How to Reform Social Security

How to Reform Social Security

The key to reform is to make today’s retirees positive beneficiaries of reform.

A golden opportunity to do so exists for two reasons: (1) the current system is abusing senior retirees in myriad ways, and (2) many of these abuses can be eliminated without any cost to the Treasury. In other words, some aspects of responsible reform are a free lunch.

How to Reform Social Security, Part I

California Dreaming

California Dreaming

California legislators want the state to provide free health care to every resident, including undocumented immigrants. Under the act, it would be illegal for any resident to pay a doctor privately for any medical treatment covered by CalCare. John Goodman and Linda Gorman predict higher taxes, less choice, an exodus of doctors and nurses out of the state, rationing by waiting, and something actually worse than Medicaid for all. See our editorial in the Orange County Register.

What’s Wrong with the US Welfare State?

What’s Wrong with the US Welfare State?

The bottom fifth of households in 2017 had an average (after tax and after entitlement spending) income of $33,653 per person. Almost all of this “income” is in the form of noncash welfare benefits. If all those benefits were converted into cash, a family of four in the bottom fifth of the (earned) income distribution would have $134,652 a year to spend, after taxes! The bottom fifth also had more per capita “income” than the next fifth and the middle fifth. To answer the question, “What’s Wrong?” I really shouldn’t have to say anything more. But, I did find a few more things to say in my most recent post at Forbes.

What To Do About Our Biggest Health Care Problems

What To Do About Our Biggest Health Care Problems

Short-term health insurance and indemnity insurance are meeting needs not met by Obamacare. You would appreciate why that is a good thing if you understand:

Goodman’s Rule for Rational Public Policy: Let the markets handle all the problems markets can solve; and turn to government only to meet needs that competitive markets cannot or do not meet.

More

Biden v. Medicare Advantage

Biden v. Medicare Advantage

When does the failure to answer a phone call in 8 seconds cost the company receiving the call $190 million? When the caller is a spy working for the agency that runs Medicare and the receiving entity is a private insurance company. More.

Two Cheers for the Bipartisan Tax Deal

Two Cheers for the Bipartisan Tax Deal

A rare bipartisan agreement in Congress would create a larger child tax credit for parents and extend some key business tax breaks in the 2017 (Trump) tax reform bill that have expired. Democrats are said to favor the former and Republicans the latter.

Opinions on the accord are all over the map, with pros and cons – both on the right and the left. I give it two cheers. If it were funded by reducing means-tested welfare spending, I would give it a third cheer.

More at Forbes

What Are We Getting for All That Obamacare Spending?

What Are We Getting for All That Obamacare Spending?

Obamacare spending has now reached $214 billion a year, insuring people through Medicaid (which is mostly contracted out to private insurers) and the Obamacare exchanges.  At $1,731 for every household in America, that’s a great deal of money being transferred from taxpayers to insurance companies every year.

So, what are we getting in return?

One scholarly study finds there has been no overall increase in health care utilization in the U.S. since the enactment of Obamacare. The number of doctor visits per capita actually fell over the last decade.

See my latest post at Forbes.

Can We Reduce Health Care Costs with Better Primary Care?

Can We Reduce Health Care Costs with Better Primary Care?

A typical doctor’s office is quite spartan. The seating is usually austere. The flooring is low-budget (if there is carpeting, it is probably worn). And there are no free drinks or free food. If there is a restroom, it is probably located somewhere else in the building. More.

Social Security Reform, Part II

Social Security Reform, Part II

To get seniors to support Social Security reform, there are additional abuses that need correcting. These include: stopping the double taxation of senior income through the Social Security benefits tax, no longer forcing seniors to dissave, abolishing the Social Security earnings penalty, and ending taxation by inflation. More

Obamacare Exchanges at Age Ten

Obamacare Exchanges at Age Ten

March 23rd will mark the 14th anniversary of the Affordable Care Act, and it is now ten years since the creation of the Obamacare exchanges. There are three ways to look at Obamacare today: in terms of (1) what the Obama administration said it was about, (2) what policy wonks thought it was about, and (3) how it really works. More at my post at Forbes.

