The Practical Philosopher's Blog

Using the practical application of timeless wisdom to address modern issues

Obamanomics for Michigan

The States have been called ‘laboratories’of Democracy as different political/governmental ideas and theories are tried out and the objective outcomes observed by all of America.  President Obama recently praised Governor Granholm of Michigan as one of our ‘best’ governors in the country. Excellent statement! Let’s analyze it.

Granholm is a Canadian-born leftist that has been pushing more Liberal/Democrat ideas of Socialism and environmentalism than almost any other governor than, say, California. So clearly, Obama is praising her as someone who is most closely aligned and implementing the type of collectivist and environmental ideas he thinks will ‘work’ for our country.

Has this worked? Well, outside of the labor union-destroyed auto industry and an unemployment rate of 15%+, the verdict on this new initiative is still out. But what Granholm has done is a classic collectivist blunder that will devastate the economy further by 2020 or sooner. She has mandated that 45% of Michigan’s power come from expensive and unreliable renewable resources by 2020 to replace cheap and reliable energy sources like coal, petroleum, and natural gas. Then, with her blessing, the Democrat party chair has put a proposal on the 2010 ballot to require utilities to lower their prices by 20%!!

Incredible! Since the laws of economics and human nature run contrary to Leftist political fantasy, they will mandate/dictate it to happen. Apparently, the only thing stopping the Green Revolution from happening was someone with the courage to SAY it needs to happen. Now, there will be no issue with the fact that highly expensive and unreliable ‘green’ sources of energy cost the utility 2x, 3x, 10x or more to produce the same amount of energy. Then, they will be FORCED to charge 20% less than today’s cheaper ‘earth raping’ energy rates. And somehow, the utilities won’t go bankrupt, cause rolling black outs via rationing , and the business economy will leap ahead with energy that costs 2x to 10x more than before!

Poor Michigan. How much of their economy has to be destroyed before they throw out these collectivist/socialist loons and their objectively unworkable ideas? Being smaller, States get to the objective negative outcomes of flawed ideas sooner and act as an example for the rest of us. First it was California collapsing under Democrat collectivism. Now we see the same outcome shaping up in Michigan.

Stayed tuned America, this is more morbidly fascinating than reality TV and much more instructive!

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Filed under: Economy, Energy, Environment, Politics, , , , , , , , , , , , ,

Obama and Democrats Push False Choice on Health Care Reform

The DNC is launching an ad campaign to blast critics of Obama’s health care plan.

The Democrat/Obama/Leftist formula is that there are only two choices: Inaction/status quo or the Obama-Democrat ‘plan’ of action for health care.

This is a completely false-choice argument. It’s built on a series of Leftist myths:

Obama-Dem Myth1: There is only one possible solution for Health Care. The one solution is Obama’s government run health care ‘plan’.

Objective Fact1: There are MULTIPLE solutions for reform. Only one has a proven, historical success story- The Free Market. One ‘solution’ has a proven, historical failure outcome- collectivized health care.

Obama-Dem Myth2: This ‘crisis/catastrophe/disaster’ is so imminent and dangerous for America that we need to pass a 1000+ page piece of legislation right now and worry about what it says and how it impacts our society later.

Objective Fact2: It borders on criminal neglect on the part of the President and Congress to try to ram through legislation of radical and major change that no normal human has had enough time to read, let alone digest the content of. The only possible reason for this approach is the reality that if people get enough time to understand the content of the collectivized ‘plan’, they will not support it. This is also an approach of tyranny and disrespect for the democratic political process.

Obama-Dem Myth3: Republicans only want to stop the President’s ‘compassionate plan’ because they want to personally ‘break’ the President and don’t care about creating reform.

Objective Fact3: What Obama and the Democrats want to suppress is the discussion of, or exposure to, any of the Republican free market solutions  that have worked in every other part of our economy in the past and will work again if implemented.

Filed under: Uncategorized, , , , , , , , , , , ,

Government Run Health Care is Always a Failure and more Expensive

The biggest lie of this whole Obama lurch toward Socialism/deconstructing America is that government run health care would be cheaper. A Democrat was recently heckled off the stage for trying to say this with a straight face in a public townhall meeting. Americans were not, and are not, buying it.

It doesn’t take anything but common sense to understand why a government run health care plan or any collectivist solution won’t work and won’t be cheaper. Take any good or service and make it a ‘right’. If your barrier to consuming a valuable good/service is taken away, demand will overwhelm the supply/system every time.

With other key goods and services like food, housing, and transportation, everyone has to decide how much they have to spend and then how much of that they want to spend.

If, for example, food were suddenly a make-believe government ‘right’, then we would all want steak and lobster and the best gourmet food all the time. The government would quickly run out of money and would start rationing expensive, good tasting food and give you what it decided it could afford for you, like Spam or hot dogs, etc.

In the past (even before employer health subsidies distorted the market), you weighed the cost of going to the doctor with how bad your medical issue was. Charge too much for health care and no one would buy it. Charge too little and demand overwhelmed supply. But this doesn’t happen because millons of individual health transactions created a natural market balance of quality to cost. This is how all the rest of our society works or used to work in a free market economy.

In the unsustainable pipe dream of government health care, the same supply will have to suffice for a doubling or up to a ten-fold increase in demand because someone else (the government) thinks they can pay for it. They can’t. Every country and US state that has tried this approach either goes bankrupt or else has to ration/restrict the care provided to meet the exploding demand. A government option has an objective history of creating long health service waiting lines where people die waiting for the care their tax dollars have paid for. Artificial, politically driven pricing will also drive talented people from the expense of becoming doctors or investing in developing new medical devices, pharmaceuticals, or other services. This further accelerates a mis-match of demand with supply.

It’s as if this government pretends the laws of economics don’t apply or they don’t understand them or the underlying human nature that drives them.

This week Obama will be on TV this week and attempt to mislead you again (post-failed auto market, mortgage market, and ‘stimulus’ schemes) that the laws of economics/human nature again don’t apply to health care. I urge you to reject his anti-health plan and his anti-American, collectivist world view.

The free market works! All of our prosperity has come from individuals working and producing what we need in this framework. Why in the world do we not AGAIN apply the free market to health care? It is the model and solution we need to tell our leaders to go back to for affordable, quality US health care!

Filed under: Health Care, Politics, , , , , , , , , , , ,

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