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Congress

Porkulus III Passes Senate With Republican Help

The Senate passed Porkulus III by a vote of 70-28 with 13 Republicans demonstrating their party’s new found fiscal conservatism by crossing over to vote with every Democrat present for the bill. Like the first Porkulus signed by George W. Bush in 2008 and the Porkulus II passed last year, Porkulus III forks over billions of borrowed dollars to fund various special interest projects and tax gimmicks in the name of “creating jobs”.

The gimmicks funded in this lastest round of Porkulus include a tax holiday for the remainder of the year on Social Security payroll taxes, but only if the company hires someone out of work for more than 60 days. In addition, Porkulus commits to billions in in more mass transit spending and more highway projects (ie. more pork barrel spending).

The Senate’s version of Porkulus must be sent over to the House where it must be reconciled with the House’s much more expansive $154 billion Porkulus bill. However, the Senate plans to pass more items in the House’s bill one at a time so that Senate Majority Harry Reid and other Democrat leaders can find out how much the prices of the votes of “fiscally conservative” Republicans are.

Included are proposed Senate bills giving away corporate welfare to ethanol producers, which is expected to be supported by farm state Republicans. In addition, there is another planned Senate bill to keep Americans out of work longer by extending unemployment benefits and COBRA.

The RINOs who supported Porkulus III today are:

Is The PAYGO Rule Fiscally Responsible?

On Thursday, the US Senate voted to restore pay go rules on a party line vote. President Obama praised the restoration of the PAYGO rule. Obama supporter Andrew Sullivan used the vote as a club to attack Republicans. Republicans opposed the restoration of pay go calling it a backdoor attempt to raise taxes. However, the PAYGO rule is at best a dual edged sword. While PAYGO is an excellent for controlling and limiting deficit spending, it does very little to limit the size and growth of the Federal government.

The PAYGO or “pay as you go” rule simply calls for any increase of mandatory spending or reduction in revenue (ie. taxes) must be offset by decreases in discretionary spending or increases in revenue (taxes). Mandatory spending is things like Medicaid, Medicare, Social Security, pay for Federal employees, paying debt, and other welfare programs such as Food Stamps and Veterans benefits. Mandatory spending is nearly 60% of the Federal budget. Discretionary spending is everything that Congress has to pass legislation to authorize.

How PAYGO Is Fiscally Responsible:

Republicans vs Conservatives

In a recent conversation with a local Pastor, a social/moral issue rose and the man said I know how strong you will be,on that issue, since you are one of the most Republican people I know. Let me stop at his statement and draw two conclusions from his statement:

Politicians and Political Servants

Yesterday, Arlen Specter (?-PA) made big news by announcing that he will run as a Democrat in his bid for re-election to the Senate in 2010. I consider this to be pretty big news - we don’t see politicians switching parties that frequently. This is likely to give the Democrats a filibuster-proof majority in the Senate (assuming Al Franken is seated as Senator of Minnesota). I would not be terribly surprised to see Olympia Snowe (R-ME) and/or Susan Collins (R-ME) switch affiliations at some point either.

Smoke Up to Save the Children

Earlier this year, Congress passed H.R. 2 - the Children’s Health Insurance Program Reauthorization Act of 2009 or CHIPRA (an expansion of S-CHIP). It was signed into law by Obama on February 4 after sailing through both the House (on January 14) and the Senate (on the 29th). According to the Congressional Budget Office (CBO) report on January 13 which analyzed the bill as it was submitted by the House Committee on Energy and Commerce, the legislation will add an average of $6.4B per year (yes, only ten digits!) to the federal budget. This will be offset by excise tax increases on tobacco products.

I’m Sick of AIG

This week has featured a lot of discussion on AIG. There is widespread outrage over the payments of bonuses to employees. There is finger-pointing and flip-flopping regarding who knew what and when in regards to the bonuses. We have the House and the Senate proposing and passing legislation to address the bonus issue. AIG CEO Edward Liddy testified before the House Financial Services subcommittee on Capital Markets. Obama and team have been making statements which appear, at times, to be inconsistent… I’m pretty much spent on the issue, but will offer my thoughts.

The Problem of “Moral Leverage” in War

In Kim Willenson’s collected oral history of Vietnam, the most interesting perspectives often come from the senior and junior military officers. Reading the warnings of Admiral James B. Stockdale on the importance of “moral leverage” would have been extremely useful for members of the Bush administration, especially those who knew the evidence of WMD was in short supply. stockdale

Cutting Taxes = Increasing Revenue

Around 150 BC, Emperor Ching Ti came to power in China and immediately faced a major problem: his treasury was empty.

Taxes were very high, but no real revenue was coming in. That’s because the system of taxes at that time was an early form of income tax that centered on the government taking a large percentage of a farmer’s crops.

So Ching Ti did something bold and innovative: he cut taxes.

Overnight, taxes went from over 50% down to about 3%. Farmers, who had fled to the hills to escape draconian tax rates, now came home and began farming again. To make a long story short, Ching Ti’s greatest problem while governing was trying to keep all the grain in his barns from spoiling.

It seems that ancient Chinese history is good for more than just cutesy script on a fortune cookie.

Reid - Make A Choice - Politics or the Constitution?

No matter how you philosophically interpret it, one thing almost all of us can agree on is that the highest law governing this nation is the Constitution. Then why are Harry Reid and other Democrats pushing for a decision that is as unconstitutional as almost anything the Bush administration had done over the last 8 years? It’s simply politics.

While most wanted Gov. Blagojevich to refrain from making an appointment for US Senate to replace Senator Obama, everyone agreed that he does have the right under the US Constitution and Illionis law to do so, as he has yet to be impeached. And, so he did. His choice? Roland Burris, who will become the only African American in the US Senate. But too bad for Burris — Reid and fellow Democrats do not want him seated.

Interview: Dan Carlin on the Economy, War and Fast Food

Dan CarlinYou, dear reader, all are in for a real treat. Dan Carlin is the host of the acclaimed podcasts Common Sense with Dan Carlin and Hardcore History. Originally from Hollywood, California and born to a family of entertainers, Carlin continues the family tradition while simultaneously educating his audience. This is the first interview with him for United Liberty.

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