Liberalism Explained

Liberalism Explained

In the early 20th century, they called themselves “progressives.” Then, they were “liberals.” Now they are “progressives” again. Early on, they embraced racism and endorsed eugenics. Then they became advocates for civil rights. Now they endorse racism of a different sort – wokeness. If you had to the describe the distinguishing characteristic of modern liberalism, what would your answer be? John Goodman gives a novel answer. More

Our Fiscal System Needs Reform

Our Fiscal System Needs Reform

Over half of working-age Americans face lifetime marginal tax rates (including direct taxes and loss of entitlement benefits) above 43 percent. One in ten in the bottom fifth face tax rates above 70 percent, effectively locking them into poverty. For some would-be-workers, the tax rates exceed 100 percent.

Extremely high LMTRs reflect the complete loss of family benefits, in the current and future years, from programs such as Medicaid – which ends benefits abruptly if one’s income or assets exceed specific thresholds by even one dollar. More.

Social Security’s Massive Malfeasance

Social Security’s Massive Malfeasance

Social Security has committed and continues to commit huge fraud against 13,000 plus widow(er)s who collectively have been swindled out of $130 million. Those are the figures of Social Security’s own Inspector General.  More

America’s Fiscal Gap

America’s Fiscal Gap

That’s the difference between the federal government’s spending commitments and its income – looking indefinitely into the future. Closing the gap through time requires an immediate and permanent 41.3 percent increase in all federal taxes or an immediate and permanent 35.3 percent cut in all non interest federal spending. More

Social Security Benefits: Heads They Win, Tails You Lose

Social Security Benefits: Heads They Win, Tails You Lose

One disabled lady was clawed back for over $300,000 for a mistake that Social Security admitted in writing was theirs! If she doesn’t repay, Social Security will almost always stop sending people like her a single penny until they pay “what they owe.” This can take years or decades.  More

House Republicans – Raise the Debt Limit, But Stick to Your Fiscal Guns. Our Country Is Dead Broke!

House Republicans – Raise the Debt Limit, But Stick to Your Fiscal Guns. Our Country Is Dead Broke!

Our country’s fiscal gap is 7.7 percent of GDP. This means we need to collect 7.7 percent more in taxes, every year starting now, to cover all the future spending the CBO projects. Alternatively, we need to immediately and permanently lower the path of federal spending by 7.7 percent of each future year’s GDP. Or we can do neither of these things and dig an even deeper hole for our kids.  More

Social Security’s Massive Malfeasance

Social Security’s Massive Malfeasance

The Social Security administration has committed and continues to commit huge fraud against 13,000 plus widow(er)s who collectively have been swindled out of $130 million. These figures are those of Social Security’s own Inspector General. More

Should You Now Wait Till 75 To Take Your IRA?

Should You Now Wait Till 75 To Take Your IRA?

The Secure 2.0 Act, which Wall Street loves, gives retirees the ability to defer taxable withdrawals from their IRA accounts from the current age 72 to 73 in 2023, if you reach 72 in that year or later, and to 75 starting in 2033. That may not be a good financial decision, however.  More

Are US retirees foregoing large sums of Social Security benefits?

Are US retirees foregoing large sums of Social Security benefits?

90% of Americans are likely to benefit if they wait until age 70 to claim their Social Security benefits. Yet only 6% do so. If you add up the loss of benefits from these decisions over the remainder of a retiree’s lifetime, the typical retiree is leaving $182,370 (in present-value terms) on the table by claiming benefits too soon. More

What the Debt Deal Ignored

What the Debt Deal Ignored

A month ago, Social Security’s Trustees published their annual reportTable VIF1, buried deep in the Appendix, where no one looks, is the statement that Social Security’s unfunded liability is $66 trillion. This measure of Social Security’s red ink is not just gargantuan on its own. It’s $13 trillion larger than it was just three years ago. More

Social Security Sues invalid for Money He Received 21 Years Ago, At Age 11

Social Security Sues invalid for Money He Received 21 Years Ago, At Age 11

Roy Farmer of Grand Rapids Michigan has Cerebral Palsy. He’s 32. In 2019, out of the blue, he received a claw back letter from Social Security demanding he repay $4,902 that his (now deceased) mother received back when he was 11. Roy has spent over three years appealing this judgement. He’s been denied twice. More from Kotlikoff Forbes editorial.

Conservation Leases? 

Conservation Leases? 

This guest post by Shawn Regan is a substantive analysis of the recent proposal by the Interior Department's Bureau of Land Management to allow leasing of public land for conservation purposes. Regan is vice president of research at the Property and Environment...

