the Fed’s push for more power. It raises the question: Why should Congress, or anyone else, have faith that future Fed officials will recognize the next bubble?

A related point is that, even without additional power, the Fed could have sounded an alarm about the housing bubble rather than chanting, "All is well."  Imagine how different the last few years might have been if in 2004 the Fed's testimony before Congress had been,

"Housing prices are growing at an unprecedented rate.  While the U.S. has never had a large nationwide decline in housing prices, it has also have had such a huge nationwide increase in prices, so all bets are off. Consumers and banks are becoming obscenely levered.  Fannie and Freddie are issuing mortgages to every borrower with a pulse.  This situation is scaring our pants off!

Alcohol Prohibition in Iraq?

BAGHDAD -- The banner appeared mysteriously this fall on a railing along Abu Nawas Street, the hub of nightlife on the banks of the Tigris River in downtown Baghdad, where the atmosphere in recent months has grown markedly more subdued.

"Damned is he who sits at a table with alcohol," the handwritten sign said.

Posted near a strip of nightclubs recently raided by police, the unsigned missive spoke to a new fight being fought across Iraq as government officials attempt to assert greater control over the country's moral and social norms.

This is evidence for my view that, when all is said and done, the invasion and occuption of Iraq will have replaced a secular repressive regime with a sectarian repressive regime.

Hardly Anyone Really Believes in Free Speech

A radical Islamic group planning a protest march through the streets of a town that has achieved iconic status in Britain for honoring the passing hearses of British soldiers killed in Afghanistan ran into a stiff rebuff from the British government on Monday.

Prime Minister Gordon Brown issued a statement saying he was “personally appalled” by the group’s plan to march through the streets of Wootton Bassett, 70 miles west of London, where townspeople have lined the sidewalks since April 2007 to mourn the passing cortèges of British military casualties flown home to the nearby military airbase at Lyneham. ...

Home Secretary Alan Johnson, who is responsible for the police, said in a separate statement that he would support any request from the police or local government officials to ban the march.

The point that the opponents of the march fail to get is that suppressing the march will polarize and alienate Muslims even more.

Smoking Bans in New York City

Six years after New York City passed a ban on smoking in bars and restaurants, it is easier than ever to find smokers partying indoors like it’s 1999, or at least 2002. In November, Eater.com called it “the worst kept secret in New York nightlife” that “smoking is now allowed in numerous nightspots, specifically just about any and every lounge and club with a doorman and a rope.” A few weeks later, GuestofaGuest.com, a blog about New York clubs and bars, posted a “smoker’s guide to N.Y.C. nightlife.”

“Everyone looks the other way,” said Billy Gray, 25, a reporter for Guest of a Guest, who says that he knows precisely which high-end bars and lounges, most of them in the meatpacking district or Lower East Side, will let him smoke inside. Far from deterring smoking indoors, the ban simply adds an allure to it, said Mr. Gray, a half-pack-a-day smoker.

“It’s more of an illicit thrill now,” he said. “Like when you were a teenager and snuck a beer in your parents’ basement.”

Thus, as with other prohibitions, smoking bans breed disrespect for the law.

Is a prohibition ever the right policy?  What about the ban on murder?  Take as given that this one is a good idea.  So what's the difference between banning murder and banning smoking in restaurants?

Everyone agrees that murder inflicts grave harm one someone who cannot easily avoid that harm.  Smoking in restuarants does not share this feature.  Even taking the evidence on second-hand smoke at face value, the effects from occasional expsoure are trivial, and anyone who wants to avoid them can stay home or patronize non-smoking restaurants.

Smoking bans are also miguided because they assume restaurants and bars are "public" and should therefore be subject to regulation by government.   Instead, any privately owned establishment should be regarded as fully private, with owners allowed to offer smoking versus non-smoking experiences, as they wish.

How Not to "Fix" the Housing Market

The Obama administration’s $75 billion program to protect homeowners from foreclosure has been widely pronounced a disappointment, and some economists and real estate experts now contend it has done more harm than good.

Since President Obama announced the program in February, it has lowered mortgage payments on a trial basis for hundreds of thousands of people but has largely failed to provide permanent relief. Critics increasingly argue that the program, Making Home Affordable, has raised false hopes among people who simply cannot afford their homes.

As a result, desperate homeowners have sent payments to banks in often-futile efforts to keep their homes, which some see as wasting dollars they could have saved in preparation for moving to cheaper rental residences. Some borrowers have seen their credit tarnished while falsely assuming that loan modifications involved no negative reports to credit agencies.

Some experts argue the program has impeded economic recovery by delaying a wrenching yet cleansing process through which borrowers give up unaffordable homes and banks fully reckon with their disastrous bets on real estate, enabling money to flow more freely through the financial system.

All these criticisms are dead on.  Keeping people in homes they cannot afford makes no sense, so policies that attempt to prevent foreclosure are guaranteed to generate perverse side effects.  The horrifying fact is that policy is still subsidizing high-risk mortgages.

Estate Tax Update

Congress is apparently not going to fix the odd dynamics of the estate tax, with awkward implications:

Starting Jan. 1, the estate tax -- which can erase nearly half of a wealthy person's estate -- goes away for a year. For families facing end-of-life decisions in the immediate future, the change is making one of life's most trying episodes only more complex.

"I have two clients on life support, and the families are struggling with whether to continue heroic measures for a few more days," says Joshua Rubenstein, a lawyer with Katten Muchin Rosenman LLP in New York. "Do they want to live for the rest of their lives having made serious medical decisions based on estate-tax law?"

The greater challenge will toward the end of 2010 if Congress has still failed to act:

Under current laws in effect until the end of this year, the size of the exemption is $3.5 million per individual or up to $7 million per couple. The tax is slated to disappear entirely on Jan 1. ...

The estate tax is scheduled to return in 2011 at a 55% rate with an exemption of slightly more than $1 million.

Thus, next December, heirs will face a strong incentive to pull the cord on ederly relatives.

The right policy is to make repeal permanent.  The estate tax punishes saving relative to spending and serves mainly to prop up the incomes of estate tax lawyers and accountants.

Gambling and Indian Tribes

As Shinnecock Indians returned to their reservation on Long Island after World War II, elders warned that their tribe’s long struggle for survival was once again threatened.

Decent jobs were scarce and many Shinnecock veterans were leaving, draining the reservation of needed hands. ...

Now this small tribe on the eastern end of Long Island is on the verge of sketching a new, perhaps more prosperous chapter. The Obama administration’s recent announcement that the Shinnecocks met the criteria for federal recognition finally paves the way for a casino, generating a bounty of jobs and revenue.

The odd fact raised by this story is that the U.S. pays restitution to Indian Tribes by giving them monopoly rights (within a given state or area) to sell casino gambling services. 
 
Here's a different approach: legalize all gambling.  Then have an honest debate about whether, or how much, the U.S. should pay restitution to Native Americans.