Can There Be Too Many Trees?

Can There Be Too Many Trees?

Drought-resistant trees are replacing grasslands around the world, and, specifically in the western United States. This is a problem? More.

Economic Freedom IS good for the environment

Economic Freedom IS good for the environment

Yes, data from the Yale Center for Environmental Law & Policy and the Fraser Institute’s Economic Freedom of the World Index send a resounding message: Economic freedom brings about environmental protection. Why? Because economic freedom leads to prosperity and only prosperous countries can truly protect their environment. Are you skeptical? More.

Why California Needs Higher Prices for Water

Why California Needs Higher Prices for Water

California’s extreme drought will force rationing of water or higher prices, say John McKenzie and Richard McKenzie. Raising water prices has a great advantage: “Higher water prices can increase the state’s available water supply—without additional rainfall or...

Should We Even Try to Recycle Plastics?

Should We Even Try to Recycle Plastics?

Pressuring plastic producers to recycle their products has gone on for decades. But two writers at the Atlantic have now concluded, “Plastic recycling does not work and will never work.” In the U.S. in 2021 only 5 percent of all post-consumer plastic was recycled. Furthermore, they say that the plastic producers deny this and those denials are “reminiscent of” the tobacco companies in making false claims. (For years, many tobacco firms  rejected the idea that cigarettes caused cancer.)

What’s Wrong with Planting More Trees?

What’s Wrong with Planting More Trees?

Planting trees to sequester carbon and prevent carbon dioxide emissions has become very popular (whether it is accomplishing much or not). Now the New York Times reports that the effort to save the world is causing local ecological harm by bringing in non-native species.

Don’t Worry about Greenland’s Melting Ice

Don’t Worry about Greenland’s Melting Ice

Greenland ‘s ice mass is melting—but more slowly than it did a decade ago, and its level right now is about the same as in the 1930s. But little of this information reaches the media or even the reports of the Intergovernmental Panel on Climate Change (IPCC)…

Laws, Sausages, and Land-Grants

Laws, Sausages, and Land-Grants

The agricultural and technical university, which often has “state” in its name, is typically a land-grant university formed under the auspices of the Morrill Act of 1862. It was meant to be a practical, down-to-earth “people’s university,” and even today it is less prestigious than the state’s traditional university, usually founded much earlier. But the emphasis on technology has made some of the land-grant universities research powerhouses and often bigger than their in-state rivals.

The “Madness of Crowds”?

The “Madness of Crowds”?

Can history help us understand today’s panic over global warming? While the Earth is warming and human activity is probably contributing to it, the overheated efforts to make people fear the long-term future suggest that this is more of a crusade than a rationally considered enterprise. Extreme fear of global warming is negatively affecting politics, the economy, the media, international relations, and education.

Economic Growth Theories Fall into the Dustbin of History (And That’s Okay)

Economic Growth Theories Fall into the Dustbin of History (And That’s Okay)

Economists like Samuelson failed to understand economic growth in developing countries. Unbeknownst to them, cost-reducing innovations in transportation and communication led to increased trade and lifted people out of poverty. The Industrial Revolution benefited only a small portion of the world. Trade spurred prosperity and development on its own.

Julian Simon, Vindicated Again

Julian Simon, Vindicated Again

Each year, the Competitive Enterprise Institute (CEI) has a dinner in Washington, D.C., honoring the economist Julian Simon, who died in 1998. Simon was a rare optimist in the fields of population and natural resources. He disagreed with most environmentalists of his day (especially in the 1980s through 1990s). They feared passionately that growing population would overwhelm agriculture and industry and that the world would run out of natural resources such as oil and minerals.

Goodman and Saving: Budget Deal’s Trillion Dollar Surprise

Goodman and Saving: Budget Deal’s Trillion Dollar Surprise

The most significant federal entitlement reform in our lifetime was a little noticed provision that Democrats included in the Affordable Care Act. The provision was a cap on Medicare spending, similar to the cap Republicans proposed for Medicaid last summer.

Saving on CNBC: FED is holding 20% of federal debt

Saving on CNBC: FED is holding 20% of federal debt

The Federal Reserve System is holding 20% of the federal government’s publicly held debt. It also is holding a lot of bank reserves. For every dollar of required reserves, banks have deposited $12 at the FED.

Gramm and Saving in the Wall Street Journal: Fed Task is Precarious

Gramm and Saving in the Wall Street Journal: Fed Task is Precarious

The Fed balance sheet contains 20% of all publicly held federal debt and 34% of the value of all outstanding government-guaranteed mortgage-backed securities. As the economy returns to normal growth, getting rid of those assets risks runaway inflation or a crippled recovery or both.

Saving: Are Republicans Too Stingy with Medicaid?

Saving: Are Republicans Too Stingy with Medicaid?

Before the Senate voted on a “skinny” alternative to Obamacare, it was considering the House version of repeal and replace – called the Better Care Reconciliation Act (BCRA).

Saving on CNBC: FED is holding 20% of federal debt

The Federal Reserve’s Accountability Deficit

The Federal Reserve enjoys extraordinary independence from the elected branches of government, based on the well-founded fear that politicians cannot be trusted with the power to print money and manipulate interest rates.

Tom Saving has a new book

Tom Saving has a new book

Tom Saving has a new book called A Century of Federal Reserve Monetary Policy: Issues and Implications for the Future.

Gramm and Saving in the WSJ: The Fed has lost its ability to control interest rates

Gramm and Saving in the WSJ: The Fed has lost its ability to control interest rates

Writing in the Wall Street Journal, former Sen. Phil Gramm and Goodman institute Senior Fellow Thomas Saving write “Never in the Fed’s 105-year history has it had less control over market interest rates than it has today…. To expect the Fed to hold interest rates above or below the market rate under these circumstances is not only naive but dangerous.”

Health Reform: There Is Something for Everyone to Love… and Hate

Health Reform: There Is Something for Everyone to Love… and Hate

Why is it controversial to expand the physician supply, creating more competition? Doctors oppose it, just like they oppose expanding the scope of practice for nurse practitioners. Doctors don’t want me to be able to see a nurse practitioner or physician assistant for a wart on my toe unless that NP/PA works for them.

How did doctors get so powerful? In the first half of the 20th Century, the American Medical Association (AMA) waged a largely successful battle to close medical schools that trained competing physicians. …. More than half of American and Canadian medical schools were closed….  Thus, the job of a physician was yanked out of reach of all but the smartest, most disciplined, wealthy elites.

The 60 Percent Solution to Reforming Healthcare

The 60 Percent Solution to Reforming Healthcare

Can we transform the entire health care system by empowering the roughly 60 percent of patients who are in private health plans? That’s the premise of a new book I just read by Todd Furniss (@TFurniss on Twitter). The author ofThe 60% Solution: Rethinking Healthcare, believes there are five major reforms necessary to empower patients and help them get better care at better prices. These include: (1) change governance, (2) modify health savings accounts (HSAs), (3) clear prices, (4) standardize accounting and information technology in the medical industry and (5) emphasize primary care.

Herrick: States Should Ban These Lab Scams

Herrick: States Should Ban These Lab Scams

There is a new health care scam spreading across rural America that could cost you plenty. Large commercial labs like Quest Diagnostics and LabCorp do not have locations in every small town. As a result, many rural hospitals perform lab work for both their inpatients and outpatients in the local community.

Herrick: Future Pandemics Require Better Access to Primary Care

Herrick: Future Pandemics Require Better Access to Primary Care

When Americans become ill or have a health complaint, they often schedule an appointment with a primary care provider (PCP). PCPs are often the first line of defense in the battle against the onset of seasonal outbreaks of colds, flu or more serious problems like COVID-19.

Herrick: Could Free-Market Medicine Respond Better to Pandemics?

Herrick: Could Free-Market Medicine Respond Better to Pandemics?

Many people have come to believe that the only way to protect Americans against future pandemics is to turn over control of our health care system to the government. The folly of this view was apparent when the U.S. Centers for Disease Control & Prevention (CDC) utterly failed as the monopoly supplier of COVID-19 diagnostic testing kits. When the first cases appeared, about half of the test kits failed and replacements were slow in coming.

How Obamacare Made Things Worse for Patients With Preexisting Conditions

How Obamacare Made Things Worse for Patients With Preexisting Conditions

One of the strange features of the national health care conversation is how it has evolved. What is often referred to as Obamacare began as an attempt to insure the uninsured. In fact, the initial Congressional Budget Office estimates predicted the Affordable Care Act would be largely successful in doing just that. Yet it was the Senate’s Democratic leader, Chuck Schumer of New York, who identified the political problem with that goal early on. About 95% of those who vote already have insurance, Schumer noted. So Obamacare was promising to spend a great deal of money on people who don’t vote.

Response to Coronavirus Reflects Trump’s Plan to Radically Reform Health Care

Response to Coronavirus Reflects Trump’s Plan to Radically Reform Health Care

Critics of President Trump’s response to the coronavirus crisis characterize it as knee-jerk, spur-of-the-moment, and grasping at any straw within reach. In fact, many of the executive actions we have seen in the past few days reflect a new approach to health policy that has been underway almost since the day Donald Trump was sworn into office.

What’s Behind the Vaccine Slowdown?

What’s Behind the Vaccine Slowdown?

What’s behind the slowdown in vaccinations? The consensus among experts is those not yet vaccinated either 1) don’t want the vaccine 2) harbor some doubts about vaccine safety or efficacy, or 3) simply lack the motivation to find vaccine providers and make an appointment. Vaccine hesitancy accounts for about one-third of adults. For example, the Kaiser Family Foundation ran a survey in April that found 15 percent of respondents who had not received the vaccine plan to “wait and see.” Another 6 percent will get vaccinated “only if required,” and 13 percent refuse to get the vaccine. 

Correcting Misconceptions of Health Care Reform

Correcting Misconceptions of Health Care Reform

One reader posed the question, how does the tax break for employee health insurance harm our health care system? Short answer: over time the practice reduced competition, which weakened cost-control and resulted in health care inflation three times that of consumer inflation. Consider this: once covered by generous health plans, workers cared less about what medical care cost because their health plans paid most of the tab. Employers didn’t care what things cost because they were passing on the costs to workers (indirectly) in lieu of higher cash wages. Third party administrators (TPAs), who manage the benefits for employers, didn’t much care what things cost because they were passing on the costs to employers with a mark-up. The more money spent, the more TPAs earn.

How a Questionable Drug Turned into a Goldmine at Taxpayers’ Expense

How a Questionable Drug Turned into a Goldmine at Taxpayers’ Expense

On June 7th the U.S. Food and Drug Administration approved a new drug to treat early-stage Alzheimer’s disease. Is this good news for patients suffering with Alzheimer’s disease? Probably not and certainly not for taxpayers. The clinical trial data found little evidence the drug works. One Phase 3 clinical trial showed a slight slowing in cognitive decline, while the second clinical trial failed to show any improvement.

The $3.5T Spending Mistake

The $3.5T Spending Mistake

Congressional Democrats are proposing to spend an enormous amount of taxpayer dollars on what the New York Times calls a “cradle to the grave” addition to U.S. social welfare. When budgeting shenanigans are ignored, the Committee for a Responsible Federal Budget estimates that the full cost is not the $3.5 trillion that has been widely advertised, but at least $5.0 trillion and possibly as much as $5.5 trillion.

Gorman: US Hospitals are Safer

Gorman: US Hospitals are Safer

A frequent criticism of US hospitals is the charge of excessive adverse medical events,  sometimes leading to avoidable deaths. How do our hospitals compare to hospitals in national health care systems? Quite well. The percent of patients who experience an adverse event is twice as high in Canada, three times as high in Britain and four times as high in New Zealand. 

Linda Gorman Study: Obamacare Dollars Wasted

Linda Gorman Study: Obamacare Dollars Wasted

The percent of the population with private health insurance actually declined during the eight years of the Obama presidency, according to a study by health economist Linda Gorman.

Gorman: Obamacare has been extremely wasteful

Gorman: Obamacare has been extremely wasteful

The federal government spent $341 billion from 2014 through 2016 on subsidizing individual coverage so that people would buy it (Not counting the money spent on state and federal exchanges).

Gorman in Forbes: Will Tax Reform Kill People?

Gorman in Forbes: Will Tax Reform Kill People?

You know you are in the silly season when the charges against sensible tax reform become more and more outrageous. The silliest and most outrageous is based on this causal reasoning: The Republican tax measure repeals the Obamacare mandate, requiring people to purchase health insurance; without the mandate, fewer people will insure; and without insurance, more people will die.

Against Medicaid Expansion

Against Medicaid Expansion

Expanding Medicaid to the relatively healthy might make sense if it improved general health. But there is little evidence it does. In Oregon, for example, a first-of-its-kind controlled trial tracked individuals who applied for Medicaid through a lottery. After two years, there was no discernible difference in the physical health of the winners and losers. More

Hidden Traps in the IRA Bill’s Drug Provisions

Hidden Traps in the IRA Bill’s Drug Provisions

In the near future, the elderly and the disabled will face a double whammy: higher premiums for Part D drug insurance and higher prices at the pharmacy. This is on top of negotiated prices (and the consequent drop in new drug production) which will kick in later in the decade.

John Goodman and Linda Gorman explain why this will happen in The Hill.

America’s Fiscal Gap

Leftists in Colorado Seem Poised to Try Again for Single Payer Health Insurance

Last time around, the idea was rejected by almost 79% of the voters. And for good reasons. British Columbia’s single payer system is so mismanaged it pays for cancer patient radiation treatments in Bellingham, Washington.  Its hip replacement wait can be almost a year… Because Canadian patients wait twice as long as recommended for MRI scans, those who can afford it pay cash for quick service at US imaging centers in border cities like Buffalo, NY and Bellevue, WA. More.

Our Gravest Peril

Our Gravest Peril

ObamaCare? Stagnant economy? Crushing debt? Foreign ­policy fecklessness may trump them all. Commentary by Pete du Pont January 21, 2014 Source: Wall Street Journal America's most worrisome problem may not be the failed takeover of our healthcare system. It may not be...

Our Gravest Peril

The Great Destroyer

ObamaCare wreaks havoc on health care, the economy, American freedom and Obama's presidency. Commentary by Pete du Pont November 25, 2013 Source:The Wall Street Journal Polls show an increasing majority of Americans dislike President Obama's health­care law and...

Our Gravest Peril

Hillary Will Run

How could she not? Commentary by Pete du Pont October 29, 2013 Source: Wall Street Journal Hillary Clinton is going to run for president in 2016. Granted, she is exhibiting even more coyness than most presidential prospects, and yes, the media are filled with those...

Our Gravest Peril

The Beltway Stalemate

Democrats and Republicans have never had such a conflict of visions. Commentary by Pete du Pont September 26, 2013 Source: The Wall Street Journal The debate about military action in Syria seems over for now, and Washington is back in campaign mode. We have a...

Our Gravest Peril

Obama’s Foreign Failure

The world hasn't lived up to his Pollyannaish expectations. Commentary by Pete du Pont August 27, 2013 Source: The Wall Street Journal Barack Obama entered the White House with the promise of restoring our nation's standing in the world. Suffering from war fatigue and...

Our Gravest Peril

Second­-Term Nightmare

ObamaCare's chickens come home to roost. Commentary by Pete du Pont July 27, 2013 Source: The Wall Street Journal Talk about being between a rock and a hard place. The Obama administration and its allies in Congress are faced with the challenge of trying to convince...

Our Gravest Peril

Obama’s Anti-­Energy Agenda

He threatens to cut off the fuel the economy needs. Commentary by Pete du Pont July 01, 2013 Source: The Wall Street Journal Not surprisingly, President Obama and Speaker John Boehner have different views on energy policy, differences brought into stark contrast by...

Our Gravest Peril

Obama’s Scandalous Legacy

He has given Americans new reason to distrust the government. Commentary by Pete du Pont May 28, 2013 Source: The Wall Street Journal It's too early to tell if May will be remembered as marking the beginning of a failed second term for President Obama, but it is clear...

Our Gravest Peril

The Left’s “Wars”

The Left’s “Wars” Commentary by Pete du Pont March 28, 2014 Source: The Wall Street Journal The midterm elections are just over seven months away and the left has unleashed its usual rhetoric about the Republican "war on women." It's baseless political pandering of...

Our Gravest Peril

Global Warming Heats Up

The public could use an honest debate. Commentary by Pete du Pont February 27, 2014 Source: The Wall Street Journal Global warming is back. Not actual global warming, as the decade­long trend of little to no increase in temperatures continues. But the topic of global...

Our Gravest Peril

The Real Inequality Problem

It isn’t that some people are wealthy but that others are struggling. Commentary by Pete du Pont April 28, 2014 Source: The Wall Street Journal Among the too numerous frustrations of the political process is that a lot of smart and talented people spend their time and...

How to Reform Social Security

How to Reform Social Security

The key to reform is to make today’s retirees positive beneficiaries of reform.

A golden opportunity to do so exists for two reasons: (1) the current system is abusing senior retirees in myriad ways, and (2) many of these abuses can be eliminated without any cost to the Treasury. In other words, some aspects of responsible reform are a free lunch.

How to Reform Social Security, Part I

California Dreaming

California Dreaming

California legislators want the state to provide free health care to every resident, including undocumented immigrants. Under the act, it would be illegal for any resident to pay a doctor privately for any medical treatment covered by CalCare. John Goodman and Linda Gorman predict higher taxes, less choice, an exodus of doctors and nurses out of the state, rationing by waiting, and something actually worse than Medicaid for all. See our editorial in the Orange County Register.

More Important Than the Industrial Revolution

More Important Than the Industrial Revolution

It’s called the Transportation-Communication Revolution. In recent times, shipping costs have fallen by 50 percent and air cargo costs have fallen by almost 100 percent. As a result, the per capita GDP of developing countries (outside of sub-Saharan Africa) between 1960 and 2015 rose a whopping 549 percent.

What’s Wrong with the US Welfare State?

What’s Wrong with the US Welfare State?

The bottom fifth of households in 2017 had an average (after tax and after entitlement spending) income of $33,653 per person. Almost all of this “income” is in the form of noncash welfare benefits. If all those benefits were converted into cash, a family of four in the bottom fifth of the (earned) income distribution would have $134,652 a year to spend, after taxes! The bottom fifth also had more per capita “income” than the next fifth and the middle fifth. To answer the question, “What’s Wrong?” I really shouldn’t have to say anything more. But, I did find a few more things to say in my most recent post at Forbes.

What To Do About Our Biggest Health Care Problems

What To Do About Our Biggest Health Care Problems

Short-term health insurance and indemnity insurance are meeting needs not met by Obamacare. You would appreciate why that is a good thing if you understand:

Goodman’s Rule for Rational Public Policy: Let the markets handle all the problems markets can solve; and turn to government only to meet needs that competitive markets cannot or do not meet.

More

Biden v. Medicare Advantage

Biden v. Medicare Advantage

When does the failure to answer a phone call in 8 seconds cost the company receiving the call $190 million? When the caller is a spy working for the agency that runs Medicare and the receiving entity is a private insurance company. More.

America’s Fiscal Gap

Leftists in Colorado Seem Poised to Try Again for Single Payer Health Insurance

Last time around, the idea was rejected by almost 79% of the voters. And for good reasons. British Columbia’s single payer system is so mismanaged it pays for cancer patient radiation treatments in Bellingham, Washington.  Its hip replacement wait can be almost a year… Because Canadian patients wait twice as long as recommended for MRI scans, those who can afford it pay cash for quick service at US imaging centers in border cities like Buffalo, NY and Bellevue, WA. More.

Two Cheers for the Bipartisan Tax Deal

Two Cheers for the Bipartisan Tax Deal

A rare bipartisan agreement in Congress would create a larger child tax credit for parents and extend some key business tax breaks in the 2017 (Trump) tax reform bill that have expired. Democrats are said to favor the former and Republicans the latter.

Opinions on the accord are all over the map, with pros and cons – both on the right and the left. I give it two cheers. If it were funded by reducing means-tested welfare spending, I would give it a third cheer.

More at Forbes

Social Security Reform, Part II

Social Security Reform, Part II

To get seniors to support Social Security reform, there are additional abuses that need correcting. These include: stopping the double taxation of senior income through the Social Security benefits tax, no longer forcing seniors to dissave, abolishing the Social Security earnings penalty, and ending taxation by inflation. More

Obamacare Exchanges at Age Ten

Obamacare Exchanges at Age Ten

March 23rd will mark the 14th anniversary of the Affordable Care Act, and it is now ten years since the creation of the Obamacare exchanges. There are three ways to look at Obamacare today: in terms of (1) what the Obama administration said it was about, (2) what policy wonks thought it was about, and (3) how it really works. More at my post at Forbes.

Liberalism Explained

Liberalism Explained

In the early 20th century, they called themselves “progressives.” Then, they were “liberals.” Now they are “progressives” again. Early on, they embraced racism and endorsed eugenics. Then they became advocates for civil rights. Now they endorse racism of a different sort – wokeness. If you had to the describe the distinguishing characteristic of modern liberalism, what would your answer be? John Goodman gives a novel answer. More